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WHY MATERIAL HANDLING
AND ADC ARE POPULAR
SOLUTIONS TO LABOR
POOL SHORTAGES IN 2015
B Y : A N G E L A C A R V E R
Why are Supply Chain Companies
Implementing New Technologies?
• An extreme labor shortage is being created by the exit of Baby
Boomer retirees totaling 60 million in the next few years. Only 40
million new GenX employees will enter the workforce to replace them.
• Supply chain service providers are motivated by the regional labor
shortages created by this disparity, inciting more significant
investment in material handling and automated data collection
technologies to optimize existing the existing labor pool.
• Demand for these types of technologies is expected to increase by
4% by 2016, furthering the increasing adoption rate of supply chain
technology.
Material Handling Equipment Types
• Warehouses & DCs, 3PLs, manufacturers and retailers are investing
in equipment to increase efficiency of picking and putaway tasks
such as:
• Automated storage and retrieval systems
• Work-cell assembly
• Sortation systems
• Carousels
• Pick-to-light
• Put-to-light
• Conveyors
• All of these systems are designed to reduce “touches” requiredto
process inbound and outbound inventory.
Material Handling Reduces Labor Needs
• Material handling equipment such as automated storage and
retrieval systems helps to eliminate low-thought repetitive functions.
In many cases this allows order fulfillment businesses to eliminate
hard to fill lower-level positions.
• In many cases, these repetitive functions account for a large portion
of labor requirements and associated costs.
• Eliminating these positions also helps businesses to invest more in
mid and high level job openings, attracting and retaining bettertalent.
Material Handling Improves Ergonomics
• Implementing material handling equipment can help supply chain
service providers to eliminate ergonomics and safety issues affecting
their workforce.
• Staff designated to work these machines perform less strenuous
activity such as repeated heavy lifting or travel throughout the facility,
leaving less opportunity for staff to be injured, reducing employee
turnover due to injury and costly worker’s compensation claims.
Material Handling Improves Data
• Material handling equipment is being integrated with warehouse
management software and labor management technology using
high-end product integrations and easy-to-use software interfaces.
• These integrations give users a more accurate real-time viewof
operating conditions so that CSCO’s can make educated business
decisions regarding labor needs.
• Making these adjustments can help reduce wasted labor or react
quickly to labor shortages.
Automated Data Collection Types
• Supply chain operations are also utilizing automated data collection
networks to mobilize the workforce inside and outside of facilities
including:
• Voice picking
• Mobile computers
• Vehicle mounted devices
• Barcode scanners
• RF and RFID
• Wireless networks
• Mobile printers
• These networks provide supply chain and logistics operations with a
single point to access and archive necessary inventorydata.
Automated Data Collection Improves
Ergonomics
• ADC component manufacturers such as Zebra Technologies and
Honeywell have taken feedback from warehouse operators to heart
and have started designing devices that are easier to use in a variety
of operating environments.
• Devices now feature:
• Larger displays
• Larger, wider spaced buttons
• Environmental durability
• Custom interfaces to reduce keystrokes
• Hands-free operation
• Users no longer have to strain their eyes to read displays or spend
minutes, rather than seconds keying in data.
Automated Data Collection Improves
Existing Labor Productivity
• To mitigate existing labor shortages it is critical to make the most of
existing staff.
• By eliminating manual data entry processes and optimizing
automated data collection users can perform more activities in the
same amount of time.
• Solutions such as voice picking further increase productivity by
allowing users to confirm activity verbally leaving their hands freeto
perform other functions.
• If existing staff is more productive, less team members are required
to operate a facility. Eliminating excess positions further closes the
labor gap.
Conclusion
• Warehousing, 3PL, manufacturing and retail operations are doing
everything they can to grow their business and workforce
simultaneously with little success.
• To mitigate labor shortages these businesses are investing in the
workforce as well as the technology to either supplement, replace or
improve it. Material handling and automated data collection
technology can help warehouse staff be more productive while
increasing accuracy, safety and comfort.
• Many businesses will see a reduction in crippling laborshortages
with investment in these types of technology.
Contact Us
800.933.2839 Web chat

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Why Material Handling and ADC are Popular Solutions to Labor Pool Shortages in 2015

  • 1. WHY MATERIAL HANDLING AND ADC ARE POPULAR SOLUTIONS TO LABOR POOL SHORTAGES IN 2015 B Y : A N G E L A C A R V E R
  • 2. Why are Supply Chain Companies Implementing New Technologies? • An extreme labor shortage is being created by the exit of Baby Boomer retirees totaling 60 million in the next few years. Only 40 million new GenX employees will enter the workforce to replace them. • Supply chain service providers are motivated by the regional labor shortages created by this disparity, inciting more significant investment in material handling and automated data collection technologies to optimize existing the existing labor pool. • Demand for these types of technologies is expected to increase by 4% by 2016, furthering the increasing adoption rate of supply chain technology.
  • 3. Material Handling Equipment Types • Warehouses & DCs, 3PLs, manufacturers and retailers are investing in equipment to increase efficiency of picking and putaway tasks such as: • Automated storage and retrieval systems • Work-cell assembly • Sortation systems • Carousels • Pick-to-light • Put-to-light • Conveyors • All of these systems are designed to reduce “touches” requiredto process inbound and outbound inventory.
  • 4. Material Handling Reduces Labor Needs • Material handling equipment such as automated storage and retrieval systems helps to eliminate low-thought repetitive functions. In many cases this allows order fulfillment businesses to eliminate hard to fill lower-level positions. • In many cases, these repetitive functions account for a large portion of labor requirements and associated costs. • Eliminating these positions also helps businesses to invest more in mid and high level job openings, attracting and retaining bettertalent.
  • 5. Material Handling Improves Ergonomics • Implementing material handling equipment can help supply chain service providers to eliminate ergonomics and safety issues affecting their workforce. • Staff designated to work these machines perform less strenuous activity such as repeated heavy lifting or travel throughout the facility, leaving less opportunity for staff to be injured, reducing employee turnover due to injury and costly worker’s compensation claims.
  • 6. Material Handling Improves Data • Material handling equipment is being integrated with warehouse management software and labor management technology using high-end product integrations and easy-to-use software interfaces. • These integrations give users a more accurate real-time viewof operating conditions so that CSCO’s can make educated business decisions regarding labor needs. • Making these adjustments can help reduce wasted labor or react quickly to labor shortages.
  • 7. Automated Data Collection Types • Supply chain operations are also utilizing automated data collection networks to mobilize the workforce inside and outside of facilities including: • Voice picking • Mobile computers • Vehicle mounted devices • Barcode scanners • RF and RFID • Wireless networks • Mobile printers • These networks provide supply chain and logistics operations with a single point to access and archive necessary inventorydata.
  • 8. Automated Data Collection Improves Ergonomics • ADC component manufacturers such as Zebra Technologies and Honeywell have taken feedback from warehouse operators to heart and have started designing devices that are easier to use in a variety of operating environments. • Devices now feature: • Larger displays • Larger, wider spaced buttons • Environmental durability • Custom interfaces to reduce keystrokes • Hands-free operation • Users no longer have to strain their eyes to read displays or spend minutes, rather than seconds keying in data.
  • 9. Automated Data Collection Improves Existing Labor Productivity • To mitigate existing labor shortages it is critical to make the most of existing staff. • By eliminating manual data entry processes and optimizing automated data collection users can perform more activities in the same amount of time. • Solutions such as voice picking further increase productivity by allowing users to confirm activity verbally leaving their hands freeto perform other functions. • If existing staff is more productive, less team members are required to operate a facility. Eliminating excess positions further closes the labor gap.
  • 10. Conclusion • Warehousing, 3PL, manufacturing and retail operations are doing everything they can to grow their business and workforce simultaneously with little success. • To mitigate labor shortages these businesses are investing in the workforce as well as the technology to either supplement, replace or improve it. Material handling and automated data collection technology can help warehouse staff be more productive while increasing accuracy, safety and comfort. • Many businesses will see a reduction in crippling laborshortages with investment in these types of technology.