Scaling with demand
October 1st 2010 Savoye brings efficiency and flexibility to
Next Homeware warehousing
The background: The Next Group has grown into a successful
UK based retailer offering clothing and homeware
through 480 stores in the UK and Eire. In addition, its
Next Directory mail order catalogue and online shopping
business allows customers to buy anything from the latest
fashions to Homeware at the click of a button.
The Home division has continued to develop over the years
incorporating a number of new product areas bringing further
demands and growth to its supply chain. This business growth
called for an investment in a new distribution centre to store and
pick these goods. The existing Home warehouse would continue
to deliver the furniture and two-man delivery business, while the
new distribution centre would handle items that could easily be
palletised.
The challenge
Savoye was selected as Next's logistics solutions partner for the
new site at Rotherham. The new centralised distribution site
needed to accommodate the vast range of different sized and
shaped products that form Next's homeware product range.
Therefore, Next required a flexible solution that would manage
the whole process of goods in, storage and distribution of items
into and from the facility.
The central element of Next's brief to Savoye was to ensure the
solution provided flexibility for the forecast business growth and
the wide range of product, while offering improved efficiency
within the warehouse operation.
The solution
Following the period of evaluation and simulation, a number of
options were investigated. It was quickly established that using
traditional crane systems within the new warehouse would not
offer the flexibility or return on investment required by Next. Due
to the size and function of the warehouse, the number of cranes
that would be necessary to manage the facility efficiently would be
financially unviable. It was therefore agreed that Savoye's
Magmatic pallet storage system would offer the flexibility required
by Next with the additional provision for future growth.
In practice, the solution installed at the Next site utilises a
combination of Savoye's Magmatic and Levmatic systems.
Magmatic is Savoye's bulk storage picking tool, consisting of
totally automatic radio controlled battery driven independent
vehicles (known as VMs) which are able to access any pallet in
the warehouse. Levmatic is a simple and reliable lift system,
which moves the Magmatic vehicles (with or without a pallet)
from one level to another. The advantage of this technology is
that it allows Next to scale its warehousing in line with demand.
The installation supplied by Savoye comprised the racking for
the warehouse including the storage and order fulfilment areas,
14 Magmatic vehicles and 6 Levmatic lifts, a 500m pallet
conveying system and the IT management system required to
operate and manage pallet delivery in the warehouse. The
warehouse was designed with a capacity for 124,000 pallets.
The complete warehousing solution was successfully
completed in spring 2008, on schedule and within budget.
Importantly, Savoye has continued to maintain the ongoing
working partnership with the retailer.
Over two years on from the opening, targets are being
maintained and the operational efficiencies are also being
enhanced. Forming a close business partnership with Next has
allowed Savoye to offer greater value via a more consultative role
offering informed and targeted advice on system operation and
maintenance in the longer-term.
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