Modern Logistics Warehouse 2010, which took place during Jun 30th - Jul 1st, 2010 at Workpoint Entertainment Studio in Patumthani province, was the first exhibition of its kind that was held in Thailand. This warehouse exhibition concept followed similar warehouse expos that were also undertaken in Singapore and Malaysia with similar partners

Logistics Digest met Mr. Brian G. Miles, Managing Director of APAC/Middle East, Schaefer Systems International Pte Ltd., who explained what entrepreneurs could get from this warehouse exhibition, what good warehouse management should include and how technology could improve warehouse management.

Possibility of another similar exhibition in future
Although this was the first such warehouse exhibition in Thailand, the feedback was great. Mr. Miles said  “To make the expo as interesting as possible, we decided to try to invite a wide range of partners from the industry, all with complimenting interests. As the concept was new some companies declined to attended, but now hopefully having seen the visitors response, we will be able to attract more partners to exhibit at the next show.”

There is a chance that this exhibition could be held next year?. “We could possibly do it again in two-three years, but it really depends on both market demand and the introduction of new systems and products as I don’t think we could simply repeat the same exhibits,” he added.

First chance to see the machines in action
The key objective of the expo was to make it as dynamic as possible , simulating real warehouse operations. In a normal expo it is not permitted to drive material handling equipment for safety reasons, at this expo visitors were able to see how a double deep fork lift worked, to see the new Schaefer Orbiter System and appreciate the advantages, for high density storage. Few visitors would previously have had the opportunity to see either flow racks or push back racks in operation.

Another original feature of this expo was the public presentations held 3 times each day, where representatives of each company gave a 5 minutes presentation on their company’s products and activities

The expo gave the exhibitors the opportunity to introduce new technology and systems ,another feature which proved very popular was  a separate presentation room which Schaefer ,Crown Trucks, and  Beumer used for 30 minute  product specific presentations

By bringing together 11 companies , it offered a unique opportunity for visitors employed in the Logistic Industry to attend a specialized exhibition, to network and discuss specific applications outside of a public exhibition, where exhibits tend to be smaller and the atmosphere is not so conductive to talk with to prospective suppliers.. Mr. Miles said he was very pleased with the feedback so far as there were about 250 visitors on the first day of the event, he add “ The problem with public exhibitions they are very static, the  visitors like to see movement on an exhibit, which is what we have been able to achieve with this mini expo

Focus is on more effective warehouse management
The key factors for SSI Schaefer are focusing on how to develop optimum storage and materials handling systems to increase warehouse efficiency, by improving the productivity and accuracy of each operative, so that companies can meet higher KPI without adding extra staff.

Mr. Miles explained: “Application of Supply Chain Best Practices, places far more demand on the warehouse operation, customers expect higher levels of service, whilst pressure will always remain on cost, we believe that adoption of Integrated Storage Solutions will help our customers meet their clients need.”

Greater accuracy can cut costs iPick cuts down on mistakes

“All customers are looking to staff to achieve  their KPI, we are introducing system which will achieve and even exceed existing KPI, and of course there is always the pressure to reduce cost. To bring down the costs, they need to improve their efficiency and services. Therefore what they’re looking for is to increase productivity and picking accuracy.” Mr. Miles said, as he explained the most important issues in warehouse management. He also revealed that SSI Schaefer Europe office had over the past 10 years heavily invested in automated and goods to man case and piece picking systems. One of these developments was the I-Pick System which is a simple modular pick to light system which can be retro fitted to any rack or shelving system with out requiring expensive soft ware program.

“The system is extremely user friendly and can be interface with virtually any proprietary in house soft ware program, one unit can service up 300 pick faces,. Pick to light can help to double the picks per person per hour and greatly assist picking accuracy.”

The Schaefer Orbiter System, a Totally new concept in High Density Storage
Aside from the iPick, the “Schaefer Orbiter System” was introduced towards the end of 2009. Mr. Miles said: “The whole idea was created because we wanted to improve our satellite system; all systems currently markets rely on battery power. Working with batteries, there’s always a problem with their life cycle. Batteries would run out and needed regular recharging every 6-7 hours. Using similar technology as used in Automated system, we have designed a system that runs off a direct power supply using a storage cell known as a power cap

When the Orbiter enters the docking station,(another new patented concept by Schaefer),it  receives a quick charge of power which is adequate to run the orbiter up to 35m with a 1000kg load and return back to the docking station.
Using 3 phase power supply, via the docking station the Orbiter travels 20% faster than battery operated models, it can work 24/7 with no need to change batteries, it is also Cold store protected, so can be use in temperature down to -30c . This system is suitable for products stored in high volumes, and proves to be a viable alternative to Drive In and Flow rack solutions, typical user would be in the  beverage and manufacturing industry

Knowing the best solution for customers
Unfortunately a lot of entrepreneurs buy sophisticated Automated systems, without thoroughly establishing their scope of works, planning for long term growth or changes in customer demands. Before Integrated Storage or Automated systems can be designed it is necessary to undertake detailed Data Analysis of stock movements over a 3-4 month period which should cover at least one peak period.

Once the number crunching is complete, then conceptual planning of the proposed system can begin. Recognizing this need Schaefer has now established a Planning Department at their Regional HQ in Singapore, where they can offer customers this service. The planning will include estimates on the Return Of Investment (ROI) to justify the investment. Whilst this will involve the collecting of critical data, it will ensure the customer is investing in a system tailored designed to suit their requirement with scope for future expansion as the business grows..

Thailand needs to improve worker skills
Since Asia is playing a greater role in the world economy, Thailand must improve its logistics to be more competitive. Mr. Miles, who has lived in Asia for many years, said: “Thailand was one of the first countries in SE Asia to open its markets to International 3PL operators, it has a very active Retail Market for FMCG products. Schaefer has worked very closely with a number of these International as well as Domestic based operators, installing a variety of different storage systems. Initially attracted by the low labour cost, companies are now finding that they need to increase their operatives productivity, with the implementation of higher tech storage solution, to meet market demand.”

However, in the world market Asia is considered a place where some labor costs are still low. In the future Thailand may not be able to compete with low-cost countries like China, Vietnam or India because it will not remain being a low-cost country. Instead, Thailand must improve its workers skills to be able to compete with the rest of the world. “For Thailand to remain competitive, to attract Foreign Investment it is important that companies upgrade the skills of their employees, and start to introduce some degree of automation to the warehouse, to improve productivity.,” said Mr. Miles.