13 Amazing Logistics Stories
Traditionally, Logistics Management has been defined as an efficient flow and storage of goods from their point of origin to the point of consumption. The process covers a diverse number of functional areas such as transportation, traffic, shipping, storage, receiving and import/export operations. But over the years, Logistics management has become much more – it is now an important way for companies to reduce their costs and to improve their overall customer service.
A recent US study found that logistics costs account for almost 10% of the gross domestic product. Be it national defense, a manufacturing firm, a terrorist outfit, a space project, a courier company – how efficiently logistics are managed can make the difference between success and failure for them. So how exactly has Logistics evolved over the years?
1. Glass Recycling Logistics:
A process as complex as glass recycling (that involves collecting and sorting broken glass pieces of
every conceivable type and color; mixed with metal, ceramic, and other materials) would simply not be doable without detailed attention to the minutest aspect of logistics management. The state of the art glass recycling facility at ‘Visy Recycling Glass’ in Laverton is a classic example of success based on logistics management. It is the only facility of its kind within Australia that allows mixed and broken glass to be sorted into different colors, whilst removing high levels of contamination during the process.
The automated glass facility is fully computerized - each step of the process is accessible and adjustable through a computer monitored system. Using optical sorting, the automated glass facility identifies and separates the different types or colors of glass by taking individual snapshots of each piece of glass at high speed. Air jets are then used to shoot different types of glass into individual color streams.
The cameras used in the automated optical sort can sort up to a million individual pieces of glass per minute and can detect up to 16 million different colors in total.
“The facility was upgraded in 2005 and has driven glass recycling rates from 65,000 tonne to up to 120,000 tonne per annum or just under a 50% improvement in recovery rates since its completion.” (Powder and Bulk blog)
2. Largest Earth Mover in the World:
The bulldozing industry has tried to tackle the creation of a bigger and better earth mover for
decades. But because of the logistical problems inherent in the creating equipment of that size, it could not be done. That is, until the German company, Krupp; overcame the logistical problems to create the largest earth mover in the world.
Specifications: (courtesy American Top Ten blog)
- The mover stands 311 feet tall and 705 feet long.
- It weighs over 45,500 tons
- Cost $100 million to build
- Took 5 years to design and manufacture
- 5 years to assemble.
- Requires 5 people to operate it.
- The Bucket Wheel is over 70 feet in diameter with 20 buckets,each of which can hold over 530 cubic feet of material.
- A 6-foot man can stand up inside one of the buckets.
- It moves on 12 crawlers (each is 12 feet wide, 8′ high and 46 feet long).There are 8 crawlers in front and 4 in back.
- It has a maximum speed of 1 mile in 3 hours (1/3 mile/hour).
- It can remove over 76,455 cubic meters each day.(100,000 large dump trucks at 40yds. each)
3. Wartime Logistics – When Medics Had to Fight:
Military logistics management can spell the difference between defeat and victory for a nation. 
During the counterattack in the spring of 1951 against Chinese forces in Korea, the rapid advance of United Nations forces cut off many enemy units behind their lines. The Medical Company of the 21st Regiment, 24th Infantry Division (68 men), set up its tents near a rice paddy on the night of 26 May. 1LT John Atkins, the company administrative assistant, ordered that the guard be doubled that evening from four to eight personnel due to the rumors of enemy troops. It was a wise precaution. A surprise attack that night meant that some men who had never ever fired a weapon before had to hold their own until daylight – which they did!
“Any unit, CS or CSS, can find itself under attack in the "rear" areas no matter how secure it thinks it is. Sensible guard measures and quick reaction teams to cope with varying levels of threat are critical. If appropriate plans are taken, the mission can continue even during such an attack.” (Fighting Medics)
4. Improvising: Making Do with What You Have:
Here are some amazing pictures of ordinary people finding cost-efficient methods to do what needs to be done. (Warning: Use your discretion while viewing some of these pictures – they may be perceived as offensive by some people – especially by animal lovers/vegetarians.)
(Lords of the logistics – Part I)
(Lords of the logistics – Part II)
Subscribe to the comments for this postPlanning Enables Efficient Handling
By Priya Jestin, Staff Writer
In material handling operations, efficiency plays an extremely important role. Efficient performance of functions helps ensure the success of the manufacturing or distribution industry. One of the biggest challenges material handling companies face today is of ensuring quality service at the lowest cost possible. As customers become more market savvy, they demand more services and stiff competition means more and more cost cutting.
This means to survive, a company must be able to do a successful balancing act. Agreed, increasing services while decreasing costs may sound contradictory, but it can be done… and profitably at that. For instance, there are quite a few companies that use computer aided design and computer simulation in planning material handling operations. This helps to minimize the number of handlings, and reduce distances that materials need to be moved. It also facilitates movement to increase speed, prevent damage and reduce labor. To put it simply, CAD makes it feasible to design and view possibilities that would have been too time consuming to draw by hand, permitting more thorough analysis.
Forklift Truck Logic To Material Handling
By Priya Jestin, Staff Writer
The material handling industry is no stranger to the fact that it is important to keep a close eye on dynamics such as customer demand, inventory supply, and customer satisfaction. These factors are very important in ensuring that operations remain strong.
One of the most effective ways for delivering operations savings is customized solutions. If you can customize an operational solution to your workflow, it improves efficiency, increases productivity, and makes your operations safer. This ultimately leads to more profits, which is what every business depends on.
By customized material handling, what we mean is that every machine you use in your operations is designed around the product and operations. So, for instance, if you use a forklift truck for your operations, it is not enough to have the right truck. You must also ensure that your truck is part of an overall customized solution. This means, you must have an idea of what you are handling and get a good grasp of your needs and potential problems.
New range of forklift trucks from Toyota Material Handling launched
Toyota material handling has recently launched its new 8-Series forklift truck range. The launch was made at several functions around the country. The launch was very well attended and meant that there is a lot of interest around the product range. The level of enquiries that the company received was phenomenal and Toyota material handling is understandably quite pleased with this development.
Toyota’s Kaizen philosophy has led to the development of the new range that has a lot of promise. In fact the philosophy of continual improvement even in an industry like material handling with huge R&D budgets seems to have paid off. They first create high bench marks and then try to supercede it. This they call raising their QDR (quality, durability and reliability) levels. It may be noted that Toyota has one of the world’s strict quality control regimes and the product delivered symbolizes it aptly! Ferret reports:
The Toyota 8-Series improvements over the superseded 7-Series begin with its increased ease of use. Safety features of the Toyota 8-Series range include Toyota’s System of Active Stability (SAS) and Operator Presence Sensing (OPS) as standard equipment."
Global Material Handling Product Market growing steadily!
Freedonia Group Inc recently released the results of a study done recently. The study indicated that by 2010, the material handling industry would have grown to $117 billion. Industry gurus have predicted that the market will continue to grow at the rate of 4.5% per annum. This growth is being anticipated keeping in mind the increasing needs of developing countries in the area of global material handling.
China and India are expected to show the largest increases. Western Europe and Japan will contribute to this trend by placing renewed demand. Growth in the segment is also expected due to the increasing needs of the US. Best gains are expected to come from automated material handling products such as robots and automated guided vehicles. Industry Week reports:
The U.S., Japan and Germany are the world’s largest producers of material handling products. Germany and Japan are the major net exporters, although China and South Korea are expected to become increasingly important global suppliers.
Harness Technology to Improve Warehouse Management
– By Pushpa Sathish, Staff Writer
Technology is playing a lead role in improving efficiency at warehouses, according to The Warehouse Productivity Benchmark Report compiled by the Aberdeen Group after a survey of 180 warehouse managers. The companies with best warehouse management practices were those who were able to cut logistics costs, enhance productivity and reduce cycle times. How were they able to achieve these objectives? By harnessing the right technology, of course!
Research analyst at Aberdeen, Jeff O’Neill, says that the differentiating factors between the success stories and the also-rans are RFID support systems, warehouse management systems, warehouse invisibility infrastructures that permit information sharing across the enterprise, and the ability of employees to be well-versed in various tasks.
The report revealed that 60 percent of those surveyed had not been able to cut down on costs, while 56 percent struggled to reduce order fulfillment times.
Mobile RFID Adds Efficiency to Warehouse Operations
– By Pushpa Sathish, Staff Writer
Mobile RFID is adding to the improvement and efficiency in warehouses and factories. Justin Hotard, director of product management for Symbol Technologies, says that with customers demanding more productivity and visibility, RFID readers on lift trucks and stretchwrap systems are being used to improve processes.
RFID readers on lift trucks allow users to read tags and capture information wherever the truck travels. Stretchwrap systems with the readers mounted on the stretch wrap masts allow distributors and manufacturers to check loads as they rotate on turntables. Anomalies can be rectified before the pallets are docked.
Oracle and the Supply Chain
Oracle is consolidating the step it took into the supply chain industry with the purchase of G-Log last year, by working on a manufacturing execution system (MES). The company announced this new offering for manufacturers at the OpenWorld User Conference held a month ago. The solution will aid in the collection of data for and the supervision of the shop floor, besides providing tools to help plan networks as and when customers leave and join the supply chain. MMH reports:
“We can honestly claim our planning is best in class,” says Oracle’s vice president of supply chain strategy, Jonathan Chorley. “Our transportation solution is best in class. Our WMS may not meet everyone’s needs, but it offers robust functionality for many people. Knit them together and you get the synergies and scale advantage of working with a best-in-class enterprise resource planning (ERP) provider like Oracle.”
Pros of Proper Material Handling
– By Pushpa Sathish, Staff Writer
Proper handling and management of materials in any organization can return more than the desired benefits:
- Maintaining proper inventory policies can help reduce costs associated with holding and wastage.
- A place for everything and everything in its place – this mantra works well for a safe and neat working area, especially when hazardous or expensive materials are handled.
- Training staff and employees to handle materials the right way enhances their efficiency and reduces time spent in hunting for things.
- A direct result of the above point is improved customer service and satisfaction.
- And from the previous point, it follows that the profitability of a company rises as does its corporate image.
European Pallet Maker Tests N.American Waters
– By Pushpa Sathish, Staff Writer
European pallet manufacturer Craemer and Canada-based plastic products producer Granville Composite Products Corporation have tied up to make the former’s products available in North America. The two companies exhibited their new pallet program at the Pack Expo Show held last week in Chicago. Craemer, which holds the distinction of being the first company to manufacure plastic pallets molded in a single shot, also sells pallets equipped with RFID transponders. MMH Online reports:
“After nearly a century of success in Europe, we see a huge market potential for our company in the United States and Canada especially with the final phase of the USDA’s wood packaging material regulation now in effect,” said Craemer’s Export Area Manager Alexander Korell. “The time is right for many North American companies to consider using plastic pallets, and we feel confident that our partnership with Granville will enable us be an immediate and legitimate contender for their business.”