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.
Congestion on U.S. highways is costing the trucking industry big, according to research from the American Transportation Research Institute (ATRI), released today.
The group found that traffic congestion on U.S. highways added $108.8 billion in costs to the trucking industry in 2022, a record high. The information comes from ATRI’s Cost of Congestion study, which is part of the organization’s ongoing highway performance measurement research.
Total hours of congestion fell slightly compared to 2021 due to softening freight market conditions, but the cost of operating a truck increased at a much higher rate, according to the research. As a result, the overall cost of congestion increased by 15% year-over-year—a level equivalent to more than 430,000 commercial truck drivers sitting idle for one work year and an average cost of $7,588 for every registered combination truck.
The analysis also identified metropolitan delays and related impacts, showing that the top 10 most-congested states each experienced added costs of more than $8 billion. That list was led by Texas, at $9.17 billion in added costs; California, at $8.77 billion; and Florida, $8.44 billion. Rounding out the top 10 list were New York, Georgia, New Jersey, Illinois, Pennsylvania, Louisiana, and Tennessee. Combined, the top 10 states account for more than half of the trucking industry’s congestion costs nationwide—52%, according to the research.
The metro areas with the highest congestion costs include New York City, $6.68 billion; Miami, $3.2 billion; and Chicago, $3.14 billion.
ATRI’s analysis also found that the trucking industry wasted more than 6.4 billion gallons of diesel fuel in 2022 due to congestion, resulting in additional fuel costs of $32.1 billion.
ATRI used a combination of data sources, including its truck GPS database and Operational Costs study benchmarks, to calculate the impacts of trucking delays on major U.S. roadways.
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."