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  • Why the Best Material Handling Solutions Begin with the Right Questions

    Why the Best Material Handling Solutions Begin with the Right Questions

    The on-demand expectations of customers are increasing every day, and fulfillment warehouse operators feel this pressure more than anyone. So, when it’s time to update your systems, it can be tempting to “just get a quote” and move your project forward. But good material handling design requires time and careful planning. There really are no “instant solutions.”

    To implement the most impactful fulfillment automation technology for your operation, a vendor first needs to establish a basic understanding of your business, and a detailed understanding of how orders flow through your warehouse, in a step-by-step fashion. It necessitates asking the right questions and uncovering hidden challenges. Vendors who skip these steps and jump straight to pricing often leave critical details unaddressed, leading to unnecessary change orders, unexpected expenses, and operational headaches – and often can experience huge financial losses to their business as a result.

    At StreamTech, we opt for a more thoughtful intake approach that sets everyone up for smoother implementation and better long-term success.

    The Value of Thorough Application Engineering Before the Proposal

    In the same way highways and freeways are meticulously designed to get us from point A to point B, road development plans are not approved before and extremely thorough assessment process. The same is true for fulfillment automation: The path from raw goods to the end customer depends on a system designed to move items efficiently, but building that system requires careful consideration.

    Material handling is inherently complex. It involves many variables, from the size and weight of packages to the layout of the facility, the volume of orders, the data exchange within the software stack, among others. By taking the time to collect comprehensive data upfront, automation technology vendors can design systems that align perfectly with your operation’s needs. This ensures not only a smoother implementation process but also better long-term outcomes. Vendors who don’t ask the right questions upfront and jump straight to pricing often wind up with unnecessary change orders and expenses, leaving customers to deal with the fallout.

    Questions Every Warehouse Automation Systems Vendor Should Be Asking

    When evaluating warehouse automation systems and comparing proposals from different vendors, it’s important to know that you’re comparing apples to apples. At first glance, one proposal might appear less expensive than another…but a closer look often reveals gaps in the information collected by the vendor. If the vendor hasn’t taken the time to understand your operation in detail, their proposal may be missing key components. While this might make their pricing look attractive upfront, those gaps will likely lead to expensive change orders later when unforeseen needs arise during the implementation process.

    Some of the items that vendors may not include in their proposal may shock you: installation, commissioning, on-site training, even controls and software, support and warranty, to name a few.

    The vendors asking the right questions aren’t just providing accurate pricing; they’re laying the groundwork for a solution that will perform reliably and efficiently from day one. Here are some of the essential questions every vendor should be asking to design a system that works for your unique operation:

    • What are your smallest and largest box sizes?
    • Do you handle boxes, bags, flats, padded mailers, or a combination?
    • What is your average daily volume, and how does that fluctuate during peak seasons?
    • How long is your workday, and does your operation run in shifts?
    • What’s the difference between a typical day and a peak-volume day?
    • How many pack stations are currently in use?
    • Where are your LPN barcodes located—left, right, top, bottom, or multiple sides?
    • Are any items unusually long, heavy, or difficult to handle?
    • Are flat items being handled, and do photoeyes need to be positioned differently to detect them?
    • What type of WCS (warehouse control system) connection will be required?
    • How long does it take to pick an order, and how many people are involved?
    • How many lines are typically in each order?
    • How many SKUs are in your inventory, and what percentage are high movers?

    These final few questions are just as vital to system design. Knowing your pick rates helps right-size equipment and avoid bottlenecks or overspending. Your average lines per order determines the complexity of picking logic and cartonization. Understanding your SKU mix and fast movers ensures the system can prioritize efficiency, especially during peak demand. And your WCS requirements impact everything from scan logic to labeling to system visibility—miss this step and even the best equipment won’t deliver. 

    The Cost of Cutting Corners in Application Engineering Prep Work

    Rushing through the initial design process or missing critical details can lead to major consequences, both operational and financial. Some examples:

    Oddballs and Outliers. Let’s start with the matter of outlier items. A system designed to handle 90% of your orders efficiently may struggle with the remaining 10% if those items are unusually large, heavy, or oddly shaped. Addressing these exceptions requires a thoughtful approach—one that balances the need for efficiency with the flexibility to manage unique challenges. Skipping this step can lead to a system that’s either overengineered and inefficient or underprepared and prone to failure.

    Barcode Placement. Barcode placement is another common area where oversights occur. Imagine receiving a system designed to read barcodes on one side of a box, only to find out during installation that your boxes have barcodes on multiple sides. Suddenly, you’re faced with the need for additional scanners and the associated expenses. These types of surprises can disrupt timelines, inflate budgets, and create headaches for all stakeholders.

    Good Material Handling Practices. Even seemingly minor details, like the gapping of items on a conveyor, can become significant challenges. When items are placed too close together, it can interfere with essential processes like weighing, dimensioning, or labeling. To address this, systems must include conveyors that create gaps between items, a step that requires careful planning and precise engineering. Without this consideration, the entire system’s efficiency can be compromised, leading to delays and reduced throughput.

    Product Packaging Profile. Finally, product packaging can also present challenges that are easy to overlook. Bagged items, for example, can be difficult to convey, label, or sort due to their irregular shapes. Whether it’s a basketball in a polybag rolling unpredictably or a pill bottle shifting within its packaging, these issues must be addressed during the design phase. Failure to do so can result in jams, labeling errors, or damaged products.

    Real Results: When SteamTech’s Process Pays Off

    At SteamTech, the upfront work we do is what sets our solutions apart. By taking the time to ask the right questions and understand the intricacies of your operation before finalizing your proposal, we can better ensure that your system is designed to meet your needs today and adapt to your challenges tomorrow, all while staying within budget and on schedule. After all, the success of any material handling system depends on the foundation laid during the design phase. Take these StreamTech client success stories for example:

    • World Wide Technology: To improve their outbound shipping process for high-value electronics, we delivered a SLAM system that accommodates a wide range of package sizes and labels while reducing errors.
    • DCL Logistics: For this 3PL, we created an adaptive system capable of scaling during peak demand periods, enhancing their ability to support high-growth eCommerce brands.

    How We Turn Discovery Into a Deliverable You Can Trust

    When it’s time to start the conversation, remember we aren’t just pricing machines. We’re designing processes tailored to your business. This takes time. Depending on complexity, our sales and application engineering process may take weeks or months and involves:

    1. Initial calls or virtual meetings to gather information.
    2. Requests for photos, videos, and layout drawings.
    3. Iterative virtual meetings to refine the concept.
    4. Site visits to finalize details.
    5. Delivery of a fully engineered proposal.

    Our thorough process ensures that when your system is installed, it works seamlessly. And if adjustments are needed, we take responsibility for making it right. By contrast, rushing this process can lead to unexpected challenges that may be difficult or costly to resolve later. Taking the time upfront allows us to deliver a solution you can trust, minimizing risk and setting your business up for success.

    Hoping to get it right the first time? Let’s talk.

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  • Use Warehouse Automation to Reduce Shipping Errors And Associated Costs

    Use Warehouse Automation to Reduce Shipping Errors And Associated Costs

    Common Shipping Errors: Problems & Solutions

    As consumers continue to increase their online shopping habits, some going so far as to prefer it to retail shopping, it’s becoming more important than ever to have efficient shipping processes in place. Unfortunately, manual shipping processes lead to common shipping errors and increased costs due to human errors. 

    Fortunately,  fulfillment automation offers a wide range of solutions to these challenges, assisting e-commerce businesses that want to streamline their shipping processes.

    In this article, we’ll explore how businesses can use our shipping automation to optimize their processes to reduce shipping errors and associated costs.   

    Rate Shopping by Dimweight

    According to a study of online retailers, 65% said that failed or late deliveries are a significant cost to their business. 

    Problem

    Improperly priced and processed packages can harm a business’s bottom line by increasing expenses and potentially causing delivery delays. Inaccurately assessing the appropriate carrier information (such as weight and dimension)  for a package can result in returned mail or back charges due, resulting in extra fees that accumulate rapidly, especially for large-scale shipping. Under-estimating weight or dimensions costs money in back charges from the carrier, and over-estimating them means you’re paying more than you need to.

    As an example, say a business ships by weight and forgets to consider the dimensions of a package. For the purposes of the example, let’s say they sell custom body pillows. These products don’t weigh much, but they’re also quite long. Despite calculating the weight, carriers now charge by dimweight, dimensional weight, also known as volumetric weight.

    In April 2022, the United States Postal Service introduced the USPS Nonstandard and Dimensional Non-Compliance fees to crack down on merchants who don’t put correct postage and those who ship parcels whose dimensional size affects their ability to ship as many parcels as possible. This change comes well after the 2015 changes UPS and FedEx made to recoup lost revenue.

    If a package’s dimensions are not provided, you will be charged a fee of $1.50. If the dimensions are incorrect, it is a fee of 25 cents. Other carriers implement similar charges. While these charges may seem minimal, they can add up quickly if you ship out multiple orders.

    To demonstrate how quickly these tiny charges can add up, say you ship out 7,000 packages per hour or 150,000 daily. If half of those packages incur carrier back charges and fees of $1.50, the total fee cost alone adds up to $112,500. Therefore, accuracy and dimweight are critically important. 

    Additionally, inadequate postage can lead to delays that can damage a company’s reputation and decrease customer satisfaction. Late or undelivered packages can result in missed opportunities, lost sales, and unsatisfied customers. In fact, according to PwC, in the United States, 17% of consumers will stop purchasing from a brand or company after one bad experience, and 59% will stop after several bad experiences. 

    Solution

    Weight, dimensions, and accurate carrier and recipient information are required for a completely successful shipment. Relying on a person to manually weigh and measure the dimensions of each package will result in human error, which leads to carrier chargebacks. Additionally, some traditional dimensioning systems may not be capable of measuring irregularly shaped packages.  

    If this is your first foray into automating your warehouse or shipping center, considering an all-in-one scan, weigh, dimension, print, and apply shipping system is an easy way to reduce shipping errors due to incorrect postage. 

    These systems are often referred to as SLAM systems (Scan Label Apply Manifest), a term that was initially championed by Amazon during their push toward automating their fulfillment centers.  SLAM systems are highly accurate, using scanners, order ID barcodes, and cameras with verification parity checking at every stage of the process. Orders only ship when the carrier label and LPN (License Plate Number, a unique order ID) information match, ensuring nearly 100% accuracy.  This level of accuracy is actually of paramount importance for the automation to even run successfully.  

    SLAM systems such as StreamTech’s Sprinter™ calculate weight and dimension measurements simultaneously and with nearly 100% accuracy.  Weight is captured along a conveyor scale. For dimensions, there are a few methods. Many dimensioners use LiDAR sensors and 3D imaging technology to capture a package’s length, width, and height.  Others can capture dimensions using a light curtain that can be effective at calculating dimensions for longer packages. After aggregating the dimension and weight data, the system interfaces with your Warehouse Management System (WMS) or multi-carrier system to ensure the measurements correspond with the order, calculate carrier shipping costs based on the measurements, and print the postage label. Not only does this prevent accuracy errors, and help with label compliance, but it also improves efficiency. 

    Order Accuracy Verification

    When a customer receives the wrong item, it is commonly due to an error in the picking stage. This could be due to two similar-looking items or an incorrectly stocked item.

    23% of e-commerce returns are due to customers receiving the wrong item.

    Problem

    When a customer receives an item that differs from what they ordered or an incorrect quantity of items, it is a serious expense for your business. First, there is any possible fallout of the customer’s negative experience; this can be a negative review, the loss of future business, or, worse, both. 

    To protect your reputation, you may let the customer keep the incorrect item free of charge. This means you still need to pay for the replacement stock of the item you accidentally shipped out. This already affects your profit margin on this order. You also have to ensure the customer receives the correct item or number of items. 

    When you send the correct item or additional items to the customer, this incurs more operational costs. The entire pick, pack, and ship process starts over from scratch. This means you have to pay for the labor and materials it takes to ship the item, and chances are you’ll have to spend more on shipping costs to expedite it and keep the customer happy. 

    Not only that, but you also have to pay for restocking any items you incorrectly shipped out to ensure you have proper inventory levels – and double-check the quality of the returned item to avoid repeating the process if a damaged product is shipped to the next customer.  For all of the above reasons, many retailers and 3PLs have opted to skip this process altogether and let customers keep incorrect items.

    Solution

    StreamTech offers a variety of different picking automation solutions to avoid mispicks and improve accuracy, all driven by the StreamTech WCS software. 

    One option to reduce shipping errors due to incorrect products or quantity of products is a pick-to-light system, which aids in manual picking by guiding employees to the proper aisle, SKU, and bin location, and helps them associate the proper items and quantities to the order they belong to. With this type of system, lights, colors, mini displays, and tablets can be used, and each pick is confirmed by the press of a button and can be verified throughout each step by the scan of any number of barcodes (either on the cart, aisle, bin, SKU, or order).

    Other options may include voice-based or robotic-assisted picking, using a hybrid of these options to reduce human walking travel. 

    All of these systems are designed to improve picking accuracy and increase the speed at which your employees pick. 

    As a second quality assurance step, some warehouse operators employ a checkweigher, which can serve the dual purpose of capturing necessary weight data of each order, as well as verifying weight against a predetermined calculation of the order (this works if weights are already well documented for all SKUs in the WMS). During the picking and packing process, a checkweigher integrates with Warehouse Control System (WCS) software; as a package is weighed, the weight is sent to the WCS software to ensure it is within the acceptable range listed for each item in the order. If the package is too light or heavy, the checkweigher will alert you. 

    Using a checkweigher eliminates the risk of human error while increasing order accuracy, which in turn increases customer satisfaction. 

    Packaging Issues

    When a customer receives a damaged product, it can have serious implications on your business. In fact, 20% of e-commerce returns are due to damaged products. 

    Problem

    Improper packaging is one of the leading causes of customers receiving damaged products, which is costly for many businesses. Damaged products result in customer complaints and negative reviews, the potential loss of a repeating customer, as well as the costs to replace the product and ship it back out. 

    There are many reasons inadequate packaging can lead to a customer receiving a damaged product, including:

    • Improper Dunnage (void fill): If the items are improperly protected, the order could arrive damaged. In many cases, adding dunnage is a very manual process with guesswork. Operators visually determine what looks right and tear off some dunnage.  Sometimes operators may overfill and sometimes underfill.  There are ways to automate void detection using sensors that dispense the appropriate amount each time.
    • Poorly Constructed Packaging: Constructing RSCs by hand will result in human errors in sealing or assembling the flaps correctly. A wide range of carton erecting systems are available that will build trays (then lids) or custom-sized RSCs specifically designed for the items inside each order, with consistent results.  
    • Poorly Sealed Boxes: In the event that the flaps are sealed poorly, the box can pop open, and contents can spill out. In some cases, if a box is sealed poorly, the automated shipping label process can “seal” the box temporarily enough just to get through the automation, only for the contents to be lost later.  StreamTech has employed a box closure technology to address this QA/QC issue prior to labeling for this exact reason.
    • Improper Carton Selection: Many WMS software systems have what is called cartonization software built into them, which is the process by which the pickers know which carton is the best one to fit all the items in the order safely, efficiently, and for the best shipping rate. Poor carton selection can result in an excess void or overly dense containers that cannot support the items inside.    

    Solution

    If employees are manually packaging products, it will inevitably introduce human error into the process. Additionally, if you already rely on fulfillment automation, the integrity of the box is vital to the success of your automated processes. 

    A variety of solutions can be employed to reduce shipping errors caused by packaging issues. In the case of a manually-constructed RSC, there are semi-automatic tapers and box erecting systems that can hold down and seal the bottom flaps while orders are packed and then allow the operator to push the box through to seal the top flaps. If the volume is higher and the ROI is justifiable, a wide range of on-demand carton erecting systems can be added to ensure a consistent, right-sized carton every time.  

    In fact, a carton erector can be a fantastic addition to end-of-line automation, as it provides a high level of assurance for the package’s integrity. For example, if you’re using a SLAM system, the box needs to be properly closed. Otherwise, it can lead to issues with the print-apply and dimensioning systems. In other words, the shipping label won’t properly adhere to the package, or the dimensional measurements will be incorrect. A package unable to be delivered for a missing label or incorrect dimensions results in hefty chargebacks from your carrier and a dissatisfied customer. 

    Additionally, a package that isn’t properly sealed can even result in damage to your labeling system, which is expensive to repair. It can also result in damage to the customer’s product inside.

    In the case of poorly closed or assembled boxes, StreamTech can provide a package inspection system that acts as a QA/QC to ensure the box is constructed properly. This system can be incorporated directly after a box erector or a manual pack station, just before inducting packages into our Sprinter™ SLAM shipping system, which then dimensions, weighs, prints and applies shipping labels, verifies the process, and then can control sortation.   

    Wrong Address

    Incorrect or incomplete addresses cause 74% of failed deliveries.

    Problem

    Incorrect shipping addresses can impact businesses, increasing costs and customer dissatisfaction. When products are shipped to the wrong address, a business may incur additional shipping fees and labor costs to reship the product to the correct address or deal with the fallout of the customer not receiving their order. These costs can quickly add up and impact the bottom line. Moreover, incorrect shipping addresses can delay delivery, leading to negative customer reviews and harming the business’ reputation. 

    Solution

    Automating your shipping using StreamTech’s Sprinter™ Shipping Station is a simple way to reduce shipping errors due to wrong addresses because it has a deep connection to your order database and it has verification built-in. 

    The Sprinter relies on a tight connection to your TMS (Transportation Management System) software, or multi-carrier software. This connection allows us to gather the data of the package, transmit that data, and receive the shipping label associated with that order. The system scans the LPN or identification barcode at the beginning of the process, records dimensions and weights, and then applies the shipping label it receives from your TMS. After applying that label, there is a verification scan that takes place, along with a parity check.

    During the parity check, the WCS ensures that the shipping label is correct and that it matches the order associated with the LPN that it’s supposed to.  

    By leveraging our Sprinter™ Shipping Station, businesses can improve shipping accuracy and efficiency while minimizing the impact incorrect addresses have on their bottom line. 

    Conclusion

    Implementing fulfillment automation is a simple and effective way to reduce shipping errors and their costly consequences. 

    If you’re ready for automation, contact us today.

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  • What Is A Material Handling Systems Integrator, And Why Should I Use One?

    What Is A Material Handling Systems Integrator, And Why Should I Use One?

    What:

    • Connects a variety of different technologies together, from different manufacturers
    • Integrates the technologies to work cohesively, intelligently, and safely

    Why:

    • No equipment manufacturer can provide everything you need – they specialize
    • Integrators have a broad, unbiased expertise across a wide range of technologies
    • We’ve written software that makes your system smarter
    • You don’t have to do it alone – we’ve seen some things and can offer helpful advice and ideas to make your automation smarter
    • Keep pace with changing technology and growing customer demands

    Fulfillment Automation Integrators Are Material Handling Technology Experts

    Are you looking at updating your distribution warehouse to improve material flow and increase productivity? If so, there is a wide range of technologies to explore, and once you begin to get an understanding of the types of systems you have a need for, you should then reach out to a systems integrator to help.

    Why? Designing a successful material handling system requires the integration of a wide range of specialized technologies, from a number of different manufacturers. Scales, dimensioners, scanners, conveyors, control panels, photo-eyes, printer applicators, diverters, lights, alarms, sensors, robots, vertical lift modules, case erectors, baggers, tapers, palletizers, document inserters, and software – all these technologies have to work together in concert to create a successful fulfillment automation integrator system.

    Each of these technologies is developed by companies that are highly specialized in each of their own areas of expertise, to develop the best products in their category. There is no manufacturer who makes every device necessary for your warehouse, and none that will connect them all.

    A Material Handling Systems Integrator Is Able To Provide Unbiased Advice On What Technologies Are Best Suited For Your Business’s Challenges, Goals, And Product Details

    The role of a material handling systems integrator is to manage the design, equipment, and installation of a cohesive material handling automation system. A systems integrator consults with clients to understand their facilities and business needs and designs a system with a wide variety of interconnected, specialized technologies that meet those needs.

    The systems integrator will design and implement a customized solution based on your specific requirements, to meet your goals. They’ll recommend trustworthy brands and equipment that works well with others, and will efficiently process the types of items your warehouse handles.

    You’ll Need Warehouse Control System (WCS) Software To Interface With The Hardware, And The Best Integrators Have Developed Their Own

    An effective material handling system requires communication on both a hardware and software level as well. Today’s warehouses run on a software to manage things like inventory, orders, transportation, receiving, replenishment, manifesting, sortation, and more. Understanding how the equipment will send and receive data between all of these software tools is critical.

    The best fulfillment automation integrators have developed their own in-house software to manage these connections between hardware and software. This is called the Warehouse Control System (WCS) software. It should be able to handle the hardware handshakes between equipment such as conveyors, scanners, scales, printers, and control panels, and should also be able to communicate with the ERP, WMS, multi-carrier, and other software platforms.

    A computer showing data for an automated healthcare fulfillment system

    A Warehouse Control System (WCS) is a real-time, integrated control solution that manages the flow of items through the warehouse. They act as a traffic regulator for warehousing activities, with the mission of running material handling systems (and in some instances, the activities of workers). A good WCS system provides a broad, yet consistent interface for material handling systems like conveyors, carousels, palletizers, sorters, etc.

    Key WCS Functions:

    • WCS manages the operations of many types of material-handling equipment
    • WCS exchanges real-time communication of information
    • WCS can synchronize the operation of automated systems, labor, and material
    • WCS unifies the interface and control of automated equipment
    • WCS focuses on one warehouse at a time

    Material Handling Systems Integrators Help Avoid Common Pitfalls And Recommend Best Practices.

    With experience developing material handling solutions for a wide range of industries including eCommerce fulfillment, manufacturing, retail distribution centers, third-party logistics providers (3PLs), and more, a material handling systems integrator will work with you to develop the best solution for your specific business needs.

    The systems integrator plays a key role as the link between different technologies, the warehouse operator’s goals, and material details. Getting any piece of this equation wrong would likely produce a worse result than before.

    Keep Pace With Ongoing Technological Changes With Integrated Warehouse Systems

    Technology changes, business requirements change, and the expectations of the warehouse will change over time, and integrators help companies keep their systems relevant. Integrators also help companies make better use of their space by identifying opportunities for automation, or performance-based solutions as they become available. Integrators are often involved with implementing new warehouse management software and technologies that can be used to reduce costs while improving service levels to customers.

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  • Transition From Manual Sortation to Automated Sortation

    Transition From Manual Sortation to Automated Sortation

    The Problem:

    Not having automated sortation typically leaves you with two options:

    1. Limit shipments to a single carrier (which prevents the need for sortation)
    2. Invest in many people resources to take care of manual sortation.

    Limiting shipments to one carrier will limit your shipping options, and therefore any cost savings associated with rate shopping. However, hiring too many resources to take care of manual sortation costs money and in some cases will wash out the savings from using a multi-carrier. In the end, manual sortation limits your ability to save costs on shipping which makes automation the optimal solution.

    Our Solution:

    At StreamTech, we offer many different automated sortation solutions for different product types, different volumes, and different sortation rules. The product types that we can sort include boxes, padded mailers, irregular objects, and even flat objects. The volumes range from as low as 15 packages per minute up to 120 packages per minute. The number of lanes has no minimum or maximum limit – and the sortation rules are modular. This means a customer can develop as few or as many sort codes as they please.

    Our warehouse control software package allows the customer to program their sort codes into the software and then distribute them to whichever lanes are appropriate. Lanes can have more than one sort code in one lane, but also one sort code can be placed into multiple lanes. Our software will automatically send packages to a second lane if the lane fills up by package count or by a physical sensor. This gives the operator an easy-to-manage time frame to switch out a full bin.

    (Example StreamTech WCS Sortation Screen, Installations)

    Every sorter also comes with a reject lane, also sometimes called a “jackpot” or “hospital” lane. This is necessary so the sorter has a place to send packages that are not ready to ship. This can happen if the wrong label is on the package, if the package does not have a label, or if the barcode scanner simply could not read the label. It is our goal that this reject percentage is less than 1% of total production. These parcels can be manually assessed and sorted, or they can be brought back around and run a second time through the sorter to give the automation another opportunity.

    A new available option that strengthens the accuracy of the sorter is open lid detection. We offer an open package detection system that can flag open packages and either stop them in their place or sort them to the reject lane. Open package detection is important because an open package that properly sorts will lead to a customer not receiving their order. However, your WMS will have it listed as shipped because it successfully sorted, but the package contents will have been dumped out and the carrier will not deliver it. This leads to an unhappy customer, and can be avoided with technology.

    Learn more about StreamTech’s sortation technologies, or get in touch with us today to discuss your project.

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