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.
Founded in 1735 in Berlin, Germany, beverage supplier Trinks has had a long time to figure out how to do distribution. But even long-standing processes need a change from time to time.
For example, take the picking process used at the Gosler, Germany-based company's regional distribution facilities. Trinks maintains 16 DCs within Germany from which it supplies some 7,000 customers—including restaurants, bars, and convenience stores—with beer, soft drinks, juices, and water. Up until 2006, the company used paper lists to pick orders, but it was becoming increasingly clear that paper could not provide the kind of performance it desired.
"Our workers had to pick up the paper to see the next item they needed to select, but it is hard to pick up a beverage case while holding papers," says Pascal Brettin, the logistics director at Trinks' distribution center in Niederbrechen.
After reviewing its options for upgrading its picking system, Trinks settled on voice. What led the distributor to pick voice was the technology's reputation for boosting productivity and accuracy. Because voice systems let workers receive picking instructions through headsets, rather than looking at a screen, they free up workers' eyes and hands for picking tasks. Trinks was also persuaded the technology would help cut down on picking and labeling errors.
The system Trinks eventually chose is the topVOX voice solution. Today, about 300 workers use the system daily to pick orders as well as conduct inventory and cycle counts. The company has installed the same systems in all 16 of its DCs, Brettin says. The decision to stick with a single system has brought "nothing but advantages" from an IT perspective, he adds.
Fast-flowing orders
Operations at the 75,350-square-foot Niederbrechen warehouse are fairly typical of those throughout the Trinks network. Some 1,300 SKUs of beverages are picked as case quantities at Niederbrechen each day during two or three shifts, depending on the season and demand. Inventory at the site turns swiftly, with the entire building turning every four days and top movers turning in just half a day, so the facility needs a quick, responsive system.
Typically, 12 workers on each shift are equipped with topVOX's VOXter hardware, which includes a compact dedicated computer unit worn on the belt or placed in a pocket along with a lightweight headset.
Picking is directed by the topSpeech-Lydia voice picking software, which interfaces in real time with the company's warehouse management system (WMS). Workers can select a male or female voice and are able to easily adjust the speed of the spoken directions.
"Lydia" directs a worker to the location of each pick and instructs the picker to select the appropriate number of cases from a bottom rack level. Upon arrival at the location, the worker must read off a check digit displayed at each rack position to verify he's in the correct spot. He selects the required number of cases, placing them onto a pallet jack capable of holding two pallets.
Once a pallet is full or the order is complete, the worker uses the voice system to direct the WMS to print a pallet label, which he collects from a printer next to the shipping area. This label, which he attaches to the pallet, contains basic shipping information, including how many cases should be on the pallet. The worker counts the cases and verifies that the number is correct. The pallet is then staged until it's ready to be loaded onto a truck.
No training required
One particular advantage of the topVOX solution for the Niederbrechen site is the "speaker independent" nature of the Lydia software. Speaker independent means there's no need to create a template for each user, as is the case with some voice systems. That's important at this facility, which relies on a temp agency to staff its picking operations. Though many workers return day after day, the agency can always assign new workers who are not familiar with warehouse work.
"There is absolutely no training required to use the voice system," says Brettin. "Once we show someone where the locations are, we can have them up and running within minutes."
The voice commands are simple and the system has proved to be exceptionally good at recognizing the workers' responses, according to Brettin. That is extremely important, as all of the current workers provided to Trinks are Latvian.
"The pickers do not even speak German," Brettin says. "They learn the few commands they need in German and learn to respond in German. And even with their heavy accents, the system is able to understand them." Should any of the workers require extra assistance, the Lydia software includes a feature called Co-Pilot that allows managers to log in on a computer to listen to a worker receive and respond to voice commands so they can provide additional coaching.
The system has proved so reliable that picking accuracy currently stands at 99.99 percent, according to Brettin. That represents a 20-percent reduction in errors since the facility moved from paper to voice.
The system also provides real-time data on picking, so that managers and the workers themselves can track their daily progress. That is significant, because workers are paid a bonus for any cases they pick above a threshold of 213 cases per hour. Currently, workers average around 300 cases per hour on the system. About 30,000 total cases are picked each day at Niederbrechen using voice, selected from 1,400 picking locations.
And the results? By all accounts, the new system is achieving exactly what the distributor had hoped. Brettin reports that productivity is up 18 percent over the paper-based system. "Everything with the voice system works impeccably," he adds. "We like the VOXter hardware, and we see the results. The voice system has been a huge improvement for us."
Supply chains are poised for accelerated adoption of mobile robots and drones as those technologies mature and companies focus on implementing artificial intelligence (AI) and automation across their logistics operations.
That’s according to data from Gartner’s Hype Cycle for Mobile Robots and Drones, released this week. The report shows that several mobile robotics technologies will mature over the next two to five years, and also identifies breakthrough and rising technologies set to have an impact further out.
Gartner’s Hype Cycle is a graphical depiction of a common pattern that arises with each new technology or innovation through five phases of maturity and adoption. Chief supply chain officers can use the research to find robotic solutions that meet their needs, according to Gartner.
Gartner, Inc.
The mobile robotic technologies set to mature over the next two to five years are: collaborative in-aisle picking robots, light-cargo delivery robots, autonomous mobile robots (AMRs) for transport, mobile robotic goods-to-person systems, and robotic cube storage systems.
“As organizations look to further improve logistic operations, support automation and augment humans in various jobs, supply chain leaders have turned to mobile robots to support their strategy,” Dwight Klappich, VP analyst and Gartner fellow with the Gartner Supply Chain practice, said in a statement announcing the findings. “Mobile robots are continuing to evolve, becoming more powerful and practical, thus paving the way for continued technology innovation.”
Technologies that are on the rise include autonomous data collection and inspection technologies, which are expected to deliver benefits over the next five to 10 years. These include solutions like indoor-flying drones, which utilize AI-enabled vision or RFID to help with time-consuming inventory management, inspection, and surveillance tasks. The technology can also alleviate safety concerns that arise in warehouses, such as workers counting inventory in hard-to-reach places.
“Automating labor-intensive tasks can provide notable benefits,” Klappich said. “With AI capabilities increasingly embedded in mobile robots and drones, the potential to function unaided and adapt to environments will make it possible to support a growing number of use cases.”
Humanoid robots—which resemble the human body in shape—are among the technologies in the breakthrough stage, meaning that they are expected to have a transformational effect on supply chains, but their mainstream adoption could take 10 years or more.
“For supply chains with high-volume and predictable processes, humanoid robots have the potential to enhance or supplement the supply chain workforce,” Klappich also said. “However, while the pace of innovation is encouraging, the industry is years away from general-purpose humanoid robots being used in more complex retail and industrial environments.”
An eight-year veteran of the Georgia company, Hakala will begin his new role on January 1, when the current CEO, Tero Peltomäki, will retire after a long and noteworthy career, continuing as a member of the board of directors, Cimcorp said.
According to Hakala, automation is an inevitable course in Cimcorp’s core sectors, and the company’s end-to-end capabilities will be crucial for clients’ success. In the past, both the tire and grocery retail industries have automated individual machines and parts of their operations. In recent years, automation has spread throughout the facilities, as companies want to be able to see their entire operation with one look, utilize analytics, optimize processes, and lead with data.
“Cimcorp has always grown by starting small in the new business segments. We’ve created one solution first, and as we’ve gained more knowledge of our clients’ challenges, we have been able to expand,” Hakala said in a release. “In every phase, we aim to bring our experience to the table and even challenge the client’s initial perspective. We are interested in what our client does and how it could be done better and more efficiently.”
Although many shoppers will
return to physical stores this holiday season, online shopping remains a driving force behind peak-season shipping challenges, especially when it comes to the last mile. Consumers still want fast, free shipping if they can get it—without any delays or disruptions to their holiday deliveries.
One disruptor that gets a lot of headlines this time of year is package theft—committed by so-called “porch pirates.” These are thieves who snatch parcels from front stairs, side porches, and driveways in neighborhoods across the country. The problem adds up to billions of dollars in stolen merchandise each year—not to mention headaches for shippers, parcel delivery companies, and, of course, consumers.
Given the scope of the problem, it’s no wonder online shoppers are worried about it—especially during holiday season. In its annual report on package theft trends, released in October, the
security-focused research and product review firm Security.org found that:
17% of Americans had a package stolen in the past three months, with the typical stolen parcel worth about $50. Some 44% said they’d had a package taken at some point in their life.
Package thieves poached more than $8 billion in merchandise over the past year.
18% of adults said they’d had a package stolen that contained a gift for someone else.
Ahead of the holiday season, 88% of adults said they were worried about theft of online purchases, with more than a quarter saying they were “extremely” or “very” concerned.
But it doesn’t have to be that way. There are some low-tech steps consumers can take to help guard against porch piracy along with some high-tech logistics-focused innovations in the pipeline that can protect deliveries in the last mile. First, some common-sense advice on avoiding package theft from the Security.org research:
Install a doorbell camera, which is a relatively low-cost deterrent.
Bring packages inside promptly or arrange to have them delivered to a secure location if no one will be at home.
Consider using click-and-collect options when possible.
If the retailer allows you to specify delivery-time windows, consider doing so to avoid having packages sit outside for extended periods.
These steps may sound basic, but they are by no means a given: Fewer than half of Americans consider the timing of deliveries, less than a third have a doorbell camera, and nearly one-fifth take no precautions to prevent package theft, according to the research.
Tech vendors are stepping up to help. One example is
Arrive AI, which develops smart mailboxes for last-mile delivery and pickup. The company says its Mailbox-as-a-Service (MaaS) platform will revolutionize the last mile by building a network of parcel-storage boxes that can be accessed by people, drones, or robots. In a nutshell: Packages are placed into a weatherproof box via drone, robot, driverless carrier, or traditional delivery method—and no one other than the rightful owner can access it.
Although the platform is still in development, the company already offers solutions for business clients looking to secure high-value deliveries and sensitive shipments. The health-care industry is one example: Arrive AI offers secure drone delivery of medical supplies, prescriptions, lab samples, and the like to hospitals and other health-care facilities. The platform provides real-time tracking, chain-of-custody controls, and theft-prevention features. Arrive is conducting short-term deployments between logistics companies and health-care partners now, according to a company spokesperson.
The MaaS solution has a pretty high cool factor. And the common-sense best practices just seem like solid advice. Maybe combining both is the key to a more secure last mile—during peak shipping season and throughout the year as well.
The Boston-based enterprise software vendor Board has acquired the California company Prevedere, a provider of predictive planning technology, saying the move will integrate internal performance metrics with external economic intelligence.
According to Board, the combined technologies will integrate millions of external data points—ranging from macroeconomic indicators to AI-driven predictive models—to help companies build predictive models for critical planning needs, cutting costs by reducing inventory excess and optimizing logistics in response to global trade dynamics.
That is particularly valuable in today’s rapidly changing markets, where companies face evolving customer preferences and economic shifts, the company said. “Our customers spend significant time analyzing internal data but often lack visibility into how external factors might impact their planning,” Jeff Casale, CEO of Board, said in a release. “By integrating Prevedere, we eliminate those blind spots, equipping executives with a complete view of their operating environment. This empowers them to respond dynamically to market changes and make informed decisions that drive competitive advantage.”
Material handling automation provider Vecna Robotics today named Karl Iagnemma as its new CEO and announced $14.5 million in additional funding from existing investors, the Waltham, Massachusetts firm said.
The fresh funding is earmarked to accelerate technology and product enhancements to address the automation needs of operators in automotive, general manufacturing, and high-volume warehousing.
Iagnemma comes to the company after roles as an MIT researcher and inventor, and with leadership titles including co-founder and CEO of autonomous vehicle technology company nuTonomy. The tier 1 supplier Aptiv acquired Aptiv in 2017 for $450 million, and named Iagnemma as founding CEO of Motional, its $4 billion robotaxi joint venture with automaker Hyundai Motor Group.
“Automation in logistics today is similar to the current state of robotaxis, in that there is a massive market opportunity but little market penetration,” Iagnemma said in a release. “I join Vecna Robotics at an inflection point in the material handling market, where operators are poised to adopt automation at scale. Vecna is uniquely positioned to shape the market with state-of-the-art technology and products that are easy to purchase, deploy, and operate reliably across many different workflows.”