May 2016

Shuttles: The new face of the DC workforce

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 DC workforce
Shuttles: The new face of the

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Your presenter
Chris Lingamfelter
Vice President of Integrated Systems

With more than 20 years of supply chain software and material handling industry
experience, Chris Lingamfelter works with the Intelligrated executive team to
oversee integrated system sales and prioritize investments in new technology and
capabilities. Before joining Intelligrated, Lingamfelter focused on helping customers
automate complex distribution operations, holding product management and sales
roles for multinational supply chain and logistics firms.

He has a bachelor’s degree in management with concentrations in economics and

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entrepreneurship from Babson College in Wellesley, Massachusetts.

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Topics

• Evaluate the potential viability of shuttle and robotic systems in your DC

• The evolution of item picking

• How shuttles can be integrated into order fulfillment and inventory

management applications

• How to maximize AS/RS storage investments with shuttle systems

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• How to reduce storage and labor costs through shuttle efficiencies

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 What is AS/RS?

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 OTG vs. GTO

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 Unit load mini-load carousels

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 What is driving AS/RS adoption?

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Reasons for shuttle trend
25+ years of mini-load technology

Improvement
X
Complex mechanical design
required for high dynamics

Very hard to reach the next level

Cost

Need for flexibility and higher throughput

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Better scalability

Energy efficiency

Layout flexibility

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Polling question

Please select the technologies currently used in your distribution operations:

• Unit load
• Mini-load
• Carousel
• Shuttle
• None of the above

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The evolution of item picking
Preparing for the future: A quantum change in item picking

OTG GTO GTR RTG

Operator to goods Goods to operator Goods to robot

• Old method of picking • Requires AS/RS • Requires AS/RS
• Labor intensive • Labor saving • Robot item picking
• High pick rate (1,000/hour) • No breaks
• Time wasted walking
• Good for batch picking • Clever solution design
• Low pick rate (250/hour)

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• No time walking • $0 labor cost

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Operator to goods
Preparing for the future: A quantum change in item picking

OTG

• Pick with paper, RF, Voice or lights

• Labor intensive
• Time wasted walking
• Low pick rate (250/hour)

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• Least capital invested
• Highest operating cost

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Goods to operator
Preparing for the future: A quantum change in item picking

GTO

• Operator remains stationary

• No time walking
• Requires AS/RS
• Labor saving

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• High pick rate (up to 1,000/hour)
• Large capital investment
• Low operating expense

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Goods to operator
Preparing for the future: A quantum change in item picking

GTR

• Requires AS/RS
• Robot item picking
• No breaks
• Clever solution design

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• $0 labor cost
• Highest capital investment
• Lowest operating cost

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Robot item picking
Single-item picks to fulfill fast delivery of orders

Single-item picking
• More labor is spent in single-item picking and packing
than in any other warehouse function. Single-item picking
is growing as SKU’s proliferate and e-commerce and lean
inventories drive down order quantities. Automating this
process with robotic picking is complex, daunting and
highly desired.

Key selling points

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Optimized costs: Costs per pick can be reduced due to
low operation costs

Flexible rate: increased rates with the addition of robots Multi-item picking
is simple and cost efficient

Robot service is minimum and can be performed without

system shutdown

Pick and put functionality

Key step in human-less warehousing

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Warehouse technologies

Shuttle

Capacity
Carousel
Miniload

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Manual

Pick tower

Throughput

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 Warehouse
AS/RS in the Technologies
Mobile full
warehouse case pick De-case
for AS/RS
Pallet stripping:
• Layer
• Random case

Each picking
Full case
slapper line
with print
and apply
AGV pallet to Fluid
robotic case truck
Flexible, depal / pick unloading
Roaming
OLS
Shuttles

Mixed load
palletizing

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High
Capacity,
OLS
Shuttle
Per Level

Fluid
truck
loading
Polling question
Where do you see an application for AS/RS in your fulfillment center?

• Full case
• Split case
• Delivery sequencing
• Returns processing
• Work in process buffer
• Other

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• Not sure

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Technology applications

• Applications include goods-to-operator

order fulfillment, just-in-time
inventory management, product
sequencing and buffering
– Mixed-load, full case or break-pack
order picking
– Route-based delivery sequencing
– Omnichannel fulfillment

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– E-commerce fulfillment
– Grocery distribution
– Grocery home delivery
– Returns center processing

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 What approach should you consider?

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Flexible strategies

Storage
depth

Aisle
height
Vehicle
depth
Aisle
length

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Number of
aisles

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 desired
Storage
Capital
investment

required
Throughput

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 2.8 seconds 0–60 mph
600.35 cubic feet

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Areas of justification

Labor Space Strategic

Direct labor savings Higher storage density SKU expansion
Workman’s comp savings SKU expansion Speed to fulfill
Inventory Delayed bricks and mortar More SKUs per mode
Supervisor savings Empty tote management Transportation savings
Labor turnover benefit
Worker lost time

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Polling question

What area would be most compelling in your organization for implementing

an AS/RS system?

• Labor
• Space savings
• SKU expansion
• Transportation savings
• Other

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Shuttle system

• Extremely flexible and efficient,

high-volume AS/RS ideal for
operations with high turn storage
and short order cycle times
– Fixed or level roaming shuttles, one
shuttle per level transfer via lift
– Single and double deep storage
– Various load handling devices for

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cartons, totes, trays or a mix
– Maximum speed: 2.0 m/s
– 48 V drive motors
– On-board vehicle controls
– Wifi shuttle data transmission

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Load handlers
Load handler selected to match application

Multi-gripper Single/double to quad deep

Telescope Single/double deep, fast

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Belted telescope Single/double deep; tiltable
up to 10°for flow rack replen.

Extractor Single deep, best for trays,

can handle heavy loads

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OLS shuttle system

• What are the benefits over other

AS/RS systems?
– Reduces storage, labor and footprint
requirements over traditional storage
– System scales as transactional or
storage demands increase
– Can be strategic to a company’s
operational plan

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Why Intelligrated’s OLS shuttle system?
• Range of load handlers to handle • Most flexible, scalable solution
the widest variety of product
types and largest carton sizes • U.S.-based solution development
and thought leadership
• Capable of storing and retrieving
items from single and double • Manufactured in the U.S.
storage
• Best-in-class software
• Lightweight, run-on-demand
design provides low energy • World-class service and support

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consumption
• Shuttle vehicles can be shared
between levels or dedicated to a
single level

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 Questions?

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