John Johnson joined the DC Velocity team in March 2004. A veteran business journalist, John has over a dozen years of experience covering the supply chain field, including time as chief editor of Warehousing Management. In addition, he has covered the venture capital community and previously was a sports reporter covering professional and collegiate sports in the Boston area. John served as senior editor and chief editor of DC Velocity until April 2008.
Life can be tough for lift truck drivers. Vehicles tip over and tumble off docks. Loads topple. Operators risk electrical shock from contact with overhead electric cables as well as exposure to hazardous chemicals, fumes and acid spills (when changing batteries). Many suffer hearing damage because of workplace noise.
The industry's safety record reflects these hazards: According to Toyota Material Handling, more than 68,000 lift truck accidents occur in North America each year. Some of those are fatal. In 1996 and 1997 alone, for example, 225 workers were killed in forklift incidents.
Then there are the ergonomic hazards - all too often, drivers suffer injuries that develop over time due to cumulative exposure to working conditions that tax the human body's capabilities: Trauma disorders to hands and arms from overexerti on when steering; low-back pain caused by prolonged seating in an awkward posture and an ergonomically inadequate seat. Neck pain from awkward positions assumed during reverse driving and from transporting loads that partially obstruct the operator's field of vision. Combine that with spine-jarring bumps every time an operator drives over a dock plate, awkward mounting and dismounting practices, and the potential for slips, and it becomes clear that lift-truck driving is risky business.
But a distribution center doesn't have to be a dangerous place. Beating out 7,300 eligible companies last year, Murphy Warehouse Co., a Minneapolis-based third-party provider, earned a Preferred Partner award from its workers' compensation insurance carrier. What's notable here is that Murphy Warehouse wasn't competing against other warehouses for that distinction. Most of its competitors came from the far less risk-prone office setting.
As for Murphy Warehouse's success, it doesn't hurt that the company takes a strong position on rules enforcement and training. "We enforce all the rules as far as seatbelt use, being tethered on the machine and driving in a safe and efficient manner," says company president Richard T. Murphy. "We take a very stiff stance on it, but it pays off. Though we're up to 20 lift truck machines and three buildings, we've had no serious fork-truck accidents." The company also hires a physical therapist to show operators how best to mount and dismount from the machines.
But a big part of the success story is the equipment the company uses. Murphy has invested in the latest in shock absorbers and ergonomic seats for its fleet of Yale and Hyster trucks. "Drivers used to experience a constant jarring on their backs when they drove over dock plates or rail plates," says Murphy, "but these new absorbers take out 50 to 75 percent of the shock they used to get. That helped tremendously, especially with heavier loads like paper rolls."
Though Murphy acknowledges that productivity will always be a consideration when selecting lift trucks, he's also concerned about his drivers' well-being." Primarily we want to make sure [drivers stay] healthy for the long term ," he says ."We generally keep people for their career after they get through the first couple years because once they are trained, we don't want to lose them . So our program is not focused so much on productivity as it is on safety and health."
Fork in the road
That represents something of a sea change for the industry. "Ten years ago, DC managers looked for the most costeffective product," says Brett Wood,national product development, strategic planning and marketing services manager for Toyota Material Handling, U.S.A., Inc., "but now we hear them saying things like, 'I need a [vehicle] that will be comfortable and safe to operate.'"What's more,they're willing to pay for comfort and safety, he says, citing focus groups and surveys that Toyota conducts frequently."We've seen plant managers show more concern about the operator than ever before, which is wonderful."
It pays off, too. "A comfortable operator is a productive operator,"Wood adds."If they are comfortable eight hours a day on that forklift, they'll be more productive, and that's the name of the game."
Bruce Mantz agrees that there's a direct correlation between driver comfort and productivity. "We have very precise cutoffs for orders and very precise expectations from our customers, so it's very important we give people the right equipment so they can get the job done," says Mantz, director of operations for third-party provider Automated Distribution Systems, which deploys a fleet of lift trucks from Atlet and Raymond Corp.
"I don't want to see 95-percent efficiency during the first four hours, then see that drop down to 75 percent over their last four hours," Mantz says . "We run a very high-volume, high-accuracy operation, and in order for us to get there, we need to give our drivers quality equipment. If we didn't pay attention to ergonomics, we wouldn't be getting the productivity levels we're getting now."
Preferred seating
What ergonomic features do today's trucks offer? Though lift trucks may not be equipped with side air bags yet , the ergonomic features touted by manufacturers will be familiar to anyone who drives a car (or reads the ads): enhanced shocks,seating improvements,steering wheels with memory tilt steering, plush floor mats to reduce noise and vibration, non-slip skid mats and even strategically placed cup holders.
For example, Swedish manufacturer Atlet recently introduced a stand-on stacker truck named "Ergo" for its numerous ergonomic features. Ergo's armrest and control panel are vertically adjustable, as is the steering wheel, which can also be adjusted laterally. Servo steering is standard, enhancing control and maneuverability in tight spaces. The mast lift and lower function is also servo-assisted to give fingertip control. The truck's "floating" floor has resilient rubber suspension and a step height of only 230 millimeters for easy access. The cab even boasts a writing surface and storage space.
With sit-down trucks, by contrast, ergonomic improvements often focus on the driver's seat. Toyota Material Handling, for example, offers full suspension seats that adjust as drivers cruise over obstacles like dock plates. "The suspension seats really cushion the ride for the operator," says Wood. "Once they get in that seat they don't want to go back."
Supply chain planning (SCP) leaders working on transformation efforts are focused on two major high-impact technology trends, including composite AI and supply chain data governance, according to a study from Gartner, Inc.
"SCP leaders are in the process of developing transformation roadmaps that will prioritize delivering on advanced decision intelligence and automated decision making," Eva Dawkins, Director Analyst in Gartner’s Supply Chain practice, said in a release. "Composite AI, which is the combined application of different AI techniques to improve learning efficiency, will drive the optimization and automation of many planning activities at scale, while supply chain data governance is the foundational key for digital transformation.”
Their pursuit of those roadmaps is often complicated by frequent disruptions and the rapid pace of technological innovation. But Gartner says those leaders can accelerate the realized value of technology investments by facilitating a shift from IT-led to business-led digital leadership, with SCP leaders taking ownership of multidisciplinary teams to advance business operations, channels and products.
“A sound data governance strategy supports advanced technologies, such as composite AI, while also facilitating collaboration throughout the supply chain technology ecosystem,” said Dawkins. “Without attention to data governance, SCP leaders will likely struggle to achieve their expected ROI on key technology investments.”
The British logistics robot vendor Dexory this week said it has raised $80 million in venture funding to support an expansion of its artificial intelligence (AI) powered features, grow its global team, and accelerate the deployment of its autonomous robots.
A “significant focus” continues to be on expanding across the U.S. market, where Dexory is live with customers in seven states and last month opened a U.S. headquarters in Nashville. The Series B will also enhance development and production facilities at its UK headquarters, the firm said.
The “series B” funding round was led by DTCP, with participation from Latitude Ventures, Wave-X and Bootstrap Europe, along with existing investors Atomico, Lakestar, Capnamic, and several angels from the logistics industry. With the close of the round, Dexory has now raised $120 million over the past three years.
Dexory says its product, DexoryView, provides real-time visibility across warehouses of any size through its autonomous mobile robots and AI. The rolling bots use sensor and image data and continuous data collection to perform rapid warehouse scans and create digital twins of warehouse spaces, allowing for optimized performance and future scenario simulations.
Originally announced in September, the move will allow Deutsche Bahn to “fully focus on restructuring the rail infrastructure in Germany and providing climate-friendly passenger and freight transport operations in Germany and Europe,” Werner Gatzer, Chairman of the DB Supervisory Board, said in a release.
For its purchase price, DSV gains an organization with around 72,700 employees at over 1,850 locations. The new owner says it plans to investment around one billion euros in coming years to promote additional growth in German operations. Together, DSV and Schenker will have a combined workforce of approximately 147,000 employees in more than 90 countries, earning pro forma revenue of approximately $43.3 billion (based on 2023 numbers), DSV said.
After removing that unit, Deutsche Bahn retains its core business called the “Systemverbund Bahn,” which includes passenger transport activities in Germany, rail freight activities, operational service units, and railroad infrastructure companies. The DB Group, headquartered in Berlin, employs around 340,000 people.
“We have set clear goals to structurally modernize Deutsche Bahn in the areas of infrastructure, operations and profitability and focus on the core business. The proceeds from the sale will significantly reduce DB’s debt and thus make an important contribution to the financial stability of the DB Group. At the same time, DB Schenker will gain a strong strategic owner in DSV,” Deutsche Bahn CEO Richard Lutz said in a release.
Transportation industry veteran Anne Reinke will become president & CEO of trade group the Intermodal Association of North America (IANA) at the end of the year, stepping into the position from her previous post leading third party logistics (3PL) trade group the Transportation Intermediaries Association (TIA), both organizations said today.
Meanwhile, TIA today announced that insider Christopher Burroughs would fill Reinke’s shoes as president & CEO. Burroughs has been with TIA for 13 years, most recently as its vice president of Government Affairs for the past six years, during which time he oversaw all legislative and regulatory efforts before Congress and the federal agencies.
Before her four years leading TIA, Reinke spent two years as Deputy Assistant Secretary with the U.S. Department of Transportation and 16 years with CSX Corporation.
Serious inland flooding and widespread power outages are likely to sweep across Florida and other Southeast states in coming days with the arrival of Hurricane Helene, which is now predicted to make landfall Thursday evening along Florida’s northwest coast as a major hurricane, according to the National Oceanic and Atmospheric Administration (NOAA).
While the most catastrophic landfall impact is expected in the sparsely-population Big Bend area of Florida, it’s not only sea-front cities that are at risk. Since Helene is an “unusually large storm,” its flooding, rainfall, and high winds won’t be limited only to the Gulf Coast, but are expected to travel hundreds of miles inland, the weather service said. Heavy rainfall is expected to begin in the region even before the storm comes ashore, and the wet conditions will continue to move northward into the southern Appalachians region through Friday, dumping storm total rainfall amounts of up to 18 inches. Specifically, the major flood risk includes the urban areas around Tallahassee, metro Atlanta, and western North Carolina.
In addition to its human toll, the storm could exert serious business impacts, according to the supply chain mapping and monitoring firm Resilinc. Those will be largely triggered by significant flooding, which could halt oil operations, force mandatory evacuations, restrict ports, and disrupt air traffic.
While the storm’s track is currently forecast to miss the critical ports of Miami and New Orleans, it could still hurt operations throughout the Southeast agricultural belt, which produces products like soybeans, cotton, peanuts, corn, and tobacco, according to Everstream Analytics.
That widespread footprint could also hinder supply chain and logistics flows along stretches of interstate highways I-10 and I-75 and on regional rail lines operated by Norfolk Southern and CSX. And Hurricane Helene could also likely impact business operations by unleashing power outages, deep flooding, and wind damage in northern Florida portions of Georgia, Everstream Analytics said.
Before the storm had even touched Florida soil, recovery efforts were already being launched by humanitarian aid group the American Logistics Aid Network (ALAN). In a statement on Wednesday, the group said it is urging residents in the storm's path across the Southeast to heed evacuation notices and safety advisories, and reminding members of the logistics community that their post-storm help could be needed soon. The group will continue to update its Disaster Micro-Site with Hurricane Helene resources and with requests for donated logistics assistance, most of which will start arriving within 24 to 72 hours after the storm’s initial landfall, ALAN said.