Palsystem Consumers’ Co-operative Union
Reorganizing logistics to expand business and respond to manpower shortage
Challenge
Pal System Consumers' Cooperative Union has 1.93 million members, including 13 co-ops in Tokyo and 11 prefectures, mainly in the Kanto region. There are 2111 SKUs of dry products that account for 35% of sales, 66% of which are slow moving products. Although the shipping volume of these slow moving items is small, they are essential for the satisfaction of consumers and are expected to increase in the future. However, the existing order set center was facing the following challenges.
- Space shortage
- Labor shortage and aging of workers
- Many unnecessary movements such as walking and searching
Solution
As part of the logistics reorganization project, handling of the slow moving items was consolidated at the Hachioji Set Center. Incoming products are stored in the automated warehouse and automatically delivered to each picking station according to shipping instructions.
Products destined for the Hachioji and Inagi Set Centers (Hachioji & Inagi SC) are collected by order, and products destined for the Sugito Set Center (Sugito SC) are collected by batch and shipped out respectively.
High throughput miniload AS/RS “Shuttle Rack M”
In the receiving area, products after inspection are placed into collapsible containers by product and fed into the conveying line.
The containers are then automatically stored into Shuttle Rack M.
A total of seven “Shuttle Rack M” have a storage capacity of 3360 cases, and can process 6300 cases per hour.
Order picking station for Hachioji and Inagi SC: Put-to-Light System + Pick-to-Light System
One side of the shelf is used as a Put-to-Light system for sorting, and the other side is used as a Pick-to-Light system for picking.
Collapsible containers from “Shuttle Rack M” is delivered to the sorting side by conveyors. The operator picks up the quantity indicated by the digital display from the container and sorts it into the shelf. On the collection side of the shelf, sorted products are taken out from the picking window according to the instructions on the indicator, and put into the collection box on the conveyor.
Batch picking station for Sugito SC: Labor saving and error reduction through Goods-to-Person picking
Collapsible containers from “Shuttle Rack M” is supplied to the operator. The operator simply picks the quantity indicated on the monitor and puts them into the order collection tote. Work can always be performed at a fixed point. Since the products are automatically supplied, there is no risk of mis-picking, and anyone can work easily.
Customer’s Comment
Kei Iino, Manager,
Logistics Department
With the new system, only nine people can manage the work that used to be done by 16 people with the previous picking system, which is a great achievement. We have had no initial problems with the automatic picking system implemented, and we are highly satisfied with Daifuku's system.
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