Eager to see how its newly developed fuel cell device would fare in trials, East Penn Manufacturing decided to test the unit itself. But round-the-clock DC operations and 4,000-pound loads would make this a rigorous trial.
James Cooke is a principal analyst with Nucleus Research in Boston, covering supply chain planning software. He was previously the editor of CSCMP?s Supply Chain Quarterly and a staff writer for DC Velocity.
When it came time to begin testing its prototype hydrogen fuel pack for lift trucks, East Penn Manufacturing didn't have to look far for a beta tester. With a 180,000-square-foot distribution center operating 24 hours a day, the company already had an ideal test lab. Why not test the device itself?
And so, for the past two-plus years, the company has been using eight forklift trucks powered by the device, a hybrid fuel cell/lead-acid battery unit, at its DC in Topton, Pa. The trucks work alongside their 20 battery-powered counterparts at the cavernous facility, which operates around the clock five days a week. As tractor-trailers from the plants arrive at the DC, the forklifts offload pallets of batteries and place them in storage. They also ferry pallets from storage to the loading-dock area when needed. Shuttling pallet loads of batteries is no small task; the loaded skids weigh between 3,500 and 4,000 pounds apiece on average.
Best known for its Deka brand batteries, East Penn Manufacturing Co. Inc. makes batteries and accessories for the automotive, marine, farm equipment, and industrial truck markets. Though a DC operated by a leading battery maker might seem an unlikely proving ground for fuel cells—after all, fuel cells might soon be competing with batteries in the motive power market—East Penn doesn't see the cells as a threat. In fact, it sees them as a potential addition to its product line.
East Penn is not working on the fuel cell project alone, however. In December 2004, the Lyon Station, Pa.-based company began discussions with Nuvera Fuel Cells of Billerica, Mass., about developing a fuel cell-based unit for electric lift trucks. The result of their collaboration is the ReadyPower, a hybrid device that combines Nuvera's fuel cell technology with East Penn's lead-acid battery design. The two companies eventually hope to make the device available commercially.
Before it can begin selling the ReadyPower to customers, however, East Penn first needs proof of concept. Testing the unit on its own lift trucks has given the battery maker a way to validate the concept as well as work out any bugs. "We want this operation to be as seamless as possible for our customers' operations," says Jim Rubright, East Penn's vice president of motive power sales and the executive in charge of the fuel cell project. "They don't have time to experiment with new technology. They need to know it will work and work well, and we plan on proving that to them by using it in our own operation."
Getting the lead out
Although the use of fuel cells to power vehicles is still in the developmental stages, the technology itself is nothing new. First developed in the 19th century, fuel cells later were made famous when the National Aeronautics and Space Administration used fuel cells to supply electricity and water on manned space flights.
Hydrogen fuel cells like the ones used in the ReadyPower units use hydrogen and oxygen to produce electricity. The only byproducts are water and heat, which makes them an environmentally friendly power source. Fuel cells differ from batteries in that they consume reactant (hydrogen), which must be replenished, whereas batteries store energy chemically. The ReadyPower unit consists of a fuel cell stack and a set of "peaking batteries" to provide auxiliary power. The peaking batteries are sealed absorbed glass mat (AGM) units that require no maintenance.
In operation, the fuel cell provides a regular supply of electric power to operate the vehicle and, at the same time, recharge the peaking batteries on board the truck. If the truck needs extra power to, say, lift a heavy load, the unit draws on the batteries for the extra oomph. "If the truck needs more power than the fuel cell can provide, the batteries kick in," explains Rubright.
The ReadyPower unit also contains a tank filled with compressed hydrogen gas. Although the size of the tank may vary, all tanks hold at least 0.6 kilograms of hydrogen. During its trials, East Penn has been experimenting with different sized hydrogen tanks and peaking batteries. (The fuel cell stack, by contrast, has remained a constant size in all models—14.6 by 17.3 by 20.7 inches.) A control panel is plugged into the ReadyPower unit and mounted on the lift truck to let the operator know when his fuel tank is empty.
The ReadyPower unit itself was engineered to be easily interchangeable with a lead-acid battery. "Our design is basically plug and play," Rubright says. "We can pull a lead-acid battery out and put a ReadyPower in its place if we want to, with no modifications to the truck."
Rubright reports that one of the challenges in designing the ReadyPower unit was handling the disposal of the water generated by the system. After some experimentation, East Penn came up with a mechanism for water evaporation as well as reuse. "In some other systems, you have to empty a [water] collection tank," he explains. "Ours is a water-neutral system."
In the design process, East Penn also had to address counterbalance issues— that is, keeping weight distributed evenly in order to prevent the truck from tipping over. The ReadyPower unit meets the same center-of-gravity and counterweight requirements as the lead-acid battery it is replacing.
Rubright reports that the ReadyPower unit has undergone constant tweaking during the last two years of testing. "We've subjected our unit to shock and vibration testing," he says. "And we've [made] a lot of improvements."
Consistent performers
As for the hybrid units' performance, the forklift drivers report several advantages to using the ReadyPower unit over traditional lead-acid batteries. For instance, the hybrids eliminate the need for operators to drive over to a special charging area at the end of a shift and remove a 3,000-pound battery for recharging. Instead, the drivers pull the truck up to a dispenser and refuel the unit with liquid hydrogen. Refueling takes just 30 to 90 seconds. "The operators love it," says Rubright. "And you no longer have to maintain a battery room with charging equipment."
The operators also report that the trucks using the ReadyPower units run "crisp." As Rubright explains, they're referring to the hybrid unit's ability to deliver a steady supply of power throughout the shift, in contrast to the traditional battery, whose voltage drops as the day wears on, making the truck sluggish. "As long as you have hydrogen in the [ReadyPower's] tank," he says, "the truck operates as if it's on a freshly charged battery all day long."
Rubright suspects that the elimination of "voltage lag" has led to increased productivity within the distribution center. In future tests he hopes to be able to demonstrate that operators on ReadyPower-equipped trucks move more pallets per day than their counterparts on traditional trucks do.
A chicken-egg dilemma
Although the beta ReadyPower units have shown considerable promise in testing, the technology still faces some obstacles to widespread adoption. For starters, a distribution facility using this technology needs storage tanks of hydrogen fuel on site. A company could purchase hydrogen from a commercial gas dealer or generate it from natural gas. East Penn plans to offer customers a "Total Power Solution" that provides on-site hydrogen generation, storage, and dispensing abilities.
In its own operation, the company has been producing hydrogen from natural gas at its site through the process of steam reforming. In that process, natural gas (mostly methane) is combined with steam over a catalyst bed to produce hydrogen. "There's a significant advantage to generating your own hydrogen," says Rubright. "The cost per kilogram for generating your own hydrogen can be half to two-thirds the cost of what you buy."
But the main obstacle to wider deployment of this technology remains price. "The industry knows we have to bring the cost down," says Rubright, who declined to give specifics on the actual cost of a ReadyPower unit. "It's the old chicken and egg thing. You have to have economies of scale [to bring down the cost], and at the same time, you're trying to get the technology out there in the market [to develop the needed scale]." He acknowledges that the technology may never be economical for light-duty or short-shift applications.
As for the next step, East Penn is now preparing to expand its pilot beyond its own four walls. Rubright reports that the company has lined up customers to deploy beta ReadyPower units in their own lift trucks later this year.
With more companies signing on to use the hybrid technology, is East Penn worried about the effects on its battery sales? Rubright dismisses that concern. He believes that the traditional lead-acid battery units will continue to be sold alongside units like the ReadyPower. "We envision this as one of the solutions in the bag," he says. "Whatever works best for the customer is what we want to recommend."
Editor's note: To read more about the use of fuel cells to power industrial trucks, see our June 2007 story "fuel cells get hotter."
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%."
IT projects can be daunting, especially when the project involves upgrading a warehouse management system (WMS) to support an expansive network of warehousing and logistics facilities. Global third-party logistics service provider (3PL) CJ Logistics experienced this first-hand recently, embarking on a WMS selection process that would both upgrade performance and enhance security for its U.S. business network.
The company was operating on three different platforms across more than 35 warehouse facilities and wanted to pare that down to help standardize operations, optimize costs, and make it easier to scale the business, according to CIO Sean Moore.
Moore and his team started the WMS selection process in late 2023, working with supply chain consulting firm Alpine Supply Chain Solutions to identify challenges, needs, and goals, and then to select and implement the new WMS. Roughly a year later, the 3PL was up and running on a system from Körber Supply Chain—and planning for growth.
SECURING A NEW SOLUTION
Leaders from both companies explain that a robust WMS is crucial for a 3PL's success, as it acts as a centralized platform that allows seamless coordination of activities such as inventory management, order fulfillment, and transportation planning. The right solution allows the company to optimize warehouse operations by automating tasks, managing inventory levels, and ensuring efficient space utilization while helping to boost order processing volumes, reduce errors, and cut operational costs.
CJ Logistics had another key criterion: ensuring data security for its wide and varied array of clients, many of whom rely on the 3PL to fill e-commerce orders for consumers. Those clients wanted assurance that consumers' personally identifying information—including names, addresses, and phone numbers—was protected against cybersecurity breeches when flowing through the 3PL's system. For CJ Logistics, that meant finding a WMS provider whose software was certified to the appropriate security standards.
"That's becoming [an assurance] that our customers want to see," Moore explains, adding that many customers wanted to know that CJ Logistics' systems were SOC 2 compliant, meaning they had met a standard developed by the American Institute of CPAs for protecting sensitive customer data from unauthorized access, security incidents, and other vulnerabilities. "Everybody wants that level of security. So you want to make sure the system is secure … and not susceptible to ransomware.
"It was a critical requirement for us."
That security requirement was a key consideration during all phases of the WMS selection process, according to Michael Wohlwend, managing principal at Alpine Supply Chain Solutions.
"It was in the RFP [request for proposal], then in demo, [and] then once we got to the vendor of choice, we had a deep-dive discovery call to understand what [security] they have in place and their plan moving forward," he explains.
Ultimately, CJ Logistics implemented Körber's Warehouse Advantage, a cloud-based system designed for multiclient operations that supports all of the 3PL's needs, including its security requirements.
GOING LIVE
When it came time to implement the software, Moore and his team chose to start with a brand-new cold chain facility that the 3PL was building in Gainesville, Georgia. The 270,000-square-foot facility opened this past November and immediately went live running on the Körber WMS.
Moore and Wohlwend explain that both the nature of the cold chain business and the greenfield construction made the facility the perfect place to launch the new software: CJ Logistics would be adding customers at a staggered rate, expanding its cold storage presence in the Southeast and capitalizing on the location's proximity to major highways and railways. The facility is also adjacent to the future Northeast Georgia Inland Port, which will provide a direct link to the Port of Savannah.
"We signed a 15-year lease for the building," Moore says. "When you sign a long-term lease … you want your future-state software in place. That was one of the key [reasons] we started there.
"Also, this facility was going to bring on one customer after another at a metered rate. So [there was] some risk reduction as well."
Wohlwend adds: "The facility plus risk reduction plus the new business [element]—all made it a good starting point."
The early benefits of the WMS include ease of use and easy onboarding of clients, according to Moore, who says the plan is to convert additional CJ Logistics facilities to the new system in 2025.
"The software is very easy to use … our employees are saying they really like the user interface and that you can find information very easily," Moore says, touting the partnership with Alpine and Körber as key to making the project a success. "We are on deck to add at least four facilities at a minimum [this year]."