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® The Apparel Group: Dressed for distribution success Page 18 SPECIAL REPORT Top 20 SCM providers 26 EQUIPMENT REPORT Green unitizing practices 30 INFORMATION MANAGEMENT Five trends in WMS 34 Kirk Longo, vice president of supply chain, The Apparel Group mmh.com PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION, WAREHOUSING AND MANUFACTURING July 2010 Special corporate profile issue

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Page 1: mmh.com July 2010 The Apparel Group: Dressed for distribution … · INFORMATION MANAGEMENT. 34 WMS metamorphosis. The mature technology has evolved with enhanced functionality, better

®

The Apparel Group:Dressed for distribution success Page 18

SPECIAL REPORT

Top 20 SCM providers 26EQUIPMENT REPORT

Green unitizingpractices 30INFORMATION MANAGEMENT

Five trends in WMS 34

Kirk Longo, vice president of supply chain, The Apparel Group

®

m m h . c o m

PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION, WAREHOUSING AND MANUFACTURING

July 2010

Special corporateprofile issue

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Tune up your operation by rebuilding, upgrad-ing or Modernizing your material handling sys-tem. With new software, controls, and equip-ment rebuilds, you get ROI:

Reduce: energy usage, downtime, maintenanceOptimize: system performanceIncrease: uptime, throughput

1-877-725-7500www.dematic.us/modernizations

Get More PerformanceFrom Existing Material Handling Systems

Material handling modernization: 9 Software/controls upgrades 9 Sorter enhancement kit 9 Replacement rollers 9 Motorized roller retro-fit kit 9 Powered pulley upgrade 9 Conveyor conversion 9 ASRS rebuilds

Facilities modernization: 9 Energy management 9 Re-lamping 9 Arc flash analysis

Operations modernization: 9 Operations assessment 9 Maintenance audits 9 Preventative maintenance services 9 Resident maintenance

MMH1007_ads.indd 2 7/6/10 9:42 AM

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IN RECOGNITION OF ITS SAFETY ACHIEVEMENTS and the implementation of effective safety programs and initia-tives, Crown Equipment (www.crown.com), a leading lift truck manufacturer, has earned a 2010 Occupational Excellence Achievement Award from the National Safety Council. Crown’s comprehensive safety program is enhanced by employee involvement, man-agement support, and focuses on conditional and behavior-based safety. The company’s injury prevention program encourages employees to suggest ways to create a safer environment, while the

behavior-based SafeSteps program encourages observa-tion and feedback. “Safety at Crown is a collaboration of supportive leadership, a lean design and manufacturing process, and employees who care,” says Dave Beddow, vice president manufacturing operations.

mmh.com MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 3

ADEPT TECHNOLOGY (www.adept.com) has acquired MobileRobots, a provider of autonomous robot and automated guided vehicle technologies. According to Adept, MobileRobots positions the com-pany to deliver productivity gains in unstructured environments. Equipping Adept’s global sales channels with autonomous robots and associated technologies will enable the company to address the

needs of the production logistics markets. “We are clearly focused on removing the challenges and costs associated with manual and less sophisticated means of moving criti-cal components through production environments in a flexible manner,” says Adept president and CEO John Dulchinos. “MobileRobots extends this value proposition beyond our industry’s traditional application areas.”

Adept acquires MobileRobots

FAST FACT

$4.2 billionRepresents the supply chain management software market space in 2009Source: Chad Eschinger, Gartner

See story, page 26

SHARE YOUR VOICE ABOUT VOICE. Voxware, a supplier of software for voice-driven warehousing operations, has launched a Voice Picking Blog (www.voxware.com/voice-picking-blog/), a resource designed to share the latest devel-opments in voice picking technology and trends. The blog is currently being populated by submissions from Voxware con-tributors, but comments and guest submissions are encour-aged. The most recent blog posts address the differences between voice recognition technology for warehouses and call centers, the financial impact of picking accuracy and the benefits of combining voice picking with worker incentives.

Voxware launches voice picking blog

Safety award is crowning glory for forklift manufacturer

ROBOTICS SUPPLIER Motoman (www.moto-man.com) and Yaskawa Electric America (www.yaskawa.com), a manufacturer of AC drives and motion control products, will merge to form Yaskawa America Inc.

Motoman operations, headquartered in Dayton, Ohio, will form the Motoman Robotics division of Yaskawa America. The new company has secured property near Dayton for a new 300,000-square-foot state-of-the-art office and production facility. The Yaskawa Electric America Inc. operations, headquartered in Waukegan, Ill., will form the drives and motion division. Both will continue to operate as independent divisions, retaining the same management structures and operating in the same geographical regions.

Yaskawa and Motoman merge to create Yaskawa America

UP FRONT B R E A K I N G N E W S Y O U S H O U L D K N O W

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mmh.com MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 5

PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION, WAREHOUSING AND MANUFACTURING

The team at The Apparel Group, lead by Kirk Longo, worked together to create an automated and strategic facility.

VOL. 65, NO. 7

DEPARTMENTS & COLUMNS 3/ Upfront 7/ This month in Modern14/ Lift Truck Tips: Sit-down

counterbalanced trucks39/ Special Section: Corporate Profiles52/ Focus On: Dock Equipment55/ Product Showcase58/ 60 seconds with...

NEWS 9/ May retail sales show a slight decline10/ Prepare for coming EPA regs11/ OSHA targeting “Severe Violators”12/ Managed services are coming to RFID13/ People in the news

COVER STORYSYSTEM REPORT

18 Dressed for distribution successAt The Apparel Group’s new Texas distribution center, the company reduced handling costs and increased the speed of product to market—two items that are always in style.

24 Lowering handling cost, increasing speed to marketMaterials handling automation and picking technologies bring new efficiencies to The Apparel Group.

FEATURESSPECIAL REPORT

26 Top 20 supply chain management software suppliersOur 9th-annual survey of SCM suppliers finds that the market for supply chain software took a hit last year, but things are beginning to look up.

EQUIPMENT REPORT

30 Unitizing: The unsung hero of materials handlingEffective unitizing practices and eco-friendly materials can help you keep your costs in check and turn your operation a brighter shade of green.

INFORMATION MANAGEMENT

34 WMS metamorphosisThe mature technology has evolved with enhanced functionality, better integration and new methods of delivery and use. Here are the five trends driving the evolution of WMS.

PRODUCTIVITY SOLUTION

38 Signature Brands serves up a sweet voice solutionDessert decorating products manufacturer blends voice and software technology to improve picking and pallet assembly processes.

60 seconds with…Peter Voss, page 58

Modern Materials Handling ® (ISSN 0026-8038) is published monthly by Peerless Media, LLC, a Division of EH Publishing, Inc., 111 Speen St, Suite 200, Framingham, MA 01701. Annual subscription rates for non-qualifi ed subscribers: USA $119, Canada $159, Other International $249. Single copies are available for $20.00. Send all subscription inquiries to Modern Materials Handling, 111 Speen Street, Suite 200, Framingham, MA 01701 USA. Periodicals postage paid at Framingham, MA and additional mailing offi ces. POSTMASTER: Send address changes to: Modern Materials Handling, PO Box 1496 Framingham MA 01701-1496. Reproduction of this magazine in whole or part without written permis-sion of the publisher is prohibited. All rights reserved. (C)2010 Peerless Media, LLC.

®

PHOTO: ED LALLO

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• FirmaLoad™ bulk bag carriers make moving and storing bulk bags cleaner, easier and more stable.

• FirmaCore™ lightweight carriers are built specially for one-way shipping of lightweight products for less.

• FirmaDeck™ corrugated carriers are engineered to provide strength to exactly fi t your products and processes.

sonocotranspack.com888/875-8754

As your sustainability commitments grow, the inherent weaknesses of conventional pallets become unacceptable. Learn more about all the innovations in Sonoco’s new Firma line of carriers; click or call:

Sure, conventional pallets do the job. Just not very well. Th ey damage your product, jam your material handling systems, cause injuries, host insects and create disposal headaches. If you ever wanted a better way, this is it. Firma brand unitized load carriers from Sonoco can reduce your costs, meet global shipping challenges, and help you be better stewards of the earth’s resources.

• FirmaGuard™ components make wood pallets more protective, durable and longer lasting.

• FirmaMax™ plastic carriers (made entirely from recycled plastics) off er stronger, stiff er, slip-resistant transit.

One-size-fi ts-all pallets have come

to a dead end.

Sure, conventional pallets dJust noottt vveerryy welllllllll. ThTh ey damage your product, jam your

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m m h . c o m MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 7

Member Member ofOfficial Publication of

Winner Jesse H. Neal

Certificates of Merit for Journalistic

Excellence

EDITORIAL OFFICES111 Speen Street, Suite 200Framingham, MA 01701-1496(800) 375-8015

Michael LevansGROUP EDITORIAL DIRECTOR [email protected]

Bob TrebilcockEXECUTIVE EDITOR

[email protected]

Noël P. BodenburgEXECUTIVE MANAGING EDITOR

[email protected]

Lorie King RogersASSOCIATE EDITOR

[email protected]

Sara Pearson SpecterEDITOR AT LARGE

[email protected]

Roberto MichelEDITOR AT LARGE

[email protected]

Tom AndelCOLUMNIST

[email protected]

Jeff BermanGROUP NEWS EDITOR

[email protected]

Mike RoachCREATIVE DIRECTOR

[email protected]

Wendy DelCampoART DIRECTOR

[email protected]

Daniel GuideraILLUSTRATION

[email protected]

Brian CeraoloGROUP PUBLISHER [email protected]

EDITORIAL ADVISORY BOARD

Ron Giuntini OEM PRODUCT-SERVICES INSTITUTE

John HillESYNC

TRANSYSTEMS

Susan RiderRIDER & ASSOCIATES

Ken RuehrdanzDEMATIC

Dr. John Usher UNIVERSITY OF LOUISVILLE

Col. Alan B. Will2D MARINE LOGISTICS GROUP

Brett WoodTOYOTA MATERIAL HANDLING USA

PEERLESS MEDIA, LLCA DIVISION OF EH PUBLISHING, INC.

Kenneth MoyesPRESIDENT AND CEOEH PUBLISHING, INC.

Brian CeraoloPUBLISHER AND EXECUTIVE VICE PRESIDENT

PEERLESS MEDIA, LLC

MAGAZINE SUBSCRIPTIONSFREE magazine subscriptions available.E-mail: [email protected]/info/subscribe

You can pretty much accomplish any-thing if you have the right team work-ing together to execute a simple and

specifi c plan with achievable goals. In fact, along the way you may be surprised at exactly how much can be accomplished.

Just ask the crew at The Apparel Group (TAG), one of the world’s largest apparel providers and distributors of private label and branded clothing and the subject of this month’s System Report.

This well-dressed bunch was looking to reduce handling costs—mainly by eliminating touches—and to increase their speed to mar-ket. They tackled the challenge with a strate-gically placed distribution center that employs several different picking technologies based on the velocity of movement and the number of units required to fi ll an order.

And as you’re about to learn, the team not only accomplished both of these goals at their 158,000-square-foot facility in Lewisville, Texas, but also extended their business as a result of the effi ciencies realized by a new, dynamic system.

During the fi rst phase of the project in 2008, TAG installed a high-speed conveyor and sortation system for improved handling and shipping; a garment-on-hanger handling sys-tem that allows TAG to receive, putaway and pick garments that are already on store-ready hangers; RF technology for slower moving items; and pick-to-light for orders that turnover quickly or only have few line items per order.

As Executive Editor Bob Treblicock reports, TAG expanded its operation this year with a tilt-tray sortation system to handle the most labor-intensive picks. Today, the Lewisville facility manages more than 16,000 stock keeping units (SKUs) and distributes 6 million items per year—with just 50 associates.

After only 18 months of operation, TAG

is not just providing better customer service. The company has used these newfound capa-bilities to create The Apparel Logistics Group, an internally operated 3PL designed to serve their customer base.

“The strategy is to leverage our expertise in importing, distribution, accounting, customer service and merchandising along with our ma-terials handling capabilities for other apparel manufacturers,” TAG’s vice president of supply chain Kirk Longo tells Trebilcock. “They can focus on what they do best, and let us handle the logistics for them.”

Another stunning example of what you can accomplish when you apply the benefi ts of materials handling to “big picture,” strategic thinking.

Editor’s Note: It’s with mixed emotions that I announce that Tom Andel will no longer be writing his terrifi c Lift Truck Tips column or his insightful blog for mmh.com. After serving as one of Modern’s most valuable contributors, Tom was offered the position of editor in chief at Material Handling Management, one of our competing magazines. Tom accepted the offer at the end of June.

As I’ve mentioned in this column before, Tom is one of the best columnists that I’ve ever had the privilege of working with. Very few people who cover this market have Tom’s depth and breadth of lift truck knowledge. He’s the consummate professional and a true gentleman in every sense of the word.

And while I’m saddened that we’ll no longer have our feature-planning phone chats where I end up razzing him about the state of Cleveland sports, I’m very happy that Tom has landed in a position that will employ his full set of editorial and management skills. While Modern is losing a great contributor, we’re gaining a noble and worthy competitor. We wish him all the luck in the world.

TAG’s team effort

MICHAEL LEVANSGROUP EDITORIAL

DIRECTOR

THIS MONTH IN MODERN

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Productivity Solutions in Motion: The Intelligrated Way

Why should your order

fulfillment solution be designed

The Intelligrated Way?

The Intelligrated Way means that your solution

is designed with only your needs in mind. Our team

of experienced professionals is committed to providing

you with a solution to increase system efficiency and

reduce operational costs. With the industry’s most advanced

technologies for quick, real-time visibility, Intelligrated order

fulfillment tools allow you to plan, monitor and adjust to keep your

operations on track – all from the palm of your hand.

The Intelligrated Way means you can trust in the reliability and dependability of our

systems. The Intelligrated Way provides productivity, which means you’ll have more time

to visit the DC floor without sacrificing system visibility.

With productivity solutions from Intelligrated, you’ll have more time to leave your desk and visit the DC floor.

+1 866.936.7300 www.intelligrated.com

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UNLIKE THE PREVIOUS two months, retail sales growth momentum saw a dip from April to May but saw slight year-over-year increases, according to data released by the United States Department of Commerce and the National Retail Federation (NRF).

May retail sales at $362.5 billion—which include non-general merchan-dise like automobiles, gasoline and restaurants—were down 1.2% from April and up 6.9% year-over-year, while total retail sales for the March through May 2010 period were up 8.1% year-over-year, according to the Department of Commerce.

And the NRF reported that May retail sales—which exclude automo-biles, gas stations, and restaurants—fell 1.4% seasonally-adjusted from April and were up 2.7% unadjusted annually.

“Even though May sales were not as strong as previous months, we re-main encouraged by the steady pace of the economic recovery,” said Ro-salind Wells, chief economist for NRF. “Ultimately consumer momentum will be tied to our economy’s ability to add private sector jobs.”

Even though retail sales are down sequentially, recent upticks in sales are not entirely surprising, consider-

ing that various economic indicators and media reports in recent weeks have pointed to some improve-ments in the job market and ongoing strength in the manufacturing sector.

And at the same time, consum-ers have started to emerge from the bunker and are starting to spend more, albeit cautiously. This has also been apparent in freight transpor-tation volumes, which are seeing consistent sequential and annual gains due to increased consumer spending, coupled with retailers slowly building up inventories after deliberately keeping them low for months to better match up with previously sluggish demand follow-ing the depths of the recession.

Industry sources have told Mod-ern that since November the overall market feels better due to the fact that retailers are putting themselves in a position to have ample spring inventory in place. What’s more, retail sales are turning in steady perfor-mances at a time when unemploy-ment remains high, coupled with the national personal savings rate at about 5.5% which has lowered the new normal consumption rate, and will build up slowly from this point.

“By and large the trend [regarding

retail sales] continues to be up,” said Eric Starks, president of freight trans-portation consultancy FTR Associ-ates. “But with this choppiness from April to May, you need to look at what is happening on a three-month average basis; activity continues to move higher overall.”

At the same time, Starks said, consumers are perhaps being cau-tious still, with most thinking that the economy is still moving in the right direction despite not having com-pletely embraced the recovery.

“If we continue to start seeing strong year-over-year comparisons in the second half of the year, then that is a great thing and is what we would like to see,” explained Starks. “But we expect them to come down at a pretty modest pace over the next quarter or so.”

MATERIALS HANDLING BUSINESS

EVEN THOUGH MAY SALES WERE NOT AS STRONG AS PREVIOUS MONTHS, ANALYSTS REMAIN ENCOURAGED BY THE STEADY PACE OF THE ECONOMIC RECOVERY.

May retail sales show a slight decline

BY JEFF BERMAN, GROUP NEWS EDITOR

m m h . c o m MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 9

Company Briefi ngs | Bob Trebilcock Managed services are coming to RFID

Takeaways | Tom AndelTime to sharpen your lift truck selection skills

www.mmh.com

Di@blogbest of Modern’s blogs

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ALTHOUGH THE Environmental Protection Agenegy (EPA) Tier 4 Diesel Regulation doesn’t kick in until January 2011, some makers of inter-nal combustion engine lift trucks are

busy making the case for converting to electric models. They say that the electric technology is now suitable to meet the demands of many indoor/outdoor applications.

The Tier 4 regulation would eliminate the amount of diesel particulate matter (soot) and nitrogen oxides (NOx) put out by off-road engines. The interim rule taking effect in January affects engines from 175 to 750 horsepower. It cut soot by 90% and NOx by 45%.

To make sure an electric pneumat-ic lift truck will be suitable for the job previous held by an IC truck, the fol-lowing questions must be answered:

• Is the appli-cation very wet?

• Will condi-tions be very cold?

• Will there be traction issues?

Answering in the affi rmative to any or all of these doesn’t rule out an electric pneumatic lift truck, but it may require higher levels of protec-tion than can be offered by a stan-dard chassis. The application might call for an enclosed cab or sealed power components, for example.

Such considerations present chal-lenges when specifying an electric pneumatic lift truck to take the place of an IC, according to Jeff Bowles, manager of product marketing for Mit-subishi Caterpillar Forklift America Inc. (www.mcfa.com). The user might have to consider the following trade-offs:

• Initial cost (IC’s favor) vs. long-term cost (electric’s favor)

• 5 min. fueling/tank change (IC) vs. 20 min. battery change (electric)

• Cost of fuel (IC) vs. cost of elec-tricity (EL)

• Power/durability (IC) vs. lower emissions and noise (electric)

• Fuel storage (IC) vs. battery room (EL)

“The choice is further compli-cated by outside incentives—either funding or regulation,” Bowles told Modern. “These increasingly favor electric trucks or alternative fuel trucks. In some cases, these incen-tives could be enough to push a customer to an electric truck from an economic/ROI standpoint, even if the application itself might call for an IC solution.”

10 J U L Y 2 0 1 0 / MODERN MATERIALS HANDLING m m h . c o m

Environment

Prepare for coming EPA regs

What can an MDR Spiral Tower do for you?

• Saves space

• Zero contact, zero pressure accumulation

• Uphill, downhill and reversible

• Ships fully assembled

Find out what our 24 Volt DC Motorized Drive Roll Conveyor can do for you.

Give us a call, e-mail us, or visit our website.

28121 Scippo Creek Rd. • Circleville, OH 43113Phone: 877-532-9070 Ext. 301

E-mail: [email protected]: www.capitolconveyorsinc.com

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Protect Your Dairy ProductsWith Buckhorn Intermediate Bulk Containers

Buckhorn reusable plastic IBCs, made from FDA-approved materials, are the ideal choice to protect your dairy products and ingredients. The perfect way to

reduce transport costs and increase productivity, Buckhorn IBCs are:

• Hygienic • Stackable & Collapsible • Durable • RFID Traceable • Recyclable

Call Buckhorn at 800-543-4454 or visit www.buckhornibcs.com to get the facts and request a FREE on-site packaging assessment.

SAFESECURE

Ship and Store

Protect Your Dairy Products

SECURE&

©2010 Buckhorn, Inc./Myers Industries #10149

m m h . c o m MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 11

COMPLIANCE

OSHA targeting “Severe Violators”AS THE EFFECTS OF THE BP un-derwater oil gusher were becoming increasingly evident at the beginning of June, Attorney-General Eric Holder made a promise in Louisiana: Civil and criminal charges would be con-sidered against BP and other compa-nies involved in the disaster.

This punitive mood is apparently taking root in other government agencies, including Occupational Safety and Health Administration (OSHA, www.osha.gov). This month the Severe Violator Enforcement Program (SVEP) is expected to take effect, replacing OSHA’s current Enhanced Enforcement Program. It will direct OSHA enforcement offi cials to take especially aggressive enforce-ment steps under four circumstances:

• Fatality/catastrophe;• High-emphasis hazards (entailing

willful, repeat violations);• Potential release of a highly-

hazardous chemical (Process Safety Management); and

• Egregious cases in which OSHA would cite employers according to each employee exposed.

Rodney Smith, a partner in the La-bor & Employment Law Department of Sherman and Howard, a law fi rm specializing in occupational safety and health law, hasn’t seen employ-ers targeted under the SVEP program yet, but he expects to very soon.

“The Secretary of Labor proudly proclaimed there’s a new sheriff in town and we’re back in the enforcement business,” Smith told Modern. “The BP explosion adds to this fi re, as did the mine disaster in West Virginia. Those cases pose the question, are the en-

forcement agencies doing their jobs?”Judging by the number of press

releases OSHA has been issuing late-ly on its citation activity, it wants that answer to be a clear “yes.” There’s more emphasis on fi nding bad ac-tors, shaming them and making an example of them, Smith believes. That means more signifi cant citations

with greater dollar amounts and less fl exibility in getting them settled.

Smith’s conclusion for warehouse/DC managers: “Compliance is always the best defense. Look at your health and safety programs as well as the ci-tations you’ve received. An employer’s OSHA record is more important than ever, and it needs to be protected.”

“ The Secretary of Labor proudly proclaimed there’s a new sheriff in town and we’re back in the enforcement business,”

—Rodney Smith

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TGW is one of the best kept secrets in automated material handling solutions. To make it easier to know some of thecompanies that have discoveredthe secret of using TGW to optimize their supply chain,we provided this handy list.

Carton, tote and unit loadconveyor & sortation systems

Automated Storage and Retrieval Systems (AS/RS)for case, tote, carton and pallet loads

Warehouse Control (WCS) and Warehouse Management (WMS) Systems

www.tgw-group.com

Carton, tote and unit loadconveyor & sortation systems

Automated Storage and Retrieval Systems (AS/RS)

Warehouse Control (WCS) and Warehouse Management

Who Uses Who Uses Who Uses

TGW?TGW?TGW?More companies than you think...

10 06 LM Corp half page ad.indd 1 6/28/2010 4:09:54 PM

CLOUD COMPUTING. Software-as-a-service (SaaS). Managed services. These have been among the hottest top-ics in information technology over the last year. It has also been one of the most

exciting topics in information technol-ogy today, driven by all those Apple ads for apps for the iPhone and the iPad.

All three terms refer to the same concept—turning over the day-to-day

management of an application to a third party.

Most of the buzz has been around supply chain software, but could man-aged services also be a new business model for RFID? That’s one of the questions being asked by the industry, according to VDC Research Group (www.vdcresearch.com).

“Managed services is a relatively new offering for the RFID industry, but it is emerging,” says Drew Nathanson, direc-tor of research operations for VDC.

“One of the biggest barriers to the adoption of RFID is the risk in the upfront investment,” says Nathanson. “Managed services mitigate that risk.” In a managed services model the solu-tion provider owns and maintains the hardware and software; that reduc-es the upfront investment cost and means that the user always has the latest technology because the supplier stays up to date. 

Several models are being discussed within the industry, including a SaaS model, where the end user owns the hardware but a middleware company hosts and maintains the application soft-ware; a hardware leasing model, where a solution provider leases and maintains the RFID readers and other hardware associated with the solution; and a hybrid package that encompasses both hardware and software.

One advantage that Nathanson sees from a managed services approach is the ability for the service provider to provide analytics associate with the data being collected by the system. “Through its work with the Department of Defense, Savi Technologies (www.savi.com) has an end-to-end infrastruc-ture,” says Nathanson. “As an end user, you could conceivably slap a tag on a box in China and then watch in real time as it travels to the United States, all provided via the Internet as it’s read in the supply chain.”

What all of this adds up to, says Nathanson, “is that RFID is becoming real. We had been seeing signs of this before hand but there’s been a broaden-ing and maturing of the market.”

12 J U L Y 2 0 1 0 / MODERN MATERIALS HANDLING m m h . c o m

RFID

Managed services are coming to RFID

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m m h . c o m MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 13

PEOPLE IN THE NEWS…Intermec (www.intermec.com) has named Peter Fausel vice president of North America sales. Reporting to Jim McDonnell, Intermec’s senior vice president of global sales, Fausel is responsible for driving continued growth and improving the consistency, transparency and predictability of do-ing business with Intermec.

RedPrairie (www.redprairie.com) has appointed Joe Juliano president, Americas, and Doug Braun presi-dent, global operations. Both report

to CEO Mike Mayoras and are members of Red-Prairie’s execu-tive leadership team. Juliano is responsible for RedPrairie’s sales and services or-ganization in the Americas region. Braun, a 16-year RedPrairie veter-an, is responsible for coordinating product develop-ment with sales and services, growing hosting and managed services, and creating a consis-tent framework

for services delivery, among other accountabilities.

Mobile-robotic solutions provider Kiva Systems (www.kivasystems.com) has named Amy Villeneuve president and COO. Villeneuve is responsible for Kiva’s end-to-end customer engagement process, from sales and marketing through customer installa-tion and support, and reports to Mick Mountz, CEO and founder.

Bastian Material Handling (www.bastiansolutions.com) recently ex-panded its operations into Atlanta to

Joe Juliano

Doug Braun

better serve customers in the South. The new offi ce will be managed by Bill Hawthorne, the former vice president of sales and marketing for Hytrol Conveyor Company.

Supply chain consulting fi rm TZA(www.tzaconsulting.com) has hired

Steve Webber as its new director of training. In his role, Webber is responsible for implementing and expanding TZA’s best-in-class man-agement, leadership, communica-tion and professional development programs to supply chain associates, managers and executives.

MMH1007_news.indd 13 7/6/10 2:08 PM

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Mick Jagger’s lyrics would make a great commercial for sit-down counterbalanced lift trucks. And why not? The Rolling Stones’ “Start Me Up” was used

a few years ago to sell Fords. But getting what you want versus getting what you

need is a classic problem when selecting these kinds of lift trucks. Cesar Jimenez, national product planning man-ager for Toyota Material Handling, U.S.A., Inc., was chan-neling Jagger a little bit when he answered my questions about classic mistakes buyers make when shopping for this equipment. In fact, he believes that it’s up to the lift truck dealer or OEM to give customers what they need.

“That isn’t necessarily the same as what they want,” says Jimenez. “That’s why a site inspection should be a part of every quote. A site inspection ensures that customers have the lift trucks they truly need for their application.”

However, the problem remains that many buyers—or at least their companies—don’t like letting outsiders in to measure them up. Kenneth MacDonald, president of M&G Materials Handling Co., a Yale dealer in East Provi-dence, R.I., told me that he’s involved in converting a fleet of propane powered forklifts to electrics and the customer doesn’t want a salesman on his premises.

This makes MacDonald nervous. He vows, however, that if he gets the order, he’ll insist on putting a power prover on a demo unit to determine the client’s actual kilowatt consumption.

“Then, and only then, will I be sure the specification is accurate,” says MacDonald. “One of the biggest prob-lems, especially for a new user, is to determine the bat-tery size needed. Too often the customer does not fully understand the duty cycle and thus the salesman can not properly spec the correct power.”

Even if they get the right battery, the wrong charger may do it in. MacDonald says that buyers often undersize the charger to save money. They actually end up using more power to charge. Plus, if they don’t have enough

batteries—one per shift and one to charge—and if they don’t allow cooling after the charge, they can wind up with shorter battery life as well as electrical component failure.

After hearing these stories of electric ignorance, I wondered if buyers of IC-powered sit-downs showed the same level of neglect in their specifications. Not accord-ing to Stu Jacover, president of R&J Midwest Equipment, Inc., a Chicago-based Hyundai dealer. In fact, in his expe-rience selling IC, most customers want intricate perfor-mance detail on their choice of power plants.

“Perhaps this is because many more buyers have a better understanding of internal combustion engines and transmissions from working on cars,” says Jacover. “But to disregard a critical part of the forklift is a classic mistake.”

In fact, several dealers I contacted about this issue mentioned that it’s common for customers to leave bat-tery sourcing to them. Even the most trustworthy dealers agree, leaving the choice of battery power capacity to the vendor may lead to a low cost solution, but it may not be the one that’s needed.

And you know what that means: You won’t get no satisfaction.

Sit-down counterbalanced lift trucks: Is what you want what you need? “You can’t always get what you want, but if you try sometime you’ll findyou get what you need.”

14 J u l y 2 0 1 0 / Modern Materials Handling m m h . c o m

lift truck TIPS Tom Andel,ColuMnISt

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Page 17: mmh.com July 2010 The Apparel Group: Dressed for distribution … · INFORMATION MANAGEMENT. 34 WMS metamorphosis. The mature technology has evolved with enhanced functionality, better

WHY LESS IS MOREThe last thing you want is your supply chain to be weighed down. Lighten the load with the world’s most advanced all-plastic pallets from iGPS. Weighing 30% less than typical multi-use wood pallets, they cut out 25 lbs. of dead weight per pallet. Up to 2,000 lbs. of weight savings per truckload. Allowing you to reduce transport costs, and the cost to the environment. Their lightweight ergonomic design also reduces stress on your workforce. Plus, it’s the only pallet to meet GMA and NIOSH weight standards. Isn’t it time you heavily considered switching? Learn more at www.igps.net

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18 J U L Y 2 0 1 0 / MODERN MATERIALS HANDLING mmh.com

MODERN system report

Dressed for distribution success

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mmh.com MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 19

GraphicCaption Feature

By Bob Trebilcock, Executive Editor

At the Apparel Group’s new Texas distribution center, the company reduced handling

costs and increased the speed of product to market—two items that are always in style.

When The Apparel Group Ltd. (TAG) sat down to design a new distribution center, it had two goals in mind.

One was to create an automated materials handling system that would get the job done with the least number of touches and the lowest pos-sible handling cost. Another was to build strategically by locating the facility in an area that would comple-ment TAG’s West Coast cross-docking operations, allow its sales people to better serve its customers across the country and improve its customer service levels, especially the speed to market.

The 158,000-square-foot DC at the company’s U.S. headquarters in Lewisville, Texas, near Dallas, is a fashion success on both counts, says Kirk Longo, vice president of supply chain for the manufacturer, which also distributes men’s and women’s private label and branded clothing to retailers like Dillards, Kohl’s, Nordstroms and Lord & Taylor.

“This was a brand new facility that allowed us to build to suit our needs,” says Longo. “We were able to design a fulfillment center that meets our customers’ demand for smaller orders across the broad spectrum of SKUs we provide, maintain a high accuracy rate and do it with a lower cost per item of handling than at our previous facility in Kentucky. This was a team

distribution success

PHOTOGRAPHY BY ED LALLO

The team at The Apparel Group worked together to create an automated and strategic facility. Members include: (l-r) Danny Terry, Jeremy Blevins, Kimberly Massie, John Hrubo, Suzanne Khoury and Jerry Huang. Front is Kirk Longo.

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20 J u l y 2 0 1 0 / Modern Materials Handling mmh.com

modern system report

effort that required the skill of opera-tions, engineering and information technology.”

Working with a systems integrator (Worldsource, 630-795-1100, www.world-source.com), TAG implemented the first phase of the materials handling system in 2008, featuring:

• high-speed conveyor and sortation system,

• garment-on-hanger handling system and

• RF- and pick-to-light picking tech-nologies.

This year, TAG expanded the sys-tem with a tilt tray sortation system to bring additional efficiencies to its picking operations. In all, the materi-als handling system manages more than 16,000 stock keeping units (SKUs) and distributes 6 million items per year with just 50 associates.

After a year and a half of operation in this new facility, TAG is not only providing better customer service to its retail customers, the company is using its capabilities to create another busi-ness, The Apparel Logistics Group.

“The strategy is to leverage our expertise in importing, distribution, accounting, customer service and mer-chandising along with our materials handling capabilities for other apparel manufacturers,” says Longo. “Many of them are already distributing to the same customers we service. They can focus on what they do best as manu-facturers and let us handle the logis-tics for them.”

Bursting at the seams Many of the retail distribution projects that are in the works today are driven by mergers, acquisitions and consoli-dation in the industry. Modern’s cover story last month about Bon-Ton Stores is a prime example. As Bon-Ton dou-bled in size—twice—and expanded its footprint by acquiring other regional retailers, it consolidated and improved distribution activities.

As a supplier to retailers, The Apparel Group has a supporting role in

that story as it plays out. The privately held company does not reveal annual revenues, but it is one of the world’s largest apparel providers, specializing in the design, sourcing, merchandising and fulfillment of fashion merchandise. With a strategic alliance with Hong Kong-based TAL Group, the company’s North American customer list includes most of the major national and regional retailers and department store chains as well as more than 1,100 specialty retail stores.

How big? “One in six men’s dress shirts is made by TAL Group,” says Longo. “We provide an immense selec-tion of men’s and women’s apparel.”

The six million units shipped from Texas are only half of TAG’s distribu-tion story. It also cross-docks an esti-mated six million units annually from a West Coast distribution center direct to retailers.

The company’s model is to do more than just sell apparel merchandise to its customers. The Long Beach facility

cross-docks merchandise directly from the ports to a retailer’s DC or directly to the stores to quickly stock shelves at the beginning of a selling season. Once the initial roll out is complete, TAG receives point of sale data from its customers as part of a vendor managed inventory (VMI) and quick response replenishment (QR) program that keeps the merchandise selling at the store level on the shelves.

“Our customers want to maintain a broad spectrum of SKUs, but they also want to receive smaller orders with a greater frequency,” says Longo. “They buy merchandise from us, then their point of sale (POS) system sends an order to us for a QR program, or we generate the order under the VMI pro-gram on behalf of the customer, both of which we fulfill in a quick response.”

In addition, TAG offers value added services—such as display packaging, price ticketing and garments on hang-ers in poly bags—that minimize han-dling in the store. Value added services

after receiving (top photo), product is staged for putaway in racks. in the pick-to-light area (bottom photo), order selectors pick items that might be spread across multiple orders.

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fpm = Feet per minute

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22 J u l y 2 0 1 0 / Modern Materials Handling mmh.com

modern system report

are typically performed at the point of manufacture.

Back in 2006, TAG realized that with more customers focusing on VMI and quick response, they were process-ing twice the number of orders to main-tain the same volume of business. “In this recession, the average carton size has dropped from 15 pieces per carton to 8 pieces or less per carton, with more frequent orders,” says Longo. “That meant we were doing a lot more picking and handling to process our orders.”

Then, replenishment operations were handled in a leased facility in Louisville, Ky. That DC was smaller than the new facility and lacked auto-mation. “Manual picking in Louisville had become labor intensive and expen-sive, especially as we had to do smaller and more frequent orders,” says Longo.

Manual picking can be a major source of errors. This can be an impedi-ment to the success of vendor-managed inventory and quick response programs that are built on a foundation of accu-

rate inventory management and timely order fulfillment.

And while Kentucky was conve-niently located to replenish stores and service customers in the eastern U.S., TAG has customers like Nordstroms that are headquartered in Seattle. “We wanted to position the location of the company in an area where our distribu-tion center and our sales force could serve customers in New York and the West Coast without losing any time,” Longo says.

In other words, they wanted a loca-tion to lower handling costs and speed up the time to market.

Distribution success and style The facility and materials handling sys-tem TAG built outside Dallas accom-plishes both of those objectives.

From Dallas, TAG can easily deliver to either part of the country. That has translated into shorter lead times and will lead to increased market share. In addition, the facility is near the

Dallas-Ft. Worth airport, important to TAG’s goal of having a presence in a foreign trade zone.

The new facility is also much closer to the cross-dock facility in Long Beach. That allows TAG to more eas-ily make changes about warehousing and distribution if the status of an order changes. For example, TAG attempts to do as many value-added services as it can at the point of manufacture. However, sometimes customer require-ments change after the product is in transit and value added services will need to be done stateside.

“We can easily reroute product to the distribution center,” says Longo. “Or, if we’re shipping to a West Coast customer, we can route the product to a 3PL we work with on the West Coast.”

In addition, TAG and its systems integrator designed a materials han-dling system to lower the cost per unit of handling cartons, even in an envi-ronment that increasingly clamors for smaller and more frequent orders.

the apparel group’s new dC brought together several materials handling automation technologies, including roller and spiral conveyor, tilt tray sortation, pick-to-light and rF picking technologies and a garment-on-hanger rail system.

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mmh.com Modern Materials Handling / J u l y 2 0 1 0 23

For example, the new facility was designed with 40-foot ceilings, which are higher than the ceilings in Louisville. The high-bay storage, with racks rising 366 inches, allows for more efficient storage at the present time and leaves room for expansion in the future.

TAG not only installed a high speed conveyor and sortation system for han-dling and shipping, it also installed an automated garment-on-hanger han-dling system that allows it to efficiently receive, putaway and pick garments that are already on store-ready hangers.

Finally, TAG implemented a WMS and picking methodologies to slot and pick orders based on how fast the prod-uct moves through the facility. “All of our orders are handled by the WMS based on an order type that considers the quantity and velocity of an SKU,” says Longo.

RF technology was installed for pick-ing slower moving items and for orders with fewer line items per order. In the RF area, an order selector is assigned to

a zone and picks all of the items in that zone for an order to a shipping carton. RF is also used to do direct picking in the garment-on-hanger area.

Pick-to-light technology was installed

in a pick zone for orders that include items that turnover quickly and orders with only a few line items per order. “This is our fastest pick area,” says Longo. “We’re picking from split cases to a con-tainer, and we’re generally picking two or more items at a time from a location.”

Picks from a location in the pick-to-

light zone may be spread across multi-ple orders that will be aggregated at the packing station. The pick-to-light sys-tem includes functionality that allows supervisors, or associates, to adjust the size of the zone they are working in according to demand.

If specific bays in a zone are getting heavier demand than other bays, asso-ciates performing the work can expand their zone to help out by simply scan-ning into the area that needs help. “Our associates are the first responders,” says Longo. “If they see a bottleneck develop-ing, they can adjust the zone to assist one another and keep the process moving.”

RF and pick-to-light were part of the first phase installed in 2008. Earlier this year, TAG implemented a second phase that includes a tilt tray sortation system for the most labor intensive picks—items that are picked frequently, but in a low number of units per carton.

According to Longo, the result of both projects has helped in lowering costs for picking of smaller orders and gained a significant improvement in throughput. “It used to take us about three hours to fill an order,” says Longo. “We cut that average down to about 75 minutes.”

In addition, by operating the facility

in a foreign trade zone, TAG is generat-ing savings on import fees for its cus-tomers that participate in the zone as the importer of record. And, by launch-ing The Apparel Logistics Group, the materials handling system is generating additional revenues from a new source.

Those results never go out of style. M

“We wanted to position the location of the

company in an area where our distribution center

and our sales force could serve customers in New

York and the West Coast without losing any time.”

—Kirk Longo, vice president of TAG Supply Chain

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24 J u l y 2 0 1 0 / Modern Materials Handling mmh.com

modern system report

The Apparel Group implemented con-veyors, tilt-tray sortation, pick-to-light and a garment-on-hanger rail system to automate its new facility in Lewisville, Texas. The distribution center comple-ments a West Coast distribution loca-tion that cross-docks goods directly to stores from the port.

receiving: Prior to shipment, The Apparel Group receives an advance ship notification (ASN) from its facto-ries. Receiving (1) is done against the ASN. Inside the shipping containers, associates load garments on hangers onto trollies and flat cartons are placed onto an extendable conveyor (2).

Putaway: On the conveyor, bar

code labels on the cartons are auto-matically scanned and the cartons are weighed and cubed. After the scan, the materials handling system routes it to an assigned zone for putaway, based on a pre-selected storage loca-tion in the reserve storage area (4). Once they arrive in the putaway zone, the cartons are palletized and staged until a lift truck operator picks them up and is directed by the warehouse management system (WMS) to a put-away location. Meanwhile, garments-on-hanger are inducted to a rail system (3). The garments are automatically routed to a mezzanine area (5) that serves as both a storage and picking

location for garments-on-hanger. replenishment: Replenishment

precedes the actual picking process. Orders drop from the enterprise resource planning (ERP) system into the WMS. That creates pull tasks for the inventory needed to fill the orders. First, the WMS profiles the orders based on the velocity of the stock keeping units (SKUs) required. With that information, the WMS devel-ops a slotting plan and sends tasks to associates on the floor. SKUs coming from the reserve storage area (4), car-tons are picked to a pallet that is then placed on a pallet rail and slotted for picking. Cartons going into the piece

Lowering handling cost, increasing speed to marketMaterials handling automation and picking technologies bring new efficiencies to The Apparel Group.

9

Shippingsorter

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Case reserve

12Shipping

3 Garment-on-hangerrail system

7 Split tilt traypacking sorter

6 RF and pick-to-light picking

5 RF and garment on hanger pickingvalue added service and audit area

1Receiving

2

Extendable Conveyor

8

10Shipping

lanes

Conveyor

Staging11

By Bob trebilcock, Executive Editor

the apparel group ltd., lewisville, texas size: 158,000 square feet

Products: Men’s and women’s shirts, blouses, pants, shorts and sweaters

throughput: 6 million units per year

shifts: 5 days, 1 shift

employees: 50

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mmh.com Modern Materials Handling / J u l y 2 0 1 0 25

PH

OTO

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BY

NA

ME

picking zone (6, 7) are routed to the right zone by the conveyor system. Once a carton arrives in a zone, it’s scanned and the system directs put-away into a pick face.

Picking: Picking can be done from several areas. In the garment-on-hanger area (5), a label is placed on a shipping carton as it comes off the automatic carton erector. The label is scanned and routed to a picking zone in the garment-on-hanger area. In the zone, an associate scans the label and is directed by the WMS to pick an item for that carton. Once the pick is complete, the shipping carton is either routed to the next zone, or, if all the picks are complete it may be directed to a random audit station or to a value-added services area. Otherwise, it goes through a scan tunnel and a scale and is then routed by conveyor (8) to the shipping sorter (9), where it is sorted to a shipping lane. There, it is palletized (10) and staged (11) for shipping (12).

The tilt tray sortation area (7)is used for labor-intensive picking. Usually these are items that are picked frequently, but in less than full case quantities. At a work station, order selectors have an inbound pallet flow and an outbound pallet flow. The sys-tem tells the order selector how many units to pick from a carton. The items are placed on the tilt tray sorter (7); if there are any items left in the carton, it’s placed on the outbound pallet and returned to storage (4). The tilt tray unit then sorts the items to a packing chute, once a carton is packed, it can go to a random audit station, to the value-added services area, or get sorted (9) directly to the shipping lane (10).

The remaining items for an order will be picked in the RF or pick-to-light area (6), depending on the veloc-ity of the pick. In the pick-to-light area, for instance, order selectors are usually picking all of the items to fill a case. RF is used for slower moving SKUs. In either event, once the picking is complete in that zone, the container is either routed to another zone, or to the random audit or value-added ser-vices area. Finally, it is conveyed (8)to the shipping sorter (9) and is sorted to shipping where it is palletized (10)

U.S. Patent Pending

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and staged (11) for shipping (12).

system suppliers systeMs integrator: Worldsource, 630-795-1100, www.world-source.com WareHouse ManageMent systeM: Manhattan associates, 770-955-7070, www.manh.comgarMent-on-Hanger rail conveyor: railex corp., 718-845-5454, www.railexcorp.com/ raileX.PHP conveyor and sHiPPing sorter: automotion, 708-229-3700, www.automotionconveyors.com/ additional conveyor: dematic, 877-725-7500, www.dematic.ustilt tray sorter: crisplant (intelligrated), 866-936-7300, www.intelligrated.com Pallet rack: interlake Mecalux, 877-632-2589, www. interlakemecalux.us lift trucks: the raymond corp., 607-656-2311, www.raymondcorp.com Bar code scanning: Motorola, 800-722-6234, www.motorola.com

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26 J u l y 2 0 1 0 / Modern Materials Handling mmh.com

By Bob trebilcock, Executive Editor

the market for supply chain management software applica-tions, maintenance and services, or SCM, came in at $6.2 billion in 2009 including applications for procurement software and $4.2 billion without procurement.

That represented a decline of 1.9% from 2008, accord-ing to Chad Eschinger, an analyst with Gartner: (203-964-0096, www.gartner.com). While most businesses would have been proud to only show a 1.9% drop in revenues last year, it’s a far cry from the growth this industry has been used to posting.

In fact, it’s the first time the market has declined since Modern began publishing our annual Top 20 list in 2001. Just two years ago, AMR Research, now part of Gartner, was forecasting the total supply chain management market to reach or exceed $8 billion by 2010. That just isn’t going to happen. “It was a very difficult year,” says Eschinger.

Last year was a year for the status quo. The market leaders look much the same as they did in 2008, with SAP ($820 million) and Oracle ($715 million) at the top of the list, with numbers that were essentially unchanged from last year. They were followed by JDA Software ($385.6 million), RedPrairie ($261 million) and Manhattan Associates ($247 million).

If there was a surprise, it was that RedPrairie and Manhattan switched places following Manhattan’s 20+% decline in revenues—a reflection of RedPrairie’s success with labor management and transportation coupled with Manhattan’s concentration in the hard

Modern’s 9th-annual survey

of the leading sCM suppliers

finds that the market for

supply chain software took

a hit last year, but things are

beginning to look up

Top 20Supply Chain Management Software Suppliers

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hit retail supply chain. Still, analysts like Eschinger believe that Manhattan is on the right path with its platform approach to the supply chain space.

What’s more, it was a year with few mergers and acquisitions and few technological breakthroughs. The most noteworthy shift was the purchase of i2 Technologies ($233 million) by JDA which closed in early 2010 and will alter next year’s list. If that sounds much like what we published last year, well…it’s a reflection of the times. Most SCM pro-viders concentrated on improving their existing offerings, serving their custom-ers and duking it out for market share.

New to our list is Retailix ($192.4 million). While Retailix does not show up on other lists because they have a heavy focus in the food industry, they are a major player in that vertical, one that is important to Modern’s readers. Gone is ILOG, which was acquired by IBM.

Making the listModern began tracking this space back in 2001, following the Internet boom. The reason was simple: While materi-als handling is in our name, informa-tion about the movement of goods has become as important these days as the physical movement of goods.

That’s where software comes into play. We began by looking at the top providers of warehouse management systems (WMS), but our focus has evolved along with the interests and job description of our readers as well as the supply chain software market. While the lines between supply chain execu-tion and supply chain planning provid-ers were once clearly drawn, that is no longer the case; ERP providers supply WMS, and supply chain execution pro-viders supply planning and optimiza-tion solutions.

To make our list today, a company has to supply more than one of the major categories of supply chain management software—planning solutions along with WMS, transportation management (TMS) and manufacturing execution (MES) systems—and they have to do so in North America. This is also a num-

bers game and not a value judgment. The ranking is based on our best

estimate of a provider’s annual sales for 2009. Where a company will not break out their SCM revenues from their total revenue, as is the case with ERP providers Oracle and SAP, we were pro-vided with estimates from Eschinger and his colleagues at Gartner. In other cases, we based them on annual reports and industry growth.

Admittedly, this is an imperfect sci-ence. Gartner, for instance, strips out hardware sales from the estimates it provided us; it also stripped out sales of procurement software since that isn’t rel-

evant to Modern’s audience. On the other hand, we gave publicly traded supply chain execution companies like JDA and Manhattan full credit for their sales.

While a reader might argue that we’re comparing apples and oranges, we think it’s a good snapshot of the industry leaders and their ranking. Still, as the industry consolidates and providers that once offered just one or two applications expand their offerings, providing numbers has become increas-ingly difficult.

Notable trends Although there was little in the way of business news, there were several trends at work in each of the four cate-gories relevant to our readers: ERP and supply chain planning (SCP), WMS, TMS and MES systems.

In the ERP market, for example, big deals were oh so 1999. “Companies are not buying into big projects,” says Eschinger. “They’re buying smaller components with a quicker time to value, like demand planning and sales and operations planning. These are applications that you can get up and running in months and not a year.”

What’s more, he adds, the aver-

age deal size carried a lower price tag than in the past. Still, it was not all doom and gloom. By the third quarter of 2009, Gartner saw confidence—and growth—return to the market. The research firm is expecting 4.5% growth for 2010, 5.7% market growth in 2011, reaching 6.1% compound annual growth by 2014 with a market at $5.6 billion without procurement.

The WMS market, one of the most mature of the supply chain manage-ment and execution applications, also took the biggest hit in 2009. While the market still topped $1 billion, accord-ing to Steve Banker, service director,

supply chain management, for ARC Advisory Group (781-471-1000, www.arcweb.com), revenues contracted by between 15% and 20% last year.

“We did forecast that the market would shrink, but not to that extent,” says Banker. What surprised him the most was that despite these difficult times, there was no merger, acquisition or bankruptcy of note. “I expected a whole lot of market consolidation, and that did not happen,” he says. “Vendors let people go and imposed pay cuts, but they’re still around.”

Banker is keeping his eye on several market trends: software-as-a-service (SaaS) is still a very small part of the WMS market, but there are providers here and in Europe gaining traction with a multi-tenant model. Visualization, or putting graphical images on the RF scanner or providing a rich visual image of the warehouse on a screen, may also be the next trend. Right now there are only a few vendors offering the technol-ogy, including Tecsys, Next View and Consafe Logistics in Europe, but it could be a trend of note.

The TMS market did not escape the effects of the recession, says Adrian Gonzalez, a director at ARC. But it out-

It’s the first time the market has declined since Modern began publishing our annual Top 20 list in 2001.

modern special report

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modern special report

performed the market compared to other software applications. “We did not do a market study in 2008, but we saw a mod-est decline between 2007 and 2009,” says Gonzalez, who pegs the TMS mar-ket at about $1.3 billion. “But we do have a five-year forecast for 5.4% compound annual growth.” Why did TMS hold up? “It has a strong ROI and is aligned with cost reductions, which is an important corporate strategy,” says Gonzalez.

What are the trends Gonzalez watch-ing? The first is a movement toward a holistic TMS footprint. In the past, he says, fleet management, parcel man-agement, carrier solutions and global trade management came from different vendors. Today, leading providers like Oracle and RedPrairie are developing

end-to-end TMS footprints. The SaaS market is also taking hold

in TMS. While traditional software license fees have been flat the last few years, on-demand TMS has been grow-ing by double digits. Finally, the TMS market is beginning to adopt mobile solutions, like an app to do rating and track-and-trace via a smart phone. “We’re seeing the development of these smaller, digestible applications that could run on a phone,” says Gonzalez.

Last, but not least, the MES market took a modest hit last year, according to Simon Jacobson, research director, manufacturing operations, at Gartner. “The MES market remained relatively flat with an insignificant decline in 2009,” says Jacobson, who pegs the market at around $1 billion.

But while the overall market was flat, MES remains a very fragmented market, which means that some play-ers, like those who focus on automotive,

had a very difficult time while others, like those selling into the pharmaceuti-cal or medical device industries, landed some nice new deals.

“The big picture is that the MES providers that are just focused on shop floor execution are struggling,” says Jacobson. “Those who are delivering a platform that also includes perfor-mance management and analytics to better understand the process and drive continuous improvement are growing.”

While there were no major mergers or acquisitions in the MES space last year, Jacobson expects that to pick up in 2010. What is Jacobson watching? Better connectivity with the enterprise and the rest of the supply chain, he says. “In the past, the supply chain had to respond to manufacturing,” he says. “Now, manufacturing needs to respond to the supply chain. That’s an important change, and one the MES market is adapting to.” M

To learn more about trends in the supply chain software market and the overall market size from Gartner, visit www.gartner.com).

Revenue figures are estimates based on company reports and input from Gartner. Where neither is available, estimates are based on the overall growth or decline of the company’s revenues compared to the prior year.

Top 20 supply chain management software suppliers2010 rank

Company

2009 revenue

Url

sCP

WMs

Mes/ MrP

tMs

1 SAP $820 million www.sap.com x x x x

2 Oracle $715 million www.oracle.com x x x x

3 JDA Software $385.8 million www.jda.com x x

4 RedPrairie $261 million www.redprairie.com x x x

5 Manhattan Associates $247 million www.manh.com x x x

6 i2 Technologies $233 million www.i2.com x x

7 Retailix $192 million www.retailix.com x x x

8 IBS $148 million www.ibsus.com x x x x

9 Epicor $115 million www.epicor.com x x x

10 Aldata $103 million www.aldata-solution.com x x x

11 HighJump $85 million www.highjumpsoftware.com x x x

12 Swisslog $80 million www.swisslog.com x x

13 CDC Software $66 million www.cdcsupplychain.com x x x x

13 Descartes $66 million www.descartes.com x x

15 Servigistics (formerly lickCommerce) $59 million www.servigistics.com/ x x

16 Infor $58 million www.infor.com x x x x

17 QAD $57 million www.qad.com x x x x

18 Applied Materials $56 million www.appliedmaterials.com x

19 Sterling Commerce $55 million www.sterlingcommerce.com x x

20 IFS $50 million www.ifsworld.com/us x x

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30 J u l y 2 0 1 0 / Modern Materials Handling mmh.com

availability and advances in both machinery and materials help make stretchwrapping a popular way to unitize. some newer equipment can unitize two full loads in just one minute, and some films are biodegradable.

effective unitizing practices and eco-friendly

materials can help you keep your costs in check and

turn your operation a brighter shade of green.

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mmh.com MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 31

MODERN equipment report

By Lorie King Rogers, Associate Editor

You’ve heard it before: In this challenging economy it’s more important than ever to do more with less and scrutinize every

aspect of your operation for efficiency and savings. An end-of-the-line func-tion, like unitizing, is just the beginning when it comes to creating the perfect load for handling, shipping and stor-ing product—but it’s also an excellent place to look for multiple benefits.

“Unitizing deserves more attention that what it often receives,” says Tony Barr, vice president of Beumer Corp. (732-560-8222, www.beumer.com). “The right method can significantly reduce the rate of return products caused by shipping damages, reduce the labor cost associated with material handling and reduce the overall cost of packaging while increasing output,” Barr adds.

According to Jason Bennett, director of sales and marketing for vonGal (334- 261-2700, www.vongal.com), unitizing is the unsung hero of materials han-dling. “Unitizing is an underutilized way to squeeze savings out of the mate-rials handling process,” says Bennett. “It helps answer the call for lowering operating costs while focusing on the

bigger picture of decreasing our carbon footprint and lowering our impact on the environment.”

What is unitizing?So, what is unitizing? Unitizing is the process of aggregating several items into a single unit load. It’s basically build-ing loads without pallets, explains Dan Johnson, technical sales manager for Brenton, a division of Pro Mach (800-535-2730, www.brentonengineering.com). “There are a number of different schemes of binding the load together without a pallet, and there’s a real sav-ings in it, especially for manufacturers that are shipping high volumes of prod-uct,” says Johnson. “Not only can they save the cost of the pallet, but they can maximize the cube of a truck or con-tainer and ship [and store] more prod-uct in the same amount of space.”

But before a load can be shipped, it has to go through one of the schemes that Johnson mentions above. “In the scheme of things, the packaging line is only as efficient as its weakest link,” says Fred Beer, president of Westfalia Deam Systems (800-673-2522, www.westfaliausa.com).

“The first thing to understand about

unitizing is that it’s a process,” says Paul Stewart, director of marketing for Lantech (800-866-0322, www.lan-tech.com).

He explains that organizations can do it well or do it poorly, but most struggle to establish a set of standards around unitizing like those that exist around the manufacturing process, for example. “You need an efficient process to track performance, and most compa-nies have huge room for improvement in this area,” says Stewart.

So how can a company make sure it’s strong right up to the point of unitizing and shipping product out the door? Beer says that you have to know your product and have a good overview of product movement in order to choose the best option. Here’s a look at a few of the most common unitizing methods.

Slip sheetsUnitizing means building a load on a flat surface with a minimal base—or starting from the bottom and working up. A slip sheet can provide an appro-priate, economical foundation for this process. A typical corrugated paper slip sheet costs less than one dollar and can be recycled or disposed of with mini-

UNITIZING: The unsung hero of materials handling

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modern equipment report

mal cost and associated labor. Another beneficial calculation is size; it mat-ters when you consider that the aver-age 48-inch x 48-inch pallet is about 5.5 inches tall. In that same 5.5 inches, however, it’s possible to stack about 25 slip sheets. When you do the math, the savings of storage space and cost add up quickly.

Stretchwrap With a base in place, it’s time to wrap. Stretchwrap or stretch film is the most common way to bind a load. Part of the reason for this is that stretchwrapping machines are available at many different prices and levels of automation, from simple semi-automatic turn-table mod-els, to rotary-arm or satellite models with automatic programming. But the basics are the same—turn the product while stretching and applying the film: When the load is wrapped, the film returns to its normal size and that creates the ten-sion to hold the load together.

Some of the newer machines are capable of unitizing two full loads in just one minute. There are also a num-ber of suppliers that offer equipment that can unitize, stretchwrap and apply labels. According to Beer, end users are always looking for ways to speed the process and work within a small footprint—combining capabili-

ties addresses these demands.Priscille Tremblay, sales manager for

Wulftec (877-985-3832, www.wulftec.com), explains that not only are today’s machines running more efficiently and using less energy, today’s stretchwrap film technology has improved dramati-cally. For example, a roll of stretchwrap 5,000 feet long once delivered about a 100% stretch, yielding between 10,000 and 12,000 feet. Today, Tremblay explains, you can buy the same amount of film, but because it’s so much bet-ter, it will stretch to about 17,500 feet. Your stretchwrap and your money go a lot further.

ShrinkwrapThe opposite of stretching is shrinking. With shrinkwrap technology, an over-sized bag is placed over the load then heated to shrink around the load, form-ing the appropriate compression to hold items together as a single unit. Heat can be applied in a number of ways, including manually with a heat gun or by sending the load on a conveyor through a heat tunnel.

Barr points out that there are a num-ber of advantages to applying a one-layer bag over the load, including five-sided coverage, protection from the elements during shipping or outdoor storage and tamper proofing. Clear shrinkwrap also

lends itself to easy bar code scanning and label placement inside the film, but the shrinkwrap materials and machinery can be a more costly option.

Stretch hoodAs with shrinkwrapping, stretch hood-ing also involves placing a bag over the load. The major difference is that in this application, the hood is stretched to fit over the load then returns to its original size once in place. No heat is needed to bring the hood to the appro-priate containment force. The cost is just about on par with stretchwrapping, while offering similar single-layering advantages of shrinkwrapping.

Strapping The main goals of unitizing are creat-ing a stable load, eliminating extra bulk so you can ship and store more product in the same space and decreasing your company’s impact on the environment. Strapping helps achieve these goals while also being an effective option when containment and compression are necessary. For example, a printer produces thousands of newspaper cir-culars and puts them on a skid. Prior to strapping, the stack reaches 6 feet; post strapping it’s down to 4.5 feet, a significant difference that means that more product can be shipped.

Another important component of strapping is the ability to use cheaper plastics—and less of it. “One of the most significant advances in recent

Cornerboard (and angleboard) helps secure the load and protects the product’s edges from damage caused by accidental impact.

May the containment force be with youContainment force is what keeps a load together. Too much force might mean damage; too little might mean failure.

There are a number of equations that can help calculate if the right force is being applied. For example, light loads like paper towels and empty containers require about 2 pounds to 4 pounds of force; stable loads like cartons and boxes require about 5 pounds to 7 pounds of force; and unstable loads that are tall or have low column strength could require anywhere from 8 pounds to 18 pounds of containment force.

If you’re unitizing a mixed load with odd shapes or sharp protru-

sions, a lower wrap force with more revolutions around the product might be the answer. To be safe and sure on the exact amount of containment force a load may need, consult a professional. It never hurts to get a second opinion, but it does hurt to ship a second load.

“End users need to understand that there are a lot of different ways to get the lowest cost per load and ensure they’re getting the right type of protection. But if you have ques-tions, consult with a local expert,” advises Chuck Meyer, IPG stretch film product manager. But cheaper isn’t always better, and if a wrapper fails, it causes a costly chain reaction.

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mmh.com Modern Materials Handling / J u l y 2 0 1 0 33

years is the ability for machines to use lower cost plastics,” says Randy Wright, vice president of sales for EAM Mosca, (800-456-3420, www.eammosca.com). “Today’s equipment can run thinner, narrower strapping; and as a result, there’s less material so it’s easier to recycle, which can mean zero impact on landfills.”

AdhesiveAlso having a zero impact on landfills is the use of adhesives as a unitizing strategy. Applying spray adhesive to the load’s base and between its layers can keep it all together on relatively short journeys. The cost involved is about even with stretch film, but without the disposal issues. There are, how-ever, potential issues of discoloration on product packaging. Adhesives might work well on secondary packaging, but if it is to be applied to a product’s pri-mary packaging, test first.

CornerboardProduct protection is always key. Cornerboard and angleboard create edges that translate to protection, sta-bility and strength. While protecting corners from dents and damage, corner-board holds the stacking weight of the load. This means you can stack unit-ized loads on top of each other without damage from compression. Remember, going vertical means storing more prod-uct in a smaller footprint.

It’s wise to unitizeNo matter which solution works best for your application, there’s also an important rule of thumb to keep in mind at all times: Let the machine do the work. “The less labor you dedicate to the process, the better off you are because the cost of machine is less than cost of labor,” says Mike Dalough, Lantech’s marketing manager.

Another reason it’s wise to unitize is the related costs associated with poorly unitized loads. If a load isn’t properly unitized, it can suffer from a number of hazards like accidental impact, con-

tamination, temperature and moisture extremes as well as vibration that can loosen the load. Unitizing helps the product arrive at its destination in tact.

Prevent load failure Not only do sound unitizing practices help an operation successfully launch its product forward in the handling pro-cess, they can keep an operation from falling behind by preventing load fail-ures. The cost of load failures ripples through the entire supply chain and hurts every link in one way or another.

Whether it’s the manufacturer or dis-tributor taking back a rejected delivery, the retailer expecting to put product on the shelf, or the disappointed consumer, everybody pays the price of load failure.

A simple step in preventing load fail-ure is to conduct a visual inspection. First, look to see if the load is wrapped evenly at the top, middle and bottom. Then confirm that the load is firmly secured to its base. Finally, make sure that there isn’t any wrapping material trailing off the load.

A quick check goes a long way, espe-cially since retailers are getting more par-ticular about the condition of the goods they receive. They don’t want to expend time and money unloading a truck with damaged goods; and if the product is damaged, they can’t sell it.

“Our goal is to get the customers’ prod-uct from the end of their packaging line to the final consumer in appealing and salable condition,” says Pat Fitzgerald, new market development manager for ITW Angleboard (800-252-4777, www.itwangleboard.com). “The longer the ride and the more frequent the exchanges, the higher the risk for product damage. So, the more handling your product will incur before it gets to its final consumer, the more you need protection,” he adds.

Dalough agrees: “Club stores are get-ting more particular about what they will accept. If they open a trailer at the receiv-ing dock and stuff has fallen, they’ll shut the door and send it back.”

“If a shipment is rejected and needs to be replaced, that means product cost,

handling cost and effort have to be dupli-cated,” says Paul Stewart, Lantech direc-tor of marketing.

But even if product isn’t replaced, there are disposal costs. Tossing some-thing in the dumpster costs money because you have to pay for trash pick up. Additionally, you’re adding to the landfill, and that flies in the face of one of today’s most important corporate initiatives—going green.

“There’s a big push to reduce the car-bon footprint,” explains Mike Young, vice president of films for Intertape Polymer Group (IPG, 800-474-8273, www.inter-tapepolymer.com). “It’s not only focused on energy consumed to unitize a load, but on the materials used in the process.”

Young says, materials have gotten increasingly better over the last couple years. For example, stronger, thinner gauge film has the ability to hold a load together; and thinner means less mate-rial to recycle or discard. Additionally, virtually all wrapping material is recy-clable, but if the material does ulti-mately land in the landfill, the newest materials are biodegradable. M

economic and eco-friendly, strapping unitizes a load with a minimal amount of materials. once these cans are delivered to a beverage manufacturer, the straps are removed, put into a chopper and sold to a recycler.

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MODERN information management

By Sara Pearson Specter, Editor at Large

The mature technology

has evolved with

enhanced functionality,

better integration

and new methods of

delivery and use.

Here are the five trends

driving the evolution

of WMS.

METAMORPHOSISW SM

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METAMORPHOSIS

mmh.com MODERN MATERIALS HANDLING / J U L Y 2 0 1 0 35

Since it’s such an established technology, you may be thinking that there’s abso-lutely nothing new going on in the warehouse manage-

ment systems (WMS) space. Well, you’d be wrong. Although the develop-ments haven’t been as dramatic as they were 10 years ago, much progress has been made to enhance operations and reduce cost of ownership—and more warehouse/DC managers are beginning to make the move to upgrade.

“The WMS market is going through a metamorphosis,” says Steve Simmerman, director of business development for Next View Software (714-881-5105, www.nextviewsoft-ware.com). “Users have systems that are eight-plus years old and too expen-sive to maintain and upgrade, too dif-ficult to configure, and have outdated functionality. The solutions have matured, and that’s why we’re seeing more replacements.”

While the changes have been more evolutionary than revolutionary, they range from enhanced functionality and better integration with other supply chain systems to new modes of delivery and use. Here’s a deeper look at the top five trends that are the driving the evo-lution of WMS.

Grap

hicCred

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modern information management

1. Cloud-based computingOne of the hottest developments in WMS has to do with where the sys-tem is hosted. Users no longer have to administer and maintain their own system—instead they can take advan-tage of software-as-a-service (SaaS) arrangements, where the WMS is hosted by a third party and accessible through the Internet.

Also known as cloud-based hosting, this methodology reduces the cost of

ownership, particularly in information technology (IT) administration, says Chad Collins, vice president of market-ing and strategy for HighJump Software (800-328-3271, www.highjump.com).

“Some of these solutions are the full, best-of-breed WMS, and oth-ers offer more limited functionality because they were built specifically for SaaS use,” Collins notes. “The delivery methodology provides more flexibility since there’s only so much capacity in an IT organization. So, if your software provider can give you all the business value in the system and reduce the impact on IT, that makes it easier to get into these systems.”

Additionally, cloud-based WMS enables companies with complex net-works to complete the task of gaining full inventory visibility by adding small size inventory depots—including third-party logistics providers (3PLs)—into the network at a very acceptable cost, adds Scott Zickert, distribution prod-ucts product manager at RedPrairie (877-733-7724, www.redprairie.com).

“The on-demand WMS works col-lectively with hosted WMS to provide streamlined visibility across a network,” Zickert says. “Benefits include a gain of efficiencies, better understanding

of inventory levels and allowances for hold executions and recalls. Providing a single collaborative view into the entire supply chain permits better forecasting for a reduction of overall supply chain inventory levels at all warehouse sites.”

2. Platform integrationIt’s rare for a company to purchase a standalone WMS today. In response, many WMS vendors have evolved into supply chain solution providers, offering

yard management (YMS), transportation management (TMS) and labor man-agement (LMS) systems in addition to warehouse management. These compo-nents form a complete, integrated pack-age with complementary functionality and consistent appearance.

“That’s exciting for users who are mature enough to understand how to use that data effectively,” notes Don Benson, managing partner at Warehouse Management Systems Support (503-296-7249, www.wms-support.com). “As the market becomes more dynamic, companies have to start thinking about agility and responsive-ness. To get information sooner and massage it through the WMS filters lets managers have a better understanding of how to gear up for today differently than yesterday.”

Load planning, in particular, is an area where many companies can ben-efit from systems that deliver enhanced efficiency, observes Steve Banker, ARC Advisory Group’s director of supply chain management (781-471-1000, www.ARCweb.com).

“Load planning shows how to load the trailer, the order in which loads should be placed inside and stacked, and correct balancing,” Banker says. “In

the past, there were workflows between TMS and WMS, but load planning—which sits in the middle—was kind of a black hole. Now, certain vendors have pulled that aspect into an end-to-end process for better integration.”

Additionally, enhanced communi-cation between LMS and WMS can offer a significant return on invest-ment, says Next View Software’s Simmerman. “Labor is the untapped savings area in a DC, and many com-panies’ old WMS systems don’t address labor management. The latest develop-ments in WMS have integrated labor management and visualization that can take users to the next level of opera-tional efficiency.”

3. CustomizationThe vast majority of WMS solutions now offer improved functionality through cus-tomization capabilities. Understanding that there are a multitude of underlying business processes, materials handling practices and product characteristics unique to each DC and its operation, WMS vendors are incorporating tools that enhance the flexibility and adapt-ability of their solutions.

“The traditional approach to enabling uniqueness had been a modification of the underlying source code,” notes HighJump’s Collins. “Other vendors have taken a tools-based approach, enabling users to modify their WMS for greater control over their systems and the ability to tailor their processes to their DC with-out returning to the vendor.”

As a part of this customization, says RedPrairie’s Zickert, the screens displaying information have evolved. “For usability, it’s important to make screens more intuitive, with easier-to-find workflows and configurability that enables them to be manipulated by users so they can immediately find the information they need,” he says.”

That task-based approach stretches from what management sees on a desk-top computer down to the hand-held screens of radio-frequency (RF) directed

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mobile devices. The goal is to promote efficiency and usabil-ity by role—ensuring that a picker selects the right line items to fill an order, or that a manager gets only the information needed to complete their assigned tasks.

4. Visual cuesTo gain higher efficiencies and accuracy in picking, graphics can now be integrated into the instructions sent by a WMS to the hand-held RF device of an operator, says John Reichert, director of product management at Tecsys (514-866-0001, www.tecsys.com). The graphics range from a photo of the item to be picked, a visual rep-resentation of a box versus an each, to a warning about a unique picking exception—picking two units instead of the usual one.

“Image-enhanced picking makes it easier and faster for the operators,” Reichert explains. “It particularly helps companies that bring in temporary labor for peak periods because it enables them to train a new operator very quickly through a visual conversation that’s not based on specific terminology or a unique naming scheme.”

Additionally, the graphics can be used for cluster picking into boxes on carts, highlighting the correct order placement for the pick. Animated graphics can also be dynamically generated to warn an operator about a hazardous or delicate item that should be handled with extra care.

5. MobilityWith 70% to 80% of a facility’s workers directed by RF mobile devices these days, more WMS vendors have intro-duced workflow capabilities throughout their applications, says Eric Lamphier, senior director of product management at Manhattan Associates (770-955-7070, www.manh.com).

“Because these users infrequently look at a full screen or Web user interface, the personalization of the RF screen flows for mobile users is very important,” says Lamphier. For efficiency and accuracy, he adds, directives from WMS to an RF device must be intuitive and not distracting in order to promote productivity.

To make that happen, WMS vendors “have introduced a full workflow enablement for all those functions in the RF area, allowing high-level personalization, rewiring of screens together and redesigning of screens without any underly-ing code changes through an open source technology,” says Lamphier.

Also in the mix, many WMS suppliers have incorporated real-time interfaces with voice recognition systems for more timely responses to changing trends. Going forward, WMS vendors anticipate adding expanded capabilities for deploy-ment to other mobile devices—including smart phones like the iPhone and the Droid—to permit users to leave their desktops yet still be connected as they work from the ware-house floor. �

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38 J u l y 2 0 1 0 / Modern Materials Handling mmh.com

Birthdays, Easter, Halloween…Signature Brands has a product for just about every special cel-

ebration. In fact, Signature Brands manufactures dessert decorating products sold under a number of brands, including Betty Crocker, Cake Mate, PAAS Easter and Pumpkin Masters.

The company operates an 80,000-square-foot distribution center in Ocala, Fla., where 30 work-ers pick more than 53,000 cases each week—which amounts to 2.75 million cases of product picked and palletized every year. Like decorating a cake, learning the art of creating the perfect pallet takes time. But in a DC, time is money; so shortening the learning curve saves time and money.

Signature Brands saw voice technology (Vocollect, 412-829-8145, www.vocollect.com and Psion Teklogix, 800-322-3437, www.psion.com) as the ticket to improving operations at the warehouse. The icing on the cake was the tandem implementation of a new enterprise resource planning (ERP) system (SAP, 800-872-1727, www.sap.com) designed to improve the inventory accuracy and efficiency of core picking processes to better address seasonal demands.

And the timing provided the perfect opportunity to blend all of the ingredients into a perfect recipe for a total Signature Brands solution.

As a result, workers have traded in cumbersome clipboards and outdated paper lists in exchange for voice-directed picking technology with customized features. The ERP system generates orders with instructions for how to best orchestrate the build-ing of each pallet, and the voice element talks the worker through the contents of the order.

The perfectly blended system not only increases pick rates and accuracy, but it also helps workers build pallets quickly and efficiently. And because the system is so easy, workers are now cross-trained so they can move from function to function in order to meet the seasonal demands of the business.

“Even before we finished quantifying the cost savings obtained from improved accuracy results, we heard from distribution management about their absolute certainty that customer complaints had been greatly reduced,” says Gary Stenzel, Signature Brands’ senior vice president of operations. “In my mind, that benefit alone is priceless.” M

Signature BrandS ServeS up a Sweet vOiCe SOLutiOn

By lorie King rogers, associate editor

Dessert decorating products manufacturer blends voice and software technology to improve picking and pallet assembly processes.

modern productivity solution

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Distribution centers, warehouses and manufacturing plants are notorious for fluctuating temperatures. Big Ass Fans are designed to combat the alternating interior conditions for maximum comfort and indoor air quality.

Every Big Ass Fan is custom engineered with patented, award-winning aerodynamic designs, improving air circulation in spaces with or without existing HVAC systems. Though large and powerful, they are also incredibly energy-efficient, relying on very small motors, particularly relative to the volume of air movement generated. The perfection of the design is owed to the engineering team, valuable customer input and achieving ISO certification to reinforce our commitment to overall product integrity.

In 2009 Big Ass Fans earned numerous awards recognizing quality and design. AirGo and Powerfoil X won the Plant Engineering Product of the Year award while the LEED® Gold Research and Development facility won the ASHRAE (American

Society of Heating, Refrigerating and Air-Conditioning Engineers) Technical Award for innovative building design, incorporating occupant comfort, IAQ and energy conservation. Big Ass Fans supports a significant number of LEED® NC v2.2 credits sought by architects, engineers and designers as well.

In addition to precision engineering, Big Ass Fans has aggressively pursued the creation of a comprehensive library of high quality Building Information Modeling (BIM) objects for both industrial and commercial fans in support of our customers using Revit technology, including building owners, architects, MEPs and contractors.

Measuring up in both technology and aesthetics is Big Ass Fans commercial line of fans, including Element and Isis, the first large diameter, low speed commercial-grade fans on the market. Element won Building Products Green Product Award and Isis received top honors from both the Interior Design Best of Year awards and the I.D. Annual Design Review.

Locally, Big Ass Fans earned the Pacesetter Recognition Award spotlighting companies that lead the community, as well as receiving accolades as one of the Best Places to Work in Kentucky. On a national scale, for three consecutive years Big Ass Fans has made the list as one of America’s fastest growing, privately-held companies in Inc. 5000.

Combining customer feedback with precision engineering, Big Ass Fans continues to achieve new heights in fan development to offer simply the most durable and reliable fans on the planet.

Visit BigAssFans.com, call 877-244-3267 or email [email protected] to learn more.

May be covered by one or more of the following U.S. Patents: 6,244,821; 6,589,016; 6,817,835; 6,939,108; 7,252,478; 7,284,960; D587,799; D607,988 and other patents pending.© 2010 Delta T Corporation dba The Big Ass Fan Company. All rights reserved.

With a certain measure of acuity, Big Ass Fans has five signature fans:• The 8- to 24-ft Powerfoil®X™ and

Powerfoil®X Plus™

• The 8-ft mobile AirGo™

• The 6-ft Pivot™180, • The 12- to 20-ft Element® • The 8- to 10-ft Isis®

• And the 10-ft tall /10-ft diameter free-standing Isis®-on-a-Stick

Regardless of the setting, air movement is crucial to the success of any establishment. With over 40,000 fans in motion, Big Ass Fans® has spent the past decade perfecting the science behind air movement so facilities worldwide can benefit from the latest advancements in large diameter, low speed fan technology.

No equal.

Ask how Big Ass Fans contributes to LEED® credits in: Optimized Energy Performance; Enhanced Refrigerant Management; Minimum Indoor Air Quality Performance; Increased Ventilation; Thermal Comfort – Design; Innovation in Design.

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Jim RitchieGroup PresidentCHEP Americas

Shared Values

All things begin with the customer

We have a passion for success

We are committed to safety, diversity, people and teamwork

We believe in a culture of innovation

We always act with integrityand respect for the community and environment

CHEP8517 South Park CircleOrlando, FL 328191-800-CHEPUSA

[email protected]

CHEP © 2010 All rights reserved.

When you think of CHEP you may only think of the blue pallet. But at CHEP, pallets are just the tip of one amazing logistical iceberg. If you could see what’s behind it, you’d see thousands of dedicated people, working hard to make sure things get where they need to be in a more stream-lined manner than other platform options. If you could imagine its extensive network, you’d see 46 countries working together to create seamless supply chains around the world. If you could see the value, you’d see thousands of companies saving millions on logistics, and as a result, having more money to invest in other areas to make things a bit better. Maybe a lot better. If you could see the technology, you’d see a mega trillion bytes of information whizzing through the electronic universe between CHEP and its customers. And if you could see everything it shipped, you’d see the products we all use every day moving around the world more efficiently than ever before. Soap, shampoo, coffee, produce, auto parts, ice cream, batteries, electrical components. You name it, CHEP pallets help move it. So next time you look at a CHEP pallet, don’t be fooled by its modest appearance. This environmentally sustainable solution is a powerful catalyst in the global economy and it touches our lives everyday.

CHEP. HANDLING THE WORLDS MOST IMPORTANT PRODUCTS. EVERYDAY.

WHAT WE DO:Everyday, CHEP issues, collects, conditions and reissues more than 300 million pallets and containers. These durable platforms help manufacturers and growers transport their valuable products to distributors and retailers throughout the supply chain safely and efficiently.

OPERATIONS:More than 500 service centers around the world are key to the successful collection, repair and issuing of pallets and containers.

CONTROL:Our asset base is 385 million pallets and containers strong. And we handle more than 3.0 million equipment movements everyday.

SAVINGS:Our unique pooling system enables users to reduce the need for capital expenditures and concentrate on both their day-to-day operations and core business competencies.

SERVICE:We service more than 345,000 customer locations including many of the world's largest companies: Procter & Gamble, SYSCO, Kellogg's, Kraft, Nestle, Ford and GM.

PEOPLE:7,000+ experienced professionals

SCALE:46 Countries and Growing

EXPERIENCE:Established in 1954 (50+ Years of Pooling Experience)

SUSTAINABLE:See for yourself at www.chep.com/knowthefacts

ADVANCED:Watch how customers do business with CHEP atwww.chep.com/portfolioplus

INNOVATIVE:Our Innovation Center delivers value to our Customers by testing and validating their own material handling practices and products as a complimentary service. Everyday.

LEARN:Want to learn more? Give us a call or visit our website!

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corporate_profile3.indd 1 6/24/10 2:04 PM

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M O D E R N C O R P O R AT E P R O F I L EA D V E R T I S E M E N T

Dematic designs, builds, & life cycle supports logistics solutions that optimize material & information flow — from receiving to shipping, within the four walls of the factory, warehouse, or distribution center.

“4 walls” means we focus on applying a holistic engineered solution to the entire process that occurs within the 4 walls of the facility. “2 windows” means we look at upstream and downstream processes, flow, and activity to create an optimized system design.

Dematic offers a consultative holistic engineering approach; this method drives the development of non-biased, data driven logistics solution that range from manually operated to fully automated. A typical Dematic solution is built around process improvements, material handling technology, and software.

Our single source, vertically integrated capability reduces time, cost, & risk. This is accomplished by owning & controlling design services, real time WMCS software, material flow technologies, along with best in class engineering, project management, & customer services. Dematic is dedicated to improving logistics results. To that end, we guarantee successful system performance.

[email protected]

4 Walls & 2 Windows™ approach to logistics results… Solutions from Receiving to Shipping

Continuing the Tradition

Receive

Manual Semi-automated Fully-automated

Put-away Store Replenish Pick Pack Sort Ship

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2js1 Q1 Q2Cosmos Communications 718.482.1800

16149a3 06.30.10 133C M Y K

PALLET 2.0iGPS is meeting the changing needs of today’s supply chain by operating the world’s first pallet rental service that provides advanced all-plastic pallets with embedded RFID tags. A quantum leap beyond wood, iGPS pallets increase efficiency, decrease costs, improve accountability and greatly promote sustainability.

Built-in SmartsiGPS customers can gain even more peace of mind with the industry’s most advanced RFID technology. Four built-in RFID tags in every pallet allows unprecedented asset visibility, enabling customers to trace and track shipments throughoutthe supply chain. The world’s first 100% RFID-tagged pallet

pool, iGPS helps shippers keep stock of inventory, locate missing merchandise, avoid ‘lost pallet’ charges, improve billing accuracy, retrieve goods for product recalls and uphold Sarbanes-Oxley compliance.

Eco-SustainableWhat’s perhaps the greatest reason to choose iGPS versus wood pallets? Our planet. iGPS pallets help cut carbon emissions, lessen fuel usage, greatly reduce deforestation and eliminate millions of tons in landfill waste. An independent life-cycle study shows switching to iGPS could mean: 65% less impact on global warming, 90% less ozone depletion, and 75% less ecotoxicity. Simply, iGPS is the world’s most environmentally responsible pallet.

Lightweight DesignAt less than 50 lbs, iGPS plastic pallets are 30% lighter than wood. This eliminates 25 lbs of dead weight per pallet and saves up to 2,000 lbs per truckload. How does that help? Shippers reduce their all-important fuel and transport costs to help their bottom line. Plus, they can boost worker productivity, as less weight means quicker and easier handling. iGPS provides the only rental pallet that meets GMA & NIOSH weight standards.

Strength & SecurityiGPS plastic pallets aren’t just lighter, they’re stronger too.Their solid top-deck and unitary construction easily hold 2,800 lbs and they maintain 48 x 40 uniform size throughout their lifetime. Problems with splinters, protruding nails, and broken boards are now a thing of the past – leading to less product damage, less equipment damage and fewer rejected loads.

Safer PerformanceWood pallets can be a breeding ground for bacteria and pathogens, as well as insect infestation. Their splintering and breaking subject workers to serious injury. iGPS all-plastic pallets help avoid these concerns. Its high-density polyeth-ylene is non-porous and bacteria resistant. Helping shippersto protect perishable goods and safeguard employees.

Headquarters: iGPS Company, LLC 225 E. Robinson Street, Suite 200 Orlando, FL 32801Texas: iGPS Company, LLC 6801 Gaylord Parkway, Suite 402, Frisco, TX 75034 Telephone: 1-800-884-0225 [email protected]

Learn how iGPS can help advance your business. Visit us at igps.net

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With a combined strength of 1,500 associates and customer service representatives in the U.S., Canada and Mexico, Intelligrated is a leading North American-owned, single-point provider of automated material handling solutions.

Intelligrated’s mission is to provide best-in-class productivity solutions to our customers.

Our continuous investment in product development, new technologies and expanded services ensure that we will design, manufacture, install and maintain systems that deliver a compelling ROI The Intelligrated Way:

• Engineered solutions that increase productivity

• Reduced risk and single-source accountability

• Exceptional customer service throughout the lifecycle of your system

• Significant financial and competitive advantages

Welcome to The Intelligrated Way.

Intelligrated worked with our team to coordinate a very detailed day-to-day implementation plan with clear goals and objectives. Just a week after the final cut in, we were able to ship two times the number of trucks with just half the shipping labor.

Mike TrippChristopher & BanksVice President of Supply Chain & Logistics

+1 866.936.7300 www.intelligrated.com

Productivity Solutions in Motion: The Intelligrated Way

I depend on my Alvey palletizer because it has proven to be a reliable and effective means to allocate resources, resulting in substantial cost savings.

Alex DiazThe Hershey CompanySr. Engineer

Intelligrated’s solutions have proven to be the best suited for the application. We value the strategic partnership we have built with Intelligrated and look forward to many successful projects in the future.

Cory JansenFastenalExecutive Vice President of Operations

Intelligrated provided us with a very unique solution to fit our needs. Thanks to their system, our productivity dramatically increased and we were able to reduce our operational costs as a result.

Pedro CarrerasLuxotticaSr. Director, Distribution and Logistics

Products and Services

• Systems Integration• Sortation Systems• Conveyor Systems• Design & Build• Alvey® Palletizing Solutions• Real Time Solutions®

Order Fulfillment • Software & Controls

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GLOBAL CUSTOMERS...GLOBAL SOLUTIONS...

Interlake Mecalux is a global leader in the storage systems market. In March 2009, Mecalux formalized the asset acquisition of the companies UFC Interlake Holding Company, United Fixtures Company Inc, and Interlake Material Handling Inc.

The US operation expanded to six production plants which allow the unifi ed company, now known as Interlake Mecalux Inc., to effectively cover the entire US and Canadian territories.

As one of the leading manufacturers, Interlake Mecalux offers its customers the broadest array of storage products in the world. Along with examining customer needs from every angle and designing a system that is effi cient, cost-effective, and built to last, Interlake

Mecalux provides a comprehensive, turn-key answer to today’s complex material handling and logistics needs.Backed by an impressive suite of products and services offerings, Interlake Mecalux is stronger than ever and dedicated to exceeding

customers’ expectations by anticipating their needs and delivering unmatched solutions and service.

With more than 1.7 million square feet of production space, Interlake Mecalux is by far the largest supplier of storage racks in North America. We use only high-strength steel and other quality raw materials, which are certifi ed to meet our stringent specifi cations.

All weld operations are controlled through advanced robotics or performed by welders certifi ed to AWS Standards. We then use a combination of powder coating and Cataphoresis paint systems to ensure an aesthetically pleasing, durable fi nish.

The result: the highest quality products in the industry.

The primary markets served by Interlake Mecalux products and services include companies which operate full-scale distribution centers, warehouses of all sizes, manufacturing facilities, and archive and record storage environments. Our growth and development

is based on the expansion of the sales distribution networks, investment in Research & Development, and our automated warehouse division. Since our foundation more than 40 years ago, our approach has been an unyielding commitment to quality, innovation,

and customer satisfaction.

TEL. (877) 632-2589 / www.interlakemecalux.com / e-mail: [email protected]

Serving the US from nine strategic locations: Chicago, IL - Pontiac, IL - Middletown, PA - Sumter,SC - Tijuana, MX - Matamoros, MX

Dallas, TX - San Diego,CA - Brownsville, TX

LM MMH Template.indd 1 6/29/10 2:29 PM

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M O D E R N C O R P O R AT E P R O F I L EA D V E R T I S E M E N T

psionteklogix.com

Tough on Inefficiency.REDUCE OPERATIONAL COSTS WITH MOBILE COMPUTING

SOLUTIONS FROM PSION TEKLOGIX

A leading global provider of business automation solutions, Psion

Teklogix manufactures mobile computing and wireless data

collection devices for use across the enterprise. We are committed

to offering rugged mobile computing solutions that enable our

customers to work in the toughest environments while also

increasing efficiency and productivity – essential elements for

business growth, profitability and competitiveness.

OVER 40 YEARS OF MOBILE COMPUTING EXPERTISE

Psion Teklogix is the pioneer in quality mobile handheld computers

and their application in industrial b2b markets around the world.

We’ve innovated in mobile computing for over 40 years, helping

our global customers solve their business problems, including

Volkswagen, SNCF, RWE nPower, E.ON, BMW, Goodyear,

Copenhagen Airports and major international distribution hubs.

Our mobile devices are rugged, resilient and built to last. They are

tailor-made solutions through our open innovation philosophy in

which we co-create mobile hardware, software and services,

together with our customers and partners on our community site,

ingenuityworking.com. For more information on Psion Teklogix

Mobile Computing Solutions, contact us today!

VISIT: WWW.PSIONTEKLOGIX.COME-MAIL: [email protected] CALL: 800.322.3437

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sonoco.com

Sonoco is a proud member of the Dow Jones Sustainability World Index (DJSI), a global composite index that recognizes leading global companies in terms

of economic performance, environmental stewardship and social responsibility. Sonoco also has been ranked as one of the

100 greenest large companies in the United States in Newsweek’s inaugural Green Rankings, which evaluated the country’s 500 largest companies on their environmental performance, green policies and reputation.

The new Firma line of carrier products from Sonoco was designed and built to overcome the drawbacks of using conventional pallets for the storage and transportation of goods around the world.

Sonoco’s experience in protective packaging and commitment to sustainability led the company to investigate cleaner, greener and more eff ective ways to transport a wide variety of products. Unlike heavy traditional pallets that can splinter, break or damage products, Firma carriers are designed to be lighter and cleaner, reducing freight costs and lessening the potential for workplace injuries and debris.

To learn more about which Firma innovation is right for you, visit sonocotranspack.com or call 888/875-8754.

Sonoco company profi le

Founded in 1899, Sonoco (NYSE: SON) is a $3.6 billion global

manufacturer of industrial and consumer products and provider

of packaging services, with more than 300 operations in 35

countries, serving customers in some 85 nations.

SP10094ProfileAd_MMH.indd 1 6/24/10 11:35:02 AM

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A Wealth of ExpertiseFor more than 60 years, System Logistics Corp. has been a trusted leader in the design, manufacturing and implementation of material handling systems designed to increase productivity, reduce costs, and improve order accuracy. Our approach is to collaborate with our customers at every step. The development process begins with comprehensive data analysis in order to understand how best to address their unique challenges. Next, system planning and design are supported by our full range of material handling equipment and our suite of advanced software solutions. The end result is a flexible and dynamic system that allows for expansions and modifications as our customers grow, evolve, and pursue new opportunities.

Whether you’re tackling e-commerce distribution, large scale beverage distribution, or constructing jumbo jets, we have a solution that fits your business.

A Comprehensive World of Picking TechnologiesOur range of order fulfillment technologies is designed to make your manufacturing plant, warehouse or distribution center more efficient, more productive and more profitable. We help you to achieve these goals by engineering ease of use, reliability, ergonomics and sustainability into every system we deliver.

Our family of technologies available to solve your specific material handling challenges includes:AS/RS unit- and mini-load • Diamond Horizontal Carousel • POWERdepot™ Vertical Carousel • MODULA® Vertical Lift Module • DirectPick™ Pick-to-light and Pick-to-voice • Automated Buffers/Sequencers • Conveyor and Sortation Systems • Vertical Line Sequencer • Laser Guided Vehicle • System Vehicle Loop • Palletizers and Depalletizers

A Universe of Order Fulfillment PossibilitiesA virtually countless combination of solutions — each one unique to every customer — can be designed with our comprehensive line of order fulfillment technologies. We provide partially and fully automated, split-case picking, each picking and pallet handling systems tailored to meet your specific requirements with the flexibility to expand as necessary. You can rely on our experienced sales, design and support staff to ensure that the picking solution created for you exceeds your expectations for accuracy, productivity and economy.

Advanced Software ControlFrom a single piece of equipment to an entirely automated distribution center, the DiamondWare™ or SYSTORE® suite of software packages streamlines your integrated material handling solution for the efficient management of all your operations.

Think Accuracy. Think Productivity. Discover System Logistics.

www.systemlogistics.com

SYSTEM LOGISTICS CORP. - 90 Alfred Plourde Pkwy, Lewiston, Maine 04241 - Tel. 207.784.1381 - [email protected]

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GREENING THE INDUSTRYWelcome toGreening the Industry,a special sponsored section of Modern Materials Handling.Keeping with the theme of the cover story, companies from throughout the materials handling industry, listed here alpha-betically, tell you about how they’re helping their customers beat a bad economy.

This section is designed to provide you with information and insight into companies that can help you meet your materials handling challenges.

ADVERTISEMENT

mmh.com MODERN MATERIALS HANDLING / A P R I L 2 0 1 0 51

100% Recycled EarthSaver™ BinsAkro-Mils, a North American leader in storage, organization and transport products, introduces a new family of products — the EarthSaver™ Series — which features its popular AkroBins® and

Shelf Bins made from 100 percent recycled plastic.

The EarthSaver Series offers an eco-friendly choice in plastic storage and organization products, while boosting productivity in the workplace.

OTHER BENEFITS INCLUDE:• The same great Akro-Mils products — now made from 100% recycled material.• Three color options — Hunter Green, Sandstone and Terra Cotta.• Easy to label for quick inventory identifi cation.• A positive impact on the environment.

Designed for use in virtually any setting — including manufacturing, healthcare, retail and distribution — bins in the EarthSaver Series can be used alone or with bundled Akro-Mils steel shelving, wire shelving and pick racks to create a complete storage and organization system supporting 5S Lean and other initiatives.

For more information on the EarthSaver Series or to request a complete catalog, contact Akro-Mils at (800) 253-2467, fax (330) 761-6348, or visit the company’s Web site at www.akro-mils.com

Akro-Mils1293 S. Main St.Akron, OH 44301800-253-2467www.akro-mils.com

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Phone: 877-532-9070 Ext. 301E-mail: [email protected]: www.capitolconveyorsinc.com

28121 Scippo Creek Rd. • Circleville, OH 43113

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Buckhorn’s Recyclable Caliber™ IBC SeriesBuckhorn, a North American leader in reusable plastic packaging and material handling systems, features its Caliber™ Series of intermediate bulk containers (IBCs). Available in three sizes from 270 gallons to 315 gallons, the collapsible intermediate bulk containers in the Caliber Series, which complement Buckhorn’s Citadel™ family of IBCs, are the best-suited IBCs in the industry for shipping and storing large volumes of processed foods, ingredients and other � uids – including dairy products.

Caliber IBCs are molded of FDA-approved, food-grade plastic and have completely smooth surfaces to satisfy the strictest hygienic standards. They are collapsible, stackable when full or collapsed, and their space-ef� cient dimensions provide optimal cubing of transport systems, from rail cars to truck trailers. Caliber IBCs utilize a disposable bag liner to prevent cross-contamination. The Caliber can be top-� lled and emptied; a bottom discharge option is available. Because they are reusable, Caliber IBCs offer the perfect “green” alternative to barrels, cardboard or wood containers, providing companies a substantial savings on disposal costs and the waste of one-way packaging.

For more information on the Caliber IBC series or to request a catalog, contact Buckhorn at (800) 543-4454, fax (513) 831-5474, or visit the company’s web site at www.buckhorninc.com. 55 W. TechneCenter Dr. • Milford, OH 45150

800-543-4454 • www.buckhorninc.com

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M O D E R N C O R p O R at E p R O f i l EA D V E R T I S E M E N T

Company Name: Zeus Metal WorksAddress: 3031 Hamp Stone Road, Siler City, NC 27344Phone: 877-569-2748Email: [email protected]: www.zeusmetals.com

Profile:Zeus Metal Works produces high-capacity super duty cabinetry and storage units. Our industrial storage cabinets, safety cabinets, SWAT lockers and ammunition storage are made in America and feature all-welded, heavy-gauge steel construction and superior design features.

Customer AdvantageWith direct access to raw material and in-house fabrication capabilities, Zeus Metal Works is able to produce quality storage solutions at significantly lower costs, a savings we pass directly to our customers.

Superior FeaturesReduced cost and direct processing also allow us to incorporate enhanced design components, such as our 3-point, jam-proof locking system, forged padlock handles, and welded fork pocket transport feature.

With load capacities up to 2,000 lbs. per shelf, Zeus Metal Works gives customers more for less.

Zeus Metal Works is a division of Olympic Steel, Inc.

ZeusMetalWorks.indd 1 7/1/10 3:44 PM

As a supply chain professional, you constantly look for ways to make your companymore effi cient. While not always visible to your customers, what you do in your supply chain plays an important role.

TGW is an integrated logistics solutions and material handling equipment provider. We plan, design, manufacture, install, and support integrated logistics solutions tailored to your needs to give you increased effi ciency and higher productivity.

As one of the world’s largest material handling system suppliers, TGW’s worldwide perspective and resources give you the best-value technologies, customer supportand system services you need to succeed.

More and more companies are using TGW to optimize their supply chain.Maybe it’s time you learned more about TGW.

Integrated Logistics Solutions for an Optimized Supply Chain

TGW Systems Inc. 6870 Grand Haven Road Spring Lake, MI 49456-9652 USA

231-798-4547 [email protected] www.tgw-group.com6870 Grand Haven Road Spring Lake, MI 49456-9652 USA

231-798-4547 [email protected] www.tgw-group.com231-798-4547 [email protected] www.tgw-group.com

Ermanco brand cartonand tote conveyor & sortation systems

Unit load conveyor & sortation systems

Automated Storage & Retrieval Systems(AS/RS) for case, tote, carton and pallet loads

Warehouse Control (WCS) and Warehouse Management (WMS) Systems

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Unit creates an instant dockIdeal for locations that lack a dock area, the instant dock Model 6568 top-of-ground dock lift provides an easy way to load or off-load trucks safely. To install, the unit is placed on a concrete pad, lagged down and plugged into an elec-trical power source. Features include a self-contained 5-horsepower power unit, lifting capacity of 5,500 pounds and a 6 x 8-foot platform. advance lifts, 800-843-3625, www.advancelifts.com.

Bendable panel cuts door damageTo eliminate bottom door panel damage, the Flex-Back panel flexes upon impact and then returns to its normal operat-ing position. The panel replaces most industrial sectional bottom door panels and installs easily using standard/existing

door hardware. Construction with a high impact poly-mer skin and flexible tube frame gives the panel flexibility and strength. Features include an easy

grip lifting handle for effortless operation and a complete perimeter gasket seal to save energy. The panel is offered in the three most common sectional door sizes: 98, 110 and 122 inches. aPs resource, 262-518-1000, www.apsresource.com.

dock levelers rated up to 45,000 poundsRated for capacities from 30,000 to 45,000 pounds, U-Series dock levelers may be specified for hydraulic, mechani-cal and vertical applications. The uni-versal leveler’s deck is supported by six U-beams weld-ed at dynamic impact points to withstand heavy use. For strength and even load distribution, a single lip hinge pin is included and the deck’s front structure incorporates a con-tinuous one-piece headboard. The deck flexes up to four inches when under load to compensate for canted truck beds. To accommodate heavier loads and reduce jarring for forklift operators, an optional floating rear hinge configuration main-tains deck tilt. Blue giant equipment, 905-457-3900, www.bluegiant.com.

lighting directs truck alignmentTo help properly align trucks backing into the loading dock, the LED guide light provides a clear definable target. Each guide incorporates six bright yel-low LED lights to define the outside edge of the dock bumpers, preventing damage caused by a truck backing in off center. For additional safety, the system may be integrated with red and green LED communication lights to alert the driver when it’s safe to back in or pull away from the dock. allied solutions, 800-643-5424, www.alliedproduct-solutions.com.

Protect employees, cargo from bad weatherFor protection of staff and cargo in inclement weather, the WeatherGuard 1600 dock header may be integrated as a complete unit or as a retrofit to exist-ing seals and shelters. Ideal for applica-tions where the drive approach is sloped towards the dock opening—causing rain water to funnel into the dock area—the unit features a spring-loaded, foam-filled, pivoting head to ensure a watertight seal at the top of the vehicle. The structur-ally supported header is translucent to allow natural light into the loading opera-tion. Fairborn Usa, 800-262-1188, www.fairbornusa.com.

Prevent falls with cantilever safety gateFor prevention of falls off loading docks and shipping pits, the cantilever SentryGuard gate is easy to install with six concrete anchor bolts. Equipped with gas-assist struts, the gate effortlessly lifts up and out of the way in sec-onds. Features include a posi-tive-lock to hold the gate fully open or closed, high-gloss, powder coat epoxy finish and high-visibility markings. Sizes for 4- to 24-foot wide openings are offered, as is a remote-controlled model with electric gate opener. garlock safety systems, 763-694-2614, www.railguard.net.

FOCUS ON dock equipment

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Flexible, low-maintenance door withstands 45 mph windsConstructed of easily replaceable, exchangeable panels of vinyl, mesh and clear PVC, G-2 high-speed roll-up door components can be replaced or exchanged without down time or destruction of the door. Fiberglass extru-

sions slide securely in extruded aluminum side beams. The doors are offered for manual or motorized operations and include a reverse safety feature, welded seams, and rubber side seals and baffle. Rated for wind loads up to 45 miles-per-hour for a 10 x 10-foot span, the doors automatically reset after impact or blow out. goff’s enterprises, 800-234-0337, www.goffscurtainwalls.com.

self-closing steel gatesFor customization of existing dock safety railings, self-closing steel gates may be

mounted from the left or right side. Included mounting hardware connects to horizontal rails measuring up to 2 inches in diameter and spaced 10 to 21 inches apart on center. Galvanized

or yellow powder coat finishes are offered. Vestil Manufacturing, 800-348-0868, www.vestilmfg.com.

Protect trailers, dock edge with bumper guardsCopperloy edge-of-dock bumpers are rated at 3,000 pounds per square inch to protect trailers, the loading dock and the dock edge. Equipped with steel face guards, the bumpers deflect and absorb the shock of the backing trailer and eliminate wear from friction caused by the up and down movement gener-ated during loading and unloading. The guards are ideal for loading docks which encounter air-ride trailers, spotted trail-ers or excessive daily traffic volumes. JH industries, 800-321-4968, www.copperloy.com.

smooth transition dock levelerActivated by a patented linkage technol-ogy, the Flex-Lip dock leveler reduces the risk of low clearance grounding while loading and unloading and cuts impact and forklift wear and tear. To provide a smooth transition between the truck bed and the dock floor, the lip extends auto-matically as the leveler deck descends. The lip is maintained horizontally on the trailer bed in all positions, even when below dock loading. It is offered in three models: air powered, hydraulic and mechanical. nordock, 866-885-4276, www.nordockinc.com.

air-powered dock levelerThe environmentally-friendly MA series pit-style dock levelers are air powered by a low voltage power supply. The air operation does not require any hydraulic fluid or cylinders, making the leveler low maintenance and easy to clean. Units are offered in 6-, 6.5-, and 7-foot widths, and 6-, 8- and 10-foot lengths with capacities up to 55,000 pounds. Mcguire, 800-624-8473, www.wbmcguire.com.

Block energy loss with perimeter sealTo block dirt, debris and insects while preventing energy loss, energy guard perimeter seal is placed along the sides and rear hinge of a dock. The guarding seals the gaps between the dock leveler

and concrete pit walls up to 9 inches above dock level, stopping heat and energy loss.

Factory-installed or as a retrofit, no parts or assemblies are installed under the dock leveler or on the pit floor and no fabric is exposed to the face of the load-ing dock wall to prevent damage by trailers and debris. Kelley, 877-558-6960, www.kelleycompany.com.

rugged hydraulic dock levelerFeaturing a high-strength, 4-way safety tread plate, the HD hydraulic dock leveler incorporates a full-width self-cleaning, heavy-wall hinge tube and gussets on the lip and headboard hinge to maximize support. Ten structural, precision-formed C-beams ensure even load distribution and maximum deck strength to bear loads up to 160,000 pounds. To support 3-wheeled vehicles, the leveler includes a central deck beam. Night locks prevent unauthor-ized entry when the overhead door is locked on top of Dock Leveler. Pentalift equipment, 519-763-3625, www.pentalift.com.

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lifts feature galvanized constructionFor safe transfer of loads from truck bed to dock without ramps or inclines, Dura-Dock loading-dock lifts are offered. The units come in 5,000- and 6,000-

pound capacities and feature galvanized, corrosion-resistant base and legs. Rising from grade level to a maximum height of 59 inches, the lift may be mounted in a concrete pit. Platform sizes range from 6 x 8 feet to 8 x 12 feet. Features include a weatherproof pushbutton control with 20 feet of coiled cord, a diamond-tread, steel platform with beveled toe-guards, and

removable steel handrails. southworth Products, 207-878-0700, www.southworthproducts.com.

Control dock environment with sliding softwallsCreating better environmental control, flexible sliding softwalls slide open or closed with minimal effort to create sepa-rate zones in loading dock staging areas. The curtain walls also improve cleanli-ness, increase security and contain odors, fumes, dust or noise. Made of heavy-duty industrial vinyl, the units are custom fab-ricated for each application, and can be reconfigured as facility layout or environ-mental control needs change. Mountable to the existing ceiling structure, a heavy-duty track and trolley system supports the walls. Zoneworks, 800-553-4834, www.zoneworks.com.

Centralized dock power source lowers building costsTo cut the complexities and costs of new loading dock installations, the CentraPower unit reduces the number of hydraulic pumps, disconnects and associated power feeds by a factor of 10 to 1. Locating the hydraulic power source in a conve-nient location inside the building yields cleaner access, sim-plified maintenance and lower costs. The system features a full backup pump and motor system to ensure continuous up-time. systems inc., 800-643-5424, www.docksys-temsinc.com.

Cabinet for lean manufacturingFor better workspace organization and management, the 5S cabinet offers clear acrylic doors for instant visibility and at-a-glance accounting of tools and parts at point of use to support lean manufacturing philosophies. The durable cabinet case fea-tures metal pegboard inserts. Alternately, solid hinged doors with additional peg-board storage may be specified. Stanley Vidmar, 800-523-9462, www.stanleyvidmar.com, Booth 2532.

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Abuse Resistant Belts work where others fail.Super Strong Joints are virtually unbreakable.High Tension Belts move heavier loads.Super Red Belts double conveyor capacity.

Dura-Belt 800-770-2358 614-777-0295Fax: 614-777-9448 www.durabelt.com

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Longer Lasting Belts

New Split Line-shaft SpoolsHigh precision. Reasonable price.Easy to install. Zero downtime. Can be locked to shaft. Eliminatesneed for keyed spools and shafts.

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Maximize storage space with ProHANGER™ … the perfect solution for storing and organizing long parts and supplies.

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Software directs, analyzes paperless picking activityExecutives, managers and supervisors can easily view pick rate productivity, accuracy and throughput with the version 6.0 release of LP dash-board. The software displays real-time, updated key performance indicators with drill-down granularity for facility, area, zone and employee-level views. Featuring a rich graphi-cal interface with drag-and-drop widgets for custom template views of performance data, the system offers an automatic slide-show style display of multiple, user-configured templates. Lightning Pick Technologies, 262-250-2143, www.lightningpick.com, Booth 1543.

NA 2010 Cleveland

Vertical storage systemFeaturing a stabilized shelf system with high storage density at an afford-able price, the motorized vertical pan carousel offers storage and retrieval of inventory with push-button control. The system delivers inventory to the opera-tor, yielding retrieval time savings up to 90%. Included standard are lifetime sealed bearings, shielded motors, secu-rity keypad, one-touch forward/reverse, wire mesh guarding and obstruction detectors. Vidir Machine, 800-210-0141, www.vidir.com, Booth 3018.

Treatment prevents mold growth on palletsE-fusion mold and mildew resistant coating and treat-ment system for wood pallets inhibits the growth of mold, preventing product recalls and refused ship-ments. The treatment bonds with wood during an elec-trostatic application process, making it ideal for pallets used in food and beverage handling, consumer prod-ucts, pharmaceuticals and paper products. X-Mold, 866-581-6653, www.xmold.net, Booth 625.

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FOCUS ON dock equipment

Voice+Laser driverless vehicles have industrial grade laser guidance and incorporate voice-directed picking, leaving operators with their hands free to maximize case picking pro-ductivity. At the start of an order, the truck delivers a new pallet to the picker. Then, it automatically moves

with the voice-equipped picker as they verbally confirm picks, and transports the completed pallet to shipping while the next truck brings a new pallet to the picker. During peak periods, pickers with manual pallet trucks can work in conjunction with the system to handle additional throughput. As requirements change, routing plans can be updated and additional vehicles can be added or transferred between sites. Dematic, 877-725-7500, www.dematic.us.

Low-cost AGVs handle up to 4,000 poundsCapable of maneuvering and tow-ing loads throughout a production space, a series of low-cost automatic

guided vehicle systems can be con-trolled with traffic control naviga-tion software. The vehicles come in capacities ranging from 500 pounds to 4,000 pounds, making them ideal for handling smaller loads and increased volumes without additional staff. Features include multiple path programming, a retractable towing pin, remote communication, and

Driverless trucks with voice directed picking

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AGVs

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Portable, adjustable height workstation platformsCustomized scissor lift style adjustable height platforms are offered to meet unique assembly line or workstation applications. For easy movement of the unit in and out of position as needed, platforms may be equipped with air cast-ers. Features include adjustable steps for operator access when the unit is in either the extended or down position. A variety of safety and ergonomic options range from railing and skirting to anti-fatigue matting and ramps. air Caster, 217-877-1237, www.aircaster.com.

robot builds mixed loadsFor picking and palletizing complete mixed load pallets, the ROP2000 robotic order picker utilizes robots fitted with slim end effectors, project planning soft-ware, conveyors and stretchwrappers. Two articulated robot arms pick products from infeed conveyors and place them on a pallet that then descends to a stretch-wrapper. To build the mixed load, intel-ligent software directs specific product placement. The modular system reduces shipping and inventory while shortening the supply chain process and optimizing valuable floor space. axium, 514-352-0500, www.axiumsolutions.com.

Powered conveyor rollers support, move loadsLive shaft conveyor rollers for 24-volt DC conveying systems serve a dual func-tion: supporting conveyed loads and providing motive power. Mounted on precision bearings, conveyor stub-shafts may be teamed with a variety of carrying elements including rollers of any mate-rial and multiple wheel configurations.

Without exposed belts, chains or motors, the rollers lack pinch points that require guarding and reduce usable conveyor width. All power transmission elements are concealed within the conveyor’s side rails. Depending on construction materi-als, conveyors can be employed in wash-down areas, in clean rooms and other environmentally sensitive areas. Conroll, 888-705-0551, www.conroll.com.

software provides greater return on labor investmentOffering fully integrated functionality from the supplier’s execution manage-ment solution, a newly released version of enterprise workforce management helps prioritize, assign and align tasks for store and distribution personnel. The sys-tem generates one schedule for all activi-ties, including task, schedule, incentive and process-related projects. A single interface offers user profiles and confir-mation of scheduling accuracy for service and task labor, while enhanced system coordination improves compliance with promotion and other high-involvement events. redPrairie, 877-733-7724, www.redPrairie.com.

Product showcase

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increase productivity in case pickingTo increase productivity in case picking applications, LaserTrucks+ combines laser-guided pallet trucks with a voice-directed system. The system upgrades pallet trucks to driverless operations using industrial grade laser guidance. At the start of an order, the truck delivers a new pallet directly to the voice-equipped picker, automatically moves with the picker who verbally confirms picks, and transports the completed pallet to ship-ping while the next truck brings a new pallet to the picker. Operators are freed up to focus solely on picking. The system is fully integrated with either warehouse management or enterprise resource planning for real-time management and operational transparency. dematic, 616-913-5931, www.dematic.us.

Four-wheel stockpicker offers stabilityThe SP 3500 Four-Point series stock-picker offers enhanced stability and per-formance to lift and pick large, bulky and heavy loads in narrow aisles. By handling loads on four wheels, the vehicle can manage non-standard loads at heights in excess of 30 feet, including 48-inch load center furniture applications. The truck stabilizes the load and decreases sway by evenly distributing forces from the plat-form through the mast and power unit, down the drive unit and caster to the ground. Features include heavy-gauge steel in the skirt, doors and battery cover and a heavy-duty mast to further enhance stability. Crown equipment, 419-629-2311, www.crown.com.

system can now self-regulate its speed depending on the volume that’s inbound on the system,” says Ruehrdanz. The warehouse control systems (WCS) soft-ware makes that decision using elec-tronic sensors that’s constantly moni-toring where all the cartons are and how they’re fl owing.

2. Print and apply on the fl y. When your supplier is a fancy designer from Italy who can’t be bothered with labeling, you’ve got to be ready with Plan B. The use of print and apply sys-tems allow crossdock operators the fl ex-ibility to deal with inadequately labeled cartons so that proper labels can be printed and applied on cartons as they travel along conveyors allowing them to be immediately cross docked.

“When they fi rst started out, these systems could process 10 cartons per minute (cpm) maybe,” says Steve Haskell, vice president for L.A.-based SDI Industries, a designer, integrator and manufacturer of materials handling systems. “Now you can get 30 cpm reli-ably with a tremendous range of print-ing and software capabilities.”

3. Crossdocking with voice and RFID. With a scan of the pallet license plate, voice-directed operators on the receiving dock can be instructed to quickly move their crossdock pallets to

the correct shipping doors without hav-ing to look at a terminal.

By attaching an RFID tag on a pallet, the simple act of moving the pallet from a tractor trailer through a receiving por-tal not only acknowledges receipt, but allows the automatic download of criti-cal information so automatic crossdock allocations can be made.

The next generation of RFID-enabled lift trucks go a step further by combining RFID data collection with optical real-time location sys-tems (RTLS) to precisely record pallet movement without any operator typing or scanning. As adoption increases, users are investigating the feasibility of using RFID-based technology to elimi-nate the need for some EDI communi-cations by encoding the advance ship-ping information onto the RFID tag to reduce the number of EDI messages.

Vision for the futureWith more trading partners shar-

ing data in real time along with greater levels of systems integration, Manhattan’s Lamphier envisions more “dynamic crossdocks” that constantly look for opportunities to fl ow-through product, even while still in transit. SDI’s Haskell sees equipment improv-ing and becoming more affordable. Soon, you’ll simply be running out of excuses not to crossdock.

50S A P R I L 2 0 1 0 / MODERN MATERIALS HANDLING m m h . c o m

» A Special Supplement to MODERN MATERIALS HANDLING

This gapping conveyor creates mini-mum gaps between cartons. Minimum carton gaps allow the conveying and sorting systems to accommodate more throughput at a slower operating speed.

A sliding shoe sorter diverts cartons using a parallel diverting method.

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device for repairing concrete floor cracksFor repairing loose concrete floor joints, the Joint-Saver cylinder device stabi-lizes rocking joints and cracks when used in conjunction with other joint and floor-repair materials. To repair the crack, a vertical hole is cored through the area and the split aluminum cylinder is inserted. Torquing the cylinder’s inter-nal mechanism pushes the two halves of the cylinder apart. This mechanism allows expansion and contraction of the slab to occur through temperature and humidity cycles, maintaining the proper amount of pressure to ensure joint integrity. The unit is offered in 5-, 6- and 7-inch sizes to accommodate varying floor thicknesses. surface dynamics, 800-584-5553, www.someromat-songroup.com.

industrial fan reduces emissionsEquipped with pre-wired onboard controls, the Powerfoil X industrial fan reduces emissions by more than 90%

and cuts field installation costs. Features include

a long-lasting, heavy-duty gearbox to accommodate load requirements, and low-friction gearing that minimizes wear while reducing heat and backlash. The drive is filled with synthetic oil, topped off with nitrogen and hermetically sealed to eliminate moisture, contami-nation and maintenance. In diameters from 8 to 24 feet, may be integrated to include smoke detection, lights, cam-eras and motion sensor systems. Big ass Fans, 877-244-3267, www.bigassfans.com.

Product showcase

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dynamic visibility, analysis for process- based operationsUtilizing a patented dynamic engine, the SimTrack visibility and analysis tool dynam-ically connects to external systems—including databases, enterprise resource planning, barcode and RFID—to provide live visibility, forecasting and replay func-tionality for process-based operations. The system produces a virtual replica of the business, creating the optimum sched-ule to decrease lead time and increase efficiencies. Based on real-time data, predictive analysis generates a simulated view of the future of the operation to identify potential delays and bottlenecks. Notification messages of problematic con-ditions mitigate the risk of potential loss. Createasoft, 630-428-2850, www.createasoft.com.

Picking software module for mobile devicesFor improved storage and retrieval effi-ciency in rack and shelving applications, FastPic5 inventory management and con-trol software is now offered on a mobile device module. Through the mobile inter-face, operators are directed to the proper

storage location to retrieve or put away specific items. The software optimizes search and retrieval, guiding the opera-tor to the proper storage location by the most direct route to reduce search time. The interface includes barcode verification to improve picking and putting accuracy and provides simple inventory control functions that allow retrieval by FIFO, lot, serial number or expiration date. FastPic systems, 207-854-8663, www.fast-picsystems.com.

Kit adjusts pick window of automated storage system for flexibilityA pre- or post-installation pick window modification kit for the Shuttle vertical lift module helps companies quickly meet changing product characteristics, ware-housing requirements or business needs. The unit’s modular construction and rail panel components allow the number of pick windows, their size, and location to be changed at any time. Changing pick window height allows storage of bulky items, while moving a pick window loca-tion links work areas to facilitate material sharing. Kardexremstar, 800-639-5805, www.Kardexremstar.com.

improve ergonomics with post liftTo reduce back injuries, the zero-level post lift permits an operator to drive a pallet jack with a skid of cartons directly onto its lowered lifting platform. After unloading the skid, the lift raises it to a convenient level for ergonomic carton removal without bending over. Features include a hydraulic ram with a chain pulley mechanism, a 220- to 240- volt, 3 phase, 20A electric motor with post-mounted hydraulic pump and reservoir, and user-friendly controls mounted on the post or used remotely with a 12-foot cord. Custom-sized platforms can accept any size pallet or cart. To prevent the platform from free falling, a manually released cam-lock system is included standard. Herkules equipment, 800-444-4351, www.herkules.us.

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New slotting accessories for the supplier’s SelecDeck carton flow sys-tem enable fast, cost-effective prod-uct mix changes. Offerings include drop-in lane dividers that fit into slots along the load side and permit cartons to be added, changed and sorted by size and SKU. To eliminate adhesive labels, a sliding label holder can be placed anywhere along the front of the case flow bed for hassle-free reprofiling. Additionally, the SelecDeck system retrofits existing structural roll-formed racks with-out replacing shelf beams. Frazier Industrial, 800-614-4162, www.frazier.com.

Steel axle carton flow tracksCarton Trax steel axle carton flow track features abuse-resistant 1.125-inch dia-meter polyethyl-ene rollers and chromate-coated steel axles that are free-floating to prevent binding for durable, smooth operation. The heavy-duty tracks incorporate a specially engineered steel axle tooth for close wheel placement that enhances reliability. For carton support, the wheels are placed on 1.5 inch centers. The grav-ity-driven tracks include durable, galvanized side channels, making them ideal for freezer and food stor-age applications. UNARCO Material Handling, 800-862-7261, www.unarcorack.com.

Racking resists earthquakes

Offering greater lateral stability than the supplier’s standard pallet rack, the PLUS rack is ideal for areas where seismic activity or other severe conditions are likely. The rack’s beam end connectors feature four prongs to create a tighter connection with more surface area between the beam and the upright post. Beams are welded 3 inches down from the top of the connector to evenly distribute loads across all four prongs. To pre-vent accidental dislodging, all beams have a beam locking key. Upright frames offer heavy-duty 35-square-inch, 0.325-inch thick footplates with four anchoring holes. Standard frame heights range from 48 to 240 inches. Penco Products, 800-562-1000, www.pencoproducts.com.

Customized push back rack systemsPush back, high-den-sity storage rack permits selectivity and dense storage, making it ideal for storage of multiple SKUs and mul-tiple pallets of individual SKUs. The system includes an integrated cart system mounted on rails in the rack structure at a slight pitch. Pallets are placed on the carts as many as six-deep per storage lane. Each racking system is custom-configured to match specific pallet and load size: width, depth and height. Elite Storage Solutions, 508-230-5755, www.elitestoragesolutions.com.

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Modern: Voss equipment is celebrating its 75th anniversary. What do you think has kept you in business all these years? Voss: We’ve been fortunate to attract and keep good employees, includ-ing experienced technicians, sales people and managers. And while we are known as a Yale lift truck distribu-tor, we’ve added other diverse prod-uct lines that helped us get through the difficult times. For instance, we sell mobile rail car movers and nar-row-aisle lift trucks. We may be the only dealer in our marketplace that rebuilds AC and DC electric motors.

Modern: What has been the most significant change you’ve seen in the business? Voss: The level of competition increases every day, especially with the growing number of lift trucks manufactured outside of the U.S. But I think the most significant change has been the electronic control of the internal combustion engine and the improved tech-nology in electric lift trucks. An AC-powered lift truck requires far less maintenance than in the past and is far more reliable. The other important change is the focus on solving our customer’s problems.

Our customers ask far fewer

Marc Berlow

modern 60 Seconds with...

Peter VossVoss Equipment, Inc.

title: President, Voss Equipment, Inc. (www.vossequipment.com)

location: Harvey, Illinois

experience: 20 years with a family-owned materials handling distributor.

FocUs: Providing the right lift truck equipment, financing and mainte-nance packages to meet customer applications and objectives.

questions about how much weight a vehicle can handle or how high the lift goes. Instead, we’re far more focused on providing the right equipment, lease and maintenance package for the customer’s applica-tion and the customer’s objectives. We’re all trying to differentiate ourselves from just focusing on the equipment and what it does. We’re talking solutions instead of product.

Modern: What’s going to take Voss into the future? Voss: You can’t just turn a wrench today. We have to be more techno-logically savvy. Our challenge will be to find those young technicians who are computer-oriented and still want to work on industrial equipment. And, we’ll have to continue to look for niche markets to differentiate ourselves from other dealers in the area. M

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