When Elgiganten launched its fully automated warehouse in Jönköping, Sweden, it represented an investment of 500 million SEK, the largest of its kind in the country at the time.
The goal: handle huge seasonal spikes, serve both online shoppers and retail stores, and keep pace with customer demand for faster deliveries.
To achieve this, Elgiganten required a shipping platform capable of scaling effortlessly with automation and integrating directly with its WMS, ERP, and webshop systems.
Challenge
Automation transformed Elgiganten’s warehouse efficiency, but also created complexity.
With millions of parcels processed yearly and all warehouse functions run by machines, the retailer needed a delivery management solution that could generate shipping labels and EDI messages automatically for its preferred carriers (Schenker, Posti, Bring).
We are seeing increasing sales in both our on- and offline stores, and customers want faster and better delivery. This means that we must increase our stock holding and reduce delivery time to both shops and private customers. We do this by building a larger warehouse and at the same time centralizing the warehouse. This way we can buy in bulk, handle shipments to both shops and private customers in the same warehouse process, and thus reach our markets faster while lowering our logistics costs.
Robert Johansson
IT & Project Manager, Elgiganten
Solution
nShift Ship integrates directly with Elgiganten’s WMS system, Astro from Consafe, enabling all shipment handling to run within a single automated workflow.
We use nShift because it is a flexible system. It is simple to integrate to new and own systems, such as ERP, WMS and webshop systems. You can also adjust labels if you want to change text, logo and the like. Moreover, it is scalable in relation to handling increasing shipping volumes. We expect to send 5 million parcels in a few years.
Robert Johansson
IT & Project Manager, Elgiganten
This integration allows Elgiganten to scale shipping volume automatically, maintain full control over delivery data, and reduce the need for manual intervention in the warehouse.
Results
The system has helped Elgiganten meet delivery promises even under high seasonal pressure.
With the world’s largest carrier library available in [nShift], we can easily select the carriers that we need. This gives us more opportunities for freight and transport than our competitors, while we are also able to offer our customers more options for delivery.
Robert Johansson
IT & Project Manager, Elgiganten
Thanks to automation and carrier flexibility, the warehouse can now ship up to 5 million parcels a year, giving Elgiganten the scalability to meet demand across the Nordics while ensuring reliable delivery performance.