Metcash Drives Future Growth with Automated Order Fulfillment

March 23, 2023

Sydney, Austrailia - Metcash, Australia’s leading wholesale and distributor to the independent network of IGA, Foodland, Cellarbrations, Bottle-O, Mitre 10, Home Timber & Hardware, and Total Tools stores, will integrate a Dematic goods-to-person (GTP) order fulfilment solution within its new Melbourne distribution centre (DC).

The new 115,000 square metre DC, located in Truganina, will service grocery, perishable, liquor, and convenience customers in Victoria from a single facility. This facility replaces Metcash’s ageing facility at Laverton.

“The new DC and state offices will ensure a strong future for Metcash in the state of Victoria and is a reflection of our commitment to the independent retail network we serve,” says Chris Purcell – Head of Logistics for Metcash Food. “This investment also underpins our commitment to creating a safe and enjoyable work environment for our people and operating the most efficient routes to market for our supplier partners.”

The new Dematic GTP solution will streamline operations for Metcash’s split case pick, NDC, and liquor bottle pick, delivering improved productivity, improved ergonomics, faster order fulfilment, and reduced manual handling. The solution has been designed with additional room for volume expansion in line with Metcash’s future growth.

“Acting as a high-density, automated storage and retrieval system, the Dematic solution will fit within the set footprint provided and offer scalable tote storage and high sequenced order picking delivering very high productivity,” explains Terry Jamieson, Business Development Manager at Dematic. “The solution will support Metcash in its bid to drive operational efficiencies, achieve the best use of available space, and meet very specific despatch windows.”

The new Metcash Truganina facility is due for completion in late 2024.

About the Dematic GTP Solution

In traditional order fulfilment operations, operator travel consumes the largest portion of time in fulfilling orders. One of the most effective ways to improve efficiency is to minimise operator travel or eliminate it altogether. In terms of automation, GTP picking solutions can increase operator productivity by over five times.

GTP solutions take advantage of the power of data combined with high efficiency buffering and sequencing systems such as the Dematic Multishuttle®. In high-volume item picking operations, items for orders can be stored, sequenced, and delivered to operators in the order in which they need them.

In a GTP system, operators stay put in ergonomically designed high-rate workstations that optimise productivity, efficiency, and safety. The orders and items required to fulfil the orders arrive at the workstation precisely when they are needed. Workstations can facilitate discrete or batch picking, and they can be configured to fulfil one or more open orders at a time, depending on order processing needs – for example whether for in-store, online order fulfilment, or both.

Key automation technologies like GTP solutions, along with robust and real-time software platform integration, can optimise supply chains and improve operator efficiency, operational processes, and inventory management.

About Dematic

Dematic designs, builds, and supports intelligent automated solutions empowering and sustaining the future of commerce for its customers in manufacturing, warehousing, and distribution. With research and development engineering centers, manufacturing facilities, and service centers located in more than 26 countries, the Dematic global network of over 10,000 employees has helped achieve successful customer installations for some of the world’s leading brands. Headquartered in Atlanta, Dematic is a member of KION Group, one of the world’s leading suppliers of industrial trucks and supply chain solutions. 

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This release and the information contained herein are for information purposes only and do not constitute a prospectus or an offer to sell or a solicitation of an offer to buy any securities in the United States or in any other jurisdiction. This release contains forward-looking statements that are subject to various risks and uncertainties. Future results could differ materially from those described in these forward-looking statements due to certain factors, for example, changes in business, economic, and competitive conditions, regulatory reforms, results of technical studies, foreign exchange rate fluctuations, uncertainties in litigation or investigative proceedings, and the availability of financing. We do not undertake any responsibility to update the forward-looking statements in this release.

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