Tag: Warehousing

Keeping Up with the Trends

The world of business, and subsequently warehousing and material handling, is ever changing.  To be successful you must adapt as your customer needs change and there is never a more serious time to serve your customer as a time where the economy is suffering.  If you can’t provide the service that your customer needs, you better believe that he or she will find someone that can in an effort to serve their customer and keep their doors open.

Recent trends have shown that some businesses are being forced by the economy to move into smaller properties in an effort to cut overhead and continue operating.  Some of these businesses will require their suppliers to change from a customary “pick and pack” type supplier to someone who is willing to store materials until they are needed.

Warehouses and distribution centers who are asked to provide this service to their customers need, more than ever before, to be properly organized and capable of staging and shipping orders quickly and accurately once an order is received from their customer.  Direct shipments to end users may be necessary and the overall volume of shipments may increase causing the environment to become faster paced and more hectic.

The need for accurate and properly stocked inventories becomes crucial in this type of environment; because there is no time for error when direct or expedited shipments are required.  One way to ensure that your workers can both accurately receive and store materials and to ensure that material can be pulled and staged for priority shipments quickly is to have the proper material handling equipment available for use.

The ergonomic, battery powered carts and scissor lifts from DJ products operate quickly, cleanly and quietly for an entire shift on a single charge, allowing your employees to focus on the accuracy necessary for pulling and receiving orders rather than on the back breaking labor of manual material handling.  In order to become and stay successful your team needs to be fast, accurate and efficient and one of the best ways to achieve that level of performance is to operate with the best possible equipment.

Eliminating Overhead the Smart Way

The economy is still lagging far behind what it was a few years ago and though some industries are beginning to see some promise, logistics and third party warehouses are still struggling to stay out of the red.  In order to keep the doors open, many businesses are being forced to find a way to cut overhead because the customers just don’t have money to spend.

Many businesses are moving to smaller facilities, cutting down the inventory they stock and even cutting employees just to lower spending enough to remain profitable.  If you slash inventory, move to a smaller facility or cut employees you could be hurting your company’s ability to provide adequate service, but there is a way that you can spend less money while at the same time improving your ability to serve the customer.

Propane powered equipment may seem like the most convenient and efficient way to move material, but when you calculate the cost of fuel and tally up the frequent maintenance and repair costs you’ll see that quite a bit of your budget is being spent on this equipment that is supposed to be saving your company money.  A much more economic way to move material is with battery operated carts and lifts.

The lifts and carts offered by DJ Products are quiet, efficient and incredibly reliable and the cost of operation is far less than that of a propane powered forklift.  A single employee can easily maneuver around tight spaces with heavy loads of inventory and not ever have to worry about wasting time changing an empty fuel tank – the lifts and carts from DJ can last an entire shift on a single charge.

You don’t need to sacrifice the quality of your service, your capacity to store product or your number of employees to get back into the green – you may be to be able to cut costs and provide better service by running your operation with the right equipment.

Implementing a Forklift-Free Program

Forklift trucks are expensive to maintain and are a significant source of worker injuries and even deaths each year. The high cost of using forklifts in manufacturing, warehousing and logistics environments is pushing an increasing number of businesses to go forklift-free (see our June 11 post). Going forklift-free can reduce inventory and equipment needs, improve material flow and customer response, increase cycle efficiency and overall productivity, and decrease operating costs. At the same time a forklift-free work environment significantly improves plant safety; decreases liability concerns; and markedly decreases worker injuries and associated medical, insurance, disability and lost man-hour costs.

Implementing a forklift-free program can be challenging and will require a coordinated effort by top-level management, all affected departments, and suppliers, say John Neuman and Larry Tyler in American Machinist. They emphasize that success will require the ability to maintain “a big picture overview of the project as well as an understanding of how each department and suppliers, both internal and external, will be impacted.”

A successful transition to a forklift-free environment begins with a clarification of plan targets and goals and the identification of waste, ergonomic and safety threats. Neuman and Tyler suggest beginning by asking how operations and your supply chain will be impacted by a forklift-free system. Typical project leaders include manufacturing and industrial engineers and material logistics personnel. Input should be gathered from safety teams, production managers, line operators, tug drivers, market supply teams, your purchasing department and suppliers. Good communication, efficient information coordination, and clear assignment of responsibilities are important to success at this stage of the project, warn Neuman and Tyler.

Performing a trial run that physically traces each step of operation from the supplier to the receiving dock through assembly and back to the shipping dock allows the implementation team to uncover any potential problems before initiation. Role playing allows each individual who will participate in the new process to experience and try out the actual movements they will need to undertake in a forklift-free production. The suggestions gained from a physical dry run can provide valuable insight into operational, personnel and supplier issues that must be addressed before full implementation of a forklift-free system.

Obviously, implementing a forklift-free environment in an existing plant presents a significantly greater challenge than in a new or remodeled facility where changes can be incorporated in the planning phase. Neuman and Tyler warn that “existing plant constraints may make the best forklift-free strategy less than optimal.” Aisle widths, conveyor heights, set backs, line space, ceiling height and floor quality are among the challenges that may need to be overcome. Incremental conversion beginning with one or two work cells or a common assembly area may allow for greater success in brownfield operations. Despite the added challenges, positive results can be achieved in brownfield operations though initial cost and implementation time may be somewhat greater.

Products to Help Your Business Go Forklift-Free

There’s a growing trend, particularly in manufacturing, warehousing and logistics environments to go forklift-free (see our June 11 & 13 posts). An increasing number of businesses are choosing to replace forklift trucks with safer, ergonomic material handling products that are cheaper to own and operate. As we noted, going forklift-free can result in considerable savings in production and maintenance costs while significantly decreasing worker accidents and injuries and their associated medical, insurance, workman’s compensation and lost man-hour expenses. DJ Products can help your business transition to a safer forklift-free work environment.

At DJ Products we manufacture a full line of electric cart pullers and motorized cart pushers and tugs. Our products are ergonomically designed to eliminate the pain and strain of manually pushing and pulling heavy carts and wheeled equipment. Smaller and more maneuverable than traditional equipment like forklift trucks, walkies and riding tugs, you’ll also find our products to be less costly to purchase and maintain. Implementing forklift-free solutions with DJ Products equipment offers multiple benefits, including:

  • Decreased operating costs, particularly equipment purchase and maintenance costs,
  • Decreased floor space needed to maneuver equipment,
  • Decreased worker injuries and attendant medical, insurance, workman’s compensation and lost man-hour costs,
  • Decreased liability,
  • Increased plant safety, 
  • Increased worker morale, and
  • Increased efficiency and productivity. 

DJ Products can help you plan your transition to a forklift-free environment. We specialize in solving ergonomic material handling applications with battery-powered, walk-behind tug and tugger solutions. Many of our motorized cart products can be custom configured for adaptation to almost every heavy cart pushing or pulling application. Click here to request a free brochure or video about DJ Products’ ergonomic solutions. We also offer a free demo trial program so you can try out a CartCaddy cart pusher at your facility before purchase. Our expert Sales Engineers can discuss the details of your particular application and suggest ergonomic products that will provide the appropriate solution. Click here to contact a DJ Products Sales Engineer and begin your transition to a safe, cost effective, forklift-free work environment today.

U.S. Manufacturers Turn to ‘Insourcing’ to Save Money

Insourcing is the new buzzword in U.S. manufacturing circles. U.S. economic woes are causing many manufacturers to replace outsourcing with insourcing, an unexpected boon for American workers. The declining value of the dollar against foreign currencies, skyrocketing transportation costs caused by high fuel prices, and decreasing export demand resulting from the global economic downturn are making it more cost efficient for U.S. manufacturers to produce their products at home.

The same economic forces that sent U.S. jobs overseas are now bringing them home. Manufacturing costs in Alabama are currently running 3% below those in China, causing companies like Exxel Outdoors, Inc., which makes sleeping bags for Wal-Mart and other customers, to execute an “about face” on its production priorities. Since the Wall Street tumble, the company has hired more workers, added new equipment and beefed-up production at its Haleyville, Alabama plant, while cutting production at a joint venture in Shanghai. In 2007, 60% of Exxel’s bags were made in Shanghai. This year, the company will make more product at home than abroad and expects to produce 90% of their product at their Alabama facility by 2010.

Exxel founder and CEO Harry Kazazian is predicting a 20% increase in company revenue this year to $42 million. He credits insourcing as a major factor in his company’s success during a tight economy. Since 2005, he has seen the yuan appreciate 17% against the dollar, pushing up Chinese wages, material costs and freight costs. Kazazian says moving production from Shanghai back to Exxel’s Alabama plant just made financial sense.

“Labor is China’s advantage and our weakest link,” he said. “But they can’t compete with me on my just-in-time” production cycle. Exxel can deliver a sleeping bag from its Alabama facility within three days where shipping from China can take two months.

According to government statistics, U.S. manufacturing is contracting at the fastest rate since 2001, the last time America dipped into a recession. As countries around the globe struggle with the growing financial crisis, there has been a marked decrease in export demand. Without demand for the prodigious output that originally spurred outsourcing over the last decade, producing goods in the U.S. is becoming increasingly cost efficient. Smart companies are re-evaluating their outsourcing policies and making the switch to insourcing.

Surviving and Thriving during Mergers and Acquisitions

Having to cutback, downsize or merge with a competitor has become the reality for many logistics and storage companies if the want to keep their doors open.  There just currently aren’t enough customers and enough money/product moving around in order to keep every company busy enough to justify, or even allow, them to operate at the level that they had prior to the economic downturn.

Mergers with competitors can pose a whole host of issues in terms of operations; the most obvious would seem to be the personal and computer program interactions.  Adopting a brand new and potentially very different system of daily operations and having to interact with a bunch of new personalities can be a daunting task, but few people view just how much difference their can be in the warehousing and storage aspect and it’s profound affect on the employees involved.

Differences in equipment, inventory control and shipping and receiving practices can be difficult obstacles to overcome.  In order for a newly developed company with employees from two different backgrounds to be successful, some operational changes may be a necessity.  Customers coming from both businesses will need to see accuracy and speed at least comparable, if not improved, to what they were used to in order to feel confident with the new situation.

Increasing speed and accuracy may require upgrade changes in equipment as well as operations.  Outdated, inefficient and unreliable machines could spell doom to a company who is attempting to keep current customers from leaving during a period of transition.  The proper material handling equipment will more than pay for itself in a very short period of time with reduced fuel/energy costs and increased employee productivity; and the capability of delivering goods quickly and accurately will keep customers loyal and could possibly increase your bottom line.

DJ products offers affordable, reliable and easy to use solutions for material handling, the exact type of equipment needed for a warehouse to maintain, or exceed customer expectations during the transition period of a merger.

A Little Goes a Long Way

When it comes to performing any job, it’s imperative that workers have both the “know how” and the proper equipment to accurately perform every task they encounter.  An employee attempting to figure out how to use a piece of equipment as he goes can result in plenty of wasted time and even put people at risk of injury.

Upgrading every piece of computer and material handling equipment at once could bring about too much of an expense for some distribution centers to bear, but taking small steps to ensure that you have all of the equipment necessary and that all of your employees know how to use it is a big step towards optimal efficiency. 

Having only one big, bulky forklift that is constantly breaking down doesn’t make much sense when you receive and ship out dozens of pallets worth of material per shift.  In the long run, you could save money on operating costs and move more freight if you scrapped the outdated forklift in favor of two smaller battery powered lifts.  Battery powered lifts from DJ Products are designed to be safe and easy for any employee to learn how to operate, which could mean a lot less waiting and a lot more working.

These battery powered lifts and carts from DJ Products can also last an entire shift on a single charge, so there is no time wasted changing fuel tanks and fewer moving parts means that there is less chance for equipment breakdown and a smaller budget required for equipment maintenance.

Streamlining or optimizing can sound like overwhelming processes to undertake, especially for a business trying to survive during these tough economic times, but properly training your employees and providing them with the right equipment may be all that needs to be done to make your operation as efficient as possible.

The Future Is Now!

If you have kids, you’ve probably seen trailers for the new Disney-Pixar animated film WALL-E. Robots like WALL-E and his cohorts represent the wave of the future in material handling, though let’s hope they get the kinks worked out before they start installation. Can you imagine the chaos if a bunch of inept robots was allowed to run amuck on your plant floor? Life, after all, is not a movie. The hero almost never arrives to save the day in the final seconds of a plant emergency!

Robot prototypes that allow us to glimpse and plan for the future of material handling are already on the market. British tech firm RTS Flexible Solutions has introduced a 3-D vision-based robot automation system that can grip complex shapes and profiles, pick at variable heights and even perform some inspection and defect rejection actions.

“Advances in technology mean we can deliver applications which have been difficult for conventional 2D technology,” commented RTS managing director David Bradford. While 2D vision-guided robotic automaton works on grayscale, color or line-scanning vision systems, the new 3D system can process on X, Y and Z coordinates. For the first time this allows a robotic application to accurately gauge height, depth and surface contours, opening new possibilities for material management. 

It will be a while before robotic applications can effectively perform many material handling functions, but that day can already be glimpsed on the horizon. Computer software and management skills are more apt to define material handling workers of the future. It’s going to be a whole new ball game!

Plenty of Jobs Available in Material Handling Fields

With the economy down and unemployment up, jobs are a hot topic this election. As industry starts to feel the economic pinch, plants are closing, workers are being laid off and some companies are facing bankruptcy. But there are jobs aplenty in the material handling industry and the associated industries of logistics, fulfillment and warehousing.

There’s a severe shortage of qualified industrial workers in America, particularly in material handling fields, that holds promise for job-seekers. The material handling industry is expected to be “50% short in terms of employees needed by 2010,” said Virginia Wheeler, executive director of the Material Handling Industry of America’s (MHIA) Education Foundation. The growing worker shortfall guarantees job security well into the next decade for people going into material handling jobs in warehouses, fulfillment centers, logistics operations, and factories.

“Our industry is begging for people,” said Dan Quinn, MHIA VP for education. He feels America’s high schools are undercutting the value of the trade jobs that built and continue to build America. “A lot of schools measure themselves on the percentage of students who go on to college,” Quinn criticized. “Schools should embrace the concept that non-college-bound students are still valuable contributors to the economy and society.”

The reality is that many high school students are not interested in pursuing a college education for a wide variety of reasons. Many simply prefer hands-on, physical work to sitting at a desk. Many are anxious to get out on their own and lack the interest in four more years of schooling. Many do not have the financial resources to consider college but must provide for themselves immediately after high school graduation. As the recession deepens, finances are expected to play an increasing role in education/work decisions. Some high school juniors and seniors, like Alaska Governor Sarah Palin’s future son-in-law, have already been forced to drop out of school to help support their families. Some employers are offering their employees the opportunity to complete their high school education through GED programs.

It’s unfortunate that many high school guidance counselors are so focused on college that they ignore the positive opportunities available in material handling industries. Raising awareness of job opportunities is one of the primary challenges facing the material handling industry, said Alan Howie, author of Fundamentals of Warehousing and Distribution. “. . . the essential problem is we have to get the message out there that . . . work in the material handling industry is much more than a manual labor job. It’s a career in a high-tech industry. Our challenge is to build awareness of all of this in the schools and colleges.”

Safety Breeds Productivity

Too many warehouses and material handling companies view safety as secondary in order of importance compared to customer service – but a clean, safe and clutter free workplace can have a huge effect on productivity.

Organization is key in being able to deliver optimal customer service as orders can be pulled, stationed, packed and shipped much more quickly and efficiently in an environment that is clutter free and safe.  There is also a much lower chance of injury in an environment that is organized, properly equipped and well designed.

Warehouse and plant managers shouldn’t wait for fire or safety inspection time to roll around to get their operations organized and clean – the possibility for greatly increased productivity and, in turn, an increase in the bottom line along with a loyal customer base are readily available for business that can provide lightning quick and pin point accurate service.

Employees who work in atmospheres where the equipment is outdated and unreliable are more likely to have to perform the brunt of their jobs manually; this can lead to oversights and errors that may affect the accuracy of orders and of your inventory.  It can also result in material being left in areas that weren’t necessarily meant for storage, potentially leading to accidents or injuries.

Upgrading your material handling equipment to battery powered carts that are quiet, ergonomic and long lasting will allow your employees to work at a faster pace without having to worry about resorting to manual handling when the equipment fails.  Nothing hurts moral and performance worse than equipment failure during the picking or stocking of a large order when the pressure is on to perform.

Electric Carts from DJ Products have the power to last for an entire, fast paced shift of shipping/receiving without any worry about failure.  This means that your employees can fully receive stock orders and put them away, or pull and stage large orders without interruption – with the right equipment; your warehouse will be clean, organized and operating at the highest possible level of efficiency.