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Walmart Plans New High-Tech Grocery DC In California

Walmart e-commerce

Last updated on October 19th, 2018 at 03:21 pm

In the coming weeks, Walmart will be breaking ground on a new project in Shafter, California—the retailer’s first high-tech distribution center for fresh and frozen groceries.

“As Walmart transforms to better serve customers, the question is, what does the distribution center of the future look like?” wrote Elizabeth Walker of Walmart corporate affairs in a blog post on the company’s website. “Simply put, it looks more efficient, with forward-looking technology and engaging tech-focused jobs.”

Set to open in the fall of 2020, the new DC will use WITRON technology to process grocery perishables, including produce, eggs, dairy, flowers and frozen goods. According to Walmart, the facility will move 40 percent more product than a traditional DC and result in fewer damaged products.

“The high-tech DC in Shafter will allow us to move product to stores and clubs faster so that we can better serve customers,” said Tim Cooper, SVP of supply chain for Walmart.

Rather than manually stacking boxes and building pallets, the new DC will allow associates to use the new technology to do the heavy lifting.

“Every product is measured and documented so that we know how to handle it,” explained Shayne Wahlmeier, one of the engineers on the project. “A computer algorithm shows all the cases ordered for a given store and determines how to palletize them to maximize the space on a pallet or trailer. It also takes into account density—what’s crushable, what’s not.”

Because the technology is helping associates build a more flexible, dense pallet, more products will be able to fit onto a truck, says Walmart, reducing transportation costs and allowing those savings to be passed on to customers.

Many of the new positions created by the facility will be technology-focused or STEM jobs.

“The order-filling position is an arduous one,” said Cooper, noting that while the supply chain is the backbone of Walmart’s business, the jobs of the future might be less physically demanding.


Keep reading:

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Sedano’s, Takeoff Technologies Launching ‘World’s First Robotic Supermarket’

Walmart Investing $41M In New Kentucky E-Commerce Fulfillment Center

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