XCube Case Study: 3PL Warehouse Automation for Cold Chain by NovaX Automation

XCube Case Study: 3PL Warehouse Automation for Cold Chain by NovaX Automation

Background

As the cold-chain logistics sector continues to grow rapidly in China, the industry is shifting from single-function operations like storage and transportation toward integrated, multi-functional service models. One-stop service solutions — combining storage, processing, and distribution — have become a key competitive advantage.

To stay ahead in this transformation, a leading cold-chain logistics provider in Shanghai decided to upgrade its warehouse automation capabilities. The company operates multiple temperature-controlled facilities offering storage, transportation, and value-added services such as repackaging and distribution for major brands and retail clients. With increasing order volumes and diverse customer needs, the company sought to boost storage density, enhance operational efficiency, and ensure product and worker safety in a demanding frozen environment.

Project Outcome

NovaX Automation implemented the project on a tight schedule, providing 24-hour on-site technical support during installation and commissioning. Upon completion, the system delivered:

  • Up to twofold improvement in operational efficiency
  • Over 30% increase in storage density
  • Significant reduction in labor dependency
  • Error rate below 0.01% in outbound operations

Moreover, the customer’s warehouse processes became more standardized and data-driven. Tasks that previously required manual coordination were now fully managed through the NovaX Automation WES, greatly reducing management complexity.

Conclusion

By adopting NovaX Automation’s XCube pallet dense storage solution, the client achieved a major step forward in its automation journey. The project not only optimized cold-chain operations and space utilization but also demonstrated how smart automation can deliver fast ROI and sustainable competitiveness in a challenging logistics environment.

Project Challenge

Before the upgrade, the customer faced several challenges:

  • Limited storage capacity: Rapid business growth had pushed existing cold storage space to its limits.
  • Labor constraints: Manual handling could no longer keep up with expanding inbound and outbound operations.
  • Safety concerns: Low-temperature environments posed health and safety risks for workers.
  • Rising labor costs: Recruitment difficulties in major cities like Shanghai made long-term workforce expansion unsustainable.

The company needed a high-density, reliable, and cost-efficient automation system that could maximize space utilization within the existing warehouse layout — without extensive reconstruction.

NovaX Automation Solution

After comprehensive evaluation and on-site assessment, the customer selected NovaX Automation as its automation partner. NovaX Automation designed and implemented a XCube: four-way shuttle pallet dense storage solution, specifically engineered for cold-chain operations at temperatures between -22°C and -18°C.

The system included:

  • 8 four-way shuttles
  • 4 vertical lifts
  • 1 conveyor line system
  • NovaX Automation WCS (Warehouse Control System)

Together, the system manages over 11,500 pallet positions, handling both inbound and outbound processes automatically.

The four-way shuttle solution was chosen over a traditional AS/RS system because it provided greater flexibility within the customer’s space constraints.

System Workflow

1.Inbound:Forklifts place full pallets at the inbound station. The system scans and verifies pallet data, assigns storage locations, and automatically transfers pallets into designated positions using the shuttle and lift system.

2.Outbound:The WMS assigns outbound tasks, and the shuttles retrieve the pallets from storage locations, delivering them to the outbound station for forklift pickup and shipment.

Through real-time task scheduling by the WCS, the entire process achieves seamless coordination among all devices, ensuring accuracy and traceability.

Key Features

  • High Space Utilization:The four-way shuttle system can move both horizontally and vertically, significantly increasing storage density in the existing footprint.
  • Operational Efficiency:With automated storage and retrieval, throughput increased by more than 50%, while manual labor requirements dropped substantially.
  • Safety and Reliability:Automation reduced human exposure to low temperatures and minimized handling errors, improving both safety and accuracy.
  • Flexibility:The system easily adapts to SKU variations and fluctuating order volumes, providing scalable capacity for future growth.

 

Contact Us

NovaX Automation

Under NovaX Robotics Group Contact NovaX Automation experts and learn how we can optimize the pallet storage density and enable a higher efficiency.

Address

NovaX Robotics GmbH
Prinzenallee 7, 40549 Düsseldorf

Email

info@novaxautomation.com

Phone

+49 21152391000