Global logistics provider GEODIS SA needed to handle thousands of SKUs for apparel client Maurices. The company turned to automated storage from AutoStore AS and control systems from Bastian Solutions LLC.
GEODIS evaluated a variety of technologies to meet its needs, said Drew Bailey, vice president of design engineering at the third-party logistics provider (3PL).
“We originally compared goods-to-person [G2P] systems against some more or less asset-intensive options, such as batch and sort systems with pick modules and unit sortation,” he told Automated Warehouse. “Things like that are, for throughput of this magnitude, table stakes, in my opinion.”
GEODIS needed speed, scalability for Maurices
GEODIS wanted to satisfy consumer expectations for rapid order fulfillment, particularly during peak periods, but it faced workforce challenges and product complexities. The Maurices goods that GEODIS handles at its existing facility in Ashville, Ohio, vary in size, style, and color.
In addition, the companies expected e-commerce volumes to increase by up to 50% in the next few years.
“We spent a significant amount of time on discovery with Maurices, understanding its business requirements, not just quantitatively like SKUs, but also qualitatively, like dependency on labor,” said Bailey. “The company had been in a shared facility prior to being bought by private equity, so it had some familiarity with automation.”
“Companies are looking for ways to enhance their footprint without buying more real estate,” said Parth Joshi, chief product officer and chief technology officer at AutoStore. “We provide speed and density and have pushed into the high-throughput arena in the past couple of years.”
Joshi joined the company this year after serving as an executive at Cisco, Eaton, and Hexagon Manufacturing Intelligence.
“I came from 25 years of leading product and technology businesses across industries,” he told Automated Warehouse. “I’ve spent the majority of my time visiting customers and partners to see applications ranging from a small store to something spanning half a mile by half a mile.”
Bastian integrates ASRS with other systems, software
GEODIS ultimately chose AutoStore because its G2P systems have fewer moving parts and therefore fewer single points of failure, as well as its scalability, explained Bailey.
AutoStore’s automated storage and retrieval system (ASRS) in Ashville includes 320 robots moving across a 5,574-sq.-m (60,000-sq.-ft.) aluminum Grid that stores 92,000 bins. It also includes 34 RelayPorts, 19 ConveyorPorts, and six CarouselPorts.
The Nedre Vats, Norway-based company added that its system can operate around the clock with 99.7% uptime. Bastian Solutions integrated the ASRS with GEODIS’ existing Manhattan warehouse management system (WMS) and its own Exacta control system.
GEODIS site. Source: AutoStore
In addition, AutoStore’s technology integrates with conveyors, 18 vertical autobaggers, SmartPick piece-picking robots, and automated packing stations.
“We pride ourselves on providing our clients with the necessary advantage to remain competitive—especially as the retail and e-eommerce markets continue to change drastically,” stated Marvin Logan, vice president of solution delivery at Bastian. “With this system, GEODIS will be well-equipped to meet demand, thanks to the advanced automation in this new omnichannel facility.”
The implementation faced challenges around supply chain availability after the COVID-19 pandemic and the integration of numerous parts, acknowledged Bailey.
“I would say time to ROI [return on investment], or time to stability, where we were meeting all our metrics and were stable, was probably close to six months,” he recalled. “The site had quite a bit of complexity, but GEODIS did achieve its primary goals. The important thing is to do the planning, and that’s not just for AutoStore.”
“AutoStore has a standard product,” Bailey noted. “When you work with a lot of startups like we do, you learn to appreciate that, because any customization you do can lead to challenges.”
“We want to continue to improve performance across hardware and software,” said AutoStore’s Joshi. “We’re also making sure we have the right interfaces to adjacent technologies, can handle disruptive growth, improve the total cost of ownership for customers, and continue driving innovation.”
AutoStore supports omnichannel fulfillment
AutoStore said its system fulfills orders across channels, including in-store stock, online purchases, or other distribution needs. It processes 120,000 retail units and 60,000 e-commerce units per day, with the ability to scale up to 250,000 units daily during peak periods.
Not only does this scalability provide seasonal flexibility, but it will also support Maurices’ projected growth, the companies noted. The storage and picking system reduces replenishment and sorting time at stores, according to AutoStore.
GEODIS also reported that the ASRS reduced its operating costs by 30%, reduced labor dependence, and sped up fulfillment. It said employee productivity increased by more than 60%, with targets that usually took four to six weeks to meet being attained in 1.5 weeks.
Even as it increased productivity, the automation reduced tedium and physical stress on workers, improving employee satisfaction, said Bastian Solutions.
“GEODIS views our system as a game-changer,” Joshi said. “It’s a significant leap in omnichannel fulfillment.”
AutoStore plans to release further enhancements to its systems in the spring and fall going forward, he added, citing the recent introduction of multi-temperature capabilities.
“We have close to 75,000 robots that are active in the world across 1,500 sites. We have lots of data coming back to improve customer sites, our products, and uptime,” said Joshi. “The theoretical addressable market is $400 billion, but the current market annually is $5 billion.”