Press Releases

Reddwerks Eliminates Major Bottlenecks in Warehouse Order Processing with Reddwerks v3.0 Software

AUSTIN, Texas - April 22, 2008 – Reddwerks® is taking part in the major industry trade show NA08, sponsored by the Material Handling Industry of America in Cleveland, Ohio. In conjunction with this event, Reddwerks announced today that it is now shipping and deploying v3.0 of its groundbreaking Warehouse Performance Management ("WPM") software. The major goal of WPM is the elimination of severe bottlenecks in warehouse order processing, especially shorts in order processing and constraints caused by shipping and Internet-based orders. Reddwerks v3.0 is a significant upgrade to this industry-leading software.

"Our No. 1 goal in our major new software release was to win the constant battle warehouse personnel face every day trying to eliminate bottlenecks that cause increased labor costs and reduced through-put," said Jean Bélanger, Founder/CEO of Reddwerks. "Inventory shortages in static and flow racks, over-loaded shipping systems, processing Internet-based order—the list of problems our customers face are very real issues we have systematically addressed with Reddwerks v3.0 WPM software. Customers who have installed this release have already started to see fast paybacks on their investment."

Reddwerks v3.0 WPM software builds on our tri-server architecture—real-time, order processing and analytical computing capabilities—to attack specific bottlenecks in warehouse order processing:

Eliminating Inventory "Shorts" in Order Processing:

• replenishment or "stocking" of forward pick inventory (inventory that is available to be picked, sometime called back-stock, pick stock, etc.) can now be managed by the Reddwerks system—we send alerts to ERP/WMS software to move specific quantities from reserve stock to forward inventory. Reddwerks splits forward inventory into floor stock and forward pick face stock that is immediately available for picking in flow rack, static shelving, or floor locations, by item or by case. Reddwerks software monitors all orders being processed to ensure that pick face stock is always available when and where it is needed.
• replenishment or "stocking" of forward pick face stock is greatly aided by the fact that Reddwerks v3.0 WPM software has fully integrated most major picking systems in use today. Using our voice-assisted or RF bar code scanning client software, a Reddwerks 3.0 pick-to-light system can send messages seamlessly to replenish stock in various locations. All work is dynamically allocated, ensuring that the stock is where it needs to be when it needs to be there.
• since Reddwerks v3.0 software can dynamically move inventory locations to different picking areas to maximize through-put (sudden heavy demand for a particular inventory item can lead to it being assigned multiple locations so as to eliminate over-loading selectors processing these items), it is more important than ever that forward inventory replenishment be totally coordinated by our seamless software application. If replenishment orders cannot be filled by stockers and shorts occur, they can be immediately routed to Reddwerks QA stations for completion.

Eliminating Over-loaded Shipping Systems:

• a persistent problem for many warehouse managers is the constraints they face in shipping—too many orders for too many customers are routed into too few shipping lanes or into shipping lanes with inadequate buffers. Traditional solutions have been to add relatively costly extra re-circulation conveyor or fully automated ASRS-type equipment. Reddwerks WPM v3.0 software takes a different approach and only schedules those orders which can be effectively processed while shipping in a timely way. Reddwerks v3.0 WPM software dynamically allocates order flow being inducted in pick lines, taking into account which orders need to be in which specific shipping lanes, and when.
• Reddwerks v3.0 WPM software can process orders for maximum through-put in shipping, while at the same time ensuring order integrity down to the shelf level. Retailers can thus reduce the amount of work required in stores when goods are received. Processing orders down to the store department and shelf-level store offers retailers dramatic reductions in stocking time and expense.

Eliminating Internet Order Problems:

• more than ever, Internet-based orders are causing severe through-put problems for warehouses and distribution centers, which are typically optimized for processing larger customer and retail store orders. Reddwerks seamlessly integrates all commonly-used pick systems—paper-based systems, traditional RF barcode scanning, voice-assisted work, pick- and put-to-light systems, and carousels. Because of this, Reddwerks can for the first time offer specific lower-cost and high-payback solutions for the efficient processing of Internet-based orders.
• for manufacturers who have lower volume Internet orders and who use pick-to-light systems, it is easy to integrate RF bar code scanning or voice-based order processing directly into the PTL pick lines so that, if necessary, higher and lower volume orders can be picked simultaneously. Manufacturers who are using RF bar code scanning equipment to process their customer orders can also add cluster picking or zone-based picking to more efficiently process these different types of orders.
• for retailers with major investments in either put or pick-to-light systems, the choices are more complex, since any re-configuration of their systems can necessitate changes to their conveyor systems, etc. For many retailers, the optimum solution for dealing with Internet orders and larger store orders is to use both pick-to-light and put-to-light systems in a totally seamless fashion—orders and inventory can flow between the two. In a dual pick/put environment, Reddwerks v3.0 WPM software allocates all orders that can be cluster picked, and thus processed by the put system, first. This optimizes order processing to take advantage of the efficiency of case picking. Cases are processed through the put system and any remaining amounts are automatically routed to the pick system to be replenished into the inventory slot as required. This eliminates one of the most inconvenient aspects of processing orders at the warehouse level for retailers who use point of sale replenishment for their stores—the processing of items leading to remainders. Most systems today either insist that selectors pick the exact amount of inventory necessary, or the ERP/WMS "forces" inventory to be taken at the store level so as to eliminate the remainder amounts. This either increases processing time or increases inventory at the store level - neither solution leads to higher productivity of labor or capital. Smaller orders that cannot be efficiently processed by the put system are picked in the traditional manner. If a "put" carton or tote requires only a small quantity of a specific item, it may be more efficient to route that container to the pick system for processing, and then to shipping. This eliminates excess labor in the cluster picking area and excess shipping cartons when the two activities are not coordinated, and can substantially reduce freight, especially when shipping direct to customers.
• The efficient processing of Internet-based orders into one integrated order processing workflow eliminates the need for separate facilities and leads to lower overall inventory levels for Reddwerks customers.

Reddwerks v3.0 WPM software began shipping in Q1/2008 and is already installed and in production at several customer sites. The software will be exhibited at NA08 from April 21st to April 24th, 2008 at Cleveland's International Exhibition Center.

About Reddwerks: Reddwerks Corporation is a 60-person company based in Austin, Texas that develops and sells warehouse order processing hardware and software. The company began developing its warehouse performance software in January 2003, and has invested more than $18 million in it to date. Released in January 2004, Reddwerks v3.0 has already been successfully deployed at a number of customer facilities. Reddwerks v3.0 handles all order processing needs, including inventory replenishment, pick-to-light systems, RF bar code scanning, voice-directed picking, cycle counting, quality assurance, print and apply, conveyor controls, pallet building and shipping. Reddwerks v3.0 expands our business intelligence and analytics capabilities, allowing users in the largest facilities to view their labor and business productivity data in real time. Reddwerks is deployed, or currently being deployed, at 28 sites in the US and Canada.

Contact: Katie Rossmeissl / Reddwerks Corporation / krossmeissl@reddwerks.com / +1 (512) 565 7055