SCT: Sept 2010

Supply Chain Today September 2010 1

2 Supply Chain Today September 2010

Supply Chain Today September 2010 �

September 2010

Contents

Proprietor and Publisher:PROMECH PUBLISHINGTel: (011) 781-1401Fax: (011) 781-1403E-mail: [email protected]@promech.co.za Website: www.promech.co.zaManaging Editor:Susan Custers

Advertising Sales:Lelanie Lane

DTP: Zinobia Docrat and Sean Bacher

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The monthly circulation is 4 025 CopyrightAll rights reserved. No editorial matter published in Supply Chain Today may be reproduced in any form or language without written permission of the publishers. While every effort is made to ensure accurate reproduction, the editor, authors, publish-ers and their employees or agents shall not be responsible or in any way liable for any errors, omissions or inaccuracies in the publication, whether arising from negligence or otherwise or for any consequences arising therefrom. The inclusion or exclusion of any product does not mean that the publisher or editorial board advocates or rejects its use either generally or in any particular field or fields.

Cover Story5 Vans Impress Expert Jury

Focus on Security6 Keep Your Eyes on the Road

Focus on Flooring8 Flat as a Pancake

Conveying11 Getting Sorted14 Full on Flexibility

Express Freight16 The Softer Side18 Bucking the System

Market Forum — Unit20 Market Forum

Awards 201024 Environmentally-conscious Companies in the Spotlight at 2010 Green Supply Chain Awards

Transport Management29 En Route to Cost Control33 Cutting the Costs

Market Forum — Supply36 Market Forum

Endorsing Bodies

Afritag (div of Smart Card Society)

CGCSA (Consumer Goods Council of SA)

CILTSA (Chartered Institute of Logistics & Transport: SA)

SAEPA (SA Express Parcel Association)

SAPICS (The Association for Operations Management of Southern Africa) also mailed to:

CSCMP (Council of Supply Chain Management Professionals)

Featured on the cover:

Mercedes-Benz

Tel: (012) 677 1904Fax: (012) 677 1682

E-mail: [email protected]

� Supply Chain Today September 2010


COVER STORY

T he “CEP Van of the Year 2010” competition has been organised by ETM Verlag (Euro Transport Media publisher) for ten years, and this year ’s competition was judged

by a jury of 30 experts from the CEP (Courier, Express and Parcel Services) sector. They each evaluated the 18 participating vehicles and selected the winners in five categories and for the first time, a prize was also awarded in the “Alternative Drive Systems” category.

Real-life testsBecause of the judge’s day-by-day work with vehicle fleets of their own, they knew precisely what demands needed to be met by each van, and therefore tested each vehicle on different test stretches of road under real-life operat-ing conditions. Functionality, driving comfort, handling characteristics, design and economic efficiency were among the points covered on the evaluation forms. The examiners covered a

Vans Impress Expert Jury

Mercedes-Benz presented numerous passenger car highlights to the public at the 20th Auto Mobil International 2010 motor show in Leipzig. In addition, the brand with the three-pointed star made an impression in the compe-titions that took place during this auto show, receiving several awards for its successful Sprinter and Vito models.

total of over 7 000 kilometres in the course of 540 test-drives around Leipzig.

Winners announcedBoth the Sprinter and the diesel-powered Vito represented the Mercedes-Benz brand. The Sprinter was able to confirm the supremacy it had main-tained for the previous four years, attaining first place in the category “Vans up to 3.5 tonnes”. And the Mercedes-Benz Vito became the fifth time winner in the class “Vans up to 3 tonnes.”

New categoryIn addition to the “CEP Van of the Year 2010” award, the NGT (Natural Gas Technology) version of the Sprinter was voted winner in the “Alterna-tive Drive Systems” category. This is the first year that ETM publishers have awarded this prize. The Sprinter NGT with bivalent natural gas drive, especially conceived for operation in an urban environment, not only features significantly lower exhaust gas and noise emission figures, but also boasts lower upkeep costs.

The fuel tanks are mounted under the van floor in a space-saving man-ner, so that they do not l im i t t h e van’s load-ing space.

Mercedes-Benz, Shirle Greig, Tel: (012) 677 1904, Fax: (012) 677 1682, E-mail: [email protected]

The judges knew precisely what demands needed to be met by each van

Mercedes-Benz Sprinter Mercedez-Benz VitoMercedez-Benz Sprinter NGT


FOCUS ON SECURITY

Keep Your Eyes on the RoadThe recent IFSEC Securex Exhibition in Sandton show-cased a vast range of security innovations this year. Of particular interest to the “Supply Chain Today” team were the transport security devices, which showed a

growing trend towards increased visibility during trips.

Multi-locking’s mobile DVR

H igh on the list of fascinating products was t h e M o b i - i

Blackbox from Multi-Locking Siyavikela. This gadget seems

to be building a growing fan base internation-ally and similar products were available from a number of other exhibitors, among them Huvitech and Guss.

Who’s at fault?Designed to fit on the dashboard, the Blackbox contains a camera which is activated by a sensor upon impact or in the case of sharp manoeuvre of the vehicle. It is strategically positioned to film some of the most common road accidents, such as bumper bashing due to driver negligence or distraction.

The unit, which can work in tandem with an ad-ditional box mounted at the back of the truck, puts an end to disputes regarding causes of incidents and puts the blame squarely on the shoulders of the driver at fault. The camera automatically compensates for outside lighting conditions and films with equal dexterity in daylight, night light or inclement weather conditions.

It appears to be a handy piece of equipment from an insurance perspective, recording factors such as speed upon impact as well as vehicle position at the time of the incident. This data is saved to a 16Gig SD card for future reference and is stored in a manner that is easily retrieved and accessed. The unit plugs into a cigarette lighter and the distributors are confident that it has sufficient memory and battery life to record for extended periods without failure, although experience shows that there’s no accounting for human error.

Watch outAlso from Multi-Locking is a video tracking device that incorporates real-time video to provide con-stant video surveillance within a vehicle. Capable of continuous recording, as well as activation

through motion detection, triggered recording or even alarm triggering, the camera effectively monitors activity within the cab during travel.

Live streaming video at 120 frames per second allows the control room to constantly monitor in-cab activities. The camera is a deterrent to mistreat-ment of vehicles, along with providing a visual reference to issues such as speeding, over-revving, gear-crashing

and distracting passenger behaviour.

Military specThe fanless box is built to withstand vibrations to military spec so it’s likely it’ll survive a trip through our potholed road network. Representa-tives of Multi-Locking were happy to provide a demonstration of the product in action, subject-ing it to the sort of abuse that might be likely on routes through some of our most rugged rural road networks.

Anticipating the attentions of some of our more creative miscreants, watermark support is available to prevent fraudulent image modification, while alarms can be triggered for specific events. The DVR has GPS tracking integration and supports

It is strategically positioned to film some of the most common road accidents


FOCUS ON SECURITY

Google Earth Map for vehicle route track-ing. Two-way communications allows the control room to remain in contact with the driver and vice versa.

Competitors Huvitech and Guss both offer comparable devices and similar products are cropping up internationally as a standard fleet feature. Huvitech’s range, aptly named “Rear View”, incorporates dozens of options with varying levels of sophistication.

Meanwhile, Guss describes its cameras as ‘discreet’, which is probably less disconcerting than having a lens in your face. With easily hidden pinhole cameras this equipment is probably more suited to catching perpetrators in the act. Recordings are stored in shock-proof memory that is safe from outside interference.

In light of the recent focus on illicit activities on long-haul trips, as well as vehicle mis-use in general, there’s certainly a place for a device of this nature. It’s also likely to catch the poor okes’ off-key singing and unflattering eating habits, but many feel this is a small price to pay. All that remains to be seen is how long it will take be-fore someone comes up with a device to monitor thought processes too!

www.multi-locking.co.za, www.huvitech.com, www.guss.co.za

One of the Rear View cameras available from Huvitech

Mini versions of the Blackbox

More suited to catching perpetrators in the act


Seeing is believing“Supply Chain Today” attended a deminar, a cross between a demonstration and a seminar, intended to allow delegates to understand the in’s and out’s of flooring and see first-hand how steel-fibre-reinforced concrete (SFRC) for ware-house floors is laid.

First, Gary Benatar of ILS (Industrial Logistics Systems) talked us through the evolution of ware-house floors in South Africa before Darryl Eddy, director of Twintec Industrial Flooring, presented an overview of the technology. We then decamped to the Shoprite Checkers site where construction of the floor was underway.

The problems“A few years back, warehouses in South Africa were small and casting a concrete floor did not really present any major problems,” says Gary. “But today’s mega warehouses have high rack-ing, much heavier machinery and much more traffic than in the past, significantly influencing the requirements for a durable floor.

“Concrete shrinks as it dries, it curls, the sur-faces delaminate and edges deteriorate rapidly, so all sorts of methods have been tried over the years,” he explains. “We’ve tried laying concrete in panels to allow for shrinkage or saw-cutting joints into the panels, but then ended up with

The new Shoprite Checkers warehouse in Centurion has just had its floors done by a UK company, Twintec, a company that seems to have come up with a near-per-

fect concrete flooring system with no contraction joints, low maintenance and one that has none of the usual problems associated with traditional methods of laying concrete floors.

All these technologies require high maintenance in order to sustain a decent floor surface

Flat as a Pancake

The ideal warehouse floor should be flat (within very small tolerances), be strong enough to take the weight of racking, tough enough to cope with moving machines, and require as little maintenance as possible over an extended period of time. This is a tall order as the perfect warehouse floor still has to be built. Or, maybe it

has just been built.

The steel fibres in the concrete mix

A surface hardener is evenly spread by a specially designed machine

FOCUS ON FLOORING


rapid deterioration on the joints. Then we tried steel bar reinforced concrete which presented problems of its own. All these technologies require high maintenance in order to sustain a decent floor surface that won’t damage very expensive equipment.”

Steel fibresAll in all there simply hadn’t been a clear-cut solution until Gary came across Twintec on a project in Saudi Arabia where both companies worked together. “The SFRC system is by far the best solution to warehouse flooring to date,” says Gary. “The initial price is a little higher than traditional options, but if you consider that some of our clients spend over two million a year on fixing floors alone, the real life cost of this system compares favourably. Its life is almost infinite because you don’t have joints to maintain. The few joints there are between the concrete panels are armoured with steel, properly made and require much less maintenance.”Twintec has highly specialised equipment, techni-cians and teams of labourers who do the prepa-ration of the base, installation of construction joints, the mixing of fibres into a specified mix of concrete, the pouring on site, levelling and final finishing of the floor. To create excellent floors, a very flat, well-compacted sub-base is required which is achieved with laser technology fitted to the earthmoving equipment.

The finished floor slab surface is virtually fibre-free and the results for flatness are outstanding

Darryl Eddy, director of Twintec Industrial Flooring

The steel fibres are mixed into the concrete mix

The processBasically the Twintec specified mix (designed to local standards) of concrete arrives on site by mixer trucks at constant intervals once the pouring begins. On site, the truck first goes to the special machines that feed high-tensile un-dulated steel wire fibres, 50mm-long and 1mm

FOCUS ON FLOORING


in diameter, into the concrete mix together with a superplasticising admixture in liquid form.

Once fully mixed, the truck then moves onto the pouring operation where highly-skilled labourers assist by hand to spread the concrete evenly. Immediately a laser screed machine follows to systematically level and compact the wet concrete to the exact required level and another machine follows to evenly spread a layer of dry-shake for the hardening of the top layer. As the concrete is poured, we clearly see the even spread of the steel fibres throughout the mix, but as it gets levelled out, not a single fibre shows on the smooth surface of the 1 000 square metre joint-less concrete slab.

Special equipment“Twintec has long been recognised as an expert in large-pour techniques largely due to our policy of constantly seeking to improve on our methods and control site quality,” says Darryl. “Improvements to equipment are constantly made. We have, for example, adapted the hydraulic system on our laser screed machine and developed systems such as multi-directional skip floating techniques while materials have been reformulated to suit such techniques. The finished floor slab surface is virtually fibre-free and the results for flatness are outstanding, usually way within specified tolerances.

A highly skilled team does the pouring on site

“Despite a general skills shortage all over the world, our directly employed production and support teams are renowned for producing virtually fibre-free floor surfaces laid to the highest standards of flatness in large-area jointless pours without the need for remedial grinding,’ says Darryl. “To accomplish this, projects are planned well, man-aged effectively, resourced correctly and the staff are properly trained and supervised.”

The labour challengeOne thing we did notice immediately we walked on site was that there was not a South African to be seen, from the machine operators to the guys with spades and screed bars sloshing about in the wet cement. “Our methodology the world over has been to bring in our teams of skilled workers when we first go to a country and then develop local skills, both in terms of labourers and engineers,” Darryl says in conclusion.

“This is our first project in South Africa and we’re looking forward to adding to the economy and construction industry of the country in terms of training local people in our highly specialised technology. We’re well aware of the delicate na-ture of labour issues in South Africa and we’re keen to comply. Already more prospects for other projects have come up and so we have opened a branch and appointed a Twintec representative in Cape Town. Ultimately we will have a full team of local people well-versed in our technology in South Africa.”

Ruth Waugh, Twintec, Tel: +44 1788 567722 (UK) Email: [email protected], Website: www.twintec.co.uk

To create excellent floors, a very flat, well-compacted sub-base is required

FOCUS ON FLOORING


CONVEYING

R ecognised globally as a sorting specialist, Vanderlande’s devic-es were recently put

through their paces at OR Tambo airport. When “Supply Chain Today” talks to Jaco Bloem, the company’s service man-ager, he explains that there’s an art to sorting that is best handled by automated equip-ment, and Vanderlande has a system to facilitate almost any requirement.

Going postal“Most people think we only do airport systems,” he says, referring to some of Vanderlande’s long distance linear motor products. “But we handle a wide variety of sorting applications. The system we specify depends on what the client wants to sort. Our express sorter can handle 12 000 items or 200 000 letters an hour,” he smiles. “Although our local postal service doesn’t use the system, our postal sorters enjoy a strong following abroad.”

Getting SortedThe process of getting items safely from one point to another can be

fraught with hitches, just ask anyone who’s waited for their baggage to arrive after a lengthy flight.

Another area of expertise is that of bin sorting, where a variety of items are assembled and re-packaged. “Our systems are used for sorting ration packs in military applications,” Jaco tells us. “It’s not a common application in South Africa, but it’s becoming popular overseas. Here, labour is cheap enough to handle these applications manually, but in countries such as Europe, automation has a much stronger following.”

Vanderlande’s ‘goods-to-man’ picking solutions are designed to facilitate these processes, with Order Distribution System (ODS) for large numbers of order lines filling low numbers of articles and Compact Picking Systems (CPS) accomplish-ing the inverse, as limited order lines fill large numbers of articles. For large numbers of order lines filled from a wide range of articles, batch pick systems offer sorting-to-order, facilitated by technology such as crossbelt sorters and put-to-light displays.

Safe systemWhile manual systems are at the mercy of the human element, automation is an accurate, continuous process that soon pays for itself by negating the vagaries of staff instability. “The initial set-up cost may be high, but in the long-term this is amortised by the reliability of the

system,” he continues.

“Our products are not cheap because we don’t offer an off-the-shelf ser-vice. Each installation is fit-for-purpose and is designed at our head office in Vegel, Netherlands to suit a specific requirement. This is not a solution for a client with just a couple of hundred items to work with. But when it comes to high volumes, noth-ing competes with an automated system,” Jaco assures us.

Down timeIssues such as HIV/Aids and loss of key person-nel affect staff stability and result in fluctuating efficiency levels. Work-flow can be compromised

Jaco Bloem

Vanderlande has built a reputation for sophisticated postage sorting solutions

There’s an art to sorting that is best handled byautomated equipment


This prestigious award recognises people, projects and products

that have gone above and beyond the call of duty to

enhance the environment in which they operate.

Both the inaugural awards in 2009 and those in 2010 enjoyed a wonderful

response from the supply chain community and everything is on track to

make the 2011 event one of the industry’s most prestigious accolades.

The awards ceremony takes place Au-gust 2011 at the CGCSA premises in

Hurlingham, Johannesburg.

GreenSupplyChainAwards

If you wish to enter, please contact: Catherine Larkin on

Tel: (011) 789-7327/787-9127, Cell: 083 300 0331, Fax: (011) 787-7865

Email: [email protected]

Are You Doing Your Bit?

Supply Chain Today September 2010 1�

Effective baggage sorting carousels

CONVEYING

when dealing with the loss of skills and training new staff is costly and time-consuming. Human error is also diminished. “Every item is given a label with a unique number which determines which chute it will be routed through to reach its destination.”

Products are also available to optimise staff ef-ficiency. The Zone Pick System (ZPS) segments picking areas into workstations, enhancing operator productivity in each zone through sophisticated workload balancing.

Apart from the advantage of fewer labour head-aches, automated sorters carry the added benefits of reducing logistics overheads. “Sorters cut down warehouse sizes because you don’t have goods sitting around taking up space,” he explains. “There’s no downtime in the sorting process and cross-docking is more easily facilitated.” Vanderlande’s XDock system, with dock-to-dock planning, scheduling and execution, is designed specifically for this.

IT streamliningWith so much robotic equipment on the ground, the next logical requirement is an IT system to

manage it all and Vanderlande includes this in its Business Process Intelligence (BPI) offering. “BPI takes all of the business functions, such as WMS and sorters and gives an overview of the entire system, giving advice on streamlining the process,” says Jaco. “What’s nice about our range is that everything integrates smoothly with the BPI.”

As with the rest of Vanderlande’s products, the IT aspect is tailormade for each client, with setup, backup and support provided locally. “Flexibility is one of the biggest selling points of our BPI,” Jaco goes on. “We aim to give the client the ability to manage and refine the entire process.

“In fact, this is the driving force behind all of our products,” he adds. “The brand is all about reli-ability, availability and sustainability. A well-run sorting system means that there’s one less thing to worry about.”

Jaco Bloem, Vanderlande, Tel. 011 390 2053. email. [email protected], Website. www.vanderlande.com

The Cross-sorter handles mixed flows of small to larger products Line sorters have a straightforward linear layout

A well-run sorting system means that there’s one less thing to worry about

1� Supply Chain Today September 2010

CONVEYING

B usiness isn’t good; ‘good’ is an under-statement,” beams Nico Wasserman, Business Development Manager of Flexible Conveyor Solutions during a conversa-

tion with “Supply Chain Today”. Having made its debut marketing the Flexlink brand in March this year, the company has taken an instant foothold in the market.

Long history“Flexlink has been around for a long time. When I call to introduce the company to other businesses, most clients in the ‘baby boomer’ age group will say ‘Are you back?” Nico chuckles explaining that the product was originally designed by SKF for its own plants. “SKF Bearings needed an efficient conveyor system for its 83 factories and it created Flexlink for this job. The design was so success-ful, the company decided to market it.”

Following a somewhat unsuccessful period in which a third party had the distribution rights, FlexLink attempted to sell the range via the internet. This too, proved to be less than ideal. “It’s not the sort of product that can be ordered online,” he smiles. Meanwhile, the gap in the market was filled by a number of other agencies with products that didn’t always make the grade.

Having had a long history with the company, it must’ve seemed a logical step to offer Nico the agency shortly before he retired from his perma-nent position with SKF. “I thought I’d want to stay home and relax, but it didn’t take long for me to get back to work,” he smiles.

Demanding jobsHaving proven its worth in some pretty high spec applications, the product is designed for precision operation. With blue chip clients such

Full on Flexibility

Gone are the days when automation experts bemoan the fact that companies can’t see

the benefits of their systems. With efficiency ranking high on the list of ways to gain a competitive edge, automated systems are

finally earning their share of the operational budget.

as Unilever on its books, the demand for zero defect is overwhelming. “One of our systems at Unilever is designed to move tubs of margarine at high speed.

“The tubs are packed facing forward but are then required to turn sideways at a speed of 180 tubs a minute. Timing is crucial due to the volumes. If the tubs are not placed spot-on, the margarine will go flying!” The project warranted the personal attention of a technician from Belgium to calculate the requirements and Nico speaks at length about the strength of the relationship with the mother company. “It’s like a family,” he enthuses. “There is fantastic support from Europe.”

Although the initial cost of the set up may be high, it’s quickly repaid. “We estimated that Unilever would cover the price of its system in five-and-a-half days,” he tells us. “Previously it was losing an hour of production a day due to misplacement of tubs.” This problem has now been eradicated, reducing losses significantly.

Custom systemsNico explains that each installation is unique, often requiring specialised products and exper-tise, but the team loves the thrill of a challenge. “We handled an exciting project for a client who saw Flexlink at a show in the UK,” he says. “He called for a quote and then we never heard from him again, so we went down to his factory in the Cape to assess his process. It didn’t take us long to find ways to refine the system.”

The factory, which produces foodstuff such as seafood and pates for Woolworths, had a number of laborious manual systems in place which have now been replaced with a sophis-ticated automated system. “We saw a woman putting items on a tray and then waiting for

Flexible Conveyor Systems’ Nico Wasserman, Conrad Bornmann and Karina Simas

If the tubs are not placed spot-on, the margarine will go flying!


with ease. It has also been used with success in the pharmaceutical industry.

No aftersales“Karina has been looking into the aftersales side of customer care, but we’ve found that there’s little need for maintenance,” Nico says wryly. “While other companies have a sales base that involves 20% new installations and 80% replacement products, ours is 70% new and 30% replacement – and this usually involves expanding existing systems in companies which are changing or updating their process.”

The team plans to continue its growth pattern with expan-sion into the rest of the country, and al-ready has distribution in the Cape through BPS Bearings. “We’ll also be working with Gough Engineering to expand our range into belts and other equipment,” Nico concludes.

Nico Wasserman, Flex-ible Conveyor Systems, Tel. 011 455 4555, Fax. 011 450 3121 Email. [email protected], Website. www.amtcme-chanical.com

20 minutes for these items to chill.

“The designated space of 3 x 1 x 2.4 m allowed us to design a conveyor 35 metres in length which manages the chilling process far more efficiently. Workers now merely place the containers on the conveyor chain, which circulates through the chiller, and remove them after twenty minutes from an accumulation table.”

People powerIn spite of its focus on automation, Nico is en-thusiastic about the fact that his clients have not taken the opportunity to downsize. “I’ve been so impressed by the way these companies have com-mitted to uplifting their people into supervisory positions through training,” he smiles.

“Instead of deciding that they need fewer people and getting rid of employees, these people have now become valuable assets to the company, providing improved output in their roles as skilled workers. This has helped tremendously in getting our systems accepted. When you offer a solution that doesn’t jeopardize jobs, people are happier to buy in.”

Nico’s own commitment to good staff is reflected in his close-knit team, including Conrad Bornman, the company’s general application engineer, and junior application engineer, Karina Simas. Both are excited enough about the product to handle both installation and marketing. Nico laughs when he says that he’ll often stay up nights worrying about big projects only to arrive at the office and discover that Conrad has ironed out all of the glitches already. With coverage in 80 countries nationwide, the team is able to draw from the resources of a global network when necessary.

True qualityIn addition to offering increased efficiency, Flexlink is designed for long-term low maintenance. “The word ‘quality’ is often used lightly. In our case, it’s the real deal. Clients who use the range never deal with a breakdown. For example, L’Oreal has a system in place that’s been running continuously for eight years. Another client, Orley Foods has had their system in non-stop operation for 18 years. It just runs!” Nico’s pride is evident.

He goes on to explain that normal chains are linked by a single pin which determines flexibility; the longer it works the more wear it is subjected to. “In order to form a 90 degree bend, most systems would require two chains using two motors. Ours has a pivot and offers full lateral and horizontal flexibility in one continuous chain.”

The chain is available in widths of 43mm to 295mm, which can be doubled by running two chains side by side. It can incorporate numer-ous attachments for items such as CDs, lipstick cases and other products which might need to be swiveled or held at 90 degrees. It requires no lubrication, so is safe for food and can be cleaned

CONVEYING

Systems are tailored for individual needs

Items travelling at high speed requireprecision automation

When you offer a solution that doesn’t jeopardize jobs, people are happier to buy in


W e hear from Parcel Perfect on what a courier company needs for their trucks and how software can benefit them.

Back to your rootsStarting life in 1998 as a courier company, Parcel Perfect soon realised that there had to be a better way of solving problems in their operations. So, the company assembled a

team to develop courier software to tackle all the issues faced in parcel tracking, invoicing and administration.

In fact, in 1999 it decided to focus entirely on soft-ware development. Since then Parcel Perfect has licensed software to courier companies all over South Africa, the UK, Australia and Hong Kong. “We take our customers seriously and update our courier soft-ware continuously based on client feedback,” says John Henderson.

To help the industry“Ours is a software ap-plication designed to help courier companies manage their deliveries, collections

The Softer SideOne of the things hard to find in the courier business is specific

software for the industry. Just think of the possibilities of having your business running as smooth as any transport company out

there?

and finance. It helps the customer to manage their courier business more effectively; starting with a flawless parcel tracking system,” he adds.

John says that with ten years of experience in the courier industry, he and his team understand the specific needs of a courier business and have developed what they believe is the ideal solution.

“One of the main reasons for developing the software was specifically to allow for a more organised and smoother running courier company. By learning about the do’s and don’ts, our software for an international market of courier companies has been created through experience,” he adds.

Automatic POD’sThe software has many useful features like an interactive collection control system using text messages, individual waybill capture, or bulk im-porting from a spreadsheet and the consolidation of waybills onto manifests for line-haul shipping to same destination hubs.

EXPRESS FREIGHT

Only essential information is sent between server and workstation


EXPRESS FREIGHT

“The waybills can be consolidated into trip-sheets for delivery by drivers. This makes routing and scheduling much easier. The software does the tracking of parcels through barcode scanning, and printing of barcoded labels and integrated Proof of Delivery image scanning and links to waybill details. An interesting feature is the automatic faxing or emailing of Proof of Delivery details,” John adds.

Looking at the software“The software platform for this freight and cou-rier tracking solution means that any number of workstations may be attached to the database server: the maximum number being determined by the hardware specifications of the customer’s server. All workstations must run a Windows–ver-sion such as Windows 98SE, 2000 Professional and XP Professional. The workstation hardware requirements are determined by the Microsoft operating system,” he explains.

“Being an SQL solution, only essential information is sent between server and workstation, provid-ing extreme stability for our freight and courier management solution. The failure of a worksta-tion or network connection is a possibility that is taken into account in this design, and will not result in data corruption. The server is the most

critical component which should be protected at least with a UPS, and ideally with redundant internal components. These can include a RAID hard-drive configuration, multiple cooling fans and multiple power supplies.”

For trucking and courierJohn concludes by saying that their software is incomparable for freight and courier management. “Go for a system that is user-friendly and requires the minimum of hardware for the most optimal results in courier company management and services. Install your freight management software today and see the benefits add up.”

John Henderson, Parcel Perfect, Tel: (021) 674-5404, Email: [email protected]

It helps the customer to manage their courier business more effectively


W hen “Supply Chain Today” speaks to Doug Boake, dynamic Director of Redline Logistics, he’s quick to assure us that his company doesn’t

handle conventional parcels. “We don’t do run of the mill,” he smiles. “We focus on high value, fragile, out-of-the-ordinary, risky and difficult

– the sort of assignments other companies won’t do, or do badly.”

Tough stuffHaving learned the ropes in a large courier company, Doug has a sound understanding of conventional consignments, along with the challenges of same-day delivery, but he saw a gap in the market for ‘the tough stuff ’. “I was at the airport one day and I saw a group of well-dressed female executives fighting their way through the grime to get their goods out. I was pretty sure they’d be willing to pay to have it done for them,” he says.

This incident sparked the launch of a range of high-quality services for the corporate world; something Doug refers to as Intensive Care Transport. “We’re specialists,” he tells us. “If you have flu, you go to a GP. If you have something more extreme, you go to a specialist. The same principle applies to our industry.”

One of these niche activities includes the delivery and installation of exhibition materials. “Exhibi-tion stands are a big feature for us,” says Doug. “Each shipment is individual – exhibition stands need to be transported according to individual requirements which affect number of vehicles, type of vehicles, time and deadlines. Sometimes we take two days to load a truck.”

With just three dedicated delivery vans, the com-pany outsources much of its transport equipment. “We use our own fleet, as well as specialised vehicles from partner suppliers, such as crane trucks, etc,” Doug explains.

A group of well-dressed female executives fighting their way through the grime to get their goods

EXPRESS FREIGHT

Bucking the System

Doug Boakes, Director of Redline Logistics

Display materials are a large part of Redline’s business

In an industry that thrives on efficiency and consolidation, it’s hard to find a company that specialises in unusual deliveries. It’s not easy to calculate the exact space required to pack a

hundred olive trees, but the nature of this cargo requires that it be delivered with the same precision as any truckload of

frozen goods.


Pretty smartThe service is available for events and also for marketing activities, such as displays in shopping malls. “We’ll transport and erect the stands and then take it all down at the end of the event. It’s one less thing for the cli-ent to think about.

“They don’t want to get dirty and they also don’t want to arrive with boards wrapped in bubble wrap and have to find a place to store all their packag-ing until they’re ready to leave. They’re even less in the mood to pack it all up again when they’re exhausted after the show.”

A veteran of several Roof of Africa cycle races, Doug is no stranger to dirt, and it clearly takes a lot to exhaust the man. “Exhibitions are becoming ever more adventurous and we’re moving stranger things all the time. But that’s what we like: it has to be a challenge,” he says, explaining how his team has delivered everything from ice cream to live gold fish.

In the swim“Very often, it’s not a matter of doing impossible things, but of handling tricky projects in a cre-ative manner. For example, when we delivered the goldfish, we kept the fish safely in bags in air-conditioned vans and transferred them to bowls just as we were about to hand them over. The hard part was ensuring that they arrived at the correct recipient at the right time.”

The company faced a similar challenge when delivering ice-cream for an ad agency as part of a marketing promotion. “We had to make sure that 500 individuals received their personalised tub of ice-cream by 10am on Valentine’s Day. That took some doing!”

Hands-onDoug emphasises that this type of business is heavily reliant on active management with a strong sense of teamwork. “We’re little, and I like it,” he laughs. “I’ve done the corporate side of things but it’s impossible to stay in touch with your team when you have a staff of hundreds. Besides, our projects are so diverse that it’s not possible to handle them unless you’re hands-on. I know what we can deliver and I know what we can promise.”

In spite of his daredevil attitude to life, Doug admits to being very pedantic. “I know when our guys are working on a Sunday and I’ll generally oversee the process. It’s worth it though. I haven’t

His team has delivered everything from ice cream to live gold fish

EXPRESS FREIGHT

Sometimes it can take two days to pack a vehicle

lost a client in eight years. I keep close contact with them and in turn I can convey their objec-tive to the team so that everyone understands the goal. This is important when you have 470 trees in the warehouse and everyone is involved in moving them, from me to the drivers.”

Bottom lineWhile it may appear that Doug is disparaging of the larger freight concerns, he assures us that he respects the role they play. “We often get refer-rals from these companies. Some of them even subcontract us,” he says. “On the other hand, we’ll often turn away work that is better suited to other companies.”

“If you want to send a container across border, we’ll advise you to go to Kuehne and Nagel. But if you have equipment of a ‘delicate’ nature which requires complex paperwork to move through various provinces, we’ll be able to help you.” He also assures us that he doesn’t com-pete with conventional express freight couriers. “We rarely deliver boxes,” he adds. “Very few of our deliveries involve items that could be neatly packed into a van.”

Clearly this practice would wreak havoc with large scale order consolidation and load optimisation systems. “Handling odd loads throws out the bot-tom line for most big companies,” he concludes. “Every last inch is packed and has to pay for itself. For us, it’s not about space. It’s about getting the difficult items to where they need to be, on time and in the right condition.”

Doug Boakes, Redline Logistics, Tel. 011 708 0465, Fax. 086 606 9122, Email. [email protected], Website. www.redlinelogistics.co.za


Market ForumWarehouse logistics optimisedCatering Engos A/S, a Danish supplier in the catering sec-tor which operates warehouse facilities in Hvidovre and Middlefart determined that the paper-based system used for inventory tracking was hindering the effectiveness and efficiency of warehouse operations through productivity losses and inaccurate order picking.

The company demanded a solution that could operate in dry storage at regular room temperature, and cold stor-age at both cool and freezing temperatures. In addition, the solution had to eliminate manual inventory tracking, enable real-time inventory visibility, and had to be rugged enough to handle harsh working conditions.

Catering Engros A/S enlisted the help of Psion Teklogix to implement a voice-enabled warehouse solution and equipped employees with Psion Teklogix 7535 G2 and 7530 G2 rugged handheld computers.

The 7530 G2 were selected for use in the frozen storage environments due to their IP67 rating and the 7535 G2 with an IP65 rating, for use in the cold storage and dry storage environments. Both handheld computers have battery capac-ity to last an entire workday and the display screens are touch-sen-sit ive, back-ground-lit and easy-to-read.

Access points were installed across the ware-house to enable wireless connec-tivity via WLAN to the WMS-inventory control system. Psion Teklogix also delivered the complete voice-enabled solution with Vocollect Voice as ap-plication software, al-lowing order pick-ers to perform their tasks hands and eyes free.

The benefits of install-ing the Psion Teklogix voice enabled solution include:

70% improvement in picking accuracy

Increased productivity

Real-time inventory visibility, enabling Catering Engros A/S to plan better for supply shortages

Improved customer service

Fast return on investment (ROI)

Service agreement ensures uptimePsion Teklogix, Michelle Hollis, Tel: (011) 805 7440, Fax: (011) 805 7444, Email: [email protected]

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Warehouse floor gets a faceliftSika Floors was specified by contractor, MCS, to re-instate 150 linear metres of failed floor joints at the DHL warehouse in Pretoria West. The over-worked floor joints were treated with Sikafloor-156ZA Primer, Sikadur-42 ZA and LoadFlex joint sealant in the weekend-long job.

The joints in the DHL old ware-house floor had been subjected to materials h a n d l i n g equipment s u ch a s pallet jacks and fork-l i f t s and thus had spalled to such a de-gree that a s imple joint sealer would not suffice.

The consistent heavy traffic had created cracks below the surface, causing concrete to split and chip off.

The contractors were firstly required to cut back and die into the concrete slab, clean the surface, and then begin priming the substrate with Sikafloor-156ZA Primer. Sikafloor-156ZA Primer is a two part resin used for priming concrete prior to the application of epoxy mortar screeds, self-levelling floor toppings and overlays.

The primer is easy to apply, solvent-free and has the capacity for high-strength bonding. Static cracks in the floors were levelled using Sikadur-42 ZA, a mixed fluid grout of epoxy resins and special fillers, before the application of the primer, to ensure optimum results. Sikadur-42 ZA was allowed to cure, following which the joints were re-cut and cleaned with an electric blower in preparation for the third Sika product used, LoadFlex. Loadflex is a hard bearing sealant designed to withstand industrial traffic and can be used to fill interior horizontal control joints as well as to repair random cracking of concrete slabs.

Sika South Africa , Paul Adams, Tel: (031) 792 6500

Application of Sika LoadFlex into the joints

Dry-ice gets frozen outTo assist Spar ’s KZN distribution centre reduce the con-sumable cost of using dry-ice and avoid the problems associated with the product, Serco, in conjunction with


Market Foruma local eutectic plate manufacturer, have in-troduced the Eutectic Holding Plate system.

Successful trials were run with Dick Cotterell, perishables manager at Spar KZN DC, and consequently over 300 units have been ordered to replace the dry-ice, resulting in significant cost savings for Spar.

The Eutectic Holding Plate is similar to a cooler box ice brick filled with a solution which freezes at a pre-determined customer-specified temperature. Once frozen, the plate can hold the tempera-ture for up to 24-hours. The advantages of the Eutectic Plates are that they are maintenance free, reusable, eco-friendly, durable and easy to handle.

Although there is an initial cost outlay, the plate system easily pays for itself in a matter of months as there is no consumable cost attached.

Serco, Clinton Holcroft, Tel: (031) 508 1000, Cell: (082) 453 4436

Xolani Sele of Spar inserts a chilled Eutectic plate into the holding plate system in the vehicle prior to loading stock for delivery

Stacking four highDurban container yard operator East Coast Container Depots has acquired three more Hyster empty container handlers and two more 18 tonne handlers from Barloworld Handling. The company now operates eight Hysters at its two Durban yards, making it the largest privately-owned Hyster container handler customer in South Africa.

With container handlers at the heart of operations, uptime is critical to meeting the company’s commitments and growing its business. The machines clock an average of 250 hours each per month, making high levels of backup support essential.

“While we have been impressed by the performance of the Hyster empty container handlers, it is the backup we

receive from Barloworld Handling that has made the real difference,” says East Coast Container Depots GM Shanik Siebalak.

The three new H14.00XM-6 SPED (Special Engineering Design) container handlers are used to stack six and 12 metre containers four high while the other Hysters are two 18 tonne H18XM-12EC machines and another 14 tonne unit.

The 14 tonne handlers have been purpose built with fixed-frame spreaders, says Gerhard van Niekerk, Barloworld Handling big truck specialist. “To meet the require-ments of East Coast Containers, Hyster specially engineered the only machine on the market capable of stacking containers four high with fixed-frame spreaders, since the conventional telescopic frames are not suitable for the particular terrain these machines are required to operate in.”

The 18 tonne machines are used in paved areas, stacking containers six high.

Barloworld Handling, Lesley Venketas, Tel: (031) 569 8500, Email: [email protected]



Market ForumNew entry into the one-tonne bakkie segmentVolkswagen Commercial Vehicles is introducing the Amarok one-tonne bakkie, which features a TDI engine, active and passive safety systems, comfort and reliability, all packaged in a rugged unit.

Many of the technologies such as the Bi-Turbo charging system are being used for the first time in the one-tonne bakkie segment. Furthermore, in terms of its space, load-bed width and height, cargo-loading abilities and payload-capacity, the new Amarok is “Best in Class”.

The Amarok will be introduced first as a double-cab with a four-door body that offers space for five adults. The two-door single-cab version that offers a longer load-bed will follow in 2011.

The TDI engine features common rail direct injection with two-stage control bi-turbo charging, producing 120 kW from its 2.0 litre engine. It generates 400 nm of torque at 1 500 rpm and features a fuel consumption of 7.9 l/100 km.

The second engine variant, which will follow later this year, is another TDI four cylinder with maximum power of 90 kW. Its technology includes a turbocharger with variable turbine geometry. The “small” TDI develops 340nm of torque from 2 000 rpm and consumes 7.7 l/100 km.

Both TDI engines break the 210 g/km CO2 emissions

limit that was considered a barrier in this class. Amarok customers can choose from two different driveline versions, a switchable four-wheel drive or a rear-wheel drive 4x2.

The load bed of the Amarok double-cab provides the larg-est dimensions in its class at 1 555 millimetres long by 1 620 millimetres wide, for a load bed area of 2,52 square metres. The load-bed size also makes it possible to load Euro pallets, measuring 1.2 x 0.8 m sideways.

VW Brand, Andile Dlamini, Tel: (011) 203 2726, Cell: (082) 451 5415, Email: [email protected]

The Amarok will be introduced first as a double-cab with a four-door body, the two-door single-cab version will follow in 2011

Increased traction The Man HydroDrive provides trucks with more trac-tion and safety when driving on unpaved surfaces, on slopes and slippery roads. In these situations it provides secure traction, both forwards and in reverse. When you’re driving downhill with the HydroDrive engaged, the sustained-action brake also acts on the front axle to stabilise the vehicle.

The Man HydroDrive can be engaged by merely turning a rotary switch, both while driving and under load. The driver can therefore master gradients safely without having to stop.

The system consists of a hydraulic pump flanged to the gearbox and wheel-hub motors on the front wheels. It is active up to a maximum speed of 28 km/h. At higher speeds it switches itself off automatically. If the speed drops again, it automatically reactivates.

By comparison with a rear-wheel drive truck, a truck equipped with auxiliary HydroDrive weighs only slightly more, by comparison with a classic all-wheel drive truck, several hundred kilograms less. HydroDrive vehicles can thus transport greater payloads.

The design height remains unchanged, which means ease of entry similar to that of an on-road chassis, lower height of the top frame edge and the overall vehicle, lower center of gravity and because of this,

optimum driving stability. Similarly, the turning circle of Man HydroDrive vehicles is the same as their rear-wheel drive counterparts.

Man TGS vehicles as roll-off and set-down skip load-ers are often seen with the HydroDrive because once the container has been set down, the drive axle is only minimally loaded and loses some of its traction. In this regard, the Man in conjunction with a steered trailing axle really makes its mark in terms of manoeuvrability, weight and traction.

Man Truck and Bus, Marja Brunninger, Tel: (011) 928 6841, Email: [email protected], www.man-mn.co.za


A s the only award in the supply chain arena devoted exclusively to greening the supply chain, companies are recognised and rewarded for making genuine efforts

to minimise the environmental impact of their supply chain processes, developing an action plan detailing how each of these goals will be achieved, and reporting progress towards achieving these goals. The awards are traditionally divided into three categories: Industry Leader, Best Project and Best Product.

Industry LeaderWinston Muir, Business Sales Exco of Scania South Africa, scooped top honours in the Industry Leader category. Scania South Africa is the first manufacturer to offer customers the option of a complete changeover to renewable liquid fuels such as ethanol and biodiesel, and produces engines which feature exhaust gas recirculation (EGR) technology, which reduces emissions during combustion. The company was also the first to introduce environmentally-friendly buses to South Africa as part of the Bus Rapid Transit (BRT) system.

Environmentally-conscious Companies in the spotlight at

2010 Green Supply Chain Awards

All the winners of the Green Supply Chain Awards. Left to right – “Andrea Agostini of Foschini, Winston Muir of Scania South Africa, Louise Lindeque of Chemical and Allied Industries, Barlow Manilal of CILTSA, Mapule Ncanywa of CGCSA, Francois van Rensburg of Barloworld Logistics, Pieter Jacobs of Magnet, Cobus Barnard of Pick ‘n Pay, Susan Custers of Promech Publishing and Carey-Anne Garbutt of Unitrans

Top companies were recognised and rewarded for their efforts for greening their supply chains at the second annual Green Supply Chain Awards, which took place on 19 August 2010 at the offices of the Consumer Goods Council of South Africa (CGCSA) in Randburg.

The awards are a joint initiative of the Chartered Institute of Logistics and Transport in South Africa (CILTSA), the CGCSA and Supply Chain Today magazine.

(L to R) – “Reuben Badana of Sapics, Liesl de Wet of Barloworld Logitics and Alan Keschner of JHR Equipment SA


Winston says, “Scania SA is overwhelmed at the privilege of winning this award. Scania Sweden is very serious about environmental issues. Our local board is fully behind this project and this will not stop, as we have other projects in the pipeline. Scania SA believes that companies should be placing more emphasis on green is-sues, especially in the city environment, where the air quality is very poor. For some time now Scania SA has been pushing this issue with local municipalities and bus operators and will continue to do so into the future.”

Best Project AwardsOver R10 millionThe award for ‘Best Project Over R10 Million’, went to Unitrans Supply Chain Solutions and Pick ‘n Pay for the Pick ‘n Pay Green Initiatives, which comprises a number of environmental strategies designed to reduce water usage, energy usage and utilise materials from renewable sources at

Winston Muir of Scania South Africa, Louise Lindeque and Janine Mileham of Chemical and Allied Industries

Werner Claase of Industrial Logistics Systems and Edgar Evans of IWMS Supply Chain Software

Leonard Wallace and Ricky Engelbrecht of Stab-a-Load and Hermias Nel of Pentair Water SA attended the function

Phofi Mofihli and Sylvester Mathebula of Absa and Reuben Badana of Sapics

a warehouse level. Pick ‘n Pay formed a strategic partnership with Unitrans to provide logistics support to the Longmeadow Food Distribution Centre (FDC) in Gauteng. Critical since the in-ception of the FDC has been its environmental sensitivity.

“As South Africa’s largest food retailer, Pick ‘n Pay is committed to minimising its environmental impact by decreasing carbon emissions, improv-ing energy and water efficiency and lessening its impact on the environment,” says Bronwen Rohland, Pick ‘n Pay’s Director of Sustainabil-ity. “Longmeadow is an excellent example of how we are entrenching sustainability within the company, and all of these goals have been incorporated into the design, construction and operation of Longmeadow, making it one of the greenest facilities of its type in the world. We are extremely grateful to Unitrans for assisting us in realising our vision and for their ongoing support of our sustainability journey.

GREEN SUPPLY CHAIN AWARDS


R1 to R10 millionIn the category ‘Best Project Between R1 and R10 Million’, the award went to Foschini Group Logistics for the “Foschini Group Logistics Green-ing Initiative”. The initiative is the product of a strategic decision taken by Foschini Group Logistics to tackle issues that are harmful to the environment, changing practices and processes that create unnecessary waste. Areas addressed included cardboard packaging, awareness amongst employees and electrical changes.

The standardisation of carton specifications has already made a vast difference to the carbon foot-print of the company, reducing the consumption of cardboard packaging by 65% and reducing the waste cardboard total by 54%. This initia-tive alone has resulted in savings of R2.9 million in 2009 and R2.3 million in 2010 – a total of R5.2 million.

Up to R1 millionThe Chemical and Allied Industries Association (CAIA) was awarded the prize for ‘Best Project Up To R1 Million’ for their “Responsible Care Carbon Footprint Guideline”. This groundbreaking

Johann Pretorius from HRP Distribution Services, Jan Tukker and Andrea Agostini of Foschini

Catherine Larkin of CILTSA, Moshisi Lehlongwane and Mapule Ncanywa from CGCSA

Ray Singh of Unitrans Supply Chain Solutions, Andre de Swardt of Imperial Logistics and Cobus Barnard of Pick ‘n Pay

Pravashini Sewpersad and Mary Mashiane of TNT Express and Chris Hewitt of VSC Solutions

guideline assists companies which are about to embark on a carbon management strategy and those that are looking to improve on their existing measures, in formulating effective strategies.

CAIA, the custodian of Responsible Care in South Africa, recognises the significant contri-bution of the chemicals industry to the national Greenhouse Gas (GHG) inventory (4.3% of the National GHG Inventory). As a signatory to the Energy Efficiency Accord, CAIA has, since 2003, collected GHG emission data from Responsible Care signatories through its yearly quantitative indicator of performance (QIP) submissions. This data is reported annually.

Best Product AwardsR1 to R10 millionThe ‘Best Product Between R1 and R10 Mil-lion’ was awarded to Magnet, for its recently completed energy efficient lighting project for Transnet Rail Engineering (TRE) in the Durban Harbour area. Through the design and installa-tion of a new energy efficient lighting system, energy consumption at the warehouse facility has



been reduced by approximately 60%. Magnet’s demand side management (DSM) programmes involve replacement, retrofitting and relamping, to ensure optimum energy efficiency in every application.

TRE’s warehouse, where the repair of wagons, wheels, engines and motors takes place, consists of over 60 bays that were previously illuminated by outdated 400W high-bay-type light fittings. Over 2 500 units have now been replaced with energy efficient fluorescent high-bay fittings and 4 000 open channels and dustproof fittings have been replaced with more efficient, lower wattage units.

Up to R1 millionBarloworld Logistics walked off with the award for ‘Best Product Up To R1 Million’ category. With commercial transport being one of the biggest single sources of carbon emissions in global supply chains, Barloworld Logistics was inspired to collaborate on a key initiative that brings together lean process thinking with a

Dawn Dodds and Greg Bouchier of Trenstar

James Sey of Barloworld and Liesl de Wet of Barloworld Logistics

Moshisi Lehlongwane, Mapule Ncanywa, Fiona van der Linde and Tamara Ortlepp of the CGCSA

Michael Jones of Kameni, Wayne Holt of Shield Technologies and JP Blumenthal of ABI

commitment to innovation and environmental sustainability - a “green trailer”. This interlink taut-liner-trailer combination achieves, through some practical innovation, significant reductions in the amount of fuel it uses, which will result in significant environmental benefits and savings with existing transport fleets. The expected re-duction in fuel consumption on the green trailer project for the next six months will be between 6% and 8%.

Francois van Rensburg, Divisional Director at Barloworld Logistics heading up the division responsible for the product, explained why this recognition so important to Barloworld Logistics. “This kind of professional accolade encourages not only our own business to focus on more



Pieter Jacobs of Magnet recieves the award from Susan Custers of Promech Publishing

Mark Hunter of Eskom, Susan Custers of Promech Publishing and Greg Bouchier of Trenstar


sustainable supply chain practices, but also the rest of the industry – which ultimately benefits the whole country in terms of the environment, and the national economy in terms of efficiencies.”

The 2010 Green Supply Chain Awards committee wishes to express its

sincere thanks to Barloworld Logistics as the main sponsor, as well as JHR Equipment SA, SA Industrial Linings

and TrenStar.

Praise from the Participating OrganisationsSusan Custers, publisher of Supply Chain Today, said that the number of entries submitted was gratifying. “We were delighted at the quality of the entries, but even more so with the number that were submitted. This is testament to the fact that the Green Supply Chain Awards are rapidly gaining ground in the sup-ply chain and logistics communities, and we look forward to even more interest next year.”

This view was echoed by John Meiring, National Council Member for CILTSA, who was also impressed by the effort put in by smaller companies. “The judging was made more difficult due to the calibre of entrants, who were able to commit sufficient re-sources to make impressive presentations, against which the well-researched submissions from smaller operations had to be judged,” he said. “With the increased experience in matters green, exposure and attention, the next and future judging will be seriously tested.”

Speaking on behalf of the CGCSA, Mapule Ncanywa, Director of Corporate Services, was equally positive about the event. “The Consumer Goods Council is proud to be a partner in this great initiative and we are committed to driving transformation in our industry towards a greener and sustainable supply chain,” she said. “Ultimately what we should have in the supply chain is a preferential procurement mindset with ‘green’ in the forefront when review-ing our businesses. Companies looking to transition to a green supply chain should be assisted to find suppliers who have minimised their environmental footprint without reducing the quality of their prod-uct. It is my hope that these awards will encourage and educate those in the supply chain who are still unaware that we have a responsibility to drive the cause for environmental management and sustainable development with reduced emissions.”

Guests at the event were entertained by acclaimed climatologist and motivational speaker, Simon Gear, as he pointed out the business benefits to companies as an incentive to “go green”.


S upply Chain Today” recently met Dr David Lubinsky, Director of Opsi Systems, for a cappuccino and some insights into devel-opments in the industry. “Route plans and

auditing are gaining more and more maturity in terms of how to deal with vehicles and resources,” he tells us. “Previously it was seen as a system

for truck fleets, but now other areas are drawing attention; for instance, the technology is branch-ing into routing for sales reps.”

Taking routeThe technology is also gaining recognition in areas that may not have seemed like typical ap-plications. “We are building a system for Transnet for routing trains to its coal mines,” David says. “This planning is similar to that used for trucks; it can be affected by numerous variables. Transnet turned to us because they know we specialise in dynamic planning against a changing event horizon.”

He adds that most developments in the industry are focused on increased visibility. “In the past, GPS was expensive and difficult to use. Now any cellphone can do it. People are now demanding to know exactly where their goods and vehicles

are.”

Sophisticated schedulingDavid goes on to say that Opsi Systems’ forte lies in sophisticated scheduling. “Planning has to be down to the last minute. Five minutes late falls out of the Service Level Agreement (SLA); or the truck is considered missing. Customers expect to get their delivery exactly on time.”

While Africa poses some challenges from this perspective, he explains that cross-border trade stands to benefit from routing technology. As more companies tap into this largely uncharted territory, it’s becoming clear that understand-ing the lay of the land and managing mobile resources is essential.

“When faced with the challenge of offering a first world service in a third world country, large companies need something to help smooth the path,” he smiles. “However, the technology

The technology is branching into routing for sales reps

En Route to Cost Control

There are currently many technologies in the routing and scheduling space, due to a growing awareness that vehicle logistics are more than just an unmanageable cost. It’s also becoming recognised as a valuable customer service tool.

Dr David Lubinsky, Opsi Systems

TRANSPORT MANAGEMENT

Schedule planner

�0 Supply Chain Today September 2010

www.udtrucks.co.za

Passionate, Professional, Dependable

As we are entering a new era in the history of our company by becoming known as UD Trucks, our DNA remains that of Ultimate Dependability. With more than four decades of

specialised industry knowledge and over 50 dealers in southern Africa, the people at UD Trucks are committed to making your business a success. Numerous key fl eet owners already depend

on a UD Truck to get the job done, so make the right choice on the road to your success.

Supply Chain Today September 2010 �1


is more suited to an environment that already has a mature back-end.”

Corporate mattersRegardless of the location, high-end corporates recognise the value of a system that allows them more control. “We’ve moved beyond the days when management could be done on a spreadsheet. It leads to a lack of transparency and control,” David warns.

The situation is exacerbated when faced with complex routing activities. “We’re geared for multi-drop scheduling for companies like SAB, for example, with huge orders going to multiple delivery sites. We also offer solutions for long-haul specialists, which is not generally seen as an area which allows rationalisation.”

Backlegs and multi movesDavid explains that long trips are ideal candi-dates incorporating backlegs, where freight can be accommodated on return trips. Alternatively, it’s possible to schedule ‘multi moves’, where multiple parties are linked on the same system, alerting the planner about upcoming loads.

“A truck can collect multiple loads during a long haul, collecting and delivering en route to make the trip as efficient as possible. The savings are

Route plans and auditing are gaining more and more maturity

Five minutes late falls out of the Service Level Agreement (SLA); or the truck is considered missing

www.udtrucks.co.za

Passionate, Professional, Dependable

As we are entering a new era in the history of our company by becoming known as UD Trucks, our DNA remains that of Ultimate Dependability. With more than four decades of

specialised industry knowledge and over 50 dealers in southern Africa, the people at UD Trucks are committed to making your business a success. Numerous key fl eet owners already depend

on a UD Truck to get the job done, so make the right choice on the road to your success.


You’re not left with some extremely busy days, while the fleet stands during the rest of the week


constant. In this way, you’re not left with some extremely busy days, while the fleet stands during the rest of the week.”

A global view of all orders across the company allows co-loading, in which one truck collects

items from different sites and groups them in an ‘order bucket’, which is then delivered to a final destination. “Often companies buy out other businesses while still allowing them to run inde-pendently. The result can be an inefficient system of vehicles visiting the same sites when they could be co-loading,” David explains.

Network optimisation“Of course, fine routing is all well and good, but we can make better savings the further up the sup-ply chain we go,” he elaborates. “Beyond routing and schedul-ing, the technology also offers network optimisation. It’ll allow you to plan where your depots should be, what routes could be used, where your warehouses should be.

“This is something that should be done annually on a corporate strategic level. Every year the company should be evaluated to see how it could do better, as routes, infrastructure and opera-tional methods change. The way we do business changes all the time – perhaps the company has moved a warehouse or switched to e-commerce. As all of this evolves, the distribution environ-ment changes and management needs modelling tools to oversee it effectively.”

Dr David Lubinsky, Opsi Systems, Tel. 011 880 7951, Fax. 011 880 2424, Email. [email protected], Website. www.opsi.co.za

so substantial it’s worth partnering up with similar companies to accomplish this.”

Opsi Systems caters for these activities with a number of specialised products, featuring two main systems. Flo is designed for multidrop or secondary routing, while Plato offers enterprise-based rout-ing of multiple fleets and planning of numerous schedules from a corporate perspective.

“A third item, Orbit, is a master routing tool,” he adds. “By assigning Nominated Delivery Day (NDD) schedules, you can visit a set of customers on a repeat basis, even when some require two or three visits daily, while keeping the workflow

Supply Chain Today September 2010 ��


C harel Schickerling General Manager at Cargo Ware, a division of Cargo Carri-ers, speaks to “Supply Chain Today” fresh out of a conference at which he

presented a paper on the cost savings of routing and scheduling. He makes a convincing case.

Nuts and bolts“Cargo Carriers operates on two fronts,” he tells us. “Our ‘wheels’ division comprises the nuts and bolts of the operation; the actual trucks that

do the deliveries, while our solutions technology division manages the information involved in the process.

“When it comes to our routing and scheduling systems, we are literally our own reference site and utilise our products on our own fleet. This creates something of a conflict of interests when our wheels guys worry that the systems we originally designed for them might be giving their competition an edge,” he chuckles.

Charel goes on to explain that the systems are used in a strategic environment as an aid to over-all management and gives the ability to simulate the process, reviewing costs, number of vehicles required for a contract, and other variables. “We’ve been working with a UK product called DPS International for about eight years and it has been an exceptional performer.”

Three main factorsThe main benefits can be seen in a multi-drop product environment. “The system keeps the process streamlined. Orders are entered into the system and the route is optimised for the follow-ing day. We look at three main factors in this process, namely time, distance and capacity,” Charel explains.

We all know that effective

routing and scheduling can save money, but

not everyone in the industry is convinced to

the point of investing in a system.

Charel Schickerling, Cargo Carriers

Cutting the Costs

Cargo Carriers operates on two fronts – ‘wheels’ and solutions technology

Through planned sequencing, savings of 15 to 25% can be made on deliveries

�� Supply Chain Today September 2010


The company’s routing products are used to run its own fleet

“Time issues encompass ev-erything from availability of drivers, cus-tomer sched-ules and depot times, etc. Dis-tance relates to establishing the shortest, most e c o n o m i c a l routes, while capaci ty in-volves best use of the vehicle. For instance, it may be neces-sary to look at compatibility of certain prod-ucts together in the same vehicle.

“In terms of benef i ts, we



try to address customer service issues, so that the client can expect delivery at a specific time. While you cannot accommodate every unexpected occurrence, it gives a much better chance of meet-ing set schedules.”

Charel continues, telling us that through planned sequencing, savings of 15 to 25% can be made on deliveries. “Even if you’re just looking at a 10% saving, multiply 10% of annual distance by R10 per kilometre and the figure is substantial,” he emphasises.

“Where we really save is with fleet sizes,” he continues. “By allowing bigger output with the same resources, or the same output with smaller resources, companies can really start to see the benefits of effective route planning.”

Easy paybackAlthough some companies baulk at the initial invest-ment, Charel explains that it’s quickly absorbed by reduced running costs. To this end, the company has plans afoot to make the range more accessible. “We’re moving towards running systems online on a pay-as-you-go basis. Previously this wasn’t viable due to slow local connections but it could be a good way of putting the system in reach of smaller companies who could really benefit from it.”

With an initial six-month contract followed by the option to cancel with a month’s notice, the web-based version will offer greater flexibility and allow companies to try the product and decide if it meets their requirements. “I really see the smaller guys benefiting from the technology,” Charel says, go-ing on to add that in a hostile economic climate, smaller companies are under tremendous pressure to survive.

Adaptability“The large companies usually already have the re-sources to put an optimisation system in place, and if a truck goes down, they probably have backup. A smaller company isn’t always so lucky. Consider the implications of being short a vehicle from a fleet of ten, as opposed to a fleet of 100.

“The beauty of our system is its adaptability,” Charel wraps up. “The product is used in industries ranging from waste management to meat distribution. In the UK, they even use it to plan the movement of awaiting trial prisoners to court and back.”

Charel Schickerling, Cargo Carriers, Tel. 011 485 8775, Fax. 0866 825 340 Website. www.cargoware.co.za

They even use it to plan the movement of awaiting trial prisoners to court and back

www.engineerplacements.com

Engineer Placements


Market ForumSupply chain modeliing centralisedAs part of its long term strategy to improve efficiencies in the supply chain, Siemens has selected Barloworld Supply Chain Software for supply chain modelling, net-work design and optimisation.

Siemens has over 500 distribution centres globally and has optimised in the past its supply chain on a regional or national basis. An implementation process will en-able Siemens to further optimise planning of the supply chain on a global scale, reducing complexity and cost and improving service.

Barloworld Supply Chain Software, part of the South African-based Barloworld Logistics group, will imple-ment its Cast software for Siemens Industry globally, a desktop-based application to evaluate and identify dif-ferent supply chain strategies, leading to cost savings and service improvements.

Karl-Heinz Butz, head of network development (Global Warehouse Network) explains, “The Siemens supply chain is multi-layered and complex. Following a dis-covery project last year, we took the decision to invest in a system which would help us to simplify our supply chain, carry out feasibility checks and model new parts of the network we were proposing.

Ewan French, chief operating officer at Barloworld Supply Chain Software, adds, “The ability for Siemens to model its supply chain centrally will offer the opportunity to simplify what is an extremely complex network, and in doing so reduce cost. Businesses using Cast typically achieve a 10-15% saving on their supply chain costs through the application of network optimisation.”

Barloworld Logistics, Tel: (011) 445 1800, Fax: (011) 445 1630, www.barloworld-logistics.com

Maximum efficiency from distribution fleetParmalat South Africa has announced that it is outsourcing its regional distribu-tion planning functions to VSc Solutions, a locally-based supply chain technology and consulting company. The operating success achieved at Parmalat’s Gauteng distribution centre has paved the way for further development using similar solutions in other regions.

“The integrated solution has provided a total transport management solution that has enabled us to realise the full benefit of our fleet and achieve improved customer service levels. Increased vis-ibility and optimal route planning has allowed us to reduce our overall delivery costs,” says Willem Schoeman, National Distribution Manager, Parmalat.

“The success of this project can be attributed to the deployment of best-of-breed technology, the implementation of skills that we have ap-plied globally and most importantly increased the cooperation between all the stakeholders involved. The results achieved so far are very impressive,” says Ian Cavanagh, Operations Manager: Planning Solu-tions, VSc Solutions.

Parmalat, Tel: (021) 809 1400, Fax: (021) 886 6939, www.parmalat.co.za

New fleet management solutions company in South AfricaTracontime, a fleet management solutions specialist, has recently been launched and has set itself the vision of providing cost-effective machine-to-machine solutions nationwide. According to the company’s CEO, Rogerio Viana, “We have sourced, adopted and implemented the best technologies in the world and have developed partnerships that can support this technology effectively allowing us to provide our clients with a fully integrated solution”.


Market ForumClients are supplied with a SaaS (Software as a Service) platform to enable accurate GPS based tracking. This, when combined with other wireless technologies such as General Packet Radio Service (GPRS), satellite, Radio-Frequency Identification (RFID) and network management programs, ensures consistent and constant fleet manage-ment and monitoring.

Tracontime’s fleet management system includes elements such as asset tracking, job scheduling, trip reports and email or SMS notifications and alerts. In addition, to fur-ther simplify the fleet management process, the company utilises a ‘drill-down’ function to accurately score individual drivers according to parameters defined by their clients.

The fleet management company’s unique web-based plat-form allows its clients to track and assess the movements of its vehicles in real time which allows for better decision making on a closed-loop continuous basis. Furthermore, with the Web Application API’s clients can integrate this real time information with existing business applications to extend the capabilities of their organisation.

Jobs and deliveries can also be scheduled using the company’s dedicated job-scheduling application which al-lows clients to determine vehicle and driver allocation and time frames. The company’s SMS and email functionality informs and updates them on the job’s status.

Included in Tracontime’s range of solutions is the NM-OBD plug and play device that communicates vital vehicle infor-mation to clients via GSM and GPRS network solutions.

Tracontime, Tel: (0861) 872 266, Email: [email protected], www.tracontime.com

ERP enters participation ageWith over 1,8 billion internet users worldwide it is no surprise that ERP customers are demanding web-centric applications and user interfaces. Emmanuel Obadia, senior vice president, Sage ERP X3 says the internet has forced companies to consider how transaction-based applications can better embrace the internet to meet user ’s needs.

Speaking at a recent Softline Accpac Sage ERP X3 event, Emmanuel says that there are over 5 million new internet users every week. He says the significant factor is that they are utilising mobile devices to access the internet. He goes on to say that social networking has been one of the driving forces behind the increased rate of internet adoption.

Hot on its heels, and necessarily so, is enterprise 2.0 where Emmanuel says Web 2.0 technologies enter the enterprise space. “This has lead to ERP modernisation where the content has to be user-centric and constantly accessible.

It is also where solutions such as cloud computing are a requirement. Cloud computing supports software delivery in a participation age where users want information around the clock and in the palm of their hands.”

He says that with 35% of businesses utilising enterprise 2.0 in 2009, significant progress has been made. Mo-tivating this move includes better knowledge retention, improved expertise location, faster information discovery, workplace modernity, higher levels of collaboration, bet-ter cross-pollination of ideas, fostering innovation, higher worker productivity and more transparency.

“It is evident that ERP strategies need to evolve to meet the needs of web-savvy users,” he continues. According to Gartner, ERP strategies must be more end-user cen-tric than before to maximise the benefits achieved from investments in ERP.

From ready-to-use, to tailored-made, to fully integrated ERP solutions, Sage ERP X3 is available in 53 countries, including South Africa. Jeremy Waterman, managing director, Softline Accpac says Sage ERP X3 has filled a gap in the local market. “We launched the product 30 months ago and already have over 1000 users. I am happy with the positioning and success achieved this far. I think it is a good indication of what is required within the mid-market.”

Softline Accpac, (011) 304-2000, www.accpac.co.za


Beyond 2010An insight into the challenges that lie ahead in the next decade and the role that Supply Chain and Operations Management professionals play in moving South Africa forwards.

28 October - Durban5 November - Cape Town

The SAPICS Regional Conferences, bringing supply chain excellence to you.

Visit www.sapics.org.za for full details regarding the registration process, programme and workshop details.

Sponsors:

T: 011 023 6707, F: 086 575 [email protected]. www.sapics.org.za

On the Move

Safcor Panalpina has announced the appointment of James Reddy as its managing director.

TNT Express has appointed Fanyana Nkosi as opera-tions cost and analysis manager.

Goodyear has appointed Paul Gerrard as its first procurement director.

Index to Advertisers

Barpro 8

Cargo Carriers 34

CLF 35

Engineer Placements 35

GEA Refrigeration 21

ILS 4

Interroll 17

JHR Equipment Inside Front Cover

Mercedes-Benz Outside Front Cover

Pioneer Plastics 31

Sapics Inside Back Cover

Scania Outside Back Cover

TNT 22

UD Trucks 30

Universal 32

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Beyond 2010An insight into the challenges that lie ahead in the next decade and the role that Supply Chain and Operations Management professionals play in moving South Africa forwards.

28 October - Durban5 November - Cape Town

The SAPICS Regional Conferences, bringing supply chain excellence to you.

Visit www.sapics.org.za for full details regarding the registration process, programme and workshop details.

Sponsors:

T: 011 023 6707, F: 086 575 [email protected]. www.sapics.org.za


Scania Southern AfricaAngola, Botswana, Malawi, Mozambique, NamibiaSouth Africa, Tanzania, Zambia, Zimbabwe

Scania. Destined to Lead.

Just add Diesel.

Scania is the leading supplier in South Africa of Euro 4 products, with EGR technology.

For more information contact your nearest Dealer. Details available

on www.scania.co.za

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Euro 4 - EGR Ad.pdf 7/9/2010 9:58:47 AM

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SCT: Sept 2010