Stock, Warehouses & Sortation Conveyors
Conveyor systems are a key component when it comes to logistics and are in use by many of our food retailers.
The traditional supermarket in the UK (such as Tesco or Asda) has around 40,000 separate products or SKUs. However, as we are all aware, many shoppers have now moved to the smaller food retailers who, because of their smaller number of SKUs (around 1,600) and fast moving stock lines, are able to offer us lower prices. For example Netto, who only recently moved into the UK market, previously used only one distribution centre in Europe to serve all of is 120 EPOS connected stores.
The advantage of this was that the daily sales from each of the stores formed the equivalent of demand forecasting for the distribution centre which, with the assistance of a fast sortation conveyor, replenished the shelves of all the stores before they opened the next day. Slow moving lines were got rid of and replaced with items that Netto hoped would be fast sellers with their shoppers. This was imperative for Netto who, as a budget supermarket, needed to keep costs to a minimum. Warehousing costs for slow moving stock is one of the major costs for a supermarket.
What is a Sortation Conveyor?
A sortation conveyor system is where products are separated into specific destination lanes with the purpose of arranging products for the best means of distribution, which speeds up productivity. These types of conveyor systems are often used where a high quantity of products needs to be supplied to different destinations, and are ideal for supermarket warehousing and distribution centres.
Information courtesy of www.warehousenews.co.uk