In our continuing series of discussions with top supply-chain company executives, Gregg Schiltz discusses new bar-code technologies and how well-designed labeling programs can drive efficiencies.
David Maloney has been a journalist for more than 35 years and is currently the group editorial director for DC Velocity and Supply Chain Quarterly magazines. In this role, he is responsible for the editorial content of both brands of Agile Business Media. Dave joined DC Velocity in April of 2004. Prior to that, he was a senior editor for Modern Materials Handling magazine. Dave also has extensive experience as a broadcast journalist. Before writing for supply chain publications, he was a journalist, television producer and director in Pittsburgh. Dave combines a background of reporting on logistics with his video production experience to bring new opportunities to DC Velocity readers, including web videos highlighting top distribution and logistics facilities, webcasts and other cross-media projects. He continues to live and work in the Pittsburgh area.
Gregg Schiltz is chief operations officer at ID Label, a manufacturer of custom, variable-information bar-code labels, asset tags, and facility signage. He is responsible for day-to-day operations of the company, including manufacturing, sales, marketing, IT, and finance. Schiltz joined ID Label in 2008 as the company’s director of installation services, a division he formed and managed for seven years. He was promoted to general manager in 2015 and COO in 2017.
GREGG SCHILTZ
Q: Where do you see the material handling market heading in 2022?
A: We expect to see the current trends continue: a shortage of available warehouse space, bottlenecks in the supply chain, and increased demand from consumers. These market trends were there pre-Covid, but they’ve been amplified. Consumers are buying more items online, and no one expects that to pull back anytime soon.
For our industry, that means continued demand for space, material handling equipment, software, and bar coding. It demonstrates how integral our industry is to our economy. E-commerce doesn’t work without local storage and last-mile distribution.
Q: Earlier in your career, you worked in operations. How has that experience benefited you now that you work for a supplier?
A: I think it’s been a vital foundation for me. With my prior experience, I know the challenges our customers face and how we can help address them as a custom manufacturer. We have several employees who’ve had experience in warehouse and DC operations. We try to look for that when we recruit and hire. It’s part of how ID Label approaches the market. We train our team to have an empathetic attitude. It helps them listen to customers to understand their needs; then we can design a solution that works for their specific environments.
Q: In what ways can proper labeling create efficiencies within facilities?
A:Bar coding is a key part of a smart warehouse operation. The labels and signs pair with mobile scanning technology, warehouse management software, and a well-planned layout and numbering scheme. Each part is reliant on the others to maximize operational efficiency. At the end of the day, the role of bar coding is to allow data capture within inventory management software. That software needs our labeling products and vice versa. The net result is better inventory management, traceability of parts and finished goods, faster picking and fulfillment, speed, velocity, improved worker movement, and higher productivity—all the above.
It’s a little like the postal system. Every day, they deliver millions of pieces of mail because there is a distribution system in place with individual locations (addresses) so mail can be delivered from point A to B in the most efficient manner.
Q: How are new IT technologies impacting your labeling products and the tracking of inventory in general?
A: New technologies go hand in hand with advances in labeling products. Today’s mobile imagers, for instance, are more sophisticated, which means they can scan from longer ranges at increased scan read rates. That allows manufacturers like ID Label to develop products that take advantage of these capabilities.
Our overhead signs feature retroreflective graphics. These materials enable optimal scan accuracy from long distances—typically 50 feet or more. This is due to the intensity of the light reflecting off the bar code as it’s returned to the mobile scanning device. We also use this material in newer facilities that feature high-bay racking intended to accommodate more units and SKUs. Retro rack-bay labeling on the higher levels accommodates accurate scanning from the ground.
Newer imaging technology can also read two-dimensional bar codes. Unlike typical linear bar codes, 2D bar codes can store thousands of characters of information. That’s because they encode data both vertically and horizontally. They can contain information like product name, serial number, lot number, date of arrival, date to be shipped, and more. A single scan captures all the pertinent information, which is then easily accessible in the facility’s inventory management software.
On the label manufacturing side, newer technology advancements allow us to install in-line verification systems on our presses, so we’re able to monitor bar-code scan quality and read rates in real time as labels are produced. This helps us produce the highest-quality product, which means happy customers.
Q: What is the most popular facility sign that you produce, and how is it being used?
A: The most common sign is a 16- by 11-inch bent PVC sign. These are typically installed above bulk storage areas that contain large, bulky items or pallets of fast-moving products. The signs commonly feature a retroreflective graphic—a bar code and human-readable letters and numbers. Workers in lift trucks can easily drop or pick their load and scan the overhead sign to log it into the WMS without leaving the forklift. That’s just another way bar coding drives efficiency and speed.
Q: What is the one piece of advice you would give to facility managers about their labeling programs?
A: Based on my experience, labeling is typically one of the last items that warehouse managers think of. This can leave them scrambling to find product if there hasn’t been enough time built into their planning. The last thing you want to see is a multimillion-dollar facility miss its go-live date due to lack of location labels.
My advice is to consult with your labeling partner at the start of any project. With today’s supply chain challenges, that’s more important than ever. Hand in hand with that is mapping your facility for efficiency. Signs and labels tell the story of how to navigate a warehouse, and they communicate information to your staff. Most warehouse location IDs consist of four to six fields that reflect the layout and organization of a facility. This nomenclature is a shorthand language to help workers quickly know where products are to be stored or picked. And that logic is also built into the warehouse’s inventory management software.
Beyond that, be sure to use quality products that perform in your environment, whether that’s ambient or cooler/freezer settings. If the location labels are easily damaged, smudged, or peel and fall, the result is lost efficiency and potential errors from manual data entry.
Q: What is the most significant change in labeling you have seen during your time in the industry?
A: We’ve seen materials and adhesives progress dramatically over the past 10 years or so. The industry has moved from using general all-purpose adhesives and paper face sheets for everything. The focus now is on designing custom solutions for specific applications and environments featuring more durable poly materials and advanced adhesives. Bar-code labeling today needs to perform in extreme cold and heat, in outdoor settings with extended exposure to ultraviolet rays, in challenging manufacturing environments—you name it.
For instance, with the growing demand for cold storage facilities, labeling has had to adapt. We developed Arctic Xtreme cold storage labels to meet this demand. They perform extremely well in cold, wet, and subzero conditions—down to -65F. And they can be installed in temperatures as low as -20F.
Repositionable labels are another advancement. Our Clean Release labels adhere tightly to warehouse racking and shelving but are easily removable and reusable without any adhesive residue left behind. This supports our customers’ need for greater flexibility in slotting and reconfiguring their locations to meet seasonal demands or needs arising from facility expansion.
As our customers’ needs change, we’ll be there with innovative bar-coding solutions. That’s the advantage of being a custom manufacturer. There’s no “one size fits all” in our world.
The Port of Oakland has been awarded $50 million from the U.S. Department of Transportation’s Maritime Administration (MARAD) to modernize wharves and terminal infrastructure at its Outer Harbor facility, the port said today.
Those upgrades would enable the Outer Harbor to accommodate Ultra Large Container Vessels (ULCVs), which are now a regular part of the shipping fleet calling on West Coast ports. Each of these ships has a handling capacity of up to 24,000 TEUs (20-foot containers) but are currently restricted at portions of Oakland’s Outer Harbor by aging wharves which were originally designed for smaller ships.
According to the port, those changes will let it handle newer, larger vessels, which are more efficient, cost effective, and environmentally cleaner to operate than older ships. Specific investments for the project will include: wharf strengthening, structural repairs, replacing container crane rails, adding support piles, strengthening support beams, and replacing electrical bus bar system to accommodate larger ship-to-shore cranes.
Commercial fleet operators are steadily increasing their use of GPS fleet tracking, in-cab video solutions, and predictive analytics, driven by rising costs, evolving regulations, and competitive pressures, according to an industry report from Verizon Connect.
Those conclusions come from the company’s fifth annual “Fleet Technology Trends Report,” conducted in partnership with Bobit Business Media, and based on responses from 543 fleet management professionals.
The study showed that for five consecutive years, at least four out of five respondents have reported using at least one form of fleet technology, said Atlanta-based Verizon Connect, which provides fleet and mobile workforce management software platforms, embedded OEM hardware, and a connected vehicle device called Hum by Verizon.
The most commonly used of those technologies is GPS fleet tracking, with 69% of fleets across industries reporting its use, the survey showed. Of those users, 72% find it extremely or very beneficial, citing improved efficiency (62%) and a reduction in harsh driving/speeding events (49%).
Respondents also reported a focus on safety, with 57% of respondents citing improved driver safety as a key benefit of GPS fleet tracking. And 68% of users said in-cab video solutions are extremely or very beneficial. Together, those technologies help reduce distracted driving incidents, improve coaching sessions, and help reduce accident and insurance costs, Verizon Connect said.
Looking at the future, fleet management software is evolving to meet emerging challenges, including sustainability and electrification, the company said. "The findings from this year's Fleet Technology Trends Report highlight a strong commitment across industries to embracing fleet technology, with GPS tracking and in-cab video solutions consistently delivering measurable results,” Peter Mitchell, General Manager, Verizon Connect, said in a release. “As fleets face rising costs and increased regulatory pressures, these technologies are proving to be indispensable in helping organizations optimize their operations, reduce expenses, and navigate the path toward a more sustainable future.”
Businesses engaged in international trade face three major supply chain hurdles as they head into 2025: the disruptions caused by Chinese New Year (CNY), the looming threat of potential tariffs on foreign-made products that could be imposed by the incoming Trump Administration, and the unresolved contract negotiations between the International Longshoremen’s Association (ILA) and the U.S. Maritime Alliance (USMX), according to an analysis from trucking and logistics provider Averitt.
Each of those factors could lead to significant shipping delays, production slowdowns, and increased costs, Averitt said.
First, Chinese New Year 2025 begins on January 29, prompting factories across China and other regions to shut down for weeks, typically causing production to halt and freight demand to skyrocket. The ripple effects can range from increased shipping costs to extended lead times, disrupting even the most well-planned operations. To prepare for that event, shippers should place orders early, build inventory buffers, secure freight space in advance, diversify shipping modes, and communicate with logistics providers, Averitt said.
Second, new or increased tariffs on foreign-made goods could drive up the cost of imports, disrupt established supply chains, and create uncertainty in the marketplace. In turn, shippers may face freight rate volatility and capacity constraints as businesses rush to stockpile inventory ahead of tariff deadlines. To navigate these challenges, shippers should prepare advance shipments and inventory stockpiling, diversity sourcing, negotiate supplier agreements, explore domestic production, and leverage financial strategies.
Third, unresolved contract negotiations between the ILA and the USMX will come to a head by January 15, when the current contract expires. Labor action or strikes could cause severe disruptions at East and Gulf Coast ports, triggering widespread delays and bottlenecks across the supply chain. To prepare for the worst, shippers should adopt a similar strategy to the other potential January threats: collaborate early, secure freight, diversify supply chains, and monitor policy changes.
According to Averitt, companies can cushion the impact of all three challenges by deploying a seamless, end-to-end solution covering the entire path from customs clearance to final-mile delivery. That strategy can help businesses to store inventory closer to their customers, mitigate delays, and reduce costs associated with supply chain disruptions. And combined with proactive communication and real-time visibility tools, the approach allows companies to maintain control and keep their supply chains resilient in the face of global uncertainties, Averitt said.
Bloomington, Indiana-based FTR said its Trucking Conditions Index declined in September to -2.47 from -1.39 in August as weakness in the principal freight dynamics – freight rates, utilization, and volume – offset lower fuel costs and slightly less unfavorable financing costs.
Those negative numbers are nothing new—the TCI has been positive only twice – in May and June of this year – since April 2022, but the group’s current forecast still envisions consistently positive readings through at least a two-year forecast horizon.
“Aside from a near-term boost mostly related to falling diesel prices, we have not changed our Trucking Conditions Index forecast significantly in the wake of the election,” Avery Vise, FTR’s vice president of trucking, said in a release. “The outlook continues to be more favorable for carriers than what they have experienced for well over two years. Our analysis indicates gradual but steadily rising capacity utilization leading to stronger freight rates in 2025.”
But FTR said its forecast remains unchanged. “Just like everyone else, we’ll be watching closely to see exactly what trade and other economic policies are implemented and over what time frame. Some freight disruptions are likely due to tariffs and other factors, but it is not yet clear that those actions will do more than shift the timing of activity,” Vise said.
The TCI tracks the changes representing five major conditions in the U.S. truck market: freight volumes, freight rates, fleet capacity, fuel prices, and financing costs. Combined into a single index indicating the industry’s overall health, a positive score represents good, optimistic conditions while a negative score shows the inverse.
Specifically, the new global average robot density has reached a record 162 units per 10,000 employees in 2023, which is more than double the mark of 74 units measured seven years ago.
Broken into geographical regions, the European Union has a robot density of 219 units per 10,000 employees, an increase of 5.2%, with Germany, Sweden, Denmark and Slovenia in the global top ten. Next, North America’s robot density is 197 units per 10,000 employees – up 4.2%. And Asia has a robot density of 182 units per 10,000 persons employed in manufacturing - an increase of 7.6%. The economies of Korea, Singapore, mainland China and Japan are among the top ten most automated countries.
Broken into individual countries, the U.S. ranked in 10th place in 2023, with a robot density of 295 units. Higher up on the list, the top five are:
The Republic of Korea, with 1,012 robot units, showing a 5% increase on average each year since 2018 thanks to its strong electronics and automotive industries.
Singapore had 770 robot units, in part because it is a small country with a very low number of employees in the manufacturing industry, so it can reach a high robot density with a relatively small operational stock.
China took third place in 2023, surpassing Germany and Japan with a mark of 470 robot units as the nation has managed to double its robot density within four years.
Germany ranks fourth with 429 robot units for a 5% CAGR since 2018.
Japan is in fifth place with 419 robot units, showing growth of 7% on average each year from 2018 to 2023.