Wilkinson is undoubtedly very successful fully automated logistics distribution center as it is equip with sophisticated equipments which has its own system of dispatching logistics to appropriate dispatch lane with out human intervention. It product lines of more than 25, 000 raging from hardware, toiletries, gardening, clothing, household and electrical goods and serving a wide area of England and Wales, there is no doubt that Wilkinson is fast growing retail operation since its beginning back in the 1930s.
However, despite of its success, Wilkinson is facing problems/issues with regards to its logistic distribution. The problem faced by Wilkinson has to do with coping up with their retail operation in view of the large volume of stocks of product line for distribution. Apparently, the complexities of these enormous stocks of all sorts, is slowing down distribution. So the problem of finding the equation has become Wilkinson’s problem.
Another issue confronting Wilkinson is the transport costs. Although this problem was already addressed by the decision to build a second distribution centre in Magor, near Newport, South Wales, but in the time this remains a problem until such a time that the second distribution center is fully serviceable.
Recommendations for improvement
Wilkinson had already sophisticated and very efficient equipments that are doing the job of segregating, packing, stamping, and dispatching products towards the dispatch lane. However, in order to further accommodate stock replenishments, Wilkinson has developed a new distribution center at Magor, near Newport, South Wales, equip with even more efficient system that could address not only sorting problems, as well as all the process than in the first distribution center. This high speed new system is designed to handle products according to size, shape, speed of turnover and type of packaging used. Ultimately, the second distribution center will greatly help Wilkinson towards their objectives to maintain equation between stocks for deliveries and replenishment stocks. Their full automation will definitely help them move forward and have an inventory of their stocks. This is quite important because it will “provide the firm with ability to respond to the average level of customer demand occurring the period between replenishment order release and receipt” (Ross, D. F. 2004, p. 305).