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Malaysia's MYDIN streamlines warehouse operations

Malaysia's MYDIN streamlines warehouse operations

Increases processing capacity.

By Kumar Gandharv on Apr 22, 2024 2:47AM

Mydin Mohamed Holdings Bhd (MYDIN), one of Malaysia's largest retail and wholesale grocery chains, has implemented a warehouse management solution (WMS) to improve order processing capacity and streamline e-commerce operations.

Previously, the company relied on manual, paper-based processes.

With expansion and listing on marketplaces including Shopee, Lazada, and TikTok – the company witnessed an increase in online orders making it difficult for the existing systems to handle.  

MYDIN’s director of IT, Malik Bin Murad Ali told iTnews Asia the team was using mobile devices based on the Windows operating system (OS) which was becoming outdated.

According to Malik, after evaluating multiple vendors, the team decided to select Zebra Technologies' TC21 handheld PDAs (personal digital assistants) for its Android operating system, better scan engine, long battery life and easy to use functionalities.

Earlier, it was difficult to scale operations beyond processing approximately 1,000 to 1,500 orders per day, Malik said.

Now, the company can process close to 20,000 orders per day, an improvement of approximately 20 times in processing capacity, he added.

The firm has 68 branches throughout Malaysia, with its distribution centre at Seremban city.

MYDIN uses TC21 devices for order picking and processing, and Zebra printers including GT800 for e-commerce operations and the ZQ521 for shop floor tasks.

These printers help generate labels required for order fulfilment and logistics processes.

The company has transitioned from single order picking to batch picking, helping fulfil multiple orders simultaneously, leading to improved efficiency in operations, said Malik.

Streamlined processes

Additionally, MYDIN is working with Zebra PartnerConnect independent software vendor AC2 Group to develop a comprehensive solution.

It has streamlined processes from receiving, stocking, and picking, to dispatch using Zebra’s TC21 mobile computers and AC2’s cloud-native WMS – WAVE - to improve scalability and enhance customer service.

By increasing order processing capacity and enhancing employee productivity, the company can fulfil additional orders, reduce operational costs, and capture more revenue, said Malik.

He added the implementation provides a foundation for future advancements, as the company is looking to transition to advanced devices like ring scanners including the Zebra’s RS5100 Single Finger Bluetooth Ring Scanner.

During the implementation phase, MYDIN faced technical challenges in integrating hardware and software components, including compatibility issues and unforeseen glitches during deployment.

According to Malik, Zebra's Consulting Services team provided timely technical assistance and guidance to resolve issues.

Investing in data warehouse

The company has invested in a data warehouse with an American cloud software company Domo, enabling it to capture and store data generated from retail operations, including in-store transactions, promotions, and supply chain activities.

By leveraging Domo's analytics capabilities, MYDIN can analyse data to gain insights into customer behaviour, optimise inventory management, and improve operational efficiency, said Malik.

He added that by analysing trends and patterns in customer purchasing behaviour, MYDIN can identify shifts in demand, respond quickly to market changes, and adjust strategies to remain responsive to customer needs and preferences.

The company focuses on enhancing its customer relationship management (CRM) capabilities and implementing loyalty programs to reward and incentivise customers.

It is developing a Rewards App, intended to be a native client application with Huawei and Android.

Malik said this initiative is an in-house development project, with MYDIN’s team spearheading the app's design and implementation.

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Tags:
digital transformation hardware mydin zebra technologies

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