CASE STUDY

BIG LOTS

2www.intelligrated.com

Big Lots has a million different challenges in their distribution centers since many times

they have no idea what products are arriving or how much. That’s just the nature

of their business, but what they do know is how it will be handled and what it will

cost. Todd Noethen, Vice President Distribution Services for Big Lots, no longer has

to worry about throughput since the company’s Durant, OK facility was designed to

be ten percent more efficient than the top performing facility in its network of five

regional distribution centers. But what keeps Noethen up at night are his concerns

about becoming more efficient in the next facility. Planning begins on each new DC

three years prior to the need based on the company’s growth plans. As the layout and

designs of each new facility are perfected and tweaked, productivity is improved.

Shipping to the company’s 1,440 stores with only five distribution centers is not a simple

task. To complicate the matter, Big Lots carries a wide variety of product. If you’ve ever

been in a Big Lots store, you will agree that products range from food items to large

tools, toys, electronics and more. To handle this broad range of product, each facility’s

material handling design must be highly flexible and versatile.

When implementing such a highly flexible design at a new facility, it is important that

the conveyor system team work effectively with many other contractors and suppliers

to ensure project goals and timelines are met and overall customer satisfaction.

The Durant facility began shipping to their stores on time and within budget

accomplishing Big Lot’s schedule and budget goals.

Future growth potential was taken very seriously while building and designing the

new Durant facility. The facility has the capacity to add 14 additional receiving doors

to the 51 doors installed today as volumes build. In shipping, there are 40 active doors

operating today with the ability to add another 20 in the future. This will allow the

sorter to be easily expanded and after sorts added without any disruption. In the next

couple of years, Big Lots plans to supply 350 stores out of this facility shipping in excess

of one million cases per week to 16 states.

Speed and throughput requirements were important factors in Big Lots’ selection of a

conveyor supplier. The IntelliSort® sliding shoe sorter is capable of speeds over 600 feet

per minute and able to sort cases at a sustained rate of 235 cartons per minute, with

peaks of 300 cartons per minute, which is 30 percent faster than any leading conveyor

manufacturer.

Benefits achieved with new systemBig Lots’ new Durant, OK facility is designed to be ten percent more efficient than the previous top performing Tremont, PA, distribution center which currently out performs the others by 14 percent.

Throughput was doubled and flow was improved to the sorter by adding a second discharge point out of the pick modules. Intelligrated completed the Durant, OK distribution project on time and on budget.

Growth And Throughput Go Hand In Hand

IntelliMerge®

Vertical IndustryRetail Distribution

IntelliQ®

Speed Through DC To Checkout Counter

3www.intelligrated.com

The facility has six, four-level pick modules with two

discharge lanes. Picked cartons are conveyed from

the module to a spiral discharge conveyor that feeds

the distribution center’s central conveyor line. Cases

travel down the central line on IntelliQ® accumulation

conveyor that feed the pre-spacing belt and release to

a 13 to one IntelliMerge®. The bar code label on each

carton is scanned before induction to the IntelliSort

sliding shoe sorter. The elevated sorter directs each

case to one of 40 shipping lanes.

In any large facility, it is important to have a good

view of your operation to monitor for potential

problems. Intelligrated’s PC-based control system,

InControlWare®, gives Big Lots’ managers the ability to

monitor and control the conveyor at any given point in

the distribution center.

InControlWare’s real-time status and progress features

give Big Lots the ability to complete proactive wave

management balancing. Live troubleshooting with

sub-second resolution is an invaluable benefit in

keeping a distribution center of this size operational

24X7. InControlWare provides all necessary information

at their fingertips, such as system and equipment

manuals. With built-in alerts, InControlWare can send

real-time system warnings to the appropriate person at

a desktop computer or through a PDA.

InControlWare includes inherent business analysis

tools that allow Big Lots to view real-time system

trends versus actual rates. Users can view various data

points, including cartons per minute and recirculation

percentages, and warning alerts for below standard

operation.

Components Of The System

“We expect

each new DC

to be more

efficient and

post higher

performance

numbers than

the one built

before it.”

Todd Noethen

Vice President, Distribution Service

Big Lots

• Systems Integration

• Sortation Systems

• Conveyor Systems

• Palletizing Solutions

• Software & Controls

• Order Fulfillment Systems

• 24x7 Technical Support

• Design & Build

Intelligrated Products and Services

Intelligrated Service & Support

The in-house Customer Service and Support (CSS) program

offered by Intelligrated backs all of our products. Services

available include:

• IN-24x7® technical support hotline

• Spare parts logistics

• Field service

• Equipment and system audits

• Upgrades and modifications

• Full service and maintenance contracts

• Preventive maintenance

• Customer training

CSS is available 24x7 to provide all of the services needed

to keep your equipment running at peak efficiency.

Whether it’s on-site support or troubleshooting via

our hotline, Intelligrated has the most comprehensive

customer support program in the industry.

Service and Parts Hotline

Phone + 1 877.315.3400

www.ontimeparts.com

CSBL01 1.10 © 2010 Intelligrated. All rights reserved.

7901 Innovation Way, Mason, Ohio 45040 + 1 866.936.7300

info@intelligrated.com www.intelligrated.com

For more information, contact:

Headquarters in Mason, Ohio

About Intelligrated

Intelligrated is a leading American-owned, single-point

provider of automated material handling solutions with

operations in the U.S., Canada and Mexico. Headquartered

in Cincinnati, Intelligrated designs, manufactures and

installs complete material handling automation solutions,

including IntelliSort® line sortation systems, Crisplant®

tilt-tray and cross-belt sortation systems, conveyor systems,

Alvey® palletizers and robotics, Real Time Solutions®

order fulfillment systems, warehouse control software

and advanced machine controls—all supported by 24x7

Customer Service and Support.

Serving the warehousing, distribution, consumer product

manufacturing, postal and parcel markets, Intelligrated

collaborates closely with its clients to develop productivity

solutions and responds to their needs throughout the life

of their material handling systems.