10 august 2009
New features of the warehouse management system at the Tsaritsyno
GMCS and IT-Box announce the completion of the project for the development of an automated distribution management system at Tsaritsyno.

The Tsaritsyno Brand Trading House is part of the Tsaritsyno group of companies, which specializes in production and sales of meat produce and supplies products to 340 cities in Russia and the CIS.

The main goal of the project, that GMCS and IT box were asked to accomplish, was to create a single information space with a centralized management system and a unified responsibility centre based on  Microsoft Dynamics AX. The previously established complex for the automation of the distribution centre at Tsaritsyno BTH consisted of several integrated information systems, where Microsoft Dynamics AX accomplished operative warehouse management tasks (allocation, addressed storage, logistics inventory, execution times control etc.).

In 2008 began the process of reorganizing the business of Tsaritsyno BTH, which required reconsideration of the existing automated management system. In order to achieve full-scale operation the decision was made to expand Microsoft Dynamics AX functionality with new possibilities of acceptance and shipping of goods at the distribution centre with account of the product bar-coding and full tracing methodology, as well as automate previously untouched business processes. The warehouse management automation project also involved minimizing the amount of manual operations, ensuring that information on product storage and delivery is received correctly and on time, increase the volume of stored products thanks to accurate information from the system being received in time.

In order to implement the project Tsaritsyno BTH hired two IT-consulting companies:

  • GMCS, which has been working with the Tsaritsyno group for over 10 years. In particular GMCS previously conducted a project of creating a production management information system for the Tsritsyno meat-processing plant and a project for the automation of a new modern Tsaritsyno BTH warhouse based on Microsoft Dynamics AX.
  • IT Box, which specializes in information technology project management and warehouse and logistics optimization services, and possesses a great deal of experience in management automation based on Microsoft Dynamics AX in large distribution warehouse centers.

According to Sergey Kotov, IT Director at Tsaritsyno BTH: "The experiment of involving two consulting companies in a project was a result of the need to lower the project's possible risks and guarantee a positive outcome. I think this approach paid off. As a result of the project we received a management information system that fully satisfies our current needs. Tsaritsyno BTH is to date unrivaled in terms of the level of warehouse automation, hence giving us a substantial competitive edge."

As part of the project GMCS and IT Box specialists ensured the possibility of maintaining all distribution operations in a unified Microsoft Dynamics AX-based information system with account of the current delivery methodology. Interfaces with weighing equipment were configured, as well as an interface for obtaining data on planned product deliveries from suppliers and producers to the warehouse. At the same time addressed storage algorithms previously introduced by GMCS were retained. Currently data obtained from product package bar-codes is automatically fed into Microsoft Dynamics AX, thus significantly simplifying the acceptance, shipping and inventory control of products.  As a result of shipping process automation with full shipping documentation the work of warehouse personnel is greatly simplified and allows for much quicker order processing.

Based on the logic of warehouse storage and the particularities of work with products sold by weight the companies' consultants ensured the possibility of accounting for weight losses due to storage and transportation, accounting for product returns from clients and to suppliers, additional product marking for network clients. A delivery route functionality was also introduced with a possibility of tracking product movement along the delivery route. The renewed system also ensures the possibility of transportation service pricing, conducting payments for rented transport, accounting of planned and actual shipments.

In terms of finance management GMCS and IT Box consultants solved the task of operative receivables and payables monitoring, products VAT accounting with a possibility of forming sales and purchase ledgers in the system.

The renewed Tsaritsyno BTH automated warehouse management system is currently being operated in working mode and at full sales volumes, which means over 700 different product types. It is planned that the client's unified management system based on Microsoft Dynamics AX will also solve forecasted planning and pricing tasks.

About Tsaritsyno

Tsaritsyno Brand Trading House is a member of the Tsaritsyno Group together with three meat processing enterprises, namely, Tsaritsyno Farmstead, Agrofirma Blue Mink. Tsaritsyno Group's distribution network unites eight company trading houses, and a network of trade agencies, food stores, and a network of trade agencies in various regions of Russia. Tsaritsyno Company is a dynamically growing business. In the recent years, the Russian Union of Manufacturers and Entrepreneurs has been giving Tsaritsyno Group a special Steadily High Results Award.

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