FinePlus Increases Picking Productivity by Approximately 2.3 Times with Introduction of AMR "PEER 100"

GROUND Inc. (Headquarters: Chiyoda-ku, Tokyo, President and CEO: Hirotomo Miyata, hereinafter "GROUND"), a leader in Japan's LogiTech®, announces the implementation of its Autonomous Mobile Robot (AMR) "PEER 100" at the logistics center (within Prologis Park Narita) of FinePlus Co., Ltd. (Headquarters: Narita City, Chiba, President: Tomohiro Yokota, hereinafter "FinePlus"), a 3PL provider.

FinePlus utilized the national "Subsidy for Advanced Logistics Efficiency Demonstration Projects" to begin test operations of the "PEER 100" in December 2024, with full-scale operation starting in January 2025.

As a result, despite being in the early stages of operation, productivity in picking operations reached 145 lines/hour, a significant increase from the pre-introduction KPI of 62.5 lines/hour. This has led to a reduction of approximately 44% in total working hours for picking tasks compared to previous figures.

This implementation serves as an advanced model case for logistics efficiency, achieving a dramatic improvement in productivity through a "highly effective investment" that pursued cost-effectiveness in response to the challenges of labor shortages and shipping congestion in apparel logistics, where the trend is towards smaller, more diverse product assortments.

■ Background of Implementation: "Increased Walking" and "Difficulty in Securing Labor" due to High-Mix, Low-Volume Production

As the "2024 Problem" in logistics becomes more serious, and labor shortages and rising logistics costs become national issues, building sustainable operations is an urgent task.

For the cap apparel brand products handled by FinePlus, changes in recent consumption styles have led to a diversification of products in small quantities. Shipments to stores have become more frequent and in smaller lots, shifting operations to a model similar to e-commerce. This significantly increased the walking distance for workers during picking, becoming a major factor in shipping congestion.

Additionally, there were challenges unique to their location near the airport. The workforce, which had been temporarily secured during the COVID-19 pandemic, began to leave as the airport regained its vitality, making it difficult to secure particularly skilled personnel.

During peak seasons, services for hourly employment were used to supplement the workforce, but the educational costs to train workers on the vast number of products and their locations increased significantly. Even with more staff, productivity did not stabilize, which became a serious problem.

In response to these challenges, automated warehouses or GTP (Goods-to-Person) systems, which require investments on the scale of several hundred million yen, were not realistic from a cost and flexibility perspective. Therefore, the decision was made to implement the AMR "PEER 100" as a "highly effective investment" that prioritizes return on investment (ROI) and can be steadily introduced while utilizing the existing site.

Details on Autonomous Mobile Robot "PEER":

https://www.groundinc.co.jp/services/robot/peer_series/

■ Effects of Implementation: Achieved 2.3x Picking Productivity, Reduced Total Work Hours by 44%

The introduction of "PEER 100" has confirmed the following quantitative effects, even in the early stages of operation.

1. Dramatic Improvement in Picker Productivity

Compared to the pre-introduction KPI of 62.5 lines/hour, an average of 145 lines/hour was achieved as of February 2025. This result far exceeds the target of 100 lines/hour, representing a productivity increase of approximately 2.3 times.

2. Significant Reduction in Total Picking Work Hours

The total work hours for picking were reduced from the conventional 4,800 hours/month to 2,685.3 hours/month in January 2025. This is a reduction of about 44%. (*Includes a revision of staffing plans based on the use of "PEER 100".)

3. Shortening of Cargo Handling Time

The work time from picking to packing was shortened by 1 hour and 30 minutes, from 9:00 AM–5:30 PM to 9:00 AM–4:00 PM. This, in turn, shortened the cargo delivery completion time to trucks by 30 minutes, from an average of 6:00 PM to 5:30 PM, contributing to a reduction in waiting and cargo handling times.

■ Key Points of Implementation: Customization and Flexibility to Match On-site Operations

1. Chassis Size Compatible with 75L Containers

The chassis size, which can accommodate and operate with the 75L containers used on-site, was a key advantage of "PEER 100" compared to other companies' products and was the decisive factor in its selection.

2. GROUND's Flexible Development Support

Even after the start of operations, GROUND flexibly responded with rapid trial-and-error, incorporating feedback from site managers and staff to develop a more user-friendly system and make setting adjustments. This rapid on-site support was crucial for achieving results in a short period.

3. Implementation Model that Achieves Cost Optimization

To keep running costs down, an on-premise, outright purchase model (20 units introduced) was chosen. This also made it possible to utilize the existing Wi-Fi environment, which was difficult with other products, thereby optimizing initial investment and operational costs.

■ Future Expansion

・Area Expansion

There are plans to expand the operating area for the AMRs, currently used for some apparel products like caps and accessories, to an entire floor (an additional 2 locations).

・Multi-location Deployment

The company is also considering using PEER at other locations where there are inventory gaps and making additional purchases, with the aim of promoting company-wide logistics efficiency. FinePlus will continue to promote the use of PEER 100 to further improve its logistics efficiency.

■ Comment from Mr. Tomohiro Yokota, President of FinePlus Co., Ltd.

"DX in the logistics industry has evolved from a mere means of efficiency to a strategic investment that affects business continuity itself. As a 3PL partner, we have always considered the overall optimization of the supply chain by quickly adopting the latest IT solutions based on real-time inventory visualization and demand forecasting. This time, we received a proposal for the 'PEER 100' AMR from GROUND Inc., and with their excellent service and follow-up, we were able to successfully implement it. As our company is still developing, we want to continue working towards further efficiency and capacity improvement with their support, and we will strongly back our customers' business growth from the logistics side.

■ Comment from Mr. Hirotomo Miyata, President and CEO of GROUND Inc.

I am delighted that the introduction of 'PEER 100' at FinePlus has produced the remarkable result of a 2.3-fold increase in productivity (145 lines/h) in a short period. I believe this is the result of the positive attitude of the FinePlus staff towards new technology, and GROUND's ability to respond with flexible development and prompt on-site support. We will continue to accompany FinePlus to ensure their operations remain optimal, fully leveraging our accumulated knowledge in logistics DX to address the structural challenges specific to apparel logistics, such as high-mix, low-volume production.

■ About FinePlus Co., Ltd.

FinePlus is an expert company providing logistics outsourcing (3PL) services specializing in the apparel and fashion industry. Based in Narita City, Chiba, it offers end-to-end support from receiving and inspection to storage, distribution processing, shipping, and delivery. The company's strengths lie in its ability to handle the complex logistics needs specific to apparel, such as high-mix low-volume and high-frequency shipping, by utilizing the latest logistics technology (like AMRs) and the flexible capabilities of its experienced staff, contributing to the optimization of customers' logistics strategies and cost reduction.

Company Name: FinePlus Co., Ltd.

Business Overview: 3PL provider mainly for apparel brands

Established: November 2007

Location: 78-7 Minamisanrizuka, Narita City, Chiba Prefecture

Representative: Tomohiro Yokota, President

Capital: 1,500,000 JPY

URL: https://fineplus.biz/

■ About the Autonomous Mobile Robot "PEER"

The Autonomous Mobile Robot "PEER" is an AMR jointly researched and developed by GROUND and a Chinese robot manufacturer. Unlike AGVs (Automatic Guided Vehicles) that require guide tapes or GTPs (Goods-to-Person) that require special shelving, it can autonomously navigate by selecting the optimal route while avoiding obstacles using SLAM technology, cameras, and lasers. It contributes to reducing the travel time and work time of operators in picking tasks.

The series includes "PEER ST," "PEER ST SpeeMa+™" which is equipped with RFID, and "PEER 100," which increases the payload capacity of "PEER ST" to 100kg.

Details on Autonomous Mobile Robot "PEER":

https://www.groundinc.co.jp/services/robot/peer_series/

■ About GROUND Inc.

GROUND is a LogiTech company that develops and provides logistics solutions utilizing advanced technologies such as AI and robots, with the corporate vision of "To a permanently sustainable logistics future for all."

To promote the optimization and DX of logistics operations, the company offers robotics solutions including its proprietary logistics facility integrated management and optimization system "GWES" and the "PEER" series of autonomous mobile robots, contributing to improved productivity and cost reduction at logistics sites. These solutions are being adopted at the logistics facilities of major logistics operators and manufacturers, helping to solve issues such as labor shortages, reduction of work burdens, and improvement of operational efficiency.

Company Name: GROUND Inc.

Business Overview: Providing logistics solutions utilizing technology

Established: April 2015

Location: 10F Bizflex Kanda, 1-3-33 Kanda-Sudacho, Chiyoda-ku, Tokyo

Representative: Hirotomo Miyata, President and CEO

Capital: 100 million JPY (as of end of June 2024)

URL: https://www.groundinc.co.jp

Profile of Hirotomo Miyata, President of GROUND

Graduated from Sophia University, Faculty of Law, Department of Law. Joined Sanwa Bank (now MUFG Bank) in 1996. Joined Deloitte Tohmatsu Consulting in 2000. Engaged in logistics and supply chain reform projects mainly for major retail companies. Joined ASKUL Corporation in 2004. As head of the logistics department, managed logistics center operations in Japan. Joined Rakuten Group, Inc. in 2007. After serving as head of the logistics preparation office and head of the logistics business, established Rakuten Logistics in 2010 and became its President. In 2012, served as Rakuten's Executive Officer and Head of Logistics Business, and Managing Director of Alpha Direct Service SAS (France). Established GROUND in April 2015. Appointed Co-founder, President and CEO. Continues in this role to the present.