LAURA CASTRO
XYZ Specialist
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Developing a Logistics Planning Strategy to Secure Equipment Necessary for Britishvolt’s Gigafactory
INTRODUCTION
Britishvolt is poised to establish England’s first full-scale battery cell Gigafactory, with Phase One "go-to-market" production targeted for 2024. There is a considerable amount of planning to be done in the leadup to start of manufacturing. The leadership team at Britishvolt has approached HSSMI to assist on several different aspects of planning. In this section, we will look at how the Logistics Planning Strategy was defined.
THE CHALLENGE
HSSMI has led and subsequently supported the logistics planning activity from its initial conception back in 2020 through to today. The project was separated into three distinct phases to match Britishvolt’s business requirements. The types of planning activity have evolved over time as the project developed. The three phases were to:
- Develop an initial Logistics Planning Strategy blueprint;
- Develop the detailed Logistics Planning Strategy;
- Engage with vendors for procurement of capital equipment.
THE APPROACH
Develop an initial Logistics Planning Strategy
This was done with limited known information by applying a combination of logistics expertise and industry knowledge. This would support the definition of the types of equipment and processes required for an efficient operation, thereby enabling stakeholders to understand initial volume, cost, and throughputs impacts.
Develop the detailed Logistics Planning Strategy
This included integration with the manufacturing process, budgeting for capital equipment, manpower planning, and supply chain design. This culminated in early phase layouts, equipment and process assumptions, as well as a plan for every part development, material flow process development and CAPEX / OPEX forecasting. All of these could then be further developed as more information became available.
Engage with vendors for procurement of capital equipment.
This included the creation of tender documentation to support the procurement process, including technical specification for request for information (RFI), request for quotation (RFQ) and a scoring matrix to enable unbiased evaluation. As a result, HSSMI and Britishvolt engaged with the strongest vendors to further refine the Logistics Planning Strategy.
Finally, a discrete event simulation was also created for the Logistics Planning Strategy to demonstrate the resilience of the plan. HSSMI simulated the logistics operations in real time, following the material flow process from goods-in to goods-out, based on working patterns, delivery timings and formats, and process consumption.
THE RESULTS
HSSMI provided Britishvolt with high quality, strategic planning direction and support by looking across key facets of the logistics function – people, process, equipment, time, cost and quality.
People
HSSMI analysed the quantity and types of roles required to support the logistics operation. The focus was on minimising the "human factor” in hazardous areas (Control of Major Accident Hazards - COMAH) and maximising the quality of the roles available, such as skilled maintenance roles for automated equipment, to support Britishvolt’s ESG (Environmental, Social, and Governance) objective.
Process
With regards to material and process flow, the layout of the logistics areas were designed with safety, efficiency and cost in mind. From docks and doors to storage solutions and all the ancillary areas (MHE charging etc.). The process for material flow to production was also mapped, looking at route and equipment utilisation to ensure an efficient, reliable and cost-effective solution was elected.
Equipment
Equipment planning formed a vital part of the Logistics Planning Strategy work. The HSSMI team worked closely with Britishvolt and numerous equipment vendors to scope and plan future equipment installations in the logistics area. This included a significant automated storage and retrieval system, heavy goods lifts and automated guided vehicles.
Time
HSSMI has led the logistics planning development in line with a strict launch timing to allow for production to commence as planned. HSSMI has led the development of the logistics master timing plan to ensure all activities are understood and captured in the overall project timing plan.
Cost
HSSMI have worked with Britishvolt to develop and evaluate various operating models throughout the project. Both capital and operational expenditure have been evaluated for each model to assess payback periods and enable the team to make the correct business decision.
Quality
Key to operational success is product and process quality assurance. HSSMI has worked to ensure that both component and process quality is maintained throughout the logistics process, with a focus on resilience to allow for safe and reliable storage and supply of material into the production process. This is also true for finished product which is moved, stored and shipped to customers as required.
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CONTACT US
Contact us today for a short initial conversation on how HSSMI can help your organisation achieve its strategic goals.
