Myer deploys 200 robots for new fulfilment centre

The department store giant has unveiled hundreds of autonomous robots and a 40,000sq m fulfilment centre as its strategy to reaching $1bn in annual sales.

Myer has recently taken possession of its new National Distribution Centre, a 40,000 sq m facility in Victoria which will supply physical retail stores and online fulfilment.

Myer has begun work on its new national fulfilment centre in Victoria, a 40,000sq m space the department store giant says will become central to its operations.

Myer chief executive John King has been overhauling the department store chain, focusing more on customers and turning its online site into a billion-dollar revenue earner.

The new property, at Dexus’ Horizon 3023 industrial estate in Ravenhall, will be technology led, incorporating 200 autonomous robots, including Korber’s sortation, a solution which uses free-moving, independent robots for direct automation, and the largest Geek+ RS8 Shuttle system in the southern hemisphere which can deliver products from shelf to human.

Myer says the fulfilment centre is part of its transition to a “factory to customer” approach which will help the company reach its goal of $1bn in annual sales.

Mr King believed the new site would revolutionise the company’s processes.

“Our NDC will fundamentally change our supply chain operations – delivering a faster, more efficient and profitable way to meet the demands of our online business and ensure we maximise the inventory flow to our stores,” Mr King said.

“This is an important deliverable of our Customer First Plan and importantly will deliver a better outcome for both our customers and shareholders.”

Myer executive general manager Tony Carr said the new centre would benefit its customers.

“There are widespread customer benefits and efficiencies anticipated for both the stores and online businesses. It will allow us to be more data led in stocking our stores – to allow stores to draw from the NDC as they meet demand, not the push model of old, ensuring we continue to fulfil the stores more efficiently to meet customer demand,” he said. “This will provide huge benefits to our business. It will ensure, through automation, that online purchases are serviced in an even faster and streamlined way.”

Myer is anticipating growth over the next few years, Mr Carr said. “Having a national distribution centre is incredibly important as it will ensure we can accommodate the growth in our online business, as well as providing the service levels our customers expect and deserve from Myer.”

The building has been given a 5-star Greenstar rating, with 20 per cent of the centre powered by solar energy. The centre is currently being fitted out, with Myer confident it will be operational by March next year.