MGL METRO GROUP Logistics is the logistics services and competence centre of METRO GROUP
. Via its distribution and procurement logistics networks, MGL controls the merchandise flows of the METRO GROUP sales lines Metro Cash & Carry
, Real, Media Markt and Saturn as well as Galeria Kaufhof. The range of products handled by MGL's warehouses and platforms in Germany comprises some 20,000 different items in the categories fresh, frozen and dry foods and several hundred articles in the categories fruits and vegetables, fresh fish and non-food. cbi:///cms/12250
In addition to its standardized solutions for procurement - , warehousing - and distribution logistics, MGL offers customized extended logistics services such as the worldwide selection and purchase of fresh fruits, vegetables and plants, international transport networks, import- and export-related services, and consultancy with regard to optimised logistics structures and supply chain processes. cbi:///cms/105903
The logistics company of METRO GROUP
consists of two legal entities with about 3,300 employees. The entity MGL METRO GROUP Logistics Warehousing GmbH
is registered in Sarstedt and is responsible for MGL’s warehousing and distribution activities in Germany. The entity MGL METRO GROUP Logistics GmbH
, located in Düsseldorf, provides the procurement logistics systems in Germany, Austria, Switzerland and Benelux, and manages all international logistics services of MGL. cbi:///cms/139728
Since 1995, MGL's proprietary Procurement Logistics concept has been an important pillar for the success of the company. MGL takes charge of picking up from suppliers the goods designated for METRO GROUP
sales lines and bringing them directly to the respective stores. Delivery is usually made to the stores within 24 hours after pick-up, eliminating the need for interim storage. This strategy reduces the amount of stock that must be kept in the stores as well as the associated stock-keeping costs. In addition, the number of ramp contacts in the stores declines, yielding further savings for the sales lines. cbi:///cms/12260
Besides commercial success, MGL's concept shows a positive ecological balance. This aim is achieved through dramatically fewer kilometres per freight ton, nearly fully utilized trucks, minimization of empty runs and drastically reduced detention times. cbi:///cms/105905
In order to cope with complex and extremely demanding logistics challenges, MGL works with selected outstanding logistics service companies which provide a capable transnational transport network with their own hubs. The overall volume of the transports handled through MGL's Procurement Logistics in Germany, Austria and Switzerland amounts to around 5.7 million shipments per year from approximately 4,100 suppliers. cbi:///cms/12264
Central warehousing and distributioncbi:///cms/12267
For Break-Bulk Cross-Docking (BBXD) supply channels, the supplier first completes order picking for shipment to pre-defined logistics platforms. At these locations, fine order picking is carried out according to the stores, as well as the direct delivery to METRO GROUP
sales division locations. For central storage and distribution, as well as the BBXD delivery, MLG is also responsible for dispatching goods, quantity control, quality control and invoice control of deliveries, in addition to the removal of reusable containers and recyclables. For sales divisions, the most important benefits are: cbi:///cms/12268
IIn Germany, MGL performs the central warehousing function for METRO GROUP
sales lines Real, Metro Cash & Carry
and Schaper. Services within the central warehousing function include the procurement and planning of merchandise, checking quantities, qualities and invoices when goods are received, the storage of products for the sales lines, the picking of orders on store level, and the transport of the merchandise to the stores. In 2010 MGL's own truck fleet drove some 22.2 million kilometres, which is the equivalent to 29 times the distance to the moon and back. cbi:///cms/105908
Among the advantages of central warehousing for the sales lines are more favourable purchase prices through the bundling of orders and shipments, stock reduction, the possibility of ordering even the smallest quantities and receiving them at short notice, and the savings achieved through the optimisation of the process chain. Close cooperation with the manufacturing industry, supported by the increased use of electronic data exchange, guarantees the high service level. cbi:///cms/12273
During the past several years MGL has continuously extended its service portfolio. While providing customized services and logistics solutions, MGL supports the target-group-specific strategies of the sales lines, such as fresh food promotion programmes and the store-brand business. cbi:///cms/12275
Selected examples of MGL’s extended logistics solutions:
- Responsibility for the worldwide selection and purchase of the assortment "fruits and vegetables" (MGL Fruchtunion): in addition to taking charge of logistical handling and assuring the defined product-specific quality parameters within the fruits and vegetables platforms in Germany, the company also buys fresh fruits and vegetables as well as flowers and plants all over the world for the German food-driven sales lines.
- In the heart of Germany, in Groß-Gerau, MGL runs a modern and efficient logistics centre for the handling, quality assurance and bundling of Metro Cash & Carry’s fresh fish assortment. The centre supplies some 250 tons of fresh fish per week to MCC stores in Germany, Austria, Switzerland, Czech Republic, Slovakia and Hungary.
- MGL provides an international transportation network and supports the import and export activities of the sales lines with a wide range of logistical and administrative services.
- As requested by the sales lines and the management board of METRO AG in 2009, MGL has built up a small team of experienced consultants. The consultants support the sales lines with solutions and activities regarding logistics and the optimisation of the supply chain.