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Tag: wms

Find your Warehouse Rhythm

Posted on by David Priestman

Koerber Supply Chain’s ‘Elevate’ event in Prague was an opportunity to discover how software and technology address the unprecedented complexity in logistics. David Priestman reports.
End-to-end connectivity, digitization and visibility are the goals for many supply chain managers. Multinational corporations generally consider supply chains to be ‘mission critical’ nowadays. A supply chain is a collaborative function, but only as strong as its weakest link. While major suppliers like Koerber provide warehouse automation, warehouse management software (WMS), order management systems (OMS) and much more, however, it is estimated that one third of warehouses still operate manually.

Michael Brandl, Executive VP EMEA for Koerber Supply Chain, told the conference that the company’s objective is to become the global supply chain management (SCM) leader. Reporting a revenue increase of 27%, 117 new customers and a 20% rise in staff over the last year, he is bullish, unveiling two new product lines: Transport Spend Optimisation and OMS. Emphasizing the importance of adaptability, reliability, speed and cost in project management, he forecasts further growth in retail micro-fulfilment, challenges in recruiting and retaining warehouse workers and a need to improve environmental, social and governance (ESG) outcomes for customers. A ‘unified control system’ to orchestrate and optimise supply chain technology, IT and staff is Brandl’s vision.

More than a Game

“Koerber aim to help our customers keep their consumers happy and be repeat buyers,” Sean Elliott, EVP and Chief Technology Officer told me. “The line between success and failure is as thin as a cardboard box.”

One new concept is supply chain ‘gamification’. Koerber, together with Vaibe, provides a solution based on success psychology and reward recognition, comprising game-design elements in the workplace and incorporates rewards, challenges, leader-boards and feedback. “How do I make work a game?” Elliott said. “If people have fun they work harder. The more gamification there is in workers’ experience the more engaged the staff are.” This could reduce absenteeism and increase retention rates. It can be integrated into any application – such as in voice-directed technology, where staff much prefer to be hands-free and have less screen time.

“We are not a house of brands,” Anton Du Preez, EVP Sales EMEA stated. After a plethora of acquisitions, which might not be complete, including HighJump, Inconso, Voiteq, Cirrus, Aberle, Langhammer, Univeyor, Efacec and Siemens’ parcel conveyors, the Koerber name is the only one used, specifically Koerber Supply Chain. “We intend to be a supply chain champion globally,” he declared. The company is looking to extend its software offerings to include planning and more TMS (transport management). “We help move boxes, so planning and transport are key areas of interest to us,” Du Preez said.

Orchestration Conquers Complexity

Supply chains have become more complex in recent years and there are many ways in which that is being tackled: nearshoring, increasing inventory, ‘Just-in-case’ instead of JIT, better energy and natural resource management, optimising packaging use and structural changes to reduce the demand for labour.

“If you’re not investing in robots now you’re already behind the market,” Du Preez declared. Robots typically are replacing unavailable staff, he explained; the ones warehouses cannot find to hire, rather than existing staff. “Warehouse employees enjoy working with bots and automation improves safety,” he added. “There will be consolidation in AMRs and robots. While there’s a need for a variety of types of robot the advantage of the integrator is that they have all the capability and can choose the best subsystem technology, then orchestrate it.”

I asked Du Preez to comment on other key trends in automation. “How to go higher, more vertical is one. The space above 2m is under-used. We can solve this with our solution and robotics. Another issue is the friction between WMS and TMS. Which has priority when an order comes in?” Koerber is trying to find faster outcomes and responsiveness. The company’s IT solutions create demand for its automated materials handling products and vice-versa. “All large projects need software,” he told me, “we have the first referral for the automation.”

What about the notion of the ‘dark warehouse’? “It can work in specific use cases, but I’ve yet to see it going mainstream,” Du Preez responded. “It’s a niche. You run into the challenge of fixed automation and a long ROI. What if there are big changes necessary? You could have too rigid a solution. AMRs are more flexible. We can move the bots to a new site. Not having a ‘warehouse manager’ isn’t practical.”

Elliott added more detail to the concept of ‘orchestration’. “With AMR 1.0 most vendors have a variation in travel time. Orchestration is version 2.0 – dwell time is optimised. How does software make humans work better? What’s the waiting time? When does it make sense to use different brands? One AMR can be better for high SKU DCs, one for low. The integrator is neutral, so as to make the fleet better. Complex sites with multiple warehouse control systems (WCS) not communicating can be improved with one WCS from us. This provides visibility, for example if there’s a blockage we stop the next process.”

Tech Trends

Will conveyors continue to play a key role in warehousing? “The volumes to move around are huge, that would take a lot of robots to move it, especially for pallets and with the collision systems in place,” Du Preez explained. “Conveyors can have just inch gaps, rather than metres. They provide scalability and do the heavy moving. So conveyor usage will continue, but using fewer spurs to the aisles, where the AMRs are good. A ‘stabilisation of conveyance’ will happen. Table-top bots provide an alternative to some sortation and specialist sorters like tilt-tray and shoe-sorters are expensive and not so scalable.”

Koerber’s spokespeople expressed interest in new technologies such as gripper robotics and vision tech. AI, of course, is high on the agenda. It will be utilised in many forms and places. “We must give customers immediate value, for example by using AI for slotting (where to store each product), then expand it product-by-product,” Elliott told me. “Generative AI can query the WMS.”
“AMRs are in a ‘hype cycle’ right now,” Du Preez continued. Koerber have been integrating them for five years. They do what’s necessary, achieving throughput efficiency and we have high confidence in them. There has been a gold rush of entrants to the AMR market so we can evaluate the case studies. But it’s not a big value-add. They have been commoditised, software is more important. AMRs are never used in isolation. The DC is a flow, you have to take into account the whole solution. Dwell time is the key KPI.”

Cost per pick is the value proposition that Koerber are putting forward. “A Unified Control System (UCS) is critical,” Elliott concluded. “Technology solves each piece of the project, but that can lead to fragmentation without a UCS. Customers have the all-consuming job of running their facility. We need a healthy ecosystem of tech and the implementation.”

Mounting Inventory Visibility Challenges add Pressure

Posted on by David Priestman

Today, at its 2023 European Exchange customer conference, Manhattan Associates Inc. (NASDAQ: MANH) announced the findings of its latest international omnichannel research, highlighting how retailers are increasingly digitizing their offering in efforts to improve customer experiences and maintain market share, with inventory visibility being key.

THE CHANGING FACE OF THE STORE

Trending in the right direction, 54% of retailers reported that their customers could buy in-store and return online (50% in 2022), and if the product was out of stock in-store, 48% provided buy online and return in store options (46% in 2022). However, retailers also commented that on average they only had an accurate indication of inventory across their entire operations 70% of the time (down from 74% in 2022).

Shoppers expect all retail touchpoints to be connected, frictionless and increasingly personalised. “If you don’t know where a third of your inventory is, or what it is that you have, that’s a lot of stock that is either not being sold, marked down or at worst thrown away,” commented Henri Seroux, SVP EMEA at Manhattan Associates.

“It’s vital that retailers have solutions with the flexibility and agility to allow them to recognise and act on shifting consumer behaviour in near ‘real-time’. With access to accurate data, retailers can deliver actionable insight into the hands of their associates, enabling them to add value to every customer’s unique path to purchase,” Seroux continued.

FRICTIONLESS COMMERCE MEETS FRICTIONLESS ENGAGEMENT

It is clear consumers are keen to engage actively cross channels when looking to purchase products and 84% will start their buying journey online (82% in 2022). However, 16% (17% in 2022) of retailers still reported that their organisation’s in-store and online operations continue to run as separate functions, suggesting that while year-on-year, more retailers are offering seamless shopping experiences, there is still room for improvement.

In terms of how consumers prefer to engage with retailers before and after buying a product, overall, email (47%) remains the preferred engagement channel, followed by direct in-person contact with the store team (43%). Interestingly, social media is now the preferred channel of engagement for four in ten (40%) consumers, with this preference more likely amongst younger consumers, peaking with the age group 25-34 at 55%.

Natalie Berg, retail analyst, author, and founder of NBK Retail commented: “The research shows retailers are making progress when it comes to seamless omnichannel experiences. As the role of the physical store evolves past simply the transactional, the roles of associates must also develop beyond purely assisting the sale too. Armed with the right technologies and accurate inventory and customer data, store associates have the power to educate, inspire and ultimately create long-lasting brand loyalty, even during times of economic flux.”

PROTECTING POCKETS & THE PLANET

The perception, and at times reality, that green products come at a price premium means that shoppers are deprioritising these purchases in favour of low-cost alternatives with only 45% of consumers considering sustainability an important factor when choosing where to shop, down from 50% last year.

Younger generations are more likely to consider a retailer’s environmental/sustainability efforts compared to older consumers, with 55% of 18–24-year-olds reporting it as a top or important consideration for them. 17% of the 24-35 age bracket went further still and said they would actively avoid retailers if they were not environmentally conscious, compared to only 10% of over 55s saying they would boycott these same brands.

“The future of our planet is not something that we can or should be forced to compromise on as consumers or retailers, yet clearly, in the current economic climate, affordability is taking priority over sustainability. This year’s research highlights how important unification across omnichannel commerce and supply chain is, as an avenue to lessen the economic burden on consumers, but also, as a way to address the longer-term environmental impact unchecked consumerism is having on our planet,” finished Seroux.

Warehouse Tech Driving Growth at Family Firm

Posted on by David Priestman

One of the UK’s top three automotive salvaging and recycling companies is powering forwards with its ambitious five-year growth plan thanks to timely investment in a digital warehouse management system (WMS).

In just 24 months, since first installing SnapFulfil WMS, Dorset-based Charles Trent Ltd has doubled its warehousing space, as well as its stock holding and orders going out – with over 3,000 ‘green’ parts being processed every week – without increasing head count. With operations much more streamlined, efficient, productive and profitable, the company is on track to achieve its predicted turnover of £250 million by 2026.

The family-owned business, which was founded in 1926, has continued to thrive thanks to its forward-thinking attitude to technology. Influenced by Amazon, the firm’s high-tech operation is the only one of its kind in the UK where you can source a particular part online and then have it delivered next day.

Architecturally robust and easily configurable, SnapFulfil was originally selected for Charles Trent’s Holten Heath distribution centre (DC) but has subsequently been onboarded at its new Poole DC, with a combined digitally-driven warehousing space of 75,000 sq.ft. This latest implementation demonstrates the flexibility and configurability of SnapFulfil and its reputation for delivering rapid ROI, industry-leading deployment speed and low total cost of ownership (TCO).

Charles Trent’s Distribution & Operations Manager, Matt Groves, said: “We used to have about 2-3 orders per day going astray within the old system, but full traceability via SnapFulfil is a huge advantage in a variable business such as ours. It’s also about tempo and efficiency, because in receiving goods staff can scan, process, and have them on the shelf in next-to-no-time – and handle 30 at a time without being label reliant. I also like how SnapFulfil, even from a long list of locations, identifies the part by the prefix of the vehicle class, as this means it can be used by staff in both our DCs simultaneously, and at any point in our operations.”

Plans are in place for both facilities to increase from 18 hours daily across two shifts to 24/5, which will massively increase the company’s order processing capacity, again demonstrating the efficiency gains of SnapFulfil.

Looking ahead, Charles Trent is on track to open another four new recycling/distribution centre sites by 2026, in major population centres across the UK. At the heart of its plans will be SnapFulfil which can support rapid scaling of fulfilment processes, as well as quick succession of multiple site facility rollouts.

AI’s Transformative Role in Warehousing

Posted on by Keith McKinley

Everybody is talking about Artificial Intelligence but what are its potential applications for warehousing and supply chain? Edward Napier-Fenning, Sales & Marketing Director of leading supply chain software company Balloon, explores five key areas that can boost performance – including route planning, picking, labour management reporting and data entry.

Quite suddenly, Artificial Intelligence (AI) is everywhere. As with the early days of many other revolutionary technologies, there is a lot of overclaiming, and a lot of what is currently touted as ‘AI-enabled’ is really only a sequence of, admittedly very fast and very clever, algorithms, following logical pathways devised by the humans. The ability to process immense amounts of ‘big data’ at lightning speed is impressive and extremely valuable, but it doesn’t of itself constitute Artificial Intelligence. True AI has the ability to learn from historic data and from current activities, and, in a sense, rewrite its own algorithms.

The pace of development of AI is accelerating and we can already see some key areas in warehousing and logistics where it can be applied.

1. Enhanced route planning

Up to now a driver has set off with a fixed route, perhaps a regular round, or one planned a day or two earlier, and it is up to him/her to work out the best response to an accident, traffic jam or other event as and when these arise. Now, traffic management can be linked in real time to resources such as Google, working out not just the work-around a current problem, but using its learning to predict where the congestion is likely to occur, which strangely often isn’t at the site of the actual incident. This makes a more robust avoidance recommendation and helps keep deliveries to and from the warehouse on schedule.

This approach to route planning can work in tandem with dynamic load building. Currently, there isn’t a full order file at the beginning of the day, or at the point where drivers and routes have to be fixed for the next day’s operations. The route, therefore, may include destinations where there isn’t actually a drop to be made, or leave out drops that could usefully have been made. Intelligent systems can continually replan, modify and optimise the routes as the order profile builds up. That in turn can assist with the next topic, that of efficient order picking, which of course has its own pathing and routeing issues.

2. Efficient picking

A lot of the noise around AI in the supply chain is around issues like inventory and ordering. Improvement here is clearly important, but we have barely begun to touch on how to run the warehouse more efficiently, which is where some really big labour and administration costs lie – as well as potential savings.

Pick path optimisation is a hot topic in warehousing, although at the low end this amounts to little more than putting orders into a sequence and chopping them up into blocks of work. It is nice to be able to do this really quickly, but true AI is beginning to be able to look at the whole situation more intelligently: where goods are in the warehouse, what goods can or cannot be combined on a given trolley or container (and where those containers are), what the priority orders are (which has clear links to the routeing question above), and thus building the most efficient pick routines possible.

AI will be able to improve the choice and operation of picking strategies – and the optimum may differ according to the type of goods, or even the time of day. Strategies are many and varied: for example batch picking, which involves walking a route, picking one SKU at a time for a batch of orders. Or it could be zonal or ‘cluster’ picking where the operator picks all the SKUs in one ‘zone’ for a batch of orders, and the tote (with or without that operative) then moves on to the next zone.

Cluster picking is usually more efficient but does require the layout of goods in the warehouse to be optimised, so that goods most likely to occur in the same orders are grouped together, and the orders to be clustered around similar profiles. It also means that orders aren’t necessarily being picked in strictly chronological order, i.e., according to the departure times of the delivery route, and so are vulnerable to congestion delays, perhaps because of narrow aisles or the need to separate pedestrians from trucks and other machinery.

Working with client Pets Corner, Balloon has been developing a general purpose order clustering model, which can operate as a cloud-based web function. The new technique has accelerated the time taken to pick a wave of orders by 38%. This approach doesn’t strictly use any developed AI, but we can easily see that AI could enable further significant improvements in both the layout and operation of order picking and the selection of the most appropriate strategy for those orders, right now. We are, for example, working on ways by which this approach could be extended to multi-line orders, and to having ‘start points’ for picking routes at different places in the warehouse. That rapidly becomes rather complex, and AI will be very helpful in working things out.

One source of efficiencies is that operations need not be so bound by ‘standard’ processes, which sometimes may not be necessary. A minor example is some work we recently did for Birlea. This firm had a conventional procedure whereby picked goods are given a ‘WMS’ label showing the order to which they are assigned, and sent on for checking and repacking, after which they are given a different ‘carrier’ label. But their furniture items don’t need checking or repacking. It proved possible to eliminate the WMS label for these goods, and reprogramme the SQL so that the system thinks the carrier label is the WMS label it was expecting at this point. That in itself doesn’t require AI, but it is easy to conceive of AI systems that can learn to recognise that for a particular item certain processes are redundant and can be eliminated – without the risk of a human operator making the wrong call.

3. More effective labour management

In current conditions the greatest challenge for increasing efficiency is that of where to allocate scarce and expensive labour. A facility with good Warehouse Management Software (WMS) and other systems should have a great deal of data from end to end: what is happening in receiving, put away, picking, replenishment and so on. That should tell the operator where they need to put their people, but it is complex. A traditional WMS manages this, up to a point, but relies heavily on people creating, inputting and maintaining data, from standard times for elements of work, to who is allowed to perform certain tasks, and so on.

To some extent we are already able to marshal goods, activities and resources more effectively using historical records and current data capture to allow more complex labour management models. But AI could certainly make a further contribution in pulling data from the various different sources and making sense of it.

Effective deployment will become even more important as companies take up the use of robotics in the form of ‘cobots’ – machines working collaboratively with people. This is perhaps particularly pertinent for SMEs, who can increasingly afford this type of automation, and need it to be a lot more flexible than the big ‘goods-to-person’ automated systems operated by large operations. For example, workers could be ‘tagged’ with a Bluetooth device to locate them relative both to the current or intended position of a robot and the position and current status of priority orders, but taking full advantage of this requires intelligent systems.

We don’t see the use of AI to improve labour efficiency as primarily about reducing headcount. Rather it is about eliminating ‘dead time’, and non-productive activities such as walking from one end of the warehouse to the other. Obviously, that improves productivity, but also it is easier to retain good people if they aren’t spending half their time idle and the other half in a frantic rush, which can leave staff feeling both fatigued and under-valued.

4. More accurate reporting and analytics

Balloon is actively involved in applying AI in the supply chain space. Activity in the sector is growing fast. It has to be remembered that everyone’s environment is different, especially among SMEs, which is one of the reasons why AI’s ability to learn from the situation, rather than merely process an externally derived algorithm, is so attractive. Another consideration is that a lot of the data is text-based, so one of the things we are doing is to pull data from multiple sources into a Microsoft analytics package with a data model that tells the system how to relate data to different objects. We can create a dashboard and on top of that we can layer some ChatGPT type functionality – ‘show me a pie chart of my staff picking by day and by person’ – so managers don’t have to ask IT to build them a report.

AI based systems can lift a lot of the cost and burden of manual record keeping and analytics, not to mention eliminating (or at least detecting) the errors that inevitably arise in manual systems. Ultimately there may even be savings to be had in integrating all the different systems that warehouse and distribution operations use: AI may be able to ‘learn’ how to get data from one system to another, despite apparently incompatible formats, rather than having someone laboriously write code for every eventuality.

5. Enhanced image recognition and reduced rekeying

AI is already making a difference here, for example in data entry, including Optical Character Recognition and image scanning – making sense of it, relating it to other elements in the system, and particularly in looking for errors and discrepancies. That might be a quantity difference between a sales order and the relevant pick note; or it might be a delivery address that doesn’t exist or doesn’t make sense: in which case it may be possible to configure AI to make intelligent suggestions about what the address should be, before the delivery driver sets off on a wild goose chase.

So there is a lot going on with AI in the warehouse environment. At present the landscape is a patchwork of small developments helping people to fit bits of AI to their operations, often to start with just eliminating smaller pieces of work at the interfaces between systems, which is where, for instance, data discrepancies tend to manifest. But this patchwork will surely coalesce in fairly short order.

That chimes with Balloon’s own approach whereby our innovation team is targeting small pockets of advanced functionality, clustering being one of the first, and one where we have already seen big efficiency gains on customer sites.

Warehouse management is characterised by multiple data inputs and multiple possible decisions and output scenarios. These are beyond the capability of human managers to optimise robustly and in time, while traditional algorithmic approaches rely on assumptions and simplifications that are often not always or entirely valid. Meanwhile, scarce labour may be sitting around waiting to be told what to do. AI promises to provide the tools to resolve these problems.

Italian Alliance for Intralogistics Automation

Posted on by David Priestman

A division of Ambrosi S.r.l., ONO Lean Logistics has partnered with the METALSISTEM Group. ONO Logistics was established to design and develop Scalable Automated Warehouse Systems. These solutions mesh perfectly with METALSISTEM’s wide range of pallet racking, shelving and shopfitting systems as well as its automation and material handling solutions. The capital investment of the METALSISTEM Group into Ambrosi S.r.l. will form an alliance that will further expand the scope of the METALSISTEM product range into the field of intralogistics.

Advancements in process automation has brought about an unprecedented evolution in the way industry approaches the management of goods: the union of ONO Lean Logistics and METALSISTEM provides a response to this trend by advancing the market penetration on both companies within the field of intralogistics. ONO Lean Logistics, founded in 2016, has been steadily growing by strengthening its hardware and software presence with installations successfully completed for top tier companies in various sectors. The ONO Scalable Automated Warehouse System has effectively pioneered a new market segment by providing an intelligent and efficient solution applicable within both logistical and production settings.

With its main production facilities and Headquarters based in Rovereto (TN) – Italy, the METALSISTEM Group is made up of a diverse network of companies of which ONO Lean Logistics, through Ambrosi Srl, are proud to be a part of. The unmatched production capacity and extensive sales network place METALSISTEM among the global leaders of the Material Handling sector.

METALSISTEM has partnered with Ambrosi S.r.l. to strengthen its influence within the material handling sector by offering an innovative solution with a strong focus on the development of advanced technologies, including automated modular warehouse systems as well as dedicated software.

The collaboration between ONO Lean Logistics and METALSISTEM was officially announced in July 2023 following a long consultation period during which the convergence of visions and objectives was confirmed. “The alliance between these two companies, one a consolidated market leader, the other rapidly ascending, reflects a vision of innovation powered by young talent, ready to explore and recast an entirely new sector,” says Thomas AMBROSI, CEO of Ambrosi S.r.l. “With ONO Lean Logistics, we have created a new market segment for production processes and intralogistics. This collaboration will undoubtably open new doors and METALSISTEM’s technological contribution will further enhance the approach to our product in every aspect by leveraging the synergies that exist between our respective research and development departments”.

Mirco BRIOSI, General Manager of METALSISTEM S.p.A., added: “The union of these companies creates an opportunity to expand automated projects, with a foothold in modular systems for intralogistics and moving, with enthusiasm, towards future developments in integrated automation. Furthermore, we cannot underestimate the contribution of software towards this objective, as this is a key entry point into the global market. When faced with a challenge, in the material handling sector, there are always multiple solutions capable of providing an adequate response, although none of them may be optimal, all may be improved upon. Through our combined strengths, METALSISTEM sees an opportunity to offer the market a highly innovative product which is unparalleled in this
sector. It will integrate by leveraging diverse solutions within the same system thus bringing together the strengths of multiple technologies. In addition, the flexible and modular nature of the ONO Lean Logistics products have proven to be perfectly compatible with the METALSISTEM philosophy that has been applied to its product for over 50 years and which, like a ‘Lego set’, is encapsulated in its slogan ‘Customised Modularity’.”

The alliance between ONO Lean Logistics and METALSISTEM promises to bring simplification, efficiency, and continuous innovation to the intralogistics sector with a particular focus on sustainability. This partnership will significantly contribute to the growth and development of advanced solutions for this evolving market.

Warehouse and Transport Automation Banquet

Posted on by David Priestman

Global supply chain software provider EPG (Ehrhardt Partner Group) has announced another major client win for its fast-growing Australian division.

Long-established national food importer Mayers Fine Food is to implement EPG’s state-of-the-art LFS Warehouse Management System (WMS) and Transportation Management System (TMS) across its transport and distribution operations, enabling Mayers’ fabled efficiency and customer service to meet the challenges of a fast-changing food and beverage economy, both now and in the future. The double signing underlines EPG’s growing status as the provider of choice for supply chain software across entire company ecosystems.

Automation speed and accuracy

The pairing of the two products will lead to a step change in the speed and efficiency of Mayers’ operations. The WMS will automate and streamline processes at the company’s two DCs in Sydney and Melbourne, while the TMS will enable faster, more accurate and sustainable transport operations across the country, as well as the further bonus of improved communications with drivers, receiving docks and customers. Both systems will be backed up by EPG’s intuitive and easy-to-use analytical dashboard, which offers a broad operational overview as well as precise real-time reports and up-dates to Mayers staff.

Mayers Fine Food is Australia’s leading importer and distributor of food delicacies and specialty products from all around the world. They import over 2000 premium food and beverage products and distribute nationally to supermarkets, retailers, wholesalers, hotels, restaurants, delicatessens, manufacturers, shipping providers and airline caterers. Their product range includes cheese, butter, water and beverages, frozen lines, dry goods, seafood, chocolate, patisserie ingredients, coffee and pasta to name a few.

Single-source unique capability

In 2022, the company’s continuing success in a fast-changing economic landscape led it to address the growing complexity of its distribution and transport operations. After a competitive tender process, EPG’s LFS was selected ahead of WMS rivals because it is best able to demonstrate a broader range of key features capable of addressing critical operational requirements for Mayers. Batch and lot tracking, random weight capture and multiple order handling are just three of the many functionalities which support Mayers’ specific needs.

Meanwhile, EPG engineers and project specialists were able to demonstrate to the Mayers team the unique value of a single-source supply chain software suite. EPG’s TMS interweaves with LFS to allow a seamless product journey from storage to distribution to customer, with the benefits of continuous product and shipment tracking. Route optimisation enables transport managers to oversee the automated selection and allocation of transport routes to suit specific criteria, such as speed, number of stops, fuel miles and carbon emissions. Everything is overseen by EPG’s TIMESQUARE, a control tower dashboard providing access to real-time reports and updates that contribute to a full bird’s-eye view of the transport and distribution state of play.

“We were looking for an automation system that would equip us for the challenges and opportunities of today and the future in the food and beverage industry,” commented John Aerlic, Head of Operations for Mayers Fine Food. “EPG have given us a very satisfying double helping, with warehouse and transport systems that we expect to have a significant positive impact on our service to customers, efficiencies and, ultimately, our bottom line.”

EPG is delighted with the start it has made since opening its Australia office in 2022. “We are excited to be supporting Mayers Fine Food on the next stage in their growth,” said David Archer, Head of Sales, Australia/New Zealand. “We are confident that our solutions have the best answers for customers in Australasia, as they continue to do for our global client base in Europe, the Americas and Asia.”

System integration discussions have now begun, with a smooth implementation process expected by all parties. Further potential efficiency optimization between the partners includes LYDIA Voice picking solution.

Manhattan Associates Transforms Retail Returns

Posted on by David Priestman

Manhattan Associates Inc. (NASDAQ: MANH) has announced enhanced Returns Management capabilities to streamline and optimise the returns process, and deliver a frictionless experience for both consumers and retailers. The new returns features strengthen customer loyalty by creating a frictionless experience, promoting an increase in store traffic and cross-selling opportunities.

Manhattan’s 2023 Unified Commerce Benchmark revealed that 41% of shoppers find the returns process very time-consuming, and 96% would buy again from retailers that offer a smooth experience. With Manhattan’s new capabilities, consumers can choose their most convenient way to return – whether, in-store or online, which also includes printer-less options. Refunds or exchanges will be processed as soon as carriers scan the package ¬¬– 3-5 days faster than most retailers.

“For shoppers today, experience beats products. Returns are an inconvenience to consumers and a big cost for retailers, and our enhanced Returns Management capabilities help retailers provide a world-class experience to their customers even after the sale, strengthening loyalty and, in turn, profitability,” said Ellie Crawford, director of Product Management for Manhattan. “At Manhattan, we are committed to solving business challenges in the simplest and most efficient way possible.”

These new capabilities reduce shipping costs and improve the sustainability of a return by optimising a product’s return path and inventory placement based on assortment and current stock levels.

The additions improve returns processes across the Manhattan Active® Omni solution suite, extending from the contact centre all the way to the store applications. They are automatically available to all subscribers of Manhattan Active Omni as part of the quarterly upgrade cycle.

Manhattan Associates is a technology leader in supply chain and omnichannel commerce. It unites information across the enterprise, converging front-end sales with back-end supply chain execution. Software, platform technology and unmatched experience help drive both top-line growth and bottom-line profitability for customers. The company designs, builds and delivers leading-edge cloud and on-premises solutions so that across the store, through a network or from a fulfilment centre, you are ready to reap the rewards of the omnichannel marketplace.

Optimise Existing Capacity to Save Costs

Posted on by Keith McKinley

Growing businesses will sooner or later need more capacity in their supply chain to fulfil larger sales volumes. Adding capacity to an existing facility by introducing automation, reconfiguring current handling and storage equipment, or building an extension all offer a potential solution but can be expensive and disruptive to ongoing operations.

Another possibility is to relocate to a new and larger warehouse but leaving aside the costs and complexity involved the current lack of available new-build sites can make any such move impractical. Before making any decisions, growing businesses would do well to consider how to make the most of their existing facilities by utilising the power of warehouse management software (WMS) to maximise the efficiency of their current operations.

Using WMS to increase factors such as occupancy, throughput, and data and task accuracy can all help to increase the capacity of an existing warehouse. In doing so these businesses will avoid disruption and eliminate – or at least delay – the need for additional capital investment.

Any growing business involved with the supply of products will need to store and deliver more and more items. Building a bigger warehouse is one answer but can take time and generally requires a large investment. Industry data suggests there is over 51 million sq m of warehouse space available. Most of this is in-use and leading commercial agency Savills reported earlier this year that vacancy rates are below four per cent – a historic low. Another recent report suggested that the number of new build warehouses in the USA and Europe has decreased by a quarter over the past two years.

That means less available space is being chased by more potential occupiers, and no doubt the growth in e-commerce and home delivery is one of the causes. Another report from warehouse developer ProLogis estimates every extra £1bn spent online will require another 72,000 sq m of warehouse space. The rate of building barely keeps up with demand. Space is not cheap but there is hardly a motorway or major truck road intersection without a warehouse already there or awaiting planning approval.

Some businesses find that creating a new warehouse is the best option. For example, Ireland’s leading furniture importer and wholesaler reduced complexity and increased its stock volumes in 40% less overall space by investing in a new facility and implementing a state-of-the art WMS. While this approach suits some, many businesses have found they can use their existing storage facilities more efficiently. One way is to invest in new technologies and equipment that allows denser storage and/or faster throughput which can both increase overall capacity.

This might be as simple as replacing block stacking with pallet racking or wide aisle with narrow aisle configurations. Big changes often represent significant investment which, leaving aside the potential disruptions to ongoing business, may be beyond many businesses. For these a better approach is to use what they have more efficiently and this is the role of the WMS and related technologies.

Another change over the past decade is the type of warehouse operator. Ten years ago, most large facilities were operated by, or at least on behalf of, retailers. Today the largest proportion is operated by 3PLs, some as dedicated facilities but many others holding stock for multiple clients. Everyone is cost-conscious but 3PLs sell their services and base their costs on factors which include the number and size of pallet locations, overall storage capacity, picking capabilities and so on. For these businesses in particular, maximising efficiency and profitability with support from a WMS is vital.

There are only two realistic ways to increase capacity without a total reconfiguration. The first is to ensure maximum utilisation of every available space. The second is to increase throughput to get stock in and out more quickly. Efficiency gains like these are often possible because existing operators might not have noticed that their warehouse has changed in front of them while they have been busy focusing on their day-to-day operations.

Consider a hypothetical, but not implausible, business that setup or renovated its warehouse operation 10 years ago. At the time the operation required space for 2,500 pallets of various heights to meet customer needs, perhaps 1,000 at 1.6m high, 1,000 at 1.8m and the rest at 2.1m. That was the right configuration at the start and allowed a degree of flexibility to support the business requirement. The WMS was configured accordingly and operations have run smoothly since, or so it seems.

But over time it is not unusual for customers and their requirements to evolve. In fact, a small change here and there often means a business does not know immediately how many pallet locations, and of what type, they have. This might be because of changing the actual racking but adding equipment such as coolers or pallet wrappers might inadvertently block or restrict access to otherwise usable locations. Unless these businesses remember to keep their WMS up-to-date, and experience says that many do not, they will not be able to say how many spaces they have.

Nor for similar reasons can many businesses immediately identify the number of available free locations or their overall occupancy rates. Some free locations help with stock handling flexibility but too many can be a waste of resources and, ultimately, very costly for a business that is selling space.

Another possibility is that the profile of the stock is different, for example more larger pallets or fewer small ones, and so on. While it is of course possible to store a smaller pallet in any size location the reverse is certainly not true and that immediately leads to potential allocation issues that will restrict the performance of the overall operation. But even if it makes sense to store those smaller pallets in larger locations this is not an ideal use of the available volume in the warehouse – there could be up to 500mm of free but unusable space above a small pallet stored in the largest location. Again, unless the WMS is updated, it will be impossible to utilise all spaces with maximum efficiency.

Even in the best run warehouses there will be occasions when some pallet locations are out of commission. This might be as a result of accidental damage or to allow maintenance on the building infrastructure. This reduction in capacity will cost in terms of lost revenues but how many businesses will have a real-time view of their income generating capabilities or be able to see how much they are losing as a result of these outages. Certainly, with a properly configured WMS they would be able to tell. Another potential scenario, perhaps in extra-busy warehouses or where the stock profile has changed, is that demand for some locations exceeds capacity. This can restrict efficiency, for example preventing efficient putaway or requiring the excess stock to be stored elsewhere temporarily and potentially being unavailable for picking.

Experience suggests that almost any warehouse team experiencing problems like this will be unable to identify all of the problems, and their causes, immediately. But there is some good news and it does not necessarily require significant investment. Any decent WMS will help maximise stock management efficiencies but the best will incorporate business intelligence and analytics functionality. One example is ProWMS Advanced Warehouse Management’s business intelligence module that allows operators or managers to instantly identify where change is necessary and will have the maximum impact. This is done via easy-to-read, live, visual dashboards displaying, for example, products in each location with a detailed breakdown of relevant stock information.

Experienced application vendors will challenge warehouse teams about these and similar issues when they start to discuss the business and operational requirements for new implementations. They will have various tools to help them ensure the configuration is correct and always up-to-date to reflect structural changes, evolving stock profiles, and new business demands to help maximise operational efficiency and profits.

For over 30 years, Principal Logistics Technologies has been a leader in the design and delivery of innovative warehouse management software (WMS) and enterprise resource planning (ERP) software. Its technology and services, which include the design of new revenue-generating services for 3PLs, optimise operational performance, reduce OpEx and increase revenue for 3PL, distribution, wholesale, manufacturing, and retail warehouse businesses.

The company supports enterprise-level and multinational businesses with complex single and multisite operations spanning 3PL, chemicals & hazardous goods, hard & soft commodities, chill picking, cold storage, cross-docking, eCommerce & eFulfilment , FMCG, pharmaceuticals & healthcare and more. It operates from offices in Dublin in Ireland and Manchester and Birmingham in the UK.

 

Software to Manage Delivery of All Goods

Posted on by David Priestman

Workwear Uniform Group Ltd (WWUGL) recently awarded Dematic an extensive goods-to-person automation project that features the largest AutoStore system in the UK that Dematic has provided to date, for the delivery of all goods.

Sam Sohal, WWUGL CEO, says, “We selected Dematic because they listened to what we were looking to achieve and, as a specialist in their field, gave us a solution that has the potential to surpass in performance our initial expectations and future proof our business with a Warehouse Management System (WMS) to fully manage our logistics.”

In 2021 Direct Corporate Clothing acquired InCorporateWear to form WWUGL, the largest independent workwear, uniform and personal protective equipment business in the UK. Previously, the two businesses occupied three logistics sites totalling 180,000 square feet of space. As WWUGL, the company began searching for a new location where they could relocate and convert into a super hub and consolidate space.

However, after exploring numerous options, the Birmingham-based company decided on a solution that would allow them to utilise an existing 76,000-square-foot facility. WWUGL was in touch with several leading automation companies before deciding to select Dematic to install a solution that featured an AutoStore system. Dematic Software will manage all the storage, transport, and picking processes within the entire facility.

A phased commissioning has been planned for the AutoStore system, and the first phase is scheduled to be completed by February 2024. It covers a 4,500-square-metre space (nearly 48,000 square feet) and consists of a 40 x 95 metre grid that can store 129,654 bins using 60 R5 robots, nine picking stations, and three inbound ports. The project’s second phase, which includes software functionality and connecting conveyor, is set to be completed in the second quarter of 2024.

According to Sohal, the project benefits to his company go well beyond creating and consolidating WWUGL’s three locations. “Not only does the solution help us as market leaders by providing our customers with the best possible delivery of goods, but it also allows us to get the maximum use of space and still have room to double our business with a new system that is more efficient and accurate in our overall stock management.

“In addition, it will reduce our CO2 footprint and energy consumption to help meet our goal of being carbon neutral by 2025. We are seeing a trend in the UK where customers are steadily wanting more than just the right solution; it is now critical for them to find the right company to partner with for the long-term,” explains Neal Rowe, sales project manager at Dematic.

“Initially, our discussions were around the AutoStore system, but as WWUGL began to see that Dematic could provide technology beyond the initial project scope, they asked us to design an even larger solution where our software is expected to run most of the processes within the four walls of their facility.”

Rowe says Dematic committed a dedicated team to meet customer expectations for the entire AutoStore portfolio, which provides smaller and mid-sized companies with access to the first steps to logistics automation. “After going live, Dematic customers can rely on continuous support for the entire lifecycle of the solution.”

Adds Simon Barnwell, vice president and market leader for UK and Ireland at Dematic, “Dematic recently reached a global milestone with its 100th commissioning of an AutoStore system. I believe it has brought substantial benefits to our customers by boosting productivity, realising faster ROI’s and providing agile project delivery without interruption. Dematic brings a depth of expertise in this technology, which, I think, is matchless in our industry.”

Complete or Phased Approach to Warehouse Automation?

Posted on by Keith McKinley

With labour hard to find and performance at peak under scrutiny, businesses may be tempted to opt for a complete, turnkey warehouse automation project to solve all their problems in one move. But might a stepped approach make more sense? Dan Migliozzi, Head of Sales at independent systems integrator, Invar Group, considers the options.

There can be little doubt that automation is the future for all but the smallest of warehouse operations. New affordable technologies are now within reach of most small to medium sized businesses (SMEs) and these technologies, often involving robotics and AI, are transforming performance across intralogistics processes.

Driven by poor labour availability and increasing customer demands, many businesses will be thinking about a comprehensive review of their operations, and may be tempted to go for a full turnkey approach – introducing a whole raft of systems at the same time. However, whilst this may be appropriate for some companies, others may be exposing themselves to unnecessary levels of risk, and a more considered approach could yield greater gains.

For a major corporation with the luxury of multiple warehouses or distribution centres, and facing challenges or changes to their current operational model, it may be practical, even desirable, to take facilities off-line one by one and rebuild them. For smaller businesses though, this could be a highly risky strategy and may be unviable – a considered, step-by-step approach to the end goal of significant automation may be preferable, both financially and operationally.

Financial benefits

Financially, moving towards automation in planned stages limits the need for often significant up-front capital expenditure, a particular concern for start-ups and other companies in a phase of rapid growth when other demands on working capital can be considerable. A stepped approach that quickly takes advantage of ‘low hanging fruit’ can achieve an early Return on Investment and bring many other benefits – potentially helping to fund subsequent phases of automation.

But even if capital funding isn’t an issue, the risks of an ‘all-in’ approach are significant. Some degree of disruption is inevitable during installation, and even with the most careful planning, highest quality equipment and dedicated vendors and integrators, it’s rare for everything to work straight out of the box. The risk of a major delay or disruption could have a far-reaching impact on the business and may lead to lost sales and reputational damage.

A further consideration is, with a complete turnkey approach it’s usually not possible to revert to the old ways of working while the fixes are actioned. There is no redundancy in this situation.
So rather than playing with the entire operation in a giant sandbox, better by far to identify and address the most urgent or compelling challenges and opportunities as they arise. That way, processes can be better defined and understood, employees at all levels trained and other necessary capabilities – maintenance, for example – built up at a manageable pace.

Planning a phased migration

‘Step-by-step’, however, does not mean ‘piecemeal’. The planning for a stepped migration to more automated operations is just the same as it would be for a turnkey project – indeed the ultimate goals will be just the same – it’s merely a question of how to get there.

Firstly, and obviously, the company needs to know its objectives and requirements. Is automation needed because the business is in, or is anticipating, a period of rapid growth? Growth is good, but for many companies, perhaps in a mature or niche market, higher volumes and throughputs may not be the issue – greater efficiencies, lower costs and perhaps particularly better use of scarce labour may be the imperatives.

The company needs to map and understand its processes from cradle to grave, including processes which are unlikely to be directly addressed by automation. Where are the biggest wins, the greatest challenges, the most acute pain points? Address these first – paradoxically, trying to optimise a process that you know to be already very good often carries a larger downside risk.

Consider scaleability

But the automation plan can’t just address short term issues. The business may need to consider the extent to which the automation is scaleable – can a robotic installation, for example, be scaled up for future growth just by leasing more units, or will there be a point at which the racking and other physical attributes of the warehouse require major change? And if so, should that be done now, even though it may not be needed for some years?

The plan also needs to consider the pace of technological change. Evolution in fields such as robotics is lightning-fast. There is no shame in buying last year’s model if it does the job, but there are risks that equipment and systems may become ‘obsolete’, or worse, unsupported, much quicker than expected. This means that some of the steps in the automation road map may need to cover replacing or upgrading earlier and relatively recent investment steps. Robust continuity planning, in partnership with reputable vendors and integrators, is key.

Planning a stepped approach to warehouse automation cannot be just a top down, or a bottom up, process. It really does require the involvement of every stakeholder in the business. Clearly it needs high level strategic direction to ensure that the plan is aligned with the company’s goals, its financial capacity, and its appetite for risk. Operational input – will the proposals actually meet the requirements of, for example, seasonal peaks. Engineering – does the business have, or can it expect to establish, an adequate maintenance capability or will this have to be outsourced. HR may have views on how staff can be trained, and whether new staff with new skills need to be hired.

Technical capabilities

And then there is installation. Even quite modest steps in automation are likely to involve systems and equipment from multiple manufacturers and vendors and will require some level of integration, both with each other and with existing equipment and systems. ‘Plug and play’ is a much-vaunted term, but it’s hard to find evidence that it really exists in the modern warehouse!
Therefore, it’s important to find a reliable, independent integrator that has the necessary technical capability and in-house software skills to deliver a project successfully over several planned stages – an integrator that supports you every step of the journey.

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