John Johnson joined the DC Velocity team in March 2004. A veteran business journalist, John has over a dozen years of experience covering the supply chain field, including time as chief editor of Warehousing Management. In addition, he has covered the venture capital community and previously was a sports reporter covering professional and collegiate sports in the Boston area. John served as senior editor and chief editor of DC Velocity until April 2008.
Life can be tough for lift truck drivers. Vehicles tip over and tumble off docks. Loads topple. Operators risk electrical shock from contact with overhead electric cables as well as exposure to hazardous chemicals, fumes and acid spills (when changing batteries). Many suffer hearing damage because of workplace noise.
The industry's safety record reflects these hazards: According to Toyota Material Handling, more than 68,000 lift truck accidents occur in North America each year. Some of those are fatal. In 1996 and 1997 alone, for example, 225 workers were killed in forklift incidents.
Then there are the ergonomic hazards - all too often, drivers suffer injuries that develop over time due to cumulative exposure to working conditions that tax the human body's capabilities: Trauma disorders to hands and arms from overexerti on when steering; low-back pain caused by prolonged seating in an awkward posture and an ergonomically inadequate seat. Neck pain from awkward positions assumed during reverse driving and from transporting loads that partially obstruct the operator's field of vision. Combine that with spine-jarring bumps every time an operator drives over a dock plate, awkward mounting and dismounting practices, and the potential for slips, and it becomes clear that lift-truck driving is risky business.
But a distribution center doesn't have to be a dangerous place. Beating out 7,300 eligible companies last year, Murphy Warehouse Co., a Minneapolis-based third-party provider, earned a Preferred Partner award from its workers' compensation insurance carrier. What's notable here is that Murphy Warehouse wasn't competing against other warehouses for that distinction. Most of its competitors came from the far less risk-prone office setting.
As for Murphy Warehouse's success, it doesn't hurt that the company takes a strong position on rules enforcement and training. "We enforce all the rules as far as seatbelt use, being tethered on the machine and driving in a safe and efficient manner," says company president Richard T. Murphy. "We take a very stiff stance on it, but it pays off. Though we're up to 20 lift truck machines and three buildings, we've had no serious fork-truck accidents." The company also hires a physical therapist to show operators how best to mount and dismount from the machines.
But a big part of the success story is the equipment the company uses. Murphy has invested in the latest in shock absorbers and ergonomic seats for its fleet of Yale and Hyster trucks. "Drivers used to experience a constant jarring on their backs when they drove over dock plates or rail plates," says Murphy, "but these new absorbers take out 50 to 75 percent of the shock they used to get. That helped tremendously, especially with heavier loads like paper rolls."
Though Murphy acknowledges that productivity will always be a consideration when selecting lift trucks, he's also concerned about his drivers' well-being." Primarily we want to make sure [drivers stay] healthy for the long term ," he says ."We generally keep people for their career after they get through the first couple years because once they are trained, we don't want to lose them . So our program is not focused so much on productivity as it is on safety and health."
Fork in the road
That represents something of a sea change for the industry. "Ten years ago, DC managers looked for the most costeffective product," says Brett Wood,national product development, strategic planning and marketing services manager for Toyota Material Handling, U.S.A., Inc., "but now we hear them saying things like, 'I need a [vehicle] that will be comfortable and safe to operate.'"What's more,they're willing to pay for comfort and safety, he says, citing focus groups and surveys that Toyota conducts frequently."We've seen plant managers show more concern about the operator than ever before, which is wonderful."
It pays off, too. "A comfortable operator is a productive operator,"Wood adds."If they are comfortable eight hours a day on that forklift, they'll be more productive, and that's the name of the game."
Bruce Mantz agrees that there's a direct correlation between driver comfort and productivity. "We have very precise cutoffs for orders and very precise expectations from our customers, so it's very important we give people the right equipment so they can get the job done," says Mantz, director of operations for third-party provider Automated Distribution Systems, which deploys a fleet of lift trucks from Atlet and Raymond Corp.
"I don't want to see 95-percent efficiency during the first four hours, then see that drop down to 75 percent over their last four hours," Mantz says . "We run a very high-volume, high-accuracy operation, and in order for us to get there, we need to give our drivers quality equipment. If we didn't pay attention to ergonomics, we wouldn't be getting the productivity levels we're getting now."
Preferred seating
What ergonomic features do today's trucks offer? Though lift trucks may not be equipped with side air bags yet , the ergonomic features touted by manufacturers will be familiar to anyone who drives a car (or reads the ads): enhanced shocks,seating improvements,steering wheels with memory tilt steering, plush floor mats to reduce noise and vibration, non-slip skid mats and even strategically placed cup holders.
For example, Swedish manufacturer Atlet recently introduced a stand-on stacker truck named "Ergo" for its numerous ergonomic features. Ergo's armrest and control panel are vertically adjustable, as is the steering wheel, which can also be adjusted laterally. Servo steering is standard, enhancing control and maneuverability in tight spaces. The mast lift and lower function is also servo-assisted to give fingertip control. The truck's "floating" floor has resilient rubber suspension and a step height of only 230 millimeters for easy access. The cab even boasts a writing surface and storage space.
With sit-down trucks, by contrast, ergonomic improvements often focus on the driver's seat. Toyota Material Handling, for example, offers full suspension seats that adjust as drivers cruise over obstacles like dock plates. "The suspension seats really cushion the ride for the operator," says Wood. "Once they get in that seat they don't want to go back."
Logistics real estate developer Prologis today named a new chief executive, saying the company’s current president, Dan Letter, will succeed CEO and co-founder Hamid Moghadam when he steps down in about a year.
After retiring on January 1, 2026, Moghadam will continue as San Francisco-based Prologis’ executive chairman, providing strategic guidance. According to the company, Moghadam co-founded Prologis’ predecessor, AMB Property Corporation, in 1983. Under his leadership, the company grew from a startup to a global leader, with a successful IPO in 1997 and its merger with ProLogis in 2011.
Letter has been with Prologis since 2004, and before being president served as global head of capital deployment, where he had responsibility for the company’s Investment Committee, deployment pipeline management, and multi-market portfolio acquisitions and dispositions.
Irving F. “Bud” Lyons, lead independent director for Prologis’ Board of Directors, said: “We are deeply grateful for Hamid’s transformative leadership. Hamid’s 40-plus-year tenure—starting as an entrepreneurial co-founder and evolving into the CEO of a major public company—is a rare achievement in today’s corporate world. We are confident that Dan is the right leader to guide Prologis in its next chapter, and this transition underscores the strength and continuity of our leadership team.”
The New York-based industrial artificial intelligence (AI) provider Augury has raised $75 million for its process optimization tools for manufacturers, in a deal that values the company at more than $1 billion, the firm said today.
According to Augury, its goal is deliver a new generation of AI solutions that provide the accuracy and reliability manufacturers need to make AI a trusted partner in every phase of the manufacturing process.
The “series F” venture capital round was led by Lightrock, with participation from several of Augury’s existing investors; Insight Partners, Eclipse, and Qumra Capital as well as Schneider Electric Ventures and Qualcomm Ventures. In addition to securing the new funding, Augury also said it has added Elan Greenberg as Chief Operating Officer.
“Augury is at the forefront of digitalizing equipment maintenance with AI-driven solutions that enhance cost efficiency, sustainability performance, and energy savings,” Ashish (Ash) Puri, Partner at Lightrock, said in a release. “Their predictive maintenance technology, boasting 99.9% failure detection accuracy and a 5-20x ROI when deployed at scale, significantly reduces downtime and energy consumption for its blue-chip clients globally, offering a compelling value proposition.”
The money supports the firm’s approach of "Hybrid Autonomous Mobile Robotics (Hybrid AMRs)," which integrate the intelligence of "Autonomous Mobile Robots (AMRs)" with the precision and structure of "Automated Guided Vehicles (AGVs)."
According to Anscer, it supports the acceleration to Industry 4.0 by ensuring that its autonomous solutions seamlessly integrate with customers’ existing infrastructures to help transform material handling and warehouse automation.
Leading the new U.S. office will be Mark Messina, who was named this week as Anscer’s Managing Director & CEO, Americas. He has been tasked with leading the firm’s expansion by bringing its automation solutions to industries such as manufacturing, logistics, retail, food & beverage, and third-party logistics (3PL).
Supply chains continue to deal with a growing volume of returns following the holiday peak season, and 2024 was no exception. Recent survey data from product information management technology company Akeneo showed that 65% of shoppers made holiday returns this year, with most reporting that their experience played a large role in their reason for doing so.
The survey—which included information from more than 1,000 U.S. consumers gathered in January—provides insight into the main reasons consumers return products, generational differences in return and online shopping behaviors, and the steadily growing influence that sustainability has on consumers.
Among the results, 62% of consumers said that having more accurate product information upfront would reduce their likelihood of making a return, and 59% said they had made a return specifically because the online product description was misleading or inaccurate.
And when it comes to making those returns, 65% of respondents said they would prefer to return in-store, if possible, followed by 22% who said they prefer to ship products back.
“This indicates that consumers are gravitating toward the most sustainable option by reducing additional shipping,” the survey authors said in a statement announcing the findings, adding that 68% of respondents said they are aware of the environmental impact of returns, and 39% said the environmental impact factors into their decision to make a return or exchange.
The authors also said that investing in the product experience and providing reliable product data can help brands reduce returns, increase loyalty, and provide the best customer experience possible alongside profitability.
When asked what products they return the most, 60% of respondents said clothing items. Sizing issues were the number one reason for those returns (58%) followed by conflicting or lack of customer reviews (35%). In addition, 34% cited misleading product images and 29% pointed to inaccurate product information online as reasons for returning items.
More than 60% of respondents said that having more reliable information would reduce the likelihood of making a return.
“Whether customers are shopping directly from a brand website or on the hundreds of e-commerce marketplaces available today [such as Amazon, Walmart, etc.] the product experience must remain consistent, complete and accurate to instill brand trust and loyalty,” the authors said.
When you get the chance to automate your distribution center, take it.
That's exactly what leaders at interior design house
Thibaut Design did when they relocated operations from two New Jersey distribution centers (DCs) into a single facility in Charlotte, North Carolina, in 2019. Moving to an "empty shell of a building," as Thibaut's Michael Fechter describes it, was the perfect time to switch from a manual picking system to an automated one—in this case, one that would be driven by voice-directed technology.
"We were 100% paper-based picking in New Jersey," Fechter, the company's vice president of distribution and technology, explained in a
case study published by Voxware last year. "We knew there was a need for automation, and when we moved to Charlotte, we wanted to implement that technology."
Fechter cites Voxware's promise of simple and easy integration, configuration, use, and training as some of the key reasons Thibaut's leaders chose the system. Since implementing the voice technology, the company has streamlined its fulfillment process and can onboard and cross-train warehouse employees in a fraction of the time it used to take back in New Jersey.
And the results speak for themselves.
"We've seen incredible gains [from a] productivity standpoint," Fechter reports. "A 50% increase from pre-implementation to today."
THE NEED FOR SPEED
Thibaut was founded in 1886 and is the oldest operating wallpaper company in the United States, according to Fechter. The company works with a global network of designers, shipping samples of wallpaper and fabrics around the world.
For the design house's warehouse associates, picking, packing, and shipping thousands of samples every day was a cumbersome, labor-intensive process—and one that was prone to inaccuracy. With its paper-based picking system, mispicks were common—Fechter cites a 2% to 5% mispick rate—which necessitated stationing an extra associate at each pack station to check that orders were accurate before they left the facility.
All that has changed since implementing Voxware's Voice Management Suite (VMS) at the Charlotte DC. The system automates the workflow and guides associates through the picking process via a headset, using voice commands. The hands-free, eyes-free solution allows workers to focus on locating and selecting the right item, with no paper-based lists to check or written instructions to follow.
Thibaut also uses the tech provider's analytics tool, VoxPilot, to monitor work progress, check orders, and keep track of incoming work—managers can see what orders are open, what's in process, and what's completed for the day, for example. And it uses VoxTempo, the system's natural language voice recognition (NLVR) solution, to streamline training. The intuitive app whittles training time down to minutes and gets associates up and working fast—and Thibaut hitting minimum productivity targets within hours, according to Fechter.
EXPECTED RESULTS REALIZED
Key benefits of the project include a reduction in mispicks—which have dropped to zero—and the elimination of those extra quality-control measures Thibaut needed in the New Jersey DCs.
"We've gotten to the point where we don't even measure mispicks today—because there are none," Fechter said in the case study. "Having an extra person at a pack station to [check] every order before we pack [it]—that's been eliminated. Not only is the pick right the first time, but [the order] also gets packed and shipped faster than ever before."
The system has increased inventory accuracy as well. According to Fechter, it's now "well over 99.9%."