Category: Press Release

Custom apparel business takes advantage of COFE® SaaS for smaller order numbers at its new manufacturing facility

HILLIARD, Ohio—When a national e-commerce startup that produces custom apparel was planning a manufacturing and fulfillment facility, it turned to VARGO® because the startup’s founders knew they needed a material handling expert that could design equipment to handle a growing e-commerce business.

VARGO® installed its COFE® Software as a Service (SaaS) at this client’s new facility in Kentucky, where the retailer began processing orders in late February. The e-commerce retailer is not the first to benefit from VARGO®’s revolutionary COFE® technology, but it is the first SaaS installation for VARGO®.

The powerful COFE® (Continuous Order Fulfillment Engine) system—the first warehouse execution system that processes orders within a distribution center using a demand-driven waveless approach—is available in a SaaS version that is a fully functional, base version of COFE®. COFE® SaaS makes the highly efficient system available at a pricing structure geared toward smaller companies that process as few as 2,000 orders a day. Using the pull-based methodology in COFE®, companies realize a lower order cycle time and benefit from greater flexibility for expediting orders. Larger companies using the COFE® system, for example, can process a half million orders with cycle times measured in minutes, compared to hours or days with a push-based system.

The e-commerce fashion retailer has offices on the East and West Coasts and in February opened the manufacturing and fulfillment facility that eventually will employ about 300 people. The company’s customers are people who want to design and sell custom apparel online and require a fast turnaround on their orders. When the retailer was planning the facility, the founders knew they needed a system that could expertly handle the logistics of everything from processing the order to manufacturing and shipping. The company outsources the printing and then ships the apparel to the customers. The facility began processing orders in late February.

“Our warehouse execution system is handling and orchestrating everything for them,” said Bart Cera, chief operating officer and chief financial officer at VARGO®. “It will manage the fulfillment of all orders, from picking to the printing process and shipping.”

COFE® is a highly configurable Warehouse Execution System that directs material handling equipment as well as devices, people and processes. It synchronizes direct-to-consumer workers with the equipment as they pull orders through distribution centers. Although COFE® SaaS is a base version, it has the ability to expand and integrate highly automated equipment as well through additional modules as needed. As a company expands, the warehouse execution system can maintain operational flow. It also integrates sortation systems, automated storage and retrieval systems, conveyors, additional RF users and additional user licenses.

COFE® SaaS allows a client such as this startup e-commerce business to manage its orders with a lean distribution system, just as a larger company might, but with a smaller investment.

“The pricing structure enables small, growing e-commerce companies to get into a base version of COFE® without making a large upfront capital investment,” Cera said.

Smaller companies using the new pricing structure can now pay based on usage, or a per item basis. Through the innovative pricing structure, smaller companies—which process as few as 2,000 orders day or 44,000 units a week—can now have the same tools, bells and whistles that much larger companies have. They will be able to take advantage of the same efficiency related benefits that the larger operations have realized as a result of mechanizing some of their processes.

The benefits of the COFE® system are seen almost immediately. Using the pull-based methodology, companies will realize a lower order cycle time and will benefit from greater flexibility for expediting orders. In addition, COFE® SaaS, which includes a fully functional demand-driven order fulfillment system, provides management tools that allow a company to see, in real time, what is happening in its distribution center.

Marcus Beaumont To Oversee Software Projects

HILLIARD, Ohio—VARGO®, a leading provider of material handling system integration, software and equipment solutions for major fulfillment and distribution operations, has hired Marcus Beaumont as a project manager.

In this role, Beaumont manages software installation, oversees projects and maintains client relationships. Prior to joining VARGO®, Beaumont was the warehouse management system project manager for Fanatics, a leading online retailer of officially licensed sports merchandise for the NFL, NBA, MLB and NCAA. He also has worked at Victoria’s Secret Direct, and Netflix.

Beaumont received a Bachelor of Arts degree in history from the University of Toledo and a Masters of Business Administration from Miami University.
Originally from Toledo, Beaumont now resides with his wife, Dana, and their two children in Granville, Ohio (ZIP Code 43023).

Small retailers and third-party logistics companies receive enterprise-quality warehouse execution system with little capital investment

HILLIARD, OH—January 5, 2015—VARGO®’s new COFE® SaaS WES system is now available at a pricing structure that empowers small to medium size retailers and third-party logistics companies to take advantage of innovative continuous order fulfillment technology used by industry leading retailers.

The powerful COFE® (Continuous Order Fulfillment Engine) system is the first warehouse control system that processes orders within a distribution center using pull-based methodologies to achieve the lowest order cycle times, eliminate buffers and enable continuous order picking for waveless fulfillment operations. COFE® also allows greater flexibility for expediting orders through the operation. Because it uses pull-based methodologies, it is easier to manage than other warehouse control systems. On a large scale, for example, a company using the COFE® system can expect to achieve order cycle times in the range of 25-45 minutes. This same process scales from tens of thousands of orders to hundreds of thousands. Traditional wave based warehouse execution systems (WES) typically have order cycle times that range from several hours to several days.

COFE® is a customizable WES that can direct material handling machines as well as people, devices and processes. It synchronizes direct-to-consumer distribution center workers with equipment availability as they pull orders through distribution centers. COFE® can be used to maintain operational flow and to integrate sortation systems, automated storage and retrieval systems, conveyors, additional RF users and additional user licenses, as a company grows.

COFE® SaaS WES is a new pricing model for the popular COFE® technology. The new “software as a service” (SaaS) pricing model allows material handling professionals to pay based on the number of orders processed, reducing the capital investment typically required to implement a warehouse execution system. Through this innovative pricing structure, smaller companies—that process as few as 2,000 orders a day or 44,000 units a week—can now have the same tools, bells and whistles that much larger companies benefit from in their distribution centers. Under the COFE® SaaS model a distribution center will be able to experience the same efficiency-related benefits realized by larger distribution operations and have a core process and technology that will be able to grow into a fully mechanized operation.

August 21, 2014 – Earlier today American Eagle Outfitters completed the grand opening of their new Hazle Township, PA Omnichannel fulfillment center. The new fulfillment center opened on schedule despite a very difficult winter. An executive team from VARGO was pleased to be present for the opening and talk to guest about the design build process and the benefits of a continuous fulfillment process enabled by VARGO’s COFE WES (warehouse execution system). This new fulfillment center is capable of reaching 90% of American Eagle Outfitters retail customers in two days or less. Even more impressive is the lack of highly automated buffers and fast order processing time.

HILLIARD, OH (January 21, 2013) – VARGO is now offering a Starter Kit version of its powerful COFE warehouse control system. COFE is an acronym for Continuous Order Fulfillment Engine and is the first warehouse control system that processes orders within a distribution center using a demand driven waveless approach. Available exclusively from VARGO, COFE is a modular, customizable program capable of directing not only material handling machines, but also devices, people and processes. It integrates and synchronizes direct-to-consumer DC workers with the operation of the equipment to pull orders through distribution centers.

The COFE Starter Kit is a fully functional base version of COFE, with the ability to integrate additional modules as needed. Modules may be added to integrate pick/put-to-lights, sortation systems, automated storage and retrieval systems, conveyors, additional RF users, and additional user licenses.

The Kit includes a fully functional demand driven order fulfillment system with COFE VIEW dashboarding and visualization, eight users by functional area (pick, assemble, pack and ship), and a streamlined implementation process.

It is designed for warehouse and distribution operations that process between as little as 2,000 orders per day, or approximately 44,000 units per week. The Starter Kit version allows these smaller operations to take advantage of the same efficiency related benefits as larger operations which have taken advantage of mechanizing some of their processes.

HILLIARD, OH (January 21, 2013) COFE is an acronym for Continuous Order Fulfillment Engine and is the first warehouse control system that processes orders within a distribution center using a waveless approach. Available exclusively from VARGO®, COFE is a modular, customizable program capable of directing not only material handling machines, but also devices, people and processes. It integrates and synchronizes direct-to-consumer DC workers with the operation of the equipment to pull orders through your distribution center.

Most importantly, COFE processes orders without the premise of waves, wave management or waveologists. Ever-changing requirements and instant demands of consumers place extraordinary burdens on traditional wave-based distribution systems within a D2C operation, and continually expose the flaws of a “traditional” approach to handling D2C order fulfillment.

In a wave-based operation, the DC process is looked at as a linear progression of events with many stops and starts. Peak times and unexpected events are not handled well, and cause efficiency problems.

Conversely, in a waveless or continuous flow system made possible by COFE, all activity is handled in real time. COFE continually monitors ongoing operations and re-evaluates the actions necessary to meet the changing needs. Based on proven “lean” pull-based processes, COFE is an ideal fit for the Direct-to-Consumer distribution center. By pulling orders to completion, order cycle times and order priorities are easily managed systemically and do not require human intervention in most instances. Adjustments to labor, equipment and necessary work are handled dynamically. It’s a dynamic, adaptable approach, rather than a “best guess” planned approach that results in significant improvements to the DC operation and adjusts to the volatility of eCommerce order profiles.