Beverage Distribution: Why Your SKU Count is Crushing Productivity

SKU proliferation has made beverage distribution a logistical nightmare. Zac Boehm, Chief Automation Officer at Hy-Tek Intralogistics, breaks down how their innovative automation systems, High-Sync and High-Flow, tackle the challenges of rising product counts and high labor turnover. Learn how optimizing pick paths and simplifying operations can lead to double or even triple pick speeds and a more efficient workforce.

Hy-Tek Intralogistics has introduced two automation systems — Hy-Sync and Hy-Flow — designed specifically for beverage distributors struggling to manage exploding SKU counts and chronic labor turnover. The systems aim to shorten pick paths, protect on-time truck departures, and reduce the physical demands on warehouse workers, according to Zac Boehm, Chief Automation Officer at Hy-Tek Intralogistics.

The core problem, Boehm said, is that distribution facilities built for hundreds of SKUs are now expected to handle thousands. A warehouse originally designed for 500 SKUs may now be picking across 4,000, with each additional SKU adding footage to the pick path. What once took 10 minutes to complete can now take 15 to 20 minutes — directly threatening the truck release schedules that distributors depend on to serve customers.

“Every quantity of SKUs that they add, again, if a building was really designed for 500 SKUs and now they’re picking 4,000 SKUs, you can imagine every SKU that they add adds additional footage to the pick path,” Boehm said.

This story was originally published by FreightWaves. Read the full story at FreightWaves →