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Warehouse for a new business line - a case study of a client from the cosmetics industry

Our client specializes in the production and sale of cosmetics. With several decades of experience in the market, the company has become one of the leading players in the Polish industry and is also developing a dynamic presence abroad. Offering around 80 cosmetic lines they have their own research and development laboratories as well as quality control laboratories.
 

From Offline to Online

 

A natural step in the development of the company's flourishing success was the launch of an online store. This was initially run by an external company however, disappointing sales lead the management board to decide that the company should run the store themselves.

 

The client recognized that success in eCommerce requires a modern warehouse and reliable logistics, but investing time and money in creating and maintaining a dedicated hall for a new business line was not an economical investment.

 

 The company sought to find a proven fulfillment operator who would also be a robust business partner in undertaking challenges in the eCommerce industry.

 

Not only "cosmetic changes"

 

There is more to the cosmetics industry than fragrant creams. Rigorous ISO standards meant that the warehouse had to be immediately adjusted to meet product safety requirements. Fulfilling these measures was vital to maintaining the integrity of the brand's prestige.

 

Heat sensors are installed in our warehouses to ensure that any products that are sensitive to  temperature, such as lipsticks are stored in the optimum conditions they require. The temperature levels in the warehouse are monitored and alerts are sent to the quality department to prevent limit breaches. The customer also receives monthly warehouse temperature reports.

 

Automation of logistics processes

 

The company also wanted an efficient solution to reduce the manual, time-consuming processes when collecting large amounts of data concerning received and shipped goods. A new, quick, automatic and efficient method was needed.

 

 For this purpose, we created a bespoke technology that recognizes the product unit codes and identifies information such as batch numbers or expiry dates. Thanks to this, one scan of the product is enough to send all the necessary information about the goods to the customer's warehouse system.

 

 In order to provide easy and immediate access to the stored data for company employees. we have integrated our ERP systems using a dedicated API plug.

 

Close cooperation, one line of contact

 

Projects that require an individual approach cannot be successful without a strong partnership. We were aware of the importance of the relationship between ourselves and the client's representatives, and made sure that efficient and open communication was the key point of our cooperation, and still is.

 

The client was provided with an Account Manager who took care of the flow of correspondence between parties, advising on strategic topics. Additionally, we also assigned to the client a dedicated employee of the Support department for everyday support and problem solving.

 

Results

 

We have successfully contributed to the digital transformation of the client and continue to work together to develop their eCommerce  business.

 

 The main points of our cooperation are:

 

  • We have automated the process of storing and shipping products. The implemented solutions (API system and SSCC codes) have eliminated human error in the warehouse and shipping process and reduced the time related to logistics by approx. 75%

 

  • We adjusted the warehouse to meet the norms and standards of the cosmetics industry. We have created conditions for the appropriate storage of temperature-sensitive products.

 

  • We have helped the company launch a new business line and are planning further joint development. By 2023, we plan to work with the company to send 10,000 parcels per month.

 

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