5 ways to increase profits with simple picking...
TRANSCRIPT
© 2014 MHI®
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Sponsored by: Presented by:
Tim Archer – Sales Trainer
5 Ways To Increase Profits With Simple Picking Automation
5 Ways To Increase Profits With Simple Picking Automation
• Define Simple Picking Automation
• Review 5 Possible Areas Of Profit
• Real Life Case Studies
Vertical Lift Module
A VLM Is An Enclosed Systems Of Vertically Arranged Trays, An Extraction Platform And A Series Of Computerized Controls That Delivers Items To An Ergonomic Workstation
Simple Picking Automation
Simple Picking Automation
Vertical Carousel
A Vertical Carousel Consists Of Shelves That Rotate Up Or Down Via The Shortest Path, Delivering Items To An Ergonomic Work Counter
Horizontal Carousel
A Horizontal Carousel Is A Series Of Storage Carriers With Shelving, Mounted On An Elongated Oval Track That Rotates To Deliver Carriers With Stored Parts To An Operator
Simple Picking Automation
Possible Areas Of Profit from Simple Picking Automation
• Reduce Labor Costs (or Expand Operations Without Adding Labor)
• Reduce Floor Space Costs
• Reduce Picking Costs
• Reduce Worker Absentee & Injury Costs
• Reduce Costs of Mispicks
Possible Areas of Profit
Reduce Labor Costs (or Expand Operations Without Adding Labor)
• Reduce The Number Of Employees Up To 2/3 While Maintaining Current Productivity Levels
• OR… Increase Throughput While Maintaining The Same Number Of Employees
Automated Picking Manual Picking
Possible Areas of Profit
Increase Productivity by Eliminating Walk and Search Time
• Bring Goods To Person
• Eliminate Walk & Search Time
• Optimized Machine Movement
Toronto, ON, Canada
Joanne Fabrics
• Application
– Wholesaler & Distributor Of Decorative Fabrics
• Situation
– Adding 1,100 SKUs To Warehouse At Capacity
• Solution
– Four Shuttle VLMs
– Integrated Software
– Pick To Light
Toronto, ON, Canada
Joanne Fabrics
• Results:
– Orders Are Picked In Half The Time With Only One Worker Required
– Reduced Pick Time 70% (From Ten Minutes To Three Minutes )
“The Shuttle VLMs Allowed Us To
Expand Our Hardware Line Without Adding Labor and Maintain Our
3pm Order Cutoff Time” Kim Hovesen Krasa
Vice President, Joanne Fabrics
• Application
– Spare Parts Distribution To End Users
• Situation
– Struggling To Meet Order Demand
• Solution
– 13 Shuttle VLMs Grouped In 4 Pick & Pass Workstations
– Integrated Software
– Pick to Light
Florence, KY
Mazak
• Results
– Reduced Labor By 44% (From 9 Workers To 5 Workers)
– Reassigned 4 Workers
Florence, KY
Mazak
“The Shuttle VLMs have also helped us increase our same-day shipping
percentage, we’ve gone from 95% to 97.5% - same day shipping is no longer
an issue.” Steve Trammel
National Parts Manager, Mazak
Reduce Floor Space Costs
• Reclaim Up To 85% Floor Space • Maximize Density Within The Unit
Possible Areas of Profit
Technology Wasted Unit Space
Shelving 50 – 70%
Drawers 40 – 60%
Horizontal Carousels 25%
Vertical Carousels 20%
Vertical Lift Modules 10%
Possible Areas of Profit
Create Space For Value Added Activities
• Create Floor Space
– Floor To Ceiling Space Utilization
– Eliminate Waster Aisle Space
– Maximize Unit Density
• Increase Value Added Activities
– Increase Manufacturing Capacity
– Add Kitting Operations
– Expand Quality Control
• Application
– Parts Distribution For Manufacturing & Spare Parts
• Situation
– Production at Capacity
• Solution
– Eight Shuttle VLMs
– Integrated Software
– Pick to Light
Chesapeake, VA
Plasser
• Results
– Recovered 70% Floor Space (From 19,000 sq ft to 1,440 sq ft)
– Expanded Production Area by 17,000 sq ft
Chesapeake, VA
Plasser
“A mandated floor space reduction for a production expansion turned out to improve the overall efficiency of the
stockroom, it’s a win!” Daniel Boone
Quality Manager, Plasser
Possible Areas of Profit
Reduce Picking Costs
Shelving or Cabinets
Packing & Shipping
Horizontal Carousel Work Zone
Packing & Shipping
Possible Areas of Profit
Speed Picking To Meet Customer Demand
• Fulfill Multiple Orders at Once – One Pick Fills Multiple Orders
• Reduce Shipping & Manufacturing Bottlenecks
• Extend Order Cutoff Times
• Easily Accommodate Hot Picks
• Application
– Order Fulfillment For Retail Pharmacy Stores
• Situation
– Struggling To Meet Order Demand
• Solution
– Six Horizontal Carousels Stacked in Two Zones of Three
– Integrated Software & Pick To Light
– Batching Station
Edmonton, AB, Canada
Value Drug Mart
• Results
– 90% Faster Picking: Lower Carousel Zone 350 Lines/Hour & Upper Carousel Zone 575 Lines/Hour; 50 Lines/Hour From Past Shelving
Edmonton, AB, Canada
Value Drug Mart
“We were picking as fast as staff, shelving and technology would permit, but it wasn’t fast enough, automation
was the solution” Dwayne Bilawchuk
Operations Manager, Value Drug Mart
Reduce Worker Absentee & Injury Costs
Possible Areas of Profit
Lifting
Bending Stretching
Pushing
Reaching
Pulling
Stooping
Twisting
Walking
Possible Areas of Profit
Create a Safe & Ergonomic Work Environment
• Eliminate Lifting, Reaching, Walking, Pushing, Pulling, Twisting, Stretching, Bending & Stooping
• Easily Integrate Hoists, Lifts & Carts
• Safety Features Protect Both Workers & Stored Items
• Application
– Manufacturing Projection Systems
• Situation
– Risk of Worker Injury & Damage to Projector
• Solution
– Two Shuttle VLMs with Software
– Ergonomic Hoist & Automatic Tray Extraction
Kitchener, ON, Canada
Christie
• Results
– Ergonomic Access to All Sub Assembled Projectors
– Reduced Risk of Worker Injury & Damage to Projector
Kitchener, ON, Canada
Christie
“Each sub assembled projector weighs approximately 52 pounds and are
accessed with an ergonomic hoist; no lifting, pushing or pulling is required.”
Philip Hibberd Sr. Manufacturing Engineer, Christie
Possible Areas of Profit
Reduce Costs of Mispicks
• A 1% Error Rate Can Eat Your Profits:
– Estimate 250 Lines Per Hour
• 3 SKUs Per Order
• Eight Hours Per Shift
• One Shift Per Day
– Equals 6,000 Picked Items
– 1% Equals 60 Wrong Picks
– @ $100 Cost Per Wrong Shipment
– $6,000 Per Day
– Over $1.5 Million Per Year
Possible Areas of Profit
Streamline Picking for Increased Customer Retention
• Increase Picking Accuracy Up To 99.9%
– Reduce Picking Mistakes
– Fewer Returned Orders & Restocking
– Fewer Repicking Items Due To Shipping Mistakes
– Improved Customer Satisfaction
– Increased Repeat Customers
• Application
– Maintenance & Repair Operations For Aircraft
• Situation
– Expand Capacity & Maintain Batch Number & Part Traceability
• Solution
– Two Shuttle VLMs with Pick To Light
– Software with Batch Validation
Toronto, ON, Canada
Jazz Aviation
• Results
– Part & Batch Number Validation Though Bar Code Scanning Integrated In The Batch Picking Process
– 99% Pick Accuracy
Due to the batch picking process and batch validation, accuracy has
increased to nearly 99% and we can track exactly which part was used to
repair each aircraft.” Mike Hauser
Stores System Manager, Jazz Aviation
Toronto, ON, Canada
Jazz Aviation
• Reduce Labor Costs (or Expand Operations Without Adding Labor)
• Reduce Floor Space Costs
• Reduce Picking Costs
• Reduce Worker Absentee & Injury Costs
• Reduce Costs of Mispicks
Possible Areas Of Profit from Simple Picking Automation
For More Information:
Speaker Email: [email protected]
Website: www.KardexRemstar.com
Or visit MODEX 2014 Booth #9323
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