Foodstuffs’ new DC wins NZ logistics award

by Press Release on 2010-12-22 21:51:56

Foodstuffs (Wellington) Co-operative Society Limited was a winner at the recent Chartered Institute of Logistics and Transport New Zealand’s annual awards, receiving the CILT NZ’s “Implementation & Practice Award”, in recognition of the successful start-up of its new $70 million Distribution Centre (DC) at Palmerston North.

Incorporating the latest advances in order fulfilment, and setting a new standard for grocery distribution in New Zealand, the 32,400 sqm DC has enabled Foodstuffs to centralise its ambient distribution requirements through one facility, providing significant supply chain benefits and cost savings.The DC commenced operations in February 2010, with throughput ramping up to the official opening on April 6, 2010.

Housing more than 15,000 SKUs, the DC provides storage capacity for more than 30,000 pallets. Stock is stored in a variety of rack configurations, with separate storage areas provided for aerosols and dangerous goods, and a further caged area for secure product storage.

Voice & RF case, layer and pallet picking Orders for full cases, layers and pallets are processed using a combination of RF and voice-directed picking, with the DC’s workforce equipped with an all-electric fleet of 80 forklifts, stockpickers, reach and pallet trucks.
NZ’s first GTP split-case picking solution However, it is Foodstuffs’ innovative approach to split-case order fulfilment at the Roberts Line DC that breaks new ground in New Zealand.

While split-case orders may only represent around 15% of throughput in terms of volume, processing the orders has traditionally been one of the most labour intensive and time-consuming aspects of distribution for Foodstuffs.

Foodstuffs’ solution to the costly problem has been to implement New Zealand’s first ‘Goods-to-Person’ (GTP) picking system to handle the bulk of split-case orders.Housing 33,000 totes in a footprint measuring just 40m x 85m, the 10m tall Dematic Miniload ASRS is the storage engine that drives Foodstuffs’ new split-case picking solution.

Totes containing split-case items required for orders are automatically retrieved by the Miniload and delivered by integrated conveyors to a series of six ergonomic RapidPick workstations.

Each of the workstations is configured to enable batches of up to 21 discrete orders to be processed concurrently, making it possible for Foodstuffs to process up to 126 orders attime. Directed by Put-to-Light (PTL) displays on each order location, operators simply transfer stock from the totes containing the SKUs to the order shippers in a ‘Pick’ and ‘Put’ process.

When a shipper is full or the order has been completed, the operator prints and applies a label to the shipper. The shipper is then pushed down the flow lane to the rear of the workstation where it will be collected and consolidated with other goods for the customer, before being transferred to despatch. “Dematic’s automated picking system has more than doubled productivity, with operators capable of picking over 1,200 items/hour,” said Foodstuffs General Manager Operations, David Couper.

“As a result of opening Roberts Line, we have been able to close five warehouses, with further initiatives including plans to sub-let the Silverstream warehouse in due course and install automatic milk handling machines at our Grenada and Mihaere Drive distribution facilities later in the year,” added Mr Couper.

Further information: Dematic Pty Limited, 24 Narabang Way, Belrose NSW 2085. Tel: +61 2 9486 5555. Fax: +61 2 9486 5511. www.dematic.com.au

About Dematic

Dematic is a global leader providing an impressive range of intelligent logistics and materials handling solutions. With a global knowledge network of more than 4,000 highly skilled logistics professionals, Dematic is able to provide its customers a unique perspective in world class materials handling solution design. Our commitment to product and solution R&D combined with manufacturing plants in the US, Europe, China and Australia ensures Dematic has the range and capability to provide reliable, flexible, cost effective solutions globally. Our tremendous track record of success has led to the development and implementation of more than 5,000 world class integrated systems for a customer base including some of the world’s biggest companies.

Dematic generates a global business volume of around $1.2 billion.For more detailed information about Dematic, please refer to www.dematic.com.au.

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