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Presented By: Jeff Hedges OPEX Material Handling President Bob Trebilcock Peerless Media Editorial Director, Supply Chain Management Review Executive Editor, Modern Materials Handling Automation: After-Sale Service & Support It’s Complicated © 2016 MHI® Copyright claimed for audiovisual works and sound recordings of seminar sessions. All rights reserved.
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Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Sep 18, 2020

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Page 1: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Presented By:

Jeff Hedges – OPEX Material Handling President

Bob Trebilcock – Peerless Media Editorial Director, Supply Chain Management Review

Executive Editor, Modern Materials Handling

Automation: After-Sale Service & Support

– It’s Complicated

© 2016 MHI® Copyright claimed for audiovisual works and sound recordings of seminar sessions. All rights reserved.

Page 2: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

What is MRO and Why do You

Need It?

Jeff Hedges

Page 3: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

MRO: What is it and Why do you Need It?

• MRO – Maintenance, Repair & Operations

• Why is MRO becoming so important? – Costs budgeting

– Equipment efficiency

– Planning for service/preventative maintenance

– Planning and budgeting more difficult today

Manage Repair Operations

Software Equipment Training

Parts Planning Components Production

Preventative Service Fix Throughput

Costs Troubleshoot Monitor

Response

Page 4: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

What Your Mother Didn’t Tell You

• MRO: Hidden Costs – Parts planning

– Planned service/maintenance/upgrade

(both HW & SW)

– Discontinued items/support

– Unplanned down time

– Preventative Maintenance

– 800# support

– Remote monitoring

– Costs of downtime - Troubleshooting

– Fix/repair

– Software: version/upgrades/training

$

Page 5: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

What Do We Know or What Are We

Finding Out From the Research

Bob Trebilcock

Page 6: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Introduction & Methodology

7

Background

This study was conducted by Peerless Research Group on behalf of Modern Materials Handling to better understand how organizations are maintaining and servicing their automated systems

Objectives

Specifically, the study is designed to examine the following areas:

Sources companies are using to maintain their automated systems

Factors considered important when considering maintenance and service partners

Maintenance company’s service offerings considered important

Difficulties in maintaining today’s automated systems

How companies are finding qualified technicians

Survey Methodology

Sample: Subscribers to Modern Materials Handling

Method: E-mail

Field: January/February, 2015

Respondent qualifications:

– Being involved in decisions relates to the maintenance of automated systems in their warehouses/DCs

Response: 105 materials handling professionals were interviewed

Page 7: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Demographics Who We Surveyed

8

Top Job Titles & Functions %

Corporate Management (President, CEO, GM, VP, etc.)

26%

Plant Management (Operations, Plant, Production, Maintenance, etc.)

23%

Distribution Center/Warehouse Director/Manager

13%

Industrial Engineer 12%

Material Handling Director/Manager

10%

Industry %

Manufacturing (Automotives, Computers, Food & Beverage, Metals, Industrial Machinery, etc.)

66%

Non-manufacturing (Warehousing services, Retail, etc.

33%

2014 Revenues %

Less than $100M 44%

$100M - $500M 14%

$500M - $1B 16%

$1B or more 26%

Page 8: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Which best describes the level of automation in

your warehouse/DC?

9

Page 9: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

What problems do you typically encounter with your

automated systems that involve maintenance?

10

Belts -- torn or worn

System, conveyor jams

Photo eye alignment

Connectivity and compatibility

Understanding automated principles

Parts: Having the right parts when needed/Having spare parts on hand

Staffing: Trained and dependable

Lack of downtime for PMs

Inability to schedule servicing

No backup for system failures

Page 10: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

How are you Currently handling your maintenance of automated systems? Why?

Regardless of whom you use to maintain your systems, what would be your

preference for maintaining your automated systems in your warehouse/DC?

11

“It depends on the level of complexity... Robotics/PLC we prefer to outsource, conveyor issues we take care of ourselves.”

“I think companies that specialize in these systems have better training, the proper tools, and more experience with what can go wrong, and how to fix.”

“Better Control, cost and responsiveness!”

“We have the personnel trained and at hand for this work.”

Page 11: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

What tasks are you having your outsourcing

partner perform?

12

Page 12: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Which of the following are most important when

evaluating maintenance and service partners?

13

83%

Page 13: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

How important is it that a maintenance service

company provides…

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Page 14: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

How do you obtain/access spare parts?

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Page 15: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Please indicate your level of agreement with

each of the following statements

41%

37%

21%

19%

Neither agree nor disagree

Completely Agree/Agree

Disagree/Completely disagree

38%

44%

16

Automated materials handling systems

continue to become harder to maintain

E-commerce business is driving our MRO

requirements

Agree Disgree

Page 16: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

How difficult would you say it is to find technicians qualified to

maintain complex systems?

Where do you currently find

technicians?

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Page 17: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Please indicate your level of agreement with each

of the following statements.

58%

20%

12%

38%

Neither agree nor disagree

Completely Agree/Agree

Disagree/Completely disagree

42%

30%

Disagree

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We have a difficult time finding the technical skills needed to maintain

our systems

We would like to have technician from a 3rd party provider to be resident at our facility

Agree

Page 18: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Do you have a formal training program for technicians who work

on your systems?

Would like to see a national

certification for supply chain

technicians who are trained to

maintain automated systems?

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Page 19: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Do you have a maintenance service contract with

a vendor?

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Page 20: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Moving Forward MRO Options

Page 21: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Your Options

• Contract Services

– On-Call

• What you get

– On-Site

• What you get

– Self-maintenance

• What you get/need to do

(long list of options)

• Custom

• All Inclusive

Page 22: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

Your Options

• Contract Services

– On-Call

• What you get

– On-Site

• What you get

– Self-maintenance

• What you get/ need to do

(long list of options)

• Custom

• All Inclusive

Page 23: Automation: After-Sale Service & Supportcdn.modexshow.com/seminars/assets-2016/1050.pdf · Corporate Management (President, CEO, GM, VP, etc.) 26% Plant Management (Operations, Plant,

For More Information:

Jeff Hedges: [email protected]

Website: www.opex.com

Or Visit MODEX 2015 Booth #4947

Bob Trebilcock: [email protected]

Website: www.scmr.com

Or Visit MODEX 2016 Booth #2755