As part of the retailer’s self-funded $1 billion reinvestment strategy announced last year, JCPenney has invested $40 million in updating the equipment and infrastructure of its 1.67 million-square-foot Reno, NV distribution center to increase order efficiency and speed for online shoppers.
The centerpiece of the upgrade is implementing the Joey Pouch sorting system, a computerized induction, sorting and packing system. It includes new induction process technologies, an automated sorter to assemble orders and a new packing system that includes invoice and shipping label printing for each order in the station.
The upgrade is expected to improve the customer experience by ensuring that online orders are completed more accurately and shipped out more quickly.
In addition to improving the customer experience, the upgrade will “dramatically” reduce associate training time, leading to “greater productivity,” and allow for more flexibility in staffing across the facility.
The Reno distribution center will continue providing hundreds of local jobs in the community without impacting existing roles from the technology upgrade.
“The Joey Pouch System deployed in our Reno Distribution Logistics Center showcases an updated technology, and we’re proud to bring this state-of-the-art machinery to our facilities. We look forward to experiencing its impact for our customers, associates and company as we honor our commitment to making every day count for our customers,” said JCPenney CEO Marc Rosen. “When we announced our $1 billion reinvestment strategy last year, this is exactly the type of upgrade we envisioned for our supply chain. This new system will provide JCPenney with the best-in-class equipment and technologies to better support our associates and serve our customers.”
JCPenney’s reinvestment strategy includes enhancing its digital capabilities, in-store physical and technology upgrades and supply chain optimization. Since last August, the company has also announced over 100 store upgrades and its refreshed Rewards and Credit program.
The improvements to the Reno distribution center represent the latest progress in JC Penney streamlining supply chain operations when ordering online through jcpenney.com.
Image courtesy JCPenney
