Accommodating Massive eCommerce Growth

Click-to-ship in 30 minutes.

THE CHALLENGE

Addressing eCom capacity and throughput constraints

THE SOLUTION

Four-touch fulfillment from click to ship

Delivering on the promise of fast shipping and delivery

One of the largest retailers in the world has a nice problem: massive eCommerce growth. The retail giant has experienced so much growth, they’re building a new, next-generation fulfillment network.

The fulfillment centers (FCs) are the first of their kind and use a combination of people, robotics and machine learning to set a new precedent for fulfillment speed. The new FCs:

  • Double the retailer’s storage capacity
  • Double the number of customer orders filled in a day
  • Provide the majority of the US population with next or two-day shipping on millions of items

To do it, the retailer leveraged KNAPP’s sector-specific expertise, intelligent logistics software and modular autonomous robotics. A high-density, robotic shuttle system tailored to their performance and investment requirements delivers the highest performance in order fulfillment and flexibility.

It has allowed the retailer to take a twelve-step process down to just five steps that require only four touches.

picking workstation composite image showing an automated fulfillment workstation with totes goods to person technology and digital order displays representing how advanced picking systems help major retailers keep their promise of fast shipping and delivery while supporting massive ecommerce growth and next generation fulfillment network expansion.

Click-to-ship in 30 minutes

Here’s how the retailer describes its new low-touch logistics process.

retail worker operating a modern fulfillment workstation with organized goods digital displays and pick to light technology illustrating efficient order processing and the role of ergonomic workstations in supporting fast accurate retail fulfillment.
  1. UNLOAD: Sellers and suppliers send merchandise in cases to the FC. As the cases arrive, associates unload the trailers and place cases onto a conveyor belt where they’re routed to receiving.
  2. RECEIVING: At receiving, an associate breaks the case apart and places items into a tote. The tote is placed in an automated storage system where a shuttle transports it to one of millions of designated locations. The storage system is designed to account for every square inch, spanning from floor to ceiling.
  3. PICK: When a customer places an online order, the system retrieves their items and shuttles the needed totes to an employee at a picking station. This goods-to-person (GTP) approach eliminates up to nine miles per day of walking that associates typically spend as they pick items from multiple floors and shelving spread out over hundreds of thousands of square feet of space.
  4. PACK: Simultaneously, a custom box is created to fit the precise measurements of the order and sent to an associate for packing. In the packing area, associates can assemble up to four orders at once and send packages to be shipped in less than 30 minutes after the customer clicks to order.
  5. SHIP: The completed order is automatically scanned, taped, labeled and routed to its designated zone where it’s shipped to its final destination.

Low-touch logistics for fast, efficient fulfillment

Five steps and four touches for 30-minute “click-to-ship” fulfillment. Low-touch logistics is how this big box retailer is addressing its growing pains and getting orders to customers fast and efficiently. This “Four-Touch-Fulfillment Feat” required close collaboration with the retailer, which is nothing new for KNAPP. We’re on the journey with you.

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