Optimization of orders fulfilment in a distribution centre: A case study of schoolbooks

A distribution centre (DC) is the place in which products are received, handled, stored, packaged, and then shipped to satisfy customer’s orders. To provide a competitive service level in a DC, an order received must be fulfilled on time and in correct quantities. To improve the efficiency of DC’s activities, this study aims to present the redesign of the order fulfilment process within a schoolbooks DC, located in the South of Italy. A crucial issue of this DC refers to the schoolbooks personalized covering process. This problem motivated the reengineering of the DC processes by implementing an automatic sorter, with the purpose of sorting the schoolbooks destined to the various customers. Two scenarios are evaluated: the “AS IS” scenario, which represents the current situation, and a “TO BE” one, in which the implementation of an automated sorter is evaluated. For both, the productivity – in terms of orders per day – and the number of operators required to carry out the different activities were evaluated. The introduction of the automatic sorting system, in addition to tripling productivity and increasing the efficiency of the schoolbooks DC, also made it possible to significantly reduce the number of operators employed during each work shift. The results of the TO BE configurations can represent useful indications for operations managers, allowing to identify alternative strategies to enhance the efficiency of the targeted company.