Basically, Shell had two major options to reduce the
complexity in their production and storage process and
hence also reduce the lead times to the final customer. They
could either expand their storage capacity in Wilton or give a
newly developed concept a chance. Due to the high required
investments and limited flexibility of an increase in storage
capacity1 Shell decided to create a new concept jointly with
a Logistics Service Provider.
After receiving Shell's request Bertschi developed a clear
idea of approaching the problems Shell was facing. The
proposed concept envisioned the direct loading of the finished
goods from the production tanks into tank containers 24/7.
เท order to create the operation processes more efficient, it
was important for Bertschi's concept to fill the chemicals
produced by Shell in transportable tank containers and
hence enable effective mobile storage. Eventually, the tank
containers are either delivered directly to the customer or
stored according to the build-to-stock principle, if there is
no connection to a current customer order. To enable a quick
response to short notice customer orders, a safety-stock of
28 transportable units is always maintained.
Despite this safety-stock1 the overall inventory was decreased
by more than 35 percent. เท order to further accelerate the
loading1 Bertschi invested in the training of their drivers.
They were trained to self-load their vehicles. This investment
accelerated the loading on the one hand and sensibilised the
drivers for problems occurring at the operational interface
between the two companies on the other hand. Furthermore1
the self-loading of the vehicles created the opportunity
for Bertschi to gain Shell's trust since their drivers would
actually take over another1 highly responsible, step in Shells
operations.
เท order to realise their concept, Bertschi had to acquire
a new site. เท order to respond quickly to short notice
orders and/or changes in Shell's production plans, this site
needed to be close to Shell's site in Wilton. Hence, Bertschi
decided to acquire a site in Teesside. To ensure smooth
operations1 this site had to meet all relevant health and
safety standards1 as well as the legal conditions, of course.
Since Bertschi had to conduct an investment of several
million Euros, it was essential to have the security of a long-
term contract between them and Shell.