MHD Jul 2021

JULY 2021

COVER STORY

WHERE TECHNOLOGY MEETS HUMANITY How Körber helps Officeworks improve wellbeing, sustainability and fulfilment rates

ROUTE TO SUCCESS

Adiona Tech’s award winning route optimisation platform

THE FUTURE OF WORKFORCE MANAGEMENT

Ultimate Kronos Group is transforming how workers and managers interact

THE CONNECTED WAREHOUSE

Crown Equipment on kickstarting your next generation warehouse

ReImagine 5 – 8 October 2021

Elevate APAC is coming soon Be inspired, embrace innovation, value knowledge, get networking and charge ahead as an agent of change and transformation.

koerber-supplychain.com

MHD FROM THE EDITOR

MHD Supply Chain Solutions CONTACT MHD Supply Chain Solutions is published by Prime Creative Media 11-15 Buckhurst Street, South Melbourne VIC 3205 Telephone: (+61) 03 9690 8766 Website: www.primecreative.com.au

THE TEAM CEO: John Murphy Publisher: Christine Clancy Group Managing Editor: Sarah Baker Editor: Edward Cranswick Journalist: Billy Friend Business Development Manager: Beth Jarvis Design Production Manager: Michelle Weston Art Director: Blake Storey Graphic Designers: Kerry Pert, Madeline McCarty Client Success Manager: Janine Clements

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ACKNOWLEDGEMENT MHD Supply Chain Solutions magazine is recognised by the Australian Supply Chain Institute, the Chartered Institute of Logistics and Transport Australia, the Supply Chain and Logistics Association of Australia and the Singapore Logistics and Supply Chain Management Society.

ARTICLES All articles submitted for publication become the property of the publisher. The Editor reserves the right to adjust any article to conform with the magazine format.

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LONG COVID

O

ver the last year, much has been made of the phenomenon of “long COVID”, where sufferers experience symptoms extending into the weeks and months.

As it turns out, the supply chain and logistics industry must also deal with long-term ramifications from the virus.

COVID-19 has changed the way consumers demand goods as well as the way managers and decision makers utilise their resources.

In that connection, homegrown company Adiona Tech is honing its route optimisation platform to cut down on vehicle under-utilisation and overall travel distances so that goods – including medical supplies – can get to destination faster and cheaper (see page 28). Adiona was recently awarded a grant by the New South Wales Government for their innovative approach to solving COVID-related supply chain issues.

In this edition of MHD, Bastian’s Tony Richter says the industry was already struggling to attract strong homegrown talent before the pandemic hit, and that border closures and international restrictions have only exacerbated the underlying issue.

He says that some industry re-branding, as well as a closer alliance between supply chain educators and supply chain professionals, will be necessary to get talented professionals in the industry door – and to keep them in (see page 21).

But if you’re lucky (or clever) enough to have got your talent, then Ultimate Kronos Group (UKG) has some ideas about how to give them the best and most efficient employee experience possible (see page 54). UKG’s Gideon Joseph says that an organisation’s people are its most competitive asset, and that a flexible, unified workforce management solution is essential – on both the management and worker sides – to keeping everyone happy, healthy, and productive.

Many people we’ve interviewed over the past few months have also noted the need for more flexible third-party logistics (3PL) solutions to cater to flexible and varying demand in wake of COVID-19. But Peter Jones of Cological says the downside of outsourcing your logistics operation is that you invest in systems which aren’t actually yours – and might not be perfectly calibrated to your needs (see page 38).

That’s why Cological is offering “two and a half party logistics”, or 2.5PL, where its team comes in-house to run the show – improving operations while keeping your company plugged-in to the various improvements that are made.

Whether your organisation is suffering its own form of long COVID, or just needs to guard its immune system against the shock of future supply chain disruptions, this issue of MHD is chock-full of ideas and solutions for the savvy decision maker.

Edward Cranswick Editor edward.cranswick@primecreative.com.au

MHD Supply Chain

MHD JULY 2021 | 3

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SOLUTIONS FOR EVERY PALLET ®

JULY 2021

ISSUE #6 VOLUME 52

THIS ISSUE COVER STORY

10 Körber transforms Officeworks

SUPPLY CHAIN 15 Alibaba’s Maggie Zhou on e-commerce in Australia 21 Filling the supply chain talent gap 26 Adiona Tech’s award winning route optimisation platform 31 Queensland’s Morven Freight Hub

10

COVER STORY

boosts livestock supply chain 38 Prological’s innovative 2.5-party logistics model 48 Bestrane on GPS tracking and route planning 51 Measuring and managing your fleet 54 The future of workforce management

INDUSTRIAL PROPERTY 25 CBRE on the nation’s tightening vacancy levels

JULY 2021

tters

MATERIALS HANDLING

MHD SUPPLY CHAIN SOLUTIONS

®

19 Reducing conveyor belt downtime 40 Toyota forklifts boost winery

JULY 2021

54

ervice. enables nd more.

k® 7’’ Touch Display

during vintage 45 How Combilift equipment streamlines Northline’s SA depot 52 Using machine vision for maximum barcode read rates

COVER STORY

WHERE TECHNOLOGY MEETS HUMANITY How Körber helps Officeworks improve wellbeing, sustainability and fulfilment rates

WAREHOUSING

ROUTE TO SUCCESS

Adiona Tech’s award winning route optimisation platform

THE FUTURE OF WORKFORCE MANAGEMENT

33 OPEX on warehouse automation

United Kronos Group is transforming how workers and managers interact

THE CONNECTED WAREHOUSE

35 Crown Equipment on building

Crown Equipment on kickstarting your next generation warehouse

a connected warehouse

t connections

DEPARTMENTS AND REGULARS ON THE COVER

06 Industry news

Officeworks has partnered with

42 Women in industry

Körber to deploy a range of cutting

56 Property Focus

edge technology solutions.

61

58 Associations 65 Products 66 People on the Move MHD JUNE 2021 | 5

MHD NEWS

Australian Government establishes freight data hub

A

ustralian freight data has taken a leap forward with the launch of the National Freight Data Hub prototype website.

The Australian Government announced $16.5 million of funding in this year’s budget over four years to develop the Hub. Michael McCormack, Deputy Prime Minister and Minister for Infrastructure, Transport and Regional Development, says the site will improve industry efficiency, safety and resilience.

“The Hub will highlight important information about traffic volumes, congestion, road condition and rest area usage, to improve road safety for the nation’s freight operators,” he says.

The website is being developed in close consultation with industry, governments and other stakeholders.

“Every Australian, everywhere, every day relies on a truck driver, which is why we need high-quality, easily accessible data to make sure the movement of goods and services is as efficient as possible, especially as Australia’s freight task grows,” Michael says.

Scott Buchholz, Assistant Minister for Road Safety and Freight Transport, noted industry asked government for a congestion metric to assist with their businesses.

“In new world-leading visualisations, interactive truck telematics maps are publicly available at a national level with insights on congestion in our cities and a national map of truck rest stops,” Scott says.

Ben Newton, Head of Transport Development for Woolworths Group, says the challenges of the past year

The National Freight Data Hub prototype website has launched. have put a spotlight on the need for industry and government to work closely together across supply chains.

“The Hub is a significant step forward in this collaboration, leveraging real-time data to achieve greater efficiency, safety and productivity outcomes across the transport network,” Ben says.

Green light for $300 million industrial and logistics estate Light Horse Business Hub in Eastern Creek, Sydney.

6 | MHD JULY 2021

C

harter Hall’s flagship logistics trust fund has acquired 35 hectares of industrial land at the Light Horse Business Hub in Eastern Creek, Western Sydney.

The Charter Hall Prime Industrial Fund (CPIF) has entered a five-year development management agreement with Western Sydney Parklands Trust (WSPT) to transform the site into a $300 million logistics facility.

Upon completion, a 90-year ground lease providing annual annuity to the parklands will contribute to the cost of operating, maintaining and enhancing the site.

David Harrison, Charter Hall’s Managing Director and Group CEO, says the leasehold interest builds on Charter Hall’s strong relationship with WSPT. “This is one of the last significant

infill greenfield industrial development sites east of the M7 capable of accommodating the growing demand for large state of the art industrial and logistics facilities in Western Sydney,” David says.

The estate has a gross area of 170,000 sqm, with the ability to house large scale warehouse and distribution facilities up to 100,000 sqm.

Richard Mason, CPIF Fund Manager, notes the purchase is in line with the strategy of acquiring sites close to major transport infrastructure.

“The momentum for strategically located industrial space is seeing record leasing activity, particularly for larger automated purpose-built facilities,” he says.

Works are expected to begin on site later this year.

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MHD NEWS

Logistics industry demands COVID-19 vaccine for workers

I

ndustry bodies have implored the state and federal governments to provide freight and supply chain workers with immediate access to a COVID-19 vaccine.

Freight & Trade Alliance (FTA), the Australian Peak Shippers Association (APSA) and the Australian Logistics Council (ALC) say a greater sense of urgency is required to protect workers who provide Australian communities with essential goods and services.

There are 600,000 supply chain workers across freight, logistics, warehousing, international trade logistics service providers, importers and exporters.

Many of the sector’s staff have to undergo COVID tests every seven days because they travel between state borders delivering essential items.

The industry groups listed three reasons why workers need

access to the vaccine: • T he essential workers in many cases cannot work from home; • S upply chain from quayside and airports providing goods to importers and exporters is crucial to supporting Australian communities; and • B order staff are already in the vaccine rollout, despite working alongside supply chain staff at the same exposure sites.

Rachel Smith, ALC interim CEO, says Victoria’s snap lockdown is even further reason for vaccine inclusion.

“These workers are tested with high frequency due to the nature of their work, which makes these essential workers an obvious early inclusion in the vaccine rollout as they are most at risk,” she says.

Paul Zalai, Director of the FTA, says the industry bodies will continue their collective advocacy on the issue.

Industry bodies are calling on the government to prioritise 600,000 supply chain workers in vaccine rollout.

“We must protect vulnerabilities in the supply chain to ensure our communities’ needs continue to be met with minimal risk to essential workers,” Paul says.

Australian supply chain industry resilient on global scale

A

ustralia has ranked 14th of 130 countries for resilience in business and logistics environments in the newly released FM Global Resilience Index.

The report breaks down each country into 12 objective measures reflecting economics, risk quality and supply chain solutions.

Lynette Schultheis, Operations Manager of FM Global Australia, says Australia’s high ranking is due to its strong economic productivity (ranked 20) and low political risks (ranked 10).

“While we are well on our way to economic recovery in Australia, the events from last year brought into sharp relief that resilience must be embedded into all facets of a business so that it provides the ability to resist, rebound from or operate 8 | MHD JULY 2021

through adverse circumstances from lockdowns to climate-related and supply-chain disruptions,” she says.

The index reflected an increase in Australia’s climate risk because of its natural hazard exposure (ranked 49). This measure represents the amount of a nation’s economic activity exposed to natural hazards such as wind, fire or floods.

However, the country’s strong hazard risk quality (ranked 16) reflects building codes prepared to stand up to natural disasters.

Popular trading partners in the Asia Pacific region with high natural risk quality include Hong Kong, Thailand, Malaysia, India and Vietnam.

“Thailand experienced significant rainfall and flooding earlier this year

across much of the southern region of the country, which brought many businesses to a standstill. The impact was not only felt across the country but for those businesses who operated extended supply chains in the region,” Lynette noted.

Australia’s largest trading partner, China, ranked 91 for natural hazard risk quality.

“As many companies extend their supply chains across the region in the pursuit of reduced costs and improved competitiveness, they must also take into account the natural hazard exposure and risk of where their key suppliers are located,” says Lynette.

Denmark bumped fellow Scandinavian nation Norway off the top of this year’s list, while Venezuela and Haiti had the least resilience.

MHD COVER STORY

The Körber Supply Chain and Officeworks teams have worked together to transform the retailer’s Victorian customer fulfilment operation.

WHERE TECHNOLOGY MEETS HUMANITY As part of the ongoing modernisation of its supply chain, leading retailer Officeworks has partnered with Körber Supply Chain to deploy a range of cuttingedge technology solutions. This investment will improve Officeworks’ fulfilment capabilities, benefit the wellbeing of its team members and improve sustainability for the leading retailer. MHD finds out how.

A

ustralia’s leading retailer of office products, stationery, services and solutions for micro, small and medium-size businesses, students, schools, and households has played a pivotal role in keeping the nation working, learning, creating, and connecting as the world has adapted to the ongoing challenge of COVID-19.

Whether ordering essential learning materials for home-schooling, setting up a home office with tech and furniture, or harnessing a creative passion, Officeworks has been the go-to retailer for all things work, education, creativity and connection.

As part of its ongoing transformation strategy, the Wesfarmers-owned retailer has engaged Körber Supply Chain to transform its Victorian customer fulfilment operation with leading technology solutions including automation, voice and warehouse

10 | MHD JULY 2021

management system (WMS).

Far from strangers, the two businesses have worked together for more than five years. In 2015, Körber (previously Cohesio Group) deployed a voice picking solution for Officeworks’ four Customer Fulfillment Centres and the global solutions provider has played a pivotal role in Officeworks’ innovation and transformation strategy over recent years.

Aside from improving fulfilment rates and speed to market, the key priority for Officeworks’ investment in technology was to further enhance employee wellbeing, safety, and job satisfaction through reducing repetitive tasks and manual handling.

Furthermore, in an industry first, Officeworks has worked with Körber to install solar capabilities which will power the automation solution, enabling the retailer to reduce emissions.

PUTTING PEOPLE FIRST Officeworks delivered strong results in the first half of the 2021 financial year.

Underpinned by robust transaction growth and a positive response to Officeworks’ every channel offer, HY21 revenue increased by 23.7 per cent to $1.52 billion for the half. Earnings also increased 22 per cent to $100 million.

As Officeworks grows, the retailer maintains its focus on its team members. As a result, Officeworks has explored technology that enables it to not only fulfil at an increased speed and rate, but to ensure that it improves the environment for its team members.

This includes the overall safety of team members and a reduction in repetitive or strenuous work.

Impressively, the Autonomous Mobile Robot (AMR) solution has significantly reduced the time that team members need to spend walking around the DC, which

MHD COVER STORY and its future plans,” Rizan Mawzoon, Head of Transformation at Körber Supply Chain says.

“At Körber, we look at technology with a much wider lens and as such it has been great to deliver some further benefits for Officeworks around sustainability, employee wellbeing and occupational health and safety.”

Körber and Officeworks have been working together for more than five years.

GROWING WITH THE NATION The deployment of Körber’s AMR solution is taking place at the retailer’s 15,000 sqm Distribution Centre (DC) in Victoria. The deployment consists of 86 Geek+ manufactured AMRs and 30 Geek+ sortation robots. The robots will work in collaboration with fulfilment team members and facilitate picking across the site’s 25,000 stock keeping units (SKUs).

The deployment of Körber’s sortation solution will make Officeworks the first company in Australia to deploy AMR sortation technology. By utilising AMRs, the Geek+ Floor Sortation solution provides Officeworks with dynamic sortation, with the robots taking the shortest and most direct path to offer Officeworks increased flexibility during peak periods.

As opposed to fixed automation, previously averaged 10-12km per shift.

Officeworks operates a sophisticated supply chain – receiving locally and internationally sourced product, servicing business-to-business and business-to-consumer customers online through its Customer Fulfilment Centres, as well as replenishing a network of 167 stores nationally.

COVID-19 drove a further increase in supply chain volume across both store and online channels, increasing demand on its supply chain and further highlighting the need for flexible and agile solutions to respond to sudden changes in customer needs.

“The modular nature of the Körber solution enables Officeworks to increase the scale of its operations rapidly, without the time and cost associated with redesign and implementation of fixed infrastructure solutions,” Brett Kelly, Officeworks General Manager of Supply Chain says.

“We designed our solution to fit the needs of Officeworks, its customers

Left to Right: Tom Weinmann, Rizan Mawzoon, Brett Kelly, Nishan Wijemanne, Ravi Nath, and Jamie Sterling.

MHD JULY 2021 | 11

MHD COVER STORY The acclaimed solution was recently recognised as a “Leader” in Gartner’s 2020 Magic Quadrant for Warehouse Management System and will provide Officeworks with enhanced operational efficiencies and data insights to drive improvements across its customer experience and supply chain operations.

SOLAR-POWERED AUTOMATION

As part of its ongoing transformation strategy, Officeworks has deployed AMRs at its Victorian customer fulfilment centre. sortation robots can sort products based on urgency and postcode, creating further efficiencies along the supply chain.

The solution also provides Officeworks with greater inventory control and has allowed the retailer to increase its delivery window for its

The Officeworks deployment of 116 picking and sorting AMRs manufactured by Geek+ makes this the largest AMR site in the ANZ region.

12 | MHD JULY 2021

next day and express delivery option, a win-win for small businesses and families who have an urgent need for office and education supplies.

In addition to deploying Körber’s automation and voice picking solution, Officeworks has also implemented Körber’s Warehouse Advantage WMS.

With both businesses focused on developing responsible and sustainable solutions, Körber and Officeworks worked together to create a solution that is as sustainable as possible.

Officeworks has worked with Körber to install LED lighting, a building energy management and a solar photovoltaics system, which will power the automation solution, enabling the retailer to operate an energy efficient distribution centre. The facility will also contain a battery storage unit in the near future.

Officeworks is committed to reducing its operational impact on the environment with a net zero ambition, using 100 per cent renewable electricity by 2025, as part of their roadmap for net-zero emissions by 2030. Officeworks worked with Körber to install solar on the roof of the DC to power the new technology.

As a result, solar panels will be

MHD COVER STORY

With sustainability a major priority, the materials used in the racking are made from 40 per cent recycled material. installed to ensure that the new technology, including voice, WMS and AMR has reduced emissions. This will be the first ever solar-powered AMR solution in Australia.

This initiative will also improve over time, with Körber analysing the data and making changes around the times of day that the robots will be charged to provide further efficiencies.

In addition, the materials used in the racking utilise a cardboard that is made from 40 per cent recycled material, and research is underway to explore further opportunities to increase this.

SUPPLY CHAIN SYNERGIES

Sarah Hunter, Managing Director at Officeworks says a key ingredient in the success of the project is the opportunity for the team to learn and expand their skillset.

Officeworks Managing Director Sarah Hunter says the partnership and investment puts Officeworks in a great position to cope with rising demands and volumes well into the future and will enable the company to focus on remaining agile and adaptable to meet the evolving needs of its customers.

“Over the past two years we have experienced strong growth, both in store and online. To ensure the safest and most efficient ways of working for our team members across our supply chain as well as providing better service for our customers and stores, we have partnered with

The new technology will improve the workflow for Officeworks team members and reduce the time team members are required to spend walking around the DC.

Körber to develop a fit for purpose supply chain solution with flexible automation, voice picking technology and a new Warehouse Management System, which will enable us to continue to grow well into the future.” Sarah says.

“A key ingredient in the project’s success is the opportunity for our team to expand their skillset with hands-on technical training – investing in them to have the right skills and enabling them to continue to grow their careers with Officeworks.”

“We’re honoured to work with another cutting-edge retailer in the Wesfarmers group and prove the case for flexible and agile technology through automation, technology and sophisticated software solutions,” Nishan Wijemanne, Managing Director APAC and Global Leader of Robotics at Körber Supply Chain says.

“This project demonstrates our ability to provide our partners with a number of different solutions, creating synergies and efficiencies across the supply chain. We are proud to call Officeworks our partner and we look forward to continuing to work with them through the next steps of their supply chain transformation journey.”

With the solutions now rolled out at Officeworks’ Victorian CFC, the leading retailer is looking at further applications of Körber technology solutions across its supply chain. ■ MHD JULY 2021 | 13

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MHD SUPPLY CHAIN

E-COMMERCE BOOM TURNS CRISIS INTO OPPORTUNITY Maggie Zhou, Australia & New Zealand Managing Director of Alibaba, discusses e-commerce opportunities for Australian businesses.

C

OVID-19 has created many challenges for businesses, but crisis can present opportunity. That’s the motto Chinese e-commerce giant Alibaba is taking into its relationships with Australian businesses trying to crack the Chinese market.

Maggie Zhou, Australia & New Zealand Managing Director of Alibaba, says the company is helping Australian retailers take advantage of this opportunity. She tells MHD that there is a growing demand for Australian products in China, because of our reputation for fresh produce and strong environmental standards.

“Australia has an image of being very ‘green’,” says Maggie. “So when Chinese consumers think about Australian-made products – particularly in areas like food and skincare – they associate them with freshness and environmental purity.”

Maggie expects the online shopping trend will continue to grow post pandemic. In an uncertain world, she says, digitilisation looks to be one of the only certain opportunities for businesses going forward.

“We noticed that consumer behaviour shifted throughout and after the coronavirus outbreak – and is continuing to shift,” she says.

“More consumers are staying indoors, meaning people are getting more and more used to the convenience and comfort of taking care of their daily living needs digitally.”

China recovered from COVID faster than most of the world, meaning consumers have had time to adjust their daily shopping habits, according to Maggie. This is great news for certain Australian brands

with the most potential to increase their reach in China. Maggie says that health products have enjoyed a

boom in sales post pandemic, with physical wellbeing at the forefront of consumer thought.

Maggie Zhou, Australia & New Zealand Managing Director of Alibaba.

MHD JULY 2021 | 15

MHD SUPPLY CHAIN

While Alibaba must respect the local Chinese market, Maggie Zhou says it’s a privilege to sell Australian products internationally.

“Categories including cleaning, natural products and skincare, as well as health supplements in the Chinese market can be very expensive but very popular,” she says.

Maggie speaks of the cultural importance in China of people taking care of not only their own health, but the wellbeing of family and friends as well.

“Many people in China care more about their health than before. Not only the traditional products but some of the new ones are increasingly sought after by Chinese consumers,” she says.

Maggie expects to see further growth with Tmall, a platform for international businesses to sell brand name goods to Chinese consumers. The website is operated by the Alibaba Group and can facilitate a diversification of goods as different generations look for products outside the box.

“There are different functions for different generations, different for kids, women, men, the elderly. These are diversified and there is no longer just one type of product on the Chinese market,” Maggie says.

Alibaba can further support Australian companies with a strategy to combat the expense of moving product in the sky. They have warehouses in China where brands can pre store and pack products into warehouses via ocean freight, bypassing the cost of air freight.

“Companies can just deliver those products from the boarding warehouse to Chinese consumers’ doors very easily and 16 | MHD JULY 2021

“

We are explorers in the local market as well as the international market. I believe globalisation is more like ‘glocalisation’.

”

efficiently,” Maggie says. “We haven’t been heavily impacted by air freight during COVID and nowadays it’s even better than when the pandemic started.”

Like any company, Alibaba needs to know if it can trust who it is working with. This presented a challenge during the period in which Zoom calls replaced face-to-face interactions, says Maggie.

“Last year we did a lot of matching businesses online between Australian brands and Chinese merchants. Sometimes this is a challenge but we can find a way to tackle the challenge and make it an opportunity,” she says.

Having worked with Alibaba in the early start-up days, Maggie is well placed to offer a clear vision for the future. She says that while it is imperative to respect the culture of the local Chinese market, it is at the same time a privilege to work with Australian businesses to sell their products internationally.

“This is just the beginning. We are explorers in the local market as well as the international market. I believe globalisation is more like a ‘glocalisation’,” she says.

Maggie’s mindset is focused on what she calls the ‘Four News.’ New retail, new technology, new finance and new energy. But while these new technologies, processes and methods are the means, she insists that one must never lose sight of the end.

“In the next era technology will be very important,” she says. “But tech is always just a tool to understand the customer’s needs.” ■

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MHD MATERIALS HANDLING

SMART SOLUTIONS KEY TO REDUCING CONVEYOR BELT DOWNTIME

The continued growth of e-commerce has ramped up volume for the parcel handling industry. MHD talks to Flexco about the challenges that come with high demand, and solutions to common pain points.

F

lexco has a clear priority when it comes to conveyor belt solutions. While quality, delivery and cost are all important – it’s safety that comes first for the more than 110-year-old company.

Safety has to come first, says Ellaina Mackay, Product and Marketing Manager for Flexco Australia, because sadly Australian workers have been seriously injured from conveyor belt accidents. She explains that fingers can get caught in the system when people try to reach into gaps to retrieve loose objects that are causing the belt to stop.

“Safety will always be number one in our hierarchy – we want to keep our customers safe at work,” she says. “The next most important aspect is quality. We manufacture a lot of our products in Australia and also the United States. Obviously there are cheaper alternatives out there, but we really want to bring the highest possible quality products to the market.”

Flexco has focused more on lighter duty industries over the past 10 years, including parcel handling and food and beverage manufacturing.

“One of our employees spent time at a major parcel handling operation in the US to try and understand what their pain points were and to develop solutions,” says Ellaina. “We’ve invested a lot of time and a lot of money into gaining that intimacy with lighter duty markets.”

One of the results of Flexco’s efforts

to serve the lighter duties sector is its segmented transfer plates. They were engineered and manufactured in the US, and created to provide a safe and simple solution for loss of product at the transfer point. The segmented design is what separates the plates from commonly used homemade ultra-high molecular weight (UHMW) polyurethane.

If a foreign object gets lodged between the segment and the belt, the segment will lift, allowing the item to fall through. The hole in the plate can be fixed in seconds, by snapping a new segment in place. This process avoids damage to the belt, conveyor structure, or packages, and also limits downtime.

“The plates are designed specifically for customers so they’ll suit the exact width and length of your transfer gap,” says Ellaina. “It also helps limit the challenge of belt tear. As soon as the belt rips you can have hours of hours of downtime using homemade solutions, which costs thousands of dollars.”

Australian businesses have been using the transfer plates for the past 18 months. Parcel handling sites are making the most of the decreased downtime, but so are airports with smoothly run luggage conveyors.

Ellaina says she sees businesses save money in the long run on more intelligent conveyor belt solutions like the segmented transfer plates. She adds that most homemade solutions have to be changed every six months,

whereas the transfer plates last an average of two years.

“Flexco wants to help our customers adapt and embrace the e-commerce era. Customers lower cost by reducing downtime and lessening the risk of belt damage,” she says.

“Those two problems are what really hurt the hip pocket.” ■

Flexco’s segmented transfer plates help keep belt downtime to a minimum.

MHD JULY 2021 | 19

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FILLING THE TALENT GAP IN SUPPLY CHAIN Tony Richter of Bastian Consulting talks about the shortage of talent available to the supply chain and logistics industry, and how companies might attract and keep the coming generation of professionals.

A

ccording to Tony Richter, Partner at Bastian Consulting, there is a short-term problem and there is a long-term problem in attracting young and talented people to enter a career in supply chain.

He notes that in the short term, the COVID-19 restrictions on international travel mean that the supply of talent – particularly supply chain tech or software professionals, who often migrate to Australia from countries such as India and China, among others – is much weaker than the industry has been accustomed to.

As the vaccine program rolls out, and restrictions on younger people migrating ease, this short-term supply issue will stabilise, Tony says.

But there is a longer-term problem, he cautions, within the industry when it comes to attracting talent.

“I think for the younger generation, and particularly for those born in Australia, there’s been a lack of education as to what a career in supply chain can actually look like,” Tony says. “Compare supply chain and logistics with something like accounting. If you’re an aspiring accountant you get your CPA, and there is an educational and accreditation structure that gives clarity – at least in terms of a baseline – for what you can expect.”

This isn’t the case in supply chain and logistics, he says. There is a great variety of roles in the industry, but for a young person interested in some of these roles, but not others, there aren’t clearly defined channels to go through.

On top of that, there is also an outdated, yet still pervasive, view of what the industry looks like.

“It still has a reputation of being about just trucks and sheds and moving boxes – old school transport type of stuff,” Tony says. “It’s an old industrial sector in most people’s eyes. They don’t realise how much analytics, software, technology and datascience goes into it these days. Whether it’s

process mapping, optimising manufacturing or warehouse settings – there’s a lot of science and abstract thinking that is obvious once you’re in the industry but might not be very apparent if you’re looking in from the outside.”

He adds that while first tier businesses understand supply chain to be core to their business model and competitive advantage, some smaller- to medium-sized organisations still regard it as a “backoffice or largely administrative function”.

Tony says that the “talent gap” has been a talking point for those in the industry for some years now, and that the phenomenon pre-dates COVID-19. That said, COVID-19 certainly brought to the surface the talent gap by simultaneously creating more demand for talented labour while at the same time restricting its supply.

“Even before COVID there was increasing investment in the sector because of need,” he says. “COVID is really shining the spotlight on the area now because every business, big or small, realises it needs a smoothly operating supply chain function because that in itself is a competitive advantage, rather than merely a support function. There is now an overinvestment taking place because people realise how they’ve under-invested for so long, and combined with the factors limiting talent supply, this is creating a real problem.”

We ask Tony where the unfolding process of automation fits into talent-gap considerations. Is it possible that many young people assume that much of what concerns traditional supply chains and logistics is being automated, and therefore suspect that their futures in the industry might be limited?

“There is absolutely a move towards automation, and it’s an ongoing learning process,” he says. “In some areas, like demand and inventory planning, there’s AI and algorithms that are taking out the

“

Compare supply chain and logistics with something like accounting. If you’re an aspiring accountant you get your CPA, and there is an educational and accreditation structure that gives clarity – at least in terms of a baseline – for what you can expect.

”

MHD JULY 2021 | 21

repetitive transactional nature of supply chains. But it’s a stereotype to say that just because AI is out there that means every company is adopting AI or has the capacity to work with AI – because there’s a lot of variations around who can actually use this stuff.”

He says that companies will use AI to the extent that it is applicable and affordable, but that for a great many businesses human labour and Excel spreadsheets will still be the norm for some time to come.

“But not only that,” he adds, “while some might focus on job losses caused by automation, particularly in the bigger businesses, what people sometimes forget is that automation creates new jobs in warehousing environments. There’s a gap in skills now as to how to work with the technology, how to get the full ROI, how to best maximise utilisation and capacity and so forth.”

This is where there are real opportunities for young supply chain professionals who are both technology-savvy as well as experienced enough in on-the-ground terms to fill such roles. “There are some middle management roles that pay between $100k and $130k, let’s say – around the lower-middle management level – that you can probably get to after seven or eight years of solid work in the industry, and perhaps less if you accelerate your career in the right ways,” Tony says. “That means you can be earning quite good money by the time you’re in your late 20s or early 30s.

For instance, now there is a big push among some companies to implement autonomous mobile robots for purposes of cleaning. It’s a newer concept for Australia but a process many companies want to implement, but very few people have actually worked with them. Because we lack that middle-band of young, technologically adept, but relatively career-mature professionals in Australia, companies will have to import talent from overseas. If we want to nurture a pool of homegrown supply chain professionals, we need to offer them a vision or career path that they don’t simply associate with traditional warehouse work – even if that initial ground-level warehouse work is an essential step in their career trajectory.”

So, if a company was trying to sell a young talented Australian on the idea of pursuing a career in supply chain and logistics, how should they do it?

“I would frame it in terms of why it matters,” Tony says. “I’m interested in the 22 | MHD JULY 2021

Tony Richter, Founder ofBastianConsulting.

“

While some might focus on job losses caused by automation, particularly in the bigger businesses, what people sometimes forget is that automation creates new jobs in warehousing environments.

There’s a gap in skills now as to how to work with the technology, how to get the full ROI, how to best maximise utilisation and capacity and so forth.

”

space because it’s the heart of business.

It’s the engine that runs everything. I know that every professional – from marketing to finance to sales – is liable to overvalue their own positions within a company, and everyone is of course important in keeping their particular cog or wheel turning. But without well-functioning logistical and supply chain functions a business will literally grind to a halt.”

Providing more structure to manage the transition from university to work is key, Tony adds.

“Working alongside Universities and hosting orientations on-site with students pursuing a related degree of interest would be a great start. Mapping out what a potential career path would look like and getting this out to as many young people as possible while partnering with some educational institutions on some marketing initiatives is essential to grow the future talent pool. There is always the option of someone starting out working a warehouse floor and being promoted due to hard work and success. I feel that up until recently, most people have fallen into supply chain by default. But if we can be more proactive and show talented young people how interesting, involved and important this sector really is and why it should be their ideal career choice – that will make a world of difference.” ■

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MHD INDUSTRIAL REAL ESTATE

NO ROOM AT THE INN Cameron Grier, Regional Director for CBRE’s Industrial & Logistics business, writes that the industrial and logistics market is going strong this year as we emerge from the pandemic.

T

he industrial and logistics market has bounced back with considerable vigour following the COVID-related challenges of 2020. In 20 years, I have not witnessed such vast and seemingly boundless volumes of leasing enquiries across the country, and this is not just restricted to the major East Coast markets, with even South Australia and Western Australia experiencing record leasing demand.

With many occupiers now prepared to take on more inventory in their warehouses to replace “Just in Time” with “Just in Case” models and the rapid growth in e-commerce, which experienced five years of growth in just 12 months, vacancy levels across the country are fast approaching “No Room at the Inn” levels.

In CBRE’s most recent National Vacancy Report, from Q3 2020 to the end of Q1 2021 we have seen huge net absorption across the country of

1,733,316 sqm, bringing the national vacancy rate down to 2.24 per cent, which is a historic low.

With the majority of new supply via speculative built stock mostly remaining in the early planning or internal investment committee approval stages, we anticipate that new supply will continue to lag and play catchup in 2021 from the 30-40 per cent of speculative buildings that were placed on hold in 2020 during COVID. We expect core vacancy to further tighten throughout 2021, which should lead to rental growth and reduction in incentives for owners of existing industrial property.

From an occupiers’ point of view, the expected tightening of vacancy across all markets means that occupiers now need to start thinking about their moves much earlier to ensure the continuity of their supply chains.

SYDNEY Strong consumer demand, massive infrastructure projects and accelerated e-commerce adoption have all contributed to a Q1 2021 boom in the New South Wales industrial & logistics market.

Sydney is now the tightest market in the country with 1.40 per cent vacancy, and we are starting to see increasing evidence that owners/developers are willing to be more selective, and happy to wait to secure tenants on longer leases and on more attractive commercial terms.

While we expect existing vacant warehouses to become more expensive this year, there is a divergence in Sydney between the commercial terms on offer for existing buildings versus a Greenfield design and construct.

With the recent rezone of large tracts of land in Kemps Creek and within Northern Gateway at the Aerotropolis in Badgerys Creek,

Industrial property national vacancy rates.

MHD JULY 2021 | 25

MHD INDUSTRIAL REAL ESTATE

Cameron Grier, Regional Director for CBRE’s Industrial & Logistics business. there is fierce competition between these developers to secure anchor tenants with incentives offered on recent deals up to three times that of current vacant buildings, with lower face rentals.

For those occupiers that leave themselves enough time for a pre-lease, we anticipate they won’t be subjected to the same rental growth and incentive tightening as the occupiers just looking at existing vacancy.

ADELAIDE Accelerated industrial and logistics demand within Adelaide over the past 12 months has largely been fuelled by South Australia’s strong food & beverage, defence, mining, high-tech manufacturing and health sectors. This buoyant business confidence has encouraged tenant expansion and amalgamation, with flight-to-quality also being a major component of the investment decision making process. Additional evidence suggests that there was heightened penetration of new entrants in the Adelaide industrial market over this same period.

The majority of industrial land across metropolitan Adelaide has now become fully absorbed after extended periods on the market (pre-COVID), with many wondering where future industrial development land will materialize to meet with the elevated demand levels.

MELBOURNE Melbourne’s industrial supply has historically been fuelled by speculative developments.

However, 2020 saw many of these projects put on hold as developers waited to see the impact of the pandemic, resulting in an imbalance between supply and demand 26 | MHD JULY 2021

“

In 20 years, I have not witnessed such vast and seemingly boundless volumes of leasing enquiries across the country, and this is not just restricted to the major East Coast Markets, with even South Australia and Western Australia experiencing record leasing demand.

”

levels that saw vacancy rates of under 2.5 per cent as of H1 2021. As the market continued to tighten in the South East/ East of Melbourne, the North and West precincts benefitted as occupiers looked elsewhere, resulting in both recording more than 150,000 sqm of net absorption over the first half of the year.

This, in turn, has led to effective rental growth throughout the region, which was most pronounced in the South East precinct. As more speculative development is brought to the market as we emerge from the pandemic, we expect vacancy rates to rise slightly as the market adjusts. Healthy enquiry levels will bring fast absorption of this space and it is expected that the Melbourne industrial market will remain robust throughout 2021.

BRISBANE Queensland has seen stable leasing activity across the first half of the year, as the majority of supply is being taken up by e-commerce and transport and logistics groups. After most of the speculative supply was put on hold during the pandemic, we are starting to see these developments once again resurface, particularly through the Western Corridor. With this shortage of supply coming to the market, and increased occupier demand, we saw over 190,000 sqm of net absorption in the Brisbane industrial market over the last six months.

PERTH The WA industrial market has rebounded strongly, underpinned by the market confidence in a strong mining and resource sector, particularly in iron ore and gold.

Commodity pricing remains at historically high levels, which has resulted in continued infrastructure spending and the potential for new projects.

In addition to mining-related activity we have experienced a spike in demand from a range of industry types, most notably from tenants associated with both e-commerce and general warehousing sectors. The spike in tenant demand from these groups has been the result of tenant confidence in the medium to long term outlook and favourable opportunity for a flight to quality.

Continued net absorption has seen supply levels continue to decrease, particularly for prime stock, which has placed upward pressure on rents and a decrease in market incentives. Demand for speculative developments also continues to grow as investors look to capitalise on industrial assets in the Perth market. ■

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MHD SUPPLY CHAIN Adiona’s platform uses live traffic data so routes can be updated for maximum real time efficiency.

A NEW DAWN FOR ROUTE OPTIMISATION Richard Savoie, CEO of Adiona Tech, says the company’s route optimisation platform solves many of the traditional problems in the field, opening up route efficiency for organisations small and large.

A

diona Tech – named for the Roman goddess of the return journey – launched its platform last year with the goal of creating a new framework and set of machine learning algorithms to optimise lastmile delivery. In a short space of time, those unique algorithms have been put to work for some big-name clients, and the company recently picked up a top innovation award from the New South Wales state government.

“We believe it to be one of the first truly scalable solutions in the space,” says founding CEO Richard Savoie. “It can scale from very small to very large organisations.”

Although the platform is young, it has had remarkable early success.

Richard points to Adiona’s work with client Coca Cola Amatil for evidence of its power.

“We were able to reduce their average delivery drive time – the on-road time of their vehicles – by 48 per cent and average delivery distance by 36 per

28 | MHD JULY 2021

cent,” Richard says. “Trust me, this surprised even us. But this is the power of our new algorithms versus legacy route optimisation algorithms – many of which were originally designed in the 1970s and ‘80s. It shows how much more juice companies can squeeze out with the right platform.”

Previously, Richard says, route optimisation technology has divided into two camps: one designed for small companies and one designed for large. The latter are very difficult to implement, he says, and also extremely costly. Adiona offers a pricing model that allows small companies to have the benefit of large companies’ route optimisation capabilities in an accessible platform and at an accessible price.

“Amazon has reinvented last mile delivery using machine learning and AI,” he says. “We have done the same – and are offering it to other companies to compete with them.”

The problem with most route

optimisation technologies, Richard says, is that they tend to be static.

“People will create route plans that are very difficult to update in real time or using real traffic,” he says. “We think our algorithms are the fastest available.

This allows our users to be very dynamic, for their routes to be updated on the fly using real time traffic.”

The other major problem is that route optimisation technology is often difficult to integrate with other systems like GRP, ERP, and transport management systems, Richard says.

“So, we’ve created an application programming interface [API] that allows for very easy integration,” he says. “Some of our customers have been up and running within a day.”

Adiona works with many companies who provide excellent telematics technologies – vehicle trackers, for instance – that can deliver rich data sets on where assets are, have been, and are going to be. “But many organisations then hit a wall when

MHD SUPPLY CHAIN it comes to the next step,” Richard says.

“Adiona allows them to better utilise this existing data and unlock double-digit efficiency. It takes in data from any different tracking system and uses it to create that new efficiency.”

Although Adiona offers its platform internationally, it was originally designed in an Australian context, and so is attuned to Australia-specific concerns. One such concern Adiona had in mind was the discrepancy between the efficacy of route optimisation solutions in metro versus regional areas.

“We created an extremely specific set of algorithms that address Australian geography,” Richard says. “We have been able to develop a solution that is far more efficient for both regional and Australian city geographies. And that is very unique in the market.”

This is part of the reason that Adiona Tech was recently awarded a $250,000 New South Wales Innovation Districts Challenges grant, the program’s top prize. The grants are aimed at boosting products that address specific challenges of COVID-19.

“Our platform connects asset owners,

“

Amazon has reinvented last mile delivery, using machine learning and AI. We have done the same – and are offering it to other companies to compete with them.

”

shippers, manufacturers – whoever is in our platforms’ ecosystem – to offer spare capacity and increase efficiency,” Richard says.

This means that both companies and society at large can benefit from maximising vehicle utilisation.

“The typical vehicle utilisation rate is under 50 per cent – that’s more than half the time sitting idle – and that has been a huge problem. Such information on vehicle utilisation has traditionally been siloed,” he says. “Our platform allows shippers, asset owners, and 3PLs to automatically get jobs matched up for the best margins and the best rates.”

This delivers benefits to 3PLs, because they’ll get more business, as well as to those distributors ¬– many of them medical supplies companies – that outsource their deliveries, Richard says. “Instead of consigning individual orders to 3PLs, distributors can consign full vehicle loads, because they’ve pre-optimised those full vehicle loads with Adiona,” he says. “This allows them a new level of negotiation with 3PLs that massively brings down the overall cost of outsourcing their delivery.” ■

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MHD SUPPLY CHAIN

RAIL AND ROAD COMBINE FOR CATTLE SUPPLY CHAINS The Morven Freight Hub in Queensland is helping producers and processors by getting more cattle on rail.

Cattle trains can take 45 decks of livestock in one trip.

W

hen establishing a freight hub for a dedicated livestock rail network, location is king.

Multi-million-dollar Morven Freight Hub runs through the Queensland Rail Network at the junction of the Landsborough and Warrego Highways.

By combining the rail network with access to these major highways, producers now have another logistics option to get more livestock to the south-east of the state.

A cooperative effort between government and industry helped create the facility. Deputy Prime Minister Michael McCormack, Agriculture Minister David Littleproud and Queensland Transport Minister Mark Bailey contributed opening the intersection in November last year.

Rail service company Watco East West are contracted by the Queensland government to operate cattle train services in southwest Queensland.

Chris Hood, Watco East West Director, says an advantage of rail is avoiding busy highway networks and degrading roads from Roma all the way through to Brisbane.

“You’re using a big triple road train out in those far regional areas,” says Chris. “Then you’re using rail in the last leg of the works where all your traffic problems are and where you want to get your trucks off the road.”

Liveweight scales at the Hub are an attraction for producers who wouldn’t normally rail their cattle. Chris says very few properties have weighing facilities, but just weighing the cattle before their departure isn’t the only benefit.

“It also gives them an opportunity to transact cattle out of those areas because you’ve got useful data where you can say, for example, this cow weighs 400 kilograms,” says Chris. “Sometimes the meatworks will say we’ll buy this cattle off you on the scales out at Morven, which puts a few dollars back in the producer’s pockets.”

Chris is excited about Watco East West’s ambitions to extend the use of the Hub to industrial freight. He says trains from the more populated areas of Brisbane carrying pipes, cement and chemicals could be redistributed from Morven.

“It could be a distribution yard, it could be an intermodal container hub.

It could be anything because there are the fundamentals of rail frontage, land area and a really good road distribution network into areas that are large consumers of freight,” he says.

The freight project is part of an agreement with the Murweh Shire Council. Shaun ‘Zoro’ Radnedge, Murweh Shire Mayor, says the multimillion-dollar facility’s importance to small regional communities, belted by years of drought, can’t be understated.

“It gives those Northern and Western cattle producers an opportunity to get their cattle onto the supply chain of that southeast corner,” says Shaun.

Shaun believes having rail as an extra transport option will continue to lighten the load for supply chains previously reliant on road networks.

“I look forward to seeing how the Morven Freight Hub will support the broader economic development of the South West,” he says. “I think road and rail can work hand in hand.” ■

The Morven Hub allows cattle to be weighed, spelled and rested before they are redirected on trucks or train.

MHD JULY 2021 | 31

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MHD WAREHOUSING

AUTOMATION REACHING ALL THE WAY UP Demand for industrial and logistics space in Australia continues to grow.

OPEX automation solutions are making the most of warehouse space to increase supply chain efficiency.

M

onty McVaugh, Manager of Product Management at OPEX, says that when it comes to automation, the COVID crisis has forced many businesses’ hands.

“It’s no longer a question of when they’ll implement these solutions but how,” Monty tells MHD. “If you don’t have automation, you’re left far behind.

Many people are trying to figure it out.”

Monty and the team at OPEX are well placed to comment on the advent of automation in Australia, and how to best adapt. For decades, OPEX sold mail and scanning automation equipment to the Australian market, but entered the warehouse automation market in 2018 – at a time when Sydney was the sixth most expensive city for logistics space in the world.

The cost of real estate has only skyrocketed since then. With rising online consumer activity resulting in high property demand, Monty says it’s more important than ever to make the most of acquired space. Businesses want to uncover the most efficient way to store inventory. And the best way, Monty argues, is to look up.

Khurshed Mrza, Director – Warehouse Automation (APAC) for OPEX agrees that using the vertical space of a warehouse can benefit the bottom-line for business-to-business and businessto-consumer operations.

“Australia has been slow to adopt new technologies, but we have recently seen a surge of new adopters,” Khurshed says. “In this age of rising property prices, a critical competitive advantage for a business is optimally using the vertical space because traditional automation has spread horizontally across the footprint of the warehouse.”

Occupying less space allows OPEX’s customers to use smaller warehouses, be closer to consumers, and reduce the last mile cost of the fulfilment.

OPEX’s Perfect Pick system automates goods-to-person picking and stocking, and its iBOT technology retrieves and stores goods at up to 1000 tote presentations per hour per aisle. A typical full aisle system can store more than 12,200 totes, each capable of carrying a 35Kg pay load.

“A lot of older systems have reached their full capacities. You can’t squeeze the lemon anymore, it’s dried out,” Monty says. “We have different sizes of totes and can configure our systems to precisely cater to the needs of our customers.”

The standalone system can be expanded by adding modules or more aisles. Additional iBOTs can be introduced or removed in minutes. A customer entering automation can buy a small system on the perfect picker, use the vertical space, and expand the picking capacity as the business grows.

OPEX’s Sure Sort is a small item system that uses a robotic item sorter to handle variables and deliver parcels to their final location. Sure Sort can be scaled, sized and customised to the business environment.

Khurshed notes that downtime is one of the biggest enemies of supply chain efficiency. Even an hour of a packing system not working properly can result in thousands of dollars lost in a high velocity environment.

“The iBOTs can be easily replaced/ removed within minutes, if there is a problem within the aisles – unlike many mini-load shuttle systems, where a single point failure causes the entire

OPEX’s iBot technology retrieves and stores goods at up to 1000 tote presentations per hour per aisle. system to come to a standstill.”

Monty counsels caution when it comes to many autonomous mobile robots (AMR) that are entering the warehouse scene. Unlike the Sure Sort and Perfect Picker, he notes, AMRs are still in their infancy – some not yet meeting regulatory compliance and safety standards. This causes businesses to have to limit the capabilities of the AMR to maintain safety, often by putting a fence or cage around it, eating up more real estate inside the warehouse. And space, he notes, is money.

Monty expects demand for automation in Australia to continue growing. As it does, he underscores the importance for businesses of choosing a vendor that offers holistic automation solutions: “A vendor that just provides hardware is only going to provide one piece of the puzzle. While those that can offer an integrated solution might seem more expensive on paper – they’re actually cheaper in the long run.” ■ MHD JULY 2021 | 33

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MHD MATERIALS HANDLING

FOUR KEYS TO UNLOCKING VALUE FROM FORKLIFT CONNECTIVITY T

Crown Equipment explains how forklift connectivity and fleet management is the first step businesses should take in building a truly connected warehouse.

he pressure to reduce costs in the supply chain is relentless.

Almost every material handling organisation is evaluating the role of technology in improving warehouse productivity and efficiency, including forklift-based features that are transparent to operators.

Forklift connectivity and fleet management is a strategy that has demonstrated its ability to deliver measurable improvements in warehouse management.

A significant step forward has been made with the availability of cloudbased forklift fleet management systems.

Cloud-based deployment minimises the need for additional IT hardware and allows systems to be brought online much faster than on-premise deployment. This also opens up the benefits of forklift fleet management to smaller warehouses.

If an organisation can’t successfully implement forklift fleet management, there is almost no chance it will be successful with more complex technology initiatives such as forklift automation. The corollary is also true: A successful forklift fleet management implementation can serve as the foundation for increased use of warehouse technology in terms of both organisational experience and increased control over key operating metrics.

Through our experience with forklift fleet and operator management implementations, Crown has identified four keys to realising value from the connected forklift.

Forklift connectivity reduces the need for additional IT hardware.

1. CLEAR GOALS Forklift fleet management’s versatility – it can be used to monitor a wide range of warehouse metrics – is part of its attraction. But it can also be a drawback if an organisation doesn’t establish clear goals prior to the implementation. An organisation that implements forklift fleet management to solve a specific operating issue is more likely to have success than an organisation that implements forklift fleet management with the plan of determining where it can deliver value post-implementation.

The goals an organisation might consider in relation to forklift fleet management include reducing impacts, increasing equipment utilisation, streamlining compliance, improving operator productivity and reducing service costs.

One of the most effective tools for ensuring continuous improvement is a scorecard that benchmarks the current state and documents initial results.

Once initial goals have been achieved, the bar can be raised further and goals can be expanded to create a continuous improvement process.

2. RELEVANT, TIMELY DATA In today’s digital world, the challenge is as likely to be too much data as not enough. Forklifts can provide a wealth of data to a management system, including logging each impact and the time, monitoring energy use and battery charge, tracking the time a truck is sitting idle without an operator, and the actual and average travel and lift times for each operator.

The forklift fleet management MHD JULY 2021 | 35

MHD MATERIALS HANDLING management dashboard, managers need the ability to drill down to isolate problems. This is where the depth of data provided by a forklift fleet management system becomes important. It should give managers the ability to quickly and accurately isolate root causes of issues such as low utilisation or low productivity related to specific operators.

3. C ONSISTENT MANAGEMENT COMMITMENT Management must stay engaged through all stages of implementation. systems must be designed to present this data to busy managers in a way that makes efficient use of their time while providing the basis for decision making.

That requires information to be timely and to have appropriate context. It’s also important that the system includes interactive features that can communicate and record results.

Forklift fleet management systems rely on three types of information delivery to meet these requirements: alerts, a dashboard and detailed reports.

• A lerts: Alerts can be delivered to managers via email, text message or the management dashboard, and provide immediate notification of events that require attention, such as impacts or operating conditions that exceed preset thresholds. Alerts can be a powerful tool in managing change if they are set up properly.

• M anagement Dashboard: The forklift fleet management dashboard needs to provide managers with a quick overview or snapshot of operating trends within the warehouse. This allows managers to monitor trends and take action before they reach critical levels and trigger an alert. A well-designed dashboard can enable a shift from reactive to proactive management by providing managers a quick visual overview of key operating trends and a clear path for quickly drilling into issues that require attention. The dashboard also needs to address the needs of different members of the management team as forklift fleet management is most effective when multiple managers are engaged with the system.

• D etailed Reports: Based on the information presented by the 36 | MHD JULY 2021

Forklift fleet management is a tool that puts the onus for its success squarely on management. It’s tempting with any technology for managers to be engaged during the early stages and then to shift their focus once they believe the technology has been successfully implemented. That’s exactly the wrong approach with forklift fleet management.

Engagement with the system needs to grow – not diminish – following startup.

If management doesn’t stay engaged with the system and consistently demonstrate that data from the system is being used to evaluate performance, there is little chance for sustainable change.

Often the limitations are departmentally based. The maintenance or safety department, for example, may be excited about the potential of forklift fleet management to drive change but ultimately lack the required level of support from production. The data to drive change is available, but

if supervisors don’t hold operators accountable, their behaviour won’t change. Senior management needs to communicate their support of their program, as well as ensure support extends across departments, and departments are working together to achieve defined goals.

4. SITE PREPARATION Implementation problems based on inadequate site preparation can dampen enthusiasm for new technology and discourage adoption. One of the keys to site preparation is getting all stakeholders involved in the planning process, including affected departments (maintenance, operations and safety, among others) as well as IT. Early participation by IT can identify potential issues and help ensure the proper infrastructure is in place to support forklift fleet management.

IT can also guide the decision about whether data from the system should reside on-site or if a cloud-based implementation is preferred.

In addition, data-sharing processes should be defined and documented to ensure that the right information is shared with the right departments at the right time. These processes may ultimately evolve once the system is in place, but establishing them in the beginning increases the likelihood that forklift fleet management will be used by all departments that can benefit from it. ■

All stakeholders should play a part in site preparation.

MHD SUPPLY CHAIN

TWO AND A HALF PARTY LOGISTICS W

Cological’s Peter Jones talks “2.5-party logistics” – and the benefits to be reaped from this innovative new business model.

ithin the third party logistics (3PL) market, companies have traditionally helped businesses from the outside by providing shared infrastructure and resources. While it’s great at saving costs in theory, in practice it does requires businesses to invest in new IT structures and infrastructure they’ll never own. Furthermore, many companies do have their own warehouses they can use for their supply chain – often left idle following a move to 3PL. This leaves small- to medium-sized businesses with two options – either invest heavily in upgrading their own warehouse skills or invest to integrate with a 3PL provider.

There is, actually, a third option. Enter the 2.5PL model, offered by Cological in Australia.

It’s a model where businesses can outsource supply chain services on site, without having to invest in new IT and infrastructure. Providers like Cological take over operations at the existing warehouse. Peter Jones, Founder of the Logical Group, says it’s a way for companies to improve their operations,

Online consumer habits have prompted a change in warehouse operations.

38 | MHD JULY 2021

Peter Jones, Founder of the Logical Group. while not having to fully outsource them.

“Because we stay on site, the client remains engaged within their supply chain rather than having it handed across the fence,” he says.

Peter notes sister company Prological’s oversight is fundamental in providing the required intelligent solutions, while helping improve the

day-to-day operations.

More and more companies are adopting the strategy across Europe and North America, but it remains uncommon in Australia’s small to medium sector. BMW and Mercedes are rare examples who do use supply chain experts on their Melbourne and Sydney facilities.

Peter notes that a major advantage of this 2.5PL strategy is that it reduces the logistical and financial blow of changing a company’s range of systems and infrastructure. It’s effectively outsourcing through insourcing, he says, as IP and headcount is curated by the 2.5PL all from within the business’s own four walls.

“We don’t carry the overheads of a traditional 3PL company. We don’t have IT systems and infrastructure and heavy insurance policies and everything that goes along with that,” Peter says.

The rise of online consumer activity, Peter says, has presented significant opportunities for businessto-consumer (B2C) supply chains.

MHD SUPPLY CHAIN

Companies that deliver directly to the customer, like Amazon, have their operations set up for this interaction from the start. But what about businesses who have historically relied on business-to-business (B2B) sales trying to break into the consumer market?

Peter says many warehouses are designed for mass orders and aren’t equipped to handle the velocity of outbound products in a B2C transaction, which is a very different profile to wholesale purchases.

Packing a pallet of 50 shoes is a very different process to 50 individual boxes purchased by online clicks.

“Warehouses haven’t been able to transition their design anywhere near as quickly as the transition in consumer behaviour has occurred,” Peter says.

He emphasises that the size of the tasks and number of activities to fulfil for B2C sales can be difficult to fulfil in an environment designed for B2B. “We’ve been involved with a few firms recently who are looking to move their B2C to different sites so they can set them up new,” he says. “In doing that, they’re not compromising their B2B environment.”

“

Because we stay on site, the client remains engaged within their supply chain rather than having it handed across the fence.

”

This is where Cological can come in and offer a staged approach to improving warehouse operations. The picking task in warehouses is ordinarily the most time consuming, and where the most resources are spent.

Once picking becomes seamless, Peter says, velocity will increase – putting pressure on staging and outbound processes.

One positive change can cause a chain reaction, so solutions have to transition activity development with each other to ensure the best possible efficiency.

Cological prides itself on being passionate about manufacturing and supporting medium and small Australian businesses. Peter says using client strengths to foster growth needs to be a unified process between partners. He hopes this model of the 2.5PL might facilitate the next sector within the logistics marketplace.

“We need our clients to be successful as well,” he says. “We have expertise – but we don’t know their industry, we don’t know their business. For us to succeed we must partner up together.” ■

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MHD MATERIALS HANDLING

TOYOTA FORKLIFTS MEET GRAPE EXPECTATIONS

An iconic Hunter Valley winery is crushing its workload during the busiest time of year with a fleet comprised exclusively of Toyota forklifts.

Brokenwood Wines Senior Winemaker Stuart Hordern.

B

rokenwood Wines in Pokolbin, New South Wales, recently acquired a new Toyota 8FGJ35 3.5-tonne capacity forklift to accompany two 2.5-tonne 8FG25 forklifts in coping with its peak season, when grapes are harvested and processed for the year’s vintage.

As 11-year Brokenwood veteran senior winemaker Stuart Hordern explains, vintage in the Hunter Valley occurs early in the year and requires all hands (and all handling equipment) “on deck” to handle the rush.

“We do the vast majority of our work in a 2.5-month period every year,” says Stuart. “For example, our new 3.5-tonne Toyota forklift does probably 80 per cent of its annual work within just that window, so equipment failure just isn’t an option for us. It’s crucial that we can depend on our forklifts during vintage.”

Brokenwood Wines was founded as a small boutique winery in 1970 and over the last 50 years has grown into a well-recognised and regarded winery in Australia and internationally. It is particularly famed for its Graveyard Vineyard Shiraz – which was named Australian Wine of the Year in the 2021 Halliday Wine Companion.

Brokenwood Wines made the shift

40 | MHD JULY 2021

to Toyota forklifts after an extensive relationship with Toyota Material Handling Australia (TMHA) Area Sales Manager, Allan Peacock, who has been involved with and supplying forklifts to the Hunter wine industry for over 25 years.

“I have known the Brokenwood Wines team, including Stuart, for a long time and call in on them from time-to-time for a friendly conversation,” says Allan.

“So when it came time for Brokenwood to replace an old fleet of forklifts I had a site appraisal with Stuart to evaluate their latest needs and recommend the Toyota equipment that is mostappropriate for their business.”

Brokenwood’s Stuart Hordern agrees that TMHA was able to understand the winery’s work processes – and that this led to specifying several differently configured Toyota forklifts.

“As a winemaker I have a lot to do with overall organisation, including purchasing and procurement, so I am very hands-on,” says Stuart. “I think it’s fair to say Allan tailored our forklifts to the needs of our business, for sure.

“We were interested in what he was able to bring to the table after analysing the latest workings of our business.

The suggestions he made included considerations such as capacity, safety and efficiency.

“We examined forklifts from several different brands and ultimately Toyota was selected. Our operators’ opinions after trialling them also influenced the final decision.”

A key innovation for the winery was the addition of a specialised attachment for its new Toyota 8FGJ35 forklift, which is the main “workhorse” during vintage.

A Cascade 360-degree rotator with hydraulic fork positioning can be adjusted from the operator’s seat

without the need for time-consuming manual adjustment – greatly increasing productivity when handling differentsized objects such as grape bins.

“The rotator head really streamlines our workflow,” says Stuart. “It easily allows us to tip 500-kilogram bins of grapes into our fruit receiver, and also tip red wine fermenters.

“When the big Toyota forklift isn’t flat-out during vintage, we can use it for other general warehousing duties such as moving barrels, unloading trucks and racks, packing and stacking.”

Brokenwood Wines uses Toyota forklifts because equipment failure during vintage is “not an option”.

MHD MATERIALS HANDLING The performance of Brokenwood Wines’ Toyota 8FG25 2.5-tonne forklifts, acquired in 2014 as a 60-month fully maintained rental greatly influenced the decision to add the more recent 3.5-tonne 8FGJ35.

“These two original units have since been rolled over for an additional 24-month rental period, and that goes to show the longevity and reliability of the Toyota Forklifts,” says TMHA’s Allan Peacock.

“That we acquired our larger 3.5-tonne Toyota forklift late last year speaks volumes for the first two older machines,” adds Stuart.

“We started out with the two smaller Toyota forklifts and in the six years or so we’ve had them, they have proven to be highly dependable. We haven’t had any problems.

They simply keep on going. Their quality and reliability have been fantastic.

“We know we can rely on them to perform, which is what we need in this business – especially during crunch- time – and this gave us plenty of faith in our newest larger Toyota forklift, which has so far performed with similar durability.”

“We at Toyota have a very refined production system that ensures high-quality machines,” says Allan. “So, when you buy one of our forklifts you know it’s a reliable machine.”

“

These two original units have since been rolled over for an additional 24-month rental period, and that goes to show the longevity and reliability of the Toyota Forklifts.

”

Brokenwood Wines has specified a Toyota Deluxe Pack option for all its Toyota forklifts, which benefit from their EFI engines being fitted with a three-way catalytic converter to reduce emissions.

Stuart says sustainability is a primary concern for Brokenwood and that a lowemission option is best suited the winery’s enclosed and temperature-controlled areas – as well as from an operator health and safety perspective. “Our forklifts and operators work in sensitive environments, so having an option for lower emissions was highly appealing to us given our strong interest in sustainability,” he says.

Safety features from the Deluxe Pack include speed limiting Load and Travel Handling controls in addition to standard System Of Active Stability (SAS) forklift stability control.

“I can’t speak for all winemakers, but there seems to be a wide acceptance of Toyota forklifts in the Hunter Valley,” Stuart says.

“You certainly see a lot of them around – us included – and we won’t be changing that any time soon.” ■ For more information, freecall 1800 425 438 or visit www.toyotamaterialhandling.com.au

MHD JULY 2021 | 41

MHD WOMEN IN INDUSTRY

TEAMWORK THE SECRET TO SUCCESS FOR WOMEN IN INDUSTRY

2021

Ahead of the Women in Industry Awards, Ambassador Rachel Ashfield writes that the secret to her career success has been the support of a strong team.

I

n this month’s column as Women in Industry Ambassador, I wanted to reflect on my secret to success – my team.

I truly believe that your success is only as good as the team structure, rapport and networks that you build, all of which lend themselves to the overall success of the company.

Hearing that I work for a highly technical automation company that sells complex automation and cloud solutions is not what people expect when they meet me at an event and ask what I do. Especially when I begin by explaining that I am in marketing.

Eyebrows are quickly raised, and I know everyone wonders how I ended up here.

If I think back on my career, I too sometimes ask, ‘How did I get here?’

From the outside, it might seem like a slow rise to such a senior position, but the journey to head of the marketing division at ifm has been so quick in my eyes. My career has seen me travel pathways filled with triumph, hurdles, and yes, at times, disappointment. But throughout it all, I’ve had a supportive team around me.

While not everyone may have a ‘dream team’ when starting out, I believe you get out of teamwork what you put in. Whether a man or woman in any role within any industry, if you bring a level of energy and conviction of belief to your career journey, the hard work will pay off and successful results will follow.

Even better is when you have worked with a team for a period and have developed great synergies – this builds a solid foundation for success. Together 42 | MHD JULY 2021

you build excitement, engagement and a dynamic that people want to be a part of. Departments can see the rewards of their participation with you when they see the outcomes of the material you produce because of their contribution towards the end goal.

As long as you are passionate, believe in yourself and strive for your best possible outcomes – you will be assured of career success and job satisfaction. It may not be easy and will possibly be a bumpy road along the way, but remember to celebrate the small victories. It is easy to overlook all these important milestones when you are busy working hard for the career highs.

Luckily, Women in Industry is here to help you acknowledge these small wins. We are the supportive team you can count on to be cheering for your success, the network of likeminded women here to help build the excitement and engagement that will see you ooze confidence and work towards those big overarching career highlights.

Ultimately the foundation of success of women in any industry is the innate desire to achieve results and striving to be the best in your chosen field. Being able to participate, network and apply your own understanding of people and what drives them will build a strong supportive team to help both individuals and businesses succeed.

One day, your team might even nominate you for a Women in Industry award. Until then – nominate yourself.

We’ll be here, ready to support you. ■

Believe in yourself and strive for excellence, says Rachael Ashfield.

“

While not everyone may have a ‘dream team’ when starting out, I believe you get out of teamwork what you put in. Whether a man or woman in any role within any industry, if you bring a level of energy and conviction of belief to your career journey, the hard work will pay off and successful results will follow.

”

The Women in Industry Awards will be held on Thursday 19 August 2021 at the Arts Centre in Melbourne.

For more information, visit www.womeninindustry.com.au

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MHD MATERIALS HANDLING

OPTIMISE YOUR OPERATION

Northline has improved its safety and efficiency at its Adelaide site by using the latest Combilift equipment. Brett Williams tells MHD why he chooses Combilift equipment to boost Northline operations.

B

rett Williams, Regional Manager West at transport and logistics business Northline, says that his professional relationship with Combilift dates back almost a decade. He tells MHD that he has come to trust and rely on Combilift for the provision of specialised materials handling equipment.

“In short I’d say that Combilift set themselves apart not only for the quality of their equipment, but how operatorfriendly it is too,” Brett says.

Australian owned and operated, Northline has an industry-leading national network and an international reach into more than 100 countries. It has 13 depots across Australia, with the ability and flexibility to tailor solutions to meet the needs of their customers and evolving market demands, including scaling up to add further capacity as needed.

Its international network transports, stores, tracks and delivers freight, by road, rail, sea and air across the globe,

connecting to its national network and modern operating facilities.

Northline’s operations rely on equipment that is innovative, user friendly, cost effective, and of a high quality, Brett says. “The Combilift team are very good on service, and always deliver on their word. They have always taken care of us, and we’ve been consistently pleased with the quality of product they supply.”

Among the most important pieces of equipment that Combilift supplies to Northline’s operations is its new model Combilift Straddle Carrier, which has recently been deployed at Northline’s Adelaide depot in Regency Park.

The Adelaide intermodal depot opened roughly four years ago and sits alongside Pacific National – one of Australia’s largest rail freight businesses.

“We have a cargo link arrangement with Pacific National where they use a reach stacker to position containers from the rail network into a section of

the yard,” Brett says. “We will use a straddle carrier to go in and collect those as well as reloaded containers to send back out. We are constantly positioning containers coming in and out of the shared cargo link area, so obviously we need reliable equipment. The straddle carrier that Combilift supplied us in the past couple of months has given us a real leg up in terms of both handling time per container and safety.”

The latest Combilift Straddle Carrier is an integrated 20/40 top lift spreader, meaning it can handle both 20- and 40-foot containers up to 35 tonnes in weight. It features two high stacking capability, can operate under low awnings and doorways, can turn a container on its own axis (saving space), and allows 360-degree visibility to the operator when the load is raised. Combilift says that its new Straddle Carrier also has superior fuel efficiency, and lower initial investment and operating costs compared to other Combilift’s new model Straddle Carrier has recently been deployed at Northline’s Adelaide depot in Regency Park.

MHD JULY 2021 | 45

MHD MATERIALS HANDLING

The Combilift CB multidirectional counterbalance forklift means greater ease of movement for long loads. container handling solutions.

“The new straddle carrier is a top lift, so the operator doesn’t have to leave the cabin and manually connect chains to the container,” he says. “This allows for a more seamless and certainly safer operation. It reduces risk for both the goods handled and the operator.”

Brett adds that if one were to isolate the process of simply picking up and dropping off a container, then the new model Combilift Straddle Carrier saves roughly 80 per cent of that time.

While that process might only account for a very small part of an operation, it adds up in the busy, large-scale,

Northline Adelaide site.

In addition to the straddle carrier, Brett says that the Combilift CB multidirectional counterbalance forklift and the Combilift Aisle Master are also favourites of Northline operations.

“The Combilift CB is a terrific piece of equipment,” Brett says. “Its ability to move not only forwards and backwards, but also laterally, is a thing of beauty because in our business we do handle a lot of long product – often up to six metres in length. With a normal forklift you’d have to keep picking up the product and putting it down, and utilise much more space by having to swing the

Northline’s Brett Williams says Combilift equipment stands out because it’s reliable and operator-friendly.

46 | MHD JULY 2021

load around. That poses a safety risk.”

Instead of having to turn a long load around – often by lifting it high in the air to allow space to manoeuvre – the forklift driver can simply drive up to curtain side containers or trailers, pick up the load, reverse back, then proceed to drive laterally in direct systematic fashion, Brett says.

Similarly, he notes, the Combilift Aisle Master provides superior economy of movement. Northline’s Darwin depot is installing the Aisle Master – an articulated reach truck – in its operations, and Brett says they’re also considering bringing them into Adelaide.

The articulated forks of the Aisle Master can move laterally, and pivot the load while the wheels remain stationary.

This allows warehouse aisles to be much narrower – and with the Adelaide operation contemplating a move to narrower aisles the Aisle Master would be a natural fit in terms of economy of movement, efficiency, and safety.

But useful though such equipment might be, Brett says it would come to nothing if it were not also operator friendly. “Because it’s operator friendly, it gets used,” he says. “If operators find a piece of equipment hard to use, then they’ll find every reason under the sun not to use it.”

Combilift provide excellent operator inductions, Brett says, but adds that the machines are already very intuitive to operate. “The upskilling is very easy.” ■

Plan, Execute, Communicate Managing Logistics is the process of taking a customer on a journey from enquiry through to delivery. In today’s post pandemic environment the delivery task is changing to be faster and more responsive to customer needs.

Optimising delivery plans and needs to take account of an increasing number and type of constraints and be generated fast. Automatically monitoring, and where necessary correcting, this plan based upon direct feedback from the field in near real time is the foundation of managing the customer journey This visibility of operations enables automatic real-time notifications to be sent at critical points throughout the delivery life cycle, providing a

superior customer experience, whilst reducing call centre costs.

The technology behind this capability also needs to recognise the specific requirements of each industry. Bestrane recognises this and has assembled a suite of “best of breed” technology and relevant implementation and ongoing support skills to provide its clients ‘fit for purpose’ solutions that provide outstanding customer service and generate substantial savings .

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MHD SUPPLY CHAIN

TACKLING REAL WORLD PROBLEMS WITH SOFTWARE SOLUTIONS Supply chain professionals are paying more attention to GPS tracking and route planning for the efficient movement of goods. Bestrane Australia is providing a complete solution for every leg of the delivery process.

B

estrane’s eight-year partnership with Origin energy shows there are often multiple pieces to the transport and distribution management puzzle.

It began with implementing Descartes’ Route Planner application to control how routes were generated across the country.

Next, driver mobile technology provided a means of executing these plans and providing near real-time feedback on route status.

Once the planning and execution was running smoothly, Origin moved to providing customers with a uniquely crafted series of notifications, based upon real-time updates of route status using Bestrane’s partner, Glympse.

Finally, an onboard truck meter via Bluetooth provided a fully integrated delivery experience.

It was through working so closely with Origin that Bestrane was able to refine its offering. David Sanders, Bestrane Group Managing Director, says supply chain management consultants need to consider the real-world application of every software solution.

“There are more applications sourcing more data from more locations more often, so you’re swimming in data – the real catch is, how you’re going to get this to ground,” says David. “You have to deal with how you’re actually going to implement this stuff, and how do you know whether it’s adding benefit to the customer.”

Bestrane Group was founded 18 years ago to address a gap in the market between traditional management consultants and technology vendors.

“Our core proposition is to establish

48 | MHD JULY 2021

David Sanders, Group Managing Director. what outcome the client is trying to achieve, identify relevant technologies from our solution portfolio, and put in place the implementation and support services to extract the value,” he says.

“In many cases, that requires integrated route optimisation, execution and customer notifications combined with vehicle telematics.”

Many technology firms have different departments which work relatively independently to each other. David says this can mean the sales, implementation and support teams aren’t all on the same page.

“A lot of technology vendors are set up like that – the last thing you want is for the support technicians not to know what the client is doing and ask what products the client has and what they are using it for – it leads to a pretty average end-user experience especially when there is a time-critical support request,” he says. “Bestrane’s approach

Adam Welch, Assurance Manager. of having multi-functional, client focused teams generates a much closer operational relationship. This is needed to maintain and improve the quality of our implementations –and often survives changes of client personnel and ownership.”

Bestrane uses relationships with partners to help deliver a customised product to the customer.

“The real challenge with these tools is understanding how to harness this data, feed it to the applications that matter, and generate real value on-theground that is relevant for each client,” David says.

Routing tools are calculators aimed to manage constraints. Today’s bestin-class Route Optimisation tools, such as Descartes’ Route Planner, take full advantage of web-based architecture, access to scalable processing power and modern machine learning algorithms.

This generates optimised plans while

MHD SUPPLY CHAIN

Bestrane works with management software like Geotab’s to inform datadriven decision making.

ensuring they are executed through fully integrated driver handheld applications and truck GPS. “You have to deal with how you’re going to implement this to each specific client,” David says. “Understanding which constraints matter and finding the data to support them is at the heart of most implementation efforts and is often an activity that survives beyond the initial implementation.”

If the weight of a truck is really important, you have to know the weight of the products inside the truck as well. If your customers are only open between 1pm to 4pm, getting there between those time constraints is essential.

Adam Welch, Assurance Manager at Bestrane, says the difficulty with this type of “operational” data is that it is typically not well collected or organised. It is not uncommon for Bestrane to assist clients in cataloguing this data. If the opening times of a specific customer are important to the quality of the routes, Adam says, the Bestrane team often needs to go to the source to find answers.

“We have to identify what’s the real constraint in this business and how do we get access to it,” says Adam. “We’ll spend days with a new customer, getting them to walk us through how they do business and continually ask them why.”

One of the largest constraints for Bestrane to consider is company policy. The consultant’s assurance practice has been formed for clients to conform with the ever-changing chain of

“

Understanding which constraints matter and finding the data to support them is at the heart of most implementation efforts – and is often an activity that survives beyond the initial implementation.

”

responsibility and legislative landscape as well as operational best practice.

“We need to determine how constraints such as driver breaks, load restraint, and fatigue have to be built into any plan and confirm they are being adhered to,” Adam says. “This is the principal reason that routing tools and telematic applications such as Geotab are working closely together.”

Adam says the planets have to align for a customer to jump on board with the company.

An operator fully believing in the solution isn’t enough to get the project over the line. Finance experts must justify the cost, technology employees have to look at the upside of using customer data. Ultimately, the board decides on the proposed solution.

“The back and forth that happens with clients is probably a sign that this space isn’t very well understood,” says Adam.

“The operators actually know what the problem is and how to solve it, so it’s sometimes about helping them sell that internally.”

Bestrane is always looking to add products to their catalogue of software solutions.

The tech vendor and consultant can choose whichever strategy best fits once the client outsources the service.

“You can go and buy an optimiser, a routing tool or a GPS solution off the shelf at just about anywhere– but it does not work on its own,” Adam says. “Realising actual value requires an implementation approach that respects the constraints that really matter.” ■ MHD JULY 2021 | 49

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MHD SUPPLY CHAIN

MEASURING AND MANAGING YOUR FLEET

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Geotab’s Matthew Ballentine discusses fleet management, telematics, and how Geotab’s platform can help provide greater vehicle efficiency and increased driver safety.

eotab’s philosophy is that “you can’t manage what you don’t measure”, says Matthew Ballentine, Regional Manager – ANZ. By broadening the scope of what can be measured in fleet management, Geotab’s range of telematics solutions allows for decision makers to get the most out of their fleets.

Central to good measurement is telematics – a method of monitoring cars, trucks, equipment, and other assets by using GPS technology and on-board diagnostics to help plot an asset’s movements on a computerised map.

“By implementing a comprehensive telematics platform like MyGeotab, fleets can get the most out of their assets by turning their data into actionable insights to help improve their operations,” Matthew says. “These data insights can help improve heavy-truck operational factors, including safety, route planning and fuel usage, therefore maximising the asset’s full potential.”

While Geotab goes a long way in providing solutions to help fleet managers optimise their data collection and use, Matthew adds that Geotab’s fleet management solution provides an “open platform” which allows integration of third-party hardware accessories, software, and mobile apps, providing customers with unfiltered access to their data for a more customizable fleet management experience.

It is essential, says Matthew, that customers have unlimited access to data generated by their vehicles. “With access to an open platform, Geotab customers have complete control over their data, enabling them to share and utilise data as they see fit,” he says. “Given the ever-changing and unique Australian

MyGeotab is an open platform that can integrate data from third-party sensors. landscape, customers will always have the flexibility to customise or scale their data to help meet the changing needs of their fleets.”

Matthew explains that through Geotab’s unique IOX connection – meaning integration into a variety of third-party sensors – the Geotab platform can retrieve data generated by vehicles including GPS position, tyre pressure monitoring, and temperature monitoring for refrigerated fleets.

To help optimise efficiencies, identify inefficiencies, and improve safety, Geotab facilitates the integration of third-party software and technologies.

“Geotab provides customers with access to a robust platform of hardware add-ons and software add-ins through the Geotab Marketplace,” Matthew says.

“This platform provides customers with a wide selection of solutions from our world-class partners to help fleet managers and drivers meet their fleet management goals.”

In the Australian context, one particular area of interest going forward, says Matthew, is the increasing sophistication of work diaries and the regulatory compliance around them.

“Work diaries, commonly referred to as electronic logging devices

(ELDs) in North America, are used by drivers of commercial motor vehicles to help automatically record driving time and Hours of Service records, as well as capture data on the vehicle’s engine, movement and miles driven,” Matthew says.

He says that the United States and Canada have mandated ELD regulations to help ensure the safety and compliance of drivers. “Currently, Australia is in the early stages of evolving compliance requirements for fleets by transitioning from paper logs to electronic ones,” Matthew says. “During this transition, Geotab has identified a need for clarity among Australian fleets in terms of when a driver needs a certified work diary, assistance opportunities for those who want to stay paper-based, as well as safety and compliance solutions for those who don’t currently need a certified diary system.”

As many electric vehicle manufacturers begin to expand their presence in the Australian Market, Geotab is ahead of the curve, says Matthew. He says that Geotab currently supports the largest set of EV makes and models in the world – including light, medium and heavy duty EVs and buses. This gives fleet managers and decision makers a leg up as electric vehicles become increasingly established in Australia.

“With Geotab’s MyGeotab platform, electric fleets can feel confident that they have full access to their EV data, and Geotab can provide full telematics support to help fleets transition from zero to 100 per cent electric,” he says. “We offer a wide range of fleet electrification tools that can help measure KPIs to ensure the transition and maintenance of EV fleets is as simple as possible.” ■ MHD JULY 2021 | 51

MHD MATERIALS HANDLING

TOWARDS THE BEST IN MACHINE VISION TECHNOLOGY In the 40 years since its founding, Cognex has pioneered and refined the best in machine vision technologies. Sven Klockmann talks to MHD about the company’s tireless efforts to achieve 100 per cent barcode read rates.

M

achine vision manufacturer and solutions provider Cognex was founded in 1981

by Dr. Robert Shillman – an MIT lecturer – and two of his students.

The goal of the enterprise was to be the leading machine vision company, says Sven Klockmann, Head of Sales Logistics Solutions – ANZ, ASEAN & India.

Starting off with its DataMan product series, Cognex went on to develop various machine vision systems for some of the largest automotive, consumer electronics, and pharmaceuticals companies in the world. “In these and other industries, we solved challenges in robot guidance, quality inspection and identification applications,” Sven says.

“Now Cognex is the leader in cuttingedge machine vision – we hold over 1000 patents in registration.”

Along the way, says Sven, Cognex became a major problem solver in the supply chain and logistics space.

“We developed the world’s leading barcode reading and 2D code reading algorithms,” he says. “And these are now used by the world’s largest logistics providers and e-commerce retailers in their distribution and fulfilment facilities.”

Cognex brought the fist camerabased code reading system to the materials handling market while everyone else was still using laserbased scanning technology. The cameras are now used in automated single and multi-side identification tunnels, high throughput presentation reading stations, and for large area pallet identification.

Sven explains that there are 52 | MHD JULY 2021

Cognex’s camera-based system provides greater read-rates on damaged or obscured barcodes. important advantages of camerabased coding and reading systems compared to the traditional laser technologies.

“Camera-based systems and technology hold a natural advantage over laser-based systems, even though the latter are still predominantly used in this space,” says Sven. “First of all, you can actually see the image with a camera, rather than just having a laser reading of a barcode. As a photo or video is taken of a box or parcel going through the field of vision, you can actually see what the system is seeing, which makes it much easier to analyse what’s happening, and what’s going wrong if something does go wrong. If there is no read of a barcode you get

this visual feedback from the system – and pictures obviously provide a lot more information.”

Visual feedback allows users to see why a barcode wasn’t read correctly, whether it be due to dirt, damage, or other packaging issues.

The information gathered from such failures is then used to further tailor Cognex’s algorithms to reduce the chance of failure occurring again.

“It is quite easy for our camera systems to outperform lasers, but our algorithms – consistently refined and improved – allow us to outperform new competitors with their own camera systems,” says Sven. “And today we are pretty proud of the fact that there’s really no other system

MHD MATERIALS HANDLING provider out there that can provide better read rates or match our read rates in automated systems with barcode reading.”

Better read rates means greater reliability in the entire distribution centre machinery, Sven says, maximising the throughput of logistics operations.

According to Sven, in Australia barcode reading is still done primarily with lasers. This is a problem as more and more parcels are being delivered in greater variety and in greater volumes.

“Read rate failures with laser systems are much higher, but increasingly so for foiled and noncuboidal objects, which is important these days as more items are getting shipped not in boxes but in various shapes and bags for economical purposes – presenting more variability and challenges for barcode readers,” he says. “To take one example, when it comes to reading barcodes that are shiny on foil non-cuboidal packages, we compared our camera system with competitor systems that utilised a combination of lasers and cameras, and we still achieved better results with our DataMan product.

And what does this mean in terms of numbers?

“We had a great success story in Germany with a major fashion e-retailer, which is one of the largest in Europe,” Sven says. “The challenge was to bring their systems from a 95 per cent read rate to over 99 per cent.

And we brought it to well over 99 per cent. Given the volumes that are processed, you can imagine what even a fraction of a percentage means when applied across millions of packages.

Cognex’s camera based code reading system is ideal for processing pallets.

But it’s not only the far higher read rate – it’s the fact that when a barcode was not read, our system was able to give a reason why it wasn’t, which is ultimately something that the company’s operations team wants to understand.”

But even with 99 per cent plus read rates, users want – and Cognex aspires towards – a 100 per cent target. To that end, Cognex recently launched a new image intelligence platform that better collects and categorises images.

With better categorisation of images, operations teams can improve how they zero in on precise problems to find their root causes.

“For example, one big issue that we’ve found is with flagging labels, where a label is coming off a box,” says Sven. “This might result in not only a non-read, but further issues downstream in terms of materials handling equipment – getting stuck on a roller conveyor, for instance.”

This year Cognex opened its first Australian office, identifying not only Australia, but also the surrounding region as ripe for improvement.

“In Australia and New Zealand in particular, we have sophisticated countries and economies with high labour costs,” says Sven. “And I think our technology is a natural fit here to reduce costs right across the supply chain, increasing efficiency and throughput as well as making it more robust at a time when there is a great deal of pressure on it. From Cognex’s perspective, with our successes in America and Europe, it’s a great time for us to come down and help out by seeing where our technology can be applied.”

“We believe our technologies are the best on offer and that our culture is the best out there” says Sven. “We work hard, but don’t take ourselves too seriously – our main concern is to solve problems for our customers.” ■

MHD JULY 2021 | 53

MHD SUPPLY CHAIN

THE FUTURE OF WORKFORCE MANAGEMENT MHD speaks to UKG Practice Director Gideon Joseph, and Practice Manager Nick Crawford, about how purpose-built workforce management solutions can help organisations engage their employees, reduce labour costs, boost productivity, and minimise compliance risk.

A

ccording to Gideon Joseph, Practice Director at Ultimate Kronos Group (UKG), the organisation’s goal is to empower workforces and, in so doing, empower companies.

“We believe an organisation’s people are their most competitive asset,” he says.

To that end, Gideon says it’s important to start with the basics of “putting people first”.

“From an absolute base level, the key thing is to make sure you’re actually paying people correctly so that you’re building trust, engagement, and retaining employees,” Gideon says.

“Then you have to ensure that when you’re rostering people, you’re not just meeting compliance obligations under the Industry Award, but also complying with all relevant health and safety requirements.”

Those can include obligations around number of days worked in a row, proper enforcement of breaks during the day, proper training, and licencing, he says.

UKG offers comprehensive solutions in the fields of human capital management (HCM), payroll, and workforce management. Gideon says an organisation must get the fundamentals right and set the foundations before it considers anything else.

“From there, we can start to think

54 | MHD JULY 2021

about initiatives that engage and empower employees,” he says. “For example, instituting an accessible employee self-service solution, so that employees can update their availability and apply for annual leave on their mobile devices anytime that suits them, and be assured that the system is in place to assess and approve changes immediately.”

Such smooth-running processes can make the difference in retaining talent, an especially important concern right now in supply chain and logistics, Gideon says.

A SINGLE SOLUTION Nick Crawford, Practice Manager at UKG, says that UKG’s offering – incorporating workforce management, HCM, and payroll into a single solution – offers great benefits to organisations in our modern, heavily regulated environment.

“Scalability is critical as businesses expand and grow,” he says. “We’ve been recently talking to clients about preparing for their Christmas rush, where they need more people to deliver product over the holiday season. Being able to scale up a single solution is tremendously useful, being able to hire and manage employee demographics – and have it work seamlessly with the employee-end experience – is just vital.

It eliminates potential discrepancies such that payroll can be put out as the authoritative source of truth, and it provides visibility and insight into a holistic picture of how an employee works, as well as greater efficiencies.”

The need for integrated people management is particularly acute in the Australian context, adds Gideon.

He says that in the past few years – and accelerated by the headaches of COVID-19 – there has been a shift in perspective in assessing the resilience of Australia’s supply chain, including the resilience of labour supply.

“Australia has one of the most complex employee relations systems in the world with our Award requirements and the various other overlays,” Gideon says. “That’s why UKG invests hundreds of millions of dollars each year in R&D to ensure that our product is compliant and efficient from a legislative and regulatory perspective. If businesses want to scale, they still have to scale in the Australian context – and that’s where I think that products like what we offer are crucial in alleviating the manual workload that comes with complex compliance arrangements.”

He notes that Australia’s employee relations system is not only complex, but also prone to sudden and dramatic developments. This includes the introduction in the last two years of

MHD SUPPLY CHAIN an annualised salary requirement that puts the burden on organisations to track and document salaried employees to ensure they are receiving at least as much compensation as they would receive for actual hours worked under the relevant Award.

“That’s not something organisations ever had to do before,” says Gideon.

“We’ve had a lot of contact in the last 18 months from our supply chain businesses preparing to implement solutions to track and report on compliance from an annualised perspective. UKG’s single solution offers flexibility and adaptability to changing circumstances that is essential in such an environment.”

THE NEED TO ACT NOW Nick Crawford says that the game has changed post-COVID, with government treating supply chain as a matter of national security and pandemic labour restrictions rubbing up against an already complex and expensive Australian labour system. He says that companies need to act now to make their workforces efficient and sustainable.

“So many of our clients’ offices closed, severely limiting face to face contact, making the ability to adjust their rosters flexibly and remotely – as you can with UKG’s solutions – more

important than ever,” says Nick.

“Putting the control back in employees’ hands, so they can swap shifts to satisfy their own needs without interrupting the workflow of managers – this is important in a climate of uncertainty.”

Gideon adds that the demands put on supply chain and logistics companies over the past 18 months have underscored the need to act proactively. Lockdowns, which drove an upsurge in e-commerce, and border closures – which further disrupted international supply chains and put the onus on local alternatives – put logistics and distribution businesses under tremendous pressure, he says.

“There was an enormous need, felt by our supply chain customers, to change their supply routes and be more dynamic and responsive in their sourcing so as to fill the gaps,” Gideon says. “And from the labour side of things, UKG has been helping our clients adjust to this by leveraging the optimisable scheduling within our application to be more dynamic and attuned to forecasted outcomes. So, rather than saying, ‘I’m a DC and I’m going to roster people from 8:00am to 5:00pm and that’s when the trucks are going to be available’, we started to see customers leverage advanced capabilities so they could instead ask, ‘We know what’s coming in and

we know what’s going out, and we know what work needs to be done in the meantime – how do we leverage that information to roster people with the right skills at the right times so as to maximise productivity and minimise costs?’

“Everyone is already playing catchup, so if supply chain and logistics companies don’t act proactively now, it gets more and more risky for them.”

THE INDUSTRY 4.0 WORKFORCE The possibilities for automation and machine learning in HCM and workforce management are extremely exciting, says Gideon, both in terms of employee satisfaction and business optimisation.

“Once upon a time if you were sitting at home and saw last minute tickets to go on some fantastic holiday, you’d have to wait till you got to work the next day, fill out a form, wait for it to be assessed, and so on,” he says. “The power of artificial intelligence and machine learning now allows you to actually configure a system so it knows how many people are needed, what conditions must be met, the number of people that can go on leave at one time – so that you can have automatic approval of that holiday. That’s better for employers and employees in terms of efficiency and satisfaction.” ■

UKG provides greater rostering flexibility, adaptability, and accuracy – for both workers and managers.

MHD JULY 2021 | 55

MHD PROPERTY FOCUS

WHAT NEXT FOR THE WESTERN SYDNEY LAND MARKET? T

The Colliers team talks with MHD about their latest Western Sydney Industrial Development Update, and what we can expect in Sydney’s industrial land space moving forward.

he Sydney industrial and logistics market is experiencing unprecedented levels of tenant demand as transport and retail occupiers accelerate their supply chain innovation agendas. With occupiers moving towards new facilities as they focus on automation and efficiencies, this has placed considerable pressure on Western Sydney’s industrial land stocks.

Colliers’ latest Western Sydney Industrial Development Update has found that demand for industrial land in Western Sydney continues unabated as institutional groups adopt a build-tocore strategy. Recent yield compression and limited buying opportunities has resulted in it becoming more difficult to acquire stabilised assets, and as a result several groups are seeking scale via development. Given the significant weight of capital chasing land opportunities, land values in Western Sydney have doubled over the last five years.

David Hall, Head of the Western Sydney Industrial team at Colliers says: “In Western Sydney, there are 1997 hectares of net developable industrial land which can be delivered within the next five years. Two thirds of this land exists within the Outer West submarket and largely stems from the Mamre Road Precinct and remaining lots within the Western Sydney Employment Area.

“While the 1997 hectares may seem sufficient in the short term, most of this land remains unserviced or is owned by an inactive landowner, which will limit take-up activity. Active landowners currently control just less than half of Western Sydney’s developable land stocks and at a take-up rate of 200 hectares per annum, this represents 4.8 years of supply.”

The Mamre Road Precinct will provide for a large share of new warehouse demand over the next decade in Western Sydney. While the area encompasses a gross developable area of approximately 850 hectares,

CURRENT WESTERN SYDNEY LAND SUPPLY Timing

Land Available (ha)

Active Landowners (ha)

0-12 months

169

70

12-36 months

1,121

686

36+ months

707

206

Total

1,997

962

WESTERN SYDNEY YEARS REMAINING Annual Take-up

Years Remaining (based on 1,997 ha)

Years Remaining (based on 962 ha)

150 ha

13.3

6.4

200 ha

10.0

4.8

250 ha

8.0

3.8

56 | MHD JULY 2021

Colliers is expecting the net developable area of the Precinct to be in the order of roughly 600 hectares after taking into consideration services, internal road networks and buffers. In this case, the Mamre Road Precinct provides the potential for approximately three million sqm of warehouse space once fully developed.

“Land ownership and planning constraints currently represent the largest barriers for development in the Mamre Road Precinct,” David says.

“Just over half of the net developable land within the Precinct is owned by a private or non-industrial occupier (schools/retirement village) and for this land to be developed, it would need to be acquired by an institution or developer group who have the capacity to fund the costs associated with the servicing of land.”

Jock Tyson, Executive in the Western Sydney Industrial team at Colliers says: “From a planning perspective, there remains uncertainty in the short term around the final controls for the Precinct. The Draft Development Control Plans (DCP) for the Precinct are expected to be finalised in Q3 2021, and until this is complete, planning will remain a constraint to the development of the Precinct.”

The report notes that the Enterprise zoned land, as part of the Western Sydney Aerotropolis, will provide relief in the long term. “This land represents the next wave of industrial development opportunity beyond the Mamre Road Precinct,” Jock says.

“Our analysis shows that 2000-2500 hectares (gross) could potentially be used for industrial use within the Aerotropolis Precinct, with the balance

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of land being used for other uses including agribusiness, commercial, retail and mixeduse development. Further reductions to this total will occur as it moves through the various planning stages to become development-ready while green space requirements and riparian corridors will further dilute this total.”

“In terms of timing, initial development of scale within the Aerotropolis Precinct will begin within the next three-five years,” David Hall says. “However, the bulk will be delivered over the next 10-20 years and will be structured around the overall growth of the Western Sydney Airport and the delivery of critical infrastructure such as roads and services.”

Colliers’ report states that the availability of land within the Mamre Road Precinct will result in hyperscale sheds becoming more prevalent within Western Sydney.

According to Luke Crawford, Director – Research at Colliers: “Sydney for a long time has been unable to accommodate hyperscale requirements in scale and as a result the growth in the average warehouse size over the last decade has lagged that of Melbourne and Brisbane.

“The delivery of larger facilities (net lettable area of more than 40,000 sqm) has been a growing trend in Melbourne in recent years and we expect these types of developments to become more widespread in Sydney. TTI’s recent pre-commitment of 73,920 sqm within the Mamre Road Precinct highlights this.

“

The Mamre Road Precinct provides the potential for approximately three million sqm of warehouse space once fully developed.

”

“From a land value perspective, yield compression has driven growth in land values as it has enabled institutions and developers to pay a premium for land as the value on completion is now significantly higher. The correlation between yields and growth in land values is positive and they have closely tracked each other over time.

“The outlook for further yield compression is favourable, underpinned by the significant weight of capital chasing assets in the market and positive structural tailwinds driving demand levels. With this in mind, we are forecasting land value growth of between eight and 10 per cent in Western Sydney in 2021.” ■

To download the latest Western Sydney Industrial Development Update, use the QR code to link straight to our Research paper. Colliers welcome any questions about the research and how it can best assist you in your property needs. “At Colliers our mission is to maximise the potential of property to accelerate the success of our clients and our people.”

For more information, contact David Hall on +61 428 242 410

MHD JULY 2021 | 57

MHD FROM ASCI

ASCI UPDATE The latest from the Australian Supply Chain Institute.

ASCI PROFESSIONAL ACCREDITATION SCHEME Registration under ASCI’s Professional Accreditation Scheme offers an equitable, rigorous, evidence-based process to be recognised for your career achievements for eligibility into either Associate or Practitioner Registration via four streams (procurement, operations, logistics and integrated logistics support).

Congratulations to our most recent registrants.

Martin Lewis RegPracLog Martin has been recognised for more than 20 years’ experience in all aspects of supply chain including S&OP and planning, logistics and procurement. His experience includes delivery of significant projects in infrastructure, ERP systems, business change and cost optimisation using a combination of analysis, synthesis and stakeholder engagement.

Zolzaya Bayarsaikhan RegAssocProc Zolzaya is an experienced professional in supply chain management with a demonstrated history of working in the mining & metals industry.

Registration Application Fees are $100 and can be purchased from https://www.asci.org.au/educationstore

MARTIN WEST TO HEAD TECHNICAL COMMITTEE ASCI Board has appointed a Technical Committee to develop, review, and maintain all technical aspects of the ASCI Professional Accreditation Scheme, including the ASCI Supply Chain Management Glossary of Terms and Definitions. Martin West will be Committee Chair.

Martin has over 30 years’ experience as an academic, industry professional and consultant in logistics, supply chain management, procurement, strategy development, transport economics and innovation. He has been a consultant in supply chain management in the private sector (Deloitte, AECOM Engineering, BSD Engineering ) and has been a Professor at Curtin University in Supply Chain Management and Dean of Business College, Ajman University in Dubai.

ASCI CONTINUED PROFESSIONAL DEVELOPMENT Webinar: How IoT solutions mitigate risk through data-driven transparency When: 1-2pm AEST Wednesday 21 July via Zoom webinar In this panel discussion, experts in supply chain technology and risk will share: • H ow IoT solutions empower Supply Chain professionals with more control through greater visibility of their assets; • W hat data insights IoT can really deliver – beyond simple location information, how the IoT gives you real-time knowledge about the condition of your shipments; • I nsights drawn from a wealth of experience to help manage your IoT

project across many stakeholders and external partners; and • H ow the knowledge and certainty derived from IoT solutions helps you build better, more trusted relationships with supply chain/network partners.

CONFERENCE: SUPPLY CHAIN VISION IN THE DECADE FOR ACTION When: 28-30 July in Western Sydney In its third year as the largest gathering of supply chain managers in Australia, ASCI2021 will provide clarity around what is expected of supply chain managers and what the priorities are to act and lead a future-proof global supply chain into the new decade.

Five themes will run across six streams over three days: 1. P eople, culture and skills 2. S ustainability, ethics and social outcomes 3. G overnance, compliance and regulation 4. A gility, operations and risk management 5. T rending technology and new supply chain ecosystems.

At ASCI2021, you will hear: • I nspirational keynotes from both local and international progressive organisations; • C ase studies from peers across logistics, operations, procurement, and ILS; • S tate Government on employment, economic growth and development; • E xperts on infrastructure growth; and • W estern Sydney Airport Briefing.

Visit our website: www.asci-2021.com.au ■ For more information contact enquiries@asci.org.au.

Join ASCI and take steps towards your professional career pathway in 2021. Membership starts at $275 with concessions available upon evidence of your employment situation or membership to another association. Visit: www.asci.org.au/Join Scan the QR code to buy your ASCI2021 Ticket.

58 | MHD JULY 2021

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MHD SCLAA

CELEBRATING SUPPLY CHAIN & LOGISTICS EXCELLENCE Promotion of the supply chain & logistics industry as a profession and acknowledgement of its highest achievers are essential to address skills shortages.

SCLAA Director, Prof Ben Fahimnia presenting Qiaoyan Yu with her award.

T

he University of Sydney’s Institute of Transport and Logistics Studies (ITLS) celebrated its 30th birthday on Saturday 15 May. Although impacted by COVID-19 restrictions, 130 friends and guests came together in the stately confines of the University of Sydney’s Holme Building Refectory to mark the gala event. Over three magnificent hours, ITLS reflected on its many achievements over 30 years, and acknowledged the outstanding contributions of its academics and students.

Post-dinner there was the presentation of awards, where outstanding students were recognised for their exceptional academic achievements.

On behalf of SCLAA, Prof Ben Fahimnia presented the SCLAA Excellence Award to Ms Qiaoyan Yu for obtaining the highest academic achievement in the Master of Logistics and Supply Chain Management. SCLAA has sponsored this generous annual award since 2017.

Reflecting on an incredibly successful three decades of operation, ITLS looks forward to the coming years in which it will continue to be an exemplar of thought leadership in transport, logistics, and supply chain management. ITLS values the contributions of SCLAA to its outstanding achievements and will continue its collaboration with SCLAA in the years to come.

Prof Ben Fahimnia also discussed the crucial role of industry associations

like SCLAA in promoting supply chain excellence with the Secretary of Transport for NSW, Mr Rob Sharp.

SCLAA continues to support and encourage excellence in supply chain and logistics with the 2021 Australian Supply Chain & Logistics Awards – to be held at Crown Palladium in Melbourne on Friday 26th November.

The call for submissions is now open. These annual Awards are celebrating their 60th anniversary this year, and the SCLAA is proud to have hosted them for the past 20 years. ■ For information on the ASCL Awards, the 2021 Call for Submissions as well as the Award Categories and Criteria, please see the ASCL Awards website: https://ascla.com.au/ MHD JULY 2021 | 61

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MHD ALC

PORT LINKAGE INTEGRAL TO SUCCESS OF INLAND RAIL The ALC dissects this year’s Inland Rail Conference, looking at critical steps to increase the share of rail freight into the future.

T

he third annual Inland Rail Conference was held between the 25-27 May this year. The Australian Logistics Council (ALC) and the Australasian Railways Association (ARA) welcomed leaders from across the industry to the meeting in Albury, which was opened by Deputy Prime Minister Michael McCormack.

The Inland Rail project, now well and truly in the construction phase, will create a corridor of commerce, bringing sustainable quality jobs to regional Australia while removing freight from the road network to alleviate congestion.

The meeting heard that the promise of moving freight from Melbourne to Brisbane in one day could change the way freight is moved in Australia, from a ratio of 30 per cent movement by rail, to 62 per cent by 2050.

Attendees also heard that growth occurs around transport routes, with research indicating that complementary market-driven investments made along the rail line could support 2500 full time jobs after 10 years of Inland Rail’s operation.

It could also boost gross regional product by up to $13.3 billion in the first 50 years.

The importance of the development of intermodal capacity was also recognised. The conference discussed the importance of the role intermodals play to ensure that Australia’s transport network operates as a complete system.

The establishment of special activation precincts was recognised for helping businesses to support the efficient operation of Inland Rail in places such as Wagga, Parkes and Narrabi. The development of

intermodals in areas like St Marys and Moorebank in NSW and Toowoomba in Queensland have also played a hand in Inland Rail’s success.

The conference was told the development of the Parkes hub is particularly important, as its position at the juncture of Inland Rail and the East-West rail line will permit costeffective movement of goods to all states of mainland Australia.

However, industry and government need to work together so that both consumer choice of transport mode for freight and investments in road and rail networks can be improved.

Industry needs to ensure that the information is shared, so efficient decisions about freight can be made.

In the long term, this could be done through the Freight Data Hub being developed as part of Australia’s National Freight and Supply Chain Strategy, which is the Federal framework that considers issues that cross state borders.

Governments need to ensure that planning decisions – such as restricting residential encroachment on industrial precincts – still allow for the continuous movement of freight.

Attendees urged the New South Wales Government to take urgent action to deliver its rail productivity strategy so that its target of rail having a 28 per cent share of freight movement in 2021 is realised.

Kirk Coningham, ALC CEO, says: “The Queensland Government must advance the next stage of analysis for a link to the Port of Brisbane to confirm the preferred alignment, and begin the planning and approval process. This needs to include all necessary corridor and land acquisitions.”

“

The Queensland Government must advance the next stage of analysis for a link to the Port of Brisbane to confirm the preferred alignment, and begin the planning and approval process.

This needs to include all necessary corridor and land acquisitions.

”

The outcome needs to be a freight corridor that doesn’t mix with passenger freight.

“A dedicated freight rail corridor linking terminal and container ports exists in Sydney, Melbourne, Adelaide, and Perth,” Kirk says.

Finally, approval pathways for the development of the Kagaru to Acacia Ridge link should be prioritised, as should any work being performed to facilitate the movement of freight by rail from the Port of Brisbane. ■ MHD JULY 2021 | 63

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OZKOR OFFERS RENTAL CHOICE IN PLASTIC PALLETS Leading Australian materials handling equipment manufacture Ozkor now offers a plastic pallet rental service for companies looking for a more reliable and economical alternative.

Designed to meet the high operational demands of automated warehouse systems and modern industrial demands, the new PPX-1165 plastic pallet model will safely handle a 1350 kg load in drive-in racking.

Manufactured with high impact resistant food grade materials, this new pallet is designed for hard work in extreme conditions.

Incorporated in the body of the pallet, patented high impact resistant nylon inserts meet severe day-to-day handling challenges and high operational standards that wooden pallets cannot reach. At the same time, it provides a hygienic, long-term, reliable service, at an economical daily rental rate.

For more information, visit www.plasticpallet.com.au

VANDERLANDE AIRPICK: EFFICIENT PICKING AND SMART RETURNS HANDLING AIRPICK seamlessly integrates innovative systems, intelligent software and life-cycle services. This solution combines efficient picking with flawless automated sortation to individual orders in our pocket sorter, AIRTRAX Pocket. Vanderlande AIRPICK can sort an extremely wide range of products at a low investment level.

• M odular – The highly modular design of AIRTRAX makes it easy to extend, allowing your order fulfilment system to grow alongside your business.

• F lexible – AIRTRAX makes the most of existing warehouse space, facilitating left and right sortation and offering the shortest curve radius on the market.

• C onvenient – Vanderlande AIRTRAX is the first 100 per cent friction-driven concept on the market, running without interruptions associated with traditional chains and with fewer controls required.

• Highest capacity – AIRTRAX delivers high throughput rates and rapid sortation.

For more information, visit www.vanderlande.com

MHD JULY 2021 | 65

MHD PEOPLE ON THE MOVE

BROUGHT TO YOU BY

PEOPLE ON THE MOVE A monthly wrap up of the latest appointments in the supply chain, materials handling and logistics industry.

CORNERSTONE PERFORMANCE MANAGEMENT APPOINTS NEW PRINCIPAL CONSULTANT Crispin Dobson has joined CPM as Principal Consultant – Supply Chain. Crispin has over 30 years of senior leadership experience in supply chain and manufacturing operational roles, most recently in the MRO distribution sector. He will be working to

NEW NATIONAL ANALYST AT UTENANT Laureen Arcilla recently stepped up to be uTenant’s National Analyst – Industrial & Logistics. She has spent the last four years working in the property industry, three of which were spent with CBRE’s Victorian Industrial Team.

deliver extended planning and analysis solutions for CPM’s APAC clients.

NEW LEAD RESEARCHER AT CBRE Sameer Chopra has been appointed to head CBRE’s Pacific research team as well as spearhead ESG research for the Asia Pacific region. Sameer was previously Head of Australian Research at Bank of America Merrill Lynch.

COLLIERS APPOINTS NEW MARKETING COORDINATOR Taylor Bass has recently moved into the role of Coordinator, Marketing & Communications for the Industrial team at Colliers. Taylor will work to lead and innovate within Colliers’ marketing and to accelerate client success.

Do you have career news to share? Email Edward Cranswick at Edward.Cranswick@primecreative.com.au to be featured.

66 | MHD JULY 2021

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