The Arnott’s Group’s new distribution warehouse in Western Sydney has more than doubled capacity while delivering major efficiencies.
In an industrial estate in Sydney’s outer western suburbs, alongside large allotments baring the logos of well-known companies, you come to a set of gates and are greeted with the smell of baking biscuits.
The Huntingwood factory is one of three bakeries owned by The Arnott’s Group, the other two in Queensland and South Australia. It is a massive site and home to the one kilometre long Tim Tam line. The plant manufactures 29.9 million biscuits a year.
Huntingwood also manages around 65 per cent of the group’s national inventory, with biscuits distributed all over Australia, to New Zealand and other export markets.
The decision to upgrade the warehousing facility site was part of the group’s investment program in local manufacturing and infrastructure to grow itsoperations.
Arnott’s Group national logistics manager David Lloyd Jones says it also cements the company’s heritage in, and commitment to, Western Sydney.
“The site was redesigned to created enhanced efficiencies and improve technological capability, ensuring continuity of supply as the Group continues to expand,” Lloyd Jones says.
The development involved a large-scale expansion and automation of the existing facility so it could manage all inbound and outbound deliveries for New South Wales as well as store almost five times as many pallets as before.
The upgrade also involved a technological overhaul, with the 5000 square metre, 35-metre-tall high bay warehouse now fully automated.
The development comprises alarge trussed mezzanine structure, as well as many complex extensions and features such as external hardstands, loading dock facilities and temperature controlled storage areas.
The existing lowbay structure also underwent an upgrade.
The warehouse has the capacity for 28,000 pallets, more than doubling what it could hold previously.
“The project value was more than $50 million. Before commencing the build, we undertook a rigorous tender process to identify the right suppliers and partners,” Lloyd Jones says
Daifuku supplied the ASRS cranes and other equipment, Northrop provided structural engineering services, FDC Construction & Fitout was the builder, Robotic Automation delivered palletisation systems, TMX operated as building consultant and project management, and Auxiem provided project management.
It was a successful team, with the project winning the Master Builders Association of NSW Award for Industrial Buildings ($20m+).
An extra challenge for the build was the requirement for facilities to remain operational during the project. Early on, FDC enlisted engineering firm Northrop to help with staging to ensure the works went smoothly and with minimal interruption to operations.
A Sophisticated automation showcase
Lloyd Jones says, “The warehouse is designed with sophisticated, one-touch logistics solutions, leveraging automation and robotics to maximise fleet utilisation. It delivers a 50 per cent time saving in terms of efficiencies and significant cost savings per year.
“The new systems reduce foot traffic in the warehouse, reduce workplace injuries and allow the trucks to collect and depart with deliveries faster.”
Arnott’s has commissioned aleading goods-to-person technology that brings the product to the picker for small-volume local customers.
There are also clearly demarcated areas to accommodate the range of biscuits Arnott’s makes.
“There is a combination of temperature and ambient storage space, and we have built a special chamber that super glosses chocolate for our export markets. It is a unique process that prolongs shelf life,” Lloyd Jones says.
The group are using AGVs in the palletising area, and pallets are delivered to outfeed in the order in which they are going to be loaded on to trucks.
“This system places pallets in the right location to ensure compliant weight distribution,” Lloyd Jones explains.
“The new systems also maximise ergonomics and allow for speedier collection and departure for our logistics partners.”
Efficiencies from the build are still unfolding, with the Group currently developing its solar plan for all of its manufacturing sites.
Meanwhile, truck movements have been reduced by eliminated the need to move products from Huntingwood to other storage locations, and the smart technology used in its pallet loading upgrade also reduces the number of trips being made.
Arnott’s has been making much loved biscuits in Australia for more than 150 years, and from its Huntingwood bakery since 1997. This latest investment will keep the ovens on, and the biscuits on the shelf.
This article first appeared in the May 2022 edition of Food & Drink Business.
