With budgets under severe pressure the full capital cost of replacing older material handling systems may be harder than ever to justify. However more and more companies are finding that a refurbishment and upgrade is a viable alternative, providing many of the advantages of a new installation but at a fraction of the cost. Dave Acton from Logistex considers why this course of action is becoming so popular.
Many of the automated handling systems installed during the past 10 to 15 years are inevitably starting to show signs of age. In more favourable economic times companies would have invested in completely new equipment, but in the current environment the funds may not be available. Yet in a time when everyone is striving to be more productive, having a major business function becoming less and less productive as time goes by means doing nothing is no longer an option.
The risk of component failure – often the cause of anxiety to management keen to keep meeting their customers’ delivery expectations – increases as systems begin to age. Losing functionality for a short time can be disruptive but extended downtime can have a far more serious impact throughout the organisation, leading to a loss of confidence and business.
Faced with a system that needs upgrading many companies are looking for the most powerful arguments and benefits to help justify the investment and to make the ROI case fly. Combining refurbishment with an upgrade programme that provides additional functionality and/or performance gains may well provide a winning combination.
No matter how well designed and maintained, older systems and equipment will inevitably start to wear out and become out of date. The advances in IT and software for example in the past few years have way outstripped what would have been state of the art barely a decade ago. Increasing downtime can threaten the operation and its ability to deliver, and patchwork solutions only serve to delay the inevitable. Even getting parts and service support can be difficult as component manufacturers phase out older designs.
Refurbishment and upgrading may improve performance and add years of productive life to automated materials handling systems – at usually far less cost than a new installation. It also enables the user to take advantage of the big improvements in engineering, software and technologies over the past few years. The latest software including advanced WMS provides enhanced performance, full integration with ERP or other and client software packages.
Work can generally be carried out while the business continues to operate, which is rarely possible when replacing an entire system. With an increasing focus on health and safety, a refurbishment programme may well reduce the risk of accidents from older equipment and the upgrade could incorporate additional safety features to protect staff.
Refurbishment projects
Logistex has carried out a number of refurbishment projects for existing clients, which illustrate the practicalities and the kind of improvements in performance that can be achieved without a full replacement.
One recently completed major upgrade was for GlaxoSmithKline (GSK) at its Wincanton operated
distribution centre in Brockworth, Gloucestershire. An extensive upgrade on the company’s 15 Dambach narrow aisle cranes included replacing legacy control technology, operator screens, motors and drive components with software and equipment based on next-generation technologies. This has made significant improvements in the system’s reliability, particularly during automatic aisle changing.
The project has also provided a number of operational and safety improvements to the warehouse. ASRS cranes can operate in either automatic or semi-automatic mode, adding further flexibility and ease of maintenance. An interlock key exchange and new light guard have increased safety and new AC motors will reduce energy costs and improve reliability.
At a leading distribution company’s Oxfordshire distribution centre, Logistex has recently completed an extensive upgrade to the company’s existing automated warehouse equipment and systems. Logistex has installed its in-house developed warehouse management system, providing improved power, flexibility, response, and most importantly multi-client functionality. The upgrade has set the site up for the future by improving the client’s ability to handle a demanding and complex multi-client operation productively and cost-effectively.
Logistex has also replaced the original Siemens S5 controllers with the latest Simatic S7 PLC, specifically designed for automated systems and with Profibus capability. It provides a more powerful and improved real-time response and has a larger program and data memory. Other similar projects have been completed for clients such as United Biscuits, Inditex (Zara) and Spicers, on systems supplied both by Logistex and other suppliers – proof indeed of the value for money that a well-planned and executed modernisation can deliver.
