Logistic Process Optimization

The sports retail giant is geared towards large throughput rates, flexibility and efficiency of processes. Such a fast-changing system is better managed with a manually managed distribution system. Compared to a machine, humans can react immediately and faster, resulting in a more flexible system. Therefore one had to focus on the person and underlying processes instead of automation. However, the system in Austria worked exactly the opposite: until the takeover of Sports Direct, they had replaced the existing manpower with technology.

The approach in the distribution centre in Wels entailed dismantling the technically complex goods-to-man system and implementing a classic man-to-goods structure.
At the same time, efficiently emptying the warehouse created free space. To ensure the required capacities at the picking stations, a walkway solution was planned together with Bito Lagertechnik, an Austrian specialist in shelving systems. This means that the racking installation is now picked both on the floor and in height, and the intermediate areas are used to store supplies. Finally, also order management has been adapted. The retail giant introduced its own IT systems and solutions, i.e. ordering and corresponding order picking, which is now carried out in trolleys and then delivered to stores.

The final outcome encompassed the creation of more than 20,000 order picking and 12,000 pallet locations. A new shelf system, managed with inductively guided storage and retrieval machines, made it possible to keep up with the rapidly changing product range. Sports Direct also created new jobs in the distribution centre. Finally, the centre is not only supplying all Austrian stores, but an expansion possibility was created by setting the prerequisites with a new logistics concept.