GROUND Introduces Revolutionary Logistics System
GROUND Corporation, based in Tokyo's Chiyoda Ward and led by CEO Hirotomo Miyata, is at the forefront of Japan’s LogiTech industry. The company has successfully implemented its integration management and optimization system, known as GWES (Ground Warehouse Execution System), at the logistics subsidiary of the Japan Cooperative Alliance, C.X. Cargo, headed by President Toyohiro Sato.
Set to commence operations in August 2024 at the Okegawa No.2 Distribution Center in Saitama Prefecture, GWES is planned for deployment across all 13 operational sites by 2027. This innovative system aims to visualize a multitude of performance metrics within logistics centers, ultimately streamlining operations and enhancing efficiency.
Background of C.X. Cargo
C.X. Cargo, a logistics subsidiary of the Japan Consumer Cooperative Union, manages comprehensive logistics services for CO-OP outlets, home delivery, and mail-order businesses. The company has previously utilized Warehouse Management Systems (WMS) and Warehouse Control Systems (WCS) to digitize and standardize internal operations. However, the management of these processes has faced several challenges, particularly in standardizing management practices.
To address these issues, C.X. Cargo decided to implement GWES by leveraging visible, data-driven insights for management decisions. This approach optimizes the use of limited resources such as human labor and warehouse space, facilitating informed discussions and actionable steps for improvement among all stakeholders.
Features of GWES
In the initial phase at the Okegawa No.2 Distribution Center, three key modules of GWES are operational: Progress Analyzer (PA), Workload Analyzer (WA), and Inventory Analyzer (IA). The real-time tracking capabilities of the system have made it easier to adjust workforce requirements and determine daily operational end times. By visualizing individual workload and productivity metrics alongside established targets, GWES promotes transparency and effective reflection on improvement processes.
Additionally, GWES digitalizes the layout of logistics centers, employing heatmaps that indicate the shipping frequency of items stored on various shelves. This visualization of inventory movement supports future optimizations, including the Stock Optimization (SO) and Route Optimization (RO) modules, which aim to enhance storage and operational efficiency through optimal inventory placements and picking strategies.
Future Plans
As part of the rollout plan, GROUND is committed to supporting the ongoing enhancement of GWES functionalities, contributing to the growth trajectory of C.X. Cargo. By 2027, GWES is expected to be fully operational across all 13 sites, integrating with each facility's existing WMS and WCS to promote Digital Transformation (DX) more effectively.
Comments from Key Stakeholders
Toyohiro Sato, President of C.X. Cargo
"We extend our gratitude to GROUND for their assistance that goes beyond mere system provision, supporting us through the entire operational process. We have chosen to adopt GWES to comprehensively visualize our current operational status using objective data. This leads to real-time visibility into task progress and productivity, making it easier for everyone on the ground to share the same information and make decisions to boost productivity collaboratively. We aim to optimize workforce and inventory placement through data-driven strategies across more locations to enhance logistics efficiency and support the cooperative’s operations."
Hirotomo Miyata, CEO of GROUND
"We are honored to receive such high praise from C.X. Cargo for our GWES system and are thrilled to participate in their DX initiatives. We look forward to continually collaborating with C.X. Cargo to resolve challenges faced by logistics facilities and enhance the value for both our companies."
About C.X. Cargo
- - Company Name: C.X. Cargo Co., Ltd.
- - Business Overview: General freight transportation, warehouse operations, logistics planning, product management, business development, real estate leasing and management.
- - Established: March 1991
- - Headquarters: 1-5 Akahori, Okegawa City, Saitama Prefecture
- - President: Toyohiro Sato
- - Capital: ¥100 million
- - Website: C.X. Cargo
About GWES
The GWES system is a custom-developed Warehouse Execution System (WES) by GROUND, providing functionalities that visualize and optimize work progress, workload, staffing, inventory, and routing. It is comprised of a common middleware data platform and a suite of AI-driven functional modules, demonstrating high versatility and scalability. It has been adopted by various logistics firms and manufacturers across Japan, including Mitsubishi Logistics and Nippon Express.
GWES Details: GWES
About GROUND Corporation
Founded in April 2015, GROUND Corporation provides logistics solutions utilizing advanced technologies like AI and robotics. Its corporate vision advocates for a sustainable future in logistics for all. The company focuses on optimizing logistics operations and promoting DX through its GWES and the PEER series of autonomous collaborative robots, addressing challenges including labor shortages and operational efficiency.
- - Company Name: GROUND Corporation
- - Business Overview: Providing logistics solutions utilizing technology
- - Established: April 2015
- - Location: 10F Bizflex Kanda, 1-3-33 Kanda Sudacho, Chiyoda Ward, Tokyo
- - CEO: Hirotomo Miyata
- - Capital: ¥100 million
- - Website: GROUND
Profile of Hirotomo Miyata
Miyata graduated from Sophia University with a degree in Law. He joined Sanwa Bank (now Mitsubishi UFJ Bank) in 1996 and later ventured into consulting with Deloitte Tohmatsu. His extensive background spans across logistics and supply chain reform in major distribution firms. In 2015, he co-founded GROUND and has since been leading its operations toward technological advancements in logistics.