Moscow and regional distribution centers

1
Moscow and regional distribution centers
National Logistic Company Moscow
2
Who needs DC4 first of all - retail chains
(food and non-food)

• Metro CashCarry
• IKEA
• Auchan
• Real
• MarktKauf
• OBI
• Billa
• Leroy Merlin
• Kingfisher, etc

Where to have a DC 1)In Moscow
only 2)Moscow1-2 3)All over Russia
3
Distribution Center in Moscow regions should be
provided by a logistics operator?
4
Main Advantages of DC (both in Moscow regions)

• Shops will have JIT deliveries
• Prime cost goes down 5-15 due to max
  utilization of transport and DC WHS facilities
  (transport efficiency rate 90,unloading time
  less than 1 h)
• Shorter Order Cycle ( time between
  order-placement and delivery is within or even
  less than 24 hours)
• Out of - shelf problem is solved to max
  level ( possibility to keep full range of
  products over 95)
• Due to regular deliveries of fixed (minimal)
  orders Shops can minimize internal warehousing
  space and concentrate on selling ( as a result
  total area of the shopping center may be either
  up to 50 less or given to additional selling
  activities)
• Minimization of the time required for the shop to
  accept the goods and display them on the
  shelves. (All selling preparation process is done
  at the DC (Shrink-wrapping for METRO) staff in
  the shop is to concentrate only on the customers)

5
DC parameters same everywhere?
The main idea of DC is to accumulate within a
short period some stock of goods from suppliers ,
provide complete range of pre-selling and
distribute the stock at the optimum way. What
differs DC from a classical warehouse?

• Bigger loading/unloading area (NLC Himki 38 m)
• A lot of docks (from 2 for each 1000 sq.?)
• Dedicated zones for racking, floor and small
  cells storage
• Dedicated and properly equipped operation zone
  for pre-selling activities (blistering,
  co-packing, promo packing, labelling, quality
  control, )
• Coordination center

DC is not just a cost center-it is also a center
to create value added services
6
How to get a DC in Moscow and in the regions?

• To use general-purpose warehouses (as a rule
  modern facilities belonging to logistics
  operators and developers)
• To use a built-to-suit model (food,
  electronics, etc)
• To split operations between first two models

7
X-dock-next step after DC

• In the regions-mainly floor storage
• Storage time is measured by hours (ideally max 24
  hours)
• No additional order-preparation

X-dock terminal can not substitute DC completely,
but can considerably minimize total space
(important for regions)
8
Meeting complex decision requirements
Delivery to Wholesale
Warehouse
Transportation
Manufacturing
Delivery to Retail
Storage and picking
Pre selling preparation
Delivery to consumer
Customs clearance
Supply of row materials and equipment
Information management
9
Central regional DCs
10
Meeting customers requirements for regional
development
S.Peterburg

• NLC is to suggest WHS in all 11 biggest Russian
  cities

Moscow
Rostov-on-Don
Yekaterinburg
Samara
Novosibirsk
11
Meeting regional requirements
12
National Logistic Company ensures
13
National Logistic Company
Thank you for attention! Elena
Pechnikova Commercial Director National Logistic
Company Tel. [phone] Fax 7 095
247 90 22 E-mail Elena.Pechnikova_at_warehouse.ru In
ternet www.nlc.ru