Diving into the world of logistics and supply chain automation, I had the privilege of sitting down with Marco Gaietti, a veteran in business management with extensive expertise in strategic operations and innovative logistics solutions. Marco has been deeply involved in transformative projects for large-scale grocery distribution centers, including the remarkable partnership between COOP Norway and WITRON. Our conversation explored the evolution of a decade-long collaboration, the intricacies of massive facility expansions, and the cutting-edge technologies driving efficiency at an unprecedented scale. We also delved into the financial impacts of automation and the complexities of managing growth in a dynamic industry.
How did the partnership between COOP Norway and WITRON come about, and what were some of the early challenges you faced at the logistics center near Gardermoen Airport? Can you share a memorable moment from those initial days and tell us how trust developed over the years with significant milestones?
I’ve been fortunate to witness the incredible journey of COOP Norway and WITRON, which began over a decade ago with a shared vision to revolutionize grocery distribution in Norway. The initial challenge was immense—setting up a full-range logistics center spanning 84,000 square meters to handle 13,000 items for 1,200 stores was no small feat. We grappled with aligning complex automation systems across diverse temperature zones and ensuring seamless integration under tight deadlines. I remember a particularly tense moment during the first building stage in 2014 when a glitch in the system delayed our launch by a few days—everyone was on edge, but seeing the team rally together to troubleshoot overnight, fueled by coffee and sheer determination, was unforgettable. Over the years, trust grew through shared successes, like the completion of the second building stage in 2022 when we added 11 COM machines, proving our ability to scale efficiently. Each milestone, from the initial rollout to handling daily operations, cemented a partnership built on mutual respect and a commitment to innovation.
Can you walk us through the planning process for the CLog 3.0 project, which will add 12 more COM machines by 2028, bringing the total to 54? What are the key steps, and what hurdles do you foresee in integrating these across different temperature zones during ongoing operations?
Planning for the CLog 3.0 project is like choreographing a complex dance while the performance is already underway. We start with a detailed assessment of current operations at the Gardermoen facility, analyzing throughput data and store demands to pinpoint where the 12 new COM machines will have the most impact. Then, we map out the integration within the existing infrastructure, coordinating with engineering teams to extend conveyor systems and ensure compatibility across temperature zones like dry goods at +18°C and frozen at -25°C. A critical step is scheduling installations to minimize disruptions—think of it as performing surgery on a living organism; everything must keep running. One hurdle I anticipate is maintaining precision in the frozen zone, where even slight delays can compromise product quality. We’re bracing for potential calibration issues with the new machines under such extreme conditions, but we’re developing robust contingency plans, drawing from past expansions to keep operations smooth. It’s a high-stakes endeavor, but the thrill of seeing it come together keeps us motivated.
With the distribution center scaling from 570,000 to 690,000 picks per day, how do you maintain efficiency at this level while ensuring store-friendly case picking? Could you share the technologies or metrics that enable this, and perhaps a practical example of its impact on store deliveries?
Hitting 690,000 picks per day while keeping cases store-friendly is a testament to both technology and strategy. We rely heavily on WITRON’s OPM system, which automates order picking with 54 COM machines once the expansion is complete, ensuring precision even at this volume. Key metrics we track include pick accuracy and turnaround time per order, aiming for near-perfect delivery schedules to avoid store shortages. The fully automated shipping buffer also plays a huge role, staging orders so they’re ready to roll out exactly when needed. I recall a specific instance last holiday season when a sudden spike in demand could’ve derailed us, but our system dynamically adjusted, prioritizing high-turnover items for a major store chain. Watching trucks leave the dock on time, loaded with perfectly sequenced cases, felt like a small victory. It’s not just about numbers; it’s about ensuring a store manager can restock shelves without a hitch, keeping customers happy.
I understand that these automated systems have led to savings of millions of euros annually. Can you dive into how solutions like OPM, DPS, and CPS contribute to these cost reductions, and highlight a specific area or project phase where you’ve seen the most significant financial impact?
The financial impact of automation at COOP’s facility is staggering, and it’s largely thanks to WITRON’s integrated solutions like OPM, DPS, and CPS. The OPM system, with its automated order picking, drastically cuts labor costs by reducing manual handling, while DPS optimizes depot processes for faster throughput, saving on operational delays. CPS ensures case picking is streamlined for store delivery, minimizing errors and returns that can bleed resources. The biggest financial win, in my view, came during the second building stage in 2022, when adding 11 COM machines boosted capacity without a proportional increase in staff—those savings in labor and error reduction added up to millions annually. I remember walking through the facility during that phase, hearing the hum of machines working in sync, and realizing we’d shaved off significant overheads. It’s not just about cutting costs; it’s reinvesting those savings into growth, which fuels the cycle of innovation.
The third stage of expansion, adding 136,000 storage locations and 27 stacker cranes, is massive. How do you tackle the complexity of integrating such extensive upstream logistics technology, and can you share a story of a time when a similar expansion pushed your team to innovate under pressure?
Managing the integration of 136,000 storage locations and 27 stacker cranes feels like assembling a giant puzzle while the game is still being played. We begin with a holistic design approach, mapping out every inch of upstream logistics—pallet and tray storage, conveyor extensions, and new depalletizers—to ensure they sync with existing systems. Coordination is key, involving daily sync-ups with engineering, IT, and operations teams to align on timelines and troubleshoot in real-time, all while operations continue. Then, we rigorously test each component before full rollout, simulating peak loads to catch potential bottlenecks. I recall a similar expansion years ago when a sudden software mismatch halted a stacker crane rollout—we were days behind, and the pressure was palpable with store demands unrelenting. My team worked around the clock, brainstorming with tech specialists over cold pizza in a dimly lit control room, until we patched the system. That grit and quick thinking turned a crisis into a learning curve, and it’s the kind of resilience we bring to every project like this one.
Looking ahead, what is your forecast for the future of automated logistics in grocery distribution, especially with the rapid advancements we’re seeing in technology and scalability?
I’m incredibly optimistic about the future of automated logistics in grocery distribution—it’s poised to redefine how we think about supply chains. With technologies like AI and machine learning evolving at breakneck speed, I foresee systems that not only predict demand with uncanny accuracy but also self-optimize in real-time, minimizing waste and energy use. Scalability, as we’re seeing with projects like CLog 3.0, will push facilities to handle even higher throughputs, possibly nearing a million picks per day in the next decade. But the real game-changer will be the integration of robotics for last-mile delivery, closing the loop from warehouse to doorstep. I believe we’re on the cusp of a revolution where automation doesn’t just save costs but transforms customer expectations. It’s an exciting time, and I can’t wait to see how these innovations unfold in facilities like COOP’s.
