Kirkland’s, founded in 1966, is a leading specialty retailer of home decor in the United States. Headquartered in Jackson, Tennessee, Kirkland’s has seen an incredible growth in annual sales. With a 30 percent annual growth rate, it became apparent that the previous design of the Kirkland’s distribution center would no longer support the volumes demanded. So Kirkland’s turned to Honeywell Intelligrated to develop a new distribution center design that would meet their demand for higher throughput for their diverse range of product and accommodate their high growth rates.
Kirkland’s has more than 300 stores in 37 states. The new distribution center expansion required the flexibility and throughput capacity to support opening three to five new stores per week. Many of Kirkland’s existing stores were also undergoing a transformation from traditional mall stores to “lifestyle centers,” which increased the square footage of these retail outlets by about 25 percent. Due to the stores’ increased square footage, it was important that the deliveries from the distribution center be more frequent. The distribution facility needed to reduce cycle time and increase store deliveries.
The company’s stores sell a broad selection of distinctive merchandise, including framed art, mirrors, candles, lamps, picture frames, accent rugs, garden accessories and artificial floral products. The company’s stores also offer an extensive assortment of holiday merchandise, along with items carried throughout the year suitable for gift giving. When a new store opens, the distribution center takes on the burden of readiness because it is responsible for ticketing product for the store. These value-added services are accomplished while maintaining the flow of the distribution orders by diverting the product that required ticketing to a value-added line.
Read the full case study to find out how sortation and conveyer system upgrades from Honeywell Intelligrated increased throughput and reduced cycle turnaround time for Kirkland’s.