In Simon & Schuster's fast-paced distribution operations, the warehouse management system may call the shots. But it's the warehouse control system that makes sure things get done.
David Maloney has been a journalist for more than 35 years and is currently the group editorial director for DC Velocity and Supply Chain Quarterly magazines. In this role, he is responsible for the editorial content of both brands of Agile Business Media. Dave joined DC Velocity in April of 2004. Prior to that, he was a senior editor for Modern Materials Handling magazine. Dave also has extensive experience as a broadcast journalist. Before writing for supply chain publications, he was a journalist, television producer and director in Pittsburgh. Dave combines a background of reporting on logistics with his video production experience to bring new opportunities to DC Velocity readers, including web videos highlighting top distribution and logistics facilities, webcasts and other cross-media projects. He continues to live and work in the Pittsburgh area.
Fame can be fleeting in the book publishing industry. A book that's a best-seller one week may be relegated to the half-price rack the next. That means that for book distributors, the pressure's on to whisk hot titles out to stores before they become paper weights.
To keep books flowing smoothly through its DCs, Simon & Schuster, one of the nation's largest book publishing houses, relies on a relatively unknown but powerful technology: a warehouse control system (WCS). Several years back, the publisher installed warehouse control systems from AL Systems at its two U.S. distribution centers to coordinate order fulfillment activities. The warehouse control systems are layered as "middleware" between the facilities' warehouse management systems and their material handling subsystems—conveyors, sorters, and the like. Essentially, the WCS serves as a "go between" or interface between the two, collecting information from the host system and then allocating work and providing specific instructions to the various pieces of material handling equipment.
Simon & Schuster is not alone in turning to a WCS to help run its operations. More and more companies are taking this route these days— usually, but not always, in conjunction with a WMS. (In some facilities, the WCS works directly with order- or inventory-management software.)
The appeal of warehouse control systems is not hard to understand. To begin with, they're affordable—warehouse control systems tend to be significantly less expensive than warehouse management systems. They're also quite versatile—warehouse control systems provide functionality that may not be available in standard warehouse management systems, or at least not without costly modifications. They're also easy to customize.
Compared to a WMS, a WCS is easier and cheaper to modify to meet a facility's individual needs. Also, for facilities with older warehouse management systems in place, a WCS can offer an economical means of upgrading. Oftentimes, a WCS can offer capabilities that older WMS systems lack, filling gaps and controlling processes that would otherwise require the user to upgrade—or even replace—its WMS.
Down to the nitty-gritty
In Simon & Schuster's case, the decision to install warehouse control systems was driven by a desire to gain greater control over its processes, in particular those processes associated with its extensive conveyor systems. "We have a lot of need for speed to the market and have to get our products there quickly," says Dave Schaeffer, the company's vice president of distribution and fulfillment.
The publisher uses the warehouse control systems in conjunction with warehouse management systems from Manhattan Associates at its distribution centers in Bristol, Pa., and Riverside, N.J. The two facilities, located about 11 miles apart, each measure about 600,000 square feet and hold different SKUs. Together, the two buildings provide distribution for all of North America and parts of Europe.
The WCS and WMS work together as part of an integrated system, says Schaeffer. "The warehouse control system controls the movement of cartons through the systems and onto the shipping docks. It works with the warehouse management system. But while the movement within the WMS is more product level, the actual real-time, minute-to-minute handling is done by the warehouse control system."
And that is precisely where warehouse control systems shine. Although warehouse management systems certainly have the capability to direct a number of warehouse processes, they typically perform most of their work at a higher level—for example, collecting orders, tracking and allocating inventory, and generating invoices. In contrast, the WCS is designed expressly to take care of the nitty-gritty operational details, telling the material handling subsystems not just what to do, but also how to do it (for example, directing a conveyor to send a case down a specific chute).
Ability to multi-task
In Simon & Schuster's Riverside facility, the WCS controls the movement of products over five miles of Hytrol conveyors, as well as a sliding-shoe shipping sorter and other subsorters. It also directs cartons through the facility's pick zones. The warehouse management system relays pick information to the warehouse control system, and the WCS then directs the actual picking activities, which for new titles usually involves picking full cases of books.
"The WMS and the WCS really work in partnership," says Schaeffer. "In our case, it really made sense to put more functionality into the WCS because of how the conveyors and the picking are integrated so closely together."
Schaeffer reports that directly linking the picking to the conveyor makes the conveyor more responsive to the picking process. "If there is a short on a pick," he says, "the conveyor can simply direct the carton to another lane before moving it on to shipping."
In addition to overseeing the picking of full cases of new titles, the WCS directs the split-case picking of older or "back list" titles—relaying picking instructions to workers via the company's Voxware voice system. Although the warehouse management system also has a module capable of directing the voice picking activities, Simon & Schuster chose to have the WCS manage its voice operations. Again, the advantage is that the WCS ties more closely into the related picking and material handling systems.
"The WCS has all of the components needed to direct voice," says Schaeffer. "The WCS can be molded easily and is just a better fit for the functionality." He adds that if Simon & Schuster someday decided to convert to, say, a pick-to-light system, it would be a simple matter to modify the WCS to handle that task.
In addition to picking, the WCS oversees quality control activities, which include check weighing (a process in which cartons are automatically weighed and their weight compared to the expected weight for the contents) and the selection of cartons for random inspection. It also handles all of the manifesting of orders.
As for Simon & Schuster's Bristol facility, the WCS there plays much the same role as its counterpart at Riverside. That is, it controls the movement of products through picking on the conveyors, full-case sortation, split-case sortation with weight verification, and the manifest stations. It also directs voice picking activities.
Ease of revision
All in all, Simon & Schuster believes the WCS is a good fit for its operations. For one thing, the WCS ensures that the operations and the associated equipment are tightly integrated, which allows both products and information to move swiftly and efficiently throughout the facilities. And when it comes time to make a change in any of the processes, the WCS can easily adapt.
"By its nature, the WCS is easy to upgrade," notes Schaeffer. "It is less complicated and is a more economical solution than upgrading a WMS."
As the Trump Administration threatens new steps in a growing trade war, U.S. manufacturers and retailers are calling for a ceasefire, saying the crossfire caused by the new tax hikes on American businesses will raise prices for consumers and possibly trigger rising inflation.
Tariffs are taxes charged by a country on its own businesses that import goods from other nations. Until they can invest in long-term alternatives like building new factories or finding new trading partners, companies must either take those additional tax duties out of their profit margins or pass them on to consumers as higher prices.
The Trump Administration on Thursday announced it may impose “reciprocal tariffs” on any country that currently holds tariffs on the import of U.S. goods. That step followed earlier threats to apply tariffs on the import of steel and aluminum beginning March 12, another plan to charge tariffs on the import of materials from Canada and Mexico—now postponed until early March—and new round of tariffs on imports from China including a 10% blanket increase and the elimination of the “de minimis” exception for individual items under a value of $800 each.
Various industry groups say that while the Administration may have legitimate goals in ramping up a trade war—such as lowering foreign tariff and non-tariff trade barriers—applying a strategy of hiking tariffs on imports coming into America would inflict economic harm on U.S. businesses and consumers.
“This tariff-heavy approach continues to gamble with our economic prosperity and is based on incomplete thinking about the vital role ethical and fairly traded imports play in the prosperity,” Steve Lamar, president and CEO of The American Apparel & Footwear Association (AAFA) said in a release. “Putting America first means ensuring predictability for American businesses that create U.S. jobs; affordable options for American consumers who power our economy; opportunities for farmers who feed our families; and support for tens of millions of U.S. workers whose trade dependent jobs make our factories, our stores, our warehouses, and our offices function. Sweeping new tariffs — a possible outcome of this exercise — instead puts America last, raising costs for American manufacturers for critical inputs and materials, closing key markets for American farmers, and raising prices for hardworking American families.”
A similar message came from the National Retail Federation (NRF), whose executive vice president of government relations, David French, said: “While we support the president’s efforts to reduce trade barriers and imbalances, this scale of undertaking is massive and will be extremely disruptive to our supply chains. It will likely result in higher prices for hardworking American families and will erode household spending power. We encourage the president to seek coordination and collaboration with our trading partners and bring stability to our supply chains and family budgets.”
The logistics tech firm Körber Supply Chain Software has a common position. "The imposition of new tariffs, or the suspension of tariffs, introduces substantial challenges for businesses dependent on international supply chains. Industries such as automotive and electronics, which rely heavily on cross-border trade with Mexico and Canada, are particularly vulnerable,” Steve Blough, Chief Strategist at Körber Supply Chain Software, said in an emailed statement. “Supply chains that are doing low-value ecommerce deliveries will have their business model thrown into complete disarray. The increased costs due to tariffs, or the increased costs in processing time due to suspensions, may lead to higher consumer prices and processing times.”
And further opposition to the strategy came from the California-based IT consulting firm Bristlecone. “Tariffs or the potential for tariffs increase uncertainty throughout the supply chain, potentially stalling deals, impacting the sourcing of raw materials, and prompting higher prices for consumers,” Jen Chew, Bristlecone’s VP of Solutions & Consulting, said in a statement. “Tariffs and other protectionist economic policies reflect an overarching trend away from global sourcing and toward local sourcing and production. However, despite the perceived benefits of local operations, some resources and capabilities may simply not be available locally, prompting manufacturers to continue operations overseas, even if it means paying steep tariffs.”
The Google-backed humanoid robot maker Apptronik on Thursday announced it had raised $350 million in venture funding to fuel the deployment of its “Apollo” model and to scale up operations, accelerate innovation, and hire more staff.
That innovation push will be specifically aimed at expanding Apollo’s capabilities, enabling it to address a wide range of applications in industries like logistics and manufacturing, as well as eldercare and healthcare.
Texas-based Apptronik is also scaling up manufacturing of Apollo units to fulfill growing orders across priority verticals—including automotive, electronics manufacturing, third-party logistics providers (3PLs), beverage bottling and fulfillment, and consumer packaged goods.
The “series A” venture round was co-led by B Capital and Capital Factory, with participation from Google. It follows $28 million in previous funding. Apprtronik was founded in 2016 at the University of Texas at Austin’s Human Centered Robotics Lab.
“With Apptronik, we see a world in which humanoid robots play a vital role in addressing societal challenges—from assisting with disaster relief and elder care to supporting space exploration and medical advancements. Industry leaders like Mercedes-Benz and GXO Logistics are already seeing the real-world impact of Apptronik's technology,” said Howard Morgan, chair and general partner of B Capital.
Warehouse automation orders declined by 3% in 2024, according to a February report from market research firm Interact Analysis. The company said the decline was due to economic, political, and market-specific challenges, including persistently high interest rates in many regions and the residual effects of an oversupply of warehouses built during the Covid-19 pandemic.
The research also found that increasing competition from Chinese vendors is expected to drive down prices and slow revenue growth over the report’s forecast period to 2030.
Global macro-economic factors such as high interest rates, political uncertainty around elections, and the Chinese real estate crisis have “significantly impacted sales cycles, slowing the pace of orders,” according to the report.
Despite the decline, analysts said growth is expected to pick up from 2025, which they said they anticipate will mark a year of slow recovery for the sector. Pre-pandemic growth levels are expected to return in 2026, with long-term expansion projected at a compound annual growth rate (CAGR) of 8% between 2024 and 2030.
The analysis also found two market segments that are bucking the trend: durable manufacturing and food & beverage industries continued to spend on automation during the downturn. Warehouse automation revenues in food & beverage, in particular, were bolstered by cold-chain automation, as well as by large-scale projects from consumer-packaged goods (CPG) manufacturers. The sectors registered the highest growth in warehouse automation revenues between 2022 and 2024, with increases of 11% (durable manufacturing) and 10% (food & beverage), according to the research.
The Swedish supply chain software company Kodiak Hub is expanding into the U.S. market, backed by a $6 million venture capital boost for its supplier relationship management (SRM) platform.
The Stockholm-based company says its move could help U.S. companies build resilient, sustainable supply chains amid growing pressure from regulatory changes, emerging tariffs, and increasing demands for supply chain transparency.
According to the company, its platform gives procurement teams a 360-degree view of supplier risk, resiliency, and performance, helping them to make smarter decisions faster. Kodiak Hub says its artificial intelligence (AI) based tech has helped users to reduce supplier onboarding times by 80%, improve supplier engagement by 90%, achieve 7-10% cost savings on total spend, and save approximately 10 hours per week by automating certain SRM tasks.
The Swedish venture capital firm Oxx had a similar message when it announced in November that it would back Kodiak Hub with new funding. Oxx says that Kodiak Hub is a better tool for chief procurement officers (CPOs) and strategic sourcing managers than existing software platforms like Excel sheets, enterprise resource planning (ERP) systems, or Procure-to-Pay suites.
“As demand for transparency and fair-trade practices grows, organizations must strengthen their supply chains to protect their reputation, profitability, and long-term trust,” Malin Schmidt, founder & CEO of Kodiak Hub, said in a release. “By embedding AI-driven insights directly into procurement workflows, our platform helps procurement teams anticipate these risks and unlock major opportunities for growth.”
Here's our monthly roundup of some of the charitable works and donations by companies in the material handling and logistics space.
For the sixth consecutive year, dedicated contract carriage and freight management services provider Transervice Logistics Inc. collected books, CDs, DVDs, and magazines for Book Fairies, a nonprofit book donation organization in the New York Tri-State area. Transervice employees broke their own in-house record last year by donating 13 boxes of print and video assets to children in under-resourced communities on Long Island and the five boroughs of New York City.
Logistics real estate investment and development firm Dermody Properties has recognized eight community organizations in markets where it operates with its 2024 Annual Thanksgiving Capstone awards. The organizations, which included food banks and disaster relief agencies, received a combined $85,000 in awards ranging from $5,000 to $25,000.
Prime Inc. truck driver Dee Sova has donated $5,000 to Harmony House, an organization that provides shelter and support services to domestic violence survivors in Springfield, Missouri. The donation follows Sova's selection as the 2024 recipient of the Trucking Cares Foundation's John Lex Premier Achievement Award, which was accompanied by a $5,000 check to be given in her name to a charity of her choice.
Employees of dedicated contract carrier Lily Transportation donated dog food and supplies to a local animal shelter at a holiday event held at the company's Fort Worth, Texas, location. The event, which benefited City of Saginaw (Texas) Animal Services, was coordinated by "Lily Paws," a dedicated committee within Lily Transportation that focuses on improving the lives of shelter dogs nationwide.
Freight transportation conglomerate Averitt has continued its support of military service members by participating in the "10,000 for the Troops" card collection program organized by radio station New Country 96.3 KSCS in Dallas/Fort Worth. In 2024, Averitt associates collected and shipped more than 18,000 holiday cards to troops overseas. Contributions included cards from 17 different Averitt facilities, primarily in Texas, along with 4,000 cards from the company's corporate office in Cookeville, Tennessee.