DSV will invest in a string of 20 automated DSV Fulfilment Factories across Europe, North America, and APAC. These large-scale multi-user facilities enable DSV to offer warehouse automation to all sizes of companies across different markets and distribution channels, both B2C and B2B.
For many companies – especially small and medium-sized – optimizing the warehousing setup to cope with the surge in e-commerce demand is a challenge. Companies both need the efficiency of automated processes as well as the flexibility to manage fluctuations in demand. At the same time, warehouses must be strategically located close to the end-user to secure swift distribution to the nearby areas.
With DSV Fulfilment Factory, these pain points are addressed. The string of automated warehouse facilities can cater for the specific needs while the goods are stored in regional hubs as close to the end-user as possible. As a result, the company will have direct access to information at their convenience and only needs to focus on its core business activities. DSV will take care of the order fulfilment and will scale up or down according to the demand.
“With DSV Fulfilment Factory companies do not need to be a multinational to get automated, competitive and efficient warehousing. We know there is a significant gap in the market for automated warehousing solutions for companies without enormous volumes because, usually, these solutions, such as AutoStore, are only accessible as a single-user solution for companies with a certain scale,” explains Ronald Poort, Executive Vice President, DSV, and he continues:
“We are investing significantly in a string of 20 interconnected, automated facilities across several continents, so our customers can get access to the much-needed automated capacity. By doing so, we are providing companies of all sizes with the opportunity to get access to DSV’s automated solutions matching their fluctuating needs in one market or across multiple. I believe that a large-scale multi-user automated facility combined with the logistics capabilities of a 3PL is a rare – if not a unique – offering in the market.”
Increased flexibility and lower costs
The DSV Fulfilment Factory concept aims to be relevant for both existing as well as new DSV customers who can benefit from more flexibility and lower warehousing costs. In addition, they will be an integral part of DSV’s larger campuses, creating an efficient, cost-effective and flexible solution for the company.
The concept is based on AutoStore technology with goods-to-person automated workstations in a plug & play format. This enables DSV to accommodate the surge in, for instance, e-commerce demand by allowing the skilled warehouse employees to work more effectively than before.
The twenty facilities will be placed close to regional logistics hubs on several continents. They are all connected on a ‘string’, which means that one company can have stock placed in multiple warehouses across regions or continents while at the same time having one stock overview.
The interconnectivity across facilities brings flexibility into the picking, packaging, and delivery processes, as the system will automatically choose the product at the warehouse closest to the delivery point for swift delivery.
Twenty DSV Fulfilment Factories across several continents
The multimillion EUR investment in DSV Fulfilment Factories will be rolled out in several phases. Already now, four of the twenty automated warehouses are in operation, while an additional six are underway. The ambition is to build all twenty DSV Fulfilment Factories during the next few years.
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