Toll Group has opened its new distribution centre in western Sydney, which it says will help retailers deliver to customers faster and more efficiently.
The $160 million retail and e-commerce distribution hub is designed to support the growth of online shopping in Australia and is capable of picking, processing and packing 375,000 items per day.
Chris Pearce, Toll global logistics president, said retailers face aggressive demands to provide fast fulfilment and delivery without increasing costs, and that the new centre would assist with this.
“Toll’s investment in the new facility is helping our customers adapt to the new retail environment. The facility is equipped with $50 million in advanced automation technology so retailers can deliver their e-commerce orders faster and in a much more economical way,” he said.
“This advanced automation technology will increase our productivity fivefold—capable of picking, processing and packing 70 million items per year.”
Pearce said the hub is one of Australia’s most advanced e-ecommerce fulfilment centres, and will transform the way retail orders are picked, processed, sorted and delivered to customers.
“Retailers will benefit from the ability to deliver goods to their stores and direct to customers faster and more efficiently. And shoppers will enjoy flexible order times and faster processing so they can receive their purchases within hours not days.”
The facility was constructed in collaboration with apparel retailer Specialty Fashion Group (SFG), and the companies worked closely to design it with scalability and future growth in mind.
SFG general manager logistics, Alex Linton, said omnichannel is a focus for the company. “At Specialty Fashion Group, we’re constantly looking to improve the omnichannel experience for our customers, which includes offering faster and more convenient delivery options for online and ‘click and collect’ orders.
“We have a highly specialised supply chain, so we needed a customised solution that would meet our ongoing needs as a retailer. We’ve worked with Toll to develop the site—from the initial design and development through to build, operation and delivery—and we’re excited to see the state-of-the-art capability in action.”
The new centre will operate as a shared facility, with the capacity to support additional retailers and their supply chain operations. It will provide jobs for around 200 operations workers, technicians and engineers.
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