| Tech Data Corp. |
SIC: 5045
|
Hytrol Distributor: Curlin Inc. (Tampa, FL)
Conveyors Help High-Tech Distributor Keep Pace With Market Boom
Streamlined conveyor system overcomes old space
constraints, keeps Tech Data responsive to customer demands.
 When you're operating in a fast-paced industry like Tech Data Corp.,
you need fast, flexible systems that allow you to respond quickly to dynamic
market conditions. And Tech Data operates in one of the fastest-paced businesses
of all-computer technology. The Clearwater, Fla.-based company is one of
the world's leading distributors of computer equipment and peripherals-everything
from monitors, disks, and cables to the software itself. Its broad customer
base includes value added resellers (VARs), wholesalers, and retail
outlets.
Tech Data operates six distribution centers in
the United States as well as in Canada and France. These centers are charged
with supporting sales growth across an expanding product line. But one of
these centers, the facility in Atlanta, had been struggling to keep pace
with that demand. The main problems: the building was too small and the operation
too manually intensive.
The solution: Build a modern 207,000 square-foot
distribution center. The new Atlanta regional distribution center, which
became operational in August 1997, serves customers in and around that
fast-growing part of the Southeast. It features sophisticated computer controls,
a carefully designed layout that facilitates order flow from product infeed
to final shipment, and a highly integrated conveyor system.
Challenged by Space Constraints
 Tech Data prides itself on fast, efficient customer
service. The distributor's goal is to ship every order, placed by 5 p.m.
on the day it is received-even if the order comes in as late as 6 p.m. But
space and operational constraints sometimes posed an obstacle to achieving
that objective.
The old Atlanta facility was only 50,000 square
feet-not nearly enough to support Tech Data's double-digit growth. Space
for the critical packing operations was cramped and tight. And there was
hardly any room for staging incoming product at the receiving dock or outgoing
orders in the shipping area. In fact, during peak periods Tech Data sometimes
had to resort to off-site warehousing of goods.
Perhaps most problematic of all, the old facility
had only one conveyor line going to the shipping area. This meant a lot of
manual handling along with an excessive amount of "walking around" in an
already congested area. The net result: wasted motion and low
productivity.
Working with Curlin Inc. of Tampa, a systems
integrator and distributor of Hytrol conveyor equipment, Tech Data effectively
addressed all of these issues. The team designed a modern, efficient distribution
center with ample room for all receiving, staging, putaway, storage, packing,
and shipping activities.
The new Atlanta center is designed to expedite
the order-fulfillment process from the moment merchandise is input into the
building. A series of Hytrol conveyors, which include high-speed sorters
and a "sawtooth" merge, move orders from the three main picking areas, to
the packing stations, and then to the shipping lanes. The new system marks
a quantum leap in productivity for Tech Data's Atlanta operations. The
distribution center now can process more than 3,500 cartons a day.
"Tech Data has built one of the most successful
systems we've been associated with," says Dave Frey, vice president of sales
for Curlin Inc.
Streamlined Order Flow
The order-fulfillment process begins when Tech Data's
centralized customer service center at its Clearwater headquarters electronically
transmits orders to Atlanta. Pick tickets then are generated for each of
the facility's three storage areas: (1) a three-level pallet-flow module,
where the fastest-moving products are kept; (2) a ground-level storage area
for full pallet loads; and (3) a mezzanine storage area for small, non-palletized
items.
 The operators check for completeness and accuracy
as the orders rest on zero-pressure accumulation conveyors in the picking
areas. Once an order is filled from the various storage locations, they determine
whether it can move directly to the shipping area or whether it requires
further packing and consolidation. Orders that include multiple, smaller
items typically move in totes for ease of handling and loss prevention.
Orders travel on live roller and belt conveyors
from the picking locations toward the packing and shipping areas with incline
and decline segments used to connect the mezzanine. Prior to reaching the
packing stations a sawtooth merge conveyor consolidates four incoming lines
into one.
The orders then proceed to a high-speed QS-1
sortation "shoe" conveyor. Divert shoes move diagonally across this conveyor
to physically push the order onto skatewheels that lead to the zero-pressure
accumulation conveyors at the packing stations. Hytrol's EZ-Logic "photo-eye"
feature keeps space between the orders on these lines and prevents any damage
to the product.
Orders are consolidated, manifested, and labeled
at the packing area. From here, they move on live roller conveyors to another
high-speed QS-1 sorter. This unit swiftly directs the completed orders to
the correct shipping lane. Computer controls give Tech Data the capability
to sort the lanes by carrier (UPS, Federal Express, LTL, and so forth); by
priority of the shipment (overnight or second-day); or by customer zip
code.
For a company like Tech Data where service is
the only business, having a fast and flexible materials-flow system like
the one at its new Atlanta distribution center is not a "nice-to-have" add
on. It's an absolute competitive necessity-to accommodate both the growth
already experienced and the growth expected to come. In fact, if the high-growth
curve continues, Tech Data has the option of building a duplicate 200,000
square foot distribution center on land adjacent to the new building.
Tech Data's Regional Distribution
Center
The Atlanta center has three storage areas-a
multi-level pallet-flow module for fast moving items; a full pallet section
on the ground floor; and a mezzanine storage area for small, non-palletized
products. The mezzanine area (see cutaway illustration is connected
by incline and decline conveyor segments. Orders move from the picking
areas to a sortation convyeor that diverts them to the appropriate packing
station. After the orders are manifested and labeled, they move to
another sorter, which sends them to one of six shipping lanes. The
system is fast and efficient. Orders recedived by 5 p.m. are shipped
that day.
A Closer Look At The Distribution
Warehouse
Company: Tech Data Corp
Facility: Regional Distribution Center
Location: Atlanta GA
Size: 207,000 square feet
Employees: 78 (three shifts, five days a week)
Distribution Manager: Steve Harris
VP Development & Facilities: Joy Perkins
Product Handled: Computers, peripherals, and software
Output: 3,500 cartons per day (average)
Types of conveyors: Horizontal power (minimum pressure and zero pressure,
high speed sortation, inclines, skatewheel, sawtooth merge
Conveyor Supplier: Hytrol Conveyor Inc., Jonesboro AR
System Integrator: Curlin Inc., Tampa FL
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