Third-party logistics provider CEVA Logistics has renewed its contract with Ocado Retail, which will see CEVA continue to operate as a national consolidation centre for the online supermarket retailer.
CEVA will manage the bulk storage of ambient products and distribute to all seven of Ocado Retail’s customer fulfilment centres (CFCs), which dispatch end-customer orders.
Ocado Retail’s volumes through CEVA have grown significantly year-on-year. To accommodate this increase, CEVA has reconfigured its warehouse design at its Kettering facility to process changes in pallet configuration and changes in SKU profile, significantly increasing storage capacity while maintaining impeccable service continuity.
As part of the renewal process, CEVA successfully delivered a major operational optimisation programme, including a redesigned warehouse management system (WMS), new pick-face implementation, enhanced replenishment processes and updated put away logic.
These improvements have increased outbound efficiency while maintaining full service levels throughout the transition.
CEVA’s Kettering facility now provides Ocado Retail with greater stock cover, stabilising and increasing product availability for end customers and enabling the business to manage peak trading periods year-round.
CEVA said its role as a consolidation centre allows Ocado Retail to optimise its CFC operations, ensuring consistent product flow, improved network efficiency and the scalability required to support long-term growth.
Tim Walker, Ocado Retail supply chain director, said: “We trust CEVA Logistics to support our growth, consistently adapting to our evolving operational requirements.
“The team’s ability to implement major system and layout changes while maintaining service has supported in improving efficiency and helped ensure product availability.”
Mike Weaver, CEVA Logistics MD of contract logistics, added: “This contract renewal reflects the tangible value delivered through our responsive logistics solutions.
“By combining operational excellence, continuous improvement and scalable infrastructure, we enable Ocado Retail to meet rising consumer demand.
“We look forward to further developing this successful partnership.”
