Tesco has selected Dematic to supply the mechanised logistics system for Tesco’s new 910,000 sq ft distribution centre in Teesport, Middlesbrough.
The system is scheduled for completion in 2010 and will provide pallet storage, incorporating a fully mechanised high bay warehouse, monorail and conveyor networks, and Dematic’s DC Director Warehouse Control System.
It includes a total of 43 automated storage and retrieval cranes and 120,000 pallet locations, and as well as supporting full pallet picking, the high bay warehouse will also replenish a low bay picking area where mixed pallets can be generated.
The goods in, storage, picking and dispatch areas will be linked via monorail and conveyor systems and Dematic’s DC Director WCS will interface with Tesco’s existing, company-wide warehouse management system.
The facility, which is Tesco’s first purpose built import centre, will accommodate its general merchandise range.
It is located on a brownfield site next to deep sea port and the forthcoming Northern Gateway container terminal.
The centre will eliminate the need to transport imported goods in bulk to distribution centres further inland, which will help Tesco realise significant cost savings on its inbound logistics operations, as well as reduce carbon dioxide emissions by more than 700 tonnes per year.
Simon Jones, program manager, network development for Tesco, said: “The mechanised logistics system will provide high density storage and efficient handling of products within the DC.
“Tesco’s decision to award the contract to Dematic reflects the fact that the two companies already have a very good working relationship. Dematic has implemented mechanised logistics systems at other locations within our distribution network and successfully integrated their software with Tesco’s own IT systems.”