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Transmed Beirut, Lebanon
Background

Transmed is a leading regional distributor offering turnkey solutions across 13 markets; from supply chain, logistics, distribution, to sales and promotions and quality execution. Established in Lebanon in 1946, Transmed offers a broad catalog of household and personal care products and has also expanded to the distribution of food products.

The cornerstones of Transmed’s warehousing operations have been two separate facilities, for the storage of food and non-food products, located in Choueifat and Mkalles (Lebanon), respectively. However, the firm recently concluded that the Choueifat warehouse offered superior conditions for non-food products:

Its location offered logistical advantages. The non-food market typically displays a faster growth, and the Choueifat plot of land offered more space to accommodate the growing operations, as well as future expansion opportunities. While the facility in Mkalles offered necessary space for the food products.

Transmed planned to exchange the locations of its warehousing operations, but doing so without disrupting normal work activities represented a significant challenge. The difference in storage requirements between both product types (food and non-food) also meant that facility modifications would be necessary.

In particular, the Choueifat facility presented the following technical challenges:

Space Optimization
Dismantling & Reassembling

Dismantling 8,000 pallet racks and reassembling 21,000 pallet locations without disrupting warehouse operations or 3rd parties involved, and taking into consideration a restricted time frame due to seasonality and weather conditions

Inventory Control
8 Meters Underground

A 13,000 sqm facility, divided into two earth levels, one of which is at 8 meters underground, reaching a clear height of 21 meters; which requires lifting equipment

Solution

Due to the challenging nature of this project, Transmed contacted SPAN to analyze their requirements and present a solution that could be implemented whilst the operation was still running.

The close relationship and positive coordination with the Logistics Team allowed SPAN to accurately analyze the inventory and turnover requirements of the different SKU categories.

Taking into consideration each product’s storage condition and the overall storage matrix, as well as operational and material handling requirements, SPAN delivered a warehousing solution encompassing separate systems:

  • Drive-in Racking
  • Selective Racking
  • Mobile Racking
  • Push-Back Pallet Racking
  • Mezzanines
  • VNA (Very Narrow Aisle) Racking
  • Picking area
  • Semi-automated system of conveyors and lifts
Results Obtained

The project plan had minimal impact on Transmed’s operations and included four days of downtime for the final installation, but with all entities working closely together, a smooth transition was achieved with an interruption of only two weekend days.

After implementation, the storage solution delivered by SPAN offered the following benefits:

  • A reduction of Transmed’s rental expenses through the consolidation of storage space.
  • Allowing SKUs to be handled with less movements thanks to the overall layout and operational flow of material.
  • A dedicated picking area which increased productivity by 30%
  • Efficiency increased by 15% with regards to the material handling operation
  • The solution offered enough capacity to accommodate the predicted expansion for the next five years.

 

“At Transmed we have a long history of success with SPAN, and consider them one of our key business partners. SPAN has consistently met our requirements, in terms of both quality and service, and regardless of how demanding a project may be,” said Mr. Saleh Al Gharib, Logistics Manager at Transmed.

“SPAN offers high quality, competitive prices and added value. They are not rack vendors; they make an effort to fully understand your business, and provide an optimal solution. Their team members are highly motivated and collaborative, and we consider them to be not only business partners, but also friends.”