© 2014 MHI® Copyright claimed as to audiovisual works of seminar sessions and sound recordings of seminar sessions. All rights reserved. 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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© 2014 MHI®
Copyright claimed as to audiovisual works of seminar sessions and
sound recordings of seminar sessions. All rights reserved.
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
NOTE: The use of
the following opening
title slide is
MANDATORY in
each PowerPoint
presentation for in-
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post-show on-
demand web
viewing. Please
include seminar title,
sponsor logo and
speaker names/titles.
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
speaker’s email address/home page, the Exhibiting Member Company’s name,
home page and Booth Number.
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
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.
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