The logistics warehouse of the future. Bright large room with shelving

Cosmetics Manufacturer ARTDECO Optimizes E-Commerce Shipping with EPG’s LYDIA Voice

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Meet the Authors

  • Mark Vigoroso

    CEO, ERP Today & Chief Content Officer, Wellesley Information Services

Key Takeaways

⇨ ARTDECO cosmetic GmbH upgraded to LYDIA Voice pick-by-voice technology to enhance order picking efficiency, reduce errors, and simplify training for seasonal staff, allowing for faster integration into the workflow.

⇨ The new voice system enables multi-order picking, increasing productivity by up to 35% compared to paper-based methods, optimizing walking distances, and ensuring high process quality with a significantly low error rate.

⇨ LYDIA Voice accommodates diverse staff with various accents and language skills, eliminating the need for lengthy voice training, leading to greater employee satisfaction and improved process efficiency.

For the past ten years, ARTDECO cosmetic GmbH has relied on pick-by-voice technology for order picking across its two logistics centers in Karlsfeld and Bergkirchen, which cover a total of 10,000 square meters of warehouse space and handle around 5,700 different items. However, due to increasing downtime with the previously used voice system, the company sought a more technologically advanced alternative. The requirements for the new solution were extensive: it had to support the planned switch to a 5 GHz Wi-Fi network, run on the Android operating system, and integrate easily with the existing warehouse management system. Another critical factor was reliable voice recognition, regardless of pronunciation, accent, or dialect, so that seasonal staff could quickly become operational without lengthy voice training.

A broad portfolio, small-scale products, orders with few items, and high customer expectations for delivery times: The fulfillment process in the B2C business must meet diverse demands. At the same time, quality standards are high, as picking errors can lead to costly returns and decreased customer satisfaction. To optimize its e-commerce operations, ARTDECO recently implemented LYDIA Voice, the pick-by-voice solution from SAP partner EPG (Ehrhardt Partner Group). The picking solution replaces the outdated voice system at both logistics sites and enables employees to process up to 48 orders simultaneously thanks to multi-order picking.

Recent SAPinsider research indicates that warehousing is among the mix of supply chain functions that SAP customers are targeting with data-driven, analytics and automation solutions. The recent report Building Resilient and Agile Supply Chains via Data, Analytics and Automation uncovered that 32% of organizations are prioritizing the warehousing function for supply chain transformation initiatives. Voice-picking systems allow workers to use voice commands, freeing their hands to handle products. This results in quicker task completion as workers don’t need to constantly check screens or lists, and can navigate and pick items faster. Studies have shown that voice-picking can improve productivity by up to 35% compared to paper-based picking.

Cosmetics expert ARTDECO first tested LYDIA Voice in real-time with one device in the live environment. Süleyman Yanik, Deputy Logistics Manager, personally handled order picking with the test device and commented: “The system runs more smoothly than our old one. The work process was significantly faster.” His colleagues in the warehouse confirmed this initial impression. In comparing both systems, they also praised the increased freedom of movement while working with the wireless headsets. “After just a few days, our staff only wanted to work with LYDIA,” Yanik noted. To avoid downtime, both voice systems operated in parallel during the gradual transition in Karlsfeld. The switch in Bergkirchen followed afterward.

While large orders for drugstores are still picked using handheld scanners, LYDIA Voice is primarily used for online orders and smaller direct deliveries to stores. Each year, ARTDECO processes around 25,000 to 30,000 shipments, most containing only a few items. Here, ARTDECO benefits from the combination of Multi-Order Picking and Pick-by-Voice. By processing multiple orders simultaneously, walking distances are optimized, while voice control ensures focused and precise work. Employees receive instructions via headset on the quantities to pick, which are then confirmed by voice command. At the same time, a put-to-light display installed on the picking cart indicates which items should be placed in which box. This integrated solution allows for nearly error-free order picking, ensuring high process quality. “Our error rate is in the per mile range,” confirms Frederik Wolff, Logistics Manager at ARTDECO.

At both locations, employees from various nationalities work together, resulting in diverse language skills and accents. This is where LYDIA Voice excels—the smart pick-by-voice system can be used by any picker without prior voice training. New employees simply log in to the system and are immediately productive. “This wasn’t possible with the previous voice system. Anyone wanting to use it, had to go through a 30- to 40-minute voice training session first,” adds Yanik.

“Our employees are happier, new staff can be trained faster, and we’re seeing significant improvements in process efficiency,” Wolff summarizes. “Switching to pick-by-voice was one of the most important decisions in our company’s history. And with LYDIA Voice, we made the best choice.”

What this means for SAPinsiders

Participate in SAPinsider research. SAPinsider will be publishing a research report in December on AI in the Supply Chain that will explore the key drivers causing companies to adopt AI in supply chain, the primary strategies companies are deploying to operationalize AI in supply chain, the critical underlying capabilities that must be in place in order for AI to deliver durable outcomes, and the leading technology tools and providers companies are using to embed AI into supply chain processes and systems. Take the survey today and let your voice be heard!

Integrate voice picking systems with SAP EWM. SAP EWM supports voice-picking through its integration framework, which can work with leading voice-picking solutions like EPG’s LYDIA Voice. Also, take advantage of SAP EWM’s Task and Resource Management (TRM). Voice-picking systems can be aligned with TRM to assign and monitor tasks in real time. By enabling TRM, you can achieve dynamic task allocation, which improves productivity and reduces idle times during picking.

Assess workflow and layout optimization. Identify high-volume and high-error areas within the warehouse where voice-picking could make the most impact. Use data from SAP EWM to analyze current workflow efficiencies and target specific areas for voice-picking implementation. It’s worth noting that voice-picking works best with streamlined workflows and efficient layouts. Consider reorganizing zones, replenishment strategies, and item placements to make the most of voice-directed operations.

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