MHD Supply Chain Solutions September 2023

SEPTEMBER

MATERIAL GAINS

Toyota Material Handling Australia launches new state-of-the-art facility in Melbourne

ALL IN ONE CLEANING

Conquest Equipment launches new combination sweeper scrubber

FORKLIFT SURVEY SNAPSHOT

Discover the key takeaways from the recently conducted MHD forklift survey

Learn what factors customers rank #1 when it comes to shopping online

Delays happen, but a bad customer experience should not.

We surveyed more than 2,200 consumers, across eight countries to learn more about their expectations between clicking ‘buy’ and when the product reaches their door.

To learn exactly what today’s customers expect and gain insight on how to make a loyal customer for life download our 2023 State of Shipping and Returns report.

koerber-supplychain.com

MHD

Supply Chain Solutions

CONTACT

MHD Supply Chain Solutions is published by Prime Creative Media

379 Docklands Drive, Docklands VIC 3008

Telephone: (+61) 03 9690 8766

Website: www.primecreative.com.au

THE TEAM

CEO: John Murphy

Chief Operating Officer: Christine Clancy

Managing Editor: Syed Shah

Editor: Edward Cranswick

Journalist: Joseph Misuraca

Business Development Manager: Beth Jarvis

Design Production Manager: Michelle Weston

Art Director: Blake Storey

Graphic Designers: Louis Romero, Kerry Pert

Client Success Manager: Janine Clements

FOR ADVERTISING OPTIONS

Contact: Beth Jarvis

beth.jarvis@primecreative.com.au

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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.

NEW CHALLENGES, NEW SOLUTIONS

As we launch into this fresh edition of MHD Supply Chain Solutions, I am buoyed by the new solutions I’ve recently encountered in the wonderful world of logistics and supply chain. The future of our industry gleams with promise, and every story we present this month mirrors this enthusiasm.

Our conversation in this issue’s Cover Story with Toyota Material Handling Australia (TMHA) President & CEO Steve Takacs offers an illuminating look at their state-of-the-art facility in Melbourne. As I delved into the narrative, I couldn’t help but feel the momentum of an iconic brand taking another leap forward. The journey of TMHA, their dedication to innovation, and their constant pursuit of excellence make for an insightful read.

Food wastage remains an undeniable global challenge. Yet, in the midst of this adversity, visionaries emerge with hope and solutions. Escavox CEO Luke Wood shares his insights on tackling this pressing issue with pioneering food visibility technology. It’s a story that doesn’t just touch upon innovation, but also our shared responsibility in a world striving for sustainability.

In our industry, the strength and intricacy of supplier relationships are the bedrock of success. Prological’s Peter Jones delves deep into the essence of these ties and their pivotal role in procurement. His wisdom serves as a testament to the complexities and rewards of building robust partnerships in our ever-evolving sector.

And then there’s the realm of industrial and logistics property, a universe teeming with stories of growth, challenges, and opportunities. Our chat with Centennial’s Paul Ford, paired with insights from Leedwell’s dynamic duo Steve Smith and Henry Treloar, unravels the mysteries of the ‘mid-space’ market, the intricacies of refurbishing versus redeveloping warehouses, and what the future holds for Adelaide.

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.

COPYRIGHT

MHD magazine is owned by Prime Creative Media. All material in MHD is copyright and no part may be reproduced or copied in any form or by any means (graphic, electronic or mechanical including information and retrieval systems) without written permission of the publisher. The Editor welcomes contributions but reserves the right to accept or reject any material.

While every effort has been made to ensure the accuracy of information Prime Creative Media will not accept responsibility for errors or omissions or for any consequences arising from reliance on information published. The opinions expressed in MHD are not necessarily the opinions of, or endorsed by the publisher unless otherwise stated.

While these are the linchpins of this month’s edition, know that each page carries tales of tenacity, vision, and ingenuity – so be sure to read all of them.

Until next month – happy reading!

Edward Cranswick Editor

edward.cranswick@primecreative.com.au

Every forklift we sell is built with the same precision and famous advanced manufacturing technologies as Toyota’s automotive products. But we don’t just say it, we’ve demonstrated it for over 50 years. That’s why when you choose to partner with Toyota Material Handling, you’re choosing our legendary quality, durability and reliability. You also get the ongoing support of Australia’s most dedicated service and parts network, and that’s just part of the Toyota Forklift Advantage.

1800 425 438

toyotamaterialhandling.com.au

SOLUTIONS FOR EVERY PALLET ®

ARGON & CO ANZ LAUNCH RENEWED SUSTAINABILITY SERVICE OFFERING

With more than 500 consultants spread over 16 offices globally, Argon & Co, leader in strategy and transformation of operations, is very pleased to announce the launch of ESG and Sustainability as a service offering in ANZ.

At Argon & Co, conducting business in a socially responsible way is engrained in our DNA. We believe this is a driver for business success, we will strive to make the planet, our environment and our communities a better place than when we began. Argon & Co ANZ is a carbon negative consultancy and currently being certified as a B-Corp organisation, we value giving back to the community, we have taken the 1 per cent pledge and as a team have support charities such as Oz Harvest, The Smith Family, Drought Angels and Red Nose.

Our sustainability service offering expands our existing strategy and transformation expertise. We assess and design ESG strategies, sustainability assessments & benchmarks and ESG due diligence frameworks. We leverage our existing expertise to drive sustainable operational improvements in every aspect of the end-to-end value chain and leverage our understanding of ESG regulations by supporting sustainable culture and providing learning & best practice.

In the face of unprecedented climate change challenges, consumer awareness and regulatory requirements, we know embracing sustainability is no longer a choice but a necessity for companies seeking to balance commercial growth with corporate responsibility. Despite this urgency, present-day leaders grapple with crucial questions: how to surmount sustainability obstacles and make impactful decisions? Where to

start? How to translate ESG strategy into meaningful action. At Argon & Co we empower companies to achieve lasting success through sustainable practices. We leverage our deep supply chain, operations and transformation expertise to assess, design, and embed effective solutions that drive positive impact and promote a thriving future for our communities, the planet and businesses.

Paul Eastwood, Managing Partner ANZ states, “The launch of sustainability as a core service offering in ANZ will mark a pivotal moment in our commitment to creating a greener and more sustainable future for businesses across ANZ. With the pressing challenges of climate change, sustainability is no longer just an option, but an imperative for companies seeking to thrive in a rapidly evolving world. By integrating sustainability as a core element of our expertise, we aim to empower our clients to navigate the complexities of sustainable practices, transform their operations, and forge a lasting positive impact on the environment

and society.”

Frans Verheij, Former ANZ Partner recently returned to lead the development of Argon’s sustainability proposition comments, “It is not hard, we need to look after our planet and our communities for future generations, I don’t want to imagine a world where my grandchildren are unable to enjoy the planet and social relationships I have. And if that is not enough; with consumer awareness increasing, resources becoming scarce, regulatory requirements increasing and sustainable business models being most cost effective, it makes good business sense to act now on ESG and sustainability. Together, we have no choice but to create a path towards a more sustainable and socially responsible world.”

The new ANZ Sustainability service offering further strengthens Argon & Co’s global sustainability capability, bolstering our expertise and reach to cater to the evolving needs of clients and the broader market.

Argon & Co

Argon & Co has developed a new sustainability offering.

Tim Symons Packaging Manager,

Supply Chain of the Future

Dematic AGVs help keep the beer flowing at Tooheys Brewery.

When Lion Beer Australia started thinking about what its supply chain of the future might look like, they knew they needed to improve productivity to keep up with demand, and adopt processes and technologies that would deliver optimum services for Lion’s people, brands, production facilities and suppliers.

The fleet of Dematic AGVs at Tooheys are helping achieve just that — giving Lion dependable seamless performance for its end-of-line process, keeping product moving accurately and safely to the end consumer.

See the video and read the full story at Dematic.com/lionbeer

Scan to watch the video!

Dematic.com/lionbeer

02 9486 5555

info.anz@dematic.com

Tooheys

DHL SUPPLY CHAIN AND LOCUS ROBOTICS EXPAND PARTNERSHIP TO INCLUDE AUSTRALIA

DHL Supply Chain and autonomous mobile robots (AMR) specialists Locus Robotics, have announced the deployment of fully integrated LocusBots in a first for the Asia-Pacific region.

The multi-customer digital solution LocusONE adheres to the complex quality assurance profiles and regulations for medical device customers Cardinal Health and Terumo.

LocusONE, the industry’s first data science-driven warehouse automation platform for enterprise-wide AMR deployments, brings immense value by providing powerful insights that drive informed decision making. LocusONE transforms complex information into actionable intelligence to enable greater success in an increasingly data-centric world.

“At DHL Supply Chain Australia, we are leading the industry in automation research and development to create truly scalable, efficient and effective solutions for our customers,” says Steve Thompsett, CEO of DHL Supply Chain Australia & New Zealand. “It’s important for us to innovate and to consistently optimise our customers’ supply chains.”

Cardinal Health — a global manufacturer and distributor of medical products — leverages DHL for supply chain and logistics for its customers in Australia.

“We’re glad to see DHL investing in automation and building capacity to be more efficient in the future,” says Jane Crowe, managing director, Cardinal Health. “Cardinal Health has led the way as early adopters of Locus Robotics in healthcare in North America, and it’s fantastic to see investment in the same technology in Australia. Automation drives efficiency, improves employee safety and increases picking and packing accuracy. I look forward to DHL realising similar benefits to its operations, because it will also benefit our customers.”

“Investment in technology for the medical sector is moving forward. DHL’s investment in automation and digitalisation is crucial for Terumo Australia as it enables us to respond faster to increasing supply requirements, aligning with rising demand,” says Terumo Managing Director Jeff Soo. “We’re pleased to see the enhancements in productivity and capacity that this solution brings.”

“We are thrilled to expand our global partnership with DHL Supply Chain into the region,” says Rick Faulk, CEO, Locus Robotics. “This collaboration represents a significant step towards enhancing capacity, optimising operational processes, and elevating DHL’s customer experiences. Together, we are paving the way for a more intelligent, agile, and sustainable supply chain future.”

This automated solution is GAMP 5 (Good Automated Manufacturing Practice) validated and is certified for medical and pharmaceutical distribution. This solution is part of the largest investment in robotics and automation DHL has made in Asia-Pacific, with 1000 robots to be deployed across several sectors by 2025. And it further cements DHL’s position as a market leader in Life Sciences and Healthcare supply chains in Australia.

DHL is the largest customer of Locus Robotics worldwide. This expansion builds on the partnership that began in 2017 in North America.

Assisted picking robots help reduce time spent on manoeuvring pushcarts through warehouses, lowers physical strain on employees, and increases picking efficiency. Assisted picking robots display images of goods to be picked, calculate optimal navigation routes, and reduce required training time. DHL Supply Chain is growing its Australian workforce and is providing continued development opportunities for employees.

DHL’s strategy will see continued investment in launching industry leading innovative solutions for medical devices, cold chain, pharmaceutical and consumer health customers.

DHL now has robotic solutions in all key geographies (North America, Latin America, Europe, United Kingdom, Asia Pacific), and plans to deploy up to 5,000 bots in the years to come.

DHL and Locus Robotics have partnered up.

HANGCHA FORKLIFTS AND BARGWANNAS JOIN FORCES IN NEW MOTORSPORT PARTNERSHIP

The Sandown round of the TCR Australia Series at Sandown in September can be seen on Stan Sport in Australia.

“We are really proud to confirm our new partnership with Hangcha Forklifts,” said Ben Bargwanna.

“The team at Hangcha are very enthusiastic about going racing. Their business is material handling equipment, and like us, they love machines. We feel that there is a really cool synergy and we are looking forward to delivering great results, on and off the track.”

Jason and Ben Bargwanna are pleased to confirm a new partnership with Hangcha Forklifts in a multi-race category partnership program.

Regarded as one of the leading manufacturers of forklifts in the world, Hangcha Forklifts opened its support with Ben Bargwanna, supporting his entry in the final 3 rounds of the S5000 Australian Drivers’ Championship at Sydney Motorsport Park that took place the weekend of 29-30 July, then on to Tailem Bend and the final at the Adelaide 500 in what will be his fourth round in the V8-powered open wheel championship.

The striking blue and red colours with the Hangcha Forklift logos that flank Bargwanna’s #71 S5000, were unveiled at the CeMAT trade show at Sydney Olympic Park on Tuesday 25 July.

Adding to Hangcha Forklifts support of the Bargwannas will be a new entry in the TCR Australia Series.

Ben Bargwanna will continue to drive his Burson Auto Parts Peugeot 308 under the Garry Rogers Motorsport

banner, while a new Peugeot entry will be added to the GRM stable from the fifth round at Sandown in September and throughout the two TCR World Tour events at SMSP and the Bathurst international.

The driver of the new Hangcha Forklift Peugeot TCR entry will be confirmed in due course.

Hangcha Forklifts was founded in 1956 in China and is ranked inside the top 10 material handling equipment manufacturers in the world.

Hangcha’s sales network consists of more than 70 dealers across 140 countries in Europe, Africa, Asia, Oceania and Latin America.

The brands’ portfolio of forklifts include a complete range of material handling equipment, including combustion forklifts, electric forklift trucks and a full range of warehouse equipment from electric pallet trucks to reach trucks.

All of the S5000 racing action can be seen on Foxtel and Kayo for Australian viewers, Sky Sports in New Zealand and via the Supercars Superpass around the world.

“This is an exciting new partnership to the Australian motorsport scene and we are proud to introduce the team at Hangcha Forklifts to the sport,” said Jason Bargwanna.

“There is great potential for both Hangcha, Ben and Bargwanna Motorsport in this new partnership. Their international reach and our local strengths give us all of the bases covered.

“Hangcha Forklifts is proud to partner with the Bargwanna team in their varied motorsport competitions,” said Daniel Anderson, National Sales Manager, Hangcha Forklifts.

“The surname Bargwanna needs no introduction on the Australian racing scene. Jason has conquered the biggest races, and now his son Ben is rising through the ranks.

“Like Hangcha, the Bargwannas are fast moving and passionate about their business, and for us, that makes them the perfect partners. We have some amazing and innovative products in our range and when quality is at the forefront of your minds, we can’t think of a better environment than the intensity and competitive nature of the racing to stand behind our brand and our products and grow the brand in Australasia and beyond.”

Hangcha has jumped in the motorsports sponsorship game.

COLES SIGNS LANDMARK AGREEMENT

Coles and Origin have signed a landmark agreement, which will see the companies co-invest in renewable energy and battery assets at up to 100 Coles supermarkets and liquor stores nationally.

Over the next three years, Coles aims to install 20 megawatts of solar panels on top of 100 stores across the country, with batteries to be installed at one third of the stores to capture and store excess renewable electricity generated on-site.

Coles Head of Energy Jane Mansfield says this important alliance will help the retailer lower emissions, reduce electricity consumption from the grid and bring down operational costs – with 20 sites to be completed by next year.

“This alliance with Origin is an important step towards achieving our 100 per cent renewable electricity target by June 2025,” she adds.

“Not only will this investment

in renewables help us reduce our emissions, it will also lower our operational costs and allow us to meet more of our energy needs from our own on-site solar generation.”

Coles’ rooftop solar, batteries, and energy assets such as in-store heating, cooling and refrigeration systems will be connected to Origin’s virtual power plant to help ease pressure on the energy grid during peak periods of demand.

Solar panel installation is currently underway at six Victorian stores, with installation at all 100 Coles supermarkets, Vintage Cellars, Liquorland and First Choice Liquor Market stores expected to be completed by 2026.

Origin Zero Executive General Manager James Magill says Origin is thrilled to be working with Coles to support its transition to cleaner and smarter energy solutions.

“This is a landmark alliance between

two of Australia’s leading retailers across supermarkets and energy which will see the companies co-invest in renewable energy and battery assets to help deliver greater emissions reductions for Coles,” he adds.

“This also marks Origin’s largest customer aggregation agreement providing Frequency Control Ancillary Services, allowing us to orchestrate 10 megawatts of flexible energy use across heating, cooling and refrigeration assets at select Coles stores, which helps to support stable and safe operations of the grid.”

Coles already has installed solar panels on 87 stores across the country. Other cleaner energy initiatives by Coles to help reduce emissions include electrification of gas assets, the trial of an electric delivery truck, as well as purchasing renewable electricity from wind and solar farms around the country

TOLL INTRODUCING HYDROGEN-POWERED TRUCKS

Toll Group has announced the introduction of its first hydrogen-powered long-haul truck in China, marking a significant milestone in its commitment to sustainable transportation solutions.

It notes the launch of the hydrogen truck is part of its broader sustainability strategy and commitment to achieving net-zero emissions by 2050.

“Toll Group is committed to driving positive change in the logistics sector by adopting cutting-edge technologies and sustainable practices,” says Jonathan Kottegoda-Breden, Asia Logistics President at Toll Group.

“The hydrogen-powered longdistance trucks build upon our battery-electric last-mile fleet to offer a holistic sustainable transportation

solution for our customers in China who are looking to reduce their carbon emissions.”

The hydrogen truck will be deployed for deliveries between warehouses in Shanghai. The prime mover will be able to travel 300 kms per trip – a testament of the efficiency and viability of this clean energy solution for longdistance transportation.

Toll expects the new technology to save up to 149 tonnes of CO2 emissions annually as it aims to transition its full fleet of prime movers to hydrogen vehicles in China over the next two years as hydrogen refuelling infrastructure develops across the country.

These are important initial investments, and hydrogen has

the potential to help decarbonise the long-distance, heavy transport fleet across key countries in Toll’s network.

The launch of the hydrogen vehicle follows Toll Group’s announcement last year that it will invest in two hydrogen-powered electric prime movers in Australia.

More broadly in China, Toll is on track to transition the final 50 per cent of its last-mile fleet to battery-electric vehicles before 2030.

The investment in a zeroemissions fleet aligns with the local government’s environmental and sustainability goals and demonstrates Toll Group’s commitment to reducing emissions and driving positive change to create a more sustainable future.

DHL AUSTRALIA LAUNCHES RAP

DHL Australia has announced the launch of its inaugural Reflect Reconciliation Action Plan (RAP), as it joins a network of more than 2,200 organisations that have committed to the program.

The four DHL divisions across Australia: DHL Express, DHL Global Forwarding, DHL Supply Chain, and DHL eCommerce are incredibly proud to embark on this reconciliation journey because it strengthens DHL’s commitment to playing a leading role in driving sustainability and leveraging core capabilities to make a lasting social impact.

“I believe that by educating ourselves and respectfully communicating and collaborating with the Elders and representatives of the indigenous communities we operate in, we

can build strong relationships with our First Nations Peoples,” says Phil Corcoran, Managing Director, DHL Express Australia and Papua New Guinea.

“By fostering those relationships and upholding those shared values, we will create a lasting impact that will enable a better future for ourselves and future generations.”

The contribution of First Nations peoples, businesses and communities will be integral to DHL’s future success. Its vision for reconciliation is clear: to have a workforce that is representative of Aboriginal and Torres Strait Islander communities across Australia and engage with First Nations businesses throughout the supply chain, supporting local businesses to thrive.

“At DHL Supply Chain, we are committed to educating ourselves throughout our journey towards reconciliation,” says Steve Thompsett, CEO of DHL Supply Chain Australia.

“Diversity and inclusion are key to maintaining and growing our strong team and culture, and I’m excited to strengthen our ties with the First Nations community.”

DHL Australia’s four CEOs: Phil Corcoran, Managing Director, DHL Express; George Lawson, Managing Director DHL Global Forwarding; Steve Thompsett, CEO, DHL Supply Chain; and Denise McGrouther, VP, Managing Director, DHL eCommerce look forward to reflecting over the next 12 months to better understand the opportunities and relationships that will create positive impacts in local communities.

PATRICK TERMINALS INVESTS IN HYBRID STRADDLES

Patrick Terminals has announced an investment in 10 Kalmar hybrid straddles for its Melbourne terminal, positioning it as the first container terminal operator in Australia to invest in this technology.

It says these new straddles are expected to be commissioned in 2024.

“We are proud to be the first container terminal operator in Australia to invest in the Kalmar hybrid straddles and set new benchmarks for more environmentally friendly container handling,” says Patrick Terminals CEO Michael Jovicic.

“As a leader in the industry, we understand the importance of reducing our carbon footprint and promoting environmentally responsible practices.

“Together with our trusted partner, Kalmar, we have a shared dedication to building a more sustainable industry. By investing in these hybrid straddles, we are making a

strong commitment towards our decarbonisation journey.”

This investment is part of Patrick Terminals’ commitment to reducing its carbon footprint and promoting sustainability. The new Kalmar hybrid straddles can reduce fuel consumption by up to 40 per cent, compared to equivalent diesel-powered machines and will support Patrick Terminals’ decarbonisation strategy.

“Kalmar is very pleased to continue the excellent collaboration with Patrick Terminals,” says Sales Director APAC Horizontal Transportation Kalmar, Allan Baker.

“We are delighted with the order of the first 10 hybrid straddle carriers for Patrick Terminals, Melbourne. The hybrid straddles, which can cut fuel consumption by up to 40 per cent compared to equivalent diesel-powered machines, will play an important role in supporting Patrick Terminals

with their decarbonisation strategy.”

The new hybrid straddles from Kalmar are designed to be highly efficient and reliable, with low emissions and noise levels. The hybrid straddles feature advanced technology that enables them to operate on electric power, reducing dependence on fossil fuels.

Patrick Terminals has invested in 10 Kalmar hybrid straddles for its Melbourne terminal.

AUSPOST REPORT REVEALS SHOPPERS MORE SELECTIVE

According to Australia Post’s new quarterly Inside Australian Online Shopping Report1, Australians are being more selective with where and when they spend their money as costof-living pressures continue to bite.

The national parcel delivery company notes with consumer buying confidence at low levels2, Aussies across the country – particularly younger generations – are becoming ‘strategic shoppers’ – looking for ways to maximise the value of their dollar and increasingly take advantage of key sales events.

Australia Post Executive General Manager, Parcel, Post and E-commerce Services Gary Starr says that while an increasing number of households made an online purchase in the fourth quarter – compared to the last year – it is clear that cost-of-living pressures are taking effect.

“Aussies are now more cautious and selective with where and when they spend their money, which is why online shopping carts are averaging smaller than last year,” he adds.

“Our love affair with online shopping hasn’t waned, however, cost-of-living pressures are creating short-term headwinds. This is an opportunity for retailers to entice customers via sales

events, subscriptions or other forms of rewards that create loyalty and repeat purchases.”

While online retailers have reported a slow start to 2023, May bucked this trend, up 5.7 per cent compared to last year, which was largely driven by May sales events.

Despite a softening overall in online purchases, household participation in online shopping continues to grow steadily, with 9.4 million households, or 82 per cent of the Australian population, making an online purchase during the 2023 financial year.

Over the last quarter of financial year 2022-23, the Report identifies on average 5.5 million households made an online purchase each month, an increase of 3.9 per cent compared to the equivalent quarter last year. However, consumers are spending less online overall, with online spend down 3.1 per cent compared to last year.3

An Australia Post consumer survey conducted this year revealed 85 per cent of Aussies aged 18 to 34 plan to shop – or have shopped – during dedicated sales events4. This was apparent in the Report with number of online purchases for EOFY sales up 4.3 per cent compared to the same period last year.

Customer loyalty programs and

bundling services proving popular with online shoppers, with one in four consumers turning to online retail subscriptions as part of their cost saving practices.

Regional Australia continues to see strong year-on-year (YoY) growth in online shopping, increasing 4.2 per cent YoY in the last quarter, compared to just 0.7 per cent YoY in metro areas.

The Northern Territory led the charge in this last quarter, with an increase of 9.3 per cent YoY in online sales compared to last year, with residents seeking to tap into the convenience and accessibility of online shopping.

In support of changing consumer needs, Australia Post has continued to invest in new parcel facilities, fleet and technology including the installation of more than 700 parcel lockers and the Australia Post app, which allows customers to easily track parcels and manage their deliveries and collections, all from their mobile device.

1 Australia Post parcel delivery data analytics and other sources of data. 2 ANZ-Roy Morgan Consumer Confidence, June 2023.

3 CommBank IQ: First 5 months of 2023.

4 Australia Post Consumer Segmentation Survey, Feb 2023

WOMEN IN INDUSTRY AWARDS 2024 IN SYDNEY

Prime Creative Media’s Women in Industry Awards will be held on Thursday June 20, 2024, in Sydney following its record-breaking night in Melbourne this year.

WIIA are held annually to celebrate the women who work tirelessly to advance the mining, engineering, road transport, logistics, rail, bulk handling, infrastructure, and waste management industries.

This award ceremony celebrates the achievements of outstanding

women who drive change, create new possibilities for the next generation, and smash glass ceilings across various industries, including logistics, manufacturing, construction, transport, and engineering – to name a few.

These may be women you work with, women whose achievements are inspiring you from afar, or women who are providing you with invaluable guidance and support. WIIA believes their dedication and exceptionalism should be celebrated.

In 2023, the Women in Industry Awards saw a record 160 nominations across 10 categories with 95 per cent growth in 2022.

Thirty-two individual media mastheads have marketed the event while four sponsors have signed for the 2024 edition, including Atlas Copco, SEW-DRIVE, Fulton Hogan, and Paccar.

To find out more about the Women in Industry Awards, please visit: www.womeninindustry.com.au

A LEGACY OF ROLLING SOLUTIONS

Richmond

forging an exclusive partnership with ForwardX Robotics, a frontrunner in the Autonomous Mobile Robot (AMR) space. With the warehouse automation market poised to hit $60B (AU) by 2027, integrating smart warehousing solutions is non-negotiable for businesses aiming for an international edge. As part of this collaboration, customers can witness the prowess of the next-gen AMR solutions like the Flex, Max, and Apex series at our Melbourne demonstration centre, ensuring they’re equipped for the future.

In an era defined by rapid technological advancements and a pressing need for innovative material handling solutions, Richmond Wheel and Castor Co emerges as a beacon of excellence. As a family-owned company with Australian roots, we’ve been at the forefront of rolling solution design, manufacturing, and supply for over six decades. Our vast network of showrooms, stretching from Australia to New Zealand, is a testament to our reach and commitment.

Our journey began over 60 years ago, and today, our precision-engineered products play a pivotal role in sectors as diverse as manufacturing, transport & logistics, mining, retail, and hospitality. On any given day, thousands of our partners and clients rely on Richmond’s solutions to facilitate their material handling needs. With a portfolio boasting over 8000 products, our creations span both

domestic manufacturing in Australia and collaborations with our esteemed international manufacturing partners.

Richmond’s commitment to bespoke solutions is evident in our extensive custom-made product line tailored to fit the needs of any retailer. Our stateof-the-art manufacturing capabilities encompass CNC machining, fabrication equipment, and cutting-edge CAM and robotic technologies. This ensures our customers receive the perfect solution, even for the most intricate material handling challenges. From heavy-duty castor wheels for shipping containers to conveyor systems catering to food & beverage producers, we have it all. Our notable collaborations over the years, featuring names such as Qantas, Coles, Boeing, Downer, John Holland, BAE Systems, and Tip Top Bakery, underscore our industry standing. Recently, Richmond Rolling Solutions expanded its horizons by

Our innovative zeal doesn’t end here. Teaming up with ForwardX Robotics, we’ve introduced the Flex 60-T, tailormade for Australian Z & A Base roll cages and logistic trolleys. This AMR, fitted with a sophisticated docking and towing system, heralds a new age in logistics operations. From retail settings and hospitals to distribution hubs, this innovation promises efficiency, costeffectiveness, and most importantly, enhanced safety.

In the rolling solutions arena, Richmond Wheel and Castor Co is not just a company; it’s an institution. Our 60-year journey has been driven by innovation, commitment, and an unwavering focus on our customers’ needs. And as the world continues to evolve, so will we, ensuring that Australia remains at the forefront of the rolling solutions. ■

Wheel and Castor Co, Australia’s premier rolling solutions provider, discusses its history and why it has become renowned for its innovation and dedication to excellence in the rolling solutions space.

Richmond Rolling Solutions has expanded its horizons by forging an exclusive partnership with ForwardX Robotics.

The Flex 60-T, tailor-made for Australian Z & A Base roll cages and logistic trolleys.

MHD FORKLIFT SURVEY SNAPSHOT

Recently, MHD polled respondents on various questions relating to forklifts and forklift preferences. Here’s a breakdown of what we found.

In the fast-paced environment of warehousing and logistics, the humble forklift remains a linchpin of operations. Our recent survey dived deep into the industry’s preferences, operations, and future perspectives. Below are our key takeaways.

INDUSTRY VOICES

The diversity of survey respondents paints a rich tapestry of the supply chain landscape. A significant share of the respondents, at 24.69 per cent, were Logistics Managers, followed closely by Operations Managers at 17.28 per cent. Warehouse/DC Managers comprised 16.05 per cent of the survey, thereby ensuring that the survey was firmly rooted in the real-world operations of logistics and warehousing.

BUY VS LEASE

When it comes to forklift acquisition, there seems to be a split. While 45.68 per cenbt prefer to buy outright, a slightly larger 59.26 per cent favor leasing. It might point to the industry’s evolving mindset towards cost-saving, flexibility, and asset management.

LEASING DYNAMICS

Most companies leasing their forklifts prefer going through either the supplier/distributor (46.91 per cent) or direct from the manufacturer (44.44 per cent). However, there’s still a niche group (27.16) who opt for pure leasing companies, suggesting a more personalised arrangement.

EQUIPMENT LIFECYCLE

The majority (50.62 per cent) typically purchase or lease new forklifts between one to four years, indicating a mix of trust in forklift durability and a desire for modern, efficient machines. Meanwhile, 44.44 per cent go longer than four years, which might point

to confidence in their equipment or a longer depreciation schedule.

ESSENTIAL FORKLIFT ATTRIBUTES

Safety, unsurprisingly, takes the lead as the most voted-for essential attribute (72.84 per cent), a testament to the industry’s growing focus on safety standards. Following closely are performance (59.25 per cent) and reliability (64.20 per cent), reflecting the practical needs of the warehouse floor. Attributes like ergonomics, purchase price, and operator comfort also featured prominently, indicating a holistic approach towards evaluation.

MAINTENANCE AND SERVICE

Interestingly, a significant 41.98 per cent of respondents have a service contract with their supplier/distributor. This shows a trend toward outsourcing and trusting the expertise of suppliers. Manufacturer service contracts and independent service companies also have notable portions, showing varied preferences based on unique business requirements.

SAFETY FIRST

A resounding 87.65 per cent and 88.89

per cent of respondents use beepers and flashing lights respectively, as part of their safety features. Seatbelt linked ignition locks also feature heavily, showcasing the industry’s proactive measures towards ensuring operator safety.

FORWARD THINKING

The industry appears receptive to future innovations. A significant 62.96 per cent expressed interest in alternative fuel sources, such as hydrogen fuel cells and lithium-ion batteries. This suggests a forward-looking perspective, conscious of environmental sustainability.

However, the verdict is still out on the preference for a ‘one-stop-shop’ for all forklift and warehousing needs. While 39.51 per cent liked the idea, 60.49 per cent preferred dealing with specialised entities.

CONCLUDING THOUGHTS

The industry’s future seems to lie in a mix of safety, innovation, and adaptability. As the logistics and warehousing sector continues to evolve, it’s heartening to see a balance between sticking to triedand-tested practices and an openness to change. ■

MHD’s forklift survey sought to gauge user preferences across a wide range of forklift attributes.

MATERIAL GAINS

MHD speaks with Toyota Material Handling Australia (TMHA) President & CEO Steve Takacs about the business’s new flagship Melbourne branch, and how the state-of-the-art facility will help elevate the brand to the next level.

This past June, following 12 months of construction, Toyota Material Handling Australia (TMHA) celebrated the opening of its new Melbourne branch in Dandenong South. According to TMHA President & CEO Steve Takacs, the new facility was an important step in supporting a key growth region for the company.

“Victoria’s population is growing, and the industrial needs of the state are growing as well,” Steve says. “So, we’ve built this new branch to facilitate the next 25 years of growth.”

Off the back of a range of new product launches over the past few years across the Toyota Material Handling and Huski Construction Equipment brands, TMHA plans to continue growing its range – a driving force behind the move to a larger integrated facility.

“There’s no doubt that when you look at the physical size of the new building that that we’ve allowed for significant growth,” Steve says. “Better yet, all that growth – from our storage capacity to our service, rental, and sales departments –will all be accommodated within

the one building.”

Steve says that according to his Japanese colleagues within the company, the new Melbourne facility is the single largest Toyota Material Handling branch in the world – a distinction of no small significance given Toyota’s position as the world’s biggest forklift company.

“I was speaking with the Toyota Material Handling Global President, who has seen quite a few of these branches around the world, and he said this was the biggest he’d seen,” Steve says. “And while the American market is obviously a lot bigger, the brand is represented by a network of dealers over there. Here, we’re a single entity – hence the huge footprint of this branch.”

The ambitious upgrade is a bold step, one Steve says represents TMHA’s commitment to not just its customers, but its valued people, too.

“We’re a tier-one business,” he says. “That means treating our customers to a tier-one experience, and it also means looking after our people with a tier-one facility. So, I’m wrapped that we’ve been able to move out of our older building, and

move them over to this state-of-theart facility.”

The new branch is kitted out with well-appointed lunch rooms, meeting rooms, training facilities, and even little details like automatic warm water taps to help employees brave the cold Melbourne winters. It’s also important, Steve says, that the facilities cater equally to all levels of the business – whether that’s upper management, warehouse staff, or the service team.

“I started as a serviceman almost 38 years ago, so that’s one area of the business that I hold close to my heart,” he says. “It’s important to me that we care for the service team, and to make sure that they’re kept happy, healthy, safe, and that they feel valued.

“It’s no secret that there’s a shortage of skilled tradespeople in the industry today, so we want to look after and retain those we do have. And I think it’s very important that this facility enables that.”

CELEBRATING TOGETHER

With AFL legend Simon Madden leading proceedings, the facility’s grand opening featured guided tours, musical performances, a catered lunch, and a traditional Japanese kagami-biraki sake barrel breaking ceremony.

The 340-strong list of attendees included a range of guests of honour, including Toyota Industries Corporation Executive Officer, Yoichiro Yamazaki, and Consul-General of Japan in Melbourne, Junji Shimada. But Steve says it was just as important to share the momentous occasion with TMHA’s valued people.

“Having our people front and centre – our service staff in particular – was just fantastic,” Steve says. “There’s no hierarchy in our business, our service team is just as important as the CEO. Having everyone there on an

There were 340 attendees at the launch, including a range of Australian and international dignataries.

equal standing, celebrating together, was a really proud moment.”

Also among the guests of honour was Australian transport legend Lindsay Fox, with whom Steve has shared a more than three-decadelong relationship.

“The first time I met Lindsay, I was actually laying under a forklift repairing it, and he wandered over and said hello,” Steve says. “That speaks to the kind of man he is.

“Since then, I’ve dealt with him on various occasions over the years. He and his business are hard negotiators, but they’re honourable. For him, a handshake is just as good as a signed document – and that’s something to admire.

“It’s part of what has made Lindsay an Australian icon. I don’t think there are too many people in Australia that haven’t heard the name Lindsay Fox. So, to have him come along and sing the praises of Toyota as a company that makes every effort to over-deliver on our promises, was outstanding.”

FULLY LOADED

The new Dandenong South facility occupies a 32,600sqm site, with the

building itself taking up 16,350sqm – a 34 per cent upgrade on the old TMHA Melbourne headquarters. But Steve says the upgrade is about more than sheer size.

“The old facility had three different landlords, and three different buildings that we were working between,” he says. “The buildings were joined physically, but we had needed to cut holes in walls to make it work. Dynamically, it wasn’t a smooth facility to operate – it could be clunky to work out of, and to move gear around.

“This new facility provides a range of added efficiencies, where one area flows seamlessly into the next.”

From a 28-per-cent-larger workshop area to cutting-edge painting equipment, to a new 300sqm dirt demonstration area for Huski earthmoving machinery customers, Steve says the new facility is fully kitted out to support the diverse needs of TMHA’s ever-growing customer base.

“We have fully functional sealed and pressurised spray paint and preparation booths for as-new paint jobs and refurbishes,” he says.

“We have a full metalworking

facility with four fabricators working in there, and we can do our own hydraulic work here too – whether it’s the type of work that a hose-fitting company might do; or repairs to lift cylinders and hydraulic cylinders – we can now do it all in-house.”

SEE FOR YOURSELF

Steve says that as well as elevating TMHA’s ability to import, deliver, and service its range of in-demand products, the new facility also serves as a bold statement of the company’s values, ambitions, and future plans.

“In Japanese, there’s a saying – genchi genbutsu – which roughly translates to ‘go and see for yourself’,” he says. “Our new Melbourne branch gives us the ability to bring customers in so they can see for themselves the infrastructure that we have in place, and the depth of that infrastructure.

“When they first walk in, they’ll see a wall decorated with plaques celebrating our longest-serving members of staff – so they’ll get a sense of how our employees are looked after, and the longevity of service that yields.

“And when they progress through

AFL legend Simon Madden led the proceedings.

the facility, visitors will see first-hand that we’re not a backyard operation. We’re a modern tier-one business that can deal with any material handling issue or supply need.”

INTEGRATION AND INNOVATION

As the new facility stands proudly in Dandenong South, TMHA Vice President and COO Cameron Paxton can’t help but reflect on the sheer amount of thought, planning, and passion that went into every square

metre of the development.

“It’s not just a building; it’s a culmination of years of dedication, hard work, and understanding the core essence of what Toyota Material Handling Australia stands for,” Cameron explains. “The intention behind every design aspect was to create a space that seamlessly integrates our operations while innovating for the future.”

Cameron stresses the importance of proactive, forward-thinking strategy in their operations. “As

we’ve witnessed over the past few years, supply chain disruptions can be unprecedented and require swift adaptability. Our new facility, with its integrated design, allows us to nimbly pivot according to market needs, making us resilient in the face of any logistical challenge.”

Sustainability, too, has been placed at the heart of the Dandenong facility. With climate concerns taking centre stage worldwide, TMHA wants to be part of the solution, not the problem.

“Incorporating eco-friendly

A string trio lent a touch of the classical and the modern with a variety of interpretations of popular tunes.

measures was non-negotiable for us,” Cameron shares. “From rainwater harvesting systems to energy-efficient LED lighting, we’ve made every effort to reduce our carbon footprint. Our ambition is to set a benchmark for environmentally conscious operations in the material handling industry.”

But innovation and sustainability aside, Cameron consistently circles back to the theme of ‘people’. Whether it’s their customers, partners, or the heart of TMHA — its own people — the VP reiterates

that their new facility is not just bricks and mortar but an emblem of commitment to those they serve.

“Our people are our greatest asset. Steve mentioned the importance of well-being, and I couldn’t agree more,” Cameron says. “Our new training programs, launched in tandem with the facility, are designed to provide our team with up-todate skills, ensuring they remain at the forefront of the industry. The investment in our people isn’t just financial; it’s about creating a sense of belonging and pride.”

As for customer relations, the Dandenong facility’s spacious design allows for immersive experiences that were previously unimaginable.

“When our customers visit, they won’t just be observing; they’ll be experiencing,” he says. “TMHA’s offerings come to life in this facility. From hands-on trial sessions with our equipment to intricate demonstrations of our tech capabilities – we’re enabling a holistic customer journey,” he elaborates.

In speaking about the facility, it’s evident that for Cameron Paxton it’s more than just a logistical decision –it’s personal. Reflecting on his own journey with TMHA, he expresses gratitude for the collective vision that

brought the facility to life.

“I remember walking through the halls of our old buildings, proud of what we had achieved. But looking at Dandenong South, there’s this overwhelming sense of pride – not just in the infrastructure, but in the collective spirit that built it,” he says. “It’s a testament to our values, to our commitment to the Australian market, and most importantly, to every individual who calls TMHA their professional home.”

What is abundantly clear, from our conversations with Steve and Cameron – and from the design of the facility itself – is that TMHA is focused on the people at the heart of materials handling.

“When I first started with TMHA nearly 27 years ago, sales were purely transactional,” Cameron says. “Customers purchased or rented a forklift, and price was arguably the most important criterion. Now, one of the biggest considerations is having a service infrastructure in place to meet their ongoing needs. This is where TMHA excels. With over 20 branches, numerous residential customer locations, and more than 500 devoted service staff, we have an unprecedented network all designed to keep Australia moving.”■

TMHA sponsors the Essendon AFLW team, and Bombers were on hand to sign footballs for attendees.

ACQUIRING INDUSTRIAL INTELLIGENCE WITH DATA

Since Colliers and data platform company, SA1 Property, forged a partnership in April 2023, the two companies have made strides in collating valuable and insightful information on industrial markets. MHD spoke to Colliers Managing Director Gavin Bishop and SA1 founders, Aaron Bates and Stephen Clark, to find out more.

Data analytics and visibility have become essential tools to helping businesses identify gaps, opportunities, and for collating and obtaining substantial and detailed information about the industrial market.

This is why Colliers has been working with the data platform company SA1 Property since April 2023. Together, these businesses are making it easier for occupiers to decide what type of industrial facility they’d like to invest in, buy or rent –whether it’s a warehouse and office, or a DC.

Aaron Bates, Director, Property Strategy and Stephen Clark, Director, Location Analytics at SA1 Property founded the software enterprise back in 2018. Over these past five years, they’ve cooperated with an eclectic mix of clients ranging from local government to machine learning professionals, asset managers, and more recently, with Colliers’ agents.

USING DATA FOR OPTIMAL OUTCOMES

Colliers’ partnership with SA1, has allowed the team to provide the best possible data of Australia’s industrial property markets by engaging with both institutional and corporate clients

and using this information, in addition to their own Colliers’ owned data and internal platforms to assist them when they’re making important propertyrelated decisions.

By leveraging the SA1 platform together with Colliers’ unmatched data, Gavin Bishop, Managing Director, Industrial & Head of Industrial Capital Markets Australia at Colliers, says it has allowed teams to offer a point of difference to their clients, who have recognised the value.

He continues: “Our clients have been able to make informed property decisions that achieve strong outcomes. We’re continually evolving the capabilities and offering of our experts and ensuring we maintain up-to-date information on the market for our clients. This partnership is a value add for clients in addition to what Colliers is already doing, and the internal data and platforms we have.”

SA1’s main goal when it started five years ago was to create the best data analytics platform for the Australian industrial property market. Many investors and developers in this sector use the company’s SA1 Pro program –a spatially enabled platform.

“We provide physical and locational intelligence on the industrial property market,” explains Aaron. “This

brokers strong advantages when dealing with investors and developers in this space.”

When he and Stephen founded the digital enterprise, they’d noticed there were no other players in this niche industry.

“We saw there was demand for a curated collection of data and insights and centralisation of information in a singular place, and we knew if we didn’t seize this opportunity first, somebody else would,” adds Stephen.

“We save users time by collecting and verifying the information and handle location intelligence for them, which is critical to industrial occupiers when they’re determining where they want to go.”

The data may validate what the

Gavin Bishop, Managing Director, Industrial & Head of Industrial Capital Markets Australia at Colliers.

users already know and think about their assets and locations or may result in identifying unrecognised value to segments of the market. It can also help with client discussions because they can refer to this independent source of information.

SA1 covers the entire eastern seaboard except for Tasmania, and has detailed information on the cities of Brisbane, Sydney, and Melbourne, and gives users access to a digital database of major owner assets and industrial occupiers with 7000 occupiers, across more than 4000 different entities classified by sector.

GAINING RESULTS FOR CLIENTS

Colliers is using its own in-house data platforms together with the SA1 platform to secure various sale and leasing appointments to show clients the value these solutions can add to a campaign process and the opportunities they can provide.

It has used the bespoke reports during sale and leasing campaigns for properties and portfolios and continues to drive enduring value for its clients by using the combination of SA1-related data and its own.

“We’re showing clients our unique view of the market with the data we have populated and extracted, which is helping them make informed decisions during the property process and benefitting their teams,” says Gavin. SA1 notes while it deals with thousands of industrial occupiers –including tenancy sizes and tenure – it also analyses and spatially enables transaction data, as well as deploying a location benchmarking system.

“There were requests for this location benchmarking system,” explains Stephen. “These were due to the diversity of industrial occupiers having different location drivers.

“This is why we presented a deep library of various topics that are benchmarked and rated throughout each market.

“It helps them look at the benefits and understand the locational strengths of their assets. Alternatively, if they have a theme, or multiple themes they want to target for a site selection activity, they can use the rating system to find the best location for their purpose.

“The platform brings together third-party content from leading software and information providers, including ESRI (for geographic information system software), Aerometrex for aerial imagery, and Geoscape for building footprints. The system also allows additional data to be added interactively to the map – both ours and that of the government’s.”

The platform, paired with the industry experience and data that the Colliers experts have internally, provides clients with an array of information to understand the current market conditions and aid business decisions.

PROVIDING MARKET OVERVIEW

The SA1 platform is benefiting Colliers and providing it with significant value for its clients by producing stronger insights, improving business operations, and converting opportunities.

“Combined with our Colliers data, we are able to show clients a full view of the given market, sharing valuable insights on how they can take advantage of the conditions and drive stronger results,” says Gavin.

“It’s allowing Colliers experts to present our own data in ways that make it easier for clients to understand and act on. Some of the SA1 capabilities enable them to rank properties we’re selling or leasing against other assets and locations and our experts can then complete a full competitive analysis of assets and market providing the best outlook for the client.”

It also means Colliers can compare different sub-markets, assessing their respective land supplies and take-up and vacancy rates.

“Since we forged a partnership with Colliers, we’ve helped agents who’ve managed multiple transactions by providing them with insights into assets beyond benchmark and identifying prime locations to work on,” notes Aaron.

“I’ve been cooperating with the Colliers Melbourne and Sydney teams to find ways to present and analyse the data they have, and the platform provides.”

Colliers says the SA1 platform has further elevated what it was already offering its clients.

“Colliers has a unique geographic footprint in Australia with major metropolitan markets and regional markets,” adds Stephen.

“We want to work with Colliers to move into the regional markets to better understand them. We can analyse and identify opportunities there and provide better coverage of those areas.”

“We look forward to working with SA1, and our Industrial experts to continue evolving our own data and the use of the platform to continue providing clients with market leading solutions,” Gavin says.

“The introduction of SA1 – and it being used by our teams – is a natural consequence of the data-centric approach we already took at Colliers. We already have exclusive internal data platforms and outputs we are providing our clients, and working with SA1 just bolsters that unique data value proposition.” ■

Reach out to learn more about the industrial market and how we can maximise the potential of property for you with our data-centric approach.

Aaron Bates, Director, Property Strategy at SA1 Property.

Stephen Clark, Director, Location Analytics at SA1 Property.

HOW TO MANAGE SUPPLIER RELATIONSHIPS

Prological Managing Director Peter Jones discusses the essence of supplier relationships and their importance in the procurement process.

In supply chain and logistics, nurturing supplier relationships is often touted as a crucial component of effective procurement. While many businesses claim proficiency in managing these relationships, the reality is that the effectiveness of their management can greatly vary.

Peter Jones, Managing Director of Prological, provides a nuanced take on this. “Most businesses believe they excel at managing supplier relationships,” he begins. “But for many businesses, good relationship management means simply adhering to company policies.”

Yet, this understanding can sometimes be limiting.

“For example, many companies have policies that prohibit employees from even accepting a coffee treat from a supplier due to concerns about bias or undue influence. To them, that level of control signifies sound supplier management. They might argue that their monthly or quarterly meetings and checklists ensure suppliers meet their obligations.

“Adherence to policy is of course important, but it needs to be a policy that is good for the business and the people in the business, too.”

At its core, the supply chain industry is a human-centric domain. Peter notes the importance of the human touch.

“The supply chain industry revolves around people, and it’s not an exact science,” he says.

According to him, this inherently imperfect landscape necessitates strong interpersonal connections.

“If there’s a solid interpersonal connection, it’s easier to engage in

continuous improvement and address significant challenges,” Peter says.

He illustrates his point with a recent example: “Just three weeks ago, I visited a large New Zealand company with over a billion dollars in annual sales. The company, despite having implemented a stringent procurement-based supplier management process for eight years, found a glaring gap in their approach. While suppliers were meeting requirements, there was no innovation.”

Peter attributes this to the company’s “stringent contracts and lack of interpersonal relationships.”

Peter draws parallels between this

and the way IT departments operated in the late 1990s. He observes that these departments “became overly influential and disconnected from the core business needs.” A similar trend was noted during the Global Financial Crisis (GFC), with purchasing departments gaining significant power.

Diving deeper into the ripple effects of the GFC on supplier relationships, Peter recalls the financial strains businesses underwent during the period. “During the GFC, businesses faced enormous cost pressures,” he says. This led to a dramatic shift in how these businesses approached supplier negotiations, with a heavy emphasis on cost-cutting. “From a supply chain perspective, the emphasis was on negotiating with suppliers for more cost-effective solutions,” Peter notes. This change “altered the nature of the supplier relationships, and it’s taken a decade or more for the balance to be restored.”

In light of these evolving dynamics, Peter emphasises the need for a more balanced approach in managing supplier relationships. “Mature businesses have both formal and informal management practices,” he says. For Peter, there’s a growing understanding in the industry: “There’s a growing recognition that informal interactions are crucial for fostering innovation, continuous improvement, and fostering a genuine partnership.”

The delicate balance between structured corporate policies and the human touch in supplier relationships has long been a topic of debate. As the industry navigates this balance, the

If there’s a solid interpersonal connection, it’s easier to engage in continuous improvement and address significant challenges.

emphasis on human relationships in the supply chain becomes increasingly important.

But how, precisely, does one create or manage an effective supplier relationship?

Drawing parallels between personal and professional relationships, he elucidates, “Outside work, what does a good relationship look like? For instance, during the holidays, I might gift someone based on our relationship’s depth.”

Just as you might treat a close friend to a coffee or a gift, business interactions should embody a similar spirit.

“Similarly, in business, I should be able to naturally engage with key contacts,” Peter explains.

In today’s era of rigorous rules and policies, it seems challenging to operate from a principle-based standpoint. As Peter points out, people prefer the safety of strict rules that delineate boundaries. “Operating on principles means allowing others to exercise judgment, accounting for varying personalities,” Peter says. His belief centres around the idea that relationships, especially with essential suppliers, should mimic the natural flow of personal interactions, while still respecting commercial obligations.

Such an approach can significantly impact how businesses address issues with suppliers.

“Just yesterday, we received an email from a significant IT supplier, expressing discontent over a few

issues.” Instead of a bureaucratic response, Peter adopted a personal touch, understanding the supplier’s grievances and rectifying the issue. This approach stems from his desire to “treat suppliers the way I would want to be treated,” while acknowledging that no process is perfect.

Peter notes that procurement professionals shouldn’t dominate supplier relationship-considerations, as they have a different set of skills and priorities.

“Typically, procurement isn’t responsible for maintaining relationships. They initiate and, when a contract nears its end, review them.”

The true experts, from lawyers to logistics specialists, handle daily management.

Procurement’s role becomes pivotal when issues arise or when contract nuances need understanding.

Even if they’re not responsible for ongoing supplier relationship maintenance, what are the traits of a good procurement professional?

“Good procurement professionals have an eye for detail and understand contract intricacies, approaching them with a sense of fairness.”

Peter identifies a shift in the procurement landscape. Previously dominated by a hierarchical approach, today’s procurement process values relationship-building. Highlighting this evolution, Peter cites the example of non-disclosure agreements (NDAs) now being typically mutual.

Once upon a time, NDAs were often one-sided – foisted by one party on another, creating a power asymmetry that wasn’t conducive to good ongoing relations.

Modern procurement needs a blend of technical know-how and interpersonal skills.

“I do see things moving in this direction,” he notes, recognising the growing maturity of purchasing departments in larger businesses.

Achieving this maturity is more important than ever, as supplier relationships constitute a key part of ensuring supply chain resilience.

Discussing the dynamic nature of sourcing over the last five to ten years, particularly in the post-COVID era, Peter touches upon a noticeable trend.

“There absolutely has been diversification to mitigate risk,” he observes. The focus, he notes, has extended beyond the longevity of partnerships. “While businesses have traditionally relied on longstanding suppliers, the unpredictable nature of external factors, such as global crises or political shifts, forces them to consider risk from a broader perspective.”

But how does this shift impact supplier relationships?

In Peter’s view, the key lies in transparent communication.

“A good buyer will help their supplier understand this and guide them through this journey,” he says, emphasising the significance of strong relationships when navigating these waters. “While businesses must inevitably prioritise their own interests, it’s essential for suppliers to recognise and support this. Discussions about diversification become considerably more seamless when built on a foundation of trust.”

No matter how supply chains evolve in complexity, the essentials of supplier relationship management remain simple: it’s all about fostering and nurturing those invaluable supplier relationships.

“The same goes for supplier relationships as goes for every other relationship,” Peter says. “Treat others as you’d like to be treated. Not necessarily how you are actually treated – but how you’d like to be treated.” ■

Peter Jones, Managing Director, Prological.

THE ADELAIDE ADVANTAGE

Centennial’s Executive Director and CEO Industrial & Logistics, Paul Ford, along with Leedwell’s Steve Smith and Henry Treloar, talk to MHD about new projects they’re working on, the ‘mid-space’ market in the industrial and logistics property market, the difference between refurbishing and redeveloping warehouses – and the future for Adelaide more broadly.

The refurbishment of Centennial’s $30m Royal Park Distribution Centre in Adelaide showcases the evolving dynamics of Australia’s industrial and logistics real estate sector. Central to this transformation is Centennial’s unique focus on the niche ‘mid-space’ segment of the market.

“Mid space is a term we’ve coined to describe the niche market we target,” says Centennial’s Paul Ford, Executive Director & CEO Industrial & Logistics. “We saw a gap in the industrial and logistics ‘mid-space’ market, typically comprising assets between 1000 sqm and 10,000 sqm, as they were too small for the larger institutions – given they were and still are labour intensive to manage from a leasing or upgrade perspective – and too large and out of reach for individuals and family office investors, yet still in demand from quality occupiers.”

Centennial purchased the 31,120 sqm industrial and logistics facility at Royal Park in 2021, positioned 8.5km north-west of Adelaide’s CBD for $5.4m in 2021.

“Royal Park DC is a prime example of our national strategy of sourcing functional and generic mid-space assets, with flexibility for upgrades and expansion, that offer strong

connectivity to major distribution networks in often land-constrained, inner-ring or urban locations at scale,” Paul says.

Director at Leedwell, Henry Treloar, says the Royal Park DC is an ideal location for occupiers given its proximity to the motorway, and a generic design that offers a wide variety of flexible spaces and usages.

“From our perspective, based on inquiry levels, the success of Centennial’s approach stems from the current market trend,” Henry says. “There’s a pronounced shortage of ready-made buildings in the market.

The Royal Park DC had a large hardstand and was strategically located, making it ideal for logistics users.”

The 12,830 sqm distribution centre was fully leased prior to completion of the redevelopment, with global air-conditioning giant Daikin and major logistics group, Allied Express pre-committing.

“Competition for the site from prospective tenants was high, driven by sub-one per cent vacancy rates and limited new developments coming on-stream,” Henry says.

“Demand for

institutional-grade industrial space such as Royal Park will remain strong.”

Centennial undertook an expansive refurbishment programme, stripping away outdated materials to unveil a structure in impeccable condition. The renovated site features re-skinned exteriors, upgraded services, brand-new offices, revamped external pavements, dedicated car parking zones, and landscaping. Upon completion, it bore the look and feel of a brand-new establishment, garnering considerable interest from prospective tenants in a market with less than one per cent vacancy rates.

Steve Smith, Partner at Leedwell, underscores Centennials’ repositioning strategy.

“Centennial’s adaptability and ability to swiftly introduce products to the market is commendable,” Steve says. “For instance, with the refurbished building, the process was much quicker than starting a new development. Furthermore, the Royal Park site had unique

Royal Park DC.

features that weren’t available in other properties at the time, making it a value-added proposition.

“With continued demand for high quality, mid-space requirements, Centennial has an edge over its competitors.”

Paul says Centennial will continue to focus its efforts on acquiring mid-space, near-city and inner ring infill sites to add to its growing I&L portfolio.

“By deliberately targeting undercapitalised assets through offmarket deals, identifying distressed sellers or assets that need specialised management, we will continue to boost our industrial and logistics acquisition and divestment programs and deliver enhanced returns to our investors.”

REFURBISHING RIGHT

“We typically target generic assets that have a solid foundational structure, and options for a range of uses,” Paul says. “Our preference is to regenerate existing land and rebuild existing buildings, reuse materials to reduce waste, and provide functional and flexible space suitable for a range of users.”

With rapid increases in material costs, labour shortages, and the continuing rise of construction costs, the benefits of refurbishing cannot be understated.

While the mid-space market often sees older structures that might not align with today’s efficient operational requirements, if the building’s core structure is sound and the surrounding infrastructure is viable then refurbishing emerges as a viable option that carries significant advantages. These include lower costs, a quicker planning process, marked environmental benefits, and a faster timeline to market. Such speed often leads to quicker leasing agreements, ensuring a prompt return on investment for stakeholders.

However, refurbishing isn’t without its challenges. Paul notes potential disadvantages, such as “the costs of upgrading obsolete infrastructure or exposing unforeseen issues that impact on cost.” He says that many of these challenges can be pre-emptively addressed during a thorough due diligence process.

The environmental and operational advantages of refurbishing extend beyond just cost saving.

“There are several elements,” Paul

adds. “Compliance with the Building Code of Australia is a significant aspect. We would always upgrade to modern fire safety regulations if buildings weren’t up to Code, while other improvements would generally include separating vehicular traffic for safety, updating landscaping, and improving aesthetics and internal features.”

LAST MILE CONSIDERATIONS

Challenges in the Australian logistics domain are as vast as the country itself. Unlike compact regions or those with dense transportation networks like the U.S., Australia’s sprawling geography often disrupts seamless delivery schedules. “To address this, there’s a pressing need for a proliferation of smaller, regional distribution hubs as opposed to a few centralised ones,” Paul says. “This strategic spread could help businesses bridge the geographical divide, facilitating faster deliveries.”

But while demand is robust, supply constraints loom large. Paul highlights bottlenecks, particularly the impending limited supply set against a backdrop of urban renewal initiatives. “There’s practically minimal supply forecasted for the next couple of years, which could translate to promising rental growth,” he says.

LOOKING AHEAD

Centennial’s acquisition of the 406-416 Martins Road, Green Fields – (the Inner North Distribution Centre), with Leedwell and Colliers appointed as leasing agents, showcases its commitment to revitalising underperforming assets. Located in Adelaide’s industrial heartbeat, this site offers 12,000sqm of state-of-the-art office and warehouse space, complemented by a spacious breezeway and an expansive concrete hardstand. But what sets it

apart is its strategic position. Lying on a b-triple gazetted road, it promises unparalleled access to both the Port Wakefield Road and the Northern Connector, ensuring easy connectivity to Australia’s primary markets and metropolitan Adelaide.

“Its flexibility to accommodate dual tenancies with tailored amenities only amplifies its appeal,” Paul says.

“The site will naturally appeal to users within transport and manufacturing industries. And with massive investment in defence and allied industries, we see this site appealing to supply-chain and other groups wanting to take advantage of the site’s characteristics and strategic location.

“Centennial’s proactive approach, combined with the site’s inherent flexibility, allows us at Leedwell to tailor offerings based on tenant requirements,” adds Henry. “From adding sprinklers to accommodating cranes, the Green Fields site exemplifies adaptability.”

Beyond the Green Fields site, Centennial’s philosophy and approach will continue to be undergirded by its focus on mid-space holdings in the industrial and logistics sector. “With a growing portfolio boasting 68 assets across Australia, valued at around $1.5 billion, and an additional development pipeline exceeding $350 million, we’re bullish about the sector’s prospects,” Paul says.

It’s an exciting time for Centennial and Leedwell, as Adelaide’s allure as an industrial hub grows, particularly given Melbourne’s expanding footprint and the subsequent price surge.

“We’ve seen a strong shift of interest towards Adelaide, driven by a quest for more affordable, yet efficient, industrial solutions.” ■

The 12,830 sqm distribution centre was already fully leased prior to completion of the redevelopment.

DRIVING GREEN WITH HANGCHA

Hangcha Forklifts is at the forefront of sustainable materials handling. With its new range of lithium-ion forklifts, the company offers an economical, environmentally conscious alternative to old school forklifts.

Hangcha, a name synonymous with resilience and innovation, has journeyed from its humble beginnings in 1956 to become a global leviathan in materials handling. Its ascent from a modest Chinese stateowned enterprise to a leader amongst global materials handling equipment manufacturers is a testament to its relentless pursuit of excellence and a fierce commitment to innovation.

For over six decades, this stalwart has melded courage, passion, integrity,

and innovation, staying true to its ethos of making handling easier.

No longer just the pride of China, where it has garnered recognitions such as spots on the ‘Biggest Enterprises’, ‘Most Competitive’, and ‘Biggest Private Enterprises’ lists, Hangcha has painted a compelling global narrative. Its expansion into Australia in November 2022 underscores its mission to proliferate quality and professionalism.

By recently opening an Australian

branch, Hangcha made a statement of its intent to resonate more closely with its international clientele. Stocking spare parts locally to ensure quicker responses to market demands, the venture aligns seamlessly with Hangcha’s vision: global reach with local touch.

Yet, it’s the recently unveiled line of lithium-battery-powered forklifts that highlights Hangcha’s commitment to sustainable innovation. As Daniel Anderson, National Sales Manager for

Hangcha has stocks of lithium-ion forklifts ready to go at its new Melbourne branch.

MHD MATERIALS HANDLING

Hangcha Australia, elucidates, these machines are not only available for immediate dispatch but are also a testament to the company’s agility during tumultuous times. “Even straight out of the factory, we can deliver in around three months,” Daniel says.

The technological advantage of Hangcha’s lithium forklifts is undeniable. Traditional lead-acid batteries, which typically require weekly watering and an open environment for charging, are now overshadowed by the lithium variant’s longevity of 4000-5000 cycles. Without the constant upkeep or the dangers of acid spillage, lithium batteries pave the way for hassle-free operations. Charging them intermittently doesn’t dent their life expectancy, and they can be conveniently charged indoors.

And this isn’t a luxury reserved for the well-heeled. Daniel emphasises the economic appeal of the lithium models. “The return on investment is almost immediate ... running an

electric forklift is a lot cheaper than running one on gas or diesel.” He accentuates the environmental merits, noting the lack of emissions, a selling point in our increasingly ecoconscious world.

Sydney’s recent CeMAT 2023 showcase offered a live testament to Hangcha’s prowess. Daniel Anderson underlined the company’s ambitions, stressing that while Hangcha has silently permeated the Australian market for two decades under different brandings, it’s time the brand name shines bright and clear.

Hangcha’s tale is not just about riding the tide of success; it’s about pioneering change. The sustainability of its lithium forklifts is an emblem of what the brand stands for –innovation in sync with environmental conservation. Daniel’s final words encapsulate this spirit: “There’s really no gap in the market anymore. With our new lithium-ion range, Hangcha isn’t just filling gaps; it’s setting the benchmark for sustainability and affordability. ■

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There’s really no gap in the market anymore. With our new lithium-ion range, Hangcha isn’t just filling gaps; it’s setting the benchmark for sustainability and affordability.

Traditional lead-acid batteries, which typically require weekly watering and an open environment for charging, are now overshadowed by the lithium varient’s longevity of 4000-5000 cycles.

THE FASTEST WAY TO FULFIL ONLINE ORDERS

Micro-fulfilment has become a top supply chain priority for automated fulfilment centres and is gaining momentum across Australia and New Zealand. MHD sits down with Paul Phillips, General Manager ANZ at Hai Robotics to discuss how the company’s innovative approach is helping retailers increase order efficiencies and shorten the last mile.

Before the pandemic, distribution centres were the primary source of products moving to retail stores and end consumers. As we know, consumer expectations for faster delivery have changed forever, which prompts retailers and e-commerce businesses to search for the fastest and most efficient way to fulfil online orders.

Experiences and challenges from the pandemic created big demand for high-density, mini warehouses at the back of stores to function as Micro-Fulfilment Centres (MFCs).

Micro-fulfilment places small-scale, automated warehouse facilities in densely populated urban locations using existing facilities, converting an existing facility, or building a

dedicated space.

With e-commerce sales expected to reach $6 trillion by 2024, e-commerce pressures have created the perfect storm for micro-fulfilment strategies, which are gaining big momentum across Australia after successful deployment across Europe and the US.

Hai Robotics is at the forefront of leveraging robotics and automation to be closer to the consumer and increase order fulfilment efficiency. Established in 2016, the company is pushing the envelope in robotics technology, with a vision to empower every warehouse and factory with logistics robots.

THE MFC SOLUTION

According to Paul Phillips, General Manager ANZ at Hai Robotics, a

MFC is ideally suited to back of store operations, for the picking of orders from online. This can be for grocery across multiple temperature zones, fashion, small electrical, hardware and more. MFCs produce more than 150,000 order lines per week, average 10-25 order lines, have an 800015,000 SKU range and demand instant and same day delivery.

“MFC solutions from Hai Robotics allow the retailer to create a highdensity storage solution that can deliver “at store fulfillment” in a very small footprint at high-speed. Hai solutions are incredibly flexible and scalable, allowing retailers to start with a small part of the product range, and expand as the market demand increases for these solutions,”

Micro-Fulfilment Centres are ideally suited to back of store operations.

Phillips says.

Hai Robotic’s first MFC operation had ACR robots picking, transporting, and delivering orders in “pick-up” stores in the Netherlands, merging online ordering with a pick-up shop. Here, the customer places an order and robots immediately pick and sort orders in the distribution centre. The DC prepares the orders in totes that are sent to the pick-up shop. Once the order arrives at the pick-up shop, the tote is put on a conveyor belt which guides the tote to the storage area. The order remains on the shelves until the customers come to pick it up. This technology has been adapted to suit MFCs around the world.

“Hai’s MFC solution uses a mini-AMR solution which allows for a higher density ACR solution, whilst maintaining very high throughput,” Phillips explains. “By keeping the ACR in the storage aisles and allowing the mini-AMR to take care of the delivery of the totes to and from the storage to the workstations, the solution is capable of reducing the number of ACR robots required in a space, while at the same time increasing the throughput at the workstations.”

Hai’s MFC solution is its highest density and throughput solution yet, capable of more than 18000 bins (600*400*300), storage with 1000 sqm (6 metres high) and up to 10 metres picking height.

Fast deployment is a critical factor for MFCs – the faster the robots are up and running, the quicker businesses see return on investment. Some complex systems are not suited to MFC, for instance, multi-shuttle typically requires a total revamp of the facility, forcing a retailer to replace existing equipment with a new, custom-made installation. In comparison, goods-to-person robotic systems can be quickly deployed and often incorporate existing shelves and bins.

“MFC solutions can be implemented in as little as six months, taking into account solution design, manufacturer and implementation. Hai Robotics manufactures our robots in one of our two manufacturing locations in China to support our global markets,” he notes.

Phillips explained that the demand for micro-fulfilment started to gain

momentum in Australia’s major cities through the pandemic and is becoming increasingly popular for retailers and 3PLs.

“Hai Robotics is working with a retailer in Australia to implement contactless Click and Collect,” he says. “Utilising the Hai system, the customer will be able use their existing systems to pick orders for customers. The customer will then present in-store with an email confirmation barcode to the kiosk to collect their items. The kiosk will then seamlessly trigger the delivery of the customers item or items to the kiosk collection point via the HAI A42 Robot. This will allow the customer to quickly collect their items, and at the same time free up store staff to work on other tasks.”

Phillips outlined 10 key considerations and best practices for business creating an MFC strategy:

• Store location is critical. It is ideal for stores to be located closer to higher density areas, ensuring a high demand for fast fulfilment of online orders.

• Work with Hai Robotics to ensure the right solution is selected to fit within the allocated area to maximise storage density and throughput.

• Ensure master data accuracy to ensure the system can correctly identify and store SKUs in the system.

• Upstream systems need to be able to seamlessly integrate with the MFC order fulfillment solution to ensure minimal disruption to the system.

• Ensure proper engagement and training of the team prior to implementing a new system.

• Focus on the customer experience to remove any frustrations when interacting with the system.

• Leverage the data that comes from the system to develop strategies around customer preferences.

• Scalability is important to ensure future growth is taken into consideration.

• Choose a partner with a history of delivering Case and Tote handling robotics into multiple temperature environments. ■

For more information, visit www.hairobotics.com

MFC solutions can be implemented in as little as six months, taking into account solution design, manufacturer, and implementation.

Hai’s MFC solution is its highest density and throughput solution yet.

Something for everyone.

5 x freestanding buildings from: 3,913sqm - 18,062sqm

Smaller units from: 2,032sqm - 3,200sqm (Can be combined)

Internal clearance from 10.25m - 13.8m (Stack up to 6-7 pallets high)

Mix of recessed docks & on-grade roller shutter doors

Attractive incentives inclusive of capital contributions

100m walk from the local public train station

ESFR Sprinkler Systems throughout

Artist impression

CONVEYING FUTURE LOGISTICS

At CeMAT 2023, MHD caught up with Conveyor Logistics’ Chris Andrit and Rohan

ahead.

Geek+ Robo Shuttle 8 (RS8), and the futuristic Geek+ Sky Pick were also on display, drawing appreciative glances and curious inquiries.

This year’s CeMAT exhibition held in Sydney’s iconic Olympic Park was nothing short of a revelation in the logistics and supply chain sector. Among the leading lights was Conveyor Logistics, a name synonymous with cuttingedge warehouse automation. Their partnership with Geek+, a global powerhouse in robotics, was the talk of the town, with both companies proving that when innovation meets experience, industry transformation becomes possible.

With its roots in bespoke solution offerings, Conveyor Logistics has always prided itself on its unique approach to each client. Chris Andrit, CEO of Conveyor Logistics, reiterates this ethos: “We understand that no two projects are the same,” he says. “Our approach is to work closely with our customers to achieve a customised solution for their business that delivers results.”

Indeed, the range of sectors that the company has delved into is impressive, ranging from retail to cosmetics, pharmaceuticals, and many more.

Their ability to diversify and adapt can be seen in their expansive clientele list, boasting both niche businesses and multinational corporations. This is not just a company confined to the Australian or New Zealand shores. They’re making waves in the US and throughout the vast AsiaPacific region.

CeMAT 2023 attendees had the privilege of witnessing first-hand the company’s prowess and innovations. A stand-out was the Conveyor Sorting System, seamlessly integrated with the Geek+ S20C Sorting Robots, showcasing the perfect marriage of design and technology. Not to be outdone, the Geek+ PopPick all-in-one solution, the dynamic

The feedback, as Chris recounts, was nothing short of stellar. “The feedback we’ve received has been fantastic, even overwhelming,” he says. One of the most discussed innovations was their new pumping system, a breakthrough in AMR technology. However, it was the Geek+ Robo Shuttle 8 system that arguably stole the show. “The Robo Shuttle system, which currently can pick up to a height of eight meters, will soon extend its reach to 11 metres,” Chris elaborates. “This feature has garnered significant interest as it points to the future of denser storage facilities. At a time when industrial vacancy rates across Australia are incredibly low – this is a vital technology for our industry moving forward.”

A noteworthy mention must be made of Conveyor Logistics’ commitment to Australian production. At a time when many are looking overseas, Chris proudly notes that, “We’re among the few manufacturers still producing conveyor systems in Australia.” This commitment speaks volumes about the company’s belief in local talent and capabilities.

CeMAT wasn’t just about showcasing products for Conveyor Logistics. Chris also shares the strategic vision behind their participation.

“Our primary aim from exhibiting at CeMAT is to enhance brand recognition. We’re now recognised as a partner of Geek+, which is invaluable,” he says. “We know our work is excellent, our customers have

Vocale to learn about the company’s collaboration with Geek+, what was on show at the trades show, and what they’re delivering to industry looking

CeMAT 2023 attendees were keen to see the latest offerings from Conveyor Logistics.

been thrilled with the results we’ve delivered; for us CeMAT is about communicating that message to the broader industry – and we’re happy to report that people are excited by what we can do.”

But the Geek+ association is more than just branding. With plans already afoot for CeMAT 2024 in Melbourne, it’s evident that both

companies are looking at a long-term collaboration.

On the operational front, Rohan Vocale, the man behind the company’s engineering and production capabilities, shared his insights.

Rohan’s perspective on the event was enlightening, especially regarding the company’s offerings.

“Many clients were previously unaware of some of the products we offer,” he notes. “Our PopPick system has garnered significant attention and interest.” Expanding on this, Rohan describes their innovative PopPick system, saying, “It offers flexibility and is superior to traditional pallet racking. By bringing goods directly to the picker, we’re significantly enhancing warehouse picking efficiency.”

Both Rohan and Chris are unanimous in their praise for Geek+. “Our association with Geek+ has been fantastic. They offer an entire range that complements our services so well,” Chris adds, echoing sentiments of mutual respect and collaboration.

As CeMAT 2023 wrapped up, one thing was clear: Conveyor Logistics, bolstered by its partnership with Geek+, is not just a participant in the warehouse automation revolution, but a pacesetter. With a successful year behind them and promising projects on the horizon, Conveyor Logistics is poised to cement its position as a global leader in warehouse automation and logistics solutions. ■

Conveyor Logistics was key to show off its association with key collaborator Geek+.

Conveyor Logistics has its eyes firmly set on the future, with plans for CeMAT 2024 already afoot.

NEW ARRIVAL: LITHIUM 0.2T A SERIES STORAGE ASSIST VEHICLE

We are happy to announce the launch of our new 0.2t A series lithium storage assist vehicle. This is a compact and flexible vehicle that is perfect for picking small goods in warehouses, hardware stores, supermarkets etc. The unit has a 100kg hydraulic powered picking table, and also 115kg capacity lower storage tray.

The 24v/125ah lithium has fast and opportunity charging which greatly improves working efficiency.

Safe & Reliable

Even at great heights, the operator feels confident thanks to the all-around safety protection, such as automatic closing doors, right and left hand sensing, front and rear flashing lights, tilt switch sensor etc. All these will help ensure operators are in the correct position as they operate the equipment, resulting in fewer injury risks and less potential downtime.

Easy Maintenance

The AC motor significantly reduces the maintenance costs and downtime. Maintenance free lithium batteries reduce downtime and provide greater life span than traditional wet cell or gel batteries.

With over 200 units in stock and a new spare parts division our dealer network can support all your needs.

Hangcha Forklifts Australia has been set up to support our national dealer network. Call 1300 399 687 to be put through to your nearest local dealer.

sales@hcforkliftau.com

www.hcforkliftaustralia.com

WORKING CAPITAL OPTIMISATION LEVERS

Extolla’s CCO, David Harrison, and SIOP Senior Consultant, Luke Bruinenberg, speak to MHD about the need for a multi-lever approach to optimisation of your working capital, why it’s necessary for businesses to factor in customer expectations, why there’s a need for continuous review of your supplier base and commercial terms

and more.

During the COVID-19 pandemic, businesses were either understocked or overstocked. Now, in the post-COVID environment, they must adapt to ensure they maintain the correct supply levels that fit their warehouses without the need to modify or expand their facilities, or invest in additional sites – all while still meeting customer demand.

David Harrison, Chief Commercial Officer at Extolla, specialises in procurement, strategic sourcing, and business optimisation. He focuses on how enterprises can adapt, sequence, and pivot their supply chain and operating model to optimise their working capital and cash position.

Luke Bruinenberg, Senior Consultant for Sales, Inventory & Operations Planning at Extolla, is an expert in demand planning, SIOP, and inventory planning – key levers in working capital optimisation. Together, they offer practical and executional models, processes, and plans for enterprises to take on-board, as they optimise their working capital requirements.

PLANNING, COLLABORATING, AND DE-RISKING

Promoting customer-centricity is vital for companies aiming to not only sell their products but also ensure repeat purchases. Businesses must monitor competitor actions, forecast, and decide when to stock up. From a sourcing viewpoint, they need to strike the right balance between inventory levels and fulfilment lead times, through monitoring of market

data.“Many companies we consult aren’t adjusting in these post-COVID times,” David observes. “They aren’t setting the right metrics, which often leads to over-purchasing or imbalanced investment decisions.”

Company departments tend to operate in silos, but they should be cross-collaborating. “Departments like marketing, sales, and IT must collaborate. Otherwise, it negatively affects the customer experience,” says Luke. “Without proper communication, a company might end up selling an extra 1000 units at, say, 30 per cent below the regular retail price. Such actions can diminish fullprice sales later on, reducing profit margins. These discussions are vital because a lack of them harms the customer experience and affects the company’s profitability. This isolated mindset can breed distrust and result in a loss of economies of scale.”

Commercial deals are typically set at the start of an engagement and aren’t reviewed regularly – a “set and

forget” approach. “When a company’s marketing team is brainstorming, they must ensure alignment, especially when discussing rebates, promotional terms, and how these strategies affect pricing,” David advises. “Cash is paramount. Companies must know what they’re conceding, who’s accountable, how to monitor everything, and the implications if plans fall through since significant money is at stake.”

As businesses grapple with adjusting their planning cycles post-COVID, David suggests diversifying their supplier base. Otherwise, they might face challenges like inadequate warehousing space, the need to automate, or having to pull other “de-risking” mechanisms. He believes this isn’t necessary if businesses reconsider their product approach. “Companies should evaluate different sourcing strategies. For instance, by storing stock nearshore, it might be pricier, but overflow issues can be avoided,” David says, noting that in

David Harrison, Chief Commercial Officer at Extolla.

Luke Bruinenberg, Senior Consultant – Sales, Inventory & Operations Planning at Extolla.

an Australian context, “nearshore” now includes locations like Indonesia, Malaysia, New Zealand, and even interstate regions.

Adjusting outsourcing strategies and de-risking the supply chain can help prevent overflow issues. A sound alert-based planning system influences rebate structures, rate structures, and terms. In rapid sourcing, cash considerations dominate, negating the need for strategic sourcing.

UNDERSTANDING THE MARKET AND NEGOTIATING

Often, companies issue requests for proposals (RFPs) or information (RFIs). “70 per cent of RFPs I’ve handled globally were awarded to the vendor who also provided a ‘non-compliance’ response,” David recalls. This happens because direct discussions with the vendor will highlight new and improved services and products not envisioned in the RFP or RFI process. He believes companies can sometimes benefit more from direct observations at their warehouses and interactions with customers and vendors than what’s on

an RFP response.

The RFI process involves understanding the market players, product analysis, discerning customer desires, determining commercial structure, warranties, terms, employee locations, KPIs, and contractual needs surrounding milestone payments. “Initiating the review process is a continuous negotiation,” David states. Planning ahead is crucial, as Luke points out, especially as businesses expand and evolve.

ADAPTING, BALANCING, AND RESOURCING

Flexibility and a deep understanding of cultural and regulatory differences are essential for global success. Given the numerous variables, like sourcing strategy and product dimensions, a one-size-fits-all approach is ineffective.

“With total inventory strategies, adaptation is crucial,” says Luke. “When was the last time you assessed vendor and customer contracts, terms, rebates and inventory holding data for supply chain financial gain?”

David asks. With practical, real-world experience, Extolla is here to help. ■

“

Companies should evaluate different sourcing strategies. For instance, by storing stock nearshore, it might be pricier, but overflow issues can be avoided.

Company departments often operate in isolation when they should be doing cross-collaboration.

KMART AUTOMATES OPERATIONS WITH TOMPKINS ROBOTICS

Kmart has selected Tompkins Robotics’ tSort solution, an autonomous mobile robot, for its New Zealand operations. The USA-based automation company tells MHD why the discount department store retailer chose this solution for its DCs.

Automation plays a large role in high volume, complex supply chains to improve key metrics

Recent labour constraints, increasing consumer demands and expectations,

operators spend half of their total time travelling inside large warehouses. With the simple principle of eliminating travel through robotic sorting technology, one can see how easy it is to materialise savings and enhance performance.

modular, scalable, configurable, and portable robotic solution to process goods to orders,” says Mike Futch, CEO of Tompkins Robotics.

MOBILE ROBOTS BENEFITTING RETAIL

automation within multiple industries,

development of a newer generation of

Tompkins Robotics’ tSort systems are renowned for their affordability, flexibility, and scalability. A tSort system is also lower investment, requires less space and deploys quicker when compared to other automated systems. tSort is often paired with its own execution software that is easily integrated with other higher-level ERP/WMS software in a D&F operation.

“The entire concept of tSort is to redefine item and case sortation to allow operations to have a 100 per cent

With many options available, it is important for leaders to carefully consider two factors: identify the right solution for their business and partner with the right vendor to deliver.

In the case of Wesfarmers-owned department store Kmart, continued growth in their business along with the desire to be flexible within their operation necessitated evaluating new technologies to pilot and implement in their New Zealand D&F hub.

Kmart is a much loved and trusted

well-defined market segments such organisations with access to strategic capital, advanced business strategies, and multi-year outlooks were able to invest in automation at Distribution & Fulfilment (D&F) operations. Typically, those investments were only seen at the large and scalable, high-volume grocery, pharma, and retail operations.

Leveraging industry-leading mobile robotic automation has grown to cover

D&F space and offer scale and mobility unavailable with traditional solutions.

tSort is often paired with its own execution software that is easily integrated with other higher-level ERP/ WMS software in a D&F operation.

retailer that has more than 300 stores in Australia and New Zealand (ANZ) and employs more than 44,000 team members.

With a network of D&F operations across ANZ, supply chain leaders were looking for a cost-effective solution that could increase their facility throughput, reduce the labour gap, and provide modularity to be transferred between facilities as needed to accommodate varying demand in their distributed logistics network.

The network delivers to highvolume stores with a wide product mix and unique product handling requirements for case, inner pack, and item sortation to meet the annual and seasonal demand of the Kmart store network.

“The challenge was to find a costeffective solution that improved safety and increased throughput in our NZ facility to support our growing store network and volume,” explains Dean Goulding, Kmart Head of Assets, DC Design and Automation.

PROVIDING THE RIGHT SOLUTION

Seeking a best-in-class automation solution and through a detailed RFP process, Kmart ultimately selected Tompkins Robotics’ tSort system. The award-wining AMR solution optimises fulfilment operations and provides a wealth of benefits for retail replenishment, including:

• High throughput: Sort systems facilitate high volume rates in a modular fashion to allow Kmart to scale the solution to fit the operation.

• Rapid deployment: a typical tSort implementation takes less than half the time of traditional sortation systems. This allows for faster installation between peak seasons for minimal disruption to Kmart’s operations.

• Low capital investment: tSort solutions are approximately half the cost of large tilt trays or crossbelt sorters, and additional robots and assets can be installed as needed to grow a system. This feature means you buy what you need as you need it – which postpones capital investment and allows complete utilisation of all assets.

• Scalable & Portable: The tSort

solution is fully modular, configurable, and portable. Further, all elements and robots can be easily added, removed, or relocated at any time to meet changing demands and business requirements. This portable design enables to “lift and shift” the systems to accommodate an evolving distribution network.

• Wide range of capabilities and applications: As a general merchandiser, Kmart has a wide range of products and varying packaging. tSort can process a wide variety of products and packages in many different environments and applications, including polybags, cartons, loose items, and many more product configurations.

• Higher capacity in a smaller footprint: tSort’s multi-level design can process more than double the volume in less than 25 per cent of the space of traditional sortation systems.

• Flexible and Robust Warehouse Execution System: tSort is powered by the cloud-based Tompkins Warehouse Execution System (tWES) and has 20 years of experience in integrating automated solutions to a variety of WMSs.

AUTOMATING OPERATIONS

Tompkins Robotics’ tSort solution was installed, tested, and commissioned utilising mostly remote resources in

the midst of the COVID pandemic, and has successfully supported the operation since go-live in May 2021. The results for Kmart have been exceptional, including but not limited to the following:

• Supports the reduction in manual handling activities on site.

• Increased throughput to meet store growth and volume.

• Improved inventory accuracy.

• Achieved more than 60 per cent reduction in space over traditional solutions.

• The start of installation to go-live was less than five months, with an operational ramp-up to full production in just a few weeks.

• An improved financial outcome for the business.

“Tompkins’s customer-first approach is refreshing and leads to the team constantly challenging the status quo,” says Dean.

“The team effort and great attitude led to an extremely positive customer experience. The project team embedded themselves in the working operation, which allowed for a seamless transition.”

C. Thompson Brockmann, EVP Operations with Tompkins Robotics adds: “The Tompkins Robotics and Kmart teams came together to apply this exciting technology for a set of requirements and challenges that would have been difficult to meet with traditional automated solutions.” ■

Tompkins Robotics’ tSort systems are renowned for their affordability, flexibility, and scalability.

Benefits to

One

Fund

Enjoy

Pay less in the beginning and pay more near the end of the term, pay more during peak season or delay payments to meet potential budgeting constraints.

Improve

Utilise external funding to drive significant improvements in ROI and recognise an immediate positive cash flow impact.

Obtain

Easily add new equipment under the master lease agreement by simply adding a new lease schedule. Pre-approved funding facilities available with no undrawn line fees to improve speed.

Conserve

Simplify

ALL IN ONE

Conquest Equipment’s National Sales Manager, Chester Larsen, spoke to MHD about the Australian cleaning solution company’s latest combination sweeper scrubber, the GMG. This new innovation was recently unveiled in Australia for the first time by Michael Matthews, Managing Director of Conquest, and Massimiliano Ruffo, founder and CEO of Italian-based manufacturer, Fimap.

Conquest Equipment’s partnership with Fimap, an Italian company specialising in the design and manufacture of innovative industrial floor cleaning solutions, has produced the GMG combination sweeper scrubber.

This electric, large-capacity combination cleaning solution is suitable for logistics, transport, building services, construction, and manufacturing environments, and can sweep, vacuum, scrub, and dry simultaneously, providing unmatched convenience and efficiency.

The GMG travels at speeds up to nine kilometres per hour and requires just a single operator –saving on labour and improving productivity. You have the option of choosing between wet battery cells or upgrading to lithium-ion for even greater run time. It’s also capable of operating at steeper inclines compared to other cleaning machines available on the Australian market.

“It’s a really exciting time for us

to launch this combination machine, which does a true sweep, and then a real scrub, in the one pass,” Chester Larsen, National Sales Manager at Conquest Equipment, says about the release of the GMG in the ANZ region.

AN INTEGRATED SOLUTION FOR MODERN DEMANDS

Traditional floor cleaning equipment, despite being reliable, often lagged in offering true multi-functional capability. The GMG, however, seamlessly merges sweeping, vacuuming, scrubbing, and drying functions in equal measure.

“The GMG is an all-in-one machine that sweeps, vacuums, scrubs, and dries in one go,” Chester says.

This isn’t just a convenience; it’s an integration that can drastically increase a business’s cleaning efficiency. Think about it: simultaneous execution of separate cleaning tasks can radically streamline cleaning in large warehouses, particularly those of booming

companies like Amazon in Europe, which have already integrated these machines.

COMMITMENT TO SUSTAINABILITY AND EFFICIENCY

Today, businesses globally are pushing towards greener practices. In response, the GMG sweeper scrubber stands tall as an embodiment of environmental consciousness.

A move away from the emissionsheavy petrol and diesel-powered machines, the GMG is an entirely electric solution. And for those looking to further reduce their carbon footprint, there’s the option to upgrade to lithium-ion batteries.

Speaking of the machine’s environmental impact, Chester highlights its impressive dust filtration system: “The air that is sucked up through the sweeping system can pass through up to three different layers of filtration, filtering dust to a very small micron.”

The GMG combination sweeper scrubber is an all-in-one cleaning solution.

MHD WAREHOUSING

This ensures both operational longevity and reduced environmental impact. Moreover, the GMG’s innovative software offers real-time data monitoring, a leap forward in ensuring machine efficiency.

“All data can be captured and sent to a central management location, providing a sophisticated reporting system,” Chester says. “This not only aids businesses in tracking operational efficiency but also plays a pivotal role in predictive maintenance, ensuring minimal downtime.”

A TIMELY RESPONSE TO TODAY’S CHALLENGES

Recent challenges, especially those induced by the global pandemic, have accentuated the need for automation and efficiency in business processes. Reducing human contact without compromising efficiency has been a primary concern for businesses. The GMG, with its multi-functionality, seems like the perfect response.

“It’s like halving the resource challenge,” Chester says. “The machine performs two functions, with one operator, in a single pass. This means not only streamlining efficiencies, but actually redefining how businesses approach cleaning their facility.”

PROMOTING WORKPLACE SAFETY AND HEALTH

Given the renewed emphasis on respiratory health, the GMG has a particular significance in the

industrial space. Misting the surface as part of the cleaning process prevents dust from becoming airborne. In addition to a high-quality filtration system, its zero emission operation further promotes a cleaner, healthier indoor work environment.

“The silica dust problem is serious, and needs to be treated as such,” Chester says. “Those responsible for staff health are acutely aware of this.”

And it’s not just about the internal environment.

“The GMG can be used outside for sweeping hardstand areas where trucks load and unload. Cleaner surroundings mean healthier workers, happier workers, and reduced downtime due to slip and trip incidents, or respiratory ill-health.”

The GMG boasts advanced safety features well beyond its superior filtration system and zero emission operation: it has a built-in anticollision system including cameras and alarms, and even an onboard system for cleaning tight spaces.

“Modern features, such as front and rear cameras, combined with anticollision alarms – all work together to really enhance the safety of operators and pedestrians,” Chester says. “Combined with its ergonomic design, operating the GMG isn’t just safe and efficient, but also comfortable for extended use.”

BUT THAT’S NOT ALL

With Australian industrial property vacancy rates at historic lows, now

more than ever companies need to get more out of their square metre footprints.

The GMG’s footprint is commendable. With the capability to manoeuvre within a 3.2-meter aisle and operate on industry-leading gradients of up to 20 per cent, it’s designed for versatility. Its design also allows for brush speeds of almost 315 rpm, adjustable down pressure of nearly 250 kg, and an extended runtime of seven hours.

“While it can clean very large facilities, the machine has an impressive turning circle, perfect for narrow spaces,” Chester notes.

Additionally, the machine integrates a two-step vacuuming process – one for dust and another to extract the dirty water: “The machine not only sweeps and vacuums but also scrubs and dries. The two-step vacuuming process ensures floors are both clean and dry. This reduces the chance of slipping on wet floors, or tyres losing traction.”

Chester wraps up the conversation with an emphasis on the GMG’s unmatched advantages: its environmental friendliness, safety features, and suitability for large operations. “Being electric means significant efficiency and cost savings. Sites won’t need to refuel or house fuel onsite, and charging is simple.”

The logistics and warehousing space continues to change rapidly. With new methods and new technologies arriving at breakneck pace, industrial cleaning needs to keep up. And – as the GMG shows – Conquest is more than keeping up. ■

Fimap CEO Massimiliano Ruffo and Michael Mathews introduce the GMG.

Chester Larsen, National Sales Manager, Conquest Equipment.

quality and efficiency.

Lastly, but by no means least, the platform offers enhanced visibility into the supply chain. In an industry where real-time data and transparency are crucial for timely decision-making, this improved visibility is invaluable. Not only does this feature bolster safety further, but the clear and straightforward voice solution also ensures that the workforce remains singularly focused on their tasks.

Similarly, the benefits of cobot solutions are easy for everyone to see. Instead of having to walk several kilometres during and at the beginning and end of a regular work shift, the operator can depend on the AMR to transfer the orders across the warehouse. From there, they can put the orders in an envelope or box and have them shipped off.

“There are many robots in the working environment,” explains Darren O’Connor, Director of Solution Delivery at Körber. “We place a picker in what we call a zone, so they cover a particular area. The picker moves from robot to robot, taking the item out of the pick face, and placing it onto the robot.

“This solution eliminates high error rates. Cobot solutions sit above Voice and below AMRs. They’re implemented without needing to change a DC’s rack or pick face layout. We might change some configurations to enable a pick zone and we require some software capability to assist with it. We don’t touch the physical infrastructure in

the customer site, which helps lower the implementation costs and makes deployment faster and easier.”

The Locus robot is available via a monthly service OPEX model, enabling businesses to scale their operations up and down during peak periods. Repayments for the robots increase if an enterprise requests extra robots. Once it’s finished using them, it returns them to Körber, and its fees decrease to the original price.

“When a business designs its original system and identifies how many robots it requires, it’ll pay an amount per month based on consumption and agreed term,” says Anthony Beavis, Managing Director, ANZ at Körber.

With the Locus solution providing flexibility to Körber’s customers, they can tailor it to suit their seasonal needs. Additionally, it makes it easier for peak periods such as Christmas, Boxing Day and Back to School sales.

CONNECTING SOLUTIONS WITH A SINGULAR SYSTEM

Körber’s Unified Control System (UCS) simultaneously bridges the gap between disparate technologies and drives them in normal mode so it can link software and hardware from Körber and thirdparty systems.

“The UCS stops different pieces of technology in a DC from becoming separate islands,” notes Anthony. “Traditionally and historically as a software company, Körber strives to be the market leader in technology. We can unify and orchestrate our solutions with our WMS, as well as those from third parties.

“Many components of our solutions are not dependent on the customer having Körber’s WMS. Our UCS platform is adaptable and can be integrated with other technologies, including other vendors’ WMS platforms.”

“We can provide support across different technology areas,” adds Darren. “If a customer is on our WMS or voice or RF systems, we have a common support approach, where they can raise a ticket and it’s lodged into our support portal. It’s then assigned to the appropriate technical teams and it’s all in one place.”

“The APAC region of Körber is a pillar of its global service,” says Anthony. “Customers only have to call one number to be connected to the relevant team. This is an area we’ve heavily invested in over the last 12 months. We’ve almost quadrupled the size of our team and we’re still growing these services to cater not just for the ANZ market, but worldwide.”

And with customer service a priority, whenever system updates are made, Körber notifies its customers well in advance so they don’t get any inconvenient surprises.

“Many of our clients like to have a degree of control of when changes are scheduled,” says Darren. “If we’re implementing an update, we work with them to schedule it into production, so there’s a level of understanding about when it’ll become available.”

Still more evidence – if it were needed – that Körber is your go-to one-stop-shop for supply chain solutions. ■

The Locus Robotics AMR.

Darren O’Connor, Director of Solution Delivery from Körber.

Henry Treloar 0412 404 426 henry.treloar@leedwell.com.au

Steve Smith 0410 532 022

steve.smith@leedwell.com.au

Paul Tierney 0401 145 028 paul.tierney@colliers.com

Tom Barrett 0417 827 449 tom.barrett@colliers.com RLA 204

THE MIND BEHIND THE MACHINE

Today, Mushiny provides the hardware as well as the software that ties it all together. But – why software first?

K2 offered a compelling analogy in response: “Software and hardware can be likened to the brain and limbs of a human body, respectively,” he explained. “In any warehouse, the machines function as the ‘arms and legs’ of operations. However, having limbs without a brain can be problematic. The same applies to warehouse management. The essential challenge for me was finding a way to control and coordinate these ‘limbs’, which is where the software, or the ‘brain’, is most crucial.”

Walking through the bustling aisles of CeMAT 2023 in Sydney, it was hard not to notice the rise of automation technologies revolutionising the logistics and supply chain sectors. Amidst the innovations, one name stood out: Mushiny.

It was at CeMAT that MHD had the opportunity to sit down with the company’s founder, Lui Ming, better known as K2, to discuss the ethos driving Mushiny’s introduction to the Australian market.

K2 began our conversation with a nod to his formative years. “My journey started with my study in industrial engineering, with a significant focus on manufacturing system optimisation,” he said.

His passion for optimising systems would only grow with time. K2 joined Amazon post-graduation. There, he managed the warehouse team. While Amazon’s operations relied heavily on manual labour, K2 quickly recognised the pivotal role software played. “Despite the prevalence of manual

labour in the warehouse, it was evident to me early on the powerful role that software played in operations – a role that would only grow more important with time.”

His time at Amazon, especially the deep dive into software-driven operations, marked a significant turning point.

“Back then, warehousing was labour-intensive, with workers often engaged in simple, repetitive tasks that lacked creativity. This is still true in many cases, but not quite to the same extent,” K2 said. “This realisation led me to the idea of establishing a company to free workers from monotonous and boring jobs. The thing about powerful software and robotics is that they don’t simply replace humans, they allow humans greater freedom to do more creative work, and value-add in a way beyond often laborious work.”

And so, with an unabashed mission to make the world a better place, K2 founded Mushiny.

MHD asked K2 why Mushiny originally focused only on software.

K2 elaborated further on the theme: “There are many ways to tackle a single issue, so customers often have multiple options put in front of them when it comes to robots in logistics settings. But I feel it’s vital to effectively integrate software with hardware if we are to meet customer requirements properly.

“Understand the problem, design a proper solution, and use a unique common language to integrate software and hardware to realise that solution in real life – that’s our approach.”

Amidst a market filled with companies prioritising purely mechanical considerations, K2’s perspective is refreshingly customercentric.

“While most companies focus on mechanical design or hardware, what truly matters to the customer is the solution provided,” he said. Drawing from early lessons learnt at Amazon, he believes that Mushiny’s strength lies in understanding customer needs from a unique warehouse management viewpoint.

Part of suiting a solution to customer needs is – of course – being adaptable.

At CeMAT 2023, MHD interviewed Mushiny Founder Lui Ming (‘K2’), delving into his background, why he started Mushiny, and how Mushiny’s software is the ‘brain’ above their robots’ bodies.

Mushiny made its Australian debut at CeMAT 2023 in Sydney.

K2 says Mushiny’s software approach is therefore modular, and “as adaptable as LEGO bricks”.

“To avoid wasting time on repetitive programming, we develop software modules that can be integrated speedily,” K2 says. “On average, only 10 per cent of the functioning model might be used for a particular customer project, while the rest, 90 per cent, is kept in our software database.”

We also asked about the role of artificial intelligence (AI) in Mushiny’s software.

“Artificial intelligence’s role in our software is complex,” he said. “The role of AI, essentially, is to make predictive decisions based on patterns, trends, and unexpected events.”

He illustrated this with an example: “If a well-known figure like Steve Jobs passed away, our AI could recognise this event. It would then notify the software to get Steve Jobs’ biographies ready for the next day, moving them to more accessible storage locations in anticipation of increased demand.

“Another example of Mushiny’s AI usage is its ability to differentiate between old and new items,” K2 said. Although it’s relatively straightforward for a system to categorise items as ‘hot’ or ‘cold’ based on past sales, K2 pointed out that the real challenge lies in identifying unexpected events

or activities that could significantly impact the order fulfilment process. “This is where our unique AI plays a crucial role in our software.”

But it’s not all about software and AI for Mushiny. What about the ‘limbs’ that the software-brain coordinates?

As earlier noted, Mushiny started off purely in the software realm, but K2 says that to compete in the market effectively – to get a foot in the door, and to obviate the risk of unreliable suppliers – he realised Mushiny needed to build its own robots to accompany its software.

“After the first version of our software was released, we found ourselves without a hardware solution,” K2 reveals. “We’re very happy with the robots we make and bring to market –but I still insist that it’s the software where the magic really happens.”

In either domain – software or hardware – Mushiny is not one to rest on its laurels. To stay ahead of a fastpaced robotics and software technology field, K2 told MHD that a strong R&D program is crucial.

“It’s vital for us to keep a substantial portion of our investment in R&D to stay ahead of technology trends,” he noted. “In fact, 60 per cent of our employees are engaged in R&D work.”

Mushiny’s emphasis on key component development is also

instrumental. The firm invests heavily in creating these components, either independently or in collaboration with partners.

K2 is visibly excited when discussing the upcoming projects that Mushiny has in store for the Australian market. The first one is the Mix, a high-quality e-commerce solution that includes the firm’s shelving system, robots, and mixing station.

“We also have a buffer zone dedicated for hot items to increase efficiency,” he added. He outlined how the PV efficiency of this product can reach up to 650 effective totes per hour, and a connected conveyor loop allows for even higher throughput. For those with lesser throughput requirements, the Mix system can be broken down into individual units, offering significant flexibility.

The second project is a highly efficient sortation machine – details of which remain confidential at this time. However, given Mushiny’s track record and K2’s evident enthusiasm, the industry will undoubtedly be waiting with bated breath to see what the firm unveils next. With its blend of advanced software, cuttingedge robotics, and an unwavering commitment to R&D, Mushiny – and the man behind it: K2 – are indeed a force to be reckoned with. ■

Mushiny’s patented software is the ‘brain’ behind their excellent machines.

BATTLING FOOD WASTE

In the wake of a compelling new series of the ABC show War on Waste, conversations around food wastage and its ripple effects on society, the economy, and the environment have taken centre stage.

While the show rightly emphasises strategies that consumers can adopt, Luke Wood, CEO of Escavox, believes there’s an untapped dimension to the issue – one hidden deeper within the supply chain.

“Consumers are at the end of the chain and can only work with what’s given to them,” Luke says. “Indeed, while many of us might be alarmed to find that 40 per cent of food waste occurs in our own homes, it’s equally

– if not more – startling that an identical percentage of waste happens before these products even leave the farm. Furthermore, a significant 20 per cent gets lost in transit within the supply chain.”

While consumers might do well to be careful with how they consume and handle their food, the issue isn’t just about the end product, but its overall treatment throughout the supply chain.

“By the time it’s in the consumer’s hands, much is already determined,” Luke says. “The bigger picture here calls for a thorough evaluation of the food as it moves along its journey from producer to end-consumer.”

THE MISSING LINK

“Retailers are highly attuned to consumer behaviour, especially where money is concerned,” Luke says.

“Particularly when it comes to ‘beacon’ or ‘hero’ products, they’ve got quite sophisticated tracking methodologies. These are items like berries, broccoli, and mushrooms which – due to their popularity and importance – end up setting a sort of quality benchmark for the store. If a retailer gets these right, everything else, commercially speaking, falls into place.”

But while retailers try and adjust dynamically to changing demand signals – thus minimising waste by not oversupplying what’s not wanted

MHD speaks with Escavox CEO Luke Wood about the prevalence of food waste, and how we can mitigate the problem with food visibility technology.

A picture of supply chain success – produce in peak condition protected by Escavox technology.

we’re still left with all that food that doesn’t make it from paddock to plate.

And this is precisely where Escavox steps in, whose primary mission is to equip the food industry with pivotal data that can inform smarter decisions.

“Currently, there’s a ‘one-sizefits-all’ approach to handling fresh produce,” Luke says. “But, with the right data, better decisions can be made, and faster.”

To minimise waste, everyone in the supply chain – from producers and wholesalers to carriers – needs to maintain a level of flexibility, pivoting strategies based on changing data. Retailers heavily invest in decoding consumer behaviour, while on the other end, growers remain equally engrossed, looking at elements like rainfall, soil content, and sunlight to manage their produce yields.

However, linking these two realms – the consumer preference and the growing conditions – is a singularly crucial aspect that often goes overlooked: the journey of the product.

“Analysing this journey is vital to ensuring consumer satisfaction,” Luke says. “It’s this journey – from farm to shelf – that acts as a critical determiner of food quality and consumer experience. But for many the intricacies of this journey remain relatively opaque.”

In War on Waste it is said that if the world’s food waste constituted a country, it would rank as the world’s third largest emitter of greenhouse gases.

Such comparisons underscore the

gravity of the situation and cast a spotlight on the urgent need for innovative solutions. Escavox, while not primarily an environmental enterprise, seems poised to make a substantial difference in this arena.

The core philosophy driving Escavox’s approach to this challenge is surprisingly simple, yet profoundly impactful, as summarised by Luke in the oft-quoted maxim: “If you measure something, you can manage it.”

By implementing this philosophy, Escavox seeks to ascertain the quality and freshness of food throughout its journey – providing the missing data between producer and retailer. Questions like whether the food met its quality specifications or if it remained fresh and edible upon its arrival are central to planning and food supply chain management. Producers don’t want to create waste – that would be bad business. With an effective food visibility solution such as Escavox offers, money can be saved while less waste – and by connection fewer emissions – is put out.

However, it isn’t just about the immediate waste of produce. Luke delves deeper, examining the environmental impact tied to the transportation of food. He highlights the inefficiencies in our current food distribution systems, mentioning the perplexing journey of products like avocados and mangoes. With the only efficiency metric being financial odd things can occur: fresh product is taken from the farm through an extensive network only to be delivered

to a supermarket a few kilometres down the road. Luke underscores the environmental implications of this when he says, “It’s alarming to see food items being transported across vast distances only to return to their origin.”

The solution lies not just in scrutinising the financial costs, but in considering the holistic view involved in these extensive movements. If you know more about the food as it moves, you can better plan for and make efficiencies in its journey.

Luke offers as illustration the case of a high-grade beef exporter with whom Escavox dealt. In what initially seems counterintuitive, the datadriven analysis provided by Escavox illuminated a key insight: transporting beef via sea freight was not only more cost-effective but also gentler on the product’s quality as opposed to the pricier airfreight. This might seem counter-intuitive because one would think a faster, direct flight – as opposed to less direct, slower sea travel – would be the common-sense option. But taking the quality considerations into account, as Escavox’s platform makes possible, investigation showed that sea freight was – in the final analysis – more effective on the whole. This realisation ushered in significant cost savings for the client while improving the quality of the product they delivered.

But the beef exporter is not an isolated success story. Several other clients have capitalised on Escavox’s insights, mitigating product rejections by understanding the precise reasons products might not meet retailer or wholesaler criteria. Luke elaborates on another client, a mango producer, who identified pre-cooling issues through the data. The subsequent improvements directly translated to enhanced shelf performance and fostered stronger relationships with retailers.

Knowledge, as they say, is power.

With industry grappling with waste, inefficiencies, and broader environmental concerns, Escavox’s solution steps in with the power of data-driven insights. Producers save money, consumers’ food quality is better assured, transport is economised, and emissions can be lowered.

No matter which way you cut it, it’s a win. ■

Luke Wood, CEO of Escavox.

Through

THE AUSTRALIAN COLD CHAIN EVENT OF THE YEAR

The Refrigerated Warehouse and Transport Association (RWTA) is holding its 81st Conference and Exhibition at the QT Gold Coast from 20 to 22 August.

The theme of this educational update conference is “The Cold Chain: Volatility, Global Conflicts, and Agility”, and aims to provide actionable insights into this consistently evolving landscape.

In an era defined by change, agility has emerged as a critical asset in the cold chain industry.

In order to assure people in Australia have access to affordable and safe food, a consistent requirement is the seamless distribution of temperature-sensitive produce.

The key to navigating this process? Agility, innovation, and resilience.

Trade disputes and geopolitical turmoil are contributing to ongoing disruptions in the supply chain. The demands of cold chain logistics, from strict temperature control to time-critical deliveries, amplify these challenges. Energy market fluctuations further threaten both profitability and sustainability.

To maintain control over disruptions, the industry must: embrace the latest technological advancements; prioritise sustainable energy solutions; ensure staff are working at capacity; ensure HR, IR and safety processes are aligned; and

take into consideration other countries and the lessons that they have learned in preparation.

Those who attend the 81st RWTA Conference and Exhibition will explore these topics with some of the leading minds in the industry. Through presentations, panels, case studies, tech talks, and workshops, this gathering offers an unrivalled opportunity for learning and networking. Together, we will chart a course towards a future where innovation, agility, and collaboration drive success in the cold chain. ■

The 81st RWTA Conference and Exhibition will explore a variety of topical subjects with some of the industry’s leading minds.

AIRPORT EXPANSION

With Prime Minister Anthony Albanese at Newcastle Airport recently to mark the beginning of construction of a $110 million expanded terminal, the majority of the local interest focused on the accompanying opportunities for tourism and passenger growth. Understandably so, given international flights will inject around $12.7 billion into our regional economy and create 4410 new jobs over the next 20 years.

While international flights could in time attract up to 850,000 new visitors annually to the region, the belly of arriving and departing planes offers the region, the State – and indeed the nation – untold economic prosperity.

Australia’s international competitiveness is underpinned by a dependable and effective

transport sector. Increasingly, air freight has become a fundamental factor of the freight task. Air freight carries the nation’s highest value product (measured in per tonne terms) and most time-critical loads both across the country and through two-way trade with the rest of the world. Indeed, air freight accounted for almost $125 billion of the value of Australia’s international trade in 2020 despite the pandemic grounding 90 per cent of all international passenger flights.

These flights include high value and time sensitive goods such as pharmaceutical and medical products, fresh premium perishable produce, precious metals and gemstones, mobile phones, technology hardware, and vital spare parts and materials.

Of note, the export volume of air freight, measured on a per capita

basis, has increased significantly over the last five years and more than half of the growth in air freight exports can be attributed to significant increases in demand for fresh food products from a rapidly expanding middle class in many countries, especially in neighbouring Asia. Our love of online shopping has also contributed significantly to this increase.

There are a limited number of export gateways for the air transportation of perishable and time sensitive goods. The primary gateways are the capital city airports such as Sydney, Melbourne, and Brisbane, which are a significant distance from the majority of export production.

The expansion of Newcastle Airport is a boon for passengers, but the most transformative opportunities might lie below the wing.

The export volume of air freight, on a per capita basis, has increased significantly over the last five years.

For NSW export producers, access to foreign export markets is restricted by access to these gateway ports.

Most agricultural exporters are based in regional areas that are significant distances away from these export gateways. Fresh perishable products grown in regional NSW for export are typically transported over long distances by road to Sydney Airport, Melbourne Airport, or Brisbane Airport. The local economies of regional NSW are disadvantaged by the time taken for the fresh perishable products they grow to arrive at their foreign export markets, which in turn impacts the quality and financial returns to our farmers.

Currently, there is no regional airport in NSW that has a dedicated freight aircraft service to international markets. And it is here that Newcastle Airport, with its expanded capacity and a compelling case for a holistic inter-port and air coordination strategy, can make its greatest economic contribution to our region and state.

Toowoomba Wellcamp Airport, 150km from Brisbane, is a regional example of a fully licensed international air cargo terminal with cold store capabilities, security and customised freight solutions delivered through integrated and strategic partnerships.

Research by Deakin University has examined models both internationally and within Australia where air and

seaports have created a regional logistics epicentre, creating location capabilities and economies of accumulation for regional economies.

In other words, with its expanded capacity and international reach, Newcastle Airport – together with other regional gateways such as the Port of Newcastle – offers a unique regional transport and logistics cluster, where complementary freight and supply chain opportunities in all modes of transport are utilised, each within their best capacity and within a network of infrastructure.

The growth of an international trading ecosystem will enable our region to attract new global connectivity and investment. There are a number

of identified trades that each ‘port’ can target in order to meet import and export requirements, helping to expand global market access for growers, manufacturers, and retailers.

For Newcastle Airport, these include high value components and equipment for Defence manufacturing and supplies, food, electronic devices, pharmaceuticals, and livestock. For the Port of Newcastle consumer goods, cotton, processed agrifood product, and mining and resources equipment will be key to container trade.

For both gateways, a shared offering to the agrifood sector as well as Defence operations supply, Aerospace manufacture, and Resources and Energy sector will support the growth of the region and signal to these industries that the international gateways are responsive to flows of product and people.

Trade in a 21st century global context is about achieving scope, scale and a trade-oriented environment that embraces technology solutions to support reliable and timely goods flow. The growth of Newcastle Airport has the potential to deliver much more than just additional passengers. Hang on for the ride! ■

Sam Martin-Williams is the ViceChair of the Supply Chain and Logistics Association of Australia (SCLAA) and Deputy Chair of Newcastle Airport Ltd and Greater Newcastle Aerotropolis Ltd.

Sam Martin-Williams, Vice-Chair, SCLAA.

Prime Minister Anthony Albanese announces the Newcastle Airport expansion.

MEGATRANS is Australia’s largest integrated conference and exhibition dedicated to the logistics industry. MEGATRANS will showcase the latest in artificial Intelligence (AI), robotics, automated racking, telematics and route optimisation, warehouse automation, intelligent fleet systems, blockchain, Internet of Things, big data and advanced analytics.

HUBTEX SECOND GEN FLUX 30

HUBTEX’s FluX Electric Multidirectional Counterbalance Forklift Truck has had some significant and innovative updates. The latest generation has load capacities of up to three tonnes. It has a new central driver’s position, which provides a higher-up all-round visibility compared to its predecessor. Additionally, the patented 360° HX steering has been added to the compact three-wheel running gear for the first time, ensuring smooth changes in direction from longitudinal to transverse travel. It handles both pallet and long-load transport in a single vehicle. This hybrid used as a front and sideloader makes the new 3T FluX 30, suitable for a wide range of sectors, from the timber and metalworking industries, through to the building materials trade.

For more information visit www.hubtex.com.au

PROJECT44 OCEAN VISIBILITY

Poor ocean visibility puts a strain on global supply chains, logistics costs, and customer service. At the root of the issue is low-quality data that hinders personnel productivity, streamlined operations, and proactive exception management. Today, more than ever, shippers and 3PLs need global ocean visibility with the data quality, intelligence, ETAs, and proactive exception management that ensures efficient, costeffective, reliable, and sustainable global transportation. Project44’s Ocean Visibility solutions is here to help, with a suite of solutions that uses first-in-class data and analytics to improve personnel productivity, allow for proactive exception management, reduce logistics costs, improve customer service, and empower users for agile transport planning and procurement.

For more information visit www.project44.com

AUTOSTORE GRID AND VENDING MACHINE

Global cube storage company AutoStore introduces its latest capability, the Grid and Vending Machine solution, designed to simplify warehousing automation. The ConveyorPort is a workstation in its simplest form, where Bins are dropped on a conveyor and transferred to an opening outside of the Grid. Smart covering and sensors ensure operator safety. The CarouselPort is designed to work with the operator, in harmony with Robots to ensure the next Bin is always ready. The workstation operates with three rotating arms, each holding one Bin tray. The Vending Machine solution includes various Robots and chargers, as well as a dummy display unit, and a grid structure with 60 Bins.

For more information visit www.autostoresystem.com

IFM’S TRACK AND TRACE GATE

ifm Track and Trace Gate is the complete solution for your automated and transparent logistics in your incoming and outgoing goods processes. By directly transferring all goods flows to the IT level, you can organise the inter-locking of production, inventory, and suppliers more efficiently than ever before.

For more information visit www.ifm.com/au/en

PEOPLE ON THE MOVE

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

ERNST & YOUNG HIRES GTA DIRECTOR

Recently appointed as a Director in the Oceania Global Trade Advisory (GTA) team at Ernst & Young, Cam Tran brings extensive expertise in trade modernisation and digitalisation. With a deep understanding of the evolving global trade landscape, Cam leads a team that provides strategic guidance to organisations seeking to optimise their operations and navigate complex trade challenges. Leveraging her knowledge of emerging technologies, regulatory frameworks, and industry best practices, Cam helps develop and tailor innovative strategies and actionable recommendations that drive efficiency, mitigate risks, and enhance supply chain performance.

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

Taking Intralogistics to the next level

Argon & Co ANZ's new Intralogistics service offering will be powered by Fuzzy LogX, who fully integrated with Argon & Co in June 2023 after joining earlier this year. Fuzzy LogX has a market leading proposition in intralogistics, with expertise in warehouse automation and technology, and proven track record of delivering large client engagements. Like Argon & Co, their in-depth market knowledge delivers process improvements and lasting results for clients around the globe.

Read more about our Intralogistics offering here:

2 5

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