Mark Solomon joined DC VELOCITY as senior editor in August 2008, and was promoted to his current position on January 1, 2015. He has spent more than 30 years in the transportation, logistics and supply chain management fields as a journalist and public relations professional. From 1989 to 1994, he worked in Washington as a reporter for the Journal of Commerce, covering the aviation and trucking industries, the Department of Transportation, Congress and the U.S. Supreme Court. Prior to that, he worked for Traffic World for seven years in a similar role. From 1994 to 2008, Mr. Solomon ran Media-Based Solutions, a public relations firm based in Atlanta. He graduated in 1978 with a B.A. in journalism from The American University in Washington, D.C.
Meir Gur-Lavi, an Israeli-born American with a laconic sense of humor, affixes a hairnet to his head and leads his guests into a suburban Atlanta warehouse brimming with the fragrant aromas of fermented dough and caramelized sugar.
Gur-Lavi runs the 50,000-square-foot DC of The Engelman's Bakery, a wholesale baker of breads and rolls founded in Atlanta in 1983 by Sammy Engelman and his sister Miriam, who is also Gur-Lavi's wife. In 1997, the company relocated to the gritty suburb of Norcross, Ga., where the Engelmans and Gur-Lavi built the DC that today sits adjacent to its corporate offices.
Gur-Lavi oversees a beehive of floor activity that functions virtually 24-7. But his newest pride and joy—and what he considers one of the company's better investments—sits some 30 feet above, embedded in the ceiling.
In the early fall of 2011, Engelman's replaced the approximately 200 metal halide lighting fixtures in its warehouse with an advanced form of "induction" lighting called "Optieo." The lights were developed by Intelligent Energy Optimizers LLC (IEO), a Norcross firm founded in 2006 by Nadav Sivan, an Israeli-born mechanical engineer and inventor. Sivan is IEO's president, CEO, and majority investor.
The lights, which are also found in Engelman's temperature-controlled areas, cost the company about $100,000 for the project design and material installation. Yet it expects to recoup its entire investment by the end of the first quarter of 2013, according to Gur-Lavi.
Gur-Lavi extends his arm in the direction of a forklift driver who steers his vehicle away from a spot on the floor, at which time an energy-saving motion sensor built into the fixture automatically prompts the light above the driver to shut off.
The lighting upgrade "is one of the best things we've done," he said.
Cool factor
Such comments are music to the ears of Sivan, who has been inventing things for more than 30 years. In the case of Optieo, he has developed technology to advance the use of an established commodity, namely the induction light, already considered the most economical and environmentally friendly lighting available in the marketplace.
The result, he says, is an innovative lighting design that provides longer, more efficient, and maintenance-free illumination while emitting less heat and wattage.
IEO said the lights can run 100,000 hours without being changed, providing a facility that operates nearly round-the-clock with 12 years of useful life per bulb. By contrast, today's typical industrial light has a 20,000-hour bulb life, according to IEO.
IEO said on its website that a 24/7 DC operator using 100 400-watt metal halide lights in its facility can save $21,300 a year in lighting, material, and labor costs by switching to the Optieo system. This translates into an 80 percent savings over traditional metal halide lighting for a typical facility operating around-the-clock, according to the company.
Beyond the electricity cost-savings, the longer bulb life means less time and expense involved in stopping operations so a worker can mount a ladder to change, re-ballast, and re-lump a fixture, Sivan said.
The bulb runs at 85 degrees Fahrenheit—much cooler than the 138- to 380-degree temperatures of most industrial lighting, according to the IEO website.
"Spark-free" ignition
In developing the Optieo lighting, Sivan used the basic principle of "magnetic induction," which is the process of using magnetic fields, rather than a spark, to ignite the bulb. He enhanced the quality of the bulbs by using amalgam—a solid-state mercury compound once commonplace in tooth cavity fillings—which, when the bulb is off, accumulates in a small vial attached to the tube, allowing for full regeneration.
Sivan then improved the bulb's internal components in order to create a more efficient illumination, reduce power consumption, and ensure a totally "green" disposal process. He also enhanced the ballasts and simplified the electronics to assure the bulb's longer life span and modified the light's reflectors so the illumination shines directly on the floor and isn't wasted as "glare" inside the bulb. This extends the bulb's life by producing less wattage and creates a more aesthetically pleasing work environment, he said.
"We took the standard induction light and improved it," Sivan said in an interview in his Norcross office.
IEO assembles its products in Norcross and Tampa, Fla., and sells into five continents. In the United States, it gets more bang for its marketing buck in states like New York and California that have high electricity costs compared with other regions. These states also have more attractive tax benefits to encourage companies to invest in energy-efficient equipment and technology.
Currently, Sivan focuses more of his time on manufacturing facilities that operate around the clock or close to it. That's because manufacturers, unlike warehouse operators, are engaged in production and can ill afford to have downtime while workers scurry around to swap out light bulbs.
Sivan also acts as a consultant, performing a detailed analysis of a customer's site and suggesting ways to improve efficiency and sustainability before any physical work is done.
Though IEO is in its sixth year, Optieo didn't hit the market until 2009. Since then, IEO's growth has been rapid. The company's 2011 sales jumped to $2.5 million from $500,000 the year before. As for 2012, sales are on track to hit $5 million by year's end, Sivan projected.
With efficiency and sustainability essentially ruling today's supply chain buying habits and with government incentives providing an ample tailwind, Sivan can't suppress a small smile when he talks about the future for his type of industrial lighting.
Freight transportation sector analysts with US Bank say they expect change on the horizon in that market for 2025, due to possible tariffs imposed by a new White House administration, the return of East and Gulf coast port strikes, and expanding freight fraud.
“All three of these merit scrutiny, and that is our promise as we roll into the new year,” the company said in a statement today.
First, US Bank said a new administration will occupy the White House and will control the House and Senate for the first time since 2016. With an announced mandate on tariffs, taxes and trade from his electoral victory, President-Elect Trump’s anticipated actions are almost certain to impact the supply chain, the bank said.
Second, a strike by longshoreman at East Coast and Gulf ports was suspended in October, but the can was only kicked until mid-January. Shipper alarm bells are already ringing, and with peak season in full swing, the West coast ports are roaring, having absorbed containers bound for the East. However, that status may not be sustainable in the event of a prolonged strike in January, US Bank said.
And third, analyst are tracking the proliferation of freight fraud, and its reverberations across the supply chain. No longer the realm of petty criminals, freight fraudsters have become increasingly sophisticated, and the financial toll of their activities in the loss of goods, and data, is expected to be in the billions, the bank estimates.
The move delivers on its August announcement of a fleet renewal plan that will allow the company to proceed on its path to decarbonization, according to a statement from Anda Cristescu, Head of Chartering & Newbuilding at Maersk.
The first vessels will be delivered in 2028, and the last delivery will take place in 2030, enabling a total capacity to haul 300,000 twenty foot equivalent units (TEU) using lower emissions fuel. The new vessels will be built in sizes from 9,000 to 17,000 TEU each, allowing them to fill various roles and functions within the company’s future network.
In the meantime, the company will also proceed with its plan to charter a range of methanol and liquified gas dual-fuel vessels totaling 500,000 TEU capacity, replacing existing capacity. Maersk has now finalized these charter contracts across several tonnage providers, the company said.
The shipyards now contracted to build the vessels are: Yangzijiang Shipbuilding and New Times Shipbuilding—both in China—and Hanwha Ocean in South Korea.
Specifically, 48% of respondents identified rising tariffs and trade barriers as their top concern, followed by supply chain disruptions at 45% and geopolitical instability at 41%. Moreover, tariffs and trade barriers ranked as the priority issue regardless of company size, as respondents at companies with less than 250 employees, 251-500, 501-1,000, 1,001-50,000 and 50,000+ employees all cited it as the most significant issue they are currently facing.
“Evolving tariffs and trade policies are one of a number of complex issues requiring organizations to build more resilience into their supply chains through compliance, technology and strategic planning,” Jackson Wood, Director, Industry Strategy at Descartes, said in a release. “With the potential for the incoming U.S. administration to impose new and additional tariffs on a wide variety of goods and countries of origin, U.S. importers may need to significantly re-engineer their sourcing strategies to mitigate potentially higher costs.”
The New Hampshire-based cargo terminal orchestration technology vendor Lynxis LLC today said it has acquired Tedivo LLC, a provider of software to visualize and streamline vessel operations at marine terminals.
According to Lynxis, the deal strengthens its digitalization offerings for the global maritime industry, empowering shipping lines and terminal operators to drastically reduce vessel departure delays, mis-stowed containers and unsafe stowage conditions aboard cargo ships.
Terms of the deal were not disclosed.
More specifically, the move will enable key stakeholders to simplify stowage planning, improve data visualization, and optimize vessel operations to reduce costly delays, Lynxis CEO Larry Cuddy Jr. said in a release.
German third party logistics provider (3PL) Arvato has agreed to acquire ATC Computer Transport & Logistics, an Irish company that provides specialized transport, logistics, and technical services for hyperscale data center operators, high-tech freight forwarders, and original equipment manufacturers, the company said today.
The acquisition aims to unlock new opportunities in the rapidly expanding data center services market by combining the complementary strengths of both companies.
According to Arvato, the merger will create a comprehensive portfolio of solutions for the entire data center lifecycle. ATC Computer Transport & Logistics brings a robust European network covering the major data center hubs, while Arvato expands this through its extensive global footprint.