Innovation of the Week is a subscriber-only series highlighting retail initiatives that have caught the eye of our team. Every week, we will bring you new ideas and case studies across consumer, technology, sustainability, economy, policy and industry.
What is it?
THG Fulfil, THG Ingenuity’s fulfilment and courier management service, is expanding the automation capabilites of its warehouse by adding a fleet of robots by Geek+.
The robots will be deployed at its Omega facility in Warrington, and it is set to increase the warehouse performance. It will also enable THG Fulfil to support any-sized palletised items through its solutions to make 95% of all units sold through a form of automation within the fulfilment cycle.
Why does it matter?
The new robots have been implemented to bolster faster delivery times and high customer retention through AI and automation.
With around 50% of all global customer orders handled by automated services, staff can now concentrate on what THG called “strategic initiatives”, rather than routine tasks to improve overall operational efficiency.
It will also help serve the 27% of UK customers THG identified as shopping online between 10pm and midnight, which also allowed the group to extend the cut-off for next day delivery orders to 1am.
THG Ingenuity chief operating officer Tom Killeen said the investment in AI and automation is about “improving efficiency” and “redefining what’s possible in ecommerce logistics”.
Strategic implications
THG Fulfil’s average delivery time has been reduced to 1.45 days in the UK due to automation and AI already, so the investment in the fleet of robots will be able to strengthen operations in its Warrington facility even further.
“By harnessing cutting-edge technologies, we are enhancing our operational capabilities and ensuring that we meet our customers’ evolving needs with speed and precision. THG Fulfil is poised to disrupt and redefine the future of warehousing and logistics, by understanding the needs of the end consumer and delivering high-quality, laboursaving services to clients and setting new standards in the industry”
Tom Killeen, THG Ingenuity
Winning strategies
- Focus on operational efficiency
- Enhanced supply chain transparency
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