Kmart Automates new Omni-channel Facility

Vanderlande has been selected by Kmart to automate its new logistics facility at the Moorebank Intermodal Precinct in Sydney. To meet the complex needs and demands of one of Australia’s most iconic retail brands, the state-of-the-art warehouse will feature Vanderlande’s FASTPICK goods-to-person
order fulfilment system.

The Kmart Group serves millions of customers per week in over 450 Kmart and Target stores across Australia and New Zealand, as well as through its online platforms and mobile apps. Kmart’s long-term growth ambitions will focus on this omni-channel approach, and address the current challenges of labour availability, rising order volumes, and increasing customer expectations.

The partnership reflects Kmart’s commitment to enhancing operational efficiency and future-proofing its supply chain as it continues to expand across the region. The new 100,000m² omni-channel facility will be equipped with Vanderlande’s advanced FASTPICK solution, combining the intelligent ADAPTO automated storage and retrieval system (AS/RS) with ten ergonomic goods-to-person (GtP) workstations.

The system has been designed to maximise picking speed, flexibility and efficiency, so that the full complexity of both business-to-business (store deliveries) and business-toconsumer (online orders) operations can be seamlessly integrated within a single omnichannel fulfilment centre. For retail distribution, a high-speed crossbelt sorter will handle both cartons and polybags with a high level of precision.

In addition, the Moorebank site will deploy a large fleet of Toyota AGVs and VNA (very narrow aisle) trucks to support internal pallet transport and high-density storage. The entire operation will be controlled by Vanderlande’s VISION warehouse control system, ensuring the intelligent coordination and
management of all processes. Together, these integrated technologies will form a scalable, future-ready platform that is tailored to meet Kmart’s operational requirements.

“The investment in the new Moorebank omni-channel fulfilment centre will be an important part of our long-term strategy to modernise our supply chain and simplify store operations,” explains Phillip Irvine, Kmart’s General Manager – Next Generation Supply Chain. “Ultimately, this approach is about delivering even more value to our customers, which is central to who we are.”

“We are excited to join Kmart on this journey to optimise its supply chain and ensure that this is ready for the future,” says Jordan Thrupp, Vanderlande’s Managing Director Australia. “The strong partnership we’ve built with their team has been instrumental in delivering the best possible solution, and we remain committed to supporting Kmart’s ongoing success.”

Stephan Heessels, Vanderlande’s Executive Vice President for Warehouse Solutions adds: “This project reflects our dedication to delivering scalable systems with fast and efficient order fulfilment. FASTPICK is the optimal solution for leading retailers, such as Kmart, facing unpredictable long-term growth across their store and e-commerce operations.”

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Maximum AMR Flexibility

Autonomous mobile robots optimise the movement of goods in warehouses, logistics centres and manufacturing plants. The internal transport of goods is a core element of companies’ logistics operations. AMRs are intelligent vehicles designed to move loads independently, without the need for human guidance.

These high-tech machines plot their routes using virtual warehouse maps, performing their assigned tasks with the utmost efficiency. Moreover, they are equipped with innovative navigation software that enables them to identify and avoid obstacles. This technology ensures safe coexistence with other machines and people sharing the workspace.

Mecalux’s AMR line features models to manage a wide variety of loads, from boxes, totes, bins and trays to pallets and shelving. The integration of these systems significantly contributes to optimising intralogistics processes.

Meet the Models

Mecalux’s range of AMRs can handle goods weighing between 100 and 1,500 kg, making them a versatile solution adaptable to a multitude of logistics environments:
• AMR 100 Multi-Box: Incorporates a mast to transport bins, boxes, crates and trays. Maximum payload: 100 kg
• AMR 100 Box: Equipped with a conveyor to transfer boxes, trays and packages. Maximum payload: 100 kg
• AMR 600 Rack: Designed to move shelving units to pick stations. Maximum payload: 600 kg
• AMR 1500 Pallet Lifter: A lifting system transfers pallets to and from fixed platforms and conveyors. Maximum payload: 1,500 kg
• AMR 1500 Pallet Conveyor: Outfitted with a conveyor to transport pallets to the various warehouse areas. Maximum payload: 1,500 kg

AMRs can carry out a wide variety of tasks in all kinds of facilities and offer an excellent opportunity for boosting efficiency and productivity in picking. They can be integrated in three working methods:
• Goods-to-person: These devices supply pick stations with the goods required to fill orders.
• Rack-to-person: The mobile robots transport picking shelves to operator workstations.
• Person-to-goods. AMRs assist employees when locating products in the warehouse by freeing them from using picking carts.

Internal Material Transport

AMRs replace or complement handling equipment such as forklifts, conveyors and electric monorail systems. Mobile robots make product transfers more flexible: they automatically adapt to modifications made in logistics facilities. AMRs can reconfigure their routes in the event of changes in workspace layouts, racking/shelving arrangements or any other adjustments within the warehouse.

By quickly adapting to fluctuations in demand or workflow, mobile robots help companies stay competitive in an ever-evolving logistics environment. AMRs also optimise order shipping and other outbound processes. Once orders have been filled at the pick or consolidation stations, the AMRs move them to the shipping area.

By following streamlined routes and working autonomously, the robots ensure that orders are moved efficiently and promptly. AMRs – for both light and heavy loads – automate the delivery of parts, components and raw materials to work and assembly stations on the production lines in various industries.

The ability of mobile robots to adapt to dynamic environments makes them suitable for operational areas requiring flexibility and agility. Automation also reduces downtime and increases throughput in manufacturing processes.

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Enhancing Goods-To-Person with Pouch Technology

The explosion of e-commerce has fundamentally changed the operations within warehousing and distribution, and fulfillment centres, writes Rupesh Narkar, VP Sales & Systems, Logistics Systems, Beumer Group. Previously, these facilities handled large, bulk orders destined for retail stores, a process that was predictable and could be planned. However, the rise of online shopping has introduced a more complex sortation scenario. Goods to Person (GtP) involves the distribution and fulfillment of orders to numerous individual consumers who may order just one or two items at a time.

The shift to GtP has created significant challenges, including the need for sortation facilities to perform tasks traditionally managed by retailers, such as distinguishing between item sizes and colors for B2C orders. Another area that has become more challenging is the management of returns. Return rates can reach as high as 60% in the e-commerce sector. Handling these returns (reverse logistics) involves multiple steps, including quality checks, relabeling, and repacking, all of which add to the complexity and cost of operations.

A basic GtP system can be configured as an inventory buffer, or a pick system, or both. No matter what the setup, most of the system’s capacity will still be allocated for basic warehousing needs like receiving, storing and picking. Post picking processes like ship order consolidation, sortation, sequencing and shipping require advanced configuration of the GtP or an additional high-capacity subsystem that can interface with the GtP. This is where a pouch system comes into play. It acts as a consolidation buffer system that will be complimentary to the existing GtP setup without any need for complicated reconfiguration.

Pouch system solutions

Essentially, a pouch sorter comprises a conveyance system of hanging pouches that carry products along a rail. Pouch systems are designed to transport a wide range of items, including garments, shoes, books, and other merchandise, offering high flexibility. Pouch technology is very scalable, modular and can be installed in unused overhead space offering the ability to buffer, sort, and sequence; automating the order handling and returns processes.

Pouch sortation systems facilitate processes such as post picking sortation, order batching & sortation, and intermediate storage handling of returned items. A typical application of pouch systems would be to efficiently handle throughput, temporary inventory buffer and order consolidation regardless of whether an order consists of two items or ten. Various sequencing challenges can be easily tackled by a pouch system. For example, ensuring that the most fragile or delicate items are sorted last, so that they are packed last in order to avoid damage. Thus, a pouch system can play a pivotal role in simplifying the returns process by reducing costly touchpoints and streamlining the overall process by establishing traceability and control to improve overall process efficiency.

Reducing touch points

Pouch system technology is constantly evolving. Beumer Group has recently added an innovative AutoDrop feature to its BG Pouch System to enable flexible and reliable automatic packing lines. In this system, pouches are unloaded from the bottom using a pioneering nickel-titanium alloy first used in the medical industry. This metal alloy has shape memory and will contract substantially when electric power is applied. When the power is withdrawn, the alloy returns to its original shape. Each mechanism has the capability for one million opening cycles without any deviation.

AutoDrop uses these characteristics to open the pouch automatically at the unloading point, enabling GtP operations to eliminate manual handling during unloading. This saves time at the unloading stations and reduces order lead time. The BEUMER Group Pouch System with AutoDrop can process approximately 10,000 pieces per line per hour. Combining multiple, adjustable drop point positions in one single drop line enhances flexibility to accommodate different unloading needs, while significantly reducing the physical footprint within the distribution facility.

This AutoDrop feature enables reduced touch operation for the entire pouch handling process, as well as offering customers substantial benefits in terms of reducing order lead time and saving valuable floor space.

Delivering digitization

As the GtP industry continues to innovate, the adoption of data-driven and software-based solutions will be key to creating the warehouse of the future.

Acting as the cornerstone of the Pouch System is the warehouse management software (WMS). The Pouch WMS supports digitization of the warehousing process from inventory management to ship order consolidation. This digital footprint provides the user with enhanced tracking, traceability and control at each step of the process. Digitization options such as this create the possibility of process optimization for efficiency and thus, enhancement of the entire fulfillment experience.

Pouch as an enhancement to GtP

Making a business case for deploying a new materials handling system will be different for each GtP operation, depending on your priorities and business needs. Factors include the type of building and available footprint, the type of products or items and their sizes, and the level of returns to be managed, along with your labor requirements and CAPEX and OPEX considerations.

However, the reasons to deploy a pouch system are compelling. Pouch systems are easily retrofitted into existing base GtP operations. They provide mid- to short-term storage, acting as a ship buffer with automated sortation and sequencing capabilities. Pouch systems can also help optimize the reverse logistics process. Scalable and modular pouch systems can grow as the e-commerce market expands. Their ability to integrate with other systems facilitates digitization, giving GtP businesses greater data insights that will further enhance productivity.

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Mahle Achieves Operational Efficiency with Cube Storage

Having witnessed a trend towards more small package orders and less frequent large stock pallet orders, MAHLE Aftermarket selected a highly efficient AutoStore empowered by Kardex robotic cube storage system to increase capacity and throughput.

The global parts and solutions provider to the independent aftermarket was also experiencing storage capacity constraints at its distribution centre in Olive Branch, Mississippi. MAHLE looked for a high-density storage solution that would enable it to adapt to the shift in customer order profiles and is scalable for future growth. Having examined a range of options, the company invested in the AutoStore empowered by Kardex solution. The project has been hailed a success by MAHLE, helping the company store more products in less space and ship small orders more efficiently.

MAHLE chose Kardex to implement the intelligent goods-to-person automated storage and retrieval system (ASRS) tailored to MAHLE Aftermarket’s material flow, with market-leading inventory storage density and processing. The complete AutoStore solution at the Mississippi facility comprises 42,000 bins, 7 ports and 18 robots, in addition to a connected conveyor solution with 18 gravity lanes used for consolidation.

Designed and planned by Kardex, the AutoStore solution was built and commissioned on schedule and ramped up quickly and smoothly. Kardex FulfillX maximizes the capabilities of AutoStore robotic cube systems to optimize resources and processes, delivering the fastest order fulfilment solution per square foot on the market, increasing storage capacity by up to 4 times and enhancing performance by up to 10 times compared with traditional methods, without additional workforce.

Density, scalability and hands-on support

MAHLE Aftermarket has hailed the support Kardex provided throughout the project. Lorraine Hinderer, MAHLE Aftermarket Head of Business Innovation and Excellence, says, “One of the reasons we chose Kardex is because compared to the other integrators they were able to provide an end-to-end solution tailored to our material flow, whereas the others were focused on selling their solution and not a holistic approach. I would recommend Kardex to other companies – and have actually – just due to the way that they support in the whole initial design and sizing… but also in actually implementing the system on-site.”

Rhiannon Fisher, MAHLE Aftermarket Head of Business Excellence for the North America region, adds, “The support provided by Kardex exceeded expectations. During the design process they were very hands on. They provided support on-site during the entire process and ultimately delivered a turnkey solution.”

Fred Fox, Director of Project Success for the Kardex Solutions AutoStore team, explains that Kardex offers clients the flexibility to either leverage Kardex FulfillX, the purpose-built software package designed specifically for AutoStore end-user solutions, integrate other warehouse management systems (WMS), or utilize their own software. In the case of MAHLE Aftermarket, it chose to integrate with its existing SAP Warehouse Management System. “Together we got a really good solution in place and that’s just part of who we are and what we want to do,” Fox states.

Following the success of the Olive Branch project, MAHLE Aftermarket automated a second operation in Décines-Charpieu (Lyon), France, including 22,440 storage bins, 7 robots and 2 workstations. MAHLE continues to evaluate its other locations worldwide to assess if AutoStore empowered by Kardex can enhance customer service, increase efficiencies, and standardize its operations.

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Dematic Completes Commissioning of AutoStore Project

Dematic has recently finalised the delivery and installation of an AutoStore system for Righi Elettroservizi SpA, a leading Italian company in industrial automation, system integration and information technology.

“We have been impressed by Dematic’s global network of industry expertise and its organisational structure, which allows it to efficiently implement the type of high-priority solutions required by our management,” explains Luca Righi, Operation and Supply manager.

The difficulty of material procurement had grown into a global challenge over the last two years, impacting the daily business at Righi Elettroservizi, which determined it needed to develop a quick response to the changed supply chain environment to remain on course with its growth strategy. The company operates nationally and worldwide either directly or through subsidiaries. Thus, its aim was to improve its storage and performance of its production order preparation.

As a response to the ongoing supply chain challenges, Righi Elettroservici targeted expanding its warehouse stock to cope with longer lead times with replenishment seen as a critical component of its strategy. Headquartered in Mercato Saraceno, not far from coastal town Rimini, the company was convinced the Dematic solution would be the best response to the global supply challenges at its site location.

The compact goods-to-person automated storage and retrieval system installed by Dematic, a global leader in the design, installation and support of intelligent automated solutions, requires no additional floor space and facilitates storage of supplemental stock. Installed on an area of 170 square metres (1,830 square feet) the stand-alone system can provide storage for up to 480 cubic metres (5,167 cubic feet) of products. The solution incorporates a 16-level grid with 5,800 bins (330 mm), seven R5 robots and two picking carousel ports as well as a single put-away carousel port.

The automated solution has been integrated into the company’s existing materials storage environment, providing a boost in efficiency, quality and safety. It has also proven to be instrumental in faster and more accurate handling of large quantities of items, which has led to more efficient management of anticipated increases in production volumes.

With the Dematic solution, which took 11 months to complete, the expectation is to accelerate order completion as well as to quickly accommodate customer demands, raising their level of satisfaction. A pick is now completed in 35 seconds, which represents a time savings of nearly 50 percent.

Commissioning of AutoStore

The Dematic solution has also led to marked improvement in material traceability and Righi can more easily pinpoint the path of the material – arrival, storage and exit – within its facility. An added benefit has been the full integration of the Autostore™ system with the company’s previously installed warehouse management system without any new software investment. It has allowed warehouse operators to continue managing the material flow using a system they were already familiar with.

Rosario Filomena, a sales manager with Dematic, comments, “the system provides the benefits the customer anticipated for handling the materials needed for switchboard production, And Righi Elettroservizi, which has been a longtime supplier to Dematic, has become one of our best customers!”

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