Sept/Oct 2003

When Asda switched to store-picking for its home delivery service, a mobile solution extended the benefits of a new data capture system from shop floor to front door

Data capture and portable computing are seldom restricted to just one function, or just one aspect of the supply chain. Similar concepts and technologies can be often applied at a variety of stages in the fulfilment process, from initial order-picking right through to loading the vehicles, delivering the goods and capturing delivery information at the doorstep. Mobile computing binds the whole process together and gives it coherence.

That's been very much the experience of supermarket group Asda as it has transferred its home shopping fulfilment operation from a warehouse picking system to store picking, and extended the service across the country.

When goods are delivered to consumers, they encounter this new technology in terms of the Symbol handheld terminals that are used by the drivers to check off the consignment and collect time- and date-stamped electronic signatures from them. But that's just one small aspect of the system as a whole.

 

It all goes back to the early days of Asda's home shopping development. Although this started in November 2000, fulfilment was originally handled from two central warehouses in the London area, which handled 5,000 orders per week. But then Asda's e-commerce business group decided a switch to in-store picking was necessary to increase geographical coverage and improve both productivity and operational efficiency.

However, to make this work, the company decided it must have an automated, paper-free system "This would enable us to improve picking accuracy and levels and reduce returns, whilst using productivity gains to satisfy growing customer demands," says Doug Cliffe, ISD e-commerce general manager at Asda. "Alongside achieving a reduced processing cost per order, the new system had to provide accurate management data, enabling us to monitor and measure performance at individual store level."

The system it chose has been built round GlobalTrak real-time automatic identification and data capture software from Lowther Communications, whose e:Fulfilment application works as an add-on to Asda's existing back office systems.

Seamless sharing

Customer and order details from the Asda home shopping Web site are captured in a front-end Web application and passed through to the PC-based GlobalTrak Server used for the e:Fulfilment application. Standard interfaces integrate the host and GlobalTrak systems so that they can share application data seamlessly.

The captured information is translated into XML format and despatched via wide-area network to individual stores, where it is received and processed by an in-store GlobalTrak server. The system then automatically sorts orders by delivery timeslot and postcode to ensure optimal scheduling.

It's here that the first stage of the integrated mobile solution kicks in. Once the picking sequence is established, individual orders are downloaded to handheld Symbol devices equipped with a built-in barcode scanner and touch-screen interface. Drop-down menus display only data that's relevant for the immediate task, helping workers process orders quickly. Three pick lists per order are generated for the in-store home shopper teams - covering fresh, frozen and ambient products. These are consolidated on completion of the picking process.

"The elimination of paper, together with the automated production and distribution of pick lists, helped us enhance productivity considerably, whilst at the same time reducing error rates," says Doug Cliffe. "What's more, we can use the intelligent management systems contained within GlobalTrak to standardise policies on product substitutions, ensuring that we achieve a service delivery brand consistency."

Each device holds a stored subset of data so that it can run intelligent applications such as activity validation, helping to remove or overcome human error. Remote RF communications allow real-time updates between the handheld computers and the GlobalTrak server, which displays easy-to-view colour-coded order status information.

"We can now view the status of each individual order in real time," says Doug Cliffe. "As well as being able to monitor the performance of the in-store pick teams, we can support them, providing standardised choices and even customer preferences for product substitutions. Once again this reduces the opportunity for error."

Despatch and delivery

The GlobalTrak application also manages despatch and delivery. At order completion, items are scanned into the store's EPOS system, and an EPOS customer bill is generated. The GlobalTrak software offers user-intuitive support for marshalling activities, ensuring all orders can be correctly grouped and positioned in delivery sequence for optimum vehicle loading. The Symbol handhelds contain load creation data, so there is a comprehensive order validation process for drivers.

"GlobalTrak enables us to reduce losses on perishable goods, whilst the in-cab terminal provides drivers with a route plan, drop sequence and customer details," says Doug Cliffe. "Loading data is received by the GlobalTrak server, so order status is updated in real time."

"We see confirmation of the improvements in order accuracy in terms of the reduction in the number of customer returns we receive," Doug Cliffe says. "Overall there's been a 50 per cent fall in the number of customer complaints received."

So far, 32 stores are in Asda's home delivery scheme, handling 9,000 orders a week. Customers have access to over 14,000 food and non-food products. Overall, the switch to the new home shopping service delivery model has brought many benefits.

"In comparison with our previous approach, the in-store pick model has enabled us to achieve significant productivity gains," Doug Cliffe says. "Automating the entire service supply chain has meant we can maximise resource utilisation, monitor and measure performance across the supply chain and minimise non-essential transactions - all of which has helped us reduce our costs per order by half."