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The Food Shippers of America Blog

Food Chain Spotlight: Walmart

by Staff, on Apr 2, 2023 7:51:59 PM

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Walmart’s distribution center in Bentonville, Ark. Is one of 210 DCs that supports stores in a 150+ mile radius.

Walmart's 210 distribution centers are hubs of activity for the mega-retailer’s business. The retailer’s distribution operation is one of the largest in the world servicing stores, clubs and direct delivery to customers. Walmart's transportation has a fleet of 9,000 tractors, 80,000 trailers and more than 11,000 drivers. The DC network ships general merchandise and dry groceries along with other specialty categories to the company’s consumers daily.

In addition, there are six disaster distribution centers, strategically located across the country and stocked to provide rapid response to struggling communities in the event of a natural disaster.

Each DC is more than 1 million square feet in size and employs 600+ personnel unloading and shipping over 200 trailers daily.

Every distribution center supports 90 to 100 stores in a 150+ mile radius.

Walmart is continuing to create solutions that gets products on shelves even faster, but also makes warehouse work easier on its associates. Since 2017, Walmart has worked with Symbotic to optimize its systems and transform its supply chain. While this technology works to sort, store, retrieve and pack freight onto pallets, it also provides an opportunity to train associates on how to use this new equipment, developing new skills and preparing them for jobs in the future. Walmart also rolled-out a high-tech consolidation center in Colton, Calif., that will enable three times more volume to flow through the center. Walmart is continuing to use technology to transform the way it works and lead business into the future.

Walmart’s Fulfillment Network

For Walmart customers, it’s as easy as a tap on their screen. But what goes on behind the scenes? The short answer: a ton of people power, highly efficient fulfillment campuses dedicated to e-commerce, a world-class transportation fleet and a touch of magic. With cutting-edge systems and unrivaled scale, the mega-retailer able to serve customers quickly and offer more choices for how they’d like to receive their orders — shipped to their homes or picked up at their local stores for free.

Walmart’s newest e-commerce fulfillment centers are capable of shipping and handling millions of items. Its fulfillment centers are strategically located across the U.S. to give us very quick and highly efficient access to U.S. customers using ground shipping.

Each fulfillment center is unique and designed with special characteristics based on the area where it’s located. For example, Walmart’s fulfillment center in Davenport, Florida, has 62 dock doors that can withstand wind speeds of 120 mph due to hurricane risk.

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Walmart drivers are part of one of the largest and safest private fleets, and every year the Walmart driver workforce drive 1.1 billion miles to make millions of deliveries to Walmart’s stores and clubs.

An Expansive Private Fleet

Walmart is able to move goods to and from DCs because the retailer maintains a private fleet of trucks and a skilled staff of truck drivers. They're part of one of the largest and safest fleets, and every year they drive 1.1 billion miles to make millions of deliveries to Walmart’s stores and clubs. Each driver averages around 100,000 miles annually-that's like driving around the world 4 times!

Joe-Metzger-Walmart-300x300Joe Metzger, Executive Vice President of Supply Chain Operations at Walmart, has more than 35 years of exceptional end-to-end business performance experience for top tier retail and consumer packaged goods (CPG) companies – with a history of transformation and operational success. He has been a key leader in developing and leading the strategy, planning, capital, and automation investment for Walmart, Kellogg’s, and Kraft/Heinz helping to achieve top-line growth and strong profit margins for all three companies.

Currently in his executive supply chain position at Walmart he is responsible for 140,000 associates in his operation. “Fundamentals for customers and associates have never mattered more,” says Metzger. In fact, early in his career he was coached that it’s all about being a servant leader to his customers and associates in the workplace.

He recently reflected on the lessons learned coming out of the COVID experience: “Our customer service from supply chain was challenged on every front. How do we make sure we’re the best at getting our products on-time, where it needs to be, on the shelf or delivered to home, flawlessly? And the other part is that now it’s even more challenging running supply chains because of inflation. Now we have the boomerang of supply and demand out of sync.”

Source: EP Thought Leader Series, Sept. 19, 2022

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