Mick Mountz: What happens inside those massive warehouses?

19,714 views ・ 2015-07-15

TED


Please double-click on the English subtitles below to play the video.

00:00
Translator: Bob Prottas Reviewer: Nhu PHAM
0
0
7000
00:12
I want to talk to you about,
1
12000
3561
00:15
or share with you, a breakthrough new approach
2
15561
3561
00:19
for managing items of inventory inside of a warehouse.
3
19122
3342
00:22
We're talking about a pick, pack and ship setting here.
4
22464
2558
00:25
So as a hint,
5
25022
2823
00:27
this solution involves hundreds of mobile robots,
6
27845
4153
00:31
sometimes thousands of mobile robots,
7
31998
2424
00:34
moving around a warehouse. And I'll get to the solution.
8
34422
2598
00:37
But for a moment, just think
9
37020
1220
00:38
about the last time that you ordered something online.
10
38240
2526
00:40
You were sitting on your couch
11
40766
2064
00:42
and you decided that you absolutely had to have this red t-shirt.
12
42830
4060
00:46
So — click! — you put it into your shopping cart.
13
46890
2296
00:49
And then you decided that green pair of pants
14
49186
1898
00:51
looks pretty good too — click!
15
51084
1898
00:52
And maybe a blue pair of shoes — click!
16
52982
1900
00:54
So at this point you've assembled your order.
17
54882
2050
00:56
You didn't stop to think for a moment that
18
56932
1768
00:58
that might not be a great outfit.
19
58700
1768
01:00
But you hit "submit order."
20
60468
1770
01:02
And two days later, this package shows up on your doorstep.
21
62238
4174
01:06
And you open the box and you're like, wow, there's my goo.
22
66412
2954
01:09
Did you ever stop to think about how those items of inventory
23
69366
2961
01:12
actually found their way inside that box in the warehouse?
24
72327
4213
01:16
So I'm here to tell you it's that guy right there.
25
76540
3818
01:20
So deep in the middle of that picture,
26
80358
3620
01:23
you see a classic pick-pack worker
27
83978
2515
01:26
in a distribution or order fulfillments setting.
28
86493
3225
01:29
Classically these pick workers will spend 60 or 70 percent of their day
29
89718
3882
01:33
wandering around the warehouse.
30
93600
1912
01:35
They'll often walk as much as 5 or 10 miles
31
95512
2711
01:38
in pursuit of those items of inventory.
32
98223
2661
01:40
Not only is this an unproductive way to fill orders,
33
100884
4421
01:45
it also turns out to be an unfulfilling way to fill orders.
34
105305
4057
01:49
So let me tell you where I first bumped into this problem.
35
109362
3631
01:52
I was out in the Bay area in '99, 2000, the dot com boom.
36
112993
4054
01:57
I worked for a fabulously spectacular flame-out called Webvan.
37
117047
4062
02:01
(Laughter)
38
121109
1821
02:02
This company raised hundreds of millions of dollars with the notion that
39
122930
2730
02:05
we will deliver grocery orders online.
40
125660
2782
02:08
And it really came down to the fact that we couldn't do it cost effectively.
41
128442
4173
02:12
Turns out e-commerce was something that was very hard and very costly.
42
132615
3962
02:16
In this particular instance we were trying to assemble 30 items of inventory
43
136577
4251
02:20
into a few totes, onto a van to deliver to the home.
44
140828
3972
02:24
And when you think about it, it was costing us 30 dollars.
45
144800
3800
02:28
Imagine, we had an 89¢ can of soup
46
148600
3086
02:31
that was costing us one dollar to pick and pack into that tote.
47
151686
3676
02:35
And that's before we actually tried to deliver it to the home.
48
155362
3208
02:38
So long story short, during my one year at Webvan,
49
158570
2787
02:41
what I realized by talking to all the material-handling providers
50
161357
3236
02:44
was that there was no solution designed specifically to solve each base picking.
51
164593
4638
02:49
Red item, green, blue, getting those three things in a box.
52
169231
4023
02:53
So we said, there's just got to be a better way to do this.
53
173254
2985
02:56
Existing material handling was set up to pump
54
176239
2527
02:58
pallets and cases of goo to retail stores.
55
178766
3767
03:02
Of course Webvan went out of business, and about a year and a half later,
56
182533
3797
03:06
I was still noodling on this problem. It was still nagging at me.
57
186330
3580
03:09
And I started thinking about it again.
58
189910
1868
03:11
And I said, let me just focus briefly on what I wanted as a pick worker,
59
191778
5127
03:16
or my vision for how it should work.
60
196905
2331
03:19
(Laughter)
61
199236
1414
03:20
I said, let's focus on the problem.
62
200650
1922
03:22
I have an order here and what I want to do is I want to put
63
202572
3855
03:26
red, green and blue in this box right here.
64
206427
2220
03:28
What I need is a system where I put out my hand and — poof! —
65
208647
2852
03:31
the product shows up and I pack it into the order,
66
211499
2523
03:34
and now we're thinking,
67
214022
1693
03:35
this would be a very operator-centric approach to solving the problem.
68
215715
4014
03:39
This is what I need. What technology is available to solve this problem?
69
219729
4227
03:43
But as you can see, orders can come and go, products can come and go.
70
223956
3941
03:47
It allows us to focus on making the pick worker the center of the problem,
71
227897
4683
03:52
and providing them the tools to make them as productive as possible.
72
232580
4624
03:57
So how did I arrive at this notion?
73
237204
2100
03:59
Well, actually it came from a brainstorming exercise,
74
239304
3533
04:02
probably a technique that many of you use,
75
242837
2840
04:05
It's this notion of testing your ideas.
76
245677
2156
04:07
Take a blank sheet, of course,
77
247833
1730
04:09
but then test your ideas at the limits — infinity, zero.
78
249563
4030
04:13
In this particular case, we challenged ourselves with the idea:
79
253593
3182
04:16
What if we had to build a distribution center in China,
80
256775
2976
04:19
where it's a very, very low-cost market?
81
259751
2614
04:22
And say, labor is cheap, land is cheap.
82
262365
3213
04:25
And we said specifically,
83
265578
1646
04:27
"What if it was zero dollars an hour for direct labor
84
267224
3006
04:30
and we could build a million- square-foot distribution center?"
85
270230
2716
04:32
So naturally that led to ideas that said,
86
272946
2075
04:35
"Let's put lots of people in the warehouse."
87
275021
1808
04:36
And I said, "Hold on, zero dollars per hour,
88
276829
2545
04:39
what I would do is 'hire'
89
279374
2857
04:42
10,000 workers to come to the warehouse every morning at 8 a.m.,
90
282231
4127
04:46
walk into the warehouse and pick up one item of inventory
91
286358
3119
04:49
and then just stand there.
92
289477
1733
04:51
So you hold Captain Crunch, you hold the Mountain Dew,
93
291210
2539
04:53
you hold the Diet Coke.
94
293749
1423
04:55
If I need it, I'll call you, otherwise just stand there.
95
295172
2256
04:57
But when I need Diet Coke and I call it, you guys talk amongst yourselves.
96
297428
3387
05:00
Diet Coke walks up to the front — pick it, put it in the tote, away it goes."
97
300815
4121
05:04
Wow, what if the products could walk and talk on their own?
98
304936
4652
05:09
That's a very interesting, very powerful way
99
309588
2338
05:11
that we could potentially organize this warehouse.
100
311926
2594
05:14
So of course, labor isn't free,
101
314520
2348
05:16
on that practical versus awesome spectrum.
102
316868
3308
05:20
(Laughter)
103
320176
1690
05:21
So we said mobile shelving — We'll put them on mobile shelving.
104
321866
3117
05:24
We'll use mobile robots and we'll move the inventory around.
105
324983
4793
05:29
And so we got underway on that and then I'm sitting on my couch in 2008.
106
329776
4418
05:34
Did any of you see the Beijing Olympics, the opening ceremonies?
107
334194
3819
05:38
I about fell out of my couch when I saw this.
108
338013
3041
05:41
I'm like, that was the idea!
109
341054
1473
05:42
(Laughter and Applause)
110
342527
4499
05:47
We'll put thousands of people on the warehouse floor, the stadium floor.
111
347026
3891
05:50
But interestingly enough, this actually relates to the idea
112
350917
4035
05:54
in that these guys were creating some incredibly powerful, impressive digital art,
113
354952
5412
06:00
all without computers, I'm told,
114
360364
2076
06:02
it was all peer-to-peer coordination and communication.
115
362440
2446
06:04
You stand up, I'll squat down.
116
364886
1576
06:06
And they made some fabulous art.
117
366462
1645
06:08
It speaks to the power of emergence
118
368107
2688
06:10
in systems when you let things start to talk with each other.
119
370795
3968
06:14
So that was a little bit of the journey.
120
374763
3778
06:18
So of course, now what became the practical reality of this idea?
121
378541
4038
06:22
Here is a warehouse.
122
382579
1806
06:24
It's a pick, pack and ship center that has about 10,000 different SKUs.
123
384385
3776
06:28
We'll call them red pens, green pens, yellow Post-It Notes.
124
388161
4137
06:32
We send the little orange robots out to pick up the blue shelving pods.
125
392298
3379
06:35
And we deliver them to the side of the building.
126
395677
2168
06:37
So all the pick workers now get to stay on the perimeter.
127
397845
3136
06:40
And the game here is to pick up the shelves,
128
400981
2342
06:43
take them down the highway and deliver them straight to the pick worker.
129
403323
3324
06:46
This pick worker's life is completely different.
130
406647
2137
06:48
Rather than wandering around the warehouse, she gets to stay still
131
408784
3417
06:52
in a pick station like this
132
412201
1588
06:53
and every product in the building can now come to her.
133
413789
3998
06:57
So the process is very productive.
134
417787
3278
07:01
Reach in, pick an item, scan the bar code, pack it out.
135
421065
4195
07:05
By the time you turn around,
136
425260
1649
07:06
there's another product there ready to be picked and packed.
137
426909
3039
07:09
So what we've done is take out all of the non-value added
138
429948
3010
07:12
walking, searching, wasting, waited time,
139
432958
2684
07:15
and we've developed a very high-fidelity way to pick these orders,
140
435642
4278
07:19
where you point at it with a laser, scan the UPC barcode,
141
439920
4164
07:24
and then indicate with a light which box it needs to go into.
142
444084
3194
07:27
So more productive, more accurate and, it turns out,
143
447278
3486
07:30
it's a more interesting office environment for these pick workers.
144
450764
4306
07:35
They actually complete the whole order.
145
455070
2437
07:37
So they do red, green and blue, not just a part of the order.
146
457507
2527
07:40
And they feel a little bit more in control of their environment.
147
460034
3614
07:43
So the side effects of this approach
148
463648
3198
07:46
are what really surprised us.
149
466846
1568
07:48
We knew it was going to be more productive.
150
468414
1578
07:49
But we didn't realize just how pervasive this way of thinking
151
469992
4070
07:54
extended to other functions in the warehouse.
152
474062
5230
07:59
But what effectively this approach is doing inside of the DC
153
479292
4832
08:04
is turning it into a massively parallel processing engine.
154
484124
4464
08:08
So this is again a cross-fertilization of ideas.
155
488588
2623
08:11
Here's a warehouse and we're thinking about
156
491211
1939
08:13
parallel processing supercomputer architectures.
157
493150
3519
08:16
The notion here is that you have
158
496669
2397
08:19
10 workers on the right side of the screen
159
499066
2797
08:21
that are now all independent autonomous pick workers.
160
501863
4248
08:26
If the worker in station three decides to leave and go to the bathroom,
161
506111
3904
08:30
it has no impact on the productivity of the other nine workers.
162
510015
3484
08:33
Contrast that, for a moment, with the traditional method of using a conveyor.
163
513499
4370
08:37
When one person passes the order to you,
164
517869
2059
08:39
you put something in and pass it downstream.
165
519928
2499
08:42
Everyone has to be in place for that serial process to work.
166
522427
3117
08:45
This becomes a more robust way to think about the warehouse.
167
525544
3177
08:48
And then underneath the hoods gets interesting in that we're tracking
168
528721
4544
08:53
the popularity of the products.
169
533265
1738
08:55
And we're using dynamic and adaptive algorithms
170
535003
2824
08:57
to tune the floor of the warehouse.
171
537827
4454
09:02
So what you see here potentially the week leading up to Valentine's Day.
172
542281
4884
09:07
All that pink chalky candy has moved to the front of the building
173
547165
3843
09:11
and is now being picked into a lot of orders in those pick stations.
174
551008
3893
09:14
Come in two days after Valentine's Day, and that candy, the leftover candy,
175
554901
4163
09:19
has all drifted to the back of the warehouse
176
559064
2273
09:21
and is occupying the cooler zone on the thermal map there.
177
561337
4293
09:25
One other side effect of this approach using the parallel processing
178
565630
3483
09:29
is these things can scale to ginormous.
179
569113
2995
09:32
(Laughter)
180
572108
1527
09:33
So whether you're doing two pick stations, 20 pick stations,
181
573635
2734
09:36
or 200 pick stations, the path planning algorithms
182
576369
3273
09:39
and all of the inventory algorithms just work.
183
579642
2543
09:42
In this example you see that the inventory
184
582185
4356
09:46
has now occupied all the perimeter of the building
185
586541
2326
09:48
because that's where the pick stations were.
186
588867
2346
09:51
They sorted it out for themselves.
187
591213
2018
09:53
So I'll conclude with just one final video
188
593231
2287
09:55
that shows how this comes to bear
189
595518
2984
09:58
on the pick worker's actual day in the life of.
190
598502
3594
10:02
So as we mentioned, the process is to move inventory along the highway
191
602096
4336
10:06
and then find your way into these pick stations.
192
606432
2652
10:09
And our software in the background
193
609084
2471
10:11
understands what's going on in each station,
194
611555
2751
10:14
we direct the pods across the highway
195
614306
2611
10:16
and we're attempting to get into a queuing system
196
616917
2714
10:19
to present the work to the pick worker.
197
619631
2884
10:22
What's interesting is we can even adapt the speed of the pick workers.
198
622515
3245
10:25
The faster pickers get more pods and the slower pickers get few.
199
625760
3926
10:29
But this pick worker now is literally having that experience
200
629686
3138
10:32
that we described before.
201
632824
1853
10:34
She puts out her hand. The product jumps into it.
202
634677
2544
10:37
Or she has to reach in and get it.
203
637221
2205
10:39
She scans it and she puts it in the bucket.
204
639426
2445
10:41
And all of the rest of the technology is kind of behind the scenes.
205
641871
3796
10:45
So she gets to now focus on the picking and packing portion of her job.
206
645667
3861
10:49
Never has any idle time, never has to leave her mat.
207
649528
3274
10:52
And actually we think not only a more productive
208
652802
4140
10:56
and more accurate way to fill orders.
209
656942
3270
11:00
We think it's a more fulfilling way to fill orders.
210
660212
3410
11:03
The reason we can say that, though, is that workers
211
663622
3208
11:06
in a lot of these buildings now compete
212
666830
2142
11:08
for the privilege of working in the Kiva zone that day.
213
668972
3182
11:12
And sometimes we'll catch them on testimonial videos
214
672154
2663
11:14
saying such things as,
215
674817
2117
11:16
they have more energy after the day to play with their grandchildren,
216
676934
4246
11:21
or in one case a guy said, "the Kiva zone is so stress-free
217
681180
4596
11:25
that I've actually stopped taking my blood pressure medication."
218
685776
3115
11:28
(Laughter)
219
688891
1834
11:30
That was at a pharmaceutical distributor, so they told us not to use that video.
220
690725
3999
11:34
(Laughter)
221
694724
3568
11:38
So what I wanted to leave you with today is the notion that
222
698292
3024
11:41
when you let things start to think and walk
223
701316
2855
11:44
and talk on their own, interesting processes and productivities can emerge.
224
704171
5291
11:49
And now I think next time you go to your front step
225
709462
2941
11:52
and pick up that box that you just ordered online,
226
712403
2511
11:54
you break it open and the goo is in there,
227
714914
2224
11:57
you'll have some wonderment as to whether a robot
228
717138
2753
11:59
assisted in the picking and packing of that order.
229
719891
2593
12:02
Thank you.
230
722484
1679
12:04
(Applause)
231
724163
4630
About this website

This site will introduce you to YouTube videos that are useful for learning English. You will see English lessons taught by top-notch teachers from around the world. Double-click on the English subtitles displayed on each video page to play the video from there. The subtitles scroll in sync with the video playback. If you have any comments or requests, please contact us using this contact form.

https://forms.gle/WvT1wiN1qDtmnspy7