Swisslog Customer Magazine: the Future of E-Commerce

T H E F U T U R E INSPIRATION O F SWISSLOG WAREHOUSE AND DISTRIBUTION SOLUTIONS GLOBAL MAGAZINE ISSUE ONE E - C O M M E R C E

P L U S : M U L T I C H A N N E L I N N O V A T I O N B E S T P R A C T I C E E N V I R O N M E N T INSPIRATION WELCOME

// PAGE 3 WELCOME // PAGE 4 MARKET DATA // PAGE 6 MULTICHANNEL // PAGE 16 INNOVATION // PAGE 18 BEST PRACTICE // PAGE 20 OPINIONS // PAGE 22 ENVIRONMENT WELCOME

Welcome to the first issue of Inspiration magazine

For the uninitiated, Swisslog is a global provider of intralogistics automation.

These services range from building complex warehouses and distribution centers to solutions for material handling and medication DESIGN management in hospitals.

Our aim for Inspiration is to provide an insight into the latest industry trends, leadership thinking and general developments in the warehouse, DEVELOP distribution and automated logistics arena. For this issue we’re focusing on e-commerce, a key sector for our many retail customers and the area of much innovation and development. This is a fast-moving sector. So much so that terms like multichannel are already being described as "yesterday’s problem." Instead, DELIVER “Omni-Channel” is the new challenge of fully- integrated retailing from any source. We would love to hear what you think. We welcome your comments and suggestions for articles via our Twitter account @swisslogInspire or via email: [email protected]

Joe Doering Division President Warehouse and Distribution Solutions

02 03 INSPIRATION WELCOME

// PAGE 3 WELCOME // PAGE 4 MARKET DATA // PAGE 6 MULTICHANNEL // PAGE 16 INNOVATION // PAGE 18 BEST PRACTICE // PAGE 20 OPINIONS // PAGE 22 ENVIRONMENT WELCOME

Welcome to the first issue of Inspiration magazine

For the uninitiated, Swisslog is a global provider of intralogistics automation.

These services range from building complex warehouses and distribution centers to solutions for material handling and medication DESIGN management in hospitals.

Joe Doering Division President Warehouse and Distribution Solutions

02 03 INSPIRATION MARKET DATA

GOING GLOBAL CHINA HOWHow THE theWORLD world IS REACTING is T Oreacting A NEW SUPPL Yto CHALLENGE a new supply challenge SHOPPING CHINA HAS LONG BEEN SEEN AS THE WORLD’S Books, Music Apparel & Videos LEADING MANUFACTURING BASE, BUT HOW WELL IS IT EMBRACING E-COMMERCE? 15% 14% Electronics

Market Size expand. According to Datamonitor's Global 24% BUSD 435 s retailers integrate e-commerce Growth Online Retail 2011 Report, the global online 16% into their operations, employing retail sector had total revenues of BUSD 47% the right systems to dynamically Others A 434.6 in 2010, representing a compound process orders is of critical importance. he latest figures reveal some 2012, the total number of Chinese online (including B2C, C2C and online shopping annual growth rate (CAGR) of 16.3 percent interesting trends. A report in China purchases reached 280 million. Online platform) are Tmall, 360buy, Suning.com Global retail market segments: % share, by value, 2011 The vast majority of the world’s consumer for 2006 to 2010. 2010 alone had a growth Source: Datamonitor 2010 Logistics Equipment magazine in shopping transaction volume (B2C and and Amazon. Tmall is a platform where products have been distributed to retail rate of 17.8 percent. T Wulfraat believes an ageing population will 2012 listed four key points: 1. Booming C2C) reached 1.15 trillion RMB in 2012. both B2C and C2C business takes place. In stores in bulk, and the most efficient European Growth make it harder for warehouses to follow the Transactions: Transactions volume in 2012 3. Popularity of Fashion and Electronics: B2C online, 360buy holds a massive 50.2% method for handling this merchandise has European online retailing growth performed old style. Says Marc: “We firmly believe that reached 9.5 trillion RMB (over 1 billion Online shopping of apparel holds 26.8% of share of business, followed by Suning.com usually been pallet movement and full case even better, with a CAGR of 22.3 percent the North American market will increasingly Euro) and is expected to be 27.5 trillion total volume, 3C products (computers, 9.4% and Amazon 6.7%. selection. But now e-commerce is between 2006 and 2010. In 2010, Europe follow the European market by ramping up RMB in 2015. It is thought the annual cameras and cell phones) 18.2%, cosmetics fundamentally changing the nature of the accounted for 37.4 percent of total global adoption of automated material handling increase over the next 5 years will be 4.9%, media 3%, and others 42.8%. 4. Four retail supply chain. online retail sales, BUSD 162.6 in revenue. systems for the manufacturing and retail / around 35%. 2. Online purchases soar: In key players: Top online shopping players Rapid Increase “We have seen a lot of growth in Europe,” distribution sectors.” Due to the rapid increase in online sales, says Swisslog’s Innovation Manager, Mike many retailers are outgrowing the Hatrick, “as businesses focus on getting the China Spending In China the latest spending figures are traditional supply chain model. In addition maximum productivity out of their existing truly mind blowing [see opposite]. STANDING OUT to scheduled weekly or daily store deliveries infrastructure, as well as re-evaluating all “Companies in China recognize this is a of pallets and cases, retailers must now their future developments.” Meanwhile on SURVEY REVEALS E-COMMERCE CHALLENGES major driver of future growth,” says factor in split case picking and multi-line main street the trend towards smaller promotions. With many retailers seeing Swisslog’s Vicki Chen. “To move at this pace erman e-commerce expert, item sortation to fulfill fluctuating volumes formats, local shops with a reduced range, online sales as the key to future growth, is less of a challenge when you have come Intershop which counts HP, of online orders which frequently require has definitely continued, according to difference.” And if that wasn’t enough to the problems of standing out in a large this far in such a short space of time.” And BMW, Deutsche Telekom and delivery to consumers within 24 hours. How Richard Crompton, who teaches Retail get marketing managers thinking, the next G crowd have not been lost on the region’s with such resources at their fingertips, the Mexx amongst its customers, has released the challenges of these new demands are Logistics Strategic Supply Chain big challenge is already on the horizon. online retailers. rest of the world will surely take its latest findings in trends for online met across the world gives a fascinating Management at the University of “The smartphone is already changing the note. retailers in the Nordic countries. Key insight into local experiences and the Huddersfield, UK: “A reduced choice may “The bigger players can use their real world retail landscape; 87% of online retailers among the findings are the difficulties globalization of the supply chain. seem like a simpler logistics task,” says visitors to drive traffic to their websites,” believe that those who master mobile faced by retailers in creating genuine Richard, “but it presents other challenges.” says Swisslog’s Global Marketing Manager, commerce will prevail. For some, getting Recession Pressures [See page 10.] Some of those other differentiation in a crowded market - 85% During this current recession, many Cathrin Völz, “but that does not this right may be crucial to survival,” says challenges are also being saying they find this extremely European stores have struggled, while automatically set them apart. Great Völz. seen in the US where supply challenging, whilst two thirds say they online businesses have continued to customer service, a responsive website and chain consultant Marc struggle to create almost limitless accurate ordering processes make a real

04 05 INSPIRATION MARKET DATA

04 05 INSPIRATION MULTICHANNEL

CHANGING CHANNELS A RESPECTED LEADER IN WAREHOUSING AND DISTRIBUTION, DR VOLKER JUNGBLUTH, UNDERSTANDS THE ROLE OF LOGISTICS IN Dr Volker Jungbluth, Swisslog TODAY'S RETAIL INDUSTRY LIKE FEW OTHERS.

A mechanical engineering involving telephone orders or mobile phone take place. Online orders meanwhile are graduate and former head of apps. As a result of this definition, the term usually one or two items, requiring a more multichannel is used to describe both a labor intensive picking operation, almost as department at the Fraunhofer varied sales channel and the flexible though the warehouse has become a parts Institute for Material Flow and logistics operations that are required for center for individual items. In essence, where multichannel operations differ from regular Logistics, Volker believes order fulfillment. warehousing and logistics is in Warehouse Challenges changes in technology have how they cope with what is In essence, multichannel operations differ One of the key components to successful ordered, in what quantities, how presented a new reality for from regular warehousing and logistics is in online businesses is a wide variety of and where it is delivered and how it may be returned. retailers across the globe. “In how they cope with what is ordered, in options – the more products you have, the today's market you have to what quantities, how and where it is more business you have - but unfortunately remain totally flexible. Stick to delivered and how it may be returned. Only this translates to challenges in the warehouse. Not only does manual picking tradition and it may ruin you.” now are many organizations coming to supermarkets may be able to send some of they have slowly changed to cope with the logistics approach may be a wise investment terms with the reality that older models are usually require more room, but a greater their stock down the supply chain and into change in orders. Reluctant to make if it means staying in business. ultichannel is a simple term for no longer relevant. If you design a variety of products of different shapes and stores for quick replenishment, they still structural changes or unable to believe their Multichannel Options a complicated idea. At its heart have a limited amount of shelf space to business models have fundamentally Swisslog is already at the forefront of lies the challenges presented to present products. If your product is not altered, many have evolved too slowly. The M developing a fully integrated multichannel retailers who are either traditionally available, the customer can choose economic downturn may have been the approach. We have seen some attempt to "stationary" – that is, with an existing something else, but they can also choose final push as the march of progress leads to produce multichannel solutions which are physical presence on main street – or another store! long-established businesses like Kodak, between order picking and shuttle fed AGVs. predominantly online. The challenge is to Woolworths in the UK and Germany’s Quelle Mixed Capabilities A real multichannel solution in our opinion remodel the business processes in such a disappearing very fast. Little wonder the It would appear that each type of business looks a little different and although it may way that they can service markets likes of Avon, J.C. Penney and Nokia are all needs its own warehouse solution. Except, be more difficult to adapt to existing regardless of via which channel the order being closely scrutinized. perhaps not. The move now is to develop businesses, it does offer true order size arrives, the eponymous "clicks and mortar" warehouse for a classical retail business, for sizes causes headaches for the logistics multichannel warehousing solutions that independency. High-speed performance and approach. Why the order process should Wise Investments example, you are used to larger orders of manager. If you are solely online, perhaps somehow mix the capabilities of the two Surviving brands now have a choice of highly efficient storage is a given, but it is have such an impact may surprise those not palletized loads, usually stored in racking. you can organize your stock into smaller types of businesses. Interestingly, traditional buying into online retailers, as many have, more than a shuttle approach and, as our involved in the logistics arena, and it is Retailers have looked at optimizing the cube numbers, but if you also deliver to a store businesses are now faced with problems or are developing a sensitivity to different customers are finding out, it is possible and worth pointing out that this narrow and delivering the maximum number of you face the same problem in a different that are almost existential. After years of scenarios where both traditional sales and does exist!” definition is equally relevant to "stationary" pallet locations, often by reducing the areas order. Thousands of product lines are not seeing annual growth of their online online sales are possible. Assigning a tenth businesses such as catalog-centered where order picking and sortation might uncommon for the online business. While businesses by perhaps two or three percent, of your profits to developing a flexible companies, and "online" enterprises

06 07 INSPIRATION MULTICHANNEL

CHANGING CHANNELS A RESPECTED LEADER IN WAREHOUSING AND DISTRIBUTION, DR VOLKER JUNGBLUTH, UNDERSTANDS THE ROLE OF LOGISTICS IN Dr Volker Jungbluth, Swisslog TODAY'S RETAIL INDUSTRY LIKE FEW OTHERS.

06 07 INSPIRATION MULTICHANNEL

From fashion to food and EASY E-COMMERCE from toys to electronics, Swisslog technology is INSPIRED SOLUTIONS FOR ONLINE RETAILERS helping leading businesses do more with their logistics processes. Different applications present different challenges. Our integrated solutions meet the different challenges of your e-commerce operation.

A 3D fulfillment solution providing the A storage and transport system for totes A suite of software with enhanced An efficient storage and order picking most efficient goods-to-person solution and trays. SmartCarrier vehicles supply material flow control, labor, voice and system for single items and small cases. for e-commerce. totes directly to dynamic picking stations. cockpit functionality. Robots with transport and lifting functionality operate the system.

lick&Pick™, Swisslog’s solution martCarrier's external picking oftware plays an important role in he AutoStore system provides very for e-commerce applications, stations can be served by very the e-commerce mix. Our high flexibility. It fits into existing Ccombines high speed picking with Sflexible and scalable modules at SWarehouseManager has a proven Tbuildings and makes optimal use of an innovative inventory system. It helps high to very high throughput rates. track record as a product-based WMS. The the available space. In 2011, Competec companies simplify operations and reduce Consumer electronics vendor Hama, is one integrated product suite is used in manual, Group purchased a 55,000 square-meter costs while increasing strategic flexibility. such business taking advantage of the new semi-automated and fully automated distribution facility in Willisau, Medline Industries Inc. has selected technology. Hama has seen enormous environments and has the flexibility to be Switzerland, where it planned to Swisslog's Click&Pick system to increase growth and success in over 80 years of adapted to customer specific requirements. consolidate four distribution locations into throughput, reduce inventory and decrease operations. From humble beginnings as a Lindex, one of the leading suppliers of one central operation. Competec selected labor at its distribution center in "one man operation" back in 1923, Hama women's and children's wear in Sweden, Swisslog Warehouse & Distribution Libertyville, IL. Medline, the largest is now one of the leading photography chose the system for their new automated Solutions to engineer an automation privately held medical supplier in the accessory companies in the world with distribution center at the company's solution. After performing an in-depth United States, manufactures and operations in 48 countries. For its central Göteborg site. The new facility is based on comparison of various automated distributes over 350,000 medical and European logistics operation it added a combined operation system, which distribution system options, in September surgical products to healthcare institutions SmartCarrier to provide additional includes both automatic and manual work 2011, the company decided in favor of the and retail markets from a network of capabilities, as logistics manager Roland processes. The picking warehouse is new AutoStore tote storage and picking distribution centers. This initial project Handschiegel explained: “SmartCarrier is serviced by four cranes while the cross- system. AutoStore is a streamlined, high- represents the first rollout of what is the heart of our new innovative picking dock area is built around an intelligent performance alternative to traditional planned to be implemented at multiple concept. It has provided us with a conveyor-based pick solution. Swisslog mini-load shuttle systems. locations. significant improvement of our logistics, also implemented an automatic labeling enabling optimal usage of the same and palletizing system. space.”

08 09 INSPIRATION MULTICHANNEL

08 09 INSPIRATION MULTICHANNEL FUTURE TRENDS UNIVERSITY OF HUDDERSFIELD LECTURER, RICHARD CROMPTON, HAS A WEALTH OF EXPERIENCE AND HIS COURSES ARE ATTRACTING FUTURE PROFESSIONALS FROM ALL OVER THE WORLD.

It is vital to develop new ideas A number of trends in E- and initiatives. Sometimes the Commerce are emerging. We asked industry expert, sector moves so quickly, every In a fast-moving retail Richard Crompton, to point now and again what you really environment the dilemma us in the right direction... need is a reality check. is whether to , keep the e-commerce processes our trends immediately come to mind independent or take when considering the recent changes in advantage of existing Fretailing and logistics. economies of scale? E-fulfillment Double digit percentage growth in e-fulfillment availability. New initiatives usually begin in purchases, making the order profile very Technology year on year points to the importance of getting Half of all out-of-stock problems have their urban areas, with affluent customers willing to different. Again, retailers are asking themselves online sales right. The necessity to offer such a origins in-store. RFID is a key technology for on- pay delivery charges, time pressures for if they require separate warehouses for service presents its own challenges; different shelf monitoring, sending notifications when consumers, congestion and rush hour making maximum stock availability. size loads, dealing directly with customers, replenishment is required, potentially even shopping difficult. Such a service is then different batch sizes, should retailers include Product diversification offering the promise of automatic billing. RFID required nationally. The dilemma is whether to The major grocery retailers believe customers this in existing warehouses or a separate zone? could provide details on where throughput keep the process independent or take advantage want a one-stop approach and have diversified Click and collect is actually an old idea, but it is slows down, from receiving to shipping. of existing economies of scale. The jury is still into non-food where profits are usually higher getting more popular with customers as prices out as both are being tried, “dark stores” and where they can target a specific niche. Continuous replenishment also offers the come down. Home delivery requires a multi- represent one approach, consolidation sites and Clothing tends to have a reduced range, not potential of taking stock out of the store itself, drop system, with sufficient volume to make it cross-docking another. necessarily responding to the whims of fashion, allowing greater variety of products. As we pay. There is definitely a trend towards making and often manufactured overseas. How category move towards same day delivery, there will be this an automated process; it is the only way to Store sizes The trend towards smaller formats, express, managers allocate space for these products has more emphasis on taking “anomalies” out of the make it profitable as systems mature. Two local shops with a reduced range has definitely been a major concern as they look to control system. With frozen food or slow moving items, decades ago e-retailing was struggling as it continued. We have seen Asda in the UK acquire the entire supply chain. Amazon moved its US for example, away from the main storage hubs, couldn’t fulfill the promises that customers Netto stores and all other major grocers have head of grocery to the UK in 2011. The UK lags fulfillment factories will be required to bring it wanted. A change in customer lifestyles and smaller stores in local communities. A reduced behind its US counterpart, which has sold all back together. Internet advances meant expectations were choice may seem like a simpler logistics task, groceries since 2006. eBay, too, may present a high but delivery poor. Returns have also been a but it presents other challenges. Smaller delivery new challenge. The online retailer is currently problem – they can be up to 30% of purchases vehicles are required for smaller urban areas. trialing same-day delivery in the US, via the in clothing – but this is improving as better Consolidated picking faces and maximum mobile eBay Now app. The move has led some technology means customers can get a better availability requirements make high warehouse commentators to suggest: “What Wal-Mart and look at the product. E-retailing creates different productivity levels vital. Local outlets are Target started, Amazon and eBay will finish.” distribution challenges around customization, Richard Crompton teaches Retail Logistics intended to meet our need for “top-up” Strategic Supply Chain Management at the packaging, convenience for grocery items and University of Huddersfield, UK

10 11 INSPIRATION MULTICHANNEL FUTURE TRENDS UNIVERSITY OF HUDDERSFIELD LECTURER, RICHARD CROMPTON, HAS A WEALTH OF EXPERIENCE AND HIS COURSES ARE ATTRACTING FUTURE PROFESSIONALS FROM ALL OVER THE WORLD.

10 11 INSPIRATION MULTICHANNEL

Swisslog Australia's Senior Logistics How Category Online retail stores can Consultant, Jens Nikolai, shares his EXCITING TIMES Managers Change experience returns as high as 30% on clothing lines. thoughts on Returns Logistics. MARC WULFRAAT, PRESIDENT OF SUPPLY CHAIN CONSULTANTS The Way We Shop For those with a main street MWPVL INTERNATIONAL INC., EXAMINES THE FUTURE OF presence the whole process 1. To what extent do businesses NORTH AMERICAN AUTOMATION. may be easier, but for appreciate the importance of having a others, returns handling returns logistics strategy? Newcomers n 2012 we spent the better part of the benefits are expensive simply cannot be requires its own special to e-commerce might not fully considerations. year working in Europe and the Middle profitable if they design logistics appreciate the consequences of East on projects that involve the operations that are predicated on the use returns. Often returns represent 20% - I of extensive manpower. highest levels of distribution center 30% of shipped items, which all need automation and it was exciting to see Similarly, in the North American retail what the future looks like. to be checked and reintroduced as sector, we foresee a significant growth in stock. This is cash tied up and is the Of course the market dynamics in Europe the demand for semi-automated goods-to- reason why so many new starters have is quite different from elsewhere in terms person (GTP) systems. The level of cash flow problems. A good and of wage rates for middle class labor, innovation that is happening in this market realistic returns solution enables the population density, fuel costs, and land segment is unprecedented and there is no availability; but both markets face the shortage of companies that are highly items to be returned to inventory at To respond to the move into non-food, interested in acquiring this technology. the earliest opportunity. same challenge of a declining work force major retailers restructured themselves Companies like Dematic, SSI Schaefer, population resulting from the forthcoming to allow for category managers taking Swisslog, Knapp, Witron, Vanderlande, OPEX TTAAXXIINNGG wave of baby boomer retirement. Over the greater control of the life of the product. 2. What are the key issues that and others are betting on it. The speed and next two decades it will become It is a role that requires skills in logistics, influence returns logistics needs? reliability of shuttle technologies, robotics, increasingly difficult to attract and retain negotiating, knowledge of promotions Ensuring that both manpower and and mini-load ASRS machines have and new introductions. warehouse labor, especially when it comes equipment are sized to cater for the advanced so dramatically that these to 7x24x365 environments where physical Because of the total responsibility of solutions are now accessible to the middle RREETTUURRNNSS additional capacity that returns labor requirements are demanding. We are category managers and more stringent market. The intelligent design of these require. simply not getting any younger as a performance management systems used systems is enabling nearly perfect order population. to analyze Gross Margin Return on accuracy at throughput rates that reduce Inventory Investment (GMROII), brands 3. Are current pricing strategies There is no doubt in my mind that we in labor requirements by as much as 70%. I have to work harder to compete for the sustainable? Margins are perhaps low, North America are on the cusp of a major could go on and on about this because it space and positioning in store. Retailers with a delivery charge being necessary increase in automation investment for really is in my opinion the most exciting usually drive their business based on to make a profit. Not all suppliers can logistics operations in the manufacturing time to be in the logistics industry! sales or margin. In a retail company where budgets and bonuses are based on forgo profit for market share. sector, especially for companies producing So in short, we firmly believe that in 2013 sales however, employees often achieve fast moving consumer goods (FMCG) such the North American market will increasingly that by lowering the margin or putting as food, beverage and paper. In Europe, 4. What are the latest innovations to follow the European market by ramping up too much stock in their stores. By there are now ASRS warehouse facilities as streamline returns logistics? Swisslog’s adoption of automated material handling targeting a high GMROII, the store aims high as 150 feet that ship 7,000 - 10,000 for a good balance of sales margin and AutoStore and SmartCarrier solutions systems for the manufacturing and pallets daily with only a handful of people. inventory cost. The result has been an offer automated return solutions that retail/distribution sectors. The drive to I recently visited one food production increase in private labels in prime reduce reliance on labor by deploying shorten the time between returned facility that uses only laser-guided vehicles locations. Optimization systems have automation is being driven not only by responded in kind, focusing on what items being received and once again to perform all pallet movement in pairs rising labor and benefits costs, but also by products are stored where, and in what being available as stock. including truck loading. Large the difficulty that some companies are warehouse, to maximize GMROII. manufacturing companies that operate in having in attracting and retaining labor. socialist economies where labor and For more information visit: www.mwpvl.com 12 13 INSPIRATION MULTICHANNEL

t has been well documented that retail separately due to handling requirements access information, this will force sales in the U.S. via e-commerce have suddenly get bundled together by a These retailers need to deal with a variety businesses to reduce costs. now crossed the $200 Billion mark consumer’s e-commerce order. One major of overlapping and comparative challenges I in their order fulfillment operations, Today, the majority of E-Commerce and continue to grow. Several major furniture supplier recently told me that a fulfillment operations are person-to- forecasting firms predict an increase of up lot of their Internet orders for $1,000 sofas typically continuing to replenish stores goods. These labor-intensive systems will to 50% in the next 4 years. Swisslog’s also include the cheapest toilet brush, just while ramping up their e-commerce not provide the efficiencies necessary to be survey at the SHOP.org conference in the to take advantage of the free shipping! capabilities. sustainable. Kris Bjorson, a supply chain fall of 2012 predicted more than 15% Mobile shopping via smartphones is Where is all of this leading to? consultant who heads the retail growth alone for 2013. The e-commerce market is still early in its further accelerating the speed of retail distribution group at Jones Lange LaSalle life cycle where the priority is on capturing It is all about speed shopping, putting additional pressure on who said recently: “You can’t keep on “Everything comes if a man will only wait.” distribution centers. A quarter of all throwing labor at it. It’s got to be right Thus spoke the Victorian era British Prime Americans own a smartphone, providing and it’s got to be on time. You don’t have Minister Benjamin Disraeli. How times virtually instant access to e-commerce at that margin of (human) error.” have changed. Today’s consumers live in a all times. This was also a hot topic at the Clearly, technology provides the solution ‘one-click world’. Easy access to the 2012 SHOP.org show, as 55% of survey for ensuring the long-term financial health Internet and online payment, via credit respondents felt the trend of mobile of the e-commerce market, because at card and PayPal, has led to the mantra of shopping was driving consumer demands. "Click on it and get it now". Mobile shopping puts more speed pressure some point only automated systems will be on DCs to acknowledge, pick and pack an overall growth, at the expense of able to deliver the necessary speed and Speed is the key driver and the entire order providing a vital connection to the profitability. An interesting benchmark is accuracy customers demand. competitive reality of the e-commerce consumer to ensure the sale is not lost to that for the largest e-commerce player in marketplace. If you fail to offer exactly the competition. the world, Amazon.com. its 2011 profits what consumers wants now, they can most were only a fraction of its total order likely find another retail outlet that will. Multichannel becomes the norm fulfillment expenses. Consumers are also deft at finding ways to Retailers with traditional store operations minimize or eliminate shipping costs, make up a very significant portion of all e- As the industry matures, more emphasis putting further pressure on distribution commerce business, comprising one-half will be placed on improving margins, but operations. Items one would logically store of the top twenty e-commerce retailers. given the speed at which consumers can

14 15 INSPIRATION MULTICHANNEL SHOPPING FOR A BARGAIN SWISSLOG’S BILL LEBER LOOKS AT THE FUTURE OF E-COMMERCE IN THE U.S. Bill Leber, Swisslog

14 15 INSPIRATION INNOVATION FIVE IDEAS THAT CHANGED THE THE SMALL WORLD 1. Fordism: Not just mass production but a manufacturing system designed to PROBLEM OF produce "low cost goods and afford its workers decent enough wages to buy Mike Hatrick, Swisslog them". Such ideas went on to influence THE BIG IDEA the machinery, chemical, automobile and SWISSLOG INNOVATION MANAGER, MIKE HATRICK, SPENDS MORE OF HIS TIME THAN MOST other industries for decades. THINKING ABOUT THE NEXT BIG IDEA. PERHAPS SURPRISINGLY HE SEES THE IDEA ITSELF AS 2. The Internet: A network of computers ONL Y PART OF THE PROBLEM. “THE PARADOX IS THAT IT IS COMPARATIVELY EASY TO HAVE covering the entire planet, allowing access Right: It’s the device that wants IDEAS,” SAYS MIKE. to almost any information located to make augmented reality part of our daily lives, but will anywhere in the world at any time. What Google Glass change the way we see the world for good? began as a network intended for military Below: and academic research is now so powerful, Mass production, Ford-style some fear that the Internet will break down our ties to local communities and ith all of its technological accused of wasting resources, or have self- Design Thinking Put into Practice cause us to become socially isolated. advances, the Information doubt. This is described as the classic “fear Consumer buying habits continue to Age has fundamentally of failure” that afflicts so many people. evolve, partly because of the convenience 3. Electronic Money: In 1964 an airline W provided by online shopping but also changed the world of work forever. reservation system was set up by SABRE, a Making Innovation Easier because of a move towards smaller stores Innovation was once based on technology, joint venture by IBM and American One factor that is important to accept is inside cities. Already these two trends are quality and cost. Now, it is about taking Airlines. For the first time in history, that innovation is never easy. Corporate corporate organizations that were built for merging with the advent of “virtual stores” culture can include structural elements , reservations were made on a credit basis. efficiency and rewiring them for creativity where consumers can scan images of such as a stringent innovation processes, Later, credit cards gave us greater and growth. products on shelves knowing that their convenience but also brought us Internet external collaborations, idea management order will be delivered to their home later fraud and record levels of debt, New Ideas Are Easy platforms, and budgeting, as well as in the same day. The paradox is that it is comparatively easy human resource elements such as contributing to the global credit crunch. to have ideas. And with the right recruiting the right talent and exhibiting This high level of expectation puts pressure 4. GPS: Another US military development, environment and encouragement almost the right leadership behaviors. on the entire supply chain. Intralogistics the Global Positioning System uses a everybody comes up with lots of ideas. Yet providers must embrace these changes by network of satellites around the Earth to in most organizations creativity isn't How Do You Get Better Ideas? thinking outside the warehouse and DC, or Having better ideas really means having exactly flourishing, with managers we could say “outside the box”, to ensure pinpoint the exact position of a receiver ideas with a higher chance of success, or constantly scrambling to come up with they play their part in providing efficient, anywhere on the planet. Since its ideas with higher potential. One method is ways to raise the productivity of their flexible and sustainable supply chain development in 1978, it is now used in described by Tim Brown in his Harvard innovation efforts within their company. solutions for the future. Successful cars, aircraft, boats, continental plate Business Review article in June 2008 when Converting an idea into an innovation is innovators must immerse themselves in tectonics and glaciers, and even tagged writing about Thomas Edison and the light hard work, with increased pressure on these fast-moving trends, develop empathy migrating turtles. bulb: “Thus Edison's genius lay in his technology innovators to show that new with the consumer, and ability to conceive of a fully 5. The Thing: A forerunner to RFID products not only do what's claimed, safely collaborate to create developed marketplace, not simply technology, the Thing, or Great Seal bug, and effectively, but also that they are cost- integrated supply chain a discrete device.” Edison effective relative to competing products. It solutions. was developed by physicist Léon Theremin can been seen as risky. managed to keep the fragile as a listening device for the Soviet Union. idea of the light bulb alive As well as track and manage inventory, Once somebody experiences such failure long enough that he could assets and people, RFID technology is now they are often reluctant to try it again. develop the wider proposal From innovation to world domination: Apple began taking pre-orders for the embedded in mobile phones for touch-free They might be embarrassed, feeling around it. first generation iPad in March 2010. After 80 days, 3 million had been sold. payment and loyalty programs.

16 17 INSPIRATION INNOVATION FIVE IDEAS THAT CHANGED THE THE SMALL WORLD 1. Fordism: Not just mass production but a manufacturing system designed to PROBLEM OF produce "low cost goods and afford its workers decent enough wages to buy Mike Hatrick, Swisslog them". Such ideas went on to influence THE BIG IDEA the machinery, chemical, automobile and SWISSLOG INNOVATION MANAGER, MIKE HATRICK, SPENDS MORE OF HIS TIME THAN MOST other industries for decades. THINKING ABOUT THE NEXT BIG IDEA. PERHAPS SURPRISINGLY HE SEES THE IDEA ITSELF AS 2. The Internet: A network of computers ONL Y PART OF THE PROBLEM. “THE PARADOX IS THAT IT IS COMPARATIVELY EASY TO HAVE covering the entire planet, allowing access Right: It’s the device that wants IDEAS,” SAYS MIKE. to almost any information located to make augmented reality part of our daily lives, but will anywhere in the world at any time. What Google Glass change the way we see the world for good? began as a network intended for military Below: and academic research is now so powerful, Mass production, Ford-style some fear that the Internet will break down our ties to local communities and ith all of its technological accused of wasting resources, or have self- Design Thinking Put into Practice cause us to become socially isolated. advances, the Information doubt. This is described as the classic “fear Consumer buying habits continue to Age has fundamentally of failure” that afflicts so many people. evolve, partly because of the convenience 3. Electronic Money: In 1964 an airline W provided by online shopping but also changed the world of work forever. reservation system was set up by SABRE, a Making Innovation Easier because of a move towards smaller stores Innovation was once based on technology, joint venture by IBM and American One factor that is important to accept is inside cities. Already these two trends are quality and cost. Now, it is about taking Airlines. For the first time in history, that innovation is never easy. Corporate corporate organizations that were built for merging with the advent of “virtual stores” culture can include structural elements , reservations were made on a credit basis. efficiency and rewiring them for creativity where consumers can scan images of such as a stringent innovation processes, Later, credit cards gave us greater and growth. products on shelves knowing that their convenience but also brought us Internet external collaborations, idea management order will be delivered to their home later fraud and record levels of debt, New Ideas Are Easy platforms, and budgeting, as well as in the same day. The paradox is that it is comparatively easy human resource elements such as contributing to the global credit crunch. to have ideas. And with the right recruiting the right talent and exhibiting This high level of expectation puts pressure 4. GPS: Another US military development, environment and encouragement almost the right leadership behaviors. on the entire supply chain. Intralogistics the Global Positioning System uses a everybody comes up with lots of ideas. Yet providers must embrace these changes by network of satellites around the Earth to in most organizations creativity isn't How Do You Get Better Ideas? thinking outside the warehouse and DC, or Having better ideas really means having exactly flourishing, with managers we could say “outside the box”, to ensure pinpoint the exact position of a receiver ideas with a higher chance of success, or constantly scrambling to come up with they play their part in providing efficient, anywhere on the planet. Since its ideas with higher potential. One method is ways to raise the productivity of their flexible and sustainable supply chain development in 1978, it is now used in described by Tim Brown in his Harvard innovation efforts within their company. solutions for the future. Successful cars, aircraft, boats, continental plate Business Review article in June 2008 when Converting an idea into an innovation is innovators must immerse themselves in tectonics and glaciers, and even tagged writing about Thomas Edison and the light hard work, with increased pressure on these fast-moving trends, develop empathy migrating turtles. bulb: “Thus Edison's genius lay in his technology innovators to show that new with the consumer, and ability to conceive of a fully 5. The Thing: A forerunner to RFID products not only do what's claimed, safely collaborate to create developed marketplace, not simply technology, the Thing, or Great Seal bug, and effectively, but also that they are cost- integrated supply chain a discrete device.” Edison effective relative to competing products. It solutions. was developed by physicist Léon Theremin can been seen as risky. managed to keep the fragile as a listening device for the Soviet Union. idea of the light bulb alive As well as track and manage inventory, Once somebody experiences such failure long enough that he could assets and people, RFID technology is now they are often reluctant to try it again. develop the wider proposal From innovation to world domination: Apple began taking pre-orders for the embedded in mobile phones for touch-free They might be embarrassed, feeling around it. first generation iPad in March 2010. After 80 days, 3 million had been sold. payment and loyalty programs.

16 17 INSPIRATION BEST PRACTICE FOSSIL FUEL FESCO, THE LOGISTICS ARM OF FASHION BRAND FOSSIL, IS TASKED WITH DEVELOPING MAXIMUM EFFICIENCY IN A RAPIDLY CHANGING INDUSTRY. MANAGING DIRECTOR, JOSEF OTTER, EXPLAINS HOW SWISSLOG HELPS THEM TO REMAIN A CONSUMER FAVOURITE. Josef Otter, Fossil

ow does Swisslog help your business? With a wealth of new ideas, Fossil is opening up new H but it is clear this project will be another inventory and cost optimization are the business segments in the market as well as milestone in expanding our intralogistics. logistical challenges we will be facing experiencing unusually strong growth in Get Tinspired more than ever over the coming years. the traditional watch market. Logistics is What are your goals for the business in the That is where our focus will be. The In 2006, Fossil accomplished two firsts. therefore constantly undergoing a process next 3 to 5 years? Forecasts are harder to possibilities presented by technology are After more than seventeen years of of change and optimization. Thanks to make than ever in this economic climate, virtually limitless, so using good IT transforming the very concept of many years of collaboration, Swisslog but Fossil is a strong brand. Thanks to the solutions even more intensively than in the packaging with its signature watch tins, understands our business and can support the number of fashion brands in its past will be absolutely essential for top- Fossil launched Tinspiration in June, a us with innovative ideas to expand our portfolio, Fossil has many opportunities to notch logistics. To keep on top of market design contest inviting designers from supply chain. expand its business. We expect to, and will developments and assess changes around the United States to develop continue to, grow in the double-digit What impressed you about Swisslog's accurately, on-going co-operation with a artwork for the brand's famous watch tin range. proposal? The shuttle warehouse gives us a global partner involved in many other packaging. Over 250 submissions were number of advantages, including How do you see your future operations professional offerings, including excellent (stronger IT communication and cross- business segments is extremely helpful. posted on fossil.com and after the final changing in future? Customer orientation, scalability, reliability, faster order logistics. Over the next few years we will docking in the central customer voting was tallied, a winner was Do you see any challenges within the e- speed, and precision combined with processing times and compact storage. The see an even greater shift to this sales warehouse). Even though the growth in announced in November. The designs commerce business? We expect sales shuttle from Swisslog is a balanced channel, and Fossil is very well prepared. these business segments is exciting, created by the winner and the second, through this channel will continue to compromise between system weight, collaboration with retailers will remain third and fourth place finishers were used What were the key objectives or main increase; integration through social transport weight and size, so it is excellent extremely important over the long term. in a limited edition run of Fossil watch tins challenges in your logistics operation? networks and other media (e.g. television) for our purposes. in the summer of 2007. Additional prizes Our logistics center ships to approx. Were you already a user of automation will continue to grow. That will boost How important are online sales versus were also awarded. The contest was so 30,000 individual retailers throughout systems or did you need convincing? impulse buying over the web even more. brick-and-mortar sales in your business? successful that Fossil went on to repeat Europe as well as to partners in the entire No. Together with Swisslog we installed a Availability and speed of delivery will Without a doubt, the rapid changes in our the contest the following year. In addition, EMEA region. Like all other lifestyle brands, Pick-by-Light system in the middle of the remain extremely important purchasing society have had an impact on consumer as part of its celebration of its unique tin we are witnessing a trend toward smaller last decade. This very quickly proved itself criteria. Services such as personalized buying behavior. Convenient online history, Fossil published a coffee-table order quantities that customers want in a in day-to-day operations and we received orders, custom packaging, etc. will likewise purchases that save a trip into town will book anthology showcasing hundreds of its shorter time frame. In recent years, our very positive feedback from our employees. continue to expand. most creative and unique tin designs. The continue to gain greater market share. company has seen very strong growth in Since 2008 Fossil has been working at Fossil tin has delivered a fun, irreverent Social media tools contribute more and sales through our own Fossil stores and varying levels of intensity with Swisslog on more to brand building and give customers and vintage brand message to millions of our website. In addition, we have the benefits of using a shuttle system. Josef Otter, Managing Director of Fesco consumers worldwide for over 17 years. 24/7/365 access to the merchant. Fossil’s optimized our partnerships with retail Unfortunately, the global financial crisis GmbH, Germany. younger consumer segment expects chains and implemented win-win solutions delayed the decision to invest somewhat,

18 19 INSPIRATION BEST PRACTICE FOSSIL FUEL FESCO, THE LOGISTICS ARM OF FASHION BRAND FOSSIL, IS TASKED WITH DEVELOPING MAXIMUM EFFICIENCY IN A RAPIDLY CHANGING INDUSTRY. MANAGING DIRECTOR, JOSEF OTTER, EXPLAINS HOW SWISSLOG HELPS THEM TO REMAIN A CONSUMER FAVOURITE. Josef Otter, Fossil

18 19 INSPIRATION OPINIONS THE FUTURE OF DOOR RETAIL? TO DOOR SAP, THE MARKET LEADER IN ENTERPRISE APPLICATION BRIAN WHALE, SWISSLOG SOFTWARE AND SWISSLOG SERVICE PARTNER, CONSIDERS Author, Pascal Hagedorn, SAP SENIOR LOGISTICS INNOVATIVE RETAIL SCENARIOS FROM THE FUTURE RETAIL CONSULTANT, REMEMBERS CENTER IN REGENSDORF, SWITZERLAND, PART OF THE GLOBAL THE DAYS WHEN HOME SAP CO-INNOVATION LAB (COIL). DELIVERY LOOKED VERY DIFFERENT FROM TODAY'S COMPLEX FULFILLMENT SERVICES. uzie finds virtual shoes she likes on because this gives you an indication that her friend’s social networking page. in the future customers will move across SShe buys the same shoes for her channels. profile and decides she would like them for ifty years ago my family moved to a real. During a break at work, she visits a What are the other challenges for small village where deliveries of store, tries on the shoes, buys them and retailers? Much of it relies on content Ffood and drink directly to the house gets them delivered to her home. displayed on the web, on mobile devices were the norm. These were presented at

How can SAP help retailers deliver the etc. The question we are asking now is, the back of the house, via a purpose This is just of many scenarios for the year "total shopping experience?" We bring who will create this content and who will designed window that opened outwards 2020 but is such seamless shopping really together people and technology. We are a be responsible for it? In terms of towards the arriving trader, a trader at the much trouble. In short, most of the food just seven years away? We asked one of software company at heart, one that personalization, there is also the issue of front door unthinkable at the time. and drink that a family needed was SAP’s retail experts, Pascal Hagedorn, for places great faith in innovation; delivering the right message, offer or delivered to their home at a convenient Baker, Grocer, Milk Man his predictions. coupon at the right time. We call this time, the way of life, the window at the innovation is our motivation! We try to be The baker would arrive twice a week with "precision retailing." By understanding the back door perhaps being the shopper's as futuristic as possible but also realistic. a basket of unwrapped breads and cakes Is the future really so predictable? consumer, via mobile apps, we can respond portal of the day. The goal of our Future Retail Center is to that all seemed safe to consume despite Unfortunately not but the megatrends like quickly, in real-time, to interact with them demonstrate a proof of concept in order to the lack of a wrapper. The greengrocer Disappearing Services this one are already with us. We know that bring in the right partners for the right in a way that adds value to the customer. would deliver fresh fruit and vegetables Time has seen these services disappear. technology, the environment, globalization customers. and always try to persuade you to buy Initially replaced by small supermarkets and demographic changes are all How can today's retailers prepare for and Home delivery circa 1960s (often unsuccessfully) something exotic and shops in an adjacent village, followed influential factors, not only in retail. take advantage of these trends? Today we Is home delivery affected by customers like grapes or a pomegranate. in later years by the big name chain stores down memory lane, I'll leave you with a being at work when their orders are have the potential to track the whole The weekly fizz man would bring a in a larger town nearby, resulting in the thought for the day. What will the next We look at current and future activities delivered? Home delivery is just another supply chain end-to-end, from the selection of soft drinks in glass bottles, not need for a car, or perhaps two. fifty years bring for today’s young through market research and partners to channel of meeting the demands of the customer to the manufacturer. This that many could afford it. The butcher’s This became the way of the world for generation? What will the supply chain of see what the practical implications are. For customer. Our colleagues have looked at changes the demand on logistics, and boy would deliver the Sunday roast rather many years. Now there is the Internet, food and beverages to the home look like example, everyone shops now, regardless customer activity and can predict what the retailers have to understand the need for than you having to carry it home (my first perhaps the modern day version of that old in the future, in our "I need it now" world, of gender, age, even wealth. That is a customer needs. Individualization will speed and flexibility. job by the way). The milkman would window behind the back gate, as a fifty how much will it cost, will we need a car, tremendous diversification; that's why mean some will decide to go shopping, deliver fresh milk every day, placing the year cycle sees the return of home will the carbon footprint be relevant, or retailers must offer various channels to order via TV or online; it is what best suits The Global SAP Co-Innovation Lab invites pint bottles into a recessed opening in the deliveries once again. No longer delivered will the baker once again be knocking at satisfy these needs. There are new them. For the retailer, that generates a innovators from across all industries and brick wall at the rear of the house that at the back door, but to the front of the the back door? Which would you prefer? opportunities everywhere; it is something need for flexibility and scalability. Some countries to participate in these activities. kept the milk cool. Additional produce was house; Grandma wouldn’t like that. retailers must keep in mind. call it multi-channel although “cross- For more on this and other innovation available at the local shops a short walk channel” is probably more appropriate projects, please visit: http://coil.sap.com. away. Whatever the weather a trip to the Future of food and beverages Having rambled on enough with my trip Pascal Hagedorn, Project Manager off-license (liquor store) was never too of SAP (Schweiz) AG. 20 21 INSPIRATION OPINIONS THE FUTURE OF DOOR RETAIL? TO DOOR SAP, THE MARKET LEADER IN ENTERPRISE APPLICATION BRIAN WHALE, SWISSLOG SOFTWARE AND SWISSLOG SERVICE PARTNER, CONSIDERS Author, Pascal Hagedorn, SAP SENIOR LOGISTICS INNOVATIVE RETAIL SCENARIOS FROM THE FUTURE RETAIL CONSULTANT, REMEMBERS CENTER IN REGENSDORF, SWITZERLAND, PART OF THE GLOBAL THE DAYS WHEN HOME SAP CO-INNOVATION LAB (COIL). DELIVERY LOOKED VERY DIFFERENT FROM TODAY'S COMPLEX FULFILLMENT SERVICES. uzie finds virtual shoes she likes on because this gives you an indication that her friend’s social networking page. in the future customers will move across SShe buys the same shoes for her channels. profile and decides she would like them for ifty years ago my family moved to a real. During a break at work, she visits a What are the other challenges for small village where deliveries of store, tries on the shoes, buys them and retailers? Much of it relies on content Ffood and drink directly to the house gets them delivered to her home. displayed on the web, on mobile devices were the norm. These were presented at

f all aspects of a business, the The latter is particularly important when better order accuracy, better space positive effect on both cooling and heating Acceptance among residents can be damage during the picking phase. As supply chain probably offers the looking at the carbon footprint. It accounts utilization of trucks, improved pre-sorting efficiency. increased further by optimizing through customer satisfaction increases, emissions most potential for improvement for roughly two thirds of the supply chain's and optimized distribution networks. traffic, e.g. by aligning docking operations and supply chain costs are cut wherever O Corporate Social Responsibility as far as a company's impact on the overall energy consumption. accordingly and rerouting access roads to waste is reduced. This topic will be Energy Efficiency Another area where green warehousing environment is concerned. minimize noise and other disruptions. covered in greater detail in the next In order to optimize environmental aspects Reducing a building's operating costs is a often overlaps with construction is in the issue. Supply chain-oriented environmental and save money within the infrastructure key goal. It is linked to increasing the area of corporate social responsibility Automation Benefits initiatives often focus on energy savings, and processes of a warehouse, it is efficiency of cooling, heating and (CSR). Expanding existing facilities is often Meanwhile automation creates other use of alternative energy and production important to understand how warehousing illumination. State-of-the-art insulation of a challenge for companies who have opportunities for environmentally friendly of environmentally friendly energy. and transportation are interlinked. the roof, the walls and hot water piping organically grown within or close to processes. Automated picking allows has become standard in the construction residential areas. virtually paperless operations; specially They also focus on avoiding waste, For example, it may well be economically of new warehouses and distribution designed picking systems allow semi- Building into the landscape, hiding parts of recycling and re-using materials, and and ecologically viable to increase a centers. automated disposal of consumables and the building, and choosing colors to blend appropriate disposal. The cost and warehouse's energy consumption, such as help facilitate the recycling of cardboard Checking and if necessary improving the with the environment are possible environmental impact of the supply chain for additional automation, if at the same and shrink wrap. can be attributed to two basic areas: time the energy required for the insulation of older warehouses can be an approaches to minimize the impact a new Automated processes also have a big warehousing and transportation. transportation can be reduced, e.g. due to attractive investment. Insulation has a building has on the environment. impact on order accuracy and product LEAN GREEN MACHINE.

22 23 INSPIRATION ENVIRONMENT

22 23 INSPIRATION

Swisslog Warehouse & Distribution Solutions www.swisslog.com INSIDE SWISSLOG [email protected] JOE DOERING JOINS WDS TEAM

wisslog is level, having traveled the world in different is a true leader in its field. The supply of delighted to management positions for internationally integrated solutions for logistics automation Swelcome Joe leading companies in the is very important in today’s rapidly changing Doering as the Head telecommunications and high-tech world and I am delighted to be joining a of its Warehouse & industries. As a member of Swisslog’s winning and successful team.” Joe will be Distribution Executive Committee, Joe will bring a based at Swisslog’s Headquarters in Buchs, Solutions (WDS) valuable insight into the role technology, near Zurich, while his understanding of division. Joe, 42, has software and automation play in today's regional requirements in the Americas, Asia, a strong track record in the setup and complex distribution centers and Europe, and most recently in Russia, will development of businesses as well as many warehouses. Joe said: “Swisslog is a provide a valuable asset for Swisslog’s rapidly years of leadership experience at executive fantastic organization, and the WDS division expanding businesses. SALES BOOST INCREASED GROUP SALES AND OPERATING PROFIT

n March, Swisslog presented a by 33.3% (–40.5% in constant currencies) in terms of margins is better than in the satisfactory overall result for the 2012 to MCHF 7.8. The Warehouse & Distribution previous year. The Healthcare Solutions Ifiscal year. Based on a higher order Solutions division (WDS) won three major division (HCS) experienced a particularly backlog in relative terms at the end of 2011, orders (projects with order volumes larger positive development, with increased net net sales showed a substantial increase, than MCHF 20) in the 2012 fiscal year, and sales, EBIT, order intake and order backlog. climbing to MCHF 652.0 (+13.4%, or its net sales increased by 17.2% (+15.5% in In the growing markets of Asia, HCS +10.8% in constant currencies). These constant currencies) totaling MCHF 432.7. acquired its largest order ever. Swisslog will higher net sales led to a rise in earnings On the other hand, the division’s order install a total of five PillPick systems in before interest and taxes (EBIT), which intake fell to MCHF 388.5 (–18.6%, or Singapore’s largest group of hospitals. increased to MCHF 25.6 (+33.3%, or –20.1% in constant currencies). The PillPick is a fully automated system that is +23.4% in constant currencies). The EBIT division’s order backlog, which came in at used in hospital pharmacies to pack, store margin also increased from 3.3% to 3.9% as MCHF 324.1 (–11.4%, or –11.7% in constant and dispense drugs in single doses. a result. However, one-time restructuring currencies), is lower that it was the year expenses took their toll on net profit; it fell prior, while the quality of the order backlog

TEXAS INSTRUMENTS // DEEP FREEZE // SAP // FOOD NEXT ISSUE & BEVERAGE // COMPETEC

Visit www.swisslog.com/inspiration for all our latest news... New Technology launched: Hybrid AGV & AGV Pick // New solution designs for e-commerce // Organizational changes // Upcoming events // Major new orders