INDOOR POSITIONING IN LOGISTICS

Five steps to success: efficient implementation of a locating system

Bordesholm, 10 October 2022

Cost efficiency, flexibility and reliability – these factors are the nuts and bolts of today's logistics. In order to keep up with the competition, many logistics companies are implementing modern technologies. But while promising innovations exist in freight planning, for example, they are rather sparse in the area of goods handling. Indoor locating systems can help here, because they enable location of the respective goods in the cross dock with an accuracy of up to 50 cm. In combination with the CargoVIS video management system from DIVIS, a lot of additional information can be collected, helping companies to leverage optimisation potential. But what needs to be considered when implementing such systems?

Imagining our everyday life without positioning technologies is no longer possible. Think of GPS, which guides us to our desired location and even suggests nearby restaurants. Positioning also opens up considerable advantages for freight forwarding companies: The goods can be found more quickly and easily. This not only significantly increases customer satisfaction and thus customer loyalty, but also contributes to improved service quality. In addition, companies can relieve their staff, increase their productivity and gain a better overview of the entire hall.

With today's vast quantities of consignments, a high-performance locating solution is a must. To maximise the benefits, companies should follow these steps for selection and implementation of a system.

Step 1: Explore the concept and benefits of a video system with indoor positioning
Step 2: Defining the goals
Step 3: Determine location points
Step 4: Determine the required locating accuracy
Step 5: How to select the appropriate positioning technology: Hardware or software? That is the question!

Step 1: Explore the concept and benefits of a video system with indoor positioning

The concept of a video system with indoor positioning is as simple as it is sophisticated: When a shipment passes through the handling hall, the staff scans the attached barcode at each individual processing step. The generated data then flows into a transport or warehouse management system. At the same time, the video management software automatically links it with the location and recorded video data related to the consignment. The result: a seamless movement path that allows the goods to be located in the cross dock with pinpoint accuracy just by using the consignment or package number. Instead of searching the logistics hall on foot, the staff can simply determine the position of the missing goods on the PC and easily locate them in the hall.

The advantages of indoor positioning with video management

More productive, automated processes thanks to

Asset locating within seconds
Paperless processes
Detection and elimination of bottlenecks
Compliance with Service Level Agreements (SLAs)
Optimisation of routes
Clear visual allocation of goods

Improved profitability thanks to

Increased productivity through faster loading and unloading
Eliminated loss of goods and reduced inventory and goods damage
Reliable identification of misloads
Significantly improved placement in the overall market
Enhanced competitiveness

Increased customer satisfaction through quality control

Sustainably improved quality
Precisely documented transfer of liability

Step 2: Defining the goals

The next step is to define the envisioned goals.

These include, for example:

Optimised process quality and increased operational efficiency:
The enormous time savings in the search for missing goods streamlines the processes in the logistics hall. The optimised processes increase operational efficiency.
Increased productivity:
The locating system also helps to identify where companies are losing valuable time due to unfavourable hall structure or unproductive workflows.
Security and theft protection:
The ability to locate the shipment with pinpoint accuracy helps prevent theft and secure assets.

Step 3: Determine location points

The logistics hall can be equipped with an indoor positioning system either completely or only in certain sections. It is also possible to combine full and partial positioning as required.

The respective advantages are:

Partial positioning
This option is particularly suitable if only a limited budget is available. Positioning is only carried out in selected parts of the logistics hall, for example where most of the goods are scanned. This way, the company benefits from a lean solution that covers the areas with the largest flow of goods.
Combination of full and partial positioning
If, for example, the entire cross dock is equipped with a location system, while the logistics warehouse is only equipped with a partial location system in the loading area, logistical processes can be largely automated. This in turn saves costs, increases transparency and enhances safety.

Step 4: Determine the required locating accuracy

Two levels of positioning accuracy are possible when determining the location of objects or persons. The required degree depends on the specific application.

Degree of accuracy "Proximity"
This level of accuracy allows the approximate positioning of the object to be identified based on the strength of a signal. This type of precision is suitable, for example, for less frequented logistics halls with only a few cameras. At the same time, it increases operational efficiency and quality.
Accuracy level "Positioning"
Here, the position is determined through precise location. If, for example, a certain item cannot be found during the loading process, the video management system with indoor positioning speeds up the search. The exact position of the consignment can be seen on the screen within seconds, and the goods can be retrieved.

Step 5: How to select the appropriate positioning technology: Hardware or software? That is the question!

There are basically two options regarding technology: locating with or without transponders (tag-based or tagless positioning). The approach best suited for the respective purposes depends on the current and future requirements for the system.

Positioning is based on communication between transmitter and receiver. In cross docks, small pieces of hardware - transponders or tags - are usually attached to each scanner for this purpose. Signal receivers (= locators) distributed in the logistics hall recognise the transponders and transmit the position information to the video management software. This in turn records where the tags are located.

Tag-based positioning using Bluetooth^® Low Energy (LE) as an example
Positioning is based on communication between transmitter and receiver. In cross docks, small pieces of hardware - transponders or tags - are usually attached to each scanner for this purpose. Signal receivers (= locators) distributed in the logistics hall recognise the transponders and transmit the position information to the video management software. This in turn records where the tags are located.
AREA OF APPLICATIION: mobile terminals, personnel, forklift trucks
ADVANTAGES: Tags are cost-effective, flexible, energy-efficient and maintain an accuracy of less than 1 m.
REQUIREMENTS: The characteristics of the transponder depend on the application. If personnel are to be equipped with tags, these should be small and easily portable. To locate a forklift truck on the other hand, a heavier, more robust version with the appropriate industrial protection class is suitable. Tags that are used in dusty facilities or outdoor installations must be classified as "dust-proof" or "waterproof".
Tagless positioning on the example of Bluetooth^® (LE)
AREA OF APPLICATION: mobile terminals

ADVANTAGES: The advantages are manifold. The system is scalable, additional scanners can be added flexibly, quickly and at low cost. In addition, no transponders mounted on the hall scanners are required - their function is taken over by a Bluetooth LE app installed on the scanners. This eliminates the need for the purchase, installation, maintenance, repair and failures of the tags.

REQUIREMENTS: Bluetooth-capable Android scanners

	Tag-based positioning using Bluetooth^® Low Energy (LE) as an example	Tagless positioning on the example of Bluetooth^® (LE)
Area of application	mobile terminals, personnel, forklift trucks	mobile terminals
Advantages	Tags are cost-effective, flexible, energy-efficient and maintain an accuracy of less than 1 m	The advantages are manifold. The system is scalable, additional scanners can be added
Prerequisite	The characteristics of the transponder depend on the application. If personnel are to be equipped with tags, these should be small and easily portable. To locate a forklift truck on the other hand, a heavier, more robust version with the appropriate industrial protection class is suitable. Tags that are used in dusty facilities or outdoor installations must be classified as "dust-proof" or "waterproof".	Bluetooth-capable Android scanners

Conclusion: Ensured sustainability

Digitalised processes are also needed in logistics to be future-ready. It is particularly important to track goods seamlessly – via a video management system with integrated indoor positioning. This not only reduces costs and increases quality, but also makes it possible to retain clear evidence during the transfer of liability. Even more: such a system allows for companies to reduce the loss of goods to a minimum and to relieve their staff: a mouse click is sufficient to locate missing shipments. Above all, an integrated video and locating system provides the logistics company with a comprehensive overview of the processes in the forwarding hall, assists with optimisation in a targeted manner – and thus ensures the desired future economic viability.