Ocado Intelligent Automation - Consumer Packaged Goods (CPG)

Consumer Packaged Goods (CPG)

Storage and Retrieval That Delivers the Goods for Consumers.

Operating a future-proof warehouse for consumer packaged goods (CPG) involves navigating complex requirements, from managing hugely diverse inventory to meeting ever more demanding consumer preferences. Our extensive experience in developing automation solutions for the online grocery market enables us to meet the challenges of CPG and fast-moving consumer goods (FMCG) logistics head-on.

The dynamics of our product preferences and purchasing habits are evolving. CPG and FMCG brands and distributors face increased scrutiny as shoppers embrace new channels, ranging from on-demand and voice purchasing to social media impulse buys and regular subscriptions.

With the rise of direct-to-consumer e-commerce, the pressure on CPG and FMCG fulfillment operations to keep pace is even greater. With products designed to sell quickly and with razor-thin margins, CPG fulfillment requires a high throughput, high accuracy fulfillment and replenishment solution to achieve ROI while giving customers a seamless omnichannel shopping experience.

Our high density cubic storage solution directly addresses these requirements, accommodating a diverse range of SKUs with inventory constantly optimized to facilitate rapid retrieval of the fastest moving items. This enables CPG brands and distributors to meet both seasonal and unexpected surges in demand and streamline logistics for timely delivery of customer favorites.

The Ocado Storage and Retrieval System (OSRS) has been built from the ground up to prioritize efficiency at every point of the CPG fulfillment journey. Ocado Group has 20+ years of experience in system management of CPG requirements within our own grocery retail business, as well as that of grocers around the world.

Consumer Packaged Goods (CPG)

Key Benefits

Key benefits of the Ocado Storage and Retrieval System (OSRS) to the CPG industry.

Reliable, Sustained Peak Performance

Deliver ever-shorter cycle times and reduced order cut-off periods with OSRS’ predictable, continuous throughput

Configurable Workstations

Accommodate both individual item and full case picking with our flexible OSRS pick workstations, designed to support a wide range of peripherals and handle multi-channel order profiles

Intelligent Product Slotting

Utilize smart stock ordering within the grid, as slower-moving SKUs move naturally towards the bottom of the grid while fast-moving SKUs rise to the top

Robotic Pick

Fully automate picking of a wide range of SKUs with on-grid robotic pick, with temporary order buffering to support customer order modifications throughout their ordering window

Reduce Supply Chain Shrink

Keep valuable inventory secured in the grid from start to end with full traceability

In-Grid Order Buffering

Unlock additional efficiencies in outbound sortation and dispatch processes by nesting delivery bins inside grid bins, with temporary order buffering to support customer order modifications

How does the Ocado Storage and Retrieval System (OSRS) keep up with the need for quicker replenishment cycles and rapid product turnover in CPG? OSRS prioritizes efficiency by constantly optimizing inventory to facilitate the rapid retrieval of the fastest-moving CPG items. Our highly automated Warehouse Execution System (WES) software combines pick station logic with robot movement to ensure bins arrive at the right time, maximizing operator productivity. Intelligent algorithms and automation ensures that popular products are readily available for quick and timely order fulfillment.

What types of consumer packaged goods can OSRS handle? With a per-bin capacity of up to 89 litres / 23.5 gallons and a maximum weight of 29.3kg / 64.60 lb, a wide range of items can be stored and handled within the OSRS grid. Bins can accommodate a diverse range of product types, sizes and weights, from multipack and case formats to individual loose items (eaches) such as bottles, cans, cartons, tubes, packets and soft plastics. Our pioneering robotic pick arms use AI to make smart real-time decisions, packing eaches into bags intelligently without requiring prior product knowledge.

How does OSRS handle fluctuations in demand, especially during peak seasons for CPG products? OSRS is inherently scalable and designed to handle fluctuations in demand through dynamic inventory optimization and maximized throughput. This ensures that CPG companies can meet increased consumer demand without compromising efficiency. Human-led picking operations can be augmented with Chuck AMR, enabling retailers to quickly scale to address seasonal demand and labor shortages.

How does OSRS help in addressing the challenge of scalability and business evolution in CPG? OSRS offers seamless scalability and a platform design that facilitates easy physical system expansion up to the maximum capacity of a warehouse. This adaptability enables the system to effortlessly meet rapidly changing business requirements and increased consumer demand without major disruptions to your CPG supply chain.

Which OIA automation solution is right for my consumer packaged goods operations? OSRS is a high density ASRS solution that offers industry leading benefits for high throughput businesses. For medium throughput operations looking for a faster and lower cost route to automation, our Chuck autonomous mobile robot (AMR) integrates with your existing warehouse infrastructure, working collaboratively with human associates to increase your warehouse productivity.