Crisis Impact on e-commerce Inventory Management

The Red Sea, a vital trade route connecting Asia, Africa, and Europe, has faced security concerns since the first attack on a commercial ship last year. This has sparked worries in the transportation, logistics, and supply chain sectors about disruptions, higher freight costs, longer shipping times, and the resurgence of the bullwhip effect. Consequently, some cross-border e-commerce merchants and brands have already begun increasing orders to mitigate potential supply chain challenges.

CIRRO conducted a quantitative analysis of a specific case to assess the impact of the Red Sea Crisis on inventory management for global e-commerce enterprises reliant on international supply chains and logistics. From this, we will dive into the insights about organizing the stock smartly and handling any issues that come our way, offering some essential advice for cross-border merchants who want to fine-tune their inventory game.

Case study

The graph depicted below illustrates a fundamental principle of inventory management. To maintain inventory levels above the safety stock threshold, cross-border e-commerce enterprises must initiate reorders prior to reaching the safety stock level, considering the lead time of production.

Assume that there is a cross-border e-commerce company. The average daily market demand (d) is 300 pieces. Based on historical data, the standard deviation of daily demand (σd) is 40 pieces. Lead time (LT) is 30 days. Its annual demand (D) is 100,000 pieces (assuming 333 working days per year), the fixed cost (S) of each order is $500, and the annual holding cost (H) of each commodity is $10/piece. The company has set a service level of 95%, with a corresponding Z value of 1.65 (hoping to meet 95% of order requirements).

Under the Red Sea Crisis, assume that the lead time (LT) is increased to 45 days, the annual holding cost (H) of each commodity is increased to $13, and all other parameters remain unchanged.

Key observations from the recalculated values include:

1. Increased safety stock point
Due to heightened uncertainty, the safety stock point rises by 23%.

2. Earlier replenishment initiation
The reorder point shifts, prompting earlier replenishment orders, leading to increased orders by European retailers in December-January.

3. Decrease in single order quantity
Replenishment from high inventory levels decreases single order quantity, potentially necessitating exceptional measures to meet demand.

4. Rise in overall inventory
Lengthened cycles result in a 33% increase in overall inventory peak.

5. Change in inventory distribution
Share of stocks in transit increases, while share of stocks on arrival decreases, impacting local fulfillment capacity.

The adjustments made by enterprises reflect the ‘accelerator effect’, where businesses proactively adapt to external changes, expanding or reducing inventory levels. While the accelerator effect aids in maintaining operational continuity during crises, it leads to higher inventory costs and capital pressure, necessitating a delicate balance between supply chain stability and cost management.

Key learnings

To address potential supply chain disruptions, cross-border e-commerce firms must proactively devise strategies in the long run. They can undertake supply chain modeling under various scenarios and develop adjustment plans accordingly. Here are some actions suggested to take:

Internally, cross-border e-commerce firms can work on the following five aspects:

1. Inventory optimization
Prioritize high-turnover, high-margin products to ensure inventory safety and maximize capital efficiency. Allocate limited funds away from slow-moving and low-profit items.

2. Service level adjustments
Tailor out-of-stock rate thresholds for different product categories. Consider raising thresholds for non-core products or adjusting prices to moderate sales velocity during pressure.

3. Flexible pricing strategy
Implement dynamic pricing to reflect supply costs and inventory changes, thus alleviating inventory pressure and enhancing operational stability.

4. Financing for resilience
Explore financing options to bolster inventory levels if necessary, ensuring preparedness and enhancing financial resilience against rising inventory costs.

5. Reduction in expenditure
Evaluate opportunities for efficiency improvements or cost reductions to offset increased inventory expenses.

Externally, cross-border e-commerce companies can focus on the following two strategies:

1. Seek reliable logistics partners
Prioritize stability and timeliness in logistics services and partner with reputable logistics providers or fulfillment companies, like CIRRO, to secure efficient transport routes and sufficient storage capacity.

2. Collaborate with industry partners and suppliers
Explore inventory-sharing arrangements or partnerships with related industries or suppliers to mitigate inventory-holding costs. Leverage OEM opportunities provided by factories, achieving flexible supply chain solutions and competitive advantages in lead time reduction.

The impact of the Red Sea Crisis on the supply chain depends significantly on how severe it becomes over time. In a prolonged crisis, having a clear, responsive plan becomes essential. Given the ongoing and evolving nature of the Red Sea Crisis, cross-border e-commerce merchants and brands must closely monitor its developments.

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Efficient Pallet Racking Project

In a significant step towards logistics efficiency, AR Racking is proud to announce the completion of its most recent pallet racking project in Columbia. This project, designed for SUCROAL S.A., a leading chemicals manufacturer, marks a milestone in the strategic collaboration between both companies.

The 1,850 m2 warehouse now houses an adjustable pallet racking system, providing the company with a total of 2,742 positions to optimise its inventory management. Located in Palmira, Valle del Cauca, the project adapts to the specific needs of this important customer.

Juan Martín Uribe, Competitiveness Manager at SUCROAL S.A. said: “The collaboration with AR Racking was positive to optimise our Distribution Centre. We were able to implement double-deep racking and additional support bars at key levels that have significantly boosted the safety and quality of our operations”.

Under the direction of AR Racking project manager, Edwar Suescun, a double-deep adjustable pallet racking system with 6 beam levels was implemented. The inclusion of two support bars per pallet on levels 4, 5 and 6 was a strategic approach resulting from a detailed analysis with the customer, ensuring a distribution perfectly in line with the logistics operations of finished products.

Pallet Racking Project

Suescun pointed out: “This project is not only an achievement for AR Racking, but it also underlines our continued commitment to excellence in industrial storage systems. The close collaboration with SUCROAL S.A. allowed precise customisation to meet its specific logistics needs”.

AR Racking is part of Grupo Arania, an industrial group of companies with extensive experience and scope, and with a multi-sectoral activity based on the transformation of steel that dates back more than 80 years. AR Racking provides the market with a wide range of solutions with high certified quality standards and a comprehensive project management service. AR Racking’s industrial storage systems stand out for their innovation, reliability and optimum efficiency.

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New Pallet Racking Solution

 

Globalization at Record High, says DHL Report

DHL and New York University’s Stern School of Business today released the new DHL Global Connectedness Report 2024, the most comprehensive available analysis of globalization’s state and trajectory. It tracks how flows of trade, capital, information, and people move around the world and measures the globalization of 181 countries and territories.

The report reveals that globalization reached a record high in 2022 and remained close to that level in 2023 – despite a series of global shocks over the past decade, including the Covid-19 pandemic, wars in Ukraine and Gaza, the U.S. – China trade conflict, and the UK’s withdrawal from the EU. The evidence strongly rebuts the notion that the growth of global flows has gone into reverse. Trade growth played a crucial role in boosting global connectedness. The share of global output traded internationally was back to a record high level in 2022. After a slowdown in 2023, trade growth is forecast to accelerate in 2024. The globalization of information flows has been especially strong over the past two decades, even though the latest data show a stall in their growth, partly due to less research collaboration between the U.S. and China. Corporate globalization is rising, with companies expanding their international presence and earning more sales abroad.

At the launch of the DHL Global Connectedness Report, John Pearson, CEO DHL Express, said: “The most recent findings of the DHL Global Connectedness Report unequivocally dispel the notion of globalization reversing course. Far from being a mere buzzword, globalization is an influential force that has profoundly reshaped our world and has further great potential. Expanding markets and fostering opportunities empower individuals, businesses, and entire nations to flourish in unique ways. Embracing globalization allows us and our customers to forge a promising future, fostering an increasingly interconnected world, more prosperous for all – and poised for further growth.”

The report affirms the considerable potential to continue growing global flows. It pegs the world’s current level of globalization at only 25%, on a scale from 0% (meaning no flows cross national borders) to 100% (borders and distance have ceased to matter at all).

Ranking of most globalized countries

Singapore achieves the number one spot. The Netherlands and Ireland rank the second and third. 143 countries became more globally connected, while only 38 saw their levels of connectedness decline. Further evidence shows that Europe is the world’s most globally connected region, followed by North America and the Middle East & North Africa.

“Singapore has invested heavily in strengthening our physical and digital connectivity to the world because trade is our lifeblood. We continue to enhance our connectivity and trade links to remain a critical and trusted node in global supply chains, facilitating international trade and flows of capital, information and talent. We look forward to partnering with global companies seeking a launchpad for business growth and supply chain expansion in Asia-Pacific and beyond,” said Ih-Ming Chan, Executive Vice President, Singapore Economic Development Board.

U.S. – China ties diminish, and Russia shows unprecedented decline

The DHL Global Connectedness Report also shows that U.S.-China ties continue to diminish, with the shares of both countries’ flows involving each other decreasing by about one-quarter since 2016. However, both countries remain significantly connected, demonstrating larger flows than almost any other pair of countries. Russia and Europe have decoupled, resulting in Russia facing an unprecedented drop in connectedness, more than twice as much as any previous decline on record among the world’s 20 largest economies. At the same time, the data analysis demonstrates that there is no wider split of the world economy between rival geopolitical blocs.

Globalization has not given way to regionalization

Further, the report shows that predictions of a global shift from globalization to regionalization are not – at least yet – borne out in patterns of international flows. In fact, most international flows are taking place over stable or even longer distances, with a declining share happening inside major geographic regions. In the realm of trade, only North America shows a clear shift to more regionalized trade patterns.

“Deglobalization is still only a risk, not a current reality,” says Steven Altman, Senior Research Scholar and Director of the DHL Initiative on Globalization at NYU Stern’s Center for the Future of Management. “Geopolitical threats and public policy shifts have led many to predict a fracturing of the world economy along geographic or geopolitical lines, or even a retreat from international to domestic business. But the latest data still show that international flows are growing and very few countries are cutting ties with their traditional counterparts. It is important to recognize the resilience of global flows because a lopsided focus on the threats to globalization could make deglobalization a self-fulfilling prophecy.”

Published regularly since 2011, the renowned DHL Global Connectedness Report provides reliable findings on globalization trends by analyzing 15 types of international trade, capital, information, and people flows. The 2024 edition is based on almost nine million data points. It ranks the connectedness of 181 countries, accounting for 99.7 percent of the world’s gross domestic product and 98.7 percent of its population. A collection of 181 one-page country profiles provides concise summaries of individual countries’ globalization patterns.

The report was commissioned by DHL and authored by Steven A. Altman and Caroline R. Bastian of New York University Stern School of Business.

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DHL Index: Globalisation resilient during pandemic

 

Bubble Wrap Inflator Provides Cushioning

A new compact and lightweight inflatable packaging system has been launched by SEE to provide medium-throughput businesses with on-demand cushioning and wrapping that contains a minimum of 30% recycled content*.

The Bubble Wrap® Inflator has been specifically designed for smaller operations, where workspace is at premium. At the press of a button, the system can produce BUBBLE WRAP® brand bubble materials on-demand at speeds of up to 24 metres per minute, reducing the need to dedicate valuable space to storing protective packaging materials.

Further workspace is saved by the system’s small footprint, which measures 43.2cm long, by 30.5cm wide and 54.6cm high.

Andrea Questa, Fulfilment Marketing Manager EMEA at SEE, commented: “The Bubble Wrap® Inflator is the ideal ready-to-wrap solution for lower-volume businesses that want to make their packaging easy and efficient, without compromising on protective performance. Operators can simply inflate high-quality packaging when they need it.

“The system is plug and play, and can be quickly set up on a bench, wall mounted or integrated into existing pack stations. It weighs less than 13kg and doesn’t require any compressed air to create inflatable cushioning and wrapping. This can help to reduce maintenance requirements and increase system uptime.”

Lightweight inflatable packaging

A simple user interface is used to operate the new system, meaning there’s little or no training required. The interface also provides preventative maintenance alerts to notify of servicing.

The Bubble Wrap® Inflator is designed to run a range of different grades of Bubble Wrap IB® films including medium, large and extra-large bubble sized films, which contain a minimum of 30% recycled content and are compatible with mechanical recycling streams of LDPE*.

On-demand cushioning and wrapping

Questa added: “The new Inflator can run all grades of Bubble Wrap IB® films, including regular, premium and extreme, at a maximum uninflated width of 40cm. These capabilities mean the system and films are ideal for producing cushioning and wrapping for small and medium-sized products of varying weights and fragility. Due to its flexibility, we expect the Bubble Wrap® Inflator to appeal to a broad range of omni-channel businesses and fulfilment providers, from those packaging cosmetics, right through to automotive and industrial components, homewares, office supplies and electronics.”

*Degree of recyclability of the final package depends on the specific product configuration or components intended for recycling and the scope and availability of appropriate local recycling facilities.

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Bubble Wrap: Pop or Flop?

 

500,000th UK-made Forklift Donated

The 500,000th forklift from the factory producing Hyster® lift trucks in Northern Ireland has been donated to a local branch of FareShare, the UK’s longest running food redistribution charity.

Representatives from FareShare, based in Mallusk, visited the Craigavon plant on 6th March to receive the handover of the new truck – a Hyster J1.6XNT three-wheel electric lift truck. Stewart Murdoch – Senior Vice President, Managing Director, EMEA and Darren Johnston, Craigavon Plant Manager for Hyster Europe presented the truck, which features a panel containing the name of every current employee at the manufacturing plant, to Roisin Colohan, Operations Manager, representing FareShare. The special event was also attended by Lord Mayor of Armagh, Banbridge, Craigavon Council Alderman Margaret Tinsley, and Roger Wilson the Chief Executive of Armagh, Banbridge, Craigavon Council. In Northern Ireland, FareShare is part of local charity Homeless Connect which has been operating the project for thirteen years.

Commenting on the handover, Declan McKillop, Head of Operations at Homeless Connect, said “We are absolutely delighted that FareShare has been chosen to receive the half millionth forklift truck. The Hyster truck will play a vital role at our depot in Mallusk in helping us to redistribute good quality surplus food to over 170 local charities, community groups, schools, homeless hostels, and foodbanks that we support every week.”

FareShare provides Northern Ireland’s largest food redistribution network. Last year it distributed 669 tonnes of food, equivalent to 1.6 million meals to 179 charities, community groups and schools throughout Northern Ireland. Over 35,000 people each year benefit from FareShare food. The donated truck will be used in warehouses, based in Newtownabbey, where food items for redistribution are stored.

Half a million Hysters

The truck will be supported by UK and Ireland Hyster dealer Briggs Equipment, which will provide free-of-charge training and servicing during the warranty period.

“Giving back is something that is incredibly important to our whole team,” says Darren Johnston. “Supporting a great cause that benefits those in our local community seemed the ideal way to celebrate the milestone of manufacturing half a million trucks on our production lines. The Hyster electric lift truck we have donated is highly reliable, efficient, and operator friendly, giving FareShare and Homeless Connect equipment they can depend on, so that they can continue the great work they do to help people.”

Stewart Murdoch adds: ‘For more than 40 years of successfully operating in Northern Ireland, we are proud to continue to play a strong part in the local Armagh City, Banbridge, and Craigavon community and to have achieved this landmark milestone of 500,000 lift trucks produced at our Craigavon facility is simply wonderful. The long-term success of our organisation is down to the passion, commitment and dedication shown by our incredible workforce and I would like to thank them all for the positive contribution that they make to both our company and the wider community. It is an absolute privilege to have my tenure with the company coincide with this landmark milestone in our continuing history in Craigavon.”

The facility in Craigavon, around 30 miles from Belfast, officially opened in 1981 and has grown to be the largest volume forklift plant in the UK, manufacturing thousands of electric, diesel, and LPG forklifts each year for Europe, the Middle East, and Africa. It employs hundreds of people from the local area and has extended its factory in recent years to incorporate new automation and sustainability innovations.

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UK Food Sharing Charity Working with Logistics Partners

 

Battery Technology with Accelerated Throughput

EnerSys® (NYSE:ENS), a global leader in stored energy solutions for industrial applications, announces an advancement in thin plate pure lead (TPPL) battery technology with the introduction of an optional Accelerated Throughput Package (ATP)* for select NexSys® TPPL batteries.

NexSys® TPPL batteries equipped with the new ATP offer a significant increase in daily energy throughput compared to standard NexSys® TPPL batteries – making them ideal for harder-running,
higher-reaching Class 1 and 2 equipment applications formerly requiring battery changing. This additional energy capability provided with the ATP upgrade is achieved via improved thermal
management that enables faster, more efficient energy uptake during brief charging periods such as operator breaks, shift changes or any period of non-use.

Battery Technology

Harold Vanasse, Senior Director of Marketing, Motive Power Global at EnerSys, explains, “Switching from battery changing to opportunity charging significantly alters battery selection. With changing, the battery is removed from equipment and recharged separately, over an extended period of time. This means the critical factor is overall energy storage capacity – determining how long equipment can work before needing a battery change. Opportunity charging equipment during breaks and other brief intervals adds energy intake efficiency as a consideration to maintain charge levels. Our TPPL technology, known for its high charging efficiency is further enhanced with the ATP, providing accelerated recharging without compromising the maintenance-free experience synonymous with our NexSys® battery line. NexSys® TPPL with ATP is particularly suited for applications requiring additional energy capabilities to support high-volume, multi-shift operations.”

EnerSys® will feature NexSys® TPPL with the new ATP upgrade at their upcoming trade shows: Intermodal (Booth M010) in Sao Paulo, Brazil from March 5-7, 2024, and LogiMAT (Booth 10B09) in Stuttgart, Germany from March 19-21, 2024.

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GXO Trumps CEVA’s Wincanton Offer

Wincanton Logistics Directors are now supporting a £762m takeover offer from the American third party logistics company GXO and have withdrawn their backing for a rival bid from CEVA Logistics.

Wincanton said on Friday that directors intended to recommend unanimously an offer of 605p a share made by GXO on Thursday. In the latest twist in the takeover battle, the Wincanton board withdrew their backing for an increased and final cash offer from Marseille-based CEVA Logistics at 480p a share. The GXO offer is pitched at a 29% premium to the record high share price of 470p reached during the period to 18 January, the last business day before Wincanton received a £567m bid from CEVA.

Currently listed on the London Stock Exchange, Wincanton is a leading supply chain partner for British and Irish business, and a trusted partner to many of the UK and Ireland’s most recognisable brands and influential public bodies. Wincanton provides business critical services and takes care of all customers’ supply chain needs and a range of outsourced and integrated supply chain solutions, across four sectors: efulfilment; Grocery & Consumer; General Merchandise; and Public & Industrial.

With almost 100 years’ heritage, Wincanton’s 20,300-strong team operates from more than 170 sites across the country, responsible for 8,500 vehicles. For FY23, Wincanton generated revenue of £1,462 million, underlying EBITDA of £121.9 million.

GXO Trumps CEVA

CMA CGM provided this statement to Logistics Business:

On 19 January 2024, the boards of directors of Wincanton plc (“Wincanton”) and CEVA Logistics UK Rose Limited (“CEVA”), a wholly-owned subsidiary of CEVA Logistics S.A. (“CEVA Logistics”), itself a subsidiary of CMA CGM S.A. (“CMA CGM”), made an announcement pursuant to Rule 2.7 of the Code that they had reached agreement on the terms and conditions of a recommended cash offer for the entire issued and to be issued ordinary share capital of Wincanton by CEVA (the “Acquisition”), to be implemented by means of a scheme of arrangement under Part 26 of the Companies Act 2006 (the “Scheme”).

The scheme document in respect of the Acquisition (the “Scheme Document”) was published and made available to Wincanton Shareholders on 15 February 2024. A supplementary announcement to the Scheme Document was then published on 26 February 2024 pursuant to which CEVA announced the terms of an Increased and Final Offer (as defined therein) (the “Supplementary Scheme Announcement”). CEVA reserved the right to increase the Increased and Final Offer Price (as defined in the Supplementary Scheme Announcement) if a competing offer was made for Wincanton.

On 29 February 2024 a competing offer was announced for Wincanton. On 1 March 2024 the Wincanton Directors announced that they no longer recommend the Increased and Final Offer.
Following the Wincanton Directors’ change in recommendation, in accordance with Note 2 on Rule 32.2 of the Takeover Code, CEVA confirms that it will not set aside the no price increase statement in the Supplementary Scheme Announcement. Furthermore, CEVA will not switch to a takeover offer (as defined in section 974 of the Companies Act 2006) in respect of Wincanton. It is CEVA’s intention that the Increased and Final Offer will lapse in due course.

CEVA felt that the Increased and Final Offer represented a very attractive opportunity for all Wincanton stakeholders, notably its employees, clients and the Wincanton Shareholders.
As a global leader, CMA CGM will continue deploying its growth roadmap, leveraging its clear business strategy and very robust balance sheet, while always maintaining a clear focus on value creation with financial discipline in any acquisition.

CEVA Logistics and CMA CGM are committed to serving their clients and growing their presence in the United Kingdom which remains a core market for the CMA CGM group.
This announcement should be read in conjunction with the Scheme Document and the Supplementary Scheme Announcement. Capitalised terms used but not defined in this announcement have the meanings given to them in the Scheme Document.

Wincanton chairman, Sir Martin Read, said: “Under the current management team, we have made positive progress and ensured that Wincanton is at the forefront of logistics innovation. The board of Wincanton is pleased that GXO recognises the very significant value inherent in this business and intends to recommend the offer to shareholders for their consideration.”

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Bolloré Logistics Sold to CMA CGM

The Bolloré Group and the CMA CGM Group announce the completion today of the sale of 100 % of Bolloré Logistics to CMA CGM, it being specified that the transfer of Bolloré Logistics Sweden AB to the CMA CGM Group remains subject to the latter obtaining foreign investment clearance in Sweden.

The purchase price is €4.85 billion euros, on the basis of the estimated debt and cash on the completion date.

As a leading transport and logistics company in France, and one of the main players in the sector worldwide, Bolloré Logistics achieved in 2022 a turnover of 7.1 billion euros, transported 710,000 TEUs of ocean freight and 390,000 tons of air freight, along with a storage capacity of 900,000 m2.

This is CMA CGM’s largest acquisition since its creation in 1978 and constitutes a major step in the CMA CGM Group’s logistics development strategy, complementing its historical maritime transport line of business.

Takeover Deal

Rodolphe Saadé, CEO and Chairman of the CMA CGM Group, declared: “I would like to thank the Bolloré Group for the trustful dialogue we have established over the last few months to successfully finalize this acquisition. Within the CMA CGM Group, we are proud to welcome a French flagship built on years of work and experience. The new entity, made up of CEVA and Bolloré Logistics, is the world’s number 5 in its sector. We will now be able to offer our customers a complete range of services and extend our expertise to new businesses. On behalf of the CMA CGM Group and my family, I would like to welcome the 14,000 employees who are joining us today. Together, we will combine our talents and accelerate our development.”

Mr. Cyrille Bolloré, CEO and Chairman of the Bolloré Group, added: “This is the beginning of a new chapter for Bolloré Logistics’ employees. I am very pleased that they are joining the CMA CGM Group and the Saadé family. They will bring unique expertise and know-how, which have long made the pride of the Group and which will be the pride of CMA CGM tomorrow. It is also a great opportunity for our customers around the world and I would like to take this opportunity to thank them for their trust and loyalty”.

Read more

CMA CGM in Exclusive Negotiations to Acquire Bolloré

 

Packaging Machines Debut at LogiMAT

Hugo Beck is underlining its position as a leading innovator in horizontal film and paper packaging solutions with the debut of three machines on Booth 4F66 in Hall 4 at LogiMAT, held at the Stuttgart Trade Fair Centre in Germany from March 19 – 21st.

As Europe’s biggest intralogistics exhibition, LogiMAT serves as an ideal platform for Hugo Beck to showcase its expertise in meeting industry-specific requirements with innovative, fully automatic film and paper packaging machinery. Though designed for varying business scales and products, each of the three machine solutions on display are united in demonstrating Hugo Beck’s ability to deliver effective packing of products in a way that is fast, efficient and sustainable.

On display is the flexo 700 e-com – Hugo beck’s entry level model for e-commerce, mail order and logistics. Automatically adjusting the film bags to match the product’s length and optionally also width, the flexo 700 e-com produces precise fitting shipping bags with the lowest possible material use. Suitable for the direct dispatch of individual goods, packing groups of products, or meeting the complex requirements of returned goods packaging, the machine processes various film types with different thicknesses, including recycled content films and recyclable mono-material films. Noteworthy features also include the ability to add an easy-opening perforation to the bags and insert a double-sided adhesive tape for re-sealing – an asset for handling returns seamlessly.

In addition, Hugo Beck introduces the paper packaging machine paper X e-com to LogiMAT audiences, renowned for its continuous packaging process, thus maximising efficiencies by ensuring that there is no downtime when sealing or glueing. Handling uncoated and coated paper for e-commerce packaging applications, the paper X e-com enables the use of sustainable packaging materials, whilst individually adapting the shipping bags to varying product lengths.

Packaging Machines Debut

The servo X 800 will also be making its debut on the Hugo Beck booth – a form fill and seal machine which sets standards in the horizontal large-format sector. With maximum modularity and flexibility, servo X 800 machines ensure the packaging of large items such as trays, multipack items, boxes or even car tyres ready for quick, easy and secure transportation. Its capabilities extend to handling thick film types through to ultra-thin films – with its extremely tight-fitting and precise packaging saving up to 15% in film usage.

Timo Kollmann, Managing Director at Hugo Beck, said, “The debut of three previously unseen machines at LogiMAT 2024 underscores Hugo Beck’s commitment to more automation and solutions addressing the most diverse needs of businesses in the e-commerce, mail order and logistics sectors. Each machine provides our customers with a competitive edge in their packaging processes, delivering efficiency, sustainability, and flexibility.”

Hugo Beck invites LogiMAT attendees to visit their Booth 4F66 in Hall 4 to see live demonstrations of its packaging solutions.

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Hugo Beck Showcases Ecommerce Packaging

 

Tailored Drive System Solutions

ABM will present complete drive solutions for a wide range of intralogistics applications at the upcoming LogiMAT in Stuttgart (19–21 March) in Hall 3 at Booth 3B15. The system supplier tailors the drive solutions in close cooperation with the customer to his unique application and requirements – while maintaining a strong focus on ensuring sustainability and efficiency of the proposed drive package.

As a full-service provider, ABM develops and manufactures drive systems for stationary and mobile applications in all areas of intralogistics. In electric buses or trucks they are used, for example, for auxiliary units such as hydraulic pumps, air compressors and cooling fans. They are also installed in pallet trucks, forklift trucks and automated guided vehicles (AGVs) as well as in container and pallet conveyors, cranes and industrial doors. The system solutions consist of motors, gearboxes, brakes and inverters – selectively for mains or battery power supply.

Drive Components for Traction, Lifting and Steering

ABM offers all drive solutions for driving, lifting and steering of forklift trucks as a single source. The motors, gearboxes and inverters comply with strict environmental requirements, are safe and are extremely responsive for precise movements even at low speeds. One of the available drive options are the two stage bevel gearbox units of the series TDB. These drive units come with plug-and-play capability for easy integration and are both powerful and energy-efficient. They offer high power densities at optimum efficiencies. The compact series is available with manual or individual steering as well as with integrated electric steering drive.

The drive specialist will present the TDH series electric-steering hub-wheel drive units with inverters for AGVs, pallet jacks, cleaning machines, industrial trucks or track-bound vehicles. These units are compact, robust and capable of handling high static and dynamic wheel loads. For the motor control specific sensors that record speed, rotor position and temperature are included.

Driven with High Energy Efficiency

The wide product range includes induction motors as well as the sustainable and high-efficiency Sinochron motors. Because Sinochron motors already meet the requirements of premium energy efficiency class IE5, users do not have to worry about compliance with legal regulations. The synchronous motor has a compact design and can easily be integrated into systems. With the unique feature sensorless control, the inverter calculates the rotor speed and the instantaneous rotor angle from electrical feedback. With this data, the currents for torque generation can be fed precisely to the motor. The motor can be optimally controlled over a wide speed range with a high starting torque – without the need for expensive sensors.

The comprehensive product range also contains helical gearboxes with torques from 30 to 2000 Nm, parallel shaft gearboxes with 50 to 2300 Nm and angular gearboxes with 60 to 450 Nm. They can be supplied with flanges, solid shafts or hollow shafts. Also available are brakes and sensors.

Via an intelligent modular system, the provider can adapt the various gearbox configurations to the respective application and rapidly deliver a drive solution with high cost efficiency with regard to functionality and efficiency. ABM also offers industry-tailored concepts. For special applications, ABM can also develop completely new system solutions as partners in close cooperation with customers.

Integrated Drive System for Accumulation Roller Conveyors

One innovation example is the highly integrated drive system for accumulation roller conveyors. During development focus was placed on compactness, maximum efficiency and cost. Efficient and dynamic motors are installed as direct drives for small loads. For higher loads – such as in pallet conveyors – the drives can be combined with angular, helical or parallel shaft gearboxes. Added to that is an inverter series designed especially for intralogistics applications. This series is available in three sizes with power outputs of up to 2.2 kW and a high overload capacity of 250 per cent. With the series, ABM covers all common applications in container and pallet conveyor systems. And because most drives in intralogistics only operate at part load, the Sinochron motor with sensorless control are the perfect match.

Externally Excited Motor

An externally excited motor for e-mobility, which is still under development at ABM, is also sustainable and efficient. At its booth, ABM will offer an early look at the innovation, which is completely free of rare earth magnets. The good field weakening behaviour mirrors the torque/speed requirements for traction drives, because they can be controlled more efficient and variable. ABM supplies drive solutions for intralogistics as a single source. The customer receives a tailored, installation-optimized, highly energy-efficient solution for the given application. With this, ABM continues to pursue its goal of delivering high-quality, reliable drive solutions and as a partner supporting its customers with engineering and manufacturing expertise.

Read more here:

Drive Specialist ABM Greiffenberger to Display at LogiMAT

 

 

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