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© 2012 Material Handling Industry®. Copyright claimed as to audiovisual works of seminar
sessions and sound recordings of seminar sessions. All rights reserved.
Welcome to Session 205
Integrated Systems
and Controls
Council (ISC)
Sponsored by: Presented by:
Steve Buccella – Dematic
Jerry Koch – Intelligrated
Bill Ostermeyer – viastore systems
Straight Talk on Automation:
Reality vs. Myth
MHIA ISC
(Integrated Systems and Controls Council)
• Focused on Operational Solutions
(not just technology)
– Labor productivity
– Inventory reduction and control
– Accuracy
– Space savings
– Cycle time
• Technical Integration and Project Life Cycle
– Multiple MH technologies, controls and software
– Design, simulation, engineering, manufacturing, installation, commissioning and support
• Services Provided
– Application and safety standards
– Educational material and case studies
– Supplier references
MHIA Survey - 486 Respondents
Agreement Statements
Areas of disagreement
Useful in all Departments
Only 14% Agreement
Receiving / Put Away
Conveyorized trailer unloading
Print and apply
AGV pallet delivery
Storage
Pallet ASRS
Carton & tote buffers
Useful in all Departments
Only 14% Agreement
Replenishment
ASRS, miniload, shuttle
automated replenishment
Dynamic pick slots
Order Fulfillment
Goods -To-Person Selection
Zone Route
Voice / Lights
Useful in all Departments
Only 14% Agreement
Packing / Palletizing
Ergonomic stations w/ auto
delivery & take away
Robotic mixed case palletizing
Shipping
High speed door per store
sortation
Route sequencing
Conveyorized trailer loading
Require little effort to justify
Only 15% Agreement Labor
Skilled availability
Overtime
Workman’s compensation
Demand variability
Store labor
Space
Land
Construction
Taxes
Energy
Transportation
Trailer cube utilization
Inventory
Reduction from improved cycle
time
Location control
Accuracy
Customer satisfaction
Returns
Fines and chargebacks
Lost Sales
Stock outs
Order cut off time for delivery
Returns
Reshipping, restocking
Easy to Install
Only 19% Agreement
Planning
Careful planning with an experienced integrator eases installation
Communicate expectations at the start of a project
Be an active participant in project - don’t be afraid to ask questions
Check system design for installation
Jointly walk through your facility before creating a schedule
Jointly create a schedule around business demands / cut-ins
Installation
Collaborate with the system integrator during installation
Ask questions – its your site, don’t be afraid to make suggestions
Have your maintenance team on hand during installation
Installed w/o shutting down current operations
Only 35% Agreement
Short answer: It depends, but can be minimal!
>50% of systems are “brown field” installations
Design the system upfront for business goals System performance
Installation goals
Evaluate pros and cons of all options
Advanced planning paves the way
Jointly work on schedules for success
Create a project plan based on business demands
Test – Build – Test, then tie in…
Onsite – take advantage of weekends and nights…
Offsite – take advantage of simulation, emulation and testing…
Becomes obsolete too quickly
Only 30% Agreement
Keep the goal of automation in sight – start with the end in mind
Define business requirements, goals, and system lifetime
Play “what if it changes”… order profiles, business model, …
Select the appropriate level and type of automation match
Automate smart for the “average+” day
Scalability and flexibility Equipment
System design
Maximize investment
Modular upgrades as business evolves
Software and controls enhancements Improve productivity
Extend life of system
Simple to integrate into higher level
software
Only 35% Agreement ERP Systems
Standard interfaces are available for most ERP systems
WMS Systems
Standard interfaces are available for
most for most major WMS systems
Scalable software products reduce
gaps when required
PLC, MFC, WCS, WMS
Custom interfaces can be provided with
minimal risk and relative cost impact
Functional Optimization
Determine the ideal division of responsibility
between automation software and host system
to reduce cost and risk exposure
Apply to all industries
Only 41% Agreement Automation Opportunity Flags
High volumes justify automation
Limited labor availability or high labor costs
Space constraints
Environmental based solutions such as temperature controlled
environments
Non-value add touches
Certain Industries are better candidates
Retail
E-commerce
Exceptions to every rule
Privately owned company
Pharmaceutical
Manufacturing
Refrigerated Warehouses
Harsh Environments
Easy to support/maintain
Only 44% Agreement Standard Product Solutions
Supplier based parts commitments
On hand inventory
Consignment programs
Locally sourced parts
Scalable Support and Maintenance Programs
System on site operational support
PM programs
24/7 hotline support
Comprehensive Training Programs
Scalable to the solution
System Monitoring
Visibility to Information
Mobile device alerts with priority levels
Q&A
© 2012 Material Handling Industry®. Copyright claimed as to audiovisual works of seminar
sessions and sound recordings of seminar sessions. All rights reserved.
For More Information:
www.mhia.org/industrygroups/isc
Visit MODEX 2012 Booth 5406
Steve Buccella: [email protected]
ISC Member
Jerry Koch: [email protected]
ISC Member
Bill Ostermeyer: [email protected]
ISC Member