American multinational food and beverage corporation PepsiCo has integrated advanced automation technologies to modernise production and logistics operations at its facility in Rojana, Thailand.
This addresses space constraints, labour challenges, and enhances storage, throughput capacity and productivity.
Recognising the need to expand production and logistics capacity at the Rojana site due to growing demand for products in Thailand and neighbouring countries, the company selected an intelligent intralogistics and materials handling solution provider – Dematic.
The automation solution - Automated Storage and Retrieval System (AS/RS) includes high density storage, pallet conveyors, Rail Guided Vehicles (RGVs), and Dematic Warehouse Control System (WCS) software for managing inventory and material flow.
PepsiCo’s supply chain senior director – IndoChina Foods, Colin Matthews, said AS/RS has more than doubled capacity and the automation eliminates the manual operation the company had before.
This allows to supply goods to customers with efficiency, Matthews added.
The AS/RS helps in storing products in a space-efficient way, between when they are manufactured and when they need to be assembled and dispatched for delivery to customers.
It stores pallets within a double-deep high bay racking across five aisles at the facility with a total capacity exceeding 16,000 pallet locations.
Pallet conveyors automatically receive pallets from the end of production lines and transport them to designated storage locations within the AS/RS.
RGVs receive pallets from the pallet conveyors and direct them to storage locations within the AS/RS.
It also facilitates the transportation of pallets from storage to dispatch docks or automatically replenished pick locations for full-case order picking.
WCS software is the central control hub for managing aspects of warehouse automation and oversees the operation of the AS/RS, pallet conveyors, and RGVs.
It also provides real-time tracking and visibility of transactions, enabling effective monitoring and optimisation of warehouse operations.
On-ground support
During implementation, Dematic provided on-ground support, testing, and go-live phases.
It conducted training for PepsiCo’s supervisors and lead operators on how to use the system, allowing them to train team members.
PepsiCo’s logistics manager, Charan Techapattaraporn, said the system was completed on schedule.
“We are also well supported by both domestic and international Dematic teams who are ready to quickly aid PepsiCo in terms of both hardware and software,” he added.
The implementation of the Dematic solution resulted in low manual handling, helping the company avoid product damage and reduce the associated costs and waste.
Precise inventory tracking ensures accuracy, and security measures protect stock, ensuring inventory security.
According to PepsiCo, the solution's modularity and scalability allow for expansion in line with evolving needs.
The built-in redundancy ensures continuous operation, minimising downtime and maintaining productivity levels.
PepsiCo is exploring automation possibilities for future stages, including truck-sized outfeed lanes, paperless picking technology, and Automated Guided Vehicles (AGVs) for tasks within the production and warehouse areas.
