DIA HELLAS S.A. is the largest and fastest growing supermarket chain in Greece, utilizing high levels of technology, productivity and sanitation control.  By choosing e-TRACK, a complete fleet management system, DIA HELLAS has achieved a higher level of service to its network of stores and improved the delivery of its products.

By Mr. Philip Salimba, Logistics Manager, DIA HELLAS A.E., and mr. Dimitris Venizelos, Sales Manager, Emphasis Telematics.

The Company

The increase of competition combined with the minimization of free time, has lead consumers in search of fair-cost / high-quality solutions.  The same applies to the retail market where discount supermarkets appear to be gaining more and more ground in consumers’ consciousness, increasing thus their market share.

DIA Hellas is part of the Spanish giant Distribuidora Internacional de Alimentacion which was established 26 years ago and has more than 4.800 stores around the world.  Its presence is noted in France, Portugal, Turkey, Argentina, Brazil and China.   In 1995 it began operating in the local Greek retail market and since then has created 327 hard-discount stores all around Greece.
DIA’s growth philosophy in based on 2 axes.  First, the existence of neighborhood-stores, which on the one hand do not need especially large space or investment, and on the other operate in densely populated urban areas. Thus, these stores are aimed towards large numbers of consumers.  Second, the sales figures achieved by the chain on a national level, combined with the application of an extended logistics network, allow DIA to supply its stores with products on a daily basis, practically securing the renewal of the offered goods, the control of inventory, the minimization of losses, and the maximization of turnover, productivity and profitability for the customer as well as for the franchisee.

The Need

The company owns a large and diverse fleet of leased refrigerated trucks.  These trucks supply the entirety of stores throughout Greece, starting from two central warehouses at Mandra in Attica and at Sindos in Thessaloniκi.  The complexity of the product delivery (product codes, geographic array of the stores, delivery time windows) combined with the large volume of transported goods, lead the company on a search for a total solution for the problem of automated routing, the monitoring of the smooth execution of programmed routes, and the tracking of cooling temperatures within specified ranges. Specifically, the following needs form:

o  Automated routing of vehicles based on the lowest total cost, the conformity with store delivery schedules, and the even allocation of deliveries across the fleet.  Orders are received automatically from the central processing software.  Automated routing includes:

-  Grouping of orders to vehicles, according to vehicle volume and weight restrictions.

-  Time sequence of order deliveries by vehicle.

-  Estimation of timed arrival at each store.

o  Real time tracking of the progress of deliveries and continuous matching with scheduled times.

o  Ability of automatic re-routing in the event of a deviation from the scheduled itinerary.

o  Continuous checking of cargo temperatures in relation to regulated ranges.

The solution to be chosen had to be expanded outside of the national borders, in countries where the company operated.  A key objective of the company was the largest possible automation of procedures and the cross-operation of the selected systems.

The Solution

DIA Hellas, after an analytical study and evaluation of the proposed solutions in the Greek market, assigned the fleet management solution for its delivery vehicles to Emphasis Telematics. The total system implementation includes innovative solutions based on the needs stated above.  It includes the following capabilities:

o An electronic vehicle unit which encompasses a GPS locator and GPRS communications for the transfer of data in real time.

o Installation of digital thermometers in the cargo loading areas of the vehicles.  The number of thermometers per vehicle was determined by the number of different temperatures each chamber supported (1 or 2), as well as the vehicle type (truck, towed, etc.)  Especially in the case of towed chambers, special connectors were used for the transfer of digital signals.  These thermometers have an operational range of –40°C to +65°C. Installation occurred with the use of οne-wire bus technology, which drastically reduces the number of utilized wires.

o Recording of opening and closing of chamber doors.  The actual recording occurs at the chamber doors (1 or 2) whether on a truck or a towed chamber. During the installation οne-wire bus technology was also used, as well as similar wiring used with the thermometers. This solution contributed to the increase of the reliability of the system as well as to the ease of maintenance.

o Placement of all stores and distribution centers on e-TRACK’s digital maps (geocoding). Categorization of stores.

Real-time vehicle tracking (position, temperatures, doors) from the two distribution centers.

o Installation of the automated routing software, Shortrec by Ortec. This software, aside from Greece, has been installed by DIA in Spain, Portugal and recently in France.  Orders are automatically received by the company’s existing central processing software.  Between Shortrec and e-TRACK, with the close technical cooperation of the two companies, a communication bridge has been developed, which allows for the interchange of the following elements:

-  Update of e-TRACK with the scheduled itineraries of the vehicles. For each delivery, the store code, the estimated time of arrival, the delivery window, and the vehicle ID are included.

-  Continuous update of Shortrec with the positions of vehicles, in real time.

-  Automatic update of Shortrec with the arrival of the vehicle at the store and its subsequent departure.

-  Update of e-TRACK with the new itinerary for a vehicle, in the event of a dynamic re-routing, due to delays for example. The purpose and the result of the above interface was that the two systems appear to be a single solution and therefore maximize productivity to the benefit of the company, as much on performance as on ease of use and friendliness.

o  Development of special reports according to DIA’s reported needs.  These reports have as their aim the easy and secure export of conclusions from the logistics department in relation to the performance of the fleet and the conformity the required transport conditions.

The Benefits

In the 8 months of using the fleet management system, the company had the chance to extract a multitude of data in relation to the vehicles.  The utilization of this information offered the capability for instant resolution of specific problems which occurred periodically, as well as for the extraction of conclusions to be utilized on a mid-range basis.

The pioneering and technologically innovative combination of automated routing and its matching to the real-time progress of the itineraries, offers the capability of a drastic reduction of the cost of delivery and at the same time safeguards the high level of service to the stores.