1 Latest Technology Advances in the Distribution Center Copyright 2016 Tompkins International. All Rights Reserved
Contents 2 Latest Technology Advances In The Distribution Center August 30, 2016 Overview - 3 The Evolution Of e To D - 4 The Impact Of Digital Commerce On WMS - 5 Labor Management - 6 Warehouse Execution Systems (WES) - 7 Technology In The Cloud - 10 IoT And Analytics - 13 Final Thoughts And Questions - 15 Get In Touch - 16 Session Survey - 17 Copyright 2016 Tompkins International. All Rights Reserved
Overview 3 The Digital Transformation of retail, logistics, store fulfillment, personalization, and customer demand for speed and selection are transforming the world of Warehouse Management Systems (WMS) and Warehouse Control & Execution Systems (WCS-WES). These challenges are expanding the requirements of supply chain execution systems and driving new features within virtually all supply chain applications. This presentation highlights the transformative impact of the growing Digital Trends on the supply chain and how Supply Chain is being positioned to play a critical role in driving profitable growth in the coming years.
The Evolution Of e To D 4 e Linear Processes and Information Flows: Measurable time lags between processes and flows e Enterprise Initial Transaction Upstream Process #1 Upstream Process #2 Upstream Process #n D - Hyper Connected Processes and Information Flows Minimal/no gaps between processes and flows
The Impact Of Digital Commerce On WMS 5 Where the impacts seen most - Integration - What does it mean? Multi-application integration True Single Platform What s the Difference Convergence Order Management Orchestration & Warehouse Management Warehouse Management & Warehouse Execution-Controls Cloud Based Deployment Offerings Cloud based Warehouse Management is accepted and growing Warehouse Management is typically not the first attempt at a hosted solution
Labor Management 6 Business continues to demand improvements in labor efficiencies and reporting details» Temporary and flex time labor is the new normal» Peak season scale is growing with e-commerce volume» Standards are largely not being maintained The impacts to LMS» All-more DC tasks are being put on standard» Need for accurate labor forecasting requires discrete standard data» Money is left on the table by not updating or tightening standards The costs for engineered standards are going down» Training floor management and leads to develop/maintain standards» Leveraging open source software and low cost mobile computing (tablets & GoPro cameras)» Hybrid approach to LMS leverages professional serves to train client staff using modern, user-friendly engineering tools
Warehouse Execution Systems (WES) 7 Warehouse Execution Systems work to improve the overall efficiency of an automated distribution center by wrapping intelligence around traditional WCS functions. WMS Core WCS functionality Advanced optimization, management, and automation capabilities Integration with WMS and automated subsystems Unit Sorter PLC Goods To Person Pick / Put To Light
WMS / WES Blurred Lines 8 Warehouse Execution Systems are filling gaps in WMS and WCS technology. Traditional WMS functionality can be found in the WES, with the WES utilizing feedback from the automation to make decisions. Task Management Organizing work tasks Wave-less Batching Prioritization Workload balancing Dynamic zones for picking and packing Task Execution Automated release of work Dynamic assignment of tasks Warehouse Execution Systems can be a cost-effective alternative to expensive WMS upgrades or a means of supplementing a legacy system with new functionality.
WES Advantages 9 Warehouse Execution Systems are specifically designed to optimize workflow in an automated DC environment, where integration with MHE systems allows for dynamic decision making. WES can be employed to: Balance and optimize the utilization of people and equipment in an automated DC environment Increase overall facility productivity Provide real-time visibility into all warehouse automation Change and manage workflow in near real time Provide a single point of integration for all warehouse automation Improve labor productivity Real-time visibility to automation: ability to both Monitor and React.
Technology In The Cloud 10 Steady Movement Toward SaaS Environments Rapid deployment Continuous integration - Limited impact of upgrades Scalability Support for limited client specific modifications Big data and deep analytics Opportunity to store multiple years of data generated by WMS/WES/Automation Analysis of large data sets in distributed cloud architectures Forecasting and insights within a facility and across facilities in the supply chain Customized data views and reporting available from anywhere
Technology In The Cloud 11 Cloud Concerns Performance Focus on Service! 100% Cloud hosted systems require reliable, low latency connections with the DC for automated task execution Random latencies and quality of service, not bandwidth, are leading network concerns System interfaces and the triggers for information exchange can be designed to mitigate issues with network latency by avoiding time critical transactions Focus on level of service! Security Must be accounted for! Increase in cloud based technology means less direct control over IT infrastructure Identity and Access Management is necessary to ensure security of resources and data
Technology In The Cloud 12 Cloud vs. On Premise Hybrid Solutions - when real time interfaces are required between task execution and sortation systems and on premise automation, critical components can be located on site while non-real time business logic and reporting can be cloud based When network quality of service is a real concern, the WES can be located on premise to: Provide a buffer of work to minimize operational downtime caused by network outages Ensure timely transactions with automation
IoT And Analytics 13 Warehouse technology has access to an extensive amount of data points that can be analyzed to produce valuable insights most of which is frequently not being harnessed. Gaining insight from WMS, WES, and MHE systems starts with data collection WMS/WES data collection topics Wave/Batch/Order data Task execution details MHE data collection topics Sensor and motor data from PLC s Power consumption and temperature from motor control panels Networkable sensors added to devices
IoT And Analytics 14 Uses for data Forecast bottlenecks in automation Forecast bottlenecks in operational processes Forecasted staffing levels required to meet shipping deadlines Alert operations to impending issues so that corrective action can be taken before the issue manifests Forecast equipment issues before they happen Measure system throughput Manage equipment maintenance
Final Thoughts 15 Manage the big picture first. Heat Maps System Prioritization Stay Ahead Anticipate Digital Demands Placed on Your Systems Understand the current-evolving features in the vendor landscape Plan For Emerging Technology Where do the opportunities exist to leverage A single execution system platform on streamlined integration strategy Upgrades or selections for new systems to support o o o Warehouse Management Warehouse Controls-Execution Internet of Things (IoT)
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