The Benefits of ASRS for Warehouse

Automation
Presented by:
Automatic Storage Retrieval System
Industry Group
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Presenters

Brad Moore
Andy Lockhart
Vice President of
VP Sales, integrated
Sales
Systems
viastore SYSTEMS
TGW Systems Inc.
Inc.

Kenneth Ruehrdanz
Marketing Manager
Dematic

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Who we are

• Leading automated storage/retrieval systems

suppliers
• Mission: To deliver remarkable value to our members,
channel partners, industry associates and end users, by
creating the awareness and market growth of Automated
Storage and Retrieval Systems (AS/RS) technologies

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EquipmentManufacturers/Suppliers Component Suppliers

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The Benefits of ASRS for Warehouse
Automation
Automated storage and retrieval systems (ASRS) enable warehouse
operations to be efficient and productive while reducing operating costs. See
how an automated storage solution can be the most effective method of
buffering, sequencing and storing inventory in your operation.

Key Takeaways
• Understand the many ways an ASRS can optimize your operation
• See examples of how ASRS is being applied today
• Review the compelling business benefits realized with ASRS

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Agenda

• Process Improvement
• Benefits
• ASRS applications

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Process Improvement

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X = Industry Pressures

• Reduced order processing time

• Optimize: inventory, labor, equipment
• Reduce # touches
• Continuous flow of material
• Access to data for reporting throughout enterprise
• Cost per piece, case, pallet

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Issues

Space Labor, Ergonomics SKU Growth

Throughput Access
Accuracy & Processing Time

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Your Business Model
Examples:
 Accommodate more SKUs than competitors
 Extend order cut off time
 Promotional/seasonal peaks

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Process Improvement: Production

• Inbound
• Materials storage
• Kitting
• Work in process buffer
• Finished goods storage
• Outbound staging

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Process Improvement: Distribution

• Receiving
• Storage
• Replenishment
• Order fulfillment
• Order consolidation
• Palletizing
• Outbound staging

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Benefits of ASRS

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Control
Feature
Strategic material flow
Software directed
Improved inventory control
Controlled access to inventory
Inventory accuracy
FIFO, LIFO, FEFO rotation
Efficient storage location logic
Benefit
Process improvement
Productivity, real time control
Precise item tracking; omit “lost” items
Accommodate sensitive SKU’s, omit theft
Improved order accuracy
Assure use of appropriate inventory
Optimized put-away & retrieval
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Space
Feature Benefits
 Compact system footprint  Reduced building & land cost
 High density  More storage in less space
 Temperature controlled apps  Less energy costs

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Labor
Feature
 No staff in ASRS
 Goods-to-person
 Reduced product damage
 Fewer manual fork trucks
 Contain manual fork trucks
Benefits
 Less labor to operate
 Omit travel time
 Lower costs
 Safer, omit damage to rack, facility &
product
 Manual fork trucks omitted from intra-
facility tasks

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Example: Temperature Controlled Environment

 Control: accuracy, optimized put-away, tracking

 Space: energy cost
 Labor: harsh environment

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Types of ASRS

Cube Storage Shuttles

Vertical Carousels Horizontal

Carousels

Miniload Crane Pallet Crane

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ASRS Applications

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Data Analysis

Inventory profile
 Review year to see if mix changes
 Check days on hand
Order profile
 Determine activity & need to access
“A’s, B’s” & “C’s” daily, weekly,
monthly
Labor breakdown
 Where is labor used?
 Determine time spent on picking &
replenishment

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Activity Profiling
The systematic analysis of the items & orders handled in the DC
determines the optimum design & operation
1. Total SKU’s
2. % daily SKU’s active
3. Orders per day
4. Daily unit volume
5. Units per order
6. Lines per order
7. Packing sequence
8. Unit cube & cube movement
9. Unit structure
10.Cartons per order
11.Order download  Review historical data
12.% volume cross-docked  Forecast future activity

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 0%
20%
40%
60%
80%
100%
120%
1
201
401
601
801
1001
1201
1401

A - 5%
1601
1801
2001

B - 6%
2201
2401
2601
2801
3001
3201
3401
3601
3801
4001
4201
4401
4601
4801
5001
5201

22
SKU
5401
5601
5801
Labor(activity) & Storage requirements

6001
6201
C

6401
6601
89%

6801
7001
7201
7401
7601
7801
8001
8201
8401
8601
8801
9001
9201
9401
9601
9801
10001
10201
10401
10601
10801
11001
11201
11401
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Inventory Storage
Totes, cases, pallets

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WIP Buffer ASRS

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Finished Product Storage

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ASRS with Goods-to-Person
(SKUs to Picker)

1. Travel time
2. Omit pick face
3. Omit re-slot
4. Accurate
5. Less space
6. Security
7. Optimized replenishment
8. Ergonomic
9. Engineered work stations
10.Speed
11.Productivity
12.Less labor
13.Staff accordingly
14.Sequencing
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Store in Tote
 Automated storage
 Put-away, de-cant
 Inventory buffer
 Put to order workstations
 Pack & ship

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Workstation
Decant:
 Unload product
 Items to totes
 Totes to storage

Order picking;
 Donor tote on conveyor
 Pick from donor tote
 Put to shipping container

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Kitting, Spare Parts, Documents
ASRS, bins
 Manufacturing
 Airplane & vehicle parts support
 Maintenance & repair operations
 University libraries

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Auto Replenishment
Two Aisle Configuration

Tote – ASRS
 Store & replenish by tote or case
 Single or multiple SKUs per container
 Pick from sides

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Auto Replenishment
Case Pick to Conveyor

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Case Pick to Conveyor
Light Directed

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ASRS Palletizing Engine

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Mini-load ASRS
Hybrid System

 Low velocity SKUs in

ASRS
 Goods-to-person
picking
 Zone route conveyor
for high velocity SKUs

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 Business Case for ASRS
Feature
 Load sequencing engine
 Strategic inventory management
 Software directed
Control
 Improved inventory control
 Controlled access to inventory
 Inventory accuracy
 FIFO, LIFO, FEFO rotation
 Efficient storage location logic
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Benefit
 Supports picking, kitting, palletizing,
buffering, storage
 Process improvement
 Productivity, real time control
 Precise item tracking; omit “lost”
items
 Omit potential of theft
 Improved order accuracy
 Assure use of appropriate inventory
 Optimized put-away & retrieval
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 Business Case for ASRS
Feature Benefit
 Compact system footprint  Reduced building & land cost
Space

 High density  More storage in less space

 Temperature controlled apps  Less energy costs

 No staff in ASRS  Less labor to operate

Labor

 Reduced product damage  Lower costs

 Fewer manual fork trucks  Safer, omit damage to rack, facility,
 Contain manual fork trucks & product
 Manual fork trucks omitted from
intra-facility tasks

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For More Information

Speaker email: Andy.lockhart@tgw-group.com.com

Website: www.tgw-group.com

Speaker #2 email: kenneth.ruehrdanz@dematic.com

website: www.dematic.com

Speaker #2 email: B.Moore@viastore.com

website: www.viastore.com

Visit the MHI Industry Booth #S3354 for more information

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