New distribution center: BASF invests 20 million euros

24-May-2002

- Increase in plant logistics effectiveness and efficiency - Reduction of truck traffic by 8 percent

Münster, Germany. BASF Coatings AG increases the efficiency of its plant logistics at the Münster-Hiltrup site by investing about 20 million euros in the construction of a modern distribution center with an integrated high-bay warehouse. The first sod will be turned in September 2002, and the building is planned to be completed by the end of 2003. Approximately 12,600 tons of finished products can be stored on 30,500 pallets in the T-shaped building which will be 30 meters high, 117 meters long and 47 meters wide. The annual throughput will amount to about 100,000 tons of non-bulk goods, which means that approximately 2,000 pallets will be moved about daily. Due to the fact that three reserve warehouses located in Hiltrup, Nottuln and at the harbor of Münster will not be used any longer after the construction of the new center the current number of truck transports will be reduced by 8 percent. Münster's citizens will experience a significant decrease in the impact by road transportation, and BASF will be able to supply its customers much faster than before.

The new distribution center comprises two areas: the high-bay warehouse and the order-picking and loading zone. Different finished coating products are delivered from the fully automated high-bay warehouse to customers all over the world, including automotive OEM coatings, automotive refinish paints and industrial coatings. The high-bay warehouse functions fully automatically during the insertion and extraction of the pallets. These fully automated working steps are controlled and monitored by a measuring and control center. In the order-picking and loading area, too, the company implements innovations, for example with respect to small batches where the new principle is "goods to man" and no longer "man to goods". This way, the employees avoid long distances and save working steps. They only have to prepare the ready-to-deliver pallets according to specified packing patterns. As a result, 38 customer orders can be processed at the same time. In future, 62 employees will be working in two shifts at the new center, and further 15 employees will be working in the MRP section.

Far-reaching environmental protection measures

Safety, health and environmental protection are very important aspects with respect to the construction and operation of the new building. It will be equipped with special safety devices, one of which is unique in the chemical industry worldwide. The warehouse is protected from fire by so- called permanent inerting, which means that this building contains only 13 percent oxygen instead of the usual 21 percent. In this atmosphere, every open flames will be extinguished immediately. At the same time the employees are not exposed to any health hazards: From the industrial medicine's point of view, they may perform maintenance work for up to two hours in the warehouse without wearing respiratory equipment.

A sprinkler system prevents a fire from breaking out in the order-picking and loading area. Additionally, the air is exchanged twice every hour to avoid the generation of an explosive air composition. The warehouse will also be reliably tight: The entire building will be erected on a reinforced concrete slab. Underneath, an impenetrable, long lasting special sealing foil will prevent the surrounding soil from getting contaminated. Moreover, it is ensured that the neighborhood will not be irritated by additional noise caused by the new high-bay warehouse. The loading area will be positioned on the site in such a way that the noise cannot be heard outside the plant.

Clearly structured schedule: Operation starts at the end of 2003

The area between the resin production plant, the recycling yard, the "Glasuritstrasse" and the canal was cleared from the end of March till April to prevent birds from nesting there. The responsible supervisory bodies of BASF in Ludwigshafen decided to give the go-ahead a few days ago. The approvals of the relevant authorities, for example, of the "Bauordnungsamt" (German building regulations department), the "Staatliches Amt für Umweltschutz" (German state department for environmental protection) and the "Untere Wasserbehörde" (German public water department) are expected by the end of July 2002. The invitation of tenders for the individual jobs are being prepared. The orders are expected to be placed at the end of July. During the construction period, which will start in September 2002, BASF Coatings reckons with additional truck traffic as usual for building sites - even on Saturdays. BASF therefore would like to ask its neighbors for understanding for this limited period of construction. The new high-bay warehouse will be put into operation at the end of 2003.

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