Saturday, February 24, 2018

Is It Time to Automate Your Order Fulfillment Operation?

Is your operation having trouble finding and keeping qualified workers? 
Are your order volumes increasing faster than you can keep up with?
Is the Customer Service department getting call after call about mis-shipments, wrong orders or general dissatisfaction?

If these are things you are experiencing, it may be time to consider Automation for your Distribution and Order Fulfillment operation.

The good news is that the economy is doing well, unemployment continues to be low and the U.S. business climate is humming along.  The bad news:  with increasing business volume and low unemployment, it is difficult to find and keep qualified, quality associates.  Thus the question - Is It Time to Automate Your Order Fulfillment Operation?

Automation in a Distribution and Order Fulfillment operation is becoming main-stream and companies - and individuals - are reaping the benefits financially an operationally.  Technologies such as Goods-To-Person, Voice and Light Directed Picking, Put Walls, Automated Guided Carts and Vehicles, Warehouse Execution Software, Robotic Order Picking, Robotic Packaging and Palletizing Cells have become common assets in a Distribution and Order Fulfillment operations.  The cost and capability to enter the Automation Arena continues to become more justifiable and the options in scale and flexibility can benefit most every size operation.

Voice and Light Directed Picking may be the easiest technology to implement and provide a quick Return On Investment.  Voice and Light can be put into an existing operation with little or no change to infrastructure to your existing operation.  The benefits are gained from Increased Picking Efficiency, Reduced Picking Errors and the ability to Interleave Tasks - making associated cross-functional.


Goods-To-Person technologies capitalize on the concept
that 80-90% of an order picker's time is spent traveling from task to task and from point to point in the operation. By bringing the tasks to the person, picking times can increase 30 - 50%, significantly improving operating efficiency.  Some of the GTP technologies include Horizontal and Vertical Carousels, Automated Storage and Retrieval Systems, Pallet Runners and Put Walls.

AGC's and AGV's Automated Guided Carts and Automated Guided Vehicles move parts, orders and work through an operation.  Like CONVEYOR, AGC's and AGV's allow workers to focus on the next task or operation rather than moving parts from point to point.  These technologies take the operator out of simple tasks and allow them to focus on more skilled operations.


Warehouse Execution Software Similar to Voice and Light Directed Picking, Warehouse Execution Software (WES) may be implemented with little or no change to an operation's existing infrastructure.  A WES will direct the flow of Work, Product and People from Receiving through Order Picking, Packing and Shipping.  A WES will direct all of the work process, inventory and location details and order processes within the four walls of a Distribution and Order Fulfillment operation.  The WES will communicate with the Host Business System to reconcile inventory and Orders.  A WES will automate the decisions of work flow and ensure that associates are working as efficiently as possible while maintaining accurate and real-time information and data.


Robotics Robotics are making their way
from the manufacturing environment to the Distribution and Order Fulfillment world.  Robotic Palletizers have been used in facilities for many years, but their presence in the Distribution and Order Fulfillment arena has been scarce at best.  Technology has now grown to the point that Robots can pick small parts, large cases, load and unload trailers - pretty much any function that can be performed by a person.   As technologies advance, flexibility and adaptation of robots in the Distribution and Order Fulfillment operation is a realistic option to consider.

As with any tool, technology or device, selecting the right solution(s) for the operation is paramount to success.  Identifying and defining your business process and rules is a requirement before tackling implementation of equipment and software.  Working with a trusted Material Handling Systems Integrator will help ensure a successful endeavor into the world of Automation!

Saturday, January 27, 2018

No Pain - No Sale!

While on a Sales Call this week, I was reminded of THE Rule of Sales:  NO PAIN - NO SALE!

This particular prospect had plenty of "Pain Indicators" - signs and signals that there are things happening in the prospects' business that could be done better.  BUT, the prospect was not able to correlate those Pain Indicators to some significant impact on the business.  Said a different way, there was no compelling reason for the prospect to invest capital to address something that's not broken.

"Pain" has a negative connotation, but "Pain" can be:
  • An Opportunity to increase business volume
  • A Customer Service Committment
  • A Positive or Negative Financial impact on the business
  • A Law, Regulation or an Outside Influence
  • Increased Operating Cost
  • Quality Issue
People or Companies buy for 3 reasons:
  1. Eliminate or Avoid Pain
  2. Capture a Business Opportunity
  3. Meet and Emotional Need
Rarely does #3 translate to an actual sale!

So, back to this particular sales call, there were many opportunities to do things better than they were currently being done, but nothing was so bad that it was having a significant impact on the business.
  • Production Lines were not being shut down
  • There were no safety events or issues
  • Labor costs were not out of control
  • The current conditions were not preventing the business from growing or doing more
When pressing the prospect for a compelling reason to invest significant capital to do the things he "would like to do", he could not give one.  "If you were to do this, how would it improve your business?",  "Impact Your customers?", "Help the business meet its Stragegic Goals?".  We were certainly capable of doing the things he was asking for. The prospect could not share a compelling reason why the business would invest six-figures to implement a solution that would be difficult, if at all possible, to justify.
An amature sales person would have walked away from that meeting quoting 2 - 3 projects that have little, if any, chance of moving forward.  As a Sales Professional, our Sales Engineer agreed with the prospect that further investigation needed to be done with other members of the prospect's team.  Members who might know more about the impact, if any, the "Pain Indicators" are having on the business.



Until then:  NO PAIN - NO SALE!

Saturday, January 20, 2018

Embrace Millennials

At some point in the past 5 years or so, it became vogue to target a labeled generation - the Millennials.  Most of what I've read, heard, been told, about Millennials is not flattering.  Last spring, while attending the MHEDA (Material Handling Equipment Distributor's Association) Convention, one of the speakers - Scott Stratten - said something that has stuck with me.  I paraphrase, "We don't like Millennials because they're younger than us".  I don't know why, but that really stuck with me.  


My thoughts expanded to the multiple articles I've read and speakers I've heard talk about the "Multi Generational Workplace".  When wasn't it?  When was it that we only allowed one generation in the workplace?  Which generation was it?  NEVER!  When did a 25 year old act, talk, think, and dress like a 50 year old?  (There are plenty of 50 year olds who try to dress, act and live like a 25 year old!)  We've always had workers in the workplace ranging from 16 - 70+ years old.  You could argue that in early American History we had an even younger workforce!  But I digress.

Back to Millennials - I embrace them.  I must admit, I got onboard slowly, but I have come to discover that we need this generation and they are good.  They know things that we don't know or we are afraid to learn.  They know how to use technology - hell, they're inventing and developing it!  They can multi-task, which I wish I could!  Work Ethic - we complain about them wanting to work their own hours, so what!  They work.  They don't punch out at 5 or disappear on Saturday or Sunday.  Try getting in touch with a Boomer after 5 or on the weekend.  I would put my children's and their friend's work ethic up against anyone's.  They're just doing what 20 and 30 year old's have always done.  Enjoy Life!


Yes, they may have different interests, dress different, listen to different music, do things differently than we do, have fun, care-free . . . sounds a lot like my friends and me when we were younger.  Remember the first time you showed your Dad the brand new "bag phone" you bought and what he said?  Mine was something like "What the hell do you need that for".  Now, there's a good chance that you're reading this on your smartphone that is permanently stuck to your palm!  

We've had "Greaser's", "Hippies", "Metal Heads", "Punkers", "Yuppies", "DINK's" . . . so easy!  The generation born from 1980 - 2000 is growing, developing, nurturing and becoming successful in the environment that was given to them, using the technology, culture and social acceptance available to them.  The generation born in the 80's and 90's is not going to ruin the world. They are making it better, faster, smaller and more accessible.  Ask them, they may even show you how.

And by the way, they did not ask for participation trophies - we handed them out!