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Walgreens Launches Next-generation RFID-enabled Distribution Center
Largest U.S. drugstore chain incorporates Blue Vector technology as key enabler towards goal of 100 percent shipping accuracy
Palo Alto, CA — September 26, 2008 — The largest U.S. drugstore chain, Walgreens, has deployed a solution from Blue Vector as a major technology component in one of the industry's most technically advanced and ambitious large-scale radio frequency identification (RFID) supply chain system deployments, the solution provider has announced.
Designed to replace all paperwork and barcode scanning during shipment loading, the Walgreens system leverages RFID technology in day-to-day production towards the goal of achieving 100 percent shipment accuracy from distribution center to retail store.
With over 6,300 drugstores across the U.S., the nation's fastest growing drug retailer recently launched the first of its next-generation distribution centers in Anderson, S.C. The DC is the first facility of its kind to employ a significant number of people with disabilities. While more than 42 percent of the facility's workforce has a physical or cognitive disability, the facility aims to boost productivity over their legacy DC with the new system.
Employing some of the most innovative logistics systems in the distribution industry, the deployment already represents one of the largest RFID deployments to date with over 170,000 assets tagged, spanning 45 shipping doors, dollies, cart exit stations and RFID tagging hospitals. The Anderson DC, at full capacity, will ship approximately 80,000 cases daily to over 700 Walgreens stores across the Southeast.
"Walgreens has a long tradition of pioneering breakthrough technologies in the industry," said Randy Lewis, senior vice president of distribution and logistics for Walgreens. "Today, we're leading the charge to revolutionize our distribution center systems and processes to drive significantly higher efficiency, accuracy, and ultimately higher margins. With the help of Blue Vector, we're making significant progress toward the next-generation of automated and intelligent distribution and logistics systems."
The logistics and distribution system scans every product loaded onto every truck in real time, immediately alerting workers to any potential shipping errors. With Blue Vector's edge intelligence software and infrastructure products deployed on a wide range of structures — from dock door portals and conveyor stations to asset hospitals and tagging stations — the system verifies correct assets, quantities, dock door, and loading sequence before automatically updating Walgreens' warehouse management system.
Enabling automated tag verification, diversion, and repair processes, Blue Vector edge processing intelligence is performed locally at every shipping door — with each trailer's shipping manifest preloaded onto a Blue Vector edge appliance housed within dock door portals — to ensure accuracy and rapid error detection.
"As companies look for ways to improve their performance, their attention turns from installing strong planning systems to bridging those systems with the physical world and day-to-day activities, to detect deviations from plan as they occur and correct them immediately when it is fastest and easiest," said Mike Gardner, Blue Vector president and CEO.
Designed to replace all paperwork and barcode scanning during shipment loading, the Walgreens system leverages RFID technology in day-to-day production towards the goal of achieving 100 percent shipment accuracy from distribution center to retail store.
With over 6,300 drugstores across the U.S., the nation's fastest growing drug retailer recently launched the first of its next-generation distribution centers in Anderson, S.C. The DC is the first facility of its kind to employ a significant number of people with disabilities. While more than 42 percent of the facility's workforce has a physical or cognitive disability, the facility aims to boost productivity over their legacy DC with the new system.
Employing some of the most innovative logistics systems in the distribution industry, the deployment already represents one of the largest RFID deployments to date with over 170,000 assets tagged, spanning 45 shipping doors, dollies, cart exit stations and RFID tagging hospitals. The Anderson DC, at full capacity, will ship approximately 80,000 cases daily to over 700 Walgreens stores across the Southeast.
"Walgreens has a long tradition of pioneering breakthrough technologies in the industry," said Randy Lewis, senior vice president of distribution and logistics for Walgreens. "Today, we're leading the charge to revolutionize our distribution center systems and processes to drive significantly higher efficiency, accuracy, and ultimately higher margins. With the help of Blue Vector, we're making significant progress toward the next-generation of automated and intelligent distribution and logistics systems."
The logistics and distribution system scans every product loaded onto every truck in real time, immediately alerting workers to any potential shipping errors. With Blue Vector's edge intelligence software and infrastructure products deployed on a wide range of structures — from dock door portals and conveyor stations to asset hospitals and tagging stations — the system verifies correct assets, quantities, dock door, and loading sequence before automatically updating Walgreens' warehouse management system.
Enabling automated tag verification, diversion, and repair processes, Blue Vector edge processing intelligence is performed locally at every shipping door — with each trailer's shipping manifest preloaded onto a Blue Vector edge appliance housed within dock door portals — to ensure accuracy and rapid error detection.
"As companies look for ways to improve their performance, their attention turns from installing strong planning systems to bridging those systems with the physical world and day-to-day activities, to detect deviations from plan as they occur and correct them immediately when it is fastest and easiest," said Mike Gardner, Blue Vector president and CEO.
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