New food factory under construction in Moscow

Heidelberg - 4.10.2017

io-consultants is supporting the Russian retail chain X5 Retail Group in the planning of its new food factory on the outskirts of Moscow near Sheremetyevo Airport. The strong expansion of the business and an increasing variety of food products made the construction of a new production facility for the Perekrestok supermarket chain inevitable. Perekrestok is the leading chain of supermarkets in Russia, with the group intending to double its production by 2020. The new production facility for the Perekrestok group’s proprietary brands will be the largest of its kind in Russia.

Commissioned as an independent consultancy to prepare an independent audit, io-consultants’ initial assignment during the approval planning process was to assess the material and staff flow, recommending suitable systems and equipment and analyzing if the intended production volume was feasible for the facility. “The factory was supposed to be designed to produce fresh and ultra-fresh products for more than 300 supermarkets in the Moscow region on a daily basis, with 300 SKUs and approximately 700 different packaging forms and units in varying batch sizes. We were on a very tight schedule and mapping out a production volume of 110 tonnes in the gigantic building, with a production area of about 26,000 m², was a great challenge,” says Torsten Brendel, partner at io‑consultants. The IT specialists of io‑consultants also advised how to develop the specific IT architecture for the integration of the production into the SAP retail system and supported the X5 Retail Group in selecting the appropriate MES system. In addition, io-consultants’ industrial kitchen experts are currently supporting the client in supervising the construction site.

“io-consultants already helped us in the planning phase by elaborating improvements, which enabled us to optimise the production processes in full compliance with the most demanding hygiene regulations, achieving a substantial increase in overall efficiency,” says Alexey Dytchenkov, Project Manager of X5 Retail Group.

The X5 Retail Group is one of the largest food retailers in Russia, and runs several brands in distinct market segments: the Pyaterochka discounter chain, the Perekrestok supermarket chain, the Karusel chain of hypermarkets, and a broad variety of express convenience store brands. The group currently operates 10,506 stores, 557 of which are Perekrestok supermarkets.

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  • Bakery X5 Retail Group Moscow | © X5 Retail Group
  • New food factory X5 Retail Group Moscow | © X5 Retail Group

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