Case Story: Brødrene Dahl A/S
Enhancing Supply Chain Efficiency with RFID Technology
Discover how Brødrene Dahl tackles costly mis-shipments by automating shipment validation with RFID technology — cutting errors, streamlining operations, and boosting customer satisfaction.
Brødrene Dahl Optimizes Logistics with Advanced RFID Technology
In an era where supply chain operations are becoming increasingly complex, the need for precision, efficiency, and reliability in logistics has never been more critical. Brødrene Dahl (part of Saint Gobain), the largest wholesaler of plumbing, water, and sewage solutions in Denmark, understands this challenge deeply. Serving over 10,000 customers and managing a vast inventory of approximately 38,000 stocked items across 53 stores, Brødrene Dahl is committed to delivering timely, accurate shipments that are essential to its customers’ operations.
To maintain its high service standards and ensure operational excellence, Brødrene Dahl has turned to Lyngsoe Systems for a comprehensive logistics solution. This solution leverages advanced RFID technology, incorporating both hardware and software elements, to enhance shipment tracking and operational efficiency at their warehouses in Denmark.
The Challenges: Ensuring Timely and Accurate Deliveries
Modern logistics operations face significant challenges due to manual tracking and error-prone shipment validation processes, which often cause delays and inefficiencies in the warehouse. These issues increase operational costs and impact customer satisfaction — critical factors for any distribution business. Although Brødrene Dahl has been strong in delivering shipments on time, it aimed to achieve near-perfect accuracy by eliminating the small fraction of remaining errors. RFID technology offered the precision and efficiency needed to unlock new levels of performance with a compelling business case.
When Near Perfect Isn't Enough: The Drive to Eliminate the Final 0.1%
Manual tracking and validation were no longer sufficient to meet customer demands. Errors, misrouted shipments, and delays affected Brødrene Dahl’s ability to consistently deliver the right products on time.
Operating one of Denmark’s most advanced warehouses, Brødrene Dahl handles around 7,000 daily shipments within a uniquely tight order-to-delivery window — customers can order as late as 6 PM and receive their goods by 7 AM the next morning. While their current error rate is impressively low at under 0.1%, this still results in roughly 1,000 misrouted shipments annually, highlighting their ambition to virtually eliminate these errors.
"Our goal is to get as close to zero wrong deliveries as possible. Even though our margin of error is less than one per thousand, it adds up when you have as many daily shipments as we do. On an annual basis, we have around 1,000 cases where we can’t deliver to customers because the goods have gone to the wrong place. We want to avoid these, because it’s not satisfactory for our customers when we don’t deliver as promised,” says Søren Bjergegaard Christensen, Logistics Development Manager at Brødrene Dahl, adding
"We usually solve the problem with a quick delivery or a next-day delivery, but this is, of course, associated with a number of extra costs and is only the second-best solution for customers. With the new logistics system, we expect to hit the mark with our deliveries every time.”
A Customized RFID Solution for Error-Free Logistics
"RFID is not new, but we are going live with a new application. We get a fully automated setup that supports our conditions and processes perfectly. We’ve wanted a system for several years and have been waiting for a solution with mature technology, and now it’s here. We run one of the most modern warehouses in Denmark, and it has been a tough nut to crack, which Lyngsoe Systems has been very good at helping us with — both in terms of identifying our needs and putting together a solution that fits into our operations," says Søren Bjergegaard Christensen.
The RFID-based system automatically scans all shipments at key loading areas. If any shipment is accidentally sent to the wrong distribution center, the system immediately triggers alarms to prevent costly delivery mistakes before trucks depart. Previously, errors were addressed with expedited re-deliveries (“quick deliveries”), incurring additional operational costs. The new solution significantly reduces these costly corrections and optimizes overall logistics efficiency.
Together, these improvements reinforce Brødrene Dahl’s leadership in logistics, enabling them to consistently meet high customer expectations with precision and reliability.
The Solution:
A Turnkey RFID Solution
Lyngsoe Systems provided Brødrene Dahl with a tailored, cutting-edge RFID-powered solution designed to automate and streamline their logistics operations. At the heart of this solution is Lyngsoe Systems’ Automated Validation Station™ (AVS), a system powered by Lyngsoe LIVE Logistics™ that incorporates passive RFID technology. The AVS system is integrated into key logistics locations at Brødrene Dahl’s Danish Warehouse, automating the validation of shipments by scanning RFID-tagged items embedded in colli labels.
The system ensures that shipments are scanned and validated automatically before they are loaded onto trucks, drastically reducing the risk of errors associated with manual tracking. If any discrepancies are detected, AVS instantly triggers an alert, ensuring that only correctly validated shipments are dispatched. This proactive approach allows Brødrene Dahl to efficiently manage potential disruptions in real time, enhancing the overall reliability and transparency of the supply chain.
The infrastructure supports Brødrene Dahl’s goal of improving operational efficiency, reducing costs, and ultimately strengthening its customer relationships by ensuring faster, more reliable deliveries.
"We have delivered RFID-based logistics systems to many industries, and Brødrene Dahl are at the forefront of their field. They are extremely skilled, and we have clearly felt their ambition and dedication to the project, even if it’s only about finding the last error percentage,” says Christian Hammershøy, Senior Sales Manager at Lyngsoe Systems.
Delivering Value: Operational and Customer Benefits
The partnership between Brødrene Dahl and Lyngsoe Systems is more than just a technological upgrade — it’s a comprehensive solution designed to deliver both internal and external benefits.
- Increased Operational Efficiency: By automating shipment validation, Brødrene Dahl can streamline its logistics operations. The enhanced workflow results in fewer errors, faster processing times, and smoother operations within the warehouse.
- Cost Savings: With the reduction of misrouted or lost shipments, Brødrene Dahl can cut costs associated with re-shipping and returning goods. The automation of tracking processes also minimizes labor costs and the time spent managing logistics manually.
- Improved Customer Experience: The real-time visibility provided by the RFID system enhances the customer experience by ensuring that shipments are not only accurate but also delivered on time. By delivering faster, more reliable deliveries, Brødrene Dahl can strengthen customer trust and loyalty, crucial elements in a competitive marketplace.
- Scalability and Future-Proofing: The solution is designed to scale with Brødrene Dahl’s growing operations, ensuring that their logistics infrastructure remains agile and capable of meeting the demands of an expanding business. With the ability to automate key processes, Brødrene Dahl is better equipped to adapt to future challenges and customer expectations.
Looking Ahead: Continuous Innovation
The RFID solution is expected to be fully implemented in 2025, marking a significant milestone in Brødrene Dahl’s journey toward operational excellence. By embracing RFID technology, Brødrene Dahl is not only improving its internal logistics processes but also setting new standards in the distribution industry. The combination of automated validation, real-time shipment tracking, and improved supply chain efficiency ensures that Brødrene Dahl can continue to meet the high expectations of its customers while optimizing internal operations.
"As a supplier to market-leading companies such as Havi Logistics, BoConcept, and XXL Sport, we clearly see the same trend. If you want to achieve your strategic goals for both cost and quality in logistics, investing in technology is no longer a choice, but a necessity. As Brødrene Dahl shows, you have to embrace technology – otherwise it will be difficult to keep up in an increasingly competitive market,” ends Mr. Michael Vistisen, CEO at Lyngsoe Systems.
Lyngsoe Systems’ comprehensive RFID-based solution is more than just a technological advancement; it is a transformative tool that helps Brødrene Dahl meet the complex challenges of modern logistics. By automating shipment validation, Brødrene Dahl is positioned to provide a higher level of service to its customers, driving loyalty and trust. This collaboration between Brødrene Dahl and Lyngsoe Systems exemplifies how embracing advanced technology can deliver tangible business benefits, both internally and externally.
For more information about Lyngsoe Systems and its logistics solutions, visit www.lyngsoesystems.com/logistics. To learn more about Brødrene Dahl A/S and its distribution services in Denmark, visit www.bd.dk.
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