Körber Accelerates Distribution for JYSK in Bulgaria

Körber Supply Chain optimizes the distribution center for the furniture retailer JYSK in Bozhurishte, Bulgaria. JYSK is thus countering the growing logistical challenges, reducing its CO2 footprint at the Bozhurishte Distribution Center (DCB), and launching with expanded capacities for end customer deliveries.

(Bad Nauheim/Bozhurishte) Körber continues its collaboration with the retail chain JYSK at the Bozhurishte Distribution Center (DCB), Bulgaria. Recently, the DCB has not only been supplying JYSK’s own stores but also online customers in the Southeast European region. Together with Körber, JYSK’s distribution center has now been extensively expanded – particularly aimed at the growing logistical complexities of online retail.

After thorough consulting by Körber, the supply chain specialist implemented the Warehouse Management System based on SAP EWM (Extended Warehouse Management) and SAP EWM MFS. This is seamlessly integrated into Körber’s automation components in the form of two high-bay warehouses (HRL). These include around 120,000 pallet spaces and an expandable pallet floor conveyor system of rail-guided vehicles that enables the transport of pallets between all operational areas. With the integration of processes for online retail, the DCB is now fully equipped to enable the supply of stores and end customers in a multichannel manner. This includes closely coordinated replenishment strategies as well as intelligent internal goods transport processes, which are essential due to JYSK’s extremely heterogeneous product range, ranging from Christmas decorations to dining tables, towels, and cabinets to spare parts for door hinges.

Service Becomes More Ecological Thanks to Customer Proximity

This allows JYSK to offer its customers a significantly more ecological service. Previously, online orders for a large part of the Southeast European region were processed at the location in Radomsko, Poland; with high transport costs included. Due to its location, the expanded functional areas of the DCB significantly shorten delivery times thanks to the adaptability of SAP EWM to the operational processes for e-commerce fulfillment. Additionally, the facilities are utilized even better and supported by replenishment and picking processes based on SAP EWM.

“E-commerce has gained importance, and this development has been intensified by the global Corona pandemic. Therefore, we need to deliver to our customers quickly to remain competitive. The SAP system and the automation components enable us to meet customer expectations more efficiently and effectively despite the increasing volume. Our ongoing partnership with Körber and its diverse product portfolio has and will continue to give us the flexibility to expand our capabilities to meet future requirements,” says Allan K. Kjærgaard, EVP Logistics at JYSK.

E-Commerce Requires Powerful and Flexible Solutions

“The growing challenges of e-commerce demand powerful and equally flexible solutions to keep up with ever-changing customer requirements,” emphasizes Dirk Hejnal, Chief Executive Officer, Körber Business Area Supply Chain. “With Körber, challenges like these become opportunities – thanks to a comprehensive range of services, a global team of experts, and the necessary know-how in end-to-end integration of efficient software and automation solutions.”

On “Black Friday” 2020, the picking area recorded a record value of over 5,500 picks in one day. Based on this success, the IT features designed for the multichannel business are to be rolled out soon for the new distribution center in Ecser, Hungary, which is scheduled to go live in 2022.

Photo: © Körber Supply Chain