colruyt_guestlecture

Sustainable logistics at Colruyt

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Annick Mievis

Sustainable logistics at Colruyt

• Colruyt within the Colruyt group • Sustainability, part of the group mission• Logistics at Colruyt• Sustainable logistics: concrete examples

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• Sustainable logistics: concrete examples– Transport– Construction– Energy– Training and people

Colruyt group

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Colruyt group

Colruyt Group today

RetailWholesale

and food sevice Other activities

77% 17% 7%

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77% 17% 7%

Results Colruyt Group

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Employment Colruyt Group

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Sustainable logistics at Colruyt

• Colruyt within Colruyt group • Sustainability, part of the group mission• Logistics at Colruyt• Sustainable logistics: concrete examples

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• Sustainable logistics: concrete examples– Transport– Construction– Energy– Training and people

OUR MISSION:

Colruyt group

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Together, we create sustainable addedvalue through value-driven craftsmanship

in retail

8/108/10

SOCIAL ECOLOGICAL

Colruyt group - commitments

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8/10

8/108/10

ECONOMIC

�Long term�Balance between the 3 axes

Sustainable balance

Sustainable logistics at Colruyt

• Colruyt within Colruyt group • Sustainability, part of the group mission• Logistics at Colruyt• Sustainable logistics: concrete examples

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• Sustainable logistics: concrete examples– Transport– Construction– Energy– Training and people

Colruyt - logistics

Supplier DC Stores Customer

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•Inbound logistics

•Stock

•Outbound logistics

•Return centres

National distribution centresAutomatic replenishmentLowest cost

DC’s Halle

DC Ghi

DC Spar

DC Bio-

Planet

DC Alvocol

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DC Pom

= Colruyt store

= Colruyt store to be opened soon

= distribution centre

= supplier

Our national DC's according to assortment:

18,00016,000

23,00018,000

HellebroekDassenveld F2

Food

14,00026,00027,768

Dassenveld F1Dassenveld F4 & F5

Fresh/frozen

Capacity pal.Surface m²DCAssortment

Colruyt - logistics

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8,50016,000StroppenNon-Food

11,0009,500

16,00020,000

StroppenPommeroeul

ColliShop

16,00045,00019,500

18,00050,00022,000

Dassenveld F2GhislenghienLaekebeek Hall5

Total 211.000 m²142.000 pal

• Inbound logistics:

– 14,000 pallets food– +/- 550 truckloads/day

• Stock:

Colruyt - logistics

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• Stock:

– +/- 11 - 12 days of stock in food– +/- 50 days in nonfood

• Outbound logistics: 800,000 packages/day picking on carts: 12,000 carts/day automatic order picking: 45,000 packages/daypicking on pallets: 3,000 pallets/day

Colruyt - logistics

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picking on pallets: 3,000 pallets/day

800,000 packages / day = 17,750 m³ / day= the entire surface of a soccer field filled with 3.5 m high stacks

Colruyt - logistics

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• Transport – 800 deliveries to our stores / day – An average of 170 km / delivery

⇒ 136.000 km/day

Colruyt - logistics

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⇒ 136.000 km/day⇒ over 3x around the world

Sustainable logistics at Colruyt

• Colruyt within Colruyt group • Sustainability, part of the group mission• Logistics at Colruyt• Sustainable logistics: concrete examples

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• Sustainable logistics: concrete examples– Transport– Construction– Energy– Training and people

Economic Economic • 95 % degree of use of trucks• Optimisation of return cargoes• Combination of fresh, frozen, dry food, drinks, etc .• Controlled by time frames for deliveries to branch stores

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Transport – central delivery strategy

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EcologicalEcological• Prevention of vehicle mileage• Optimisation of transport volume• Own modern truck fleet• Modal shift

SocialSocial• Best possible route• Minimum number of deliveries to sales

outlet• ‘Tips' for driver• Courtesy charter

CENTRAL DELIVERIESCENTRAL DELIVERIES

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Transport: Outgoing goods flow

D

S

H

LDistribution centres

Satellite warehouses

Goods flows to other distribution centres and to our stores

Only departures to other distribution centres

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G

Transport: Outgoing goods flow

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Transport: outgoing goods flow

2 091 000 km Bus system (before, trailers were sent individually to be completed)1999

1 700 000 km Full trailer system (combine goods to realise single drops)1994

Full cart and full trailer projects:

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7 511 000 kmTOTAL

1 600 000 km Full cart (filled to 1500 kg)2007

1 000 000 km Optimise return cargo (immediately send it to the right location)2000

1 120 000 km Optimise load planning (perfect combination of carts and pallets)2000

Transport: outgoing goods flow

• Inspired by PIEK projects in the Netherlands• Objective: show that making deliveries below 65 dB

in the evenings is possible

Evening distribution project:

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in the evenings is possible• Start-up of test projects in Flanders• Using different means, depending on the concrete

situation

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Projects : evening distribution

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Projects: evening distribution

Use of: - a sound-suppressing tailboard- new hinges- new bolts

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Projects: evening distribution

- Installation of sound-suppressing lining on the front side (inside)of the trailer.

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Projects: evening distribution

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Transport: incoming goods flow

• Implement sustainable transport where possible => move the current goods flow (full road transport) to more user-friendly means

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road transport) to more user-friendly means of transport

Transport: incoming goods flow

• ModalShift of X –Tonnes/Km • Co2 reduction• Efficient transport

– Minimum impact on supply chain process (transit times,

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– Minimum impact on supply chain process (transit times, stock level, etc.)

• Be as cost-neutral as possible• Consider the internalisation of external costs (air

pollution, impact on climate, noise, accidents, congestion, up-down processes)– Implement in transport cost price in time

Transport: modal shift

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Transport: modal shift

60 t597 850 tkmTrucking, SSS (ferry) -Bristol –Zeebruges -DC

1 282 t1 070 000 tkmRailNorthern Italy - Dc

125 t2 425 750 tkmTrucking, SSS (ferry), trucking

NW Spain – Zeebruges-DC

420 t6 560 000 tkmTrucking, SSS, barge, trucking

Oporto – Antwerp –Brussels - DC

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3861 t35.284.655 tkmTOTAL

1346 t14.150.000 tkmRailBarcelona

37 t2 130 900 tkmBargeAntwerp – Brussels -DC

591 t8 350 155 tkmTrucking – SSS – rail -trucking

Athens – Brindisi - DC

60 t597 850 tkmTrucking, SSS (ferry) -trucking

Bristol –Zeebruges -DC

Transport: safety on the road

• Courtesy charter • Safety on the road : blind spot cameras • Information programme for schools on blind

spot problem • We joined the European Road Safety Charter

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• We joined the European Road Safety Charter • Deliveries at night or in the evening

Transport: alternative fuel

• Step 1: reduce fuel consumption– Each driver follows a pro-active driving

course

• Tests with CNG and LNG– Insufficient infrastructure– No legal frame

Diesel Euro 5Biodiesel Euro 5

BenzineLPG

Diesel EEV

Loka

le e

mis

sie

(NO

x, P

M)

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• CNG as a transition to hydrogen (future) • Hybrid truck (developed by Colruyt)

– Phase 1: main objective: silent deliveries– Phase 2: 20% reduction of fuel

consumption by hybrid technologyCNG

Hybride (benzine)

Bio Ethanol E85

Duurzaam Waterstof

Elektrisch

Biogas

Hybride Plugg Inn

Globale emissie (CO2)

Loka

le e

mis

sie

(NO

x, P

M)

Sustainable logistics at Colruyt

• Colruyt Group• Logistics at Colruyt• Why sustainability

– Frame• Organisation model

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• Organisation model• Mission

• Concrete examples– Transport– Construction– Energy– Training and people

Well-considered orientation

• Dassenveld– Offices on south side

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– Offices on south side– Frozen products department

– No outside wall on south side – Adjoins the refrigerated area

Cooling in production and storage

• Free cooling in central warehouses • Displacement ventilation in reception,

cheese slicing, frozen products packing

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cheese slicing, frozen products packing

• Colruyt Group• Logistics at Colruyt• Why sustainability

– Frame• Organisation model

Sustainable logistics at Colruyt

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• Organisation model• Mission

• Concrete examples– Mobility– Construction– Energy– Training and people

Energy monitoring - ECO2

• To measure = to know • Objective: cut energy consumption by 10% • Energy meters in critical points Computer

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• Energy meters in critical points Computer processes in tables Based on this information => adjust

Renewable energy sources

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Energy from waste

• Fermentation of organic waste – External firm today => own

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– External firm today => own installation near DC's (to reduce transport)

Wind energy

• Own wind turbines => Dassenveld and Ghislenghien

• Participation in projects => Ypres =>

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• Participation in projects => Ypres => offshore in the North Sea

Energy from sunlight

• 8,000 m² solar panels on our DC Dassenveld

• Complement to wind turbine

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• Complement to wind turbine

Questions??

Colruyt group

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Questions??