When something works, stick with it. It's a good philosophy that breeds success in materials handling.

The managers at Thermo Forma took this approach when they automated much of the parts and components storage at the company's manufacturing plant in Marietta, Ohio. After finding proven success with one vertical lift module (VLM) they added more. The new systems freed space, reduced picking time by 25%, permitted increased volumes, allowed for same-day processing of repair parts and improved ergonomics. Parts also stay much cleaner when stored in the VLM units.

Thermo Forma manufactures controlled-environment laboratory equipment as diverse as incubators, blood bank equipment, freezers and refrigerators for biomedical, pharmaceutical and clinical use.

'We have a very complex facility,' says Craig Knowlton, senior production planner. 'Some lines sell a hundred large units a week. Other specialized items may only sell one piece every three months, so it is a monumental organizational task.'

The company has grown steadily over the past few years and so has the number of product lines. This created crowded conditions in the manufacturing facility.

'We needed space,' recalls Knowlton. 'We have been in the same building since 1977 and during that time sales volumes have grown ten times. Space became critical.'

After investigating options, Thermo Forma installed its first vertical lift module (MegaStar Systems, www.megastarsystems.com ) to store much of its repair and service parts. This 24 foot-tall unit consists of 40 storage trays, with each 32 by 48 inch tray having a parts capacity of 650 pounds. The trays move vertically within the unit and are presented upon request to an input-output station at a precise ergonomic height. The unit replaced much of the shelving that had previously held the service parts and eliminated a great deal of employee walk time for retrieving needed items.

'It allowed us to get as many of our pieces as close to our workers as possible, so that we can process and ship parts orders the same day,' adds Knowlton. 'After we got that first machine, we ran an initial test period on it. Our operators were very pleased, so we began reviewing some of our other parts storage, such as our shop consumables used in manufacturing. We then added a second unit.'

This second unit, 26 feet tall and with fifty 32 by 96 inch trays, holds about 1,000 stock keeping units (SKUs) - everything from screws to transformers to circuit boards - for the manufacture of Thermo Forma's products. The VLM was placed in an area that had originally contained conventional shelving and was four feet below the main floor level. As a result, cartons had to be carried from the dock on the main level down several stairs to personnel who would process the items and place them into the shelving. To handle 120 cartons a day required considerable walking and stair stepping.

About 25% of the area's shelving (3,000 square feet) was removed and replaced with the VLM. A short section of conveyor was also added. Now parcel drivers deposit receipts on the conveyor, which transports them through a four-foot-wide door into the building and down to the lower level. The cartons are then transferred to carts and wheeled to either the VLM or to the remaining shelving, depending on how frequently the SKU is needed. Higher demand SKUs are placed into the VLM. Slower movers and items taller than 16 inches are stored on shelves.

'We have made a major reduction in lifting and bending,' notes Knowlton. 'Ergonomics was the key issue for us.'

As a result of the success with VLMs, a third unit was added last year to handle overflow requirements for both service parts and components used in production. And to further prove how effective this technology has been for Thermo Forma, a fourth VLM was recently installed and a fifth machine is about to be delivered.

Since all machines are located in the same general area, a bit of transition will occur to best utilize the storage capacities of each VLM. The original machine will now be used for shop consumables, while service and repair parts are being moved to the second unit. The third unit will continue to share duties, holding slower overflow SKUs. The fourth unit will be used for production materials, while the fifth VLM will store large accessory parts that are shipped with finished goods. This unit will be located near the outbound docks. A carousel is also on order to store records.

Besides components, the facility also receives raw materials. Metal enters the building at a different door from where the component parts stored in the VLM are received. The raw metal is scanned upon receipt and hoisted by a crane to a nearby floor storage area. The same crane removes the metal from storage whenever needed for manufacturing, lifting the metal to one of three punch machines. Once parts have been punched out, they next travel by roller table to shearing machines that cut them into more manageable pieces.

Depending on load size, the parts travel either by lift truck or wheeled carts to several different processing stations, including de-burring, forming, and welding. Parts are then placed onto a conveyor that passes them through a powder-coating paint system.

Once parts have been formed, welded and painted, they are taken by either cart or lift truck to assembly cells located throughout the building. Some parts are bar coded and scanned before moving them to assembly. The facility is gradually converting to bar codes on all materials to better manage inventory flow.

Other component parts used in assembly are brought from the vertical lift modules and the storage shelves adjacent to the VLMs. These are selected using pick lists. Related SKUs used within the same product-build are commonly stored together, often within the same VLM tray, to make retrieval as efficient as possible. The parts are pulled and placed onto pallets. Lift trucks then take full loads directly to assembly cells.

Once they arrive at the cells, the parts are placed into nearby staging racks and shelving so that they are readily accessible for manufacturing. Also, parts may be brought directly from the receiving dock if any newly arriving items are needed immediately for assembly or to re-stock the staged parts within the cell. This eliminates the stopover in storage.

Products are manually assembled in the cells into the incubators, freezers and other biotech equipment created here. They are then tested and many are also packaged directly within the cell.

Other completed products are taken by conveyor or lift truck, depending on size, to a separate packing area where the items are placed into cartons resting either on lift tables or at floor level. Completed cartons are next loaded onto trucks at the facility's three outbound docks for a short ride to Thermo Forma's off-site warehouse located about a half mile away. Final distribution to customers takes place from there.

Some components manufactured at the plant are service and repair parts. When production is completed, these parts are stored in one of the VLMs near the outbound docks until needed for a customer order.

'For instance, if we are producing circuit boards for the incubator line, about five will go directly to the service and repair VLM while the rest go to the manufacturing cells,' explains Knowlton. 'That's easier than running out to the floor to get a part to fill an order.'

Also stored within the VLM are service and repair components made by outside manufacturers. These are received in a similar manner to parts used in internal manufacturing, except instead of being pulled for the line, they are picked for customer orders. Altogether, there are about 12,000 active SKUs.

Items are selected from pick lists and packaged at an area adjacent to the VLM. The completed cartons are then placed onto pallets according to delivery method - overnight, two-day, or ground freight. The cartons remain staged there until picked up by UPS.

Since being installed, Knowlton has been very pleased with the operation of the vertical lift modules.

'Our production machine alone had 50,000 trays delivered to the output station this year,' he says. 'That is far more than we expected. The VLMs have helped us meet our growth plans.'

Click on this icon to read how Hayes Manufacturing uses Vertical Lift Modules to store parts used in manufacturing engine components.