Contributing Editor Toby Gooley is a writer and editor specializing in supply chain, logistics, and material handling, and a lecturer at MIT's Center for Transportation & Logistics. She previously was Senior Editor at DC VELOCITY and Editor of DCV's sister publication, CSCMP's Supply Chain Quarterly. Prior to joining AGiLE Business Media in 2007, she spent 20 years at Logistics Management magazine as Managing Editor and Senior Editor covering international trade and transportation. Prior to that she was an export traffic manager for 10 years. She holds a B.A. in Asian Studies from Cornell University.
Two years ago, DC Velocity published an article titled "Could a lift truck become the 'brain' of your DC operation?" In it, Crown Equipment Corp.'s Jim Gaskell, who oversees the forklift maker's fleet optimization products, posited that lift trucks would one day function as mobile data hubs, connecting to systems and devices beyond warehouse management systems (WMS). It could soon be possible, he said, to use the resulting data to better manage the warehouse as a whole.
That day has arrived.
Lift truck telematics—the transmission of data to and from industrial trucks—and the technologies used for collecting, sharing, and analyzing lift truck-related data have made great strides since that article was published. These developments have enabled the once-humble forklift to become a full-fledged member of the Internet of Things (IoT), which the McKinsey Global Institute defines as devices that can "monitor their environment, report their status, receive instructions, and even take action based on the information they receive."
With the right technology on board, lift trucks can do all that and more, opening the way for them to function as the data hubs envisioned several years ago. But it doesn't end there. Engineers and software developers are thinking up additional ways to apply lift truck telematics and data technologies. If their ideas become reality, then the forklift of the future could be more akin to something from "Star Trek" or "The Jetsons" than to the basic material handling tool of the past.
SO WHAT'S NEW?
Communication terminals that integrate with a truck's on-board electronics to collect and wirelessly send and receive data have been available for some time now from both lift truck makers and independent providers. These systems handle information about almost any lift truck "experience" you can think of: impacts, utilization, maintenance and repair, vehicle inspections, and operator productivity, among others. Depending on the product, they may track a lift truck's location or remotely control its activities, by regulating speed or preventing unauthorized users from starting the engine, for example.
Fleet managers must be able to analyze and act on all that data, of course. For that reason, telematics systems typically include or integrate with fleet management software. Via a management dashboard, users can view current and historical data and generate reports about performance, utilization, safety, costs, and productivity for an entire fleet or for individual trucks and operators. The systems also send out alerts via text, e-mail, or the dashboard. All these features allow fleet managers to see trends as they develop and be proactive rather than simply address problems after the fact.
Recent developments have made lift truck telematics and associated technologies even more advantageous. For example, some systems now use cellular networks and devices to transmit data. That makes telematics available to many fleets that couldn't take advantage of it before, says Dick Sorenson, product director at TotalTrax Inc., a provider of automated vehicle, driver, and inventory tracking products that recently launched a version featuring cellular technology and services supplied by Wyless. With standard wireless systems, users must get approval to use their existing Wi-Fi network for data transfer to a server—and it's not uncommon for such a request to be turned down, Sorenson says. Furthermore, they often must install additional communications infrastructure and get their IT departments involved in the implementation. With a cellular-based system, he says, none of that is necessary, making installation much faster and cheaper.
Toyota Industrial Equipment also introduced a cellular-based telematics product earlier this year. The company teamed up with Sprint to offer T-Matics Mobile, a lower-priced "plug and play" version of its T-Matics vehicle management system. (Toyota also offers T-Matics Command, a comprehensive, customizable system that uses I.D. Systems' asset tracking technology.) The cellular version "fills a hole in wireless systems," says Jewell Brown, national manager of fleet management for Toyota Material Handling, U.S.A., Inc. For one thing, it's affordable for smaller fleets that can't justify the cost of fixed wireless systems, she says. For another, because cellular devices and networks are movable, inexpensive, and simple to install, they make vehicle management solutions economically feasible for rentals, short-term leases, and other equipment that moves around among facilities.
The advent of cloud-based and other hosted systems has made it possible for fleet managers to collect and compare data from multiple sites using a single pOréal. "Applications used to be site-based; users were only able to see trucks within that facility," Brown says. With hosted applications like T-Matics, she says, customers can look at thousands of pieces of equipment across the country, analyzing trends on a corporate level or comparing specific sites or regions.
Telematics solutions are becoming increasingly flexible. For example, TotalTrax recently released its SX/VX telematics platform, which features an open architecture that allows easy integration of its own or third-party applications. Using a single hardware device, customers can choose only the features they need and purchase them via downloadable software packages. Users can also choose which individual functions to employ across different sites and vehicles, and decide whether to host the platform software locally or centrally, or have TotalTrax host it. In addition, the user interface can be displayed on any browser-enabled device, including existing vehicle-mounted terminals, tablets, or smartphones, the company says.
Originally, wireless vehicle management systems only fed data about things like impacts and maintenance into fleet management software. The next advance was to integrate with a WMS. In Jungheinrich's Warehouse Navigation System for very narrow-aisle trucks, for example, when instructions come in from the WMS, the wireless navigation system plots the most efficient path to the picking or putaway location; the truck completes the activity and sends a confirmation to the WMS.
Now, telematics systems are reaching beyond the WMS to work with other software, such as labor management systems (LMS). By integrating data from a wireless vehicle system and an LMS through a single data pOréal, users gain visibility into both material flow and labor utilization, says John Rosenberger, manager of iWarehouse Gateway and global telematics for The Raymond Corp., developer of the iWarehouse suite of fleet management products. This allows fleet managers to identify inefficiencies and unnecessary costs associated with the interaction of people, processes, and equipment. And because this combination produces extremely accurate task-time measurements through continuous monitoring, it also has the potential to revolutionize labor standards. Now, Rosenberger says, "if the job changes—say, to a different slot and rack—we can measure that automatically and can adjust the labor standard accordingly."
WHERE TO NEXT?
Lift truck telematics providers have added many new products and applications over the past two to three years. The pace of development is likely to accelerate, according to the experts consulted for this article. Here are some predictions for where this technology is headed in the near future:
Battery data will be integrated with truck and operator information. Crown Equipment Corp. will soon release an on-board battery monitor that will wirelessly feed data into its InfoLink fleet management system. Users will gain real-time visibility of a battery's performance while it's in use and for the first time, will be able to view and analyze that information in concert with other lift truck data as well as tie individual operators to battery performance.
More trucks will have factory-installed systems. Previously, these systems were strictly aftermarket add-ons, but that's starting to change. "Because technology is an integral part of the solutions we provide for our customers, we are seeing high demand for new trucks to be equipped with telematics right off the line," says Tim Raper, telematics product and program manager for Toyota Material Handling, U.S.A. He expects to see a jump in orders for trucks with the telematics capability integrated into the vehicle's "canbus," or electronic controller.
Dynamic routing and resource allocation will become feasible. Improvements in wireless vehicle tracking and locating technologies will allow software to monitor traffic flow and patterns, identifying problems like congestion or an accident and rerouting trucks around them, says Rosenberger. He also foresees the ability to dynamically reallocate lift truck capacity based on internal and external data sources, including GPS tracking of over-the-road trucks and dock scheduling software. If, say, a delivery truck will be delayed because of traffic, algorithms will reorganize that day's jobs in the WMS to accommodate the delay and automatically give drivers new instructions, he explains.
Telematics will play a greater role in inventory tracking. There are two types of telematics solutions for lift trucks: one is for equipment and activity monitoring, and the other, referred to as real-time location systems (RTLS), tracks equipment, pallets, and people, says Sorenson. The next logical step, he says, is to integrate data from both types to provide visibility of inventory movements within the warehouse. TotalTrax is working on this via its Skytrax RTLS system, which places unique bar-code location markers in a facility's ceiling and optical imaging devices on top of forklifts. The devices capture multiple images per second and translate them into real-time data about a vehicle's location, direction, and speed. Putting the same optical technology on the mast of a forklift enables the device to automatically read pallet labels and confirm to the driver that the acquired pallet matches the pick order generated by a WMS, Sorenson explains. It can also identify and track pallets through putaway and convey that information to the WMS. A lift-height sensor on the mast identifies the rack level when a pallet is put away, and a pallet detector, also on the mast, creates a "time on/time off" stamp. Together, these technologies identify each pallet's exact location at all times, he says.
Software will become more important than hardware. As more hardware is installed at the factory, the software that manages the data collection and enables the information to be exchanged with other software and systems will become the critical factor in delivering value to users, Sorenson says. A similar factor is at play when it comes to data analysis. Rather than introducing more sensors into a truck, vendors will focus on finding fresh ways to extract and analyze data from the mechanisms already in place, Rosenberger says. For example, the data output from measuring the force of hydraulic fluid could be analyzed to determine when a truck is carrying a load and to estimate its weight.
Telematics will facilitate predictive maintenance. In the future, fleet managers will analyze operator and equipment data together in order to more accurately predict what parts will need to be replaced on a truck and when. For example, one driver may routinely wear out tires faster than another; when the system sees that the first driver has been assigned to a truck that's subject to heavy outdoor usage, it might schedule tire replacements earlier than the average expected replacement time. The key will be basing maintenance plans on data from a specific operating environment and on intelligence about a particular person, says Brown.
Task interleaving will become more effective. Everyone wants to do task interleaving—carrying out one task like pallet putaway and then completing a different one, like order picking, on the way back, without wasted time or effort—but the results from currently available WMS modules are subpar, Sorenson says. Telematics could allow users "to get to true interleaving" that maximizes operator productivity by using vehicle tracking technology to optimize each movement and allocate every resource in the warehouse in the most efficient way, he says.
FROM FUTURISTIC CONCEPT TO NECESSITY
The lift truck manufacturers and independent providers mentioned here are not the only ones that offer lift truck telematics systems. Others, such as Yale Materials Handling, Hyster Co., and Asset Control Group, to name just a few, offer similar products that continue to evolve.
Providers of these systems expect that concerns about the technology's maturity and implementation costs will dissipate as prices drop. It won't be long, they say, before fleet managers stop thinking of telematics as a futuristic concept and come to see it as a necessary part of everyday operations.
But many fleet managers are just beginning to recognize that telematics can introduce game-changing efficiencies to their operations. "The lift truck is a very interesting asset because it goes everywhere in the warehouse and touches so many things," observes Maria Schweiterman, a senior marketing product manager at Crown Equipment Corp. As a result, telematics systems can potentially bring improvements to all of those areas. With so many improvements and new applications currently in development, she says, it's worth thinking about the benefits this technology could potentially soon bring to fleet operations of all sizes.
A move by federal regulators to reinforce requirements for broker transparency in freight transactions is stirring debate among transportation groups, after the Federal Motor Carrier Safety Administration (FMCSA) published a “notice of proposed rulemaking” this week.
According to FMCSA, its draft rule would strive to make broker transparency more common, requiring greater sharing of the material information necessary for transportation industry parties to make informed business decisions and to support the efficient resolution of disputes.
The proposed rule titled “Transparency in Property Broker Transactions” would address what FMCSA calls the lack of access to information among shippers and motor carriers that can impact the fairness and efficiency of the transportation system, and would reframe broker transparency as a regulatory duty imposed on brokers, with the goal of deterring non-compliance. Specifically, the move would require brokers to keep electronic records, and require brokers to provide transaction records to motor carriers and shippers upon request and within 48 hours of that request.
Under federal regulatory processes, public comments on the move are due by January 21, 2025. However, transportation groups are not waiting on the sidelines to voice their opinions.
According to the Transportation Intermediaries Association (TIA), an industry group representing the third-party logistics (3PL) industry, the potential rule is “misguided overreach” that fails to address the more pressing issue of freight fraud. In TIA’s view, broker transparency regulation is “obsolete and un-American,” and has no place in today’s “highly transparent” marketplace. “This proposal represents a misguided focus on outdated and unnecessary regulations rather than tackling issues that genuinely threaten the safety and efficiency of our nation’s supply chains,” TIA said.
But trucker trade group the Owner-Operator Independent Drivers Association (OOIDA) welcomed the proposed rule, which it said would ensure that brokers finally play by the rules. “We appreciate that FMCSA incorporated input from our petition, including a requirement to make records available electronically and emphasizing that brokers have a duty to comply with regulations. As FMCSA noted, broker transparency is necessary for a fair, efficient transportation system, and is especially important to help carriers defend themselves against alleged claims on a shipment,” OOIDA President Todd Spencer said in a statement.
Additional pushback came from the Small Business in Transportation Coalition (SBTC), a network of transportation professionals in small business, which said the potential rule didn’t go far enough. “This is too little too late and is disappointing. It preserves the status quo, which caters to Big Broker & TIA. There is no question now that FMCSA has been captured by Big Broker. Truckers and carriers must now come out in droves and file comments in full force against this starting tomorrow,” SBTC executive director James Lamb said in a LinkedIn post.
The “series B” funding round was financed by an unnamed “strategic customer” as well as Teradyne Robotics Ventures, Toyota Ventures, Ranpak, Third Kind Venture Capital, One Madison Group, Hyperplane, Catapult Ventures, and others.
The fresh backing comes as Massachusetts-based Pickle reported a spate of third quarter orders, saying that six customers placed orders for over 30 production robots to deploy in the first half of 2025. The new orders include pilot conversions, existing customer expansions, and new customer adoption.
“Pickle is hitting its strides delivering innovation, development, commercial traction, and customer satisfaction. The company is building groundbreaking technology while executing on essential recurring parts of a successful business like field service and manufacturing management,” Omar Asali, Pickle board member and CEO of investor Ranpak, said in a release.
According to Pickle, its truck-unloading robot applies “Physical AI” technology to one of the most labor-intensive, physically demanding, and highest turnover work areas in logistics operations. The platform combines a powerful vision system with generative AI foundation models trained on millions of data points from real logistics and warehouse operations that enable Pickle’s robotic hardware platform to perform physical work at human-scale or better, the company says.
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.
Progress in generative AI (GenAI) is poised to impact business procurement processes through advancements in three areas—agentic reasoning, multimodality, and AI agents—according to Gartner Inc.
Those functions will redefine how procurement operates and significantly impact the agendas of chief procurement officers (CPOs). And 72% of procurement leaders are already prioritizing the integration of GenAI into their strategies, thus highlighting the recognition of its potential to drive significant improvements in efficiency and effectiveness, Gartner found in a survey conducted in July, 2024, with 258 global respondents.
Gartner defined the new functions as follows:
Agentic reasoning in GenAI allows for advanced decision-making processes that mimic human-like cognition. This capability will enable procurement functions to leverage GenAI to analyze complex scenarios and make informed decisions with greater accuracy and speed.
Multimodality refers to the ability of GenAI to process and integrate multiple forms of data, such as text, images, and audio. This will make GenAI more intuitively consumable to users and enhance procurement's ability to gather and analyze diverse information sources, leading to more comprehensive insights and better-informed strategies.
AI agents are autonomous systems that can perform tasks and make decisions on behalf of human operators. In procurement, these agents will automate procurement tasks and activities, freeing up human resources to focus on strategic initiatives, complex problem-solving and edge cases.
As CPOs look to maximize the value of GenAI in procurement, the study recommended three starting points: double down on data governance, develop and incorporate privacy standards into contracts, and increase procurement thresholds.
“These advancements will usher procurement into an era where the distance between ideas, insights, and actions will shorten rapidly,” Ryan Polk, senior director analyst in Gartner’s Supply Chain practice, said in a release. "Procurement leaders who build their foundation now through a focus on data quality, privacy and risk management have the potential to reap new levels of productivity and strategic value from the technology."