NOTE: The use ofcdn.modexshow.com/seminars/assets-2014/326.pdf– 3000 pph to 20,000 pph – Allows easy manual induction – Superior sorting accuracy – Layout flexibility – Induction

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Sponsored by: Presented by:

John Sarinick – BEUMER Corporation

Ray Niemeyer – Pflow Industries, Inc

Answering the Multi-

Channel Shipping

Paradox:

How to Handle

Cartons and Bags

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Agenda

• About CSS

• Multi & Omni Channel Order Fulfillment

Effects on Shipping Process

• MHE Solution

• Case Study -

• ROI Guidelines

• Q&A

About CSS

Conveyor & Sortation Systems is one of MHI’s 18 product specific

industry groups. CSS members represent the industry’s leading

providers of conveyor and sortation systems. Our goals:

• Work closely with end users to communicate needs, benefits and

applications of conveyor and sortation systems.

• Act as a catalyst and liaison between related MHI product groups and

associations.

• Maintain a membership representative of the industry.

• Promote the general welfare of the industry.

• Provide a market driven forum for material flow solutions.

• Collect, compile, disseminate and exchange information and statistics which

may be helpful to the membership.

• Prepare and distribute educational materials for the academic community.

Multi & Omni Channel Order Fulfilment

Effects on Shipping Process

• Continual, growing trend to merge DC inventory across

all channels providing “agnostic” order fulfillment.

• Double digit e-commerce growth explodes DC shipping

volumes and required sort destinations

• Retail shipments generally use corrugate cartons

(standard sizes)

• E-commerce shipments use cartons and bags

– Generally wide variety of carton sizes and weights

– Various shapes and weights of bagged shipments

Multi & Omni Channel Order Fulfilment

Effects on Shipping Process

• How to handle 6”x4”x¼” polybag/carton shipments to

48”x 27”x 24” cartons efficiently with a common MH

system capable of 3,000-20,000 parcels/hr?

MHE Solution

• Part A: Use one or a combination of MHE

technology options to transport shipments

from the order fulfilment pack out area(s)

to the shipping area.

• Part B: Use a flexible, high throughput

sorting system capable of handling both

cartons and bags.

MHE Solution - Transportation

• From Retail Pack Out

– Typically conveyor based, providing singulated flow

– Depending upon distance from pack-out to shipping area,

combination of transport and accumulation conveyor

• From E-commerce Pack Out – Several Options

– Conveyor, providing singulated flow (Note: pay attention to min

height items for the conveyor design!)

– Conveyor, bulk flow to the shipping area (Note: will require

additional labor at the shipping sorter induction)

– Gaylord – transportation via fork lift or pallet conveyor

MHE Solution – Sorting System

• Requirements

– Must be capable of handling the wide variety of cartons and

bags

– Flexible layout design, allowing multiple induction points from

multiple pack-out areas

– High throughput capacity and reliability, with low maintenance

– Strong ROI

• Solution

– Mechanical tilt tray loop sorter

utilizing various induction methods

MHE Solution (typ)

MHE Solution – Sorting System

(Induction)

• Automatic Induction:

– Conveyor system from:

• retail pack-out to induction lines

• E-commerce pack-out to induction lines,

via singulated flow

– 2-4 induction lines (typ)

– No induction operator labor

– Easy to integrate in-line scale

– High accuracy

– Barcode scanner array

• Located after induction bank (typ)

MHE Solution – Sorting System

(Induction)

• Manual Induction (from E-commerce pack-out):

– Bulk feed conveyor to manual induction station

– Gaylord

– 4-8 manual induction stations (typ)

– Low cost, allows flexibility for peak

– Barcode scanner array

• Located after induction bank (typ)

MHE Solution - VRC

• VRC Mezzanine Gaylord System

– Flexible container movement to meet production demands

– Easy to operate

– Automated or manual options

– Minimal footprint requirement

– Flexible location placement

– Frees up forklift for other duties

MHE Solution - VRC

• VRC Mezzanine Gaylord System Capabilities

– Manual or automated operated options

– Throughput Range: 10 to 30 cycles/hr

– Capacities: 500 to 6000 lbs

– Carriage Sizes: 3’x3’ to 8’x10’

– Travel: 0 to 50’ plus

MHE Solution – Sorting System

(Sorter)

• Mechanical Tilt Tray Sorter

– Ideal for handling cartons and bags

– 3000 pph to 20,000 pph

– Allows easy manual induction

– Superior sorting accuracy

– Layout flexibility

– Induction location flexibility

– Fully controlled tilting process

– Low maintenance, high reliability

– Bi-lateral discharge (minimizes sorter length)

– Optimized design available for faster delivery and lower costs

MHE Solution – Sorting System

(Destinations)

• Various Types

– Simple Accumulation

– Gaylord

– Load Door

– Palletizing

Case Study

• eBay Enterprise, one of the three main business units of eBay Inc.,

along with PayPal and Marketplaces, helps companies of all sizes

drive commerce growth-delivering exceptional, engaging shopping

experiences online and offline.

• One of their campuses is located in Martinsville, VA. Customers

include:

Case Study

• Growth = Challenges and Opportunities

– Martinsville 1 Bldg:

• Nearly 80% bag packaging (apparel, accessories)

• Old shipping sorter: poorly suited to handling bags, poor accuracy, low

throughput (1500 pph)

• Significant growth projections

– Martinsville 3 Bldg:

• Approx 30% bag packaging (apparel, accessories)

• Manual sorting (200 pph)

• Significant growth projections

Case Study

• Shipping Area Solution For 2013 Peak Season

– Martinsville 1 Bldg:

• Two singulated accumulation lines from pack-out area

• Two automatic induction lines w/ high speed scales

• Top reading scanner array

• 9 destinations (chute to Gaylord, spiral chute to extendable loader)

• ** installed on a mezzanine above existing shipping operation**

– Martinsville 3 Bldg:

• Similar to Bldg 1

• 1 singulated line feeding 1 induction line

• 7 destinations (chute to Gaylord, chute to extendable loader)

• Installed on floor level

• Capability to expand system as volume grows

Case Study

• Results!

– Martinsville 1 Bldg:

• Throughput capacity increased from 1500 pph to 6000 pph

• 50% reduction in shipping area labor

• Change over from old shipping system to new shipping system took 90 min.

– Martinsville 3 Bldg:

• Throughput capacity increased from 200 pph to 3000 pph

– General:

• Significant increase in accuracy

• The conveyor and sorter design has allowed eBay to extend their pack-out

cut-off time from approx 2:00 pm to 5:00 pm and still hit the 5:30-6:00

transportation cut-off time frame.

ROI Guidelines

• Analyze your current shipping operation:

– Are/will you need to handle boxes and bags?

– Do you currently have two separate shipping systems?

– Are you sorting parcels manually?

– Is throughput a bottleneck to service levels?

– What is the advantage of automated weight capture?

– Is accuracy an issue?

– What is the advantage of additional sort destinations?

– What is the advantage of flexible induction points?

– How much labor is utilized in the shipping operation?

– Are maintenance and downtime concerns?

ROI Guidelines

• System Costs: 3000+ parcels/hr

– Conveyor System: $500k+

– Tilt Tray Sorter (Complete): $1.3M+

Questions?

AGiLE Business Media, LLC

Autoquip Corporation

BEUMER Corporation

Carter Control Systems, Inc.

Cinetic Sorting Corp.

Dematic Corp.

Flexible Material Handling

Hytrol Conveyor Company, In

Intelligrated, Inc.

Interroll Corporation

Intralox, L.L.C.

.

NOTE: This ending slide is OPTIONAL. Items that can be included are your

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Lenze Americas

Pflow Industries

Ralphs-Pugh Co., Inc.

Rockwell Automation Control Systems

Schneider Electric

SICK, Inc. .

Southworth International Group, Inc.

SpanTech, LLC

TGW Systems

Wildeck, Inc.

.

For More Information:

Carmen Murphy, CSS Managing Executive

cmurphy@mhi.org

www.MHI.org

NOTE: This ending slide is OPTIONAL. Items that can be included are your

speaker’s email address/home page, the Exhibiting Member Company’s name,

home page and Booth Number.