Automation is changing the logistics game. It’s helping companies operate efficiently, and service customers even faster.
Walmart is enhancing its automated grocery distribution network to keep up with changing shopping habits.
To build more trust with customers and ensure products are always available, Walmart is investing in data, smart software, and automation.
Why does this matter? These steps aim to transform the business and create a more efficient supply chain.
High-tech perishable distribution centers
Walmart is on a technology mission. In April the business revealed it was rolling out 9 autonomous forklifts at four distribution centers (DCs).
Dave Guggina, executive vice president for supply chain operations at Walmart says the company is building five new high-tech perishable distribution centers.
The business’ first high-tech distribution center in Shafter, California, has been operational since 2021. The second, in Lancaster, Texas, is starting up currently.
“Next, we’ll open centers in Wellford, South Carolina; Belvidere, Illinois; and Pilesgrove, New Jersey. Together, these centers will create about 2,000 new jobs and strengthen our supply chain network,” says Guggina.
Perishable distribution centers
The retail giant is expanding four traditional perishable distribution centers by adding over 500,000 square feet of automation at each site.
This will increase capacity for fresh products. These expansions will take place in Mankato, Minnesota; Mebane, North Carolina; Garrett, Indiana; and Shelbyville, Tennessee.
What about other upgrades? “Our Winter Haven, Florida perishable distribution center is getting upgraded, as we integrate the newest technology into the space,” says Guggina.
Walmart is investing in technology
Why are retailers going the automation route? Companies are doing this to improve efficiency, reduce costs, and meet changing customer demands. Automation helps retail businesses keep shelves stocked faster, manage inventory more accurately, and provide a better shopping experience.
By adding technology to its facilities, Walmart is moving forward to enable greater speed and capacity that allows it to serve customers even more reliably.
What’s the bigger picture? “These high-tech DCs can store double the number of cases and process more than twice the volume of a traditional perishable DC, more than doubling the number of cases processed per hour,” says Guggina.
Here’s the technology in action:
- Cases arriving from farmers and suppliers are inspected for quality, and de-palletized.
- The cases are stored in an automated system nearly 80 feet tall, operating in a temperature-controlled environment.
- When it’s time to fulfill a store order, the system retrieves the cases and starts building store-ready pallets by department, making them easier to unload at the store.
- The pallets are intelligently layered, with fragile items like eggs or fruit placed on top.
- They are then wrapped and loaded onto a truck for shipping.
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About the author
Sharl is a qualified journalist. He has over 10 years’ experience in the media industry, including positions as an editor of a magazine and Business Editor of a daily newspaper. Sharl also has experience in logistics specifically operations, where he worked with global food aid organisations distributing food into Africa. Sharl enjoys writing business stories and human interest pieces.