When NA 2008, the biennial material handling industry trade show and conference, opens its doors in Cleveland later this month, it will do so against a backdrop of economic uncertainty.
When NA 2008, the biennial material handling industry trade show and conference, opens its doors in Cleveland later this month, it will do so against a backdrop of economic uncertainty. The show's organizer, the Material Handling Industry of America (MHIA), expects a mild market contraction in the industry this year. The group's forecast calls for new orders in the material handling equipment sector to slow by some 5 to 7 percent in 2008, a decline from the 8-percent growth recorded last year.
For material handling equipment manufacturers, the bright spot in the picture right now is exports, which are forecast to grow 18 percent in 2008 before slowing modestly in 2009. The outlook is less rosy for domestic con- sumption. MHIA forecasts that consumption (ship- ments plus imports less exports) of this type of equip- ment in the United States will contract about 5 percent in 2008 and 2009.
Yet despite the economic instability, MHIA has high hopes for the show. It expects to draw some 500 materi- al handling and logistics exhibitors and thousands of buyers to the event, which will be held at Cleveland's I-X Center from April 21-24.
A chance to get educated
Promising to be one of the highlights of the four-day event is the keynote address by Andrew Winston, author of Green to Gold. In his address, titled "How Smart Companies Use Environmental Strategy to Innovate, Create Value, and Build High- Performance Supply Chains," Winston will discuss the business case for creating sustainable supply chains. (See our interview with Winston from the March issue.)
The conference also includes several other educational opportunities:
The NA 2008 Knowledge Center. One of four distinct centers at NA 2008, the Knowledge Center will feature free educational sessions on the show floor. The cen- ter will consist of specially designed theaters, where 45-minute seminars will offer information on trends, technologies, and innovations in material handling and logistics. Admission to the vendor-sponsored sessions is free to NA 2008 attendees. Visit NAShow.com for complete session details.
Weekend Educational Workshops. In addition to the on-floor seminars, NA 2008 will include a pair of educational workshops that begin on the weekend prior to the show's opening. Sponsored by MHIA, the workshops take place in classroom- style settings at the I-X Center. Separate registration and workshop fees apply. Workshop participants can earn continuing education credits.
The first of the two workshops, "The Basics of Material Handling A Foundation for Better Planning and Results," is a one and a half day program that begins on Saturday morning and wraps up mid-day on Sunday. The workshop provides an introduction to the field of material handling, including systems analysis, equipment selection, and the relationship of material handling to other activities and operations of the industrial plant or warehouse. The course serves as both an introduction to the field and as a refresher course for those who want an update on the latest trends. Participants will learn how to plan and analyze material handling systems, how to improve material handling operations, and when to apply material handling automation. Key features are case examples and a guided exercise to ensure mastery of the techniques presented.
The second workshop,"Lean Material Handling and Work Cells," runs from mid-day Sunday through Monday afternoon. The course examines how material handling enables lean manufacturing and what methods are typically favored when implementing lean practices and work cells. This workshop shows how to plan effective cells using a simple six-step procedure. It includes case examples and a guided exercise that ensures mastery of the techniques presented.
The instructor for both workshops is H. Lee Hales, president of Richard Muther & Associates, who will use material developed by the firm's professional engineers and consultants. Richard Muther & Associates is a consulting firm with expertise in material handling and cell planning.
Navigating the hall
In addition to these educational programs, NA 2008 will include a trade show featuring nearly 500 exhibitors. In order to help attendees find what they're looking for, show organizers have divided the 150,000-square-foot show floor into four distinct centers based on the products and services offered. In addition to the Knowledge Center (described above), they are:
The Center for Manufacturing & Assembly Solutions. Here's where you'll find a wide range of suppliers that specialize in component parts, attachments, and equipment and systems for the manufacturing and assembly environment. This center includes the latest advances in traditional material handling solutions that support manufacturing and assembly operations. Products, services, and solutions shown in this area include automated storage and retrieval solutions (AS/RS), automated guided vehicles (AGVs), overhead and lifting equipment, pallets and packaging, below/hook equipment, carousels, conveyors, storage equipment, casters, wheels and tires, ergonomic and safety equipment, automated assembly support, intelligent devices, work stations, light rail, and other assembly equipment and systems.
The Center for Fulfillment & Delivery Solutions. This center showcases both traditional and e-commerce fulfillment, order assembly, third-party logistics, warehousing, distribution, and transportation activities. The exhibitors you'll find here also provide systems and services that support consumer and business direct market strategies.
The Center for Information Technology (IT) Solutions. In this center, representatives will be on hand from companies that offer software solutions or consulting services that support manufacturing, warehousing, distribution, and logistics operations.
The latest equipment and solutions Exhibitors at the event will display a wide variety of solutions for moving, storing, controlling, and protecting materials and products. Among the technologies highlighted at this year's show will be equipment and systems in the following categories:
Material handling equipment and systems: AS/RS, automatic guided vehicle systems, robots, personnel/burden carriers, racks, forklifts, batteries, unit handling systems, manufacturing execution systems, warehouse management systems/logistics execution systems, ergonomic and safety equipment, carousels, modular drawer storage, shelving, and third-party logistics.
Packaging, containers, and shipping equipment: Box and carton makers, packaging machinery, wrapping, inspection of products by weight or scanning, pallets, wire baskets, plastic and metal containers, and palletizing equipment.
Inventory management and controlling technologies: Computers, controllers, software programs, systems integrators, warehouse management systems, wireless control systems, order management systems, and transportation management systems.
Dock and warehouse equipment and supplies: Dock levelers, dock pads, doors, forklift trucks, racks, flooring, handling systems, forklift attachments, conveyors, hoists, cranes, monorails, and below/hook lifting devices.
Consultants and distribution system planners: Simulators, modelers, system designers, distribution consultants, and third-party logistics providers.
Automatic identification equipment and systems: Bar-code printers and scanners, vision systems, voicerecognition systems, radio-frequency systems, and systems integrators.
How to register
The organizers of NA 2008 have made it easy to register and
prepare for the show. NAshow.com offers attendees access
to free badge registration, exhibitor search tools, floor
plans, matchmaker services, and a "My NAShow" Agenda
Planner to organize a personalized itinerary. It also offers
detailed information about the educational conference sessions as well as travel and hotel information.
On-site registration is $25, or $10 with VIP registration coupon available from exhibitors. Show hours are 10 a.m. to 5 p.m. on Monday, Tuesday, and Wednesday, and 10 a.m. to 3 p.m. on Thursday.
Penske said today that its facility in Channahon, Illinois, is now fully operational, and is predominantly powered by an onsite photovoltaic (PV) solar system, expected to generate roughly 80% of the building's energy needs at 200 KW capacity. Next, a Grand Rapids, Michigan, location will be also active in the coming months, and Penske's Linden, New Jersey, location is expected to go online in 2025.
And over the coming year, the Pennsylvania-based company will add seven more sites under its power purchase agreement with Sunrock Distributed Generation, retrofitting them with new PV solar systems which are expected to yield a total of roughly 600 KW of renewable energy. Those additional sites are all in California: Fresno, Hayward, La Mirada, National City, Riverside, San Diego, and San Leandro.
On average, four solar panel-powered Penske Truck Leasing facilities will generate an estimated 1-million-kilowatt hours (kWh) of renewable energy annually and will result in an emissions avoidance of 442 metric tons (MT) CO2e, which is equal to powering nearly 90 homes for one year.
"The initiative to install solar systems at our locations is a part of our company's LEED-certified facilities process," Ivet Taneva, Penske’s vice president of environmental affairs, said in a release. "Investing in solar has considerable economic impacts for our operations as well as the environmental benefits of further reducing emissions related to electricity use."
Overall, Penske Truck Leasing operates and maintains more than 437,000 vehicles and serves its customers from nearly 1,000 maintenance facilities and more than 2,500 truck rental locations across North America.
That challenge is one of the reasons that fewer shoppers overall are satisfied with their shopping experiences lately, Lincolnshire, Illinois-based Zebra said in its “17th Annual Global Shopper Study.”th Annual Global Shopper Study.” While 85% of shoppers last year were satisfied with both the in-store and online experiences, only 81% in 2024 are satisfied with the in-store experience and just 79% with online shopping.
In response, most retailers (78%) say they are investing in technology tools that can help both frontline workers and those watching operations from behind the scenes to minimize theft and loss, Zebra said.
Just 38% of retailers currently use AI-based prescriptive analytics for loss prevention, but a much larger 50% say they plan to use it in the next 1-3 years. That was followed by self-checkout cameras and sensors (45%), computer vision (46%), and RFID tags and readers (42%) that are planned for use within the next three years, specifically for loss prevention.
Those strategies could help improve the brick and mortar shopping experience, since 78% of shoppers say it’s annoying when products are locked up or secured within cases. Adding to that frustration is that it’s hard to find an associate while shopping in stores these days, according to 70% of consumers. In response, some just walk out; one in five shoppers has left a store without getting what they needed because a retail associate wasn’t available to help, an increase over the past two years.
The survey also identified additional frustrations faced by retailers and associates:
challenges with offering easy options for click-and-collect or returns, despite high shopper demand for them
the struggle to confirm current inventory and pricing
lingering labor shortages and increasing loss incidents, even as shoppers return to stores
“Many retailers are laying the groundwork to build a modern store experience,” Matt Guiste, Global Retail Technology Strategist, Zebra Technologies, said in a release. “They are investing in mobile and intelligent automation technologies to help inform operational decisions and enable associates to do the things that keep shoppers happy.”
The survey was administered online by Azure Knowledge Corporation and included 4,200 adult shoppers (age 18+), decision-makers, and associates, who replied to questions about the topics of shopper experience, device and technology usage, and delivery and fulfillment in store and online.
Supply chains are poised for accelerated adoption of mobile robots and drones as those technologies mature and companies focus on implementing artificial intelligence (AI) and automation across their logistics operations.
That’s according to data from Gartner’s Hype Cycle for Mobile Robots and Drones, released this week. The report shows that several mobile robotics technologies will mature over the next two to five years, and also identifies breakthrough and rising technologies set to have an impact further out.
Gartner’s Hype Cycle is a graphical depiction of a common pattern that arises with each new technology or innovation through five phases of maturity and adoption. Chief supply chain officers can use the research to find robotic solutions that meet their needs, according to Gartner.
Gartner, Inc.
The mobile robotic technologies set to mature over the next two to five years are: collaborative in-aisle picking robots, light-cargo delivery robots, autonomous mobile robots (AMRs) for transport, mobile robotic goods-to-person systems, and robotic cube storage systems.
“As organizations look to further improve logistic operations, support automation and augment humans in various jobs, supply chain leaders have turned to mobile robots to support their strategy,” Dwight Klappich, VP analyst and Gartner fellow with the Gartner Supply Chain practice, said in a statement announcing the findings. “Mobile robots are continuing to evolve, becoming more powerful and practical, thus paving the way for continued technology innovation.”
Technologies that are on the rise include autonomous data collection and inspection technologies, which are expected to deliver benefits over the next five to 10 years. These include solutions like indoor-flying drones, which utilize AI-enabled vision or RFID to help with time-consuming inventory management, inspection, and surveillance tasks. The technology can also alleviate safety concerns that arise in warehouses, such as workers counting inventory in hard-to-reach places.
“Automating labor-intensive tasks can provide notable benefits,” Klappich said. “With AI capabilities increasingly embedded in mobile robots and drones, the potential to function unaided and adapt to environments will make it possible to support a growing number of use cases.”
Humanoid robots—which resemble the human body in shape—are among the technologies in the breakthrough stage, meaning that they are expected to have a transformational effect on supply chains, but their mainstream adoption could take 10 years or more.
“For supply chains with high-volume and predictable processes, humanoid robots have the potential to enhance or supplement the supply chain workforce,” Klappich also said. “However, while the pace of innovation is encouraging, the industry is years away from general-purpose humanoid robots being used in more complex retail and industrial environments.”
An eight-year veteran of the Georgia company, Hakala will begin his new role on January 1, when the current CEO, Tero Peltomäki, will retire after a long and noteworthy career, continuing as a member of the board of directors, Cimcorp said.
According to Hakala, automation is an inevitable course in Cimcorp’s core sectors, and the company’s end-to-end capabilities will be crucial for clients’ success. In the past, both the tire and grocery retail industries have automated individual machines and parts of their operations. In recent years, automation has spread throughout the facilities, as companies want to be able to see their entire operation with one look, utilize analytics, optimize processes, and lead with data.
“Cimcorp has always grown by starting small in the new business segments. We’ve created one solution first, and as we’ve gained more knowledge of our clients’ challenges, we have been able to expand,” Hakala said in a release. “In every phase, we aim to bring our experience to the table and even challenge the client’s initial perspective. We are interested in what our client does and how it could be done better and more efficiently.”
Although many shoppers will
return to physical stores this holiday season, online shopping remains a driving force behind peak-season shipping challenges, especially when it comes to the last mile. Consumers still want fast, free shipping if they can get it—without any delays or disruptions to their holiday deliveries.
One disruptor that gets a lot of headlines this time of year is package theft—committed by so-called “porch pirates.” These are thieves who snatch parcels from front stairs, side porches, and driveways in neighborhoods across the country. The problem adds up to billions of dollars in stolen merchandise each year—not to mention headaches for shippers, parcel delivery companies, and, of course, consumers.
Given the scope of the problem, it’s no wonder online shoppers are worried about it—especially during holiday season. In its annual report on package theft trends, released in October, the
security-focused research and product review firm Security.org found that:
17% of Americans had a package stolen in the past three months, with the typical stolen parcel worth about $50. Some 44% said they’d had a package taken at some point in their life.
Package thieves poached more than $8 billion in merchandise over the past year.
18% of adults said they’d had a package stolen that contained a gift for someone else.
Ahead of the holiday season, 88% of adults said they were worried about theft of online purchases, with more than a quarter saying they were “extremely” or “very” concerned.
But it doesn’t have to be that way. There are some low-tech steps consumers can take to help guard against porch piracy along with some high-tech logistics-focused innovations in the pipeline that can protect deliveries in the last mile. First, some common-sense advice on avoiding package theft from the Security.org research:
Install a doorbell camera, which is a relatively low-cost deterrent.
Bring packages inside promptly or arrange to have them delivered to a secure location if no one will be at home.
Consider using click-and-collect options when possible.
If the retailer allows you to specify delivery-time windows, consider doing so to avoid having packages sit outside for extended periods.
These steps may sound basic, but they are by no means a given: Fewer than half of Americans consider the timing of deliveries, less than a third have a doorbell camera, and nearly one-fifth take no precautions to prevent package theft, according to the research.
Tech vendors are stepping up to help. One example is
Arrive AI, which develops smart mailboxes for last-mile delivery and pickup. The company says its Mailbox-as-a-Service (MaaS) platform will revolutionize the last mile by building a network of parcel-storage boxes that can be accessed by people, drones, or robots. In a nutshell: Packages are placed into a weatherproof box via drone, robot, driverless carrier, or traditional delivery method—and no one other than the rightful owner can access it.
Although the platform is still in development, the company already offers solutions for business clients looking to secure high-value deliveries and sensitive shipments. The health-care industry is one example: Arrive AI offers secure drone delivery of medical supplies, prescriptions, lab samples, and the like to hospitals and other health-care facilities. The platform provides real-time tracking, chain-of-custody controls, and theft-prevention features. Arrive is conducting short-term deployments between logistics companies and health-care partners now, according to a company spokesperson.
The MaaS solution has a pretty high cool factor. And the common-sense best practices just seem like solid advice. Maybe combining both is the key to a more secure last mile—during peak shipping season and throughout the year as well.