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Kroger to roll out new tech to boost labor productivity at fulfillment centers

Kroger
Kroger will deploy new technologies from Ocado Group in its customer fulfillment centers.

The Kroger Co. will deploy new automated technologies designed to increase efficiency and labor productivity in its customer fulfillment centers (CFCs).

The grocery giant  will implement Ocado Group’s "Re:imagined" technologies across multiple existing CFCs, as well as in future CFCs. The technologies include proprietary Ocado innovations such as On-Grid Robotic Pick and Automated Frameload which will bring new levels of efficiency and labor productivity to Kroger’s delivery network and drive down its cost to serve from CFCs, according to Ocado.

“Today marks another exciting milestone in our partnership with Kroger,” said Tim Steiner, CEO, Ocado Group. “Our current CFCs are already helping to deliver a game-changing quality of service to their customers across the USA. We are excited for these latest technologies to further enhance that proposition, as well as the efficiency of Kroger's operations in live and future CFCs.”

[READ MORE: Kroger debuts next-gen fulfillment center model in Ohio]

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Here are some details from Ocado about the new technologies.

On-Grid Robotic Pick

On-Grid Robotic Pick is a robotic arm that is installed directly on the grid. The bots operating on the grid deposit stock next to the robot arms to be packed into customer bags. Ocado's retail partners can stock up to 50,000 different products each. Robot arms need to be able to deal with a huge amount of variety of weight, size, shape, surface, fragility and packaging.
Advanced machine vision, deep reinforcement learning, and sensing capabilities enable the arm to pick tens of thousands of products and pack them densely into bags with precision and accuracy.

Automated Frameload

Automated Frameload automates the most physically demanding job in the warehouse - the loading of prepared customer orders onto delivery frames ready for dispatch. It enables the efficient and accurate loading of delivery totes without human touch.

Computer vision examines the tote and the frame, forms an understanding of the dimensions and shape of the tote and enables alignment with the frame, making direction adjustments in real time to push the tote in.

Ocado said its global partners are upgrading their distribution networks with the company’s latest technologies, with Aeon in Japan recently announcing it will also retrofit Ocado's On-Grid Robotic Pick technology into its existing operations. This technology is already rolling out in U.K. CFCs, where it is picking an increasingly wide range of items. At full capacity, OGRP is expected to pick more than 70% of an extensive online grocery range.

“We are delivering a step-change in warehouse automation and new levels of efficiency to our partners as global supply chains are under significant pressure to manage higher volumes and greater complexity, as well as challenges in labor cost and availability,” said Steiner.

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