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  • 8/7/2019 SCT: Jan 2010

    1/36Supply Chain Today Jan 2010 1

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    2/362 Supply Chain Today Jan 2010

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    3/36Supply Chain Today Jan 2010

    Jan 2010

    ContentsCover Story5 Clean Sweep

    Barcoding, Labelling, Scanning &

    RFID7 Scanning Tomorrow

    Racking and Shelving9 Onthe Shelf

    11 Sizeable Installation

    Sapics13 On a High Note

    Market Forum Unit14 Market Forum

    Outsourcing 3PL/4PL19 Top 10 Tips

    23 Guiding your Shipment

    Featured on the cover

    HakoTel: (011) 552-8716

    E-mail: [email protected]

    Trucking25 Special Accreditation

    27 Boosting Effectiveness

    Market Forum Supply31 Market Forum

    Endorsing BodiesAfritag (div of Smart Card Society)

    CGCSA (Consumer Goods Council of

    SA)

    CILTSA (Chartered Institute of

    Logistics & Transport: SA)

    SAEPA (SA Express Parcel

    Association)

    SAPICS (The Association for

    Operations Management

    of Southern Africa)

    also mailed to:

    CSCMP (Council of Supply Chain

    Management Professionals)

    Proprietor and Publisher:

    PROMECH PUBLISHING

    Tel: (011) 781-1401

    Fax: (011) 781-1403

    E-mail: [email protected]@promech.co.za

    Website: www.promech.co.za

    Managing Editor:

    Susan Custers

    Advertising Sales:

    Please contact Surita Marx

    while Tarina Kriel is on

    maternity leave

    DTP: Zinobia Docrat andSanette Lehanie

    Printed by:

    Typo Colour Printing

    Tel: (011) 402-3468

    The monthly circulation is 4 025CopyrightAll rights reserved. No editorial matter published in

    Supply Chain Today may be reproduced in any form or

    language without written permission of the publishers.

    While every effort is made to ensure accurate reproduc-

    tion, the editor, authors, publishers and their employees

    or agents shall not be responsible or in any way liable for

    any errors, omissions or inaccuracies in the publication,whether arising from negligence or otherwise or for any

    consequences arising therefrom. The inclusion or exclu-

    sion of any product does not mean that the publisher or

    editorial board advocates or rejects its use either generally

    or in any particular field or fields.

  • 8/7/2019 SCT: Jan 2010

    4/36 Supply Chain Today Jan 201034 BULK HANDLING TODAY March 2008

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    5/36Supply Chain Today Jan 2010

    Clean Sweepproject for Shoprite. We started by supplying

    machines to their big DC in Johannesburg and

    have since moved into their DCs in Cape Town,

    Centurion and now KZN. This project is very im-

    portant to us because this will give us a national

    footprint within the retail industry.

    The machines that are running at Shoprite are the

    B1100 and the D 750. After a bit of research

    we realised that these two machines are perfect

    for the South African environment and, as you

    can imagine, they are our biggest sellers at this

    stage, he adds.

    The machinesThe B1100 machine concept is tailor-made to

    meet clients requirements. It is a compact high

    performance scrubber-drier for wet scrubbing and

    dry vacuuming in one operation and a combined

    machine with additional sweeping system with

    dust vacuum.

    In addition there is a choice of optional acces-

    sories, eg, side scrubbing unit, overhead guardwith rear-view mirror, warning beacon, working

    lights as well as a dirty water recycling and

    cleaning agent dosage system.

    Quality productThe Hakomatic B1100 can offer long running

    times thanks to its 310 litre tank volume. It

    has an optional dirty water recycling system for

    multiple use of the cleaning solution. The ma-

    chine has a strong industrial heavy-duty forklift

    truck drive with power reserves for gradients of

    up to 20%. There are two separate drive motors

    for the scrubbing brushes with a high degree ofstability even when carrying out thorough basic

    cleaning. A quiet battery drive, free from exhaust

    fumes allows a quick exchange of batteries in

    approximately two minutes.

    Ergonomically, the machine has a fully sprung

    drivers seat which can be adjusted to the drivers

    weight. All operating controls are in direct reach

    of the operator complemented by easy steering

    which is simple to operate. Operators have an

    optimum view of the area to be cleaned and of the

    operating panel thanks to the seating position at

    the centre of the machine. A real handy feature

    is that the operator can mount the machine fromboth sides, Etienne explains.

    Saving waterThe D 750 also has a clearly laid-out control

    panel and all operational controls are in direct

    Cleaning your warehouse just got a lot easier. Locally a few

    brands have traditionally dominated the cleaning industry.

    But with a new kid on the block, the industry might just be

    in for a change.

    COVER STORY

    A real handy feature is that the operator

    can mount the machine from both sides

    Supply Chain Today talks to Etienne Lotz,

    the new national sales manager for Hako

    on his views for the future.

    Shopping rightEtienne begins by talking about their flagship

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    6/36 Supply Chain Today Jan 2010

    view and reach of the operator. The machine will

    adapt to the dirt at the push of a button and the

    Hako-Aqua-Control-System gives a 50% saving

    on water and cleaning agents.

    The machine has mountings and a storage area

    for any cleaning utensils to be transported and

    dosable outlet valves for quick, clean tank empty-

    ing. It is highly manoeuvrable with a turning circle

    of only 169 cm in aisles which is made possible

    due to rear turning, special squeegee kinematics

    and front wheel drive with 90 steering angle in

    both directions.

    The large volume tank makes it possible to work

    for long periods and the large opening facilitates

    easy cleaning. There is also a choice of four brush

    systems, for example, plate or cylindrical brushes

    to ensure that the machine can be adapted to

    suit the specific application conditions.

    Although we have a broad spectrum of machines,

    these are the best for South African warehousesas they are big and robust. Because we have such

    an extensive range there are machines for every

    application, but we are focusing on warehouses

    at the moment, says Etienne. In support, at

    Shoprite we have a technician on site to make

    sure that if anything goes wrong it can be fixed

    immediately.

    Growing the footprintMoving onto some of their other projects, Etienne

    says that they have some machines working at

    Spar but that their next step is to build a na-

    tional footprint. I am focusing on getting some

    distributors on board who will not only be able toservice the machines but can put us in contact

    with further companies who require our product.

    This will build our national footprint and give us

    the ability to penetrate the market, he adds.

    We have already identified a few of the big names

    and are in negotiations with them to come on

    board in the first quarter of this year.

    We ask Etienne about the brands potential and

    he stresses that because the brand is so suc-

    cessful in Europe and the rest of the world, they

    will be growing rapidly. You need to have the

    right vision backed by a dynamic marketing planto grow brand awareness locally. Our growth is

    steady but I would like to see it become a force

    to be reckoned with very soon.

    About the manTo conclude Etienne tells us a bit about himself.

    I have worked in the retail industry for the past

    26 years. I am a driver and like a bit of a chal-

    lenge. My focus has always been on sales and I

    think that we are on the right track with Hako.

    Just watch this space.

    Etienne Lotz, National Sales Manager, Hako, Tel: (011)

    552-8716, E-mail: [email protected]

    These are the best for South African

    warehouses as they are big and robust

    COVER STORY

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    7/36Supply Chain Today Jan 2010

    We visit Andrew Fos-

    brook at Proscan

    to talk about the

    industry and what

    theyve been up to.

    Mobile computingAndrew kicks off by telling us a

    bit about the new trends in the

    industry. Ive just come back

    from a meeting with one of my

    suppliers in London and we are

    seeing a lot of exciting things

    happening in our industry from

    a mobile computer perspective.

    Enterprises are looking at ways

    to extend the enterprise into the

    field and one of the terms they are

    using is move the front door of the

    enterprise to the customer.

    They do not want the worker going out into the

    field without adequate information and all the

    tools such as e-mail, stock enquiries to invoic-

    ing and placing orders. One of the big drivers is

    wireless technology. There is an increasing

    culture of mobility which is coming from

    the next generation. They expect to be con-

    nected, he adds

    Companies

    are lookingat a mobile

    computing

    n e t w o r k

    that can

    give them

    BARCODING, LABELLING, SCANNING & RFID

    Scanning Tomorrow

    Andrew Fosbrook, Group Managing

    Director of ProScan

    Ever get the feeling that your 10 year old knows more about technology than you do? You are not alone.

    Technology is growing at a rapid rate and when it comes to the barcoding, labelling and scanning industry,

    you have to keep your ears to the ground.

    all the answers rather than just being able to do

    one thing at a time. Its akin to an ERP solution

    which can do everything rather than just one

    function.

    Looking at VoiceAnother exciting trend is the increasing investment

    in Voice. To get a total return on investment,the technology is best used in the FMCG industry

    especially at the pickfaces, says Andrew.

    When demand for these systems star ted picking

    up, we went out and did some research. Because

    Ive been in the barcoding industry most of my life,

    I looked at it from this angle and initially quite

    a few things just did not add up. But typical of

    the technology field, the more research you do,

    the more you realise just how powerful it really

    is. At this stage, Vocollect is the system used by

    most of the big retailers and they have an 80%

    market share worldwide in what they call voice

    directed work, he adds.

    A bit of researchWhile doing the research we found that voice

    enables the worker to perform a task three times

    faster than your normal handheld scanner. The

    accuracy is greater because with voice you never

    take your eyes off the pickface as oppose to the

    handheld scanner where you have to look down at

    the screen and look up again. This is where most

    of the problems come in. Many of the pickfaces

    are very highly stocked and if you look down for

    a second, the chances that you might look up

    at something different are very real. This meansthat you will pick the wrong product perfectly,

    says Andrew.

    With voice, you have speed and your hands

    are free so you can pick the product as soon as

    the computer gives you the go ahead. Where

    the traditional handheld is used, the worker has

    to put it down which takes time. When we talk

    about Auto ID now, we are not only thinking about

    barcodes anymore, but I do not think that the one

    will substitute the other - they will complement

    each other, Andrew adds.

    Building on labellingWe move on to talk about the barcode side of the

    business and Andrew is very adamant when he

    discusses the GS1 regulations. Another part of

    the business where we have seen some growth is

    If you look down for a second, the chances that you

    might look up at something different

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    BARCODING, LABELLING, SCANNING & RFID

    on the labelling side. We do a lot of work for Mr

    Price and Tiger brands where we supply every-

    thing from the blank label to a fully printed one.

    With GS1 regulations in place, retailers are now

    starting to enforce these regulations and suppliers

    need to make sure that every label that

    goes out the door is good and adheres to

    these standards, adds Andrew.

    Recently we have developed and sold entire

    solutions that will get information about

    the product that is being manufactured,

    print the correct label with the barcode,

    and as the product comes through the

    production line, the label is stuck on and

    put through a scanner that makes sure

    that it is GS1 compliant. If the barcode

    is not up to standard, an alarm will go

    off and the problem can be rectified. The

    system also keeps a full audit of every

    label that was printed and scanned so

    that if anything goes wrong, the source

    of the problem can be identified.

    A good thingThe adherence to the GS1 regulations

    is a good thing seeing that in the rest of

    the world standards like these have been imple-

    mented and followed to a tee for a long time.

    Locally, although the standards have been here,

    they have not been implemented and followed

    closely, Andrew concludes.

    Andrew Fosbrook, managing director, Proscan, Tel: (011)

    397-3779, E-mail: [email protected]

    Another part of the business where we have seen some

    growth is on the labelling side

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    9/36Supply Chain Today Jan 2010

    Ron starts off by telling us that they consider

    themselves a solution factory rather than

    just a supplier. We have a design depart-

    ment made up of professional people who

    can solve all racking and shelving conundrums.

    When a customer comes to us with a problem

    in the warehouse or in the store, we can lay

    out a design that will suit his or her needs, he

    explains. The company offers complete turnkeyprojects including store design accompanied by

    CAD drawings, equipment supply and installation

    of large superstores internationally.

    On the Shelf

    Because we do anything from tills to heavy

    industrial racking for warehouses, theres not a

    lot we cant do. Our biggest clients are retailers

    like Shoprite, Pick&Pay, Cash and Carrys, Makro-

    type stores and the clothing industry. In addition,

    we cater for virtually all industries with racking,

    mezzanine flooring and cold room storage. What

    usually happens is that we will be commissioned

    to do a project and we handle everything fromstart to finish, he adds.

    Breaking evenWe ask about the economic downturn. Be-

    cause we are so well known in the industry

    and because we have worked with many of

    our clients for many years, our brand and

    our reputation has pulled us through. Weve

    seen our turnover go down slightly but as

    steel prices have also dropped, the situation

    is balanced out. Although growth has been

    pretty good over the last 12 years, 2009

    was about levelling out and breaking even,

    he adds.

    I do feel that this year is going to be a hard

    one for the industry in general but we, as a

    company, feel confident about 2010 despite

    more and more competitors entering the

    market.

    Says Ron, Some competitors on the racking

    side are branching into the shelving

    side of the business. But to be honest

    we are not very worried as we have agood name in the industry backed by

    a well-researched marketing plan.

    KKs product range includes eight

    gondola systems, three industrial rack-

    ing systems, mezzanine floors and a

    full range of display hooks, turnstiles,

    checkouts and other shop fixtures

    The company offers complete turnkey

    projects for retail, wholesale and indus-

    trial racking installations accompanied

    by CAD drawings.

    A bit of backgroundKK Engineering was established in

    1964 and to this day is a family-owned

    and managed business. The business

    was registered as a company in 1968

    KK Shelving supplies shelving to most of the big retailers. We visit Ron Stoltz at their Tulisa Park factory

    to hear how they go about their business.

    RACKING AND SHELVING

    I do feel that this year is going to be

    a hard one for the industry

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    10/3610 Supply Chain Today Jan 2010

    under the Storequip Group, explains Ron.

    To date, we have developed and manufactured

    approximately 5 000 different components and

    we continue to look at innovative new products.

    Storequip will focus on heavy duty gondola

    shelving systems as well as light to heavy duty

    industrial racking systems.

    Looking aheadThe group-owned premises are situ-

    ated in Tulisa Park and City Deep,

    Johannesburg, measuring approxi-

    mately 37 000 square metres with

    24 000 square metres under roof. The

    manufacturing plant features many com-

    puterised presses and bending machines,

    five inline rolling lines, six powder coat-

    ing lines, two electroplating plants and awell-equipped tool room.

    Ron concludes, We have always been

    very strong in the shelving industry but

    now we are looking at building the racking

    side. Judging by their past performance,

    we anticipate great things.

    Ron Stoltz, General manager, KK Shelving, Tel:

    (011) 724-1500, Fax: (011) 724-1510

    RACKING AND SHELVING

    and since the early 80s started trading as KK

    Display. In 2008, the trading name KK Display

    was changed to KK Shelving, and the newly-ac-

    quired factory in City Deep trades as Storequip,

    We have always been very strong in the shelving

    industry but now we are looking at building the racking

    side

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    11/36Supply Chain Today Jan 2010 11

    RACKING AND SHELVING

    Sizeable Installation

    Supply Chain Today speaks to Alan Moule,

    managing director for Dexion Cape Town

    to hear about some of their projects.

    Racking and shelving is not only growing locally but in the

    rest of Africa too. Being at the forefront of some of these

    projects is a feather in the cap for any company.

    But Alan is little tight lipped. All I can say is that

    we have just completed a sizeable installation in

    Botswana and we are now busy with a very large

    contract in Angola, he says. Alan tells us that

    they do a lot of work across the borders. There

    is much scope for racking and shelving in Africa

    and we are pleased to be able to be involved in

    some big projects.

    Warehousing is our main line of work,

    and our manufacturing facilities are main-

    lybased in Gauteng, with some in KZN.

    Everything is manufactured from Mittal

    steel, Alan explains.

    Like most things, warehousing also fol-

    lows trends and has its own flavour of

    the month. First there was a swing from

    extreme simplicity right through to extreme

    complexity. Now there is a distinct shift

    back to the more simple side of things.

    People are going back to basics, hesays.

    Its all in the headDiscussing the economy, Alan says that

    there certainly has been an impact. There

    is no doubt we have been affected by the

    economic downturn. This has seen some

    companies go under, but it could have been

    a lot worse. My personal feeling about

    the economy is that these things are to a

    large extent self-perpetuating myths. We

    fall prey to the propaganda and then we

    start acting accordingly. The situation is

    created by believing everything we hear

    and talking ourselves into panicked over-

    reaction.

    I attended a talk on the subject by one of

    the countrys best respected economists

    shortly before the recession was formally

    given that title, and the presenter said

    that now is not the time to pull back the

    horns and stop spending money. Rather

    government should be slashing interest

    rates drastically and encouraging compa-

    nies (and individuals) to actually spend

    more to get the economy back on its feetagain, says Alan.

    PanickingMany companies panic, stop spending,

    retrench staff and close down facilities.

    Many companies panic, stop spending,

    retrench staff and close down facilities

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    RACKING AND SHELVING

    Often this entails companies coming to

    us for advice on how to manage their stor-

    age and how to make sure their systems

    are safe, although I feel that this does

    not happen often enough. Fortunately,companies now have the time to stand

    back and critically look at their racking

    and shelving.

    We ask Alan if they are seeing more re-

    pairs and refurbishment rather than the

    buying of new installations? I think that

    its inevitable at this stage. Repairs and

    refurbishments are taking off especially

    from a safety point of view, he says.

    ProductsMoving on to their products Alan elaborates,

    We have a complete range of productsincluding all forms of racking, steel shelving,

    mobile shelving, conveyor systems, mezzanine

    floors, filing boxes, small part bins as well as

    a complete advisory and system design service

    incorporating the latest CAD technology.

    But we dont stop at supplying product alone.

    A growing part of our business is the full rack-

    ing inspection service we offer on a six-monthly

    basis or more often if necessary. The inspection

    includes a full audit on the storage system, a

    detailed report and recommendations on damage

    prevention, he adds.

    The brands reputation is supported by customised

    training of our people, the latest design tools, ac-

    tive research and development, rigorous product

    testing, and af ter-sales-service. We understand

    that we need to be smarter in the way that we

    work with our customers, smarter in the solutions

    that we provide, and strategically smart to stay

    ahead of the competition, says Alan.

    BackgroundDexion is a very well known brand in the racking

    and shelving industry which started in Britain

    back in the fifties. The company came to South

    Africa in the sixties centred mainly in the KZNregion. Dexion Cape Town started as a licensed

    manufacturer for the Dexion range about five years

    ago and since then has spread out to service the

    rest of the country, says Alan. With the head

    office based in Cape Town, our network provides

    support to customers on a national basis. With

    a lot of international experience in materials

    handling and storage systems, we have the all

    the expertise required, Alan concludes.

    Alan Moule, Dexion Storage Centre, Tel: (021) 552-0220,

    E-mail: [email protected]

    This is a very short sighted approach. Success-

    ful companies look at the bigger picture and

    have used this time to re-evaluate their systems

    and facilities. Leaner and meaner, it means that

    when the time comes, they will be so much bet-

    ter equipped to take advantage of the inevitable

    turn-around, he adds.

    Often this entails companies coming to us for advice on

    how to manage their storage

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    13/36Supply Chain Today Jan 2010 1

    The association has also announced that

    it has secured the principal sponsor for

    the 2010 annual Sapics Conference; BTS

    SA, the principal sponsor of this years

    annual conference, which defied the economic

    downturn by attracting near record attendance,

    has confirmed its principal sponsorship.

    Comments Sapics president Reuben Badana, Itsbeen a difficult year all

    round, but Sapics has

    risen to the challenges,

    and hosted not one,

    but three exceptional

    conferences. The sec-

    ond-highest attendance

    number ever, a high

    delegate profile, an

    outstanding exhibition

    and strong sponsorship

    support marked the 31st

    annual Sapics Confer-ence and Exhibition at

    Sun City earlier last

    year, he notes.

    Getting a tasteThen, for those whose

    budgets may not have

    allowed them to at-

    On a High NoteFollowing its two successful Summer Conferences in Cape Town and Durban, as well as other events that

    included an enlightening site visit to the SA Post Office and a well-supported Charity Golf Day, Sapics (The

    Association for Operations Management of Southern Africa) reports that it is wrapped up 2009 on a high note.

    tend the annual Sapics Conference, our regional

    Summer conferences offered a great chance

    for them to get a taste of what has made the

    Sapics Conference and Exhibition Africas leading

    education and networking event for the supply

    chain profession, he adds.

    The Summer Conferences that were held towards

    the end of last year in Durban and Cape Town

    were a great success, he reports, and were

    marked by excellent sponsor support and out-

    standing presentations. Included in the line-up

    were Introduction To... sessions on operations

    management tools such as lean management,

    forecasting, procurement and supply, the theory

    of constraints and the Scor Model.

    The exceptional programme also included renowned

    presenters like business author, leadership and

    strategy consultant Ian Mann, who consults to

    companies in 14 countries. He is the author

    of the bestselling book Managing with Intent,

    and he appears regularly on radio and writes

    a weekly column in a leading national Sunday

    newspaper.

    Dinesh Kumar, manager at Deloitte Consulting,

    shared two presentations which were

    very well-received by delegates at both

    conferences. He addressed the topic

    of supply chain risks in developing

    countries like India and South Africain one presentation, while his second

    presentation, a case study, was entitled

    Harness Costs for Agile Supply Chains

    by Integrated Designs.

    Resounding successThe annual Sapics Golf Day, held re-

    cently at the Glenvista Country Club,

    South of Johannesburg, raised funds

    and awareness for Soweto-based AIDS

    ministry, Ikageng Itireleng. Says Reuben,

    The event was a resounding success.

    It attracted 92 entries, with Sapics

    members and associates all eager totee off for this very wor thy cause.

    Jenny Froome, SAPICS, Tel: (011) 805-5677,

    E-mail: [email protected], Website: www.

    sapics.org.za

    SAPICS

    Two presentations which were very well-

    received by delegates at bothconferences

    Reuben Badana, Sapics president

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    Market Forum

    Longevity and reliabilityThe reliability and longevity of Volvo

    trucks in the Fruit Spot transport opera-

    tion has been proven over the last twelve

    years since the brand was first introduced

    into their fleet for long distance haulage

    requirements. Now the company plans

    to run the vehicles to higher mileages

    as they continue to deliver cost effective

    performances.

    The Fruit Spot is a bulk fresh fruit and

    vegetable supplier owned by the Ferreira

    brothers. The Head Office warehouse has

    recently been developed and expanded

    from 4 000m to 10 000m to service

    this growing business. It is strategically

    located just off the M1 in Marlboro, Jo-

    hannesburg.

    Previously we would trade-in our Volvos ataround 600 000 kms, says Lino Ferreira,

    and everyone wanted them because they

    had a full service history and were in such good

    condition. With a business that transports 400 tons of

    fruit and vegetables countrywide and covers around 10 000

    kms each day, the Fruit Spot fleet of vehicles offload and

    load goods in towns like Messina in the nor th, Malelane in

    the south east and Kakamas in the west of South Africa.

    Brother, Johnny Ferreira organises the loads back from the

    farmers so that the vehicles do not return empty.

    Now we plan to run the Volvos a lot longer and we are

    The desired

    volumeA locally-designed

    and manufactured

    cargo securing and

    protection bag infla-

    tor has scooped a top

    accolade in the South

    African Bureau of Standards (SABS)

    Design Excellence Awards.

    The Stopak Jumbo Inflator, conceived

    and patented by Stopak and designed

    by Cape Town product development

    consultancy XYZ, won a design ex-

    cellence award in the 40th year of this

    prestigious annual competition.

    The device features an ambient air in-take and digital pressure control system

    and has sea, road and rail applications.

    The judging panel commented it was a

    well resolved concept both technically

    and from an industrial design point of

    view.

    The product is used to inflate dunnage

    bags, which are typically used to fill

    spaces between merchandise packed into

    containers, trucks and ships holds. The

    bags prevent the merchandise from shifting

    and being damaged during transit.

    Dunnage bags are typically inflated with a standard

    hose and inflator, and the pressure to which the bags

    are inflated is determined by the operator, says Byron

    Qually, design director of XYZ. In many cases, the bags

    are over-inflated and they crush the merchandise or bow

    out the sides of the container. In the latter case, once

    the containers are placed side by side on the ship, the

    bowed sides are pushed back in, again crushing the

    merchandise.

    We designed the inflator to prevent these problems by

    providing a digital readout of filling pressures, and an au-

    tomatic shut-off when the desired volume

    is achieved, Byron concludes.

    XYZ, MD Roelf Mulder / Design Director

    Byron Qually Tel: (021) 421-7236, Bester

    Pansegrouw, Stopak (021) 703-9393

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    Market Forum

    Service is keyIf the customer is king then service is key. The world of

    labelling and coding is no exception, especially when iden-

    tifying a ser vice provider. Pyrotec PackMark, a localcompany that was selected by Markem-Imaje as sole

    distributing partner recently, has built a reputation for

    world-class service and support in South Africa. As

    the sole provider of some of the best machines that

    Europe, UK and USA have to offer, Pyrotec offers a

    full line of continuous inkjet, thermal transfer, laser,

    hot-melt inkjet and print and apply labelling systems.

    Managing director of Pyrotec, Rowan Beattie, says

    that it is the progressive customer support systems

    that Pyrotec offers that has cemented the companys

    reputation for superior quality.

    One call to Pyrotecs 24/7 Cape based help desk,

    provides customers with access to multiple levels ofexpert support. Customers immediately interface with

    trained Markem-Imaje system field engineers. If needs

    be, the challenge is escalated to Markem-Imajes

    Indirect Distribution EMEA Technical Support based

    in Netherlands to provide customers with access to

    the creators. Yet another tier of support is provided at

    the highest level of expertise via the Global Distribu-

    tion Support network which is provided by teams in

    France, Sweden, the UK and USA.

    Not that customers are involved in this process. 40

    years of experience has taught us to make it as easy

    for the client as possible, to deliver on our promises

    and to exceed expectation. It takes one phone call or

    email from a client for us to deliver a world of sup-

    port, concludes Rowan.

    Visit www.pyrotec.co.za for further information or call Tel:

    (021) 787-9611.

    Every applicationManitou supplies a comprehensive range of gas, dieseland electric forklifts which enhance safety and optimise

    productivity. From warehousing to logistics, the company

    has a reliable forklift solution ideally suited to each in-

    dustrial application.

    Manitou forklifts are extremely manoeuvrable and have been

    developed for safe, fast operation to provide consistently

    productive work cycles. The machines are technologically

    advanced and incorporate safety features which protect

    both the load and the operator. Manitou forklifts are stable

    and ensure maximum reliability, as a result of extensive

    sure we can operate them effectively up to 1,2 million

    kilometres. One of our vehicles is currently on 800 000

    kilometres and the engine has not even been touched.

    One driver is allocated to each unit and the vehicles are

    checked and documented for any body damage or defectas they depart and return to the yard.

    For further information, please contact Helen Calvert, Public Relations

    Consultant to Volvo (Southern Africa) (Pty) Ltd, Tel: (011) 445-2251,

    or (011) 445-2252. E-mail: [email protected]

    research and development conducted by the company.

    The ergonomic design used in these forklifts reduces

    operator fatigue and as a result, improves productivity.

    The forklifts also feature excellent forward view for safe

    operation.

    The companys electric forklifts are available in both

    three-wheel and four-wheel configurations. Three-wheel

    forklifts are rated for maximum load capacities from 1.5

    to 2 tons, while four-wheel forklifts are rated for maximum

    load capacities from 2.5 to 3 tons.

    Diesel and gas forklifts supplied by Manitou are both

    environmentally friendly and powerful. The machines are

    suitable for both indoor and outdoor applications. The

    diesel range is rated for load capacities of 1 to 3 tons.

    The companys diesel range is rated for load capacities

    of 1.8 to 10 tons.

    Manitou, Tollfree: 080-626-4868, Fax: (011) 975-4646, Email: mani-

    [email protected], Website: www.manitou.co.za

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    Market Forum

    Major dealIt was announced in early November last year, that Volk-

    swagen South Africa (VWSA) has secured a major world-

    wide right-hand drive

    export deal for the new

    VW Polo worth about

    R27 billion over the next

    six years. Schnellecke

    SA (Pty) Ltd, which was

    founded in 1995 is thelogistics service provider

    for VWSA.

    Linde Material Handling

    recently began the process

    of delivering a new fleet

    of H18D, 1.8 ton diesel

    forklifts to Schnellecke,

    coinciding with the VWSA

    export contract. Due to

    the urgency of this require-

    ment, brought on by the

    demand for the new Polo,

    Linde sourced Short TermRental Units as an interim

    measure until such time

    as the new fleet arrived.

    Delivery of this new fleet

    was completed by end January, 2010.

    As the largest supplier to partner Schnellecke, Linde

    are proud of their 13 year long association. Shnel-

    lecke have a fleet of over 200 Linde forklifts which

    are backed up by a fully fledged on-site workshop.

    The trucks range from 1.0 ton electric to 16 ton

    diesel forklifts.

    Linki de Jongh-Brown, PR and Marketing Manager, Linde

    Material Handling (Pty) Ltd, Tel: (011) 723-7000, Fax: (011)

    574-1988, Website: www.linde-mh.co.za

    Fleet additionCourier company, TNT Express, has recently taken

    delivery of 12 Mercedes-Benz Sprinter 309 CDI panel

    vans to add to their extensive fleet. TNT has been

    in operation since 1975 and forms part of a global

    network spanning over 200 countries and delivering

    over 3,6 million consignments a week.

    It is pleasing that a reputable company with as

    much experience in the express courier service is

    partnering with Mercedes-Benz Vans, says Nicolai

    Berger, divisional manager, Mercedes-Benz Vans.

    The Sprinter model range is renowned for superiorhandling, safety, load-securing and fuel efficiency.

    With the Adaptive ESP 8.1 system and its outstanding

    braking systems, such as ABS, EBV, BAS and ASR as

    standard features, these vehicles set the benchmark

    in terms of safety. The maneuverability and low interior

    noise levels of the Sprinter is also a determining factor

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    Market Forum

    Radical benefitsWorldwide, Goodyears innovative breakthroughs in the

    development of truck tyre technology have been hailed as

    nothing less than revolutionary and they were launched

    to an eager South African truck market in November.

    Known generically as Max Technology, the new family of

    exciting long haul and regional haul steer and drive truck

    tyre products comprises Fuel Max and KMax, along with

    the added technological boon: Duraseal. Each provides

    Goodyears latest generation of commercial vehicle tyres

    with enhanced performance, resulting in significant cus-tomer and environmental benefits.

    Goodyear Product and Sales Manager Truck, Vernon Slack,

    for many of our customers, adds Nicola.

    Mercedes-Benz provides a two-year/unlimited km factory

    warranty as well as 12 years/unlimited km corrosion war-

    ranty on all NCV3 Sprinter models. Service intervals of

    up to 30 000km can be achieved, thanks to the Assyst

    service reminder computer, which considers factors such

    as the use of synthetic oil and 50ppm ultra low sulphur

    diesel, which is available at most stations nationwide.

    These service intervals bring down the running costs

    considerably.

    Shirle Greig, Tel: (012) 677-1904, Fax: (012) 677-1682, Email: shirle.

    [email protected], Website: www.mercedes-benzsa.co.za

    explained that the magic key to the dramatically improved

    performance resulting from Max Technology is really quite

    simple, the revolutionary engineering features combined

    in Max Technology give Goodyear truck tyres a lower

    rolling resistance. The tyre with lower rolling resistancerequires less energy to propel it and consequently uses

    less fuel. Less fuel means lower overall operating costs

    and a reduced impact on the environment.

    Fuelmax is used in Goodyears long haul range of Marathon

    LHS II (long haul steer) and LHD II (long hau l drive) truck

    tyres. Its application-specific design (including dedicated

    tread patterns and optimised contour geometry) results in

    low rolling resistance as well as outstanding wet traction

    and braking characteristics.

    Kmax technology is applied in Goodyears Regional RHS

    II (regional haul steer) and Regional RHD II (regional haul

    drive) tyre range. This range recognises that vehicles work-ing on regional operations, where more urban stop-start

    driving and lower speeds are incurred, require tyres with

    different characteristics.

    Another exciting Goodyear-patented feature of the Max

    Technology family, Duraseal enables punctured Goodyear

    truck tyres to repair themselves - literally. Driving can con-

    tinue after the tread is punctured and the tyre can remain

    in service until it is retreaded. Customers using Duraseal

    tyres have been amazed at the punishment they will take

    as many as 50 punctures without loss of inflation and

    the huge reduction in vehicle downtime compared with

    conventional tyres.

    Lize Hayward, Group Public Relations Manager, Goodyear Tyre &

    Rubber Holdings (Pty) Ltd, Tel: (041) 505-5400, Fax: 086-614-0368,

    Email: [email protected]

    Upcoming features

    March : Racking and shelving

    Cleaning equipment for

    warehouses

    Focus on government

    April : Barcoding, Labelling,

    Scanning & RFID

    Forklifts

    Focus on food and beverage

    May : Materials handling in the

    motor industry

    Racking and shelving

    Focus on the mining industry

    Contact Surita Marx onTel: (011) 781-1401,

    Email: [email protected],

    Website: www.promech.co.za

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    T

    he outsourcing model offers access

    to skills, resources and ex-

    perience that would not

    otherwise be availableto many organisations because

    of the financial outlay that

    is required in building these

    specialised proficiencies

    in-house.

    However, ne-

    gotiating the

    minefield of

    outsourc-

    ing pro-

    viders and

    outsourced

    o f f e r i n g s ,and select-

    ing the one

    that will work

    best with your

    organisation, can

    be challenging.

    Top 10 Tips

    OUTSOURCING 3PL/4PL

    Outsourcing is gaining popularity, largely due to its ef fective

    pay as you go model. This is especially appealing in light of

    the current global economic downturn with ICT managers hav-

    ing to keep tight control of their budgets.

    Taking certain key criteria into consideration

    when assessing an outsourced service can be

    advantageous. These include a review of the

    following:

    Appropriately skilled technical staffOne of the fundamentals in selecting your out-

    sourced partner is to ensure that all technical

    staff are appropriately certified according to their

    level of experience and position. For example,

    when outsourcing a relational database

    or Operating System (OS) compo-

    nent of the business, varied levels

    of skills are required.

    A trainee engineer may not have

    obtained vendor certification but

    it is expected that Senior and

    Principal Consultants will

    have these certifica-

    tions. Outsourcing

    to a partner with

    a varied lev-

    el of staffing

    that can be

    matched to

    the appropri-ate task, en-

    sures that your

    business has ac-

    cess to skil led

    staff without a

    significant capital

    outlay.

    This also provides peace ofmind as you can rest assured

    that the staff working on your

    project are competent.

    Multi-platform and operat-

    ing system supportNot all businesses use the

    same operating systems (OS),

    and multiple types of OS are

    often used simultaneously. It is

    therefore important for an out-

    sourced partner to have a good

    working knowledge of multipleOS, including the variety of

    Unix variants, Windows and

    the various versions of Linux,

    including Red Hat, Susi and

    Unbreakable Linux.

    A trainee engineer may

    not have obtained vendor

    certification

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    If working in a database environment for example,

    it is necessary for the outsourced partner to be

    knowledgeable regarding the different types of

    relational databases including Oracle, DB2, Sybase,

    SQL and MySQL. The benefit of the outsourcedcompany having a broader knowledge base is

    that it can significantly reduce implementation

    time and support various platforms.

    Pre-define the servicesService Level Agreements (SLAs) are fairly standard,

    and you should insist on one that includes clearly

    laid out details, such as mean-time-to-respond,

    mean-time-to-repair and escalation procedures

    all the way to the top level.

    This should be combined with an Operations

    Level Agreement (OLA) a contract that specifies

    how the SLA is executed; something which is

    often not included as a standard procedure. This

    should be done before engagement between the

    client and the outsourcer. Clear roles of respon-

    sibility should be established and measurables

    put in place.

    In addition, rates for work required over and above

    the scope of the contract should be agreed upon

    scaling from Junior Engineers up to Principal

    Consultants, depending on the level of expertiserequired. This eliminates nasty surprises down

    the line and prevents your outsource partner from

    holding you to ransom at a future date.

    Pro-active monitoring and alerting toolsIndustry standard tools are often recommended

    with relational database or OS outsource con-

    tracts, but they usually come with a hefty price

    tag which is transferred onto the client.

    During times when budgets are lean, an in-house

    developed solution offered as part of the entire

    package (a value-add), can deliver the same basic

    functionality of industry standard tools without

    the severe dent to your budget.

    However it is important to bear in mind that a

    simple monitoring tool might not feature the same

    bells and whistles as an industry standard tool

    such as a sophisticated graphical user interface

    (GUI).

    Industry standards and best practicesThe implementation process should be stan-

    dardised and clearly defined from the beginning.

    This forms part of the value-add consulting

    service that an outsourced partner should pro-

    vide. In fact, advising the client of what mustbe standardised, implementation Best Practices

    and the benefits thereof, is often regarded as a

    critical mini-project.

    As different industries have different Best Practice

    standards, it is important for your outsourcer to

    have a broad knowledge, base from which to work.

    Best Practice is not a one size fits all solution,

    and service delivery must be tailored to suit the

    needs of the client and their indust ry, using Best

    Practice and Industry Standards that comply with

    ITIL and ISO9000 standards.

    Service level managementYour outsourced partner should include a Service

    Delivery Manager to monitor the service deliv-

    ery of the project as well as the quality thereof.

    This role or resource is mutually beneficial, as

    the outsourcer can feed this information into its

    CRM system and, from the customers point of

    view, grievances can be raised and escalated

    during implementation so they

    can be quickly and painlessly

    dealt with.

    A good outsource partner will

    conduct Service-Surveys with

    the customer on a regular basis

    to establish service levels and

    customer satisfaction. This

    allows the outsourced partner

    to monitor and improve their

    service and be aware of future

    project requirements.

    Regular management

    meetingsRegular on-site management

    meetings will allow the out-

    sourced partner to communicate

    the progress and completionof project milestones or sim-

    ply let the customer know, in

    person, exactly how things are

    progressing.

    OUTSOURCING 3PL/4PL

    This eliminates nasty surprises down the line and

    prevents your outsource partner from holding you to

    ransom at a future date

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    This creates a feedback loop and ensures that by

    the time the contract/project nears completion,

    both parties are one hundred percent happy with

    the work done. It also fosters open communica-

    tion lines between the outsourced partner andclient which results in trust.

    Strategic partnerships with software

    vendorsMake sure your outsourcer has strategic par tner-

    ships with relevant software vendors. This en-

    sures that the company remains up to date with

    all of the latest developments in the particular

    technology related to the project or for purposes

    of ongoing contractual support.

    In addition, the organisation can benefit from the

    preferential pricing that vendors usually offer their

    partners. Another benefit is the regular training(at preferential rates) that such partnerships offer,

    including access to the latest versions of software,

    information, developments, conferences etc.

    Comprehensive documentationThe client must insist on comprehensive documen-

    tation of everything that pertains to the project

    or ongoing support. This knowledge base deliv-

    ers transparency into the project so that if a key

    employee is away on annual or sick leave, they

    can be replaced with minimum disruption.

    In addition, this knowledge base allows the

    customer to continue on their own (if required)once the project is complete, while having full

    access to implementation details and issues. It

    also allows the organisation to switch to another

    outsourced partner if it is unhappy with any stage

    of the implementation.

    The new partner can pick up where the previous

    one left off relatively easily and quickly

    identify the daily, weekly and monthly

    tasks associated with the contract. This

    documentat ion must be compiled inline

    with ITIL and ISO9000 standards and

    be reviewed on a quarterly basis and

    should form part of the SLA.

    Achieving a significant ROIWhile engaging an outsourced partner

    involves a cost, your partner should

    deliver benefits to your organisation

    that outweigh this charge, saving you

    money in the long-term and deliver-

    ing a significant Return on Investment

    (ROI).

    For example, if an organisation experi-

    ences downtime that costs the company

    R1m, the outsourced organisation

    could provide a service that minimisesor completely eliminates downtime at

    the cost of R600 000, paying for the

    exercise and further improving the

    bottom line.

    Great benefitsOutsourcing can be of great benefit during times

    when budgets are more important than ever. If

    you pick an unsuitable partner you could end

    up throwing your money away without realisingthe true benefits of outsourcing ICT. But if your

    partner is the right fit for your organisation, you

    will gain access to a wealth of skills on demand

    at a significantly lower cost of hiring them in-

    house with SLAs and OLAs that stipulate service

    levels while eliminating the associated costs of

    additional head count.

    Ensure success

    When selecting an outsourced partner, ensure theyhave a strong client base and good track-record

    in retaining annuity contracts for a minimum of

    five years. In addition, obtain contact details from

    the outsourced company for annuity contract

    and project references that have well-defined

    objectives and goals.

    Establishing the ability of the outsourcer to listen,

    understand and collaboratively work on defining

    metrics, goes a long way towards minimising mis-

    understandings before any contracts are signed.

    It is vital to select one that brings value to your

    organisation, and delivers on all of the service

    promises it makes.

    Mark Robinson, Service Delivery Manager, RDB Consult-

    ing, Tel: (011) 807-7663, Email: mark@rdbconsulting.

    com

    OUTSOURCING 3PL/4PL

    If you pick an unsuitable partner you could end up

    throwing your money away

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    OUTSOURCING 3PL/4PL

    T

    he 3PL/4PL is not in the busi-

    ness of executing tasks in con-

    formance with processes either

    that is the task of a rangeof transport, warehousing and other

    providers. Instead, the outsourcers

    value is to manage processes on the

    customers behalf, in doing so taking

    a non-core administrative overhead

    off their shoulders.

    Secondly, it leaves the customer in

    full control of their shipment through-

    out the supply chain, providing a

    real-time window into the cargos

    whereabouts and the costs incurred.

    Finally, the outsourced provider ex-

    pedites trouble-free logistics through

    Guidingyour ShipmentOutsourcing logistics does not mean changing a customers

    supply chain processes. It means handing control over them to

    an outsourced (third- or fourth-party) managed logistics

    provider.

    excellent relationships with customs and ports

    authorities around the world.

    Good vs bad outsourcingOutsourcing your import or export logistics is

    often blithely talked about as a good way to get

    rid of cumbersome non-core processes and save

    money in the process.

    But outsourcing only adds value when it improves

    service levels and greatly reduces costs. And

    achieving that is only possible when the outsourced

    logistics provider has a complete understanding

    of the customers processes and offers a servicethat supports the customers business goals.

    So says Clifford Blackburn, CEO of Transport

    Shinaji International (TSI), a global logistics

    management provider.

    Dont fix processes that workAll outsourcing is not equal, he adds. Some

    outsourcers try to force-fit their logistics model

    onto customer processes in a one-size-fits-all

    approach. That is neither necessary nor very

    desirable.

    Clifford explains that outsourcing does not mean

    altering customer processes if they already servebusiness goals well. It merely means passing

    control over those processes to the outsource

    provider, while staying in full control of your own

    supply chain.

    He says control comes from giving customers

    deep, live insight into their shipments. Having

    Some outsourcers try to force-fit their logistics

    model onto customer processes in a

    one-size-fits-all approach

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    OUTSOURCING 3PL/4PL

    that insight allows customers to guide their ship-

    ment and hold a service provider accountable

    with complete certainty.

    Manage processes, not tasksIf needlessly tweaking customer processes im-

    plies a mistaken view of outsourcing, then so

    is the assumption that outsourcing means the

    outsourcer must execute all tasks in the supply

    chain (such as storage, warehousing, transport

    and so on).

    Clifford says even large, experienced logistics

    companies make this mistake. The role of an

    outsourcer is, in fact, to manage a process or

    batch of processes, he adds. That is why it

    is so important for outsourcers to stick to their

    knitting, which is to manage the overall process,

    and to leave the individual tasks to specialist

    providers.

    Clear the pathHe says good outsource providers offer a third

    value proposition their excellent working relation-

    ships with port authorities and customs officials,

    built up over years, often expedite shipments

    movement along the supply chain.

    Everything an outsourcer does must be in the

    interests of getting the shipment to its destination

    in the shortest possible time and at the lowest

    possible cost. Outsourcers must ensure optimally

    efficient logistics by managing process flows.

    Combining effor tHow does an outsourcer achieve the

    level of insight that Clifford refers to? He

    says it is a feat made possible through

    a combination of systems integration,

    human effort and solid relationships

    in the industry.

    Decades of experience in logistics

    convinced me of the need for a system

    that integrates multiple enterprises

    shipping companies, ports authority,

    transporters and all the others involved

    in shipping.Quick actionThus TSI developed the Operations

    Control Centre. Installed at customer

    premises it gives detailed, real-time

    reports tracking shipments throughout

    the supply chain, and alerting customers

    to exceptions. Based on this, custom-

    ers can act before charges are incurred

    and hold providers accountable.

    As a result of our system, our customers

    have seen service improvement, and

    have been able to focus on their core

    competencies as well as better manage-

    ment and utilisation of their inventory

    and staff, concludes Clifford.

    www.shinaji.com

    So important for outsourcers to stick to their knitting

    To book your advertising space,

    please phone:

    Surita Marx,Tel: (011) 781-1401,

    Fax: (011) 781-1403 orE-mail:

    [email protected]

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    T

    his industry-led self-regulation scheme

    encourages operators on the road logis-

    tics value chain to implement a vehicle

    management system that preserves roadinfrastructure, improves road safety and increases

    productivity. It also supports the Department of

    Transports National Freight Logistics Strategy.

    Barloworld Logistics Jose da Silva, in his new

    position as project manager, says Toyotas feeder

    operation was granted permission in January last

    year to mount distinctive RTMS boards on the

    front of the Hino trucks used in this operation, for

    which Barloworld Logistics has had the contractfor almost five years.

    Certification is granted separately for each route

    and type of operation as well as the specific trucks

    and trailers being utilised. It is self-regulatory,

    but subject to monitoring by the authorities.

    All encompassingRTMSs mission is to provide a national manage-

    SpecialAccreditationThe Barloworld Logistics operation that handles the contract

    to deliver automotive components from suppliers in Gauteng

    to the Toyota SA manufacturing plant in Prospecton, near Dur-

    ban, is benefiting from its status as the first general freight

    carrier in South Africa to be awarded Road Transport Manage-

    ment System (RTMS) status. Previously this certification had

    been confined to transport operators in the sugar and timber

    industries.

    ment system, encompassing standards, auditors

    and manuals, as well as implementation sup-

    port in terms of information portals, recognition

    and technology transfer for heavy vehicle road

    transport to operators, consignees and consign-

    ors. It aims to focus on load optimisation, driver

    wellness, vehicle maintenance and productivity

    improvement.

    The industry also recognises that poor compli-

    ance to transport regulations creates an unfair

    competitive environment and it was decided that

    a strict self-regulatory system would be in the

    best interests of the countrys citizens and the

    industry itself.

    Ground-breaking initiativeA wide range of private, government and para-

    statal organisations participated in compiling

    this ground-breaking initiative. There is also a

    move to look at extending the RTMS to SADEC

    countries in the future.

    Da Silva says one of the benefits of the RTMS

    certification is that he can use the so-called

    Performance Based Standards Trailer Logistics

    (PBSTL) trailer, which is Australian derived. It

    allows the overall length of the horse and trailerto increase from 22m to 27m which will permit

    more payload (up from 56 tons to 65 tons) as

    well as extra load volume. He is having one of

    these trailers built by Afrit for a trial this year.

    These larger trailers will result in fewer vehicles

    being required to carry a given amount of cargo,

    with a saving in items such as fuel costs and

    toll fees.

    In his new position as proj-

    ect manager Jose da Silva,

    who has long and varied

    experience in the transport

    industry, will be looking at

    ways for Barloworld Logistics

    to become even more efficient

    and productive, with the big

    focus on removing any form of

    waste from the organisation.

    His quest will involve innova-

    tion, operational excellence,

    costs and tenders as well

    as looking for new business

    opportunities.

    Few technical problems

    The Barloworld Logistics fleetcurrently consists of about

    300 vehicles, consisting of

    several different makes of

    trucks. However, only Hino

    TRUCKING

    These larger trailers will result in fewer vehicles being

    required

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    trucks have been used on the Toyota component

    transport operation, although this was not a

    prerequisite from Toyota SA in the awarding of

    the contract.

    We are very happy with the performance we

    are getting from the Hino trucks, with very few

    technical problems and outstanding fuel economy.

    I believe our CO2 emissions have been cut by

    1.5-million kg. by using the Hinos compared withour previous trucks due to the savings in fuel,

    explains the project manager.

    Disciplined controlI must pay tribute to the excellent after

    sales service we receive from Hino East

    Rand (previously Pat Hinde Trucks) in

    Boksburg. We currently run our trucks for

    500 000km before replacing them, but

    they are performing so well, with low run-

    ning costs, that we are looking to extend

    this distance.

    We have now transported more than 11000 loads from Gauteng to Durban and

    have had only one serious accident in five

    years, which I attribute to our disciplined

    control of the fleet and our drivers through

    our sophisticated fleet management pro-

    grammes, concluded Da Silva.

    Barloworld Logistics, Tel: (011) 445-1600, Jos

    da Silva, Tel: (011) 445-1637, Website: www.

    barloworld-logistics.com

    TRUCKING

    I must pay tribute to the excellent after sales service we

    receive from Hino East Rand

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    N

    omusa Dlamini, Shell Lubricants

    marketing manager, explains that

    without ones fleet performing at its

    optimum, suppliers will not be able

    to consistently reach customers on time and ondemand. It is therefore important that supply

    chain managers proactively service and manage

    their fleet, ensuring trucks on the road can deliver

    on customer promise. The role of lubricants in

    this regard should not be overlooked as they

    impact significantly on costs and, ultimately, on

    maintaining a viable supply chain.

    By employing effective lubricant solutions, compa-

    nies can impact significantly on their bottom-line

    and subsequent profitability.

    While lubricant management is often performed

    in-house, supply chain managers of sizeable fleets

    should consider partnering with an established

    lubricants producer and supplier. Equipped with

    the technical know-how and expertise required

    to advise regarding suitable oil applications for

    a comprehensive fleet, they can assist managers

    Boosting Effectivenessto achieve strategic objectives through correctproduct selection and lubrication management.

    Reduced maintenanceHaving access to a complete line of lubricant

    solutions for example will not only ensure that

    managers benefit from the cost savings of buy-

    ing bulk, but impact on the overall lifespan and

    maintenance requirements of their fleet.

    Having a technical specialist on hand to help

    choose the right lubricant will ensure a fleet

    operates efficiently even in the toughest condi-

    tions, helping to extend maintenance intervals

    and avoid equipment breakdown. With vehicle

    downtime potentially the greatest threat to ones

    supply chain, engine durability is essential.

    As original equipment manufacturers (OEMs)

    develop modern, more powerful and more

    compact truck engines that require premium

    protection, greater demands are being placed on

    the efficacy of lubricants. With most transport

    operators having a combination of engines and

    models in their fleet, keeping operations simple

    While there are many factors that contribute to the

    seamless flow of the supply chain process, effective fleet

    management remains imperative.

    By employing effective lubricant

    solutions, companies can impactsignificantly on their bottom-line and

    subsequent profitability

    TRUCKING

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    can be a challenge. Where its possible to use one

    lubricant across a fleet of different vehicles (makes

    and ages) however, procedures can be significantly

    simplified by avoiding the need for an inventory of

    multiple products.

    Thirsty enginesOne of the unintended side-effects of the global

    tightening of emissions targets has been reduced

    fuel economy in many of the newer engine designs.

    OEMs have worked hard to minimise this impact

    (while also complying with reducing nitrogen oxide

    limits), but overall fuel economy has decreased in

    numerous modern engines.

    Supply chain managers must remain cognisant of

    this and find alternative ways of decreasing fuel

    consumption. When one considers that, on average,

    10% of fuel consumed by trucks is used to overcome

    mechanical friction, one soon realises that selection

    of the right lubricant provides a critical means of

    reducing both fuel consumption and costs.

    TRUCKING

    Having a technical specialist on hand to help

    choose the right lubricant will ensure a fleet

    operates efficiently

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    high drainage intervals and, when used as part of

    a suite of driveline oils, can reduce energy use

    by 5%, producing six tons less of carbon dioxideper truck per year. Across an entire fleet of trucks

    this can result in significant cost savings.

    Taking timeWhen it comes to making an already efficient

    supply chain fleet even more efficient, while ana-

    lysing routes or loading and delivery processes,

    supply chain managers should also review their

    suite of lubricant products. By taking more time

    to invest in the lubrication of their fleets engines,

    and partnering with a lubrication specialist, it

    may be far easier to cut costs and bolster delivery

    than previously anticipated.

    Website: www.shell.co.za

    That being said, supply chain managers should

    however note that while low-viscosity grade

    lubricants have inherently less friction and thusimprove fuel-ef ficiency, they can degrade quickly

    losing their fuel economy and protection benefits.

    Formulating a low-viscosity oil that remains stable

    is therefore a real challenge for most lubricant

    technicians.

    Shell Lubricants solution to this has been to

    develop synthetic low-viscosity grade oils. These

    save energy without compromising on oil life orengine protection. Some products additionally have

    Overall fuel economy has decreased in

    numerous modern engines

    TRUCKING

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    This prestigious award recognisespeople, projects and products

    that have gone above andbeyond the call of duty to

    enhance the environment in whichthey operate.

    The inaugural awards in 2009enjoyed a wonderful response

    from the supply chain communityand everything is on track to makethis years event one of the indus-trys most prestigious accolades.

    Come and see who walks awaywith the coveted trophies and

    enter your product or project forthis years event.

    Entries for this years event close inJune and the awards ceremony isbeing planned for 26 August 2010.

    GreenSupply

    ChainAwards

    Contact: Catherine Larkin on

    Tel: (011) 789-7327/787-9127,

    Cell: 083 300 0331, Fax: (011) 787-7865

    Email: [email protected]

    Are You

    DoingYourBit?

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    Market ForumMulti-channel futureHalfords, the UKs leading retailer for car parts, car

    enhancement, cycles and travel solutions, has chosen

    global supply chain optimisation provider, Manhattan

    Associates, Inc. as its technology partner to support itsfuture distribution network. Halfords will deploy a range

    of solution components from Manhattans Distribution

    Management suite, including Warehouse Management,

    Labour Management and Slotting Optimisation as well as

    its Supply Chain Intelligence solution, as the retailer seeks

    to build an optimised fulfilment capability to extend the

    success of its multi-channel retail operations.

    Halfords has already launched phase one of its strategy

    to consolidate and reconfigure its logistics infrastructure,

    which has resulted in the opening of a new national dis-

    tribution centre (NDC). The restructured network, which

    will comprise the NDC and an existing DC at Redditch,

    will serve Halfords network of almost 500 stores in the

    UK, Republic of Ireland and Central Europe, as well as

    handling customer orders received through its online

    store. Manhattans Distribution Management solutions

    will manage both distribution centres.

    Our optimised distribution infrastructure will improve

    service levels to our customers while providing trans-

    portation efficiencies and increasing productivity, says

    Tony Smollett, Head of Systems at Halfords. This revised

    distribution network needs to accommodate our growth

    ambitions across the business. We therefore needed a scal-

    able supply chain technology backbone that will reliably

    serve the new DC network and meet our cross-channelfulfilment requirements and allow us to introduce various

    flow-through techniques including cross-docking.

    We selected Manhattan based on our experience of work-

    ing with them previously, the ease of integration of their

    systems with our existing SAP enterprise resource planning

    platform and the flexibility of their solutions.

    John Bird, Director, International Communications Strategy, Manhat-

    tan Associates, Tel: +44 (0) 1344 318071,Email: [email protected].

    Xanthe Vaughan-Williams, Kirsty Sewter, Fourth Day Public Relations,

    Tel: +44 (0) 20 7403 4411, Email: [email protected]

    Acquiring a stake

    In November last year, Imperial Logistics acqui red a 36%stake in Pragma Holdings, with various professionals who

    are members of Pragmas management owning the bal-

    ance. The acquisition strengthens the industrial services

    capabilities in physical asset management services of

    Imperial.

    Pragma will form part of the recently-established Integra-

    tion Services division. The division is extending Imperial

    Logistics service offering beyond the traditional transport

    and warehousing services to include procurement, opera-

    tions planning and international logistics management.

    says Cobus Rossouw, chief executive officer of Imperial

    Logistics Integration Services.

    The division also houses Megafreight providing forward-

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    Market Foruming and clearing services, Volition offering supply chain

    consulting, Paltrack with specialised services in fruit export

    tracking and management and Imperial Logistics Air Cargo

    focused on express overnight services. The asset care

    services that Pragma provides will further complementthe development of our Business Process Outsourcing

    services, concludes Cobus.

    One of Imperial Logistics core competencies is the man-

    agement of complex operations with its own high-value

    physical assets or those of its customers. By partnering

    with Pragma Imperial Logistics obtains access to a world-

    class physical asset management service, ie, the Asset

    Care Centre Service.

    Pragma has recently embarked on an international growth

    strategy with the aim of increasing market share through

    the establishment of global networks and partnerships,

    says Adriaan Scheeres, chief executive officer, PragmaHoldings. Imperial Logistics is well-known for its continu-

    ous improvement and value creating investments. Being

    a dominant player in the African physical asset manage-

    ment industry, our partnership with Imperial Logistics is

    an exciting and strategic development. With significant

    synergies between ourselves, the deal brings numerous

    opportunities to strengthen our local presence across a

    number of industries, whilst it enables us to invest in

    various international projects currently underway.

    For further information, please visit www.imperiallogistics.co.za

    Improving forecastingCompact Computer Solutions (CCS) which designs, imple-

    ments and supports software and hardware installations,

    as well as configuring networking infrastructures, is geared

    to significantly improving operating efficiencies, from in-

    ventory control to financial reporting requirements, says

    Charmainne Kidd, managing director of Compact Computer

    Solutions. The companys understanding of a customers

    business processes and market challenges allows us to

    specially develop tailored solutions and customer relation-

    ship management systems.

    Critical aspects include fixed assets, leases, rentals and

    purchasing, quotations and contracts, tracking of equipment,

    as well as warranties, inventory control and repairs.

    The companys latest focus is on demand driven manu-

    facturing where initiatives are introduced to manufac-

    turers and distributors of capital equipment to improve

    forecasting, predictable manufacturing cycles and waste

    management, adds Charmainne.

    In the capital equipment sector, the rental module enables

    management to efficiently control quotations, contracts,

    debriefing and invoicing. The fixed asset module encour-

    ages total control over fixed assets, with advanced forward

    planning. This module allows companies to asset track

    items with fixed and variable costs, with a facility to re-

    serve an asset for a pending quote or contract.

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    Market Forum

    Top 10 airportsSkytrax, an independent air traffic research institute, has

    selected the worlds ten best airports based on a survey

    conducted among more than eight million air passengers.

    The study shows that six of the worlds ten best airports

    are equipped with baggage handling systems (BHS) from

    Siemens Mobility.

    The Number 1 airport in the world, Incheon International

    Airport in South Korea, is using Siemens technology along

    with the airports of Hong Kong, Kuala Lumpur, Munich,

    Singapore and Zurich. Baggage handling systems are a core

    element of a smoothly functioning airport infrastructure.

    The results of the Skytrax survey show we are a proven

    partner for the best of the best worldwide, says Klaus

    Schfer, Director Airport Sales at Siemens Mobility. As

    such, we take care not to serve only international hubs

    but also to assist airlines and regional airports as a com-

    petent partner.

    Our baggage handling systems help every airport to reach

    its maximum performance because they combine high

    availability with top throughput rates. We also offer our

    customers a number of top services. In every case, keep-

    ing the lifecycle costs of the systems as low as possible

    is our top priority.

    Compact Computer Solutions (CCS) provides business and opera-

    tional based solutions that add value to companies in diverse sectors,

    including manufacturers and distributors of capital equipment, as well

    as rental and leasing organisations

    The service module allows for warranty control on assets,

    as well as for repairs and maintenance. The flexibility of

    this module means components

    can have separate tracking

    and warranty control from the

    main assets of a business. For

    example, if the asset is situated

    in the workshop, the planning

    board displays this asset as not

    in service for renting.

    The configuration management

    module facilitates efficient make-

    to-order, assemble-to-order

    and configure to order prod-

    ucts.

    CCS, with a depth of experience

    of inventory, workshops and

    dealer networks also offers

    an analytical solution to the

    specific business principles of

    manufacturers and distributors

    of capital equipment.

    CCS, a Microsoft Gold certified

    partner, provides software solu-

    tions that include Dynamics-AX

    (formerly Microsoft Axapta),

    Dynamics CRM and ACS-Embrace (locally written and

    supported product for the last 25 years).

    Charmainne Kidd, Managing Director, Compact Computer Solutions

    (CCS), Tel: (011) 867-1407, Email: charmainne@compact-solutions.

    com, Web: www.compact-solutions.co.za

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    Market Forum

    Index to Advertisers

    Afzelia 4

    Barpro 34

    Engineer Placements 32

    Feel at Home 12

    Green Supply Chain Awards 30

    Hako Outside Front Cover, 26

    ILS 22

    Palian Outside Back Cover

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    Psion 28

    SAID 16

    S&N Labels 10

    Storsure 6

    Symo Inside Front Cover

    Universal 8

    Please fax us if you wish to subscribe to Supply Chain Today at

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    Baggage handling systems from Siemens also provide an

    energy-efficient design. During off-peak periods, intelli-

    gent controllers avoid unnecessary idling in the complex

    handling systems, and subsystems are only added to

    handle peak loads.

    The Top 10 List is the result of an annual survey conducted

    by the independent air traffic research institute, Skytrax.

    This is the worlds largest customer survey on airport

    standards. 190 competing airports were evaluated by

    means of a questionnaire focusing on 39 factors such as

    check-in, transfer to connecting flights or waiting times.

    The winner of this years survey is Incheon International

    Airport, followed by Hong Kong International Airport and

    Singapore Changi Airport. The other finalists are the air-

    ports at Zurich (4) and Munich (5), Kansai Osaka Airport

    (6), Kuala Lumpur (7), Amsterdam (8), Centrair Nagoya

    (9) and Auckland (10).We have installed more than 300 logistics systems at

    airports worldwide, including the worlds largest baggage

    handling systems in Dubai, Madrid and Beijing, where we

    are also responsible for technical operations in addition to

    maintenance, says Klaus Schfer. Our customers have the

    peace of mind to use proven systems and can rely on our

    decades of experience. They also benefit from our regional

    presence in over 190 countries all over the world.

    Keshin Govender, Siemens Southern Africa, Tel: (011) 652-2412

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