Tianjin Master Logistics Equipment Co., Ltd.
Tianjin Master Logistics Equipment Co., Ltd.

Smart Oil Future:Empowering Petrochemical Supply Chain Safety and Efficiency with Automated Storage & Retrieval System

A large domestic petrochemical group with multiple production bases and a nationwide sales network, processing over 20 million tons of crude oil annually. Specializing in crude oil, refined oil, chemical raw materials, and products, its warehousing materials cover various hazardous chemicals such as flammable, explosive, and corrosive substances, urgently needing to build a safe, efficient, and intelligent warehousing and logistics system.

Smart Oil Future:Empowering Petrochemical Supply Chain Safety and Efficiency with Automated Storage & Retrieval System
Project Background

The traditional warehousing model faced four major challenges: high safety risks in hazardous chemical storage, with manual operations prone to safety accidents; difficulty in inventory management due to a wide variety and specifications of warehousing materials, with a 3% inventory discrepancy rate; low manual handling efficiency, with a daily outbound volume of less than 500 tons, unable to meet production and sales demands; and only 20% space utilization, resulting in severe land resource waste. An intelligent upgrade via an Automated Storage & Retrieval System (AS/RS) was urgently required.

Solution
  • Safety-Focused Storage: An explosion-proof Automated Storage & Retrieval System was implemented, featuring explosion-proof stacker cranes, intelligent racks, and ventilation/firefighting systems, creating 15,000 explosion-proof storage positions for safe and isolated storage of hazardous chemicals.

  • Full Automation: End-to-end automated operations from receiving, storage, inventory, to shipping of hazardous chemicals were achieved, with a throughput of 300 pallets/hour and a daily outbound volume increased to 2,000 tons.

  • Smart WMS Integration: A Warehouse Management System integrated with MES was deployed, enabling batch tracking, expiry alerts, dynamic inventory monitoring, and intelligent scheduling of hazardous chemicals. Real-time linkage with production and sales systems ensured efficient supply chain collaboration.


Project Difficulties
  • High Explosion-Proof Safety Requirements: All warehousing equipment and systems needed to comply with explosion-proof standards, demanding strict requirements for equipment selection, system design, and construction installation.

  • Hazardous Chemical Compatibility: Different hazardous chemicals required isolated storage, necessitating optimized warehouse layout and location allocation algorithms to ensure storage safety.

  • Complex System Integration: Seamless  with the customer's existing MES, ERP, sales systems, and other systems was required to achieve real-time data synchronization and closed-loop business processes, presenting significant integration challenges.


Project value
  • Safety Upgrade: Full automation of hazardous chemical storage was achieved, reducing manual intervention by 90% and lowering the safety accident rate to zero, ensuring production and personnel safety.

  • Efficiency Improvement: Warehousing operation efficiency increased by 300%, inventory turnover days shortened to 15, strongly supporting production and sales demands.

  • Cost Optimization: Labor costs were reduced by 80%, space utilization increased by 150%, resulting in annual warehousing cost savings exceeding 10 million yuan.


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