Lago Cold Storage
Microlistics enables growth for Lago Cold Stores
The Company – Lago Cold Stores is an innovative, family-owned and operated business established in 1966. Now one of Queensland’s leading 3PL cold storage organisations, servicing multi-national and national companies like SPAR, Hungry Jack’s and McCain’s via 30,000 pallet spaces in both chilled and frozen environments, Lago specializes in Temperature Control, Lot/Batch/Date management for more than 1500 SKUs and distributes across metro Brisbane and regional Queensland.
The Challenge – Lago needed a new WMS to support growth. The company’s previous system presented multiple points of failure and day to day critical functional support became difficult. The previous system was also over-reliant on specific individuals and limited Lago’s ability to bring in new business.
The Solution –
Microlistics’ industry leading Warehouse Management System was selected in 2013 and is now utilised by Lago for more than 25 customers to manage inventory based on temperature, date, lot, and expiry from inbound, storage, replenishment, incubation through the blast freeze to value added services. The solution currently manages approximately 900 pallets in/out per day.
Lago also utilises Microlistics’ inbuilt labour monitoring capability to ensure accurate billing across its customer base. WMS not only tracks traditional direct processes such as receiving, put-away, picking and dispatch but also allows for value added service, kitting, light manufacturing, etc.
In selecting its WMS, Lago did look at other providers but the Microlistics solutions was chosen because of its flexibility and speed to market, which has provided Lago with the ability to offer new services to customers and ‘stay in front’ of their requirements.
The Results – Microlistics WMS allows Lago to control what is happening at the warehouse at all locations across all the inventory in real time. It has allowed Lago to simplify management from receiving to dispatch with a full audit trail in between.
An added benefit has been the ownership of the solution across the Lago team. Fear of technology was real but Lago was fortunate to have the right skills and culture match in-house and with the Microlistics team. This was significant in providing a seamless transition, up-skilling new employees and positively impacting the workforce from the administrator to the supervisor.
“It was a great opportunity to give the younger ones in our business ownership of the system and we’re really starting to see the benefits of this now.” said Steve Johnstone, General Manager, Lago Cold Stores. “We didn’t have any lost days.”
“The support staff I had were excellent…” said Ambrose Killian, Transport Manager, Lago Cold Stores.
Streamlined processes boosted employee morale. Interactions with employees and customers became simpler and the added flexibility and scalability has positioned Lago to grow another 10,000 to 15,000 pallets.
Full transparency despite significant growth in volume has provided better customer service however, due to the WMS’ ability to consolidate tasks and effort, Lago was able to optimise labour to cut down hours and consolidate shifts providing hard time and cost savings.
“The system has put us in a great position to grow our business. There were a range of benefits that have really helped us out. It’s a very cost-effective solution and that was one of the big drivers. Here at Lago we are very mindful of our costs. We need to scrutinize everything to ensure we’re supplying attractive services and cost models to our customers,” said Johnstone.
“Lago was ahead of the curve. Steve saw that implementing a big solution would slow them down so the emphasis was on agility, flexibility, cost and speed. As planned, we achieved other target benefits as we progressed. This is where we play best. There is no time for a three year ROI these days and we’re honoured to count Lago Cost Stores as long-term partner,” said Mark Dawson, CEO, Microlistics.
About Lago Cold Stores
Lago Cold Stores is a leading Australian 3PL Cold Storage Service provider dedicated to providing innovative solutions to customers. Visit www.lago.com.au to learn more.
Established in 1994, Microlistics is an innovative and industry-leading Warehouse Management Solutions company headquartered in Melbourne, Australia. Microlistics has solved warehousing for small local companies to large multi-site, multi-brand, multi-channel international companies across Australia, Middle East, SE Asia, China, USA, Canada and Europe. Its award-winning WMS solution, a single product, has successfully been deployed across multiple market verticals from Enterprise, Chilled, 3PL, to WMS Express – its pre-configured, rapid implementation solution. Microlistics is recognised by global analysts as a leader in WMS and is included in the Gartner Magic Quadrant. Microlistics is a part of the WiseTech Global group. Visit http://www.microlistics.com.au/ to learn more.
Vice President, Sales – APAC
+61 419 367 653