June - Modern Materials Handling

PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION, WAREHOUSING AND MANUFACTURINGmmh.comJune 2009®Valpak’sspecial deliverypage 14David Fox, Valpak’svice president ofmanufacturingSPECIAL REPORTModern’s salary survey 20EQUIPMENT BUYING GUIDERTLS basics 26INFORMATION MANAGEMENTGoods-to-person picking 30( )

A Handshake That MadeMaterial Handling History.Intelligrated & FKI Logistex announce our strategic combination creating a newleading provider of automated material handling solutions and services. Thiscombination brings together the industry's best expertise and resources.As we join forces, the industry will benefit from solutions that are backed by ourcombined customer centric approach, product development, system design,technology, project management, and customer service teams.Combined we create more innovative solutions.Contact us to learn more.

CONVEYABLESBREAKING NEWS YOU SHOULD KNOWPink pallet jack helps raise $800,000 to fight breast cancerA PINK PALLET JACK donated byJungheinrich Lift Truck Corp. (www.jungheinrich-us.com) contributed toa successful 12th annual RichmondRace for the Cure, the Virginiaaffiliate of the Susan G. Komen forthe Cure breast cancer movement.The pallet jack, with a 3,000-poundcapacity, was used to unload andtransport equipment during theevent, which was held in May andincluded over 9,400 participants.From left, Jungheinrich’s KayDevlin and David Sarawesky,Komen-Richmond’s director andrace co-chair Ruthann Priest, andexecutive director Linda Tiller.“We wanted to give somethingback to the community and foundthat this cause is very close tothe heart of many of our employees.”said David Sarawesky,Jungheinrich planning manager.MS/SCM degree to give students edgeIN SEPTEMBER2009, WashingtonUniversity in St.Louis will launchthe Olin BusinessSchool Master ofScience in SupplyChain Managementprogram (www.olin.wustl.edu). The12-month, 36-credithourprogram will bring together faculty renownedfor knowledge in risk management and supply chainmanagement; a cutting-edge curriculum; and active collaborationwith industry leaders and supply chain issues.Panos Kouvelis (above), Emerson distinguishedprofessor of operations and manufacturing managementand director of Olin’s Boeing Center forTechnology, Information and Manufacturing (BCTIM),will direct the program. “These days there is competitionamong supply chains, not just firms, and the betterchains will win,” he said.Swisslog acquires EVOmaticEngineering SolutionsEXPANDING ITS SOLUTIONS PORTFOLIO in highgrowthbusiness areas was the strategy behindSwisslog Logistics’ (www.swisslog.com) purchaseof EVOmatic Engineering Solutions. EVOmatic isa light goods logistics specialist headquartered inAustria. Founded in 2003, it has experience developingsuccessful logistics technologies.Swisslog, headquartered in Switzerland, is aglobal provider of integrated logistics solutions witha service portfolio that ranges from building complexwarehouses and DCs to implementing its ownsoftware to intra-company logisticssolutions for hospitals. Theaddition of EVOmatic’s mini-loadcranes, load-handling devices,and shuttle systems are welcomeadditions to Swisslog’s unit-loadcranes and pallet conveyingsystems, giving Swisslog the abilityto provide varied and moreflexible solutions for existing andpotential clients.ClearOrbit now TAKE Supply ChainWITH A NEWCORPORATEIDENTITY, TAKESupply Chain(www.takesupplychain.com)has enhanced its product offerings to support continuedglobal expansion. The former ClearOrbit, provider of realtimesupply chain execution and reverse logistics softwaresolutions, has changed its name to reflect the company’sexpansion and transition into a single, global division underparent company: TAKE Solutions Inc.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 3

NEWCertificate Program100% OnlineMOVE UPClimb the Supply Chain of Command.Gain New Skills and Credentials – 100% Online!A Master Certificate in Supply Chain Management is Your Key to Success!Earn a Master Certificate in Supply Chain Management fromone of America’s leading universities and supplement yourexperience with advanced knowledge, techniques andcredentials. Offered by top-ranked University of San Francisco,this multi-course online program is far more comprehensive thanone-day traveling seminars – and more convenient and affordablethan campus-based university programs.Expand Your KnowledgeTap into the insights and experience of accomplished realworldexperts, who share proven strategies via streaming video.Interact with your instructors and fellow classmates via dedicatedmessage boards, chat rooms and email. And do it all aroundyour schedule, with 24/7 online access. You’ll receive a USFcertificate at the end of each course, and you’ll earn a prestigiousmaster certificate after completing just three courses.Get CertifiedIn addition to gaining valuable skills and credentials, you’llalso master critical topics that help prepare you for industrycertification from APICS and ISM. Explore every aspect ofsupply chain management, from functional perspectives totactical implementation to strategic best practices.Move AheadInvest in your career and start reaping the rewards of increasedrecognition, faster advancement and higher earnings. Ready tomove up? Contact us today for more information, and find outhow we can help you rise to the top of the supply chain!VIEW OURFREEWEBCAST NOW!USanFranOnline.com/MMH877-843-5541EXPERT-BASED. UNIVERSITY-BACKED. 100% ONLINE.The Master Certificate in Supply Chain Management program provides some content to help candidates prepare for the CPSM ® Examination.© 2009 All Rights Reserved. Made Available by University Alliance ® –The Nation’s Leading Universities Online. | SC: 195830ZC1 | MCID: 8453

VOL. 64, NO. 6®PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION,WAREHOUSING AND MANUFACTURINGPRODUCTIVITY SOLUTION36 Transform order assemblyA medical supplies wholesaler saved time andspace, and increased productivity by installing anautomated storage and retrieval system.David Fox, vice president of manufacturing, helpedValpak increase productivity with automation, page 14COVER STORYSYSTEM REPORT14 Special deliveryDirect marketer Valpak’s new $220 million production and distributionfacility in Florida is a hub of technology and automated materialshandling.18 Valpak’s automated DC deliversDirect marketer reduces handling: What used to be touched 10 to 12times is now only touched once.FEATURESSPECIAL REPORT20 Salary survey: Weathering theeconomic stormThe results are in: Materials handling professionals are satisfied andsalaries are stable, but budgets are tight in this challenging economy.EQUIPMENT BUYING GUIDE26 Real-time locating systems basicsYou may be able to use RTLS technology to gain visibility and findefficiency in your operation.INFORMATION MANAGEMENT30 Delivering the goodsYou might be able to increase productivity by turning your pickingformula on its head and using automated storage, conveyance and datacollection technologies to bring goods to your picker.SAFETY TIPS33 Outfitting your DC workersHere’s a look at ways to equip your workers to handle the mostcommon distribution center hazards and a few tips to help you choosethe right gear.DEPARTMENTS & COLUMNS3/ Conveyables7/ This month in Modern13/ Lift Truck Tips: Attachments37/ Product Focus: Lift Trucks40/ Product Showcase46/ 60 seconds with...Jim Tompkins, Tompkins Assoc., page 46NEWS9/ Intelligrated purchases FKI Logistex11/ The bar code turns 35 years old12/ Economy showing signs for 2010 recoveryModern Materials Handling® (ISSN 0026-8038, (GST # 123397457), ispublished monthly by Reed Business Information, 8878 Barrons Blvd.,Highlands Ranch, CO 80129-2345. Reed Business Information, a divisionof Reed Elsevier, is located at 360 Park Avenue South, New York, NY10014. Tad Smith, CEO. Circulation records are maintained at ReedBusiness Information, 8878 Barrons Blvd., Highlands Ranch, CO 80129-2345. Phone (303) 470-4445. Periodicals Postage Paid at Littleton, CO80126 and at additional mailing offices. POSTMASTER: Send addresschanges to Modern Materials Handling, P.O. Box 7500, Highlands Ranch,CO 80163-7500. Publications Mail Agreement No. 40685520. Returnundeliverable Canadian addresses to: RCS International, Box 697 STN A,Windsor Ontario N9A 6N4. E-mail: Subsmail@ReedBusiness.com. Pleaseaddress all subscription mail to Modern Materials Handling, 8878 BarronsBlvd., Highlands Ranch, CO 80129-2345. Rates for non-qualified subscriptionsincluding all issues: US, $119.99/yr, Canada, $159.99/yr (includes7% GST, GST#123397457); Mexico, $159.99/yr; International air delivery,$249.99/yr. Printed in U.S.A. Modern Materials Handling® is a registeredtrademark of Reed Elsevier Properties Inc. used under license.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 5

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.

EDITORIAL OFFICES225 WYMAN STREETWaltham, MA 02451(781) 734-8000®THIS MONTH IN ModernMichael LevansGroup Editorial Directormichael.levans@reedbusiness.comBob TrebilcockExecutive Editorrobert.trebilcock@myfairpoint.netNoël P. BodenburgExecutive Managing Editornoel.bodenburg@reedbusiness.comLorie King RogersAssociate Editorlorie.rogers@reedbusiness.comSara Pearson SpecterEditor at Largesara@moxiemarketingllc.comRoberto MichelEditor at Largerobertomichel@new.rr.comTom AndelColumnistJeff BermanGroup News EditorRobert EckhardtSenior Art DirectorDaniel GuideraSenior Art Director/IllustrationNorman GrafDirector ofCreative ServicesBrian CeraoloGroup PublisherEDITORIAL 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 FinkelsteinPresident - Electronics &Manufacturing DivisionREED 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.comTwo automation playbooksIF YOU’VE BEEN SEARCHING for extraordinaryexamples of companies that haveembraced materials handling automationyou need to look no further than Modern’scover stories from this month and last. Andif you read between the lines, you’ll learnthat there’s a little more behind these impressivesystems than just cool technologyand productivity improvements.Last month we had a first-hand lookinside Kroger’s “lights out” facility designedto receive and putaway full pallets, breakthem down and rebuild them into storereadymixed pallets according to how they’llbe placed on the store shelf—and do itall with practically no human intervention.Their goal was to change the way grocerywarehousing is done—and their system mayvery well get them there.This month Executive Editor BobTrebilcock takes us inside Valpak’s newproduction and distribution center in St.Petersburg, Fla., a greenfield facility that’sbeing called one of the most advanced andautomated manufacturing centers in theworld (page 7). On the surface it sounds likea terrific example of inspired innovation outof pure necessity; but when you dig a littledeeper you’ll find that this Herculean effortis paying off on multiple levels since thedesign was tied directly to the company’s20-year growth strategy.Valpak, the direct marketer responsiblefor the familiar blue envelope of couponsand promotions that arrives on the doorstepsof more than 45 million U.S. and Canadianhomes, has not been generally known as ahigh-flying, technologicalinnovator. In fact,Trebilcock reports thatMICHAEL LEVANSGROUP EDITORIALDIRECTORthe last major system upgrade took place intheir older facility, which is nearby the newsite, back in the 1960s and 70s.But when the company went through a10-year stretch of significant growth, it wasfinding that antiquated printing processesand labor-intensive envelope stuffing werebeginning to put a drag on productivity.According to David Fox, the company’svice president of manufacturing, “We hadto add so much labor to keep up with ourgrowth that we were getting less efficient aswe grew.”What follows is not just a detailed storyof a company applying automation androbotics to improve day-to-day processes.Rather, it’s a tutorial on integrated thinking,where the long term goals of the boardroomare being executed inside the fourwalls of the manufacturing and distributioncenter.“The thing that interests me the mostthese days is when we can show the intersectionbetween materials handling andthe business strategy,” Trebilock told meafter he finished this piece. “This story, likethe Kroger story last month, is about muchmore then moving product around withgreater efficiency.”So, if you’re looking to champion a newautomation project, put new life into oldsystems, or handle meteoric growth withminimal additional labor, you may want totake a page from these two playbooks.ENEWSLETTER SUBSCRIPTIONSKeep up with the latest industrynews and resources—sign-up for ourFREE eNewsletters at:www.mmh.com/subscribe.aspMemberMember ofWinnerJesse H. NealCertificates of Meritfor JournalisticExcellenceOfficial Publication ofmmh.com MODERN MATERIALS HANDLING / JUNE 2009 7

Has your company recentlybeen featured in an article?SMARTMARKETINGALWAYS includes positive editorialabout you or your companyREPRINTS PROVIDEINSTANT CREDIBILITYMarketing collateralEmployee relationsInvestor relationsSocial marketingTradeshowsThe YGS Group800.290.5460 x100rbi@theYGSgroup.comtheYGSgroup.com/reprintsThe YGS Group is the authorized provider of custom reprintsand content licensing from Reed Business Information.

usiness segment, but not the rightto use the FKI name. Therefore, whileproducts will retain familiar brandnames, like the Crisplant brand loopsorter, they will now carry the Intelligratedcompany name. As far asproducts and services are concerned,the company will continue to manufactureand support Alvey brand palletizers,Real Time Solution fulfillmentsystems, as well as other equipmenttraditionally offered by Intelligratedand FKI Logistex.While Intelligrated has beenstrong in the warehousing and distributionsegment of the industry, FKIwill enhance the company portfolio ofproducts with its high-speed sortation,conveyor systems, palletizing,paperless pick products, automatedstorage and retrieval systems (AS/RS),controls, order fulfillment systems,RFID implementation, EDS integration,baggage handling systems,warehouse control systems, and totalmaterials handling automation.“In the past, Intelligrated and FKIwere sometimes competitors,” saysCole. “As a result of the acquisition,we can now offer our customers abroader suite of software solutionsand even more sophisticated materialshandling systems than we could asstand-alone companies.”“We can now offer our customers a broader suiteof software solutions and even more sophisticatedGeographic reachThe combined business creates an industryleader in automated materialshandling systems and services, withthe capability of providing a full rangeof mechanical and software solutionsto customers around the world.Intelligrated purchased FKI operationsin North and South America,however, according to McCarthy, “Weare not limited to the Americas. Thecompany’s true focus is on the Americas,Canada and Mexico. By addingoperations through this acquisition,we further enhance our capabilitiesto do business anywhere in the worldand will look to do business beyondthose reaches with very strategicpartners.”WELCOME to the era of social networking. Become a fan of ModernMaterials Handling’s Facebook page. And don’t forget, you can follow uson Twitter at twitter.com/modernmhmagmaterials handling systems than we could as stand-alonecompanies.”—Christopher Cole, CEO and co-founder of IntelligratedDID YOU KNOW…Customer benefitsFor customers, the news is all good.“Our customers will benefit first of allbecause we are an operating companyin the materials handling business,not a financial holding company,”says Cole. “Our management team iscompletely engaged in the materialshandling industry; we grew up in it;we’re part of it; and that’s our focus.”FKI’s Ackerman welcomes thechange. “We’re now owned by acompany that wants to be in our business,”he says. “That leads to investment,which will in turn help to moveus forward in the industry.”For current customers, Cole says,“The center focus of our platform hasalways been customer service, andthat won’t change. Customers getthe best today from each companyand the best of the best as we mergetogether into the future.”Cole added that the companiesrespect the possible concerns of endusers who have millions of dollarsinvested in products and relationships,and says there is no reason forconcern. He says Intelligrated and FKIhave a mutual goal of creating a seamlesstransition, blending the two organizationswithout so much as a hiccup.“Every message we’ve put out there isfocused totally on the customer. Wedon’t anticipate any disruptions or anyinadvertent changes to what customershave come to expect.”“It’s very important for people toknow that the contracts that are inplace will be fulfilled, no questionsasked,” says Ackerman. “In the future,we will bring the strongest elementstogether to offer the best materialshandling solutions.”“When products do change, theywill be enhanced for the end users’benefit and customers will be offeredthe option of buying new andimproved or staying with what theyalready own. We clearly recognizethe massive investment customershave made in our products, and we’rehere to protect those investments,”explains Cole.Associate benefitsAnother key factor highlighted by theteam is the opportunity for growthamong the company’s associates.“We’ve been able to provide a lot ofpersonal growth opportunities for ourassociates,” Cole says. “We’ve beena strong player, one that has demonstratedgrowth in an industry that’s experiencingflatness, and we anticipatemore personal growth opportunitiesand responsibilities for our associates.”Don’t forget about the suppliers.The team believes that suppliers nowhave an opportunity to come togetherand help Intelligrated grow evenfurther by putting the best technologyin front of customers. “Overall,” Coleadds, “we have a great opportunity toenhance shareholder value and give agreat return to the people who haveinvested in our company.”10 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

DATA COLLECTIONThe bar code turns 35 years old1974: PRESIDENTGERALD FORD was inthe White House; JohnRutherford amid energycrisis protesters won theIndy 500; “The Godfather,Part II” receivedthe Best Picture Oscar,the Oakland A’s beat theDodgers in the WorldSeries, and on June 3,the Universal ProductCode bar code symbolwas born.The 35th anniversary of the UniversalProduct Code (UPC) was recentlycelebrated by GS1 US (www.gs1us.org), the developer and administratorof the UPC for more than 200,000businesses in the United States.One of the world’s best-knownsymbols, the UPC comprises a row of59 machine-readable black and whitebars and 12 human-readable digits.Both the bars and the digits conveythe same information: the identity of aspecific product and its manufacturer.Originally developed to help supermarketsspeed up checkout, thefirst live use of a UPC took place ina Marsh Supermarkets store in Troy,Ohio, on June 26, 1974, when a cashierscanned a package of Wrigley’sgum. It ushered in extraordinaryeconomic and productivity gains forshoppers, retailers and manufacturers,with estimated annual cost savingsof $17 billion in thegrocery sector alone.Replacing individualprice-labeling with theUPC resulted in faster,more accurate checkouts,saving consumerstime and money. Shelveswere replenished morequickly, and stores wereable to increase thefrequency and varietyof sales incentives. Italso simplified productreturns and rebates.The UPC was quickly adopted byother industries looking to capturethe benefits. Today, UPCs arescanned more than 10 billion timesa day in applications spanning morethan 25 industries, including consumerpackaged goods, apparel,hardware, food services, healthcare,logistics, government and high-tech.“The UPC made the modern retailstore possible,” says Rodney McMullen,vice chairman of The KrogerCo., which operates more than 4,000stores under different banners ornames. “It allows us to carry tens ofthousands of items in a given storeand move shoppers through quicklywhile offering them many differentways to save money.”Integral to the UPC’s success is itsflexibility—usable on myriad surfaces—andthe foresight of the peopleINNOVATIONS IN PRODUCT IDENTIFICATIONThe UPC’s success has inspired the creation of new ways to identify products for thebenefit of consumers and industry:• The newest bar code, GS1 DataBar, can be found increasingly on coupons and looseproduce. On Jan. 1, 2010, its “sunrise date,” supermarkets will begin scanning andprocessing the GS1 DataBar, which can be configured in different formats to fit a smallerspace or carry additional information, such as “best before” or expiration dates, or lotnumbers.• GS1 Data Matrix, a bar code that resembles a random-patterned checkerboard, holdslarge amounts of data in a relatively small space as compared to traditional linear barcodes,and is becoming increasingly popular for a wide range of applications includingaerospace, pharmaceutical and medical-device manufacturing.• The Electronic Product Code (EPC) carries information similar to that within a barcode, but is read by RFID technology without a direct sight line, rather than beingscanned. The EPC also can carry and transmit additional information. In the retail environment,EPC can enable a checkout process that is nearly instantaneous.UPC timeline1974: First live scan of a UPC bar code;numbering system administered byUniform Product Code Council (UPCC)1978: Two-person office in Dayton, Ohio,was established to assign UPC prefixes tocompanies1980: 10,000th UPC Company Prefixissued1983: UPCC adds Electronic DataInterchange standard to its portfolio1984: Name shortened to Uniform CodeCouncil (UCC)1985: Introduction of UPCs for use oncoupons1989: Introduction of first standard forshipping containers1992: 100,000th UPC Company Prefixissued1997: 200,000th UPC Company Prefixissued1998: Introduction of global datasynchronization and UCCnet Data Pool2001: First UConnect Conference is held2002: Acquisition of RosettaNet2003: Formation of EPCglobal2003: Appointed Manager of UnitedNations Standard Products and ServicesCode (UNSPSC)2003: 300,000th UPC Company Prefixissued2005: GS1 US is created when UCCand EAN combine standards groups toform GS1; as part of GS1 family, GS1 USsupports adoption and implementationof GS1 standards and provides services tosubscribers2005: UCCnet combines with Transora toform 1SYNC Data Pool2008: Formation of GS1 Healthcare US2009: GS1 US-supported FMI ProductRecall Portal goes liveThe Future…2010: Sunrise dates for GS1 DataBar onloose produce and coupons in U.S. retailand GS1 Global Location Numbers in U.S.healthcare2012: Sunrise date for GS1 Global TradeItem Numbers in U.S. healthcarewho designed it with the capacityto identify millions of unique items.Although the range of its use was notenvisioned in 1974, when supermarketscarried a fraction of the inventorythey carry today, the UPC accommodatesthe creation each year ofmmh.com MODERN MATERIALS HANDLING / JUNE 2009 11

LIFT TRUCK TIPSTOM ANDEL,COLUMNISTAttachment issuesAttachments help adjust lift trucks to anapplication. The right service and technologytrends help make for a perfect fit.Christopher Lyon is an expert at improving processes.In fact, as process improvement managerof fleet services for Nestlé Waters North America(based in Greenwich, Conn.), his lift truck maintenance expertisehelps ensure the timely delivery of bottled waterto retailers across the country.Efficiency in this business depends on the ability oflift truck operators to carry two pallet loads of water at atime. At Nestlé Waters distribution centers, that’s donewith single/double attachments (Cascade, www.cascorp.com). Two full pallets of bottled water can weigh as muchas 4,500 pounds, so Lyon makes sure these attachmentsare kept in good repair.The need for timely service and support from fleetmanagers like Lyon is driving dealers and suppliers to collaborateeven more closely on the following trends.Field serviceLyon advises anyone whose materials handling productivitydepends on lift truck attachments to make sure the equipmentis backed by strong aftermarket support, especiallyif a facility relies on specialized attachments. “For us to beconsistent across the board, it’s easier if the manufacturerhas parts availability and that parts are interchangeable,”he says. “The more specialized the attachments, the harderit can be to get parts when you need them.”Fork positioningThe most commonly used lift truck attachment in anyindustry is the side shifter. It enables operators to shiftthe truck’s forks 4 inches to the left or the right to alignthem to properly engage a pallet. The latest trend in sideshifting is the addition of automatic fork positioning. Thisenables the operator to fine-tune the fork adjustment to aload from the cab.To live up to the demand for field service flexibility,Cascade ships its F-Series side shifters predrilled for itsK-Series fork positioners. Its C-Series integral side shifterscan also come predrilled for the same fork positioners.This makes field retrofits possible.Adjusting the pressureThe biggest trend in clamps, another popular attachment,is technology to regulate the pressure required to holdIf your productivity depends on lift truck attachments, make surethe equipment is backed by strong aftermarket support, especiallyif your facility relies on specialized attachments.specific loads without crushing or dropping them.“Different products require different pressures,” saysRonnie Keene, vice president of sales and marketing forBolzoni Auramo (www.bolzoni-auramo.us). “Lift truckmanufacturers are trying to make their trucks work moreefficiently and get more hours out of the battery, and theattachment people are trying to work with them to deliverthe pressures needed to handle these loads.”Bolzoni Auramo developed the Force-Matic valve withthis in mind. Mounted on the lift truck, this manual valveadjusts the flow of hydraulic fluid based on the kind ofload the lift and tilt cylinders tell it they are handling.As fool-proof as these innovations seem, operatortraining is still essential to the proper application of anyattachment. Keene puts it in perspective for his customersthis way: “You have $60,000 tied into an attachmentand a lift truck. Putting an operator with no training ontop of that is like putting your 12-year-old son behind thewheel of a Mercedes and pointing him toward downtowntraffic.”Contact Tom Andel at tandel4315@aol.com.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 13

SpecialdeliveryDirect marketer Valpak’s new $220million production and distributionfacility in Florida is a hub of technologyand automated materials handling.By Bob Trebilcock, Executive Editor

modern SYSTEM REPORTEACH MONTH, A FAMILIAR BLUE ENVELOPEstuffed full of money-saving coupons and promotionsarrives at more than 45 million U.S. and Canadianhouseholds from Valpak, a Cox Target Media Company andNorth America’s leading cooperative direct marketer.Do the math and that works out tomore than 500 million envelopes, andmore than 20 billion coupons, mailedannually by Valpak.To print, assemble and distributethose mailings, Valpak invested $220million to build a new 470,000-squarefoot,state-of-the-art production and distributionfacility in St. Petersburg, Fla.The first envelope was shipped in Julyof 2007.Valpak describes the new facilityas a hub of technology where automationand robotics are at the core of theoperation.The solution designed and implementedby Valpak’s system integrator(Daifuku America, 801-359-9900,www.daifukuamerica.com) has resultedin one of the most advanced and automatedmanufacturing centers in theworld: While 430 workers are employedin the production areas, the movementof raw materials and finished goodsfrom the receiving dock to the shippingdock is almost entirely handled byautomated materials handling systems,including:• A four-crane unit-load automated storageand retrieval system (AS/RS) withroom for 8,250 pallets for the storageof pre-printed inserts and mailingmaterials used in production as wellas the temporary storage of palletizedfinished mail prior to shipment.• A two-crane unit-load AS/RS usedas buffer storage between the printingand collating processes.David Fox, Valpak’s vice president ofmanufacturing• A 17-crane mini-load AS/RS with8,900 tray storage locations for thestorage of pre-printed inserts in totesafter sorting and finished mail traysawaiting palletization.• 14 automatic guided vehicles (AGVs)used to transport reels of printedmaterials from the print area to thecollating area.• Seven rail-guided automatic transfervehicles (ATVs) used to move palletsto various points on a transportationloop within the facility.• A conveyor and sliding shoe sortationsystem that transports totesfrom the mini-load AS/RS to the collatingarea.• Four robotic palletizers used to loadfinished mailers onto pallets forshipment.In fact, lift trucks, the only conventionalmaterials handling technology inthe facility, are limited to loading andunloading trucks.Valpak, however, did not includeautomation for automation’s sake. Eachof the systems was chosen to minimizethe number of times printed andpre-printed inserts and promotions arehandled before an envelope leaves thefacility on its way to a consumer.“In our old facility, we might handlean insert 10 to 12 times before we got itout the door,” says David Fox, Valpak’svice president of manufacturing. “Today,the inserts we receive from suppliersare handled just once when we breakdown full pallets of inserts into totes.The inserts that we print in the facilitywon’t be handled until the consumeropens the envelope at home.”Thanks to automation, the facilitycan now turn around an order in four tosix hours, compared to four days in thepast. But the most important benefitfrom all of that technology is that thefacility can accommodate the aggressivegrowth targets Valpak has plannedfor the future—handling up to 54 billioninserts annually—without addingadditional labor or compromising accuracy,quality or efficiency.Meeting growing demandFounded in 1968 with a mailing of14 coupons to 20,000 households inClearwater, Fla., Valpak was purchasedby Atlanta-based Cox Enterprises in1991. After the purchase, the companycreated Cox Target Media, which hasgrown into one of the leading directmarketing companies in North America.The Valpak Web site (www.Valpak.com)is the largest local coupon site on theInternet. The new manufacturing facilityis one of the largest single capitalinvestments in Cox’s 107-year history.Valpak has not always been at theforefront of automated materials handlingtechnology, according to Fox.Prior to building the St. Petersburglocation, Valpak had a nearby plant inFlorida as well as a second facility inNorth Carolina. The last major systemsupgrades had been performed inthe 1960s and 70s. Meanwhile, CoxTarget Media Inc. had seen its businessincrease significantly over the previous10 years, outpacing the growth of thedirect mail industry.“Our two facilities were at capacityin our printing operations and nearcapacity for envelope stuffing,” Foxexplains. “Our processes were verylabor intensive. We were storing producton the floor or in pallet racks, andPHOTOGRAPHY BY CY CYR/Getty Imagesmmh.com MODERN MATERIALS HANDLING / JUNE 2009 15

Totes and mail trays are stored in amini-load AS/RS.we were moving everything with forklifts, pallet jacks and hand trucks. Wehad to add so much labor to keep upwith our growth that we were gettingless efficient as we grew.”Mail trays are sorted to themini-load.To improve Valpak’s leading position,a dramatic change was necessaryto help sustain the company’s longterm outlook. With the support of itsparent company, Cox Enterprises, thecompany set out to design a premiermanufacturing facility that wouldachieve its business model and meetAGVs transport reels ofmini-magazines to storage.Rail-guided automatic transfervehicles shuttle pallets.its growth needs over the next 10 to20 years.Flexible automationThe new system was designed specificallyto meet the way Valpak’s businesswas evolving. Yes, the business wasgrowing, but it wasn’t necessarily a16 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

modern SYSTEM REPORTA unit-load AS/RS stores pallets ofinserts and envelopes.growth in the number of envelopes thecompany was mailing to householdsevery month. That is limited by thegrowth of the overall population.Rather, the number of inserts andpromotional offers being offered to customerswas expanding at a phenomenalrate. The number of inserts may varyfrom 20 to up to 100 different inserts inan envelope, with an average of around33 pieces per envelope. “But that averagewas growing to around 40 piecesper envelope,” Fox says, “and our goal isto get to 60 pieces per envelope.”What’s more, businesses and marketerswanted the flexibility to targetspecific households rather thanevery household; and to create differentincentives for customers based onwhere they live relative to a retailer orbusiness sponsoring the promotion.In order to “version” their advertising,Valpak wanted the capability to do printruns in increments of 10,000 inserts.That would allow a business to breaka metropolitan area down into targetedneighborhood trade areas of 10,000households. Rather than send out thesame 100,000 inserts to 100,000 householdsin a region, a business could senda different insert to each of 10 differentneighborhood trade areas of 10,000households in that region.“We have national accounts thatwant to be in every envelope we mail,”says Fox. “But a significant portion ofour business comes from local businesses.We wanted to be able to offerdifferent versions of an advertisementso that the consumers living closest to astore may get one offer and the peopleliving further from the store may get abetter offer to bring them in.”That created challenges for the system.“The printing industry is used tocreating economies of scale aroundlong press runs,” says Fox. “We wantedto be the fastest short-run printer inthe industry.”A second over-riding goal was todesign this new facility using leanmethodologies that would take as manytouches out of the process as possible.In the old system, there were a numberof different work-in-process buffers.Product would be printed, storedas work-in-process, staged for anotherprocess, stored again as work-in-processand so on for up to 12 touches for anorder. Since each of those movementswas done manually, increasing salesmeant increasing the labor on the floorto keep the product moving.“We knew we needed to automateso that if we grew we could add volumewith minimal labor,” says Fox. “Andsince this was a greenfield operation,it allowed us to make our processes asefficient as possible from the outset.”The approachValpak and its system integrator firstdesigned and optimized a process. Oncethe optimal process was in place, theengineers designed the most efficientand cost-effective way to automate thatprocess.The last goal was to be as lean inthe implementation process as in thedesign process. “We wanted the besttechnology for each process,” says Fox.“But we also wanted to minimize theRobotic palletizers prepare orders forshipment.number of partners that were involvedto minimize risk.”The final solution made use of avariety of automated materials handlingtechnologies as well as warehouse managementand warehouse control softwaresystems to accomplish all of thosegoals.While printed material is still movedinto buffer areas, today the material mayonly sit for four to six hours – just longenough to ensure that neither the printingnor the collating areas are impactedby an unexpected shutdown. Couponsthat used to be handled 10 to 12 times arenow only handled once, when employeestake preprinted coupons received in bulkand store them in totes in incrementsof 10,000. Coupons printed at the St.Petersburg facility aren’t touched at alluntil a consumer opens them at home.Finally, the facility can quickly respondto demand, turning around an order inas little as four to six hours, compared tofour days in the past.“I don’t think there’s another facilityin the country that has implementedthe level of automation that we’ve donehere,” Fox says.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 17

modern SYSTEM REPORTValpak’sautomated DCDirect marketer reduces handling: What usedto be touched 10 to 12 times is now onlytouched once.deliversBob Trebilcock, Executive Editor4Automated storageand retrieval system(AS/RS)6Mini-loadAS/RS5Conveyor/sortationShipping/receiving12Processingarea7Palletizing,strapping,stretch-wrapping3Printing areaConveyorsystem811AS/RS 293Automatic transfervehicles (ATV)10Automatic transfervehicles (ATV) 3The materials handling system managing the movementof raw materials and finished products through Valpak’snew St. Petersburg, Fla., facility is almost completelyautomated: For the most part, the role of materials handlersis limited to loading and unloading trucks. Thatlevel of automation will allow the company to accommodatefuture growth while remaining as lean as possible.Receiving and putaway: Postalsupplies, inserts and envelopes arrive atthe receiving/shipping docks 1 on palletsand are unloaded by lift truck operators.To validate the pallets and receivethem into the inventory managementsystem, an operator in a processing area2 scans a bar code. Once a pallet hasbeen validated, it’s picked up by an automatictransfer vehicle (ATV) 3 thatdelivers it for putaway into an automatedstorage and retrieval system (AS/RS) 4 .Collating areaValpak,St. Petersburg, Fla.SIZE: 470,000 square feet, manufacturingand distributionAS/RS: 8,800 pallet locationsSHIFTS: 6 days/24 hoursEMPLOYMENT: 430PRODUCTS: promotional couponsVOLUME: Prints 20 billion inserts a year/mails 45 million envelopes per monthPicking: To fill an order, pallets of thevarious inserts that will go into an envelopeare retrieved from the AS/RS 4 anddelivered to an output station. The palletsare delivered by an ATV back to the processingarea 2 . There, an operator picksthe amount of material needed for that1018 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

order to a tote. Once a tote is full, it isweighed, conveyed, and then delivered toa mini-load storage and retrieval system 6that acts as buffer storage for work-in-process.If the pallet still has inserts, it isreturned to the AS/RS 4 .Printing: In addition to suppliedinserts, a Valpak mailing includes couponsprinted in mini-magazine formatsranging in size from 8 to 44 pages that areprinted 7 at the facility. The system automaticallywinds 10,000 units onto a printreel. The print reels are conveyed 8 to asecond AS/RS 9 for temporary storage.Order fulfillment: To complete amailing, the system brings together envelopes,supplied inserts and the minimagazinesat a collating area 10 for processinginto envelopes. Palletizedenvelopes are retrieved from the mainAS/RS 4 , totes of supplied inserts areretrieved from the mini-load AS/RS 6and reels of printed mini-magazines areretrieved from the second AS/RS 9 andare delivered by an AGV to a collater 10 .After the envelopes are formed, a robotplaces them into a USPS mail tray. Oncea mail tray is complete, it is placed on aconveyor and sent back to the mini-loadsystem 6 for temporary storage.Shipping: When enough mail traysare ready to build a pallet, they areretrieved from the mini-load system 6and sorted 5 to one of four robotic sleeversand then to one of two robotic palletizers11 . After palletizing, a cardboardcap is placed on the load. Then it’sstrapped in two directions, labeled andstretch-wrapped. Ready for shipment,it’s transferred by an ATV 3 to the AS/RS 4 . There it remains in storage forone to four days. At the time of shipment,two pallets at a time are retrievedfrom the AS/RS, automatically stackedand strapped, and then delivered by conveyorto the processing area. Finally, thestacked pallets are loaded onto the trailerby a lift truck at shipping 1 .System suppliersSYSTEM DESIGN, INTEGRATION ANDIMPLEMENTATION, CONVEYOR ANDSORTATION SYSTEM, AS/RS, AUTOMATICTRANSFER VEHICLES, PICKING STATIONS,WAREHOUSE CONTROL AND WAREHOUSEMANAGEMENT SYSTEMS: Daifuku America,801-359-9900, www.daifukuamerica.comCONVEYOR SYSTEM (SHIPPING AREA):Automated Conveyor Systems (ACSI), 870-732-5050, www.automatedconveyors.comCONVEYOR SYSTEM (PRESS AREA): MullerMartini, 631-582-4343, www.gma.comROBOTIC PALLETIZER: Fanuc Robotics America,248-377-7000, www.fanucrobotics.comAUTOMATIC GUIDED VEHICLES:Egemin Automation, 616-393-0101,www.egeminusa.comAUTOMATED PLATE HANDLINGTECHNOLOGY: Burgess Industries,800-233-2589, www.burgessind.comLIFT TRUCKS: Cat Lift Trucks, 713-365-1000,www.cat-lift.comINNOVATIONWhen you have a material handling challenge,we’re listening with over nine decades of industry experience.Today’s global demands require innovative boundary-pushing products and person-to-personconsultation from design concept all the way to commissioning. Our history ofcreative, sustainable plastic solutions that deliver outstanding value to ourcustomers is unparalleled. Discover the world-class expertise we can bring toyour storage, AS/RS or supply chain needs at www.rehrigpacific.com.A FAMILY TRADITION OF GROWTH, SERVICE, AND INNOVATIONPhone: +1 (913) 585-1175 • (800) 546-4993www.rehrigpacific.com

modern SPECIAL REPORTSALARY SURVEYWeathering theThe results are in: Materialshandling professionals aresatisfied and salaries arestable, but budgets are tightin this challenging economy.By Lorie King Rogers, Associate EditorFew of us want to think of ourselves asaverage. But when it comes to salaries inthe materials handling field, the averageannual salary (plus bonus) of $78,500 isn’t too shabby,especially when you consider the times.That’s the result of Modern’s second reader salary surveydesigned to help us understand not only the overall compensationof our readers but also their job satisfaction.Last year’s results clearly showed that a majority ofrespondents (54%) were very satisfied with their careerchoice and even more (87%) liked their jobs. The icingon the cake: People were being paid well to do jobs thatthey enjoyed.Surprisingly, this year looks even better: 60% of theprofessionals in the materials handling industry are verysatisfied with their chosen field and 90% say they liketheir current jobs. And according to the results, the mediansalary for materials handling professionals in 2009 is$75,500, an increase of 3% over 2008. (The median isthe midpoint used when extreme high and low numbersskew the average.)Factor in the median $3,000 worth of bonuses andcommissions that most readers say they still expect toearn this year (61% expect to receive a bonus; the averageis $14,000), and the total median income for people inthis field climbs to $78,500.How do materials handling professionals’ salaries comparein similar industries?• The December 2008 issue of Purchasing reported thateven in a challenging economy, the average pay raisein 2008 for purchasing professionals was 4%, bringingthe average annual compensation—salary plusbonus—to $88,206.• The March 2009 issue of Logistics Managementrevealed that the median salary for logistics professionalsis up for the first time in four years, coming inat $85,000.• And, Design News figures the median salary for adesign engineer in 2009 is $84,417, which representsa 3% increase over 2008.Rewarding challengesHappily, 87% of Modern’s readers are satisfied in thematerials handling field and would recommend it to others.Key components of readers’ level of career satisfactioninclude salary and benefits, but relationships withcolleagues and the ability to influence decisions thatimpact their department also contribute. Another importantcommon denominator for job satisfaction is theopportunity to tackle new challenges and find solutionsand improvements to current methodology for their companyand their clients.ILLUSTRATION BY DANIEL GUIDERA20 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

economic stormHow satisfied are you with your careerin materials handling?ExtremelysatisfiedVerysatisfiedSomewhatsatisfiedNot verysatisfiedNot at allsatisfied2009 12% 48% 35% 4% 1%2008 14% 40% 39% 6% 2%Do you like your current job?2009200890%Yes87%Kim Messer, vice president of distributionfor RepairClinic.com, a DetroitbasedWeb site business for home appliancerepair do-it-yourselfers, is very happywhere she is. Her work experiences encompass a number of factorsthat build a satisfying situation—professional challenges,support from management, and the flexibility and autonomy toimplement improved processes. She explains, “I came on board10 years ago when we were a start-up. We were faced with challengesfrom the beginning and now that approach is simply partof our culture. Working with people on day-to-day productionwork, plus meeting demands of increasing sales and productlines has been very satisfying. I’m able to come up with solutionsthat require capital expense, but produce required savingsto support the expense.”“We have a very caring environment that starts from thetop with our CEO, Larry Beach,” Messer adds. “Decisionsaren’t always based on the bottom line, but also on how theywill affect our people and our customers.”That sounds like nice work if you can get it.10%No13%Challenged rewardsWhat about the economy? We couldn’t write this articlewithout talking about it and its influence on wages andworry. Just about everyone, everywhere has been affected insome way by Wall Street’s blues. Unfortunately, the materialshandling industry is no exception. The fallout of thefinancial fiasco for some companies today is the challengeof trying to achieve business goals with fewer resources—budget and staff.The seeds of discontentment in 2008 are the same in2009, with most complaints focused on company politics,management style and levels of pay. This year, some disappointinglevels of pay are exacerbated by cuts, wage freezesand shrinking bonuses.Overall, 39% of respondents reported an increase in salaryover 2008, 51% say their pay stayed the same, and 10%say their base salary decreased. The median salary decreaseamong those reporting a downward turn is 10%.Bonuses based on lower operating costs, increased salesand better inventory management have also taken a hit.Those readers experiencing reductions in bonuses and commissionsreport the median decrease to be 30% this year.Jeff Heath has been in materials handling for 20 yearsand has been a distribution center senior manager for ObagiMedical (headquartered in Long Beach, Calif.) for the pastthree. Despite the fact that he and his staff haven’t receivedpay increases this year, he’s still very satisfied with his job andmmh.com MODERN MATERIALS HANDLING / JUNE 2009 21

modern SPECIAL REPORTEducation paysSalaries are highest for readers with MBAsand other graduate degrees.Level of educationMBA (13%)Other graduate degree (10%)Undergraduate degree (45%)High school/some college (28%)$65,000$61,000Other (3%)$54,000$65,000Median salary$83,000$85,000$78,000$74,0002009 2008$97,700$100,000Experience pays, eventuallySalaries jump up among readers who’ve worked in theindustry for 15 years or longer.Years in the materialshandling industry20 years or longer (41%)15 years to less than 20 years (15%)10 years to less than 15 years (16%)5 years to less than 10 years (11%)Less than 5 years (16%)$54,000$59,000Median salary$70,088$70,000$72,2502009 2008$84,000$80,500$75,000$72,450$84,500what’s happening at his company. “True, we haven’t takenpay increases, but our people are OK with it because we alsohaven’t had to have cuts or layoffs,” Heath says. “We understandthis is a short-term economic environment, so we’reusing this slowdown as an opportunity to retrain our peopleA closer look at our readersIn April, Modern’s research team e-mailed our salary surveyto a sampling of our subscribers. It was exactly the same asthe 2008 version, to compare apples to apples. The marginof error is plus or minus 3.2% at the 95% confidence level.We received 932 qualified responses, up 9.13% from lastyear’s 854 responses.Who responded? The profile of our typical surveyrespondent is 48-year-old, college-educated male who hasa supervisory role within the organization, with an averageof about 30 people in his charge. Of the 71% of collegegraduates, 26% hold advanced degrees beyond the undergraduatelevel.Modern’s readers have been racking up the years: Thetypical worker has been in the industry for an average 17.14years, and most have worked for three or four companies.They have been with their present employer for an averageof 7.49 years and 44% plan to stay put until retirement.and research processes improvements—all things that wedon’t have the time to do when things are very busy.”He adds, “It’s not always about money. This is a challengingprofession and the field continues to evolve with technol-This year, 91% of respondents are male, but that’s down2% from 93% last year. Which, of course, means that morewomen responded to our survey this year—9%, up from 7%in 2008.Respondents’ roles are diverse and include warehouse,distribution, logistics and supply chain directors and supervisors;engineering personnel; facility, operations, productionand project managers; and company management allthe way up to presidents and chief executive officers.On average, the companies our readers work for employabout 525 people, and the median revenue for 2008was $120 million. The primary activity at their locationsis manufacturing, warehouse/distribution and corporateheadquarters. A broad scope of industries is represented inthe survey, including electronics, retail, food and beverage,machinery, fabricated metal products, as well as transportationequipment and services.22 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

What’s your function?Here’s a look at salaries based on job function. As you’dexpect, those in management make the most.Primary job functionCompany management (10%)CEO, president, VP, GM, etc.Plant management (20%)Director, manager, supervisor$80,000$74,048Median salaryEngineering (20%)Plant, materials, industrial, manufacturing, project, etc.$76,900$78,000Warehouse, distribution, logistics (31%)Director, manager, supervisor$72,000$70,000Purchasing (8%)Other (12%)$60,000$53,000$65,000$59,5002009 2008$120,000$100,500ogy and process improvements. There are always continuouslearning opportunities.”Others haven’t been so lucky: 13% of respondents haveexperienced layoffs. During the last 12 months, 65% of thecompanies represented by respondents have experiencedlayoffs and another 65% have a hiring freeze in place.That could explain why many respondents say their jobs arestressful. Compared to two years ago, 53% say the stress level isthe same or lower, but 47% say it’s higher. One plant supervisorat a Michigan-based forklift company is feeling the pressure ofpay cuts coupled with loss of personnel. He feels the expectationsfrom upper level managers and customers to handle morework with fewer people have become unreasonable.Willing to waitMost materials handling professionals clearly think they’reworth what they’re earning and are reluctant to take a cut inpay, even if they were to lose a job. TopGrading Solutions (772-What's your budget?Here’s a look at salaries based on bugetary responsibilities.The bottom line: The more you’re trusted to spend withoutneeding management approval, the more you make.Authorized spending level$50,000+ (24%)$10,000–49,999 (23%)$5,000–9,999 (16%)

modern SPECIAL REPORTRegional roundupMedian salary doesn’t vary much from region to region.Salaries are somewhat higher in the Pacific, Mountain andWest South Central states.Mid-Atlantic (13%)West North Central (10%)$72,500$75,000$76,030$72,000New England (4%)Not everyone is having difficulty,however. Graduates in informationmanagement and supply chain strategyare in demand because they cut costsand improve efficiencies, says JamieBelinne, assistant dean for the Universityof Houston’s Bauer College of Business(713-743-4600, www.bauer.uh.edu).$70,000Mountain (7%)East North Central (24%)Movin’ on up$72,000$78,000$76,600The tough economy may explain why$68,500only a small percentage of respondents$71,000are pursuing other interests and manymore are trying to keep dry and weatherthe storm where they are. When asked ifthey are actively seeking other jobs, 32%of Modern’s readers say they’re happywere they are, 47% are always open tonew possibilities, 14% are passively looking,but only 7% are actively looking.Pacific (12%)South Atlantic (14%) Last year was a good year to make amove. This year, maybe not.$77,723$72,000Mike Flamer, vice president of The$76,010$73,000Dorfman Group (480-860-8820, www.thedorfmangroup.com), told Modern lastWest South Central (8%)East South Central (7%)year that taking a risk on a new employer$82,500$68,000usually pays off financially. The idea was$73,000$73,000that by changing jobs, a person couldincrease salary faster than those whostayed put and accepted an average annual2009 2008increase. This year, however, Flamersays, “My philosophy hasn’t changed, but871-1100, www.topgradingsolutions.com), an executive searchfirm, recently surveyed candidates from the supply chain planningand purchasing sector to determine how long they wouldwait before taking a new job at a lower salary, if they lost theirjob today. Results indicate that despite the unstable economy,people are still willing to wait for better or equal compensation.Who is willing to wait?• 29.7% claimed they would wait 120 days before consideringa cut in their annual salary,• 20.3% said they would wait 60 days,• 16.9% would wait 90 days,• 12.8% would consider it after the first 30 days, but• 20.3% said they would not take a pay cut.Those willing to wait, of course, are seasoned professionals.The landscape for the newly graduated is a little tougher.“New graduates are coming into the workforce at a time when37% of U.S. companies have frozen wages and 10% have haltedpromotions,” says Tom McMullen, who designs compensationprograms for corporate clients at the consulting firm Hay Group(312-228-1800, www.haygroup.com).the reality of the environment has changed. Today, people arenervous about making a move for fear that the next companymight not be financially solvent.”For those who are on the market not because they wantto be, Flamer recommends that they “be prepared to look atall options. A lot of companies are still doing well, so get yourname out there and create a strong social network.”Larry Johnson, a partner with The Search Group (847-854-6322, www.search-one.com), a recruiting company focusedon the materials handling industry, also offers some advice forprofessionals looking for employment and for those just lookingto stay on top of their game. “Stay flexible. If you’re lookingfor a job, honestly evaluate your skill set and see if you canalign yourself in other areas that might be able to utilize yourtalent.” He adds, if you can sell lift trucks, maybe you can sellsoftware or conveyors.Flamer’s advice to working professionals is to remain vigilantfor the strength of the company you’re working at. “Don’tbe lulled into a false sense of security, and do whatever youcan to keep your company successful.”24 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

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modern EQUIPMENT BUYING GUIDEReal-time locatingsystems basicsYou may be able to use RTLS technology to gainvisibility and find efficiency in your operation.By Sara Pearson Specter, Editor at LargeReal-time locating systems (RTLS) can offervisibility and efficiency to supply chain andmanufacturing operations.They work by leveraging radio frequency identification(RFID) tags attached to the assets beingtracked—tag signals are read automatically andcontinuously. Data collected about the tag location,as well as the speed of movement and informationrelated to the asset, is processed by software thatdetermines positional coordinates.These systems address some common challenges:• Finding assets on pallets or in containers storedin the wrong location in a warehouse or yard, andpreventing the expiration of perishable goods.• Locating tools or component parts when neededto prevent production slowdowns and the unnecessarypurchase of replacements.• Locating the correct work-in-process items quickly.• Monitoring personnel movement through highsecurityareas.• Eliminating theft.Given the inherent limitations of RFID technologyin areas with a high concentration of metal—such as racking systems that impede signal transmission—RTLStechnology has principally beengaining ground in large, work-in-process manufacturingand job shop facilities with high ceilings andopen spaces as well as in marine terminals and outdooryard management applications.“The biggest challenge with RTLS is accuracy,”says Andy Bennett, RFID solutions consultant forAsset trackingUsing RTLS, signals from an RFID tag arecaptured by a reader. Data is collected about thetag location as well as other information relatedto the asset and is processed by software thatdetermines positional coordinates.HK Systems (262-860-7000, www.hksystems.com).“If a solution’s read rate reliability is 99.99%, thenyou can probably justify the investment.”The type of RTLS system selected, however, canvary dramatically depending on the application andits unique demands. RTLS systems can calculatean asset’s location down to a 3-foot radius—and insome cases less—to more of a ballpark estimate ofwithin 20 feet. The best choice of technology for agiven application depends on a variety of factors.“RTLS is appropriate if you have a lot of smallIllustrations by Steve Hussey26 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

things in a small area or a lot of big things in abig area that you need to locate—and speed is ofthe essence,” advises David Shannon, senior vicepresident for marketing strategy at Savi Technology(888-994-7284, www.savi.com). “When it comesto putting up an RTLS solution, before you get tooworried about precise RTLS granularity, you shouldhave an area big enough where something can actuallyget lost.” Here we examine RTLS technologies,their component parts, and the most appropriateapplication for each.RTLS TECHNOLOGIESAs previously mentioned, RTLS is driven by RFIDtags. At their most basic level, tags are comprisedof a silicon chip that stores pertinent informationand an antenna to relay and receive data. Whilethe tags themselves come in a variety of shapes andsizes, three kinds have become the most prevalentin RTLS applications:Active tags include a battery to power signaltransmission. While the battery yields a longer readrange and precision to within 3 to 10 feet, it also makesthe tags more expensive. The life of the tag is limitedby the life of the battery, with most lasting five to sevenyears. Adjusting the frequency of the signal transmissionis effective in prolonging battery life.Passive tags are battery-free. They use energyfrom RFID readers to trigger and power data transmission—meaningthey are significantly less expensivethan active tags, but limited in their read rangeand not exactly real time. Subsequently, their levelof precision is more in the 20-foot range, makingthem most appropriate for outdoor, yard managementuse.Ultra-wideband (UWB) tags are the mostexpensive but also the most accurate. These solutionsuse active tags that send short pulse radiowaves at high bandwidths for maximum precisionlocating capabilities, down to a few inches. Thismakes them ideal for high value items or processes,such as just-in-time manufacturing.“Precision is the No. 1 benefit of UWB technologyover the others,” says Greg Clawson, senior vicepresident of worldwide sales and marketing for TimeDomain Corp. (256-922-9229, www.timedomain.com), who notes that the technology has even provento be capable of transmitting signals from inside metalcoolers and warehouses with metal parts and bins.Regardless of the tag technology, the signals fromthe tag are captured by an RFID reader or readersTDOA/TriangulationTime difference of arrival (TDOA), also calledtriangulation, uses software to pinpoint an asset’slocation based on the time difference of signalsreceived by three RFID readers.located in multiple areas. For some applications, avery basic choke point RTLS system may be all that’sneeded to determine the approximate location of anasset. The tags are read when they pass fixed (choke)points in facility or yard—such as through a doorwayor opening, indicating where the asset has been,although not necessarily where the asset currently islocated. In more complex operations, multiple readersare often located overhead indoors or on vehiclesboth indoors and outside.Additionally, sensors may be used in conjunctionwith the readers to monitor the asset’s physical condition,including ambient temperature or humidity.Two methodologies for RTLS data transmissionare principally in use: traditional proprietary systems(more expensive), and systems that piggyback on afacility’s existing WiFi 802.11 wireless infrastructure(less expensive). The tags and readers are speciallyconfigured to accommodate either method.HOW RTLS FINDS ASSETSInformation is gathered from the readers and transmittedwirelessly to a host computer. The collecteddata is then transferred to a host computer wheresoftware algorithms crunch the information to determinethe item’s location as precisely as the base tagtechnology permits. There are a few approaches toanalyzing the signal from a tag.Time difference of arrival (TDOA), alsocalled triangulation, uses data from three RFIDmmh.com MODERN MATERIALS HANDLING / JUNE 2009 27

modern EQUIPMENT BUYING GUIDEAsset tracking usingGPSGPS data is transmitted to the receiver along with otherinformation about the asset from specially configuredtags.readers to receive the tag signals. The time each signal isrecorded is forwarded to the software, which triangulates theasset’s location based on the time difference between each ofthe three signal points.Alternately, some RTLS systems calculate asset locationbased on received signal strength indication (RSSI).This method is based on a map of radio signal strengths atvarious points throughout the facility. Algorithms comparethe most current information about a received RF signal withhistoric data archived within the system to determine thelocation.Global positioning systems (GPS), which relyon triangulation from satellite data, are also employed inoutdoor applications as an additional layer of coordinateinformation. GPS data is transmitted to the receiver alongwith other information about the asset from specially configuredtags.While the options may seem endless, there are a few rulesof thumb to follow when determining which methodology ismost appropriate for a given operation. Define the processFive types of location trackingPRESENCE: The simplest form of real-time locating, thisis the ability to detect the presence of a specific tag ina large area. It might be used to record that a taggedtrailer or container is in a yard or at a port.LOCALIZATION: Like presence, a localization solutiondetects the presence of a tag, but in a small localizedarea. It might be used to record when a tagged trailergoes past a gate.ZONE: In this solution, an RFID reader is installed inspecific zones in a yard, a warehouse or a manufacturingfacility to narrow the search for an asset.RANGING: Based on signal strength, a ranging solutiondetermines that a tagged asset is closer to one accesspoint than another.RTLS: A full real-time location solution pinpoints the locationof a tagged asset. Depending on the RTLS solution,it is accurate from within 5 to 20 feet.that will be implemented and how RTLS information will beused in that process, recommends David Phillips, director ofsales engineering for Zebra Enterprise Solutions (866-230-9494, www.zebra.com).“If the location of an asset is needed in inches, not feet,that will drive you toward RTLS utilizing UWB. If the locationof an asset needs to be located to a work cell or a parkingspot in a multi-acre parking lot, that would drive the technologytoward a traditional RFID solution. If an asset needs tobe tracked and located in a general office area, 802.11 is apreferred solution,” says Phillips.The right RTLS for a given operation often comes downto return on investment, adds Michelle Kiang, founder andvice president of marketing at PINC Solutions (510-845-4900, www.pincsolutions.com). “Think hard about yourrequirements in terms of operations and processes,” shesays. “Are you willing to make changes to your infrastructure,or would you prefer an approach that’s compatiblewith your current process to maximize cost effectivenessand get a faster ROI?”RTLS selection criteriaWhen selecting the appropriate RTLSsolution for your operation, considerthe following criteria, according toAmir Ben-Assa, industry solutions marketingdirector for AeroScout (650-596-2994, www.aeroscout.com):• Does the solution provide widespreadand pervasive enterprisewidecoverage supporting allenvironments, both indoors andoutdoors?• Do you require complete assetvisibility—including location, conditionand status of your assets?• Is the solution scalable? Does itoffer the ability to handle tens ofthousands of assets across multiplesites?• How easy to use and deploy arethe applications and administrativefunctions with automated exceptionhandling and reporting?• For low total cost of ownership,does the solution have the abilityto leverage existing infrastructure,reduce deployment risks as wellas minimize maintenance?• Does the system have flexibleintegration with existing communicationdevices and third partyapplications including enterpriseresource planning, manufacturingexection software, etc?28 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

Real-time locating systems suppliersCompanyWeb siteActive tagtechnologyWiFi (Passive tag)technologyAeroScout www.aeroscout.com ✓Ultra-wide band(UWB) technologyEkahau www.ekahau.com ✓I.D. Systems www.id-systems.com ✓Intermec www.intermec.com ✓M/A-COM Technology Solutions www.macom.com ✓PINC Solutions www.pincsolutions.com ✓RF Code www.rfcode.com ✓RF Controls www.rfctls.com ✓RF Technologies www.rft.com ✓RF Trax www.rftrax.com ✓Savi Technologies www.savi.com ✓Time Domain Corp. www.timedomain.com ✓Ubisense www.ubisense.net ✓Zebra Technologies* www.zebra.com ✓ ✓*Zebra has acquired WhereNet and Navis, two RTLS suppliers750% increase in throughputUp to 100% order accuracyIntegrated distribution systems by Diamond Phoenix arebacked by industry experts and many happy customers.With numbers that read 750% increase in throughput, twothirdsreduction in labor costs, up to 100% order accuracyand return on investments as fast as 9 months, it’s nowonder why.♦ Intelligent and dynamic designs♦ State-of-the-art software♦ Leading-edge order pickingsolutions♦ Expert conveyor systemsintegration♦ Knowledge♦ Experience♦ ResultsContact us today to schedule a tour of ourcampus and manufacturing facility.1.888.233.6796 www.diamondphoenix.com

modern INFORMATION MANAGEMENTDeliveringthe goodsYou might be able to increaseproductivity by turning your pickingformula on its head and usingautomated storage, conveyance anddata collection technologies to bringgoods to your picker.By Bob Trebilcock, Executive EditorFor as long as there has been picking, sending aperson out to get the goods has been the wayto go. The concept is simple: Put the productaway in storage or a pick face, and when it’s time tofill an order, send a picker to that location to get thegoods. Let’s call that person-to-goods picking. It’s asafe bet that in some ancient Egyptian tomb there’s ahieroglyphic of a supervisor sending a worker to a centralstorage area to get the next block for the pyramids.But person-to-goods picking isn’t the only way togo. With the right order profile and volume, facilitiescan realize significant productivity gains by turning thetried and true picking formula on its head and employingautomated storage, conveyance and data collectiontechnologies to bring the goods to the person.Let’s call that goods-to-person picking. What kindof gains are we talking about? When it comes to slowmovingstock keeping units (SKUs), 100 picks per houris an average rate in a conventional warehouse. A goodsto-personpicking solution, on the other hand, can supportsustained picking rates of 450 to 800 picks perhour, depending on the product and the system, and upto 1,000 picks per hour during a portion of a shift.The gains in productivity come from keeping anassociate in one place to do the job and then automaticallydelivering the items to be picked from storage.“Engineering studies show that the person picking ina conventional warehouse spends 40% to 60% of theirtime walking to a pick face,” explains Ross Halket,director of automated systems for Schaefer SystemsInternational Inc (704-731-1625, www.ssi-schaefer.com). “By bringing the goods to a picker at an ergonomicallydesigned workstation, you eliminate the walkingtime between picks and enable more efficient pickingat the point where the task is being completed.”Early adopters have been the pharmaceutical, optical,as well as the health, beauty and cosmetics industries.More recently, the systems have been finding ahome in e-commerce fulfillment facilities, grocery distributioncenters and retailers. One end user installed asystem for kitting medical products for doctors’ offices.The common denominator in all of those examples isthat the systems are used to consolidate and automatethe handling of slow-moving items that get fewer than 25to 30 picks per hour. “Those have relatively low velocityof movement, but you need a lot of space for pick facesand a lot of time is spent picking them,” says Halket.What’s more, goods-to-person picking works best inan environment where there is a relatively high volume oftotal picks, says Ken Ruehrdanz, business developmentmanager for Dematic (877-725-7500, www.dematic.us).“Generally, you’re looking at a facility that might have todo 5,000 orders a day of one to three items,” he says.Automated goods-to-person picking solutionssupport pick rates of up to 800 picks per hour.30 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

Finally, it usually involves goods thatcan be easily stored in a container ortote that can be efficiently conveyed tothe picking station.Meeting changing demandIn some respects, the concept of bringingthe goods to a person is not new,says Tom Brady, vice president of thesolutions development group at FKILogistex (866-599-4735, www.fkilogistex.com).“Years ago, I had a clientwho was servicing about 150 retailstores,” says Brady. “They received atruckload a day of fast-moving product.Rather than put it away, they set up aworkstation at the dock where the orderselectors picked right from the pallets.”While the most of the systems goingin today are delivering containers, totes orindividual items from a carousel or miniloadstorage system to a picker, some usershave adapted the concept to deliver unitPick-to-light systems direct bothpicking and putting operations at theworkstation.loads from an automated storage andretrieval system (AS/RS) to a picking station.“We have installed solutions thatdeliver pallets to a workstation where anassociate picks cartons to a shipping pallet,”says Brady. “We have also installedsolutions that use an automatic guidedvehicle (AGV) or an automatic transfer carto deliver the pallets to a workstation.”Two important factors have cometogether to increase the interest, andaffordability, of these solutions. Oneis the challenge of finding enough reliablelabor willing to work in today’swarehouses, especially as the workforceages. “Piece picking is hard work and it’sdifficult to find someone willing to dothat for a number of years,” says Brady.“If you can make the job less strenuouson your associates, that’s a good thing.”Second is that state-of-the-art warehousecontrol software systems (WCS)have made it possible to synchronizethe automated materials handling anddata collection components of a goodsto-personsolution with the persondoing the picking. The high pickingrates deliver the return on investmentthat justifies installation. “We’re nowable, through software, to match upthe storage tote with a batch of ordertotes and manage the material flow ina way that wasn’t possible or affordablein the past,” says Halket. “We’re able toput together a total solution, and notjust equipment with a payback in threeyears or less. That’s the target.”Benefits of goods-to-person pickingOnce an order is complete, atakeaway conveyor delivers a cartonto a packing station.Getting goods to the personHow then do these systems work? First,they are generally put together as apackaged solution that includes:• A high-density automated storagemedium, like a carousel, vertical liftmodule or mini- or micro-load storagesystem.• A conveyor to route storage containersto and from the storage deviceand shipping containers to and fromthe workstation.• A data collection system to directthe pickers activities and captureinformation about the tasks performed.Usually that is a pick-tolightsystem, but pickers may alsobe directed by voice technology or acomputer screen.• An ergonomically designed workstationthat enables efficient picking,often with room for multiple shippingcontainers so that a picker can workon several orders simultaneously.• A software system to tie it alltogether and communicate back toa warehouse control and warehousemanagement system.While improved productivity may pay for the system, it is not the only benefitof a goods-to-person picking solution, says Ken Ruehrdanz, business developmentmanager for Dematic (877-725-7500, www.dematic.us).• Mini-load storage systems, horizontal carousels or vertical lift modules(VLMs): You may be able to reduce by up to 50% the amount of cubicspace required to store the same stock keeping units (SKUs) as in conventionalstorage. Ultimately, that might lead to a smaller overall facility to shipthe same amount of product.• Automated storage: You can eliminate the need for dedicated pick slotsfor each of the items managed by the goods-to-person system. That’sbecause the system is going to pick and deliver a container or tote to theworkstation in the right sequence for picking.• Reduced cycle times: Through the use of software and automation, anorder can be processed in a matter of minutes with complete traceabilitythrough the whole process, if necessary.• Control and security: When your inventory is stored on racking and shelvingin the warehouse, anyone can get at it. Product stored in an automatedstorage solution is secure.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 31

modern INFORMATION MANAGEMENTGoods-to-person picking at Smith Drug CompanyUsing the new system, picking productivity increased from 140 lines tonearly 900 lines per man hour.By Bob Trebilcock, Executive EditorIn 2008, Smith Drug Company installed three high-speedA-frames to improve picking operations at its 244,000square foot distribution center in Spartanburg, S.C. It isone of two facilities operated by the pharmaceutical distributorto independent pharmacies throughout the midsouthand southeastern United States.The A-frames were designed to handle the 6,300 fastest-movingstock keeping units (SKUs) in a facility that handlesabout 26,000 SKUs in total, says Isaac Rogers, directorof organization development at Smith Drug. Getting moreefficient with its fastest-moving items, however, highlightedinefficiencies in the rest of the facility.“We discovered that we had about 10,500 slow-movingitems so we could only get about 140 lines per man hourbecause we had to do so much walking,” says Rogers.Given Smith Drug’s tight turnaround times on orders, thoseslow movers bogged down operations. “We deliver 70% ofour orders by 10 a.m. the next day,” Rogers says. “We hadto find a faster way to pick our slow movers.”The solution was a goods-to-person system (SchaeferSystems International, 704-731-1625, www.ssi-schaefer.com) that stores 10,500 SKUs in just 6,600 square feet. Theremaining SKUs are still picked using voice recognitiontechnology.How does it work? The system consists of two pickstations with four horizontal carousel pods per station, oreight carousels in total. Each pick station has seven slotsfor shipping totes, which allow an associate to pick sevenorders at a time. Product, meanwhile, is stored in the carouselsin storage totes. Each storage tote can have up toeight storage compartments.To fill orders, pre-labeled shipping totes are conveyedfrom an order start area to the pick station. Based on theorders to be filled, the system automatically retrieves andconveys storage totes from the carousel to the pick station.An automatic bar code scan identifies the storage totewhen it arrives at the pick station, and a computer screentells the associate how many items to pick from that tote.A separate light bar indicates which compartment to pickfrom. A light barrier confirms that the associate pickedfrom the right compartment. “If you break the wrong lightbarrier, the system stops you and directs you to correctit,” says Rogers. The system then indicates which shippingcontainer gets the parts.Once the last product has been picked to a shippingtote, the system releases it and automatically conveys it toa quality control station or directly to the shipping area.Since going live last September, Rogers says associateswho once picked 140 lines per hour are now picking 800to 900 lines per hour. In fact, it’s been so successful, thatSmith is implementing another system in its Valdosta, Ga.,facility. “We can get a new associate up and running onthe system in about 7 minutes,” Rogers says. “The spacewe’ve freed up by compressing the storage area will allowus to expand our business in the future without addingmore space.”Once a batch of orders comes downto be picked, shipping containers areautomatically delivered to the workstationand scanned into a picking slot.Meanwhile, the storage system willautomatically begin retrieving and conveyingstorage containers to the picker,who is then directed by the data collectionsystem to pick the right quantity ofitems to a specific container. When thepick is complete, the storage containeris automatically returned to storage andthe next container slides into place. Thesystem keeps a steady flow of containersto the picking station.Since a goods-to-person solution ismost often used to automate the pickingof slow-moving items, it’s generallynot the only picking solution in afacility. Instead, it’s part of a broaderpicking strategy known as an ABCstrategy, with different approachesto handle the fast movers (A), themedium movers (B), and the slowestmovers (C).For the A movers, a facility mightinstall a fully automated picking solutionlike an AS/RS for full-pallet orders,a mini-load system to deliver cases to anautomatic palletizer, or a high-speed A-frame for fast-moving individual items,like cosmetics, books or CDs.The B movers can be handled by anassociate who is on foot or on a lift truckand is directed by RF-scanning, voice orpick-to-light. Because the associate willbe picking a large number of items froma relatively small number of pick faces,travel time is reduced. The goods-to-personsolution for the C movers comes last.From there, an order will go to shipping.While a goods-to-person solution isn’tright for every facility, in the right facilityit can deliver significant improvementsover traditional picking. .32 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

modern SAFETY TIPSWAREHOUSE / DCOutfitting yourDC workersHere’s a look at waysto equip your workersto handle the mostcommon distributioncenter hazards and afew tips to help youchoose the right gear.By James P. Kaletta, Safety Management SolutionsAs you determine how to outfit each type of workerin your facility, start by considering all applicableregulatory requirements. Various standards fromthe Occupational Safety & Health Administration (OSHA),the American National Standards Institute (ANSI), theNational Fire Protection Association (NFPA), and otherorganizations can all come into play, depending on the typeof work at your facility.First, consider OSHA’s 29 CFR 1910, Standard forGeneral Industry. This is the source of the often-citedGeneral Duty clause, saying that employers will furnish toeach of his employees a place of employment that is freefrom recognized hazards that are causing or are likely tocause death or serious physical harm. A hazard is any existingor potential physical condition which by itself or byinteracting with other variables, can result in death, injury,illness, property damage and/or other losses.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 33

WAREHOUSE / DCOSHA 1910.95 requires employersto provide hearing protection toworkers who are exposed to noisewith an 8-hour time weight averageof 85 decibels on an A scale (dbA).According to OSHA, if a given hazardcan’t be eliminated, it must be controlled.So, you’ll also need to be familiarwith OSHA’s Personal ProtectiveEquipment standard for those instanceswhere your company cannot eliminateor engineer out the hazards.This standard requires employersto determine what personal protectiveequipment (PPE) is necessary basedon workers’ specific activities. Todo this, you’ll need to conduct a riskassessment of each job.Luckily, plenty of personal protectiveequipment is available to meet any need.But that PPE can only protectemployees when it’s the rightgear for the particular task andit’s worn correctly at all times.PPE worn for situationsother than those intended bythe manufacturer can actuallycreate hazards whenworn inappropriately or caredfor improperly.Common hazards in distributioncenters include:• Cuts and abrasions• Strains and sprains• Falls from heights• Excessive noise• Electrical work• Extreme temperaturesCuts and abrasionsWorkers need appropriate gloves for suchcommon tasks as cutting boxes or othermaterials, pallet handling and pickingproduct. Glove materials must be sturdyenough to provide protection for the specifictask to gloves that are too small or toolarge can reduce w orkers’ dexterity andcontribute to fatigue. This leaves workersvulnerable to repetitive stress injuries,reduced productivity and seemingly unrelatedinjuries like dropping heavy objectson themselves or others.Strains and sprainsLow-back strains continue to be theleading cause of lost-time occupationalinjuries. There are no substitutes forteaching and enforcing proper liftingtechniques.If your company authorizes theuse of back belts, be aware that severallarge studies conducted by theNational Institute for OccupationalSafety and Health (NIOSH) haveshown they can cause back musclesto atrophy if worn tightly for prolongedperiods, making the wearer more proneto injury. They may also impart a false6 tips for selecting the right gear Know and follow the applicable standards. Analyze your hazards so you can choose the right gear for each specifictask. Enlist the help of qualified vendors, especially with highly technical areaslike fall protection and electrical safety. Have workers field-test gear during the selection process to increasecompliance. Revisit your personal protective equipment selections whenever workingconditions change. Consider best-practices gear like vests to make pedestrians visible, etc.When outfitting workers forrefrigerated or frozen-storage areas,you should focus on warmth whilelimiting bulk.sense of confidence. Always seek medicaladvice when considering the useof back belts.Falls from heightsWorking at height is a common distributionactivity for servicing equipment,clearing jams and operating order pickers.According to OSHA 1910 Subpart34 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

modern SAFETY TIPSD, Walking-Working Surfaces, fall protectionis required whenever workersconduct activities 4 feet or more abovethe working surface. When identifyingthe need for fall protection, alwaysinclude employee position in your calculations:the 42-inch top rail that isadequate for employees working onthe floor becomes inadequate whenemployees are working on a stepstool inthat area.Be sure you understand the requirementsin OSHA 1915.159, PersonalFall Arrest Systems, before you selector install fall-arrest equipment like lanyards,body harnesses (consider flexibleharnesses, if possible) and approvedtie-off points (temporary, permanentor lifeline). Consider using retractablelanyards, which are designed to engagequickly to limit fall distance, comparedto lanyards that engage at a predeterminedlength. When used properly,retractable lanyards can reduce traumato the body and force to the tie-off pointduring a fall.Foot protection in extreme working conditionsACCORDING TO THE NATIONAL BUREAU OF LABOR STATISTICS, nearly100,000 workers are employed in materials handling occupations. These jobsoften involve working in conditions of high heat, which require superior footwearprotection to avoid permanent or fatal injury. When selecting the appropriatefootwear for extreme working conditions, look for the following:• Fire-retardant or self-extinguishing materials• Easy-off option in case of emergency• A slip-, oil- and high heat-resistant rubber outsole• Electrical hazard protection• Protective toe cap• A taller boot, 8-inches or higherWhen selecting footwear for cold warehouses, look fora waterproof, well-insulated shoe. A typical work boot’srubber outsole will freeze and stiffen in severe temperatures,so look for a sole formulated to retain flexibility incold environments.Your feet are the tool you depend upon most for theentire workday, so it’s important to select the rightpair of work boots. It is also essential that safetymanagers educate employees about the importanceof proper safety footwear fortheir specific job requirements.By Jim O’Connor, the seniordirector of product and marketingfor Timberland PRO.Excessive noiseOSHA 1910.95, Occupational NoiseExposure, requires employers to providehearing protection to workers who areexposed to noise with an 8-hour timeweight average (TWA) of 85 decibels onan A scale (dbA). Once the noise levelreaches 90 dbA or greater on an 8-hourTWA, employees must wear hearingprotection. OSHA says that employeeswho are required to wear hearing protectionshall be given the opportunityto select their hearing protectors froma variety of suitable hearing protectorsprovided by the employer.Electrical workSelecting PPE to protect workers fromelectrical shocks, blasts and arcs willrequire you to become knowledgeableabout OSHA 1910.331-335, ElectricalSafety Related Work Practices, andNFPA 70E, Standard for ElectricalSafety in the Workplace, and/or hirean expert vendor. One critical factor inselecting the proper PPE is conductingan arc fault analysis to determine whatcategory you will need to dress to. Forexample, the following PPE is requiredusing the Category 2 quick method fromNFPA 70E:• Flame-resistive clothing (8 calminimum)• 1000 V-rated rubber gloves• Leather glove protectors• EH hard hat and face shield• Safety glasses• Hearing protection (ear plugs)• Head sock• Leather work shoes (considerelectrical hazard rated shoes withnon-metallic protected toe)Extreme temperaturesWhen outfitting workers for refrigeratedor frozen-storage areas, you shouldfocus on warmth while limiting bulk.Consider banning hooded clothingwhen working on or near automatedretrieval or powered industrial trucksbecause they (especially snorkel hoods)can drastically block vision. I am personallyaware of one employee who waskilled because his hood impaired hisvision and he was caught between hislift truck and a rack leg.The need for warmth without bulkextends to gloves, too. Recently, oneof our clients started to use a low-costsolution by providing medical gloves toemployees who perform high-dexteritytasks. They found these gloves to beeffective when used under other glovesor by themselves. If you try this, do notselect latex gloves since some individualsare allergic to latex.James P. Kaletta, CSP, is president ofSafety Management Solutions. SMS providesconsulting and safety managementservices to 20 distribution centers nationally.Contact him at jkaletta@safeteam.com or 773-935-8326.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 35

modern PRODUCTIVITY SOLUTIONTRANSFORM ORDER ASSEMBLYA medical supplies wholesaler savedtime and space, and increasedproductivity by installing an automatedstorage and retrieval system.By Lorie King Rogers, Associate EditorDEMAND FOR REDUCED fulfillmenttime, improved labor productivity andbetter use of space is driving high-performanceorder fulfillment methods in manyof today’s DCs. A medical supplies wholesalerrecently deployed a new order fulfillment systemusing a high-density, mini-load automated storageand retrieval system (AS/RS) with a new multipleshuttle technology (Dematic, 877-725-7500,www.dematic.us).The mini-load features load-handling carrierson each level in a high-density rack structurewhere loads are stored and retrieved automatically.By having multiple shuttles, or a carrier oneach level, the mini-load allows for ultra highthroughput rates. The system is modular and scalable,so tote staging locations expand easily, allowingflexibility if SKUs are added or more storageis needed.As a result of the installation, the wholesaleris realizing significant cost savings and improvement.Dedicated pick faces and picker traveltime have been eliminated, and both single- andmultiple-line orders require less time and space toprocess.The system design also provides improved ergonomics,increased product security, sequencedproduct by grouping (heavy, light and liquid), anddecreased picking errors (from 1% to less than.01%) in a very compact system footprint.One operator station is dedicated to feeding theproduct storage system with the required SKUs.Two operator stations are used for order picking.Four operator stations are used for packing. Whenstaffed, the workstations operate independentlyso one worker is not affected by workers at otherstations. Stations can be taken in and out of servicedepending on the daily volume requirementsand not all stations need to be staffed to completeorder fulfillment.The dedicated operator workstations featureergonomic designs that improve comfort and productivity.And because workers don’t move aroundthe warehouse and SKUs come to them one at atime, the chance to pick the wrong item is eliminatedand accuracy is improved.36 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

Lift trucksPantograph reach truck with traction controlThe new RR 5700pantograph reachtruck for use in narrow-aislesincludesa traction controlsystem, enhancedload handling as wellas fast lift and travelspeeds. Capable ofmoving 4,500-poundloads at heightsgreater than 36 feet,the truck’s tractioncontrol system preventsthe truck fromslipping on wet,dusty or sealed floorsby reducing tire spin during acceleration and preventingwheel lock-up during braking. Ergonomic featuresinclude a suspended floorboard that absorbs vibrationand a temperature control package for improvedoperator comfort in refrigerated or freezer applications.Offered as an option, a rack height selection featureallows operators to stop the forks at a specific rack levelwith a push-button control. Crown Equipment, 419-629-2311, www.crown.com.Electric stand-up counterbalanced trucksOffered in three liftingcapacities from 3,000 to4,000 pounds, the newPlatinum SCX series ofstand-up counterbalancedtrucks is completely ACpowered. Two independentlycontrolled ACdrive motors and driveunits optimize integrationthrough a continuousfeedback system for fasteracceleration and hightravel speeds. For increased energy and savings, thetruck includes regenerative braking and auto-power offfunctions, along with extended battery run times. Otherfeatures include three pre-set performance modes, ergonomiccushioning, a multi-function control handle andhydraulic steering. Nissan Forklift, 815-568-0061, www.nissanforklift.com.Electric truck with ergonomic featuresThe operator-friendly, AC-poweredE45-70XN electric lift truck featuresa remodeled operator compartmentwith increased footand leg room and a removablefloor plate for quick maintenance.The ergonomicallyimproved compartment’s dashdisplay offers enhancedvisibility and palletcontrol, while a redesignedhood providesmaximum battery service access toreduce downtime. The hood’s design also allows easyaccess for the driver entering and exiting the truck.Enhanced speed sensors on the truck’s traction motorprovide accurate speed monitoring, while the motor’ssteel skin and cast end bells allow maximum air flow.Hyster, 252-931-5679, www.hyster.com.Move heavyloads withoutthe pain.One person canmove up to 150,000 lbs.with PowerPusher. ®Go to: www.powerpusher.com for a free instructional DVD.®PowerPusherIf it rolls... we can move it.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 37

Lift trucksAC-powered narrow reach trucksFor narrow-aisle applications, the 9000 series swingreach lift trucks offerenergy-saving featuresincluding AC technologyfor longer batteryrun times, regenerativelowering that automaticallyrecharges thebattery, and LED compartmentlights. Idealfor pallet handling andcase picking, the truckaccommodates aislesas narrow as 66 inches. The trucks elevate up to 45 feet,lifting loads up to 60 inches deep or 108 inches wide. Atwin tubular mast design supports loaded and elevatedforks. Dual I-beam construction and a wide footprint givethe operator’s platform stability and enhanced visibility.A contoured chair features adjustable padded armrestsand lumbar support for operator comfort. The RaymondCorp., 800-235-7200, www.raymondcorp.com.POWER AND CONTROLNEW!For over 60 years Itoh Denki has been the proven leader in thedevelopment and manufacture of superior motorized rollers andcomponents. This history provides you condence in your 24Vconveyor applications and designs, a condence based on thecomponent integrity offered by the only sole source motor andcontrol manufacturer in the industry.Introducing the latest innovations forincorporating Power AND Control intoyour 24 VDC conveyor system.Low TemperatureDC Motorized Roller!• For temperatures as lowas 20° F!Intelligent solutions you’d expect from Itoh Denki.135 Stewart Road Hanover Industrial EstatesHanover Township, PA 18706-1462Bus: 570.820.8811 • Fax: 570.820.8838E-mail: info@itohdenki.com • www.itohdenki.comBig trucks offer big capacityThree new models in the Veracitor Big Truck line ofclass five pneumatic lift trucks are rated between 17,000and 19,000 pounds capacity. Features include a 110 HPCummins QSB 3.3 turbo diesel engine, oil-cooled wetdisc brakes, accu-touch mini levers and a full suspensionvinyl seat. The engine includes Tier III emissions complianceand low noise levels, with a forged steel crankshaft,camshaft and piston rods, and oil-cooled forged aluminumpistons. The standard transmission includes threespeeds forward and two speeds in reverse for increasedgradeability and drawbar pull while allowing top travelspeeds for maximum productivity. Yale MaterialsHandling, 800-233-9253, www.yale.com.Reach truck available in three modelsOffered in three models—includinga singlereach lift truck in 3,500-and 4,500-pound liftingcapacities and a 3,000-pound capacity doublereach model—the 8-Series AC reach lift truckline features an AC-powereddrive system, ACpower hydraulic systemand maintenance-freeelectric disc brakes.Enhancements to thedrive system yield traveltimes up to 17% faster than previous models. And withno motor commutator, brushes or springs, it reducesmaintenance costs. Ergonomic features include an11.25-inch diameter adjustable steering wheel, adjustablebattery retaining system to minimize movement,and truck position stability in push-back rack applications.Cushioned hydraulics for the pantograph mechanismgenerate less noise and truck impact. ToyotaMaterial Handling, U.S.A., 800-226-0009, www.toyotaforklift.com.Multi-directional lift truckThe multi-directional Combi-CB lift truck handles palletizedgoods and long length products. With 6,000pounds capacity, lift heights up to 25 feet, and standard8-inch side shift, the vehicle is offered in LP gas, dieselor electric versions. Rubber tires may be used indoorsand outside, while a fully enclosed, heated cabin accommodatesharsh or wet environments. The truck’s compact38 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

size allows it to stuff andde-stuff containers andtransport the pallets orlong loads directly tothe warehouse. Optionsinclude a hydraulic forkpositioner and detachablefour-fork spreaderbar. Combilift USA,336-314-4262, www.combilift.com.Tugger pulls up to 11,000 poundsFor towing up to 11,000pounds of cargo, the EZS350XL tugger pulls severaltrailers for flexible handling.Features include an efficient,maintenance-free,24V three-phase AC drivemotor for long operation,powerful acceleration andquick changes in traveldirection. Electric steeringmakes maneuvering easyin tight spaces, while a curve control system keeps thevehicle stable during cornering. To eliminate pauseswhen changing travel directions, the tugger includes aspeed control feature. Unaffected by upward or downwardgrades, the tugger includes rollback protection oninclines, even when loaded, and the brakes set automaticallywhen the vehicle is stopped on an incline. Threeadjustable travel programs adapt the vehicle to differentoperators. Jungheinrich Lift Truck, 804-737-7400,www.jungheinrich-us.com.Electric truck saves powerOffering capacitiesup to 4,000pounds, the346 serieselectric trucksinclude a driveaxle assemblythat incorporatesthedrive motors,hydraulicmotor, reductiongears, brake system, and power modules, as wellas eliminates long power cables to reduce energy con-sumption. Battery usage is monitored through an energymanagement system that indicates state of charge,accurately displaying available energy by measuringcurrent and voltage continuously. Ergonomic highlightsinclude uncluttered foot area, a clear view mast, paddedadjustable armrest, short hydraulic control levers,spring-assisted battery cover and an adjustable steeringcolumn. Linde Material Handling North America, 843-875-8000, www.lmh-na.com.Planning for long-hauls, networkoptimizationOffering new functionality—including long-haul planningand network-level optimization—an enhanced version offleet management software has been released. By incorporatingconfigurable dashboards, asset and driver management,and consolidation facility and hub support, thesystem provides easy management of fleet operations.Functions include billing, reporting, and facility and dockscheduling. Scalable architecture and authenticationframework enable multiple deployment options, as wellas built-in data access groups and security. RedPrairie,877-733-7724, www.redprairie.com. mmh.com MODERN MATERIALS HANDLING / JUNE 2009 39

Lane-changing SRM for large warehousesIdeal for maximizingspace and resourcesin large warehouses,the lane-changingMaxTriever storage andretrieval machines (SRM)offer fast delivery from(and replenishment to)more than one aisle of awarehouse. Employinga series of automatedmini-load and unit-loadSRMs, the system isideal for buffering andstorage of raw materials,work-in-processand/or finished goods,and replenishment of forward-picking locations. To optimizematerial flow, shipping, receiving and equipmentuse, AutoTrieve software manages continuous flow andcan interface with existing host warehouse managementsoftware. Diamond Phoenix, 888-233-6796, www.diamondphoenix.com.AGVs replace lift trucks to improve efficiencyThe Automate the Conventional system replaces lifttrucks with fork-style automated guided vehicles (AGVs)to improve operational performance and increase efficiencies.The system lowers operating costs, increasesinventory accuracy and reduces product and facilitydamage. The AGVs interface with existing rack systems,conform to a variety of facility types and applications andare easily modified. An advanced laser navigation systemallows each vehicle to operate flexibly and efficientlywhile picking up or depositing full pallets from the floor,conveyor systems, or a stationary pick-and-drop device.Attachments offered include fork positioners, doublepallet handlers, clamps and rotating forks. HK Systems,262-860-6715, www.automatetheconventional.com.Consolidation flow rackFor improved throughput in consolidation operationswhere order volume, SKU count, number of lines perorder, or the size of each order has increased—makingmanual consolidationinefficient—aconsolidationflow rack systemoffers operationalimprovements.Increasingthroughput up to600% over manualprocesses, thesystem requiresless floor spacethan conveyor systems and can be installed in less time.The flow rack may be integrated with shelving, rack,cabinets, horizontal and vertical carousels, and verticallift modules. It also interacts with inventory managementand control software and pick-to-light systems for greateroperator productivity and picking accuracy. RemstarInternational, 800-639-5805, www.remstar.com.Hands-free bar code imagerThe RS507hands-free barcode imagerincorporatesthe supplier’sSE4500 imagingengine foraccurate omnidirectionaldecoding of 1D and 2D symbologies withmotion tolerance. The scanner links seamlessly with theWT4000 wearable mobile computer with Bluetooth and40 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

includes intelligent sensing technology. Mobile workersare given fast, intuitive, automatic triggering to improvetheir productivity in scan-intensive applications whilemaintaining battery strength on the device. The imageris offered in corded and cordless configurations, and theergonomic device can be worn on the hand or on a belt.Motorola, 866-416-8545, www.motorola.com.High-lift pallet trucksCombining the attributes of a lift table and a pallettruck, the PalletPal lift truck allows operators to pick up,transport and lift a load to the most convenient workingheight. With a lifting capacity of 1,650 pounds, the highliftpallet truck can raise loads as high as 31.5 inches.The electric-lift model is powered by a 12-volt, maintenance-freebattery to raise a load to the highest positionin less than 6 seconds. The manual-lift model providestwo lifting speeds: 17 strokes for light loads, 56 strokesfor heavy ones. Safety features include an overload reliefvalve and automatic stabilizers. Forks are offered in 45-and 79-inch lengths. Southworth Products Corp., 207-878-0700, www.southworthproducts.com.Robots handle small parts in small spacesFor high-speed handling, assembly and packaging ofsmall parts in small areas, the six-axis MH5 and MH5Linclude internally routed cables and hoses. This maximizessystem reliability, reduces interference and facilitatesprogramming. The MH5 offers 27.8 inches of reach, andthe MH5L model provides 35.2 inches of reach. Bothrobots handle 11-pound payloads and can be floor-,wall-, or ceiling-mounted. The robots are directed by thesupplier’s DX100 controller that can handle multiple tasksand control up to eight robots (72 axes), I/O devicesand communication protocols. Its fast processing speedsyield smooth interpolation, advanced robot arm motion,built-in collision avoidance, quicker I/O response, andaccelerated Ethernet communication. Motoman, 937-847-6200, www.motoman.com.Free pallet wrapperThe GW-1200turntable palletwrapperprovides analternative toconventionalhand wrapping—automaticallysecuring palletloads toeliminateload failures,improve productivityand reduce worker injuries. Featuring productionspeeds of 20 loads per hour, the wrapper handles amaximum load capacity of 4,000 pounds and load heightof 90 inches. Equipped with manually adjustable filmtension, the system works exclusively with the supplier’spuncture resistant film. For new customers who agree toa 12-pallet annual machine film commitment, the wrapperis offered at no charge. The promotion includes freespare parts for wearable items and drop shipment of themachine and the film. GaleWrap, 866-425-3727, www.galewrap.com.Clean, quiet accumulation conveyorWith drive gears formed directly into the rollers, thePosiGrip accumulation conveyor has no separate sprocketor gearsand noweldeddrive components.The rollersarepoweredby smoothoperating,synchronousbeltingin apositivedrive. Since there is no metal-to-metal contact, nolubrication is required. This makes the conveyor idealfor clean environments such as electronic componentmanufacturing as well as food and beverage processing.Accumulation zones are driven by the motorized rollers,each with a drive card for easy adjustment of speed.Individually controlled zones are offered in lengths up to75 inches and widths to 48 inches. TKF, 513-241-5910,www.tkf.com.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 41

Inventory management softwareinterfaces with SAPFastPic5 order processing inventory managementsoftware offers a bi-directional interface with the SAPenterprise resource planning (ERP) system to improveinventory control and order processing efficiency. Theinterface includes a direct data import and export thatsynchronizes two-way exchange of pick, put and countorders. The software manages all manual and automatedstorage and retrieval systems including shelving,rack, drawers, pick-to-light, horizontal and vertical carousels,and vertical lift modules. The software can alsomanage single workstations and multiple work zones.Other features include bar code scanning, bulk storagemanagement, printable screen lists, on-demand labels,continuous batching and supervisory reports. FastPicSystems, 207-854-8663, www.fastpicsystems.com.Vehicle restraint systemsecures trailer to dockTo secure a trailer tothe dock with 35,000pounds of restrainingforce and preventfalls by personnel orforklifts, the SVR303StrongArm vehiclerestraint system featuresa low-profilerotating arm. Thearm engages thevehicle’s rear impactguard (RIG) at a 90˚ angle. Mountable to either the dockface or the driveway, the system needs only 8 inchesof under-RIG clearance. Dual-acting hydraulic cylindersensure proper engagement. Proximity-sensing buttonsthat sense the operator’s fingers are included on thetouch control panel to operate the restraint. Blue GiantEquipment, 905-457-3900, www.bluegiant.com.Forklift brakesWarner Electric and Matrix International brand of electricforklift motor brakes, wheel brakes and permanentmagnet brakes for suppliers and lift truck manufacturersare offered. The electrically released dynamic (ERD) standardtraction motor brake for parking and stopping canbe hydraulically amplified. For reach truck applications,the ERD bi-functional brake combines hydraulics withan electromagnetic fail safe brake. The low-profile pancake(PK) unit is suitable for dual-drive configurations.Load wheel brakes provide additional braking force forapplications with increased load and speed capacity. TheVaristop brake line generates variable torque brakingand stepless torque change in very narrow aisle trucksand high-level order pickers. Altra Industrial Motion,815-389-6336, www.altramotion.com.Maintenance-free caster swivel forksBuilt from durable stainless steel,the 2 Series precision swivel forkssport permanently sealed andmetal-housed precision bearingsto eliminate monitoring and servicingof the bearing structure.Ideal for corrosive and punishingenvironments, the zero end-playcharacteristic of the precisionswivel mechanism providessmooth running with true fidelityof motion. High-impact strengthensures years of use and performance. The forks pairwith an assortment of the supplier’s 5- and 6-inch diameterwheel products. Colson Caster, 800-643-5515, www.colsoncaster.com.Rugged computing for demandingenvironmentsThe Duros 1214fixed-mount PC featuresan ultra-ruggedtouch screen polysilicondisplay andall-in-one aluminumhousing to withstandthe rigors of warehouseand shippingenvironments. It issealed to IP-65 andexceeds MIL-STD-810F standards fordrop, vibration,shock and altitude.Mountable to forklifts, pallet trucks and automated guidedvehicles, the compact unit includes a 12.1-inch SVGAresistive touch screen display. The computer is poweredby an Intel Celeron M processor and can run WindowsXP, Embedded or Vista, and Linux. Compact flash storageup to 64 GB and four USB 2.0 ports are provided. Abackup battery generates up to 20 minutes of continuoususe. RMT, 480-705-4200, www.ropermobile.com.42 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

Pick-to-light for lift truck picksThe Smart GateXL infrared sensingdevice attachesto existing shelf orrack units to createan automated pickto-lightsystem thatsupports error-freepicks with lift trucks.The system workswith bin sizes up to 8feet wide. Controlledby PCs or PLCs to direct and detect picks, lights ateach side of a bin illuminate when and where a pick isneeded, then turn off when the pick is made. An audiblealarm sounds when an incorrect pick is attempted toreduce errors and improve inventory control. SpeasTech,888-377-6766, www.speastech.com.Mezzanines use overhead spaceStructural mezzaninesusing bar joist or beamto-beamconfigurationsprovide expansion optionsfor plants and warehouseareas needing wide spans.Packages include engineeringand fabricationof structural design, stair,landing and gate configurations.The supplier alsomanufactures all beams,columns and componentsfrom four U.S. plants.Savings can range up to80% by implementingmezzanine structures compared with the cost of conventionalnew construction. VertiSpace, 800-742-4830,www.vertispace.ws.Portable, 8-foot diameter fanThe AirGo mobile vertical fan measures 8 feet in diameterand is easily maneuvered on four independent, 8-inchrubber tread wheels with locking casters. Easy-to-useadjustable speed controls and 360˚ angle adjustmentsprovide large volumes of air movement in any direction.For safety, features include OSHA-compliant caging andyellow powder coating for visibility and corrosion resistance.The fan’s precision-machined internal gears andaerodynamic airfoils ensure quiet operation. It may beplugged into any 115 volt, 20 amp outlet. Big Ass Fans,877-244-3267, www.bigassfans.com.Small, passive RFID labelsSmaller, improved versions of the EPCglobal Class 1, Gen2-compliant PowerG and PowerM battery-assisted, passive(BAP) RFID labels have been released. The reductionin size enables the tagging of small items in challengingenvironments. Offered in a thin, flexible, pressure-sensitivelabel form factor, the PowerG label is ideal for generalasset tracking including pallets, while the PowerM workswith metal assets. PowerID, +972-3-929-3933, www.power-id.com.Charging system for on-road electric vehiclesTo enable the practical use of on-road electric vehiclesand plug-in hybrid electric vehicles, a line of chargingstations has been developed, including fast charging stations,neighborhood stations, and production test equipment.On-board chargers and a smart battery operatingsystem featuring vehicle-specific algorithms to maximizebattery health while the vehicle is in motion or in chargingmode are also in production. AeroVironment, 626-357-9983, www.avinc.com.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 43

of attaining 18 cycles per minute, the robot palletizes upto 35 cartons per minute. JMP Engineering, +64 9 8283304, www.jmpengineering.com.Skid-configuration palletizerThe robotic CPC palletizer features a skid configurationwith a Kawasaki industrial robot, pallet magazine andpallet conveyors attached to the main support frame.Prior to delivery, the robot is docked for transport, whilethe pallet conveyors are folded up around the palletmagazine and robot, permitting the unit to be transportedin a single 20-foot shipping container. The system canbe installed in four hours by a single engineer. Wiring forlight curtains is located inside the base frame. CapableCOVERYOUR ASSETS!1-800-328-8456 www.industrialnetting.comFree Sampleswith RackGuard Containment Netting• More economical than woven nets• Reduces damage• Improves safetyPlastic pallet manufacturing machineryThe Luminaplastic palletprocessingsystem enablessustainabledesign, manufacturingandproduction ofplastic pallets.As a turnkeymanufacturingprocess,the equipmentrequires minimal floor space to enable in-house creationof plastic pallets. The system produces any size palletin quantities from 150,000 to 800,000 pallets per yearfrom a single machine. Other features include the abilityto process either 100% recycled material or co-mingledresin using either structural foam or gas assist manufacturingmethods. Wilmington Machinery, 910-452-5090,www.wilmingtonmachinery.com.Optical positioning systemThe integration of an optical positioning solution withthe VisiblEdge RFID lift truck package enhances flexibilityand accuracy when tracking assets in place of,or in conjunction with, RFID portals or handhelds. Thesystem integrates RFID data collection with load locationinformation to support automatic receiving, staging orshipping. Data is sent to a backend WMS or ERP, withaccuracy to within 1 foot. Offered as a turnkey packagedsolution, the system combines RFID data collectiondevices, load detection sensors, and positioning datawith software. Rush Tracking Systems, 913-227-0922,www.rushtrackingsystems.com.Easily networked controllerThe ILC 170 ETH 2TX controller features two Ethernetports for easier networking in small applications. Thecontroller includes a built-in Ethernet switch, eliminatingthe need for a separate switch in certain applications andenabling daisy-chain connection of multiple controllers.An optional SD card memory provides program transferbetween controllers. Further, 512 KB on-board data andprogram memory and 48 KB retentive memory enhanceoperation. With eight digital inputs and four digital out-44 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

puts integratedon-board, it featuresan integrated realtimeclock, PLCswitch and supportof up to three localremote bus branchmodules. PhoenixContact, 800-322-3225, www.phoenixcontact.com.Articulated jib lifterThe affordablypriced,ruggedConco articulatedjib lifter offers reachincoupled loadranges from 165 to665 pounds. With alift range up to 120inches and standardreach from 8to 16 feet, the lifterworks in light andheavy applications.Standard featuresinclude a threaded interface at the cable end and a safetylatch hook at the chain end. In low-headroom clearanceapplications, the secondary arm can be mountedabove the primary arm. Both primary and secondaryjoints incorporate 360° continuous rotation. The liftercan be mounted on an overhead trolley, pedestal, wall ormobile/portable base. Positech, 800-831-6026, www.positech.com.Diverter eliminates need for shoe sortersFacilitating highthroughputratesfor applicationsusing narrow beltsortation, the WaveDiverter reducesthe required gapbetween cartons toeliminate shoe sorters.It is ideal for situationsthat requiresorting 100 to 200cartons per minute.Each row of pop-upwheels in the system operates independently, rising asthe front edge of the carton approaches and dropping asthe back edge of the carton passes over it. The divertermay be combined with other components in the supplier’sTurbo sortation system, including induction belts poweredby independent variable frequency drives, two-way alignmentand diversion, and precise system controls. TGW-Ermanco, 231-798-4547, www.tgw-ermanco.com.Caster supports 10,000 poundsIdeal for applications thatdemand an extremely lowoverall height and an ultrahighcapacity, the Mini-Mitecaster is 6 inches tall and cansupport up to 10,000 pounds.Engineered with kingpinlessswivel construction anda 6-inch diameter raceway,the caster includes four holesfor mounting 3 x 3 incheswide. The caster wheel measures 4 x 3 inches wide andincludes a 1045 steel roller with four precision bearingsinside. Hamilton Caster & Mfg., 800-733-7655, www.hamiltoncaster.com.Motorized vertical carousel stores partsThe motorizedparts carouselmaximizes floorspace by fullyusing verticalspace. Offeringsingle-personoperation, oneworker can rotatethe shelves, locatethe desired item,stop at the properposition, andremove the storedproduct safely andefficiently at floorlevel, reducing therisk of injury. Thesystem is ideal for storage of spare parts, stock inventoryand work-in-process. Units range in height up to 13feet 10 inches, include up to 18 configurable shelves,and hold a maximum of 13,000 pounds. Stanley Vidmar,800-523-9462, www.stanleyvidmar.com.mmh.com MODERN MATERIALS HANDLING / JUNE 2009 45

MODERN 60 SECONDS WITH…Jim TompkinsTompkins Assoc.TITLE: CEO/Prophet of BoomCOMPANY: Tompkins Associates Inc.(www.tompkinsinc.com)LOCATION: Raleigh, N.C.EXPERIENCE: 35 years as a consultant,author on supply chain planning andexecutionPRIMARY FOCUS: Helping clientsbecome more successful in theirsupply chainsModern: Jim, you’ve been a consultant,a speaker and an author. Now,you’re the Prophet of Boom. What’sthat all about?Tompkins: The title came from areader of IndustryWeek after I posteda blog telling people that the greatrecession is behind us and the greatcomeback is beginning.Modern: How do you know that?And when did the recession end?Tompkins: The recession ended a fewmonths ago, and we’re in the recoverystage. In February, I determinedthe comeback in some sectors wasalready occurring; and in March, theUniversity of Michigan confidencesurvey turned upward. If you look atfood and beverage, cosmetics, andthe pharmaceutical industries, yousee the beginnings of a pickup. We’reseeing the return of the mergers andacquisitions market. The stock marketis picking up. It’s not across all industries.I don’t think you’ll see a pick upin materials handling until 2011. Theauto industry? Forget it. The last segmentto return will be housing. But weare recovering.Modern: What are you telling yourcustomers they need to do?Tompkins: I’m telling them theyneed to look at their operations anddevelop a plan for the comeback.There’s a saying that in the Tour deFrance, the lead changes most oftenin the hills. We’re in the hills. Mostcompanies focus on how they canmaintain their competitive positionin the recession. But a companyreally needs a recovery plan andthey need a comeback plan. If youhaven’t planned for both, you willlose market share. All of that meansthey need to be making strategicinvestments now with a reasonablepayback of a year or less.Modern: What percent of companiesdo you feel have a comeback plan?Tompkins: At a recent presentation, Isaid fewer than 1% of companies hada plan in place. Someone in the audiencedisagreed, so we went aroundthe room. In that audience, we agreedthat 95% of the companies were stillhunkered down in survival mode.46 J UNE 2009 / MODERN MATERIALS HANDLING mmh.com

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