JYSK taps Kӧrber for supply chain megaproject in Hungary

Kӧrber, the global supply chain technology company from software to materials handling automation, has announced its selection by international Scandinavian home furnishings retailer JYSK.

JYSK will grow and optimise operations in South Eastern Europe through a new, highly automated distribution centre enabled with the end-to-end solutions and knowhow of Kӧrber.

More products, distribution channels and heightening consumer expectations make supply chains increasingly complex. This is particularly true for the European market, which must adapt to the rapid growth of ecommerce on already strained logistics systems. Businesses need a partner with the solutions and experience to overcome this. Kӧrber is this partner for JYSK. 

“Today’s supply chain demands harmony,” said Dirk Hejnal, chief executive officer of Kӧrber Supply Chain. “Technology, equipment and staff must work in tandem to move products in line with consumer demands for convenience, choice and flexibility. Kӧrber is the only, single partner that can provide and integrate advanced software solutions and automation technology with the entire IT ecosystem.”

Kӧrber will implement a fully automated system for JYSK’s new distribution center in Ecser, Hungary. This spans integration of supply chain software, automation solutions, materials handling equipment (MHE) and SAP software consulting and implementation. Two twelve-aisle high-bay warehouses will utilise a two-kilometer electric floor conveyor with 36 rail guided vehicles (RGVs) and 1.8 km of pallet conveyors. This is in addition to stretchers, lifters, stacker cranes and a pallet inspection station. 

Planning and management of goods will be centrally managed by the SAP Extended Warehouse Management (EWM) and Material Flow Systems (MFS). Yard and transportation management capabilities will also be provided. The result is seamless omnichannel distribution from strategic storage (200,000 pallets), higher efficiency and speed (400 Euro pallets per hour) and reduced transport to the yard by approximately 4.5 million km per year.

“Businesses need a partner that understands their specific needs and builds a solution around them,” said Thomas Gries, chief executive officer SAP competency at Körber Supply Chain. “That’s why our depth makes us different. Our end-to-end supply chain solutions are tailored to even the most complex operations, and our global team of experts is with you from implementation, to go-live, and beyond – no matter the complexity.”

And JYSK is very happy with the solution as well. “Körber’s experienced and creative design team has elaborated an elegant and robust solution. We are most confident that it will fulfil our requirements. As JYSK continuously expands, it was also important in our choice to find a scalable material handling and warehouse management solution, so we can expand the warehouse capacity by minimum 100%,” explains Troels Fynbo Larsen, Contract Manager Logistics at JYSK.

JYSK’s new, 200€ million, 143,000 sqm distribution centre will go-live in 2022. Goods will be supplied to stores and customers in Hungary, the Czech Republic, Slovakia, Slovenia, Croatia, Bosnia and Serbia. To date, JYSK has over 2,900 stores and 24,000 employees in 51 countries.

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