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Elgiganten ships 5 million parcels a year with nShift

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When consumer electronics retailer, Elgiganten, launched their new highly automated warehouse, they needed a delivery management platform that was flexible enough to cope with a million+ rise in shipments per year. That’s why they chose nShift.

Products used

nShift DeliveryHub

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The Challenge

In September 2016, electronics retailer launched a new highly automated warehouse in Jönköping, Sweden. With an investment of 500 million SEK, it was the largest warehouse investment ever seen in the country at that time.

Outlining the reasons behind the investment, Robert Johansson, IT & Project Manager at Elgiganten, said: “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.”

The striking thing about the new warehouse is that it is entirely unmanned, with everything being done by machines. To make it work, Elgiganten also needed a delivery management software that would automatically print labels and send EDI to the 10 or so carriers the company uses, including Schenker, Posti and Bring.

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The Solution

nShift DeliveryHub is integrated with Elgiganten’s WMS system, Astro from Consafe. This means that Elgiganten does not have to work in various systems when they handle shipments to stores and private customers.

“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 said.

 

The Results

Since implementing nShift, Elgiganten has been able to meet customers’ strict delivery demands while speeding up delivery to stores. Robert Johansson explains: “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. ”

"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 as well as adjust labels if you want to change text, logo and the like. Moreover, it is scalable in relation to handling increasing shipping volumes."

Robert Johansson, IT & Project Manager at Elgiganten

 

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