CHEM NUT

1
VOICE DIRECTED PARTNERING IN DISTRIBUTION
EXCELLENCE
2
FIVE MOST IMPORTANT FACTORS

• Why HAL Systems
• Technology
• Interfaces
• Product functionality
• ROI

3
HAL SYSTEMS

• In business since 1983
• Dedicated to mid-size manufacturers and
  distributors.
• Provide total software solutions, including
• Distribution Software
• Customization
• Training
• Implementation
• Ongoing Support

4
HAL SYSTEMS CLIENTS

• Auto Parts Distributors
• Medical Lab Supplies
• Janitorial Supplies
• Apparel Distributors
• Agricultural Supplies

• Meat Processors
• Packaged Foods Manufacturer
• Dairies
• Oil Refinery Distributor
• Vitamin Distributor

5

• The most flexible platform.
• Thoroughbred runs on over 100 hardware/operating
  system combinations
• There are over 300,000 installations in over 40
  countries
• Source code available
• Data Base Independence (SQL, Oracle,
  Thoroughbred)

6
DISTRIBUTION-EXPRESS
SOLUTION-IV ACCOUNTING
WMS
DISTRIBUTION-EXPRESS
SOLUTION-IV ORDER PROCESSING CREDIT CARD
APPROVAL
SHIPPING SYSTEM
Available as an Integrated Suite or as Individual
Applications
7
WMS HIGHLIGHTS

• Real-time inventory availability
• 20-35 reduction in material handling effort
• 99.99 Inventory accuracy
• Compliance Labeling
• Maximize Space

8
SAMPLE REPORT -OPERATOR PRODUCTIVITY
9
BARNETT PERFORMANCE PARTS

• 50,000 SKUs
• Transmissions to mufflers to gaskets
• 99.99 inventory accuracy
• 1 shipping error in 4 years versus multiple
  errors per day.
• Grew business 25 in 2.5 years with 1/3 less
  people
• Eliminated shrinkage - internal and carrier
• 4 PM cutoff for 5 PM pickup
• Maximized available space
• Three-minute order

10
ANNS HOUSE OF NUTS

• 1 - 2 Cases off on inventory counts out of
  thousands in stock!
• 90 less shipping errors
• 60-70 less time for physical inventory
• No indirect labor additions in three years
  business volume doubled!
• 2 hour recalls

11
UPSTATE FARMS

• Ship 10 tractor trailer loads of product a day
• Inventory accuracy improved 15
• Month-end reconciliation takes 2 hours now vs. 2
  days.
• Physical Inventory is faster and Anybody can do
  it
• Transaction history shows proper product shipped
  when customers question expiration dates.

12
WMS OVERVIEW

• Flexibility
• Functionality
• RF Equipment
• Payback
• Implementation
• Support

13
WMS FLEXIBILITY

• Originally designed to be open software
• Company-level parameters
• Example Level of pick verification
• Operator-level parameters
• Example Can do a complete contents move
• Example Can ship incomplete order

14
WMS FUNCTIONS

• Event Notification
• Staging/Shipping
• Compliance Labeling
• Truck Route Stop Processing
• Cycle Counts/Physical Inventory
• Labor Reporting

• Receiving
• Cross Docking
• Quality Control
• Putaway
• Picking
• Inventory Management
• Replenishment
• RFID

15
Storage
Purchase Order
Sales Order
Receiving
200 cases
Loc L1
30 cases
Loc RDOCK
TRADITIONAL MATERIAL FLOW
Pick
Ship
50 cases
50 cases
Loc FL2
LocS1
Quantity Shipped
16
Production Order
Storage
Purchase Order
Receiving
Production
RM 1 Lot A 90 lb
RM 1 Lot A 10 lb
Loc L1
RM 1 Lot A 100 lb
RM 1 Lot A 10 lb
TRADITIONAL MATERIAL FLOW
Loc PR1
Loc RDOCK
Production Certification
Production
Ship
Sales Order
Storage
Pick
FG 1 Lot 123 15 lb
FG 1 Lot 123 15 lb
Loc PR1
LocS1
FG 1 Lot 123 15 lb
FG 1 Lot 123 15 lb
Packing List/Manifest
Loc L2
Loc P1
17
PROVEN INTERFACE METHODOLOGIES

• Flat file
• Automated attendant
• Common Data Base
• Open Data Base ODBC Compliant

18
OPERATOR SIGN-IN

• Tailored screen
• Inherent Multi-Lingual
• All transactions or moves are date and time
  stamped
• Research
• Corrective action
• Reporting

19
(No Transcript)
20
(No Transcript)
21
RECEIVING

• Scan all incoming items at dock
• Catch any product labeling problems early in the
  cycle.
• Receive real time data inventory immediately
  available.
• Transmit back quantity actually received
• Cross Docking option

22
QUALITY CONTROL

• Can identify items requiring QC
• Can control who does QC
• Can restrict movement of QC items Quarantine in
  place.
• Objective Quick turnaround from dock area

23
PUTAWAY

• Dedicated, random or hybrid
• Location selection WMS or Operator
• Put confirmation

24
INVENTORY MANAGEMENT

• Lot serial tracking
• Shelf life expiration date (FIFO LIFO
  control)
• ID special needs products

25
REPLENISHMENT

• Forward pick locations
• Floating forward pick
• Demand replenishment
• Batch replenishment

26
PICKING

• Order or Batch
• RF Picking
• Voice Direction
• Pick Confirmation

27
PICKING THE ORDER OPTIONS

• Prioritization of orders
• Paperless or with bar-coded label
• Cluster picking or multiple pickers

28
PICKING THE ORDER EXAMPLE

• WMS directs the picker through warehouse.
• Scans to verify
• Location
• Product (item, case, or pallet)
• Repeat

29
Simply Fashions Pick Report
Note operator RP3 who had 2719 picks completed
in approximately 7.5 hours or 362 picks per hour
or 6 per minute
30
WMS SOFTWARE DEMO
31
What is Voice Directed

• Uses voice commands
• What commands
• Whos voice
• Direction
• To its location
• To the item
• Confirmation
• Confirm the item
• Confirm the new location

32
ARE YOU LISTENING?

• Here is why you should be listening to VOICE
  DIRECTED WMS
• Proven technology
• Boost productivity
• Increase accuracy
• Improve safety
• Quick to train
• Easy to learn

33
Important criteria for selecting
VOICE DIRECTED

• The Technology involved
• Implementation
• Product functionality

34
TECHNOLOGY

• Head Set
• Bluetooth technology
• Ring Scanner
• Laser
• Wireless Computer
• CE device
• Wi-Fi Technology
• Terminal emulation software
• Real time to the WMS
• Real time to the Host

35
Technology

• Operator wears
• Headset
• Mobile wireless computer attached to their belt
• Software converts picking instructions contained
  within the WMS to Voice Commands
• Ring Scanner for confirmation

36
TechnologyThe Head Set

• Allows the operator to hear the WMS commands
• Uses wireless Bluetooth technology

37
TechnologyThe Ring Scanner

• Scans a barcode
• Which confirms that the item or the location is
  correct
• That the voice command was accurately understood

38
Hands Free

• Use both hands for
• For picking
• For carrying
• Not juggling scanners
• Not punching buttons
• No papers and pencils

39
Safety

• While moving around the facility
• Eyes are focused on warehouse environment.
• While driving a forklift
• While walking
• Not distracted by equipment
• Not distracted by paper/pencils

40
Technology

• Hold up well in
• Adverse conditions such as refrigerated
  environments
• Socket CRS 9P. Performance ... Storage
  Temperature. -40 to 158 F (-40 to 70 C.)

41
Voice is also Compatible

• With Handheld laser scanners
• With RFID technology

42
TRUCK PROCESSING

• WMS does route manifesting route planning
• All calculations are done before picking order
• Weight and cubing calculated
• Eliminates need for staging orders

43
TRUCK INVENTORY

• Tracker treats each truck as a mini-warehouse.
• Scan all product put on truck.
• Scan all items delivered.
• Download scanner at end of run.
• Starting inventory Deliveries Remaining truck
  inventory.

44
CYCLE COUNTS

• Host system or WMS generated
• Based on
• Location ranges
• Select items
• Pre-defined cycles
• Ad hoc cycles
• Real Time Update

45
RFID

• Same WMS Software
• Required Hardware
• Transponders
• Scanners with RFID readers
• Antennas
• Dual Scanners

46
RFID CHALLENGES

• Transponder cost
• Just established Generation 2 standard protocol.
• Physical challenges metal containers, acidic
  liquids, and mixed pallets.
• Accuracy level at high-speed product movement.
• Ability to focus the RFID reader for only the
  desired tag reads.

47
WMS REPORTING

• Over 20 Standard Reports
• Operator productivity
• Open Data Base
• Excel
• Crystal Reports
• Other Desktop tools

48
EVENT NOTIFICATION

• Automatic Triggers
• Damaged Product
• Special Order
• Critical Inventory Level
• Order shipped
• Instant communication

49
RF EQUIPMENT

• Real time updates
• We ensure 100 site coverage
• We help you select the right devices
• WMS is scanner printer independent
• Experienced with Symbol, LXE, HHP, Intermec,
  Zebra, and Datamax

50
The Edge

• The WOW Factor
• this can give a company the edge when potential
  clients are deciding which provider to select
• Current Technologies
• Accuracy
• Accountability
• Reliability

51
HAL ROI MODEL

• Projected Benefits
• Estimated Costs
• We complete the model with you

52
FAST PAYBACK

• Typical payback period is 10-14 months.
• It is not uncommon to see ROI in less than 1
  year.
• Chem Nut CFO, Keith Thomas
• The Tracker warehouse management system has paid
  for itself in the first 6 months by reducing
  inventory shrinkage alone.

53
RAPID IMPLEMENTATION

• Finalization of design
• Planning session
• Order RF Equipment
• Software installation
• IT Training
• Hardware Installation
• Testing
• User Training
• Implementation

As fast as 3-4 Months
54
TRAINING

• On Site
• Train the trainer option
• Initially in group, then 1-on-1 mentoring
• 15 minutes-to-picking

55
SUPPORT

• 24-hours, 7 days-a-week.
• Major annual update
• Enhancements

56
PICTURE YOUR WAREHOUSE WITH

• Real Time Inventory Updates
• No unproductive travel time
• 99.99 Inventory accuracy
• Filling more orders with less people
• No shipping errors
• Maximizing space

57
QUESTIONS?
58
NEXT STEPS

• ROI for project approval
• -or-
• Personal Demo
• -or-
• On-site Client Visit