Sainsbury’s/Argos Leeds Local Fulfilment Centre

Seeking to capitalise on a surge in popularity for its Fast Track service – Demand for Fast Track same-day delivery of online orders at Argos grew by 62% during the third and Christmas quarter of its financial year (2020)1 – the company recognised a rethink was required.

The Facts

Client – Sainsbury’s       Occupant – Sainsbury’s/Argos      Duration – 9 weeks     Value – £1.2m (combined construction and M&E)

Start on site – 24th May 2021

PC Date – 26th July 2021 

In order to handle exceptional volumes at high speed, the traditional store-based order picking and fulfilment model would require a major transformation. A new strategy to roll-out LFCs for handling e-commerce orders would allow the retailer to be more responsive to customers, while also lowering costs.  

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The Challenge

The transformation of the 5108 m²/ 54982 ft² distribution facility into a modern LFC – one which could complement Argos’ nationwide distribution centres and extensive hub store network – required not only a coordinated approach between Sigma teams, but also the rapid delivery of works to take the facility from a shell, to a fully operational LFC in just 9 weeks.  

Sigma’s highly experienced M&E team was tasked with the installation of new, as well as modified circuitry to existing and new items of equipment serving lighting, power, fire alarm also various ancillary systems to support the operational efficiency of the new facility.  

The Solution

Work comprised the installation of new cable management systems throughout the warehouse, welfare block and external areas. While the high level scope of works included: 

  • Warehouse general ventilation and heating 
  • Warehouse van loading door curtains 
  • Office toilet ventilation and heating 
  • Office ventilation 
  • Office heating and cooling 
  • Server/CCTV room cooling 
  • Natural gas systems 
  • Domestic cold water services 
  • Domestic hot water services 

The Results

As the LFCs are a relatively new concept for Sainsbury’s and Argos the project involved an evolving design and scope of works.  

As always, Sigma went above and beyond to work with the client, adapting as the work required, providing not only construction and M&E services, but also wider strategic support and advice. The agility and adaptability of the Sigma team was key to delivering the project on time, within budget and to the high standards expected. 

The new LFC will significantly improve Argos’s fulfilment capabilities, with millions of additional households now able to receive same-day or next-day delivery on an extended range of groceries from the leading supermarket.