PITTSBURGH, PA – JANUARY 18, 2023 — Innovation Works, along with the Pittsburgh Robotics Network and other regional partners, launch the Robotics Factory, a set of inter-related programs that are part of the $63 million Build Back Better Regional Challenge grant awarded by the U.S. Economic Development Administration (EDA) to the Southwestern Pennsylvania New Economy Collaborative. The Robotics Factory will create, accelerate and scale robotics startups in the Pittsburgh region. The accelerator program kicks off first with applications opening February 1, 2023 for startup companies in robotics, robotics-adjacent sectors, and other advanced technologies that are – or can be – related to robotics. Interested individuals should go to www.roboticsfactory.org for more information about the accelerator program.
The regional EDA grant allows southwestern Pennsylvania to seize a once-in-a-generation opportunity to further the regional robotics and autonomy cluster – a sector for which Pittsburgh’s expertise and leadership are globally recognized. It is funding five regional projects – including the Robotics Factory – which together are designed to transform people and places across all of southwestern PA by providing long-term opportunities for individuals, businesses and communities to become involved in this burgeoning sector, especially those who have been excluded from opportunities for employment, wealth creation and innovation generated by robotics and autonomy.
The Robotics Factory is being led by Innovation Works (IW) to further develop a globally prominent robotics ecosystem in the Pittsburgh region. With four-year support from the EDA, Innovation Works will match a portion of the $12 million provided by the EDA with additional operating and investment capital to provide seed funding to selected startups to help them grow.
The Robotics Factory will create startups focused on industry-identified challenges that require robotics and related innovations, accelerate the growth of startups, and scale up manufacturing. The Robotics Factory comprises the following three programs:
Create: The Robotics Factory – Create program will drive innovation to meet industry demands by bringing entrepreneurs, technology experts, and researchers together with specific industry experts to define existing and emerging problems and identify solutions together. IW and the Pittsburgh Robotics Network will convene and facilitate multiple workshops per year, each workshop focused on one specific industry/customer segment (ex. agriculture, construction, aviation, etc.). A number of entrepreneurs, technology experts, and researchers from southwestern Pennsylvania will be selected to meet with industry leaders to understand their pain points and collaborate on developing innovative solutions to these problems/defined needs.
Accelerate: The Robotics Factory – Accelerate program is an opportunity for up to six pre-seed robotics startups to receive up to $100,000 in funding from IW, mentorship, and resources to take their company to the next stage of growth. Similar to IW’s nationally ranked AlphaLab accelerators, the Robotics Factory accelerator is an intensive, seven-month program, during which companies will move into the Robotics Factory’s co-working space, have access to manufacturing and robotics resources including a production-grade prototype shop and robot lab, and receive coaching and support tailored to their specific business needs. The participants will also have access to mentorship opportunities with other Pittsburgh-based robotics companies and national and global industrial partners via the Pittsburgh Robotics Network. Startup companies in robotics and robotics-adjacent sectors, as well as other advanced technologies that relate to automation, are encouraged to apply for the accelerator when the one-month application period opens February 1, 2023.
Scale: The Robotics Factory – Scale program provides expertise in product prototypes and services to help startups develop production-ready products. The program provides in-house design for manufacturing, supply chain management, prototyping assistance, and access to the region’s expansive manufacturing resources. The Robotics Factory includes a production-grade prototype shop with in-house staff to support product development and low-rate production, as well as focusing on the production of complex physical products. By considering manufacturing during the early design stages, companies can rapidly grow, deploy their technologies and achieve scale more quickly.
“The Robotics Factory will further the region’s efforts to grow robotics startups and link them to industry and manufacturing capabilities,” said Ven Raju, president & CEO of Innovation Works. “What captured the attention of the EDA and made the Southwestern Pennsylvania application stand out for the competitive Build Back Better grant was the region’s cohesive approach to building and leveraging the workforce and capabilities of robotics industries.” Speaking about the IW-led initiative that is part of the greater Build Back Better Regional Challenge, Ven continued, “Not only will the Robotics Factory programs address existing problems experienced by industries that can be solved using robotics and automation solutions, we plan to also provide the resources and funding that are so critical to emerging companies. Together, the Robotics Factory Create, Accelerate and Scale programs will be dynamic additions to one of the region’s most important economic engines.”
Mike Formica, Managing Director of Hardware for Innovation Works, added, “The skilled team and specific capabilities of the Robotics Factory programs will make meaningful connections that benefit both emerging startups and the thousands of manufacturers in the region. By starting and growing companies that build their products locally, we provide opportunities for broader regional job growth.”
E-commerce activity remains robust, but a growing number of consumers are reintegrating physical stores into their shopping journeys in 2024, emphasizing the need for retailers to focus on omnichannel business strategies. That’s according to an e-commerce study from Ryder System, Inc., released this week.
Ryder surveyed more than 1,300 consumers for its 2024 E-Commerce Consumer Study and found that 61% of consumers shop in-store “because they enjoy the experience,” a 21% increase compared to results from Ryder’s 2023 survey on the same subject. The current survey also found that 35% shop in-store because they don’t want to wait for online orders in the mail (up 4% from last year), and 15% say they shop in-store to avoid package theft (up 8% from last year).
“Retail and e-commerce continue to evolve,” Jeff Wolpov, Ryder’s senior vice president of e-commerce, said in a statement announcing the survey’s findings. “The emergence of e-commerce and growth of omnichannel fulfillment, particularly over the past four years, has altered consumer expectations and behavior dramatically and will continue to do so as time and technology allow.
“This latest study demonstrates that, while consumers maintain a robust
appetite for e-commerce, they are simultaneously embracing in-person shopping, presenting an impetus for merchants to refine their omnichannel strategies.”
Other findings include:
• Apparel and cosmetics shoppers show growing attraction to buying in-store. When purchasing apparel and cosmetics, shoppers are more inclined to make purchases in a physical location than they were last year, according to Ryder. Forty-one percent of shoppers who buy cosmetics said they prefer to do so either in a brand’s physical retail location or a department/convenience store (+9%). As for apparel shoppers, 54% said they prefer to buy clothing in those same brick-and-mortar locations (+9%).
• More customers prefer returning online purchases in physical stores. Fifty-five percent of shoppers (+15%) now say they would rather return online purchases in-store–the first time since early 2020 the preference to Buy Online Return In-Store (BORIS) has outweighed returning via mail, according to the survey. Forty percent of shoppers said they often make additional purchases when picking up or returning online purchases in-store (+2%).
• Consumers are extremely reliant on mobile devices when shopping in-store. This year’s survey reveals that 77% of consumers search for items on their mobile devices while in a store, Ryder said. Sixty-nine percent said they compare prices with items in nearby stores, 58% check availability at other stores, 31% want to learn more about a product, and 17% want to see other items frequently purchased with a product they’re considering.
Ryder said the findings also underscore the importance of investing in technology solutions that allow companies to provide customers with flexible purchasing options.
“Omnichannel strength is not a fad; it is a strategic necessity for e-commerce and retail businesses to stay competitive and achieve sustainable success in 2024 and beyond,” Wolpov also said. “The findings from this year’s study underscore what we know our customers are experiencing, which is the positive impact of integrating supply chain technology solutions across their sales channels, enabling them to provide their customers with flexible, convenient options to personalize their experience and heighten customer satisfaction.”
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.
National nonprofit Wreaths Across America (WAA) kicked off its 2024 season this week with a call for volunteers. The group, which honors U.S. military veterans through a range of civic outreach programs, is seeking trucking companies and professional drivers to help deliver wreaths to cemeteries across the country for its annual wreath-laying ceremony, December 14.
“Wreaths Across America relies on the transportation industry to move the mission. The Honor Fleet, composed of dedicated carriers, professional drivers, and other transportation partners, guarantees the delivery of millions of sponsored veterans’ wreaths to their destination each year,” Courtney George, WAA’s director of trucking and industry relations, said in a statement Tuesday. “Transportation partners benefit from driver retention and recruitment, employee engagement, positive brand exposure, and the opportunity to give back to their community’s veterans and military families.”
WAA delivers wreaths to more than 4,500 locations nationwide, and as of this week had added more than 20 loads to be delivered this season. The wreaths are donated by sponsors from across the country, delivered by truckers, and laid at the graves of veterans by WAA volunteers.
Wreaths Across America
Transportation companies interested in joining the Honor Fleet can visit the WAA website to find an open lane or contact the WAA transportation team at trucking@wreathsacrossamerica.org for more information.
Krish Nathan is the Americas CEO for SDI Element Logic, a provider of turnkey automation solutions and sortation systems. Nathan joined SDI Industries in 2000 and honed his project management and engineering expertise in developing and delivering complex material handling solutions. In 2014, he was appointed CEO, and in 2022, he led the search for a strategic partner that could expand SDI’s capabilities. This culminated in the acquisition of SDI by Element Logic, with SDI becoming the Americas branch of the company.
A native of the U.K., Nathan received his bachelor’s degree in manufacturing engineering from Coventry University and has studied executive leadership at Cranfield University.
Q: How would you describe the current state of the supply chain industry?
A: We see the supply chain industry as very dynamic and exciting, both from a growth perspective and from an innovation perspective. The pandemic hangover is still impacting decisions to nearshore, and that has resulted in a spike in business for us in both the USA and Mexico. Adding new technology to our portfolio has been a significant contributor to our continued expansion.
Q: Distributors were making huge tech investments during the pandemic simply to keep up with soaring consumer demand. How have things changed since then?
A: The consumer demand for e-commerce certainly appears to have cooled since the pandemic high, but our clients continue to see steady growth. Growth, combined with low unemployment and high labor costs, continues to make automation a good investment for many companies.
Q: Robotics are still in high demand for material handling applications. What are some of the benefits of these systems?
A: As an organization, we are investing heavily in software that will allow Element Logic to offer solutions for robotic picking that are hardware-agnostic. We have had success deploying unit picking for order fulfillment solutions and unit placing of items onto tray-based sorters.
From a benefit point of view, we’ve seen the consistency of a given operation improve. For example, the placement accuracy of a product onto a tray is far higher from a robotic arm than from a person. In order fulfillment applications, two of the biggest benefits are reliability and hours of operation. The robots don't call in sick, and they are happy to work 22 hours a day!
Q: SDI Element Logic offers a wide range of automated solutions, including automated storage and sortation equipment. What criteria should distributors use to determine what type of system is right for them?
A: There are a significant number of factors to consider when thinking about automation. In my experience, automation pays for itself in three key ways: It saves space, it increases the efficiency of labor, and it improves accuracy. So evaluating which of these will be [most] beneficial and quantifying the associated savings will lead to a “right sized” investment in technology.
Another important factor to consider is product mix. With a small SKU (stock-keeping unit) base, often automation doesn’t make sense. And with a huge SKU base, there will be products that don’t lend themselves to automation.
With any significant investment, you need to partner with an organization that has deep experience with the technologies that are being considered and … in-depth knowledge of the process that is being automated.
Q: How can a goods-to-person system reduce the amount of labor needed to fill orders?
A: In most order picking operations, there is a considerable amount of walking between pick faces to find the SKUs associated with a given order or set of orders. Goods-to-person eliminates the walking and allows the operator to just pick. I have seen studies that [show] that 75% of the time [required] to assemble an order in a manual picking environment is walking or “non-picking” time. So eliminating walking will reduce the amount of labor needed.
The goods-to-person approach also fits perfectly with robotic picking, so even the actual picking aspect of order assembly can be automated in some instances. For these reasons, [automation offers] a significant opportunity to reduce the labor needed to fulfill a customer order.
Q: If you could pick one thing a company should do to improve its distribution center operations, what would it be?
A: Evaluate. Evaluate the opportunities for improving by considering automation. In my experience, the challenge most companies have is recognizing that automation is an alternative. The barrier to entry is far lower than most people think!
Toyota Material Handling and its nationwide network of dealers showcased their commitment to improving their local communities during the company’s annual “Lift the Community Day.” Since 2021, Toyota associates have participated in an annual day-long philanthropic event held near Toyota’s Columbus, Indiana, headquarters. This year, the initiative expanded to include participation from Toyota’s dealers, increasing the impact on communities throughout the U.S. A total of 324 Toyota associates completed 2,300 hours of community service during this year’s event.
The PMMI Foundation, the charitable arm of PMMI, The Association for Packaging and Processing Technologies, awarded nearly $200,000 in scholarships to students pursuing careers in the packaging and processing industry. Each year, the PMMI Foundation provides academic scholarships to students studying packaging, food processing, and engineering to underscore its commitment to the future of the packaging and processing industry.
Truck leasing and fleet management services provider Fleet Advantage hosted its “Kids Around the Corner Foundation” back-to-school backpack drive in July. During the event, company associates assembled 200 backpacks filled with essential school supplies for high school-age students. The backpacks were then delivered to Henderson Behavioral Health’s Youth & Family Services location in Tamarac, Florida.
For the past seven years, third-party logistics service specialist ODW Logistics has provided logistics support for the Pelotonia Ride Weekend, a campaign to raise funds for cancer research at The Ohio State University’s Comprehensive Cancer Center–Arthur G. James Cancer Hospital and Richard J. Solove Research Institute. As in the past, ODW provided inventory management services and transportation for the riders’ bicycles at this year’s event. In all, some 7,000 riders and 3,000 volunteers participated in the ride weekend.