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After a comprehensive planning and implementation phase, Hanes Australasia, a provider of clothing and homeware, has expanded its omnichannel distribution center in Australia. The new facility, located in a suburb of Melbourne, is now capable of more than doubling its capacity and performance. This enables the company to handle both current business peaks and future growth. The distribution center spans 44,000 square meters and is the only warehouse in the Hanes Australasia network in Australia. Over 100,000 order lines from more than 50,000 items are shipped daily through the wholesale, retail, and e-commerce distribution channels.
Partnership with SSI Schäfer
The collaboration between Hanes Australasia and SSI Schäfer, a provider of logistics solutions, has been in place for several years. The first joint implementation took place in 2016. In 2020, Hanes Australasia required a 60% increase in daily capacity to meet the increased order volume, particularly during the Covid-19 pandemic. While the existing warehouse infrastructure was functional, it was not sufficient to support the company’s growth.
Sebastian Siccita, Group General Manager Logistics at Hanes Australasia, emphasizes the importance of the partnership: “We knew that SSI Schäfer had the right solution for us; they were innovative in their thinking.” The expansion of the facility began in 2023 and involved a doubling of the level of automation. The construction was carried out in two phases to avoid disrupting ongoing operations.
New Technologies for Efficiency Improvement
The new solution from SSI Schäfer integrates existing systems and includes a single-level shuttle system as well as the SSI Carrier pocket sorter. These systems enable a significant increase in capacity and support the various business areas of Hanes Australasia. Brett Thirup, Managing Director of SSI Schäfer Australia & New Zealand, highlights that this is the first hanging conveyor technology system in the Asia-Pacific region.
The pocket sorter is specifically used for processing online orders and optimizes operations during busy times, such as Black Friday. With 15,000 pockets, the system reduces the number of processes that employees need to perform to manage inventory and orders. Ed Wilding, DC & Freight Manager at Hanes Australasia, explains that the new system allows the company to ship 90% of orders on the same day.
Comprehensive Solution and Service
In addition to the hanging conveyor technology system, the solution from SSI Schäfer also includes the proprietary WAMAS software, numerous picking stations, and various handling systems. The expansion of the repacking area allows for flexible integration with new and existing systems. Hanes Australasia plans to continue the existing maintenance partnership with SSI Schäfer to optimize uptime and service quality.
The resident maintenance team at Hanes Australasia ensures comprehensive service coverage and provides both reactive and proactive maintenance services. Sebastian Siccita highlights that the collaboration with SSI Schäfer was crucial to the success of the project and that the shared values of both companies led to a positive outcome.
Overall, Hanes Australasia reports improved processing speed and an optimized cost profile due to the expansion of the distribution center. The ability to further expand capacities at the existing location represents an additional advantage for the company’s future development.
