American Licorice

Facing growing operational challenges, American Licorice Company partnered with FloStor to revolutionize their warehouse and packing processes. By implementing a comprehensive automation solution, including warehouse-wide upgrades and a dedicated automated carton assembly system, ALC achieved remarkable results: a 35% reduction in pick-and-pack time, a 14% boost in packing productivity, significant labor cost savings, rapid ROI, and improved safety and ergonomics, positioning them for continued growth.

From Manual Bottlenecks to Scalable Throughput: How American Licorice Modernized Warehouse and Packing Operations

The Client: American Licorice Company

American Licorice Company (ALC), maker of well-known confectionery brands including Red Vines and Sour Punch, manages a high-volume, high-mix distribution profile with more than 1,000 SKUs and broad domestic and international shipment requirements. As demand complexity increased, ALC needed a faster, safer, and more reliable way to move products from picking through final packout.

FloStor partnered with ALC to engineer an integrated warehouse and packing automation program that removed manual bottlenecks, improved fulfillment speed, and increased labor efficiency.

The Challenge

Workflow Congestion: Legacy material movement and manual packing steps created throughput bottlenecks across the operation.
Labor and Overtime Pressure: Labor-intensive sortation and carton prep drove recurring overtime and elevated operating costs.
Accuracy and Mis-Ship Risk: Manual handling across a large SKU base increased picking and shipping error exposure.
Long Fulfillment Cycle: End-to-end order cycle times were too slow for growth targets and service expectations.
Safety and Ergonomic Concerns: Congested manual processes increased ergonomic strain and workplace risk in key packing zones.

The Solution

FloStor delivered a turnkey, integrated solution spanning warehouse flow and end-of-line packout. The program combined conveyor infrastructure, automated sortation, pick-to-light support, rack optimization, and controls integration with existing WMS/ERP systems to create a more synchronized operation.

At packout, automated carton erection, conveyor transport, intelligent lane distribution, and automated top sealing replaced repetitive manual tasks and let operators focus on value-added filling work. The result was faster and more controlled throughput from pick to ship.

Systems Used

Custom Conveyor and Transport Network: Integrated conveyor paths streamlined product and carton movement across warehouse and packing zones.
Automated Sortation and Pick-to-Light: Guided fulfillment processes improved order control and reduced manual routing errors.
Pallet Racking Redesign: Storage layout updates improved slotting efficiency and access for a large SKU profile.
Case Erecting and Sealing Automation: Automatic carton forming, transport, and top sealing reduced repetitive manual carton handling.
WMS/ERP Integration Layer: Connected control logic synchronized execution data across warehouse and enterprise systems.

The Power of Integration in Action

FloStor’s value came from integrating mechanical systems, controls, and operational logic into one continuous workflow. By linking storage, picking, carton preparation, and sealing into a coordinated sequence, ALC reduced process handoffs and created a more predictable operating rhythm.

This end-to-end integration improved service performance while creating the flexibility needed to support SKU growth and changing order profiles.

The Results

ALC converted a labor-intensive, high-variability process into a more scalable and controlled fulfillment operation. The integrated solution produced measurable gains in throughput, labor efficiency, accuracy, and safety while supporting future growth objectives.

Process standardization and targeted automation helped the operation move faster with fewer manual constraints and improved ergonomic performance at key workstations.

Key Performance Gains

Fulfillment Speed Improvement: Pick-and-pack time reduced by approximately 35%
Packing Productivity Gain: Automated carton system improved packing productivity by about 14%
Labor Efficiency: Roughly 20 labor hours per week eliminated and overtime dependency reduced
ROI Performance: Warehouse optimization ROI achieved in about 14 months with packing automation payback near 1.5 years

Why This Worked

This project succeeded because ALC and FloStor addressed interconnected process issues as one system-level initiative instead of isolated equipment upgrades. Warehouse flow, packout automation, and enterprise integration were designed to reinforce each other.

End-to-End Flow Design: Upstream and downstream operations were synchronized to remove hidden bottlenecks.
Automation with Operational Intent: Equipment choices were aligned to labor efficiency, service speed, and ergonomic outcomes.
Data and Controls Integration: WMS/ERP connectivity improved execution visibility and planning confidence.
Scalable Architecture: The redesigned process supports ongoing SKU growth and evolving customer demand.

Related Services

Warehouse Automation and Conveyor Systems
Pick, Pack, and Sortation Optimization
System Integration with WMS/ERP Platforms
Operational Scalability and Lifecycle Support

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