With a firm focus on the luxury end of the market, Chedi hotels are renowned for demanding the highest quality in location, goods and services for their clients and guests.
So when Chedi decided to create a luxury hotel and residence complex in Switzerland, they chose the Alpine town of Andermatt, in the Urseren Valley, one of country’s most attractive and exclusive destinations. The region is famed for its year-round tourism appeal with high-quality skiing in winter and spectacular hiking in summer.
Challenges and solutions
Local storage unsuitable for high-end products and materials.
The spectacular location of Andermatt, with its undulating landscape and remoteness from major cities, can be a mixed blessing. While the location is perfect for visitors seeking solitude and outstanding scenery, it posed several logistics challenges for the Chedi Andermatt during the period prior to opening. This is where Kuehne + Nagel came in.
Needing storage facilities for room replenishment and other items, the hotel group couldn’t find suitable warehousing in the local area, and was using ad hoc arrangements like the hotel car park. Issues with security, inventory management and weather protection were resolved by Kuehne + Nagel providing dedicated storage in Zurich, as well as trucks equipped to cope with the mountain roads in difficult winter weather conditions.
Communication difficulties with complex supply chain.
The hotel has a complex supply chain with procurement being managed in Eastern Europe and suppliers located mainly in the Far East. Potential difficulties with communication were overcome by Kuehne + Nagel providing a single point of contact to minimise the risk of conflicting messages.
Inefficiencies in supply chain with non-optimal logistics planning.
Before employing a dedicated logistics supplier, the Chedi Andermatt struggled to find the right combination of transportation types and order lead times, leading to excess stock and inadequate inventory management. Kuehne + Nagel was able to provide better value for money by introducing an optimised supply chain with a more balanced mixture of services including freight consolidation and more efficient transport modes.
Inventory and asset management needed improvement.
Finally, the hotel needed an improved process to manage its assets. Inventory included both leased and owned items, and a mixture of very high value assets alongside standard hotel accessories. They asked us for assistance, and using our detailed data records, we were able to help them organise their assets.
The Chedi Andermatt opened on time. As outlined, Kuehne + Nagel’s Hotel Logistics team introduced a number of new freight handling methods and warehousing facilities to ensure successful installation of FF&E for the opening, and established an efficient asset management processes for inventory management.
- Peace of mind from using industry specialist to optimise supply chain
- Single point of contact to simplify communication along the supply chain
- Cost benefits from more rigorous inventory management
- Reliable transportation and equipment to deal with difficult local geography
- Deadlines met by using local, dedicated storage for dependable storage and delivery
"“A partner rather than just a logistics provider”
“We, Andermatt Swiss Alps AG – and the operator, General Hotel Management Ltd – have appreciated the efforts of your team on-site. But we also want to extend our appreciation to the warehouse staff in Zurich and the competence centre team in Germany.
You added value in the planning phase by being a partner rather than just a logistics service provider. During the actual logistics, the freight, inventory and warehouse management -- as well as the delivery of FF&E and OS&E to site and installation -- went hassle-free and flawlessly.
In the face of adjustments to the original plan, you demonstrated flexibility and an extremely accommodating working style. This, combined with Kuehne + Nagel’s exceptional logistics support and passion, helped our company to meet time and budget requirements.”
Head of Projects Operations - Andermatt Swiss Alps AG