2019 Technology Issue: Watch the whirlwind

While it’s easy to get lost in the whirlwind of discussion around the latest technology trends and how they’re transforming supply chain processes, this month the Modern editorial staff has put together our 7th-annual Technology Issue, our attempt to define how we’re actually doing at applying the available technological toolkit.

While e-commerce fulfillment gets all the coverage these days, one of the most exciting supply chain technology transformations is actually taking place inside the healthcare industry. Kicking off the technology issue, executive editor Bob Trebilcock takes us inside Indiana University Health’s brand new, highly automated 300,000-square-foot Integrated Service Center in Plainfield, Ind. (page 20).

“For years, healthcare providers saw themselves as caretakers,” says Trebilcock. “Supplies were a means to an end, and the cost of distribution was an afterthought. But today, with everyone trying to control the cost of delivering healthcare, that’s no longer an option.”

Fully understanding the need to increase revenue, decrease costs, and do both while maintaining patient care, Indiana University Health realized it also needed to become a world-class supply chain organization. Its new, state-of-the art DC features robotic storage and goods-to-person picking, a pick-and-pass module with four zones, nearly 1,000 feet of conveyor and sortation, and 21 aisles of rack and shelving storage with 8,500 full pallet locations and 2,500 case locations.

“In just three or four years time, they went from outsourcing all of their supply chain activities to best-in-class procurement, fulfillment and logistics processes, and all managed by an experienced team that’s housed at the DC,” Trebilcock adds. “It’s really the future of healthcare. “

And while we’re seeing more healthcare systems embrace technology in response to the pressures of increasing revenue while managing costs, Modern’s annual “Materials Handling Technology Study” reveals industries across the board continue to adapt software at a swift pace to keep up with modern-day demands.

Editor at large Bridget McCrea puts context behind all the findings (page 30) of this study that offers the most comprehensive snapshot available of current software usage and future investment plans.

“As we’ve seen over the last five years, as complexity grows so too does the reader perception that software is playing an increasingly important role in how they need to manage in this dynamic environment,” says McCrea. “And that’s great news. In fact, this year’s survey reveals that 60% of companies are using more materials handling software than they did just two years ago, that’s up from 49% in 2018.”

If you still feel as if you’re lost in the whirlwind of discussion regarding what technology can do for your operation, join me at Modern’s 2019 Virtual Summit: Reaching the Next Level of Productivity (Thursday, July 25). This year’s speakers are going to take a deep dive into how automation, robotics, software and mobility are enabling warehouse/DC operations to keep pace with the digital world—and deliver it without the hyperbole.