Proof of Concept Testing
In order to develop confidence in the approach and ensure they had chosen the best possible implementation for the PTL installation, the implementation team sent key members to the LPT site. They installed the software on the new server and the Project Manager (Morneau) provided some test data and testing scripts for the system. The implementation team then set up a prototype environment as it would be implemented at the DC including light ducts, the controller and the Blue Tooth access point.
After an initial testing phase they implemented the solution at the DC.
46% Increase in Productivity
The results of the phase I implementation became evident in the first two weeks following the PTL installation. The pack lanes were able to increase to 600 units per hour immediately and increased to 750 units per hour over the next few weeks. The total throughput per hour for the DC rose 46% from 408 units per hour to 598 units per hour within a month.
Additionally, the need for temporary labor was significantly decreased by the automation. Processing cycle time from entry of receipt to the order on the DC floor fell from 6-8 business days to 1 business day. The DC was able to process priority orders in just one hour – a time which was inconceivable under the old system.
Improved Shipment Tracking
Not only did productivity increase, but errors in packing orders were significantly decreased. Carton level manifests are now created with shipping tracking numbers and sent electronically to stores overnight. Ecommerce stores are being packed in the PTL system with uniform cartons and carton content information. Designs are also underway for sending carton manifests to the ecommerce vendor as soon as they are ready to receive them.