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.
The New York-based industrial artificial intelligence (AI) provider Augury has raised $75 million for its process optimization tools for manufacturers, in a deal that values the company at more than $1 billion, the firm said today.
According to Augury, its goal is deliver a new generation of AI solutions that provide the accuracy and reliability manufacturers need to make AI a trusted partner in every phase of the manufacturing process.
The “series F” venture capital round was led by Lightrock, with participation from several of Augury’s existing investors; Insight Partners, Eclipse, and Qumra Capital as well as Schneider Electric Ventures and Qualcomm Ventures. In addition to securing the new funding, Augury also said it has added Elan Greenberg as Chief Operating Officer.
“Augury is at the forefront of digitalizing equipment maintenance with AI-driven solutions that enhance cost efficiency, sustainability performance, and energy savings,” Ashish (Ash) Puri, Partner at Lightrock, said in a release. “Their predictive maintenance technology, boasting 99.9% failure detection accuracy and a 5-20x ROI when deployed at scale, significantly reduces downtime and energy consumption for its blue-chip clients globally, offering a compelling value proposition.”
The money supports the firm’s approach of "Hybrid Autonomous Mobile Robotics (Hybrid AMRs)," which integrate the intelligence of "Autonomous Mobile Robots (AMRs)" with the precision and structure of "Automated Guided Vehicles (AGVs)."
According to Anscer, it supports the acceleration to Industry 4.0 by ensuring that its autonomous solutions seamlessly integrate with customers’ existing infrastructures to help transform material handling and warehouse automation.
Leading the new U.S. office will be Mark Messina, who was named this week as Anscer’s Managing Director & CEO, Americas. He has been tasked with leading the firm’s expansion by bringing its automation solutions to industries such as manufacturing, logistics, retail, food & beverage, and third-party logistics (3PL).
Supply chains continue to deal with a growing volume of returns following the holiday peak season, and 2024 was no exception. Recent survey data from product information management technology company Akeneo showed that 65% of shoppers made holiday returns this year, with most reporting that their experience played a large role in their reason for doing so.
The survey—which included information from more than 1,000 U.S. consumers gathered in January—provides insight into the main reasons consumers return products, generational differences in return and online shopping behaviors, and the steadily growing influence that sustainability has on consumers.
Among the results, 62% of consumers said that having more accurate product information upfront would reduce their likelihood of making a return, and 59% said they had made a return specifically because the online product description was misleading or inaccurate.
And when it comes to making those returns, 65% of respondents said they would prefer to return in-store, if possible, followed by 22% who said they prefer to ship products back.
“This indicates that consumers are gravitating toward the most sustainable option by reducing additional shipping,” the survey authors said in a statement announcing the findings, adding that 68% of respondents said they are aware of the environmental impact of returns, and 39% said the environmental impact factors into their decision to make a return or exchange.
The authors also said that investing in the product experience and providing reliable product data can help brands reduce returns, increase loyalty, and provide the best customer experience possible alongside profitability.
When asked what products they return the most, 60% of respondents said clothing items. Sizing issues were the number one reason for those returns (58%) followed by conflicting or lack of customer reviews (35%). In addition, 34% cited misleading product images and 29% pointed to inaccurate product information online as reasons for returning items.
More than 60% of respondents said that having more reliable information would reduce the likelihood of making a return.
“Whether customers are shopping directly from a brand website or on the hundreds of e-commerce marketplaces available today [such as Amazon, Walmart, etc.] the product experience must remain consistent, complete and accurate to instill brand trust and loyalty,” the authors said.
When you get the chance to automate your distribution center, take it.
That's exactly what leaders at interior design house
Thibaut Design did when they relocated operations from two New Jersey distribution centers (DCs) into a single facility in Charlotte, North Carolina, in 2019. Moving to an "empty shell of a building," as Thibaut's Michael Fechter describes it, was the perfect time to switch from a manual picking system to an automated one—in this case, one that would be driven by voice-directed technology.
"We were 100% paper-based picking in New Jersey," Fechter, the company's vice president of distribution and technology, explained in a
case study published by Voxware last year. "We knew there was a need for automation, and when we moved to Charlotte, we wanted to implement that technology."
Fechter cites Voxware's promise of simple and easy integration, configuration, use, and training as some of the key reasons Thibaut's leaders chose the system. Since implementing the voice technology, the company has streamlined its fulfillment process and can onboard and cross-train warehouse employees in a fraction of the time it used to take back in New Jersey.
And the results speak for themselves.
"We've seen incredible gains [from a] productivity standpoint," Fechter reports. "A 50% increase from pre-implementation to today."
THE NEED FOR SPEED
Thibaut was founded in 1886 and is the oldest operating wallpaper company in the United States, according to Fechter. The company works with a global network of designers, shipping samples of wallpaper and fabrics around the world.
For the design house's warehouse associates, picking, packing, and shipping thousands of samples every day was a cumbersome, labor-intensive process—and one that was prone to inaccuracy. With its paper-based picking system, mispicks were common—Fechter cites a 2% to 5% mispick rate—which necessitated stationing an extra associate at each pack station to check that orders were accurate before they left the facility.
All that has changed since implementing Voxware's Voice Management Suite (VMS) at the Charlotte DC. The system automates the workflow and guides associates through the picking process via a headset, using voice commands. The hands-free, eyes-free solution allows workers to focus on locating and selecting the right item, with no paper-based lists to check or written instructions to follow.
Thibaut also uses the tech provider's analytics tool, VoxPilot, to monitor work progress, check orders, and keep track of incoming work—managers can see what orders are open, what's in process, and what's completed for the day, for example. And it uses VoxTempo, the system's natural language voice recognition (NLVR) solution, to streamline training. The intuitive app whittles training time down to minutes and gets associates up and working fast—and Thibaut hitting minimum productivity targets within hours, according to Fechter.
EXPECTED RESULTS REALIZED
Key benefits of the project include a reduction in mispicks—which have dropped to zero—and the elimination of those extra quality-control measures Thibaut needed in the New Jersey DCs.
"We've gotten to the point where we don't even measure mispicks today—because there are none," Fechter said in the case study. "Having an extra person at a pack station to [check] every order before we pack [it]—that's been eliminated. Not only is the pick right the first time, but [the order] also gets packed and shipped faster than ever before."
The system has increased inventory accuracy as well. According to Fechter, it's now "well over 99.9%."
IT projects can be daunting, especially when the project involves upgrading a warehouse management system (WMS) to support an expansive network of warehousing and logistics facilities. Global third-party logistics service provider (3PL) CJ Logistics experienced this first-hand recently, embarking on a WMS selection process that would both upgrade performance and enhance security for its U.S. business network.
The company was operating on three different platforms across more than 35 warehouse facilities and wanted to pare that down to help standardize operations, optimize costs, and make it easier to scale the business, according to CIO Sean Moore.
Moore and his team started the WMS selection process in late 2023, working with supply chain consulting firm Alpine Supply Chain Solutions to identify challenges, needs, and goals, and then to select and implement the new WMS. Roughly a year later, the 3PL was up and running on a system from Körber Supply Chain—and planning for growth.
SECURING A NEW SOLUTION
Leaders from both companies explain that a robust WMS is crucial for a 3PL's success, as it acts as a centralized platform that allows seamless coordination of activities such as inventory management, order fulfillment, and transportation planning. The right solution allows the company to optimize warehouse operations by automating tasks, managing inventory levels, and ensuring efficient space utilization while helping to boost order processing volumes, reduce errors, and cut operational costs.
CJ Logistics had another key criterion: ensuring data security for its wide and varied array of clients, many of whom rely on the 3PL to fill e-commerce orders for consumers. Those clients wanted assurance that consumers' personally identifying information—including names, addresses, and phone numbers—was protected against cybersecurity breeches when flowing through the 3PL's system. For CJ Logistics, that meant finding a WMS provider whose software was certified to the appropriate security standards.
"That's becoming [an assurance] that our customers want to see," Moore explains, adding that many customers wanted to know that CJ Logistics' systems were SOC 2 compliant, meaning they had met a standard developed by the American Institute of CPAs for protecting sensitive customer data from unauthorized access, security incidents, and other vulnerabilities. "Everybody wants that level of security. So you want to make sure the system is secure … and not susceptible to ransomware.
"It was a critical requirement for us."
That security requirement was a key consideration during all phases of the WMS selection process, according to Michael Wohlwend, managing principal at Alpine Supply Chain Solutions.
"It was in the RFP [request for proposal], then in demo, [and] then once we got to the vendor of choice, we had a deep-dive discovery call to understand what [security] they have in place and their plan moving forward," he explains.
Ultimately, CJ Logistics implemented Körber's Warehouse Advantage, a cloud-based system designed for multiclient operations that supports all of the 3PL's needs, including its security requirements.
GOING LIVE
When it came time to implement the software, Moore and his team chose to start with a brand-new cold chain facility that the 3PL was building in Gainesville, Georgia. The 270,000-square-foot facility opened this past November and immediately went live running on the Körber WMS.
Moore and Wohlwend explain that both the nature of the cold chain business and the greenfield construction made the facility the perfect place to launch the new software: CJ Logistics would be adding customers at a staggered rate, expanding its cold storage presence in the Southeast and capitalizing on the location's proximity to major highways and railways. The facility is also adjacent to the future Northeast Georgia Inland Port, which will provide a direct link to the Port of Savannah.
"We signed a 15-year lease for the building," Moore says. "When you sign a long-term lease … you want your future-state software in place. That was one of the key [reasons] we started there.
"Also, this facility was going to bring on one customer after another at a metered rate. So [there was] some risk reduction as well."
Wohlwend adds: "The facility plus risk reduction plus the new business [element]—all made it a good starting point."
The early benefits of the WMS include ease of use and easy onboarding of clients, according to Moore, who says the plan is to convert additional CJ Logistics facilities to the new system in 2025.
"The software is very easy to use … our employees are saying they really like the user interface and that you can find information very easily," Moore says, touting the partnership with Alpine and Körber as key to making the project a success. "We are on deck to add at least four facilities at a minimum [this year]."