Dive Transient:
- Ollie’s Cut price Outlet opened a brand new distribution heart in Princeton, Illinois, in a bid to develop its Midwest distribution capability, Brian McNabb, SVP of provide chain at Ollie’s, advised sister publication Provide Chain Dive in an interview.
- The 615,000-square-foot facility will assist streamline operations whereas serving 60 shops in 9 states and finally enhance to over 150 shops, in accordance with a press launch final month.
- The brand new Illinois facility will function “robotics and automation that helps us course of pallet picks extra effectively, in addition to instances which might be too small to convey after which excessive velocity case choose SKUs,” he added.
Dive Perception:
Know-how is a vital piece of Ollie’s efforts to streamline its operation and develop its distribution footprint.
The Illinois facility is the low cost retailer’s fourth distribution heart, with others situated in York, Pennsylvania; Commerce, Georgia; and Lancaster, Texas, McNabb mentioned. Ollie’s current services are geared up with “regular” excessive velocity conveyance and sortation techniques, McNabb mentioned.
Ollie’s warehouse operators collaborated on find out how to design the brand new Illinois heart, together with the kinds of automation the constructing needs to be geared up with and whether or not these components might be added to its current distribution community. McNabb famous that Ollie’s will proceed to check its efforts.
“It is about us studying our enterprise and studying and attempting new issues to attempt to drive effectivity within the provide chain world,” McNabb mentioned. “We’re always in search of new methods to construct upon effectivity, drive effectiveness and our operation.”
Implementing warehouse automation has more and more grown as firms look to enhance operations. Logistics suppliers, as an example, have leveraged warehouse tech throughout occasions of excessive e-commerce volumes and labor challenges to assist bridge these gaps. Retailers have additionally adopted in comparable footsteps to be able to higher fulfill and distribute items.
GXO Logistics and DHL Provide Chain have been centered on strategic warehouse partnerships to remain aggressive and enhance resilience in its provide chain. Others like Basic Mills and Greenback Basic have added automation to their warehouse operations to effectively course of SKUs.