ASKO OSLOFJORD AS - Sustainable Automated Distribution Center

Project Overview

ASKO OSLOFJORD AS, a retail company, proactively addressed impending capacity constraints and market growth by investing in a new automated distribution center—rejecting manual facility extensions in favor of future-proof automation. The project was driven by the need for high efficiency, quality, and customer-centric delivery, while maintaining a clear focus on sustainability as a core business value.

As the general contractor, SSI Schaefer took full responsibility for the end-to-end solution, including developing the logistics concept, design planning, and constructing the turn-key installation. The facility integrates comprehensive automation with sustainable technologies, reflecting ASKO OSLOFJORD’s commitment to operational excellence and environmental responsibility.

A key objective was to create a distribution center that not only resolves immediate capacity issues but also serves as a sustainable model, with a target to source 100% of energy from renewable or climate-neutral sources by 2026. The facility handles multiple temperature zones while delivering practical benefits for retail customers through specialized pallet handling.

Technical Solution

Turn-Key Automated Distribution Infrastructure (80-90% Process Automation)

SSI Schaefer engineered a comprehensive automation solution covering 80-90% of core distribution processes: receiving, storage, picking, and shipping. While specific automation technologies are not detailed, the integrated system streamlines end-to-end workflows to minimize manual intervention, ensuring consistent throughput and quality. A key customer-centric feature is the "door-friendly pallet" delivery capability, designed to simplify receiving and handling for ASKO’s retail partners.

Key Features

The 80-90% process automation rate covers all critical distribution operations, from receiving to shipping, delivering significant efficiency gains and reducing human error. This high level of automation ensures the facility can scale with market growth while maintaining consistent service quality.

As a turn-key solution provider, SSI Schaefer’s end-to-end responsibility—from logistics concept to construction—ensures seamless integration of all system components, eliminating compatibility issues and streamlining project delivery.

The heat reuse system exemplifies the facility’s sustainability focus, transforming waste heat from cold storage operations into a valuable resource for heating. This not only reduces operational costs but also cuts carbon emissions, aligning with the 2026 climate neutrality target.

The comprehensive software suite (WMS, material flow management, visualization) provides end-to-end operational control, enabling real-time inventory tracking, order prioritization, and process optimization. This visibility is critical for meeting retail customer delivery expectations.

Door-friendly pallet delivery is a customer-centric feature that enhances partner satisfaction by simplifying the receiving process. This design consideration reflects ASKO’s focus on building strong retail relationships through practical logistics solutions.

The facility’s dual focus on automation and sustainability positions it as a future-proof asset, addressing both immediate capacity needs and long-term environmental goals.

Results & Benefits

The new distribution center successfully resolves ASKO’s capacity constraints, providing ample space and efficiency to support market growth without the limitations of the previous facility. This proactive investment ensures the company can meet increasing retail demand reliably.

Achieving 80-90% process automation has transformed operational efficiency, reducing manual labor requirements, minimizing errors, and increasing throughput. This automation directly translates to improved service quality for retail customers and lower operational costs.

The heat reuse system delivers tangible sustainability benefits, reducing energy consumption and carbon emissions. This not only supports environmental goals but also lowers utility costs, creating a win-win for both the company and the planet.

The integrated software and material flow management system have enhanced operational visibility and control, enabling faster order processing, more accurate inventory management, and proactive issue resolution. This agility is critical in the fast-paced retail logistics environment.

The facility has laid the groundwork for achieving 100% renewable/climate-neutral energy by 2026, positioning ASKO OSLOFJORD as a sustainability leader in the retail logistics sector. This commitment can strengthen brand reputation and customer loyalty.

Challenges & Solutions

ASKO’s primary challenge was addressing existing capacity limitations while preparing for future market growth. The solution—building a new automated distribution center instead of extending manual facilities—was chosen for its long-term viability, as automation was identified as essential for sustaining efficiency and quality as demand increased. This strategic decision ensured the facility could meet both immediate and future operational needs.

A second key challenge was balancing automation, operational efficiency, retail customer requirements, and sustainability goals. SSI Schaefer’s turn-key solution resolved this by integrating high-level process automation with customer-centric features (door-friendly pallets) and sustainable technologies (heat reuse). The cohesive design ensures no trade-off between performance, customer service, and environmental responsibility.

System Integrator

SSI Schaefer served as the general contractor and system integrator for the project, delivering a complete turn-key solution. Their responsibilities spanned the entire project lifecycle: developing the logistics concept tailored to ASKO’s retail needs, designing the facility layout and system architecture, and overseeing construction and commissioning.

SSI Schaefer’s expertise in integrating automation, material flow management, and WMS software was critical to achieving the 80-90% process automation rate. Their ability to incorporate sustainable technologies—particularly the heat reuse system—aligned with ASKO’s climate neutrality goals, while the door-friendly pallet design addressed retail customer requirements.

The success of the project reflects SSI Schaefer’s capability to deliver complex, integrated logistics solutions that balance efficiency, automation, sustainability, and customer-centricity. Their end-to-end ownership ensured seamless project delivery and alignment with ASKO’s strategic objectives.