C A S E S T U D Y:
Robert Bosch RETAIL DISTRIBUTION
SUPPLY CHAIN
ROUTING EXECUTION
& Scheduling NORTH
AMERICA
UK
H EL PI N G C US T O M ER S DEL IVER TM
Descartes Transportation
Management
Yields Savings and Enhances Control of
High-Volume Fulfillment Operations at
Robert Bosch
The Customer
Robert Bosch Inc. Canada houses more than 55,000 Stock Keeping Units (SKUs) in its 152,000 square foot
Mississauga, Ontario warehouse facility, each business day shipping 600-700 orders to destinations coast-
to-coast that range from light-weight parcel shipments to full-load tractor-trailer or rail car.
Similar to the size of its orders, shipment contents leaving the Bosch warehouse vary widely and include
automotive aftermarket parts, power tools and accessories, and security systems. The customer profile is
similarly diverse, according to Distribution Manager Chris Dyer.
“We ship to everyone from the corner garage to major automotive retailers, local hardware stores to national
retail home improvement centers,” he says. “For example, a warranty shop might need just a couple of screws,
but if they need them, their orders merit the same level of attention as does a truckload of table saws going to
a national retailer.”
The Challenge
Robert Bosch Inc. is the Canadian arm of the North American Division of the Robert Bosch Corporation,
a Stuttgart, Germany-headquartered international company that employs approximately 250,000
people in more than 50 countries. To deal with its complex distribution matrix of products, carriers and
customer preferences, Robert Bosch Inc. has a sophisticated IT structure. A SAP system houses data for
Bosch, Skil & Dremel power tools, and an IBM AS/400 system services Bosch Automotive and Bosch
Security product lines.
R O B ER T B OSCH
The Problem information were maintained, to the warehouse system, which
executed the receiving, inventory management and fulfillment
Orders download to the warehouse management system
process, and finally to the newly acquired Descartes shipping
(WMS) for fulfillment; parcel-size orders were picked and packed
solution. In this manner, the implementation team was able to
and then rated and routed using a commercial shipping
determine what information was required by Descartes as well
machine. Large orders – the truckloads, less than truckloads
as the types of data that was needed back from Descartes.
(LTLs) and rail car loads – were manually rated and routed, with
paperwork being manually generated.
T h e I m p l e m e n tat i o n
“Over time these procedures became unsatisfactory on several
The Descartes software was installed on a network server and
levels,” Dyer says. “Software support was unpredictable since it
interfaced with the warehouse management system. “This
usually came out of the U.S., which could mean slow response
provided us with a high speed exchange of data between the
times. Information was not readily available to our customer
two systems, virtually real-time,” Dyer says. “Orders drop from
service teams. And, too often, we found ourselves limited to a
the databases into the WMS and, once they are picked and
single carrier for LTL shipments because we did not have an
packed, the data drops automatically into the Descartes
expedient way to source the carrier with the most economical
software for rating and routing according to the customer’s
solution, which would also satisfy our customers’ specific
delivery requirements and cost. Descartes performs these tasks
requirements. It was apparent that we needed a flexible
automatically, verifying customer order numbers, shipment
shipping solution that would accommodate all types of
weights, shipping details, and choosing the most economical
shipments within a single system.”
routing, also providing alternatives if the options programmed
into Descartes are not compatible with customer requirements.”
The Discovery
Once the shipments are rated and routed, Descartes generates
Finding it wasn’t so easy, Dyer says. He researched the available
the shipping labels and carrier bills of lading. All carrier loads are
options and “While some systems may have satisfied some of
manifested daily. Its electronic data interchange (EDI) module
Bosch’s operational requirements, Descartes’ Transportation
enables it to send advance shipping documentation to EDI-
Management (TM) solution, specifically the Pick, Pack and Ship
enabled carriers, and retrieve delivery information back on
module, had the best return on investment (ROI). Based on the
previous shipments that have been delivered by the carrier.
vendor selection and review process, Descartes gave us the
highest confidence level in meeting the implementation target,
T h e R e s u lt s
as well as providing ongoing timely support.”
The efficiencies achieved using Descartes are readily apparent, Dyer
Additionally, Descartes’™ could be acquired economically on an
says. “Descartes can handle all of our shipping needs, from the very
operating rental model, and it met with all of Bosch’s requirements
smallest package to the largest full loads,” he says. “We haven’t
in terms of implementation, flexibility and functionality.
quantified savings at this point, but it is easy to see that they are
significant. We’re through with handwritten documents: Descartes
The Solution
prepares printed, error-free copies automatically and quickly and
The Descartes™ solution is a multi-carrier-compliant enterprise this alone represents a major savings of personnel time.”
logistics software solution that provides efficient planning and
execution of shipping and warehouse activities at touch-points
in the distribution process. Descartes’™ helps support rules-
driven automated routing of Truckload (TL), LTL, small package At this time, the Descartes system is doing
carrier, multi-modal, fleet and messenger services.
everything expected of it, but we’re not finished
Once the Descartes system had been selected, Dyer worked
with Descartes personnel to define the transition program, yet with maximizing the potential of the Descartes
which involved several stages. First, they established and
documented the scope of the project, including a review of
system. We’re currently looking at additional
the entire logistics processes. They identified the steps that modules to make us even more productive.
represented the optimum flow of information from the SAP-
Chris Dyer, Distribution Manager, Robert Bosch Inc.
AS/400 management software, where orders and inventory
T H E D E S C A R T E S D I F F E R E N C E
Descartes is making the world a better place by enabling global organizations with logistics-intensive businesses to save money by improving the productivity and performance of
their operations. As a federated global logistics network, Descartes provides global trade compliance solutions, supply chain execution solutions and mobile resource management
solutions to ~6000 customers around the world. Our hosted, transactional and packaged solutions deliver repeatable, measureable results and fast time-to-value.
Copyright Descartes. All rights reserved. Descartes, the Descartes triangle logo and all product names used are Descartes trademarks unless specifically identified as the trademarks
of a third party.
CS- D RB
© Copyright 2010, The Descartes Systems Group Inc. (800) 419.8495 (NA) (519) 746.8110 (Int’l) [email protected] www.descartes.com Helping Customers DeliverTM