Modern Materials Handling - April 2011

VOL. 66, NO.4®PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION,WAREHOUSING AND MANUFACTURINGMike York, director of operations (left);Larry Williams, president of operations,Otis TechnologyCOVER STORYSYSTEM REPORT16 Otis Technology goes lean withmaterials handlingMobile robots, an AS/RS and supply chain software transformed thismanufacturer’s processes.20 Mobile robots bring flexibility to lineAt Otis Technology, the laser-guided vehicles shaved over an hour ofwalk time per employee.FEATURESSPECIAL REPORT22 Top 20 systems suppliersModern’s 14th-annual survey of leading materials handling systemssuppliers from around the world shows that business in general isheaded in a positive direction and revenue is growing again.INFORMATION MANAGEMENT26 MES at a crossroadsThe time may finally be right for manufacturing execution systems tofind a home in the marketplace.EQUIPMENT 101 SERIES30 Conveyors keep materials movingCartons, totes, pallets, components and finished goods can travel formiles on conveyor through manufacturing facilities, warehouses anddistribution centers.PRODUCTIVITY SOLUTION36 AGVs drive productivityHonda equips distribution center with automatic guided vehicles toimprove transport and handling of spare parts.37 Vision-guided robot lends handCoffee roaster uses robotic solution to solve in-feed problems anddouble throughput.60 Seconds with... John SouthcottDEPARTMENTS & COLUMNS3/ Upfront7/ This month in Modern14/ Lift Truck Tips: Batteries45/ Supplement: Warehouse & DC52/ Focus On: Racks58/ 60 Seconds with...38/ SHOW IN REVIEWProMat 2011 rocks ChicagoShow sponsor the Material Handling Industry ofAmerica greeted more than 30,000 attendeesand exhibitors to ProMat 2011 in March. Moderncovers some of the products and services thatwere on display.NEWS9/ Materials handling industry rebounds10/ Materials handling in Japan11/ Is the AGV of the future a lift truck?Modern Materials Handling ® (ISSN 0026-8038) is published monthly byPeerless Media, LLC, a Division of EH Publishing, Inc., 111 Speen St, Suite200, Framingham, MA 01701. Annual subscription rates for non-qualifiedsubscribers: USA $119, Canada $159, Other International $249. Singlecopies are available for $20.00. Send all subscription inquiries to ModernMaterials Handling, 111 Speen Street, Suite 200, Framingham, MA 01701USA. Periodicals postage paid at Framingham, MA and additional mailingoffices. POSTMASTER: Send address changes to: Modern MaterialsHandling, PO Box 1496, Framingham MA 01701-1496.Reproduction of this magazine inwhole or part without written permissionof the publisher is prohibited.All rights reserved. ©2011 PeerlessMedia, LLC.mmh.com MODERN MATERIALS HANDLING / A P R I L 2 0 1 1 5

www.hyundai-ce.comThe New Standardfor Forklift TrucksFORKLIFT LINE -UPLPG Forklift 1.5 - 5.0TonDiesel Forklift 1.5 - 25TonBattery Forklift (Counter Balanced)1.6 - 5.0TonElectric Order Picker10BOP-7/13BOP-7Reach Truck (Pantograph)1.5 - 2.3TonReach Truck (Standing) 1 - 2.5TonReach Truck (Seated) 1.4 - 2.5TonElectric Towing / Platform Truck40TA-7/15PA-7HEAD OFFICE(REP. of KOREA) Tel.: 82 2 746 4609 Fax: 82 2 746 7444~5E-mail: sisky20@hhi.co.kr www.hyundai-ce.comHCE AMERICAS(U.S.A) Tel.: 1 847 437 3333 Fax: 1 847 437 3574 www.hceamericas.comHHI EUROPE(BELGIUM) Tel.: 32 14 56 2200 Fax: 32 14 59 3405~6 www.hyundai.euHHI BEIJING(CHINA) Tel.: 86 10 8321 3377 Fax: 86 10 5143 8502 www.hyundai-bj.comDUBAI BRANCH OFFICE(U.A.E)Tel.: 971 4 425 7995 Fax: 971 4 425 7996 E-mail: sbyun@hhi.co.krISTANBUL BRANCH OFFICE(TURKEY)Tel.: 90 212 345 1261~2 Fax: 90 212 345 1263 E-mail: eunsoo@hhi.co.krMOSCOW BRANCH OFFICE(RUSSIA)Tel.: 7 495 258 1381 Fax: 7 495 258 1382 E-mail: leokang@hhi.co.kr

SuPPLy Chain EduCaTiOnaL SERiES DevelopeD by DematicBatch Orders & SortBy grouping and concurrently picking SKUs for multiple orders,the order pickers become more productive. Potential solutions:pick carts, pick to tote and sortFostering Supply Chain Education10 Strategies toOptimize WarehouseOperationsDEMATICUNIVERSITYDematic has identified a core set of components for aligning yourwarehouse and distribution center logistics with business strategies.We call these components “The 10 Strategies to Optimize WarehouseOperations”. The strategies are created from proven solutions aimed ateliminating non-value adding activities and address critical business drivers.Intelligently applied, they bring an organization’s logistics strategy intoalignment with business strategy and help provide a competitive edge inyour market sector.Reduce Time Wasted TravelingDepending on the size of the operation, a significant portion of an orderpicker’s time is spent traveling between picks. Deploy methods that reducetravel time, condense the pick face and allow your staff to work smarter.Potential Solutions: flow rack, optimized flow paths, dynamic slottingMove Orders To ZonesConsider methods that manage the flow of materials for faster, moreefficient order assembly and consolidation. Potential Solutions: zoneroute conveyor networks, pick cartsFree PickingBy making the SKU that you don’t pick become the SKUyou pick, you essentially Pick one and get one for free.Potential Solution: negative pick softwareEliminate Travel, Split Case Selection &ReplenishmentInstead of the pickers going out into the warehouse to locateand pick split case items, consider systems that bring theinventory to the picker who remains in one location. PotentialSolution: goods to person pick stations supported withautomated staging system for inventoryEliminating Travel, Full Case Selection &ReplenishmentAs an alternate to pickers going out into the warehouse tolocate and pick cases, consider systems that bring the casesdirectly to a palletizer. Potential Solution: automated casebuffer system with semi-automated palletizingBuffering & SequencingAs portions of customer orders are picked, the items orcases could be consolidated into a buffer storage systemas a method of optimizing the process. Potential Solution:automated staging systemLayer PickOptimize picking activity with layer picking methods. Get moreorder assembly faster with less labor. Potential Solution:layer picking robotsMixed Case PalletizingDetermine if the case assembly process for mixed casepalletizing is efficient. Potential Solutions: staging buffersystem linked to ergonomic palletizer systems, casepick & sortGo Real TimeOperate with real time systems—Gain visibility, obtain realtime operational status, and monitor labor productivity.Potential Solutions: warehouse control system software,dashboards, voice & light directed activitiesFor more detailed information about the 10 Strategies visit www.dematic.us or call 1-877-725-7500.

Di@blogbest of Modern’s blogsCompany Briefings | Bob TrebilcockProMat 2011: Was that a show orwhat? www.mmh.com/blogsSTATE OF THE INDUSTRYMaterials handlingindustry reboundsBY BOB TREBILCOCK, EXECUTIVE EDITORTHE NUMBERS FROM MHIA’S ANNUALSTATE OF THE INDUSTRY PRESSCONFERENCE PAINT A PICTURE OFWHY MATERIALS HANDLING SPENDINGHAS BEGUN TO REBOUND FROM THERECESSION THAT BEGAN IN 2008.$75 BILLION. That could be themost important figure reported bythe Material Handling Industry ofAmerica (MHIA), sponsor of ProMat,at its annual State of the Industrypress conference last month atProMat 2011.“That figure represents the capitalspending plans of ProMat attendeesover the next 18 months,” saidGeorge Prest, chief operating officerfor MHIA. That’s right, ProMat attendeessay they plan to spend $75 billionon the materials handling andinformation handling technologiesthat were on displayat this year’s show in the nextyear and a half.29%. That could be thesecond most important figurereported by MHIA. That representsthe increase in pre-registrationsfor this year’s eventover the 2009 show.Taken together, the numberspaint a picture of whymaterials handling spendinghas begun to rebound fromthe recession that began in2008. In fact, the chart of economicactivity for the industryover the last few years looksvery much like a V-shapedrecovery, according to Prest.Material Handling EquipmentManufacturers (MHEM) report thatnew orders grew by 18% in 2010 over2009. Those same manufacturers areforecasting growth of 11% to 12% for2011 to 2012. MHEM shipments—theactual deliveries of materials handlingequipment and systems—grewbetween 6% and 7% in 2010 and arealso forecast to grow by 11% to 12%in 2011 to 2012.Finally, MHEM Domestic Demand,a figure defined as shipments todomestic customers plus imports ofequipment by domestic customersless export shipments, grew 3% to4% in 2010, but is forecast to grow11% to 12% in 2011. MHIA is alsoforecasting strong export growth in2011.“The buying power of our attendeesis the primary reason there’s a lotmore activity and optimism on thefloor this year over the 2009 show,”Prest said.Larry Strayhorn, chairman of MHIA, cuts the ribbon to kick off the openingof both ProMat and Automate last month.mmh.com MODERN MATERIALS HANDLING / A P R I L 2 0 1 1 9

CURRENT EVENTSMaterials handling in JapanTHE DEVASTATION FOLLOWINGthe earthquake in Northern Japanhas touched every aspect of life andindustry in that country. Withoutminimizing the human toll of thistragedy, the news as it relates tothe materials handling industryis that industry leaders likeToyota Material Handling USA(TMHU), Daifuku Webb and Mu-InSight Super-Size AkroBins®Indicator ProCart A/Deck System BinsVantageBin InnovatIve ProductsONLYFrom Akro-Mils!AkroDrawers Stackable CabinetsEarthSaverShelfMax Discover how innovative products fromAkro-Mils can add efficiency and organizationto your material handling. Call us at 800.253.2467or visit www.akro-mils.com for more information.Everything You Need To Store, Organize & TransportDedicatedto OurDistributorNetwork!©2011 Akro-Mils/Myers Industries Inc. Form No. AKM27rata Machinery were largely spared.Daifuku Webb reported fromthe show floor at ProMat 2011 lastmonth that there have been noreports of fatalities or serious injuriesamong Daifuku personnel or theirimmediate families and that itsoffices sustained no damage. Thecompany’s crisis management systemwas put into place immediatelyfollowing the earthquake to restorefunctionality to customer systemsthat were damaged. “We have beenoverwhelmed with words of encouragementand offers of hope,” aspokesperson said.Similarly, Murata Machinery USAreported at the show that its factorieswere located in unaffected areas ofsouthern Japan. All the same, keyexecutives who had planned on attendingProMat chose to stay home.“Our colleagues in Japan are workingon relief efforts and to support oursuppliers and customers in NorthernJapan,” said a company spokesperson.TMHU reported that there was nodamage to any of the Toyota IndustriesCorporation (TICO) plants inJapan. The Takahama forklift plantwas closed March 11 to 18. Productionrecommenced March 21. “TICOwill continue to monitor the situation,but at this time, business operationshave resumed otherwise,” a spokespersonsaid. TICO is donating $1.2million to provide relief support forvictims and reconstruction assistancethrough Japan Platform, an internationalemergency humanitarian aidorganization offering emergency aid,focusing on the issues of refugeesand natural disaster.10 A P R I L 2 0 1 1 / MODERN MATERIALS HANDLING mmh.com

log@wayExcerpts from executive editor Bob Trebilcock’s bloggo to... www.mmh.com for complete postsIs the AGV of the future alift truck?OKAY, THE ABOVE is a totally gratuitoussentence designed to grab yourattention. Think of it as the materialshandling equivalent of the blazingred XXX sign in the windows on theold 42nd Street. But I did attend twopress conferences at ProMat that Ithink point to a future trend.The first was the introduction ofLaserTrucks+ by Dematic and CrownEquipment at Dematic’s booth. TheLaserTrucks+ looks like a rider pallettruck. Indeed, it’s built on the CrownPC 4500 Series of trucks. In reality, it’san integrated carton picking solutionthat applies Dematic’s automaticguided vehicle (AGV) guidancetechnology to a Crown rider pallettruck and then layers Dematic voicepicking software on top. What youend up with is a vehicle that can beautomatically directed to a pickingzone, automatically indexed to thenext picking location within that zoneas the associate is directed by thevoice system to complete his picks,and then get automatically routed tothe next assignment for the vehicle—whether that’s to another pick zoneto complete the picks for a pallet, aProCartdrop off location, a stretch wrapperor the shipping dock.In addition to introducing an alliancebetween an AGV supplier and alift truck OEM, something akin to catsand dogs becoming best buds, it’salso an example of how the acquisitionof HK Systems by Dematic lastfall may play out in the future. Lastsummer, before the acquisition,Dematic was talking to Danaherabout applying its automatic vehicleguidance technology to a lift truck tocreate a pick-to-pallet solution. Butwith the acquisition of HK Systems,Dematic had the technology inhouse.“This is an example of whywe bought HK and talked about theOutstandingValueFrom Akro-Mils!AkroBins®Shelf BinsLouvered Hanging SystemsVERSA/DeckVERSA/Deck Attached Lid ContainersWire & Steel ShelvingStak-N-Store BinsHeavy-Duty Bin CabinetsUnsurpassedCustomerService!Hand Trucks Attached Lid ContainersDiscover how innovative products fromAkro-Mils can add efficiency and organizationto your material handling. Call us at 800.253.2467or visit www.akro-mils.com for more information.Everything You Need To Store, Organize & Transportcomplement of having AGVs in ourportfolio,” John Baysore, Dematic’sNorth American president, told me.An hour after the Dematic pressconference ended, I attended anotherevent where Egemin Automationand Mitsubishi Caterpillar ForkliftAmerica were introducing somethingthey termed a hybrid automated©2011 Akro-Mils/Myers Industries Inc. Form No. AKM27Attached Lid Containersmmh.com MODERN MATERIALS HANDLING / A P R I L 2 0 1 1 11

guided vehicle. In this instance, MCFAwas applying Egemin’s automatedguidance technology to its 3,500- and5,500-pound lifting capacity lift trucks.Instead of pick-to-pallet, Egemin isgoing after full pallet movementsbetween manufacturing cells, or fromthe end of the manufacturing line toa putaway location in the warehouseor the shipping dock. Same concept,different application.As with Dematic and Crown, Egeminand MCFA are teaming up to createa product that combines the bestSave Spaceand IncreaseThroughput.of an AGV with the advantages of aproduction lift truck, such as economiesof scale (MCFA and Crown makea lot more lift trucks than Egemin orDematic make AGVs) and extensivedealer and distributor networks toprovide repair parts and maintenanceservices. “For 25 years, customershave been asking us why we can’tput a control box on a forklift,” MarkStevenson, Egemin’s vice president ofbusiness development said. “Egeminfinally said the two technologies areclose enough. Let’s do it.”Beyond that, Stevenson said Egeminwanted to bring standardization andfamiliarity to the AGV market. “The lifttruck is the most familiar materials handlingcomponent in the supply chain,”he said. “You get a market size andscale with a lift truck that you just cannotget as a manufacturer of AGVs.”There’s one important differencebetween the Egemin and Dematicapproach: The Egemin hybrid vehiclecan be operated in a manual mode,like any other lift truck, or completelyautomated mode, like any other AGV,with the turn of the ignition key. TheDematic vehicle can only be operatedmanually in an emergency.Will the market embrace either ofthese new vehicles? I have no idea. Butthey are among the most exciting newtechnologies I saw at the show.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 reconfiguring 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.300 Newsome Drive • Yorktown, VA 23692Phone: (757) 898-1530 • Fax: (757) 898-1580VERTICAL CONVEYING SOLUTIONSDid you missProMat?Read all of Modernand the Show Daily’scoverage of theshow at www.mmh.com/criticaltopic/promat201112 A P R I L 2 0 1 1 / MODERN MATERIALS HANDLING mmh.comMMH-Island-Ryson-SaveSpace-11.indd 13/2/11 10:22 AM

Committed.We’re committed to long-termcustomer success, not justwinning the next order.Commitment You Can Count On: At Intelligrated, commitment means helping our customersmeet their business goals throughout the life of their material handling systems. With proventechnology, industry-leading service and local support, you can count on us in the short and thelong term. A successful customer, a lasting collaboration. That’s the Intelligrated way.Integrity. Committed. Innovative. Smart. The Intelligrated Way.866.936.7300www.intelligrated.com/committed

lift truck TIPSHigh-frequency battery room upgradesIndustrial charging solutions make batteryroom upgrades cost-effective and green.By Josh Bond, Contributing EditorThe majority of the innovation in thebattery market is centered on chargingsolutions, according to Steve Spaar,marketing director for EnerSys. Althoughdevelopments in fast-charge and opportunity-chargetechnology have lured manyoperations away from the centralized batteryroom model, says Spaar, developments havebeen made to update and improve batteryrooms through the use of high-frequencycharging systems.While fast-charge and opportunity-chargesystems offer the appeal of decentralizedcharging and corresponding productivitygains, Spaar says those technologies are notideal for three-shift operations.“You can’t run a battery 24 hours a daywithout a cooling period and expect it tolast more than six months,” he says. “Theseoperations will still need a central batteryroom.”High-frequency chargers are upwards of90% efficient, says Spaar, as opposed to the60% to 85% efficiencies of traditional systems. The efficienciesare often significant enough to generate an ROIin under two years, he says.The California Energy Commission is developing efficiencystandards for industrial battery applications, amove motivated by the state’s high electricity rates, saysSpaar. On the national level, the Environmental ProtectionAgency is working to include efficient industrial chargingsystems in the Energy Star program, he adds. If enacted,the program would represent the first non-retail line ofEnergy Star products.As they continue to refine traditional technologies,battery companies like EnerSys continue to research fuelcell and lithium ion technology, but Spaar says the effortsare not big focuses for R&D resources. Although thetechnology has been proven outside the industrial andmaterials handling sectors, he says, the value propositionsin those areas are simply not there.“But we are continuing to research these technologieswhen the time comes that they make sense in motivepower,” says Spaar.In the meantime, upstarts like fuel cell technology havefew advantages, he says. Productivity gains from decentralizedhydrogen fueling stations are easily matched byfast-charge or opportunity-charge systems, says Spaar. Asfor the environmentally friendly angle, Spaar notes that92% of an average lift truck battery is recyclable, and 95%of lift truck batteries are recycled.“In fact, it is the most recycled product,” says Spaar.“Next is aluminum cans at about a 50% recycle rate.”Josh Bond is a contributing editor to Modern and can bereached at josh.d.bond@gmail.com.14 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

YOUR OPERATION NEEDS TO BE MOREEFFICIENT THAN EVER. YOU NEED TO CUT COSTS ANDINCREASE PRODUCTIVITY. AND THERE’S NO ROOM FOR ERROR.Today’s business climate demands youget more done with less resources. Withan order this tall, you’ll need Hyster lifttrucks to fi ll it. Tough, durable and reliable,they derive their power to perform from80 years of engineering excellence.This economy has extended a clearchallenge. And our reply is, bring it.11HST3500#1 IN TOUGH APPS WORLD-CLASS SERVICE FULL PRODUCT LINE INDUSTRIAL GRADE PARTSPURPOSE-BUILT RETURN ON INVESTMENT PROVEN HERITAGE STRONG DEALER NETWORKhysteramericas.com © 2010 Copyright Hyster Company. Hyster and are registered trademarks of Hyster Company.

modern system reportOtis Technologygoes leanwithmaterials handlingMobile robots, an AS/RS and supply chain softwaretransformed this manufacturer’s processes.By Bob Trebilcock, Executive EditorConventional wisdom holds that robotics and automated materials handlingsystems are for the industry’s big guns, not for the little guys.In the case of Otis Technology, conventional wisdom is wrong. Amanufacturer of firearms cleaning systems in upstate New York, OtisTechnology has installed three mobile robots (ADAM Robots, www.adamrobot.com) in a manufacturing and distribution facility that measuresjust 80,000 square feet.The company began to install automation in 2008 with two primarypurposes in mind. The first, and most important, was to enable OtisTechnology’s implementation of lean manufacturing processes. Thesecond was to further a philosophy that employees matter.“In the history of the company, we have never laid off an employee,”says Mike York, director of operations. “To stay competitive, we are lookingat automation to free up our employees for value-added tasks and toincrease our throughput, not to reduce our workforce. We are proud tobe American-made, American-owned and American-employed.”But its automated materials handling wasn’t limited to mobile robots.Otis Technology has also installed a warehouse management system(WMS) and enterprise resource planning (ERP) system, automated dataMobile robots deliver totes to and from assembly stations atOtis Technologies’ facility in New York.16 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Left to right: Doreen Garrett president and CEO;Larry Williams, president of operations;Denise Miller, president of sales and marketingcollection, a wireless voice over Internetprotocol (VoIP) communications system,and a two-aisle automated storage andretrieval system (AS/RS). One aisle features512 pallet positions for unit loadstorage while the other aisle includes3,240 positions for mini-load storage.Since going live, the results havebeen impressive:• On-time deliveries increased from85% to 99.92%.• Otis Technology has saved $2 millionin inventory.• York estimates the mobile robots aresaving the company 94.2 hours aday in time employees used to spendwalking back and forth in the operation.That’s roughly 1 hour per day peremployee.Going back to a philosophy thatemployees are integral to the company’ssuccess, some of that savings hasbeen reinvested into employee trainingin lean techniques that will yield moreimprovements in the future.Growing a businessOtis Technology is unique in a numberof ways beyond being a small companycommitted to lean and automation.For one, the 26-year-old companyis female-owned and operated. DoreenGarrett, founder and CEO, was just 16when a bullet jammed in her rifle aftershe tripped over a stick in the woodsduring a hunt with family members inrural New York. After walking 2 milesback to their hunting camp, she clearedher gun with a weight and some stringshe found in her grandfather’s kit. Theexperience gave her the idea for a fieldkit to clean a gun’s muzzle.After getting tossed from the firstgun show where she showed off herprototype because she was under 18,Garrett went back to the show wearingmakeup and high heels and cameaway with orders from the military. Herfather helped her establish the company,since she was not only a kid buta young woman in a male-dominatedindustry. Today, Garrett’s siblings arealso involved in the business.Early orders were produced at thefamily’s kitchen table and then a horsebarn. In 1996, the company movedinto its current offices, and in 2004 itbroke ground on the manufacturingplant where the product is assembled.In 2006, the company added an on-siteday care center to help employees.While Otis Technology does notrelease sales information, it is nowthe largest employer in its part of thecounty. Still, it has maintained a family-ownedculture with a commitmentto the local economy. “Our area needsjobs,” says York, “and we think we havean important role to play in our area.”PHOTOGRAPHY BY KOROBERImmh.com Modern Materials Handling / A p r i l 2 0 1 1 17

modern system reportAlthough Otis has less than 100 employees in itsmanufacturing operations, the company has adoptedautomation to enable lean manufacturing processes andcontrol its manufacturing costs.Otis Technology is unique inanother respect: While many manufacturersoutsource some or all of theirproduction processes, Otis Technologyremains a vertically integrated company,with some 31 work centers on thefloor. “We produce 90% of what we kit,”says York. “As a result, we have multiplework centers going into work-in-process,followed by work-in-process goingto other work centers.”Getting leanThe seeds leading to lean manufacturingwere planted in 2008, when thecompany added 22,000 square feet forthe unit and mini-load AS/RS. Prior tothat, raw materials, work-in-process andfinished goods were stored on the floorin the manufacturing area, in traditionalwarehouse racking or in an off-site warehouse.It was notonly inefficient,it was costly. “Wehad no room toexpand,” says York. “And every time wemoved materials, we were paying a feeto a 3PL.”Conveyor was in place to transportproduct throughout the facility. That,however, created challenges when itcame to changing processes. “If wewanted to change something, you hadto go around a conveyor because youcouldn’t go through it,” says York. “Westarted asking if there wasn’t a way tomove material more efficiently.”In 2009, a group of Otis Technology’smanufacturing operations employeesattended a White Belt class in leanmanufacturing. During those sessions,the team examined the non-valueaddedsteps and wastes in their processes,including the amount of timeassociates spent walking to get materials.That led to discussions aboutchanging the layout of the plant to setup processes closer to one another toimprove the flow through the facility.“We realized that wasn’t possible giventhe configuration of our facility,” saysYork. And, adding more conveyor wasn’teconomically feasible.While these discussions were happening,an Otis Technology executivediscovered a system on the Webfor mobile robots that could transporttotes, containers and other items. Whatcaught his attention was the laser-basedguidance system used to direct themobile robots. “Most robotic systems orautomatic guided vehicles run on a railor require you to put something on thefloor,” says York. “We did not want to dothat. With this system, no markers arerequired on the floor. We decided thatwould suit our facility.”The question was whether the systemcould deliver enough return to justify theinvestment. Doing the math, they calculateda savings of more than an hour18 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

modern system reportper day per employee in travel time thatwould now be available for value-addedprocesses or future growth. That was sufficientto justify the investment.Going live with roboticsMobile robotics was also an ideal technologyfor Otis Technology’s new leanmanufacturing strategy. In the old strategy,all of the materials for a day’s productionwere stored in a work center.Associates would retrieve the materialthey needed as they needed it. Keepingtrack of inventory in that system wasdifficult and it led to a lot of work. Onesolution was to allocate no more thanone hour’s worth of production materialsto a work center at any given time.Changeovers were easier, but thatapproach still required a lot of walking.As the team did the value-streammapping associated with lean, all thatwalking emerged as a significant waste.That’s where the mobile robots cameinto play. The machines operate likesmall automatic guided vehicles, shuttlingcontainers and totes rather thanpallets through the facility. That wouldeliminate the walking. What’s more,they could be easily reprogrammed ifproducts, processes or a layout changed.After performing due diligence, OtisTechnology executives ordered threemobile robots. The implementation andtraining took about a week.The primary function of the robots isto deliver kanban totes and containersfrom the AS/RS to work centers in themanufacturing area. In that capacity,when an item runs out in a work center,an associate on the line presses a callbutton for a mobile robot. When therobot arrives, the empty container, anywaste cardboard and a kanban card areplaced on one of the robots. The robotautomatically delivers these back to theAS/RS system.There, an associate scans a bar codeon a kanban card. That signals the AS/RS to retrieve and deliver the replenishmentitems. Meanwhile, the robotgets an opportunity charge. Once theproduct is delivered to the operator, it’sloaded onto the mobile robot and deliveredto a workstation.In addition, the robots are also usedto deliver work-in-process from workcenters to the AS/RS for temporarystorage; to deliver finished goods fromthe packing area to the AS/RS for temporarystorage; or from the line or theAS/RS to the shipping area.Employees have adapted well toworking with robots. “When we come upwith a new idea, we go through a changemanagement process,” York says. “Weexplain the benefits, explain how we’regoing to use it and we repeat that severaltimes. There’s a level of employee trustso that we don’t have pushback.”The biggest accommodation hasbeen to add audio to the robots so thatPallets and totes arestored in an AS/RS (center).Product is then packed inkanban totes and deliveredjust-in-time to the assemblyline (top).employees hear them coming. “Theaudio system plays music, and we allowthe employees to request what we playso long as it’s appropriate,” York says.Along with improved inventoryaccuracy and productivity, York saysthe most visible change may simplybe that the facility is orderly. “If youlook around, you’ll notice that there’sno inventory sitting in the aisles andonly the supervisors are walking,” hesays. “Our employees are all involved invalue-added services.”Down the road, he adds, if productsor processes change, there is aninfrastructure in place to adapt. “AllI’ll have to do is add another robot,”he says. “I have flexibility that I didn’thave before.” Mmmh.com Modern Materials Handling / A p r i l 2 0 1 1 19

modern system reportMobile robots bringflexibility to the lineAt Otis Technology, the laser-guided vehicles shaved overan hour of walk time per employee.At Otis Technology’s Lyons Fallsfacility, mobile robots, automatedstorage and warehousemanagement (WMS) come togetherto enable lean manufacturing anddistribution.Receiving: Raw materials and partsare received (1) and staged briefly whilean associate verifies the count and scansbar codes to enter the newly receivedinventory into Otis’ WMS. Once thereceipt has been counted and verified, astock movement is created in the WMSand the inventory is ready for putaway.Otis TechnologyLyons Falls, N.Y.Size: 80,000 square feet, includingmanufacturing and distributionProducts: Firearm cleaning systemsand accessoriesSKUs: 3,354Shifts: 1 shift/5 daysEmployees in operations: 90Putaway: Product can be putawayin several locations.If an item is hot, it’ll be placed onone of the mobile robots and automaticallydirected to one of the work centersin the manufacturing area (2).Items going into storage will beplaced on a pallet for putaway inthe unit-load automatic storage andretrieval system (AS/RS) (3) or into ablue bin if the product will be storedin the mini-load AS/RS (4). Either way,the product is delivered to an inductionarea. There, it will be automaticallylaser scanned and associated witha specific storage location in one ofthe two automated storage units. Thatproduct is now available to promise inthe system.Picking: When associates receive awork order, they scan a bar code on awork card. That signal tells the AS/RS(4) to retrieve materials from storageand deliver them to a fulfillment areaknown as a supermarket (5). There,an associate scans the items to a bin.Mini-loadAS/RS4Unit loadAS/RS3Shippingand receiving15Supermarket8 StretchwrapPackaging6Manufacturingarea2Order assemblyand kitting7Manufacturingarea220 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

modern system reportEach robot will typically carry four bins.Once the order has been pulled, themobile robot is ready to make a deliveryto one or more work centers in themanufacturing area (2) if it will be makingmultiple stops.Once the robot arrives at a workcenter, it parks and beeps. The robottells the associate which load is forthat workstation. Once the load hasbeen removed, the associate loads anyempty containers at the workstation,and presses a button that the receivingis complete. The robot then continuesto its next task.Typically, an associate has two binsat a workstation. When the first bin isempty, the worker presses a call buttonfor the next delivery. Likewise, once afull bin in assembly of finished producthas been completed, that product willbe routed to the next workstation onthe assembly line or to the supermarketSystem suppliersif it will go into temporarystorage.Product readyfor shipment to themilitary is sent to apackaging area (6) atthe end of the orderassembly and kittingarea (7), where it isbagged, boxed, palletizedand stretchwrapped(8) andthen staged in the shipping area (1).All other finished goods will be deliveredto a packaging area where they arekitted in plastic molded pieces and heatsealed. After that, they are deliveredback to the AS/RS for storage until theyare ready for shipment.Picking orders for shipment:Customer orders are created in theWMS. When an associate scans a pickticket, bins and pallets are pulled fromMobile robots: ADAM Robots, www.adamrobot.comAS/RS: Daifuku, www.daifuku.comWarehouse management system: Accellos, www.accellos.comERP: Sage, www.sageproerp.com/productsLift trucks: Linde Material Handling, www.lmh-na.comBar code scanning: Motorola Solutions, www.motorolasolutions.comStretch/shrink wrap equipment: Belco Packaging Systems,www.belcopackaging.comWireless/IP phones: Cisco, www.cisco.comthe AS/RS and delivered to the supermarketarea. There, the associate picksthe quantity required for the order andscans the items to a bin location for thatorder on a cart. Once the order is completed,a mobile robot delivers the cartto a packaging area where the items arepackaged for parcel shipments or palletizedand stretch wrapped for LTLshipments. The orders are now readyfor delivery. Mmmh.com Modern Materials Handling / A p r i l 2 0 1 1 21

MODERN special report2 0Topsystems suppliersModern’s 14th-annual surveyof leading materials handlingsystems suppliers from aroundthe world shows that businessin general is headed in apositive direction and revenueis growing again.By Lorie King Rogers, Associate EditorIT MAY BE TOO EARLY to pop the champagnecork and celebrate the return of arobust economy, but according to Modern’s14th-annual survey of the world’s leadingsystems suppliers, it’s not too early to put afew bottles on ice.This year’s survey results show that all of last year’sTop 20 companies are on the list again, but mergers and acquisitionshave made room for two new companies to hit the chart.In all, 12 of the Top 20 companies reported an increase in revenue,two remained about even, and only five reported a decrease.That’s quite a turn of events from last year when 17 of the Top 20companies reported a drop in revenue, one stayed flat, and onlytwo reported increases.So here’s how the current Top 20 stack up. Once againSchaefer Systems International, Daifuku and Dematic remain inthe top three positions, respectively. No. 1 Schaefer saw a 7%decrease, but still reported an impressive $2.19 billion in revenue.With $1.95 billion in revenue, No. 2 Daifuku realized an increaseof more than 10%, narrowing the gap between first and second22 A P R I L 2 0 1 1 / MODERN MATERIALS HANDLING mmh.com

modern special reportTop 20 worldwide materials handling systems suppliers2010 Rank Company URL 2009 RankWorldwide 2010revenue (US$)Headquarters1 Schaefer HoldingInternational GmBHssi-schaefer.us 1 $2.19 billion Neunkirchen, Germany2 Daifuku Co. Ltd. daifukuamerica.com 2 $1.95 billion Osaka, Japan3 Dematic dematic.com 3 $1.2 billion Luxembourg4 Murata Machinery Ltd. muratec-usa.com 5 $749 million Kyoto, Japan5 Vanderlande Industries vanderlande.us 4 $742 million Veghel, The Netherlands6 Swisslog AG swisslog.com 6 $650 million Buchs, Switzerland7* Interlake Mecalux interlakemecalux.com 7 $570 million Barcelona, Spain8 Kardex Remstar kardexremstar.com 10 $470 million Zurich, Switzerland9 Fives Group fivesgroup.com 13 $383 million Paris, France10 Intelligrated intelligrated.com 15 $378 million Mason, Ohio11 Legris Industries legris.com 8 $338 million Rennes, France12 Knapp Logistik AutomationGmbHknapp.com 14 $329 million Graz, Austria13 TGW Transportgerate GmbH tgw-group.com 12 $306 million Wels, Austria14 Witron GmbH witron.com 16 $270 million Parkstein, Germany15 Beumer MaschinenfabrikGmbHbeumer.com 9 $210 million Beckum, Germany16 FlexLink AB flexlink.com 19 $203 million FlexLink Systems(Allentown, Pa.)17 Wynright wynright.com N/A $135 million Elk Grove, Ill.18 System Logistics systemlogistics.com N/A $126 million Modena, Italy19 viastore systems viastore.com 20 $104 million Stuttgart, Germany20 Dearborn Mid-WestConveyor Co.dmwcc.com 18 $100 million Taylor, Mich.*based on an industry estimateSource: Peerless Media Group, independent research surveypositions. No. 3 Dematic experiencedan increase of almost 20%, bringing its2010 total revenue to $1.2 billion.Rounding out the top five are MurataMachinery (No. 4) and VanderlandeIndustries (No. 5), which traded placesthis year. The 20% increase reported byMurata Machinery was enough to moveit into the fourth position, with less than1% separating the two companies.Together, the top five systems suppliersreported combined 2010 revenueof more than $6.83 billion, which is a3.3% increase over last year’s combinedtotal of $6.61 billion.One important caveat: As we’ll seebelow, some of the increases in revenuewere the result of acquisitions and notfrom organic growth. That is one reasonthe combined total 2010 revenue for allTop 20 companies of $11.4 billion isactually down 4.2% from the 2009 totalof $11.9 billion. In addition, the cutoff to make the list dropped from $140million to $100 million.That said, No. 1 Schaefer reportsthat revenue for 2010 was lower than2009 due to a high backlog of unfinishedprojects at the end of the year.However, the company tells Modernmmh.com Modern Materials Handling / A p r i l 2 0 1 1 23

modern special reportThe top five systems suppliers reported combined 2010 revenue of more than $6.83 billion, up 3.3% over 2009.that order intake has increased favorablyand is expected to positively affectupcoming sales revenues.Making Modern’s listOn the plus sideHaving a positive effect on its bottomline was No. 2 Daifuku’s strategicmaneuver last October to take on acapital stake in Knapp with the acquisitionfrom its current management teamof approximately 6% of total shares outstanding.This deal is credited with havinga positive, albeit fairly slight, impacton Daifuku’s year-end results.Also having a positive effect on thebottom line was Dematic’s acquisitionof HK Systems, which was finalizedin September of 2010. HK Systems,a North American automated materialshandling and software solutionsprovider, was No. 17 on Modern’s Top20 ranking last year with $200 millionin revenue. The purchase explains, inpart, Dematic’s 20% jump in revenue.Kardex Remstar International alsosaw an increase in revenue with thepurchase of its United States competitorKardex Systems. With the dealsealed and the two entities now reportingtogether under one managementteam, Kardex Remstar, as it is nowknown, has moved up two positionsfrom No. 10 into the No. 8 spot.The Fives Group, headquartered inParis, also climbed the chart thanks toan 11% increase in revenue that movedthe company up four positions fromNo. 13 to No. 9.To qualify for Modern’s list, companiesmust be suppliers of materialshandling systems, not just equipmentproviders. In addition to manufacturingat least two major handlingsystem components, a companymust also employ full-time staffthat designs, installs and integratesmaterials handling systems.These systems include at leasttwo of the following: transportationdevices, storage and staging equipment,picking units, sortation systems,information management systems,data capture technologies andother types of handling equipment.To be considered worldwidesuppliers, companies must havea presence in North America andmust also be able to report theirmaterials handling revenues toModern. (Lockheed Martin, forexample, is a systems supplier with aNorth American presence, but isn’tincluded in our Top 20 list becausethey can’t single out the revenuethat comes from materials handlingcontracts.)Intelligrated has broken into thetop 10, at No. 10. Contributing to itsupward movement is its recent purchaseof FKI Logistex. Last year’s totalrevenue reflects about six months ofreporting as Intelligrated alone andsix months of reporting as a fully integratedcompany.Another notable business maneuverwas the acquisition of the New Yorkbasedengineering services companyRetrotech by Chicago-based Savoye,which is a division of No. 11 LegrisIndustries. But because this deal happenedin February of 2011, the financialimpact will not be noted until next year.We’ll also have to wait for an officialrevenue figure from InterlakeMecalux. At the time Modern went topress, Interlake Mecalux did not havean approved number to report, so we areusing the best information available to usat the time. Our estimate has the companyholding on to the No. 7 position.Welcome aboardLast year Modern said we would bewatching Illinois-based Wynright andSystem Logistics, headquartered inModena, Itlay. It’s a good thing we didbecause both have joined the ranks ofthis year’s Top 20 list.Wynright is making its debut on thelist at No. 17 with $135 million in revenue.A significant factor in Wynright’s24 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

MODERN special reportrecent growth was its 2009 acquisitionof Tellurian, a robotics companyin Texas, which was its fastest growingbusiness unit in 2010.System Logistics, which joinedforces with systems integrator andmaterials handling technology supplierDiamond Phoenix in September 2009,is now ranked No. 18 with $126 millionin revenue.So, who is Modern watching now?This time, we’re keeping an eye onElettric 80, headquartered in Viano,Italy. Specializing in end-of-the-lineautomation, Elettric 80 reported $94.5million in revenue last year, just 5.5%away from making the Top 20 list.Among the missingThere are a couple of familiar names missingfrom this year’s Top 20 list. For example,HK Systems, which ranked in theNo. 17 position last year with $200 millionin revenue, was acquired by Dematic.Columbus McKinnon, which heldthe No. 11 position last year with $400million in revenue, voluntarily bowedout of Modern’s survey this time around.Although the company is still involvedwith systems work, it has sold a numberof divisions.According to the Material HandlingIndustry of America, the industry isanticipating double-digit growth inthe coming year.Future forecastWhile the champagne is chilling, let’stake a look at where we are and wherewe may be headed. True, the industry isnot back to pre-recession numbers, butmany sectors came back quicker thanexpected, according to John Nofsinger,CEO of the Material Handling Industryof America (www.mhia.org). In fact, inlast month’s annual Industry Outlook,Nofsinger told Modern that in a surveyof industry leadership, all signs arepointing toward underlying optimismend-to-end. Numbers aside, he said,there’s confidence and industry feedbacksupports low double-digit growthfor the coming months. SustainableDesign-Build SolutionsFlexible Finance SolutionSon Fabric StructureS & GreenHouSeS *termS up to 10 yearS rateS aS low aS 4.99%aS little aS 10% down *Subject to credit approval.Buildingsavailable up to300' wide.Low in cost persquare foot.Natural daytimelighting.Easy to relocate.Expandable.Little or noproperty taxes.Call one of our ClearSpan Specialists at 1.866.643.1010 orvisit us at www.ClearSpan.com. Mention code CST1109.mmh.com MODERN MATERIALS HANDLING / A P R I L 2 0 1 1 25

modern information managementMesat acrossroadsBy Bob Trebilcock, Executive EditorLast December, Congress passedthe Food Safety ModernizationAct. The new law gives the Foodand Drug Administration theauthority to directly issue aproduct recall—no ifs, andsor buts about it.Potentially, that’s bad news for foodand beverage manufacturers, who onceissued recalls on a voluntary basis. Now,they have an entirely new level of compliancerequirements to meet if theywant to narrow the scope of a recall.It’s potentially good news for theNew compliance and regulatory requirementsare driving interest in manufacturingexecution systems.developers of manufacturing executionsystems, or MES—the supply chainexecution software systems that directand report on shop floor activities.“Food and beverage companies arevery conscious of getting their namesin the paper for the right reasons andnot the wrong reasons, like a productrecall,” says John Southcott, co-CEOof Brock Solutions (www.brocksolutions.com),an MES systems integrator.Southcott is also the internationalchairman of the board of directorsfor the Manufacturing EnterpriseSolutions Association (MESA,www.mesa.org), an organizationfor MES solution providersand users (see page 58 for 60Seconds with John Southcott).“MES provides the traceabilityof the materials that went intomaking a product that can preventa recall or limit the scope ofa product recall.”The question is whethermanufacturers are ready togive up their homegrown legacymanufacturing systemsand implement packaged MESsolutions, just as warehousesand distribution centers havebeen doing with warehousemanagement systems (WMS) for thepast decade?The short answer may be: Yes, theyare. “I was involved in 40 MES acquisitionslast year and they were acrossindustries,” says Simon Jacobson, directorof research for manufacturing operationsat Gartner (www.gartner.com).“The common theme was that theircurrent IT systems could no longersupport their needs, they wanted fasterimplementations, and they needed abetter way to connect their manufacturingsystems to the enterprise.”MES at a crossroadsIn that sense, manufacturing executionsystems are at a crossroads, thatpoint where the reasons for businessto adopt a technology intersect withthe ability of that technology to delivera real solution.If that sounds like a familiar refrainabout MES, well, it should. “The MESmarket has been at a crossroads in thepast,” says Jacobson, who is a supporterof the technology. “Everyone wants tooptimize cycle times and MES is goodat managing production processes andgetting rid of paper.”While those benefits are all well andgood, Jacobson adds, the stumbling26 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

The time may finally be right formanufacturing execution systemsto find a home in the marketplace.block for the adoption of MES has beenthat users weren’t able to justify theexpense of an MES system on optimizedcycle times alone. “The question waswhether these expensive systems wouldalso support new product introductions,enable margin growth, or enable compliance,”Jacobson says. If buyers weren’tlooking at those capabilities up front,or MES vendors weren’t effectivelydelivering those messages, “the systemswere stuck with the MES scarlet letter,which is that they cost too much and theimplementations take too long.”For those reasons, the industryhas been treading water as a $1.5 billionmarket without any significantyear-over-year growth. Analysts likeJacobson, along with MES consultantsand vendors, believe that the market isabout to change, this time for real.Exhibit A is General Electric,according to Charles Horth, CEO ofSTI (www.sticorp.com), an MES systemsintegrator. “GE has recently committedto rolling out MES across its4,000 plants worldwide,” Horth says.While GE is now one of the leadingproviders of MES systems, automatingthat many plants is still a significantcommitment of time and money on thepart of one of the world’s leading manufacturers.“What’sespecially significantis that thisis being driven bythe executive leadershipat GE,” saysHorth.Driving MEStodayOne of the biggestreasons for this interest is new regulationsand compliance issues. The food and beverageindustry is the most recent example,but not the only example. “Regulationis tightening around all industries,” saysSouthcott. “There are changes afoot in thetobacco industry; the automotive industrywants to limit the extent of a car recall;and if a bridge collapses, the authoritieswant to know where the steel came fromand whether it passed quality inspections.”An MES enables compliance bycapturing information about the billof materials that goes into any productionrun of product, including batchand lot information, the ingredientsor recipe for a product as well as anyparts, components and raw materialsused in the process.“With an MES, we can capturethe genealogy of the product whenit was manufactured,” says TadeuszDyduch, product manager for Apriso(www.apriso.com). “But the supplychain is also part of the solution. Wenow have tool sets to track the flowof goods outside of the four walls ofthe factory to the final buyer.” Thatmeans MES users can identify thespecific materials that went into makinga product, the people and specificmachines or lines involved in production,the results of any quality testsand tie that information to the transportationmethods and the organizationsthat received the product aftermanufacturing.In the tobacco and pharmaceuticalindustries, for instance, traceability andtracking information are being used toconfirm the authenticity of the product:Governments want to confirm thatmmh.com MODERN MATERIALS HANDLING / A P R I L 2 0 1 1 27

modern information managementtaxes have been paid on tobacco productsand drug manufacturers want tominimize the presence of counterfeitdrugs in the pharma supply chain.Compliance, however, is only one ofthe factors driving a renewed interest inMES on the part of users. Other factorsinclude:An aging workforce: For manymanufacturers, leaning out the workforcehas led to a shortage of new, youngtalent on the floor and in the plant’s ITdepartments. “The individuals supportingexisting manufacturing systems areon the back end of their careers,” saysSouthcott. “The next generation may notbe attracted to that role.”Custom code is expensive: Manymanufacturing plants run on custom systemsthat, like their workforces, will soonbe retired. It makes more sense to replacethose systems with a packaged solutionthan another custom-written program.Islands of automation: Manymanufacturers have point systems inplace for specific processes, like labelingcompliance, “but there are still alot of paper-based solutions and islandsof automation,” says Michael Gay,CPG industry manager for RockwellAutomation (www.rockwellautomation.com/rockwellsoftware/cpg).Connecting the shop floor tothe top floor: For years, manufacturingwas a black box. C-level executiveswere only aware of the plant whensomething went wrong. Today, enterpriseswant visibility into their manufacturingoperations and the ability tolink those systems into their broad supplychain and ERP systems.“We did a study in 2005 that foundthat the supply chain reported to manufacturingabout 39% of the time,” saysJacobson. “When we redid it in 2010,we found the supply chain answeringto manufacturing only 8% of thetime.” What that means is that manufacturingand logistics are much moreintertwined and have to work muchmore closely together than in the past.What’s more, information about all ofThe once-fragmented MES market is consolidating, leading to largerproviders and an out-of-the-box approach to these solutions.those processes needs to be rolled upfor executive decision making.Business strategies are changing:Running a long production batch is amuch different animal from the shorterruns and frequent product changeoversthat are part of today’s dynamic market.“MES is an enabler of those kinds ofbusiness strategies,” says Horth.And, the nature of MES projects isbeginning to change. “We’re beginningto see business sponsorship for theseprojects,” says Jacobson. “C-level executivesare deeply involved in the projectsand at the most progressive companies,they are putting together teams thatblend manufacturing personnel with ITpersonnel and the supply chain.”What’s different about MESRemember that the adoption of anytechnology is never a one-way street.MES is at a crossroads because theneeds of manufacturers are intersectingwith the fact that “MES systems finallywork as advertised,” says Southcott.And, like the WMS industry beforeit, the MES industry is moving closer toa packaged solution. “What the vendorsare trying to do is to deliver as muchout-of-the-box functionality as possible,”says Jacobson. “They are mimickingthe way mid-range enterpriseresource planning (ERP) vendors havegone to market, with industry-specificapplications and processes.”Make no mistake, however: MESsystems are still expensive. But developingan out-of-the-box approach,especially one that is tailored to specificindustry verticals, allows MESusers to leverage their investment inone plant across multiple plants. “We’reall creating libraries and capabilitiesfor the industries we call on,” saysRockwell Automation’s Gay. Once anMES user rolls out a solution in oneplant, it’s much easier and more costeffective to roll the same solution outin another plant. “We have modularizedthe approach to MES,” Gay says.The last important change in the marketmay not involve functionality; ratherit’s the nature of the vendors providingMES solutions. A once-fragmented marketmade up of small, niche players hasconsolidated. Today, a handful of verylarge companies, including Siemens,GE, SAP and Rockwell Automation, aremaking significant investments in theMES space. “When companies of thissize get into the market, it sends a messageto end users that this is a seriousspace,” says Southcott.Jacobson adds that it’s still too early inthe development to predict whether thisapproach will turn the tide for MES vendors,“but it’s interesting to watch.” M28 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

SustainabilityinIntralogisticsThe world‘s leading fair for inTralogisTicsfrom 2–6 may 2011 in hannover• The entire world market all at one venue• Global platform for presenting the latest innovations in intralogistics• Showplace for all the industry’s latest trends and solutions• International supporting program with spotlight on BRIC countries• Highlights from intralogistics research worldwide• Specific branch-oriented solutions• 1,100 exhibitors and 58,000 visitors from 61 countriesCeMAT 2011The world‘s leading fair for intralogistics.

KeepmaterialsmovingCartons, totes, pallets, componentsand finished goods can travel for mileson conveyor through manufacturingfacilities, warehouses and distributioncenters. Here’s a look at the mostcommon conveyors used to transportproducts to their final destinations.By Lorie King Rogers, Associate Editor30 A P R I L 2 0 1 1 / MODERN MATERIALS HANDLING mmh.com

MODERN Equipment 101: ConveyorsA primer for warehouse/DC managersCONVEYOR HAS BEEN A STAPLE in the materials handlingindustry for decades. As the demand for reduced cost, increasedthroughput and integrated automation grows, so does the need forconveyor systems of all types.Conveyor is available in many stylesand is used in countless applications.In this Equipment 101 article, Modernspotlights the basics of some of themost common conveyor types:• Non-powered skatewheel androller conveyor• Powered, or live, belt and rollerconveyor used in handling packagesand other small products• Powered chain and roller conveyorused in handling pallet loads of goodsNON-POWERED CONVEYORNon-powered conveyor, the simplestform of conveyor, uses the naturalforces of inertia and/or gravity to keepproducts moving.Portable sections of non-poweredconveyor are often used for loadingpackages onto the back of an over-theroadtruck. Non-powered conveyor canalso serve as takeaway conveyor for cartonscoming out of an automated sorter,and it’s often used in workstations andpick modules where employees completetheir tasks and then push theirwork along to the next zone or station.The two most common types ofnon-powered conveyor are skatewheeland roller.Skatewheel conveyorOnly a little energy is needed to turn thesmall wheels of a skatewheel conveyor,and that makes skatewheel good at maintainingthe speed of a product. Becauseeach wheel turns independently, skatewheelconveyor is also a good choice forthe curved sections of a conveyor line.Roller conveyorNon-powered roller conveyor is commonlyused for workstations and pickmodules because it provides a betterworking surface and is often less expensivethan skatewheel conveyor. It’s alsogood at slowing the inertia of productscoming out of a high-speed sorter.Whether it’s skatewheel or roller,non-powered conveyor that relies ongravity to move product is still used alot in the market, says Russ Devilbiss,sales manager for Carter Controls (www.cartercontrols.com) and chair of theMaterial Handling Industry of America’s(MHIA) Conveyor & Sortation Systemsindustry group. The limitation with nonpoweredconveyor, however, is control.“With gravity, you can’t control the force,and you always want to be in control ofyour product,” says Devilbiss.POWERED PACKAGE-HANDLINGCONVEYORWhen it comes to moving packages andother relatively small items, two stylesof conveyor dominate the market: beltconveyor and powered roller conveyor.Traditionally, belt conveyor has beenused for transporting products, whileroller conveyor has been used for accumulatingproducts.Another factor taken into considerationwhen choosing between belt orroller conveyor depends on the size ofthe product being moved.A variety of conveyor styles can be integrated into a facility’s conveyor system,ensuring the best solution throughout the materials handling process.mmh.com MODERN MATERIALS HANDLING / A P R I L 2 0 1 1 31

modern Equipment 101: ConveyorsA primer for warehouse/DC managersBelt conveyorIn traditional belt conveyor, an ACmotor drives a pulley that then turns along, looped belt. Underneath the beltsits either a bed of non-powered rollersor a sheet of metal known as a sliderbed. The belt can be made of a varietyof materials with a variety of surfaces,depending on the items it is intendedto convey.For example, according to KenRuehrdanz, warehousing and distributionmarket manager for Dematic(www.dematic.us), a belt surface canbe smooth where you need to slide anitem off a conveyor easily or ribbed togive it more gripping power, like oninclines and declines.And, belted incline or decline conveyorcan be used to move productfrom one level of a facility to another.Spiral conveyor is another way to moveproduct from one level to another. Iffloor space is limited, spiral conveyorsare often a good solution.Regardless, traditional belt conveyor isa simple, time-tested technology. It’s lessexpensive than powered roller conveyor, itprovides a more stable surface, and it canconvey a variety of products. Poly bags,envelopes and electronics are examples ofproducts handled easily by belt conveyorthat are often too small or too light to beconveyed directly on rollers.Roller conveyorDespite the advantages of belt conveyor,many of today’s distributioncenters are filled with roller conveyorbecause it allows accumulation of products.Accumulation is a way to makethe conveyor store product for a determinedamount of time then releasedinto an automated sorter or palletizer,for example.Zero pressure accumulation meansproducts on the conveyor do not toucheach other. Minimum pressure accumulation,however, allows the products to makecontact, but with a determined degree ofimpact that will not cause damage.Powered roller conveyor falls into anumber of different categories, dependingon the way the rollers are driven.Three common categories are lineshaft,belt-driven and motorized roller.Line-shaft conveyor: In a section ofline-shaft conveyor, a long metal shaftruns below the bed of rollers. Rubbero-rings connect the rollers to the shaft sothat when the motor turns the shaft, theshaft turns the rollers.Line-shaft conveyor is the leastexpensive type of roller conveyor. Ithas been in the market for a long time,but it has limitations. Even thoughline-shaft conveyor costs less, explainsDon Erickson, director engineeringfor Automotion (www.automotionconveyors.com),it is parts-intensive,which leads to high maintenancerequirements.Belt-driven roller: Belt-driven rollerconveyor is driven by a belt (usuallycovered with a rubber or plastic pad)that runs beneath the roller bed,perpendicular to the rollers. As amotor moves the belt, the belt movesthe rollers. Belt-driven roller is a goodaccumulator because it’s easy to createzones. You can drop the belt away fromthe roller in any zone where you want tocreate accumulation.Motorized roller: Motorized roller isalso known as internal motor or motordrivenroller (MDR) conveyor. A sectionof motorized roller conveyor is dividedinto small zones. At least one roller ineach zone has an internal motor thatturns the roller. The rollers in eachzone are connected to each other byrubber o-rings so that the turning of themotorized roller turns all the rollers inthe zone.The motors used in motorized rollerare usually 24-volt DC motors. Thesemotors use less energy than the motorsused to drive other forms of roller conveyorand they provide less torque,making them safer, too.Conveyor systems can move product quickly and efficiently through a warehouse or distribution center.The speed of handling depends on the product being conveyed.32 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

modern Equipment 101: ConveyorsA primer for warehouse/DC managersBecause each zone of rollers is poweredindependently, the zones can beconfigured to run only when a packageis present. This on-demand featureincreases energy savings evenfurther and decreases noise—both areimportant factors when the end user isaddressing economics and ergonomics.Motorized roller doesn’t move as fastas the other forms of roller conveyor,because it’s a smaller, low-voltage DCconfiguration is designed to power onlyone zone, but it offers better productcontrol and is easier to maintain.The upfront cost of motorized rolleris higher than other forms, but as usagegoes up, price of the components iscoming down.With any roller conveyor, there’s abasic rule of thumb: “You want threerollers under your product at all times,”explains Devilbiss. Two rollers mightcreate a wobble when the product hitsa gap, but keeping the front, middleand back of a product supported willprovide a smooth ride.”Segmented belt conveyorThe invention of motorized roller conveyorhas led to the development ofsegmented belt conveyor. A section ofsegmented belt conveyor is essentiallya section of motorized roller conveyorwith a few feet of belting wrappedaround each zone of rollers.Segmented belt conveyor combinesthe accumulating power of roller conveyorwith the stability of belt conveyor,resulting in excellent carton control.Controlled flow conveyorAnother newer kind of conveyor isknown as controlled flow conveyor. Ahybrid between non-powered gravityconveyor and MDR, controlled flowconveyor skews product to one sidethen singulates it out on the decline ata controlled rate.Conveyor manufacturersPackage handlingPallet handlingCompany Web Site Non-powered Roller Belt Roller ChainAssembly-lineconveyorAshland Conveyor ashlandconveyor.com x x xProductsAutomated Conveyor automatedconveyors.com x x x x xSystemsAutomatic Systems asi.com x x x x xAutomotion,automotionconveyors.com x x xa Wynright companyCaljan Rite-Hite caljanritehiteus.com xCarter Control Systems cartercontrols.com xDematic* dematic.com x x x x x xDurr durr.com xFives Cinetic fivesgroup.com x x xFlexible Material flexmh.comxHandlingFMC Technologies fmctechnologies.com xHytrol Conveyor hytrol.com x x x x xIndustrial Conveyor industrialconveyor.com xIndustrial Cinetics iki.com x x x x x xIntelligrated intelligrated.com x x x x xInterroll interroll.us x x x xInterSystems intersystems.net x x x x xKnapp knapp.com x x x x xQC Industries qcindustries.com xRoach Conveyors roachconveyors.com x x x x xSI Systems sihs.com xSouthern Systems ssiconveyors.com x x x x x xSwisslog swisslog.com x xTGW Systems** tgw-group.com x x x x xTKF tkf.com x x x*merged with HK Systems in 2010; **merged with Ermancommh.com Modern Materials Handling / A p r i l 2 0 1 1 33

modern Equipment 101: ConveyorsA primer for warehouse/DC managersBelt conveyor provides a stablesurface for transporting small andlightweight products.“Additional advances are still findingtheir way into different aspects ofMDR systems,” says Kevin Kleuber,product manager at Intelligrated (www.intelligrated.com). “With a controlledflow conveyor system, the decliningconveyor uses gravity which allows forproduct accumulation at a lower costthan traditional belt conveyor.”POWERED PALLET-HANDLINGCONVEYORPallet-handling conveyor is often used inconjunction with automatic palletizers orautomated storage and retrieval systems(AS/RS). There are two basic types ofpallet-handling conveyor: chain conveyorand roller conveyor. Both can handleheavy loads up to 4,000 pounds and bothare relatively slow, typically handling justfour pallet loads per minute.Pallet-handling chain conveyorChain conveyor is a simple technologythat uses motors to turn two, three orfour strands of heavy-duty chain. Thepallets ride directly on the chain. Chainconveyor is less expensive than rollerconveyor, and it’s best suited for captivesystems where pallets are a uniform sizeand in good condition.Pallet-handling roller conveyorPallet-handling roller conveyor looks likethe roller conveyor used for handlingpackages, but the rollers are wider andthicker. Most pallet-handling roller conveyoris chain-driven because the drivemethod is the toughest and hardiest.Chain-driven pallet conveyor worksdifferently from chain-driven packageconveyor. Instead of running beneaththe rollers, the chain runs along oneside of the roller bed. Each roller isconnected to the chain with a sprocket.The conveyor is divided into small segments,and each segment has its ownAC induction motor. This segmentationallows for better control and allowssome accumulation of pallets.The use of internal DC motors todrive pallet-handling rollers is available,but growing slowly mainly because theadvantages don’t justify the cost. “MDR isexpensive,” explains Kleuber. “With palletconveyor, the MDR advantages aren’tworth extra money. Traditional conveyorcan get the job done at a lower cost.”Over-sized conveyorMany manufacturing plants need toconvey items that are too big and heavyfor pallet conveyor. The heavy-duty conveyorsdesigned to carry these loads areoften driven by chains embedded in thefloor or ceiling of a facility.One of the simplest of these conveyorsis towline. A towline conveyor consistsof a chain buried in a channel inthe floor, a wheeled cart sitting on thefloor above the chain, and a tow pinthat attaches the cart to the chain. Asthe chain advances, so does the cart.Subassembly towlines can feedinto a main towline conveyor thatcan handle up to 100,000 pounds.Its most common use today, says BillCasey, president and chief operatingofficer of SI Systems (www.sihs.com),is in vehicle manufacturing wherelow-profile carts carry the frames of allsizes of vehicles —from lawnmowers toConveyor flexibilityContaining costs throughout a facilityis a real and constant challenge.Thanks in part to the modularity ofthe components and the ease of integration,today’s conveyor systems canhave a long life cycle, which translatesinto savings.In any manufacturing facility,warehouse or distribution center,flexibility and scalability are thename of the game, says Clint Lasher,president of Wynright Engineers &Integrators Division (www.wynright.com). “Materials handling equipment,including conveyor systems, have toadapt quickly to an end user’s needs.Customers want systems to grow withthem at their rate, so it’s up to suppliersto design and apply modularproducts that are easy to integrate andthat can scale a system up to handleincreased flow or additional box sizeswhen necessary.” Mmilitary vehicles —through the assemblyprocess.The basic mechanics of a towlineconveyor are simple and haven’tchanged much over the years. Whathas changed, says Casey, is the fixturingon top of the cart transportingthe vehicle and the controls. An RFIDreader downloads instructions at eachworkstation that guide the workerthrough the manufacturing process,including identification of the correctparts and detailed tooling instructions.“You can take a simple towline conveyor,marry it with intelligent controls,and you have a very sophisticated system,”says Casey.Another conveyor popular on vehicleassembly lines is overhead power-andfreeconveyor. Modern’s Equipment101 Series will cover the basics of overheadhandling in our December issue.34 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Need a Single SourceSolutions Provider forYour Conveyor Needs?Talk to one ofour Sales Engineersand request a frEE quotefor your next project!Many conveyor manufacturers typically only makecertain types of conveyors.At Capitol Conveyors, Inc. we know one sizedoesn’t fit all, that’s why we’re a full service,custom manufacturer of many different typesof conveyors, including specials.We also offer complete solutions that includesystems engineering, equipment, installationand commissioning – all with fast, flexible andefficient response times.• Motorized DriveRoller• Lineshaft• Belt Conveyors• Belt Driven Live Roller• Chain Driven Live Roller• Gravity• Towers• In Motion Weighing• Automated Print & ApplyFor More Information, Call:877-532-9070

modern productivity solutionAGVs driVE productivityHonda equipsdistribution centerwith automaticguided vehicles toimprove transportand handling ofspare parts.By Lorie King Rogers,Associate EditorIn 1963, Honda opened its first overseasfactory to manufacture motorbikes.Over the years, the company’sbusiness model has evolved to becomean OEM supplier and spare parts company.Parts are manufactured at variousHonda plants then shipped to onecentralized location for storage anddistribution before going out to Hondadealers in the network. While consolidatingstorage and distribution into onecentralized DC was a strategic businessmove, moving the parts presenteda materials handling challenge.Honda parts arrive at the distributionfacility on a variety of carriers suchas pallets, crates, trolleys and box palletsall with different dimensions. Tohandle the diversity, Honda chose a versatileautomatic guided vehicle (AGV;Egemin Automation, www.egeminusa.com) system to transport product containersacross inbound and outboundlocations, and to intermediate storagelocations.Since the AGV system was installed,Honda has a more orderly transport ofgoods throughout the distribution centerand a significant reduction in damagedgoods due to the precision forkplacement and controlled travel speeds.The automated process starts whenthe inbound operator scans the loadtype and the load’s position. Then thesystem determines the zone to whichthe load must arrive. This triggers theAGV control system to send an AGV tothe designated location.The control system also sends thecorrect parameters to the AGV for36 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

accurate fork positioning. The AGVforks can be individually adjusted to fitthe various fork pockets of the carriersso it efficiently moves product, regardlessof whether the carrier is a pallet,crate, trolley or box pallet.Honda has also experiencedimprovements to personnel productivity.Prior to the AGV system, lift truckdrivers delivered racks of products,which were large and required a numbermoves per hour to keep up. Sinceinstalling the AGVs, Honda has beenable to reassign drivers to new positionsand let the AGVs handle the long distancetransport of goods. MWAREHOUSEVision-guidedrobot lends handCoffee roaster usesrobotic solution to solvein-feed problems anddouble throughput.MANAGEMENTBy Lorie King Rogers,Associate EditorIn manufacturing, a weak link candecrease productivity and increasecost. For a large coffee roaster processing650,000 bags of beans eachyear, that weak link was a robot usedto unload pallets stacked with bags ofraw beans to a conveyor that feeds theroaster. The robot’s gripper arm wastearing the burlap bags and spillingcoffee beans on the floor. This causedsafety issues, wasted about 100,000pounds of beans every year and directedexpensive labor to clean up duty.So plant managers turned to anadvanced vision-guided robotic infeedsystem (Concept Systems, www.conceptsystemsinc.com) for a helpingrobotic hand. The new system usestwo cameras, two lasers and softwareto scan the bags, calculate the contoursand create a 3D profile of the pallets,which are each loaded with twenty150-pound bags in four five-bag layers.A computer model is constructed forevery tier of bags then run through analgorithm that identifies its unique featuresand determines the precise positionand orientation of each bag.This information determines theoptimal pickup point on the bags andis used to dispatch the robot to eachbag for pickup. The robot’s end effectorpierces the bags and picks themup using pneumatically operated tinesto push the burlap out of the way andpenetrate the bag without tearing it.As each layer is removed, the 3Dmodel is updated for the next layer. Todetermine which bag to pick up firstwhen presented with a new pallet or afull tier of bags on a partial pallet, thesoftware directs the robot arm to thehighest bag.The vision-guided robotic in-feedsystem has helped the coffee roastersdouble its green bean in-feed rate. And,by keeping the coffee beans from spillingall over the floor, the company hascleaned up waste and safety issues andsignificantly reduced labor costs. MSOFTWAREwww.interlakemecalux.commmh.com Modern Materials Handling / A p r i l 2 0 1 1 37

SHOW IN REVIEWProMat 2011rocksChicagoShow sponsor the MaterialHandling Industry of America(MHIA) greeted more than30,000 attendees andexhibitors to ProMat 2011in March. It was one of thebest-attended ProMat showsever. Here’s a look at someof the products and servicesthat were on display.Dematic systemsupports 1,000picks per hourDematic introduced RapidPick, a newhigh capacity goods-to-person orderfulfillment system that brings split caseitems to an operator and allows pickrates of up to 1,000 items per hour.“We design our products to lowerthe overall cost of operating,” said JohnBaysore, president and CEO of DematicNorth America. “That is evidentin the RapidPick, which combines anergonomic picking environment forthe operator with the ability to deliverproduct in the desired sequence for John Baysore, presidentextremely accurate order assembly.” and CEO of Dematic NorthItems to be picked are delivered from America, shows RapidPick.a mini-load storage system or from aninventory staging buffer. At the workstation, the operator can raise orlower the picking platform to accommodate operators of various heights,including operators in wheelchairs. Simple, icon-driven operator colordisplays use large fonts and images to indicate the quantity of items tobe picked.The system can be designed to fill one order from a tote at a time orexpanded to fill six or more orders at a time from a single tote.CHEP highlights simulatorfor pallets and unit-loadsOpened in January, CHEP’s new materials handling simulator facilityin Orlando provides testing for pallets and customer unit-loads.The simulator includes a robotic vision system for assessment ofpallet damage, durability and life-cycle; five impact sleds that simulateforklift-truck contact; and a storage and retrieval system mimickingtypical rack configurations. The company featured videos of the simulatorin action at its booth.“The simulator measures handling impacts throughout the entire distributionlife cycle,” explained Derek Hannum, director of marketing.CHEP developed the 63,000-square-foot facility to reduce the assessmentperiod and cost for evaluating new shipping platform designs. Thesimulator dramatically cuts the time associated with field testing, as wellas reduces the number of shipping platforms needed for each test by 90%.“Later this year, CHEP customers will be able to test their uniqueloads in the simulator to compare pallet durability—and identifypotential performance improvement measures—against current palletplatforms,” Hannum said.38 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Intelligrated debuts industry-first pick-tolightsystem with dual shelf dynamic slottingIn a press conference, Intelligrated introduced avariety of new technologies in sortation, roboticsand automation, including the Trak3 xD andTrak3 xL extended display pick-to-light system.The Trak3 xD and xL system is the first in theindustry to offer dynamic dual-shelf pick faceand replenishment slotting capability, said JerryKoch, director of corporate marketing and productmanagement.The system (pictured) is ideal for dense flowrack picking and put applications, or generalmerchandise operations that require dynamicslotting of a variety product sizes. It providesend-to-end shelf coverage for a dynamic pick face, with the ability to slotproduct widths ranging from 1 inch to several feet. Further, Koch noted,its dual-shelf configuration for independent upper- and lower-shelf slottingmaximizes SKU density, decreases storage cost per SKU and increasespicks per foot. To enable multiple order fillers per zone, multicolor hardwaredirects simultaneous filling of multiple orders or value-added services.Daifuku Webb restructures;highlights Harley-Davidson projectIn a press conference, Daifuku Co., Ltd.,announced that it has formed DaifukuWebb Holding Company to oversee allof its U.S. subsidiaries, including JervisB. Webb Company and Daifuku AmericaCorporation. Brian Stewart—who servesas president and co-CEO of the holdingcompany, along with Takashi Hiramoto,chairman and co-CEO—said that the neworganization went into effect on January 1.A new branding scheme was also unveiled.Additionally, Stewart highlighted the firm’sinstallation of a Smart Cart manufacturingsystem at Harley-Davidson in York, Pa.“The project currently includes 64 cartsrunning during a single extended shift in acontinuous motion assembly line that recentlytwent live and will ultimately include 105Brian Stewart, president andco-CEO of the Daifuku WebbHolding Co., highlighted thefirm’s Smart Cart installation.Smart Carts when it’s fully implemented over the next few months,” said Stewart,who posed in front of a 2011 Harley-Davidson Road King cycle prominentlyfeatured in the exhibit.Also in the booth: a 3D movie theater showed a 7.5 minute-long highlightreel of the company’s solutions in action at facilities throughout the country,and a demonstration of the latest releases of Daifuku Webb’s warehouse managementand warehouse control systems.Hybrid AGV fromEgemin and MCFAEgemin Automation and Mitsubishi CaterpillarForklift America (MCFA) introducedthe first hybrid automatic guided vehicle, astandard off-the-shelf fork truck that can beoperated in manual mode as a lift truck or ina completely automated mode as an AGV.“For the past 25 years, I have beenasked by customers why couldn’t we puta control box on a standard forklift,” saidMark Stevenson, VP of business developmentfor Egemin. “We finally realized thatlift truck and AGV technology have grownclose enough that we could do it.”The hybrid vehicle is a production line lifttruck with automated capabilities that canbe serviced by an MCFA dealer. “We wantedthe manufacturing scale, standardization andfamiliarity that you get with an off-the-shelftruck,” Stevenson said. “The lift truck is themost standard component in the supplychain.” Initially, Egemin is targeting food andbeverage manufacturers and applications suchas end of the line palletizing and truck loading.Hyster showcases lineof durable trucksHyster Company showcased its new lineof durable lift trucks, which Brett Schemerhorn,VP of sales, said are among themost operator-friendly AC lift trucks onthe market.The trucks feature newly designedoperator compartments, 16% more floorspace, relocated multifunction displays toenhance visibility and control, improvedbrake pedal layout, and an auto decelerationsystem to reduce operator fatigue.In addition, said Schemerhorn, Hyster’sline of ruggedized trucks now boastsan average of 12% to 14% less energyconsumption than competitors. The efficienciesare gained by Hyster’s uniqueelectric motor technology, he said.The company has also made significantupgrades to its assembly line, including theaddition of automation and smart tools.The changes have improved quality in Hyster’sfull-range line of 140 lift products.mmh.com Modern Materials Handling / A p r i l 2 0 1 1 39

SHOW In REVIEWSystem Logistics’ vertical lift sequencerand plastic belt conveyor systemSystem Logistics demonstrated itsvertical lift sequencer (a VLM) and itsroller and modular plastic belt conveyorsystem.The company offers a total materialshandling solution for split-case pickingtechnology that was designed keepingin mind the need to create mixed-SKU, store-ready pallets.System Logistics president and CEOTom Coyne said he is seeing the highestdemand for mixed SKU pallets comingfrom the food and beverage sector. “Onthe beverage side, this technology worksfor anything from liquor to dairy. Andon the food side, it works as well for theproducers as it does for the grocers,” hesaid. According to Coyne, this is wherethe next level of technology headed.It’s the new arms race in the materialshandling industry, he added.System Logistics’ Paul Roy (left), VP ofmarketing and product management,and Tom Coyne, president and CEO.Swisslog, Intelligratedshares details aboutstrategic allianceIn a joint press conference, SwisslogLogistics Inc. offered details aboutthe strategic alliance the companyhas formed with Intelligrated.Markus Schmidt, senior vicepresident and head of North Americafor Swisslog, and Chris Cole, CEOof Intelligrated, spoke about theirexpectations for the partnership andthe value it will bring to the companies’customers.Additionally, Swisslog announceda new order for the company’sAutoStore system, and an order for afrozen, automated warehouse installationin Europe.AutoStore features a dense 3Dgrid of self-supporting bins moved topick stations by a series of independentrobots. Ideal for high storagedensity and enhanced picking efficiencyof small case, piece pickeditems, the fully automated systemexpands to accommodate changingdemand patterns.LXE introduces ThorEasy-on, easy-off front panel. That’s justone of three unique features on the newThor vehicle-mount computer, unveiledby LXE at a press conference.Thor’s new features include a fieldreplaceable,water-resistant front panelthat can be changed in minutes with ascrewdriver, a quick-mount smart-dockthat allows the computer to removedwith one hand and is easily transferredbetween forklifts or to IT for softwareupdates, and an ignition control functionthat enables the computer to startwith the forklift ignition, saving theoperator an extra step. These innovationsare designed to enhance uptimeand improve the user’s bottom line. BillRoeder, LXE’s vice president of productmanagement, said he believes theintroduction of the Thor vehicle-mountcomputer technology will “turn theindustry on its ear.”Raymond CustomCare optimizesContainer Store DCIn 2003, representatives from TheContainer Store came to ProMat toscout for solutions. Planning to collectas many as a dozen potential vendors forthe development of a new 1.1-millionsquare-footfacility, The Container StoreFrom left: John Creme, president ofMalin Integrated Handling Solutionsand Design; Mike Coronado, directorof distribution for The Container Store;and David Furman, VP of marketingfor The Raymond Corp.instead partnered with Malin IntegratedHandling Solutions, a Raymond Salesand Service Center.At a press conference, representativesfrom the three companies emphasizedRaymond’s CustomCare services, whichallowed Malin to provide the majorityof the services needed to make the newDC a reality and a success.“They astounded us from the start,”said Mike Coronado, director of distributionfor The Container Store. “Theylooked at much more than just lifttrucks and they have become a true andvalued partner.”The partnership produced solutionsfor racking, battery handling, equipmentinstallation and more, allowingThe Container Store to improve processtime by 30%.40 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

New namefor TGWSystemsNew company. New name.New face. Even new technology.Built on the foundationof an established company.That was the story fromTGW Systems. “This isa coming out party,” saidLarry Strayhorn, president. “For yearswe were known as TGW-Ermanco,and we sold primarily through distributors.”The new name reflects anew strategy. “We will continue tosupport our distributor partners andLarry Strayhorn,president, TGWSystemscontinue to manufacture theErmanco line of conveyors,”said Strayhorn. “But we willalso bring European automationtechnology to NorthAmerica and sell direct tothe marketplace as a systemsintegrator.”Part of that new technologywas on display, including newmotor driven roller conveyorand the Mustang Evo, a miniloadAS/RS machine with anew mast design that is 25% lighter,uses 20% less energy and 50% fewerdrive motors that previous TGW AS/RS technology. “We believe this is thefastest storage retrieval machine inthe industry,” Strayhorn said.Continuous, voice-directed demo of picking,receiving and putawayVocollect highlighted the latestenhancements to its voice-directedpicking solution with a live, continuousdemonstration of how voice enhancespicking, receiving and putawayprocesses. The demonstration of thesoftware enhancements supports thecompany’s vision of the voice-centricwarehouse, explained Tony Nicolazzo,line product manager. “Visitors cansee someone actively interacting withproduct, racking and a pallet jack asthey follow and respond the voicedirectedinstructions,” he said.For further explanation of the voicecentricwarehouse, Vocollect releasedthe second chapter of its free eBook,“The Talking Warehouse,” at theshow. The new chapter, “DemystifyingVoice in the Warehouse,” focuseson industrial grade speech recognitionand examines how voice-directedworkflows work, the pros and consof different approaches to industrialspeech recognition, and the businessvalue of speech recognition in voice.Horizontal carousels now monitored remotelyThe Intelligent Machine HealthMonitoring system is now offeredstandard on all Hornet horizontalcarousels from Sapient Automation,announced Ed Romaine, chiefmarketing officer.“The system remotely checks auser’s horizontal carousel systemin real time, 24/7, to detect performancevariances and anomalies thatcould contribute to failures,” saidRomaine. The carousel’s controlsystem communicates to Sapient’sservice group over the Internet.Sensors throughout the machinemonitor critical thresholds—usage,picks, run time and energyconsumption—all custom-tuned toeach user’s unique usage demands.Should trouble be detected, the servicegroup arranges for service withfacility management.“The system proactively keepsthe unit up and running to extendcomponent life and return on investment,”said Romaine. “It also helpsrefine preventive maintenance timingto optimize equipment operationand maximize system uptime.”Romaine said he expects the technologyto also be added standard onthe full line of Sapient’s vertical liftImage-basedbar code readingoutperforms laserscannersNew exhibitor to ProMat, Cognexshowcased its DataMan 500 imagebasedbar code reader. Using patentedsoftware, the system reads 1Dbar codes that laser readers cannot—includingdamaged, distorted,blurred, scratched, low-height andlow-contrast codes—explained MattEngle, strategic market developmentmanager.“The technology accommodatespackages of indeterminate size, withlabels located anywhere, by incorporatinga long range depth of field,”said Engle. “The unit quickly selectsits plane of focus using liquid lensauto-focus technology, while its imageracquires and analyzes images at 1,000frames per second.”Further, the device can read codes inany orientation, 2D codes such as DataMatrix and QR, and multiple codes inthe same image, he continued.“It’s easier to use than a laser scannerand allows users to see what thereader sees—either live on a monitor,or via image archiving,” he said. TheDataMan 500 also has no movingparts, making it more reliable thanlaser scanners, Engle concluded.modules and vertical carousels withinthe next couple of months.Ed Romaine, chief marketingofficer of Sapient, with thecompany’s carousel.mmh.com Modern Materials Handling / A p r i l 2 0 1 1 41

SHOW In REVIEWKiva robots receive software upgradeSame bots. Same pods. Same stations.Better throughput with enhancedsoftware. That was one just of themessages from Kiva Systems. Kiva’sCEO and founder, Mick Mountz, reportedthat upgrades to the company’ssoftware-based materials handlingmobile-robotic solutions have resultedin as much as 15% higher throughputfor some end users.In addition, executives from Crate &Barrel and Toys R Us were on hand tohighlight how Kiva’s mobile-robotic solutionshave improved order fulfillmentand operating efficiencies at a numberof their warehouses and distributioncenters. John Ling, Crate & Barrel’svice president of supply chain andlogistics, explained that the fundamentalconcept of lean is in the reductionof waste and that the Kiva solution hashelped eliminate wasted steps in thecompany’s fulfillment area.Kiva’s Mountz also outlined the company’srecent growth. He said that evenwhen the materials handling industrywas contracting, Kiva was growing. Infact, he said the company doubled itssize in 2010 and is on track to doubleagain in 2011. Mountz also said thatKiva mobile-robotic solutions are currentlyinstalled in 10% of the top 100retailers in the U.S. and are beginningto move into international markets.Engineered to withstand even a direct forklifthit, the Yellow Jacket fan from Big Ass Fanswas introduced. The fan measures 44 x 42 x21 inches and can be mounted with ceiling,wall or portable floor stand options, explainedKatie Hunt, marketing communications specialist(pictured). “Features include a heavy gaugesteel carriage, powerfoil blades for maximumairflow coverage, and quiet fan, motor and carriageto keep noise levels down in a facility,”she said. “Also, its high-efficiency design cutsenergy use by more than 50%.”Portable voicefrom VoxwareIf you use Microsoft Office on a Delllaptop, the same software will work ona Windows machine from HP, Acer orSony without rewriting a line of code.In other words, the software is portablefrom one device to another.Voxware promoted portability forvoice recognition solutions as well.“We believe there is a differencebetween supporting various deviceplatforms from hardware vendors likeLXE and Motorola and a truly portableplatform,” said Stephen Gerrard, VPof marketing and strategic planning.“With a truly portable voice solution,you can work on a Motorola devicetoday and switch to a new device fromLXE tomorrow, all without rewriting aline of code.”Gerrard adds that a current customerput Voxware’s solution to the test by loadingit onto devices from three manufacturersbefore choosing a hardware vendor.“They wanted to be certain they couldmove the solution if their needs change inthe future,” Gerrard told Modern.Developments like portability ofsoftware represent a maturing voicerecognition industry. “In the past, itwas OK to implement a proprietaryvoice system because there weren’t theoptions that there are today in the market,”Gerrard said. “Today, IT managerswant to be able to run the solution onwhatever hardware the want to run iton. Portability makes that possible.”New hygienic pallet debutsJack Kelly, national sales manager forPolymer Solutions, introduced a newhygienic plastic pallet. The pallet isintended for food and pharmaceuticaluse, he said.The one-piece molded pallet isfull perimeter edge-rackable to 2,200pounds with four stringers. It also comesin a three-stringer model, he said.“Additionally, the pallet is made ofFM-approved material to meet fireretardance requirements,” Kelly said.The company, which provides pallets,racks and materials handlingproducts worldwide to customers inmore than 80 countries, was recentlyJack Kelly, national sales managerfor Polymer Solutions, shows thecompany’s new pallet.recognized with an innovation awardfor the design of their double legratchet pallet, added Kelly.42 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Vertical carousel, lift module introducedIn a press conference, Kardex Remstarintroduced the new MegamatRS vertical carousel and the Elementvertical lift module (VLM).Featuring vertically arranged storagetrays delivered (using an extractorplatform) to the operator at anergonomic access opening, the ElementVLM saves 80% of floor spaceover traditional rack shelving applications,said Colman Roche, VP of sales.Units range in height from 13 to 26feet in 1.6-foot increments.Robotic gantry picking buildsmixed pallets, saves spaceIncorporating interchangeablecarriers and multiple control options,the Megamat RS reduces lifecyclecosts through a new drive motor,high efficiency transmission and precision-calibratedfrequency converter.These improvements cut energy useby 40%, while an automatic chaintensioning system eliminates stretchingand wear on the load chain toreduce maintenance, said Roche.Both units can be reconfigured at anytime to meet changing requirements.RMT Robotics unveiled new robotic gantry designs for automated case, layer andcrate picking in food and beverage distribution facilities.Intended for high-volume, high-SKU, mixed-pallet distribution, the scalablesystems do not require fixed infrastructure like racking or shelving, said Bill Torrens,director of sales and marketing.“The compact design of the storage space under the gantry ensures higher processingrates per square foot than most picking systems,” he noted. Additionally,the systems generate rainbow-style pallets, accommodating the high level of SKUvariety demanded by retail customers. “Manual operations simply cannot keepup with that level of demand,” Torrens continued. “The systems are also ideal forcold storage environments.”Other benefits of the robotic gantry picking systems are space savings throughthe compact storage footprint beneath the unit for higher processing rates persquare foot, error-free picking and improved traceability, with the system providingdetails about the location of all products.AUTOMATEDWAREHOUSESYSTEMSHighJump adds EDIHighJump Software has addedtrading partner integration and EDIcapabilities to its suite of supplychain execution software applications.The new capabilities are theresult of TrueCommerce EDI SolutionsGroup, which was acquired byHighJump in October 2010. “Thisexpanded trading partner connectivityprovides our customers witha comprehensive, single-sourcesolution for EDI and supply chainsoftware,” said Chad Collins, VP ofmarketing and strategy.The EDI and integration solutionsenable the two-way flow of informationbetween HighJump’s supplychain solutions and the EDI platform,resulting in seamless informationflow as product moves froma supplier all the way to the storeshelf. The combination of supplychain software and a trading partnerintegration network ensures a consistencyacross business processesand the accuracy of the informationexchanged between trading partners.“With the addition of tradingpartner integration, our customersare even better equipped for visibilityacross the supply chain andconsistent and accurate communicationwith customers and supplierorganizations,” Collins said.www.interlakemecalux.commmh.com Modern Materials Handling / A p r i l 2 0 1 1 43

SHOW IN REVIEWNew high-performance AS/RS from MurataMurata Machinery USA launched anew high-performance automatedstorage and retrieval system (AS/RS) to North America. The system iscapable of handling 3,000 cases perhour through rapid and continuousHoggingthe Spotlight!And wHy not? For tHE pASt 100 yEArS, nobody HASmAtcHEd tHE work cApAcity oF our ironclAd ® bAttEriES.The reason is simple: square tubes expose more surface area of the positive plates tothe electrolyte, which delivers higher sustained voltages (and higher work capacity)than in round or flat plate designs, throughout the discharge cycle.We call this the Ironclad ® Effect, because it’s an advantage you get with every Ironcladbattery from EnerSys ® . To find the Ironclad battery that’s right for your application,call 1-800-EnerSys.Ironclad ® square tube technology provides 22% to 67% more positivesurface plate area, depending on battery type and size. Greater porosity offiberglass material allows better electrolyte circulation for higher voltages.Exclusively Square. Exclusively powerful.Exclusively ironclad.storage and retrieval.“We introduced the Uni-Shuttle HPin Japan last September to providebest-in-class performance for niche,high-throughput applications in retail,pharmaceutical and cosmetics indus-tries and for just-in-time, just-insequencemanufacturing operations,”said Todd Jedelsky, regional salesmanager.The AS/RS combines a multi-levelstorage rack system with shuttlesrunning independently on eachlevel at speeds of up to 1,312 feetper minute. A movable storage rackallows for the storage of loads ofvarious sizes, shapes or types andaccommodates the automatic sequencingof loads prior to or duringretrieval, which makes it ideal forjust-in-time retrieval.Collapsible plasticcontainer for lightdutyuse debutsIntroduced at Buckhorn’s booth,the Maximizer container has a 48 x40-inch footprint and 1,000-poundcapacity. The collapsible unitfeatures an integrated pallet and lidand is an alternative to corrugatedboxes.“The Maximizer is ideal forshipping and storing light-duty drygoods, because it maximizes productivity,cost savings, safety, spaceusage and sustainability,” explainedMike Thomas, Buckhorn’s newproduct development manager.Unlike limited-use corrugatedcontainers that can be awkwardto assemble and knockdown, theMaximizer is easily constructedby one person and can be reusedhundreds of times, Thomas noted.Sidewalls are secured with integratedlocks.Constructed of durable, moisture-resistantplastic the containercan be used indoors or outdoors.For storage, one assembled unitholds eight collapsed containersinside for a 5:1 return ratio.44 A P R I L 2 0 1 1 / MODERN MATERIALS HANDLING mmh.com

warehouses & DISTRIBUTION CENTersAlternaTIve EnergyA special supplement toFuel Cells:The science, studyand promise of thenewest player inmaterials handlingThese alternative sources of energy on thelift truck scene may prove to be a viablealternative, after a little help.–By Josh Bond, Contributing EditorGiven volatile propane pricesand the limitations of batteries,companies might feelas though they are forcedto choose the lesser of two evils whenpowering their lift truck fleets. Theemergence of fuel cell technology inthe materials handling industry couldoffer a viable third option, but manyquestions remain unanswered. Howreliable and durable is the hardware?How safe O 2are hydrogen fuel cells? Whatare the up-front and long-term costs?To what extent are fuel cells greenerthan conventional energy sources?In recent years, fuel cell manufacturersand 2 O Htheir customers have seenenough promise to begin a series ofsmall-scale O 2 lift truck trials, many ofy: How it worksHydrogenwhich have turned into larger trialsor full-scale installations. But even aspioneers work to answer some of thequestions above, the long-term datamany buyers prefer simply hasn’t yetbeen collected. Only time will tell howmuch of the lift truck market fuel cellswill ultimately capture. Early indicationssuggest the technology couldcompete strongly in materials handlingapplications, offering reliable performance,a smaller carbon footprint aswell as multifaceted savings.Following the invention of fuel cellsin 1838, they were referenced in thewritings of Jules Verne, the father ofscience fiction. Laboratories spent thenext century and a half working on thescience, but viable commercial solutionsremained a fiction. In a worldwhere technological revolutions seemto come on a daily basis, impatientconsumers and industry experts alikedeveloped a dismissive attitude towardthe technology.“It’s always been a joke that fuel celltechnology has been ‘the coming thingin the next few years’ for 30 years,” saysEric Jensen, director of research anddevelopment for new technologies atCrown Equipment.Now that solutions have finally hitthe market, Jensen suggests lift truckscould be the proving ground for morewidespread adoption of the technology.“Materials handling is kind of hidden.It’s not in the consumer limelight. Yousee advances in fuel cell technology forthe automotive industry, and it ends upon the front page. But I believe materialshandling is leading the way withfuel cells for the automotive industry,”he says.Fuel cells in the fieldThe space between lift trucks andfreight trucks has already been bridgedat sites like the new hydrogen fuelingstation at a Kimberly-Clark distributioncenter in Graniteville, S.C. Unveiledon Feb. 11 as the first of its kind, thestation supports the entire lift truckfleet of the DC as well as county governmentvehicles and a Bridgestone/Firestone manufacturing facility acrossthe street.Modern Materials Handling / A p r i l 2 0 1 1 S45

A special supplement to modern materials handlingAlternative energy+Bob Simon is director of processsolutions for GENCO ATC, whichpartnered with Kimberly-Clark, PlugPower and Air Products to realize thehydrogen station project. The stationwas built with the help of $1.1million in American Recovery andReinvestment Act dollars designedto accelerate the commercializationof hydrogen fuel cells. According toSimon, the application submitted tothe U.S. Department of Energy suggestedover-the-road freight trucks thattravel routinely between the same destinationsmight benefit from hydrogenfueling stations at each stop.In the meantime, the technology willlikely be dependent on similar federalgrants to build momentum in the market.“The outlook is promising, but thereare still some obstacles, namely cost,”says Simon. “Without programs andincentives, it will be hard to overcomesome of the reservations in the industry.Customers are willing to be leaders, butthey don’t want to be pioneers.”Frank Devlin, fuel cell segmentmanager for Raymond, agrees, notingthat despite hydrogen’s reputation ascatastrophically combustible, tens ofthousands of fuel cell refuelings haveoccurred with no reported incidents.As fuel cells continue to prove themselves,energy prices might also workto encourage customers to give it achance.“Energy is on everyone’s mindsthese days, especially with the politicalunrest in the Middle East,” saysDevlin. “People are asking what’s thebest way to power anything, from yourcell phone to your lift truck.”How it works in the labGus Block, a former fuel cell systemsengineer, is the director of marketing forNuvera Fuel Cells, a manufacturer offuel cell systems and hydrogen generationequipment. Block says fuel cells areenergy conversion devices, like standardengines, as opposed to energy storagedevices like batteries. There are a fewversions of the technology, says Block,but the one best suited to materials handlingapplications is based on a protonexchange membrane. Hydrogen providedto the anode side of the membrane combineswith oxygen from the air on thecathode side. The reaction produces electricityand water vapor as exhaust.Over time, the membrane will age,with a slight decay rate over years ofuse, says Block. Nuvera estimates anup to 12,000-hour or higher lifespanfor its fuel cell stack. Over 10 years ofservice in a materials handling application,says Block, the stack may berebuilt once or twice. The capabilityFuel cell technology: Fuel cell technology: How it works How it worksAtmosphericoxygenSource: Daimler Benz A.G.HydrogenAnodeto remanufacture (rather than replace)stacks is a feature unique to Nuvera’sproprietary technology, he says.Several factors must be consideredwhen engineering a fuel cell pack toreplace the battery of an electric lifttruck, according to Block. In additionto an exhaust-fed humidity system,water filter and air pump, thepack must meet the minimum weightrequirement specified by the truck supplier.Fuel cell packs therefore containan appropriate amount of ballast.Then there is the hydrogen, which isstored at 5,000 psi in fuel tanks enclosedin the power pack tray. There are a numberof ways to get hydrogen on-site, saysBlock, each of which will impact theElectronsProtonsH 2O 2– +H 2 O 2CatalystElectrolyteConsumerCathodeWatervaporThis cross section illustrates a proton exchange membrane, one of several fuelcell configurations and the one best suited to the materials handling industry.H 2 OIllustraton by Daniel GuideraS46 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Value rarely reveals itself all at once. Value comes from the patient and tenaciouspursuit of excellence over the long haul. It comes from the systematic application ofquality processes perfected through analytics. It comes from ABF, a comprehensivesource for logistics solutions that yield competitive advantages for clients.Take Control with Supply Chain Predictability.ABF is a trusted partner for the innovativesolutions you need to expand your company intothe new decade. Empowered by a vast networkof over 350 service centers and warehouses,all connected with advanced inventorymanagement systems, ABF enables you to takecontrol of your supply chain as never before.Total supply chain visibility is just a click away.Knowledgeable account managers serve asyour logistical consultants, helping you to builda supply chain model that responds to yourevolving needs. ABF—the perfect balance ofassets and intellect optimized with yourbusiness in mind.Are you ready to take control? Call 877-ABF-0000 or visit abf.com.

Kirk Longo, vice presidentof supply chain, TheApparel Groupmmh.comSPECIAL REPORTINFORMATION MANAGEMENTJuly 2010A SPECIAL SUPPLEMENT TO MODERN MATERIALS HANDLINGAlternative energythe equation at this point,” saysKenro Okamoto, electric productplanning specialist for ToyotaMaterial Handling. “Fuel cellinfrastructure is much less attractivewithout those incentives.”However, even with sufficientfederal support, the future of fuelcells is unclear. Okamoto says thelimitations of batteries were a keydriver in the movement of fuel celltechnology from the labs to the field.“Our customers have beenlooking for a way around thoselimitations,” says Kenro. “Fuelcell technology is an answer.”But Okamoto says it is equallylikely that advances in batterytechnology could make fuel cellsobsolete. “Who knows?” saysOkamoto. “It’s kind of a wait andsee situation.”Cesar Jimenez, national productOperators of fuel cell lift trucks at one facility noted10 to 12 hours of continuous operation per fueling,as compared to 5 to 7 with standard batteries.planning manager for Toyota, says theuncertainty puts companies like his ina tough place. “It’s difficult for anequipment manufacturer to makea solution for a market that hasn’treally taken off yet,” he says. “Thetechnology is essentially in a betatest.”Although fuel cells only makeup 1% or 2% of the lift truckmarket, some of those customersinclude big players. Walmart,FedEx and Coca-Cola have begundabbling in fuel cell lift trucks, saysJensen. Just a few years ago, therewere only one or two fleets of morethan 30 lift trucks that had installedhydrogen fuel cells. Now, he says,there are more than 10.“Some of it’s just traditional,”he says. “You’ve got a paradigmand you’re not ready to shift it.But for those customers whohave come off the fence, to them it’s veryreal and to us it’s very real.” PRODUCTIVITY SOLUTIONS FOR DISTRIBUTION, WAREHOUSING AND MANUFACTURINGDevelop greaterbrand awareness andshowcase your featurededitorial from thisindustry-respectedpublication.Place your press directly in thehands of your customers andprospects with custom reprints fromModern Materials Handling magazine.800.290.5460 x136 I mmh@theYGSgroup.comThe Apparel Group:Dressed for distributionsuccess Page 18Top 20 SCMproviders 26EQUIPMENT REPORTGreen unitizingpractices 30Five trends in WMS 34®Special corporateprofile issueEvent CollateralMedia KitsDirect MailOnline MarketingRecruiting PackagesPresentationsThe YGS Group is the authorized provider of custom reprint products from Modern Materials Handling magazine.S50 A P R I L 2 0 1 1 / MODERN MATERIALS HANDLING mmh.com

Warehouse Labels & SignsWAREHOUSE SIGNSSolutions for all your bulk storage identificationneeds for indoor or outdoor applications.• Long-range retro reflective• Flat, bent or two-sided Z shapedsign fabrication• Dock door• Aisle• BullsEye oval floor platesRACK LABELSDurable polyester rack labels help insureconsistent bin location year after year. We produceand install over 5 million rack labels annually.• Horizontal and vertical upright• Magnetic• Protective laminates standard• Special adhesives — cover up andfreezer applications• Color coding for tier identification anddirectional arrow graphic imagesPREPRINTED LPN LABELSPreprinted barcode pallet id labels save significanttime and money compared to print-on-demandthermal transfer.• Run and hold inventory programs• Same day shipping• 2-D and linear barcodes• Corner-wrapNATIONALINSTALLATION SERVICESThe most comprehensive installation servicesin the industry. With over 40 years ofcombined experience, our installation teamprovides nationwide coverage that deliversgreat value, guaranteed quality and on-timeengineered solutions.• Customized installation solutions• Data file manipulation• Fully bonded and insuredFREE white paperon the benefits of preprintedlabels VS. print-on-demandCALL TODAY!FREE samples available.Channel partner inquiries welcome.salesmmh@idlabelinc.comToll-free: 800.541.8506 x100www.idlabelinc.comPositive feedback...Every timeID LABEL INC.425 Park AvenueLake Villa, Illinois 60046

FOCUS ON Racks Universally compatible tear-drop rackIncluding four column profiles and ninebeam sizes, a line of universally compatibletear-drop pallet rack provides flexibility forthe expansion of existing rack systems. Thesystem features a patented and rugged automaticspring-lock pin mechanism for positivebeam-to-column engagement. Ideal for usein selective and high-density storage, the rackincludes fully welded, roll-formed uprightswith four or six bend column profiles with2-inch vertical adjustability. All uprights featureweld-on base plates, a center reinforcingcolumn rib, and heavy bracing for enhancedstrength, rigidity and impact resistance. Ridg-U-Rak, 866-479-7225, www.ridgurak.com.Support system enhances pushback rackingBy integrating levelstorage positions, thefull-support level rackingsystem providesan ideal solution forapplications such asmilk-crate storage.The system adapts tothe supplier’s two-,three- and four-deep pushback racking to support differentpallet requirements in nine different options. Features includea low profile, level surfaces, pre-welded bed frames for easyinstallation and maintenance-free operation, and sizes from 36to 48 inches wide and 60 inches deep. Support options includepicture frame, three-strut, bar grating or wire deck. AdvanceStorage Products, 888-478-7422, www.advancestorage.com.Ergonomic beam for easier case pickingTo provide easy access to hard-to-reach cartons on lower shelflevels, the Ergo Beam creates an opening between pallet locationsthrough which an orderpicker can enter. The front shelfbeam is split into two separate, curved beams that attach to therear horizontal beam, creating an opening for access to cartonson 48 x 40-inch pallets. This access reduces product breakageand worker injuries while boosting productivity. Constructedwith a 4-inch structural steel channel for durability, the beammay be specified with three options: inward facing channelflange for a smooth surface, outward facing channel flange toprotect bar code labels, or a smooth outer surface with a 1/8-inch recessed web to protect bar code labels and anchor bolts.Frazier Industrial, 800-614-4162, www.frazier.com.52 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Flow rack for small parts storage, kittingFor subdivision of heavy-duty storage and pallet racks, a system consisting ofplastic-coated steel pipe and joints can be configured to form smaller flow rackunits that fit within the cubes of large storage racks. The system can also be usedto create large-scale gravity flow rack ideal for picking individual SKUs in kitting orparts sequencing operations. Both applications produce high-density storage withfirst-in/first-out inventory management. Features include low-friction, heavy-dutyskatewheel conveyors suitable for either returnable totes or hard bottom containers,easy reconfiguration with simple tools, and multiple pipe colors provides forcolor coding. Creform, 800-839-8823, www.creform.com.Modular racking beamsand uprightsOffered in multiple size and load combinations,a pallet rack line can be configuredto best match any storage task. Beamscome in eight different load capacitiesand eight standard lengths, and featureheavy-duty, three-prong ends that engageinto slanted slots on the frame. Adjustablevertically on 3-inch centers, beams aresecured with a visible, recessed beamlocking safety key that engages the postto prevent accidental dislodging. Uprightframes come in five different load capacities,six depths and 33 standard heights.Featuring factory MIG-welded cross-bracingand footplates that are pre-punchedfor anchoring, the frames come in heightsup to 20 feet, and can be spliced forgreater heights. Penco Products, 800-562-1000, www.pencoproducts.com.We’re taking productivity to a wholenew level...By delivering the right products, to the right place, at the right time,our automatic guided vehicle systems (AGVs) will keep your operationsmoving at peak efficiency. Whether it’s in the manufacturing plant, at theend of line, or in the warehouse, we generate productivity gains that flowdirectly to your bottom line. And with the world’s largest, most experiencedteam of AGV experts working for you, your productivity will soar.www.jbtc-agv.com215-822-4600Formerlymmh.com Modern Materials Handling / A p r i l 2 0 1 1 53

goodbye to exposed beltsgoodbye to grooved rollershello to ShaftDriveTM !helloConroll’s NEWShaftDrive TMSystemFOCUS ON Racks (continued)To learn moreabout the uniqueShaftDrive TM system,call us at 877-805-4292or visit us on the Web.mmh_conrollQTR.indd 1• Safe, low-voltage 24VDCbrushless motors• Perfect for transport and zeropressure accumulation• Accommodates virtually any rolleror wheel configuration• IP66 rated sanitary washdownversion available• Pre-assembled complete driveelements simplify assembly• Fully assembled conveyor modulesavailable for OEMswww.conroll.com Conroll Corp. | 910-202-4292 | Fax: 910-202-4280SUPPORT8/26/2010 3:25:20 PMat every level.Three models of roller rackfor carton flow picking, storageOffered in three models, a line of carton flow-track and rollerrack units can be configured to form various storage mediumsfor order picking operations. Structures include light duty forshelf storage use, consisting of 1.75-inch square tubing with1,000 pounds capacity per level load in a 6-foot wide bay. Thestandard model is for floor-level order picking and minimaloverhead storage, with 1.625 x 3-inch uprights and 3-inchbox beam for 2,500 pounds capacity in an 8-foot wide bay.For multi-level storage and picking, the heavy duty structureincludes 3 x 3-inch uprights and 1.625 x 4-inch rolled beamwith 4,000 pounds capacity in an 8-foot wide bay. Uprights canbe added to create bays of carton flow or deeper runs. UNEXManufacturing, 800-695-7726, www.unex.com/rollerrack.htm.Cubic Designs makes iteasy to integrate a singleormulti-level platforminto your valuable project.We offer professionalengineering, manufacturing,and installation to supportyou at every level.© 2011 Cubic Designsthe perfect fit855.241.0258 www.cubicdesigns.comCantilevered rack holds up to22,000 poundsIdeal for storage of load capacities up to 22,000 pounds, a fullline of heavy-duty and extra-heavy-duty cantilevered rack maybe equipped with single or doubleuprights. The X-series heavy dutymodel may be specified in sevenheights, from 8 to 20 feet, and withseven arm lengths from 18 to 60 inches.Offered in five heights—from 12to 20 feet—the Double X-series extraheavy-duty model comes with six armlengths from 24 to 60 inches. For safetyand stability, the uprights includeheavy-duty horizontal and x-shapedbracing, with special bracing available.Gray enamel finish is standard, withgalvanized offered as an option. WestPoint Rack, 866-245-3630, www.westpointrack.com.54 A P R I L 2 0 1 1 / MODERN MATERIALS HANDLING mmh.com

handles and hand holes, covers, foam cushioning,label holders and placards, or electrostatic dissipativematerials. The boxes may be specified in blue, blackor white. Flexcon Container, 973-467-3323, www.flexcontainer.com.Clear bins stack, hang and organizeRacking offered through supplier’squick-ship programFor easy adjustments, Invincible rack has two, side-by-side teardroppunches all the way up each upright on 2-inch centers.This permits beams to be raised or lowered in 2-inch incrementsfor maximum storage capacity and space efficiency. The rack isoffered in 11, 12, 13 and 14 gauge steel 3 x 3 inch frame postsand in a 14 gauge steel 3 x 1.625 inch frame post. Compatiblewith most tear-drop pattern rack from other suppliers, componentscome instandard orangeAutoclavable up to 250ºF and resistant beam to extreme and greencold, Clear View Ultra stack and hang upright bins are paint manufacturedfrom heavy-duty, high-density Racking tri-clear is available poly-finishes.propylene. Molded with front, back and through side the grips supplier’sfor easy handling, the bins organize inventory quick-ship with program.multiple large label slots. A built-in rear Wireway hanger Husky, allowsthe bins to be hung from louvered panels 800-438-5629, or rails. For www.increased bin capacity and a quick view wirewayhusky.com.of contents,optional clear window inserts can be added. Twentydifferent sizes are offered from 5 x 4.125 x 3 to 18 x16.5 x 11 inches. Quantum Storage Systems, 800-685-4665, www.quantumstorage.com.20 x 14.25 inches and include optional lids to protectcontents from dirt and damage. Molded Fiber GlassTray Co., 800-458-6050, www.mfgtray.com.POWER TRANSMISSION-PART CONVEYINGPYRATHANE ® BELTSWith Lifetime Warranty Against Manufacturing DefectsSamples available at little or no cost • Colors AvailableVery Clean in Operation • Eliminates Tensioning DevicesExceptional Abrasion ResistanceCUSTOM MADE IN INCH, METRIC & O-RING SIZESRound, Flat and Connectable Polyurethane BeltsAN ISO 9001CERTIFIED COMPANYLINE SHAFTCONVEYOR BELTSORIGINAL EQUIPMENT & CONNECTABLETry ourPYRATHANE ® BELTSon your conveyor; they havebecome the standard of the industry.www.pyramidbelts.com(P) 641.792.2405 • E-mail: sales@pyramidbelts.com522 North Ninth Avenue East, Newton, IA 50208Decking FM-approved for fire protectionPunch Deck open area rack decking has been granted anFM-approval certification after being laboratory fire-tested.The rating confirms that the shelving can be considered equivalentto 70% open area and usable in warehouses with sprinklerprotection. Offered in three models, the decking is constructedof steel with a series of large flanged holes that allow penetrationof air, light and sprinkler water. The decking is free ofraised protrusions, provides a uniform flat storage surface foreasy product placement and retrieval. A choice of three widthsmay be specified—24, 30 and 36 inches—in lengths from 26 to144 inches. DACS, 866-400-8107, www.punchdeck.com.MMH100201_prod_ID.indd 41America’s Favorite2/9/2010 1:05:37 PMBatery Watering System!Tubular construction resists torsion, impactsFeaturing tubular construction, SK2000 boltless pallet rackprovides more torsion resistance than open-back uprights withincreased frontal and side impact resistance. The rack includes1 x 2-inch horizontal tubular bracing and heavy horizontal bracingwith full 2-inch welds for frame strength. Other featuresinclude seamlessly welded tubular beam, tear-drop and standardthree-rivet connections, and auto-engaging safety clipto resist beam displacements. The rack may be specified in 12standard, powder-coat colors for easy color-coding of inventory,locations, departments or carrying capacity. Steel KingIndustries, 800-826-0203, www.steelking.com.(616) 583-1700 www.flow-rite.commmh.com Modern Materials Handling / A p r i l 2 0 1 1 55

PRODUCT ShowcaseRIDER LIFTS FOR MEZZANINES &AUTOMATED MATERIAL LIFTS FOR MEZZANINESSimulated Pit4INCREASE MEZZANINE UTILITY4SAFER LOADING & UNLOADING4FASTER LOADING & UNLOADING4COST EFFECTIVE1-800-843-3625www.advancelifts.comPHOENIX FLEX LEDCheck out its durability at:youtube.com/phoenixproductsRemote pallet truck operation systemfor low-level order pickingThe QuickPick RemoteAdvance system allowsorder selectors to remotelyadvance a pallet truckto the next pick locationwithout having to returnto the operator’s compartment.Featuring a wirelesstransceiver glove or thumbactuatedtrigger, this pushbuttonoperation allowsthe user to remain in the optimum position for picking. Offeredon the supplier’s 4500 series of center control rider pallet trucks,the system uses task-automating technologies to simplifyworkflow and improve picking through increased productivityand a reduction in operator fatigue. Features include lasers todetect obstacles in the path of the truck and proximity to racksfor travel path corrections. Crown Equipment, 419-629-2311,www.crown.com.Software supports multi-modalpicking devicesThe Pick Execution software module for multi-modal, pick-tolight,voice-directed and RF-based picking now offers extendedcapabilities to provide labor management and velocity-basedSKU picking analytics. These new functions boost voice pickingproductivity by adding the operational tools for continuous processimprovement, such as re-slotting higher movers and optimizingthe picking walk path. Residing on a server and deployedas a thin client on the terminal, the software is developed inJava for platform, database, and OS independence. The voiceapplication resides on the server and requires only the voice recognitionengine deployed as a thin client on the terminal. TheNumina Group, 630-343-2600, www.numinagroup.com.Smart,good looking,and low maintenancewww.phoenixproducts.com56 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Simple, accurate load monitoringThe FLSC and QTLTSC forklift scalesfeature a patented carriage designwith two metal plates and electronicweight sensors for high accuracy andrepeatability. The legal-for-trade systemscapture weight data quickly andeasily en route, and the scale providesreliable operation even while the forkliftmast is tilted. For use with class IIforklifts, the FLSC weighs loads up to5,000 pounds, while the QTLTSC forclass III and class IV forklifts features aQuickTach scale carriage that attachesto an existing forklift carriage. Both systems electronically measure the load and conveythe collected information to an embedded summing box. Avery Weigh-Tronix,800-368-2039, www.wtxweb.com.WAREHOUSESTORAGEclassified/recruitmentLabel HoldersLABEL HOLDERSSmall InvestmentBIG RETURN!800.242.3919www.aignerindex.cominfo@aignerindex.comErgonomic Holster SystemsTo advertise, or formore informationplease contact:Jennifer Drevline,847-223-5225, ext. 11,jenniferd@caseyreps.comSOLUTIONSwww.interlakemecalux.commmh.com Modern Materials Handling / A p r i l 2 0 1 1 57

modern 60 Seconds with...John SouthcottMESATitle: International chairman,Board of Directors, ManufacturingEnterprise Solutions Association(MESA)Experience: More than 20 yearsin the MES industry. Southcott isthe newly elected chair of MESA.Web: www.mesa.orgModern: Our informationmanagement report this monthis on manufacturing executionsoftware, which is the focus ofyour organization. So, what’s thepurpose of MESA?Southcott: MESA has several areasof focus. First, there’s a real contentcomponent to the organization.For the past seven or eight years,we’ve developed a lot of researcharound best practices, metrics andkey performance indicators thathelp end users get value from theirmanufacturing execution systems(MES). We provide a membershipcommunity that allows peopleto network around issues. Last,education is our No. 1 initiativefor the next two years. We arereally working to raise the level ofunderstanding so that we have amore educated end user.Modern: What is driving theadoption of MES today?Southcott: There really is renewedinterest in MES. My list of catalysts,in no particular order, is an agingworkforce; the fact that homegrownmanufacturing systems arebecoming obsolete; the plant isno longer a black box, so drivingmore efficiencies is important; andnew government regulations aredriving the need for traceability.Finally, I think there is a focusby manufacturers on their coreoperations. They no longer want tobe in the business of writing theirown custom software programsand are seeing the benefits of apackaged solution.Modern: For someone who hasnot looked at an MES for severalyears, what are three things you’dlike them to know about today’ssolutions?Southcott: No. 1: The technologyhas evolved. That’s a statement offact. No. 2: MES software is ready forprime time. It works as advertised,and that’s always helpful. No. 3:Big automation companies andorganizations like SAP are investingmajor dollars into this space. Whenthose kinds of suppliers are investingin their products, manufacturers needto pay attention to these solutions.You asked for three, but No. 4 is thatend users are seeing real benefitsfrom MES. The business case hasbecome realistic. MRead “MES at a crossroads,” p. 26.58 A p r i l 2 0 1 1 / Modern Materials Handling mmh.com

Critical Industry Newsat Your Fingertips!CRITICAL TOPICSModern Materials Logistics Management Supply Chain ManagementModern Materials Logistics Management Supply Chain ManagementCritical Topic areas helpyou develop strategies andexpand your knowledge.Each topic provides youwith the news, information,and resources you need —each day.• Automation• Conveyors & Sorters• Inventory & Picking• Loading DockEquipment• Mobile & Wireless• Shipping Pallets• Storage Systems• Containers & Totes• Energy & Sustainability• Lift Truck & Fork Lift• Handling & WarehouseErgonomics• Packaging• Software & Technologywww.mmh.com/criticaltopics

GuaranteedAutomated Storage & Retrieval SystemsROI Under 12 Months…HorizontalCarouselSapient Automation’s Carousel & Vertical Lift Module(VLM) systems provide fast, easy, cost effective and lowrisk solutions to provide organizations with theefficiency needed to compete and outperform thecompetition… If we can't show you a 12 month ReturnOn Investment (ROI) we’ll buy you a cup of coffee foryour time.What makes Sapient Automation’sCarousel & VLM Solutions Different?• Reduce labor by 2/3• Save up to 85% of floor space• Increase accuracy to 99.99%• Reduce inventory levelsVertical CarouselVertical Lift ModuleFrom An Entire Facility toWorkstations & Areas:• Buffering• Kitting• Manufacturing• MRO• Order Fulfillment• Sample Storage• Spare Parts• Tools & Dies• Warehouse• And Many More!Call or email today or a FREE Space, Productivity & ROI AnalysisSAPIENTA U T O M A T I O NThe Intelligent Material Handling Company888-451-9711 | www.GetSapient.com | info@getsapie nt.com