U.S. businesses such as Wal-Mart may be enthusiastic in their support of "green" initiatives, but from a global perspective, they are late to the game. When it comes to environmental initiatives, Europe has a 30-year head start, both in advancing green public policy and raising consumer awareness. So what can we learn from its experience?
In an educational session at the CSCMP conference, Peter G. Klaus, a professor at the Universitaet Erlangen-Nuernberg, offered his assessment of what has worked and what hasn't. What hasn't worked well, he told his audience, is regulatory enforcement—whether it's imposing hefty diesel taxes and highway user fees or prohibiting road transport in certain areas. Europe has had somewhat better results with technological initiatives, including telematics, cleaner-burning engines, and experiments with alternative power. But as Klaus sees it, the real potential lies in steps businesses can take internally, like realigning their DC networks, adopting better green metrics, consolidating loads, and perhaps most important of all, shifting freight from trucks to more fuel-efficient modes like ocean and rail.
Yet another session, "Green City Logistics" presented by Dieter Wild of PTV Planung Transport Verkehr AG and Peter Klaus of Boston University, emphasized how the continent has been greening logistics in urban areas.
Europe has many of the world's most congested cities. Transporting goods both ecologically and economically through the congestion requires careful planning and cooperation between city governments, businesses, and other interests.
Some cities, such as Barcelona, Spain, have initiated programs to move deliveries to nighttime or fringe hours, especially from 11-12: 00 pm and 5-6: 00 am. One study showed that shifting just ten percent of deliveries to nighttime hours can result in fuel savings of up to six percent, while increasing travel speeds by 20 percent and decreasing CO2 emissions by about 5 percent.
Night delivery allows the use of larger trucks that can hold more products as opposed to delivery vans, which are often utilized to provide better maneuverability through traffic. For example, two 40-ton trucks can replace the carrying capacity of seven vans. In some areas, restricted lanes are also being developed on highways and major streets. These lanes can be used by delivery vehicles to bypass traffic congestion.
Governments are also developing Sustainable Urban Transport Plans (SUTP) that consider how land is used, the needs of freight transport, and private and public concerns. Typically, the plans have two main goals: to conserve energy and to make deliveries more efficient. In London, for example, a freight plan restricts the size of delivery trucks and limits their access during certain times of the day. Similar plans in other urban areas also call for greater use of rail, intermodal, and non-road methods, such as rivers and canals.
If former Alabama University football career Nick Saban could point to a foundational moment in his career that helped shape his philosophy to coaching it would be this: In 1998, his Michigan State University football team with a 4-5 record was headed to Columbus, Ohio, to play an undefeated Ohio State University team. Speaking at a keynote session for MHI’s Modex tradeshow, Saban admitted he did not think his team had any chance of winning. So, he asked his friend who was a sports psychiatrist what he should say to his team.
“He said you need to teach the team to focus on one play at a time, like [the play] has a history and life of its own, and to be totally process-oriented,” Saban recounted. “Do not be worried about the outcome, be worried about all the things you can do to get the outcome. There’s no external factors. There’s no scoreboard. You focus 100% in front of you and what you need to do for that play.”
Michigan State went on to win, in spite of being down by 10 points at one point.
“In that game, I totally changed philosophies and became a transformational leader instead of a transactional leader,” said Saban. “I was no longer always worried about the outcome. What do you have to do to get to the outcome, that was the whole focus.”
Saban attributes that philosophy change to altering the trajectory of his career, resulting in his going on to win seven national college football championships. Saban said that was the one recommendation he would have for business leaders in the audience would be to get out of a similiar transactional mindset of everything is about the bottom line to focus on what needs to be done to get to the bottom line.
Throughout the keynote session—which was conducted as a Q&A with Agile Business Media Founder and Board Member Mitch Mac Donald—Saban continued to touch upon how discipline, process, and culture could foster success both on the football field and off.
“People ask me all the time, ‘What does it take to win?’” he said. “I think they’re expecting me to say, have a good game plan, adjust and adapt during the game, do a good job at the preparation, and have a good system and staff. All of those things are really, really important, but probably the most important thing is the kind of culture you build in your organization.”
MHI CEO John Paxton put it succinctly when summing up the MHI 2024 Annual Industry Report on Wednesday at the industry association’s Modex trade show in Atlanta: “AI is the word of the year.” While you could quibble that artificial intelligence (AI) is actually two words, the general sentiment behind Paxton’s assessment is correct; every recent discussion about supply chain technology eventually wends its way around to the promise and challenges of implementing AI.
The 1,700 manufacturing and supply chain leaders who took part in the survey that formed the basis for the report certainly agreed: 84% of survey respondents said they plan to adopt artificial intelligence technologies within the next five years.
The biggest potential areas of application for AI in the supply chain according to respondents are: logistics, shipping, and transportation (34%); supplier selection/due diligence (33%); inventory management (27%); customer behavior tracking (24%); contracts (24%); pricing (23%); and demand forecasting (19%).
As an example of a potential application for AI in transportation, Matt Hough, Chief Information Officer of Cintas shared during a panel discussion following the release of the report that his company uses AI for dynamically routing its trucks. This effort has allowed the company—which supplies uniforms and cleaning and safety supplies to other business—to create better customer density on those routes. As a result, they were able to handle a major increase in their business while only adding three trucks.
A huge challenge to implementing AI, however, is making sure the integration of AI and human is done well. The panelists acknowledged that there can be a lot of fear around the use of AI and robots both on the floor and in the back office.
“If your workforce is not bought in and are not going to embrace the technology that you are bringing into your facility and supply chain, it’s going to fail,” said Chaneta Sullivan, director, Facility Development and Safety, Chick-fil-A Supply. “Because they’re going to think you’re trying to replace them."
A good way to approach a technology and automation implementation, said Sullivan, is to begin with using technology to respond to any complaints or gripes that your employees have about their job. Use the automation to specifically respond to something that is challenging about their job and make it better. You need to make sure your people understand how the technology is going to improve their life and work environment, she said.
On a more general level, the report showed that investment in supply chain automation and technology continues to be strong. Last year ‘s report showed significant investment in supply chain technology as companies tried to shore up their supply chains in the wake of the disruptions wrought by the pandemic. Some wondered if that interest would cool in light of higher interest rates and growing costs. The 2024 report, however, showed that 55% of supply chain leaders are increasing their supply chain technology and innovation investments with 88% saying they are planning to spend over $1 million. Forty-two percent plan to spend over $10 million.
Stored energy solutions provider EnerSys is showcasing its newest NexSys charging innovations at MODEX 2024 in Atlanta this week.
Engineered for a wide range of automated guided vehicles (AGVs), the new NexSys Air wireless charger offers a space-saving design to provide integration flexibility while eliminating mechanical charging connections and related maintenance. It also provides advanced safety features that help protect workers and equipment—giving facility operators and AGV original equipment manufacturers (OEMs) an integrated, safe charging solution to optimize efficiency and equipment autonomy.
Designed to withstand the elements, the new NexSys+ Outdoor charger provides the advanced performance and features of the NexSys+ charger, protected by an IP54 rated enclosure for protection against dust, water, and seasonal temperatures. The NexSys+ Outdoor is ideal for use at farms, building material yards, rental facilities, ports, cargo terminals, and other working environments exposed to the weather.
Both chargers are compatible with all EnerSys battery technologies, including traditional flooded lead-acid, Thin Plate Pure Lead (TPPL), and lithium-ion.
Visit EnerSys at booth #B8032.
Zebra Technologies introduced a range of new enterprise mobile computing and intelligent automation solutions at this year’s MODEX 2024, taking place this week in Atlanta.
The expanded portfolio is designed to help businesses “build an agile supply chain through better accuracy, visibility, and efficiency.”
The launch includes:
The RS2100 wearable scanner—the industry’s smallest back-of-hand (BOH) scanner, according to Zebra—enhances productivity and delivers new levels of comfort to workers. The unique mount on the RS2100 leaves the palm completely unobstructed, providing greater freedom to handle items.
The WT6400 and WT5400 wearable computers. Engineered to streamline hands-free workflows while enhancing comfort, the WT6400 and WT5400 provide more flexibility for picking orders, sorting items, and managing inventory with greater efficiency and accuracy. With a larger display and integrated keyboard, the WT6400 is easily accessible for right- and left-handed workers, and its integrated angled camera captures images to document damaged items or completed tasks. The WT6400 is designed for demanding environments, including freezer operation (-30°C), while the WT5400 introduces a new class of wearable computers for hands-free retail workflows.
The TC53e/TC58e/TC53e-RFID mobile computers, additions to Zebra’s TC5X series. The TC5Xe series offers 5G, Wi-Fi 6E, integrated RFID, premium security features and contains 25% post-consumer recycled plastic by mass. The TC53e-RFID offers integrated short-range UHF RFID, enabling associates to take inventory in the backroom, validate tickets at a concert or verify all items in a shopping cart from up to nearly 4 ft. away with the same device ergonomics as the standard TC53e.
Rite-Hite, maker of loading dock solutions, industrial products, and software, is launching its Rite-Hite ONE Digital platform during MODEX 2024 in Atlanta this week. Rite-Hite ONE is a comprehensive digital platform that empowers customers to optimize facility throughput, prioritize maintenance, mitigate safety incidents, reduce demurrage, and act on meaningful data analytics from Rite-Hite’s line of smart, connected equipment.
The software platform helps unify material handling operations in warehouses, distribution centers, and other industrial facilities. In addition to connecting Rite-Hite’s smart-enabled high-speed doors and loading dock equipment (such as levelers, barriers, vehicle restraints and controls), it also collects and analyzes data from that equipment, helping facility managers and teams to see trends and make data-based decisions.