SAP Innovation Awards 2024 - 4438 - Nadro S.A. de C.V.

Nadro S.A. de C.V. is the premier pharmaceutical wholesale distributor in Mexico. With a fleet of 1,250 vehicles across 15 distribution centers, the company distributes 51 million medical and personal care products per month to pharmacies across Mexico. To prepare for growth and continue delivering an exceptional customer experience, Nadro's ClO began an innovation initiative to modernize the company's warehouse strategy. The SAP Extended Warehouse Management application, along with the TeamViewer Frontline augmented reality solution, helped Nadro manage a high volume of goods with digitalized warehouse processes in the cloud. The company improved picking time while significantly decreasing training time for its employees. Download the Document

PUBLICEntry Pitch DeckNadro S.A. de C.V.Carlos Flores, Chief Innovation OfficerWholesale DistributionTransforming pharmaceutical distribution inMexico with Augmented Reality
COMPANY NAME:HEADQUARTERS:INDUSTRY:WEBSITE:NUMBER OF EMPLOYEES:Company Information© 2023 SAP SE or an SAP affiliate company. All rights reserved | PUBLIC 2Nadro S.A. de C.V.Mexico City, MexicoWholesale Distributionwww.nadro.mx5,000Founded in 1943, Nadro S.A. de C.V. is the premier pharmaceuticalwholesale distributor in Mexico. With a fleet of 1,250 vehicles across 15distribution centers, the company distributes 51 million medical andpersonal care products per month to pharmacies across Mexico. Nadroalso provides training and specialized services to pharmacies to helpmanage their operations and inventories. Our mission is to bring goodhealth to all of Mexico with high quality solutions for the benefit and well-being of everyone.
CHALLENGE: SOLUTION: OUTCOME:Transforming pharmaceutical distribution in Mexico© 2023 SAP SE or an SAP affiliate company. All rights reserved | PUBLIC 3Picking performance improvement Reduction in ramp up and training time foremployeesOr less to convert an additional warehouseto new process and technology30%Nadro S.A. de C.V.93% 8 hoursNadro needed to modernize its warehouse strategyto stay ahead of increased demand and growthexpectations: Higher customer expectations and morechallenging SLAs requested by customers Increasing overtime payments to keep up withnew demand Challenging workforce environment with highturnover rates Pressure to reduce costs while speeding up thepicking process Need to ensure accurate order fulfillmentrequiring technology upgrades and betteremployee trainingTo prepare for growth and continue delivering anexceptional customer experience, Nadro's CIObegan an innovation initiative to modernize thecompany's warehouse strategy. The companylooked for technology partners who would help itfulfill its promise of bringing health to all of Mexico.Nadro had begun a transformation project usingRISE with SAP that moved its solutions to the cloud,allowing for faster deployment. The SAP ExtendedWarehouse Management application, along with theTeamViewer Frontline augmented reality solution,were chosen to help Nadro manage a high volumeof goods with digitalized warehouse processes inthe cloud.With the roll-out of SAP Extended WarehouseManagement and TeamViewer Frontline, Nadro hastransformed its warehouse operations and now hasa modern foundation that can support growth formany years to come.Nadro has been able to improve picking time by30% while significantly decreasing training time forits employees. Training time is now down from amonth to mere hours and employees can work moreautonomously more quickly. The company is able toprovide better service to customers, have moreefficient processes, and higher productivity withcomplete visibility across the business.
© 2023 SAP SE or an SAP affiliate company. All rights reserved | PUBLIC 4SAP Extended Warehouse Managementand TeamViewer’s Frontline augmentedreality solutions enable the company tobe data driven, innovate in ways thathelp our customers help patients, anddeliver on our mission to improve thehealth of all citizens.Carlos FloresChief Innovation Officer
COMPANY NAME:Participating Partner InformationOur partnership with SAP has been focusedon building innovative solutions for SAPcustomers that transforms supply chainoperations. With Nadro, we’ve worked toadvise them on how to complement theirS/4HANA journey and move to SAP EWMwith a future-proofed solution that can scalewith their operations.© 2023 SAP SE or an SAP affiliate company. All rights reserved | PUBLIC 5TeamViewer Germany GmbHTeamViewer is a leading provider of remote connectivity and digital workplace solutions.TeamViewer Frontline, an SAP endorsed app, provided additional value with its SAP EWMintegration enabling the transformation and modernization of our warehouse operations.More than a technology provider, TeamViewer also consulted with us to help redefine theprocess.
GLOBAL CHALLENGES BUSINESS CHALLENGESChallenges and Objectives 1 of 2© 2023 SAP SE or an SAP affiliate company. All rights reserved | PUBLIC 6Wholesale and distribution companies have been met with a seriesof challenges over the past several years. From global supply chaindisruptions to workforce shortages to economic volatility,companies need to become more flexible to adapt to these issuesand meet the ever-increasing customer demand.Inefficient logistics methods have led to a lack of productivity, highcosts and dissatisfied workforce. Logistics executives are facedwith a common set of areas to address to remain competitive andmeet customer expectations: Improve customer satisfaction Increase margins per order Fulfill more orders in less time Improve order accuracy Reduce IT costs and complexityNadro is the most important wholesaler in Mexico forpharmaceutical products. While competitors deliver once or twiceper week, Nadro offers daily deliveries, equaling 360,000 deliverieseach month.With the volume of sales continually increasing by 20-25% YoY, weneeded a solution to help improve our performance to meet thisincreased demand, help ensure accurate deliveries, and providethe highest level of customer service.At the same time, we experienced long ramp-up times for newemployees and high turnover rates (200% per year) that wereleading to inefficiencies and higher costs due to errors and theneed for more overtime.