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Case Study: TE Connectivity

TE Connectivity Transforms Warehouse Operations with Bailey
Case Study: TE Connectivity

Client Overview

TE Connectivity, a global leader in providing innovative solutions that connect and protect the flow of power and data, serves industries such as aerospace, automotive, energy, and industrial equipment. With over 8,000 engineers and 90,000 employees, the company operates across multiple continents, pushing the boundaries of connectivity in more than 140 countries. Their Tullahoma, Tennessee facility plays a crucial role in supporting the production and distribution of their vast array of electrical components. For more information on TE Connectivity, visit their website.

 

The Situation

TE Connectivity’s rapid growth in the electrical components industry presented significant challenges in managing their case quantity order picking and throughput at their new CFC (Customer Fulfillment Center) in Tullahoma, Tennessee. The company faced bottlenecks in fulfilling customer orders due to limited ground-level picking systems, which significantly slowed their ability to meet demand.

Daily shipments from multiple manufacturing locations, including Tullahoma, created an urgent need to improve efficiency. With customer orders being placed as late as mid-afternoon and requiring same-day shipment, the facility’s storage capacity, organization, and retrieval processes were unable to keep pace with these stringent demands. TE Connectivity needed a more advanced solution to optimize operations and increase throughput.

 

The Objective

TE Connectivity aimed to enhance their warehouse operations by focusing on two critical goals:

  1. Maximize Case Picking Efficiency: To increase the number of case picks and put-aways each day, TE Connectivity needed to move beyond manual processes and ground-level storage. They required a solution that could significantly enhance throughput while reducing the footprint dedicated to case storage.
  2. Increase Storage Capacity: By expanding storage vertically, TE Connectivity sought to increase overall storage positions by 200%, reducing the space needed for case storage from 63% to just 38% of the warehouse floor. To achieve this, they implemented a Very Narrow Aisle (VNA) storage solution with 10 levels of VNA for case picking. Wire-guided equipment was also needed to ensure efficient operations and greater accuracy in handling high volumes of products.

 

The Solution

Bailey partnered with TE Connectivity to deliver a comprehensive intralogistics and equipment solution that included:

VNA Order Picking: With 10 levels of VNA storage, the system allowed TE Connectivity to drastically expand their storage capacity, reducing the warehouse footprint used for storage and significantly increasing efficiency.

Wire Guidance Systems: This advanced system was integrated into their operations, improving equipment navigation, accuracy, and speed in high-density storage areas.

Increased Pallet Positions: The overhaul allowed TE Connectivity to more than double their storage positions, accommodating their growing inventory and improving their ability to meet increasing customer demands.

 

The Results

The transformation of TE Connectivity’s Tullahoma facility was profound. By implementing the VNA order picking system and wire guidance, they achieved:

  • 7x Faster Case Picking: The facility can now pick and store products at a rate seven times faster than before. This has allowed TE Connectivity to meet and exceed customer expectations, ensuring same-day shipments of mid-afternoon orders.
  • Increased Storage Capacity by 200%: The new vertical storage solution reduced the warehouse footprint for case storage from 63% to 38%, while increasing overall storage positions, enabling TE Connectivity to store and retrieve products more efficiently.
  • Streamlined Operations with High-Speed Equipment: Integrating the wire-guided system and high-speed equipment into their existing inventory management software drastically improved pick accuracy and speed, setting TE Connectivity up to handle future demand growth with ease.

 

Bailey’s collaboration with TE Connectivity delivered a transformative solution that optimized the fulfillment center’s performance, meeting current needs while positioning the facility for long-term growth. By implementing cutting-edge intralogistics and equipment solutions, TE Connectivity has significantly improved its ability to store, manage, and ship products rapidly and efficiently.