Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.
Collecting boxes off a conveyor belt and stacking them neatly on a pallet can be boring, backbreaking work. So when robotic palletizers began to show up in warehouses some 15 years ago, their arrival was hailed as a way to free up human workers to handle more complex tasks around the DC.
Fast forward to 2015. The world of warehousing and distribution robotics is now on the verge of another big change, driven by advances in three of the enabling technologies that are necessary for a successful industrial robot deployment.
In recent years, engineers have improved robotic intelligence, providing sensors and data to drive more complex applications; robotic mobility, allowing robots to move to the appropriate location in a large warehouse; and robotic vision, using three-dimensional perception to locate specific objects in a cluttered environment.
Designers are taking advantage of these new tools to bring robots to parts of the logistics operation where they haven't been seen before.
Counting manufacturing as well as distribution, an estimated 236,000 robots are now in use at American factories, placing the U.S. second only to Japan in robot use. And that number is growing fast, according to the Robotic Industries Association (RIA).
A total of 22,427 robots valued at $1.3 billion were ordered from North American companies in the first nine months of 2015, a jump of 6 percent in units and 9 percent in dollars over the same period last year.
OFFLOADING THE "4D" JOBS
There's a platitude among engineers that the best applications for robots in the workplace are the "4D" jobs; tasks that are too dangerous, dull, dirty, or dumb for human laborers to perform efficiently.
That applies in the DC, too, where managers first brought robotic platforms like automated storage and retrieval systems (AS/RS) and automated guided vehicles (AGVs) into their operations to enable high-density storage and to help ease a worker shortage.
"(Items needed to fill orders) are getting moved to people, so people can concentrate on higher-level processes and value-add jobs," said Earl Wohlrab, robotic and palletizing systems manager for Intelligrated, a Cincinnati-based systems integrator. "There are lots of peripheral operations that people can be doing, aside from just pushing a cart around."
The trend will gather steam as labor becomes increasingly scarce and as the technology used in robotic systems advances, Wohlrab predicts. Still, there are many tasks where humans will always outperform robots.
"There's nothing better than a human picker," Wohlrab said. A human has no trouble distinguishing between items that are "the same object but a different flavor," he points out, but you can't make that assumption with machines. "That's intuitive to humans, but it needs to be taught to automated platforms."
CHANGING FACE OF ROBOTICS
That ability to handle variability in warehouse work is one of the features that distinguish a true robotic system from one that's merely automated. As part of a complex system, robots can add flexibility to automation, a crucial ingredient in the age of omnichannel fulfillment, said Jeremiah Miele, manager of research and development at Genco, a Pittsburgh-based third-party logistics specialist (3PL) recently acquired by FedEx.
Most warehouses were designed to pick and ship pallets and cases, but as the e-commerce revolution takes hold, retailers find themselves filling more and more orders for individual items or pieces. As a result, fulfillment centers today are handling a greater portion of small bins, bags, and boxes than they did in the past.
"(Robotic intelligence) is even more important in logistics than in manufacturing, because change is happening constantly, as opposed to maybe quarterly or annually," Miele said.
Given that reality, it's probably no surprise that designers at Genco are looking beyond the autonomous mobile robots of the type built by Kiva Systems (now known as Amazon Robotics) to more creative robotic platforms, such as indoor flying drones.
"We're really interested in drones right now; they have untapped potential as a platform for delivering robotic (capabilities) within a DC," Miele said. "There's also a very large enthusiast community to provide expertise. But we haven't seen them used before besides scanning buildings and yards. Drones are just a platform for mounting intelligence; with a vision system and enough time, we can build anything."
Another robotics firm experimenting with new platforms is Clearpath Robotics, a Kitchener, Ont.-based company that in September, unveiled a self-driving warehouse robot called Otto.
Designed for intelligent heavy-load transport in industrial environments, each Otto platform uses laser-based "lidar" scanning to sense and map a building floor, then uses onboard intelligence and cloud connectivity to operate in fleets ranging from eight or 12 mobile robots to potentially larger swarms of 50, 100, or more.
Like tiny Google self-driving cars, the pallet-shaped Otto robots can transport loads of up to 3,300 pounds and cruise at 4.5 mph. The system was recently chosen by GE for a warehouse pilot program, according to Simon Drexler, Clearpath's director of indoor industrial solutions.
ROBOTS WORKING ALONGSIDE HUMANS
As more robots take their place inside DCs, warehouse managers increasingly need to consider how the machines will fit in with their human associates.
"It's not always about labor displacement, but people using robotics as a tool, a force multiplier," said Genco's Miele. "People (are) continuing to do their jobs, but now they can have five or six robot friends helping them."
Standards for safely deploying robots in human environments are finally catching up with this trend, says Lew Manci, vice president for engineering at Crown Equipment Corp. in New Bremen, Ohio.
In January, the latest set of robotic safety guidelines, ANSI R15.06, went into effect. The engineering standards, which capped years of efforts to harmonize U.S. and European regulations, could open up new markets for industrial robots by clearing the way for robots to work alongside humans, Manci said.
Coming soon to a DC near you?
To see the future of robots in material handling and logistics operations, you need look no further than the engineering labs at Wynright Corp., a systems integrator with a robotic solutions division in Arlington, Texas. Wynright, a wholly owned subsidiary of Daifuku North America, has developed four robotic solutions for use in material handling/logistics operations. Currently undergoing pilot testing in customers' facilities, the systems are on track for rollout to a wider market within three to five years. They include:
A robotic container-unloading system. Targeted for use unloading trucks or ocean freight containers, these robots are designed to swiftly unpack floor-stacked products from a tightly packed space. Using data from the advance shipping notice (ASN), a robot compiles a list of boxes inside a container, including their dimensions. It then uses its 3-D vision system to locate each box, removing units until it has checked off every item on the list.
Compared with a worker with a pallet jack, the robotic system can do the job about twice as fast and without complications arising from extreme temperatures or heavy weights, says Tim Criswell, senior vice president for Wynright Robotic Solutions.
As a result, a human "wrangler" can now manage a fleet of four to six robots as they unload multiple containers simultaneously, with each container-unloading robot typically working alongside a robotic palletizer that collects and stacks the cargo.
These systems were enabled by recent advances in 3-D vision developed for use in videogame platforms like the Xbox, Criswell said. Gaming engineers created sophisticated vision technology that allows players to interact with virtual worlds through body movements and gestures. Commercial designers soon adopted that technology for industrial applications, developing swift algorithms and robust hardware that could survive deployment in a warehouse.
A robotic truck or container loader. These units are targeted to warehouse and DC operations that need to move bulk products between facilities (such as manufacturing and distribution sites). Taking the dimensions of the boxes and crates, the robot uses a space-planning algorithm to calculate exactly how many units it can floor-stack into a stable load inside a container. When the truck arrives at its destination, a container-unloading robot takes the entire stack apart and puts the cartons back on pallets for storage.
This system produces modest labor savings at the loading dock. Its greatest value is that it can fit 15 to 25 percent more product in each trailer than humans can when working under pressure to turn the truck around quickly, Criswell said.
A full-case order fulfillment robot. This unit is designed to replace the human element in a pick module, according to Wynright. Normally, humans pull items from multilevel rack storage and place them on a conveyor. This robot moves along a rail mounted in the aisle between racks, uses 3-D vision to locate specific boxes, matches them to a product list from an order management system, and moves them to the conveyor.
A robot that allows companies to handle mixed pallet loads. Dealing with mixed pallets is an increasingly common challenge as warehouses adopt just-in-time distribution strategies or pare down inventories as part of a Lean manufacturing initiative. This robot uses 3-D vision to locate boxes and scan labels on a pallet that may contain boxes of various sizes and shapes.
Penske said today that its facility in Channahon, Illinois, is now fully operational, and is predominantly powered by an onsite photovoltaic (PV) solar system, expected to generate roughly 80% of the building's energy needs at 200 KW capacity. Next, a Grand Rapids, Michigan, location will be also active in the coming months, and Penske's Linden, New Jersey, location is expected to go online in 2025.
And over the coming year, the Pennsylvania-based company will add seven more sites under its power purchase agreement with Sunrock Distributed Generation, retrofitting them with new PV solar systems which are expected to yield a total of roughly 600 KW of renewable energy. Those additional sites are all in California: Fresno, Hayward, La Mirada, National City, Riverside, San Diego, and San Leandro.
On average, four solar panel-powered Penske Truck Leasing facilities will generate an estimated 1-million-kilowatt hours (kWh) of renewable energy annually and will result in an emissions avoidance of 442 metric tons (MT) CO2e, which is equal to powering nearly 90 homes for one year.
"The initiative to install solar systems at our locations is a part of our company's LEED-certified facilities process," Ivet Taneva, Penske’s vice president of environmental affairs, said in a release. "Investing in solar has considerable economic impacts for our operations as well as the environmental benefits of further reducing emissions related to electricity use."
Overall, Penske Truck Leasing operates and maintains more than 437,000 vehicles and serves its customers from nearly 1,000 maintenance facilities and more than 2,500 truck rental locations across North America.
That challenge is one of the reasons that fewer shoppers overall are satisfied with their shopping experiences lately, Lincolnshire, Illinois-based Zebra said in its “17th Annual Global Shopper Study.”th Annual Global Shopper Study.” While 85% of shoppers last year were satisfied with both the in-store and online experiences, only 81% in 2024 are satisfied with the in-store experience and just 79% with online shopping.
In response, most retailers (78%) say they are investing in technology tools that can help both frontline workers and those watching operations from behind the scenes to minimize theft and loss, Zebra said.
Just 38% of retailers currently use AI-based prescriptive analytics for loss prevention, but a much larger 50% say they plan to use it in the next 1-3 years. That was followed by self-checkout cameras and sensors (45%), computer vision (46%), and RFID tags and readers (42%) that are planned for use within the next three years, specifically for loss prevention.
Those strategies could help improve the brick and mortar shopping experience, since 78% of shoppers say it’s annoying when products are locked up or secured within cases. Adding to that frustration is that it’s hard to find an associate while shopping in stores these days, according to 70% of consumers. In response, some just walk out; one in five shoppers has left a store without getting what they needed because a retail associate wasn’t available to help, an increase over the past two years.
The survey also identified additional frustrations faced by retailers and associates:
challenges with offering easy options for click-and-collect or returns, despite high shopper demand for them
the struggle to confirm current inventory and pricing
lingering labor shortages and increasing loss incidents, even as shoppers return to stores
“Many retailers are laying the groundwork to build a modern store experience,” Matt Guiste, Global Retail Technology Strategist, Zebra Technologies, said in a release. “They are investing in mobile and intelligent automation technologies to help inform operational decisions and enable associates to do the things that keep shoppers happy.”
The survey was administered online by Azure Knowledge Corporation and included 4,200 adult shoppers (age 18+), decision-makers, and associates, who replied to questions about the topics of shopper experience, device and technology usage, and delivery and fulfillment in store and online.
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.”