Executive Summary
Conrad Electronics, a leading electronics retailer, faced operational bottlenecks as its distribution center in Wernberg struggled to meet increased demand. To address challenges in storage and order processing, TGW implemented a state-of-the-art logistics system, including an automated shuttle system and enhanced picking capabilities.
Utz supplied EUROTEC stackable plastic containers, designed specifically to integrate seamlessly with the automated intralogistics system. These containers ensured optimal performance and efficiency across the process.
The result? Conrad doubled its daily order capacity, significantly increased storage capacity, and enhanced customer service efficiency – future-proofing its logistics for sustainable growth.
The Client
Founded in 1923 and headquartered in Hirschau, Germany, Conrad Electronics has been synonymous with innovation and quality in the electronics market for decades.
Active internationally in 16 European countries, this family-run company is well-known for its wide product range catering to both B2C and B2B markets.
With an impressive catalog of over 700,000 items, Conrad sets itself apart with outstanding service. However, years of growth began to strain its existing intralogistics system, pushing it to its limits.
The challenge
The Wernberg distribution center, at the heart of Conrad’s logistics operations, could no longer keep up with rising demand. Several limiting factors hampered day-to-day operations, including capacity constraints and inefficient use of space. Specifically, the intralogistics system was unable to support the company’s ambitious growth strategy or the demands of omnichannel retail.
To meet customer expectations for fast, reliable service while building logistics capabilities for the future, Conrad required a comprehensive overhaul of its central warehouse. The primary goals included increasing order capacity, significantly enhancing process efficiency, and improving order fulfillment to maintain its leading position in the electronics retail sector.
The Solution
Conrad partnered with TGW and Utz to execute a cutting-edge intralogistics transformation at its Wernberg distribution center.
The solution was meticulously designed to address Conrad’s specific challenges and enhance performance across all touch points. Key features of the implementation included:
Storage and repacking
TGW revolutionized Conrad’s warehouse logistics by introducing 30 sequenced workstations within the facility.
Through multi-order picking capabilities, each workstation achieved a rate of 300 picks per hour, enabling faster and more accurate order processing.
Automated shuttle system
At the core of the new system was an automated shuttle operation spanning 15 aisles and 46 levels. Powered by TGW’s Stingray shuttles, this fast and space-efficient system offered seamless management of storage and retrieval.
This significantly reduced the time between order intake and fulfillment, enabling a more dynamic order flow.
High-quality, durable plastic containers
An essential component of Conrad’s optimized logistics system was the use of EUROTEC containers from Utz. These containers, designed for automated systems, ensured efficiency and reliability.
Their robust design minimized replacements and reduced disruptions. With their long life cycle, EUROTEC containers proved to be a cost-efficient solution for demanding environments.
Optimized packaging and shipping
This comprehensive logistics upgrade allowed Conrad to manage its diverse sales channels (including B2C and B2B) from a single, centralized distribution center.
Conclusion
Through its partnership with TGW and Utz, Conrad Electronics transformed its distribution center into a cutting-edge logistics hub capable of meeting both current demands and accommodating future growth. With doubled order capacity, improved inventory management, and enhanced customer service reliability, Conrad is well-equipped to maintain its leadership in the competitive electronics market. Utz played a pivotal role in optimizing supply chain processes, streamlining operations, and ensuring seamless inventory management.
15000
container movements per hour
100000
shipments per day
700000
items
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