Home » Issue 19-2019 » News » HORSCH builds “Forest Factory“

HORSCH builds “Forest Factory“

HORSCH invests 23 million Euro in the production site in Schwandorf. The construction of the so-called Forest Factory so far has been the largest investment in the company’s history. Michael Maier (head of production) and Alois Schneider (head of logistics) explain the reasons for the construction.

terraHORSCH: Why was it necessary to extend the production sector in Schwandorf and build the Forest Factory?
Michael Maier
: One of the crucial points was that due to the sales volume we have reached the capacity limits – in the logistic as well as in the production sector. In the past, the large working widths and the growing product portfolio caused immense problems with regard to the available space in the old halls. The additional 11,000 m² of the Forest Factory will now allow for a further growth and for reacting more flexibly to customer requests. At the same time, we can improve our assembly and logistic processes and make them more efficient to be prepared for future requirements.
Alois Schneider: In the logistic sector, too, the workspace was increased considerably. Due to the new logistic areas for the production department the workload of the existing high rack system is reduced. Thus, we obtain the storage capacity we urgently need for spare parts.   
Michael Maier: The new Forest Factory allows for scheduling production in a completely different way. Small batches can be assembled taking the delivery dates into account. Machine changes in the line can be realised in a simpler and more effective way and we can use the know-how of our employees more efficiently. The assembly lines will be supplied with the required material right at the time when they need it. Special demands of our customers can be planned and managed in a more targeted way. In the future, there will be a specially trained assembly group to meet the increasing demand for special equipment.

terraHORSCH: What is the extent of the demand for special equipment?
Michael Maier
: In 2019 we carried out quite a lot of special orders. It is difficult to assess how this sector will develop in the future.
Alois Schneider: In this respect, it is important to mention that in the Forest Factory each production line has one alternative workplace at its disposal. It will be particularly useful if special demands cannot be carried out in the line during the normal assembly process as they would disturb the smooth workflow. So far, we have never had such an additional space. The alternative workplace can also prove useful if there are problems in the line.

terraHORSCH: Will there be automation projects in the new production hall?
Michael Maier
: One of the objectives of the new hall is to create areas for automated processes, especially in the pre-assembly department. In January, a robot plant for the assembly of bearing stubs will be installed. I think this is an important step to advance automation in the production department even further.

terraHORSCH: Are there other workflows that will change in the future?
Michael Maier
: Production logistics will change significantly. Before, the logisticians went to each storage location and withdrew the parts that were required for the whole production department. With the new Forest Factory this system will be restructured. The storage areas will be divided. The individual order pickers are assigned to one storage area and pick the goods to order. The goods are brought together from the different areas and provided for the respective assembly line. Moreover, there will be four supply logisticians who independently supply the individual teams with the correct material

terraHORSCH: Will the new hall have an influence on the shift schedule?
Michael Maier
: The shift schedule will not change. We will continue to work at normal working hours from Monday to Friday. If necessary we will switch to shift work.

terraHORSCH: Will the number of employees increase, too?
Alois Schneider
: Quite understandably, the extension of the factory does not mean that there automatically is a need for new employees. We created the basis for further growth by extending the space for assembly and logistics. If the sales continue to develop as positively as they did during the past years, the need for new staff will increase, too, and we will employ additional people in the production and the logistic sector.

terraHORSCH: What about the construction progress? When will the construction works be finished?
Alois Schneider
: In December we have moved into the whole production area. The buildings have been completed to such an extent that the logistic as well as the assembly areas are operative. We already use 80 % of the new halls. The outdoor facilities have not yet been finished completely. The office building is still under construction and will be ready in the middle of next year. The spare parts warehouse will be extended, too. The construction works for the additional wing of the hall will also be finished in the middle of next year.

terraHORSCH: What is the size of the office building? Which departments will move in?
Alois Schneider
: The office building will be a five-storage building on an area of 480 m². The total area of the offices will amount to 2,340 m². The ground floor and the first floor will house the staff rooms with lockers, showers, fitness and break room. The second floor will be used by the production management and the purchasing & supplier management team will move into the third floor. The top floor is still unoccupied to have some capacity for a further growth of the company. In total there will be 115 workplaces in the office building.