"Best practices" is a loosely defined term and encompasses the supply chain in addition to layout, equipment, and process. There are a multitude of "best practices" -- cycle time reduction, inventory reduction, increased accuracy, decreased time to market, pull not push, scalability and flexibility, to name some.
Automation usually refers to equipment handling an operation, with no human intervention. Mechanization refers to some human intervention.
1. When Is Automation Appropriate?
Automation is appropriate when items can be processed more effectively by equipment than by people. General characteristics for automation are:
- Medium to high number of orders, activity, SKU and/or storage volume.
- Items that may be automatically identified.
- Items that can be handled by equipment.
- Accuracy and speed are required.
- A large amount of labor is needed to manually process the items.
Data collection, such as package identification, is necessary (hand in hand) for nearly all types of automation. Automation cannot function efficiently without the ability to identify and track items.
2. Are There Rules of Thumb To Automating?
Yes, there are rules of thumb for the application of the various technologies. However, these are rules of thumb and proper analysis must be performed before selecting a technology.
Examples are:
- Breakpack operations are prime candidates for automation. Discrete order pick systems are suitable for low to mid-volume operations. However, in high volume operations, batch picking and sortation to a high number of destinations may be justified. A high speed crossbelt unit sorter is a candidate for a high volume of breakpack items, such as video cassettes, that require accurate sequencing. It is not appropriate for a low volume.
- In breakpack operations where quality is important, pick-to-light systems are justified.
3. How Do Your Company''s Automated Systems Support Best Practices?
There are few instances where a generic system supports best practices in all industries. There are too many unique customer requirements to apply general applications. Siemens products and systems support best practices in a variety of ways. We start with design, examining the supply chain in addition to the more traditional layout and equipment. Siemens products are modular, flexible, and scalable to meet today''s product diversification and SKU proliferation. Several examples are:
- AGVs use a virtual quidepath, which is quickly changed by QCAN software -- flexibility.
- Pick modules can utilize more or less pickers -- scalability for volume.
4. Does a High Level Investment in Automation Hardware Drive the Need for Software?
Yes, a high level of hardware investment will drive the need for sophisticated software. However, the requirement for software is not driven by costly hardware alone. Visualization and information can improve most systems. Experience shows that the necessity for real-time control of automation dictates that the controlling software be purchased as part of an overall integrated package from the material handling equipment supplier. There are many mechanized or low level of automation systems that benefit from best practices by using software: i.e. storage using reach trucks directed by onboard RF terminals is not considered high level investment when compared to ASRS but benefits from WMS and other software.
One can follow best practices without WMS, barcodes, and other technologies. They are, however, necessary to address all aspects of best practices. The technologies allow identification, scheduling, tracking, and other aspects of information flow that permit cycle time reduction, flexibility, and other best practices to be fully implemented. Example: A small manual warehouse that is expandable (scalable) is using best practices without higher level technologies.
5. How Important Is Real-Time in the Automation Industry?
It is very much a key. Without automated data capture, such as item identification and movement tracking, informed decisions cannot be made in a timely manner. Correctly applied, software will synchronize the processes through visualization and management information: i.e., automatic package identification in a flowthrough DC permits quick, accurate tracking and routing on conveyors from receiving to shipping with minimal staff. Result is reduced cycle time while getting the right package to the right location at the right time -- best practices.
6. How Important Are Scalability and Flexibility in Automation?
Flexibility and scalability are needed to adapt to changing business environments while avoiding "white elephants." This should not be limited to product change or SKU proliferation. Scalability is an excellent way to plan for volume growth in the same products. Siemens recently used AGVs rather than conveyor or monorail in a manufacturing environment. This approach provides flexibility to accommodate future plant layout changes.
Right-sizing the automation to fit the specific application, provide the best solution: Right-sizing the automation is necessary since one size typically does not fit all. Users do not want too much or too little automation. For example, a typical DC has slow, medium, and fast movers. A recent application was focused on ASRS but difficult to justify. By keeping high movers in ASRS and moving the remainder to other storage, the automation and level of investment was reduced, permitting the system to be justified.
7. Importance of Integration
Integration is absolutely essential. Integration combines people, process (information and equipment), and facility in a single unified system where all components are linked together. This permits timely, knowledgeable decisions to be made with the most up to date, accurate, and complete information. The result is minimal delays and maximum equipment utilization. Material and information flows between process areas in a smooth and timely manner.
Integration is designed into a system. Equipment, and information flow and requirements between systems (islands) are simultaneously designed for a cost-effective solution, meeting the needs of both.
8. ROI
This is different for each customer. It depends on objectives such as labor elimination, improved accuracy, improved ergonomics, etc.