sct: july 2010

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1/40Supply Chain Today July 2010 1

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2/402 Supply Chain Today July 2010

INDUSTRIAL EQUIPMENT

GAUTENG

3 Fabriek Street

Isando, Johannesburg

Tel: +27 (0)11 922 0000

Fax: +27 (0)11 922 0130

KWAZULU-NATAL

80 Otto Volek Road , New Germany

P O Box 719, Pinetown 3600

Tel: +27 (0)31 716 6300

Fax: +27 (0)31 702 4208

WESTERN CAPE

54A Ju nction Stree t, Tygerbe rg

Business Park, Parow Industria

Tel: +27 (0)21 959 7580

Fax: +27 (0)21 959 7594

EASTERN CAPE

134 Paterson Road

North End, Port Elizab eth

Tel: +27 (0)41 484 7722

Fax: +27 (0)41 484 7889

CLARKLIFT SOUTH AFRICA (PTY) LTD

Clarklift is a division of Equstra Industrial Equipment, a subsidiary of the EqstraGroup Limited, a major company listed on the Johannesburg Stock Exchange.Clarklift is the sole distribors of Clark Forklifts and JCB Teletrucks inSouth Africa.

Sales, Distribution and Services is carried out through 4 branches -

Isando, Durban, Port Elizabeth and Cape Town, as well as 7dealerships. Head Office facility is situated in Isando near Johannesburg.

CLARK - THE FORKLIFT

In the year 1917 Clark invented the Forklift truck. For this reason - CLARK isthe most experienced manufacturer of forklifts in the world.

Today Clark operates one of the most up-to-date production plants for forkliftsworldwide,consisting of 20 000 square meters of covered production area. Theyproduce electric counter balance trucks ranging from 1.5 ton uo to 3.0 ton capacity.Gas (LPG) counter balance trucks ranging from 1.8 ton up tp 8.0 ton capacity.All the trucks are two-wheel-drive models.

JCB - TELETRUK

The worlds most versatile small counter balance lift truck. First take the smallfootprint of an industrial counter balance lift truck. Then add the telescopic boom of

a telescopic handler. Design-in a fully enclosed hydrostatic drive-system.Then finish off with a hydraulic quick-disconnect carriage for forks and shovel.Thats what JCB has done to bring you the JCB Teletruk Range.

This unquie concept of a telescopic boom on an industrial counterbalance lifttruckwas first introduced in 1977. Four-wheel-drive was another first from JCB, introducedin 2001. Since then thousands of these versatile machines have been sold around theworld. The range covers the most popular 2,5 ton to 3,5 ton capacity brands, Diesel-powered two-wheel of four-wheel-drive, and two-wheel-drive Gas (LPG) models.The JCB Teletruk-its not just another lift truck!

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3/40Supply Chain Today July 2010

July 2010

ContentsCover Story5 All in it Together

Scanners7 New Scanners to Suit any Industry

Forklifts

9 Dont Get Back Stabbed11 No Licence to Kill

Trucking15 Weighing in on Overloaders

18 Beefing Up Critical Components

Market Forum Unit19 Market Forum

Sapics23 Outstanding Speakers

Security25 A Theft Solution27 Going Digital

Featured on the cover

Value Logistics

Tel: (011) 929-66050860 1000 46www.value.co.za

Warehousing31 Who Built my Warehouse?

Market Forum Supply35 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)

Proprietor and Publisher:

PROMECH PUBLISHING

Tel: (011) 781-1401

Fax: (011) 781-1403

E-mail: [email protected]@promech.co.za

Website: www.promech.co.za

Managing Editor:

Susan Custers

Advertising Sales:

Lelanie Lane

DTP: Zinobia Docrat and

Sanette Lehanie

Printed by:

Typo Colour Printing

Tel: (011) 402-3468

The monthly circulation is 4 025CopyrightAll rights reserved. No editorial matter published inSupply Chain Today may be reproduced in any form or

language without written permission of the publishers.While every effort is made to ensure accurate reproduc-tion, the editor, authors, publishers 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 anyconsequences arising therefrom. The inclusion or exclu-sion of any product does not mean that the publisher or

editorial board advocates or rejects its use either generallyor in any particular field or fields.

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DO YOUR

FORKLIFTS

MEET THE

RIGHT

CRITERION?

Criterion Equipment is proud to be the sole distributor of TCM forklift trucks inSouthern Africa. With over 30 years experience and a highly competent

network of branches, dealers and agencies throughout the region,Criterion will meet all your material handling needs.

HIGHEST RESALE VALUERenown for its durability and simplicity, the comprehensive TCM forklift truckrange has proved itself across the globe. Commanding the highest resale value

in the industry bears testimony in itself. Moreover, TCM products withCriterion backing have earned a reputation for being very user and

service friendly, minimising downtime and optimising productivity.

SERVICE FRIENDLYFrom the IC engine range, heavy duty trucks and container

handlers, to the vast array of electric models, Criterionhas exactly the right TCM for your specific need.

Click on www.criterion.co.za for moreinformation on the TCM range, as

well as the various options ofhow to acquire your TCMproduct or simplygive us a call.

If youre thinking forklift trucks, youre thinking TCM.

And if youre thinking TCM, youre thinking Criterion.

Criterion Equipment

1 Wrench Road, Isando,Johannesburg, South Africa

Tel: 011 966 9700

Fax: 011 966 9736E-mail: [email protected]: www.criterion.co.za

Criterion Equipment (Pty) Ltd is a wholly-owned subsidiary of Invicta Holdings Limited

Tindrum1

0/084

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COVER STORY

The deal will increase Value Groups al-ready respectable Level 5 empowerment

rating, and will give key employees andstakeholders a direct financial incentive

to drive future growth and transformation.

The Value Group has issued 14.6 million sharesto Dr. Phosa and 6.26 million shares to Mano

Padiyachy at R3.50 per share in a deal valued atR73 million. The funding thereof was provided bya wholly owned subsidiary of Value Group.

In addition, an employee empowerment schemehas placed 5% of Value Group in the hands of

qualifying black managers.

Close involvementThe deal was accompanied by a voluntary share

repurchase offer at R3.60 per ordinary share, to

All in it TogetherLogistics company Value Group

Limited has signed an empower-

ment deal to place up to 15% of

its shares in the hands of its BEE

partners comprising the directors,

Dr Nakedi Matthews Phosa and

Mano Padiyachy, and its key black

qualifying managers.

hedge against current and future dilution of itsstock. It has earmarked R60 million to buy back

up to 16,6 million shares.

Its been a long time coming, says financial

director Clive Sack. It was critical for us to doan ownership deal with BEE partners with whomwe have had a long-term working relationship.

In this transaction, we are dealing with peoplewho are involved in our business and who canadd value to the group.

Last year Value Group attained a level 5 BEErating. Initiatives that helped earn that rating

include staff training , learnerships, bursaries,its Driver Training Academy, and support forvarious CSI initiatives.

Longstanding relationshipWe already do a lot for skills development and

staff training, we invest heavily in enterprisedevelopment and procure from BEE empowered

Dealing with people who are involved in our business

and who can add value to the group

Mano PadiyachyClive SackNakedi Matthews Phosa

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entities, says Clive. But the element of ownership

is critical in being a truly empowered company andwe are proud to have achieved this.

Dr Phosa, a prominent attorney and businessmanwho also occupies the seat of ANC Treasurer General,was chosen because of his longstanding relationship

with Value Group that dates back to 2002.

Director Mano Padiyachy has worked his way up

since joining in 2000 as a contracts manager.Mano is intimately involved in the operations ofthe business and heads various divisions including

logistics, truck rental warehousing and distributionarms of the group, says Clive.

Future growthAll the new stakeholders have a lock-in period of

seven years, underlining the long-term sustainability

of the BEE deal.

The chosen partners and staff have contributed to the

groups development and growth and will continueto be important in driving future growth. The deal

will also help the group retain and motivate keyblack employees by allowing them to participate inthe economic benefits and voting rights attached

to the Value Group shares.

Raising its empowerment profile will also help

Value Group to retain and win new contracts withcustomers who are increasingly keen to procurefrom black empowered suppliers.

Value Group was founded in 1981 by CEO Steven

Gottschalk who started with a single vehicle. Thegroup now operates more than 4 000 vehicles and

has a national infrastructure with depots in everymajor centre.

Pre-emptive measuresIts various divisions provide tailored supply chainservices across southern Africa, including distribution,

transport, clearing and forwarding, warehousing,fleet management, refrigerated vehicles, forklift andcommercial vehicle rental and leasing.

The group generated a revenue of R1.35 billion forthe year ending February 28, 2010. Although that

was down from R1.36 billion in the previous year,the net profit of R91.4 million was up from R85

million the previous year. It declared afinal dividend of 10c per share.

Clive says the group weathered the

economic downturn and boosted itsprofits due to pre-emptive cost-cut-

ting measures taken prior to andduring the onset of the recessionaryenvironment.

Value Logistics, Tel: (011) 929-6605, 0860

1000 46, www.value.co.za

Increasingly keen to procure from black

empowered suppliers

COVER STORY

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SCANNERS

Bartrans imports and

supplies Honeywellsfull range of hand-heldand hands-free scan-

ners, mobile computers, OEMscan engines, self service kiosks,

barcode verifiers and now also,the recently-introduced Hon-eywell sixth generation Xenon

scanner series and Dolphinmobile computing devices. Thecomapny is also an officially

accredited South African ZebraPremier par tner.

QualityThe quality, reliability andcomprehensiveness of theBartrans product range en-

able us to supply the retail, mining, agriculture,pharmaceutical, medical, processing and food

and beverage industries, says BartransDirector, Luke Dunstan.

For example, we offer scannerswith housings that will not wear

when cleaned with alcohol and

units for scanning driverslicences. The Honeywellfixed-mount scanners

are designed for produc-tion line conveyor belts while

our range of wireless mobile

computers facilitates inventorycontrol etc, in the warehousing or

office environment.

Reads damaged barcodesThe Xenon series combines two technologies

- Adaptus Imaging Technology and Omniplanar sSwiftDecoder decoding software to create a plat-

form that extends depth of field, shortens readtime and improves scanning performance.

NewScanners to Suit

Any IndustryBartrans recently expanded its product

range with the introduction of a new

range of Xenon and Dolphin mobile

scanners.

Available in two models -the corded 1900 and the

Bluetooth-enabled 1902, Xe-non utilises Adaptus Imaging

Technology 6.0 to read highdensity linear barcodes, 2Dbarcodes and those on alter-

native surfaces. The seriesprovides enhanced image

capture capabilities, includingauto-cropping, resolution en-hancement while SwiftDecoder

decoding software improvesthe scanners ability to decodedamaged and hard-to-read

barcodes.

Maximises productivityBartrans also introduced thenew Dolphin 9700, a digitalassistant equipped with multi-

functional data collection and

communication capabilities.The device maximises produc-tivity in parcel delivery, routeaccounting, field services,

and healthcare point-of-careapplications, with increasedconnectivity, optimised system

performance, task-specificergonomics, and an intuitive

user interface.

It is the first mobile computing device to com-bine barcode scanning and picture taking and

is equipped with multimedia data collection

capabilities for signature capturing. Full-colourimages and video with Honeywells signatureAdaptus Imaging Technology ensures advancedbarcode scanning.

At the end of 2008, S & N Labels, leading manu-facturer and supplier of self adhesive labels, took

a strategic business decision to buy into Bartrans.The success that we are already seeing over a veryshort period is exceeding expectations, reports

S & N Labels Managing Director and BartransDirector, Simon Grisdale. Customers demand acomprehensive product and service offering from

one supplier, and Bartrans and S & N Labels are aperfect combination to deliver end-to-end system

solutions from labels to high-end scanning andprinting solutions, he concludes.

Bartrans, Simon Grisdale/Luke Dunstan, Tel: (011) 552-

8245, www.bartrans.co.za

The Dolphin 9700 series combines barcode

scanning and picture taking

We offer scanners with housings that will

not wear when cleaned with alcohol

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Dont Get BackStabbed

In laymans terms, the RotoScan RS4 is aconfigurable safety device which employs

laser technology that constantly scans acomplete working area two-dimensionally

with an angle range of 190 degrees and a radius

of a few meters.

When a person, or people enter the protected

zones, an automatic switch-off and alarm com-mand is generated for that particular machine,says Gerry Bryant, managing director of Coun-

tapulse Controls.

How does it work?Because of the use of laser distance scanning,the RotoScan RS4 can be configured to deal

with complex production parameters, while not

compromising the safety of personnel in theworkplace.

Furthermore, the four independent protectionand warning zones can be switched over at any

time during operation all via the included PCsoftware.

Because protection across the entire width of theaccess area using light beam devices with mut-ing function is not always feasible, the optimal

solution will comprise a flexible, individuallyconfigurable device that closes these gaps. Gerryexplains this is where a safety laser scanner

comes to the fore.

Two eyes are better than oneWith a safety laser scanner, the access area canbe divided into a left-hand half and a right-hand

half, precisely adjusted to the forklifts approachroutes. Instead of the complete deactivation of thelaser scanner protective function, the monitoring

of both access paths can be specifically controlledwith a protective field switchover, he adds.

The warning field of the laser scanner and a reflec-tion light beam device, which detects a reflectoron the roof of the forklift, serves as sensors for

detecting the forklift approaching.

In closingThe RotoScan RS4 Safety Laser Scanner is said tomeet all international OH&S requirements when

it comes to safeguarding the working environ-

In the past, wondering around a factory floor was very much a health peril. This was especially true when it

came to forklifts. Having one of these beasts poke you in the back, or even worse, not uncommon. However,

thanks to modern technology, this is a thing of the past.

The RotoScan RS4 is the most suitable option for

protecting people with safeguarding danger areas on

stationary machines and mobile systems

ment. The unit is available from Countapulse

Controls.

Gerry Bryant, Countapulse Controls, Tel: (011) 615 7556,

www.countapulse.edx.co.za

FORKLIFTS

When a person, or people enter the protected zones, an

automatic switch-off and alarm command is generated

for that particular machine

A whole new

spin on shrinkage!

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For further information and a free energy audit,contact: Tel: (011) 389 7700 Fax: (011) 864 3800 - www.easigas.co.zaToll Free: 0800 001 504 - [email protected]

Fork lift trucks operating on Easigas benefit from more than just increased cost efficiency.

Because LPG burns off 100% there are NO emissions or exhaust fumes.This is vital when operating in a foodenvironment or where hazardous materials are stored.

Cleaner burning engines mean longer engine life and increased time between service intervals as there is nocarbon build up on cylinder heads and valves.

And in these days of load-shedding, isn't it nice to know that there are no power cuts with Easigas?

...and when the lights go out,and the power shuts down, andeveryone else is sitting aroundtwiddling their thumbs ...

Isnt it good to know that have invested in

THE POWER TO DO MORE.

you

No re-charging time also allows for continuous operation bysimply exchanging the cylinder.

Today, more than ever before, if makes excellent sense toeither choose a fork lift powered by Easigas or convert yourexisting petrol, diesel or electric fleet to this clean, powerfuland economical alternative.

Supply Chain 6178E

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drive, as most have auto-transmissions andtorque converters. What catches untraineddrivers out is that forklifts are rear wheel steer-

ing. If you turn to the left, the right hand rearside of the forklift swings out to the right. Thisunexpected movement results in people being

crushed against racking or other vehicles. Theforks are also lethal as these can injure people

and wreck other equipment.

It is the lawBy law, you have to be trained and have aforklift licence, says Kevin, and you have tohave a renewal every two years. In importance,

a forklift licence is similar to a heavy goodsvehicle licence.

Where accidents happen frequently is when fork-lift operators turn the machine too rapidly whencarrying a load at the top of the mast. When the

centre of gravity is two or three metres off theground, the forklift is inherently unstable. Thisis exacerbated when a loaded forklift travels

across a slope.

No Licence

to Kill

It is difficult to imagine how a forklift truck could

down a massive passenger jet. However, that

is what happened just after 3 pm on May 25,

1979, when an American Airlines DC-10 crashed

shortly after takeoff from Chicagos OHare Inter-

national Airport, killing 273 people.

When a person is struck by a forklift, there are no

crumple zones and absolutely no give

Kevin Bailey

A forklift with a special handling attachment

It was later determined that the airline,

American Airlines, was not following themanufacturers procedures for removing theengines and engine pylons for maintenance.

Instead of removing the engines first, and thenthe pylons, the companys mechanics had fig-ured out how to remove the engines and pylons

together by using a forklift.

This non-standard procedure often damaged the

pylons which held the engines in place, and ul-timately resulted in the American Airlines plane

plummeting to the ground.

When one looks at a forklift, it does not look

particularly dangerous. And yet ever y year, world-wide, a surprisingly large number of people areinjured or killed in forklift accidents, says Kevin

Bailey, MD of Avis Forklift Rental in JohannesburgsJet Park.

While the DC10 accident is an extreme example,what people do not realise is that forklifts com-monly found in warehouses weigh about 2.5

tons. When a person is struck by a forklift,there are no crumple zones and absolutely nogive, he says.

Potentially dangerousBeing such a versatile tool, it is very easy to

FORKLIFTS

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FORKLIFTS

However there is a huge difference between driv-

ing and operating a forklift. Anyone can drive aforklift, but to be a skilled operator, you need tohave coordination and good distance perception.

This comes with much more experience than thebare 40 hours, he adds.

Warehouse managers need to take care whensigning on new forklift drivers, as there are manydodgy licences in circulation, warns Kevin. In a

warehouse, a driver with such a licence can do alot of very expensive damage very quickly.

Check the credentialsIt is important always to check a new drivers

credentials. Avis has a method of checking onthe Internet to see whether the organisation thatcarried out the training is properly accredited.

Very few are, says Kevin. When a contract driveris taken to site, a condition that Avis lays downis that the customer should spend some time

ensuring the operator can actually do the job.

Another South African peculiarity is that forklift

drivers are not regarded as professionals. Theforklift driver is not paid anywhere near a truck

drivers salary. However, there are situationswhere the forklifts value-add is as great as atruck, except that the forklift does not travel on

public roads, continues Kevin. Without the

There is a lot of corruption in this area

Kevin is not completely satisfied with the way inwhich forklift operator training is conducted in

South Africa. The new operator has to have 40hours of forklift operating time. These five daysof training costs about R9000.00. This means

that forklift driver training is expensive for theaverage person. As a result, there is a lot of

corruption in this area, says Kevin.

Valid licences?An operator may have a valid-looking licence.

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If you are going to load from the ground, thenit is advisable not to use the forklift to push thegoods into the truck load box, as this will, in time,

damage the forklift gearbox, he says.

Regular maintenance crucialThis brings up the challenge of forklift mainte-nance. Forklifts are not directly income-gener-

ating assets, so in many cases, maintenance isdone begrudgingly. The forklift works around thepremises all day, and to modify the clich, fami l-

iarity breeds neglect. Also, as they are frequentlydriven by a number of drivers, these machinesare often abused.

The trouble is that abuse is cumulative, as ashabby forklift usually has more mistreatment

meted out to it. However, should the forkliftbreak down when there is an urgent need for it,the owner could lose an order, or a customer.

This is one of the reasons why Avis only buysnew forklifts from the manufacturers of qualitymachines.

Legislation dictates that forklifts have to be loadtested at least every year. These certificates need

to be kept on file, and produced for inspection,if need be. Forklifts, in the nature of their work,have a heavy duty cycle, which means that they

need more maintenance than a truck or car. Bynot replacing a small part costing a couple of

hundred rand, the forklift owner can quickly runinto a repair costing some R8000.00, Kevinconcludes.

Kevin Bailey, Avis Forklift Rental, Tel: (011) 397-1784,

Email: [email protected]

FORKLIFTS

respect of management, it is understandable

that the forklift driver will not have great respectfor his job.

Kevin explains that what has worked well is thatwhen they carry out driver training, they includethe care of the machine. Avis customers have

consequently seen their overall cost of forkliftusage decreasing.

Expertise essentialAs always, if you have limited experience withforklifts, before buying or renting, consult withthe experts. The first thing we would do, is visitthe warehouse and carry out an assessment. Ourquestion would be, what do you want to achieveand how can we assist you in this? says Kevin.We would then consult with a racking expert to

design the most efficient storage. Floor space inwarehouses is expensive, so it is vital to maximisethe use of the square metres available.

The right tool for the jobFirst of all, you have different engine types. The

most common are diesel units, though forklifts arealso available in petrol and gas powered models.Finally, there are battery-powered forklifts, which

are becoming increasingly popular. Then thereare forklifts for use indoors or outdoors.

In todays sophisticated warehouses used by themass-stores for example, there is a demand fornarrow aisle forklifts.

Wheel configurations are either three or fourwheels. Ultra-compact forklifts are usually three-wheelers which gives them the ability to turnon a tickey. The conventional counter-balancedforklift is usual ly a four wheeler. And then thereare reach trucks, where the operator does notalways have to sit in the driver s seat. With orderpickers, the driver operates the machine whilestanding on the platform. This machine is usedwhen the items in the racks are small enough tobe picked up by a person.

To increase the utility of these enormously use-

ful machines, various attachments have beendeveloped that either simply fit on to the forks,or replace the forks. Some of these attachmentshave functionality such as bale clamps or paper

reels.

Damaging the gearboxHowever, the more inventory that needs to bepacked into a warehouse, the smaller the aisles

between the racks have to be. As aisles becomenarrower, the goods handling equipment has tobecome more sophisticated (and expensive).

Outside the warehouse, the question is how doyou get the goods into the trucks? The warehouse

might have a conveyor belt, or forklifts are neededto move the goods into the trucks if the warehousehas a loading dock. If the truck has a box-type

loadbed, the forklift will need a triplex containermast to allow it to move into the truck.

To modify the clich, familiarity breeds neglect

Sound training of operators is imperative

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Scania Southern Africa

Angola, Botswana, Malawi, Mozambique, Namibia

South Africa, Tanzania, Zambia, Zimbabwe

Scania. Destined to Lead.

Just add Diesel.

Scania is the leadingsupplier in South Africaof Euro 4 products, withEGR technology.

For more information contact

your nearest Dealer. Details available

on www.scania.co.za

8/7/2019 SCT: July 2010


The major contributor to damage to our

roads is overloading of trucks. And themain countermeasure that the traffic

authorities have is weighing trucks at aseries of weighbridges, says Gavin.

Secondary roadsWhat compounds the problem is that many ofour older secondary routes will only take loads

of four or five tons a reflection of the trucksin use at the time, says Gavin. Roads of thisnature are completely inadequate for bearing

trucks with a legal gross weight of 54 tons.

Very little weighing or policing is done on second-

ary roads and there is also scant understandingof what vehicles are using these roads.

Wear and tearOverloading is short sighted as it subjects thetruck to abnormally high wear and tear. Truck-ers should strive for the best ratio between thepayload and the number of trips the truck will

make in its lifetime.

Overloading concerns two areas. First is the grossvehicle mass, and second is the loading of eachaxle. A trucker can place the correct payload in

his vehicle. But if this is not balanced betweenthe various axles, the driver might be surprised

to find that his axle loading on one set of wheelsis too high, says Gavin. And then, with bulkloads such as coal, sugar, these can shift whilein transit, unbalancing the truck loading, At

the weighbridge, the truck can be found to betechnically overloaded.

There are operators who overload inadvertently,and there are the truckers, all too frequently,

who overload deliberately, continues Gavin.The RFA wants to preserve the country s roads,while promoting trucking safety. As the Associa-

tion also supports its own members who do notoverload, it is absolutely opposed to the practice

of deliberate overloading.

CodeOn joining the RFA, truckers sign a code of ethics.

RFA members also subscribe to a self-regulatingprogramme called the Road Traffic Management

Weighing in on

OverloadersAs motorists grit their teeth at the state of our potholed roads,

Supply Chain Today speaks to Technical Operations OfficerGavin Kelly, technical and operations manager at the Road

Freight Association (RFA) about this growing problem.

Gavin Kelly

There are operators who overload inadvertently, and

there are the truckers, all too frequently, who overload

deliberately

TRUCKING

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System (RTMS). Not only does this deal

with overloading but also helps truckersto avoid underloading their trucks.

In extreme cases of overloading, truckershave been caught with more than 100%of the allowable load. While the fine

may be R50 000, this does not evenremotely cover the cost of the damageto the road.

One of the problems operators face isknowing exactly what weight they are

loading on their trucks. I f you take, forexample, wooden poles, their weightwill vary quite considerably. One load

of 100 poles may weigh substantiallymore than another load of similar poles.

Over the past couple of years, a numberof operators have ordered trucks thathave scales fitted. Although costly, these

help ascertain the correct load whileavoiding the risk of prosecution.

AdvantagesThe RFA emphasises that RTMS compliant truckswill not be weighed as often as others. This is

because RTMS trucks are much more likely tobe load compliant. This reduces the cost of the

trucks standing time.

While there are a number of weighbridges, the

service is not instantaneous. Presently, the aver-age standing time is 45 minutes. This time coststhe operator money and a number of operators

have ordered trucks that have scales fitted delaysthe time of delivery, especially if the trucker ison a long haul.

If one factors in all the delays a trucker experi-ences with weighing, border formalities, tolls and

rest stops, a trip that might take a motorist sixhours, could, for example, take the trucker twoto three times as long. At the national borders,

the RTMS trucker enjoys other accreditationsystems, which get his or her truck across the

border quite quickly, explains Gavin.

ResultsEliminating RTMS trucks also allows the trafficauthorities to focus on the less reputable truckoperators. In the timber and sugar industries,

the RTMS programme, remarkably, broughtoverloading down to less than 4% of vehicleschecked. Conversely, in coal, it had the benefit

that it increased loads, as, in the past, truckershad been under-loading.

With RTMS, what some truckers are doing istaking their loaded trucks to a weighbridge,

and if they are overweight, taking some of theload off. Because RTMS is operating as a pilotprogramme in three separate industries, the idea

is to expand it this year into other areas of trucktransport. Generally, RTMS has engendered a

TRUCKING

greater sense of responsibility from consignors

as well as truckers.

In the past four or five years, the trucking industry

has been working closely with manufacturers, thelegislative arm of government and the traffic police.An ongoing problem is that the trucker has no

control over certain aspects of the cargo. A goodexample is the container, as the truck operatormay not know what is inside. Apart from the specs

on the contract, the operator doesnt necessarilyknow what the containers weight is.

New legislationThrough negotiation and agreement, the RFAhas now drafted new legislation called the Con-signee/Consignor Legislation, whereby all parties

involved in a transport project, can be held jointlyor individually responsible for certain issues in

that chain. Should the consignor misrepresentthe weight of a certain load, he will be heldresponsible, not the trucker.

When it comes to sealed containers, if themanifest says the cargo is sugar, for example, but

when the container is opened, the cargo is foundto be drugs, the trucker is not responsible for thecontent of a properly-sealed container. Formerly,

truckers were prosecuted in these instances.This has been a tremendous step forward in theprevention of this type of fraud, says Gavin.

The new legislation makes the business oftrucking fairer for all operators. And, no matter

how hard we fight for axle mass reduction, weall pay taxes, so the roads are ours as well,

Gavin concludes.

Gavin Kelly, Technical & Operations Manager, RFA, Tel:

(011) 974-4903, Email: [email protected]

The operator doesnt necessarily know what the

containers weight is

8/7/2019 SCT: July 2010


TRUCKING

Karan technical manager Charles Brownsays, No transporter can take chances

and we have the added responsibilityof transporting livestock in significant

numbers.

No exaggerationSignificant numbers is no exaggeration. Morethan 30 000 cattle per month are brought to the

Karan feedlot in Heidelberg from destinationsacross the country, the same number is taken

from the feedlot to the abattoir in Balfour, andabout 40 000 tons of feed per month is broughtin from several destinations including Pretoria.

This translates into approximately 60 loads perday and more than 400 000 km per month,

says Charles.

With 46 horses and 50 trailers to do this work,

care and maintenance is key. We do everythingourselves to ensure the highest standards and

every vehicle is serviced each month - irrespective

of kilometres. This includes wheel alignment, forwhich we have our own facilities.

A good exampleCharles adds that working closely with suppliers

like Jost has helped Karan not only maintain the

Beefing Up Critical

Components highest safety standards, but also achieve thisvery cost effectively.

The recent upgrade of our fifth wheels on sev-eral trucks is a good example, he says. On the

vehicles with a lifting-axle, we found that whentravelling empty on uneven surfaces, the bounc-ing of the semitrailer caused excessive wear to

the kingpin and other wear parts, which woredown too quickly.

Working together with Jost, the problem wassoon solved. We had been using our JSK36Cfifth wheel and figured that the low maintenance

JSK37CW would obviate the problems, saysJosts Manie Roux. The JSK37CW has plastic

liners on the top plate and a plastic inser t on thewearing ring preventing metal on metal wear. Thisproduct is also better for the dusty conditions the

trucks work in as there is never a need to greasethe top plate.

TeamworkThe solution was an un-mitigated success. We

have now had two-and-a-half years service from

the JSK37CWs - in excessof 300 000km - withouteven having to replace

the liner plates, saysCharles.

Problems and challengesoccur all the time and its

teamwork that providesthe best solutions, headds. Jost, who has sup-plied us for more than 10

years, is an integral partof our team. The tempo

of our operation means that we cannot tolerateany downtime and whenever weve needed help,whether in an emergency or to solve a longer-

term issue, Jost has responded quickly, efficientlyand effectively.

Unusually fastidiousJosts Manie returns the compliment. Karan is

unusually fastidious in managing its transport.So much so, we have relied on them extensivelyto test our renowned range of hubodometres.

Manie Roux , Jost Transport Equipment, Tel: (0861) 467-

463, E.Mail: [email protected]

Bumpy roads in the cattle business spell bad news. Karan

Beef has upgraded several of its fleets safety-critical

components, including its fifth wheels supplied by Jost

Transport Equipment (Jost).

Manie Roux (L) discusses with Karans Charles Brown (M) and Chris Hanekom (R) the

ner details of the successful JSK37CW fth wheel

The solution was an unmitigatedsuccess

8/7/2019 SCT: July 2010


Market ForumGood, clean and

efficientMultilayer Trading, has taken

delivery of eight new Doosandiesel forklifts from Goscor LiftTruck Company (GLTC).

GLTC Durbans Warren New-ell says that an important

aspect of this contract wasthe cleanliness requirementin Multilayers warehouses.

Because they deal with openboxes of textiles, engine pollu-tion had to be reduced to the

absolute minimum.

He adds that this solution

helped in changing Multilayerfrom an expensive gas fleet tothe more economical fleet of

Doosan diesel trucks.

A feature that has made Doosan

lift trucks a popular choiceacross the globe is its 60-

month, unlimited hours guar-antee on its brakes for lifesystem.

Goscor Lift Truck Company, Tel:

(011) 393.1413, E.Mail: dshafto@

goscor.co.za, www.goscor.co.za

GLTC KZN sales manager Warren Newell (right) and Multilayers operations manager Roy Brown

Volume increases along

with new enginesThe Freightliner and MitsubishiFUSO divisions of Mercedes-Benz

South Africa (MBSA) have endedthe first four months of 2010with a volume increase of more

than 27% over sales compared toyear-to-date 2009. These sales of

731 units contribute to MBSAsmarket dominance of 34,7%market share year-to-date.

In September this year, FUSOwill introduce the FUSO FK/FM

and FP/FV series with Euro 2 and3 engines. The FK/FM series iscompletely new in terms of cab

design with the latest technol-ogy. The FP/FV will see engineupgrades.

Mercedes-Benz South Africa, Tel: (012)

677 1904, www.mercedes-benzsa.co.za

MBSA introduced its new Canter range with the Euro 2 engine

8/7/2019 SCT: July 2010


Market Forum

The Workabout product was

rst launched 18 years ago

original, in-house mailing system was largely manual, and

therefore proved time-consuming, especially since bulkmail needed to be sent out regularly. Before we receivedthe D1425 machine, it took staff three to four days to

manually fold invoices, statements and other printedmaterial into envelopes. It was time that we obtained an

automated machine and mailing system. Using PitneyBowes Batsumis DI425 now means that mail is ready tobe sent out in two hours, he says.

The DI425 enables Monsanto to slot three differentletters into the envelope, including marketing material

and bills, says Pitney Bowes Batsumis Sales DirectorFrancois Hugo.

Francois notes that the DI425 is a perfect solution forcommon applications such as bills, statements, directmail and reply envelopes. Optical Mark Recognition

(OMR) capabilities are available to ensure that customersreceive the correct documents. In terms of time saved,

up to 20 common applications can be programmed intothe machine, says Francois.

Francois adds that the DI425 runs at a speed of 3 500

pieces an hour, capable of handling up to 30,000 pieces

a month. Errors and paper jams are prevented, as thereis built-in double detection on all feeders, with automaticpage separation.

Website: www.pb.com

More durability and improved usabilityPsion Teklogix has recently int roduced the new WorkaboutPro3, which includes enhancements that make it more

modular and rugged. The Workabout Pro3 is designed for

improved ROI, and it is easy to upgrade or change softwarewith its, future-proof design that allows businesses tocustomise the devices to meet their specific needs. Thislevel of modularity, combined with Psions hardware

and software development kits that allow customers tobuild their own applications, enables the development ofthousands of buildable combinations for the devices to

meet the needs of any business. The new Workabout Pro3is also backwards compatible with other devices in theWorkabout Pro line and other

software and add-ons, allowingfor migration and eliminating

the need to reinvest in new

equipment.

Enhancements include im-proved usability with the useof a full Qwertykeyboard, up

to 25 percent more efficiency,twice the amount of Ramand four times the amount

of Flash Rom. The WorkaboutPro3 was also designed to bemore durable.

The Workabout product wasfirst launched 18 years ago, and

has always had a foundation inmodularity, expandability and

easy customisation. The newWorkabout Pro3 reflects andbenefits from this philosophy

and sets out Psions intentionswith OSM. It expands uponthe usability and modularity

of the Workabout Pro series,offering improved flexibility,

efficiency and performancefor everything from RFID andscanning to biometrics.

Michelle Hollis, Psion Teklogix, Tel: (011) 805 7440, Email: [email protected]

A mailing marvel

Pitney Bowes Batsumi Enterprise, has recently supplied itsDI425 mailing machine to agricultural company Monsantoin South Africa, to streamline its mailing system.

Naul Bezuidenhout, Monsantos Procurement Manager re-quested Pitney Bowes Batsumis assistance as Monsantos

Pitney Bowes World Headquarters is located in Stamford, CT

8/7/2019 SCT: July 2010


Market ForumGreat mass and volume

capabilitiesWhen it comes to vehicle selection

and capital investment for anytransport application, theres nosubstitute for gross vehicle mass

(GVM) to match the task. Repre-senting a trucks total operationalmass including payload, cargo

body, driver and crew, chassis/caband any other extras, GVM canbe enhanced by a low tare mass

of a truck without payload. At22,500kg GVM and a chassis/cab

tare mass of only 6,630kg this isexactly where Isuzus new F-Seriesmodel FVM 1200 freighter in 6 X

2 configuration provides maximumcubic capacity with a high kilogrampayload.

Equipped with a mass saving,curtain-side, Tautliner truck body

the Isuzu FVM 1200 achieves avery efficient payload estimated at13,624kg combined with a massive interior cargo body volume

of 52,7 cubic metres. Overall height tops 4,225m and remainswithin the legal 4,3m limit. The Tautliner body design is also

a weight-saver due to the curtain sides that present all-roundaccess to cargo and easy-loading by forklift trucks.

A 6 X 2 truck is inherently lighter than a 6 X 4 unit as it doesnot carry the mass penalty of an extra drive axle, but the FVM1200 is also not designed as a trailer puller which means its

a much lighter yet robust truck all round for solo freight carrie rapplications. The low chassis/cab mass of 6,630kg leaves auseful 15,870kg for both body and payload. For example,

instead of the Tautliner body, a flat-deck cargo body, manu-factured from DOMEX lightweight high-tensile steel, couldresult in a payload of close to 15 tons.

Website: www.isuzutrucks.co.za

The Isuzu 7790cc diesel engine equipping the FVM 1200 looses no power at altitude

Three wheeled wondersCriterion Equipments TCM FTB-VII forklift series is availablein three units, each with a 500mm load centre. The smallest

unit has a maximum capacity of 1 600 kg and the largestunits maximum capacity is 2 000 kg.

There are three work modes economy, power and supermode as well as various travel speeds which can be pre-set,depending on the specific job requirement, says Shaun Collins,

national sales manager, Criterion Equipment. The maximumlifting speed without a load is 610 mm/s and with a load the

lifting speed is 410 mm/s. The battery power of this machineenables operation for up to eight hours.

The forklifts incorporate an AC motor, wet disc brakes, which

ensure stable braking regardless of ground conditions and anoutside turning radius of 1,540 mm and a minimum right

Criterion Equipments range of TCM forklifts include electric three

wheel forklift trucks

angle stacking aisle of 3,225 mm. Also included is anemergency battery shut-off switch for urgent stopping

and a tilt cylinder lock that prevents the mast fromtilting forward when the control lever is shifted.

Criterion Equipments range of TCM forklifts include

electric three wheel forklift trucks.

Criterion Equipment, Shaun Collins, Tel: (011) 966-9700, Email:

[email protected], www.criterion.co.za

8/7/2019 SCT: July 2010


8/7/2019 SCT: July 2010


SAPICS

W

ith presenters discussing everything

from trains, ports and automotivespares, to chocolate, publishingand government departments, the

2010 Sapics Conference will have something foreveryone. It takes place at Sun City from July 25

to 27 (inclusive), and is held in collaborationwith the Supply Chain Council.

Supply chain challenges in the public sector willbe highlighted by international speaker DavidSmith, who is currently the commercial direc-

tor for the Department for Work and Pensions(the biggest Central Government Department inthe United Kingdom) and is accountable for an

overall procurement spend of some 4 billionper year. He has specialised in procurement and

commercial matters in the public sector for over20 years.

Complete eliminationMaruti Suzuki, a subsidiary of Suzuki MotorsJapan, is Indias largest passenger car company,

and operates a large, centralised warehouse forspare parts distribution. In addition, in his Sapicspresentation, Sitaram Geddam will discuss the

challenges faced by this operation, including longorder fulfillment time, erroneous dispatches, low

inventory accuracy and manual processes. He

Outstanding SpeakersIn the run-up to its 32nd Annual Conference and Exhibition,

Sapics (The Association for Operations Management of South-

ern Africa) has announced that this years event features an

exceptional and balanced line-up of international and local

speakers with insights to share with professionals from every

area of the supply chain field.

elaborates, This case study will take delegates

through the improvements made, which resultedin a 700 - 800% improvement in order fulfill-ment time, an almost complete elimination of

erroneous dispatches and accurate, real timeinventory visibility.

CatalystA presentation by Obiora Madu focuses on TheModern Port and Global Supply Chain Optimisation.

Ports today face two competitive challenges - thelarge increase in volumes and the need for greater

efficiency, Obiora notes. This presentation will

identify catalysts for optimum future developmentof port infrastructure as well as the implications

of export competitiveness, port commerce, inter-port co-operation and competition.

Real exampleThe presentation on change management, byLloyd Snowden of Oliver Wight (Europe, Middle

East and Africa), features a real example of atransformation project conducted in a nationaltrain building company. Lloyd elaborates, It

will identify to the audience the initial businessmaturity found and associated business results,

the culture and behavioural challenges and howthey were being threatened by cheaper Europeanimports.

Shortages and surplusesApplying the Theory of Constraints to reduce

shortages and surpluses in retail is the topic ofthe presentation by Alan Barnard, CEO of GoldrattResearch Laboratories, South Africa. Alan uses a

publishing industry case study, but the lessonslearnt are generic enough to be applied to anyother consumer goods supply chain.

He explains, The worlds largest general-interestbook publisher approached Goldratt Research

Labs to find out if the application of Theory ofConstraints (TOC) could help reduce both sur-

pluses and maybe also shortages.

Heart of the businessLessons learned at Cadbury South Africa will be

shared in a joint presentation by Uida Havinga,supply chain development manager, and Johnie

Tredoux, head of Distribution and Customer Opera-tions, Cadbury South Africa. Their presentationhighlights Cadburys Project Heartbeat, the

intervention that was implemented to improvethe health of the business. Says Uida, Poor

customer service has two prominent, unhealthyeffects. Firstly, it aggravates customers, andsecondly, it convolutes internal effectiveness.

The result of Cadburys effort was an astonishing40% improvement in customer service within18 months.

Ports today face two competitive challenges - the large

increase in volumes and the need for greater efficiency

8/7/2019 SCT: July 2010


SAPICS

Green is the new goldGreen is the new gold, and first prize for 21st-

century, environmentally-responsible organisations,and reflecting this, the 2010 Sapics Conference

features several presentations with a greentheme. Greening Transportation in the SupplyChain is the title of a presentation by Abrie de

Swardt, marketing director of Imperial Logistics,South Africa.

In their joint presentation, Liesl de Wet and

Adrian van Tonder of Barloworld Logistics Africa,will highlight how best practice methodologies(lean, six sigma, innovative fleet management and

design and driver training, to name but a few)can positively contribute to a sustainable supply

chain, which will be able to address the presentand future requirements of customers by takingenvironmental considerations into account.

In the boardroomMoving from the environment into the boardroom,international speaker Allan Waller, from the UnitedKingdom, who has also been awarded an OBE(Order of the British Empire) will discuss the

reality of supply chain strategy in the boardroom.Says Allan, Cranfield School of Management,with the support of Solving Efeso, undertook

specific research on supply chain strategy in theboardroom, aimed at understanding the

reality of what is involved in developingand implementing supply chain strategiesin the worlds leading businesses.

Actual scenariosIf your supply chain is in need of an over-haul, look no further than the presentationby Chris Cook, supply chain developmentmanager, Africa, at Damco, South Africa.

Reviewing and Revitalising the Supply Chainis the title of his presentation, which will

focus on a number of critical inhibitors ofefficient inventory management, illustratedby case studies from actual scenarios.

Sapics, Jenny Froome, Tel: (011) 805-5677, Email:

[email protected], www.sapics.org.za

The global recession of the last 18

months has driven organisations to

aggressively seek out efficiencies with

intense pressure on working capital

Green Supply Chain AwardsEveryone is welcome to come and

see who walks away with the coveted

trophies for Industry Leader, BestProject and Best Product.

Co-hosted by Supply Chain Today,CILTSA and the CGCSA, the green

Supply Chain Awards cocktail partytakes place on 19 August 2010 at

the CGCSA offices in HurlinghamJohannesburg.

Contact: Catherine Larkin on

Tel: (011) 789-7327/787-127,

Cell: 083 300 0331, Fax: (011) 787-7865,


8/7/2019 SCT: July 2010


The situation was spiralling out of control, whichprompted managing director of Douglasdale

Dairy, Mike Matthews, and technical manager atDouglasdale Dair y, Andrew Edwards, to come upwith a solution to this crippling problem.

Total of sixMike and Andrew designed the new crates to

comply with international Food Safety Standard,HACCP (Hazards Analysis and Critical Control

Point) certification, which requires all food productsto be kept off the ground. In addition, the newcrates have overcome the stacking and packing

problem which conventional crates presented whentransporting the milk in refrigerated trucks.

The new crates can be packed on two standardpallets which can be placed side by side on thetruck, which results in a total of six crates be-

ing packed abreast, as opposed to five cratespacked abreast with the sixth one having to bepacked long ways due to the shape and size of

the conventional crates, explains Mike.

Very uncomfortableThe new crates do not fit onto any conventionalcrates, which will eliminate the problem of com-

petitors making use of Douglasdale Dairy crates.We have designed the new crates with largerround holes, small enough to accommodate all,

our milk products but too large for vendors topack and transport fruit in our crates. In addi-tion, the bottom of the new crates has two ridges

which makes them very uncomfortable to sit on,describes Edwards.

The new crates will transform our business.Douglasdale Dairy milk bottles will stick out ofthe top to ensure that conventional crates can

not be stacked on top. We have also done away

with the side panel which wi ll make our productvisible when packed in the crates. The new cratesweigh less than the conventional crates and,as a result, are less expensive to manufacture.

The greatest saving is of course the estimated75% saving on monthly crate shrinkage, Mikeconcludes.

Douglasdale Dairy, Tel: (011) 706-6030

ATheft SolutionMilk is transported from the dairy to the distributor in milk

crates which have become increasingly attractive to informal

traders, formal traders and recyclers for their versatility, this

has resulted in a major industry crate shrinkage problem.

Losses of in excess of R 400 000 per month

The massive monthly loss of

crates impacts on the bottomline of any dairy business.Douglasdale Dairy, which ser-

vices the greater Gauteng area, has anestimated 27 000 crates go missingevery month.

Creative usesThe original crates had become increas-ingly useful to a range of business sec-tors that utilise them as display units

for selling goods, as well for storingstock items and for carrying stock toand from their sales points. In addition,

the crates made for very comfortablevendor chairs.

Yoland Byrd, a certified fraud examiner and

director of Facts Consulting says, Accordingto a US survey by the Association of Certified

Fraud Examiners, organisations lose 7% of their

annual revenue to fraud.Fraud schemes go undetected for years before

being detected. Fraud is more likely to bedetected because of a tip-off rather through

internal controls and audits, she says.

SECURITY

Mike Matthews (left) and Andrew

Edwards (right) of Douglasdale

Dairy

8/7/2019 SCT: July 2010


Ofces in Johannesburg, Durban, Cape Town & Port ElizabethTel: 0861 GOSCOR (467 267)

[email protected] www.goscor.co.zaA proud member o the Goscor Croup o Companies

LIFT TRUCK

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Going Digital

An enterprising researcher fooled a fingerprint ID system

using gummy bear jelly

Dawid Jacobs, P2Dss

The advent of electronic document storage

and electronic signatures has put increasing

pressure on the document courier industry.

Where, in the past, important documenta-

tion wouldve been sent to its destination via

express courier, it is now faster, easier and

cheaper to email.

However, there areimportant legalconsiderations

involved thatmay require that certain

documents will always needto be physically delivered.Supply Chain Today did

some research to get bothsides of the story.

Legal advice

The law requires that somedocuments be delivered by

hand, says Anelda Collinsof Collins Attorneys in

Pretoria. If you want tosue someone for instance,the original documentation

must be served by a Sheriff,while subsequent pleadingsmust be delivered by hand

or by registered post.

This makes it easier to

keep three identical files, one for the plaintiffs

attorneys, one for the defendants attorneys andone for the Court. These threecopies make it more difficult to

tamper with documentation, sincechanges would be obvious ifone version differs from the

other two.

Although arrangements can

be made for electronictransmission via fax oremail, according to Anelda

the problem with electroniccommunication is three-fold.

Its not always reliable, she explains. You cantalways confirm receipt of documentation and one

party may deny having received the files.

Determining time-frames

Theres also an issue with scheduling. Its hardto determine time-frames for procedures whenyou dont have a record of when a party actually

received the documentation. Theres always thepossibility that someone else opened the emailand the intended recipient never saw the files.

Theres no guarantee that the files will open onthe other side, or that theyll arrive in entirety.

Furthermore, the recipient may tamper with thedocument. Finally, electronic signatures are simplytoo open to forgery.

Loopholes and hackers

Physical documentation avoids the possibility ofpeople finding a loophole to get out of a contractby denying they were the ones who signed it.

Even when encoding is used, theres the pos-sibility of a hacker accessing your informationsomehow, so you can never actually prove who

the signatory was. It is for this reason that legaldocumentation requires witnesses.

Additional research bears this out, with fewelectronic signatures being safe from a competenthacker. Even biometric controls are open to tamper-

ing; in a recent study, an enterprising researcherfooled a fingerprint id system using gummy bear

jelly and a fair amount of creativity.

It is much easier to have an original contract fo-

rensically investigated for fingerprints, handwritingdiscrepancies etc. In most cases, paper-based origi-

nal documents stand up

as authentic in courtsof law and those whichare found to be false

for what ever reasonare discovered sooner and

more efficiently than electronic

versions.

The problem with electronic copiesis that they can be altered by anyonewith a knowledge of software. Photo

manipulation is a good example. Electronicmanagement of documents is a complex

SECURITY

8/7/2019 SCT: July 2010


Sponsor:

This prestigious award recognisespeople, projects and products

that have gone above and

beyond the call of duty toenhance the environment in which

they operate.

The inaugural awards in 2009enjoyed a wonderful response from thesupply chain community and everythingis on track to make this years event oneof the industrys most prestigious acco-

lades.

Come and see who walks away with thecoveted trophies. The awards ceremony

takes place on 19 August 2010 at theCGCSA premises in Hurlingham,

Johannesburg.

GreenSupply

ChainAwards

Contact: Catherine Larkin on

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Are You

DoingYourBit?

8/7/2019 SCT: July 2010


The problem with security is mostly human

Secondly, it is vital to ensure that the software

which the company provides is reliable and,importantly, will be available in 40 or moreyears from now. Thirdly, the success in change

management involved in going electronic rests oneducation. Everyone involved must be educated

accordingly, Dawid elaborates.

Offsite storage the bestWeve been addressing various ways of ensur-

ing high-levels of security and the obvious ele-ments such encryption, passwords and access

control have been addressed. When it comes tooptimum security, secure offsite storage is the

answer, he says.

The electronic advantageDawid continues, Paper documents can get lost,destroyed, damaged or stolen a huge problemin any company. Legal documents such as police

dockets get lost daily. Once a document has

been captured correctly and according to allrules and regulations, stored and managed with

a full audit trail, its authenticity can be provenbeyond doubt.

A document is handled by many people at variousstages of its lifespan. Once scanned and stored,it remains in the same state as the day it was

scanned.

With broadband becoming more abundant, large

files can be transmitted worldwide without hassle.The signing of receipt is the only aspect that needs

to be addressed, concludes Dawid.

Dawid Jacobs, Paper 2 Digital Storage Solutions, Mobile:074 629 5899, Fax: 086 562 6662, Email. dawid@p2dss.

co.za

process and it is my belief that any

organisation wanting to make the fulluse of the benefits must engage with areputable, knowledgeable company to

ensure compliance, security, authentic-ity, reliability and innovation.

On the other handDocument storage has changed drasti-

cally since electronic storage was firstintroduced, counters Dawid Jacobsof Paper 2 Digital Storage Solutions

(P2Dss). Scanning of documents hasbeen introduced as a method of capturingpaper-based information. Paper-based

information comprises the largest partof unstructured information globally

and it is growing daily.

Depending on the software a company

utilises, file transmission can differ.

To ensure security, 128 bit encryp-

tion should be the minimum requirement for any

company. The problem with security is mostly

human. If not addressed correctly, any company

leaves itself open to problems.

The Electronic Communications Act prescribes

instances where a statutory law (statute or regu-

lations) requires a signature. In such instances,

you can only satisfy these requirement by using

an advanced electronic signature (s13(1)).

These are electronic signatures that have been

accredited by Government under certain condi-

tions. However, its certainly true that some

agreements or activities cannot be performed

electronically. Section 4 provides that certain

documents require a signature on paper.

On the software front, there is a huge amount

available that enables any company to capture

documents and data. In my opinion, the most

important requirement of this software is an

efficient audit system, which will at all times

show who accessed, processed, forwarded or

even just viewed a document, and at what stagethis occurred.

Dont leave it up to the IT managerThe biggest e rror in going electronic is to make it

an IT problem and have the IT manager purchasean electronic record, document or content man-agement programme. Some companies believe

that buying software is the magic wand that willmake all their problems go away. This is a costlymistake in almost all cases.

The first step is to consult an enterprise contentmanagement company that has real knowledge

regarding compliance, software, records man-agement, forensic knowledge and informationsecurity. Software vendors are springing up daily

and their goal is to sell software - many dontcare about the rest.

SECURITY

8/7/2019 SCT: July 2010


8/7/2019 SCT: July 2010


be driven by the logistics consultant not the

architect.

Similarly there is real danger in letting the quan-tity surveyor manage the project. While he is

vital in controlling the finances, when he startsto dictate design policy you can end up with a

facility that is built around the wrong priorities.

All professionals therefore need to be managed

and controlled to ensure the facility design focuseson the operational needs.

How does one do this? How do you create aprocess that will allow you to focus the resources

on creating a facility that primarily meets opera-tional needs and optimises efficiencies, ratherthan creating a pretty facility which is of no use

to anybody? Below I provide some guidelines tobuilding the best possible warehouse.

Warehouse guidelinesMake sure the facilities are wrapped around theoptimum process. When it comes to any deci-

sions the actual process must take priority. Youneed a strong logistician to control and manage

the processes.

Who Built my

Warehouse?

I have a friend who is an interior decora-

tor. She tells me that there are two types

of clients she likes to work with those

who know a lot about decorating and can

add real value to her efforts, and thosewho know nothing and leave her alone to

do her thing. The worst clients are those

who know a little and spend their lives

interfering, thereby messing up all the

good ideas.

There is real danger in letting the

quantity surveyor manage the project

Martin Bailey, ILS

Our business in developing warehouse

designs is no different. Our worstfacilities are those where we havea client or an architect with some

(dangerous) knowledge which inevitably leadsto design by committee, where one spends ones

life compromising and trying to appease peoplewho do not understand the consequences of theirinterference.

Prima donasFor example, partially informed architects can

be a major problem. While arty Prima Donaarchitects can substantially add to the aesthetics

of the facility, an architect who starts to dictatehow the facility is going to operate is going toend up compromising the design. Clearly any

well-designed warehouse needs to be wrappedaround the operational processes and thus must

WAREHOUSING

8/7/2019 SCT: July 2010


The beat goes onThe 2010 Soccer World Cup will offer many

challenges for the operations management

profession. But what happens when it is all over?Supply Chain and Operations Management

professionals must maintain a steady, reliable

beat as we continue to move African industry

forward to ensure our sustainable footprint.

25 - 28 July 2010

Sun City

The SAPICS Annual Conference is the LeadingEvent in Africa for Supply Chain and Operations

Management Professionals.

32nd Annual Conference & Exhibition

T 011 023 6707, F 086 575 2979 [email protected]

With the participation of: Principal sponsor:

Silver sponsor:Gold sponsor:

Platinum sponsors:

8/7/2019 SCT: July 2010


Too many facilities resemble cheap shacks

Storage is all about volume, not footprint. Use

as much height as possible within the optimumtechnology range chosen. This usually impliesfacilities between 13 and 15m high (for pallet

storage).

The most critical components of a warehouse are

the floor and the roof. Dont compromise on thequality of these components. There is great newfloor technology available use it.

Best on the marketDont forget the life of the building is typically fourtimes longer than the kit in the facility a designshould therefore incorporate as much flexibility

as possibility for future changes. This typicallyinvolves the use of large spans (over 24m) andhigh roof clearances.

Docks and doors facilitate materials flow sodont compromise in this area. Buy the best

docks and doors available on the market andmake sure they are automated where possible.This improves operations and reduces damage.

Also make sure docks are at the right height(regardless of the building costs) and that you

have a sufficient number of doors for receivingand dispatch.

Proper flowMost facilities are designed primarily for distribu-tion not storage. Accord ingly, make sure there

is room for proper flow. For example, sufficientspace must be provided for staging, returns,cross docking, packing, checking and all related

processes.

Trucks get bigger and bigger allow sufficient

space to turn, stage, park, dock, load and ma-noeuvre vehicles. This may involve big run-outs(over 40m!), proper access ways and good quality

infrastructures.

Pleasant placesDont forget all the services such assecurity, charging, washing, re-packing,

cleaning, maintaining, etc. These servicesare vital to efficient operations.

People work in warehouses so makethem pleasant places by controlling co-lour, temperature, ventilation, lighting,

noise, safety and all related ergonomicissues.

Risk strategyIf you operate in a controlled industry, forexample pharmaceuticals or foodstuffs,

make certain you comply with all therelated legislation, standards and HACCP

conditions. These rules may radically alterthe way you do business and operateyour facilities.

Warehouses are risky places. They caneasily burn down and disasters are fairly

common. You must set up an intelligent risk

strategy, commensurate with the product storedand the strategic nature of the business. Thenmake sure this strategy can be implemented

though intelligent facility designs.

Technology can be a great help in improving

throughput, accuracy and efficiency. Take careto use the most appropriate technology for yourbusiness operations.

Cheap shacksWhere possible, use materials that will look goodin 20 years time. Too many facilities resemblecheap shacks, simply because not enough time

is spent choosing the best materials for con-struction.

In most facilities, picking is the most critical

process. For that reason, ensure that pickingprocesses drive the designs (not the storageprocesses). Spend time and resources in areas

where you use the most personnel as well as inareas that control your ability to service custom-

ers effectively.

ConclusionIf you want to ensure you end up with a facilitythat is well designed and supports your busi-ness needs, you need to carefully consider the

processes. To do this you must design from thebasis of a thorough understanding of the opti-mum operational needs. You consequently need

to create a design team that has a primary focuson the processes. This is best managed by the

logistician and his team.

Martin Bailey, Industrial Logistic Systems, Email: martin@

ils.co.za

WAREHOUSING

8/7/2019 SCT: July 2010


8/7/2019 SCT: July 2010


Market ForumAlternate licensing model for mid-sized businessesLocal SAP Business All-in-One Partner, SCT Services, has announced a new licensing and deliver y option for SAP

Business All-in-One (SAP BAiO) solutions. The new hosted and subscription-based delivery model is designed tohelp midsize companies obtain a world-class business application with a lower up-front cost by eliminating the

capital outlay traditionally required for acquiring software licenses or IT hardware.

SCT Services CEO Victor van der Watt says this model means customers will avoid up-front software licensingfees and hardware purchase charges freeing them from the need to maintain or support an on-premise solu-

tion within their own IT infrastructure. It enables customers to obtain a business application with rich, easilycustomisable industry specific business processes and best practices.

SCT Services, Alan Yates, Tel: (012) 345 5669, Email: [email protected]

Flexibility and scalability is

whats needed

Whirlpool determined that its supplychain required the flexibility, scalabil-

ity and agility to address the differentrequirements across all of its channels

while maintaining the customer serviceexpected of the brand. The companytherefore implemented Manhattan Associ-

ates Warehouse Management, SlottingManagement and Labour Managementfrom the Manhattan SCOPE Distribution

Management solution suite to optimise its distributionnetwork. Manhattan Associates Extended EnterpriseManagement solution was also implemented to optimise

inventory visibility with vendors and trading partners.

Manhattan Associates Warehouse Management solution

is designed for collaboration and communication withan extensive network of suppliers and partners. Slotting

Management scientifically determines the best picking

profile for a distribution centre,

enabling timely, intelligent deci-

sions as ordering trends change.Manhattan Associates Labour

Management optimises a companysdistribution workforce to create moreproductivity while reducing overall

labour costs. Finally, ExtendedEnterprise Management providesautomatic inventory updates that

the company can communicate toits vendor network.

The Manhattan SCOPE portfolio is developed on a supplychain process platform that facilitates the communication

of cross-suite applications to address specific supply chain

requirements for the goals of each Manhattan customer.Manhattan SCOPE solutions are designed to seamlessly

optimise day-to-day processes from one common inter-face, in real time.

Manhattan Associates, John Bird, Email: [email protected]

SAP Business All-in-One now available with new licensing and delivery options

8/7/2019 SCT: July 2010

36/40 Supply Chain Today July 201036 Supply Chain Today May 2010

8/7/2019 SCT: July 2010


Market Forum

Urgent move from road to railThe high volume of trucks transporting heavy goods onSouth African roads has reached unprecedented levels inrecent years. In fact, road freight volumes have increased

annually from about 17% in the late nineties to a current85%. Furthermore, the chemical industry transports themajority of its goods via roads.

Transport by rail would be the preferred route if the avai l-ability of the specialised rolling stock and branch lines were

significantly improved. Under current market conditions,freight carriers in SA have little or no alternative to roadfor transporting their goods, says Dr Laurraine Lotter,

executive director of the Chemical and Allied IndustriesAssociation (CAIA).

The CAIA is currently developing a position on the pre-requisites for the chemical industry to move from roadto rail, which will be submitted to Government as part of

their review of the Freight Logistics Strategy.

Furthermore, in a positive move for the industry, the Depart-

ment of Transport recently showed interest in putting itsweight behind road to rail transportation of heavy goods.

CAIA is hoping that the review of the Freight LogisticsStrategy will set the country on a path to achieve a suc-cessful road to rail strategy.

Chemical and Allied Industries Association, Louise Lindeque, Email:

[email protected]

New inland port for JohannesburgInframax Holdings is making use of a vast tract of land

which it acquired some years ago to develop a nextgeneration inland port and logistics gateway to serviceJohannesburg, Gauteng and Southern Africa.

Inframax MD, Dr Willie Els, says that the project has

the potential to put Gautengs entire logistics capabil-ity into a new and far more efficient era and to createthousands of jobs whilst stimulating the areas GDP.

The proposed new inland port and logistics gateway,says Willie, will contribute significantly to meetingGautengs need to increase the current freight logistics

capacity/throughput in and out of Johannesburg, to 3million TEUs by 2015 and 4 million TEUs by 2020- with further increases thereafter.

The 630ha site for the new project, which will becalled Tambo Springs is situated 25km southeast of

the Johannesburg CBD. Inframax plans to add at least

a further 600ha to this site in time, which would en-able it to be developed to a world class inland portand logistics facility.

Inframax Holdings, Dr Willie Els, Tel: (021) 530 5776, Email:

[email protected]

Inframax Holdings is in the process of developing a next genera-

tion inland port and logistics gateway to service Johannesburg,

Gauteng and Southern Africa

8/7/2019 SCT: July 2010


Index to Advertisers

BarTrans Outside Back Cover

Clarklift Inside Front Cover

CLF 6

Criterion 4

Easigas 10

Goscor 26

GSC Awards 28

JHR Equipment 30

Linde 24

Manhand 16

Pioneer Plastics 25

RedPrairie 22

RFA 36

Sapics 32

Scania 14

Toyota 8Trenstar Inside Front Cover

Universal 12

Value Logistics Outside Front Cover

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On theMove

Market ForumImproved customer service levelsCollaborative Xchange (CX) has delivered an IT solutionfor Toyota SA which enables Toyota SA to communicate

electronically, directly and securely with all of its suppli-

ers using one common set of standards and process. Theinnovation in the solu-tion is being able tohandle a broad band

of IT capabilities acrossthe suppliers, from so-phisticated ERP systems

to simple Internet con-nections.

This aftermarket solu-tion services all localdealers and Parts &

Accessories (P&A) ware-houses. The CX solution

has automated the P&Aprocess providing ane-commerce solution

to 260 of Toyotas localsuppliers.

Better performance management has resulted in a decreasein dealer backorder ageing, cost savings and reduced stockholdings. By reducing both invoice queries and receiving

queries, customer service levels have improved. The roll-out of CX has been a success and greatly improved ourbusiness, says Clayton Roos, Manager for Procurement

Local Parts Supply, Toyota SA.Collaborative Xchange, Grant Marshbank,(041) 373 9921, Email:

[email protected], Web: www.cxchange.co.za/

Lusitania Food Products, specialists in fish andseafood distribution, has appointed Mary Lunde as

general manager and Rob Lea is the branch managerfor Cape Town.

Grant Marshbank

Rob Lea Mary Lunde

8/7/2019 SCT: July 2010

39/40

8/7/2019 SCT: July 2010

40/40

Turnkey Solutions in the

Door of Every Industry!

Bartrans, the Business Solutions Partner to Honeywell inSouth Africa, import and supply Honeywells full range of hand-held and

hands-free scanners, mobile computers, OEM scan engines, self service kiosks

and barcode verifiers. Bartrans have also officially been accredited as a

Zebra Premier Partner in South Africa, importing and selling the

entire Zebra printing product range.

BARCODE SCANNERSBARCODE PRINTERS AND MEDIAMOBILE COMPUTINGRFID

sct: july 2010

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