Growth begets complexity. And complexity needs management. In 2013, Lago Cold Stores had outgrown its hybrid legacy and manual spreadsheet system and was on the hunt for a new Warehouse Management System (WMS).
The company, based in Queensland, Australia, specializes in 3PL Temperature Controlled warehouse management and distribution with stringent lot/batch/date management requirements. It distributes across metro Brisbane and regional Queensland and export for various cold storage products.
Its old processes were over-reliant on specific workers and limited the company’s ability to bring in new business. The company chose Microlistics’ Chilled 3PL WMS, which it now uses to manage approximately 1000 pallets in/out per day.
Before implementing Microlistics’ solution, some fear of the new technology among the workforce was a problem. Once implementation was underway, the team took ownership of the new system and ran with it. This enthusiasm helped provide a smooth transition to Microlistics’ WMS. The implementation of the system provided an opportunity to up-skill employees and had a positive impact on the workforce from the administrator to the supervisor and operational staff.
Lago General Manager Steve Johnstone said it was a good opportunity to give the younger workers ownership of the system. “We’re really starting to see the benefits of this now,” he said.
Interactions with employees and customers became simpler and the added flexibility and scalability positioned Lago to grow its capacity by 10,000 to 15,000 pallets.
Lago also uses Microlistics’ inbuilt labour-monitoring capability to ensure accurate billing across its customer base. The WMS not only tracks traditional direct processes such as receiving, put-away, picking and dispatch, but also allows for value-added services such as kitting, light manufacturing, repacking and more.
Due to the Microlistics WMS’ ability to consolidate tasks, Lago was able to optimise labour to cut down hours and consolidate shifts, providing hard time and cost savings.
“The system has put us in a great position to grow our business,” Johnstone said. “There were a range of benefits that have really helped us out. It’s a very cost-effective solution and that was one of the big drivers. Here at Lago we are very mindful of our costs. We need to scrutinize everything to ensure we’re supplying attractive services and cost models to our customers.”
Microlistics CEO Mark Dawson said Lago was ahead of the curve. “Steve [Johnstone] saw that implementing a cumbersome solution would slow them down, so the emphasis was on functionality but with agility, flexibility, cost and speed,” he said.
“We picked up the target benefits along the way. This is where we play best. There is no time for a three year ROI these days and we’re honoured to count Lago Cold Stores as a long-term partner.”
Microlistics is a warehouse management solutions company based in Melbourne, Australia with offices in USA, Netherlands, UK and Singapore. It is part of the WiseTech Global Group and solves warehousing issues for companies of all sizes around the globe.
Founded in 1966, Lago is now one of the top 3PL cold storage companies in Queensland. It services national and multi-national companies through its 30,000 pallet spaces in chilled and frozen environments.
To find out more, visit: http://www.microlistics.com.au/customer-success/