CASE STUDY

Reference Suning, China:

Highly automated omni-channel distribution center
for deliveries to shops and e-commerce customers

ssi-schaefer.com
 A SUPERLATIVE OMNI-CHANNEL
LOGISTICS CENTER

E-commerce has become highly important in recent years. The tradi-

tional differentiation between the sales channels retail business and
mail-order business has often merged into one omni-channel model.
Worldwide, customers are increasingly making use of the ability to buy
from anywhere, at any time. This calls for fast, reliable, and accurate
deliveries – in conjunction with a lexible distribution center.

Founded 25 years ago as electrical store, the Chinese retail aiming at a one-stop shopping experience for its customers
giant Suning now offers a wide range of products in more by entirely linking different sales channels. Therefore, Suning
than 4,000 stores and on its online platform, suning.com. required a brand-new, highly modern distribution center
These products include electronics, ofice supplies, books, that SSI SCHAEFER designed and successfully implemented
toys, household goods, cosmetics, apparel, and groceries. in Nanjing (China). The logistics center supplies both, Suning
The company opts for an Online-to-Ofline (O2O) strategy stores as well as e-commerce customers.

2
 SUNING

The customized system solution consists of a miniload with movements. In the HBW, energy-eficient Exyz, modern pallet
338,400 storage locations, an automated high-bay warehouse SRMs, make the best possible use of vertical warehouse space.
(HBW) with 10,608 pallet storage locations, and a static rack The concept is complemented by the Schäfer Carousel System
system with about 240,000 storage locations. In the miniload, (SCS). Customer orders are compiled at high-performance Pick
Schäfer Miniload Cranes (SMC), highly dynamic storage and to Tote work stations, which are directly connected to the SCS.
retrieval machines (SRM), ensure eficient storage and retrieval

The new logistics center accommodates

about 20 million items and up to 1.8 million
picks are processed on a daily basis.

Furthermore, the SSI SCHAEFER A-Frame ensures shortest service, which can process up to 32,000 packages an hour and
cycle times of A-items and a full case picking system, according a returns center. The existing SAP system is used for warehouse
to the Pick to Belt principle, complements the highly eficient management and administration, while the connected logistics
processes. The system is rounded off with a high-performance software WAMAS® by SSI SCHAEFER works at a control level.
sorter to divert up to 18,000 packages per hour towards
goods-out. There is also another sorter for express parcel

3
 ALL CHANNELS UNDER
CONTROL

As the general contractor, SSI SCHAEFER created

a holistic logistics concept for a highly automated
omni-channel distribution center to supply both,
Suning stores as well as e-commerce customers.

“The crucial factor for our decision in choosing SSI SCHAEFER was
that the system provider is not only able to plan such an omni-channel
logistics center, but also organize its implementation and equip it with
its own products.”

Meng Lei Ping

Vice President of Suning Research Institute

THE PROJECT GOALS

Development of a system to eficiently handle an

extremely wide product portfolio with shortest
order process times and accurate deliveries
Future-proof the investment by supplying
both scalable and modular components
Effortless work according to the
ergonomics@work!® principle
Intelligent control of all intralogistics processes
using WAMAS® logistics software
Support from local SSI SCHAEFER team members
and specialized representatives from the European
competence centers
SSI Resident Maintenance® service team on site

4
CHALLENGE

5
 EFFICIENCY AND HIGH-PERFORMANCE
PROCESSES ARE PERFECTLY PAIRED

The tailor-made system ensures maximum availability, speed, safety,

ergonomics, and proitability. It is Suning’s reaction to the boom in

In the miniload, twelve SMC ensure eficient storage and dynamic run values, ensure the performance requirements
retrieval movements. These SRMs, especially developed to of the HBW. In the HBW, three energy-eficient Exyz, modern
handle bins and cartons, work according to a speciic storage pallet SRMs, optimize the vertical warehouse space. Bearing
strategy so that a coherent, adequate performance is obtained. in mind operating costs, it was crucial for Suning to use
Fast cycles of positioning and load changes, together with energy-eficient devices designed for high availability with

The Schäfer Carousel System facilitates gentle product handling together with zero-error picking

6
 SOLUTION

omni-channel business and meets the growing demand

of express and added value services at the same time.

little wear and tear. A modular and scalable solution was also transfers bins to a conveying system. The system is charac-
needed for picking. The SCS meets these requirements. The terized by gentle product handling. This is particularly im-
combined storage and picking solution consists of 62 rotating portant for handling electronics, fragile, or valuable goods.
carousels; 20 of which serve as shipping buffers. Each carousel The comparably low noise emission is especially beneicial
is equipped with a decoupled loading and unloading unit that for the employees.

In the high-bay warehouse energy-eficient Exyz, modern pallet storage

and retrieval machines, optimize the vertical warehouse space

7
 ADVANCED SYSTEM TECHNOLOGY AND
MAXIMUM ERGONOMICS MAKE A WINNING
COMBINATION FOR SOLUTION COMPONENTS

Customer orders are compiled at semi-automated Pick to ergonomics@work!® program, SSI SCHAEFER developed spe-
Tote work stations, which are directly connected to the SCS. cial picking stations and work stations that boost productivity
The goods-to-person work station system, developed by and do not harm the body. All movements, particularly lifting
SSI SCHAEFER, quickly processes high quantities per order and carrying, have been entirely replaced with ergonomic
line. Furthermore, the SSI SCHAEFER A-Frame ensures pushing and pulling. The operator is intuitively guided by
shortest cycle times of A-items. The employees at Suning intelligent communication and display systems, resulting in
also beneit from an ergonomic point of view. As part of the a signiicant increase in quality and falling error rates.

The "ergonomics@work!®" concept reduces bodily stress by moving loads only horizontally or by gravity

8
 SOLUTION COMPONENTS

A full case picking system, according to the Pick to Belt to goods-out or buffered temporarily in an SCS area with
principle, complements the highly eficient processes in 20 carousels until the planned shipping time is reached. A
the new Suning logistics center. Employees transfer cartons high-performance sorter diverts the orders to pre-deined
from pallets or low racks to a conveying system, on which shipping routes for trucking. The returns center, located in
the cartons are transported to the shipping area. There is a different section of the building, is also connected to the
also a dedicated area for handling special items. Picked warehouse by a conveying system.
orders are either transported directly from the shipping area

Customer orders are compiled at the Pick to Tote work stations

“SSI SCHAEFER completely satisied our expectations

by designing and implementing a solid and scalable
solution. We had a partner who supported our project
from beginning to end with their own team in Nanjing
and experts in Europe.”

Meng Lei Ping

Vice President of
Suning Research Institute

The A-Frame by SSI SCHAEFER ensures the shortest cycle times of A-items

9
 FACTS AND FIGURES

System key igures

Warehouse area 750 x 450 m

Number of items on stock Approx. 20 million
Number of picks per day Up to 1.8 million
Picking peaks Promotion days
Working hours per day 24/7 on promotion days

Scope of supply and services by SSI SCHAEFER

High-bay warehouse (HBW)

Storage locations 10,608
Number of storage and retrieval machines (SRM) 3 single mast storage and retrieval machines Exyz
Type of storage Double-deep

Miniload
Storage locations 338,400
Number of storage and retrieval machines (SRM) 12 Schäfer Miniload Cranes (SMC)
Type of storage Double-deep

Static rack system

Storage locations 240,000

Picking systems
Schäfer Carousel System (SCS) 42 carousels
Pick to Tote 14 work stations following the ergonomics@work!® principle
A-Frame 22 modules
Pick to Belt Picking system for full cases

Conveying systems
Pallet conveying system 200 m
Bin and carton conveying system 22 km
Spiral conveyor 22
Vertical conveyor 5
Sorter 2

Handling systems System components

Bin stacker and destacker Bins
Dynamic scales Platforms
Label printers 20 SCS as shipping buffers
Returns center

Software
Logistics software WAMAS®

10
FACTS AND FIGURES

11
SIX REASONS FOR CHOOSING
SSI SCHAEFER:

Stability: Reliability:
As a inancially independent family business, Thanks to our worldwide Customer Service & Support
SSI SCHAEFER is committed to long-term solutions. network, SSI SCHAEFER ensures smooth operation of
You can trust that our team of experts will be there your system, both during and after installation.
for you today, tomorrow and in years to come.
Know-how:
Eiciency: SSI SCHAEFER solutions are always up-to-date with
SSI SCHAEFER solutions are scalable and able to grow the latest technological standards and can be easily
with your business. You can always upgrade or retroit. integrated into an existing (IT) landscape.

Quality: Internationality:
As a systems specialist and original equipment As a global organization, SSI SCHAEFER has local
manufacturer, SSI SCHAEFER provides tailor-made oices worldwide. With over 70 operative subsidiaries,
and high-quality solutions from a single source, our team of experts speak your language.
speciically designed to meet your challenges.

ssi-schaefer.com
102018 © SSI SCHAEFER
Printed in Austria.
No liability for mistprints.