At the Modex exhibition and conference in Atlanta, attendees can get up close and personal with sizzling new technology, equipment, and services for the supply chain.
Susan Lacefield has been working for supply chain publications since 1999. Before joining DC VELOCITY, she was an associate editor for Supply Chain Management Review and wrote for Logistics Management magazine. She holds a master's degree in English.
Thinking of distribution centers as dimly lit caverns full of boxes, pallets, and racks is so 20th century. Nowadays, they are hot spots of technological innovation. Think about it: Conveyors as smart as fifth graders. Customized packaging material made on the spot. Lift trucks that can dance. Drones that can track your trailers from the sky. Glasses that can tell you what and how much to pick.
Need to keep pace with the latest and greatest technological innovations? The Modex Show organized by MHI (formerly the Material Handling Industry of America) can help. One of the largest expositions for supply chain solutions in the Americas, Modex will be showcasing products and services from more than 850 exhibitors at Atlanta's Georgia World Congress Center from April 4-7.
The exhibits will cover the following categories of technologies, equipment, and services:
Material handling equipment and systems, which includes a broad range of products from the highly complex (like automated storage and retrieval systems and automated guided vehicle systems) to the elegantly simple (like casters, racks, and shelves).
Packaging, containers, and shipping equipment, which encompasses not just pallets, containers, and shrink wrap but also packaging machinery, equipment designed for the inspection of products by weight or scanning, and palletizers.
Inventory management and controlling technologies, which includes computers, controllers, and software programs as well as systems integrators.
Dock and warehouse equipment and supplies, such as dock levelers, pads, and doors; flooring; hoists; cranes; monorails; and below/hook lifting devices.
Consultants and distribution system planners, including simulators, modelers, and third-party logistics service providers.
Automatic identification equipment and systems, such as bar-code printers and scanners, radio-frequency identification (RFID) systems, vision systems, and voice recognition systems.
Supply chain management, which serves as a catch-all category for such products and services as alternative fuel systems, parcel management and distribution, reverse logistics, and inventory security services.
INNOVATION CENTRAL
Innovation will be found not just on the show floor but also throughout the extensive educational conference that runs concurrently with the show. The conference's four keynote addresses, for example, will emphasize the themes of change and transformation.
On Monday, April 4, Peter Diamandis, chairman and CEO of the Xprize Foundation, will deliver the opening keynote address on "How to Create a Culture of Innovation Within Your Company." According to Diamandis, companies that are characterized by traditional thinking, risk-aversion, and "incrementalism" are unable to cope with the changes brought by disruptive innovation. To survive, these companies need to find ways to recognize and reward innovative thinking and breakthroughs.
The following day, Jack Allen, senior director, logistics and manufacturing solutions, supply chain operations at Cisco, will deliver a talk on "The Connected Supply Chain." Allen will argue that next-generation supply chains will be connected and encompass all the factories, warehouses, DCs, logistics partners, suppliers, and design partners in one integrated system. He will examine the role of the Internet of Things (IoT) in creating this connected supply chain and share his insights on a "maturity curve" that companies follow as they connect nodes and systems across their supply chain.
On Wednesday, April 6, Scott Sopher, a principal with Deloitte Consulting LLP and national leader of the firm's Supply Chain practice, and George W. Prest, MHI's CEO, will present the "2016 Annual Industry Report." The presentation will focus on today's current supply chain realities and eight technologies that are transforming supply chains. After the presentation, the speakers will moderate a panel of manufacturing and supply chain leaders who will discuss the report's findings.
Later that day, Kevin O'Leary, star of two hit TV shows on entrepreneurship, will present "Lessons From a Dragon." O'Leary will offer a behind-the-scenes look at "Dragons' Den" and its American adaptation, "Shark Tank." Using entertaining and insightful outtakes from his shows, O'Leary will share his insights into how the industry is performing, where the innovation is coming from, and how to grow your business.
In addition to the four main sessions focusing on top-level strategic issues, the show will offer more than 100 seminars on a broad array of manufacturing, distribution, and supply chain topics, including trends, best practices, and the latest developments in equipment and technology for manufacturing, distribution, logistics, and supply chain management. These seminars will be presented in theaters located right on the show floor. This format allows attendees to learn about various manufacturing, distribution, and supply chain solutions in the educational sessions and then actually see the equipment, systems, and services that can implement those solutions.
Modex 2016 will also feature a Supply Chain Education Summit that includes a variety of co-located educational events presented by more than 30 associations and universities, such as the Reusable Packaging Association, the National Center for Supply Chain Technology Education, Cranfield University, and Virginia Tech. There will be a special track on the "New Generation Supply Chain Workforce," which will look at how the supply chain industry can attract workers from demographic groups that historically haven't been heavily represented in its work force.
Modex will also reach beyond the confines of the convention center to offer supply chain-focused tours of the following Atlanta-area facilities: Toto's distribution center, Kia Motors' assembly plant, PartnerTech/Scanfil's contract manufacturing facility, and the Hartsfield-Jackson aircargo facility.
Pre-registration for Modex 2016 is free online by visiting www.Modexshow.com. There is no charge to attend the exhibits, show-floor educational sessions, or Supply Chain Education Summit seminars. The website also offers exhibitor search tools, floor plans, a complete list of educational sessions, and information about travel and accommodations.
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]."