Well-thought-out internal logistics enables efficient manufacturing

Error prevention in processing and assembly starts with smart internal logistics. It has two legs – warehouse logistics and production logistics – which together ensure that materials move smoothly through the facility. Everything must be in place at the right time: components, packaging, return flows, quality deviations and recycling.

Having the right thing in the right place is a prerequisite for trouble-free and efficient production. I had a chat with Björn Sommerland, one of our senior experts in system support for internal logistics, to hear how a well-thought-out logistics solution can actually be the key to both efficiency and safety in assembly.

What is the connection between internal logistics and manufacturing?

Even with the most efficient production techniques and well-thought-out assembly sequences, there will be problems if the right thing is not in the right place at the right time. Planning and resource security are the basis for efficient production. Identifying items, retrieving and feedbacking data is closely linked to internal logistics. Internal logistics systems know much more about the status, next steps and outcome in processing and assembly than you might initially think, says Björn.

Safety stocks of incoming materials can also be reduced when you have more control and the right items and quantities in place.

Why is internal logistics so important for manufacturing?

Well-thought-out internal logistics provide the conditions for disruption-free production. Efficient and well-coordinated consumption management and product identification prevent material shortages and the wrong individual item being processed. This minimises the risk of production stoppages, scrapping and reprocessing, which is both costly and inefficient, Björn emphasises.

It is also important to have well-thought-out system support for efficient further processing of the processed item. My experience is that the focus is often on the incoming material of the process step, but that the handling of outgoing material does not receive the same attention, Björn emphasises.

For example, it can involve buffering partially completed items – to facilitate handling in the next step. This can be done in batches or to reduce the effect of disruptions further down the production flow.

How is system support related to internal logistics?

In complex flows, it is impossible to keep material requirements and consumption in your head alone. Production-related processes are characterized by their level of detail and high demands on real-time management. Complexity increases rapidly when, for example, a previously manufactured product functions as material in a new product, or when rules regarding sorting and sequencing must be followed. In addition, steps such as packing, picking and repackaging are crucial value-creating steps that require clear and detailed instructions to be carried out correctly, efficiently and with high precision, Björn points out.

Well-functioning system support that adapts to the business's existing processes, not the other way around, is crucial. A common mistake I often see is when the steps of the manufacturing process are tied together too tightly in systems that are not adapted for real-time management. Systems are often designed for an ideal process without considering unwanted scenarios, such as when an individual needs to be removed from the flow. In addition, problems can arise in systems that are too tightly interconnected when one step blocks the next due to queueing, response times or other operational disruptions.

To avoid this and instead ensure automatic handling of business-specific needs and critical details, I recommend system support in the form of a Warehouse Management System (WMS) with good customization options for the customer's needs, emphasizes Björn.