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ShrinkStop project revisited

A joint venture between ProLoCon and Multivid, ShrinkStop combines software, digital CCTV technology, bar coding scanning and printing as well as state-of-the-art in-motion and static weighing technology to create a secure goods custody transfer application for implementation into receiving and despatch centres for both fast moving consumable goods (FMCG) and manufactured items including high value items such as pharmaceuticals and chemicals.

The ShrinkStop project commenced approximately four years ago but lapsed for various reasons. ProLoCon and Multivid agreed to revisit the ShrinkStop system as both parties believed it to fulfil a vital role in combating backdoor shrinkage.

The problems

Some of the problems currently being encountered in the transfer of goods include:

* Secure goods custody transfer in warehousing environments sometimes lacks a degree of validation in their transfer process.

* How can a warehouse clerk validate that 15 boxes have actually been transferred into/out of their warehouse?

* A supplier delivers boxes to a fast moving consumable goods (FMCG) store. The items do not match up to a delivery note, what happens is that the boxes are moved to an 'in-transit' warehouse while the supplier and the customer attempt to reconcile the delivery. At that stage the warehouse is now holding goods with a commercial value. However, once in the 'in-transit' warehouse, goods are pilfered or damaged. A more efficient way would be that goods that do not match up to an order are placed on a return conveyor and sent straight back to the supplier.

* Goods are incorrectly/poorly labelled prior to being received/during the receiving or despatch process. This creates havoc with stock management systems.

* For food and pharmaceutical management traceability of the raw materials adds a dimension to the receiving process. The manufacturer must be able to track the raw materials receipt into a Line Side Warehouse and the finished product right up onto the outbound transport.

* Goods are 'repackaged' on receipt or despatch with either fillers such as bricks or newspaper. Being able to track this kind of shrinkage at the receiving and despatch points is likely to save money.

The solution

ShrinkStop combines bar coding, software, conveyors, digital video images (date and time stamped with unique transaction numbers and user-configurable details such as GRV number, courier details etc).

By linking a visual image with a specific transaction, ShrinkStop allows the user to count items coming into their warehouse and the weight of each item.

In the complete system, ShrinkStop encourages the use of both an in-bound and out-bound conveyor lane. Items that do not match up to the order are immediately moved by packer/diverter arm onto the outbound lane and sent straight back to the supplier without hassle and associated cost of holding goods that are not on the order.

Label validation (the ability to read the label) is a huge exercise on its own. A number of suppliers are now being forced to ensure their goods are correctly labelled prior to delivery.

Having supplied the food and pharmaceutical manufacturing industry with BatchManager for tracing the use of raw materials during the production process. If goods are incorrectly labelled/received then Full Lot Traceability (as required by EU Food Law EC178/2002) goes out the window. ShrinkStop aims to supply food, pharmaceutical and chemical manufacturers with the receiving and despatch ends of the manufacturing chain while utilising BatchManager on the production floor.

ShrinkStop includes the use of high-speed check-weighers and/or static scales during the receiving/despatch process. Goods are set with a specific tolerance and items that do not fall within the stated tolerance are stopped from being received. This attempts to combat the 'repackaging' of stock items.

"The ShrinkStop system currently under demonstration is a 'Proof of concept' and is far from the finished product," says ProLoCon director, Marc Ashton. "However, it clearly demonstrates a receiving process as well as the interface to various devices. We have adopted the view that we need the technology to fit a real life (working) receiving/despatch process as opposed to trying to fit an IT system that people then need to work around."

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