METRO GROUP
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Logistics
MGL METRO GROUP Logistics is METRO GROUP's logistics service and competence centre. MGL controls the merchandise flow of the sales divisions of METRO GROUP Metro Cash & Carry, C+C Schaper, Real, Media Markt and Saturn and Galeria Kaufhof using standardised distribution and procurement logistics networks.
As an alternative to the supplier’s direct delivery to the store, MGL distinguishes between the following supply channels:
Procurement logistics
Break-Bulk-Cross-Docking (BBXD)
Central warehousing and distribution to the stores
In addition, MGL METRO GROUP Logistics supports its German and international customers by providing extensive advisory expertise and integrated IT solutions. The MGL METRO GROUP Logistics warehouses and administrative locations in Düsseldorf and Sarstedt have approximately 3,500 employees.
In order to further optimise the supply channels within METRO GROUP, MGL developed the procurement logistics concept. A portion of the goods picked up directly from the manufacturer and distribute those goods to the various stores in Germany within 24 hours. Temporary storage of the transported goods is unnecessary. Compared with direct supply by the supplier, the store's stock is reduced as well as the associated costs. In addition, the number of deliveries per store drops.
MGL successfully implemented the procurement logistics concept abroad, including in China. In addition to increased cost effectiveness, the MLG procurement logistics has numerous environmental benefits:
Due to it innovative approach to solutions, MGL's procurement logistics concept was awarded the German logistics award
of the Bundesvereinigung Logistik e.V. (Logistics Association) in 2002.
For Break-Bulk Cross-Docking (BBXD) supply channels, the supplier first completes order picking for shipment to pre-defined logistics platforms. At these locations, fine order picking is carried out according to the stores, as well as the direct delivery to METRO GROUP sales division locations. For central storage and distribution, as well as the BBXD delivery, MLG is also responsible for dispatching goods, quantity control, quality control and invoice control of deliveries, in addition to the removal of reusable containers and recyclables. For sales divisions, the most important benefits are:
In Germany, MGL operates nine storage locations for food items, two locations for non-food items and four platforms for fruits, vegetables and fish. The total area of all storage locations and platforms is about 409,000 m². The responsibilities of MGL METRO GROUP Logistics include the central storage function for the sales divisions Metro Cash & Carry and Real. MLG also works for Galeria Kaufhof to a large extent. Radio-controlled warehouse management systems and the use of modern order picking and transport technologies (e.g. pick-by-voice, GPS-based tracking & tracing) ensure that orders of the sales divisions are picked and delivered on time. MGL increasingly uses electronic exchange of data, when working with suppliers.
The assortment of goods of the MGL warehousing and distribution locations includes about 20,000 fresh food items, fruits and vegetables, frozen foods, dried foods, non-food and fresh fish items.
In addition to strong performance, the environment and social sustainability play an important role in the logistics systems' design and daily activities. For achieving this successful balance, MGL received the 2007/2008 Eco Performance Award.
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Asset Management
Logistics
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