Skip to content
Industrial

Baritermo: 4 underground SILO² systems for plumbing and HVAC distribution, order preparation times reduced by 67%

  • Distribution and Logistics
  • SILO²
  • Finished products
4 SILO² vertical lift modules in below-ground installation at –4 m for HVAC wholesale distribution — Baritermo, Casamassima (BA), Italy

Baritermo: HVAC and plumbing distribution from Puglia across Italy

Founded in 1994 in Casamassima, near Bari, Baritermo specializes in the design, sale and distribution of materials for the plumbing, HVAC and sanitary sectors. With 30 employees, around 30 sales agents across Italy and revenue of 13 million euros, it serves retailers, wholesalers and large-scale retail operators with a catalog of over 8,000 SKUs, including products for plumbing systems, heating, air conditioning, faucets, valves and building hardware.
Catalog growth, the expansion of the customer base toward large-scale retail, and the increase in orders made up of many lines with quantities below standard pack size made a radical logistics shift necessary: from several platforms spread across the territory to a single centralized, digitalized and integrated warehouse.
Baritermo: HVAC and plumbing distribution from Puglia across Italy

The logistical challenges

Before the reorganization, Baritermo managed distribution across several warehouses located throughout the area, with logistics operations that were mainly manual and paper-based.

The main critical issues were:

  • Constant growth in the number of SKUs managed, over 8,000 item codes, often small in size, heavy and high-turnover
  • Increasingly complex large-scale retail orders: many order lines with quantities below standard pack size, requiring fast and accurate preparation
  • Long order closing times, from 2 to 3 hours per 100 order lines, with frequent errors when retrieving low-turnover SKUs
  • Warehouse spread across 220 linear meters and 2 floors: excessive walking distances and insufficient service levels
  • Need to code every product for large-scale retail and integrate receiving, picking and shipping into a single digital flow

4 underground SILO² VLMs: high-density vertical storage below floor level

ICAM installed 4 SILO² Vertical Lift Modules in a 4-meter-deep pit, making full use of the facility’s available height without modifying the existing structure.
Each system extends 4 meters below floor level and rises to +8.3 m, for a total height of 12.3 m. In 112 m² of floor space, the installation provides 491 m³ of total capacity. Each SILO² has 2 side-by-side picking and refilling stations positioned at operating floor level for ergonomic access with no lifting equipment required. The 8 picking and refilling stations work in parallel thanks to an independent transfer unit for each system: if one unit stops, the others continue operating.
Baritermo: 4 SILO² interrati per la distribuzione termoidraulica

Integration and software: 3,000 SKUs, two picking modes

The 4 SILO² VLMs are integrated with the company management system and seen by the system as a single warehouse. When an order is launched, the system automatically routes missions to the available stations based on the required SKUs. Picking takes place in two ways: sequential by order line, to fulfill one order at a time, or through a single batch list, grouping lines from multiple orders and sequencing them to minimize idle time between operations.
The installation currently manages 3,000 SKUs, with room to grow up to 60% of Baritermo’s total item codes, with no structural changes to the installation.
Integration and software: 3,000 SKUs, two picking modes

Key results

Logistics as a strategic advantage, not a cost to contain

  • -67% order preparation time

    from 2 to 3 hours to 40 minutes per 100 order lines, the same operation now takes one quarter of the previous time

  • 491 m³ in 112 m²

    underground installation at -4 m to maximize volumetric capacity without modifying the facility structure

  • 8 side-by-side picking and refilling stations

    high-intensity picking area, with all operating stations working simultaneously

  • 1,400 to 1,600 lines per day

    350,000 order lines per year managed with 2 picking operators and 1 supervisor

  • 80 shipments/day

    large and small orders processed with the same accuracy and speed, from small plumbing contractors to large-scale retail

  • Picking errors drastically reduced

    The system guides every operation: counter picking with immediate, error-free fulfillment, including for direct on-site sales

  • Operational continuity guarantee

    Independent shuttles per unit ensure a single machine fault never disrupts the overall picking flow

  • Scalability up to 60% of item codes

    System currently manages 3,000 SKUs, with room to grow up to 60% of Baritermo’s total item codes

Since we put them into operation, we have seen a significant reduction in order preparation and shipping times, the ability to manage multiple orders at the same time, fewer picking errors, better use of space, faster retrieval of low-turnover SKUs and a higher level of service for our customers. All without penalizing the workforce in any way.

Gaetano Passaquindici Operations Director, Baritermo

Want to achieve the same results?

Every distribution hub has its own SKU mix, volumes and seasonal peaks.
Tell us about your setup and we will design the right solution for you.