GKN chooses AR Racking for Spanish plant

GKN Ayra Servicio, a subsidiary of the global leader in propulsion systems GKN Automotive, has chosen the storage systems specialist AR Racking as the industrial racking supplier for the warehouse at its plant in Carcastillo (Navarre, Spain).

With its headquarters in Birmingham (England), the multinational GKN has made a strategic investment in its factory in Navarre to become a leading plant in spare parts for automotive transmission systems in Europe, and to triple its sales in the short term. GKN therefore turned to AR Racking to install industrial racking to achieve a logistics operation that would maximise warehouse efficiency.

AR Racking has installed a combination of several storage systems adapted to the different volumes and rotation of products that GKN works with at the Carcastillo plant.

The pallet load will be stored on very narrow aisle (VNA) racking, with a storage capacity of up to 5,696 pallets. This system is an adaptation of the adjustable pallet racking system, but compacted by the narrowing of the work aisles, which creates a high-density storage system that helps to increase the warehouse capacity but without expanding the space.

For the manual storage of GKN’s smaller spare parts and for their handling using picking solutions, AR Racking has installed 2164.5 linear metres of longspan shelving. It is very versatile racking that adapts to all types of unit loads and that facilitates access to products stored directly and immediately. In addition, for long and higher volume loads, AR Racking has implemented a solution with cantilever racking that covers a total of 166.5 linear metres. It is a system that offers excellent goods handling mobility.

AR Racking has also installed a mezzanine floor on two levels for a light shelving warehouse. The mezzanine floor covers a total of 1,809 sq m and is a storage solution that helps increase useful area at height.

“AR Racking’s storage systems meet the strictest European quality standards. What’s more, equipping the warehouse just as we had planned proved to be an agile and smooth process,” stated Pablo Hernando, GKN Project Manager.

Xabier Rica, AR Racking Sales Representative and project manager, added: “We are convinced that GKN will be able to achieve greater competitiveness with the industrial racking installed and therefore improve its logistics operations.”

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Geek+ implements first moving solutions project in Italy

Geek+, a global AMR leader, and Italian third-party logistics provider Life365 have announced the deployment of moving robots to expedite operations. Based in Forlì, an important logistics hub in the heart of Romagna, Life365 has more than 20 years’ experience in the field. The company has chosen Geek+’s automation to advance its business and take on larger competitors.

The solution Geek+ developed to handle operations in Life365’s warehouse revolves around a fleet of M200C moving robots that transfer office supplies smartphones, and other high-tech products through the facility and on their way to customers around Italy. The M-series moving robots serve largely the same purpose as old conveyor systems, but have made these obsolete thanks to the far superior flexibility that AMRs provide.

Summer Su, project manager at Life365, said: “We are devoted to the best technology available and using it to the fullest. Geek+’s moving robots represent the leading-edge in their field and allow us to continue to provide top-level service to our clients. We believe warehouse automation is the logical next step for Life365.”

Xin Yang, Sales Manager Southern Europe at Geek+, said: “This set-up, involving so many of our moving robots, is the first of its kind in Italy and demonstrates the versatility of our AMRs. The rapid implementation and fast return on investment of our AMR solutions provide a useful leg up in booming industries like e-commerce, and we are delighted to help independent retailers like Life365.”

Life365’s success comes from building a bridge between Asia and Europe to furnish their clients with the most advanced technological products. Geek+ considers itself a natural partner in this mission and is proud to be part of that story and serve that purpose. Geek+ looks forward to pursuing its own mission of moving the world intelligently and helping Life365 and others like them achieve their goals.

Open pallet pooling drives efficiency amid margin pressure

Businesses across the world are struggling with a series of major crises in their supply chains, which are restricting availability and pushing costs up. Companies that supply goods, from food and drink to pharmaceuticals, can make savings and increase efficiency by making the right choice of pallet system.

In the wake of COVID, supply chains around the world are facing an unparalleled challenge caused by a combination of several issues. These include a shipping crisis, which has severely restricted availability of containers in many regions and pushed prices up to unprecedented levels around the world; intense post-lockdown competition for resources to service pent-up demand; raw material price hikes and volatility; marked energy price rises; and, in Europe, increased admin, time and cost following the completion of Brexit at the beginning of 2021. The war in Ukraine has intensified these issues further.

The situation has caused extreme pressure for businesses, requiring them to develop more adaptable and responsive strategies to cope with the changeable marketplace and, amid severe competition, squeezing their margins.

Against this background, most companies are examining their operations to make them as efficient and straightforward as possible. This means looking for transparency and reliability from their supplier partners, seeking new approaches that allow them to maintain quality, while reducing costs and increasing their all-round efficiency.

With logistics costs a major squeeze point, many businesses are investigating more financially effective ways of organising this part of their operations. This includes considering alternative supply chain models to buying pallets for transporting goods.

Maximising efficiency in pallet use is an important cornerstone in a well-run supply chain – and closed and open pooling systems both create advantages for companies using them over outright purchase of the pallets.

Closed pallet pooling is run by independent companies that own and manage a ‘pool’ of pallets, renting them to supply chain users and collecting, and maintaining and repairing them for continual reuse.

In open pallet pooling, meanwhile, companies buy pallets, and they then remain an asset until they are resold to their customer as part of the transactions for the goods they are purchasing – or exchanged for an empty pallet of equivalent value on arrival at their destination.

EPAL runs the largest open pallet pool in the world, which was founded in 1991 and now has more than 600 million EPAL Euro pallets and 20 million EPAL box pallets in circulation. Pallets are shared and reused within a network that consists of producers, manufacturers, distributors, retailers and other receiving locations, transporters, logistics service providers (LSPs) and service centres.

The size of the pool underpins its success – as this drives efficiency and means that at most delivery locations in Europe, there will be empty EPAL pallets to exchange for those bringing in the goods. The system works by exchanging pallets between the goods recipient and EPAL load carrier, reducing the costs associated with reloading. EPAL supports this process with practical handling advice.

The pool also gives companies using it access to an international network of more than 1,500 licenced pallet repairers in more than 30 countries; so damaged pallets can be collected and reconditioned/repaired before they are returned for reuse in the supply chain.

EPAL specifies repaired pallets ‘as new’, so a repaired, reused pallet guarantees the same strength – safe for loads of up to 1.25 tonnes -as a new one on its first trip. This is essential, particularly to users in high value supply chains, such as pharmaceuticals or alcoholic drinks.

All new and reconditioned EPAL pallets are manufactured from sustainable timber sources and treated to ISPM15 certified plant heath levels as standard, making them legally compliant for post-Brexit movement between the EU and UK markets, and across all international borders.

The simplicity of this open pooling allows logistics companies to focus on their core business and keep logistics low cost and straightforward. Meanwhile, the fact the open system has repair and reuse at its core make using it an important addition to companies’ sustainability efforts as they seek meet new regulatory requirements that encourage circular economic activity. These include the Extended Producer Responsibility Regulations (2024), and the UK 2050 net zero target and interim target of a 78% reduction on 1990 levels by 2035.

Added to these, pallets that are manufactured from wood are still the most economic option. While the current climate has pushed the price of timber up, other raw materials have seen price rises, too. This, together with the above advantages of the open pooling model will be a decisive factor for many goods businesses as they seek to drive efficiency and cost savings in the post-pandemic world.

 

Mitsubishi Logisnext acquires Red Diamond

Mitsubishi Logisnext Europe B.V. (MLE) has acquired all shares of Red Diamond Distribution Ltd (RDD) in an amicable takeover that will see both companies working closely together in order to drive the expansion of the Mitsubishi Forklift Trucks brand in the UK.

Hans Seijger, Chief Business Development Officer at MLE, explained: “With this step, our company is demonstrating its commitment to growth in key markets such as the UK. Our strategy is to invest and strengthen our network by working with trusted partners, such as RDD who have a project we fully believe in.

“We want to continue that process, moving one step closer to our dealers and building upon the great work that RDD has done in more than doubling our market share over the past nine years. We are hugely respectful of the excellent job that everyone has done throughout this period and want, in particular, to thank Mike Jones, Stewart Gosling, Ben Haseley and Sally Stanley for their contribution to building the business and for their close cooperation during the acquisition process.

“I think it is important to emphasise we are not making drastic changes – we want to develop not disrupt.”

All members of the RDD team will continue in their positions, the only change being that Ben Haseley will replace Mike Jones as Managing Director with Mike supporting the transition as a consultant over the coming months. The move will also see Hans Seijger and Jonas Tornerefelt, Chief Commercial Officer at MLE, join Ben on the RDD Board.

“I’m proud and delighted to be taking on this new challenge,” said Ben Haseley. “I can see potential for strong growth with a highly experienced team here at RDD and a formidable dealer network which is totally committed to the Mitsubishi Forklift Trucks product.”

According to President of MLE, Kazumasa Saito: “We have great faith in the business model created by RDD which has proved so successful. Our aim in making this acquisition is to be even closer to our dealers and increase our footprint in the UK by building upon the existing strong foundations we have already established.

“The acquisition is part of MLE’s strategic decision to enhance the existing market presence in key markets and meets the plans of growth of our parent company, Mitsubishi Logisnext Co. Ltd. We are very thankful to ML for sharing our vision and for supporting us in this very important moment.”

 

VR system simulates vertical storage space

Vertical storage lift company Randex is launching a virtual reality (VR) system that simulates vertical storage space and performance. The ‘Randex VR’ system, for which the company is claiming an industry first, uses VR and BIM (building information modelling) technology to graphically test and demonstrate in-building vertical storage lift location and the picking throughput that the Randex Compact vertical lift supports.

Randex VR generates digital models that show best machine fit and the optimum picking speeds that can be achieved in a ‘what if?’ scenario. The technology is already being piloted by a Scottish manufacturer.

Commenting on the launch, Randex director James Roberts, says: “Randex VR is the first system of its kind in this market. Its advanced space and performance planning capabilities will save industry time and money as well as giving automated vertical storage users a competitive edge.”

Compact vertical storage lifts save up to 90% of floor space compared to standard shelving and pallet racking, says Randex. They can manage loads of up to 1.5 tonnes per storage tray and allow warehouse operatives to complete up to four times more picks than in a conventional warehouse environment, with goods automatically presented to the picker.

Compact vertical storage lifts can now be integrated with over 20 leading enterprise systems including IBM Maximo, SAP, JDA, Red Prairie and Blue Yonder.

Randex Ltd is the sole UK distributor for Compact Vertical Storage Lifts manufactured in Sweden by Weland Solutions, a member of the privately-owned global group Weland AB. Randex customers include Bombardier, DHL, Fujifilm, Howdens, Hutchison Ports, Jaguar Land Rover, Ministry of Defence, P&G, Pfizer, Rolls Royce and Specsavers.

Cimcorp automation helps modernise intralogistics

Intralogistics system integrator Cimcorp will be exhibiting at LogiMAT, which takes place from 31st May to 2nd June in Stuttgart. The global company will demonstrate its holistic solutions to ramp up the intralogistics of major players in the food retail industry.

Cimcorp says it meets customers’ supply chain challenges by integrating its advanced robotic technologies and software with leading-edge material handling systems.

Netto Marken-Discount automated logistics centre

German food retailer Netto Marken-Discount, boasting the largest range of groceries in the discount segment, is automating its logistics for fresh produce with Cimcorp, making Netto the very first German retailer to use this system.

“Getting fresh fruit and vegetables from producers to the retail floor is an absolute race against the clock,” says Christina Stylianou, Head of Corporate Communications at Netto Marken-Discount. “In many cases, only a few hours pass between receipt at our logistics centres and delivery to our stores. In Cimcorp, we have found a service provider to supply us with a solution for fully automated order picking of ergonomically packed fruit and vegetable pallets, a solution that meets the requirements of our stores – fast, reliably and cost-effectively.”

If the system is successfully commissioned, the retailer plans to implement additional automated logistics systems at its other storage locations. Cimcorp has already successfully deployed automated facilities in the fruit and vegetable sector in other European countries.

Freshness is paramount

Cimcorp solutions are designed to speed up warehouse operations, which is vital for perishable food items in order to maximise their freshness.

“Freshness is synonymous with quality in grocery retail,” explains Kai Tuomisaari, Cimcorp’s VP, Sales. “With limited sales windows for fresh food, faster order processing means that freshness is maximised at the retail store, giving a longer shelf life for perishable products.”

With fresh food, especially perishables, time is essential. The faster products can be delivered to stores, the longer they will be on sale – resulting in more profit.

Automated systems fulfil orders in stages so new products can arrive and be picked immediately to guarantee freshness. Cimcorp’s solutions are designed to meet the modern demands of distribution, including shorter lead times, SKU proliferation and challenging seasonal peaks amid labour shortages. The company has developed unique order fulfilment and storage solutions for the tyre, food and beverage, retail, e-commerce, fast-moving consumer goods (FMCG) and postal services industries.

Meet the team at LogiMAT

Visitors to LogiMAT are invited to discover more about Cimcorp automation for warehouse and distribution applications and book a meeting with the Cimcorp team at the company’s booths (Hall 1 #1B81 & Hall 1 Gallery #1OG90).

 

Hyster expands range with affordable pallet truck

Hyster has expanded its range of warehouse equipment with the efficient new P1.6UT pedestrian pallet truck. Designed to be affordable to own, easy to maintain and fit for many applications, the new Hyster pallet truck can lift loads up to 1.6 tonnes.

The slimline and lightweight model is easy to manoeuvre, is stable with good gradeability, and has all the core functionality needed for applications such as last-mile deliveries or back-of-store use.

As well as delivering a low cost of operation, the Hyster P1.6UT Pedestrian Pallet Truck offers competitive energy consumption with a shift life of up to 12 hours thanks to a combination of a powerful battery and motor. Standard warranty and service intervals apply.

The new Pallet Truck is simple to use for operators, with the same controls as found on other Hyster warehouse equipment and features a long tiller arm and butterfly accelerator direction controls.

Alongside the optimum features as standard, a range of options enable applications to tailor the truck further to their application needs. For instance, tandem load wheels, onboard charger, auto switch-off and travel speed reduction as battery charge decreases.

“With the new P1.6UT, businesses can benefit from an efficient pallet truck that meets the need and makes the move,” says Daniel McNeil, SPED and Solutions Manager, Hyster Europe. “When matched with the right operating intensity, whether you’re filling supermarket shelves, stocking a storeroom, or unloading deliveries from a lorry you can expect a low cost of ownership and affordable efficiency.”

The Hyster P1.6UT is available to order now from the global network of local Hyster distribution partners.

 

Hoppecke helps tackle rising MHE energy costs

Once again, businesses that rely on materials handling equipment (MHE) must get to grips with rising energy costs. Against a backdrop of global supply issues, new legislation and spiralling energy prices, Hoppecke is offering to help UK businesses that rely on MHE to mitigate against rising costs.

As many businesses consider switching from IC engine trucks to an electric-powered fleet, as part of its free energy audit offer, Hoppecke will assess their operation and how it uses equipment to determine the key cost savings to be made using the latest battery technology.

Meanwhile, new UK government legislation, introduced on 1st April 2022, has seen all non-agricultural businesses banned from using red diesel to power their machines, also leading to bigger energy bills. This comes at a time when unprecedented global increases in the cost of white diesel, and in turn LPG gas, are set to send energy costs spiralling ever higher.

Gus Whyte, Sales Director UK and Ireland at Hoppecke, says: “Standard lead acid batteries will suit some operations, whilst others will benefit from lithium-powered systems or other battery technologies that require regular opportunity charging. However, the big issue is recharging and electricity supply costs.

“The world energy market is changing from week to week so we’ve no idea about likely increases. Therefore, irrespective of the technology you choose, it’s vital to appreciate the costs involved in recharging batteries.”

Two key considerations govern the recharging of electric MHE: the amount of power the machine draws during operation and the charger’s percentage of inefficiency. With lithium batteries and regular opportunity charging, the amount of energy returned determines the cost of this energy replacement. It’s also influenced by the kilowatt unit cost of electricity when drawn from the AC mains supply.

Accessing low-cost energy will keep costs down. This means using off-peak time electricity, usually available between 22.00 and 06.00, to your advantage. It’s important because it can cost 28-32% less than electricity consumed at peak rate.

Employing the latest technology also helps to reduce energy bills. For example, Hoppecke say its high efficiency TCHF smart charger is 23% more efficient than a standard low frequency charger, whilst adding the company’s Trak-Air system delivers a further 11% efficiency.

For added flexibility, there’s the TCHF and TCHF Trak-Air system weekly planner. This allows charges to be pre-set individually for every day of the week. No matter what time the charger is connected to the battery, it only operates within the pre-set times, enabling businesses to benefit from full use of lower cost electricity.

Whyte adds: “After the challenges of Brexit and the Covid-19 pandemic this is an especially difficult time for logistics businesses. We’re committed to helping them really understand their energy needs so they can invest in an MHE fleet that will deliver efficiencies as well as key cost savings.”

Warehouse safety around the globe

Designed-in safety, increased levels of driver training, and implementation of operational guidelines have reached such maturity that it is easy to forget that the forklift is still a significant cause of workplace injuries and accidents. In addition, the demands placed on forklift operators to perform with greater haste and efficiency means both goods and personnel are vulnerable to damage caused by sudden braking, driver blind spots and unstable loads.

One company aiming to herp reduce damage and injury in the warehouse is GenieGrips, an Australian manufacturer of products aimed at ensuring forklift loads are safe, secure and stable. At the recent MODEX trade event in Atlanta, Logistics Business caught up with Louise Inglese, Founder & CEO of GenieGrips Pty Ltd, to find out more about her growing international business.

Logistics Business (LB): Why is it important for GenieGrips to be at exhibitions such as MODEX?

Louise Inglese (LI): It is a very long flight! But we know we have to come to expos to promote our products because you need to demonstrate it for people to really get it. I could send a brochure, but it’s never going to be the same. When we’re face to face, people get to feel it and touch it and get the full sense of how safe they are and how solid they are, their quality

The expos themselves are a really good opportunity to build relationships. I might see the same customer I saw two years ago, and then I get to see them again, and it’s almost like a drip feed process – they see me again, they see me again… So they know we’re going to be around. If I went to one expo and then didn’t turn up to the next one, they’d be wondering why I wasn’t there and they’d be thinking “oh, there’s something wrong with GenieGrips now”. So you have to be seen face to face.

LB: Being based in Australia, how do you conduct your international business?

LI: We have a warehouse in LA in the US, and we know we need to have a local presence like that. We work with FreeCall numbers both here in the US, in Europe and in the UK, and we have a warehouse in the Netherlands. Obviously, because of Brexit, we have also had to set up a warehouse in the UK because we could no longer service that market out of the Netherlands. The paperwork was too much; it was much easier for us to set up a third warehouse in the UK, than to service that market from the Netherlands.

LB: What are your aspirations for Genie Grips?

LI: 90% of our business is export, with only 10% of our sales in Australia. 75% of that 90% are our US customers, and that was an easy market for us to come into because there is no language barrier. The safety standards in the US are similar to those in Australia, so they get the safety side of it. Now we have a bigger challenge when we go into Europe, because we have a language barrier. So it’s great to do those expos, but we really need to get a bigger market share in Europe because we haven’t tapped that market successfully enough as yet.

LB: Do you see yourself as an international operation?

IB: Yes, it’s just a bigger market share. With only 25 million people in Australia, that’s nothing compared to the populations on the other continents, so having that presence internationally and those warehouses, that’s where we need to keep going. We would like to get more into South America, and also into the Middle East and Africa as well.

LB: What are the benefits of GenieGrips vs. rival products?

IB: Because we manufacture our products ourselves in Melbourne, we have complete control over the quality. We can change designs, develop new products, and the more customers we get, the more [challenges they are having] and wanting to talk to us about solving. That way we’re able to develop more products. So we started with the Mats, then we had a customer who wanted the Caps, so we worked with them to develop that. Then we had a customer saying they wanted the Cushions for the uprights. So, the more we talk, the more products we develop. Then, this year at MODEX we have the new Stik-It Pads, because people wanted a product that sat inside the actual footprint of the tyne itself.

Some of our rivals make [their products] out of plastic. Now rubber is such a unique compound to use. It wears well, it’s softer, it copes with harsher weather, it copes with higher and lower temperatures, so having that rubber base of our products is what keeps us ahead of our competitors.

LB: Are you affected by risks that come with international shipping?

LI: Shipping has been a challenge over the past couple of years, and it’s our pain, being an Australian manufacturer, that we have to allow for shipping into our costings and times, etc.

LB: What is the company’s commitment to customer service?

IB: We’re a family business, and our parent company has been going for over 40 years, so we have all that experience behind us. As Australians, we love customer service, so that’s our #1 priority. We also have FreeCall numbers in each country, so that enables customers to ring directly and always have someone to talk to. So, even in our sleepy hours we have an answering service that makes it possible for us to call back as soon as we wake up.

LB: Thank you for talking to Logistics Business, and good luck with your future plans.

 

Utz Group celebrates diamond anniversary

The Utz Group, a global market leader for returnable packaging, is marking its 75th anniversary this year. With a special 75-year logo, the company is celebrating its growth from humble beginnings in Switzerland into a thriving, international business that manufactures over 20 million products a year.

“Our 75th anniversary is a great time to indulge in a little nostalgia,” commented Russell Evans, General Manager of Georg Utz Ltd, “and also to look forward to the future. Along with the whole team at our UK facility in Alfreton, Derbyshire, I’m very proud to be a part of such a dynamic and growing company.”

Production of the zigzag device for sewing machines, circa 1955
Production of the zigzag device for sewing machines, circa 1955

At this major milestone, the Utz group continues to demonstrate the spirit of innovation instilled by its founder. Even with the foresight and determination that helped him to found the company, Georg Utz could not have predicted that, 75 years later, some 1,500 people would be employed by a company bearing his name.

Founded as a toolmaking firm called ‘Georg Utz Werkzeug- und Apparatebau’ in Zurich in May 1947, the company began to focus on manufacturing a zigzag device for sewing machines that Georg had developed himself. This patented product enabled the fledgling business to flourish, with well-known sewing machine manufacturers, including Singer, among its customers. In 1953 Georg moved the company – now named Georg Utz AG and with 16 employees – to larger premises in Bremgarten.

It is often in challenging times that true character is revealed. In 1958, demand for the Utz zigzag device collapsed abruptly when sewing machines with integrated zigzag stitching came onto the market. Fortunately, Georg had installed an injection-moulding machine to produce the packaging for the zigzag apparatus and he could see its potential to transform the packaging market. With his entrepreneurial drive, he was able to turn his vision into reality, producing plastic products for both household and industrial use.

The RAKO: a game changer in logistics

Using the largest injection-moulding machine in Switzerland, Georg Utz AG began to focus its business on storage and transport containers produced from plastic instead of the traditional metal. The RAKO container – short for its innovative RAhmenKOnstruktion (frame construction) – was launched in 1965 and the product range continued to expand.

In the early 1970s, the development of customer-specific containers was added – the foundation stone for the current core business. Today, close co-operation with customers results in a constant stream of new products to meet their varied logistics requirements.

Another innovation for Utz came when its plastics recycling plant was put into operation in the late 1970s. Sustainability, reusable solutions and recycling at the end of the product life cycle are part of the DNA for Utz. As the company expanded, subsidiaries were established abroad. The first was in Germany in 1971, followed by Great Britain (1990 – pictured), France (1992), Poland (1997), USA (2003), China (2005) and Mexico (2017).

Today, Utz employs almost a hundred times more people than the 16 who worked in the Zurich workshop all those years ago. Despite huge growth, the past and present companies have many similarities: the spirit of innovation, the commitment to supplying the highest quality products and the culture of a family business.

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Focus on people drives success for Utz Group

 

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