Modern Materials Handling - November 2012

MMH-Island-Ryson-BoothNov.indd 110/23/12 11:00 AMdioxide emissions associated withroad-based freight carriers increasedby nearly 15%, up to 517 trillion gramsper year.As a potential solution, the PhysicalInternet proposes an efficient systemin which global supply chain logisticsare enabled by an open, intermodalsystem that uses standard, modularand re-usable containers, real-timeidentification and coordinated routingthrough shared logistics facilities.Meller and his research colleaguesdeveloped models to quantify theeffects on profits and sustainability ifindustry stakeholders shifted to a fullyinterconnected logistics system. Theyfocused on principal potential participants—consumer-packaged-goodsmanufacturers, retailers, diversifiedmanufacturers/shippers and transportationservice providers. They usedtheir results to predict the impact ofthe Physical Internet on key performanceindicators and to motivate organizationsto consider moving towardadoption of the system.The models showed that the PhysicalInternet would increase stakeholderprofits by $100 billion annually andwould reduce annual carbon emissionsfrom road-based freight by morethan a half. These are conservativeestimates, based on only 25% of allfreight flows in the United States. Theresearchers also were surprised bytheir discovery that the shift towarda shared system would lead to moreinventory holding points located closerto customers than the current distributioncenters.One major consequence of thisshift, Meller said, would be morepredictable short-haul or relay shuttleruns, rather than the prevailing pointto-pointor hub-and-spoke designsused today. These shorter runs wouldhave many positive consequences—higher profits for stakeholders, savingsfor consumers, better customer serviceand lower driver turnover rates.“We predict that a relay networkwould get drivers home more often,which we believe would drasticallyreduce driver turnover,” said KimberlyEllis, engineering professor at VirginiaTech and co-author of the study.Finally, the research showed a net reductionin prices paid by the consumer.“The technology to make this happenis currently available,” Meller said. “AllSave Spaceand IncreaseThroughput.Like to minimize the cost of ownership? Ryson can help. Our SpiralConveyors need less floor space than conventional conveyors and arefaster and more reliable than any elevator or lift. All our products aredesigned for low maintenance and long life and our proprietary modularconstruction makes future reconfiguration cost effective.Quality and service come first at Ryson. We are the number one spiralmanufacturer in the USA. For application assistance or more information,give us a call or visit www.ryson.com.See our Spirals run at PROMAT 2013, Booth 2336300 Newsome Drive • Yorktown, VA 23692Phone: (757) 898-1530 • Fax: (757) 898-1580VERTICAL CONVEYING SOLUTIONSparties, including the consumer, willbenefit. Now we need industry partnersto pilot a mini-Physical Internet and allowus to share those results with othersin the industry.” The researchers’ resultsare part of a two-year project sponsoredby the National Science Foundationand 18 industry leaders. mmh.com MODERN MATERIALS HANDLING / N O V E M B E R 2 0 1 2 13