Cookware company Meyer knew that overhauling its poorly performing palletizer and conveyors could improve productivity at the dock. What the company didn't expect was to stumble upon a whole new use for the equipment.
Susan Lacefield has been working for supply chain publications since 1999. Before joining DC VELOCITY, she was an associate editor for Supply Chain Management Review and wrote for Logistics Management magazine. She holds a master's degree in English.
As part of your maintenance routine, do you evaluate your material handling systems to make sure they're meeting expectations? If not, maybe you should. Doing this type of periodic analysis can be well worth the effort. In addition to exposing existing problems, this sort of exercise may point you to new ways to use the equipment.
Consider the case of cookware distributor Meyer Corp., U.S. In 2009, the company, whose products include such well-known brands as Anolon, Circulon, and Farberware, was uncomfortably aware that its existing palletizer and supporting conveyor system wasn't performing to standard.
The palletizer had been installed five years previously to speed up the inbound container unloading process. The idea was that as trucks arrived at dock doors, merchandise would be unloaded and whisked to the palletizer by a spaghetti-like network of conveyors. The palletizer would then automatically stack the items on pallets, and the pallets would be sent to storage.
Had the equipment worked correctly, it should have increased throughput twofold over offloading containers manually. But Meyer was never really able to get the conveyors and the palletizer to play well together. "It never really reached its potential," says Mark Warcholski, Meyer's director of warehouse operations. It got to the point where the system was down more than it was up, he says.
Because the system was so unreliable, it was never embraced by the team, Warcholski adds. Eventually, DC employees became so disillusioned with the equipment that many simply bypassed the palletizer and supporting conveyors and sent trucks to regular dock doors for manual unloading, according to Dave Rebata of Flostor, an integrator that stepped in to help Meyer address the issue.
Too many integrators
As for the source of the problem, Warcholski does not blame the equipment itself. There was nothing wrong with the palletizer's hardware, he says. Instead, he believes that Meyer used too many integrators to incorporate the palletizer into its overall material handling system. This lack of cohesiveness caused continual failures for the palletizer and kept it from working smoothly with the company's conveyor systems.
It was obvious to Warcholski and his team that something had to be done. The company couldn't afford to carry what was essentially a non-performing asset on its books. Replacement wasn't an option either—particularly as Meyer was already in the middle of an AS/RS installation project at its main DC in Fairfield, Calif., where it was consolidating distribution operations. The team would have to find a way to make the existing asset work in harmony with the rest of the equipment—in other words, solve the integration problem.
Coincidentally, Warcholski's team was already working with an integrator, Flostor, on another project—one that involved the installation of a pick module at the Fairfield DC. It was during a budget meeting with Flostor that a member of Warcholski's team had a unique idea: Why not use the same conveyors and controls that were already being used to feed the palletizer on the inbound side to move outbound products from the pick module to the correct outbound trailer? In other words, connect the conveyors to the planned pick module, add a sortation system to the existing conveyors, and then extend the conveyors into trucks for outbound delivery. "The more we looked at it, the more we thought, 'Yeah, that's a really good idea,'" recalls Rebata.
First step: brain surgery
But first, the team needed to get the palletizer to do what it was designed to do. "We basically had to gut the current system and give it a new brain," explains Warcholski. "That doesn't mean we were disassembling any of the mechanical pieces. It was really looking into the software and partnering back up with the manufacturer, Columbia, and getting it working the way it needed to."
This time around, Meyer was determined not to repeat past mistakes. "When we [first set up the system], there were too many people involved," says Warcholski. "This time, we went with Flostor and told them, 'You're the single integrator.'"
After partnering with Columbia to work out the bugs in the system, Flostor began looking at the mechanics of incorporating the palletizer case conveyor into the outbound flow. Could the conveyor be easily switched from running in one direction for inbound receiving to running the opposite way for outbound deliveries? Was there a way to set up the system so that Meyer could quickly turn off the palletizer and turn on the sorter as part of its daily operations?
After studying the problem, the integrator decided the answer to both questions was yes. Working together with Meyer, Flostor successfully assembled a pick module that could interface with the palletizer and be used for outbound sortation. This was no small accomplishment, according to Rebata. "It's very unusual for somebody to come in and do this using an existing system," he says. "By the time that system is up and running the way it should be for one process, it's very difficult to make it turn on a dime and work for another process. A lot of work has to go behind it."
Two for one
But it was this decision to use the conveyor system in two different ways that really made the project a success, according to Warcholski. Not only was Meyer finally able to use the equipment for its intended purpose, but the company was also able to use it in a totally different capacity.
By all accounts, the project has resulted in significant operational benefits. "It increased our volume capacity twofold, allowed us to reduce labor, and increased our productivity," says Warcholski. Now, during non-peak season, the swing shift uses the palletizer on the inbound side, and the day shift uses it to process outbound cases. This has allowed the company to reduce its non-peak outbound shifts from two to one.
Better yet, the solution proved economical. By reusing an existing system, the company was able to avoid making a $2 million investment in new conveyors and controls. In addition, the implementation time was much shorter than if Meyer had started from scratch. Meyer began to see the payback immediately, according to Warcholski.
Meyer is not done with reviewing its palletizer and conveyor system (or for that matter, the other systems that were installed around it). Based on the success of the project, the company says that over the next three to five years, it will be continually looking at its systems to make sure they're performing at optimal levels—and being put to maximum use.
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.