capgemini and sap trends in warehouse automation
TRANSCRIPT
Trends in Warehouse Automation
Capgemini and SAP
In collaboration with 2 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Today’s Agenda
Innovations 1
Best-in-Class Examples 2
Spotlight on Sobeys 3
SAP EWM Roadmap 4
Trends in Technology
5
Q&A 6
In collaboration with 3 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
At the Forefront: Innovations in Distribution
Distribution Centers can now provide:
Competitive Advantage
Improved Customer Service
Enhanced Revenue
A refocused strategy toward more automation enabled by:
Lowered cost of innovation
Wearable devices
Flexible WMS Models (Cloud, Saas)
The Internet of Things Machine to Machine
Sentient Technologies Digital Augmentation:
Wearables
Auto Guided Vehicles Mobility
In collaboration with 4 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Innovation in Distribution Center Automation
DC Automation
Order Selection SAP & Vuzix – Hands free, visual and voice combined picking
MHE &
Automation Sobeys – A big move into Automation. Cranes, Palletizer, De-Palletizer…..
Shuttling &
Pallet
Movement
Pallet transport AGV – Move pallets through the DC with unmanned vehicles
Bobcat – Automated Pallet inventory and forklift tracking
Next-Generation
Productivity
Enhancements
SAP MFS framework – Directly connect WMS to the PLC
The MFS dashboard - Analytics – is there something useful the automation
data can tell us.
DC Automation
AGV Wearables Machine to Machine Intelligent Agents
In collaboration with 5 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Complete warehouse small-item picking scenario
(inbound and outbound processing)
QR-Code and barcode scanning using a head-
mounted display
Voice recognition
Innovation in Augmented Reality, Powered by SAP EWM
DC Optimization
Handheld device makes the picking of item
cumbersome
Intensive interaction with handheld device
Alternative (Pick-by-Light or Pick-by-Voice) are either
too expensive or limited in functionality
Challenges
Features & Capabilities
Hands-free experience allows employee to carry
resources freely
Minimizes interaction between user and device
Enables faster picking scenario due to constant
display of information and scanning capabilities of the
head-mounted display
Value Impact
In collaboration with 6 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Innovation in Pallet and Forklift Tracking
Bobcat uses Swisslog “SmartLIFT” technology to combine WMS data with sensor
technology, resulting in an "indoor GPS” that provides information on current lift
truck speed, location, and direction of pallets and their associated product. This can
deliver accurate location information on every pallet handled and improves driver
productivity and inventory accuracy.
DC Optimization
Value Proposition
1) Eliminates scanning,
reduces labor and
number of forklifts
2) Improves inventory
accuracy to reduce
cycle counts, lost time
searching for
inventory and safety
stock
3) Improves movement
and efficiency of
forklifts
In collaboration with 7 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Innovation in Automated Standard Fork Lifts
Guided by laser navigation, they move independently through the warehouse without fixed floor
installations, thereby permitting multi-use of the transportation routes.
The automated forklift trucks transport all types of goods through the warehouse on load carriers
(pallet or roll container) on an optimized transport path. The loading and unloading of goods is
possible to a height of 10 meters, and can be done in the block system as well as in racks.
DC Optimization
Value Proposition
1) Extends vehicle life
2) Lowers operating
costs and labor
3) Reduces maintenance
4) Safer
In collaboration with 8 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Sobeys Case Study
1) Partnered with MHE provider to operate the
equipment
2) Engaged employees from the beginning
3) Built the solution to allow for 50% growth in
capacity
4) Implemented in two facilities
Metrics
Receive 720 cases/hr
Pick 500 cases/hr
Reduce cost by 30 cents/case
Reduce labor 30-40%
DC Optimization
https://www.youtube.com/watch?v=dOf9SAJmrCU
© 2012 SAP AG. All rights reserved. 9
Warehouse Automation with SAP ‒ Architectural Evolution
SAP ERP
PLC
3rd Pty.
MFS
SAP LES
SAP ERP
SAP LES
PLC
SAP TRM
SAP ERP
PLC
3rd Pty.
MFS
3rd Pty.
WM
Inventory
Warehouse Mgmt.
Material Flow
Control of
Sensors & Drives
3rd Pty
MFS
SAP ERP
SAP EWM
SAP MFS
PLC
SAP PCo RFC-Adapter
Since 2008
3rd Pty.
MFS
SAP EWM
SAP ERP
PLC
Since 2005
© 2012 SAP AG. All rights reserved. 10
MFS – Types of Equipment
Conveyers
Pallets / cases / packages
Transfer cars
Sorter
Label applicators
Pick-Pack-Pass picking principle
Storage Retrieval Machines
ASRS pallets / cases
Goods-to-man picking principle
Subsystems
Monorail system
Automated guided vehicle systems (AGV)
© 2014 SAP SE or an SAP affiliate company. All rights reserved. 11 Internal
Innovations for Warehousing Management
Multi Deep
Warehousing
Solution Round-offs
Dock Appointment
Scheduling web
collaboration for Carriers
Extended Labor Demand
Planning
TCO / TCI reduction
Zero Down time
Quality Management
Support end to end process for recurring inspection
Tight integration with ERP
Inspection before Goods receipt
ECC EWM
Support for multi-depth
storage types
Easily monitor and
consume MFS data
Reduce implementation
costs and streamline
process
© 2014 SAP SE or an SAP affiliate company. All rights reserved. 12 Internal
Innovations for Warehousing Management
Staging & Consumption
Production/Process Order in EWM
EWM is the leading system
Work Center / RF / MES
Posts consumption in EWM
Goods Receipt from Production
EWM is the leading system
RF / MES
Performance (hole-in-the-wall pallet
receiving
Enhanced Production
Integration
In collaboration with 13 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Trends in Automation The 360 degree view of automation and its impact on operations.
Discussion Points
Impact of
Technology
Massachusetts Institute of Technology researchers Andrew McAfee and Erik Brynjolfsson –
AI, Robotics, and the Future of Jobs.” Workers are losing the race between education and technology.
This may be exacerbating a longer-term trend in which capital has gained the upper hand on labor
since the 1970s’.
Labor vs Capital
And Talent
Sites will be more capital intensive. The P&L will move more costs to balance sheet
Equipment can be an encumbrance to nimble operational configuration and flexibility in your supply
chain network
Skilled technicians are needed to keep equipment running
Impact
(48%) envision a
future in which robots
and digital agents
have displaced
significant numbers of
both blue- and white-
collar
(52%) expect that technology
will not displace more jobs.
Many jobs will be taken over by
robots or digital agents by
2025. But they have faith that
human ingenuity will create
new jobs,
http://www.pewinternet.org/2014/08/06/future-of-jobs/
In collaboration with 14 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Trends in Technology
How can we leverage?
Discussion Points
Machine to
Machine
M2M network uses a sensor or device to monitor activity or a status change: inventory levels,
temperature changes or delivery zip code arrival.
The data is sent to another device or application, which can analyze the event and take further action.
Vendor auto-replen for supplies
Trailer Moves
Delivery Confirmation
Stock Outs
Temperature variance
Intelligent
Agents
An intelligent agent is a software that allows people to delegate work to the agent software to perform
repetitive tasks, remember things you forgot, summarize complex data, learn from you and even make
recommendations to you.
Waveless Picking
Trigger Cycle Counts based on inventory adjustments, stock outs and miss-picks
Make staffing level and overtime recommendations based on current rate of work
Trailer Load planning
Predictive
Analytics and
Machine
Learning
Learn from your data and inform decision makers before things happen. Monitor productivity, run rates,
quality and other key metrics and dynamically modify the logic that controls those processes.
Adjust sorter speed and other automated equipment run rates
Build order waves and load plans dynamically
Next Generation
Smart technology and analytics are the next-gen for continuous improvement in operations
In collaboration with 15 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Questions?
In collaboration with 16 The information contained in this document is proprietary. Copyright © 2014 Capgemini. All rights reserved.
Contacts
Sundip Naik
John McDonnell
Joe Vernon
Richard Kirker
www.sap.com/ewm
The information contained in this presentation is proprietary.
© 2014 Capgemini. All rights reserved.
www.capgemini.com
About Capgemini
With almost 140,000 people in over 40 countries,
Capgemini is one of the world's foremost providers of
consulting, technology and outsourcing services. The Group
reported 2013 global revenues of EUR 10.1 billion (more
than $13 billion USD).
Together with its clients, Capgemini creates and delivers
business and technology solutions that fit their needs and
drive the results they want. A deeply multicultural
organization, Capgemini has developed its own way of
working, the Collaborative Business ExperienceTM, and
draws on Rightshore ®, its worldwide delivery model.
Rightshore® is a trademark belonging to Capgemini