Part
01
of one
Part
01
Industry Overview: Automated material handling and the automated packaging solution industries
Key Takeaways
- Dematic has its headquarters in Atlanta, Georgia, and specializes in intelligent intralogistics & material handling solutions, solutions for SAP EWM, material handling equipment, products, conveyors, Dematic Multishuttle, Dematic iQ Software, Dematic RapidPick, mini loads, pallet AS/RS, and sorters.
- Honeywell is involved in several sectors, including aerospace, buildings & cities, chemicals & materials, health care, industrial & manufacturing, retail, safety, supply chain, material handling, and automation technologies for distribution center operations. They provide the best blend of automation and human resources at every important point of these operations.
- MHS has been operating for over two decades and has developed into a top supplier of automated material handling solutions to the most prominent logistics and e-commerce businesses worldwide. MHS claims to go above and beyond for its customers and employees consistently. Its headquarters are in Louisville, Kentucky, and approximately 2,500 workers across North America, Europe, and Asia.
- In 2017, Toyota Advanced Logistics, a division of the Japanese company Toyota Industries Corporation, acquired Bastian Solutions.
Introduction
The research provides insights into the major players, industry overview, projections, key drivers/trends, and international competition for the "automated material handling" and the "automated packaging solution" industry in the United States and North America.
Note that for this research, we have compared the major players in the automated material handling industry in the US for the years between 2020 and 2021, as data for the current year (2022) is yet to be published.
Additionally, some top players mentioned in the research have a global footprint. Therefore, we expanded our research to include their North American locations and presence to provide the required information.
The research also provides the market size in terms of USD
and the growth projections in percentage for the compound annual growth rate (% CAGR) and focuses on projections for the next 3–5 years.
Dematic (KION Group)
- Dematic is a member of the KION Group, an industry pioneer in industrial trucks, supply chain management programs, and related services. It is a global innovator of integrated supply chain automation technologies, software, and services.
- It has its headquarters in Atlanta, Georgia, and specializes in intelligent intralogistics & material handling solutions, solutions for SAP EWM, material handling equipment, products, conveyors, Dematic Multishuttle, Dematic iQ Software, Dematic RapidPick, mini loads, pallet AS/RS, and sorters.
- Dematic also develops, builds, and maintains intelligent, automated manufacturing, warehousing, and distribution systems for clients who reinvent how commodities are created, delivered, and sold
- They have a track record of over 8,000 client installations, including some world's top brands. Dematic's global network comprises 11,000 personnel, encompassing engineering centers, production facilities, and service centers spread over 35 countries.
- Dematic works in several sectors, such as apparel, food and beverage, E-commerce, durable manufacturing, groceries, healthcare, none durable manufacturing, parcels, third-party logistics, general merchandise, and wholesale/B2B. Every sector has different problems, and Dematic offers tailored solutions for every industry.
Value Proposition
- Dematic offer connected technology solutions for distribution, warehousing, and manufacturing with tailored solutions for every industry.
Competitive Advantage
- Dematic understands that innovation is a key competitive factor. Thus, they consistently work to produce products that provide their clients with a competitive edge.
- They have continually been at the forefront of innovation in logistics and materials handling systems, from the creation of Automated Storage and Retrieval Systems (AS/RS) to the invention of high-speed sortation and accumulation conveyor systems.
- Dematic's most recent technical developments may be seen in new designs for high-speed conveyor sortation and order assembly for mixed case items. The debut of Dematic's Micro-Fulfillment System, a strong hardware and software solution to address customer demand for quick online order fulfilment, is also ideal for manufacturing or distribution operations of any size.
Honeywell Intelligrated
- Honeywell is a Fortune 100 company and is involved in developing and manufacturing solutions to address complex challenges related to global macro trends, including safety, security, and energy. They retain an unrelenting emphasis on quality, delivery, value, and technology in all they do. They have over 110,000 employees globally, including over 19,000 engineers and scientists. It has its headquarters in Charlotte, North Carolina.
- Honeywell is involved in several sectors, including aerospace, buildings & cities, chemicals & materials, health care, industrial & manufacturing, retail, safety, supply chain, material handling, and automation technologies for distribution center operations. They provide the best blend of automation and human resources at every important point of these operations.
- Moreover, clients receive several perks with Honeywell's automation and productivity products, such as automation in distribution centers, printer supplies, voice direction, RFID, mobile computers, barcode scanners, printers, software, life cycle support services, robotics, sortation, and conveyor systems.
- Honeywell provides an assortment of automated material handling and packaging solutions, including inbound handling, sortation & conveyor systems, picking: piece/case/pallet, palletizer & depalletizer applications, storage & buffering, replenishment, and storage & buffering.
- Honeywell also provides a software solution known as Honeywell Forge. Honeywell Forge offers the following operational benefits in the retail and warehouse industries: provide operational control, drive your ESG strategy, enhance asset uptime, improve labor utilization, and cybersecurity for operational technology.
Value Proposition
- To continuously improve the way they do things so that they can capture greater value not just for themselves but also for their customers. They plan to stay on plan amidst the chaos by going from point A to point B in an efficient delivery network. When unanticipated events or breakdowns happen, it's about arranging the symphony of resources, labor, and inventory.
Competitive Advantage
- Honeywell demonstrates its competitive advantage in several ways. Patents, intellectual property, high-quality differentiator products, intelligent innovation, and collaboration. Having this edge ensures that they get preferential treatment from long-term customers.
- The company entered the thermostat business early, earned a reputation for innovation, and dominated the market in the 1950s. Honeywell has controlled their market needs and developed competitive leverage in several fields with its advanced technological breakthroughs due to the quality offered, the ongoing focus on cost reduction, and the customer focus.
- Business scale gives Honeywell Building Technologies' business sector negotiation power with vendors for bulk supplies, the capacity to transfer price increases to customers despite inflation, and coordinating logistical operations.
- In the subsequent decades, any expanded usage of SaaS solutions will result in higher margin profiles for the Safety and Productivity Solutions business sector. Quantum Computing will undoubtedly use Honeywell's economies of scale to guarantee manufacturing cost-effectiveness.
Material Handling Systems (MHS)
- MHS has been operating for over two decades and has developed into a top supplier of automated material handling solutions to the most prominent logistics and e-commerce businesses worldwide. MHS claims to go above and beyond for its customers and employees consistently. Its headquarters in Louisville, Kentucky, and approximately 2,500 workers across North America, Europe, and Asia
- In preparation for its significant future growth prospects, MHS sought a strategic and financial partner to invest in the advanced automation infrastructure, particularly in the e-Commerce industry, including the potential for product and geographic expansion. Thomas H. Lee Partners (THL) supports MHS's strong momentum as a partner by adding experience, financial, and operational resources. It enables the company to improve its skills and products and quicken the pace of its entire growth plan.
- MHS offers the skills necessary to design, implement, and maintain innovative automated systems suited to its client's specific needs. These competence areas include system integration, project management, engineering system design, mechanical electrical/controls, software installation, and maintenance.
- MHS has its roots in several industries E-commerce, manufacturing, food and beverage solutions, integrators, parcel, distribution, and fulfilment.
- MHS offers a variety of cutting-edge technologies together with systems engineering and integration to resolve their most challenging logistical problems, from enhancing labor productivity to boosting storage density. These technologies include autonomous mobile robots (AMRs), controls, HMI + visualization, light-directed fulfilment systems, print + apply, robotics, singulation, software (MHS helix), sortation, voice, and automated storage and retrieval systems (AS/RS).
Value Proposition
- Material Handling Systems (MHS) philosophy is "Go over, go under, go around, or go through, but never give up." MHS is a pioneer in designing and manufacturing innovative parcel sortation systems. They are dedicated to innovation, performance, and the highest quality standards.
Competitive Advantage
- MHS has undertaken several acquisitions since Thomas H. Lee (THL) became the majority owner in 2017, making it one of the leading warehouse automation providers in the world.
- The company is primarily focused on the US market. Still, it has gained a presence in Europe thanks to the acquisitions of OCM and VanReit, located in Italy and the Netherlands. MHS plans to leverage this footing to its advantage in the years to come.
- MHS, unlike other big multinationals, opposes multi-layered management and extensive bureaucracy in favor of a flat organizational structure that preserves senior management's connection to day-to-day operations and the agility clients seek in smaller businesses
Bastian Solutions (a Toyota Advanced Logistics Group company)
- Bastian Solutions offers value to its clients by looking for leading innovations in material handling equipment and established operating techniques. Moreover, they combine scalable material handling systems, new software, and bespoke automation engineering to provide complete, one-of-a-kind solutions.
- Bastian Solutions has concentrated its efforts in the American Midwest since its founding in 1952. Despite this, it has developed into a multinational firm with more than Twenty American and foreign offices in Brazil, Canada, India, and Mexico. Many of the firm's products, such as the Bastian Solutions conveyor and Exacta Supply Chain Software, are also engineered and manufactured internally.
- In 2017, Toyota Advanced Logistics, a division of the Japanese company Toyota Industries Corporation, acquired Bastian Solutions.
- The company specializes in conveyor systems, system integration, software and controls, e-commerce order fulfilment, custom material handling equipment, consulting and simulations, robotics and vision systems, distribution center automation, composite pallets, goods-to-person systems, and automated guided vehicles.
- Bastian Solutions being a systems integrator, uses top-of-the-line material handling tools and supply chain management applications to build turnkey solutions that assist their clients in boosting productivity and lowering operating expenses. These tools are intended to assist businesses in various market sectors in becoming market leaders.
- Bastian offers the Exacta® supply chain software suite as a complete solution or as individual components such as Exacta Warehouse Control System, Exacta Warehouse Execution System, Exacta Warehouse Management System, Exacta Beverage Distribution Software, Exacta Intelligent Conveyor Routing, and Exacta Customer Support. Clients may link it with other software brands and scale it as their business expands.
Value Proposition
- Bastian Solutions are a dependable supply chain integration partner dedicated to giving its customers a competitive edge by creating and supplying top-notch manufacturing and distribution solutions. The basis of its dedication is its clients. Its collaborative culture encourages honesty, diversity, and creativity while offering chances to develop and have an impact.
Competitive Advantage
- Bastian Solutions can assist its customers in making changes or expansion with little disturbance by deliberately implementing automation where it will give value and laying the groundwork for future development using data analysis and plan forecasts.
- Due to their experience working with some of the most well-known corporations in the world, Bastian Solutions delivers industry knowledge. With access to cutting-edge software and technology, we can locate and take full advantage of a natural lean manufacturing environment.
- Bastian Solutions has distinguished itself among the top 1% of Microsoft's partner ecosystem by exhibiting "best-in-class" skill and dedication to fulfilling the changing demands of Microsoft Corp. clients in today's dynamic business climate.
Daifuku Co., Ltd.
- Daifuku is a market leader in material handling solutions. The corporation has subsidiaries and a robust distribution network throughout North America, Latin America, Asia-Pacific, and Europe. The corporation has affiliate companies and offices in 26 countries and regions and 53 consolidated subsidiaries and affiliates.
- Daifuku has over 70 years of expertise in automated material handling. It's able to customize ta a solution to address niche situations. With help from their automated Storage and Retrieval system (AS/RS), high-speed sortation, conveyor and transport, and Warehouse Management/Control Software solutions, it's able to optimize operations, recover floor space, reduce cycle time and increase productivity.
- The American branch of Daifuku Co., Ltd. is known as Daifuku America and has three divisions: Automotive, Cleanroom, and Manufacturing & Distribution. It has its headquarters in Reynoldsburg, Ohio.
- Automation, warehouse control systems, order fulfilment, storage & retrieval, sortation systems, automatic guided vehicles, transport systems WMS, material handling, WCS, warehouse management systems, and conveyor systems are among the areas of expertise of Daifuku America.
- It offers complete assistance, from consultation to after-sales servicing. Daifuku also provides 24-hour assistance, remote monitoring of equipment operation, and preventative maintenance services, allowing them to deliver reliable and precise solutions to the issues clients in various sectors face.
Value proposition
- Daifuku revised its management philosophy in 2021. The new management philosophy, titled "Automation that Inspires," incorporates human rights and environmental concerns and promotes sustainability management to help create a sustainable society. This is in addition to the "Value Transformation" philosophy outlined in Daifuku's current three-year business plan.
Competitive advantage
- Total Solutions: Daifuku offers complete assistance, from consultation to after-sales servicing. Daifuku also provides 24-hour assistance, remote monitoring of equipment operation, and preventative maintenance services, allowing them to deliver reliable and precise solutions to the issues clients in various sectors face.
- Technical capabilities: Daifuku actively participates in collaborative developments with several organizations, including universities, and its internal growth. It is dedicated to open innovation and works to identify new technologies that will benefit company operations and offer new prospects.
- Responsiveness: It offers a comprehensive range of material handling systems to various businesses globally, including all manufacturing, transportation, warehousing, and other sectors, including the automotive, electrical, pharmaceutical, food, apparel, and other everyday industries.
- Global competitiveness: Daifuku is a global corporation, with more than 64% of the Group's total sales coming from businesses outside Japan. Daifuku, which has sites in 26 different nations and regions, is leading the localization of production to serve its clients globally.
Market size for the automated material handling industry
- Automated Material Handling Equipment market growth in the US will increase by $1517.10 million during 2021-2026.
- The North America Automated Material Handling market was valued at $9862.34 million in 2020.
Compound annual growth rate (% CAGR)
- The US's automated material handling equipment market in the US is expected to grow at a CAGR of 3.97% from 2021-2026.
- The North America Automated Material Handling market is anticipated to witness a CAGR of 7.73% over the forecast period (2021–2026).
- The key players in this market projection are Daifuku Co. Ltd., Honeywell International Inc., KION GROUP AG, Material Handling Systems Inc., Grabit Inc., Hyster Yale Materials Handling Inc., inVia Robotics Inc., John Bean Technologies Corp., Locus Robotics Corp., Meidensha Corp. are a few of the key vendors in the automated material handling equipment market.
Research Strategy
This research provides insights into the major players, industry overview, projections, key drivers/trends, and international competition for the automated material handling and the automated packaging solution industry in the United States and North America. We leveraged pre-compiled lists of the major players in the mentioned industries published by credible sources such as Logistics Management, Value Today, and Meticulous Blog to provide the required information. During our research, we found that significant US automated material handling industry players had data for the years between 2020 and 2021, as information for the current year (2022) is yet to be published. Additionally, some top players mentioned in the research, such as Daifuku, have a global footprint, and their headquarters are found in other regions. Therefore, we expanded our research to include their North American locations and presence to provide the required information.