May 13, 2020

New Technologies

Automation in logistics

Demand for transport services is increasing mainly thanks to the growth of e-commerce industry. In 2019 the number of people in the world doing online shopping increased by 8% when compared to the previous year. It all indicates that in the following years this trend will continue.

This phenomenon is clearly visible now, when many companies move their businesses to the Internet, more and more e-shops are founded, which constitutes great challenge to logistics. In order to meet the expectations of today’s clients and keep a regular and competitive price, automation comes as a solution here. This is a process in which human work is substituted with machines and devices performing repeatable actions. Companies which decide to optimize work can expect increase in efficiency and acceleration of manufacturing processes, decrease in an employee’s costs, improving the chain of supply, optimal usage of cargo space as well as lowering maintenance and labour costs, which, in turn, results in long-term profits.

Automation appears at many stages of logistics processes

Automation is usually applied in warehouses and distribution centres, where systems of warehouse management, the so-called WMS (Warehouse Management System), are used. Based on the type and size of a warehouse, various mechanisms are used, which, above all, are to shorten the time of collection and completion of orders as well as increase work productivity.

In warehouses there appear autonomous fork lifts, which are safer and generate less costs than traditional fork lifts controlled by the operator. Fully automated warehouses are launched as well, e.g. a high rack storage in Wronki (Poland), which holds 26,000 pallet places and just one operator supervising the devices. In such warehouses maintenance costs decrease even more as it is not necessary to adapt the building to accommodate people, which significantly limits consumption of utilities.

Robots are also more and more often used in logistics. ES COBOT is one of them – it is used to palletize various types of packages. Other robots can laminate loads placed on pallets or unload containers.

However, automation is not limited to warehouses only. It is also used in road transport, including maps, navigation or GPS allowing for tracking vehicles and optimizing routes. Trucks are the next step in this process.

Large forwarding and transport companies make use of systems for transport management, the so-called TMSs (Transport Managing Systems), which aim to improve cooperation between carriers and manufacturers. They offer functionalities such as: issuing invoices and orders, planning transport routes or monitoring of orders. There are also FMSs (Fleet Manager Systems), which assist in managing a fleet.

Work automation in smaller companies

Many solutions mentioned above cost from several dozen to several hundred thousand Euro, which smaller companies cannot afford. These enterprises usually have reduced needs. That is why, in their case different systems or tools are used.

On the market there are more and more applications improving communication at each stage of the process, optimization tools as well as exchange platforms with an increasing number of possible functionalities, in order to help smaller businesses automate their work.

One of the applications used for work automation is Goodloading. This program supports the loading process and is available to everyone. Smaller businesses can take advantage of a basic offer dedicated to entrepreneurs, and bigger ones will soon be able to integrate through API. On the other hand, warehouse owners can benefit from the Wareh.com platform – add a warehouse to quickly and efficiently rent it for a short or long term.

Running a small company does not entail resignation from the work automation tools. Thanks to many systems available on the market, one can choose those best suited to their business needs.

2020-07-31New TechnologiesAnother month and more news in Goodloading. In July we implemented: 1. Adding a visualization photo to the project in a PDF file. When generating a PDF, you can select the view you want to see in the project. To do this, go to the side panel, click on the PDF tab and then ‘Add photo’. You will then be able to download the PDF with the current visualisation view. 2. In case of containers, the loading summary shows CBM instead of volume. 3. Possibility of displaying visualization on the phone. The link to the visualization is generated in the same way as the link to the project. We also make the latest API fixes, so if you are interested in integrating Goodloading with your system, let us know. We will make the first version available for testing and free of charge to several software providers. We invite you to cooperate with us. [...]
2020-07-06ContainersWhenever it is necessary to carry goods from one continent to another, the importer will need to choose between maritime and aviation transport. Transportation of loads by plane takes much less time than by ship, which constitutes the main advantage of aviation transport over maritime transport. Nevertheless, many importers decide on the latter option. Eurostat data shows that in 2017 the weight of goods carried by sea amounted to 4 billion tons as compared to 16.3 million tons transported by air. Price as the main factor For many importers, price is the most important factor when choosing the means of transport. Carriage of the same loads by air costs several times more. It is difficult to estimate the costs of maritime transport as they depend on various aspects. Weronika Dutkiewicz, the ATC-Cargo Key Account Manager explains: “The three main factors influencing the cost of transport are: INCOTERMS concluded between the manufacturer and the importer. The selected conditions shape and have an impact on transportation and its costs by indicating when the importer’s responsibility begins. The second factor is destination, i.e. location of ports which the load is imported from. The third factor is a type of a load – full container (FCL), less than container (LCL) or requiring a special container.” INCOTERMS determine not only responsibility between the manufacturer and the importer, but also costs incurred by either side. – EXW port of loading – the buyer is obligated to bear all the local costs – export clearance, port and terminal charges as well as cost of transport to the place of destination.– FCA port of loading – the buyer incurs all the local costs, however, the manufacturer takes responsibility for delivery charges. The further process of transport is regulated analogically to EXW terms.– FOB port of loading – the buyer (importer) covers all the costs from the moment of loading goods on a ship.– CIF port of unloading – the seller (exporter) bears the costs applicable up to the moment of arriving at the port of unloading (destination), as well as insurance costs.– CFR port of unloading – the seller (exporter) bears the costs applicable up to the moment of arriving at the port of unloading (destination), excluding insurance. Other INCOTERMS include: FAS, CPT, CIP, DAP, DPU and DDP. All the details regarding the Incoterms are published by the International Chamber of Commerce (ICC). The factor that may also influence the manufacturer’s choice is a country from which goods would be imported. It is related to the possibility of obtaining preferential tariff rates for some goods, applicable within the European Union. As Weronika Dutkiewicz explains, “a preferential tariff rate is applied based on the certificate of origin of a given good, which is defined separately. It is also possible to use a zero tariff rate for goods from less developed countries and regions.” Hand over goods to the sea freight forwarder Transport of goods by sea can be easily handled by the sea freight forwarder, who has a comprehensive knowledge of the applicable provisions and additional regulations. “Forwarders have quick access to information, bookings and available locations of a forwarding company. It is important to choose the partner for cooperation,” says Marina Della Rocca, the Logistics and Administration Coordinator from BVALVE FLOWY SYSTEMS & CONTROLS SLU. When the sea freight forwarder receives an order, he prepares all the documents necessary to execute the order and, therefore, reduces the sender’s paperwork. “Documents to be prepared and responsibility for them depend on the established Incoterms. Within EXW the importer takes care of preparation of all the documents, however, it is the forwarder who will direct him through the whole process. In the case of CIF, the manufacturer will take responsibility for the documentation. Regardless of the selected terms, the forwarder will guide you through the whole process and provide you with the needed information,” adds Marina Della Rocca. The process of maritime transport “The importer requests maritime transport from the specialized forwarding company, which prepares an offer based on the conditions agreed between the manufacturer and the importer, considering all the costs to be incurred by the importer. If the offer is accepted, the importer provides details of the manufacturer, who will be contacted by the forwarding agent operating in his country. The manufacturer reports when his transport will be ready and the agent books a place on the ship. Formal matters in the port of loading take around a week. The next step is a delivery of goods to the port or a warehouse and customs clearance. The detailed process of transport depends on accepted Incoterms. Following the transportation, the goods are unloaded at the port of destination. Next, the importer is responsible for the collection of the goods at the port, customs clearance and delivery to the place of destination,” explains Weronika Dutkiewicz. The process of maritime transport depends on the established conditions. For instance,– EXW – the importer has to collect goods from a warehouse, then deliver them to the designated location at the specified time so that they can be transported by sea.– FCA – when compared with EXW terms, it is the manufacturer who has to deliver goods to the designated place.– FOB – the importer together with the forwarder book a place on the ship, however, it is the seller who must deliver it to the loading place. If the seller is late and does not inform on this fact early, he will incur additional costs related to the necessity of re-booking the place on another ship. According to the FOB terms, it is the importer who may choose a shipowner.– CIF – the manufacturer chooses a ship and date, whereas the importer has to wait until his load reaches the port of destination. Organizing maritime transport is quite a challenge, especially when we do not have a sufficient knowledge of the INCOTERMS rules or particular stages of transport. In this situation it is best to contact the person who will guide you through the whole process and assist with the preparation of relevant documents. [...]
2019-08-28ContainersLoad planning programs bring many benefits – planners can prepare the allocation of various dimensions loads faster than using traditional methods. They can also estimate transport costs easily. Tools such as Goodloading, which support the process of loading containers, among others, serve this purpose. One of the reasons why freight forwarders use the container loading software is that it shows the placement of loads of different sizes within a cargo space. ‘Sometimes we have doubts about loads of irregular dimensions and we don’t know which container should be chosen in order to use cargo space to the full extent and, in result, optimize the transport cost.’ says Konrad Wojciechowski, a freight forwarder in OMEGAir Cargo sp.z o.o. As he explains, this is when a container loading software is most useful. Małgorzata Michalik from go-pack.pl company notes: ‘The reason why it definitely makes sense to use such software is that it enforces us to verify all the important information like container dimensions (internal & external), check with the transport company if there are any abnormalities in the transport means they are going to provide us with (e.g. different size of the entrance door, different thickness of the walls, etc.). When this exercise is done, there is also lower risk of costly mistakes.’ Goodloading – container loading software There are several load planning programs on the market, and Goodloading is one of them. It stands out from other applications with a friendly and modern interface, which makes the program more intuitive and simple to use. What’s more, the user has a lot of freedom when planning loading – can work on visualization by manually changing the location of loads, rotate cargoes or take them outside of the loading space. Goodloading is available in two versions, free and PRO. User registration is required to use them. Work in the program begins with the selection of a container; you can choose an existing one from the list or enter its dimensions. When adding a container, you can include the necessary parameters – that is, add the width and height of the door, set the center of gravity, indicate the method of loading the container or add a refrigeration unit. Dozens of containers can be added to the application, which is especially useful for large projects. You then add loads from an excel-type file or by manually entering their dimensions. The placement appears on the 3D visualization. The finished project can be sent to another person in the form of a link or a PDF file, which significantly facilitates communication between persons responsible for individual loading stages. The application summarizes the loading, thanks to which the planner has continuous access to information about occupied and free LDMs, loaded and unloaded space, total weight of loads, available space (in m2) and load volume (in m3).  ‘I think the tool is great for the students working on certain projects and, of course, logistics planners – especially for the budgeting phase’ says Małgorzata Michalik. Additional benefits of using container loading software You don’t have to think every time when planning container loading – what are the dimensions of the 20ft container? And how about the 40ft one? The application has basic containers, but it’s best to verify that their dimensions match those you plan to load. The program offers the addition of an unlimited number of custom container dimensions. Then, when choosing a loading space, the right container can be selected from the list. Container transport largely operates with cubic meters, the so-called CBM. CBM is often used at the time of settlement, when customers adopt the freight ton as the basis for payment. To calculate how much volume the load takes, many logistics professionals use the CBM calculator. Instead, you can use a program that will not only show you the optimal placement of the load but also provide the necessary information for settlement. Małgorzata Michalik says: ‘I came across the Goodloading application by accident, while preparing the calculation concept for my customer. We had to analyse the transport costs of metal components from China to Poland in non-standard size containers. It was so much easier to check various options by just changing the set-up, than to draw everything again and again on the paper.’ In case of many loads of various dimensions the container loading software will help you handle them in such a way as to maximize load capacity of the container.  ‘Using the container loading calculator allows us to simulate what the loaded container will look like before the arrival of the goods. We can see if and how much free space is left in it and how to place the goods to load the container in a way that will ensure effective protection of them,’ says Konrad Wojciechowski.  People who plan container loading have their hands full of work, and they will have even more – because container transport is developing very quickly. Konrad Wojciechowski notes: ‘Of course, we could calculate it all on a piece of paper, but if someone has ever tried, he knows how complex such a task is when working with various dimensions of goods. Using the application allows us to minimize human error and gives us greater flexibility when changing the idea of the placement of goods.’ [...]

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