Utz finds creative solution to fending off snack attacks
Utz Quality Foods wanted a way to assure there was nothing in its bags of snack foods but the product itself. With its new automated system and in-line X-ray, it now has visual proof.
Peter Bradley is an award-winning career journalist with more than three decades of experience in both newspapers and national business magazines. His credentials include seven years as the transportation and supply chain editor at Purchasing Magazine and six years as the chief editor of Logistics Management.
To some, the name Utz is synonymous with potato chips. But serious snack food fans know better. As they can tell you, the Hanover, Pa.-based company also makes pretzels, cheese curls, cheese balls, popcorn, tortilla chips, and party mix—essentially everything needed for an afternoon of watching football but the TV.
Since its founding in 1921, Utz Quality Foods has grown to become one of the largest privately held snack companies in the United States, serving markets along the East Coast from Maine into the Carolinas. It distributes its products through a network of regional DCs—both company-owned and leased facilities—extending across 15 states. In addition to the regional DCs, Utz operates what it calls its "World Distribution Center," a facility located adjacent to one of the company's four manufacturing plants in Hanover. From there, orders are shipped daily to the distribution network using Utz's private fleet and outside trucking firms, says Jeff Fuhrman, the company's vice president of engineering. A separate warehouse for bulk distribution serves its big box and warehouse club customers.
Given the high volume of products it ships out to major companies, Utz was becoming increasingly concerned about ensuring the integrity of every bag of snacks. "Food safety became an issue for us," says Fuhrman. In particular, Utz wanted to find a way to assure that as products passed through manufacturing to the consumer, they were free of foreign contamination.
When it came to specifying its requirements for the system, the company set the bar pretty high. Essentially, what it wanted was an ultra-reliable method of inspecting high volumes of product without creating unnecessary delays. Eventually, it found the solution it sought. Working in collaboration with Hytrol Conveyor Co. and its material handling systems integrator Wepco Inc., the company came up with an innovative blend of X-ray technology and automated material handling equipment that has both enhanced the safety of its products and boosted the operation's productivity.
High-tech inspections
The centerpiece of the new system, which went into operation at Utz's Kindig Lane manufacturing and central distribution facility this summer, is a conveyor system that whisks finished cartons from packaging through an X-ray device and on to an automated sorter prior to palletizing and shipping.
Under the new process, machines do most of the heavy lifting, freeing workers for lighter duties and problem-solving tasks. After the cartons are packed in production, workers manually apply bar-code labels to each carton with the appropriate product and expiration code information. The cartons are placed onto one of eight Hytrol E24 conveyor lines, where they accumulate prior to being loaded onto one of eight vertical lifts. The vertical lifts (supplied by United Sortation Solutions) elevate the cartons so they can be merged onto a main conveyor line, which in turn carries them around a 90-degree curve onto a mezzanine and on to the X-ray detector.
While the cartons are moving through the system, information on their contents is being fed to the X-ray device. "Prior to passing through the X-ray detector, the bar code of each carton is scanned and the product SKU information is sent to the X-ray system," Fuhrman explains. "What we're looking for are foreign objects, missing product, seasoning conglomerates, and incorrect weights."
If any of those conditions are detected, the system rejects the case into a contaminated lane, an over/underweight lane, or a failed bar-code read lane. "The system captures an image of each carton, making it easy for employees to identify which package in the carton has a problem," Fuhrman adds.
When the X-ray system rejects a carton, it sends an alert to the DC managers. Employees then address any cartons that were rejected, removing the problem package or investigating the cause of a failed bar-code read. The corrected cartons are then reintroduced into the system at a point prior to the X-ray detector.
Cartons that pass through the X-ray system without issues descend on a spiral conveyor past a bar-code reader and onto a Hytrol two-sided narrow belt sorter. The sorter diverts cartons to one of 14 gravity sort lanes as determined by the bar code. At the end of these gravity lanes, workers palletize the cartons by hand. Cartons the scanner failed to read are diverted to a designated gravity sort lane. When a lane is full, cartons recirculate through the sorter until they can be accommodated.
Big plans for the future
As for how it's all working out to date, Fuhrman has high praise for the new system. In addition to achieving the primary goal of food safety, he says, it has yielded a number of other benefits.
For one thing, it has streamlined operations, providing Utz with a significant boost in productivity. For another, it has enabled the company to make more productive use of space in the DC. On top of that, it has improved product quality, Fuhrman adds. The X-ray helps detect what he calls "conglomerates," such as seasonings or products that have clumped together.
When asked what's next, Fuhrman says the company will add automated case packing and palletizing equipment to the system in the near future. In addition, he says, there are plans to install six additional vertical lifts. "We've set up the infrastructure for a totally automated system," he says.
But perhaps the best measure of the system's success is the company's decision to expand it beyond the Kindig Lane facility. Fuhrman reports that Utz will soon install similar systems at its other manufacturing plants to ensure that no foreign objects of any kind find their way into its products. "Our food safety goal is to X-ray every product," he says. "This has been a huge help."
The Port of Oakland has been awarded $50 million from the U.S. Department of Transportation’s Maritime Administration (MARAD) to modernize wharves and terminal infrastructure at its Outer Harbor facility, the port said today.
Those upgrades would enable the Outer Harbor to accommodate Ultra Large Container Vessels (ULCVs), which are now a regular part of the shipping fleet calling on West Coast ports. Each of these ships has a handling capacity of up to 24,000 TEUs (20-foot containers) but are currently restricted at portions of Oakland’s Outer Harbor by aging wharves which were originally designed for smaller ships.
According to the port, those changes will let it handle newer, larger vessels, which are more efficient, cost effective, and environmentally cleaner to operate than older ships. Specific investments for the project will include: wharf strengthening, structural repairs, replacing container crane rails, adding support piles, strengthening support beams, and replacing electrical bus bar system to accommodate larger ship-to-shore cranes.
Commercial fleet operators are steadily increasing their use of GPS fleet tracking, in-cab video solutions, and predictive analytics, driven by rising costs, evolving regulations, and competitive pressures, according to an industry report from Verizon Connect.
Those conclusions come from the company’s fifth annual “Fleet Technology Trends Report,” conducted in partnership with Bobit Business Media, and based on responses from 543 fleet management professionals.
The study showed that for five consecutive years, at least four out of five respondents have reported using at least one form of fleet technology, said Atlanta-based Verizon Connect, which provides fleet and mobile workforce management software platforms, embedded OEM hardware, and a connected vehicle device called Hum by Verizon.
The most commonly used of those technologies is GPS fleet tracking, with 69% of fleets across industries reporting its use, the survey showed. Of those users, 72% find it extremely or very beneficial, citing improved efficiency (62%) and a reduction in harsh driving/speeding events (49%).
Respondents also reported a focus on safety, with 57% of respondents citing improved driver safety as a key benefit of GPS fleet tracking. And 68% of users said in-cab video solutions are extremely or very beneficial. Together, those technologies help reduce distracted driving incidents, improve coaching sessions, and help reduce accident and insurance costs, Verizon Connect said.
Looking at the future, fleet management software is evolving to meet emerging challenges, including sustainability and electrification, the company said. "The findings from this year's Fleet Technology Trends Report highlight a strong commitment across industries to embracing fleet technology, with GPS tracking and in-cab video solutions consistently delivering measurable results,” Peter Mitchell, General Manager, Verizon Connect, said in a release. “As fleets face rising costs and increased regulatory pressures, these technologies are proving to be indispensable in helping organizations optimize their operations, reduce expenses, and navigate the path toward a more sustainable future.”
Businesses engaged in international trade face three major supply chain hurdles as they head into 2025: the disruptions caused by Chinese New Year (CNY), the looming threat of potential tariffs on foreign-made products that could be imposed by the incoming Trump Administration, and the unresolved contract negotiations between the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX), according to an analysis from trucking and logistics provider Averitt.
Each of those factors could lead to significant shipping delays, production slowdowns, and increased costs, Averitt said.
First, Chinese New Year 2025 begins on January 29, prompting factories across China and other regions to shut down for weeks, typically causing production to halt and freight demand to skyrocket. The ripple effects can range from increased shipping costs to extended lead times, disrupting even the most well-planned operations. To prepare for that event, shippers should place orders early, build inventory buffers, secure freight space in advance, diversify shipping modes, and communicate with logistics providers, Averitt said.
Second, new or increased tariffs on foreign-made goods could drive up the cost of imports, disrupt established supply chains, and create uncertainty in the marketplace. In turn, shippers may face freight rate volatility and capacity constraints as businesses rush to stockpile inventory ahead of tariff deadlines. To navigate these challenges, shippers should prepare advance shipments and inventory stockpiling, diversity sourcing, negotiate supplier agreements, explore domestic production, and leverage financial strategies.
Third, unresolved contract negotiations between the ILA and the USMX will come to a head by January 15, when the current contract expires. Labor action or strikes could cause severe disruptions at East and Gulf Coast ports, triggering widespread delays and bottlenecks across the supply chain. To prepare for the worst, shippers should adopt a similar strategy to the other potential January threats: collaborate early, secure freight, diversify supply chains, and monitor policy changes.
According to Averitt, companies can cushion the impact of all three challenges by deploying a seamless, end-to-end solution covering the entire path from customs clearance to final-mile delivery. That strategy can help businesses to store inventory closer to their customers, mitigate delays, and reduce costs associated with supply chain disruptions. And combined with proactive communication and real-time visibility tools, the approach allows companies to maintain control and keep their supply chains resilient in the face of global uncertainties, Averitt said.
Bloomington, Indiana-based FTR said its Trucking Conditions Index declined in September to -2.47 from -1.39 in August as weakness in the principal freight dynamics – freight rates, utilization, and volume – offset lower fuel costs and slightly less unfavorable financing costs.
Those negative numbers are nothing new—the TCI has been positive only twice – in May and June of this year – since April 2022, but the group’s current forecast still envisions consistently positive readings through at least a two-year forecast horizon.
“Aside from a near-term boost mostly related to falling diesel prices, we have not changed our Trucking Conditions Index forecast significantly in the wake of the election,” Avery Vise, FTR’s vice president of trucking, said in a release. “The outlook continues to be more favorable for carriers than what they have experienced for well over two years. Our analysis indicates gradual but steadily rising capacity utilization leading to stronger freight rates in 2025.”
But FTR said its forecast remains unchanged. “Just like everyone else, we’ll be watching closely to see exactly what trade and other economic policies are implemented and over what time frame. Some freight disruptions are likely due to tariffs and other factors, but it is not yet clear that those actions will do more than shift the timing of activity,” Vise said.
The TCI tracks the changes representing five major conditions in the U.S. truck market: freight volumes, freight rates, fleet capacity, fuel prices, and financing costs. Combined into a single index indicating the industry’s overall health, a positive score represents good, optimistic conditions while a negative score shows the inverse.
Specifically, the new global average robot density has reached a record 162 units per 10,000 employees in 2023, which is more than double the mark of 74 units measured seven years ago.
Broken into geographical regions, the European Union has a robot density of 219 units per 10,000 employees, an increase of 5.2%, with Germany, Sweden, Denmark and Slovenia in the global top ten. Next, North America’s robot density is 197 units per 10,000 employees – up 4.2%. And Asia has a robot density of 182 units per 10,000 persons employed in manufacturing - an increase of 7.6%. The economies of Korea, Singapore, mainland China and Japan are among the top ten most automated countries.
Broken into individual countries, the U.S. ranked in 10th place in 2023, with a robot density of 295 units. Higher up on the list, the top five are:
The Republic of Korea, with 1,012 robot units, showing a 5% increase on average each year since 2018 thanks to its strong electronics and automotive industries.
Singapore had 770 robot units, in part because it is a small country with a very low number of employees in the manufacturing industry, so it can reach a high robot density with a relatively small operational stock.
China took third place in 2023, surpassing Germany and Japan with a mark of 470 robot units as the nation has managed to double its robot density within four years.
Germany ranks fourth with 429 robot units for a 5% CAGR since 2018.
Japan is in fifth place with 419 robot units, showing growth of 7% on average each year from 2018 to 2023.