Case Study:

Background: Haihe Hainuo is a large biotechnology company in China, specializing in the research, production, and sales of biopharmaceuticals and medical devices. With accolades such as "Top Three Enterprises in China's Band-Aid Industry," "China Famous Trademark," and "Enterprise with the Most Innovative Spirit and Development Potential in China's Medical Device Industry," Haihe Hainuo occupies a prominent position in the market. However, facing the growing number of online orders and stringent logistics requirements, its logistics picking operations are encountering increasingly significant challenges.

Drug Traceability and Compliance Challenges: Pharmaceutical products need to strictly comply with regulations such as Good Supply Practice (GSP) to ensure full traceability from storage to delivery. However, traditional manual picking methods often lead to errors in recording and tracking drug information, increasing compliance risks.

High Safety and Precision Requirements: The special nature of pharmaceutical care products requires strict adherence to specified conditions during storage and picking processes to avoid confusion or erroneous operations. The current manual picking methods pose certain safety risks and struggle to maintain accuracy when handling large quantities of different types and batches of drugs.

Efficient Response to Market Demands: The pharmaceutical industry features strong timeliness and sudden demand characteristics, such as disease outbreaks or seasonal disease peaks, resulting in significant fluctuations in orders. Manual picking operations are limited in speed, making it challenging to adapt quickly and meet urgent delivery demands.

Pressure for Fine-tuned Inventory Management: Effective management of pharmaceutical product expiration dates is crucial. Expired products not only incur economic losses but also pose a threat to patient safety. Manual inventory management exhibits notable shortcomings in real-time updates and alerts.

Solution:

Following an in-depth site survey and needs analysis, we recommended Haihe Hainuo to implement a cross-belt sorting machine as a solution.

Project Scale: 290 trolleys, 380 destinations, 10 induction stations.

Implementation Time: From August 8, 2020, to October 18, 2020, the project was completed in 70 days.

Results Displayed: After introducing the cross-belt sorting machine, picking efficiency saw a significant improvement. With an 80% increase in picking speed, the market's demand for rapid delivery was substantially met. The error rate was markedly reduced, with the accuracy rate improving to 99.99%. This ensured every piece of medical supplies was accurately delivered to customers, enhancing customer satisfaction. The introduction of the cross-belt sorting machine reduced labor costs by 30%, allowing the company to better cope with business growth and achieve efficient operations. The efficient logistics picking provided by the cross-belt sorting machine enhanced Haihe Hainuo's market competitiveness, winning the company more market share.