In the tuxedo rental business, there's no room for error. At The Men's Wearhouse, an array of specialized conveyors ensure order fulfillment is fast and accurate.
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.
How do you cope with the challenge of assembling up to 50,000 customized tuxedo rental orders a week? That was the question facing managers at a DC run by The Men's Wearhouse in Pittston, Pa. During peak season, the facility, which serves 193 stores in the Northeast and Midwest, processes a flood of returned garments, which all have to be cleaned, inspected, and stored, while workers simultaneously assemble thousands of new customer orders. And, of course, all of this has to be done quickly and without any errors.
Founded in 1973, The Men's Wearhouse is one of the nation's largest men's apparel retailers, selling brand name and private-label suits, sport coats, shirts, and accessories. The company also is a leading renter of formal wear. Orders for the company's 1,200-plus retail stores are primarily filled from a facility in Houston, while six other buildings, including the Pittston facility, handle rentals. Those six buildings receive returned rental tuxes from the stores. They then clean and prepare the garments for picking into tux assemblies to fill new customer orders—or what The Men's Wearhouse calls "reservations." The rental business experiences its peak demand in the spring, when it provides tuxedos for proms and weddings.
For the Pittston DC, the answer to keeping up with the workload during peak season lay in an automated system that features an array of specialized conveyors. The system installed in the 296,000-square-foot facility was designed and installed by W&H Systems, a Carlstadt, N.J.-based warehouse design and system integration firm. Most of the conveyors are designed to transport garments on hangers, known in the trade as "GOH." The mix includes screw units, hanging conveyors, and monorails, along with some flatbed belt and roller conveyors.
SMOOTH-FLOWING RETURNS
The process begins with stores returning their rented tuxes in Gaylord boxes, pallet-sized corrugated cartons used to transport bulk items. Upon the boxes' receipt at the Pittston facility, workers remove the garments from the boxes and separate them by type—pants, coats, shirts, vests, and so on. The workers then place the loose garments onto a belt conveyor supplied by FKI (now Intelligrated). The conveyor transports the garments to a receiving station, where an operator removes each item and scans the permanent bar code sewn onto the garment. This logs the garment back in as a receipt.
After they're logged in, garments are deposited into hampers that are wheeled to the facility's in-house dry cleaning department. Pants, vests, and coats are dry cleaned, while shirts are wet washed. The cleaned garments are pressed and hung on hangers. Plastic bags are placed over shirts and white tuxedos to keep them clean as they make their way through the warehouse. From the cleaning area, the hanging garments are transported to a collection point via a screw conveyor, which resembles a large shaft with grooves like a screw. The hangers ride down the spiral grooves as the shaft turns.
Once the garments arrive in the collection area, they're placed onto trolleys that are wheeled to scan, measure, and label stations. At these stations, an operator removes each garment and scans its bar code. As the code is scanned, information about the garment pops up on a computer screen. The associate then measures the garment to see if the store made any alterations, such as hemming the pants, and compares the measurements to the information on the screen. Any changes are noted. Next, a large label is printed that contains size specifications and other information about the garment. This is attached to the hanger so that workers can easily identify the article later.
The garments are next placed onto a hanging garment sorter supplied by SDI Group, a manufacturer of sorting and conveying systems. This device, which can handle 5,600 garments an hour, sorts the garments to 44 hanging destinations, according to garment type and putaway aisle. Once the items have been sorted, an operator hangs the garments onto trolleys, which are then picked up by a Daifuku/Jervis B. Webb-manufactured Unibilt monorail conveyor. The monorail carries each trolley through a three-level module (the hanging garment sorter is located on the module's bottom level) to a predetermined putaway location. The trolley is taken off and rolled into a position for putaway. The garments are stored in the module by type, with pants in one area, shirts in another, and so forth.
A PERFECT FIT
In the meantime, other workers are busy assembling incoming orders. Customers are measured for tuxedos at The Men's Wearhouse stores. The rental order information is then fed to the DC for fulfillment, where it becomes a reservation. The orders in Pittston are accumulated and processed in waves using pick tickets that specify the size, color, and style of each item in a reservation. Articles are added to the order as it travels through a three-story tower, or picking module, until the complete package is assembled.
The pants, located on the third level, are picked first. There, a worker selects the proper garment from the storage racks and places the pick ticket on its hanger. The pants are then placed onto a powered hanging conveyor manufactured by Pep Conveyor Systems for transport through the pants area. From there, they are transferred to another Unibilt monorail that takes them down to the second level. On arrival, they transfer to a Pep conveyor to travel through that level, where employees read the pick tickets and add shirts and then vests to the order.
At the end of the module, orders go back on the Unibilt monorail for transport to the bottom level. There, the "reservation" is hung on a rail and slid along through coat selection. A garment bag is added to the hanger and shoes are placed into a pocket on the garment bag.
At this point, the fully assembled tux is ready to leave the picking module. It is then slid on the rail to a quality control station, where a worker verifies the order and scans the bar code on each item to "assign" it to the finished tuxedo. A shipping label is printed and placed into the clear pocket of the garment bag. All of the items are then put into the bag, which is zipped closed.
TUXEDO JUNCTION
About 20 percent of the garments processed at Pittston are rush orders that require expedited handling. These tuxes are slid manually on a rail from the quality control area to the small-parcel area for packing. At packing stations, six tuxedos at a time are placed into a flat carton, which is sealed and deposited onto roller and belt conveyors that feed a small push sorter. The sorter diverts the cartons to four ship stations designated for parcel pickup.
The remaining 80 percent of the garments are hung onto trolleys that are wheeled from quality control to a staging area, where the tuxes are sorted by store. The tuxes are then placed onto a shipping trolley designated for that store and the paper reservation for that tux is added to the trolley. The trolley is pushed to a door for loading onto 53-foot trailers. The trailers, which are part of the Men's Wearhouse fleet, have rails built into the trailer beds to allow the trolleys to be wheeled directly onboard. Trailers are sent to consolidation hubs, where the trolleys are removed, routed, and wheeled onto 26-foot company-owned delivery trucks for store delivery.
So how has the new conveyor system worked out? Quite well, by all accounts. Since moving to an automated system for processing tuxedo rentals, The Men's Wearhouse has been assembling its tux orders more efficiently and with a high degree of accuracy. "The big thing was defining the criteria. W&H did a very good job of that," says Andrew White, senior director of engineering at The Men's Wearhouse. "There were no surprises once we got to implementing the system."
You might say these systems are well suited to the retailer's needs.
There’s a photo from 1971 that John Kent, professor of supply chain management at the University of Arkansas, likes to show. It’s of a shaggy-haired 18-year-old named Glenn Cowan grinning at three-time world table tennis champion Zhuang Zedong, while holding a silk tapestry Zhuang had just given him. Cowan was a member of the U.S. table tennis team who participated in the 1971 World Table Tennis Championships in Nagoya, Japan. Story has it that one morning, he overslept and missed his bus to the tournament and had to hitch a ride with the Chinese national team and met and connected with Zhuang.
Cowan and Zhuang’s interaction led to an invitation for the U.S. team to visit China. At the time, the two countries were just beginning to emerge from a 20-year period of decidedly frosty relations, strict travel bans, and trade restrictions. The highly publicized trip signaled a willingness on both sides to renew relations and launched the term “pingpong diplomacy.”
Kent, who is a senior fellow at the George H. W. Bush Foundation for U.S.-China Relations, believes the photograph is a good reminder that some 50-odd years ago, the economies of the United States and China were not as tightly interwoven as they are today. At the time, the Nixon administration was looking to form closer political and economic ties between the two countries in hopes of reducing chances of future conflict (and to weaken alliances among Communist countries).
The signals coming out of Washington and Beijing are now, of course, much different than they were in the early 1970s. Instead of advocating for better relations, political rhetoric focuses on the need for the U.S. to “decouple” from China. Both Republicans and Democrats have warned that the U.S. economy is too dependent on goods manufactured in China. They see this dependency as a threat to economic strength, American jobs, supply chain resiliency, and national security.
Supply chain professionals, however, know that extricating ourselves from our reliance on Chinese manufacturing is easier said than done. Many pundits push for a “China + 1” strategy, where companies diversify their manufacturing and sourcing options beyond China. But in reality, that “plus one” is often a Chinese company operating in a different country or a non-Chinese manufacturer that is still heavily dependent on material or subcomponents made in China.
This is the problem when supply chain decisions are made on a global scale without input from supply chain professionals. In an article in the Arkansas Democrat-Gazette, Kent argues that, “The discussions on supply chains mainly take place between government officials who typically bring many other competing issues and agendas to the table. Corporate entities—the individuals and companies directly impacted by supply chains—tend to be under-represented in the conversation.”
Kent is a proponent of what he calls “supply chain diplomacy,” where experts from academia and industry from the U.S. and China work collaboratively to create better, more efficient global supply chains. Take, for example, the “Peace Beans” project that Kent is involved with. This project, jointly formed by Zhejiang University and the Bush China Foundation, proposes balancing supply chains by exporting soybeans from Arkansas to tofu producers in China’s Yunnan province, and, in return, importing coffee beans grown in Yunnan to coffee roasters in Arkansas. Kent believes the operation could even use the same transportation equipment.
The benefits of working collaboratively—instead of continuing to build friction in the supply chain through tariffs and adversarial relationships—are numerous, according to Kent and his colleagues. They believe it would be much better if the two major world economies worked together on issues like global inflation, climate change, and artificial intelligence.
And such relations could play a significant role in strengthening world peace, particularly in light of ongoing tensions over Taiwan. Because, as Kent writes, “The 19th-century idea that ‘When goods don’t cross borders, soldiers will’ is as true today as ever. Perhaps more so.”
Hyster-Yale Materials Handling today announced its plans to fulfill the domestic manufacturing requirements of the Build America, Buy America (BABA) Act for certain portions of its lineup of forklift trucks and container handling equipment.
That means the Greenville, North Carolina-based company now plans to expand its existing American manufacturing with a targeted set of high-capacity models, including electric options, that align with the needs of infrastructure projects subject to BABA requirements. The company’s plans include determining the optimal production location in the United States, strategically expanding sourcing agreements to meet local material requirements, and further developing electric power options for high-capacity equipment.
As a part of the 2021 Infrastructure Investment and Jobs Act, the BABA Act aims to increase the use of American-made materials in federally funded infrastructure projects across the U.S., Hyster-Yale says. It was enacted as part of a broader effort to boost domestic manufacturing and economic growth, and mandates that federal dollars allocated to infrastructure – such as roads, bridges, ports and public transit systems – must prioritize materials produced in the USA, including critical items like steel, iron and various construction materials.
Hyster-Yale’s footprint in the U.S. is spread across 10 locations, including three manufacturing facilities.
“Our leadership is fully invested in meeting the needs of businesses that require BABA-compliant material handling solutions,” Tony Salgado, Hyster-Yale’s chief operating officer, said in a release. “We are working to partner with our key domestic suppliers, as well as identifying how best to leverage our own American manufacturing footprint to deliver a competitive solution for our customers and stakeholders. But beyond mere compliance, and in line with the many areas of our business where we are evolving to better support our customers, our commitment remains steadfast. We are dedicated to delivering industry-leading standards in design, durability and performance — qualities that have become synonymous with our brands worldwide and that our customers have come to rely on and expect.”
In a separate move, the U.S. Environmental Protection Agency (EPA) also gave its approval for the state to advance its Heavy-Duty Omnibus Rule, which is crafted to significantly reduce smog-forming nitrogen oxide (NOx) emissions from new heavy-duty, diesel-powered trucks.
Both rules are intended to deliver health benefits to California citizens affected by vehicle pollution, according to the environmental group Earthjustice. If the state gets federal approval for the final steps to become law, the rules mean that cars on the road in California will largely be zero-emissions a generation from now in the 2050s, accounting for the average vehicle lifespan of vehicles with internal combustion engine (ICE) power sold before that 2035 date.
“This might read like checking a bureaucratic box, but EPA’s approval is a critical step forward in protecting our lungs from pollution and our wallets from the expenses of combustion fuels,” Paul Cort, director of Earthjustice’s Right To Zero campaign, said in a release. “The gradual shift in car sales to zero-emissions models will cut smog and household costs while growing California’s clean energy workforce. Cutting truck pollution will help clear our skies of smog. EPA should now approve the remaining authorization requests from California to allow the state to clean its air and protect its residents.”
However, the truck drivers' industry group Owner-Operator Independent Drivers Association (OOIDA) pushed back against the federal decision allowing the Omnibus Low-NOx rule to advance. "The Omnibus Low-NOx waiver for California calls into question the policymaking process under the Biden administration's EPA. Purposefully injecting uncertainty into a $588 billion American industry is bad for our economy and makes no meaningful progress towards purported environmental goals," (OOIDA) President Todd Spencer said in a release. "EPA's credibility outside of radical environmental circles would have been better served by working with regulated industries rather than ramming through last-minute special interest favors. We look forward to working with the Trump administration's EPA in good faith towards achievable environmental outcomes.”
Editor's note:This article was revised on December 18 to add reaction from OOIDA.
A Canadian startup that provides AI-powered logistics solutions has gained $5.5 million in seed funding to support its concept of creating a digital platform for global trade, according to Toronto-based Starboard.
The round was led by Eclipse, with participation from previous backers Garuda Ventures and Everywhere Ventures. The firm says it will use its new backing to expand its engineering team in Toronto and accelerate its AI-driven product development to simplify supply chain complexities.
According to Starboard, the logistics industry is under immense pressure to adapt to the growing complexity of global trade, which has hit recent hurdles such as the strike at U.S. east and gulf coast ports. That situation calls for innovative solutions to streamline operations and reduce costs for operators.
As a potential solution, Starboard offers its flagship product, which it defines as an AI-based transportation management system (TMS) and rate management system that helps mid-sized freight forwarders operate more efficiently and win more business. More broadly, Starboard says it is building the virtual infrastructure for global trade, allowing freight companies to leverage AI and machine learning to optimize operations such as processing shipments in real time, reconciling invoices, and following up on payments.
"This investment is a pivotal step in our mission to unlock the power of AI for our customers," said Sumeet Trehan, Co-Founder and CEO of Starboard. "Global trade has long been plagued by inefficiencies that drive up costs and reduce competitiveness. Our platform is designed to empower SMB freight forwarders—the backbone of more than $20 trillion in global trade and $1 trillion in logistics spend—with the tools they need to thrive in this complex ecosystem."
Global trade will see a moderate rebound in 2025, likely growing by 3.6% in volume terms, helped by companies restocking and households renewing purchases of durable goods while reducing spending on services, according to a forecast from trade credit insurer Allianz Trade.
The end of the year for 2024 will also likely be supported by companies rushing to ship goods in anticipation of the higher tariffs likely to be imposed by the coming Trump administration, and other potential disruptions in the coming quarters, the report said.
However, that tailwind for global trade will likely shift to a headwind once the effects of a renewed but contained trade war are felt from the second half of 2025 and in full in 2026. As a result, Allianz Trade has throttled back its predictions, saying that global trade in volume will grow by 2.8% in 2025 (reduced by 0.2 percentage points vs. its previous forecast) and 2.3% in 2026 (reduced by 0.5 percentage points).
The same logic applies to Allianz Trade’s forecast for export prices in U.S. dollars, which the firm has now revised downward to predict growth reaching 2.3% in 2025 (reduced by 1.7 percentage points) and 4.1% in 2026 (reduced by 0.8 percentage points).
In the meantime, the rush to frontload imports into the U.S. is giving freight carriers an early Christmas present. According to Allianz Trade, data released last week showed Chinese exports rising by a robust 6.7% y/y in November. And imports of some consumer goods that have been threatened with a likely 25% tariff under the new Trump administration have outperformed even more, growing by nearly 20% y/y on average between July and September.