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Logistics & Manufacturing

Case Study

SideUp Reply™ for SGM Distribuzione

FOCUS ON: SCM, Supply Chain Management, Logistics & Distribution, Logistics & Manufacturing,
Customer: SGM Distribuzione

Sideup Reply provides SGM with the software solution, supplied as a service on Cloud Computing, supporting the distribution of electrical appliances on the Italian territory.

The solution supports the whole SGM distribution network, formed of Hubs: Checking in incoming goods, registering matriculation numbers and defects, printing and applying addressee labels, checking out and addressing packaging for end customers.

Introducing the SideUp Hub as a service on Cloud Computing system has allowed for increasing process efficiency and providing visibility on the whole network. The service, since it is also available directly online, has allowed for:

  • Reduced implementation and activation times
  • Minimal initial investment
  • Database always online, offering easy access and consultation.

The Company

SGM Distribuzione, with offices in Forlì, an integral and fundamental part of group Expert-Italia, is the biggest Italian company in the field of distribution of consumer electronics, electrical appliances, gift and household goods. Founded in 1935 by Vittorio Silvestrini, the company has grown significantly, establishing itself successfully in a constantly changing sector. Today, SGM Distribuzione has more than 1900 collaborators, 81 megastores in the retail channel, over 120 affiliates in the distribution channel, an on-line sales channel, a central logistics platform of more than 27,000 m2 and Hubs throughout Italy which take care of home installations. The result is around 14 million items sold every year.

Context

The continuous evolution of the world we live in requires great dynamism when proposing one's business to the market. SGM, ever committed to improving logistic processes both in terms of performance and service, has revised its distributive network to make it more stream-lined and flexible as new distribution needs require. Its investment into SideUp Hub represents the response to the evolution of business, characterised by volume increase and use of a multitude of channels. Large goods, which require installation services at the end consumer, are sent directly onto the network and, in the most efficient way possible, addressed to the consumer.

The solution

SGM has chosen the SideUp Hub solution, part of the SideUp Reply™ software as a service suite. The service is dedicated to the management of operational activities on the platform, where the package is the protagonist , no more the stock, as for example happens in a central warehouse run via a WMS (Warehouse Management System). The plant, normally interfaced with central systems, manages the checking in and out of the goods in transit. The most complete version in addition allows for managing stock which does not follow the pull process.

SideUp Reply™ Hub is enhanced with reporting functions which satisfy requirements regarding traceability connected to receipt, handling and shipping.

SideUp Reply™ Hub is natively integrated with the solution SideUp Reply™ POD (Proof of Delivery), for the management of certification of delivery detected via smartphone APP for Android.

SideUp Reply™ Hub's value

SideUp Reply™ Hub has received full approval from Logistics, Information Systems and business. Logistics received an instrument capable of increasing efficiency and collaborative visibility, translated into a reduction in mistakes connected to information detected in the field (e.g. matriculation numbers and product defects) and to shipped goods.

The Information Systems use the Hub's online database to manage warranties, claims, delivery punctuality, while waiting for SideUp Reply™ POD's activation to certify the correct delivery and installation at the end customer.

The Management, also considering the current economic situation, confirmed the investment which was minimum also thanks to the economic model of the software as a service on Cloud Computing (break-even in just a few months). In short, the value recognised in SideUp Reply™'s service is its reduced activation and training times, contained cost, easy access to the system, limited need for local HW infrastructure and data centralisation on the Cloud.

SideUp Reply™

SideUp Reply™ is the innovative Cloud Computing proposal to increase Efficiency in the logistics chain and provide Visibility on relevant dates and events in real time, stimulating Collaboration between all players involved. SideUp Reply™ is a software solution, or rather a solution as a service, for the management of stock and inventory, warehouse and tracking services before transportation, and operational efficiency in the distribution of products to the end customer or sales points. All services offered are provided by a centralised Cloud infrastructure and can be used via Internet, significantly reducing the overall operating cost. There are no software licenses to be paid nor must servers be bought. There is just one monthly fee on a consumption basis (On Demand). The elimination of these investments and the lack of obsolescence, in terms of the solution as a service, mean reduction in risk and flexibility of costs connected to the actual benefits. SideUp Reply™ allows for optimising operational activities, reducing stock levels, managing the position of goods on the distribution network in real time, on a handling unit level, right up to the final destination. With SideUp Reply™ logistical processes are perfectly integrated with company information systems and automated through the use of both WiFi and 3G mobile devices.

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