February - Modern Materials Handling

PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION, WAREHOUSING AND MANUFACTURINGmmh.comFebruary 2009®Mazak’s world-classparts distributionpage 18Steve Trammel, managerof Mazak’s North AmericanParts CenterEQUIPMENT BUYING GUIDESlotting basics 24INFORMATION MANAGEMENTBeyond yardmanagement 31SPECIAL REPORTLooking back atProMat 40( )

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ACCORDING TO “WorldPackaging Machinery,” a newstudy from The Freedonia Group(www.freedoniagroup.com), aCleveland-based industry researchfirm, world demand for packagingmachinery is forecast to grow5.2% annually through 2012 toalmost $40 billion.Sales of this equipment will bespurred by rising economic outputand improved standards of livingin developing parts of the world.This will result in increased consumerspending, manufacturingactivity and associated packagingequipment demand. Labeling andcoding equipment will record thefastest gains of any packagingmachinery type through 2012,driven by a rising consumptionof label-intensive nondurablegoods, a growing need for shippersto accurately track items forCONVEYABLESBREAKING NEWS YOU SHOULD KNOWBar coding and labeling drive packaging growthsafety and security reasons, andan expanding number of labelingregulations.ThingMagic’s spot during the BCSfootball championship gameTHINGMAGIC (www.thingmagic.com), a leading developerof radio frequency identification (RFID) technology,showcasedits RFID applicationduringthe BowlChampionshipSeries (BCS)nationalchampionshipgame.During thehalftime show,a Ford Motor Company demo showed how Tool Linkhelps contractors track tools aboard 2009 Ford F-150, F-Series Super Duty pickups and E-Series vans,with Ford’s new dashboard display, DeWalt’s ToolLink system and rugged RFID tags, and ThingMagic’sMercury5e embedded readers and customized antennas.Ford is the first automotive manufacturer to offerpassive, embedded RFID technology in its vehicles.Survival in the circle of lifeAS PRESIDENT OF TompkinsAssociates, the internationalsupply chain consulting firm, JimTompkins has seen an array ofapproaches to economic recovery.He told Modern during ProMatthat a company’s future is like thecircle of life in “The Lion King.”“What got the fig tree that fell this weekend inmy woods?” he asked. “It was dead and was huge,but in keeping with the circle of life, it was time forthat tree to be gone and let the light in to let thesaplings grow so you have new trees. That’s wherewe are with this recession. It’s marvelous. It’s acelebration we should be having because the deadwood is going away. It’s time for a fresh start and anew beginning.”Agree or disagree? Tell him at his new blog,GoGoGo! Want to know what he thought aboutProMat? He tells you on a 0 to 10 scale, 10 beingthe best, what he thought of everything from theinteraction with people at the show (9), their abilityto understand how to win after the recession(4), and even the coffee in the hotel lobby (1).New logistics certificationTHE MANUFACTURING SKILL STANDARDS COUNCIL has createda new credentialing system allowing “front line workers”to become logistics certified. The Certified Logistics Associateand the more advanced Certified Logistics Technician certificatesaddress the core competenciesof materials handlingworkers. The program isgeared toward younger aspiringsupply chain and logisticsmanagers, such as technicalschool graduates, high schoolgraduates, and even younger.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 3

Eightout of TenReduce material handling costs.FREE ADC Handbook!www.accusort.com/mmh-handbookparcels are scanned by Accu-Sort scanning tunnelsRight Package, Right House, Right On Time.With industry-leading performance and reliability, and an unmatched service/supportnetwork, it’s no surprise that the largest parcel/postal distributors in the U.S. rely onAccu-Sort scanning tunnels. And now our AccuVision ® AV6010 raises the bar oncamera performance and reliability even higher with integrated parcel dimensioning.Talk to our engineers about your application—big or small. You’ll see why Accu-Sortoffers you the highest performance for the lowest total cost of ownership.We have everything you need to scan, label, measure, and move parcel and postalitems—laser and camera bar code scanners, RFID readers, dimensioners, systemsoftware—and the ability to integrate it all seamlessly within your facility.The AccuVision ® AV6010 Camerawith integrated dimensioningRaising the bar on camera performance& reliability! Learn more atwww.accusort.com/right_ packageToll Free: 1-800-BAR-CODETel: 215-723-0981Web: accusort.com

VOL. 64, NO. 2®PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION,WAREHOUSING AND MANUFACTURINGSteve Trammel and Mazak increased thecompany’s storage capacity.COVER STORYSYSTEM REPORT18 World-class parts distributionBy updating the vertical lift modules in its aftermarket partsdistribution area, Mazak increased productivity by 80%, reduced laborrequirements by 44% and increased part numbers by 70%.22 Mazak uses the same space for more partsThe dense storage provided by the VLMs allowed Mazak to keep thesame footprint in the parts warehouse while increasing its storagecapacity within that space by 95%.FEATURESEQUIPMENT BUYING GUIDE24 Slotting basicsIf your picking efficiencies are in free-fall, perhaps you should considerplaying the slots—warehouse slotting that is.BEST PRACTICES27 Take a load off your fleetLoads don’t have to be burdens. With the right combination ofinformation, engineering and imagination, fleet managers can make lifttrucks much more efficient.INFORMATION MANAGEMENT31 Beyond yard managementYard management solutions not only track trailers in the yard, they arealso being used to improve processes and complement other supplychain software systems.WAREHOUSE/DC36 Low cost, deep impactYou don’t always need hundreds of feet of conveyor or fancyequipment to achieve real productivity improvement. These managersfound significant savings by working with the equipment they alreadyhad—and, in some instances, with just a few minor IT tweaks.Modern Thinking by Donald Weidendorf atInterstate-McBee, p. 50SHOW COVERAGE40 ProMat 2009:Solution centralWith a record number of exhibitors, ProMat2009 provided a wealth of ideas for improvingproductivity at your company. See the keyproducts and news that Modern’s team ofeditors discovered at the show.DEPARTMENTS & COLUMNS3/ Conveyables7/ Andel on Handling15/ From the Advisory Board17/ Lift Truck Tips: Fast charging47/ Product Focus: Racks50/ Modern ThinkingNEWS19/ Looking back at ProMat 2009Modern Materials Handling® (ISSN 0026-8038, (GST # 123397457), ispublished monthly, except October when published semi-monthly byReed Business Information, 8878 Barrons Blvd., Highlands Ranch, CO80129-2345. Reed Business Information, a division of Reed Elsevier, islocated at 360 Park Avenue South, New York, NY 10014. Tad Smith, CEO.Circulation records are maintained at Reed Business Information, 8878Barrons Blvd., Highlands Ranch, CO 80129-2345. Phone (303) 470-4445.Periodicals Postage Paid at Littleton, CO 80126 and at additional mailingoffices. POSTMASTER: Send address changes to Modern Materials Handling,P.O. Box 7500, Highlands Ranch, CO 80163-7500. Publications MailAgreement No. 40685520. Return undeliverable Canadian addresses to:RCS International, Box 697 STN A, Windsor Ontario N9A 6N4. E-mail:Subsmail@ReedBusiness.com. Please address all subscription mail toModern Materials Handling, 8878 Barrons Blvd., Highlands Ranch, CO80129-2345. Rates for non-qualified subscriptions including all issues:US, $119.99/yr, Canada, $159.99/yr (includes 7% GST, GST#123397457);Mexico, $159.99/yr; International air delivery, $249.99/yr. Printed in U.S.A.Modern Materials Handling® is a registered trademark of Reed ElsevierProperties Inc. used under license.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 5

There’s a Lot of Support Behind DematicOver 150 Customer Service Team Members to Help YouA Dedicated Parts Warehouse with Next Day ShippingThe Support and Infrastructure You Need Long After Project CompletionIt’s all about logistics results...for you.Dematic’s Customer Service DivisionWhen you go with Dematic, you can rest easy knowing we’rehere to help you for the long haul-Dematic has continued theRapistan tradition for 70 years with a commitment to our clients andby standing by our systems. We have over 150 dedicated personnelwithin our Customer Service division to serve you long after yourproject has been completed. With a staff averaging over 15 years ofmaterial handling experience, Dematic’s ability to service our clientsis unmatched in the material handling industry. We use the latestsupport tools, keep a detailed record of your operation, and havea dedicated parts warehouse to ensure you receive the parts youneed when you need them.It’s all about logistics results...for you. To learn more about Dematic’sCustomer Service operation, visit www.dematic.us/support.USinfo@dematic.comwww.dematic.us1-877-725-7500Continuing theTradition

EDITORIAL OFFICES225 WYMAN STREETWaltham, MA 02451(781) 734-8000ANDELonHandlingTOM ANDEL,EDITOR IN CHIEFTom AndelEditor in Chieftom.andel@reedbusiness.comNoël P. BodenburgExecutive Managing Editornoel.bodenburg@reedbusiness.comBob TrebilcockEditor at Largerobert.trebilcock@myfairpoint.netSara Pearson SpecterEditor at Largesara@moxiemarketingllc.comRoberto MichelEditor at Largerobertomichel@new.rr.comJeff BermanGroup News EditorRobert EckhardtSenior Art DirectorDaniel GuideraSenior Art Director/IllustrationNorman GrafDirector ofCreative ServicesBrian CeraoloGroup PublisherMichael LevansGroup Editorial DirectorEDITORIAL ADVISORY BOARDRon GiuntiniOEM Product-Services InstituteJohn HilleSyncSusan RiderRider & Assoc.Ken RuehrdanzDematicDr. John UsherUniversity of LouisvilleCol. Alan B. Will2d Marine Logistics GroupBrett WoodToyota Material Handling USABOSTON DIVISIONMark FinkelsteinPresidentREED BUSINESS INFORMATIONTad SmithChief Executive OfficerJohn PoulinChief Financial Officer &Executive Vice PresidentMAGAZINE SUBSCRIPTIONSFREE magazine subscriptionsavailable at:www.getFREEmag.com/MMHSend magazine subscriptioninquiries to:8878 Barrons BlvdHighlands Ranch, CO 80129-2345Phone: 303-470-4445Fax: 303-470-4280E-mail: subsmail@reedbusiness.comENEWSLETTER SUBSCRIPTIONSKeep up with the latest industrynews and resources—sign-up for ourFREE eNewsletters at:www.mmh.com/subscribe.aspThe system you can’tlive withoutFOR A MAGAZINE LIKE Modern, manufacturershave always made great copy. Butin the economic times we’re living in now,these stories are even more compelling.The Big Three and bailouts aside, mostmanufacturers have to rely on their wits, notonly to stay competitive, but to survive.This issue of Modern features the storiesof two manufacturers, each of which havecombined materials handling strategieswith amped-up customer service capabilitiesto succeed in business. Both are globaland specialize in aftermarket parts.Our cover subject, Mazak Corporation,a maker of machine tools, ships 1,000aftermarket parts orders a day, and mostare same-day. Our Modern Thinker, DonWeidendorf, on page 50 is manager of informationsystems and warehouse operationsfor Interstate McBee, which sells to dieselengine distributors and repair shops.Where these two companies differ is asinteresting as what they have in common. ForMazak, the creative mix of automated materialshandling solutions was key to achievingservice levels. For Interstate McBee, it wasthe creative selection and use of space.Mazak equipped a 45,000 square feetportion of its 500,000 square foot plant withvertical lift modules, pallet storage servicedby an automatic stacker crane, and pickto-lighttechnology, doubling its currentservice capabilities and positioning itself forthe business upturn it anticipates.Interstate McBee’s 18,000 part numbersgo through a number of different manualhandling processes to prepare for customerdelivery. Some go out as discrete parts,others are assembled into kits. Kitting isa fairly new service offering for InterstateMemberMember ofWinnerJesse H. NealCertificates of Meritfor JournalisticExcellenceMcBee, but today kits go into 40% of thecompany’s finished items. Kits require morelabor and more careful storage. That’s whythe company relies on racks and zone picking—ratherthan automation—to meet itsservice goals.“If we had vertical storage systems, wewould have to look at a new WMS,” DonWeidendorf told me. “I spent a year of mylife on nothing but this [relocation] project.For us to go to another WMS or ERPwould take another year or two of my life. Inthe meantime, the business has to operate.”But just by moving from the constraintsof their old building to a more spacious onethat was a steel plant in its previous life, andgoing from discrete order picking to zonepicking, Interstate McBee was able to meetits customers’ service requirements withoutapplying new automation.For Mazak, on the other hand, automationnot only increased its storage density,but it helped make operators significantlymore productive. Now five workers do thework that nine used to handle. They wentfrom 111 to 200 orders per day per person.And same-day shipments improved from95% to 97.5%.Yes, automated materials handling cansave a company that has the right businesscase—and the discipline to apply it. Butthe same can be said of a properly engineeredmanual system. Discipline is definedas a system of rules governing conduct oractivity. That’s the only materials handlingsystem anyone needs.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 7

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Di@blogbest of Modern’s blogsCompany Briefings | Bob TrebilcockTalking supply chain with Swisslogwww.mmh.com/blog/1000000500/post/490039249.htmlHoneywell does data collectionwww.mmh.com/blog/1000000500/post/180040018.htmlEVENTSLooking back at ProMat 2009DESPITE ECONOMIC UNCERTAINTY, THE MATERIAL HANDLING INDUSTRY OF AMERICA (MHIA)REPORTS THE LARGEST EDITION OF THE SHOW.HELD LAST MONTH in Chicago’sMcCormick Place South, ProMat 2009showed a record number of exhibitors,a record number of on-floor educationalseminars and 35,000 visitorswho perused the 300,000 square-footshow floor over the four days. Thesenumbers confirm ProMat as the mostextensive and comprehensive materialshandling and logistics event inNorth America in 2009.“It is particularly exciting to notethat in spite of the current economicuncertainty, this is the largest editionof ProMat ever,” said George Prest,director of business developmentfor Unarco Material Handling andchairman of the Material HandlingIndustry of America (MHIA) at theshow opening. “This speaks to thecommitment and strength of thisindustry—when you stop to thinkabout our role in the economy…yourealize that virtually nothing in commercecan happen without at leastone of the nearly 800 exhibiting companiesand their industry segmentrepresented at this show.”If you attended ProMat lastmonth, you know the weatheroutside was cold. The question iswhether the mood, and the deals,were as cold inside McCormickmmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 9

WOULD YOU BRAVE THE OCEANWITH YOUR HANDS TIED?WAREHOUSES ARE CHALLENGING TOO.GO HANDS-FREE AND GET MORE DONE. Go hands-free with LXE, and maximizethe performance of your workforce.Only LXE offers a complete line ofmulti-modal, multi-use, voice-readymobile computers – built tough to takeon the most challenging environments.Visit lxe.com/challengeMMH today!Take our quick survey, download the hands-freeexperience, and register for a chance to receivea $250 Visa ® Gift Card.NO PURCHASE NECESSARY. Promotion begins on February 1, 2009 and endson April 30, 2009. Only United States residents are eligible to win. See full rulesat lxe.com/challengeMMH.Ours.Most complete line of hands-free productsin the industryWearableComputerVoice-ReadyHandheldBluetooth ®Ring Scanner877.710.8919RuggedVoiceComputer©2009 LXE Inc. “LXE” is a registered trademark of LXE Inc.Theirs.The RACX ® pallet from Decade Products…thelowest cost high performance plastic pallet on the market Molded from eco-friendly 100% recycled plastics Lightweight—only 35 pounds; one-piece 40" x 48" design Picture frame bottom with runners on all four sides for stability Static load capacities to 25,000 lbs., dynamic loads to 5,000 lbs. Unsupported rack capacities up to 2,200 lbs. Rubber grommets or lip available on pallet topto help secure contentsPHONE: Toll-free 877-999-MACX (6229)E-MAIL: info@decadeproducts.comwww.decadeproducts.comCall or e-mail for more information and a free quote!Marceline Absil from TopVOXshows the company’s new VOXter-RFID reader that works with thecompany’s voice hardware.Place as the streets outside. On thatfront, the show appears to havebeen a mixed bag.Here’s some of what our editorialteam observed.Don’t expect a recovery until2010: We spoke with several seniorlevel managers at companies with aglobal presence. They were alreadylooking beyond 2009 to mid-2010before they expected business to turnaround. The reason: Existing projectswould be wrapped up in the next fourto six months, and there was little inthe pipeline to follow. Given a 12- to18-month sales cycle, you come upwith 2010 before the seeds planted inChicago really bear fruit.Hope springs eternal: Whilemost people acknowledged thatbusiness is pretty grim today, mostalso appeared ready to weather thestorm. Many suppliers were showingproducts that improved existinglines and reintroduced them to themarket. We expect to see them backin Chicago in 2011.ROI has never been more important:The projects getting fundedtoday are those that can deliver aquick ROI (Projects with a 6- to 12-month payback, 18 months at theoutset.) that can be used to fund thenext project. In this environment,those are projects that allow you todo more with less labor.Be careful how you pick: Onematerials handling solution that10 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

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predominated (and one that deliversan ROI), was picking solutions.We saw pick-to-light systems and anew wearable multi-function mobilecomputing device that could scanand do voice. But we also saw alot of automated goods-to-personsolutions. These were new microload,mini-load, unit load, carouselstorage, and automated storageand retrieval systems (AS/RS) thatautomatically deliver product fromstorage to a picker. In addition,there were new software solutionsto improve picking.Smart carts must be gettingtraction: For those not familiarwith the technology, smart carts arestripped down automatic guidedvehicles. Not that long ago, JervisB. Webb was the only game in town.Now, it seems like everyone, includingToyota’s lift truck division, is gettinginto the smart cart business.RFID was MIA: Two shows ago itJervis B. Webb displayed itssmart cart technology.seemed like every booth was playingup the RFID angle. This year, RFIDwas an after-thought. And thosebooths that were demonstratingRFID solutions (think AeroScout)were talking about asset management,not tracking cases and palletsthrough the retail supply chain.State of the industryThe materials handling and logisticsindustry has not been immune tothe general economic downturncurrently in progress. But signspoint to the industry approachingthe decelerating decline phase ofthe materials handling and logisticsbusiness cycle, according to showsponsor MHIA, in an overview ofthe 700,000-worker, $156 billionmaterials handling and logisticsindustry.MHIA CEO John Nofsinger said ina press conference that having examinedthe leading economic indicatorsfor materials handling equipmentmanufacturing (MHEM), the associationpredicts continued contractionfor 2009-2010. Specifically:• MHEM new orders grew 2.3%in 2008: New orders are forecastedto decline in the range of 18-20%for 2009, with recovery expected tobegin late in 2010.• MHEM shipments expanded6.9% in 2008: Shipments are forecastedto contract by about 15% inHigh Performance SystemsReduce Your Overhead CostsDiamond Phoenix is a full service systemsintegrator. We design, manufacture andimplement systems that significantly reduce yourcosts of doing business and provide a fast returnon investment. We are your one stop to a moreefficient, fully integrated and profitable facilityusing less real estate and less resources. Eliminate residuals Reduce footprint size Increase storage capacity & density Improve accuracy Increase efficiency & throughput Get a fast return-on-investment Obtain LEAN objectivesEffective Material Handling SolutionsWith A Value Added AdvantageAdd Profit Back To Your Bottom Line1-888-233-6796info@diamondphoenix.comwww.diamondphoenix.com

2009 and by 3% in 2010.• MHEM consumption grew 5.3% in 2008: Domesticdemand (shipments plus imports, less exports) willcontract approximately 15% in 2009. After a period ofsignificant expansion, exports are forecasted to declinein 2009 and 2010 as demand in the global economycontracts.Industry newsHal Vandiver, executive vice president of business developmentfor MHIA and association liaison to the CraneManufacturer’s Association of America (CMAA), the HoistManufacturer’s Institute (HMI) and the Monorail Manufacturer’sAssociation (MMA), shared three new developmentsfrom these groups.• The Overhead Alliance—comprised of CMAA,HMI and MMA—has been formed to promote overheadmethods of lifting and moving materials. The alliancepromotes the crane, monorail and hoist industriesas alternative lifting and moving solutions that canreduce accidents, improve workplace health and safety,reduce product damage, improve workflow and lowercosts. Representative technologies include overheadbridge cranes, electric chain hoists, workstation bridgecranes, below-the-hook devices and radio remotecontrols. More information can be obtained at www.overheadalliance.org.• MMA introduced the MMA-Certified Program forenclosed track workstation cranes, monorails and patentedtrack systems.• HMI introduced the HMI-Certified Program formanual hoists, manual and powered trolleys, poweredchain hoists and powered wire rope hoists.Déjà NewsPROMAT 1999“Over 42,000 industry professionals attended ProMat 99in Chicago this past February. Exhibitors and attendeesfrom all over the U.S. and nearly 80 countries participatedin the materials handling industry’s premier tradeevent. ‘This is the largest material handling exhibitionever held in the United States,’ said A.L. Leffler, MHIA’schief executive officer, at the onset of the show. Attendancethis year increased 7% from ProMat 97. Morethan 650 exhibits covered over 290,000 square feet—a12% and 15% increase, respectively, over ProMat 97.”–From April 1999 issue of Modern Materials Handling.www.mmh.com/article/CA121353.html

FROM THEADVISORYBOARDA cost we must affordEveryone has a stake in supply chain security. We must strengthenour resolve and sharpen our vigilence.IT’S 2009. It’s time for global companies to approachsupply chain security with a plan. Security of the supplychain has always been important, but offshore manufacturingand terrorism have driven awareness to newlevels. How serious is the security issue?• Weapons of mass destruction could be part of containershipments between nations.• Cargo theft could drain precious dollars from firms.• Employee theft costs American firms more than $40billion a year, according to the U.S. Department ofCommerce.• Hurricane Ike disrupted shipments in the Gulf ofMexico region.• A band of Somali pirates seized a Saudi tanker carrying$100 million in crude oil hundreds of miles offthe African coast.Supply chain security combines traditional supplychain management practices with security requirementsof the system. Supply chain security protects firmsagainst four threats: theft, terrorism, piracy and physicaldisaster. Firms should have a documented security planaddressing the following:• Credentialing personnel in the supply chain• Trading partner security extending to both suppliersand customers• Employee security awareness• Screening cargo contents• Security of inventory while in-transit through use oftamper-proof containers, seals and locks• Tracking of inventory while in-transit through useof technology enablers such as a global positioningsystem (GPS) and RFID• Security of items while stored in a facility• Information security• Disaster response• Adherence to national and international standardsSupply chain security starts with an organization’sdeveloping a security awareness culture. Employeesat all levels should be educated on potential threats tothe supply chain and provided the means to counterthese threats. Conversely, organizations should solicitinput from employees on vulnerabilities. Periodicsecurity inspections should be conducted to ensure allwithin an organization are in compliance with securitymeasures.A supply chain security plan should not adverselyaffect movement of materials through the supplychain. Coordination of all agencies within the supplychain is a must and all links in the chain must be partof the security plan. Companies must share informationsuch as cargo movement schedules and manifests,yet protect this information from access by the wrongpeople.Technology can be a real enabler by providing accurate,real time information on movement of materialsand the integrity ofshipments at variousnodes. It can alsoreduce the need foran army of surveillancepersonnel.Where canorganizations look tofind supply chain securityinitiatives andstandards? Somesources include:Col. Alan B. Will,chief of staff,2nd Marine LogisticsGroupA supply chainsecurity plan shouldnot adverselyaffect movement ofmaterials throughthe supply chain.• U.S. Customs Service and Department of HomelandSecurity Container Security Initiative (CSI),• The International Organization for Standardization(ISO) 28000: 2007 supply chain security standards,and• Private firm pilot initiatives monitoring containermovement and integrity with RFID and GPStechnology.Vulnerabilities in the supply chain can not only costa company monetary and human resources, but theycan threaten the security of the nation. A well-coordinatedand effective effort protecting our supply chainsis a cost we must bear.Col. Alan Will can be contacted at abjbwill@yahoo.com.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 15

MORE DYNAMICSMORE EFFICIENCYMORE VALUEToday, only fractions of a second are the norm forfulfilling and confirming an order. Cost efficiency and thedynamics involved require a wide range of conveying,order picking and warehousing systems. To complementthe automated, dynamic systems needed in a warehouseor distribution center, Schaefer manufactures a completeline of material handling and storage equipment.For peak performance and efficiency throughout, fromorder picking to just-in-time delivery and shorterthroughput times, we are your partner for dynamicsystems and material handling and storage applications.Let our experience work for you. Call us.GENERAL CONTRACTINGPLANNING AND CONSULTINGCONVEYING SYSTEMSAUTOMATED SYSTEMSCUSTOMER SERVICE AND SUPPORTWAREHOUSE MANAGEMENT AND CONTROL SYSTEMSMATERIAL HANDLING AND STORAGE EQUIPMENTUSASCHAEFER SYSTEMS INTERNATIONAL, INC.P.O. BOX 7009CHARLOTTE, NC 28241Tel: 877-724-2327Fax: 704-588-1862email: general@ssimail.netwww.ssi-schaefer.usCANADASCHAEFER SYSTEM INTERNATIONAL, LTD.140 NUGGET COURTBRAMPTON, ON L6T 5H4Tel: 905-458-5399Toll free (Eastern Canada): 1-866-774-2726Toll free (Ontario): 1-800-565-2409Fax: 905-458-7951email: sales@ssi-schaefer.cawww.ssi-schaefer.ca

Fast charging updateA fast-charging battery systemfits well into the lean, greendistribution center environment.Instead of stocking two to threebatteries to power a lift truckthrough a multi-shift operation,a fast-charging system uses justone battery that can be quicklycharged during breaks anddowntime. That can also reducethe amount of battery acidhandled under roof.Beside its leaner, greener potential,fast charging has a numberof attributes worthy of theattention of energy conscious,productivity hungry lift truckfleet managers and operators:1. Power requirements tohandle a full fast charging applicationare a little higher, somake sure you have the infrastructureto handle it. Mostcompanies do.2. Do an application surveyto determine suitability for fast usage data.charging. Equipment rangesfrom 18 amps to 40 amps. Depending on the lifttruck and the application, you may be able to usethree different models in one application. Overspecifyingcan mean paying $8,000 more per charger thanyou have to.3. Fast charging can eliminate the need to changebatteries on electric trucks, translating into higherlabor productivity, energy savings and increased availabilityof manufacturing floor space for a quick ROI.4. ROI can be achieved in 12 to 14 months if it’s abrand new application.5. AC trucks can offer up to 20% more run time. Thatcan mean you might not need as big a fast charger as anon-AC truck. It can also mean less charge time.LIFT TRUCK TIPSFast charging has been around for quite a few years now, but its technology hasadvanced enough to merit a second look. Here’s an update on things you mightnot have known.Estimating requirements for conversion frompropane to fast-charge battery energy use can bedone with an LP Meter, which measures LP flow ratedata and converts it to time-based electric power6. Fast charging offers moreof an opportunity to chargeoff-peak and lessen electricitydemand during peak periods.7. Relatively light duty vehiclesin multi-shift operations maynot require the high start ratesprovided by fast-charge systems.However, simply over-sizingconventional chargers foropportunity charge applicationsmay result in shorter battery lifeand run time. There are opportunitychargers that measuretemperature and feature a realtimeclock for weekly equalizationscheduling. Temperaturereadings facilitate gassingcontrol, and EQ managementprevents stratification, sulfationand cell imbalance.8. Intelligent fleet managementsoftware can monitorwhat a battery is doing, how thechargers are operating, and howthe vehicles are performing interms of energy consumption.9. Wireless controls allow a technician to walk intoa fast-charge operation and automatically downloadinformation onto a PDA. Chargers can also communicatewirelessly to a network.10. A fast-charging system can wirelessly monitorand report on the condition of the fleet. Alerts andreports indicate when a battery hasn’t been chargedon schedule, or when a particular vehicle is drawingtoo much energy.Information for this month’s Lift Truck Tips was contributed by ETECMinit Charger, (602-716-9576, www.minit-charger.com); Aker WadePower Technologies, (434-975-6001, www.akerwade.com); andAeroVironment, Inc., (626-357-9983, www.avinc.com).mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 17

World-classparts distributionBy updating the vertical lift modulesin its aftermarket parts distributionarea, Mazak increased productivityby 80%, reduced labor requirementsby 44% and increased part numbersby 70%.By Bob Trebilcock, Editor at LargeIN THE 24/7 WORLD OF MANUFACTURING,there is no margin for error. To succeed, equipmentmakers must not only produce world-classmachines, but they must also be able to deliverworld-class service when it comes to their aftermarketparts business.18 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

modern SYSTEM REPORTfeatures a state-of-the-art parts storage and retrieval systemwith 13 vertical lift modules (VLMs) (Remstar, 800-639-5805, www.remstar.com), including a wide unit capable ofhandling oversized parts. The area also includes pallet storagefor heavy parts serviced by an automatic stacker crane.With the addition of pick-to-light technology, the order fulfillmentsystem can handle as many as 2,000 orders in a fivehourshift—double Mazak’s current requirement, giving themachine maker room to grow.“We wanted a system that was capable of rapidly fillingorders and managing 46,000 different part numbers rangingin size from small to large and light to heavy,” says Trammel.The benefits: In addition to providing the capacity toexpand within the existing footprint, Mazak reduced its laborrequirements by 44% and increased productivity by 80%.Steve Trammel, manager of Mazak’sNorth American Parts Center“If one of our machines goes down, it’s a crisis for ourcustomer until that machine is back in service,” says SteveTrammel, North American Parts Center manager for MazakCorporation, a global manufacturer of advanced machinetools. “We’re shipping 1,000 aftermarket parts orders a day,and 97% of them go out that same day.”To meet that challenge, Mazak automated the 45,000square foot area designated for parts distribution at itsFlorence, Ky., manufacturing plant. The refurbished areaExpanding in North AmericaMazak may not be a household name outside the machinetool industry, but it is the largest metal cutting builder inthe world with eight manufacturing facilities in Japan, theUnited States, the United Kingdom, Singapore and China aswell as 30 technology centers worldwide.The 500,000 square foot facility in Kentucky producesmore than 30 different models, at a production rate of 130machines a month. The aftermarket parts center maintainsan inventory of more than $65 million, stocking parts forevery Mazak CNC sold in the Western Hemisphere.“Mazak has made a very strong investment into its aftermarketservices because we recognize that our equipment isrunning in many manufacturing facilities on a 24-hour, 7-day-a-week basis,” says Trammel. “Customers are using leanmanufacturing and multi-tasking machines to lower costs byreducing manpower, set ups and multiple operations. In thisenvironment, it is extremely important that parts be availableimmediately.”The need for automationBefore the recent upgrade, Mazak’s stockroom consisted of palletracks and 12 VLMs that were much smaller than the newunits. What’s more, the system was completely manual: At theVLM, an operator would look up a part location in a locationguide next to each of the units to figure out which tray numberthey wanted and then manually type in that number to get thetray delivered. When the tray arrived, the operator would havemmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 19

modern SYSTEM REPORTThe parts center supports the highquality manufacturing machines soldin the Western Hemisphere.to sort through 50 or 60 parts to find thespecific one specified on an order sheet.The workers then carried the pickedorders to the packing areas where theywere packed and shipped.But it wasn’t just manual handlingthat created challenges. “Nobody ordersparts at 8:00 in the morning,” Trammelsays. “Part orders usually come in theafternoon but we still have to get themout the same day for delivery to our customers.To push through up to 1,200orders in a six-hour window, we wereincreasingly throwing more and moremanpower at the situation.”Automating the aftermarket partsarea emerged as a solution that wouldallow Mazak to manage more parts andsame-day orders without continuallyadding labor.Adding automationThe transformation of the parts centertook a little less than six months.During that period some 19,000 newpart numbers were added.The solution involved 13 new VLMsgrouped in four pods in pick-and-passworkstations. Each tray can hold up to1,100 pounds of parts. The trays themselvesare 8 feet wide and 34 inchesdeep. One of the VLMs is a largerheavy-duty unit, which is designedfor much bigger and heavier parts.Together, they create a 125-foot longpicking area, with a conveyor line runningin front of them.The VLMs are also equipped withpick-to-light technology. A light bar runsacross the front of the unit and directsthe operator to the exact location of thepart to pick and displays the quantity topick as well as the part number.Same space with more partsThe dense storage provided by the VLMsallowed Mazak to keep the same footprintin the parts warehouse while increasingstorage capacity within that spaceby 95%. For instance, the old VLMshandled 20,000 individual part numbers.All of those, plus another 19,000 partnumbers are now being handled by thenew VLMs, which has allowed Mazakto accommodate parts for new machinemodels without a problem. Another7,000 oversized part numbers are storedon racking in the warehouse.To ensure the accuracy of orders,Mazak created a five-point check systemmanaged by the warehouse managementsystem:1) The warehouse ensures that it carriessufficient inventory so the part willbe in stock when the order arrivesfrom a customer;2) every part is labeled with a bar codefor identification;3) the light strip on each tray displaysthe stock number and part name ofLarge parts and pallets are stored onracks serviced by a stacker crane.20 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

items to be picked for a client order;4) when the worker puts the item inthe tote, the tote itself re-displaysa visual, digital message of the pickorder; and5) in the pack area the items to beshipped are checked against theoriginal order for accuracy before itAbove: The VLM automatically deliversand stores trays of parts managed bythe center. Below: Operators use lightdirectedpicking to pick parts from thetrays and place them in totes.After picking, the totes are deliveredto a packing station where the partsare prepared for shipping.is shipped.This five-point check system hasimproved picking accuracy from 98% to99.67%.The system not only increasedthe density of storage, but operatorswere significantly more productive.“Previously, we were using nine workersto handle 111 orders per worker, perday,” says Trammel. “Between runningto pick the part, and then taking it overto packing, it was all we could do to getour orders out.”This new system is run with five workers,each handling 200 orders per day.Orders picked per person per hour hasincreased by 80%—13.9 picks per laborhour before, and 25 picks per labor hournow. In addition, same day shipmentsimproved from 95% to 97.5%. “Samedayshipping is no longer an issue,” saysTrammel. “And in a 24/7 world, that hasbeen a big improvement.”System suppliersSYSTEMS INTEGRATOR, VERTICAL LIFTMODULE, & PICK-TO-LIGHT PICK SYSTEM:Remstar, 800-639-5805, www.remstar.comCONVEYORS: Intelligrated, 513-701-7300,www.intelligrated.comWAREHOUSE MANAGEMENT SYSTEM:Dove Tree Canyon Software, 619-236-8895,www.dovetree.comSTACKER CRANE: Automated Fork Truck,801-676-8070, www.asrs.netBAR CODE SCANNING: Datalogic (PSC),800-929-3221, www.datalogic.comBAR CODE PRINTERS: Zebra Technologies,847-634-6700, www.zebra.commmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 21

modern SYSTEM REPORTMazak uses same spacefor more partsThe dense storage provided by the VLMs allowed Mazak to keep the samefootprint in the parts warehouse while increasing its storage capacity withinthat space by 95%.By Bob Trebilcock, Editor at Large1ReceivingConveyorOversizedVLM247ConveyorWorkstations253Stacker craneVertical lift module (VLM)6Pallet rack273998Packingarea10ShippingPickupstationsMazak’s aftermarket parts operation relies on staggeredshifts to receive, pick and pack, and shiporders. A partial shift begins the day to handlereceiving and cycle counting; a second crew works from 10a.m. until 7 p.m. to handle picking and packing; while theremainder of the crew takes care of loading and cleanupfrom noon until 9 p.m.Receiving and putaway: When a part arrives at receiving1 , the system prints out a receiving ticket with an embeddedbar code label. The receiver scans the label on the ticket and thelabel on a tote. The tote is routed by conveyor 2 to one of thezones where parts are stored in vertical lift modules (VLMs) 3for putaway. The system automatically delivers a tray while lightsdirect the operator on where in the tray to put away the partsfrom a specific tote. In addition, Mazak stores large parts in anoversized VLM 4 equipped with a roll-out table for easy accessby an overhead crane. Parts that are too heavy to be handled byan operator are palletized and automatically put away by astacker crane 5 in a pallet rack area 6 . Heavy parts are storedon pallets in a racking area serviced by an automatic stackercrane. Parts are delivered to one of two pickup zones 8 , and theputaway location is entered into the system. The crane picks upthe pallet and delivers it to the storage location.Mazak Corp.Florence, Ky.PRODUCTS: Aftermarket parts for precision machine toolsSQUARE FOOTAGE: 500,000 manufacturing space, with 45,000square feet devoted to spare parts fulfillmentSKUS: 46,500THROUGHPUT: 1,000 orders per dayEMPLOYEES: 8 employees run the order fulfillment areaSHIFTS: Staggered shifts from 7 a.m. – 9 p.m., 6 days per weekPicking: Once an order is received and processed inMazak’s order processing system, the order is ready for picking.Each order is assigned to a tote with a fixed license plate,and is placed on a conveyor 2 in the front end of the system.That tote is then routed to one of four pick workstations 7 .Each pod is fed by the mainline conveyor with accumulationcapability.When a tote arrives at a workstation, the operator scans itand then scans a light on the batch station to associate thetote with the corresponding light in the software. The opera-22 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

tor can scan up to eight totes in a workstation,so eight orders can be pickedsimultaneously.When the operator indicates, theVLMs 3 deliver the product to theoperator, and a customer-specified barcode part label is printed. The lightswill light on the VLMs directing theoperator to the pick location and howmany pieces to pick. The operator thenpicks the product as directed by theVLM, attaches the printed bar codelabel to the product, and turns aroundto place it into the correct tote or orderas directed by the lights on the batchstation. The operator then picks thenext part presented by the VLM. Thisis repeated until the order has all partsrequired from that zone.When an order is complete, the lightsdirect the operator to push the tote backonto the conveyor 2 , where it either getsrouted to one of three pack lanes 9 , or itgoes into another workstation 7 downstreamfor further fulfillment.Large parts are separately deliveredto the roll-out table in the oversizedVLM 4 and are then moved to thepacking area 9 by overhead crane.Meanwhile, heavy parts stored in thepallet rack 6 are pulled after scanningthe pick label when the order is enteredinto the system. The stacker crane 5retrieves the pallet and delivers it toone of the two pickup stations 8 . Partsthat can be handled by a packer arepicked up at one end of the crane. Partsthat require a lift truck are picked up atthe other end of the crane.Packing: Once all the items for anorder have been picked, the tote is automaticallyrouted by conveyor 2 to a packingarea 9 . Red totes are used for priorityorders that are taken immediately forcustomer pick up or door-to-door shipping.Once at the pack stations, sensorson the conveyors route the tote to theleast full lane so as to not back up theorders in the pack line. Shipping informationis automatically forwarded to thepack area, as well as to overnight shippingcarriers to speed package pick upand delivery. Underneath the conveyor isanother conveyor system for empty totereturns, cycling the totes back to the frontof the system, making for a very efficientoperation.Shipping: Mazak’s has integratedparcel shipping systems 10 from UPSand FedEx with its warehouse managementsystem. Once a part is packed, apackage is placed on a scale and the barWhile others play around withcubing technology, Quantronix hasmastered the development of conveyorizedand static dimensioningsystems. Whether you need to findmore space in your warehouseor are looking to eliminate“charge-backs” andcode label on a pick slip is scanned.Data from the scale and Mazak’s inventorymanagement system populate thelabel. As the label is printed, the carriersends an e-mail notification to the customerand sends shipping informationback to Mazak’s inventory managementsystem to close out the order.Cubing was new to us, too. Once.manifest more accurately,CubiScans set the standard foraccuracy, durability and functionality.Truth is, we inventedautomated cubing more thantwo decades ago. For us, solvingyour cubing problemsis not child’s play.1-800-488-CUBE · www.cubiscan.com · Quantronix, Inc. · 380 South 200 West · P.O. Box 929Farmington, Utah 84025 USA · (801) 451-7000 · Fax: (801) 451-0502mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 23

modern EQUIPMENT BUYING GUIDESlotting basicsIf your picking efficiencies are in free-fall, perhaps youshould consider playing the slots—warehouse slottingthat is.By Sara Pearson Specter, Editor at LargeWhether you’re managing a small facility ora large distribution center, whether you’vegot fast or slow moving product, there’s aslotting strategy that’s right for you.Simply, slotting is the optimal placement of productSKUs within a facility to achieve a variety of differentlabor efficiency and picking productivity goals.“These goals can include reducing travel time,putting heavy items at an accessible level, separatinghazardous and non-hazardous materials, and groupingkitted items together to eliminate unnecessarysearching,” explains Peter Schnorbach, senior directorof product management at Manhattan Associates(770-955-7070, www.manh.com).Slotting can also improve accuracy by separatingsimilar products to reduce picking errors. And byevenly dispersing products across multiple pick zones,it balances workloads and reduces congestion.But determining how to best re-distribute productcan be time-intensive—and something of a gambleif you’re unsure of the optimal strategy to pursue. Anumber of slotting software modules are available tofacilitate the process and can be tremendously helpfulwhen following the fundamentals.Fundamental slotting principlesSince your products probably already have a home,or slot, you’ll need to determine if your warehouseis an ideal candidate for re-slotting. The facilitymost likely to benefit from product reorganizationis large—at least 200,000 square feet, Schnorbachnotes.“The larger the warehouse, the more SKUs and themore value you’ll get from re-slotting,” agrees SteveBanker, supply chain management service director forIdeal slottingMEDIUMWEIGHT,DEMANDFASTEST,HEAVIESTSLOWEST,LIGHTESTARC Advisory Group (781-471-1000, www.arcweb.com). “It’s also a more manual operation using forklifts,pallet jacks and people pushing carts for pickingactivities.”Qualified to proceed? Here are some basic fundamentalsto keep in mind as you embark on a re-slottingactivity.1. Start with quality master data. To slot a productinto a specific location, it’s important to know thedimensions of the product, how many of these productsfit into a carton, how many cartons fit on a pallet,the dimensions of the pallet, and how high cartons canbe stacked on the pallet. Accurate measurements arethe only means to evaluate that sequence.“When starting a slotting process, companies oftenfind that their master data are flawed, particularlyaround product dimensions,” says Banker. “Using acube dimensioning system is almost a prerequisite tomake this work.”Other details to know are pick velocity (slow,Illustrations by Steve Hussey24 NF EBRUARY OVEMBER 2009 2006 // MODERN MATERIALS HANDLING mmh.com

BeforeHighDemand50 lbsLowDemandTHE REASONS FORRE-SLOTTINGTOO HEAVYFOR HEIGHTLOW DEMANDIN LARGE SLOTWASTED CUBEHIGH DEMANDIN SMALL SLOTAfterLowDemand65 lbsHighDemandHighDemandTHE BASICS OFRE-SLOTTINGLARGE CARTONSON TOP LEVELSHIGH DEMANDIN LARGE SLOTMAXIMIZE LOW DEMAND CUBEIN UTILIZATIONLARGE SLOTLOW DEMANDIN SMALL LARGE SLOT65 lbsTOO HEAVYFOR HEIGHT50 lbsHEAVY ITEMSMID-HEIGHTmedium and fast movers), order variability, demand, seasonalityand planned promotions.2. Evaluate the return on investment (ROI) gainedby each move before making it. Most slotting systemsonly look at the savings generated by doing a re-slotting basedon pick velocity. However, it’s important to also have a goodunderstanding of the labor costs associated with movingproducts around, says James LeTart, director of marketing forRedPrairie (877-733-7724, www.redprairie.com).“Slotting software typically isn’t hooked into a labormanagement system (LMS), but it should be,” he explains.“Information from the LMS can be used to calculate both thecost and the benefit, so if you can’t determine the ROI on amove, you don’t know if you’re doing the right thing.”Although ideal slotting ROI is a business decision basedon a company’s unique goals and objectives, generally a 5%increase in picking efficiency is good, LeTart adds. “The typicalROI from a slotting system is a 5% to 15% improvementin pick efficiency over a non-optimized picking situation.”3. Consider your goals. A good rule of thumb for idealslotting is to keep the fastest moving product in the mostaccessible locations for your pickers, adds Chad Collins, vicepresident of marketing and strategy at HighJump (952-947-4088, www.highjump.com). Further, to reduce overall traveltime, look to locate the most frequently picked products closerto an outbound location, and evaluate the size and numberof pick faces.“For something that moves very frequently, you shouldcompare the options of either a very accessible large pickface or multiple small pickfaces,” Collins says. “These are alltradeoffs and considerations that can be made by a slottingsoftware tool.”4. Strategic slotting is an on-going commitment.To maintain the benefits of slotting, someone should be incharge of the process, analyzing it on a regular basis (daily,weekly, monthly, quarterly) to ensure the goals are met.“What typically happens after a re-slot is a facility willincrease its picking efficiency up to 15%, and then that efficiencydecreases over time,” LeTart says. Then it’s time tore-examine the slotting pattern to determine where orderpatterns have changed and what level of re-slotting is againrequired.“There should also be a commitment to getting the movesdone,” says Manhattan Associates’ Schnorbach. “Companiesstruggle with this. They run a slotting program, come up withan optimal slotting solution, and have a hard time making themoves because they get busy.”Using software to achieve slotting goalsFor small warehouses with low numbers of SKUs, slottingis a process that can actually be managed with an extensivetime commitment and a basic spreadsheet program, likeMicrosoft’s Excel. But for a facility with a large number ofpick faces and a vast quantity of SKUs—coupled with a volatiledemand profile—a software tool designed specifically tooptimize slotting is the best means to manage the process.The software draws on data from a warehouse managementsystem (WMS) and uses complex mathematical algorithmsand metrics to evaluate the current situation and presentmove options in a matter of hours.“It generates simulations because these decisions aren’tblack and white,” says RedPrairie’s LeTart. “You may have tomake guesses about the velocity generated by new productintroductions, seasonality factors or promotions. Slottingsoftware lets you play with the variables and run multiplesimulations.”mmh.com MODERN MATERIALS HANDLING // NOVEMBER FEBRUARY 2006 2009 25

modern EQUIPMENT BUYING GUIDESlotting software suppliersCompany Web address PhoneASAP Automation www.asapauto.com 800-409-0383Axxom Software AG www.axxom.com +49(0)89/56823-300BoxWorks Technologies www.boxworks.com 877-495-2250Descartes Systems Group www.descartes.com 800-419-8495HighJump www.highjump.com 952-947-4088IDS Engineering LLC www.idsengineering.com 502-657-2600Infor www.infor.com 800-260-2640Insight Group www.insight-holdings.com 419-842-2210INTEK IntegrationTechnologieswww.intek.com 425-455-9935Manhattan Associates www.manh.com 770-955-7070Optricity www.optricity.com 919-2804418PathGuide Technologies www.pathguide.com 888-627-9797RedPrairie www.redprairie.com 262-317-2000SI Systems www.sihs.com 800-523-9464“A software tool enables the warehouse manager to makedecisions quickly,” concurs HighJump’s Collins. “Further, ifthe slotting system has visibility through the warehouse managementsystem to all warehouse activity, when a re-slottingrecommendation is applied those moves are automaticallyfed into the work queue itself.” This enables workers to makere-slotting moves in a manner similar to replenishmentmoves.But simply purchasing and installing slotting softwareis not enough. Although the software may be user-friendly,the user has work to do and decisions to make, accordingto Jeff Wetherell, director of software products and servicesat SI Systems (800-523-9464, www.sihs.com).“Not only can slotting software be expensive, butthere’s a massive time commitment that needs to bemade on the part of the user,” he says. “Somebody hasto develop the slotting strategy, somebody has to key itinto the software package, and somebody has to havethe discipline to use it and tweak it and run it.”Therefore, before investing in slotting software, askfor an evaluation that quantifies both cost and time savings.Then, ensure you receive adequate training onhow to maximize the software’s use. If a company findsthat it lacks the time, expertise, ability or will to managethe slotting process, there are organizations that willinstead sell slotting strategy as a service, Wetherell notes.“The facility just has to provide the information from theirWMS, and the service provider customizes the software tothe operation and generates recommended moves as frequentlyas required,” he says. “Slotting as a service means theother guy does all the work and you take all the credit.”Aigner Index, Inc.218 MacArthur AvenueNew Windsor, New York 12553Tel: 1.800.242.3919E-mail:holdex@frontiernet.netFax: 845.562.2638www.aignerindex.com26 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

modern BEST PRACTICESTAKE A LOADOFF YOUR FLEETLoads don’t have to be burdens. With the right combination ofinformation, engineering and imagination, fleet managers canmake lift trucks much more efficient.By Tom Andel, Editor-in-ChiefGetting an object from Point A through Point Zis a matter of physics and logic. If you have aproblem with that, take it to a lift truck specialist.That’s what many materials handlers do whenthey have load handling challenges. Physics comesin when considering elements like load stability andcenter of gravity. Logic involves variables such asoperator skills and work environment.Outside the boxNot all load handling challenges involve boxes. Onein particular is a pig. Not an oinking pig, but onethat separates various types of crude oil products inpipelines. Enbridge Energy’s Ft. Atkinson PipelineMaintenance Group had some initial concepts forthis specialized handling device and approached RonHendriksen, a sales representative for Badger ToyotaLift (800-242-0541, www.badgertoyotalift.com), aToyota dealer in New Berlin, Wisc., who worked withattachment provider Cascade Corp. (800-242-2233,www.cascorp.com).The challenge was in manipulating this long barbell-shapeddevice so as not to cause damage orinjury. Cascade applied some of its drum clamp technologyand adjusted it to handle a “pig.”“It took us about eight months to come upwith an application we thought would work,” saysHendriksen. “We could pick it up and rotate it, butthe idea of setting that pig down on the ground wasthe hard part. Tilt was another big part of it. Puttingthe ‘bottlers’ tilt’ on that mast gave us that little extradegree of backward and forward tilt needed to set itA pig, shown above, separates various typesof crude oil products in pipelines. They are achallenge to handle.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 27

modern BEST PRACTICESEven the simplestsolutions can be mindblowersif you’ve neverconsidered them foryour applications.into the shipping cradle.”The pig is then cleaned and transportedby flatbed back to the beginningof the pipeline for another trip through it.Back in the boxEven applications involving boxes posea fair share of complications. Takethe case of Goodwill-Easter Seals ofMinnesota. This involved a Gaylordbox.The textiles this charity doesn’t sellat its stores are sold on the salvage market.That means dumping them into abaler in preparation for sale to buyers.“We were manually dumping theseGaylord boxes into the hopper and thenGoodwill-Easter Seals of Minnesotaneeded help dumping textiles into abaler.collapsing the Gaylords and restackingthe pallets in a labor intensive operation,”explains Dick Smith, director ofdistribution and logistics for Goodwill-Easter Seals. “We were having injurieswith all the lifting and stretching andbending when they were pulling thosebig cardboard Gaylords back out of thehopper. We were spending thousandsof dollars a year on injuries alone.”Larry Tamm, territory manager forCascade, and his team came up with asolution that was new to Smith: a bulkbox handler for flipping and dumpingpalletized Gaylord boxes, which measure40 x 40 x 48 inches.“One of the challenges with theseboxes is that the bottom may just havea piece of tape holding it in place, soyou have to handle it with the palletunderneath,” Tamm explains. “So ifyou’re dumping it, you have to lift androtate the pallet and the box. We useour standard bulk box handler, whichhas rubber covered arms to clamp thebox and forks that rotate along with it.They dump it into a hopper that feeds abaling machine. When they were doingthis by hand it took hours. This cut theirtime down to nothing and eliminated alot of extra work.”Another benefit, according to Smith,is the flexibility of using the box handlersin other applications, such asdumping trash into a trash compactorand dumping scrap metal into big opentop containers for shipment. By multitaskingthe equipment and reducinginjuries, Smith says they achieved payback.Multi-pallet handlingEven the simplest solutions can be mindblowersif you’ve never considered themfor your applications. Such was the caseat Pactiv Corporation, a leader in the consumerand foodservice/food packagingmarkets. Pactiv was used to using cartonclamps when loading and unloadingtrucks. It wasn’t until they placed anotherorder for more of these clamps that theylearned about a new approach.“We sent one of our guys out to spendtime with this customer,” recalls RonnyKeene, vice president of sales and marketingfor attachment provider BolzoniAuramo (800-358-5438, www.bolzoniauramo.com).“He saw them handlingall these pallets and asked if they evertried a single-double pallet handler.They never did. We started demo-ing ata number of their facilities.”The ability to handle two pallets at atime isn’t new, but Keene is amazed athow many companies consider it new.Considering this attachment’s origins,it’s easy to see how the productivity itcan bring keeps it relevant.Don’t forget slipsheetsThe sudden ability to handle two palletsat a time, in the same time youcan handle one, is a huge step up. Thesame paybacks of multifunctionalitycan apply if you handle pallets and slipsheets,as Purina does. This maker ofpet food can’t allow the wood pallets itsproducts are shipped on to be used inany of its plants. That means having totransfer the product off the wood palletand onto a plastic pallet to avoidany chance of contamination. They useslipsheets, push/pulls and load invert-28 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

Beth Swaffield, an assistant managerat a Build-A-Bear workshop inCleveland, stands next to one of the650-pound fluff bales (left) and loadsone of the fluff dispensers customersuse to build bears (right).ers to accomplish this.Specifically, they use Cascade’sMark 55 push/pull. Hydraulically positionableouter platens open for conventionalslipsheet handling and close toallow pallet handling.“This can be a very costly addition toa traditional forklift, but a Mark 55 canoperate with just two hydraulic functionsinstead of three,” explains SteveFerreira, marketing manager for Yale/Chase Materials Handling, Inc. (562-463-8000, www.yalechase.com), whichsupplies equipment to Purina.Lift truck manufacturers are evolvingtheir products to more easily accommodatesuch functions, however. It’s allin the hydraulics.“The hydraulics that come with a lifttruck are being affected by trends withattachments,” says David LaDue, managerproduct strategy for Yale MaterialsHandling Corporation (800-233-9253,www.yale.com). “Going faster andheavier and higher requires using morehydraulic fluid, and therefore high-flowhydraulic valves.”Just plain forksSome handling tasks need finesse morethan they need engineering. It’s amazingwhat a skilled forklift operator cando with an awkward load. And when itcomes to awkward, it’s hard to beat 650pounds of fluff.By fluff we mean the stuff thatstuffs teddy bears at 350 Build-A-BearWorkshops in malls around the country.These are stores where people literallybuild their own bears. Delivering thestuffing to these workshops is the mostcomplex aspect of this company’s materialshandling logistics. The producersof this stuffing have bigger customersthan Build-A-Bear—like pillow andmattress manufacturers. These customersrequire stuffing to be deliveredin 650-pound bales, therefore that’show Build-a-Bear must accept it.“That’s fantastic if you’re moving itaround a depot on a forklift but withinour stores we’re talking about a workshopattendant who does this parttime,” says Jonah McIntire, Build-A-Bear’s supply chain improvement manager.“She has to break the compressionband and open up the stuffing bale.”When the franchise began 11 yearsago, materials handlers had trouble gettingthis bale off the pallet and into astore’s door. So they started deliveringthese bales on appliance dollies. At thedepot, the company uses a lift truckand a very skilled operator to chisel theforks between the bale and the pallet,lift the bale, set it down on the floor,use the forks to flatten the roundedbottom of the bale so it stands upright,then chisel under the bale again, liftit and slide it onto a dolly. The bale isthen strapped to the dolly.McIntire says the company is workingon a more elegant solution thatincorporates asset management. Thesebales cost about $500 each and thecompany warehouses 400 at a time.That’s $200,000 in inventory.“If we could go to a different sizebale by opening a depot where we breakthese down, that would have an immediate$200,000 payback,” McIntire says.For now, because these bales ofstuffing are the most expensive itemsin the Build-A-Bear supply chain, thecompany uses Manhattan Associates’Extended Enterprise ManagementVisibility Tool (678-597-7091, www.manh.com) to keep track of how muchstuffing is in transit and what’s at thoseintermediate distribution points. Thevisibility tool will also help the companykeep track of the dollies, each ofwhich costs about $100.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 29

Still Waiting for YourGreen Investment to Pay Back?In today’s eco-conscious environment, solutions that are both financiallyand environmentally responsible shouldn’t be the stuff of mythology.One system has delivered capital and operatingsavings to the largest companies in North America.And by improving the effi ciency of batteries andeliminating battery changing rooms, that samesystem also saves 1 its customers: 32 million kilowatt-hours per year 50 million pounds of CO2 per year Over 2.5 million pounds of lead 500,000 pounds of steel 30,000 gallons of sulfuric acidTo fi nd out how North America’s #1 fastcharge manufacturer has helped its highprofile customers reduce energy consumptionand operating expenses, please visitwww.posicharge.com. For a custom fi nancialanalysis, please contact 1-866-POSICHA(1-866-767-4242) or email us atinfo@posicharge.com.That system is PosiCharge. The stuff oflegend…not mythology.1Materials and energy consumption savings are estimates basedon total number of installed systems. Total lead, steel, andsulfuric acid savings are cumulative estimates since 1999.www.posicharge.com | info@posicharge.com | 1-866-POSICHA (866-767-4242)© 2009 AeroVironment, Inc.

modern INFORMATION MANAGEMENTBEYOND YARDMANAGEMENTYard management solutions not only track trailers in the yard, theyare also being used to improve processes and complement othersupply chain software systems.By Bob Trebilcock, Editor at LargeWhen it comes to manufacturing, distributionand transportation, continuousimprovement is the name of the game.Companies implement warehouse management(WMS), manufacturing execution (MES), and transportationmanagement (TMS) systems to controlinventory costs, get more from their workforce, andreduce transportation costs.Once those systems are in place, where will thenext round of savings and improvement come from?One application gaining traction is yard managementsystems (YMS). This solution tracks the movementand location of trailers from the time a truck arrivesat the gate to drop off a load until that trailer is processedand ready to leave the facility.But beyond just tracking trailers, a YMS acts as alink between the transportation and warehouse managementsystems. “Before a trailer even shows up, ayard management system will have an advance shipnotification (ASN) that it’s on the way,” says SteveRaymond, vice president of product marketing foryard management at WhereNet, a Zebra Technologiescompany (408-845-8500, www.wherenet.com). “Onceit’s checked in at the gate, not only does the yard crewknow it’s there, but the WMS also knows the trailer isthere.”In fact, at its best, a yard management system isan inventory management system with the ability toimprove processes. “When you can track assets liketrailers and containers of inventory in real time, youryard management system becomes more than just ayard management system,” adds Bob Kenney, directormmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 31

modern INFORMATION MANAGEMENTOnce in the yard, the YMS tracks thelocation of trailers, often in real time.of strategic initiatives for Savi Technology,a Lockheed Martin company, (650-316-4700, www.savi.com). “With greater visibility,you can manage the inventory andassets in the yard and the operators inthe yard in a more dynamic manner.”For that reason, the return on investmentfor a yard management system isfound in different areas than the returnfor a WMS or TMS. “While your yardoperators may be more productive,you’re not getting an ROI from laborsavings,” says Tom Kozenski, vice presidentof product strategy for RedPrairie(877-733-7724, www.redprairie.com).“The ROI comes from increasing thethroughput of trailers in and out of thefacility and by controlling or reducingyour demurrage charges.”Who is a candidate for a YMS?Suppliers say there are no hard andfast rules, but typically YMS users have4 ways to track trailers with RFIDFour technologies are used to trackthe location of trailers and otherassets in a yard management solution.Passive RFID, including EPC-styletags, are primarily used to identifya trailer or container. Since thesetags don’t have a battery, they can’tbroadcast their location. Instead, yardvehicles equipped with an onboardRFID reader can read the tags on trailersas the operator drives through anarea.Active RFID tags include a battery.With onboard power, these tagseither more trailers or more dock doorsthan can be easily managed visually oron spreadsheets. “We’ve implementedsystems in facilities that are managing100 to 300 trailers a day,” says RonLazo, a vice president at ManhattanAssociates (770-955-7070, www.manh.com). “We’ve also had users trying tobetter manage the throughput at theirdock doors. It’s often a function of thesize of the yard and how much visibilitya company has into its yard and dockoperations.”Early adopters include retail andwholesale grocery distribution centersand just-in-time manufacturing operations.The military is also adoptingGPS-enabled YMS systems to tracktrailers, containers, assets and equipmentacross very large outdoor facilities(see box, p. 34).broadcast their location in real time toa network of access points in the yard.GPS is emerging as a solution fortracking assets across very large outdoorareas (see box, p. 34), where thecost of installing an infrastructure ofaccess points would be prohibitive.Sensor technology, combined withan active RFID or GPS tag, allows auser to not only track the location ofa trailer or asset in the yard, but alsoto monitor environmental conditionsthat may have an impact on the asset,such as humidity or temperature.RFID tags are often applied to atrailer when they enter the yard fortracking purposes.YMS 101In some respects, a YMS operates justlike a WMS in the yard. “You can think ofthe yard as an outdoor warehouse,” saysAmir Ben-Assa, industry solutions marketingdirector for AeroScout (650-596-2994, www.aeroscout.com), a providerof WiFi-based yard management solutions.“You’re extending your warehouseoperations outside your four walls.”In fact, you can draw parallelsbetween the four basic operationsmanaged by a WMS inside a warehouse—receiving,putaway, pick andpack, and shipping—and the operationsmanaged by a YMS in the yard.Receiving: Prior to the arrival of atrailer, the YMS will receive an advanceship notification (ASN) that a shipmentis on the way. When it arrivesat the gate, it will be checked in—orreceived—into the system in one ofthree ways:1) Manual: Information, like thetrailer number, the seal number on thetrailer, the driver’s identification, and apurchase order, may be keyed in by theoperator at the gate;2) Semi-automated: An RFID tag isaffixed to the trailer. When it arrives atthe gate, a reader identifies the trailerand the system presents an electronicform for the check-in clerk to fill out.3) Automated: An RFID-enabledtrailer passes through a portal at thegate without stopping. A reader in theportal time stamps when the trailerarrives and when it leaves.Putaway: Once the trailer has beenreceived, the system knows what’s onthe trailer and when it will be needed.Based on business rules created by theuser, the driver is directed to a spot inthe yard to park the trailer. If the driverputs the trailer in the wrong spot, theRFID tag will broadcast its location andthe system will automatically updatethat information. If the inventory in thetrailer is needed right away for a manufacturingprocess or to complete an orderin a distribution center, the trailer can bedirected right to a dock. Think of it as32 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

modern INFORMATION MANAGEMENTU.S. Army Depot uses YMS and automatic identification to track inventoryHow do you track mobile assets thatmight be stored anywhere among the1,200 buildings and yards in a complexthat covers 59 square miles?That was the problem facing theSierra Army Depot (SIAD) in northernCalifornia. It serves as a multi-functionallogistics center for the storage, maintenance,assembly and containerizationof thousands of operational stocks andother major end items on behalf of awide population of customers.If those assets are inadvertently misplacedor their location mis-recorded,it could take days or even weeks ofmanpower to search the vast area toretrieve them.The solution: SIAD is implementingan asset managementand real-time locating system (SaviTechnology, 650-316-4700, www.savi.com/capabilities/products/smartchain-am.html)that will use assetmanagement software in conjunctionwith RFID tags, readers and handheldsthat apply GPS technology toimprove visibility, accountability andthe annual inventorying of assets.The result: By tagging importantassets as they move through the complex,the solution will help personnelreduce hours spent searching for criticalcontainers, major supplies and equipmentas they move on, through, and offthe facilities, thus improving operationalefficiency and cutting costs.The solution also improves assetinventory utilization, and—via automatedalerts—speeds the monitoringof environmental conditions of medicalequipment and supplies stored inspecial containers required for rapiddeployment into the field of operations.When it’s fully deployed, the solutionwill provide the ability to tag andaccurately track items that belong tothe depot and remove tags when theassets leave the facility. Sensor technologywill provide visibility of serializeditems. RFID and other automatic identificationtechnologies will enhance themanagement of inventory and assets.Finally, the data collected by the systemwill allow the Army to analyze thecurrent processes at the facility andrecommend improvements. —BobTrebilcock, Editor at Largecrossdocking for trailers.Picking: When a dock doorbecomes available, the system willidentify a trailer in the yard thatmatches the equipment at that door. Itthen sends an electronic move requestto the mobile computer in a spotter’scab. Since the system can also trackthe location of all the operators in theyard, it will choose the spotter closestto the trailer that needs to be moved.Along with tracking trailers, a YMSmakes sure the right trailer is at thedock for unloading.Shipping: When a trailer at a dockis ready to be moved, the system directssomeone to pick up the trailer. Whenthe trailer leaves the facility, the gateprocess is repeated.Beyond the basicsTrailer check-in, tracking and movementare the basics. Users who have thosedown, are now using YMS to extendother applications, like a warehouse ortransportation management system, orto track assets other than trailers in theyard. If the basics are YMS 101, thesenew approaches are YMS 2.0.One approach is to use YMS functionalityto extend the warehouse tothe yard. “If the YMS forwards inventoryinformation to a WMS, the systemcan automatically identify hot trailers—trailersthat have inventory that’sneeded right away—and can accelerateor prioritize the work for the yard operators,”says RedPrairie’s Kozenski.Another is to think of YMS as part ofa broader transportation managementsolution, says Manhattan’s Lazo. Yes, aYMS captures information that can flowto a WMS system, like the contents ofthe trailer, “but you’re really managinginbound and outbound transportation aswell as getting better visibility into theavailability of trailers for the appointmentscheduling for shipments.”If a carrier sends a detention charge,for instance, a shipper can validatewhether a trailer was really tied up inthe yard. Shippers can also use the systemto track carrier performance, auditinghow many shipments were deliveredon time or late. “It can be an importanttool for carrier compliance,” says Lazo.As a broader asset management tool,these systems can be used to keep trackof the location of an asset, as well as howlong that asset has been in the yard. “Weuse the system to manage assets, likepesticide cylinders and equipment, thatrequire scheduled maintenance,” saysSavi’s Kenney. “Based on business rules,the system can send an alert several daysprior to a major overhaul to a maintenancesystem. The system can also sendan alert when an asset is moved into anarea where it should not be.”Finally, the next step in YMS functionalityis to tie the RFID tag trackingthe location of a trailer or asset intosensors that can track any changes inenvironmental conditions that mightimpact the product inside the trailerand to then send an alert to a decisionmaker. A change in the temperatureinside a refrigerated trailer, is oneexample of a condition that sensorsmight monitor. “These applications arestill at the pilot stage,” says WhereNet’sRaymond. “But they are emerging.”34 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

modern WAREHOUSE/DCREAL DC STORIES:LOW COSTDEEP IMPACTBY MAIDA NAPOLITANO, Contributing EditorYou don’t always need hundreds of feet of conveyor or fancy equipmentto achieve real productivity improvement in your warehouse or DC. Thesemanagers found significant savings by working with the equipment theyalready had—and, in some instances, with just a few minor IT tweaks.With spring nearly upon us, it’s the perfect timeto regroup and take stock of your distributionoperation. You may want to walk your warehouse,study your layout, watch your workers, and performan information technology (IT) systems audit. Lookfor opportunities to increase your picker’s productivity,squeeze more storage space, and ultimately reign in youroperating costs.Of course, it’s easier said than done. So, to help you getstarted we’re going to take a closer look inside three very differentwarehouse and distribution center operations that spanfrom thousands of square feet of private warehousing space tomillions operated by a third party logistics (3PL) provider.While all the locations we cover here are geared for verydifferent operations, all share one common theme: The managerswho run these operations achieved new efficiencies byworking with the equipment they already had—and in someinstances, just a few minor IT tweaks. The managers you’reabout to meet prove that you don’t always need hundreds offeet of new conveyor or fancy equipment to achieve real productivitybenefits.J.B. Prince cooks up low-cost improvementsJ.B. Prince has been supplying top-tier restaurants, includingthose located in resorts and cruise ships, with the highestquality, hard-to-find kitchen tools and equipment fromaround the U.S., Europe and Japan for more than 30 years.From 1996 to 2006, this family-owned company hasoccupied the 11th floor of a 12-story building located in midtownManhattan, housing a showroom, corporate offices anda 7,000-square foot warehouse. Within this warehouse, theykeep stock of about 2,700 SKUs and pick and pack ordersfrom catalog sales from their online store as well as ordersfrom other distributors.Running a warehouse in the middle of Manhattan maygive the heebie-jeebies to any self-respecting DC manager,but to Larry Prince, the company’s vice president, it’s beenthe key to their business success. “In the world of fine dining,everybody who’s anybody comes to Manhattan at somepoint or another, and we’re here to provide them with instantaneousservice through our showroom.”Such strategy is obviously working, because over the pastdecade business has been booming. Two years ago, to keeppace with its success, the company added 5,000 square feetof reserved storage space on the 12th floor. It not only helpedopen things up, but it also exposed how inefficient their pickingoperation was on the original 11th floor.More business from online sales also meant that storagewas again creeping to near-capacity. Prince decided to recruitTranSystems|Gross & Associates, a Woodbridge, N.J.-basedfirm specializing in materials handling and design, to rationalizethe operation. Geoff Sisko, the senior consultant forthis project, quickly found a few more problems.“The storage racks had been laid out in very long rows,running parallel to the outside wall,” says Sisko. “Pickerswere putting a cart at the end of the aisle and walking along distance to get the items.” By making the rows ofstorage perpendicular to the outside wall, it shortened the36 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

aisles, so pickers only have to walk ashort distance.As an added benefit, outsidewindows, that werepreviously blocked by storage, now threwlight into the area for a better workingenvironment. Aisles were made narrowerand shelves were adjusted so thatpick positions could be more appropriatelysized to the item it occupied creatingadditional space. So much space wascreated by changing the layout that thereis still space for storage on both the 11thand 12th floors.To reduce pick time, pallets of popular,fast-moving SKUs were set up bythe shipping area. A low-cost, gravityconveyor was added to the packing areato allow for accumulation and eliminatethe need for people to carry boxes in acongested area.With these new layout and equipmentstrategies, picking efficiency hasgreatly improved. Overtime has beenreduced significantly and they haveconsistently been shipping orders outin one business day. It’s also become asafer, cleaner place to work.“Knowing what I know now, I shouldhave done this sooner,” adds Prince.United Facilities skates to benefitHeadquartered in East Peoria, Ill.,United Facilities operates seven facilitiestotaling 4.5 million square feetin California, Colorado, Illinois andBy making the rows of storage perpendicular to the outside wall, it shortenedthe aisles, so J.B. Prince pickers only have to walk a short distance.Florida. The 3PL has been providingwarehousing and distribution servicesto Fortune 100 companies for morethan 50 years. “Our customers are likeevery consumer out there,” says LarryYocum, vice president of operations.“They want high quality at low cost—and that’s exactly how we do it.”During the past six years, United hasseen a surge of customers taking advantageof their flexible labor pool to meetpost-production product packaging andassembly needs, such as the building ofcustom grocery displays and creationof warehouse club packs—commonlyknown as value-added services (VAS).Dan Altorfer, vice president and athird-generation member of the familythat started the company, says VAS isnow a daily occurrence in their business.“Every day we have anywherefrom a dozen to a hundred people doingsome form of VAS.”Because of the “episodic” natureof these labor-intensive projects, theoperations team had to set up stationsthat were highly flexible. The team initiallyset up tables with workers manuallycarrying trays and cartons betweentables and pallets. “The tables did notgive us any accumulation line,” saysJody Hunt, an industrial engineer forthe company. “By using an inexpensiveflexible conveyor, we were able tostretch the line as far as we wanted tocreate accumulation, yet put it asidewhen we didn’t need it.”They bought a skate pallet, whichis a four-sided piece of aluminum withwheels, so that workers can quicklymove a pallet of one SKU down theline when assembling multi-SKU pal-J.B. Prince’s 11th-floor showroomof kitchen tools and equipment inmidtown Manhattan.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 37

modern WAREHOUSE/DCBy using inexpressive, flexibleconveyor, United Facilities can pullworkers out of an existing line andcreate a new line for a new project.ating each pallet jack was 50% lowerthan the cost for operating the lifttruck. “Implementing these low-costalternatives has kept us competitivein the 3PL marketplace and allowedus to share the savings with our customers,”concludes Altorfer.lets. With these low-cost equipmentadditions, United has seen more thana 9% increase in productivity improvementduring the past two years. “I wasable to pull workers out of an existingline and create a new line for a newproject,” says Hunt.For picking full pallet and full casegrocery items, the team noticed thattravel time was very high—lift truckoperators were traveling from oneend of the warehouse to the other.Because there was no logic as to howproducts were slotted, full case pickersneeded to stop and rearrange cartonsto keep heavy items on the bottomand lighter items on top.“By using our WMS and with alittle help from our customers onsales trends, we were able to zone ourwarehouse, rank products accordingto weight, movement and hits, whichin turn increased our picking outputby 20%,” reports Yocum.More agile, double-pallet jacksreplaced the cumbersome 5,000-pound lift trucks that were used topick full case orders. With the 96-inchlong forks, these jacks could pick twoorders at a time in one trip around thepick area doubling productivity. Inaddition, the cost per hour for oper-Low cost, deep impact tipsConducting a generalassessment:Geoff Sisko of Transystems|Gross& Associates: Watch the staff asthey do their job. What would maketheir job easier? What gets in theway of their being able to performtheir duties? Do some housekeeping.Make sure there’s enough light,make sure labels are clean, readableand scannable, and make sure thereare plenty of trash containers. Peopleworking in a dirty place don’t workas well as people who work in a cleanplace.AcuSport hits picking productivitytargetsConsumer spending may be at anall-time low, but don’t tell that togun store owners across the country.Guns and ammunitions are selling ata record pace amid reports of strictergun control with the new presidentialadministration.Such news bodes well for AcuSportCorporation, recognized nationwideas one of the leading distributorsof shooting and sporting productsand services. The company operatesa 100,000-square-foot distributionfacility in Bellefontaine, Ohio.Mary Grim, director of operations,explained that the AcuSport distributionteam strives to make its ware-Technology:Jeff Ross of Transystems|ESYNC:High-tech may not always be theanswer. Look at the basics. It mayrequire some data analysis and alot of work to get there, but smart,simple changes on how to store apick and how to move an item canhave a significant impact on productivity.A lot of times you can workwell with what you have by adding afew enhancements. Simple systemschanges might be all you need.Change:Larry Yocum of United Facilities: Establishcommunication to the floorand to the people involved so thatthey have an understanding of whatis changing, how it’s changing, howwe’re going about the change, andhow it will benefit them. Make thempart of the team because gettingworkers involved gets you buy-in.Managing multiple facilities:Jody Hunt of United Facilities: Whenoperating multiple facilities, checkout the other facilities. Look at who’sdoing the best productivity-wise, withthe least errors, with the most on-timeshipping. Observe what they’re doingand take that to your other facilities soit works for them.38 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

AcuSport’s 100,000-square-footdistribution center in Bellefontaine,Ohio, is designed to guarantee timelyshipping, same-day if required.house an extension of each customer’sbusiness through guaranteed timelyshipping—same day if required—andthrough reliability that ordered productsare available to ship. Maintainingextremely accurate inventory is givenhigh priority, so customers can orderwith total confidence.AcuSport’s unique distributionnetwork, reconfigured followinga 2006 project with consultingand systems integration companyTranSystems|ESYNC, supports twodayshipping regardless of customerlocation with reduced overall logisticscosts.During the implementation ofthis network reconfiguration, Grimand the distribution team recognizedopportunities to improve theirOhio facility. So, in May of 2008,AcuSport turned to the consultingfirm again to assess options to usespace more effectively, reduce thepick zone footprint, and to improveprocess efficiency.Working with the AcuSport distributionstaff, TranSystems|ESYNCuncovered opportunities to reducepick zone size, thus reducing the traveldistances between picks. According toSenior Consultant Jeff Ross, “We sampledmultiple pick tours and found thetime spent traveling between picks tobe longer than expected.”Based on this information, theconsulting team analyzed the impactof reducing the inventory levels inpick locations and optimizing themix of pick location types. Using thisapproach, senior consultant HowardTurner estimates that the pick zoneshould shrink by about 60%. To identifythe optimal pick location for eachitem, the dimensions of the productsneeded to be captured.Accordingly, AcuSport purchaseda dimensional data collection systemcalled Cubiscan (from Quantronix,801-451-7000, www.cubiscan.com)that automates the process of obtainingproduct dimensions using ultrasonictechnology. To keep costs low,this equipment can be rented on anas-needed basis. According to ClarkSkeen, Quantronix president, “Thedimensions and weights are storedand transferred electronically, sothere’s no lost time, no lost data, orTo support AcuSport’s commitment for availabilityof the right products at the right time, inventoryis allocated when the order is placed.expensive and error-prone data entry.”The collection of this essential informationis nearly complete.The project team also found an ITissue that previously restricted theability to replenish inventory fromoverstock to pick locations and makeother material moves. To supportAcuSport’s commitment for availabilityof the right products at the righttime, inventory is allocated when theorder is placed.The issue effecting the ability tomove inventory within the warehousestemmed from the manner in whichinventory was allocated. Previously,the quantity ordered was allocated toa specific location in the warehouse,‘freezing’ its movement. Fortunately,AcuSport’s in-house IT staff wasable to quickly deploy an enhancementenabling not only the strictallocation of inventory for customerorders, but also delaying the commitmentto a specific location untilpicking begins.As a result of this and other lowcost,high-brainpower IT recommendations,including creation of a ‘hotreplenishment’ report and enhancementsto the cycle count discrepancyreport, replenishment and other materialmoves are completed more effectivelywith improved overall warehouseperformance.Armed with the data collectedthrough the Cubiscan, AcuSport’snext step along the path of operationalexcellence is to kick-off the pick zoneoptimization project late this year—significantlyreducing travel distances ofpickers and thereby doing wonders totheir picking productivity.Maida Napolitano is a contributing editorto Modern’s sister magazine LogisticsManagement.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 39

modern SHOW COVERAGEProMat 2009:Solution centralWith a record number of exhibitors, ProMat 2009 (heldJanuary 12-15 at Chicago’s McCormick Place) provideda wealth of ideas for improving productivity at yourcompany. The products and technologies on the followingpages illustrate key products and news that Modern’s teamof editors discovered at the show.Show DailyFor complete ProMat Show Daily coveragefrom Modern visit www.mmh.com/promat.40 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

SSI Schaefer unveiled fully automated case picking systemThe Schaefer Case Picking System (SCP) was introduced in apress conference. The SCP system seamlessly automates all processesfrom receiving, de-palletizing, selecting, sequencing and palletizingof mixed case palletloads, said Cory Flemings, executive salesmanager for the automation and systems division of SSI Schaefer.“The system has the capability to handle anywhere from 30,000to 300,000 cases per day with higher performance and fewer errorsthan traditional distribution centers,” Flemings said. By removinglabor from the process, users are expected to attain a drop in costper-unitshipped by up to 30%.Initially created for use in high-SKU environments like groceryand consumer electronics handling, the system generates savingsthrough advanced computer simulation of pallet-load building.The software that controls the order-picking and sequencing systemstarts with order information and builds cube-optimized pallets invirtual space first.Then the software tells the systems which trays to deliver to theHK introduced amicro-load AS/RSHK Systems, Inc. introduceda new automatedstorage and retrieval system(AS/RS) designed to handlemicro-loads—cases and totesweighing up to 75 pounds—inapplications requiring densestorage and high throughputfor a diverse set of SKUs, casesand/or totes. With verticalspeeds of up to 600 feet perminute (fpm) and horizontalspeeds of up to 1,500 fpm, andthe ability to add up to fourextractors, the system canexecute up to 500 putawaysand retractions per hour.“U.S. commerce has beenredesigning the unit loadHK Systems’ new automated storageand retrieval system handles cartonsand totes up to 75 pounds. Paul Gines(left), Mike Kotecki (center) and LarryKaiser (right).from pallets to cases, and now from cases to eaches,” said MikeKotecki, senior vice president. “This family of machines is designedto work in applications such as case and tote replenishment in a pickto-lightenvironment, or carton flow replenishment in a case-pickingapplication.”Manufactured in HK’s plant in Salt Lake City, Utah, the machinecan handle cases and totes with dimensions ranging from 8 inches to24 inches. With the ability to support an array of extractor mechanisms,it creates a more efficient and more responsive supply chain,capable of fulfilling smaller order sizes at increased frequency.Key features of the micro AS/RS machine include industry leadingspeeds and accelerations, scalable design, multiple and flexibleextractor options, and dual and independent lift carriages. The systemrelies on dynamic shelving—warehouse management (WMS)software technology—to maximize the use of shelf space.pick station—and in what order. This results in palletizing robotsreceiving products in the correct sequence, allowing the SCP tobuild cube-optimized, store-ready pallets by family group.Product characteristics are entered into the system through theSchaefer Vision System cube dimensioning unit that collects andstores physical data. This information is used by the software to calculatevolume-optimized and scalability-oriented pallets.Further, a hybrid packing station with dual encased pallet liftsensures that the robotics always have a pallet in process. While thesystem finishes building a pallet on one lift, the other lift lowers itspallet through a two-level wrapping system that ensures pallet stabilityand integrity.The first system is currently being built in York, Pa., and isexpected to be operational in January 2010, and a second system isunder construction in Germany, Flemings added.AC-powered reachtruck at ToyotaToyota Material Handling, U.S.A., Inc.unveiled a line of AC-powered reachtrucks designed for DCs, retail operations,refrigerated warehouses and thirdparty logistics (3PL) applications. Thenew line is available in three models,including a single reach lift truck in3,500- and 4,500-pound lifting capacitiesand a 3,000-pound capacity doublereach truck.While AC-powered trucks are notnew to the market, the new line isdistinguished by an AC-powered drivesystem, an AC-powered hydraulicsystem (on 36-Volt models) and maintenance-free electric diskbrakes. Because the AC system contains no motor commentator,brushers or springs, maintenance costs are lower. The drive systemenables operators to handle more pallets per hour and per shiftfor increased productivity.“The new series was designed with the specific needs of ourwarehousing customers in mind, including product travel speedsthat are up to 17% quicker than previous models, and fewer serviceintervals,” said Brett Wood, president.While the new series is scheduled to go into production thismonth, Toyota also debuted a hybrid concept lift truck that usesthe same hybrid technology used in the Toyota Prius. The truckcombines the best of electrical and internal combustion enginetechnology, allowing the vehicle to shift between battery andengine mode to operate with optimum fuel and emissions efficiency.Toyota is also exploring concepts that may use compressednatural gas, fuel cells, biodiesel and ethanol.While there is no date set for production, “the concept vehicledemonstrates our global charter to develop innovative technologiesand products that are environmentally responsible and economicallyviable,” said Wood.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 41

modern SHOW COVERAGEIndustry insights from materials handling icon Don FrazierDon Frazier, current chairman of FrazierIndustrial Company—and namesake ofthe new Don Frazier Material HandlingTechnical Training Center—has been a materialshandling industry pioneer and leaderfor more than six decades. As a foundingmember of the Board of Directors of theMaterial Handling Education Foundation,Inc. (MHEFI), his campaign for and supportof technical training for students in highschools and technical colleges is recognizedby the Foundation’s Board by the dedicationof this program in his name.Frazier’s first job out of the Army AirCorps was as an office boy with the publisherof Modern Materials Handling. Hecites his 3.5 years there as providing himwith the foundation of his education in unitload handling.Equipped with his knowledge and a$2,000 inheritance, he started FrazierIndustrial Company in New Jersey in July1949. Asked by his first customer to buildracking for two-level pallet picking, his firststructure consisted of 2 x 4 lumber thatended up as splinters. Frazier rebuilt theracks from structural steel pipe and fittings,setting the stage for the company to becomea leading supplier of industrial racks andrelated equipment.Frazier attributes most of his successas a small company manager to theindustry associations and memberships hemaintained. He participated in and providedleadership to the American MaterialHandling Society (AMHS)—now knownas Materials Handling Management Society(MHMS)—the Rack Manufacturer’sInstitute (RMI) and the Material HandlingIndustry of America (MHIA).Frazier has never missed a ProMat,including this year’s, since the show’s inceptionin 1947. In fact, Frazier’s proposed“golden horseshow” show floor layout—enabling a more equitable distribution offloorspace between large and small exhibitors—hasbeen in effect since the 1960s.Upon his retirement from the day-to-daydealings at his company in 1979, Frazierrelocated to Arizona. His unquenchablethirst for knowledge has led him to pursuehis interests in archeology and literature.Don Frazier has never missed a ProMat, includingthis one, since the show’s inception in 1947.Frazier shared some of his insights aboutthe materials handling industry: past, presentand future.MODERN: In all the ProMat showsyou’ve attended—including the firstshow in Cleveland in 1947—how hasthe show changed?FRAZIER: To say how it’s changed, itneeds a little description of what it waslike in 1947. Before World War II, therewere almost no companies in the UnitedStates with a lift truck, and fewer than thatwith fork trucks and pallets. The war mademovement of large volumes of materialsmostly through Liberty ships to Europe andthe Pacific Rim.The Armed Forces had to have supplieswith speed and in quantity, and manpoweralone couldn’t solve it. Hence, the developmentof fork trucks and pallets to unitizemovements more expeditiously. By the endof the war, the larger companies supplyingthe military had fork trucks and someforms of pallets. And the rest of the industry—seeingthe benefits of unit loads—scrambled to catch up.The January 1947 material handling showwas the first chance for most companies tosee and discuss unit load handling. Beforethe war, there were hoists, cranes, conveyorsand two-wheel and four-wheel hand trucksas the principal tools for moving goods. Butthere were almost no standards. At the 1947show, some of the other peripheral handlingtools were represented, but the forktruck was totally dominant for at least thenext 30 years.MODERN: What’s the most interestingadvance you’ve seen in materialshandling throughout your career?FRAZIER: Computerization and the automaticstorage and retrieval systems (AS/RS)were the most interesting, but the wholepush-button data technology of industryhas revolutionized the handling of everything.MODERN: What are your thoughts onthe importance of education to buildingthe materials handling workforceof today and for the future?FRAZIER: Teach the new material handlinggeneration that job education is on-going,beyond general, high school and collegediplomas. If the material handling workerapplies him/herself, there is no top limit toachievability.MODERN: What advice would yougive to the new workforce enteringthe material handling field?FRAZIER: Pay your bills, keep your wordand respect the people you work with—bosses and underlings both.MODERN: How did your time atModern Materials Handling influenceyour own career in the field?FRAZIER: I spent 3.5 years at MMH in the1940s. It was much more important to mygrowth and learning than any college degreecould have served me. I got in at the bottomof a revolutionary technology and grewwith it to a career experience far beyond mywildest expectations.MODERN: In your opinion, what is theimportance of MHIA to the materialshandling industry?FRAZIER: Trade associations are vitallyimportant to get membership to focus ontogetherness toward the collective bettermentof the industry through standards,safety practices, statistics and education.MODERN: Looking into your crystalball, what are your predictions for thefuture of materials handling?FRAZIER: In the more than six decadesthat I have observed material handling,each decade has had more growth than theone before. There have been a few bumpsin the road, but our industry is far moreresponsible than ever before, and my crystalball says that in the decades ahead of us,our industry and the world we live in willcontinue to improve and become even moreresponsible. —Sara Pearson Specter, Editorat Large42 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

Hyster debuted line of electric lift trucksA new line of electric lift trucks wasintroduced by Hyster Company. Offeringimproved ergonomics and enhancementsfor easier operator use, the AC-poweredE45-70XN was showcased in several specialin-booth demonstrations.“The Hyster E45-70XN series was designedwith the comfort and productivity of theoperator in mind,” said Hyster president PaulLaroia. “This is achieved without compromisingefficiency. By incorporating the latest technologicaladvances and ergonomic features,our new electric product is one of the mostoperator-friendly lift trucks available today.”The remodeled operator compartmentoffers increased foot and leg room. It hasalso been improved ergonomically with arelocated dash display for better visibilityand pallet control. Additionally, a new hoodmakes it easier for the driver to enter and exitthe truck. Other features include a removablefloor plate for quick maintenance andHyster representatives with one of the newelectric lift trucks. From left: Brett Schemerhorn,vice president of national accounts; Mike Adams,regional sales manager of electric products; LorriLewis, manager of promotions and events; andRick Warren, vice president of sales, westernregion and Canada.maximum battery service access to reducedowntime, Laroia added.Additionally, the truck’s traction motor—constructed with steel skin and cast end bellsIntelligrated introduced longcarton logicMaterials handling users with long cartonscan now take advantage of the lower energyand maintenance costs provided by motorizeddriven roller (MDR) conveyor, accordingto Jim McKnight, vice president of systemsales and marketing for Intelligrated, thanksto long carton logic technology.Intelligrated’s long carton logic adjusts to cartonsthat are longer than established zoneson MDR conveyor, said Jim McKnight (left),VP of systems sales and marketing, and GregBorchers, VP of concepting and estimating.This new feature, which has been integratedwith Intelligrated’s conveyor controlsoftware, enables cartons, totes and productsto be accumulated and conveyed properlyeven if they are longer than the zones establishedby the MDR conveyor system.“Prior to this software development, ifproduct was longer than the zone on theMDR conveyor, it would most likely causea jam at the photo eye because the productwas spanning two zones,” McKnight said.“That would require someone to physicallyremove the product, causing a majordisruption in operations and resulting indowntime and lost productivity.”Some solutions available on the marketworked around this problem by removingor reducing the system’s ability to detectjams, which could compromise the machinery,or they would use double zones, whichcut the rate of conveyance, compromisingthe throughput of the system. The solutionintroduced by Intelligrated solves thisproblem by providing dynamic zone lengthadjustments.“The long carton logic automaticallyadjusts the size of the zone to accommodateproducts that are longer than thezones established by the conveyor system,”says McKnight. “That way, the system canhandle a wider variety of product, whichdecreases non-conveyables and increasesoperation efficiency.”for maximum air flow—features speed sensorsthat accurately monitor speed over theentire motor operating temperature range.“All of the vehicles in this series have beenthrough comprehensive environmental andelectrical testing to ensure the trucks exceedall international standards for industrial lifttrucks,” Laroia said.Manhattan providesvisibility to 3PLsThe latest release of ManhattanAssociates’ Extended EnterpriseManagement (EEM) solution featuresinstant visibility for third-party logisticsproviders that need to manage orders,shipments and inventory. The solutionenables 3PLs to consolidate and transportinventory by managing partner-to-partnershipping and providing hubs with theability to complete direct fulfillment.“EEM specifically supports our 3PLcustomers by providing crossdocking andflow-through support that allows 3PLs toplay a key role in the pop-up supply chain,”said Eddie Capel, executive vice presidentfor product management and customersupport. “This capability is seamless due tothe visibility EEM provides, along with thecapability to make quick decisions shouldan unexpected event occur.”Manhattan describes the pop-up supplychain as an approach that allowsretailers and manufacturers to dynamicallyadjust transportation and inventorynetworks to meet changing seasons ortrends. Manhattan’s EEM is designed toconnect trading partners and customersto provide the overarching visibility andevent management capabilities requiredto successfully manage inventory throughglobal supply chains, including those withdynamic and changing demand.Features include: a centralized, browserbasedsolution that allows 3PLs to automatecommunication; end-to-end visibilityof orders, shipments and inventory fromsourcing to cargo delivery; a single, realtimeview for greater inventory control andoptimal fulfillment channels; and the abilityto track events in real time and respondbased on alerts to critical exceptions.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 43

modern SHOW COVERAGEFKI Logistex shows thekey to securityFKI Logistex, a supplier of integratedmaterials handling solutions,announced the release of NetLok, asecure information infrastructure forremote connectivity.NetLok features a closed-loop loginprocedure with a restricted login provision,allowing secure, one-time accessto the network by authorized staff.With reliable 24/7 diagnostics availability,FKI Logistex technical support staffcan log-in remotely to troubleshoot,identify and respond immediatelyto the problem. NetLok proactivelydetects connectivity problems, reducingpotential lapses in diagnostics. Thesystem can also automatically track,record and archive an audit of remotenetwork access.“NetLok is a logical and necessaryanswer to the data security challengestoday’s networked operations face,” saidEric Rice, director of technical support forFKI Logistex North America.FKI Logistex also showcased theLogistex case conveyor product family.The conveyor loop on display demonstratedthe Logistex RT200 right-angletransfer, NB200 narrow-belt and MR200motorized roller conveyor, as well asthe robotic palletizing and depalletizingcapabilities.Mike Thomas, FKI Logistex product manager, with theLogistex MR200 motorized roller conveyor, a time-saving,energy-efficient system that is part of the company’snew Logistex case conveyor product family.The company also demonstrated solutionsfor high-speed sortation, includingthe energy-saving tilt-tray and cross-beltsorters, and the UniSort XV sliding shoesorter, which provides throughputs of upto 400 cartons per minute.Steve Ackerman, president, FKI LogistexNorth America, said, “We’re living up toour commitment of investing in our companyand our industry. We’ve spent moremoney on new products in the last twoyears than in any other two-year period inour company’s history.”Daifuku and Webb showcasedinnovative, automated solutionsFor the first time since Jervis B. Webb wasacquired by Daifuku Co., Ltd. in 2007,Webb and Daifuku America Corp. jointlyexhibited at ProMat 2009.The companies showcased automatedstorage and retrieval (AS/RS) and automaticguided vehicle (AGV) solutions.These products highlight the strengths thecombined companies bring to the materialshandling table, according to BrianStewart, Webb’s senior vice president andchief operating officer.“Together, Daifuku and Webb offer thewidest range of material handling technologiesin the industry,” said Stewart.“Our demonstration at ProMat showsBrian Stewart, COO of Jervis B. Webb highlightedthe company’s latest AGV and AS/RS offerings.how products from both companies worktogether to increase production in thewarehouse, distribution center or manufacturingfacility.”Solutions featured at the booth included:Yale introducednew electric truckYale Materials Handling Corporationintroduced the ERC-VG, the next generationof electric rider trucks. These energy-savingvehicles feature an operator’s capsule thatgoes above and beyond intuitive design andspacious comfort. Designed for a variety ofapplications, from short shuttles to long runsand ramp usage, the ERC-VG offers adjustableperformance parameters that allow forcustomization to the specific needs of theapplication or the operator. The extendedshift functionality provides a balance betweenbattery run time and truck productivity.To meet heavy duty performance requirements,the trucks are built with industrialgrade critical components. The new trucksare also designed with a focus on “humanengineering” to minimize operator strain andfatigue. Controls are positioned for easy, intuitiveoperation. The floorboard is open andspacious. The steering wheel and operator’sseat are offset to reduce fatigue and improveefficiency.As one of the largest volume producersof zero emissions lift trucks in the NorthAmerican market, Yale’s ERC-VG complementsits existing line of lift trucks thatimprove efficiency and reduce energy consumptionat its customers’ operations. A new, faster unit load AS/RS. A highdensitypallet buffer, the system isdesigned to maximize vertical storagespace while maintaining a compactfootprint. SmartLoader Model 3000, Webb’s latestautomatic trailer loading/unloading AGV,which can move loads up to 3,000 poundsand is available with single, double orsingle-side shift forks. SmartCart Model 300. This counterbalancedfork automatic guided cart is guidedby magnetic tape and can be used in avariety of applications, including transportingloads to and from a stretch wrappingsystem.In the solution on display, the AS/RSreceives palletized loads from both theautomatic guided cart as well as the trailerloading/unloading AGV.44 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

Raymond’s iWarehouse keeps watchful eye on lift truck fleetRaymond representatives (from left) JoeLafergola, manager of fleet services; DavidFurman, vice president of marketing; and ScottCraver, manager of business and informationsolutions tout the features and benefits ofRaymond’s new fleet optimizer system.The concept of doing more with less isn’tnew, but the tools are. Lift truck makerRaymond Corp. has introduced iWarehouse,an innovative fleet optimization system thatprovides real-time information and enableswarehouse and DC managers to improveperformance of operators and lift trucks.Raymond’s president and chief operatingofficer Jim Malvaso said, “We bring technologyto the marketplace that enhances operationsand delivers a bona fide improvementto our customers.”iWarehouse connects to the lift truckvehicle manager with a single connector andoffers a constant data flow through a wirelessnetwork. Access to real-time information canresult in more production from operatorsand technicians (whose labor accounts for80% of lift truck costs); reduce the potentialfor accidents; diagnose truck issues remotely;benchmark performance to develop bestpractices; optimize fleet capital and maintenanceexpenses; and move product moreefficiently and profitably.The iWarehouse system is available witha variety of modules to meet specific applicationneeds. Malvaso explained, “We’veentered a new age. We view our trucks asmore as than transport vehicles, they’re alsoDematic’s Multishuttle optimizes order assemblyDematic, a provider of automated logisticssolutions, has introduced the Multishuttle,a flexible automated storage and retrievalsystem (AS/RS) staging solution for applicationsthat require dynamic, high rate,product sequencing to support applicationssuch as: order assembly, goods-to-the-personpicking, and pick-face replenishment.“The Multishuttle solution is ideal forsupplying product-to-piece pick order fulfillmentmodules or mixed pallet buildingoperations,” said Ken Ruehrdanz, Dematic’smarket development manager. “It can alsobe applied as a short term buffer storagesystem or as a parts support system for productionoperations.”The key attributes include high ratecapacity, the ability to accommodate loadvehicles that will provide data and informationto the user. Inside every truck is computerwith a tremendous amount of data.Capturing the information in real-time helpsusers to be more productive and ultimatelymore profitable.”“True, we’re in a recessionary environment,but material handling is the heartand soul of the supply chain. The need forour products and services is still there; it’sfundamental to our culture. We understandour contribution is larger than just providingfork lift trucks,” he said.sequencing requirements, and adaptability toexisting building layouts. The system consistsof multiple levels of AS/RS rack structure,carrier vehicles, conveyor and software. Eachlevel of the rack structure includes a carrierthat travels horizontally to access storedloads, typically totes or trays. A shuttle deviceon each carrier accesses the loads in the rack.Since a carrier is captive in each aisle and oneach level, ultra high throughput capacity isachieved. At the end of each aisle, a verticalconveyor brings the load to the input/outputconveyor. Load sequencing occurs as loadsare retrieved in order for fulfillment.“The simplicity of the modular carriervehicles allows high system uptime, systemredundancy, and low power consumption,”said Ruehrdanz.New VLM and mini-load AS/RS fromDiamond PhoenixDiamond Phoenix introduced two new products at ProMat.The vertical lift module (VLM) is a single bay SMARTdepotVLM. The new machine is designed to meet additional customerneeds where a single bay, rather than a multi-bay, is requested.The new unit can handle loads of up to 1,100 pounds per trayand reach heights of up to 50 feet.The new MaxTriever MiniLoad storage/retrieval machine(SRM) is a stacker crane that efficiently handles totes, cartons,boxes and other items and will help organizations realize highcapacity and high speed throughput. The crane operates comfortablyin cold storage, coolers and ambient warehouse temperaturesand uses standardized and proven subsystems for high reliability.Both products are designed to enhance Diamond Phoenix’sportfolio of solutions for manufacturing, distribution and otherorganizations looking to improve efficiency and overhead costswhile maintaining flexibility for peak seasons and slow downs.Kardex AG acquires Kardex SystemsKardex AG commented on its recent agreement to acquire theassets of U.S. competitor Kardex Systems, Inc., whose offeringsinclude mobile shelving and media station storage products.Remstar International—a provider of automated storageand retrieval solutions—is a company of Kardex AG RemstarInternational Group.In explaining the Kardex Inc. acquisition at a ProMat pressconference at one of Remstar’s booths, Jos De Vuyst, CEO ofKardex AG, pointed out that while it was “good to have our nameback,” the move was more than just the buy up of a brand name.De Vuyst said Kardex AG also plans to continue the Kardex Inc.production site in Lewistown, Pa., and leverage its distributornetwork.Mobile shelving and media cart production will continue atthe Lewistown site, and horizontal carousel products assembledat a Remstar site in Westbrook, Maine, will begin being producedat the Lewistown plant. The Westbrook site will continue as asales, marketing and support site.Kardex Systems Inc. posted sales of approximately $21 millionin its 2007 financial year, and has a staff headcount of 100.mmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 45

Free Online Lift TruckPrice QuotesForkliftcompare.com is the industry’spremier online lift truck databaserepresenting over 3,500 lift truckmodels from over 27 leading OriginalEquipment Manufacturers.The ‘search & compare’ databasecontains more than 175,000 lifttruck specifications and providesusers with: side-by-side modelcomparisons, customized productspecifications and reports, newmodel introductions, resale andresidual value calculators, requestfor quotes, and much, much more.....LIFT TRUCK RESEARCH MADE EASYwww.forkliftcompare.com

RacksOverdock pallet storage rackingThe overdock palletstorage rack provides asecure place for emptypallets in the loading/shipping area to eliminateclutter and prevent tippingand damage associatedwith floor-basedstorage. Also useful forskids or returnable shippingcontainers, thesystem consists of twoshelves installed above a12-foot-wide dock door, yielding up to 100 square feetof additional storage space. The rack is attached to thecement floor with freestanding, heavy-duty conventionaluprights. Single leg configuration allows forklift clearanceand adds no load to a facility’s roof structure. The rack isoffered in three standard configurations or may be customizedto unique specifications. Steel King Industries,800-826-0203, www.steelking.com.Drive-in storage rackDrive-in storage racksystems save space andmoney by storing productson continuous rails thatpermit lift trucks to directlyenter the structure toplace and retrieve pallets.Fewer aisles are requiredto increase storage densityand reduce costs. As ahigh-density, last-in/firstoutsystem, the racks arebuilt on roll-formed rail forstrength and rigidity. Features include top bracing forcolumn rigidity and rack stability and slant back framesand column reinforcement to protect against accidentallift truck impact damage. Durable supports secure therails to the upright frame and continuous fillet weldingpermanently bonds the channel rail supports to the connectionplate. Ridg-U-Rak, 866-479-7225, www.ridgurak.com.Secure rack partitioningFor fast and easy installation, the EZ-Matrix security wirepartition system features a simple-to-use clip for quickattachment and minimal installation time. The systemconsists of 2 x 2 inch square, 8-gauge welded wire meshfor strength and security. For enhanced rigidity, eachpanel includes a stiffening bend. Wireway Husky, 800-438-5629, www.wirewayhusky.com.Longer Lasting Belts• 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-BeltCollapsible &Reusable ContainersSave Money& Resources!Reduce Waste& Damage!Ergonomic!Unique panel design and easy snap-on fastenersprovide ultimate strength and durability.Designed to our customer’s specifications!Learn More! (866) 928-5710www.versi-panelenclosures.comBetter thanLifetimeWarrantyNew Split Line-shaft Spools High precision. Reasonable price. Easy to install. Zero downtime. Can be locked to shaft. Eliminatesneed for keyed spools and shafts.800-770-2358 614-777-0295Fax: 614-777-9448 www.durabelt.commmh.com MODERN MATERIALS HANDLING / FEBRUARY 2009 47

RacksRacking resists earthquakesFor use in areas where seismic activity or other severeconditions are likely, the Pallet Rack Plus system consistsof a beam and upright frame that offers greater lateralstability through larger beam end connectors and footplates.Beams include four-prong end connectors for atighter connection with more surface area between thebeam and the upright post. For even load distribution,the beam is welded 3 inches down from the top of theconnector. All beams have a beam locking key to preventaccidental dislodging by materials handling equipment.Upright frames include two, 35-square-inch oversizedfootplates in five load capacities. Standard heights rangefrom 48 to 240 inches. Penco Products, 800-562-1000,www.pencoproducts.com.Modular panels create instant flow rackPre-assembled Flow Bed panelsdrop in to any existing rackstructure to create a full-widthcarton flow level. Their modularconstruction makes the unitsideal for operations that handlea variety of product widths, frequentchanges in product mixor regular re-slotting of SKUs.Measuring either 18 or 12 inches, the track panels providemaximum conveying space per axle to increaseproduct contact. This produces better product flow fromload point to pick point. Features include HDPE rollerswith 2- or 3-inch centers, 13 gauge galvanized steel sidechannels and a maximum weight capacity of 50 poundsper square foot. Hangerless, low-profile, deck or flow cellend treatments may be specified. Unex Manufacturing,800-695-7726, www.unex.com.Anti-static flow rackAn ESD-rated ergonomic flow rack stores and presentsparts and components to technicians at a workstationwhile safeguarding static sensitive electronics duringassembly. The flow rack structure is assembled fromconductive plastic-coated steel pipe with nickel platedjoints. Slide pipes with a molded plastic flat surface havea low coefficient of friction to allow parts and totes toeasily slide along the sloped surface. Optionally, skatewheelstyle conveyor sections, full width rollers or solidsurfaces may be used for flow. Inclined lane and shelflevels position parts and components for easy retrieval.To ensure the rack and workstation align properly forsmooth operation, guide bars are included. The rackmay also be used in stand-alone situations. Creform,800-839-8823, www.creform.com.48 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

classified/recruitmentErgonomic Holster SystemsLabel HoldersAdvertise inMMH’s Classifieds:• Career Opportunities• New/Used Productsfor Sale• MaterialsHandlingSolutionsTo Advertise, orFor More Information,Please Contact:Jennifer Drevline847-223-5225 ext. 16jenniferd@caseyreps.comAccu-Sort Systems, Inc. 4 215-723-0981www.accusort.comAdvance Lifts Inc. C-3 800-843-3625www.advancelifts.comAeroVironment/PosiCharge 30 866-767-4242www.posicharge.comAigner Index Inc. 26 800-242-3919BuyerZone 11 866-623-5565www.buyerzoneindustrial.comCHEP USA 35www.chep.comCubiScan 23 801-451-7000www.cubiscan.comDecade Products 10 877-999-6229www.decadeproducts.comDehnco Equipment Co. 12 847-382-1579www.mmh.dehnco.comDematic 6 877-725-7500www.dematic.usDiamond Phoenix 13 888-233-6796www.diamondphoenix.comDura-Belt, Inc. 47 800-770-2358www.durabelt.comIntelligrated 8 866-936-7300www.intelligrated.comLXE Inc. 10 877-710-8919www.lxe.comMacroAir Technologies 14 866-668-3247www.macro-air.comMorse Manufacturing Co. 48 315-437-8475www.morsemmh.comPepperl & Fuchs Inc. 11 A-B 330-486-0001www.am.pepperl-fuchs.comProduction Basics 48 800-318-2770mmh109.pbasics.comRemstar International C-4 800-639-5805www.remstar.comSchaefer Systems Intl, Inc. 16 877-724-2327www.ssi-schaefer.usVersi-Panel Enclosures 47 866-928-5710www.versi-panelenclosures.comVertex Standard C-2www.vertexstandard.comWitron Integrated Logistics 33www.witron.comadvertiser indexPage # Phone #This index is an additional service. The publisherdoes not assume any liability for errorsor omissions.Executive Offices225 Wyman StreetWaltham, MA 02451781-734-8000 Fax 781-734-8076Mark Finkelstein, Division PresidentBrian Ceraolo, Group PublisherDorothy Buchholz, Group ProductionDirectorGeri Patti, Production ManagerSales OfficesCT, MA, ME, MI, NH, NJ (north), NY, OH, RI, VT,Eastern CANSteve McCoy, National Sales Director508-261-1120 Fax: 508-261-1121smccoy@reedbusiness.comAL, DC, DE, FL, GA, KY, MD, NC, NJ (south), PA,SC, TN, VA, WVSean Bogle, District Sales Director215-504-5004 Fax: 215-504-5058sean.bogle@reedbusiness.comIA, IL, IN, KS, MN, MO, ND, NE, SD, WI,Central CANBob Casey, District Sales Director847-223-5225 Fax: 847-223-5281bobc@caseyreps.comAR, AZ, CA, CO, ID, LA, MS, MT, NV, OK, OR, TX,UT, VA, WA, WY, Western CANJay Gerson, District Sales Director972-393-5462 Fax: 972-393-5492jay.gerson@reedbusiness.comEUROPEMike Hancock, VP International SalesReed Business InformationQuadrant HouseThe Quadrant, SuttonSurrey SM2 5AS UKTel: 44-181-652-8248 Fax: 44-181-652-8249Web OperationsClive PurchaseDirector, Web Operations781-734-8273clive.purchase@reedbusiness.comDirector of Online SalesPaul Zampitella781-734-8541paul.zampitella@reedbusiness.comCustom Article ReprintsReprint Management ServicesThe YGS Group(800)290-5460, ext. 100modernmaterials@theygsgroup.comMagazine subscriptionsFREE magazine subscriptionsavailable at www.getFREEmag/com/MMHDirect all magazine subscriptioninquiries to:8878 Barrons BlvdHighlands Ranch, CO 80129-2345Phone: 303-470-4445Fax: 303-470-4280E-mail: subsmail@reedbusiness.comeNewsletter subscriptionsKeep up with the latest industry news and resources.Sign-up for our FREE eNewsletters atwww.mmh.com/subscribe.asp

modernTHINKINGFrom steel plant to DCInterstate-McBee sells componentsand kits to diesel engine partsdistributors and repair shops. OurCleveland facility accounts for 12 millionparts (18,000 SKUs). Our facility isthe story here.Our previous DC was running out ofspace, and it was not a safe work environment.It was 24,000 square feet andinventory had to be spread among severalfacilities, accounting for an additional20,000 square feet. That’s inefficientand expensive. It was expensivebecause in addition to the leases andutilities, we were paying employees todrive between buildings.Eighty percent of our business issame-day, where a customer will call usby 3:30 and we accommodate whateverorder is placed if it’s in the continentalU.S. We needed a building thatwould lend itself to that service.All of the warehouses we looked atwere too small. Then we came upon abuilding with clear height, wide spanswith no eaves in the way, and a goodsolid floor. In its previous life it was asteel plant. To my surprise, a steel plantoffered just what I was looking for froma DC. In addition to being convenientlylocated for our employees, the infrastructurewe needed was already here,including the power. Plus, we knew thefloor would hold any load we chose toput on it. After all, it was built to hold20-ton steel-hauling cranes.There were constraints, however.When we moved here it might havetaken 10 minutes just to walk to thefar end of the building to fill an order.With some help from our consultants,Trommer & Associates (330-668-3700,www.trommerinc.com), we implementeda zone-picking environmentwith eight zones. I have seven full-timepickers and now they pick less than sixhours a day because of the efficiencywe gained with this facility.Facilities like this will become moreavailable as the manufacturing basein some regions shrinks. Cities willwork with businesses, and landlordsare more accommodating, too. Thelandlord insulated ours to lower heatloss through the roof and replaced thewindows with high-efficiency glass.Bottom line, distribution doesn’t haveto be a in a box. Because of this facilitywe’re a more efficient distributioncompany.ABOUT THIS MONTH’S COLUMNISTDonald WeidendorfInterstate-McBee,LLCTITLE: Manager of information systemsand warehouse operationsEDUCATION: B.S. in computerscience from North Dakota StateUniversityEXPERIENCE: IT manager for twoinsurance companies: CentralReserve Life and Credit GeneralInsurance; operations manager atManco (the duct tape people); andmartial arts instructor50 F EBRUARY 2009 / MODERN MATERIALS HANDLING mmh.com

THERE ARE TWO DISTINCTPERFORMANCE GROUPS FOR LIFTSADVANCE LIFTS CAN PROVIDE BOTH TYPESHIGH PERFORMANCELOW PROFILES - FAST SPEEDS - LONG WARRANTYA typical 36 inch rise 2500# capacity unit:• Lowered height of 6.5 inches• Main axle bearing 1.75” wide• Full travel speed of 11 seconds• Standard Voltage 230/60/3• Warranty 250,000 Cycles/10-YearsECONOMYHIGH PROFILES - SLOW SPEEDS - LIMITED WARRANTYA typical 36 inch rise 2000# capacity unit:• Lowered height of 7.25 inches• Main axle bearing .75” wide• Full travel speed of 22 seconds• Standard Voltage 115/60/1• Warranty 2-YearsADVANCE LIFTS “P” SERIESADVANCE LIFTS “E” SERIESOur “E” series and all similar lifts are designed as low cost solutions for light duty applications. Our “P” seriesis designed for high production applications. Advance gives you a choice. Most competitors only offer one type oflift. Be careful to compare features like lowered height, speed and warranty to be sure you are comparing applesto apples and specify the right type of lift for your application.EXCLUSIVE ADVANCE FEATURES THAT CREATE SUPERIOR VALUE• Patented Platform Centering Device: This feature doubles or triples the life of a lift.• UL Listed Control Panel Assembler: This feature insures reliability and safety.NOTE: Advance Lifts also offers High Cycle units with 1,000,000 cycle warrantiesand Ultra High Cycle models with 3,000,000 cycle warranties.1-800-843-3625www.advancelifts.com

LEAN &GREEN!Keeping It Simple... andSustainable!Performance + Ergonomics + Productivity = Sustainability... Simply & EasilyConsolidating, expanding or looking toimprove operating efficiencies? Remstarprovides the simple cost effective solutionto help you turn green (sustainable)and make green (profit).From stand alone work stations to fullyintegrated turn-key systems, Remstarprides itself on being able to design andimplement simple and cost effective solutions.With over 125,000 successful installationsworldwide, systems can be delivered inas little as 10 days… simple and fast!For a FREE Sustainability, ROI, space andproductivity analysis in your facility…please call or visit our website to see howRemstar can help you today!Remstar keeps it simple...very simple. Theproof is in the results, ask our customers!Order Picking • Manufacturing Buffering • MRO • Consolidation • Tool & DieWork In Progress • PackagingRemstar.com • 800-639-5805North American Sales & Service Offices: Maine • North Carolina • Texas • California