Logistics at the Core of Management: Sangetsu’s 150-Minute Order-to-Shipment Operation

A Key Hub Supporting Logistics in Western Japan

Opened in 2021, the Kansai Logistics Center serves as Sangetsu’s primary logistics hub for western Japan, consolidating several existing facilities into a single location. Located in Yodogawa Ward, Osaka, the Center has a total floor area of approximately 43,880 m²—around 60% larger than previous facilities. In addition to serving the Kansai region, the center also functions as a hub for receiving imported products and coordinates inter-facility transportation, supplying satellite centers in the Chugoku, Shikoku, and Kyushu regions, making it the core of Sangetsu’s logistics network in western Japan.

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  Unit Load AS/RS for storing wallpaper

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  Dedicated box pallets are used to store rolls of wallpaper

Because incoming rolls of wallpaper are difficult to keep stable during storage and handling, they are placed in dedicated box pallets before being stored in the automatic storage and retrieval system (AS/RS). The AS/RS makes effective use of the building’s 7.1-meter height to maximize storage efficiency.

The storage areas have been optimized based on analyses of order data, operational performance, and product shipping patterns. Frequently shipped products are stored in locations that maximize picking efficiency, while products requiring close coordination with the cutting process are placed near the cutting area. This data-driven layout optimizes the efficiency across the entire operation. To handle large-volume orders, the Center also employs a stacker-crane-based side-picking system.

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  Stacker cranes provide automatic inventory replenishment

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  Rack-side picking directly onto a belt conveyor

Combining Automation with Human Judgment to Support 150-Minute Order-to-Shipment Fulfillment

At the core of Sangetsu’s wallpaper logistics operation is the cutting process. Here, the company uses a customized rotating rack system for rolls developed by Daifuku. The system creates an integrated process that handles everything from measuring specially manufactured 250-meter rolls to rewinding, cutting, and packaging. Inventory changes resulting from the cutting process are reflected in the system in real time, enabling replenishment instructions to be issued automatically as needed. Compared with manual operations, the automated process reduces operator workload while minimizing inconsistencies such as measurement errors, helping ensure stable, high-quality shipments.

The Center has also implemented a goods-to-person (GTP) system that enables products to be picked at fixed workstations. Automated guided vehicles (AGVs) transport products between floors, further improving productivity. Once picking, cutting, and packaging are complete, products are conveyed, sorted by destination, and sent to the shipping area.

Tomoki Hashimoto

While automation underpins much of the Center’s processes, people remain an essential part of the operation.

“We close orders five or six times each day,” explains Hashimoto, “and after each cutoff we adjust shipment instructions based on inventory levels, order volumes, and shipping priorities. In the construction industry, last-minute order changes are common, and during peak periods order volumes can rise to more than 1.5 times their normal level. Responding to these fluctuations requires not only automated systems, but also the judgment and expertise of our operators.”

Addressing Operational Challenges Through Decades of Collaboration

The partnership between Sangetsu and Daifuku began in the 1980s. At the time, wallpaper was primarily cut by hand—spread across the floor and measured with a tape measure. This placed a considerable burden on workers and led to inconsistency in efficiency and quality.

“To continue the growth of our business, there was a limit to how long we could use these conventional methods,” recalls Naito. Daifuku worked closely with us to understand the challenges on the floor and gradually proposed and implemented an integrated system for measuring, cutting, and transporting our products.”

Naito notes that Sangetsu highly values not only the performance of Daifuku’s equipment, but also its ability to propose solutions, meet delivery deadlines, and provide consistent support throughout the entire process—from implementation to ongoing maintenance.

“At Sangetsu, we believe that once we promise a customer a delivery, we must fulfill that promise. We strongly identify with Daifuku’s commitment to meeting delivery deadlines. Daifuku does much more than simply supply equipment—it is a trusted partner we can consult on every aspect of our logistics operations,” explains Naito.

Using Automation to Create a More Supportive Workplace

Sangetsu’s efforts to automate operations have also led to the mechanization of physically demanding tasks. As a result, these initiatives are improving working conditions and helping create a more accessible workplace where a diverse range of people can contribute.

“As automation advances and the work environment improves, I feel it has become easier to attract talent,” notes Naito. “Reducing heavy physical work enables a wider range of people to play an active role, and I believe that creates social value in itself.”

Looking ahead, Sangetsu sees the automation of inspection processes and truck loading as key priorities. “We hope Daifuku will continue proposing solutions for challenging areas such as handling and loading heavy items,” says Naito. “For decades, Daifuku has supported our operations, working alongside us through periods of rapid business growth. We look forward to continuing our collaboration as we pursue the best possible logistics solutions for our business.”

By positioning logistics as a source of customer value, Sangetsu has steadily developed systems tailored to the characteristics of its products. The initiatives at the Kansai Logistics Center demonstrate how high quality, speed, and flexibility can be achieved together.