JD Logistics’ California distribution center maximizes throughput and operational efficiencies with Hai Robotics’ automated storage and retrieval system. 

JD Logistics offers retail-as-a-service, managing inventory and fulfilling e-commerce orders on behalf of its customers. With its order-fulfillment facility in Fontana, California growing rapidly, JD Logistics turned to Hai Robotics to keep the operation running smoothly. 

In 2021, JD Logistics’ California location upgraded its manual processes by implementing Hai Robotics’ automated storage and retrieval system (ASRS), featuring autonomous case-handling robotic (ACR) capability, to speed up order fulfillment, increase storage density and efficiency, and improve inventory management. 

All shelving and totes were standard, non-precision assets that were readily available on the market, making it possible for the system to be designed in line with the facility’s needs while avoiding unnecessary costs. The ACRs were intelligent enough to work in real-world environments. The robots needed only a standard configuration that was typical of all installations, with robotic grippers matching the tote size selected for the shelves. 

Hai Robotics’ ACRs were seamlessly integrated via a flexible interface communication layer in JD Logistics’ existing warehouse management software (WMS) system, minimizing the adjustment period for the new workflows and integration times. 

Following ACR implementation, the companies say, JD Logistics’ picking efficiency improved to 100% accuracy, significantly improving shipping precision. Ergonomic workstations provided clear instructions and action prompts for operators, automating repetitive tasks. 

The system was designed to support up to 600 picks per hour per operator, equating to approximately 350 orders per hour per workstation, and resulting in a maximum of 2,100 orders from the entire system every hour. 

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Throughout 2023, Hai Robotics says, the system has flexed with demand, altering the number of ACRs and workstations according to the needs of the moment. The range of flexibility was best displayed when the system was pushed to meet extreme market demands during the Black Friday shopping peak. 

The Hai Robotics system fulfills an average of 44,919 orders in a week, the company says. During the Black Friday period, JD Logistics successfully fulfilled 98,156 orders with the same ASRS, and no additional temporary staffing needed. That represented an increase of more than 118% over the normal weekly activity that the Hai Robotics system supports, and a near-tripling of orders handled when compared to the previous Black Friday. 

The system has resulted in a significant decrease in training time, from eight hours of structured training and two weeks of supervised work, to a two-hour training video and roughly two days of supervised work at workstations. 

In addition, JD Logistics says, the order fulfillment process has become less strenuous, leading to lower turnover rates and an expanded fulfillment role for larger hiring pools. Employees were previously walking more than 10 miles a day to fulfill orders. Following the implementation of Hai Robotics’ ACRs, they now pick in ergonomic, operator-friendly workstations. 

Hai Robotics’ ACRs have allowed JD Logistics to increase storage height in the Fontana facility to approximately 17 feet, giving the organization 240% more vertical storage space. Using the same storage footprint, the number of unique SKUs that JD Logistics stores and manages in the facility has increased by 42.9%, to more than 100,000 SKUs, with room to grow. In the process, it has been able to smoothly onboard new customers, while providing additional capacity to existing accounts. Storage totes are organized and placed closely together, the use of vertical space is maximized, and shelving units are arranged with minimal space between aisles, the company says. 

Resource Links:

JD Logistics, https://jdlogistics.com/

Hai Robotics, https://www.hairobotics.com/