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THE PROBLEM

Scholastic struggled to operate a highly seasonal distribution operation due to a lack of available labor. Seasonal demand put service at risk and added fulfillment costs. The company's continued growth combined with a declining labor pool necessitated significant investment in automation.

Applying automation was not straight-forward, however, as a result of a wide array of unique business and operational requirements across multiple business divisions, each with their own fulfillment mode and order profile.

KEY QUESTIONS

  • How can the business reconcile the staffing required to meet order demand with the lack of available labor surrounding the facility?

  • Is a significant investment ($30M+) justifiable given the seasonal nature of the business?

  • What is the best material handling solution and technologies to apply to a complicated, multi-business unit, multi-channel operation?

  • What is the best implementation plan, given the existing operation cannot be disrupted?
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THE SOLUTION

AutoStore Goods-to-Person (GtP) System
Eliminated walking from the order fulfillment process.

Dynamically Zoned High-Velocity Pick Tunnels
Integrated pick-to-light technology for the fastest-selling products.

Customization for Flexibility
Added flexibility to the AutoStore picking ports and High-Velocity areas by standardizing pick processes across all business divisions and work types.

Hyper-Detailed Phasing Plan
Developed a careful implementation strategy to minimize disruption.

KEY RESULTS & INSIGHTS

  • Increased order picking productivity by 109%, from 140 order lines per hour per person to 293.

  • Reduced labor costs by 30%, saving $11.4M annually.
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READY TO TRANSFORM YOUR OPERATIONS?

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