Jewelry Distributor Case Study
Intelligent DCX Software Suite & A-Frame Technology Yield Phenomenal Results
The Client & Objective
A leading jewelry distributor with nearly $300 million in annual sales needed a new process for picking orders. Its distribution center was responsible for servicing the orders generated by its 30,000+ sales representatives and it often became overwhelmed during gift-giving seasons. MMCI Order Fulfillment was engaged to help improve its current warehouse automation and logistics and implement a more efficient picking solution that could process orders for its vast number of SKUs in a timely manner.
The biggest challenge this distributor faced was that during peak gift-giving times around Christmas and Valentine's Day, the warehouse personnel struggled to meet promised delivery dates.
The company attempted to address the issue by hiring and training temporary, part-time pickers for these seasons, but this was costly and efficiency and order accuracy always suffered.
By integrating modules from the DCX Software Suite and a highly-efficient A-Frame automated picking system, we were able to completely transform the order picking and fulfillment processes to not only operate more efficiently, but adequately handle peak season demand.
In the newly designed system, the A-Frame automatic picking system became the hub of the distributor's operation. All of the fastest-moving SKUs were allotted space in the system so that orders could be dropped into totes without the need of any labor. The DCX Software Suite was configured to transfer order information into the A-Frame system and instruct it on which products to drop into which totes.
The conveyor system that ran through the middle of the A-Frame then transported completed orders to a staging area for pack-out and shipping while sending incomplete orders to another area to be combined with odd-sized or slower moving items that were not stored in the A-Frame system.
For these odd-sized and slower moving items, MMCI Order Fulfillment integrated a pick-to-light system and then transported the incomplete orders through this area so that orders could be completely fulfilled.
Overall, the integration of the A-Frame system along with modules from the DCX Software Suite increased picking productivity, improved order accuracy, and reduced labor costs. In fact, the new system was able to complete 70% of the daily picks in a timely manner - only requiring personnel for the periodic replenishment of the A-Frame system. Plus, the system freed up valuable warehouse space and lowered error rates significantly.
A 95% Decrease in Labor
Now during peak season, instead of struggling to fulfill demand with 400+ warehouse employees, the distributor can process the same amount of orders with a higher accuracy rate with only 20 warehouse employees. The intelligence of the DCX Software Suite combined with the A-Frame automated picking technology provided ongoing cost savings beyond anyone's wildest expectations.
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