Contributing Editor Toby Gooley is a writer and editor specializing in supply chain, logistics, and material handling, and a lecturer at MIT's Center for Transportation & Logistics. She previously was Senior Editor at DC VELOCITY and Editor of DCV's sister publication, CSCMP's Supply Chain Quarterly. Prior to joining AGiLE Business Media in 2007, she spent 20 years at Logistics Management magazine as Managing Editor and Senior Editor covering international trade and transportation. Prior to that she was an export traffic manager for 10 years. She holds a B.A. in Asian Studies from Cornell University.
sponsored the seventh annual National Forklift Safety Day on June 9. The event provides an opportunity for the industry to educate customers, government officials, and other stakeholders about the safe use of forklifts, including the importance of training for operators and for pedestrians who work around forklifts. ITA members manufacture over 90 percent of the forklifts and similar powered industrial trucks sold in North America. The organization promotes standards development, advances safe forklift design and use, disseminates statistical information, and holds industry forums.
This year’s National Forklift Safety Day program was presented virtually, with videos and webinar-style presentations by experts on a range of safety-related topics. The following are some of the highlights:
ITA President Brian Feehan and Jay Gusler, ITA Chairman and Executive Vice President of Operations, Mitsubishi Caterpillar Forklift America (MCFA), welcomed viewers. Their remarks focused on the ongoing commitment to forklift safety by the organization, its members, and the industry as a whole. “Safety has been and will continue to be paramount to our industry,” said Gusler. “Collectively we dedicate a tremendous amount of time and effort to ensure the safety of our products. ... Safety requires dedication, time, and perseverance. We must take the time to ensure proper safety training is adhered to and make it a priority.”
Loren Sweatt, Principal Deputy Assistant Secretary of Labor, Occupational Safety and Health Administration (OSHA), noted that 2020 marks 50 years since OSHA was formed and federal workplace safety and health protections were signed into law. Despite long-term progress in reducing the number of forklift-related accidents, in FY 2018, the number of serious forklift-related injuries increased by 4% over the previous year, and there were 85 fatalities, she said. Emphasizing the importance of proper training, she pointed out that in FY 2019, four of the five most frequently cited violations of the powered industrial truck rules in CFR 1910.178 involved inadequate or improper operator training, evaluation, and certification.
Sweatt urged forklift users to take advantage of OSHA’s educational resources, including a free on-site health and safety consultation for small businesses. Businesses may also apply to participate in the Voluntary Protection Program (VPP), under which management, labor, and OSHA collaborate to prevent fatalities, injuries, and illnesses by focusing on hazard prevention and control, worksite analysis, training, management commitment, and worker involvement.
Sweatt added that OSHA is examining an update to its powered industrial truck (PIT) standards, and that two regulatory actions are currently in process. The first would update employer requirements for operations, maintenance, and worker training, she said. The agency is now analyzing comments submitted in response to a request for information (RFI) issued last year. The second—something the forklift industry has long advocated—would update references to PIT consensus standards in OSHA rules. If the proposal moves forward, Sweatt explained, OSHA rules will incorporate by reference current industry practice, forklift design, and technology, rather than older, sometimes outdated information. OSHA expects to publish a notice of proposed rulemaking by the end of this year, she said.
Finally, Sweatt outlined the many resources OSHA has made available to assist workplaces in coping with the COVID-19 pandemic. OSHA is closely coordinating with the Centers for Disease Control and other federal agencies to monitor the pandemic, she said. She recommended that facility managers take advantage of OSHA’s guidance about workplace risk assessment, controls, cleaning, and more at www.osha.gov/coronavirus.
Pedestrian safety was the focus of a presentation by Chuck Leon, Technical Specialist, Workplace Safety and Prevention Services (WSPS). Leon offered many suggestions for reducing risk to pedestrians where forklifts are in use. Examples include:
To identify potential trouble spots, create a map of your facility that shows storage aisles, forklift travel lanes, and pedestrian walkways.
Manage traffic flows. For example, if a forklift is working in an area with a blocked view, have another person present to control and direct pedestrians.
Mitigate or eliminate blind spots; if an operator has to work around an obstacle, such as stacked pallets stored on the floor, then remove it.
Train pedestrians how to safely walk and work around mobile equipment. Let them sit on a parked forklift with loaded forks to show them what operators see.
Establish rights of way in all directions for both pedestrians and operators.
Make sure barriers, gates, and floor and wall markings are high-visibility and clearly marked. Refresh the paint and markings at regular intervals.
Use high-visibility PPE. Some companies use different colors for staff, visitors, and contractors, which signals to operators that some pedestrians may not know the facility’s policies and procedures.
J. Scott Bicksler, Lead Safety Manager for the staffing agency Aerotek, spoke about the safety of forklift operators who are temporary employees. Bicksler, whose company employs about 9,000 lift truck operators, explained how the host employer and the staffing agency can best work together in three important areas:
1. Evaluating and contracting—Before signing a contract with a temporary labor agency, the host employer and the agency should conduct a joint risk assessment, including a site visit and evaluation of the OSHA 300 log (a form for recording information about reportable injuries and illnesses). The contract should specify each party’s responsibilities for activities such as operator training, OSHA reporting, and provision of protective gear, among others. Job descriptions for each position should be clearly defined.
2. Training for temporary workers and supervisors—Typically the staffing agency is responsible for general safety awareness training, and the host must give temporary workers training that is equivalent to what regular employees in the same jobs receive, Bicksler said. Supervisors must know the limitations and requirements for training temporary forklift operators; if a temp is moved to a new position or the job description changes, the employer must notify the staffing agency right away, as any change can impact workers’ compensation claims—for example, if an accident occurs in a job the worker has not been trained for.
3. Injury and illness reporting, response, and recordkeeping—Temporary employees need to know to whom they should report an injury or incident. When an incident or injury occurs, supervisors should immediately inform the agency and also record the incident in the OSHA 300 log. Research has found that waiting to report and record injuries contributes to higher workers compensation costs, Bicksler said.
(For more about working with temporary forklift operators, read the 2018 DCV Q&A with Bicksler.)
The COVID-19 pandemic has helped business and the public understand how vital forklifts are to the functioning of the global supply chain, said Chuck Moratz, NFSD Task Force Chair and Senior Vice President, Global Engineering, Clark Material Handling Co. Lift trucks are critical tools that allow grocery stores, pharmacies, and other essential businesses to ensure that the public gets needed personal hygiene products, food, medicines, and safety supplies, he said.
In a discussion of forklift accident trends, Moratz noted that after declining steadily for years after OSHA began requiring operator training and certification in the early 1990s, the number of forklift accidents rose slightly after 2011, and the number of fatal accidents saw an uptick in 2018. He attributed the rise in large part to a significant increase since 2011 in the number of rider forklifts and pallet trucks being used in the United States. Moratz emphasized that safety is everyone’s responsibility, because the data “are not really numbers we’re talking about. Each number represents people: your co-workers, family, and friends whose lives have been disrupted by accidents.”
The Industrial Truck Association’s National Forklift Safety Day webcast is still available at no charge online. Registrants will receive access to the slides from the presentations by Sweatt, Leon, and Bicksler. Click here to register. And click here to read all of DC Velocity’s special NFSD 2020 coverage and forklift safety articles.
Progress in generative AI (GenAI) is poised to impact business procurement processes through advancements in three areas—agentic reasoning, multimodality, and AI agents—according to Gartner Inc.
Those functions will redefine how procurement operates and significantly impact the agendas of chief procurement officers (CPOs). And 72% of procurement leaders are already prioritizing the integration of GenAI into their strategies, thus highlighting the recognition of its potential to drive significant improvements in efficiency and effectiveness, Gartner found in a survey conducted in July, 2024, with 258 global respondents.
Gartner defined the new functions as follows:
Agentic reasoning in GenAI allows for advanced decision-making processes that mimic human-like cognition. This capability will enable procurement functions to leverage GenAI to analyze complex scenarios and make informed decisions with greater accuracy and speed.
Multimodality refers to the ability of GenAI to process and integrate multiple forms of data, such as text, images, and audio. This will make GenAI more intuitively consumable to users and enhance procurement's ability to gather and analyze diverse information sources, leading to more comprehensive insights and better-informed strategies.
AI agents are autonomous systems that can perform tasks and make decisions on behalf of human operators. In procurement, these agents will automate procurement tasks and activities, freeing up human resources to focus on strategic initiatives, complex problem-solving and edge cases.
As CPOs look to maximize the value of GenAI in procurement, the study recommended three starting points: double down on data governance, develop and incorporate privacy standards into contracts, and increase procurement thresholds.
“These advancements will usher procurement into an era where the distance between ideas, insights, and actions will shorten rapidly,” Ryan Polk, senior director analyst in Gartner’s Supply Chain practice, said in a release. "Procurement leaders who build their foundation now through a focus on data quality, privacy and risk management have the potential to reap new levels of productivity and strategic value from the technology."
Businesses are cautiously optimistic as peak holiday shipping season draws near, with many anticipating year-over-year sales increases as they continue to battle challenging supply chain conditions.
That’s according to the DHL 2024 Peak Season Shipping Survey, released today by express shipping service provider DHL Express U.S. The company surveyed small and medium-sized enterprises (SMEs) to gauge their holiday business outlook compared to last year and found that a mix of optimism and “strategic caution” prevail ahead of this year’s peak.
Nearly half (48%) of the SMEs surveyed said they expect higher holiday sales compared to 2023, while 44% said they expect sales to remain on par with last year, and just 8% said they foresee a decline. Respondents said the main challenges to hitting those goals are supply chain problems (35%), inflation and fluctuating consumer demand (34%), staffing (16%), and inventory challenges (14%).
But respondents said they have strategies in place to tackle those issues. Many said they began preparing for holiday season earlier this year—with 45% saying they started planning in Q2 or earlier, up from 39% last year. Other strategies include expanding into international markets (35%) and leveraging holiday discounts (32%).
Sixty percent of respondents said they will prioritize personalized customer service as a way to enhance customer interactions and loyalty this year. Still others said they will invest in enhanced web and mobile experiences (23%) and eco-friendly practices (13%) to draw customers this holiday season.
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.