Restructuring of global logistics and spare parts processes

Rising sales in the emerging markets and a stronger customer focus prompted BMW to redesign and modernize its international logistics and spare parts processes. The goal was to accelerate the global spare parts supply and boost the efficiency of all logistics processes at BMW's central warehouse in Dingolfing, Bavaria.

The elaborate concept of the Dynamics Center is the cornerstone for fast, direct and efficient global spare parts supplies.

The construction of the new Dynamics Center in Dingolfing is BMW Group’s most significant Parts Sales project of the past 30 years. Entirely new logistics structures were created on 550,000 m2 of space to ensure a reliable supply to the worldwide dealership network.

Fast, worldwide spare parts supply

io used the results of a data analysis to develop the concept and fine planning of the entire logistics facilities in the new Dynamics Center, and to draft the tender processes for warehouse systems, material handling technology, and operation equipment.

The design is based on flexible processes for spare parts logistics, implemented using an optimal mix of modular racking and conveyor technology as well as integrated, radio data transmission-based IT processes. This mix of automated and manual movements ensures maximum flexibility.

Key Facts

Client

The BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles, and a provider of premium financial and mobility services. The BMW Group production network comprises 31 manufacturing and assembly facilities in 15 countries; the company has a global sales network in over 140 countries.

The challenge

  • Rising sales in global growth markets
  • Increase service level and lead times
  • Increase accessories and spare parts by around 50%
  • Relocation of 70,000 transport containers without affecting the operational spare parts business

Solution

  • Establishment of a central incoming goods and prepackaging center and two additional highly specialized warehouse locations
  • Restructuring of the existing warehouses
  • Improved service levels and increased flexibility
  • Reduction of transport and handling costs
  • New, fully automated high-bay warehouse for faster spare parts throughput time and on-time customer supply

Fully automated high-bay warehouse as the centerpiece of the plant expansion

In its role as planning partner, io helped the Bavarian car manufacturer to expand its plants in Dingolfing and Wallersdorf by around 185,000 m² for spare parts storage.

The heart of the Dingolfing project is the new fully automated high-bay warehouse, which was successfully put into operation at the end of 2020. Around 3,500 tonnes of steel were used to construct the high-bay warehouse. It has a storage and retrieval capacity of up to 150 grid boxes per hour and its connection to the existing electric pallet conveyor is fully automated.

Development of a relocation and monitoring tool

In addition to the conceptual design and implementation of the new logistics locations, io planned and coordinated the relocation and ramp-up. We developed a dedicated relocation and monitoring tool for BMW to control the complex relocation processes. This tool made it possible to move more than 70,000 transport units from nine different warehouse locations within just two years, without affecting the ongoing spare parts operation.