MHD May 2022

MAY 2022

COVER STORY

MOVING THE DIAL ON GENDER EQUALITY Körber Supply Chain’s agenda to promote women in supply chain

TOTAL SUPPLY CHAIN VISIBILITY

project44 brings its worldclass solution down under

THE RUSSIAUKRAINE CRISIS

Prological Consulting explores its impact on global supply chain

INTRODUCING THE 2/3 PALLET

Ozkor’s game-changing new pallet design rolled out by Woolworths Group’s Primary Connect

Watch now

Super Retail Group targets future growth with Körber Cloud koerber-supplychain.com

MHD FROM THE EDITOR

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

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

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

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

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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.

BUDGETING FOR SUPPLY CHAIN SUCCESS

T

here was good news for the supply chain and logistics sector in late March when the Federal Government announced in its 2022 Budget it would strengthen supply chain networks and develop manufacturing programs by investing $1 billion across those industries.

All of this comes as work continues on the Melbourne to Brisbane Inland Rail and as Victoria has been as the location for MRNA vaccine manufacturing in what will be the largest facility of its kind in the southern hemisphere. The rail-link is a big win for overall supply chain, and Victoria’s vaccine production capacity will prove a vital long-term component of the nation’s medical supply chain security strategy.

Putting the Budget to one side, this edition of MHD is as varied and interesting as ever. We provide insights into the partnership between Vative and Work Wear Group (WWG); Dematic’s teaming up with European cold storage company Sivafrost; Blue Yonder’s approach to Warehouse Labour Management and e-commerce; and coverage of the SCLAA’s 60th ASCLA Awards.

Despite the ongoing challenges brought on by the COVID-19 pandemic, local extreme weather events – the Queensland and New South Wales floods – and the Russia-Ukraine conflict, experts and workers continue developing innovative strategies and solutions to tackle both these issues and any new ones that may soon cross our industry’s horizon.

As always, to learn what you need to know in supply chain and logistics, you can budget on MHD to deliver the goods.

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

MHD Supply Chain

MHD MAY 2022 | 3

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MAY 2022

ISSUE #15 VOLUME 52

THIS ISSUE COVER STORY 10 Körber on empowering women

SUPPLY CHAIN 18 Microlistics WMS and leadership 23 Bestrane and heavy vehicles 33 Blue Yonder 36 project44 brings complete

COVER STORY

10

visibility to Australia 42 Thinxtra’s IoT success in NZ

MATERIALS HANDLING 15 Toyota Material Handling Australia 26 Ozkor’s 2/3 pallet 40 Abbe Corrugated

WAREHOUSING 20 Vative Academy and continuous improvement 30 Dematic

26

46 EPG’s complete suite for supply chain execution

DEPARTMENTS AND REGULARS 06 Industry News 48 Colliers Property Focus 50 Prological’s Logical Outlook 52 SCLAA 52 ASCI 57 Products

ON THE COVER

58 People on the Move

Körber Supply Chain shines the spotlight on its female trailblazers, and its agenda for empowering women in supply chain.

46 MHD MAY 2022 | 5

MHD NEWS

Amazon opening first Australian sort centre

Amazon says building of the 15,600 sqm sort centre, which is nearly the size of the Melbourne Cricket Ground oval, has started and generated more than 700 construction jobs.

A

mazon Australia has announced it will open its first dedicated sort centre in Australia at Goodman Group’s new Amaroo Business Park in Melbourne’s Craigieburn this year.

This will be the American company’s fifth fulfilment centre in Victoria. It says it will help to deliver items more quickly to customers around the state and the country as well as generate 200 new local jobs.

The roles will range from entrylevel positions that will involve sorting customer orders to specialist roles including human resources, workplace health and safety and team leader positions.

“We chose Melbourne as the home of our first Australian fulfilment centre in 2017 and have continued to invest significantly in Victoria, providing employment for hundreds of Melburnians and improving delivery promises for our customers,” Craig Fuller, Director of Operations at Amazon Australia says.

6 | MHD MAY 2022

“Opening our first sort centre in Melbourne signifies further our commitment to the state,” he adds.

He also notes it will be a safe and supportive work environment, and the jobs will come with a competitive pay rate.

Amazon says building of the 15,600 sqm sort centre, which is nearly the size of the Melbourne Cricket Ground oval, has started and generated more than 700 construction jobs.

Its sort centres are where alreadypicked-and-packed customer orders are sorted by final destination and then consolidated and shipped to lastmile sites for delivery to customers.

“We know the past few years have been tough for Melburnians, and we’re grateful to have had the opportunity to support our Victorian customers by helping them get the items they need delivered to their homes and supporting thousands of small and mediumsized Australian businesses in reaching their customers more

efficiently,” Craig says.

Amazon says the Craigieburn location for the sort centre is well positioned for workers in Melbourne’s north and for transporting and delivering customer orders.

“Continued investments by international companies like Amazon sends strong signals that Victoria is open for business and is strategic location to invest, expand to drive for more jobs and economic opportunity,” Tim Pallas, Treasurer of Victoria says.

Amazon notes the sort centre will support the company’s existing fulfilment and logistics network in Victoria, which includes fulfilment centres in Dandenong South and Ravenhall, and Amazon Logistics sites in Tullamarine and Mulgrave.

“We are helping grow jobs in one of Melbourne’s fastest growing regions to improve regional prosperity and ensure more local families can find quality work options close to home,” Ros Spence, Member for Yuroke says.

MHD STRAP LINE

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With 34 AutoStore robots, five picking ports, and storing 45,000 segmented bins in an overall footprint of just 760 square metres, the AutoStore system holds four times more stock in the same space, and Siemens can now handle more orders, more accurately, in less time.

Read more and see it in action at www.dematic.com/siemens

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Dematic.com/siemens 02 9486 5555 info.anz@dematic.com MHD APRIL 2022 | 7

MHD NEWS

Households spent $62.3b online in 2021: AusPost In October 2021, Australia Post announced it would invest an additional $400 million in new facilities, fleet, and technology by the middle of this year.

A

ustralia Post says in its 2022 Inside Australian Online Shopping Report more than four in five Australian households shopped online during 2021 and spent $62.3 billion on physical items.

The national postal service notes this spending brought online share of total retail to 19.3 per cent.

Additionally, it says 81 per cent of Australian households shopped online with 5.4 million households shopping online each month – an increase of 39 per cent from 2019 – and says national growth in online purchases was up 12.3 per when compared to 2020, and almost double the pre-pandemic level.

The report released today outlines the latest Australian e-commerce trends and estimated growth throughout 2021.

Paul Graham, Australia Post Group Chief Executive Officer and Managing 8 | MHD MAY 2022

Director says the pandemic brought about a fundamental shift in the way Australians live, work and shop, and that online shopping is now a mainstay for Australian families when purchasing everything from clothing to day-to-day household items.

“Right across the 2021 calendar year Australians turned to online shopping like never before, and with fluctuating restrictions and 15 million people in lockdown at one stage, e-commerce was a lifeline for people and businesses alike,” Paul says.

He adds that even as restrictions have eased, Australia’s love of online shopping has not faltered as shown by the estimated growths stated in Australia Post’s latest report.

The postal service company notes consumers’ confidence and comfort with buying online has increased, and they are willing to shop around.

It says shoppers are spending across a broader cross-section of retailers and are purchasing items online from new categories.

“Today’s online shoppers are looking for choice and convenience, reliability in supply and delivery, and with 75 per cent thinking about sustainability when they shop online, it’s having an enormous impact on which brands they choose to buy from and where they spend their money,” Paul says.

“While we expected the growth we’ve seen over the last two years to moderate, shoppers’ eagerness to buy online will continue to increase, and Australia Post is ready and committed to supporting our customers as we move into this next phase of retail in Australia,” he adds.

Australia Post says in 2019, the average shopper bought from nine individual retailers while in 2021 that figure increased to 15, and the number of categories increased from six to eight over the same period.

It notes people are now shopping at a different time of the day with most purchases made between 2pm and 5pm, and fewer between 7pm and 10pm.

In October 2021, Australia Post says it announced it would invest an additional $400 million in new facilities, fleet, and technology by the middle of this year.

It says it is also improving the customer experience with new solutions including two-hour estimated time of arrival (ETA) notifications, which it is progressively rolling out.

Nationwide in 2021, it says metro areas saw growth of 12.9 per cent yearon-year while regional locations saw growth of 10.6 per cent, and among the top online buys were athleisure, baby products, footwear, and pet products.

It notes Point Cook in Melbourne’s west was the top online shopping location nationally for the seventh year running, followed by Liverpool in New South Wales, and Hoppers Crossing in Victoria.

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MHD COVER STORY

MOVING THE DIAL ON GENDER EQUALITY To attract more women to supply chain, the image needs to shift away from males dominating the industry.

The supply chain industry is characterised by an ageing and largely male workforce, but this is starting to change. Leading the way in this step-change is technology solutions provider Körber Supply Chain. MHD catches up with the APAC team to find out more.

I

n 2020, Deakin University’s Centre for Supply Chain and Logistics (CSCL) released its report on the under-representation of women in the supply chain and logistics workforce.

The report is based on extensive interviews with more than 100 women in the sector, making it the most comprehensive study of this issue in Australia to date.

The research revealed that the sector has an image problem, with stereotypical views of male truck 10 | MHD MAY 2022

drivers and dirty warehouses that discourage many women from applying, and a boys’ club reputation that typically holds women back in their careers.

While there is still a long way to go, there is a step-change happening in the industry and a number of businesses leading the way when it comes to gender equality in supply chain. One of the businesses in the APAC region is Körber Supply Chain.

According to Nishan Wijemanne,

Managing Director APAC at Körber Supply Chain, recruitment practices have traditionally been onedimensional in this sector, which is holding the industry back.

“Recruitment practices need to be much wider and strategic to ensure we attract a more diverse workforce,” Nishan says. “At Körber Supply Chain, we look behind the CV and dive deeper into cultural awareness, ambition and background. This has helped us recruit from a much more diverse background

MHD COVER STORY

than the traditional profile of supply chain professionals.”

As a result of attracting a much more diverse workforce, not just from a gender perspective but from an education and cultural background perspective – the outlook, experience and way Körber Supply Chain approaches business and client relationships has been improved and enhanced, Nishan says.

While there is a long way to go, the industry is improving and in 2021, Gartner’s annual Women in Supply Chain Survey results showed the highest percentage of women in the supply chain workforce since the survey’s inception in 2016.

The survey revealed that women now comprise 41 per cent of the supply chain workforce, up from 39 per cent in 2020. Additionally, every leadership level saw an increase in representation, except the executive level where there has been a slight decline – with women only accounting for 15 per cent of executive level roles, which is down from 17 per cent in 2020.

At Körber Supply Chain’s Elevate conference in 2021, female senior leaders and change markers from across the supply chain industry met to discuss what needs to be done to attract more women in supply chain.

Speaking at Elevate APAC, Kari Banick, General Manager at Linfox said she fell into the industry by accident, which is often the case in supply chain. She said she immediately loved the people and process aspect of supply chain and the opportunity to implement the newest of new technology.

At the event, all of the panellists were unanimous in their gratitude and enthusiasm for the opportunities the industry has given them and each spoke of their commitment to making sure they improve diversity across the board.

According to Nishan, creating an inclusive environment for all is key to recruiting a more diverse workforce in supply chain and for him, this ultimately comes down to good leadership.

“Leaders at all levels across the business need to work harder to create an inclusive environment – this is how we learn and develop

SOPHIE GREENWOOD, MARKETING EXECUTIVE, KÖRBER SUPPLY CHAIN APAC

TARRYN EDELSTEIN, SOUTHERN REGION SALES MANAGER AT KÖRBER SUPPLY CHAIN AND WINNER OF HONEYWELL’S PARTNER SALES ACHIEVER AWARD.

WHY DO YOU THINK WOMEN ARE WELL-SUITED TO ROLES IN SUPPLY CHAIN AND TECH?

HOW CAN WE BETTER COMMUNICATE THE OPPORTUNITIES IN THIS SECTOR?

Women typically have great interpersonal

There needs to be a focus on hiring

skills, which is important within a

policies and programs that support

company and when dealing with external

women. The language in position

personnel such as customers, partners,

descriptions can often appeal to

and vendors. This also is highly valued

males, leading to more applications

when they take on leadership roles,

from males than females. Females

where they effectively support their team,

generally only apply for jobs where

inspire, and motivate others, and display

they meet a significant number of the

high levels of integrity.

job requirements, whereas males will

To create more opportunities for women

often apply for jobs even when they

in the supply chain and technology fields,

don’t meet as many of the requirements.

there needs to be a mindset shift away

Posting a position description with a

from males dominating the industries.

greater number of ‘requirements’ could

Whenever I go into a warehouse, I always

therefore lead to less female applicants.

see women on the floor as operators and

ventures and promoting women into

HOW DO YOU THINK MEN CAN BE BETTER ALLIES TO WOMEN IN A MALE-DOMINATED INDUSTRY?

leadership roles.

Sexism in the workplace is often less

within the offices. We need to increase the visibility of women from marketing

HAVE YOU HAD STRONG FEMALE ROLE MODELS IN YOUR PROFESSIONAL LIFE AND HOW HAS THIS HELPED YOU?

obvious than many might assume and therefore harder to notice when it is prevalent. Having more awareness of the challenges and the unconscious bias that women face within these male-

Rachita Naik, Director of Marketing APAC

dominated industries is the biggest step

at Körber Supply Chain has been my

towards making a change.

biggest role model in my professional life. She has taken me under her wing from day one and shown me the ropes to the corporate world and being a woman within a male-dominated industry. She is fearless and works incredibly hard to bring strong ideas to the table. The projects and the team at Körber have stood out in the industry because of her efforts. I have so much respect for her as a person and a manager, she is a fantastic marketer but most of all she values my success and guides me in my career journey.

IN YOUR EXPERIENCE, WHAT DO YOU THINK THE INDUSTRY CAN DO BETTER TO CREATE A MORE INCLUSIVE ENVIRONMENT FOR ALL? Changes to policies that encourage women into the workforce (e.g. hiring policies, parental leave policies, etc.) as well the establishment of more leadership programs for women to encourage women to advocate for themselves in a male dominated industry.

MHD MAY 2022 | 11

MHD COVER STORY

business practices over time,” he says.

“Inclusivity and collaboration must be paramount at all levels of the business.”

Körber Supply Chain APAC prides itself on its diverse workforce. With a number of females in executive, sales and marketing roles – the business is proud to demonstrate that it is an

equal opportunities employer.

“I am extremely proud of the team we have built over the years,” Nishan says. “With one of the most diverse teams in the market, I have had the privileged opportunity of collaborating and learning from a number of amazing women on my journey in this industry. The female leaders in our

To create more opportunities for women in supply chain, the image needs to shift away from being a male-focused industry.

“

I think the exposure to the opportunities in this sector is greater than it used to be.

I even see that with my own daughters and their journey through life and education.

The supply chain space is becoming a more attractive space to work in, and there is a great opportunity ahead to take advantage of. Whether that’s in a start-up or a large corporate – I think the opportunity today is greater than it has ever been.

” 12 | MHD MAY 2022

MHD COVER STORY

Claudia Ford and Tarryn Edelstein both won the Partner Sales Achiever Award at the recent Honeywell Partner Conference.

team continue to deliver exceptional leadership and outcomes across the board.”

The Körber Supply Chain APAC team was recently recognised at the Honeywell Partner Conference with team members Claudia Ford, Client Executive, and Tarryn Edelstein, Southern Region Sales Manager, both winning the Partner Sales Achiever Award.

Throughout Körber Supply Chain APAC’s history, the organisation has recruited beyond the usual industry profiles, and as a result has been able to highlight the great opportunities that can be found in the supply chain and tech industry.

“I think the exposure to the opportunities in this sector is greater than it used to be,” Nishan says. “I even see that with my own daughters and their journey through life and education. The supply chain space is becoming a more attractive space to work in, and there is a great opportunity ahead to take advantage of. Whether that’s in a start-up or a large corporate – I think the opportunity today is greater than it has ever been.” ■

IVANA PUGLIESI, MARKETING INTERN AT KÖRBER SUPPLY CHAIN APAC

CLAUDIA FORD, CLIENT EXECUTIVE AT KÖRBER SUPPLY CHAIN AND WINNER OF HONEYWELL’S PARTNER SALES ACHIEVER AWARD.

DO YOU THINK THE INDUSTRY IS TURNING A CORNER WITH REGARDS TO SEEING MORE WOMEN IN SUPPLY CHAIN AND TECH ROLES?

HOW DO YOU THINK WOMEN CAN HELP SUPPORT EACH OTHER BETTER IN A MALEDOMINATED SECTOR AND WHY IS THIS IMPORTANT?

During my short time at Körber Supply

Women should almost always be

Chain, I have seen many team members

supporting women, and it is no different

from a variety of fields have been

for the supply chain industry. By

women, which is amazing to see. I

ensuring there are women in leadership

believe this diversity is due to Körber’s

roles, those women in charge should be

passion and drive to create a more

advocating for equal opportunities to

inclusive and a diverse workplace.

women in their employment. HR is also

HOW DO YOU THINK WOMEN CAN HELP SUPPORT EACH OTHER BETTER IN A MALEDOMINATED SECTOR AND WHY IS THIS IMPORTANT? Women supporting women is so

a female dominated role and those in HR positions should ensure job descriptions have no gender bias, and that workplaces not only hire more women but have policies that ensure they enjoy their role and feel supported.

and unsupported. For myself, I

WHAT DO YOU THINK IT IS ABOUT SUPPLY CHAIN THAT PREVENTS WOMEN FROM SEEING IT AS A VIABLE CAREER OPTION DESPITE THE OPPORTUNITIES?

believe reassurance, encouragement,

Businesses need to be more consciously

inclusion, and kindness has made me

aware of who they target for roles and

feel supported in my role at Körber

the demographic and gender that would

Supply Chain.

apply for them. Through generating a

important, especially in an industry that can be intimidating and full of masculine energy – there’s no worse feeling than feeling isolated

IN YOUR EXPERIENCE, WHAT DO YOU THINK THE INDUSTRY CAN DO BETTER TO CREATE A MORE INCLUSIVE ENVIRONMENT FOR ALL?

stronger awareness about what supply chain is, the different roles available and how you can succeed, more women would be more likely to consider supply chain for a career.

they are showcasing their values,

IN YOUR EXPERIENCE, WHAT DO YOU THINK THE INDUSTRY CAN DO BETTER TO CREATE A MORE INCLUSIVE ENVIRONMENT FOR ALL?

workplace culture, job openings,

Make the industry more appealing to

opportunities for women in career

women and stop conducting business

progression, the list goes on. Just

as if it’s a boys’ club. Women should be

like how applicants need to ‘sell’

actively encouraged to join by creating

themselves to be offered a role, so

job advertisements and policies that

do businesses and the supply chain

cater to them. Finally, boost awareness of

industry combined. It should be a

supply chain at schools and universities,

two-way street.

showcasing diversity and inclusivity.

I believe it comes down to how supply chain businesses are showcasing themselves to the public and potential applicants. They should look at how

MHD MAY 2022 | 13

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MHD MATERIALS HANDLING

TMHA FORKLIFTS KEEP ON TRUCKING FOR SIMON NATIONAL CARRIERS

Australian trucking company Simon National Carriers puts its trust in the exceptional safety and reliability of Toyota forklifts.

O

ne of Australia’s largest privately owned transport companies, Simon National Carriers, has entrusted itself to the exceptional safety, reliability and sustainability of Toyota Material Handling Australia (TMHA) to help keep its warehouses running at peak operational capacity.

Simon National Carriers recently purchased a fleet of 40 Toyota forklifts,

split between 7700 electric reach trucks and 32-8FG25 gas counterbalance forklifts, to be deployed among Simon’s extensive array of depots across the country.

Quality forklift equipment is of particular importance to Simon National Carriers, who run a start-tofinish service for its customers where they will store stock once it has been received from the docks and will keep

it stored in their warehouses until it is required by their customers.

According to Simon National Carriers assistant fleet manager Scott Horwood, in recent years the trucking specialist needed to upgrade its forklift fleet and canvassed the products from a range of brands to find the equipment that best suited its needs.

Following an exhaustive testing process, Simon inevitably settled on MHD MAY 2022 | 15

MHD MATERIALS HANDLING Toyota for both its reach trucks and counterbalance forklifts, with a number of features standing out to Scott.

“Toyota was definitely one that I liked from a point of view of what they offered in their reach trucks,” Scott says. “Toyota offers what is called a sitstand-lean product where they can sit down or fold the seat up and stand up.

“For me that was a big bonus, in the way it would suit our fleet. If we needed to move a forklift from depot to depot, we didn’t have to worry about whether it is a sit-down or stand-up forklift.

“Some operators don’t like to sit down all day. It can be fatiguing on their body. Standing up all day can be the same. It gives the operators flexibility on how they go about their day-to-day business.”

Combined with the reliability and zero operating emissions of the reach truck’s electric powertrain, the TMHA offering was too good to pass up.

The gas counterbalance forklifts also impressed Simon thanks to a couple of factors including the safety features and easy maintenance of the 32-8FG25 units. “[TMHA has] a product that offers everything Toyota – from bumper to bumper, all the parts are Toyota,” Scott says. “That is a pretty important thing when it comes to maintenance. No other product could offer that – Toyota genuine right throughout.

“The other thing they offer is the System of Active Stability (SAS) safety system. It is a bonus for the operators because it means the operators are less likely to put the forklift in a predicament where it is going to rollover. It’s a really good safety system – it may help prevent an accident before it happens.”

Scott also praises the inbuild weight indicator and speed limiter features as bonuses, adding that the supportive and ergonomic design of the machines have been particularly well received by warehouse workers.

“You don’t think that when it comes to a forklift, but I’ve spoken to the operators and they say that these are really good machines, they feel comfortable after working 10 hours a day.

“And that’s really important, you have to look after the guys that use them, you don’t want them to be fatigued, you don’t 16 | MHD MAY 2022

Simon National Carriers is an Australia-wide operation offering a diverse range of services, from

“

[TMHA has] a product that offers everything Toyota – from bumper to bumper, all the parts are Toyota. That is a pretty important thing when it comes to maintainence.

No other product could offer that – Toyota is genuine right throughout.

”

want them to be unsafe.”

A strong relationship has been fostered by the Simon team and TMHA, with TMHA Queensland major account manager Martin Gross helping to facilitate the sale of the correct equipment thanks to his 35 years of experience with Toyota products.

Martin says the legendary reliability and class-leading safety of Toyota forklifts was a big factor in convincing Simon to increase its fleet, after seeing the consistently excellent performance of the machines over a number of years.

“The reliability and safety were key factors to their decision making this time,” he says. “Safety is critical, and it’s critical to the industry really. We could offer some things that their competitors couldn’t.”

Martin adds that the relationship with Simon is cherished by TMHA, and that he was looking forward to furthering their strong partnership.

Scott remarks that Martin has been a treasure trove of knowledge for Simon – no doubt thanks to his 35 years of experience around TMHA equipment – and that he has always been on hand to assist in any way possible.

“Martin’s been great right from the get-go,” he says. “His knowledge of the products is second-to-none, he knows his products back-to-front.

“Dealing with Martin has been really easy, it’s been smooth, and he’s tried to help us in every way possible, even down to making sure the forklifts are delivered to the right depot.”

At the end of the day, Simon needs forklifts that work every day and are built to last, which Simon has found in Toyota forklifts.

“The machines are brilliant. They just keep going and going and going.

They’re good, solid forklifts that are built to last. They’re backed by the factory and the service is there to back it up.”

The origin of Simon National Carriers can be traced back to the 1920s when it began as a timber company, but by 1973 it had expanded its business to include trucking and transport.

Over the decades it evolved into the Australia-wide operation it is today, with depots across the nation offering a diverse range of services from warehousing to project logistics and fleet operations. ■

MHD WAREHOUSING

MICROLISTICS ON WMS AND LEADERSHIP Michael Weir, Managing Director of Microlistics, talks to MHD about the role of WMS and its importance in leadership development. He speaks about how the WMS provider assists its customers with ongoing problems, developing workers to become leaders, and how Microlistics has itself evolved its leadership capabilities during this new era of uncertainty.

L

ast year, Microlistics released its Gartner-rated, Tier 1 Microlistics WMS solution suite. It provides access to premium capability and functionality, on a flexible and accessible software as a service model.

Michael Weir, Managing Director at Microlistics, says that with the onset of the pandemic, Microlistics had to change its approach and factor in new elements to its WMS solution to solve new sets of problems. “Flexibility, an innovative mindset, and a willingness to step up is key to leadership in the WMS field – and we had a lot of leaders step up during the pandemic and demonstrate great value to us and, in turn, for our customers,” he says.

The update was in the works for two years and encompassed core enhancements that had been identified in the Microlistics R&D Roadmap, as well as enhancements built for individual customers.

The company says it focuses on speed, accuracy, and efficiency in the warehouse, and has heavily invested in product development and enhancements so its customers can operate more efficiently in an omnichannel environment, improve supply chain visibility, and simplify operational insights, and to deploy automation and software integrations more easily.

Microlistics says customers want to know exactly where their goods and inventory are, and what is available to them at what price.

The improvements include ones made to interface, the Microlistics Expansion Modules to maximise efficiency, particularly across its Warehouse Insights, Web Portal, 3PL Billing, and omnichannel order management,

18 | MHD MAY 2022

enhanced connectivity for seamless data exchange between the WMS and third-party applications, webfronts and marketplaces, and materials handling equipment and robotics.

Microlistics Cloud is a fully managed service with the company providing all aspects of deployment, including maintenance and optimisation so there’s no need for the customer to have its own internal IT capacity or supporting infrastructure.

It offers cloud hosting, incident management, continuous deployment, monitoring and alerts, backup and restore, security, and administration.

The Microlistics Web Portal was redesigned and rebuilt from the ground up to accommodate the needs of warehouse operators, providing a seamless online view of logistics operations to customers, suppliers, retail outlets and distribution teams.

The portal makes it easier for third parties – retail stores or the customers of a 3PL – to track what’s going on in terms of inventory management and movement.

LEADERSHIP IN THE TIME OF COVID As Michael notes, the uncertainty of the last few years necessitated not only a re-configuration of Microlistics’ core offering, but also that new Microlistics leaders step up to the plate to effectively address customer challenges.

“Different leaders shine in different settings,” Michael says. “With our team oftentimes having to work remotely with clients during the implementation process, this presented a challenge to our normal way of doing things,” he adds.

“

The efficiencies gained through an effective WMS implementation also means that a lot of worker time is freed-up to engage in higherorder thinking, learning, and the kinds of problems that only lateral human thinking can deal with.

”

“We had a lot of great people step up with innovative ways to understand warehouses and paint-points remotely – there was a lot more emphasis on conceptualising and understanding the ins and outs of a warehouse remotely and digitally, rather than being able to have traditional walkthroughs with our teams on the ground. Yet it’s not just leadership at Microlistics that has taken on new forms, it’s as much about new forms of leadership emerging on the warehouse floor.

“But what we’ve also discovered – via our new WMS, the conditions that necessitated it, and our strategy of incremental roadmaps for some clients – is that Microlistics WMS empowers workers in new ways and provides scope for new leadership from the ground up.”

Microlistics says there are three chief components that empower potential leaders of the future to take more charge on the warehouse floor – rather than just executing those orders delivered on-high from upper management.

MHD WAREHOUSING

Michael Weir, Managing Director of Microlistics.

“Firstly, I’d say that our WMS is increasingly geared towards devolving and sharing data, analytics, and transparency with all levels of a warehouse – not just the top managers,” Michael says.

“This has the potential to allow decision-makers at lower levels address issues and bottlenecks that might otherwise have been invisible to them – and proactively identify and even

solve problems, instead of waiting for a lower-level problem to percolate to the top and waiting for the top-brass to recognise issues and recommend action,” he explains.

Microlistics says it also prides itself on working directly with those workers affected at different levels of a warehouse. During the implementation process – and when performing ongoing maintenance and consultation – the

Microlistics team aims to educate, consult with, and create buy-in from all workers at all levels.

“I think one of our advantages – and this is particularly evident when we engage incremental roadmaps for WMS implementation, starting off small and broad before building up to greater complexity – is that we generate buy-in from all tiers of the warehouse,” Michael says.

“On-the-ground warehouse workers feel a sense of buy-in and, by starting lower down the complexity ladder, they have an opportunity to conceptualise and fully understand WMS and new technologies in ways they mightn’t have had a chance to before,” he adds.

“This has clear and immediate benefits in terms of upskilling workers, but the efficiencies gained through an effective WMS implementation also means that a lot of worker time is freed-up to engage in higher-order thinking, learning, and the kinds of problems that only lateral human thinking can deal with. This only increases opportunities for workers to develop their careers up the organisational ladder. So, I think in this sense, too, Microlistics WMS is helping to build the leaders of tomorrow.” ■

MHD WORKFORCE

BUILDING INNOVATIVE THINKING IN SUPPLY CHAIN LEADERSHIP

With the help of the team at Vative and its Continuous Improvement initiatives, WWG not only has become a better place to work – but is set on a forward path toward ongoing Continuous Improvement.

Australia’s largest workwear provider, Workwear Group, partnered with Vative to implement Continuous Improvement initiatives – transforming organisational culture for the better across multiple domains. Here’s how it happened.

W

orkwear Group (WWG) is Australia’s largest workwear provider, believing strongly that pride in what people do starts with what they wear. WWG began its operation supplying the Australian contingent with garments during WWII. Since then, they’ve grown to serve more than one million customers worldwide, and shipping to more than 30 countries.

WWG now falls under the banner of ASX-listed company Wesfarmers: one of Australia’s largest listed companies with a diverse, cross-industry portfolio.

WWG’s stable of household name brands includes Hard Yakka, King Gee, NNT and Workwear Group Uniforms.

In 2019, WWG identified a need to improve productivity through

20 | MHD MAY 2022

automation. The idea was great but had a common flaw that many similar organisations face; namely that if the process is flawed, automation only creates more flaws – and at a faster rate.

WWG quickly realized this and realized it should consider applying Lean – a methodology and tool kit to eliminate waste by reducing process time and increasing flow – first.

WWG sent its Continuous Improvement Manager, Scott Simpson, to attend one of Vative’s Lean Practitioner three-day workshops.

These workshops are focused on Lean philosophy and implementation. They educate leaders on how to practically implement Lean tools and methodologies to achieve substantial and sustainable

productivity gains. Scott saw the value in his training and, upon completion, was certain that a Lean mindset was the key to driving a cultural transformation long yearned for. Scott knew that Vative could resolve a large share of WWG’s issues with measurable outcomes, and after collaborative discussions, they came up with a solution that combined Lean and leadership coaching, in an organisationwide initiative, tailored to meet the needs of each department.

The leadership team at WWG were excited, but were cognisant of the fact that true change requires top-to-bottom organisational buy-in. As Adam Brown, Operations Manager at WWG says: “Lean is not a one-person journey, you need 100 per cent buy-in from the top-down.

MHD WORKFORCE

If we don’t experience it, understand it, and believe it, we’re not going to convince our people.”

Adam organised a meeting on the shop floor, which included everyone in the organisation, and presented this initiative for change. He ended the meeting by delivering a compelling message for the entire shop floor: “You get to make this a better place to work.” People were excited for change and doubly so because they were the ones that were going to implement it.

Adam made it clear that their voices would be heard, and everyone was on the same level – regardless of hierarchy.

It was a team effort, with gamechanging outcomes.

One of the exercises during Lean training involves a mock production line using Lego pieces. It’s a fun activity where teams get to compete with one another to assemble Legos as quickly as possible, demonstrating how quickly productivity can be increased once Lean is implemented. What happened during this activity was the first milestone in WWG’s cultural transformation. Vative’s Parth Bommakanti, who was facilitating at the time, noticed a natural tendency for team members to support each other, even if they were on opposing teams. If one team was way ahead, someone would join the team that was falling behind to help them catch up. Parth smiled and knew the team was ready for change.

They were all in it together and were all accountable in making WWG a better place to work.

Now that the foundations were set and the WWG team was aligned, the next step was to create an end-to-end Value Stream Map (VSM). Vative, along with the team at WWG, dedicated 2.5 days of their time to understand where the waste and bottlenecks in the organisation were.

A VSM is an invaluable tool for analysing the current state of an organisation in order to create a desired future state. As a result, their efforts highlighted key areas in the organisation that needed improvement. These opportunities for improvement were formed into projects, which were then disseminated throughout the shop floor to teams and individuals. The operation was coached

by WWG’s management team, who themselves were being coached, once a week, by Vative’s Godwin Rapinett.

WWG’s shop floor contains between 140,000 and 160,000 cartons full of stock, so organisation and efficiency is essential.

This exercise highlighted one crucial area that needed improvement – the shop floor. The shop floor contains between 140,000 to 160,000 cartons full of stock. Naturally, they were under constant pressure to meet targets. The pressure needed to be eased, but that seemed impossible when items were being misplaced, clutter was building up and employees were getting frustrated as their jobs were progressively becoming more difficult to complete.

These common pain points proved that there was an immediate need for 5S (Sort, Set in Order, Shine, Standardise, and Sustain) implementation. The 5S philosophy is geared towards keeping workplaces neat, orderly, decluttered and, most importantly, instilling a mindset that sustains these benefits.

Over six months, 5S was rolled out and the shop floor was transformed.

Everyone got involved, from all levels of the organisation. “This ensured everyone was on the same level and no one was singled out to feel less or more important than another”, Godwin says.

Clutter was thrown out or placed into holding bays, where items were disposed of if they were not used within a set period. Areas and items that lay within those areas were colour coded and ‘owned’ by teams that were responsible for that area. Rosters were then developed to uphold cleanliness and orderliness, which became part of daily workflows. All key items were clearly labelled, and shadow boards were developed to ensure everything had a set place. Positive change was in the air. It was a wonderfully orchestrated team effort, that yielded tangible results, in a short amount

of time. Through Godwin’s coaching, Adam showed fantastic leadership in maintaining motivation and keeping the team aligned. He was consistent and asked the same questions, driven by data. His approach was repeatable, measurable, and predictable and thus set a clear standard.

Another fantastic initiative was the introduction of idea boards. Anyone on the shop floor could create a post-it note with their idea to improve the workplace, then pin it on the board. The Continuous Improvement team would then consider these ideas during their daily meetings and implement the ones that were most suitable. The progress around these actioned ideas was clearly visible on these boards, allowing people to feel proud of their contribution.

The desired future state of the organisation has now become its present state. All of the initiatives that were implemented in 2019 are continuing to this day. In fact, in the Continuous Improvement environment created at WWG, it’s only gotten much better. There’s a clear mindset that encourages growth and contribution.

Leaders are on the front line, where they conduct daily waste walks to identify improvement opportunities. They interact with the front line and have a great relationship with their teams.

The people at WWG feel valued and know that any contribution they make towards change is taken seriously.

With the help of the team at Vative and its Continuous Improvement initiatives, WWG not only has become a better place to work – but is set on a forward path toward ongoing Continuous Improvement. ■

MHD MAY 2022 | 21

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MHD SUPPLY CHAIN

LONG TERM PARTNERSHIPS FOR FIRST-CLASS SOLUTIONS Over nearly two decades, Bestrane has forged deep and lasting partnerships with its clients and valued technology vendors like Geotab and The Descartes Systems Group. David Sanders and Adam Welch explain how they use telematics to derive new insights into driver behaviour and improve the efficiency and safety of heavy vehicles.

D

avid Sanders co-founded Bestrane 18 years ago with a focus on creating long-term relationships with select clients and using best-in-class technology to maintain and best serve their evolving interests.

“We’ve grown our business substantially, and one of our key KPIs is to deepen relationships with clients and offer relevant solutions to other opportunities that have popped up,” David says.

Having long-term customer relationships also means having longterm supplier relationships. Bestrane achieves this by finding suitable vendors from around the world, securing the rights for them, and bringing them into the market with a full-service model to sell, implement, support, and operate.

David notes Bestrane’s longest relationship has been with the publicly listed Descartes Systems Group (DSGX), which started more than 13 years ago. David says Bestrane helps Descartes by being its eyes and ears in Australasia – with a focus on dedicated fleet route optimisation and execution, and management of third-party transportation.

Bestrane is always searching for ways to deepen its relationships with customers and to identify new sources of value, in line with its tagline introduced last year as part of the company’s re-brand: ‘Solving Complex Logistics Problems’.

Importantly, David notes that by

engaging in ever-deeper work with a particular client, there often arise new insights and solutions that have relevance and applicability for other clients.

“A few months back we launched a new website together with our rebrand,” David says. “A key motivation for doubling down on our web presence was that – working as we do with customers on a long-term basis – we wanted a channel to tell user stories and share what we’ve learnt along customer journeys.

“The real story is always how a customer manages to achieve spectacular outcomes. Take, as an example, BC Sands, a landscape supplies company located in Sydney, which has a modest fleet of trucks. It may not be the biggest company, but is one of the world’s best users of route optimisation technology. It’s also received accolades in the United States.”

ASSURANCE SERVICES David says he is always looking for complementary service lines or solutions that can add value to route optimisation and execution processes.

“We assist many clients to develop routes and track how the routes are being executed in real time,” he says.

“But there’s a whole regulatory framework that sits over the top of that, which means the development of routes and how they are executed need to comply with relevant legislation, company policy, etc.,” he adds. “We

David Sanders, Owner and Managing Director at Bestrane.

Adam Welch, Manager – Assurance Services for Bestrane.

found that there was a real opportunity for us to sort of grow into a space we term ‘Assurance Services’.”

In short, Assurance Services refer to the use of telematics technology to ensure organisations can demonstrate to their stakeholders – internal and external – that they are managing their vehicle fleet in accordance with relevant legislation and regulations.

MHD MAY 2022 | 23

MHD SUPPLY CHAIN

“

We’re not that interested in a ‘one-time’ sale of any product or service,” David says.

“What we are interested in is how to reliably provide ongoing sources of value with specific clients. With Geotab, we can maximise our ability to respond to new requirements not just for today, but for years to come.

Geotab helps manage key heavy vehicle factors, such as speed, fatigue, load mass and dimension, load restraint, and vehicle standards/maintenance.

He explains Bestrane’s partnership with Geotab. “Geotab is one of the world’s leading providers of Telematics and Fleet management applications for commercial vehicles. Their technology adds significant value to our route optimisation and execution tools by providing detailed information on what the vehicle and driver is doing – using an integrated platform.”

UTILISING GEOTAB’S TELEMATICS Adam Welch is Bestrane’s Practice Manager, and has a long and strong record managing large scale fleets across Australia.

He says Bestrane uses telematics as its cornerstone in terms of assurance, especially to deal with heavy vehicles.

He notes aspects such as speed, fatigue, load mass and dimension, load restraint, and vehicle standards/maintenance are the pillars of Australia’s heavy vehicle legislation.

“The Geotab device is fully selfcontained and provides a rich stream of data directly from the vehicle’s engine management system,” Adam says.

“What makes it especially interesting for Bestrane is the Geotab Marketplace, which links this data stream to many and various integrated, complementary solutions,” he adds. “This provides an incredible platform that is able to scale to address the diverse requirements of Australian Transporters.”

By combining route optimisation and execution with the Geotab platform, Bestrane can offer unique end-to-end management of the transportation 24 | MHD MAY 2022

process. For example, it can develop an optimised route, and understand how the driver is executing that route in terms of time and location.

Bestrane also says it is leveraging the Geotab platform to make sure that this is done safely and in compliance with relevant laws. This extends from basic checks such as detection and alerting of overspeed events, to road-facing and driver-facing cameras to verify what happened immediately before, during and after an on-road incident. This capability provides a significant tool to manage insurance risks.

Adam notes the use of driver electronic work diaries are becoming increasingly common in assisting with managing driver fatigue as required by the Heavy Vehicle National Law. These can be integrated into the Geotab platform using GPS data to accurately record time, distance, and location.

Bestrane says it also uses similar applications to capture vehicle standards/maintenance data through pre-trip checklists, allowing drivers to identify maintenance items – such as tyre condition. This type of data can be fed back through to MyGeotab to provide significant value to engineer fit-for-purpose vehicle maintenance activities.

Under its Assurance Services, Bestrane uses Telematics in its unique partnership with Geotab.

“Geotab is very good at turning data into reports,” Adam says. “There is just so much information available. We encourage our clients to start slow and initially only look at a few key items like

”

speeding and driver behaviour.

“The beautiful thing about MyGeotab is that additional information coming from various other resources – such as cameras, trailer tracking, and load temperature sensors – are all managed on one platform, so users aren’t switching from one platform to another trying to see what a driver is up to. We also have the enhanced capability to create portals and other dashboard type environments specific to customers’ requirements.

“We could have a customer who’s running some routing solutions, or a dock management solution, or both.

They want to integrate all that data into one Control Tower-styled dashboard to identify and respond to issues in a timely fashion.”

Using Geotab technology, Bestrane identifies risk factors such as when seatbelts are engaged or not, or if a vehicle is moving with an open door. In this way it can identify weaknesses and help drive improvement using timely, accurate, and relevant real-world.

“Bestrane has built up a portfolio of clients over the years, many of which are multiyear relationships that have developed considerably from the initial engagement,” David says.

“We’re not that interested in a ‘onetime’ sale of any product or service.

What we are interested in is how to reliably provide ongoing sources of value with specific clients. With Geotab, we can maximise our ability to respond to new requirements, not just for today – but for years to come.” ■

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MHD MATERIALS HANDLING

INTRODUCING THE 2/3 PALLET Woolworths Group’s Primary Connect, together with innovative materials handling manufacturer Ozkor, have designed and rolled out a game-changing new pallet across the country. MHD spoke with Woolworths Group’s Brad Fraser, Head of Supply Chain Development – Ambient/Automation, and Stephen Macpherson, Store Solutions Manager, to learn more.

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or more than 70 years Woolworths Group has delivered stock on Australian standard pallets to stores. Primary Connect – which is Woolworths Group’s internal supply chain function – operates a sophisticated national distribution centre and transport network, including servicing Woolworths supermarkets, BIG W stores, and Endeavour Drinks stores and outlets to ensure maximum efficiency and customer satisfaction.

Brad Fraser, Head of Supply Chain Development – Ambient/ Automation at Woolworths Group, says that Woolworths has long been looking for a solution that overcame the shortcomings of traditional Australian pallets.

“The main challenge with traditional pallets is that goods received couldn’t go out onto the shop floor, as they were too large for supermarket aisles,” Brad says. “They would disrupt customers’ ease of movement through the aisles and our team’s effectiveness. That meant we had to break down those pallets in the back of our stores, sorting and splitting products off the pallets and into roll cages that would then be taken onto the shop floor for shelf replenishment. It was inefficient and increased our manual handling.”

With a clear focus on making things better for our customers and store teams, Brad says, it became essential that a new solution be devised that would allow store teams to be more efficient – cutting down on the time spent sorting and breaking down pallets, making the process safer for their teams and improving customer service.

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The 2/3 pallet is two-thirds the size of a standard Australian pallet, which allows for no loss of cube utilisation. Because it is as wide as a standard pallet but only as deep as a roll cage, it can be taken directly out into shopfloor aisles during trading hours.

“We came to the view that we should progress towards a one-touch solution in order to reduce manual handling for our store teams,” he says.

That search for an innovative alternative ULD (Unit Load Device) began in 2014, and by 2019 the new ULD was being rolled out in stores and DCs across the country.

The new ULD in question is the 2/3 Pallet, developed by Primary Connect in concert with Ozkor – a leading designer and manufacturer of plastic storage and warehouse equipment – and now implemented in almost all Woolworths supermarkets as well as Woolworths Metro fleet convenience option. To date, more than 3.3 billion kilograms of lifting has been saved in stores across Australia, and internal surveys conducted demonstrate that customer and team member experiences have dramatically improved.

BREAKING DOWN THE 2/3 PALLET BENEFITS The 2/3 pallet is two-thirds the size of a standard Australian pallet – 1165mm by 775mm, compared with 1165mm by 1165mm – which allows for no loss of cube utilisation, and sometimes gains, Brad says. Because it is as wide as a standard pallet but only as deep as a roll cage, it can be taken directly out into shopfloor aisles while the store is trading – just as roll cages would be used.

Additionally, the 2/3 pallet is safer and more suitable to handle than standard Australian pallets, he says. They’re 10-30 kilograms lighter and more consistent in size than current Australian standard pallets, making them easier to handle by warehouse, transport, and store teams.

While the primary benefit of the 2/3 Pallet is the elimination of doublehandling – 2/3 Pallets are delivered to stores and then rolled straight into the

MHD MATERIALS HANDLING aisles, eliminating the intermediary step of first breaking down a pallet into a shop-floor friendly roll cage – Brad adds that 2/3 Pallets have another advantage over roll cages in practice.

“Roll cages are 1.8 metres high and have shelves within them where you place products to take out onto the floor,” he says. “Not only is the height of the roll cage a visual impediment to our team members and customers, but because they are not designed for tightly packed stacking, it means there’s a lot of wasted cubic utilisation. With the 2/3 Pallet you don’t waste space, and as you replenish shelves the visual impediment lowers as goods are unstacked.

“Store nightfill teams are often considered the backbone of the store, working nightly to ensure the products we all buy are filled on the shelf ready for customers to purchase. It is a physical job and the change to pallets has meant store teams are reporting feeling better and more energised after their shifts due to the reduced manual handling.”

THE OZKOR DIFFERENCE Because of the scale and importance of this innovation, Primary Connect had to ensure it was getting the design right as it worked towards the new ULD solution that would eventually culminate in the 2/3 Pallet.

Stephen Macpherson, Store Solutions Manager at Woolworths Group, says that after Primary Connect had developed its precise requirements for a new ULD, the proposal was tendered to the market, with five initial successful respondents.

Those initial five were whittled down to two, and then to one: Ozkor.

“The overall development was a threestage approach: proof of concept, pilot, and rollout,” Stephen says. “As part of the proof of concept, we wanted to do a fair bit of testing, and it was Ozkor that managed to pass the testing process, as well as effectively react and adapt to some changes we needed along the way.”

To be sure, the development and rollout of the 2/3 Pallet was a tandem effort by Primary Connect and Ozkor, but Stephen couldn’t be more effusive in his praise for Ozkor’s work in bringing the 2/3 Pallet to fruition.

“Ozkor’s commitment to rigorous testing and attention to detail was superb,” he says. “The Ozkor team really zeroed in on the right questions, always asking, ‘Why does it need to be designed

that way? How can we help you get the right outcome and fulfil your precise requirements?’ They didn’t just jump at the easiest solution that would fit.

“During testing and design, we would have the Ozkor team – up to and including Ozkor’s owners themselves – present and taking an active interest. If something failed, they wanted to know why, figure it out, and take it back to their design team to devise a fix.”

And the dedication didn’t stop at the design process, Stephen says. When it came time to ramp up production, Ozkor didn’t miss a beat in rising to the challenge.

“They have absolutely bent over backwards to help us to deliver in the timelines that Woolworths expects,” Stephen says. “And that’s not an easy challenge to meet, given Woolworths’ size and preference for swift and effective action in solving problems to serve its customers. When we find a good thing, we want to go hard, and we want to go fast. Ozkor’s production facility was initially operating five days a week, but they ramped up to seven days a week and 24 hours a day to deliver on the timelines we wanted. And they certainly did deliver.”

Stephen points out that Woolworths Group is only at the start of the journey, and they’ve only scratched the surface of the possibilities and innovations that could be enabled by the 2/3 Pallet.

Already, he says, stores are finding innovative uses for laying out their cool rooms with 2/3 Pallets; and that there are myriad possibilities in terms of stock presentation, online orders, as well as expanding utilisation of the 2/3 Pallet to further and further reaches of the transportation and supply chain process.

For Primary Connect, Woolworths Group, and Ozkor – the work has just begun. ■

“I like that there’s less doublehandling – which problem arises from needing to split up loads. And this reduction of manual handling means less chance of injury to our floor workers.”

– STORE MANAGER, BIRKDALE “The most exciting program I’ve seen.”

– STORE MANAGER, WAGGA WAGGA “More team on the floor filling, and fewer out the back splitting. The team is on the floor earlier in the evening when our customers require assistance.”

– STORE MANAGER, KEPERRA “We love how 2/3 Pallets are much quicker and more efficient to fill the load.”

– TEAM MEMBERS, MOUNT DRUITT “There is less lifting with 2/3 Pallets and more time to catch up with other tasks and to delight our customers!”

– PRODUCE MANAGER, MATRAVILLE “I love the 2/3 Pallet and how it has reduced the manual handling in my department. The overall process is so much easier for the team to fill directly from the pallet.”

– F&V MANAGER, MASCOT “No need to split pallets anymore.

Working freezer during the day is the best. The team love 2/3 pallets and have reported they’re feeling better because of the labour-saving benefits.”

– ASSISTANT STORE MANAGER, KEYSBOROUGH

Unlike roll cages, which are 1.8 metres high, the 2/3 pallet economises on space and doesn’t impede worker and customer vision when stacking shelves on the floor.

MHD MAY 2022 | 27

MHD WOMEN IN INDUSTRY

WOMEN IN INDUSTRY NOMINEES

Prime Creative Media hosted the Women in Industry Awards on Thursday April 7th, spotlighting outstanding contributions from women working across a range of industries including manufacturing, transport, and supply chain. MHD profiles some of this year’s inspiring nominees in our industry.

INDUSTRY ADVOCACY AWARD NOMINEE Hermione Parsons – Director, Centre for Supply Chain and Logistics, Deakin University Dr Hermione Parsons is Industry Professor and Director of the Centre for Supply Chain and Logistics at Deakin University. She and her team formed and implemented Wayfinder. They worked with the university’s 16 industry partners to build talent and capability in an industry that’s trying to attract employees with the skills and capabilities it needs. Additionally, Dr Hermione has researched the underrepresentation of women in supply chain and logistics.

Her focus has been on attraction and retention as well as providing new understandings about millennials and the important leadership roles they have which will help shape the industry. She says her research findings will also assist with devising future workforce strategies.

EXCELLENCE IN TRANSPORT AWARD NOMINEES Heather Jones – Director, Pilbara Heavy Haulage Girls Heather Jones is among the one per cent of female drivers in Australia who’s behind the wheel of the world’s largest trucks. She not only has taken up the challenge of becoming possibly one of Australia’s leading multi-combination drivers but has also become an elite road train trainer whose expertise is sought across Australia. She has trained bulk freight state drivers and has run her own company, Success Transport, which operates between Pilbara and Perth.

She established “Pilbara Girls Heavy Haulage”, a centre that offers training to indigenous women and victims of domestic violence.

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Merry Manton – Board Member, Transport Women Australia Limited Merry Manton has been active in the transport industry for approximately 40 years. She has been a Board Director and Chair of Transport Women Australia Limited. She was the first female elected to the Board of the Queensland Transport Association where she also held the role of Treasurer for a period.

She is responsible for providing advice to transport companies to mitigate daily risk exposures that the transport industry experiences. She is aware of the challenges that many transport companies have in their day-to-day operations. She has always looked to improve the life of those in the industry.

Penny Ford – Executive Director (Transport Planning Services), Department of Transport and Main Roads, QLD Penny has been involved in the Transport Industry for over 20 years. She works in the Department of Transport and Main Roads. During this time, she has been involved in transport modelling and data analytics, traffic engineering, construction, design, asset management and has found a passion for her current focus – Transport Planning.

For the last 10 years she has been in leadership and executive roles, leading large multidisciplinary teams based in locations across Queensland. In Penny’s role as Executive Director (Transport Planning Projects), she leads a large multidisciplinary team that works with stakeholders all over Queensland to plan for all modes of transport state-wide.

EXCELLENCE IN MANUFACTURING AWARD NOMINEE Noelle Parlier – Chief Engineer, PACCAR Australia

Noelle has been Chief Engineer of PACCAR Australia since October 2018.

She is responsible for leading the team of engineers designing Kenworth and DAF trucks. She contributes to this with her extensive engineering expertise and has experience with developing successful products.

Her involvement in the continued manufacture of Kenworth in Australia and expansion of the local assembly capability, and now design of some of the DAF product range for manufacture locally, is without doubt due to her foresight, creative thought, capacity for future planning, leadership, and influence.

EXCELLENCE IN ENGINEERING AWARD NOMINEE – SPONSORED

BY BAE SYSTEMS Narelle Dobson – Director Special Projects, Department of Transport and Main Roads, QLD Narelle has contributed to civil engineering for the Department of Transport and Main Roads through design, technical document development, construction and asset management of road pavements and other transport infrastructure.

At the department, she has a crossdisciplinary leadership role where she also manages data for the construction industry. Some of her achievements include leading the development of the department’s first High Standard Granular supplementary specification and which enables low-cost pavement solutions, and which was successfully used on the Darra to Springfield Transport Corridor Project and leading revision of the Western Queensland Best Practice Guidelines for using nonstandard pavement materials. ■

MHD WAREHOUSING

SIVAFROST DOUBLE DEEP-FREEZE STORAGE CAPACITY WITH DEMATIC Sivafrost installed an automated deep-freeze high-bay warehouse into its operation to increase capacity and offer even better quality to its customers – with technology and integration partner, Dematic.

MHD finds out how this Belgian deep-freeze company, Sivafrost, is helping its product manufacturer and retailer clients by using an automated deep-freeze, high-bay warehouse it has developed with Dematic.

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ince 1986, logistics service provider Sivafrost has been the market leader in frozen product storage and packaging – specialising in the field of deep-freeze storage.

Today, the successful family business has become an important supply chain partner for a growing number of frozen product manufacturers and retailers across the globe.

In an initiative to optimise its frozen storage capacity, Sivafrost installed an automated deep-freeze high-bay warehouse into its operation to increase capacity and offer even better quality to its customers – with technology and integration partner, Dematic.

30 | MHD MAY 2022

The new automated warehouse now stores more than 30,000 pallets, which is double the company’s previous storage capacity of 15,000 pallet spaces.

SIVAFROST MOVES TO AUTOMATED OPERATIONS Sivafrost’s core business is the packaging and storage of frozen food products, working with a diverse range of key customers and major industry players including Colruyt, Dira, Godiva, HerbaFrost, McCain and Mora. To this end, the company has invested in automated packaging lines as well as in innovative logistics solutions and auxiliary services over the past three

decades. Sivafrost has also invested in renewable energy production as part of its focus on sustainability.

Sivafrost is now a crucial link in the supply chain for an increasing number of manufacturers and retailers.

In order to offer customers better value and services in the future, Sivafrost initiated an automated and optimisation strategy to streamline operations for future growth and increased operational resilience.

“Just like other companies, we must constantly deal with opportunities and risks,” Stijn Siongers, Owner and CEO of Sivafrost says.

“Naturally, you can also generate

growth opportunities yourself, not only by increasing business activities, but also by winning more customers,” he adds.

“The risks, in turn, depend on market conditions, which include room for expansion and a growing shortage of logistics staff. Thanks to Dematic, we were able to double our capacity with a fully automated deep-freeze high-bay storage unit with this project.”

THE SOLUTION An important part of Sivafrost’s master plan to take advantage of growth opportunities was the sustainable expansion of its deep-freeze storage capacity.

“Just a few years ago, we installed a wind turbine on our company premises to complement our existing solar park,” Stijn says.

“With these two sustainable energy generation plants, we can generate practically 80 per cent of the energy we use ourselves,” he adds.

“However, the wind turbine and the space required for its maintenance resulted in some limitations for expansion. With Dematic’s advice, we were able to double our capacity with a fully automated deep-freeze, high-bay storage unit.

“Now, we no longer have to turn down customers who want to temporarily store dozens of pallets at Sivafrost.”

Since Sivafrost also repackages bulk packaging with frozen products for the retail trade, the existing buildings had to be connected to the new deepfreeze storage unit.

“We selected Dematic for this investment project because they were able to recommend and deliver the best solution for our capacity expansion,” Stijn says.

“This solution includes four fully automatic storage and retrieval machines as well as conveyor systems and pallet lifts,” he adds.

“They are connected to our new building via a tunnel with a conveyor system and several pallet lifts.

“Dematic is a specialist in doubling the capacity in the available space, and for this purpose, the six loading docks located below the building were arranged diagonally, and we have made significant operational improvements

“

For our company, this is a strategic investment that will secure our future activities.

That is why we prefer to work with a supplier with proven practical experience and a good reputation.

”

through this, such as enhance storage capabilities, reduced staff dependency, better traceability, and increased customer satisfaction.”

In addition, Sivafrost’s decision to work with Dematic was due to its knowledge and experience in supplying and automating deep-freeze storage equipment.

“For our company, this is a strategic investment that will secure our future activities,” Stijn says.

“That is why we prefer to work with a supplier with proven practical experience and a good reputation.

“In addition to a considerable increase in capacity, the new automated deep-freeze storage unit

MHD WAREHOUSING also offers new opportunities to improve our logistics processes, while also reducing our dependence on personnel who are required to work in deep-freeze storage environments.”

THE BENEFITS From a logistics perspective, the new deep-freeze storage unit has helped Sivafrost to further improve the quality of its service to customers.

By opting for complete automation, Sivafrost also reduced the risks of errors and transport damage.

Lastly, Sivafrost has installed additional controls in order to track all pallets more accurately.

“High-precision traceability is an added value that is increasingly important for logistics service providers,” Stijn says.

“We have doubled the number of integrated control functions to check the contour and height of each pallet,” he adds.

“These functions have been supplemented by registration stations for scanning pallet barcodes. All registration steps are automatically recorded by our ERP system. Thanks to this additional scan data, we now have an even more reliable real-time view of our frozen food stock and the status of all customer orders.” ■

The new automated warehouse now stores more than 30,000 pallets, which is double the company’s previous storage capacity of 15,000 pallet spaces.

MHD MAY 2022 | 31

MHD SUPPLY CHAIN

BLUE YONDER TRANSFORMING WAREHOUSES, DCs AND THE WORKFORCE

Blue Yonder’s Daniel Kohut, Vice President Australia and New Zealand, speaks to MHD about Warehouse Labour Management, e-commerce, the effects of the pandemic on supply chain operations, remote work, and how they can support companies to respond to risks faster, smarter, and more cost effectively.

D

aniel Kohut from Blue Yonder says the company’s Warehouse Labour Management, coupled with its consulting and partners’ change management programs, are helping drive optimal productivity in warehouses and distribution centres by transforming workforces towards a performancebased culture.

“It’s especially important now with the nature of work and workforce demographics changing,” Daniel explains. “It reinvents the way managers and associates view labour management, with associates selffocused on improving performance and managers focused on removing barriers to productivity.”

He says the result is reduced fulfilment costs, improved customer service, and increased job satisfaction.

“Supply chain distribution managers today face key challenges not experienced by their predecessors,” he says. “On the one hand, the volatility and time pressure of satisfying customer demand in the digital economy puts new strains on distribution operations and productivity. On the other hand, the workforce needs to fulfil heightened customer demand; but it is difficult to attract, motivate and retain employees.”

Daniel notes that when companies use AI-based automation, robotics, and autonomous vehicles, they complicate labour forecasting and scheduling.

“What’s needed to solve these many challenges is an integrated approach to flexible workforce scheduling and labour management,” Daniel says.

Daniel says e-commerce is the most important driver in 2022 across all supply chain execution participants and their processes, technology, and human resources.

He says Blue Yonder has integrated industry-leading capabilities in workforce labour management into a comprehensive approach to optimise distribution, workforces, and productivity.

“This year, we surveyed partners across the supply chain – retailers, manufacturers, LSPs, technology solutions providers, start-ups, and media associations – to gain a better understanding and prospective of concerns, challenges, and actions.”

Daniel says some of the questions companies are now asking include: ‘Will the growth in e-commerce brought on by COVID-19 continue?’ ‘What are the biggest supply chain execution/ logistics challenges facing shippers (manufacturering and retail) and logistics providers?’ ‘Will direct-toconsumer gain even more ground?’ and ‘Which technologies are getting attention and investments?’

Daniel says e-commerce is the

primary driver in 2022 across all supply chain execution participants and their processes, technology, and human resources.

He adds that because of anticipated growth, shippers and LSPs are modifying their logistics footprints, engaging in digital transformation, and renewing their business models as well as investing in the technical backend to support these processes – stating that it’s imperative to make data visible.

He says the ability for an LSP to offer a dynamic service to its customers with clear communication is a product differentiator allowing companies to move away from the traditional transactional price-first approach.

Now, there are concerted efforts to break down silos in supply chain execution operations to enable longterm strategies and actions in logistics infrastructure and technology to help minimise future shocks.

With respect to risk and resiliency,

MHD MAY 2022 | 33

MHD SUPPLY CHAIN

Blue Yonder says it appeals to customers looking to gain more supply chain visibility by providing pre-packaged industry workflows.

these considerations were often previously ignored – in favour of efficiency and support of just-in-time production – and are now gaining greater attention.

“Our respondents across shippers and LSPs felt that their supply chain risk management processes were typical,” Daniel explains. “While different value chains operate at different levels of exposure to shocks than others, our survey demonstrated there is a clear desire for businesses to build back better post-COVID-19.”

He says better supply chain visibility and transparency will ensure better planning and risk-resilience – a boon for retailers and customers.

“Our shippers told us that the biggest challenge they faced in supply chain execution was in demand planning (20 per cent),” Daniel adds. “The past year has seen extraordinary shifts, both in customer demand and customer expectations (15 per cent). However, it has been fettered slightly by product sourcing issues (12 per cent) and by insufficient transport and warehouse capacity (18 per cent).”

Daniel notes the modern supply chain is especially vulnerable to external shocks and says greater visibility and orchestration over processes and suppliers makes managing risk and modelling shock scenarios for local and global disturbances easier and more effective.

“Investment in modern technologies and new approaches is essential for businesses looking to adjust to changing trends and customer expectations.

“Companies need a holistic technical infrastructure. Integrating WMS, TMS and OMS is essential.”

He says while the digital logistics 34 | MHD MAY 2022

landscape is still relatively nascent, contract-logistics companies can use this fractured space as an inroad.

“This can be achieved by providing integration capabilities for customisable and modular approaches to ERP systems and modern e-commerce platforms (through open APIs or extended support for legacy tech stacks).”

He notes interconnected systems are much more capable of converting insight into action, though one must be cautious not to over-analyse and -respond to granular changes that occasionally surface, especially in automated workflows.

“By instituting experienced human oversight with automated analysis systems, you can ensure that experienced and responsible judgement is matched with efficient and responsive action; expansion of insight need not mean abdication of oversight,” Daniel says.

“Most shippers and LSPs we surveyed were already invested in a cloud strategy with 48 per cent of shippers having a robust cloud strategy and a great many more working to implement one in the near-term.”

He says Industry 4.0 continues to accelerate supply chain transformation, with sustainability and ethical decisionmaking providing a framework and key objectives for the new digital era.

“Part and parcel of adopting new technologies is breaking down silos and increasing collaboration. Forecasting can only do its job if warehouse management backends are providing accurate inventory data. All this needs to be brought together in a digestible format, whether it be automatically generated analytics reports, or real-time data visualisation on company-wide dashboards.”

“Businesses who fail to adapt to these interdependent and collaborative models are losing market share and struggling to catch up.

“Our respondents told us that they have employed a wide range of labour strategies to retain talent and reduce turnover, the most common of which was the deployment of warehouse labour management with engineering standards (62 per cent).”

He says another common method was to be found in enabling flexible working hours (50 per cent) and remote-work.

“Additionally, organisations are finding that improved training and retention programs ensure employees stick around (32 per cent),” he adds.

“Our survey also found that labour shortages were being managed by implementing automation at different scales throughout the business.

“Whether this be for jobs such as data entry (21 per cent), or through greater investment in warehouse robotics (25 per cent), investment in emerging solutions is one method to ameliorate labour shortages, and free current and prospective workers to pursue more stimulating jobs.”

Blue Yonder’s solution also allows users to leverage risk detection and course correction to respond early to disruption with ML predictions.

“The solution also provides AI and ML functionality to support demand forecasting and supply planning,” Daniel says. “Users gain increased end-toend visibility with tailored dashboards to display configurable KPIs that best match their business to react to market trends faster.

“Blue Yonder also offers users a partner advantage portal and network, where companies deploying Blue Yonder can collaborate directly with suppliers, distributors, and other trading partners from multiple tiers.

Blue Yonder’s solution appeals to customers looking to gain more supply chain visibility by providing prepackaged industry workflows.

By leveraging Blue Yonder, users can gain more insight into how their decisions affect KPIs. Luminate Platform’s scalability and Luminate Control Tower’s functionality in supply chain planning and management are key value drivers and – Daniel notes – often positively cited by customers during the selection process. ■

MHD SUPPLY CHAIN

CONNECTING THE DOTS WITH TOTAL SUPPLY CHAIN VISIBILITY

Internationally renowned supply chain visibility provider project44 recently launched its first Australian office. MHD talked with the new team about its visibility platform – and why project44 is uniquely positioned to address today’s supply chain challenges across Australia and New Zealand.

W

hile founded fairly recently (2014), project44 – a worldleading end-to-end visibility solutions provider – has quickly rocketed to international success, says Archival Garcia, Vice President and General Manager for ANZ and SEA, at project44.

“At a high level, our platform connects to any asset that moves inventory at any mode, end-to-end,” Archival says.

“Whether it’s ocean, air, rail, truck, van, rickshaws, SpaceX – we’re going to be connected to it. And we will provide to our customers visibility of every shipment and order level.”

The Chicago-born company derives its name from the history of two famous highways. Route 66, an American transportation icon established in hometown Chicago in 1926 – and for decades the ‘Main Street of America’ – after several decades could no longer serve the demands of the country’s burgeoning supply chain and economy.

In 1953, Highway 44 opened as Route 66’s first major bypass – paving the way for a newly connected nation and supply chain. It is this latter piece of transportation infrastructure which lends its name to project44, whose ambition is to connect the global supply chain through complete international visibility.

In furtherance of this ambition, project44 recently opened its first ANZ office in Melbourne – bringing its internationally renowned competence and reputation down under to better serve and connect the southern hemisphere.

36 | MHD MAY 2022

The new project44 team has deep local knowledge and experience – its leadership sporting impressive career credentials across APAC’s supply chain sector.

PROJECT44’S ADVANCED VISIBILITY PLATFORM project44’s Advanced Visibility Platform is its primary offering – a state of the art visibility platform offering unprecedented connectivity, Archival says.

“Our platform, which is API-driven, and is built specifically for connectivity, is the connective tissue between different applications and modalities in supply chain that exist now and continue to evolve,” he says. “We get different sources of data, whether it’s from WMS, TMS, the carrier, telematics, satellites, and so on. We cleanse that data to deliver the right information at the

right time, to the right user.”

By connecting all the dots, the platform provides data that allows users to track and have full visibility at any point in time, he adds.

“And because we track more than one billion shipments annually, we’ve already dealt with so much data, we’ve seen how global movements work, and we’ve developed very smart AI to provide things like predictive analytics and predictive ETA – all the visibility and tracking capabilities needed by customers to proactively manage their shipments.”

Archival says that in addition to visibility and milestone tracking,

MHD SUPPLY CHAIN the event-management capability of project44’s platform is a real breakthrough.

“Disruptive events are pretty normal for supply chain right now – with COVID, the current geopolitical conflict in Europe, and congestion issues,” he notes. “Our platform provides superior analytics and data so customers can better figure out how to follow their shipments, which means they can manage their inventory and supply chain with greater foresight from end to end.”

All the execution tools – ERP, WMS, et cetera – that currently address the challenge of digitising supply chain operate in isolation, Archival says.

“For example, WMS deals with the warehouse, so it is blind until something enters the warehouse or leaves it. With transport systems, the knowledge is specific to that particular end-toend shipment, with no idea of what’s happening before or after. That’s why we say that project44 is the ‘connective tissue’ – we leverage data from multiple sources to provide continuous visibility, enabling supply chain planners to avoid problems and figure out and be more efficient at every step.”

INTRODUCING THE AUSTRALIAN TEAM In making its entrance to the Australian market, project44 has attracted top local supply chain talent, which it deems essential to ensuring its world-leading platform is best able to serve local concerns.

“One of the key reasons I joined project44 is because I was sold on its product first,” says Andrew Schreiber, Senior Manager, Carrier Network, for project44. “I’ve led supply chains across Australia, New Zealand, and Asia Pacific. The idea of getting endto-end visibility from a supply chain management perspective was amazingly attractive to me.”

Andrew’s new role is managing project44’s carrier network, which he describes as the “backbone” of the solution.

“We have visibility into a number of different carriers across different modes,” he says. “We connect to them via API or flat file, for example. We also connect via API with telematics providers, which gives us not just the milestones from the carriers, but also the breadcrumb trail on the map – providing

“

Our platform, which is API-driven, and is built specifically for connectivity, is the connective tissue between different applications and modalities in supply chain.

”

great visibility to our customers.

“One of the things that we get feedback on that we do differently to our competitors is that we’re quite proactive in connecting with carriers. We’ll work with our customers to understand their transport network, assess what carriers are already connected, and if there are any carriers or telematics providers that aren’t connected, we will work to connect them, too. By integrating all this carrier information – which often comes in different forms – into one source of truth, we provide one flow of information about goods to our customers, which leads to excellent exception-management reporting. This is a real key for supply chain managers, because they need good visibility on things that are going wrong. Because it is only that five per cent of things that causes you 90 per cent of the problems.”

Bryan Godfrey, VP Customer Success ANZ & APAC, who has extensive supply chain experience – having worked for, among others, BluJay Solutions, Infor, and Manhattan Associates – runs the customer success organisation for project44, which encompasses professional services, the delivery arm during projects.

“My team works with customers to define, configure, and go live with the solution they’ve selected,” Bryan says.

“Then, once we’re operating businessas-usual, we hand over to the customer success management team, who work with customers on a day-to-day basis and ensure customers remain happy.

Customer success management engages across all the different facets of project44 to make sure customer needs are maintained, and their needs addressed.”

Andrew adds an additional benefit to now having local project44 boots on the ground in Australia.

“One advantage to having people on the ground here now is that if a customer does a tender for a new transport company, Bryan’s team – the customer success team – will bring the network team back in to integrate that new carrier,” he says. “This helps to provide ongoing support and maintenance of our customers’ visibility.”

LEANER, MORE EFFCIENT AUSTRALIAN SUPPLY CHAINS “Australia is a big island – so pretty much everything gets imported or exported,” Archival says. “This is why our visibility solution is so important.

We’re competing with the volumes in Europe and the United States. If we don’t proactively optimise our visibility and we miss a time slot for a shipment, it can set us back days, not just hours – because we are competing with all the other shipments going across the world.”

He notes that in wake of the pandemic, many Australian companies have opted to double stocks of materials they import, to guard against shipping delays.

“Some companies have had to double the inventory they carry, which means that their volumes might be the same in terms of shipments sent out, but their cost-to-serve has doubled or tripled,” he says.

Archival adds that project44 in Australia will allow supply chain managers to rebalance from the pandemic-necessitated ‘just-in-case’ approach back in the direction of a ‘justin-time’ planning model.

“There are more disruptions in the world, and in Australia there is less visibility due to all the uncertainty.

What we want to help companies do is get back to running lean, allowing a return to that just-in-time approach, so that replenishment can directly feed fulfilment. “project44’s end-to-end visibility platform will bring a sense of transparency, visibility, and uniformity of standards to Australian supply chain practitioners. We have hired top talent – with years of local expertise behind them – and we have the best visibility solution in the world. The project44 team in Australia is up and running and excited to get working.” ■ MHD MAY 2022 | 37

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MHD E-COMMERCE

E-COMMERCE DRIVES CARDBOARD PACKAGING INNOVATION Abbe says the award-winning CMC Genesys revolutionises 3D packaging.

Abbe creates and delivers corrugated cardboard solutions for its many clients. During the pandemic, it has grown its list of customers and is busier than ever as it provides products to retailers dealing with the e-commerce boom. Packaging Automation Manager, Russell Speechley, tells MHD about the innovative and sustainable technological solutions Abbe offers to keep up with the growing demand.

A

bbe is a family-owned and operated business that has been manufacturing and delivering corrugated cardboard solutions for more than 30 years. The wider Abbe group includes Austcor, ZacPac and supplies timber products through Abbe Industrial Packaging.

It partners with leading Australian businesses to create innovative packaging designs suited to its customers’ products.

Outside of the company’s traditional

offering of quality packaging manufacturing, Abbe offers state-ofthe art automated packaging systems and on-demand packaging equipment solutions. As the exclusive agents for CMC in Australia and New Zealand, its range includes automated 3D packaging technology such as CMC CartonWrap 1000, CMC CartonWrap XL, and the newly introduced CMC Paper-PRO. Russell Speechley, Packaging Automation Manager at Abbe, says the company has been working hard to keep

up with the ongoing demands triggered by the e-commerce boom.

“After extensive overseas travel to understand the future direction of e-commerce, the business partnered with CMC to support the consumables the equipment uses,” Russell says.

“Abbe invested in fanfold manufacturing capability five years ago.

“Fanfold is continuous sheets of corrugated cardboard material that is palletised within the confines of a standard pallet. This provides efficiency MHD MAY 2022 | 39

MHD E-COMMERCE

Initially launched in 2020, the CMC Genesys won the E-commerce 2021 Award at the Packaging Europe Sustainability Awards. in transport and storage of raw material on a customer’s site where a CMC machine is located.”

Fanfold has been extensively utilised in US and European markets for many years and is also commonly known as Z-fold.

Russell explains how manufacturing and supplying corrugated material while offering competent service technicians is an essential element for the support of the automation unit of the business.

“As a service, we provide to our clients automation equipment that suits their needs,” Russell says. “A full service offering which also includes the maintenance of the high-speed equipment. This can be offered as a dedicated onsite maintenance resource or periodic or planned interval and breakdown support.”

He notes the pandemic has increased demand for online products that use corrugated material as its main form of packaging. This global e-commerce boom has increased interest in Abbe’s products and automation solutions. He attributes the growth in new fulfilment centres to driving the demand.

The CMC CartonWrap technology has been widely adopted by leading e-commerce retailers such as Catch, Cotton On and Booktopia – just to name a few.

After the worldwide success of the CMC CartonWrap range, CMC identified the increased need to package multiple picks efficiently. After years of development and innovation they introduced an additional machine to the range – the CMC Genesys. This high-speed machine can seamlessly pack from CMC Patented 40 | MHD MAY 2022

Vary-Tote to carton at 850 units per hour without the need for staff to remove the product from the tote.

CMC Vary-Tote is used to measure the size internally in the system of the order pick, and then makes the box automatically to suit that order. It can also be used to handle multiple picks.

Russell says the CMC Genesys system is unique and has significant benefits both in terms of creating a package that is the right size, easy to open, as well as having the added feature of being resealable for a return if required.

Initially launched in 2020, the CMC Genesys won the E-commerce 2021 Award at the Packaging Europe Sustainability Awards.

The reason this technology is recognised as environmentally friendly is due to the reduction of material required, as the package is made to the exact size of the contents and the fact that the package is fully recyclable.

“An order pick is inducted by scanning its dimensions and making the rightsized box inline to satisfy that particular order pick,” Russell says.

He says it also achieves benefits in labour efficiencies, throughput speeds, and the elimination of void fillers because the company is using 3D scanning for ‘right-sized’ packaging.

The process produces a robust, strong box with a reduction in volume over traditional packaging methods, which then leads into transport efficiency gains, so that you’re shipping less air when you are optimising the volumetrics.

“By reducing the number of trucks or loads out on the road by a significant

percentage, you can in turn reduce the carbon footprint. It will also minimise damage, wastage, and returns, which can be quite significant,” Russell explains.

In addition, this style of packaging can provide protection against damage in transit. Return rates have been reduced up to 30 per cent depending on the nature and specifications of the product.

Russell also reinforced that corrugated packaging is a sustainable material that is 100 per cent recyclable and Abbe offers fully recycled and FSC certified grades.

The combination of both CMC CartonWrap and CMC Genesys solutions allows Abbe to satisfy the diverse needs of Australian fulfilment centres with efficiencies enabling flexibility and growth.

Abbe can print externally or internally on its materials, which can add to the marketability of the delivered product.

This means it can be customised, personalised, and branded.

Abbe also uses CMC technology and other technological solutions for small and medium-sized businesses that want to automate their operations.

One offering that can be provided is the CMC Paper-PRO high-volume autobagging system. This is a continuous fed machine that uses Kraft paper which is suitable for apparel and smaller, less fragile items. CMC Paper-PRO creates a durable paper satchel in a ready-toship format via a fully automated line which can also incorporate a shipping label option. This is a highly sustainable product which can offer a replacement to soft plastics.

He says there are a lot of large items that require a different type of solution and Abbe addresses each of them on a case-by-case basis.

An example he gives is automation that can make a small cosmetics box right up to a box for a garage roller door, which can be three to four metres long – and everything in between.

“The overall justification for an ROI is a function of bringing supply chain, package optimisation, sustainability, labour savings, and customer experience together,” Russell says.

“We work to find a solution that satisfies specific demands, by gathering and analysing data in order to understand the needs of a particular client, so that we can provide the perfect automation solution for that site.” ■

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MHD SUPPLY CHAIN

INTERNET OF THINGS HELPS NZ GLASS MANUFACTURER AGP DISRUPT INDUSTRY WITH FOUR-DAY SUPPLY DELIVERY Architectural Glass Products has leapt ahead of the competition by implementing a solution allowing four-day delivery.

Architectural Glass Products owns more than 1750 delivery trolleys, which transport its fragile glass products. It needed a way to track these assets so it could provide its four-day order-to-delivery services. This is why it opted for Pollin8’s Track solution and Thinxtra’s 0G Network to maintain service levels as well as prevent losses and delays.

A

rchitectural Glass Products (AGP) was founded in response to market demand for high quality glass that can be manufactured and delivered in short, predictable timeframes. Established in 2019, the company has become the nation’s largest manufacturer of insulated glass units (IGUs). It currently operates a four-hectare, highly automated factory in Hautapu on Te Ika-a-Māui, NZ’s North Island, and is entirely focused on delivering outstanding customer service.

“Before AGP came to market, the time from ordering the glass to delivery was unpredictable, and 42 | MHD MAY 2022

customers never quite knew specifically when their products would arrive,” AGP’s Gene Sanford says. “We have completely disrupted the market by delivering in four days.”

To support its growing operations, AGP owns more than 1750 purposebuilt delivery trolleys worth NZ$3000 each, which are used to transport its fragile, high-value glass products. If these crucial assets go missing for any reason, AGP not only sees a financial loss, but is at risk of missing its delivery targets, which can have knock-on effects on customers awaiting their arrival to complete constructions.

AGP partnered with Pollin8, an

innovative provider of Software-asa-Service (SaaS) solutions services in the Industry 4.0, SmartCity and Agritech markets. The sophisticated yet easy-to-use Pollin8 Track platform offers the options of SaaS, with added flexibility to get the best of both worlds – with custom dashboards, device integration, and custom branding to suit a company’s current and future business needs.

To reduce the chances of the delivery trolleys going missing and ensure their efficient return to the facility, AGP deployed Pollin8’s Track solution, featuring IoT tracking devices which transmit location data over Thinxtra’s

0G Network. This data can be viewed within Pollin8’s sophisticated analytics platform, allowing the manufacturer to track assets in real-time so they can be retrieved efficiently to maintain its four-day order-to-delivery service, and optimise asset utilisation long-term.

Pollin8’s IoT devices are fixed to every AGP delivery trolley, and record location data at all times, including where GPS signals are unavailable.

That information is transmitted over Thinxtra’s national low power wide area network (LPWAN), known as the 0G Network, and provided to AGP in real-time through Pollin8’s web and mobile applications in an easy-tounderstand format.

“Since foundation, AGP has built a highly-sophisticated operation underscored by incredible efficiency, which has catapulted the company to the pinnacle of glass supply in NZ,” Thinxtra’s CEO Nicholas Lambrous, says. “By bringing IoT into the mix from a very early stage, AGP gained granular visibility over the assets responsible for safely transporting its glass products to a fast-growing network of customers, avoiding unnecessary losses, and maintaining its stringent customer service level agreements,” he adds.

SUCCESSFUL IOT SOLUTIONS ARE BUILT ON GOOD PARTNERSHIPS AGP selected Pollin8 and Thinxtra because the combined IoT solution is extremely cost-effective, making it ideally suited to the manufacturer’s plans for continued expansion. The devices are quick to install, and the 0G Network allows AGP to simply connect the sensors to the IoT without needing to invest in building or maintaining any communications infrastructure.

AGP also stands to save costs over time as the devices are battery-powered and last several years – reducing need for replacement – and don’t require ongoing maintenance.

“Although GPS-based tracking solutions have been available for powered vehicles for decades, IoT has introduced the capability to deliver tracking of non-powered assets using devices with long battery life in an affordable manner and at scale,” Pollin8’s CEO Nick Pickering, says.

“

Our customers’ cash flow can be improved significantly knowing their supply will be delivered on time; getting our assets back quickly to fulfil the next set of orders helps mitigate any knock-on effect that might impact them.

”

“That means we can provide AGP with not only around the clock tracking, but tailor the solution to its unique business requirements now and as its business expands in the future.

“Having Pollin8 and Thinxtra’s joint IoT solution in place from the start has proved central to our ability to deliver this level of service.

“Rather than resorting to the time consuming task of counting assets on a map with a basic GPS solution, we have a dashboard and data that inform us which customer has the trolleys and how long they have had them – enabling us to quickly take action to maintain our high-service levels.”

“Our customers’ cash flow can be improved significantly knowing their supply will be delivered on time; getting our assets back quickly to fulfil the next set of orders helps mitigate any knock-on effect that might impact

MHD SUPPLY CHAIN them,” AGP’s Gene Sanford says.

What all three organisations have in common is a shared passion to automate and digitise business processes that contribute to more sustainable business practices.

“The combination of IoT devices and data has created a tremendous opportunity to reduce carbon emissions,” notes Craig Weise, CEO of New Zealand Green Investment Finance (NZGIF). “With the ability to better track vehicles and assets, organisations can reduce their environmental impact by optimising fleets and routing to shorten time on the road, while avoiding waste from lost assets. It’s great to see Thinxtra continuing to partner with companies to help them achieve efficiencies and reduce their carbon impact.”

NZGIF and the CEFC (Clean Energy Finance Corporation) Australia are both investors in Thinxtra, a leader in Massive IoT, an Australian company founded to help organisations connecting high volumes of assets – such as delivery trolleys, kegs, IBCs, and cages – to the digital world. The IoT pioneer deployed the national Thinxtra 0G Network in Australia, New Zealand, and Hong Kong, the only public low-cost, low-power wide area network (LPWAN).

With a range of plug-and-play and customer solutions, Thinxtra works closely with partners like Pollin8 to provide proven solutions that improve efficiencies, optimise operations, reduce costs, and support sustainability goals. ■

AGP selected Pollin8 and Thinxtra because the combined IoT solution is perfectly suited to the manufacturer’s expansion plans.

MHD MAY 2022 | 43

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MHD SUPPLY CHAIN

THE NEW VOICE IN THE AUSTRALIAN MARKET

While other voice solutions necessitate the use of headsets, which can prove an encumbrance to workers, EPG provides a vest that workers wear and which picks up only their voice.

David Archer, Head of Sales Australia/New Zealand at Ehrhardt Partner Group (EPG) discusses the company’s entry to the Australian market, and the unique advantages of its Lydia Voice Solution.

A

lthough Ehrhardt Partner Group (EPG) has 21 locations, 800 staff, and has been serving customers every day for more than 30 years, it remains a privately owned and managed business – its headquarters located not far from Frankfurt, Germany.

“While our main starting component is still our WMS, called LFS, EPG ONE encompasses 3PL function and 46 | MHD MAY 2022

billing, Dock & Yard Management, Warehouse Control System (WCS), Workforce Management (WFM), Transport Management System (TMS), Checklist and Inspection and Supply Chain data analytics tools.”, says David Archer, Head of Sales Australia/New Zealand at EPG. This, says David, makes EPG unique among WMS suppliers because it offers all the ancillary and complementary

services that a purchaser of WMS or WCS might also need.

“Many buyers will secure a WMS from one supplier, then have to go to another for Voice Solutions, and partner with yet another for WCS, and so on,” he says. “By contrast, EPG is a one-stop shop for the end user.”

ENTERING AUSTRALIA In recent years, EPG became

“ David Archer, Head of Sales Australia/New Zealand at EPG. enthusiastic about properly entering the Australian market, David says.

Although it already has many global clients with Australian warehouses, it thought that the Australian market was underserved as compared to European markets. To that end, the decision was made to establish an office in Australia to focus initially on Australia and New Zealand before considering broader moves into the APAC region.

“For us it’s about establishing a team here, getting to know the Australian and New Zealand market in detail, and establishing credibility with our end users,” he says. “We have started by implementing our WMS for existing global 3PL clients in Australia and New Zealand and are approaching national Australia and New Zealand clients to introduce our company to the market and our suite of supply chain solutions.

We have a clear roadmap towards quick growth within the market.”

In terms of what unique capabilities EPG will bring to the Australian market – aside from its advantage as a one-stop shop for supply chain execution solutions – David thinks that its Voice Solution is of especial significance.

LYDIA VOICE SOLUTION In terms of its Lydia Voice Solution, EPG delivers both the hardware and software components as well as consultancy and implementation services.

“We have our own unique solution, and as for the hardware, it’s lighter, faster, and cheaper,” David says. “And the same thing goes for our licensing and subscription service. Our unique voice solution made us become number one for number of new sales globally.”

Like all the EPG solutions, I can say with great confidence that what we’re offering with our Voice Solution is the best on the market. And we are looking forward to working with – and learning from – new customers in Australia and New Zealand to solve their unique challenges.

”

There are three components to EPG’s advantage with its Lydia Voice Solution: 1. The unique speech recognition based on Neural networks and deep learning; 2. The flexibility afforded by its subscription model; and 3. The advantages of its unique hardware.

“We can subscribe the entire package – the hardware, the software, and everything except for hygiene components,” David says. “Our unique pricing model is very interesting as a proposition for the end user.

For example, I’ve talked with some large-scale operations – say, with multiple distribution centres – who have considered competitor voice solutions, and the initial investment is just too large. The business units cannot convince the board to make an expenditure that might run into a couple million dollars on a voice solution. By contrast, our Lydia Voice Solution runs on a subscription model basis – you don’t need to purchase the whole thing – and is easily integrated with different ERPs or Host systems as well as WMS. This makes it much easier to get the funding from the board and get a voice solution up and running quickly when you need it.”

The other major selling point is the unique voice technology that EPG deploys for its Lydia Voice Solution.

While other voice solutions necessitate

MHD SUPPLY CHAIN the use of headsets, which can prove an encumbrance to workers, EPG provides a vest that workers wear and which picks up their voice, and only within a closed distance such that it doesn’t record voices from others working nearby.

In terms of onboarding and training new workers in its Voice Solution, EPG also has another distinct advantage.

“Lydia voice is Speaker Independent, unlike other voice solutions in which the end-user has to be trained to create a ‘profile’ for them – that is to say, the technology has to be taught to recognise the voice of each individual user, which is a time-consuming and inefficient process,” David says. “By contrast, our Lydia voice solution does not require voice profiling.”

Naturally enough, this would be a massive time-saver no matter the worker by bypassing the step of individual ‘profiling’ of individual voices. But it has an added advantage for warehouses that have high turnover of staff or that bring in seasonal workers.

“We understand transitioning to our voice solution could be costly to companies already on other voice solutions and the good news is that EPG Lydia voice solution can work alongside other voice solutions in a Hybrid environment.

Moreover, companies that have invested heavily in RF scanners and wish to use the existing scanners for voice picking, can do so by using the Lydia App, developed by EPG. This makes the initial investment for voice significantly lower.

“Like all the EPG solutions, I can say with great confidence that what we’re offering with our Voice Solution is the best on the market.

And we are looking forward to working with – and learning from – new customers in Australia and New Zealand to solve their unique challenges, and to improve our own processes and solutions by learning from them, too.” ■ You can download the Lydia Voice DEMO app from Apple Store or Google Play Store and see for yourself.

MHD MAY 2022 | 47

MHD PROPERTY FOCUS

BRISBANE INDUSTRIAL PROPERTY A HOT COMMODITY David Brisk and Nick Evans, Directors at Colliers Brisbane industrial team discuss their careers to date, current trends in Brisbane, and what the future holds for the city ahead of the 2032 Olympic Games.

I

n a recent issue of MHD, we explored the extraordinary career of Gavin Bishop, Managing Director of Industrial & Head of Industrial Capital Markets Australia at Colliers.

What was striking about Gavin’s discussion of his career was that he had started out at the ground level,

as a graduate, and over two decades worked his way up through Colliers to become its national leader in the Industrial real estate space. Gavin added that his experience was one that he and the Colliers team work hard to replicate, bringing on youngsters and developing their potential to the utmost.

And to go by the brief careers of Colliers Directors Nick Evans and David Brisk, one suspects that Gavin’s experience is indeed one that will be replicated in future.

Nick and David, young and knowledgeable, lead the Brisbane Industrial team. Nicholas has been with Colliers for more than five years,

Zoned industrial land in Brisbane is at a real premium now, its market having tightened dramatically in recent years.

48 | MHD MAY 2022

BROUGHT TO YOU BY and David roughly three-and-a-half.

Both followed a similar path to Colliers.

Nick started at a smaller agency before being spotted by Colliers as a unique talent; and David, too, was recruited to Colliers from a smaller agency. Now the pair oversee a team of ten in Brisbane, although their concerns are not limited to that city alone.

“Nick and I have a particular focus with institutional developers and are currently appointed on behalf of ESR, GPT, Mapletree, Logos, Frasers and Charter Hall,” David says. “We also work in closely with our broader Capital Markets team out of Sydney and also and tie it in with our broader, more senior leasing colleagues in Victoria and Sydney, too.”

Building off David’s latter point, Nick notes that one of the things both of them value about Colliers is the national connectivity of its industrial team.

“We’ve got strength all up and down the eastern seaboard, with multiple offices in Sydney and Melbourne,” Nick says. “This allows us to share intel between cities and teams really quickly, which greatly adds strength to our broader platform. As a result, no matter which team you’re in, you have a broader contextual knowledge of the market – and all the geographically disparate teams form one big team focused on shared values and goals.”

BRISBANE TRENDS AND PROSPECTS David notes a significant trend that he’s seen in Queensland is how tightly held the broader market is with vacancy levels at all time lows.

“Vacancy across the broader market has tightened significantly. There is a lot of discussion around rental growth to come which we agree with, and are starting to see in the 1000-5000sqm size range already. Yields and land values are also at record levels”.

Nick says that we’re experiencing the strongest Brisbane industrial market in a generation.

“Monster occupier demand off the back of COVID, e-commerce, disrupted supply chains – these factors have driven a lot of groups to hold more stock locally,” he says.

“Moving from just-in-time to just-in-case inventory models naturally necessitates a larger industrial footprint. Accelerated demand has led to very rapid uptake. Last year, we saw 650,000 square metres of leasing deals across Brisbane, compared to a normal year, which is more in the 400,000 to 450,000 range.”

“

We’re about to bring an industrial estate online with small blocks from 4000 square metres up to two-and-ahalf hectares. So, between the two of us, it’s an upcoming project we’re very excited about.

”

He adds that this is a significant change for Brisbane, as the city now faces a lack of land supply, whereas traditionally Brisbane wasn’t as pressed for supply as cities like Melbourne and Sydney. “Zoned industrial land in Brisbane is at a real premium at the moment.”

For evidence of this trend, Nick and David recently settled $17.2 million worth of industrial land in Stapylton within the Yatala Enterprise Area. .

“It was an off-market amalgamation of two neighbouring owners totalling 7.4 hectares for a future industrial subdivision,” he says. “And that land value had almost quadrupled in four years for both of those owners – which is indicative of the scarcity of zoned industrial land supply.”

WHAT LIES AHEAD FOR BRISBANE? Both David and Nick forecast continued demand for industrial property in Brisbane, particularly on the back of the announcement that the 2032 Olympics will be held in Brisbane. “That is a long-term driver which will support the market,” David says.

Nicholas expands on this point.

“We’ll have inland rail linking Melbourne to Brisbane, which will potentially unlock some new industrial land,” he says.

“There’s a raft of infrastructure projects in the pipeline off the back of the 2032 Olympics, which again will increase demand for industrials.”

And of course, as elsewhere, David and Nick foresee continued increasing adoption of e-commerce transactions. “We’re currently at roughly 12.5 per cent of retail transactions occurring online,” Nick says.

“Within five years we anticipate that figure will be 20 per cent. In short – we can’t envisage a world where industrial demand will be slowing down.”

The pair close out our discussion by noting that they are about to launch marketing for a 30-hectare industrial estate in the Yatala Enterprise Area in Stapylton.

The estate is part of the Yatala Enterprise Area, within the Gold Coast City Council area, and offers a prime opportunity consisting of 36 varying sized blocks, zoned for Medium Impact Industry users.

“We’re about to bring an industrial estate online there with small blocks from 4000 square metres up to two-and-a-half hectares,” Nick says. “So, between the two of us, it’s an upcoming project we’re very excited about.” ■ MHD MAY 2022 | 49

WHAT THE RUSSIAUKRAINE WAR MEANS FOR SUPPLY CHAIN

On 24 February 2022 Russia invaded neighbouring Ukraine, creating further uncertainty and challenges for the global supply chain.

Peter Jones, Founder and Director of Prological, discusses how the Russia-Ukraine conflict is affecting global supply chain pressures with respect to energy, air freight, battery production – and more.

A

s if the global pandemic and trade battles between great powers hadn’t done enough to throw global supply chains into a spin, on 24 February 2022 Russia invaded neighbouring Ukraine which – aside from the immense humanitarian catastrophe that has ensued – added yet another set of complications to the international logistics environment.

As Peter Jones, Founder and Director of Prological, explains, the RussiaUkraine conflict has knock-on effects that will be felt throughout the world.

ENERGY “Russia is the second largest oil producer in the world (~12%), and they are also Europe’s single largest gas supplier,” Peter says. “From that perspective, the sanctions against Russia mean that supply is taken away 50 | MHD MAY 2022

from the rest of the globe. Germany is the is very dependant on Russia for gas (55 per cent comes from Russia) and oil (34 per cent). Robert Habeck, Germany’s Federal Minister for Economic Affairs and Climate Action is scouring the world for alternative supply, but this is neither easy nor quick. Therefore, there has been – and will be for some time – a dramatic increase in energy costs which we will feel in Australia as the impact on German imports increases” Peter notes that even when formal hostilities come to an end, there is unlikely to be a quick reversion to the status quo ante – and that Russia will probably continue to be isolated by the international community through sanctions mechanisms.

“The flow on effect in energy pricing is easy to understand, simply because global energy demand now far outstrips

supply as a result of removing Russian supply out of the global chain,” he says. “Supply chain is one of the world’s biggest consumers of energy – so that has an effect on all things supply chain, and that feeds through to consumer prices.”

GLOBAL SHIPPING & SEAFARERS In terms of global shipping, at first blush it might seem the RussiaUkraine conflict will not have a significant impact.

“Russia occupies a bit less than 1.5 per cent of global shipping activity,” Peter says. “And Ukraine’s combined sea based imports and exports amount to 0.4 per cent. So, at that level, their influence over global shipping is not very significant.”

But these numbers do not

tell the full story.

“According to the International Chamber of Shipping, Russia supplies 10.5 per cent of the world’s seafarers, and Ukraine ~4 per cent of them,” he notes. “That’s 15 per cent of the global workforce, which is clearly quite significant. The Ukrainian government is heavily leaning on its seafarers to come home so they can be available for the war front. Simultaneously, global shipping lines are under increasing pressure to not be using Russian staff on their ships. In parallel, Concordia Shipping reports increasing difficulty paying their Russian employees due to sanctions against moving money into Russian bank accounts. Therefore, the longer this conflict continues, that pressure on seafarer labour is just going to get higher and higher. That will have a flow-on effect on staffing ships, which could lead us back into a COVID-type environment where we’ll have ships parked up, due to a lack of available teams to actually run them.”

REALIGNMENT OF AGRICULTURAL SUPPLIES The conflict also has material ramifications for international trade of agricultural products, Peter says.

“Another impact is going to be the global realignment of wheat and sunflower product movements,” he says. “Ukraine is the seventh largest of the world’s wheat producers, while Russia is third biggest. (For context, Australia is No. 13 at just 60 per cent of Ukraine tonnes.) Combined, Russia and Ukraine grow approximately 15 per cent of the world’s wheat. Further, combined they grow 60 per cent of the world’s sunflowers. The impact of these two crops being locked up for a period will impact global food production, manufacturing, and supply chains.

Where it does not impact directly, there will be secondary impacts including increased pricing for all food containing wheat or sunflower products. Russia is also the worlds fourth largest nitrogen based fertilizer producer, which in the medium- to long-term could also disrupt food supply chains around the world as yields fall due to global fertilizer shortages.

IMPACT ON AIR FREIGHT Because, as Peter notes, Ukraine and Russia have now become commercial

and airfreight no-fly zones, there is an impact on flight-movements of goods for surrounding areas, particularly AsiaPacific to Europe, including Australia.

“In some instances, this situation has added up to 1000 nautical miles to routing,” he says. “Planes in some instances must do landings for refuelling where before it would have been a simple direct flight. Lead times are longer because flight times are longer, and the aircraft operators don’t get the same turnaround times with the same fleet, which then adds further capacity constraints to a world where all passenger aircraft are not yet back in the sky.”

In other words, more upward pressure on pricing for a market that was already well under-supplied relative to demand.

AUTOMOTIVE & TECHNOLOGY EFFECTS Peter notes that Russia is in possession of between 10 and 12 per cent of the globe’s palladium – a metal required to make catalytic converters, a component that goes into every new petrol vehicle in the world. Only South Africa has more, at 85 per cent, making Russia the second largest supplier of this critical element for car manufacturing.

“The repercussions of this over time will flow into the global automotive network,” he says. “The automotive industry is a global apex industry. So, when the automotive industry starts to slow down that has flow-on effects on second- and tertiary-level businesses and supply chains across the globe.”

Ukraine is Europe’s largest manufacturer of automotive wiring harnesses, Peter says. Unable to get raw materials into the country, and unable to run the factories as normal, this will have a significant impact on the European automotive industry and, in turn, the global automotive industry. As just one example, VW has had to close multiple production plants in Germany and reduce production in others while it seeks alternate supply from North Africa and different eastern European countries.

“To return to Russia, it is the world’s largest supplier of neon, which is required to make the etchings on circuit boards,” he says. “This presents another global constraint that impacts everything from phones to vacuum cleaners, cars, and your new laptop.

“Furthermore, Russia is also the largest holder of a few heavy metals that are required to make batteries. As I’ve previously noted in MHD, the speed limit to growth in uptake of electric vehicles (EVs) within the transport industry is the world’s inability to make batteries fast enough. The conflict will cause further delays in the advancement of EVs around the world. And that same effect will be seen with respect to watches, iPhones, and anything else that that operates with a battery.”

WHAT IS TO BE DONE? Peter says that the problems brought on by the Russia-Ukraine crisis are broad and complex. It is difficult at this stage to make specific recommendations or suggest specific strategies for countering its negative ramifications in Australia.

“At the moment, Prological’s call to action is the same as that for meeting the COVID-challenge,” he says. “The basic message is to understand your secondary and tertiary supply chains, understand your possible ‘single point of failure’ and develop your risk mitigation plans. Build resilience so that you have alternative positions of supply should something disastrous occur.

Everyone knows about the headline issues – like energy. But oftentimes firms don’t dig deep enough into all the supply nodes that make up the supply chain of their suppliers. Companies are well advised to look beyond their immediate suppliers and map their secondary and tertiary supplier supply chains – evaluate the risks and ensure you have contingencies which mitigate identified risks.

“Like COVID-19, the UkraineRussia conflict will impact global supply chains. Unlike COVID-19, this conflict’s repercussions on Australian/ New Zealand businesses will sneak up on us. Prepared businesses will not have many problems, while the unprepared may lose access to critical materials and components.

“If we have learnt anything from the last two years, it is that preparedness and agility enabling accessible options are critical for business continuity.”

Prological can support businesses to map their supply chains, identify risks, and support the development of alternate plans. To discuss your options, get in touch with Prological today. ■ MHD MAY 2022 | 51

MHD SCLAA

SCLAA CELEBRATES INDUSTRY WITH TH 60 ANNUAL ASCLA AWARDS After a tumultuous couple of years for the supply chain and logistics industry, SCLAA recently held its 60th annual Australian Supply Chain & Logistics Awards – long considered the industry’s night of nights. MHD was there to cover this long-awaited and exciting event.

Comedic actor and MC for the night, Shane Jacobson.

I

t was a long time in the making but the 60th Annual Australian Supply Chain & Logistics Awards (ASCLA) hosted by the SCLAA was held at Crown Palladium Melbourne on March 18 and it didn’t disappoint.

After a virtual awards event in 2020, and postponement of the 2021 awards, the 60th Anniversary of the Awards attracted a record attendance.

Conditions were perfect, with no interstate travel restrictions or density limits, and the supply chain community responded with enthusiasm to attend the industry’s most prestigious and highly- anticipated awards.

It was a night where supply chain and logistics companies from all sectors came together to celebrate industry52 | MHD MAY 2022

leading achievements and innovations.

Actor and comedian Shane Jacobson of Kenny fame was MC and the perfect host who kept the laughs rolling throughout the night while pulling together the various segments of the formalities of the event.

The Award’s event theme was “Partnerships of Strength”, and acknowledged that through co-operation, the industry can thrive and overcome challenges. More than 150 businesses were represented at the gala. The support for the Awards this year was overwhelming with much appreciation given to the sponsors JLL, uTenant, Gamma Solutions, RFSmart, Import Export TV, Dematic, Swisslog, LMA & Biarri.

Sue Tomic, Board Chair of the SCLAA said one of the purposes of the event was to acknowledge outstanding achievement in Supply Chain and provide encouragement for future excellence.

“The key objective of the Australian Supply Chain and Logistics Awards is to encourage and promote advances within the industry across technology, education, services, and innovation,” Sue announced in her opening speech.

She made special mention of three important Cs: “connection, collaboration, and crisis”.

Connection involves being part of the SCLAA, which provides the platforms for industry to network, exchange ideas, expand their knowledge and working to make change and improving outcomes for the industry.

She said collaboration involves the Association linking the various sectors in supply chain and logistics – including shipping, ports, and freight forwarders, to name just three. She added it was all about focusing on multiple industries and embracing various sectors.

SCLAA, as a cross-sector association, plays a critical role in connecting the industry with corporations that have cutting-edge technology to solve issues or create the solutions required.

Sue said that crisis was certainly an everyday experience for the industry during the pandemic with disruptions to manufacturing and shipping, and continues as the industry still operates from “just-in-time” to “just-in-case” cargo and goods management.

MHD SCLAA

The crisis also presents in the form of labour resource shortages in the industry. Sue also said SCLAA, which has always been focussed on promoting the industry as a profession, will continue to advocate and launch initiatives to attract and retain talent to the industry.

She noted SCLAA received a record number of submissions across all 10 Award categories, covering various areas of supply chain with nominations judged by a SCLAA judging panel headed by Chief Judge Cathy-Anne Jones. The judging panel chose a High Commendation recipient and a winner of the ASCLA for each category.

The following is a complete list of the winners: • Automation, Robotics or Emerging Technology WINNER: Kent Rogers & Karl Brooks DHL Supply Chain & Packsize • Environmental Excellence Award WINNER: Schneider Electric • Future Leaders Award WINNER: Chethan Vijaykumar & Margaret McGahan • Industry Excellence Award WINNER: Tom Fitzwalter TMX Global • Logistics Management Award WINNER: Yasmin Grigaliunas World’s Biggest Garage Sale • International Supply Chain Award WINNER: IFC Global Logistics

Sponsors of the Australian Supply Chain Logistics Awards (ASCLA).

• Big Data, IT & Business Intelligence Award WINNER: GHD Digital • Start-up Award WINNER: Adiona Tech • Supply Chain Management Award WINNER: Swisslog & Manhattan Associates • Training, Education & Development Award WINNER: TAFE NSW The newly introduced Start-Up Award went to Adiona Tech.

“Being recognised by an ASCLA, especially in the very competitive

The event’s theme was Partnerships of Strength, with over 370 attendees representing over 150 businesses at the gala.

inaugural Start-Up category, is incredibly motivating for our entire team. It reinforces the demand for innovation and sustainability solutions that members of the SCLAA are no longer just asking for – but demanding,” Richard Savoie, CEO of Adiona Tech, says.

The keynote speaker this year was ANL Shipping line MD, Shane Walden. Shane delivered an on-point presentation and provided an outlook and insights on international shipping only available from someone coming from the inside-world of international shipping. Of note, Shane forecast that current shipping pressures would continue at least until mid-2023.

There was also an inspiring presentation from Sponsor uTenant co-founder Kyle Rogers, who spoke about his journey in co-founding Australia’s leading online industrial property software platform uTenant. He spoke about the concept of co-opetition (cooperation with your competition), which provided inspiration and encouragement to everyone.

Stephen Lakey, State director for Victoria and Chair of Awards Event Committee states that the success of the awards this year has the organising team thinking how to top this one for the 61st awards, with some great ideas already put forward. Watch this space Supply Chain! ■ MHD MAY 2022 | 53

MHD ASCI

WHAT IS ILS? PART B ASCI ACT Chapter President and ASCI ILS College Secretary, Gary Pearce, discusses integrated logistics support in this second instalment of a multi-part series.

I

n April’s issue of ‘MHD’ I introduced the concept of ILS and the ILS Elements. The Support Elements (ILS Elements), as the name implies, are a combination of the physical and functional elements that are required for the provision of support to materiel.

In essence, they do not form ‘part’ of ILS; instead, they are the elements that ILS needs to address to ensure effective support is provided. In the April issue an example was offered for the ILS Elements considerations for support of your own vehicle, the literal ILS Elements are broadly outlined as follows:

1. ENGINEERING SUPPORT (ALSO REFERRED TO AS DESIGN INTERFACES)

ILS activities encompass all of the considerations necessary to ensure that the required Engineering Support capability is implemented, maintained, and modified when required. These activities are undertaken to ensure that suitable engineering and design management services can be provided, as and when required, throughout the life of the Materiel System. The ILS discipline may utilise certain engineering services (e.g., maintenance requirements determination) to implement or change the Support System; however, ILS does not include the provision of day-to-day engineering services.

2. MAINTENANCE SUPPORT (ALSO REFERRED TO AS MAINTENANCE PLANNING)

ILS activities encompass all of the considerations necessary to ensure that the required Maintenance Support capability is implemented, maintained, and modified when required. These activities are undertaken to ensure that suitable maintenance services are able to be provided, as and when required, throughout the life of the 54 | MHD MAY 2022

Materiel System. The ILS discipline may utilise certain maintenance services (e.g. to incorporate modifications to equipment) to implement or change the Support System; however, ILS does not include the provision of day-to-day maintenance services.

PHS&T resources and services to be provided so that a new or modified Materiel System is able to be operated and supported throughout its life. PHS&T services are managed and delivered through the Supply Support capability.

3. SUPPLY SUPPORT

ILS activities encompass all of the considerations necessary to ensure that the facilities needed for the operation, support, and disposal of the Mission System and Support System Components, are provided throughout the life of the Materiel System.

ILS activities encompass all the considerations necessary to ensure that the required Supply Support capability is implemented, maintained, and modified when required. These activities are undertaken to ensure that suitable supply services can be provided (e.g. warehousing services), as and when required, throughout the life of the Materiel System. The ILS discipline may utilise certain supply services (e.g. for the delivery of Support Resources) to implement or change the Support System; however, ILS does not include the provision of day-to-day supply services.

4. TRAINING SUPPORT ILS activities encompass all of the considerations necessary to ensure that the required Training Support capability is implemented, maintained, and modified when required. These activities are undertaken to ensure that suitable training services can be provided, as and when required, throughout the life of the Materiel System. The ILS discipline may utilise certain training services (e.g. for the delivery of initial and/or conversion training) to implement or change the Support System; however, ILS does not include the provision of day-to-day training services.

6. FACILITIES

7. SUPPORT AND TEST EQUIPMENT (S&TE) (ALSO REFERRED TO AS SUPPORT EQUIPMENT)

ILS activities encompass all of the considerations necessary to ensure that the S&TE needed for the operation, support, and disposal of the Mission System and Support System components is provided, as and when required, throughout the life of the Materiel System.

8. PERSONNEL (ALSO REFERRED AS MANPOWER)

ILS activities encompass all of the considerations necessary to ensure that defence and/or contractor personnel are available, when, where and with the skills needed, to operate, maintain, train, store, handle, control, supply, project manage and dispose of the Mission System and Support System components throughout the life of the Materiel System.

TECHNICAL DATA

5. PACKAGING, HANDLING, STORAGE AND TRANSPORTATION (PHS&T)

(ALSO REFERRED TO AS TECHNICAL PUBLICATIONS/ DOCUMENTATION)

ILS activities encompass all considerations necessary to enable

ILS activities encompass all of the considerations necessary to ensure

that the appropriate data and information is competently managed and available, when, where and in the form required, for the operation, support, and disposal of the Mission System and Support System Components throughout the life of the Materiel System.

COMPUTER SUPPORT

(ALSO REFERRED TO AS SOFTWARE SUPPORT)

ILS activities encompass all of the considerations necessary to ensure that the required Computer Support (Software Support) capability is implemented, maintained and modified when required.

These activities are undertaken to ensure that suitable Software Support services, for embedded Mission System and Support System software and firmware, are able to be provided, as and when required, throughout the life of the Materiel System.

Software Support services are managed and delivered through the Engineering Support capability. It also includes Logistic Information Management Systems (LIMS).

ILS includes many activities to ensure that Supportability objectives are achieved, while minimising LCC and complying with other constraints. The range of ILS activities to achieve these objectives includes management, analysis, and assessment activities to define, plan, implement, verify, validate, manage, maintain, change and dispose of the Support Resources that are categorised under the various Support Elements. The interaction between the ILS discipline, related disciplines, and the Support Elements as illustrated above.

The inner circle of the above depicts ILS Management activities as a central function of planning and coordination across the range of interfaces and activities identified within the larger circle, including Supportability Analysis and Supportability Assessment activities. This inner circle represents Through-Life Support (TLS) disciplines, which is a whole-of-life management methodology that takes an integrated approach to all aspects of supportability and readiness of a materiel capability or system. TLS disciplines will be the focus of a future article.

In addition, ILS interfaces with, but not limited to: • Project Management • Procurement Management • Risk Management • Inventory Management • Supply Chain Management

• • • • • • • •

“

ILS activities encompass all of the considerations necessary to ensure that the appropriate data and information is competently managed and available, when, where and in the form required, for the operation, support, and disposal of the Mission System and Support System Components throughout the life of the Materiel System.

Safety and Hazard Analysis Human Factors Analysis Trials and Acceptance Configuration Management Quality Environmental Requirements Design Reviews Contract Management In summary, ILS Management is the process of planning, directing, controlling, coordinating, monitoring.

ILS activities, include consideration connected with the ILS/Support Elements, to maintain ILS integration objectives.

ILS activities, including considerations associated with ILS/Support Elements, ensure ILS integration objectives are achieved.

In the next issue there will be a continuation of the ILS theme, including the changing of the guard, and how currently throughout the world – in particular Europe and the USA – IPS is replacing ILS, through the S-Series Specification process. What is IPS? Find out in the next issue (June).

If you require further information in relation to ILS/IPS go to website address www.asci.org.au in Professional Development Colleges. The Professional Development College for ILS/IPS will: a. Promote the functions and benefits of a structured Integrated Logistics Support program to Australian Defence and Industry b. Support members with ongoing learning, professionalisation and development to enhance their ILS skills and knowledge c. Advocate for the recognition of the skills and expertise of our members and Integrated Logistics Support disciplines. ■

THE AUTHOR Gary Pearce is a retired ILS Practitioner with over 20 years direct ILS experience, and 50 years Defence and Defence Industry experience. He holds a Masters in Management Studies-Logistics (UNSW) and Master of Project Management (USQ). He also has accreditation as a Registered Practitioner ILS (ASCI), Certified Professional Logistician (Transport & Logistics Certification Council) and Certified Associate in Asset Management (Asset Management Council). In addition, he has an Associate Diploma in Engineering (Maintenance)Electronics (ADF). Gary is currently the ASCI ILS College Secretary and ASCI ACT Chapter President. Previously he was a SCLAA Director and SCLAA ACT

MHD MAY 2022 | 55

NOMINATIONS ARE NOW OPEN

SEPT 2022

WOMEN IN INDUSTRY AWARDS WOMEN IN INDUSTRY.COM.AU

P R O U D LY P R E S E N T E D B Y

MHD Supply Chain Solutions

S I M O N . C O B U R N @ P R I M E C R E AT I V E . C O M . A U

MHD PRODUCT SHOWCASE

TOYOTA LEVIO LWI160 ELECTRIC PALLET JACK The Toyota Levio LWI160 Electric Pallet Jack features a lithium-ion battery, meaning it can be charged whenever there is downtime, unlike traditional lead acid batteries which require an eight-hour charge. The LWI160 is Toyota’s first pallet mover solely designed around the modular lithium-ion battery concept – allowing for a smaller, lighter, and more energy efficient unit. Its compact nature helps the LWI160 gain better access in tight areas. In some circumstances it may be the only option available when being used in tight spaces on the back of trucks. Able to lift 1600kg up to 210mm in an aisle with of 1837mm, the LWI160 is easy and safe to operate.

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

O2I – MULTICODE READER ifm’s O2I500 multicode reader is simple to use like a sensor, and reliably detects 1D and 2D codes. It delivers reliable reading results even in extremely difficult conditions, reading up to four different codes in milliseconds, which ensures efficient, and high-quality production.

Thanks to the one-button teach function and the viewfinder, it makes the product immediately ready for use, saving time and costs. In addition to this, the O2I500 can be configured via an app or using the award-winning Vision Assistant software. The device has an exchangeable ifm memory stick, which can be used to save or load complete configurations of the multicode reader. This simplifies device replacement and the set-up of several units for the same application.

The integrated optional illumination with polarisation filter, ensures sufficient contrasts to reliably detect codes even in the case of shiny surfaces such as metal. The ifm O2I500 multicode reader combines robustness, compelling design, and intuitive handling.

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

DAMON’S I-G5 MODULAR CARTON CONVEYING PLATFORM

THE NEW COMBI-MR4 WITH DYNAMIC 360° ™ STEERING

Damon’s i-G5 Modular Carton Conveying Platform is a flexible and intelligent system consisting of conveyors suitable for cartons, totes, packages, etc. It includes roller conveyors and belt conveyors. Designed on a modular platform, the i-G5 conveyor can provide solutions for many applications including zero pressure accumulation, general transportation, swivel wheel diverters, 90 degree transfers and inclines and declines. As one of Damon’s most successful products, it can provide customers with a variety of intelligent services to improve the efficiency of their logistics. The i-G5 Modular Carton Conveying Platform delivers real-time interaction with an intelligent system to control and monitor the equipment at all times and ensure reliable and efficient operation of the system.

Since Combilift launched its first C4000 model in 1998, multidirectional capability has been one of the major hallmarks of the company’s wide range of handling solutions. 24 years and thousands of R&D hours later, its latest product takes multidirectional capability to the next level. The Combi-MR4 is a 4-wheel electric powered multidirectional reach-truck, which incorporates Combilift’s new Dynamic 360° ™ steering, which provides rotation on each wheel, enabling seamless directional change of the truck while on the move. The system allows this extremely agile forklift to work in forward, sideward and crab steer mode, guaranteeing swift operation and excellent manoeuvrability. Hence the full name of the new model: the Combi-MR4 Dynamic 360.

For more information, visit www.damon-group.com.au

For more information, visit www.combilift.com/combi-mr4

MHD MAY 2022 | 57

MHD PEOPLE ON THE MOVE

BROUGHT TO YOU BY

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

ASHEESH CHACKO – DRIVE YELLO

DARREN NUGENT – CBRE

Last mile delivery provider Drive Yello has appointed Asheesh Chacko as co-CEO, working alongside fellow co-CEO and Founder Steve Fanale. This new appointment comes as Drive Yello continues to see record-breaking demand for fast delivery after seeing 100

CBRE has appointed Darren Nugent as Regional Director Pacific.

He joined the company in 2006 and partnered with teams across the company’s offices in the Americas, EMEA and Asia Pacific. For the past 10 years, he has been its Hong Kong Executive Director of Office Advisory & Transaction Services. Under his leadership, CBRE’s

per cent increase in revenue/deliveries in 2021. In his new role, Asheesh will be responsible for the day-to-day running of the business including operations, team, finance, and driver community.

Asheesh joins the company with extensive experience in scaling up businesses and has served in leadership positions within the cross section of the food and technology industries including Chief

Hong Kong office business won the RICS Office Agency Team of the Year award five times. He has also received several clientrelated accolades. In his new role, he will focus on strengthening and growing CBRE’s Occupier platform. He says he is excited to relocate with his family to Melbourne for this opportunity.

Operating Officer at me&u and Chief Financial Officer at Dimmi.

SIMON LIVINGSTONE – LINFOX

GREG THOMAS – LINFOX

Linfox has appointed Simon Livingstone as its President Intermodal.

Based in Melbourne, Simon is responsible for Linfox’s Intermodal operations across Australia, overseeing the provision of interstate transport by road, rail, and sea. Simon has held multiple roles since joining Linfox in 2010. In 2016, Simon was appointed to the senior leadership team as General Manager, Resources and

Linfox has appointed Greg Thomas as its President Retail. Based in Sydney, Greg is responsible for managing warehousing and distribution for leading grocery and department store retailers in Australia. Greg

Industrial where he led transport solutions for the resources, mining, oil and gas, industrial and infrastructure sectors, before moving to the role of General Manager Retail in 2019.

Most recently, Greg was Chief Executive Officer for Linfox International Group, where he has led the company’s growth across South-East Asia and expanded its footprint in the Mekong region since 2017.

joined Linfox in 1995 and worked with Linfox’s Resources and Industrial business unit before transferring to the Fast Moving Consumer Goods (FMCG) team in 2008. He was appointed President of FMCG in 2014.

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

58 | MHD MAY 2022

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