Previous Columns by Cliff Holste Logistics News: DC Automation – Essential for Some, Not So Much for Others Logistics News: Can A DC Have High Picking Rates With Low Picking Productivity? Logistics News: Is Your Shipping Operation Ready For Prime-Time? Logistics News: Sales Order Automation – Increases Speed & Reduces Labor Logistics News: Do You Know Your Systems Maximum CPM Rate? More The deployment rate for automation appears to be strong in selected industry verticals like Grocery, Pharmaceutical, Beverage, Wine & Spirits, Electronics, and Automotive Parts. Likewise, DCs that support manufacturing operations tend to deploy higher levels of automation. Companies in these industries are driving the demand for technologies such as Goods-to-Person, AS/RS, Automated Case Picking and Sorting, and Robotic Palletizing. However, notwithstanding the high level of interest, automation in the DC still has a long way to go before it becomes widely accepted (especially in the USA). Based on a SCDigest survey, 72% of USA distributors pick orders manually (37% using pallet jacks and 35% using order picker trucks). Over time these companies have become very proficient at fine tuning their operations. The other 28% use conveyor systems that include automated shipping sortation as well as the more advanced technologies mentioned above. Shippers included in the survey have a high percentage of products (case goods) that are suitable for handling on automated equipment/systems. Most of these non-automated companies depend on WMS, and some combination of RF and Voice Recognition technology to reduce errors and operating cost while maximize throughput capacity. They fear that bolt-to-the-floor automation will inhibit operational flexibility. They consistently cited SKU diversity, customer order profile volatility, and value added customer service requirements as being the reasons in favor of manual operations. In addition, there is concern that the current move towards the use of more economical […]