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L GISTICS
REVIEW
Product review
MULTISHUTTLE &
SAP Drive 30% GAIN
WELCOME to
smarter, faster,
safer logistics
Welcome to this issue of Dematic Logistics Review Your
Window to Worlds Best Practice Logistics. In this issue, we present
product, technology and software breakthroughs which are delivering
smarter, faster, safer logistics for Dematic customers around the world.
Roar Isaksen,
President & CEO,
Dematic
Contents
Cover Story: SFS Unimarket, Switzerland
Cover Story: SAP SubDriver
Technology Feature: Mixed Case Palletizing
Case Study: adidas, United Kingdom
Case Study: JST, China
Case Study: Fossil, USA
Case Study: Zara, Spain
Case Study: Foodstuffs, New Zealand
News, Product, Technology & Software
Systems Modernization & Uptime Solutions
4-5
6
7-9
10-11
12-13
14-15
16-17
18-19
20-22
23
About Dematic
Dematic is one of the worlds leading suppliers of logistics automation systems and solutions. As a systems integrator, Dematic delivers a full range
of technologies and services, from individual products and systems to
complete turnkey solutions as a general contractor, as well as complete
after-sales support and service. Dematic provides automated material
handling products, systems and solutions for retail and wholesale distribution, consumer direct, grocery, food and beverage, and manufacturing
industries. Dematics products and services are based on a tradition of
industry expertise that the company has acquired over decades of commitment worldwide. Globally the company employs around 4,000 people.
Dematic designs and engineers smart technologies and integrates them with worlds best
practice techniques to lower costs, increase
productivity and provide greater levels of service,
accuracy and control. Concurrently we address
issues like workplace safety, skills shortages,
flexibility, modularity and government regulation.
In this issue, we show how we take our strategies, technologies and techniques and working in close collaboration with global customers
like adidas, Fossil, Zara, SFS unimarket, JST
and Foodstuffs create world-leading logistics,
order fulfilment and distribution solutions.
We highlight our innovative new modular conveyor, ergonomic RapidPick stations and SAP interface. We also profile the performance improvements and cost savings that smart modernization
upgrades can deliver, and feature our responsive
service network, which is there to ensure you are
able to deliver on your promises day in, day out.
Roar Isaksen,
President & CEO, Dematic
Dematic acquires
HK Systems
I am very happy and
excited to announce
that Dematic
successfully completed
the acquisition of
HK Systems on
September 15, 2010.
HK Systems brings
great knowledge,
competence and
complementary
technology to
Dematic, and further
strengthens our
leading position in
North America and
beyond. Further
announcements
about this exciting
development will
be made soon.
COVER STORY
SFS UNIMARKET Rebstein, switzerland
Dematics
David Rubie with
CCAs Major
Projects Manager
Grant McClean.
Peter Tobler,
Dematic (left) and
Bruno Spirig,
Logistics Manager SFS.
The Dematic
solution will now
form the template
for a roll-out of
standardized
technology
for all of our
warehouses
around the world
Dietmar Kabasser,
SFS services Manager
COVER STORY
DEMATIC SAP SUBdriver
TECHNOLOGY
TECHNOLOGY
mixedcase
casepalletizing
palletizing
mixed
automated mixed
case palletizing
We preview two new Dematic technology breakthroughs that
revolutionize the speed, safety and efficiency of both manual
and automated mixed case pallet assembly.
Until recently, the only way to assemble a pallet
containing many different SKUs (stock keeping
units) was to do it manually. But as logistics professionals know, repetitive and heavy tasks are
both physically demanding and costly. And, unless mixed case pallets are carefully assembled
by experienced personnel, the resulting stacks
of goods may be unstable, risking product damage
during transport and adding to transport costs by
taking up more cubic space than necessary.
Driven by OH&S concerns and skills shortages,
there is an increasing demand for smart solutions that take mixed case palletizing in a new
and exciting direction.
New advances in software, robotics and intelligent storage, buffering and sequencing systems
have enabled the development of two innovations designed to reduce the cost and significantly improve the efficiency, productivity and
safety of building mixed case pallets ErgoPall
Ergonomic High Rate Palletizing Stations and
AMCAP (Automated Mixed Case Palletizing).
Both systems employ a combination of automated storage, buffering and sequencing systems, advanced software and automated materials handling equipment, the main difference
being that ErgoPall still uses people to build the
pallets but in an ergonomic way while AMCAP uses sophisticated robotic palletizers.
Facilitating high rate, mixed case palletizing
Advances in software,
controls and buffering
and sequencing
technologies have
taken automated
mixed case palletizing
in a new and exciting
direction.
TECHNOLOGY
mixed case palletizing
Dematic ErgoPall
Ergonomic high rate palletizing stations
ErgoPall Ergonomic High Rate Palletizing Stations enable operators (one or two per station
depending on the application) to ergonomically
build mixed SKU pallets.
The ErgoPall stations are built on a mezzanine
with integrated conveyors delivering a constant
flow of mixed cases to the operator, enabling the
operator(s) to simply slide the sequenced cases
into position on the pallet.
Lifting is virtually eliminated and, as each layer of
cases is completed, the pallet automatically lowers, enabling assembly of the next layer to begin,
significantly reducing the physical effort required,
and improving the safety, speed and quality of order assembly.
As the pallet is being lowered, it is stretch wrapped
for stability. When all of the goods required for
an order have been placed on the pallet and the
stretch wrapping completed, the pallet has a label
applied to it as it exits on an outbound conveyor.
automated mi
Palletizing, however, continues even while the
built pallet is being removed from the ErgoPall
station, with only a few seconds lost in the transition. After the pallet continues down through the
mezzanine, slider plates close above it to form
a solid surface upon which the ErgoPall station
operator(s) can immediately begin stacking cases
for the next pallet to be built. Concurrently a new
empty pallet is raised by the lift to the underside
of the slider plates, which open gently transferring the already picked cases to the surface of the
new pallet, as the operator(s) continue assembling the order.
Dematic has implemented 16 ErgoPall stations as
part of a sophisticated order assembly system for
Danish supermarket giant Dansk Supermarked
Gruppen (DSG).
Requiring just 28 operators, the order assembly
system will build 250 mixed case pallets per hour,
producing compact store-friendly pallets to suit
the retailers multiple store formats.
DSGs large SKU range of more than 17,000 products adds to the complexity of the order assembly challenge with up to 100 different products
needing to be consolidated on the one pallet in
a store-friendly sequence specific to each store
and departments requirements.
The ErgoPall
stations deliver
a constant flow
of mixed cases,
enabling the
operator(s) to
simply slide
the sequenced
cases into
position on
the pallet.
Pallets of stock for the orders are then automatically delayered or manually broken down and
conveyed to Dematics high-speed Miniload
or Multishuttle storage buffer and sequencing
system. When required for an order, the necessary SKUs are automatically picked and transported in the exact sequence required to facilitate pallet assembly, typically building cube
and volume-optimized pallets with a density of
90%+ compared to 70 to 80% density for handstacked pallets.
A new benchmark in
mixed case palletizing
With the emergence of
high-rate, mixed case
palletizing a new level of
flexibility, efficiency and
safety above and beyond the capabilities of
conventional automated
and manual palletizing systems has been
realized.
Improved productivity at both the DC and
the store, the ability to
deliver to multiple store
formats, increased accuracy, reduced labor
and optimized transport
costs are just some of
the benefits Dematics
ErgoPall and AMCAP
systems deliver.
adidas
manchester, uK
adidas
scores
supply
chain
goals
with
AUTO
DC
10
Efficient and timely distribution of its state-of-theart sports footwear, apparel and accessories is
a critical issue for adidas, with its supply chain
having been tested in recent years by the rapid
expansion of the business.
In 2006, acquisition of the Reebok brand presented both a challenge and an opportunity to redefine and restructure its European Area North distribution operation, servicing retailers in the UK,
Eire and Benelux. Analysis of the merged companys distribution network highlighted the efficiencies that could be achieved by consolidating
inventory from five key brands adidas, Reebok,
TaylorMade, Rockport and Ashworth with logistics consolidated through a single automated distribution facility in Trafford, Manchester, replacing
four existing conventional warehouses.
The benefits that have accrued from this investment in automation is now shaping the way adidas is viewing its distribution strategy for Europe
and wider markets.
Automation allows us to handle a lot of volume in
a relatively small amount of space, which keeps
overheads down, said Tim Adams, Global Business Solutions Warehousing, adidas Group.
It also helps with labor and resource utilization
by smoothing out peaks and troughs in demand,
said Mr Adams.
However, beyond this Adams sees that in recent
years automation has become far more flexible,
enabling a range of possibilities from the picking of cartons, right down to an individual pair of
shoes. Importantly, it allows for much greater
accuracy, he said.
New picking strategies for new Trafford
The purpose built 350,000 sq ft (32,500 sqm)
DC in Manchester was kitted out within 18
months. Dematic worked with adidas to create
a dynamic, space and cost-efficient warehouse.
Tim Adams,
Global Business
Solutions Warehousing,
adidas Group
With over
70,000 SKUs,
the pick face
for a manual
operation
would have
been massive
and, given
the seasonal
nature of our
business,
we would
have been
continually
changing it
automation
improves
efficiency
three fold.
Tim Adams,
Global Business
Solutions, adidas
11
Jiangsu Tobacco
Xuzhou, china
integrated
Distribution
for chinas jst
Jiangsu Tobacco has built a chain of modern distribution centers (DCs)
in Jiangsu province. In this issue, we feature JSTs DC at Xuzhou,
which includes staging for receiving and dispatch, bulk and reserve
storage, full carton, split carton, and promotional/special picking areas.
12
13
FOSSIL
DALLAS, TEXAS, USA
Fossil Maximizing
Sortation flexibility
Handling 25,000 SKUs and shipping 80,000 fashion accessories daily, Fossil
knows how to get the most out of its sortation system, with the DCs cross-belt sorter
doing triple-duty orders are routed through it three times before shipping to 350+
company-owned stores throughout the USA and in over 90 countries worldwide.
Fossil: a name worth watching
Most of us know the name Fossil, those wonderfully designed watches that replicate styles reminiscent of earlier time periods.
But not all of us know that Fossil, Inc. started out
as modest watch design shop in the 1980s, and
subsequently grew into a world-leading billion
dollar global design, marketing and distribution
company specialising in consumer fashion accessories.
14
The cross-belt
sorter has passed
the five-year
benchmark ...
and we fully expect
it to continue to
execute these multifunctional operations
at its high level of
performance for
many years to come.
15
Zara (INDITEX)
MADRID, spain
zara awarded
best Logistics
Project in Spain
Success in the highly dynamic fashion industry requires fast, accurate
distribution to meet tight seasonal and promotional deadlines. With the
help of Dematic, fashion icon Zara has implemented one of the most
sophisticated, automated fashion distribution systems in the world.
ZARAs new logistics platform at Meco in Madrid
was awarded Best Logistics Project by Spanish
trade publicaction Manutencin y Almacenaje
(Material Handling and Storage Magazine), in its
2009 Logistics Prizes. The jury of the Logistics
Leaders Club recognized Dematic and Inditex for
the effective use of sophisticated technologies in
the new distribution center (DC).
A fashion icon
The first ZARA store opened in La Corua, Spain
in 1975. Stores now operate in over 400 cities
throughout Europe, America, Asia and Africa,
with more than 4,400 outlets across the world.
An icon in the world of fashion, it is one of the
industrys fastest growing stars and is highly
regarded for its ability to successfully produce,
market and distribute the latest fashions at
affordable prices.
16
Manuel Muoz,
CEO Dematic
Southern Europe,
recieves the award
from Blanca
Sorigu, General
Manager of SIL
(International
Logistics Fair Barcelona, Spain).
DC design
17
foodstuffs
wellington, new zealand
Foodstuffs is New Zealands largest grocery distributor, and one of the countrys largest organizations. Three regional co-operatives provide a
comprehensive range of order fulfilment and distribution services to a growing number of retail and
wholesale operations throughout the country.
Each of the regional co-operatives is owned by
its retail members, and operates independently.
Foodstuffs (Wellington) Co-operative Society Ltd
Foodstuffs supplies goods to over 170 grocery
and liquor outlets across the lower North Island.
These include 46 New World and 14 PAKnSAVE
retail supermarkets, 94 Four Square, two Shoprite and three Write Price stores, as well as a
growing number of Liquorland, Henrys Beer
Wines & Spirits and Duffy & Finns liquor outlets.
Toops Wholesale Limited fulfils the distribution
requirements of the hospitality and foodservice
trades, dairies, service stations and institutional
customers, who have the choice to shop cashn
carry or have products delivered direct.
Supply chain remodelling
Foodstuffs General Manager Operations, David
Couper, said: We started planning to consolidate our various distribution operations under the
one roof more than five years ago.
Having analyzed the labor market, population
spread, demographic changes in the region, and
other issues such as the origin of the stock that
is supplied to the DC, plus the availability of land,
we decided that Palmerston North, with its close
proximity to the state highway network, was the
ideal location for a centralized DC.
As a result of opening Roberts Line, we have
been able to close five warehouses, with further
initiatives including plans to sub-let the Silverstream warehouse in due course and install automatic milk handling machines at our Grenada
and Mihaere Drive distribution facilities later in
the year, added Mr Couper.
FOODSTUFFS
new NZ dc
delivers
the goods
18
Foodstuffs (Wellington)
Co-operative Society Limiteds
new $70 million Distribution
Center (DC) at Palmerston North
incorporates the latest advances
in order fulfilment, and sets a new
standard for grocery distribution
in New Zealand. The 325,000 sq
ft DC has enabled Foodstuffs to
centralize its ambient distribution
requirements through one facility,
providing significant supply chain
benefits and cost savings.
Dematics
automated
picking system
has more
than doubled
productivity,
with operators
capable of
picking over
1,200 items
per hour.
David Couper,
GM Operations,
Foodstuffs
19
NEWS, PRODUCT,
PRODUCT,
TECHNOLOGY
TECHNOLOGY
& Software Review
new techcenter
opens
Dematic opened a new TechCenter in Offenbach, Germany in 2010,
that replaced an existing center. Dematic also has a TechCenter
located in Grand Rapids, Michigan, and Salt Lake City, Utah
The TechCenter is dedicated to research and
development, and is designed to show industry
examples of best practice and innovation in
logistics systems technology, showcasing
some of the latest technologies and techniques
available from Dematic including:
AMCAP: an automated system for assembling
mixed case pallet loads
ErgoPall: an ergonomic manual system for
assembling mixed case pallet loads
DC Director: new warehouse control software
RapidPick: a new ergonomic workstation used
in increasingly popular Goods-to-Person order
picking solutions
Multishuttle : an automated system for storing,
buffering and sequencing goods, and a new
Multishuttle Move prototype, which utilizes
Multishuttle carts as automated guided vehicles.
20
goods to
person (GTP)
order Picking
how it works
Totes containing SKUs for
orders are retrieved from an
ASRS and transported by
conveyor to the workstations
in the correct sequence for
efficient order assembly.
The totes are scanned as
they enter the workstation.
A monitor at the workstation
indicates the pick quantity for
the tote and order.
Rapidpick
erGonomic
Picking stations
21
modular
conveyor
system MCS
22
Carton control
is optimized with
the segmented
belt conveyor with
automatic tracking
and tensioning belts.
Controls can be
mounted onboard
and are connected
using CAN Bus.
Parameters such
as conveyor speed,
accumulation mode,
and sleep mode can
be adjusted using
local or central
controls.
logistics modernization
New technology developments and advances
in software, IT and controls make it possible for
older logistics and materials handling systems
to be cost-effectively updated to deliver high
productivity, accuracy, safety and service levels.
Change is the
only sure bet in
business. New
market opportunities,
mergers, acquisitions,
expansions: they
can all have a huge
impact on the number
and type of orders
you process.
If your logistics
and materials
handling systems
are struggling to
changing market
forces and demands.
Modernization and
upgrades are often
quicker and less
expensive than new
installations. Updated
controls, software,
IT and mechanical
components may be
all thats needed to
increase operating
efficiency to meet your
current requirements.
Dematic modernization
& lifecycle support
uptime solutions
With our ongoing service and support you can
be confident you will continue to get the best
out of your investment. That means Maximizing
uptime, minimizing downtime, and knowing that
when you need to push the system hard during
peak periods, you can rely on it.
Central to this promise
is our customized
service solutions,
which provide you with
specialist, professional
support throughout
the life of your system.
We are proud of our
record of customer
support and strive to
achieve best practice.
Our technicians
are trained industry
specialists who share
their knowledge by
offering support to
your operational staff
to get the most out of
your system.
As your business
changes we also keep
an eye on the future,
continuing to work in
partnership with you
to anticipate and meet
your ongoing system
and training needs.
Comprehensive service
plans offer the level of
support you need.
No two systems are
the same and your
requirements will
be unique to your
business. Thats why
we will combine any of
our service options to
create a tailored plan
to suit your individual
business needs.
23
www.dematic.com
1 877 725 7500
usinfo@dematic.com
Dematic Headquarters - United States
507 Plymouth Avenue NE
Grand Rapids, Michigan 49505
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