Increasing Operational Excellence using M3 Use a perfect layout, which can breath with increasing volume: Split full pallets off during unloading Queue mixed pallets and run them through a gatekeeper point Make sure the loose carton area and the first 3 slots of the reconstruction areas are not more than 5 steps away from the source pallet. 60% of all cartons go to these slots. Pull back one or two big pallet reconstruction consignments for short distance locations to finalize after all others. Those can be shipped later. Finalize the other consignments first. Use the „Planning Summary Report“ to find these big consignments. On reconstruction locations, put the first reconstructed carton tilt over the pallet. This makes sure any other later carton can be reconstructed to a syncronized reconstructed carton and you don‘t open a second virtual pallet by coincidence.

60% of all ctns scans !

Bringing Speed to the M3 Hub Put pallets closely alternating together, leaving a 30 cm gap for wrapping. This saves drastically walking. Follow a strict material flow for incoming pallets, with easy in- and out-flow Place A4 document printer and label printer together into a central place very close to the gate keeper / LOOSECARTON. While unloading, pass the full pallets by the label printer to apply the label immediately Separate the work in scanning into various roles UNLOADER: auto mode. Scans pallets and drops full pallets into the full pallet staging zone, while mixed pallets queue up prior to the GATEKEEPER‘s pallet breakdown point GATEKEEPER: presort mode. Decides where cartons needs to go and hands it to the next guys in the other work areas WALK & RECON PLT: pallet mode or „build container“ mode. Reconstructs cartons onto pallets right away. WALK & RECON PAR: „build container mode“. When all cartons to a parcel recon task are presorted, reconstruct and finish the parcels, apply packing lists and label. LOOSECARTON: auto mode. Scans the cartons and finishes them, applies the packing lists, and potentially re-prints labels for cartons including the routing.

Work Places and Scan Variants Big hub, many cartons: use a Gatekeeper with PRESORT MODE (HOR) Work Places and Scan Variants Trailer Full pallets Mixed pallets UNLOADER Auto mode Loose carton rack by routes GATEKEEPER Presort mode LOOSECARTON Auto mode WALK & RECON PLT Pallet mode WALK & RECON PAR Build container mode WALK & RECON PLT Pallet mode RPL RPA OVS

Work Places and Scan Variants Small Hub, less cartons: use a gatekeeper with AUTO MODE shortcut (HED) Work Places and Scan Variants Trailer Full pallets Mixed pallets UNLOADER Auto mode Loose carton rack by routes LOOSECARTON Finished right away GATEKEEPER Auto mode Presorts un-scanned cartons for reconstruction Finishes full pallets and loose cartons right away WALK & RECON PLT Pallet mode WALK & RECON PAR Build container mode WALK & RECON PLT Pallet mode RPL RPA OVS

Avoid „virtual“ pallets: put the first carton tilt over the reconstruction pallet 2 3 1 Open a new pallet with the first carton and put the carton tilt to the pallet. Scan the 2nd carton to the 1st carton. Scan the 3rd carton to the 1st carton.