Table of Contents
- Introduction
- The Decision to Expand
- Operational Enhancements
- Overcoming Challenges
- Technological Advancements
- Workforce Implications
- Future Prospects
- Conclusion
- FAQ
Introduction
Running a business smoothly during a major transition can be a daunting task. Imagine achieving this without missing a single delivery. That's precisely what Filshill managed to do during their huge relocation project. Filshill’s move to a new, larger headquarters at Westway Park has not only been a significant logistics undertaking but also a strategic leap towards future growth. This blog post dives deep into the intricacies of this expansion, the reasons behind it, the challenges faced, technological advancements introduced, and the impact on the workforce. By the end, readers will have a full appreciation of the complexities and successes surrounding Filshill’s expansion project.
The Decision to Expand
Overcapacity at Hillington
Filshill’s former 93,500 sq. ft. site at Hillington had served its purpose well. However, it had reached and even surpassed its capacity. This overcapacity was causing inefficiencies in operations, particularly in stock handling, order processing, and overall warehouse management. With the warehouse floor becoming congested and bottlenecks at the goods area, Filshill was operating at a suboptimal level.
Site Selection Criteria
The choice of Westway Park was strategic. The new location is geographically close to the old site, aligning with Filshill’s commitment to retaining its existing workforce. Furthermore, the reclamation of a brownfield site is a testament to their commitment to sustainability. The new location significantly boosts Filshill’s operations by providing a much larger, 120,400 sq. ft. purpose-built headquarters and warehouse.
Operational Enhancements
Increased Storage Capacity
Moving to Westway Park came with a substantial increase in storage capacity. The new warehouse can optimally handle up to two million cases per month, doubling the capacity of the Hillington site. This increase has had a positive impact on operations, reducing reliance on external stockholding warehouses and streamlining the internal movement of goods.
Efficient Workflow Design
To maximize efficiency, Filshill introduced a one-way picking system and strategically balanced product spread across different storage areas. This design choice has reduced the number of reach trucks needed by half and simplified the loading process. Furthermore, the introduction of dock doors has allowed workflow streamlining into defined periods, optimizing labor allocation and time management.
Overcoming Challenges
Pandemic and Construction Delays
The expansion was not without challenges. The COVID-19 pandemic and subsequent issues created delays and disruptions, including labor and material shortages. Additionally, unforeseen setbacks like the abrupt departure of the site manager added to the complexity of the project management.
Agile Problem-Solving
Filshill tackled these challenges head-on with a flexible and proactive approach. Early access agreements to parts of the new building helped mitigate delays. Constant communication with contractors and strategic decision-making enabled the project to maintain momentum and ultimately stay on track.
Technological Advancements
Customized Software Solutions
A critical part of the transition involved innovative tech solutions. Filshill developed a unique piece of software named the 'Location Flip' program, designed to facilitate the move without disrupting day-to-day operations. This program ensured a seamless setup and stocking process for the Westway site, contributing substantially to the smooth transition.
Infrastructure Upgrades
Filshill also undertook a complete server and infrastructure refresh. The introduction of Wi-Fi across the entire site and enhanced data connection capacity is a testament to their commitment to efficiency through technology. The new semi-automated shuttle and multi-floor system within the warehouse exemplify this strategy, enhancing operational efficiency and effectiveness.
Safety and Efficiency Measures
To promote a safer and more efficient working environment, Filshill has raised the lowest shelf levels on adjustable pallet racking (APR) for more accessible picking and implemented a one-way traffic system for forklifts. Additionally, a purpose-built click & collect lounge has been introduced, catering to the evolving needs of their customers.
Workforce Implications
Employee Retention
The strategic decision to keep the new site close to Hillington has paid off in terms of staff retention. Filshill’s management prioritized maintaining their experienced workforce over potential cost savings from relocating to a cheaper site. This decision has fostered loyalty and reduced turnover rates.
Recruitment and Training
The expansion has led to an increase in on-floor staffing, boosting operational capacity. With the scaling-up phase, the reliance on agency staff has decreased, leading to higher retention rates of temporary staff transitioning to permanent roles. This stable workforce has been vital to smoothly implementing the new operating model.
Future Prospects
Continued Evolution
Filshill’s new warehouse is not the end of their growth story but rather a pivotal milestone. The company plans to continually evolve its operations, embracing new technological advancements and reimagining processes to enhance efficiency further. Flexibility in current staging areas allows for potential future expansions, ensuring that the warehouse can adapt to support ongoing growth.
Strategic Positioning
By building near Glasgow Airport, Filshill has positioned itself advantageously for future logistics and distribution needs. This strategic choice underscores its vision of sustained growth and enhanced customer service levels, ensuring it remains competitive in an ever-evolving market.
Conclusion
Filshill’s expansion project is a textbook example of strategic planning and operational excellence. From battling capacity challenges at Hillington to executing an almost flawless transition to Westway Park, the company has demonstrated resilience and forward-thinking. By embracing technology, retaining a skilled workforce, and planning for future growth, Filshill continues to build on its legacy of efficient and reliable service delivery.
FAQ
Q: What was the main reason for Filshill's move to Westway Park? A: The primary reason was to address overcapacity issues at their Hillington site, which was hindering operational efficiency.
Q: How has the expansion improved Filshill's operational capacity? A: The new site has doubled storage capacity and streamlined workflow, reducing the number of reach trucks needed and optimizing loading processes.
Q: What unique technology was implemented during the transition? A: Filshill developed a custom software solution called 'Location Flip,' which facilitated a seamless transition and setup at the new site without disrupting daily operations.
Q: How did the pandemic impact the expansion project? A: The pandemic caused delays due to labor and material shortages, but Filshill mitigated these through early access agreements and constant communication with contractors.
Q: What steps has Filshill taken to retain its workforce during the move? A: Filshill kept the new location close to the Hillington site to retain its experienced workforce and emphasized staff retention over cheaper relocation options.
