Shenhua Group: Spare parts logistics system transformation

Background:

Shenhua is China’s largest coal company that spare parts management is the most important production and protection aspects. The logistics problems originally were as follows:

  • Mainly in manual work, the work is intensive for workers, low efficiency and high error rate
  • Low utilization rate of the logistics resources, lack of venue space
  • Poor information management

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OLE range of the service:

Overall planning and design of the spare parts logistics system

  • Introduce suitable modern logistics equipment according to the physical characteristics of the storage of spare parts
  • Introduce professional warehouse logistics management system using bar code and RF technology

Tender technical support

Project management

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Results of the project:

  • The logistics centre space utilization is expected to increase from 12% to 30.4%, spare parts storage capacity is 2.2 times more than before. Relative to the new warehouse area of 20,000 square meters, warehouse construction cost savings of nearly 14 million.
  • Efficiency is increased and error rate is decreased, both working environment and logistics management level are improved.

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