In the dynamic world of the grocery industry, where fierce competition and razor-thin profit margins prevail, staying ahead of the game is essential. The industry faces constant shifts in consumer preferences and behaviours, and amidst these challenges, grocers must maintain product availability, profitability, and a thriving workforce.
Today, in an era of historically low unemployment rates, grocers are going the extra mile to attract and retain talent. Alongside offering competitive wages, enticing benefits, and flexible work arrangements, they’re turning to cutting-edge automation, robotics, and software to work smarter and faster with their existing teams.
“Finding people to fill warehouse roles is becoming increasingly difficult, right at a time when distribution costs, fuel costs and transportation costs are also rising,” says James Sharples, VP of global business acceleration at Swisslog.
Recognising this need for innovation, Swisslog has introduced a game-changer – ACPaQ, a robotic and data-driven solution that’s revolutionising store-ready mixed case palletising. ACPaQ is a versatile solution designed to cater to various industries, including grocery, retail, food and beverage, and pharmaceuticals.
At the heart of ACPaQ is a robot palletiser that seamlessly picks products from conveyor belts and neatly arranges them on pallets. Its accompanying software is the brains behind the operation, deftly controlling both the robot and the pallet assembly. But what truly sets ACPaQ apart is its staggering palletising accuracy of 99.9%.
The beauty of ACPaQ lies in its adaptability. It can be configured to handle a wide array of products and scaled up to meet the unique needs of any business. For grocers, it’s a precious tool that enhances efficiency, accuracy, and flexibility, while also reducing costs and elevating customer service.
That’s not all – ACPaQ comes with an integrated storage system and Swisslog’s SynQ software. This software not only ensures reliable and transparent operations but also expertly sequences pallets and factors in any unique requirements, such as height restrictions or fragile items. The result is increased throughput and higher picking quality.
Swisslog’s mixed-case palletizer software offers businesses the flexibility to customise palletising orders, optimising efficiency during in-store replenishment. It’s a versatile solution that can handle various carton types and pallets, catering to the diverse needs of the retail and beverage industries.
Case study: dm-drogerie markt, Germany
ACPaQ isn’t just an invention – it’s a real-world solution making a difference. Take, for instance, Germany’s largest retailer, dm-drogerie markt (dm). Specialising in cosmetics, healthcare, household products, and more, dm has been at the forefront of innovation.
In 2020, dm’s Wustermark distribution centre received the prestigious German Logistics Award. Since its inception, this state-of-the-art centre has harnessed the power of Swisslog’s fully automated mixed-case palletising solution. This cutting-edge distribution centre is a testament to dm’s commitment to sustainability and competitiveness.
As Swisslog’s automation partner for intralogistics in Wustermark, they worked together to fine-tune both the DC’s robotics and material flow. With over 2,000 dm stores across Germany, the “Integrative. Intelligent. Automated. Trade Logistics at dm” project was executed with utmost efficiency, ushering in a new era for the drugstore chain.
The ACPaQ fully automated picking solution brings together high-end robotics from KUKA with Swisslog’s decades of logistics expertise. It not only accelerates material flow but also transforms it into an ergonomic and cost-effective process. This revolutionary solution isn’t limited to dm; it’s also found its place in logistics centres of renowned companies like GXO/Nestle in the UK and Coca-Cola Amatil in New Zealand.
In a remarkable show of commitment, dm has invested over 100 million euros in its site in Wustermark, emphasising sustainability as a core value. The logistics centre, operational since Spring 2020, boasts storage capacity for 24,000 pallets and features the innovative CycloneCarrier shuttle system, providing buffer storage for a staggering 265,000 packages. Seven KUKA palletising robots, known as “RowPaQs,” work seamlessly alongside eight manual picking lines.
These robots are equipped with specialised inline grippers, enabling them to palletise up to four packs simultaneously, far surpassing the efficiency of manual methods. Swisslog’s SynQ software orchestrates the entire ACPaQ system, creating digital twins of each dm branch and elevating the supply chain to new heights.
Staying ahead of the curve
Swisslog fills a vital need for retailers that know they need to automate some or all their warehouse picking, packing and palletising operations, but don’t understand how the various pieces of equipment, software and control systems “fit” together to create a single, streamlined, efficient system.
“Companies may be able to purchase large systems on their own, but they need an integrator like Swisslog to bring it all together into a single, cohesive solution,” says Sharples. “The magic that we bring is the power of integration.” That integration is divided into two distinct categories: the physical aspect of uniting multiple solutions on a single platform, and then providing a single point of control for managing the various subsystems that go into the solution.
“Retailers and grocers need a unified platform that offers a single point of control but can still visually manage all of the different subsystems,” says Sharples. That’s where Swisslog SynQ comes into the picture. A warehouse management system (WMS) that helps businesses improve the efficiency, accuracy, and flexibility of their warehouse operations, SynQ is designed to be easy to use and to integrate with existing systems. “SynQ lets warehouse managers see everything and/or communicate with everyone from a single contact point,” Sharples adds. “That’s the real magic of the recipe that we’ve been providing to global retailers for many years.”
As retailers work through their current business challenges and brace themselves to tackle new roadblocks, labour availability is expected to remain a top-of-mind issue for these growing organisations. Combined with inflation and cost jumps, this problem is putting increased pressure on retailers to optimise their fulfilment operations while improving customer service levels.
In response to these pressures, retailers are working with companies like Swisslog to fully or partially automate their palletising operations and integrate their warehousing technology onto a single platform. In return, companies know they always have an ample supply of the right products in their stores, engaged workers who stay in place longer and customers who keep coming back for more.
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