Emerging technologies may be the future of lift truck propulsion, but the lead acid battery will remain the dominant technology in the DC for some time to come.
George Weimer has been covering business and industry for almost four decades, beginning with Penton Publishing's Steel Magazine in 1968 where his first "beat" was the material handling industry. He remained with Steel for two years and stayed for two more when it became Industry Week in 1970. He subsequently joined Iron Age, where he spent a dozen years as its regional and international machine tool editor. He then re-joined Penton Publishing as chief editor of Automation Magazine and in 1993 returned to Industry Week as executive editor. He has been a contributing editor for several publications, including Material Handling Management, where his columns and feature articles regularly generated lively discussion in the industry. He has won various awards from major journalism organizations. He has covered numerous trade shows here and abroad and has spoken to various industrial and trade groups on the current issues and events of the day as they impinge on business. He remains convinced that material handling technology and logistics are two of the major sources of productivity improvement today and in the future for all industries.
In an era of spiking energy prices and mounting "green" imperatives, it's not hard to understand the industry's fascination with the technology of tomorrow—the fuel cells, hybrid power packs, and such that will someday be used to run lift trucks. And there seems little doubt that those technologies will have an important role in the DC of the future.
But right now, lead acid batteries, and the related charging and handling tools, still dominate, and it looks like they won't be going away anytime soon. The technology is proven and reliable, and many experts believe it will remain the standard in warehouses for at least another decade.
It's cost effective as well. Jim Lane, vice president of sales for MTC Worldwide, a Temple, Texas-based manufacturer of battery handling equipment, says that when it comes to technologies for powering industrial trucks, batteries have the clear cost advantage. "Overall, lead acid batteries' cost per kilowatt [makes them] the lowest-priced form of energy available for lift trucks."
And they're becoming more cost effective all the time. The last few years have seen a big push to improve battery efficiency and economics, as well as to simplify maintenance. The emergence of AC technology, for example, has allowed lift trucks to run for longer intervals between charges. Developments like fast charging, improved handling and charging systems, and advanced battery management tools provide DC managers with a host of options to get the most out of their batteries, and thus, their lift truck fleets.
In fact, lead acid batteries and their handling systems are a very much improved technology com- pared to just a decade ago. "Today, battery handling systems are more precisely engineered," says Terry Orf, vice president global sales and marketing for St. Louis-based Battery Handling Systems. Manufacturers have adopted modeling techniques to reduce production issues and improve tolerances, he explains.
On top of that, today's systems make greater use of automation— including tools like lasers for precise battery placement—than their predecessors did. "We see automation playing an increasing role in battery changing," says Dan Dwyer, vice president and general manager for Sackett Systems of Bensenville, Ill.
Among other advantages, automation promises to ease what is fast becoming one of the top challenges for DC managers: finding skilled labor. "The biggest commodity problem facing the industry will soon be a shortage of employees with the right skill sets," says John Pratt, president of Multi-Shifter, a Charlotte, N.C.-based maker of battery handling equipment. "We're going from a people-looking-for-jobs economy to a jobs-looking-for-people economy."
Charge it!
Today's DC managers also have choices when it comes to battery-charging technologies. Traditional battery changing systems have been challenged in recent years by developers of fast-charging and park-and-charge systems.
As for what managers should consider when choosing a technology for their operation, factors include changeover and operational costs, as well as the demands on trucks used in multi-shift operations. Battery diagnostics, maintenance, and life cycles are other issues that come into play.
"The advent of operation-embedded charging has shifted the accountability of battery management from people to the chargers themselves," says Lisa Horiuchi Heiberg, director of marketing and venture development for Monrovia, Calif.-based AeroVironment, whose PosiCharge systems are among the market leaders in fast charging. "The best of these chargers are intelligent rather than just fast, because a high-current charge without sophisticated controllers will result in damaged batteries and compromised run time."
Fast charging, with its sophisticated controllers and high-powered chargers, allows opportunity charging—that is plugging a battery in to charge during breaks, lunch, or other opportunities.
The last few months have seen a flurry of new product introductions in this area. In May, for example, Portsmouth, N.H.-based On Board Solutions introduced a line of multi-stage commercial and industrial grade battery chargers, the ProTech-C Series for 24- and 36-volt DC applications.
On Board Solutions president Bob Unger notes that this new series of chargers reflects another developing trend in the industry. "These new products are what we call global in design; they fit lots of different kinds of equipment used all over the world," he says.
Also in May, Sackett Systems introduced its Centurion Elite Automatic Changing System, a follow-up to its Northstar System, an automated one-minute battery changing, storage, and management system that it launched in 2007. The system allows forklift drivers to change their own batteries, reducing the need for trained specialists, who are in increasingly short supply. "The benefits of this system are labor savings, reduced equipment damage, and improved battery efficiency," says Dwyer.
What the future holds
Though they're certainly not abandoning their traditional battery research and development programs, a number of manufacturers have expanded their programs to include alternative or hybrid technologies. Several of those technologies have already shown great promise. For example, East Penn Manufacturing Co. Inc., maker of the Deka brand industrial batteries, has conducted several successful trials of a new hybrid fuel cell/battery unit, ReadyPower (see "all charged up," DC VELOCITY, June 2008).
Hawker, a major battery maker with a manufacturing plant in Warrensburg, Mo., is developing what it calls the Thin Plate Pure Lead (TPPL) technology for use in forklifts. "TPPL offers great energy densities, accepts higher recharge rates, and ... could make an enormous impact in the future," says Dean Portney, national accounts manager for Hawker, which is an EnerSys company.
In the meantime, Portney says, Hawker has seen growing demand for its high-frequency chargers from energy-conscious DCs. The company says the chargers, which it has sold for 25 years, are able to use a greater percentage of incoming electricity than other charger technologies.
In fact, there's evidence that the nascent green movement is boosting interest in electric lift trucks in general, since electric models are significantly cleaner than their internal combustion counterparts. Lift truck fleet managers face mounting regulatory pressure to reduce emissions, particularly in California. There, rules imposed by the California Air Resources Board last year require reductions in emissions for fleets of four or more vehicles, with the first phase of the regulations taking effect on Jan. 1 of next year. "Actually, we are receiving more calls from customers with LP (liquid propane) fleets who are trying to convert to electric lift trucks for environmental reasons," says Dwyer. "We see this change as a growth opportunity."
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]."