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FAST-GROWING CANDLE AND GIFTS RETAILER EXPANDS B2C
Three years ago, Illuminations
was picking orders onto pallets one store at a time. Things have changed
dramatically since then. The company is now processing more orders, more
efficiently with only one third of the staff. The difference: a new
distribution center with a streamlined and efficient conveyor system.
Illuminations is a success story of the new economy. The company is a
producer and retailer of candles, glassware, and brass items. Based in
Petaluma CA, Illuminations operates a network of company-owned retail
stores across America. It also has a successful wholesale distribution
and a catalog business. More recently, the company launched a web site
for online ecommerce B2C.
Order processing at the old warehouse had been entirely manual -- an 
approach not particularly supportive of business growth. "When I
started here over two years ago, we were picking orders onto
pallets," recalls Walt Blum, the company’s vice president of
logistics. "We had no conveyor capabilities whatsoever. We were
picking one store at a time, one SKU at a time."
The new installation has had an immediate and positive impact on the
company’s distribution operations. Whereas in the past, orders were
picked one store at a time, Illuminations now can do a much more
efficient bulk distribution pick. "We can pick orders in bulk for a
dozen stores at a time," Blum explains, "and then sort to the
appropriate stores. This is a direct result of the Hytrol conveyor
system."
There were other benefits as well. "The system was implemented on
time, on budget without one hitch," says the logistics V.P. "A
lot of credit goes to John Fisher of FloStor
who helped us design and implement the system."
While everything has worked out well to date, management at Petaluma is
looking forward to the upcoming peak shipping months of November and
December. "We expect fabulous results in the busy season,"
says Blum, noting that order volume can increase by a factor of four
during this period. "We’ll be able to get as much done in a
12-hour shift as what used to take us 36 to 48 hours.
For a comprehensive review of this project, contact
FloStor for a reprint from our Ideas in Motion series.
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