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Lowe’s picks up the pace of deliveries

12/11/2018
One small package for a customer sent out last week from Lowe’s new direct fulfillment center is being described as significant leap forward for Lowe’s distribution network.

Lowe’s CEO Marvin Ellison and the company’s new executive VP Supply Chain Don Frieson were on hand at the opening of the Coopertown, Tenn., direct fulfillment center, and even posed with the package – destined for a customer in Ohio, and the first to roll out of the 1.1 million square foot facility.

Lowe’s opened its new direct fulfillment center last week in Coopertown, Tenn., a facility that represents a $150 million investment, the company said.

”This is the most technologically advanced supply chain facility that Lowe’s has ever operated,” Frieson told HBSDealer in an e-mail. “It uses state-of-the-art automation. The technology and processes in this facility, along with its central location, enable us to operate more efficiently, ship faster to our customers and stores, and be more responsive. It allows us to offer customer more delivery options and more products online.”

Part of the special abilities of the DFC is the goods-to-person picking technology that reduces the walking time for the facilities employees through highly automated moving conveyors and totes. Such high-efficiency systems are increasingly important in today’s fast-paced retail environment, he said.

Inside the 1.1 million sq. ft. DFC.

The facility has the ability to efficiently ship parcel packages directly to customers, and also service stores and regional distribution centers.

“Our success both today and in the future depends on our ability get product in the hands of customers quickly. Every minute counts once a customer places an order. Our focus with this facility and across our fulfillment channels is to continue to improve delivery and serve customers faster and more efficiently.”

It will be a few years before the facility reaches peak efficiency. It currently employs 200 people. That number is expected to swell to 600 by 2023, when the DFC becomes fully operational.
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