Logistics project

Our collaboration with Knorr-Bremse began more than 15 years ago, when we took over in-house handling at the Munich plant and set up an external warehouse. Knorr-Bremse's new distribution centre is located close to its manufacturing plant, which allows us to optimise the supply chain. The Geis Group has a long-standing business relationship with Knorr-Bremse, that is why we were awarded the contract for it.

"Our longstanding cooperation and partnership with Geis as well as our trust in the company and the people involved played a part in the awarding of the contract," says Thomas Rappl, Head of Supply Chain Management at Knorr-Bremse Systeme rail vehicle systems.

BUILDING IN A PANDEMIC - THE CHALLENGES OF QUARANTINE

Preparations for the project started in early 2021, in the middle of the closures due to the coronavirus. "Whether in relation to starting the company, finding a building or recruiting staff, we faced huge challenges at every hurdle because travel was virtually impossible," says Erik Lassen. Together with Joannis Tsilivarakos, he is the Managing Director of Geis Logistics Hungary. "Despite all the obstacles, so far we have been able to implement our plans. Among other things, we have already signed the lease for a suitable logistics centre," explains Joannis Tsilivarakos.

The new building is currently being built in a logistics park on the Budapest motorway ring road next to the airport. It is located just 17 kilometres from the production plant and over the next two years we will create 100,000 square metres of logistics space, of which 15,000 square metres will be used initially. To optimise material flow, we have installed conveyor belts for smaller parts and industrial lifting and crane systems for heavy goods, as well as a semi-automated narrow aisle loading system that automatically guides forklift drivers to the next loading point using a navigation system.

Comprehensive tasks

From the warehouse we will supply several production plants and ship goods to customers all over the world. Our tasks will include the following:

Goods inwards from external suppliers. We will ensure 100% inventory control and randomly check the material quality for dimensional accuracy, surface condition and pressure resistance.

• Storage, commissioning and, if necessary, consolidation of complete systems.
• Packing of the goods – including special packing for air and sea freight.
• Goods outwards for worldwide shipping, for example to Asia and North America.
• Customs and returns management.

We took over these tasks as soon as we started, and on average we have around 140 people working 5 days a week in two shifts, directly in Knorr-Bremse's warehouse management system.

"We are delighted that Knorr-Bremse has once again placed its trust in us," says Dr. Johannes Söllner, Managing Director of Geis Holding. "We are doing everything we can to get the project off to the smoothest possible start."

"The establishment of the logistics centre near Budapest is another milestone in the overall strategic alignment of our supply chain. We are delighted to have Geis as our partner once again," explains Thomas Rappl.

Info Box – Knorr-Bremse
Knorr-Bremse is the world market leader for braking systems and a leading supplier of safety-critical subsystems for rail and commercial vehicles. The company's Rail Vehicle Systems division equips local and long-distance rail vehicles with highly sophisticated products. In addition to braking systems, these include intelligent boarding systems, air-conditioning systems, energy supply systems, control components and windscreen wipers, platform screen doors, friction material as well as driver assistance systems and control technology.

Good prospects

Hungary's economy is experiencing healthy growth. With the exception of Corona-dominated 2020, it has averaged over four percent annual growth since 2014, making Hungary one of the fastest growing economies in the EU. Experts expect the economy to pick up again this year.

The foundations for this are already in place: The country has a high level of education and a well-developed infrastructure. "Hungary has been a focus for us for some time," says Managing Director Jochen Geis. "The country represents the ideal extension to our Central European network, and not just because of its location." The network currently includes Luxembourg, Switzerland, Germany, Poland, the Czech Republic and Slovakia, and now also Hungary to the south.

"With the establishment of our first Hungarian subsidiary and the provision of new logistics services for Knorr-Bremse, we now have an anchor project on the ground," explains Managing Director Hans-Wolfgang Geis. "In the next few years, we also want to gradually become active in Hungary with our other Road Services and Air + Sea Services divisions."