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Day: 28 April 2021

Covid research highlights supply chain struggles

Posted on by David Priestman

The Covid-19 pandemic revealed key differences between “fit” and “fragile” supply chain organisations with regards to how they deal with disruption, according to Gartner, Inc. The most fragile focus on short-term survival, while the fittest supply chain organisations see disruptions as inflection points to improve the value that supply chain provides to the business.

“Disruption is not a short-term situation, but a long-term trend that will most likely accelerate as we face climate change impacts, global power balance shifts and more,” said Simon Bailey, senior director analyst with the Gartner Supply Chain practice. “In the future, disruptions will occur more frequently and supply chains must be able to deal with whatever is coming next. Some supply chain leaders have understood that already and prepared their organisation accordingly.”

“Fit” supply chains are able to move ahead of the competition after dealing with the high-impact events, such as the Covid pandemic, while “fragile” supply chains fall behind.

Structural Shifts

For fit supply chains, the most impactful disruptions are those that involve fundamental, structural shifts in the context in which the supply chain operates, such as new technologies and changing competitive dynamics.

By contrast, fragile supply chains find operationally focused disruptions — such as demand and supply shifts — to be most impactful. While focusing on these operational challenges, they lose sight of their long-term goals and overlook how structural shifts could help them maximise the value and thus they fall behind the fit supply chains.

“It’s not the type of disruption that determines the supply chain impact. The type of supply chain determines the impact of the disruption,” Mr. Bailey said. “Fit supply chains excel at focusing on the structural disruption and proactively translating those into competitive advantage. They are able to change their organisational design to capitalise on structural shifts and create new value for their customers.”

Long-Term View and Investments

One of the most visible differences between the approach of fit and fragile supply chains to disruption is how they treat their long-term strategies and investments. Most fit supply chains maintain focus on the long term and preserve strategic investments during disruptive events, while fragile supply chains prioritise current-year performance and cut strategic investments.

“During a disruption, supply chain leaders should try to avoid emergency cost cutting that put both short- and long-term effectiveness at risk. Instead, cost optimisation should be an ongoing effort in the supply chain and cost decisions must take all the operating outcomes across fulfilment, reliability, risk and growth into consideration,” Mr. Bailey concluded.

 

 

Covid research highlights supply chain struggles

Posted on by Keith McKinley

The Covid-19 pandemic revealed key differences between “fit” and “fragile” supply chain organisations with regards to how they deal with disruption, according to Gartner, Inc. The most fragile focus on short-term survival, while the fittest supply chain organisations see disruptions as inflection points to improve the value that supply chain provides to the business.

“Disruption is not a short-term situation, but a long-term trend that will most likely accelerate as we face climate change impacts, global power balance shifts and more,” said Simon Bailey, senior director analyst with the Gartner Supply Chain practice. “In the future, disruptions will occur more frequently and supply chains must be able to deal with whatever is coming next. Some supply chain leaders have understood that already and prepared their organisation accordingly.”

“Fit” supply chains are able to move ahead of the competition after dealing with the high-impact events, such as the Covid pandemic, while “fragile” supply chains fall behind.

Structural Shifts

For fit supply chains, the most impactful disruptions are those that involve fundamental, structural shifts in the context in which the supply chain operates, such as new technologies and changing competitive dynamics.

By contrast, fragile supply chains find operationally focused disruptions — such as demand and supply shifts — to be most impactful. While focusing on these operational challenges, they lose sight of their long-term goals and overlook how structural shifts could help them maximise the value and thus they fall behind the fit supply chains.

“It’s not the type of disruption that determines the supply chain impact. The type of supply chain determines the impact of the disruption,” Mr. Bailey said. “Fit supply chains excel at focusing on the structural disruption and proactively translating those into competitive advantage. They are able to change their organisational design to capitalise on structural shifts and create new value for their customers.”

Long-Term View and Investments

One of the most visible differences between the approach of fit and fragile supply chains to disruption is how they treat their long-term strategies and investments. Most fit supply chains maintain focus on the long term and preserve strategic investments during disruptive events, while fragile supply chains prioritise current-year performance and cut strategic investments.

“During a disruption, supply chain leaders should try to avoid emergency cost cutting that put both short- and long-term effectiveness at risk. Instead, cost optimisation should be an ongoing effort in the supply chain and cost decisions must take all the operating outcomes across fulfilment, reliability, risk and growth into consideration,” Mr. Bailey concluded.

 

 

P&O Ferries ‘takes back leadership’ on Dover-Calais route

Posted on by David Priestman

P&O Ferries has announced the return of a fifth ro-ro ship on its Dover-Calais route in order to take back market leadership on the English Channel.

Pride of Burgundy – a 28,000t vessel with capacity to carry 120 lorries – will return to the vital arterial route in June 2021, restoring the P&O Dover-Calais fleet to its pre-pandemic strength of five and expanding options for customers looking to transport goods between Britain and the EU. The ship will sail in freight-only mode.

In 2019, P&O Ferries’ share of ferry freight volumes on the Dover Strait was more than 50%. P&O Ferries has since become part of DP World, a leading global provider of smart logistics, which reported robust financial results for 2020 with revenue growing by 11% to $8,553 million.

David Stretch, Chief Executive of P&O Ferries, said: “I am delighted to welcome a fifth ship back to our Dover-Calais fleet which will increase flexibility for customers and enable us to deliver a cost-effective freight service on the English Channel as the economy returns to normal.

“Dover-Calais is a vital trade route both for the UK and EU economies as well as the thousands of businesses which rely on our services and we aim to return our market share back to where it belongs.

“My message to our freight customers is simple: P&O will do everything it can to continue being the brand you can trust to deliver your goods from beginning to end, with the aim of solving the most complex logistical challenges using our integrated ferry and logistics assets.”

Mike Bhaskaran, DP World’s Chief Operating Officer – Logistics and Technology, added: “We are the leading provider of smart logistics, enabling the flow of global trade. I would like to thank everyone at P&O Ferries who has worked hard to keep trade flowing during the last 12 months and am excited by the opportunities which the arrival of a fifth ship on Dover-Calais brings, both in terms of our offer to customers and also returning P&O to growth.”

 

P&O Ferries ‘takes back leadership’ on Dover-Calais route

Posted on by Keith McKinley

P&O Ferries has announced the return of a fifth ro-ro ship on its Dover-Calais route in order to take back market leadership on the English Channel.

Pride of Burgundy – a 28,000t vessel with capacity to carry 120 lorries – will return to the vital arterial route in June 2021, restoring the P&O Dover-Calais fleet to its pre-pandemic strength of five and expanding options for customers looking to transport goods between Britain and the EU. The ship will sail in freight-only mode.

In 2019, P&O Ferries’ share of ferry freight volumes on the Dover Strait was more than 50%. P&O Ferries has since become part of DP World, a leading global provider of smart logistics, which reported robust financial results for 2020 with revenue growing by 11% to $8,553 million.

David Stretch, Chief Executive of P&O Ferries, said: “I am delighted to welcome a fifth ship back to our Dover-Calais fleet which will increase flexibility for customers and enable us to deliver a cost-effective freight service on the English Channel as the economy returns to normal.

“Dover-Calais is a vital trade route both for the UK and EU economies as well as the thousands of businesses which rely on our services and we aim to return our market share back to where it belongs.

“My message to our freight customers is simple: P&O will do everything it can to continue being the brand you can trust to deliver your goods from beginning to end, with the aim of solving the most complex logistical challenges using our integrated ferry and logistics assets.”

Mike Bhaskaran, DP World’s Chief Operating Officer – Logistics and Technology, added: “We are the leading provider of smart logistics, enabling the flow of global trade. I would like to thank everyone at P&O Ferries who has worked hard to keep trade flowing during the last 12 months and am excited by the opportunities which the arrival of a fifth ship on Dover-Calais brings, both in terms of our offer to customers and also returning P&O to growth.”

 

Bespoke handling solution for building materials manufacturer

Posted on by David Priestman

Materials handling solutions expert B&B Attachments has provided building materials manufacturer Aggregate Industries with a prototype forklift clamp, leading to gains in efficiency and safety.

Aggregate Industries manufactures and supplies a range of heavy building materials, primarily aggregates such as stone, asphalt and concrete, to the construction industry and other business sectors. With over 200 sites and around 3,700 dedicated employees, Aggregate Industries supply products to help businesses work sustainably, safely, professionally, and profitably.

The Concrete Products Division at Aggregate Industries based in Callow, Cheddar, identified there was a requirement to standardise the most efficient loading method across the fleet, irrespective of trailer type, while maintaining safety expectations.

Aggregate Industries building block sites had traditionally used a forklift fitted with a pivot-style overhead clamp attachment to load packs of concrete building blocks onto flat beds and crane lorries. However, there is insufficient clearance between the top of some block packs and standard curtain sided trailer roofs to lift the clamp clear, preventing direct loading of curtain sided trailers.

As a result, Aggregate Industries Concrete Block Factories had been using a far less efficient and time-consuming process which involved placing its block packs on to pallets and then loading by a conventional forklift. This loading method was more than double that of flat and crane vehicles loading times and associated costs, plus created a reluctance to take advantage of additional payload and potential backhaul loads that the network fleet of curtain sided trailers offered, and have a premium cost for use, as there is little scope for back haul of other goods.

It became necessary to find a solution to prevent double handling of loads, ensuring that the load travels straight from the yard storage to the curtain sided vehicle.

Neil Spratt, Aggregates Industries Regional Operations Manager approached B&B Attachments with a proposed forklift clamp concept that would create space to enable the twin clamp to lift clear of block packs after they had been loaded onto a curtain sided trailer.

B&B Attachments is a leading specialist in material handling solutions in the UK and Ireland. The company designs, manufactures, and supplies forklift truck attachment solutions. Its design department converted the concept into reality.

Following numerous meetings, a prototype TK45-TEL clamp was manufactured. This model would not only work as a standard twin consolidating overhead block clamp, but also have the added key benefit of being able to load packs directly onto curtain-sided vehicles. As the TK45-TEL had an additional leg retraction selection. Considerable time was spent to eliminate potential incorrect function selection by forklift operators.

This added safety innovation allows its hydraulic system to work independently for each clamp, enabling the operator to clamp, load, and withdraw easily and safely when loading a curtain sided vehicle.

B&B Attachments describes the BlockMaster TK45-TEL as a new, first-of-its kind innovation.

“The clamp preforms all the other duties expected of a twin consolidating clamp,” says Richard Smith, Business Improvement Manager at Aggregate Industries. “The retractable legs and hydraulics control interlocks in this new attachment, provides efficient direct loading of concrete products efficiently on to curtain-sided vehicles.  It also opens the door to exciting haulage efficiency opportunities previously not pursued.”

DSV Panalpina acquires Agility GIL

Posted on by David Priestman

Two years after buying Panalpina, DSV Panalpina has announced the acquisition of Agility Global Integrated Logistics (GIL) is a deal worth $4.2 billion. The resultant group will become the world’s third-largest transport and logistics company when the deal is concluded in Q3/2021.

Global Integrated Logistics is part of Agility and one of the world’s top freight forwarding and 3PL providers. In 2020, the company had $4 billion in revenue, mainly related to air & sea freight, and a workforce of approximately 17,000 employees.

DSV recently completed the integration of the company’s largest acquisition to date, the Swiss Panalpina, and with the acquisition of GIL, DSV Panalpina will become the world’s third-largest transport and logistics company with a combined pro forma revenue of approximately $22 billion – an increase of around 23% – and a combined workforce of more than 70,000 employees.

The Air & Sea-division, the largest division of DSV Panalpina, will be substantially strengthened in particular with the acquisition of GIL and will consolidate the rank among the largest providers globally with close to 2.8 million containers (TEUs) and more than 1.6 million tonnes of air freight transported annually.

The contract logistics capabilities, which are increasingly important due to complex supply chains and changing distribution channels, will strengthen DSV’s Solutions division with GIL’s additional warehousing capacity of more than 1.4 million sq m, mainly in APAC and the Middle East. Furthermore, GIL will add road freight activities to DSV’s network in both Europe and the Middle East and thereby increase DSV’s competitiveness across all three divisions.

DSV and GIL are a strong match with valuable synergies as a result of similarities in both business models, services and strategies. According to the Group CEO of DSV Panalpina, Jens Bjørn Andersen, there are many good reasons to join forces with the Middle Eastern transport and logistics provider: “GIL and DSV are an excellent match, and we are proud that we can announce our agreement to join forces. The combination of our two global networks will provide us with the opportunity to offer our customers an even higher service level.

“GIL’s strong market position in APAC and the Middle East complements DSV’s network well and will support our long-term value creation ambitions. Our two groups already share a culture of entrepreneurship and local ownership, and we look forward to welcoming GIL’s talented staff to DSV.”

DSV has long been known for its acquisition strategy and has found success in both acquiring and integrating companies, most recently Swiss Panalpina in 2019 and American UTi Worldwide in 2015. The focus on scalability remains one of the key competitive advantages in freight forwarding with significant operational and commercial benefits in a highly fragmented market.

DSV Panalpina and GIL expect to close the transaction in Q3 2021 provided conditions are met and necessary approvals are obtained. Until then, DSV Panalpina and GIL will continue to operate separately and independently.

DSV Panalpina acquires Agility GIL

Posted on by David Priestman

Two years after buying Panalpina, DSV Panalpina has announced the acquisition of Agility Global Integrated Logistics (GIL) is a deal worth $4.2 billion. The resultant group will become the world’s third-largest transport and logistics company when the deal is concluded in Q3/2021.

Global Integrated Logistics is part of Agility and one of the world’s top freight forwarding and 3PL providers. In 2020, the company had $4 billion in revenue, mainly related to air & sea freight, and a workforce of approximately 17,000 employees.

DSV recently completed the integration of the company’s largest acquisition to date, the Swiss Panalpina, and with the acquisition of GIL, DSV Panalpina will become the world’s third-largest transport and logistics company with a combined pro forma revenue of approximately $22 billion – an increase of around 23% – and a combined workforce of more than 70,000 employees.

The Air & Sea-division, the largest division of DSV Panalpina, will be substantially strengthened in particular with the acquisition of GIL and will consolidate the rank among the largest providers globally with close to 2.8 million containers (TEUs) and more than 1.6 million tonnes of air freight transported annually.

The contract logistics capabilities, which are increasingly important due to complex supply chains and changing distribution channels, will strengthen DSV’s Solutions division with GIL’s additional warehousing capacity of more than 1.4 million sq m, mainly in APAC and the Middle East. Furthermore, GIL will add road freight activities to DSV’s network in both Europe and the Middle East and thereby increase DSV’s competitiveness across all three divisions.

DSV and GIL are a strong match with valuable synergies as a result of similarities in both business models, services and strategies. According to the Group CEO of DSV Panalpina, Jens Bjørn Andersen, there are many good reasons to join forces with the Middle Eastern transport and logistics provider: “GIL and DSV are an excellent match, and we are proud that we can announce our agreement to join forces. The combination of our two global networks will provide us with the opportunity to offer our customers an even higher service level.

“GIL’s strong market position in APAC and the Middle East complements DSV’s network well and will support our long-term value creation ambitions. Our two groups already share a culture of entrepreneurship and local ownership, and we look forward to welcoming GIL’s talented staff to DSV.”

DSV has long been known for its acquisition strategy and has found success in both acquiring and integrating companies, most recently Swiss Panalpina in 2019 and American UTi Worldwide in 2015. The focus on scalability remains one of the key competitive advantages in freight forwarding with significant operational and commercial benefits in a highly fragmented market.

DSV Panalpina and GIL expect to close the transaction in Q3 2021 provided conditions are met and necessary approvals are obtained. Until then, DSV Panalpina and GIL will continue to operate separately and independently.

New design for SSI Cuby shuttle system

Posted on by David Priestman

To meet the increasing demands of modern warehousing, SSI Schaefer has optimised and re-designed its proven SSI Cuby shuttle system in both technology and design. The increased travel speed of the improved SSI Cuby now enables even faster storage and retrieval in the compact automatic storage system.

SSI Schaefer says the standardised one-level shuttle is the ideal solution for fully-automatic and highly efficient storage of small load carriers with a load weight of up to 35kg. Thanks to high storage density, availability rate and reliability of the system, the SSI Cuby offers a unique price-performance ratio compared to the overall investment.

Batch sizes of individual products, a particularly wide product range, short order processing times and omnichannel distribution – these are the challenges many companies in industry and trade must face. They therefore search for the optimum logistics solution for these differing parameters. Companies themselves place high demands on the logistics system in question: Low storage location costs, high availability of goods as well as fast and smooth installation of the respective logistics system are essential. All these aspects were taken into consideration with the further development of the SSI Cuby.

Offering a wide range of one-level and multi-level shuttles for large and small load carriers, SSI Schaefer boasts outstanding competence in the development of customised shuttle solutions. The SSI Schaefer shuttle options are suitable for any requirements and numerous systems have been installed successfully.

Using the one-level shuttle SSI Cuby, small loads, with a weight of up to 35kg, can be stored fully automatically and with high density. The product offers high performance as well as reliability and impresses with an excellent price-performance ratio.

New design for 2021

After a re-launch in 2021, the SSI Cuby will be available with a new design and increased travel speeds. The system consists of a rack, at least one lift, one Cuby shuttle per storage level, a shuttle crane at the back, a maintenance platform and the corresponding control system. Offering maximum shuttle performance at an attractive Total Cost of Ownership (TCO) was one of the main goals of the development.

Thanks to attractive purchasing and operating costs, SSI Schaefer says its SSI Cuby is one of the most economical shuttle solutions on the market. It has been designed for load with dimensions from 600 x 400mm up to 640 x 440mm. Furthermore, the system can be extended at a later time.

The narrow travel paths of the shuttle vehicle and low height of the levels ensure a compact and space-saving layout of the system. The combination of double-deep storage in the rack and a single-deep shuttle aisle leads to excellent use of space and very high storage density. This also delivers low storage location costs.

According to SSI Schaefer, another benefit of the SSI Cuby is the high system availability and performance capacity. At the front side of the shuttle storage, lifts connect the storage with standardised pre-zones. A conveying system, for example, connects the storage with goods-to-person work stations. Robust and proven components ensure high system availability. Moreover, an SSI Cuby shuttle storage offers excellent accessibility for maintenance and service tasks.

In order to assess the technical performance capacity of the overall system, the achievement rate of the lift is particularly crucial. For this reason, SSI Schaefer uses a double-story load handling device at the lift to retrieve and store load carriers at the same time. Depending on the aisle length, the system is designed for 600 to 800 double cycles per aisle.

To make storage and retrieval processes even faster, the redesign and development of this product has increased the travel speed of the shuttle by a further 60%. The performance rate can be further increased by applying two lifts per rack aisle. Processes within the SSI Cuby storage system are controlled efficiently and transparently by WAMAS logistics software.

The modular design of the SSI Cuby shuttle system is based on a high degree of standardisation of components and IT. SSI Schaefer claims this enables fast implementation of intralogistics projects at very low risk. Customers obtain a scalable and highly efficient automatic warehouse at an attractive price.

New design for SSI Cuby shuttle system

Posted on by David Priestman

To meet the increasing demands of modern warehousing, SSI Schaefer has optimised and re-designed its proven SSI Cuby shuttle system in both technology and design. The increased travel speed of the improved SSI Cuby now enables even faster storage and retrieval in the compact automatic storage system.

SSI Schaefer says the standardised one-level shuttle is the ideal solution for fully-automatic and highly efficient storage of small load carriers with a load weight of up to 35kg. Thanks to high storage density, availability rate and reliability of the system, the SSI Cuby offers a unique price-performance ratio compared to the overall investment.

Batch sizes of individual products, a particularly wide product range, short order processing times and omnichannel distribution – these are the challenges many companies in industry and trade must face. They therefore search for the optimum logistics solution for these differing parameters. Companies themselves place high demands on the logistics system in question: Low storage location costs, high availability of goods as well as fast and smooth installation of the respective logistics system are essential. All these aspects were taken into consideration with the further development of the SSI Cuby.

Offering a wide range of one-level and multi-level shuttles for large and small load carriers, SSI Schaefer boasts outstanding competence in the development of customised shuttle solutions. The SSI Schaefer shuttle options are suitable for any requirements and numerous systems have been installed successfully.

Using the one-level shuttle SSI Cuby, small loads, with a weight of up to 35kg, can be stored fully automatically and with high density. The product offers high performance as well as reliability and impresses with an excellent price-performance ratio.

New design for 2021

After a re-launch in 2021, the SSI Cuby will be available with a new design and increased travel speeds. The system consists of a rack, at least one lift, one Cuby shuttle per storage level, a shuttle crane at the back, a maintenance platform and the corresponding control system. Offering maximum shuttle performance at an attractive Total Cost of Ownership (TCO) was one of the main goals of the development.

Thanks to attractive purchasing and operating costs, SSI Schaefer says its SSI Cuby is one of the most economical shuttle solutions on the market. It has been designed for load with dimensions from 600 x 400mm up to 640 x 440mm. Furthermore, the system can be extended at a later time.

The narrow travel paths of the shuttle vehicle and low height of the levels ensure a compact and space-saving layout of the system. The combination of double-deep storage in the rack and a single-deep shuttle aisle leads to excellent use of space and very high storage density. This also delivers low storage location costs.

According to SSI Schaefer, another benefit of the SSI Cuby is the high system availability and performance capacity. At the front side of the shuttle storage, lifts connect the storage with standardised pre-zones. A conveying system, for example, connects the storage with goods-to-person work stations. Robust and proven components ensure high system availability. Moreover, an SSI Cuby shuttle storage offers excellent accessibility for maintenance and service tasks.

In order to assess the technical performance capacity of the overall system, the achievement rate of the lift is particularly crucial. For this reason, SSI Schaefer uses a double-story load handling device at the lift to retrieve and store load carriers at the same time. Depending on the aisle length, the system is designed for 600 to 800 double cycles per aisle.

To make storage and retrieval processes even faster, the redesign and development of this product has increased the travel speed of the shuttle by a further 60%. The performance rate can be further increased by applying two lifts per rack aisle. Processes within the SSI Cuby storage system are controlled efficiently and transparently by WAMAS logistics software.

The modular design of the SSI Cuby shuttle system is based on a high degree of standardisation of components and IT. SSI Schaefer claims this enables fast implementation of intralogistics projects at very low risk. Customers obtain a scalable and highly efficient automatic warehouse at an attractive price.

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