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Case Studies > Secures Efficient Warehousing and Future Capacity

Secures Efficient Warehousing and Future Capacity

Technology Category
  • Analytics & Modeling - Predictive Analytics
  • Automation & Control - Automation & Process Control Systems
  • Functional Applications - Warehouse Management Systems (WMS)
Applicable Industries
  • E-Commerce
  • Retail
Applicable Functions
  • Logistics & Transportation
  • Warehouse & Inventory Management
Use Cases
  • Inventory Management
  • Predictive Maintenance
  • Warehouse Automation
Services
  • Software Design & Engineering Services
  • System Integration
The Challenge
Bergendahl’s Food faces the challenge of securing efficient warehousing with necessary capacity without building a new central distribution center and increasing salary costs. The company has an annual growth rate of 10-15%, and the number of categories and different items increases rapidly. The complexity in the supply chain is further complicated by the growing demand for perishable goods such as bread, meat, and fruits & vegetables. The central distribution center needs to be expanded in just four or five years to handle the growth and secure profitability. The major challenge is to handle and facilitate smooth growth and secure profitability while transitioning from manual, labor-intensive goods handling to increasingly automated warehousing.
About The Customer
Bergendahl’s Food is a family-owned retail trading company in the convenience goods industry, founded by Mikael Bergendahl in 1922. The company has grown to become an important player in the Swedish convenience goods market, both as a wholesaler and retailer. With 4,000 employees and sales of SEK 9 billion, Bergendahl’s is also a significant e-commerce player, offering online grocery shopping and meal packs containing ingredients for the week ahead. The company’s warehouse and central distribution center have been located in Hässleholm, Sweden, since 1922. Bergendahl’s Group has eleven different brand concepts and is active in six different countries within the areas of food, fashion, and Home Deco. Bergendahl’s Food is the largest company in the group, generating more than 90% of sales.
The Solution
Bergendahl’s Food invested in a new automated High Bay Warehouse to handle growth, complexity, and secure profitability. The warehouse consists of a conveyor system that takes the pallets to the mezzanine and four double-deep vectura stacker cranes that automatically store and retrieve the pallets. The vectura cranes stretch 30 meters above the ground and serve over 17,000 pallet locations on a footprint of only 4,500 square meters. The maximum throughput is 160 pallets per hour. The hardware is supported by warehouse management software from Swisslog, which controls the solution and cooperates with Bergendahl’s own order management software. The automation significantly improves the working environment and ergonomics, reducing the need for manual handling of pallets and item picking. The automatic handling of all full and half pallets has significantly improved warehouse efficiency, doubling the amount of pallet movements in just one year. The implementation and start-up of the Automated High Bay Warehouse have been successful, achieving a reduction in personnel costs equivalent to 12 annual salaries, reduced sickness, fewer accidents, and improved overall efficiency.
Operational Impact
  • Improved overall efficiency and secured future growth and profitability.
  • Improved space utilization and reduced lead time.
  • Reduced damage and fewer errors.
Quantitative Benefit
  • Reduction in personnel costs equivalent to 12 annual salaries.
  • Doubled the amount of pallet movements in just one year.
  • Energy consumption reduced by 20% due to weight reduction and energy-efficient drives.

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