Case History


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Fedrigoni Group

Paper, Plastic & Packagin


Fedrigoni is a manufacturing story, rooted in the ancient master papermakers of Verona: since 1888 they have been converting paper, engaging in innovation, and constantly investing in technology and expertise, which allows them to offer their solutions worldwide.

Fedrigoni is today a synonym for excellence in specialty papers for graphics, art, publishing, printing, packaging, security, and the self-adhesive materials market.

They operate guided by the approach of "Making Progress," making a concrete commitment to continuous, daily improvement, redesigning the way they do things, collaborating with the entire ecosystem in which they operate to achieve real sustainability.

They work on materials, enhancing their beauty, elevating creativity.

This is the privilege they love to share with their clients: giving body to ideas.

Products:

TMS

TMS

TRANSPORTATION MANAGEMENT SYSTEM

Software for controlling transportation costs.

Logistics Experience - Fedrigoni Group

Interview with Mario Naldini and Massimo Perbellini

NUMBERS

The numbers of Fedrigoni

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Fedrigoni is synonymous with excellence in specialty papers for graphics, art, publishing, printing, packaging, security, and the self-adhesive materials market.

PRODUCTS

FACILITIES

REACHED COUNTRIES

BILLIONS TURNOVER

PEOPLE

In the world of paper mills, Fedrigoni represents a unicum: it is both a manufacturer and a distributor and makes customer centricity its mission. 

In order to put customer needs at the center of its distribution strategy, supply chain efficiency plays a key role: this is why the Fedrigoni Paper business unit has chosen the software Controller for transportation cost control.



Fedrigoni Paper has a delivery structure branched throughout Europe. 

The logistical complexity depends on the company's choice to offer a customized and widespread distribution service directly to the end customer. 

The strategy adopted is the planning of a high number of small deliveries.  




The distribution system:

  • thousands of shipments per day;
  • goods shipped each month: approx. 30,000 tons;
  • individual order capacity: 200-400 kg;
  • transportation costs: millions per month;
  • delivery addresses: tens of thousands.

NEEDS

While in the production area expenses and profit margins are easily identifiable, the complexity of Fedrigoni's distribution structure makes the management of transportation costs far more complicated.

The first approach to the use of a TMS was through the Transportation module of its SAP management software, but this proved to be too rigid and difficult to adapt to the company's needs.


This allowed Fedrigoni to identify the need for a more advanced tool specifically created for cost control.

GOALS

Fedrigoni's goal was to implement a dedicated tool to control transportation costs for each individual shipment, integrated with its information systems, to be able to: 

  • calculate the actual end-to-end margin of the individual order;
  • build a customized delivery service based on customer segments.

"We chose Replica Sistemi's Controller software because of its reliability, because Replica Sistemi is already the TMS supplier of our logistics partner par excellence, so we have identified possibilities for integration that we will certainly develop."

 - Massimo Perbellini, Head of Production Planning, Supply Chain & Logistics Fedrigoni Paper

ANALYSIS PHASE

The in-depth internal analysis developed by Fedrigoni before the project began was an important element in its success.


"The analysis phase for the introduction of Controller in Fedrigoni was, in my opinion, the most important part of the project and the key to its success. We had already developed a thorough analysis, so from that point of view we were more than ready." – Massimo Perbellini


The project was carried out by three players: 

  • Replica Sistemi for the Controller part; 
  • the logistics department for the analysis;
  • internal information systems for the interface development.


The creation and accounting of shipments are done through SAP management software. 

Cost calculation was unbundled to be carried out by Controller.


An essential aspect was the development of a very robust dialogue interface in terms of reliability and volume of data transmitted. 

  • The outbound interface sends data related to logistics: transport, transport content, type of trip, type of vehicle, supplier, etc.
  • The return interface sends the cost-accounted values from Replica Sistemi to SAP.

SPECIAL FEATURES

A transportation costing system must be based on a solid geographic data base.

In parallel with the project, Replica Sistemi carried out a normalization of order destination addresses using Bing search engine mapping.

The nearly 20,000 addresses of Fedrigoni's customers were converted into a list standardized by spelling, unambiguous and easily traceable.

TIMELINE

Thanks to extensive prior analysis work, project development was completed in only two months, and the go live went smoothly in mid-December 2022.

Initially, a limited number of trips related to one carrier were submitted to the Controller software; the data volumes and software functions are still being phased in. 

This ensures constant control and data quality.

ADVANTAGES

The main results noted a few months into the project are:

  • enrichment of the quantity and quality of data available;
  • speed and simplification in invoice management.

Other benefits include the ability to detect errors and anomalies in invoices and monitor expenses with greater accuracy.

"Fedrigoni Paper is continually expanding both in size, complexity, and market penetration: it is clear that we will increasingly need a reliable supplier for software related to transportation costs and beyond, so this project bodes well for all future relationships with Replica Sistemi."

- Massimo Perbellini

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