Methanol-fuelled ships “less costly to build and operate”

Methanol (CH₃OH) as a commercially and technically viable marine fuel is gaining greater traction over other alternative bunkers, including LNG, as more shipowners adopt the clean burning fuel as price spreads narrow and production ramps up.

Speaking at a virtual conference last week, Greg Dolan, CEO of the Methanol Institute, a trade body whose shipowner members include Maersk, Stena Bulk, MSC, MOL and Oldendorff Carriers, predicts that methanol production costs will fall to become more competitively priced than traditional diesel bunker and other alternative fuels.

Dolan suggested that the move to CH₃OH would also help shipowners avoid the proposed carbon tax on diesel, which could be between US$250 and $450/t of CO2.

“There’s a call by many including the world’s largest shippers for a carbon tax on diesel fuels. That would dramatically change the pricing picture for marine fuels and the only available alternative fuel options today are advanced biofuels, LNG and methanol.”

As a transitional fuel, methanol is supported by the International Maritime Organization in its recent adoption of safe handling guidelines under the IGF Code for low flashpoint fuels.

“This has been an important milestone in the growth of methanol as a marine fuel,” Dolan said. “And while LNG paved the way for methanol, methanol adoption can be a model for ammonia and hydrogen in the future.”

According to Dolan, CH₃OH production increased last year to 100Mmt, doubling production in a decade. He said production could reach 500Mmt by 2050, as predicted in a joint Methanol Institute/International Renewable Energy Agency report released earlier this year.

Little time left to wait

Commenting on those shipowners that have already announced plans to include methanol within their fuel pool, Dolan told attendees at the Maritime AMC-organised Alternative Fuels webinar that first movers, such as Maersk, understand “there is little time left to wait on potential solutions that might fulfil 100% of their 2050 goals. They know we don’t have 30 years to wait.”

Maersk announced in March that its first CH₃OH-burning vessel will launch in 2023, seven years ahead of schedule. The company also mooted an order for twelve 15,000TEU methanol-fuelled containerships.

Another advocate is Proman Stena Bulk. The joint venture between shipowner Stena Bulk and CH₃OH producer Proman is planning to build six 50,000dwt tankers with methanol dual-fuel engines for delivery in 2023.

A further three vessels owned solely by Proman, scheduled for delivery in 2022 and 2023, will be traded globally for shipping chemicals and clean petroleum products.

Anita Gajadhar, Managing Director Proman Marketing, Logistics and Shipping, said: “For us, methanol is a proven fuel capable of meeting the shipping industry’s carbon reduction targets. When you look at the long-term pricing, it is competitive when compared to alternatives, like MGO. It is easy to bunker, it is safe to bunker, and it is widely available as bunker in 122 ports.”

Gajadhar claimed that methanol is currently being traded at a price lower than LNG in some ports, and is less to bunker than biofuel, currently traded at US$1,200/t or more.

“Methanol is actually going to be a little bit cheaper than some of the biofuels that are available in the market today…. In terms of CAPEX, it is also a lot cheaper to modify vessels for methanol than it is for LNG,” she said.

Lower build costs

Methanol-fuelled newbuilds also cost less than a LNG-burning ship, according to engine builders MAN Energy Solutions and Wärtsilä.

Kjeld Aabo, Director New Technologies two-stroke promotion, MAN Energy Solutions, told attendees that a 54,300m3 capacity product tanker running a methanol-fuelled engine would add about 10% to the newbuild price. The same vessel running on LNG would cost 22% more than a conventional HFO-burning ship.

The engine builder, which first unveiled and tested a CH₃OH dual-fuel engine in 2016 and has a current orderbook of 23 ME-LGIM engines, said methanol combustion emits 8% less CO2 than an HFO Tier II engine.

SOx emissions are reduced by 97% and NOx up to 60%. And since the methanol molecule contains no carbon-carbon bonds, it does not produce particulate matter or soot when burned resulting in smokeless operation

“I really believe there will be a big market for methanol in the future and the technology on the engine side is there,” said Aabo.

Toni Stojcevski, General Manager, Project Sales & Development, Wärtsilä, agreed but warned “if we are going to be compliant in 2050, with a 50% reduction in greenhouse gas emissions, then we need to prepare and start executing today.”

While Wärtsilä introduced a CH₃OH engine in in 2013, Stojcevski revealed that the engine builder expects to have an ammonia-fuelled engine operating next year and a pure hydrogen engine in 2025. The company also plans to launch a new methanol-burning engine based on its proven W32 series in late 2023. This will be available for newbuilds and retrofit.

Closing the webinar Dolan said: “Methanol engines are available. The fuel is available. The infrastructure is there and it’s affordable. We can act now.”

Methanol-fuelled ships “less costly to build and operate”

Methanol (CH₃OH) as a commercially and technically viable marine fuel is gaining greater traction over other alternative bunkers, including LNG, as more shipowners adopt the clean burning fuel as price spreads narrow and production ramps up.

Speaking at a virtual conference last week, Greg Dolan, CEO of the Methanol Institute, a trade body whose shipowner members include Maersk, Stena Bulk, MSC, MOL and Oldendorff Carriers, predicts that methanol production costs will fall to become more competitively priced than traditional diesel bunker and other alternative fuels.

Dolan suggested that the move to CH₃OH would also help shipowners avoid the proposed carbon tax on diesel, which could be between US$250 and $450/t of CO2.

“There’s a call by many including the world’s largest shippers for a carbon tax on diesel fuels. That would dramatically change the pricing picture for marine fuels and the only available alternative fuel options today are advanced biofuels, LNG and methanol.”

As a transitional fuel, methanol is supported by the International Maritime Organization in its recent adoption of safe handling guidelines under the IGF Code for low flashpoint fuels.

“This has been an important milestone in the growth of methanol as a marine fuel,” Dolan said. “And while LNG paved the way for methanol, methanol adoption can be a model for ammonia and hydrogen in the future.”

According to Dolan, CH₃OH production increased last year to 100Mmt, doubling production in a decade. He said production could reach 500Mmt by 2050, as predicted in a joint Methanol Institute/International Renewable Energy Agency report released earlier this year.

Little time left to wait

Commenting on those shipowners that have already announced plans to include methanol within their fuel pool, Dolan told attendees at the Maritime AMC-organised Alternative Fuels webinar that first movers, such as Maersk, understand “there is little time left to wait on potential solutions that might fulfil 100% of their 2050 goals. They know we don’t have 30 years to wait.”

Maersk announced in March that its first CH₃OH-burning vessel will launch in 2023, seven years ahead of schedule. The company also mooted an order for twelve 15,000TEU methanol-fuelled containerships.

Another advocate is Proman Stena Bulk. The joint venture between shipowner Stena Bulk and CH₃OH producer Proman is planning to build six 50,000dwt tankers with methanol dual-fuel engines for delivery in 2023.

A further three vessels owned solely by Proman, scheduled for delivery in 2022 and 2023, will be traded globally for shipping chemicals and clean petroleum products.

Anita Gajadhar, Managing Director Proman Marketing, Logistics and Shipping, said: “For us, methanol is a proven fuel capable of meeting the shipping industry’s carbon reduction targets. When you look at the long-term pricing, it is competitive when compared to alternatives, like MGO. It is easy to bunker, it is safe to bunker, and it is widely available as bunker in 122 ports.”

Gajadhar claimed that methanol is currently being traded at a price lower than LNG in some ports, and is less to bunker than biofuel, currently traded at US$1,200/t or more.

“Methanol is actually going to be a little bit cheaper than some of the biofuels that are available in the market today…. In terms of CAPEX, it is also a lot cheaper to modify vessels for methanol than it is for LNG,” she said.

Lower build costs

Methanol-fuelled newbuilds also cost less than a LNG-burning ship, according to engine builders MAN Energy Solutions and Wärtsilä.

Kjeld Aabo, Director New Technologies two-stroke promotion, MAN Energy Solutions, told attendees that a 54,300m3 capacity product tanker running a methanol-fuelled engine would add about 10% to the newbuild price. The same vessel running on LNG would cost 22% more than a conventional HFO-burning ship.

The engine builder, which first unveiled and tested a CH₃OH dual-fuel engine in 2016 and has a current orderbook of 23 ME-LGIM engines, said methanol combustion emits 8% less CO2 than an HFO Tier II engine.

SOx emissions are reduced by 97% and NOx up to 60%. And since the methanol molecule contains no carbon-carbon bonds, it does not produce particulate matter or soot when burned resulting in smokeless operation

“I really believe there will be a big market for methanol in the future and the technology on the engine side is there,” said Aabo.

Toni Stojcevski, General Manager, Project Sales & Development, Wärtsilä, agreed but warned “if we are going to be compliant in 2050, with a 50% reduction in greenhouse gas emissions, then we need to prepare and start executing today.”

While Wärtsilä introduced a CH₃OH engine in in 2013, Stojcevski revealed that the engine builder expects to have an ammonia-fuelled engine operating next year and a pure hydrogen engine in 2025. The company also plans to launch a new methanol-burning engine based on its proven W32 series in late 2023. This will be available for newbuilds and retrofit.

Closing the webinar Dolan said: “Methanol engines are available. The fuel is available. The infrastructure is there and it’s affordable. We can act now.”

New MD for robotics specialist

Robotics and automation specialist RMGroup has appointed Mark Tucker as its new managing director. Mark has over 40 years’ experience in the automation sector, having held a number of previous technical, managerial and sales senior roles. He will be working with the existing board, consisting of previous MD, Edward Rees, who now becomes chairman, Rosie Davies (commercial director), Edward Pugh (sales director) and Thomas Rees (technical director).

With increasing demand for its range of handling, robotics and automation solutions, the company has enjoyed significant growth in recent years. The company’s success is based on its reputation for quality UK-manufactured machinery and national on-site and on-line service support, allied to integration of its partnerships with ABB Robotics, Asti Mobile Robotics (recently acquired by ABB), Lantech and pallet packaging solution specialist, Lachenmaier.

Tucker said: “RMGroup is a great business with great products, great people and a can-do attitude. It’s my dream job and it was an easy decision to accept the invitation from Edward. I look forward to leading the management team along a maturing path to even greater success.”

From its 5,000 sq m mid-Wales factory, RMGroup designs, manufactures and supplies a wide range of manual and automatic packaging machinery, packaging systems and robotic automation to a customer base spanning food & beverage, horticultural, aggregates, chemicals and agricultural industries. The company’s service packages cover a wide-ranging toolbox of support options and can be configured to suit customers’ equipment and requirements.

AI and AR: powering Logistics 4.0

When it comes to Artificial Intelligence (AI) and Augmented Reality (AR), what benefits do they really offer for businesses in the logistics sector? In this article –  written by Luca Legnani, Panasonic’s European Marketing Manager – we look at how logistics businesses are applying AI and AR to their operations today, and how easily the technology can be integrated into existing business processes.

Switch on the news in any given week, and you’ll no doubt see a story about a ground-breaking new technology which will change the face of the planet. The truth is, for the majority of the world’s businesses, newly emerging technologies are too expensive and too high risk before they’ve become adopted – and tested – by the masses.

But waiting for a technology to become best practice can leave you trailing behind your competition. So what are the practical applications for technologies like AI and AR? And can they really deliver tangible benefits – through efficiency, operational costs and return on investment?

AI: The catalyst of Logistics 4.0

AI has been around for many years, and its use is widespread. In fact, most of us use it in some form every day: unlocking your phone with facial recognition technology, the algorithms which dictate your social media feeds, even using a search engine is powered by AI.

When it comes to logistics, AI’s applications range from simple tasks like optimised freight route-mapping, to the more experimental, such as Google’s Tossing Bot1: a robot arm powered by machine learning technology, and designed for use in pick and pack warehouses.

But warehouses don’t necessarily need a robot which can throw to successfully integrate AI. The rise of the automated warehouse has been taking place for a few years, and although still in its infancy, is viewed as highly efficient. In the UK logistics market, grocery giant Ocado built an automated warehouse in Andover. Its ‘hive’ of 1,100 robots successfully processed 3.2 million items per week, picking, lifting and sorting online shopping orders.

Even this pales in comparison to JD, whose warehouse on the outskirts of Shanghai processes 200,000 orders each day – a feat which would normally take hundreds of employees to achieve. Using image scanners, the robots ‘check’ packages in just microseconds, before identifying where each one should be placed. The facility even has driverless forklifts to deliver the processed orders to its corresponding delivery truck.

In fact, automated vehicles are also exploding in the world of logistics. In last-mile logistics, there are a number of autonomous ‘delivery bots’ already operating across the world. From depot to door, each one can intelligently plan a delivery route and avoid obstacles to fulfil an order.

But completely automated warehouses and delivery bots are fairly big investments – and so, can result in unfortunate losses. In the case of Ocado, for example, an electrical failure caused a fire to break out at the Andover facility, putting it out of action. Not only did the fire cost the online supermarket £100m, it also resulted in the business cutting 400 jobs as a result.

It’s much more likely then, that for the foreseeable future of the logistics industry, it will be simpler uses of AI-initiated automation and optimisation that will gain the largest traction. Warehouse Management Systems (WMS) would be boosted with the integration of AI software, predicting peaks and troughs in demands, and allowing supply chain managers to make informed decisions about planning resources. And cognitive automation within back office logistics means contract management can also start to be automated – with some studies suggesting there would be more accuracy as a result.

These are examples of smaller-scale, less expensive, realistic investments which offer a much quicker return. And, it’s a very safe bet that transportation companies are starting to implement these changes into their operations in order to augment their business processes.

AR: Offering a new perspective in smart logistics

Augmented Reality might not be used as frequently in our day-to-day as AI might be, but its popularity is growing. AR works by adding a layer of computer-generated virtual reality over a view of the real world, most commonly recognised from social media filters.

In the logistics world, the difficulty arises when ensuring wherever AR is integrated into a working process, it’s done so in a way which is useful, seamless and user friendly. For example, although Smart Lense technology is being tested – contact lenses with Augmented Reality capabilities – it’s highly unlikely that a significantly large workforce could all be encouraged to use them where there are alternatives. Smart Glasses, however, are a different ballgame.

Often predicted to be the next game-changing technology, Smart Glasses could offer a visual overlay via their lenses. For practical applications, this could mean 3D illustrations are provided for employees loading cargo into a shipment, ensuring the best use of space, and minimising the risk of incorrect sorting. There are also high hopes for the technology’s ability to enable remote expertise sharing.

And the benefits aren’t just for inside the warehouse: last mile logistics can also benefit from Augmented Reality implementation. If the technology is integrated into a device with a camera, such as a tablet or smartphone, it can remove the need for barcode scanning and data input, using the camera to automatically process and sort data.

Panasonic’s Visual Sort Assist (VSA) solution has already begun revolutionising the way large-scale logistics companies manage their warehousing processes.

A practical, business-friendly solution

For the most part, the best integration of new technologies seems to be where it naturally matches up with current processes. Upgrading current technology to newer versions which offer enhanced capability could be the best way forward.

At Panasonic, the TOUGHBOOK M1 RealSense is one option. A 7” tablet designed perfectly for use in the supply chain. Its AI-powered RealSense camera with 3D mapping technology allows the user to take accurate measurements from a safe distance; optimising warehouse storage, organising shipments and calculating load dimensions becomes a much easier task.

It also offers all the benefits of rugged technology; resistance to drops of up to 1.8 metres, built-in water and dust resistance, a sunlight viewable screen, and a glove-compatible touchscreen – all features which make it ideal for use in a warehouse environment, last-mile delivery or supply chain management roles.

And then there’s the TOUGHBOOK M1 Thermal Imaging solution, which allows users to record, analyse and document temperature surfaces from a distance. Plus, all data can be intelligently processed, meaning less administration time and fewer human errors.

Not only could the use of devices such as this one lead to greater efficiency, process optimisation and reduced human error, it could also lead to a huge saving in TCO.

AI and AR: powering Logistics 4.0

When it comes to Artificial Intelligence (AI) and Augmented Reality (AR), what benefits do they really offer for businesses in the logistics sector? In this article –  written by Luca Legnani, Panasonic’s European Marketing Manager – we look at how logistics businesses are applying AI and AR to their operations today, and how easily the technology can be integrated into existing business processes.

Switch on the news in any given week, and you’ll no doubt see a story about a ground-breaking new technology which will change the face of the planet. The truth is, for the majority of the world’s businesses, newly emerging technologies are too expensive and too high risk before they’ve become adopted – and tested – by the masses.

But waiting for a technology to become best practice can leave you trailing behind your competition. So what are the practical applications for technologies like AI and AR? And can they really deliver tangible benefits – through efficiency, operational costs and return on investment?

AI: The catalyst of Logistics 4.0

AI has been around for many years, and its use is widespread. In fact, most of us use it in some form every day: unlocking your phone with facial recognition technology, the algorithms which dictate your social media feeds, even using a search engine is powered by AI.

When it comes to logistics, AI’s applications range from simple tasks like optimised freight route-mapping, to the more experimental, such as Google’s Tossing Bot1: a robot arm powered by machine learning technology, and designed for use in pick and pack warehouses.

But warehouses don’t necessarily need a robot which can throw to successfully integrate AI. The rise of the automated warehouse has been taking place for a few years, and although still in its infancy, is viewed as highly efficient. In the UK logistics market, grocery giant Ocado built an automated warehouse in Andover. Its ‘hive’ of 1,100 robots successfully processed 3.2 million items per week, picking, lifting and sorting online shopping orders.

Even this pales in comparison to JD, whose warehouse on the outskirts of Shanghai processes 200,000 orders each day – a feat which would normally take hundreds of employees to achieve. Using image scanners, the robots ‘check’ packages in just microseconds, before identifying where each one should be placed. The facility even has driverless forklifts to deliver the processed orders to its corresponding delivery truck.

In fact, automated vehicles are also exploding in the world of logistics. In last-mile logistics, there are a number of autonomous ‘delivery bots’ already operating across the world. From depot to door, each one can intelligently plan a delivery route and avoid obstacles to fulfil an order.

But completely automated warehouses and delivery bots are fairly big investments – and so, can result in unfortunate losses. In the case of Ocado, for example, an electrical failure caused a fire to break out at the Andover facility, putting it out of action. Not only did the fire cost the online supermarket £100m, it also resulted in the business cutting 400 jobs as a result.

It’s much more likely then, that for the foreseeable future of the logistics industry, it will be simpler uses of AI-initiated automation and optimisation that will gain the largest traction. Warehouse Management Systems (WMS) would be boosted with the integration of AI software, predicting peaks and troughs in demands, and allowing supply chain managers to make informed decisions about planning resources. And cognitive automation within back office logistics means contract management can also start to be automated – with some studies suggesting there would be more accuracy as a result.

These are examples of smaller-scale, less expensive, realistic investments which offer a much quicker return. And, it’s a very safe bet that transportation companies are starting to implement these changes into their operations in order to augment their business processes.

AR: Offering a new perspective in smart logistics

Augmented Reality might not be used as frequently in our day-to-day as AI might be, but its popularity is growing. AR works by adding a layer of computer-generated virtual reality over a view of the real world, most commonly recognised from social media filters.

In the logistics world, the difficulty arises when ensuring wherever AR is integrated into a working process, it’s done so in a way which is useful, seamless and user friendly. For example, although Smart Lense technology is being tested – contact lenses with Augmented Reality capabilities – it’s highly unlikely that a significantly large workforce could all be encouraged to use them where there are alternatives. Smart Glasses, however, are a different ballgame.

Often predicted to be the next game-changing technology, Smart Glasses could offer a visual overlay via their lenses. For practical applications, this could mean 3D illustrations are provided for employees loading cargo into a shipment, ensuring the best use of space, and minimising the risk of incorrect sorting. There are also high hopes for the technology’s ability to enable remote expertise sharing.

And the benefits aren’t just for inside the warehouse: last mile logistics can also benefit from Augmented Reality implementation. If the technology is integrated into a device with a camera, such as a tablet or smartphone, it can remove the need for barcode scanning and data input, using the camera to automatically process and sort data.

Panasonic’s Visual Sort Assist (VSA) solution has already begun revolutionising the way large-scale logistics companies manage their warehousing processes.

A practical, business-friendly solution

For the most part, the best integration of new technologies seems to be where it naturally matches up with current processes. Upgrading current technology to newer versions which offer enhanced capability could be the best way forward.

At Panasonic, the TOUGHBOOK M1 RealSense is one option. A 7” tablet designed perfectly for use in the supply chain. Its AI-powered RealSense camera with 3D mapping technology allows the user to take accurate measurements from a safe distance; optimising warehouse storage, organising shipments and calculating load dimensions becomes a much easier task.

It also offers all the benefits of rugged technology; resistance to drops of up to 1.8 metres, built-in water and dust resistance, a sunlight viewable screen, and a glove-compatible touchscreen – all features which make it ideal for use in a warehouse environment, last-mile delivery or supply chain management roles.

And then there’s the TOUGHBOOK M1 Thermal Imaging solution, which allows users to record, analyse and document temperature surfaces from a distance. Plus, all data can be intelligently processed, meaning less administration time and fewer human errors.

Not only could the use of devices such as this one lead to greater efficiency, process optimisation and reduced human error, it could also lead to a huge saving in TCO.

Kite achieves carbon neutrality

Kite Packaging has been committed to protecting the environment since its founding in 2001. Stocking specialist enviro-products, establishing a Compliance Scheme to help companies to fund their recycling of plastic waste in the UK, and launching a Plastic Reduction Campaign in 2019, achieving carbon neutrality was the natural next step.

Inherent within Kite’s business model is the idea of wanting clients to be successful. By using less packaging, reducing costs and elevating their environmental consciousness, the business will naturally benefit. Shopping with a carbon neutral supplier strongly supports this approach toward growth.

As a largescale logistics operation, Kite had two main carbon contributors: fuel and energy. Firstly, the company offsets its truck fuel at source, bringing its carbon footprint in this category to zero. As an ISO14001 accredited company, energy consumption was already being strategically reduced, though to achieve carbon neutrality it initiated a move toward renewable tariffs utilising wind, wave or solar energy.

Carbon Neutral Britain verified this achievement in 2021 and neutralised the carbon that was not offset at source using Verified Carbon Credits.

Constant growth and development is at the heart of Kite’s culture; the upcoming movement into a new state-of-the-art site will make the business capable of championing further eco-friendly initiatives with uncapped creativity.

The building will be entirely carbon neutral through solar technology, with the potential to be carbon negative.

Robotics Fleet Management: buy or build?

As the robotics market continues to accelerate — with many robotics enthusiasts diving into the development of robots and their accompanying systems — you might be wondering what would be best for your business: to buy or to build?

To help make your decision-making process a little bit easier, Meili Robots‘ industry report explores and discusses the seven key considerations for buying or building a fleet management system (FMS) for your robot fleet.

Implementation & maintenance costs

An important aspect of building or buying an FMS is the costs and speed of the implementation process. While a third-party FMS can be integrated into your existing systems within hours, it can easily take a year or more to develop your own scalable solution.

Meanwhile, resources and expertise are also crucial factors for deciding whether to build or buy a scalable FMS. Depending on the size of your fleet, you will need to consider hiring a team of developers to establish the necessary infrastructure and interface of your software.

Perhaps the most important consideration for buying or building an FMS is the maintenance of the system. If you do decide to build your own FMS, you will need to keep your system up to date — meaning you would most likely need to hire in-house developers. If you were to buy an existing FMS, you would instead have automatic access to external developers from the third-party provider.

Compatibility, functionality & scalability

Many third-party FMSs can easily be integrated into existing systems and might be customisable to your exact requirements. However, this usually costs extra and takes more time to deploy. On the other hand, when building your own FMS, you get to design and develop your software exactly the way you want. Keep in mind that this also comes with additional maintenance to keep your system up to date.

If you have the resources at hand to develop your own FMS, you get a lot of flexibility in terms of functionality — having the ability to add new features and updates as you see fit. With an existing FMS, you will be dependent on the third-party provider for updates and new features.

Most existing FMSs are specifically designed to make it easier for you to scale your business. If you were to build your own FMS, you need to ensure that you have a strong, scalable software foundation so it can keep things running in the long run without running into any complexities.

For further insights into the seven key considerations for buying or building a FMS, please download the free report on Meili Robots. Here, we dive further into the implementation speed, cost estimates, functionality, system compatibility and security as well as connectivity, data monitoring, and current market insights.

CLICK HERE TO DOWNLOAD THE FULL REPORT

Robotics Fleet Management: buy or build?

As the robotics market continues to accelerate — with many robotics enthusiasts diving into the development of robots and their accompanying systems — you might be wondering what would be best for your business: to buy or to build?

To help make your decision-making process a little bit easier, Meili Robots‘ industry report explores and discusses the seven key considerations for buying or building a fleet management system (FMS) for your robot fleet.

Implementation & maintenance costs

An important aspect of building or buying an FMS is the costs and speed of the implementation process. While a third-party FMS can be integrated into your existing systems within hours, it can easily take a year or more to develop your own scalable solution.

Meanwhile, resources and expertise are also crucial factors for deciding whether to build or buy a scalable FMS. Depending on the size of your fleet, you will need to consider hiring a team of developers to establish the necessary infrastructure and interface of your software.

Perhaps the most important consideration for buying or building an FMS is the maintenance of the system. If you do decide to build your own FMS, you will need to keep your system up to date — meaning you would most likely need to hire in-house developers. If you were to buy an existing FMS, you would instead have automatic access to external developers from the third-party provider.

Compatibility, functionality & scalability

Many third-party FMSs can easily be integrated into existing systems and might be customisable to your exact requirements. However, this usually costs extra and takes more time to deploy. On the other hand, when building your own FMS, you get to design and develop your software exactly the way you want. Keep in mind that this also comes with additional maintenance to keep your system up to date.

If you have the resources at hand to develop your own FMS, you get a lot of flexibility in terms of functionality — having the ability to add new features and updates as you see fit. With an existing FMS, you will be dependent on the third-party provider for updates and new features.

Most existing FMSs are specifically designed to make it easier for you to scale your business. If you were to build your own FMS, you need to ensure that you have a strong, scalable software foundation so it can keep things running in the long run without running into any complexities.

For further insights into the seven key considerations for buying or building a FMS, please download the free report on Meili Robots. Here, we dive further into the implementation speed, cost estimates, functionality, system compatibility and security as well as connectivity, data monitoring, and current market insights.

CLICK HERE TO DOWNLOAD THE FULL REPORT

IFCO makes senior appointment

IFCO, a leading provider of Reusable Plastic Containers (RPCs) for fresh food packaging, has appointed Iñigo Canalejo as Vice President, ESG (Environmental, Social & Governance) as of 1st August 2021.

IFCO is strongly committed to its ESG strategy and to making the world’s fresh grocery supply chain sustainable. IFCO´s business model is built on the principles of the circular economy with a strong focus on sustainability and has recently had its European line of Lift Lock RPCs awarded Cradle to Cradle Certified at the Silver level.

By leveraging the environmental benefits of its business model, where RPCs are being re-used up to 120 times, washed, sanitised and then at the end of their life cycle, granulated in order to produce new crates, IFCO enables significant CO2, water and energy savings as well as reductions in solid and food waste when compared to single-use packaging.

Through a third-party Life Cycle Analysis (LCA) IFCO is able to scientifically quantify these savings and share them with its European and North American customers to demonstrate its commitment to sustainability.

“Over the past years we have achieved great progress in delivering against our sustainability agenda with one highlight being Cradle to Cradle Certified at the Silver level,” says Michael Pooley, CEO at IFCO. “This reinforces our leading role in the industry, successfully applying the model of the circular economy for many years.

“I am delighted to welcome Iñigo Canalejo in our team. He brings many years of experience in successfully leading ESG programmes in the industry and will help us to position IFCO at the forefront of supply chain sustainability.”

In his former role, Canalejo led the sustainability function in the EMEA region at Brambles, a global supply chain solutions company, whilst also contributing to the design of the Global Sustainability Strategy and its implementation. He also led Brambles’ strategy for negotiating the commercial and operational changes caused by Brexit and has extensive experience in managing government relations.

Canalejo will directly report to IFCO CEO Michael Pooley, reflecting the importance of the role. Achieving IFCO’s challenging ESG goals and making the fresh food supply chain sustainable requires focus and execution speed. He will also chair the IFCO ESG Committee, which includes members of IFCO’s advisory board, the CEO and CFO. This committee will oversee all ESG strategy and activities for the company.

“I am very much looking forward to joining IFCO, working together with my new team on the company’s growing ESG commitment and focus,” added Canalejo. “We have a very busy agenda ahead of us to reach our ambitious sustainable goals and make every step of our customers’ supply chains more sustainable.”

IFCO makes senior appointment

IFCO, a leading provider of Reusable Plastic Containers (RPCs) for fresh food packaging, has appointed Iñigo Canalejo as Vice President, ESG (Environmental, Social & Governance) as of 1st August 2021.

IFCO is strongly committed to its ESG strategy and to making the world’s fresh grocery supply chain sustainable. IFCO´s business model is built on the principles of the circular economy with a strong focus on sustainability and has recently had its European line of Lift Lock RPCs awarded Cradle to Cradle Certified at the Silver level.

By leveraging the environmental benefits of its business model, where RPCs are being re-used up to 120 times, washed, sanitised and then at the end of their life cycle, granulated in order to produce new crates, IFCO enables significant CO2, water and energy savings as well as reductions in solid and food waste when compared to single-use packaging.

Through a third-party Life Cycle Analysis (LCA) IFCO is able to scientifically quantify these savings and share them with its European and North American customers to demonstrate its commitment to sustainability.

“Over the past years we have achieved great progress in delivering against our sustainability agenda with one highlight being Cradle to Cradle Certified at the Silver level,” says Michael Pooley, CEO at IFCO. “This reinforces our leading role in the industry, successfully applying the model of the circular economy for many years.

“I am delighted to welcome Iñigo Canalejo in our team. He brings many years of experience in successfully leading ESG programmes in the industry and will help us to position IFCO at the forefront of supply chain sustainability.”

In his former role, Canalejo led the sustainability function in the EMEA region at Brambles, a global supply chain solutions company, whilst also contributing to the design of the Global Sustainability Strategy and its implementation. He also led Brambles’ strategy for negotiating the commercial and operational changes caused by Brexit and has extensive experience in managing government relations.

Canalejo will directly report to IFCO CEO Michael Pooley, reflecting the importance of the role. Achieving IFCO’s challenging ESG goals and making the fresh food supply chain sustainable requires focus and execution speed. He will also chair the IFCO ESG Committee, which includes members of IFCO’s advisory board, the CEO and CFO. This committee will oversee all ESG strategy and activities for the company.

“I am very much looking forward to joining IFCO, working together with my new team on the company’s growing ESG commitment and focus,” added Canalejo. “We have a very busy agenda ahead of us to reach our ambitious sustainable goals and make every step of our customers’ supply chains more sustainable.”

Subscribe

Get notified about New Episodes of our Podcast, New Magazine Issues and stay updated with our Weekly Newsletter.