Walmart flags major investment in retail technology as part of retail giant’s grocery network transformation

Walmart has announced a grocery network transformation, inclusive of five new high-tech perishable distribution centres (PDC), expansions to four existing facilities and the first retrofit of a PDC.

Further info on that here.

In a blog post, Dave Guggina, EVP Supply Chain, Walmart U.S., says: “Our business is growing. Walmart is the largest grocery retailer in the US, with our grocery network supporting over 4,600 stores with a massive pickup and delivery business that continues to grow as customers seek the convenience and value we offer.”

“That’s why we’re adding state-of-the-art tech to our facilities: to enable greater speed and capacity that allows us to serve customers even more reliably.”

“For example, these high-tech DCs can store double the number of cases and process more than twice the volume of a traditional perishable DC, more than doubling the number of cases processed per hour.”

Here’s how the technology works:

• As cases come in from farmers and suppliers, they’re inspected for quality and de-palletised.

• The cases are then stored in an automated storage system that stretches nearly 80 feet tall and operates in a temperature-controlled environment.

• When it’s time to build a store order, the system retrieves the cases from storage to begin building store-ready pallets, which are built by department, making them easier to unload at the store.

• These intelligently layered pallets – with more fragile items, like eggs or fruit, toward the top – are then wrapped and loaded onto a truck for shipping.

Guggina says: “We’re excited about what this technology will do for our business, but more than that, we’re excited about the opportunities it will create for associates.”

“Technology is evolving physically demanding jobs into roles where associates are operating and maintaining high-tech systems, leading to an improved quality of life.”

“For example, associates who used to manually stack cases may work in a high-tech facility as an automation equipment operator and continue growing their career as an automation control centre operator, automation technician or automation area manager.”

“Plus, associates who have transitioned into these new roles tell us they are more enjoyable and satisfying, while also often resulting in higher base pay.”