AMH Material Handling wins multimillion-pound contract for Asda ecommerce expansion

Material handling, automation and maintenance specialist AMH Material Handling has won a contract for Asda at its North East Clothing depot in Washington. The multimillion-pound contract will see AMH expand and convert the current retail fulfilment site into a dual facility handling ecommerce orders as well as supplying stock to retail stores.

AMH will be increasing processing capacity by 50 per cent with the addition of a third national distribution facility to handle the continued growth of Asda’s ecommerce business. The new facility will create significant job opportunities within the Tyne and Wear area.

Due to be completed in 2021, AMH will install varying types of flat conveyors as well as a horizontal crossbelt sortation solution. With automated induction stations for sorting by destination, the system is designed to quickly and accurately handle the vast amount of product processed in totes, poly bags and cartons.

To support the ecommerce expansion, AMH will supply and install a hanging garment storage solution with overhead hanging garment conveyors for the handling and transportation of inbound goods. The project will also see AMH install Adpak automatic bagging machines to further automate ecommerce processing.

Adrian Carter, sales director, AMH Material Handling comments: “AMH Material Handling has worked with Asda since the introduction of its ecommerce business in 2011. Over the years, we’ve seen the existing operations expand year-on-year and we’ve continually supported Asda with both installations and maintenance along the way.

“Being awarded the contract to deliver the third ecommerce operation for Asda is a great opportunity. With our extensive working history and an in-depth understanding of how the business operates, AMH is ideally positioned to deliver a solution for this valuable contract.

“The addition of this ecommerce operation enables our resident engineering team to work with Asda from the very beginning of the project. This will provide a seamless transition from a pure retail store operation into a multi-fulfilment ecommerce operation.”