Hellmann extends contract with automation firm

German logistics company, Hellmann Worldwide Logistics, is stepping up its cooperation agreement with Siemens.

Hellmann has held contract logistics agreements with Siemens since 2013.

Starting in November, Hellmann will manage around 26,000 active items for the Electrical Products business unit at Siemens Smart Infrastructure in Bor, Czech Republic. Services include warehouse management, picking and packing and worldwide shipping.

This represents an increase in the contract volume of around 50 per cent. Siemens is transferring another part of its own warehousing to the expertise of Hellmann.

To accommodate the additional volume, the a Hellmann subsidiary will be expanded by renting 6,000 square metres of additional storage space. At the same time, the existing 20,000-square-metre-hall will be optimised by construction modifications, so that parts of the new business can also be handled there.

In order to optimise the flow of goods and supply chain management, Hellmann is establishing a digital warehouse management system for its long-standing customer in Bor. By introducing digital warehouse software that is integrated into the existing warehouse management system, material flows are controlled even more efficiently by means of Artificial Intelligence (AI).

“For seven years now, Hellmann has been a very reliable partner for us, who understands how to meet the complex requirements of our contract logistics in a smooth and qualified manner,” said Andrea Mandler, Head Supply Chain Logistics at Siemens Smart Infrastructure, Electrical Products.

“This also factored into the decision for the current expansion of our cooperation up to 2025, and we are currently considering further joint projects,” she said.

“We are pleased that Siemens AG has not only extended its long-standing cooperation ahead of schedule, but has also significantly expanded it,” said Hellmann Worldwide Logistics Contract Logistics COO, Volker Sauerborn.

“This clearly shows that our tailor-made contract logistics solutions are convincing in the long term and that we look into the future together,” he said.

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