When it needed to streamline its plant operations last year, apparel company Bespoke “hired” 15 AMRs to move, trace, and direct workpieces to their destinations, freeing human workers for higher-value tasks.
Each year, manufacturers and retailers look for ways to fill customer orders faster and more accurately. Yet all too often, they encounter a host of obstacles—everything from labor shortages to changing industry standards and regulations to ever-tightening timelines—especially during peak season.
These were some of the challenges facing Bespoke Manufacturing Co. (BMC), a manufacturer of primarily high-end women’s wear. Last year, the company was looking to modernize its operations by moving from a traditional “design-make-sell” manufacturing model to an on-demand model. The objectives: to eliminate waste, unify its people and processes, increase efficiency and productivity, and scale up manufacturing operations to meet growing demand.
For help with the project, the company turned to warehouse automation specialist S&H Systems, mobile computing company Zebra Technologies, and Fetch Robotics—a maker of autonomous mobile robots (AMRs) acquired by Zebra in 2021. As BMC explained to its new partners, the end goal was to improve its workflow visibility from the initial printing and cutting of the fabric to the final production phase of packing and shipping.
COMBINING TECH OFFERS NEW POSSIBILITIES
In order to realize its vision, Phoenix-based BMC would need a solution that allowed its front-line workers to focus on production as the company scaled up its on-demand business. The key to that, it concluded, would be delegating its workflow logistics to automated equipment. After weighing various options, the company decided to go with Zebra’s end-to-end industrial and robotics automation solution—which combines the Fetch AMRs with Zebra’s fixed industrial scanners—to help move, trace, and direct workpieces to their destinations along the production line.
“Embracing automation turns inefficient processes into optimal workflows … [in order] to achieve increased accuracy, enhanced throughput, reduced labor needs, faster onboarding of new workers, more data and consistent outcomes, and flexible new solutions,” explained Cody James, strategic account manager at Zebra Technologies/Fetch Robotics, in a webinar.
To design and integrate the automated solution, BMC worked with systems integrator S&H Systems, a member of Zebra’s PartnerConnect program. In the end, BMC deployed 15 of Zebra’s Fetch Robotics RollerTop AMRs (robots with conveyors on top of them) and more than 200 of Zebra’s FS20 and FS40 fixed industrial scanners to move totes throughout the manufacturing process and keep track of them as they work their way through the sewing stations.
THE TRANSFORMATION JOURNEY
The first step in BMC’s manufacturing transformation was to eliminate 90% of the fixed conveyor belts operating throughout its factory. Next, more sewing machines were added to the roughly 50,000-square-foot Phoenix facility. Once the floor space was reconfigured to accommodate the new process, the robots were brought in, the scanners were installed, and technicians began preparing the system to go live.
Today, when a customer orders a piece of clothing online, the order is fed into the company’s enterprise resource planning (ERP) system, which immediately sends instructions to the automated cutting station, where the fabric is cut by a robotic arm. A picker then places the fabric pieces into a bar-coded tote and deposits it on a conveyor. As the tote makes its way down a 50-foot conveyor belt, its bar code is read by a scanner, triggering a process whereby the system identifies what additional items need to be added to the tote—for example, the garment might need a 12-inch zipper, a hook-and-eye, a clasp, and three labels. The tote then travels to an automated vertical material rack (VMR) that will present those additional items (zipper, labels, etc.) to the picker to add to the tote.
Once all the necessary items have been collected, a picker places the tote on a short-line conveyor belt. When the tote reaches its destination, a scanner reads its bar code, which prompts the system to call over an AMR to pick up the tote and autonomously deliver it to as many sewing stations as required. Fixed industrial scanners register the totes at each location, tracking the position of every garment in the plant. Once the order is complete, the robots autonomously deliver the finished goods to packing and shipping stations.
FLEXIBILITY FOR THE FUTURE
Shifting to a highly automated manufacturing operation has been a game changer for BMC. To begin with, the company realized an immediate 33% improvement in space efficiency by removing most of its fixed conveyor belts. This added space now gives BMC the flexibility to accommodate future seasonal demands, explained J. Kirby Best, president and chief executive officer of BMC, in the webinar.
But the benefits didn’t stop there; the company has enjoyed productivity gains as well. The system’s FetchCore Software, which triggers the robots to execute a workflow, can make adjustments to the AMRs’ routes across the plant floor in seconds. According to BMC, the facility has tripled production capacity with the new automated equipment—which allows it to make up to six dresses per minute.
And by producing garments on demand, BMC has eliminated material waste throughout the manufacturing process, minimizing the amount of fabric that ends up in landfills each year.
Most significantly, perhaps, the added flexibility has made a world of difference for employees. The automated systems have streamlined BMC’s workflow processes, allowing workers to focus on picking and hand sewing tasks rather than moving products among 120 different stations. “With Zebra’s unique solution, we are able to realize significant savings in labor time while retaining an ability to instantly scale up to meet seasonal demand surges and seamlessly modify our production,” Best said in a press release.
Editor's note: This article was revised on August 28 to correct the location of BMC's factory.
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.