Cardinal Health Latest News

October 15, 2024 – MISSISSAUGA, ONTARIO – PSI Engineering has announced its work to bring new outbound conveyor automation to Cardinal Health at-Home Solutions’ distribution centers. Serving roughly 5 million U.S.-based customers annually, Cardinal Health at-Home Solutions distributes critical medical supplies and equipment directly to patients with chronic and serious medical conditions such as diabetes, incontinence and more.

As part of Cardinal Health at-Home Solutions’ multi-year strategy to increase warehouse capacity and modernize operations through automation and robotics technology, PSI’s automated pack line conveyor system is featured in its two newest distribution centers in South Carolina and Ohio and will be a key feature of its Texas distribution center once it opens in 2025.

“Cardinal Health is distinguishing itself as a pioneer in the industry by adopting the latest pack area automation technologies,” said Gary Hughes, Chief Executive Officer, PSI. “We’re excited to work with Cardinal Health at-Home Solutions in its continued journey to better serve its customers.”

In at-Home Solutions’ Ohio and South Carolina distribution centers, more than 750 linear feet of PSI’s automated conveyor help route nearly 800 boxes per hour through the facility’s outbound operations. Five scanners ensure package accuracy and reliability with more than seven custom variations of label application depending on box contents. Cardinal Health at-Home Solutions’ Grove City, Ohio, facility opened in 2023, and its Greenville, South Carolina, distribution center opened this summer. Additionally, Cardinal Health announced plans for a new distribution center in Texas which will open in 2025 featuring nearly 1,500 linear feet of PSI’s automated conveyor system, with the capacity to move 1,800 boxes per hour – nearly double that of Ohio and South Carolina.

This conveyor technology will ultimately help the business meet growing demand for at-home medical supplies, reinforce outbound operational quality and allow the business to stay ahead of evolving transportation requirements.

“Our journey to transform our supply chain has been laser-focused on incorporating the right automation and robotics that help us meet our customers’ needs more efficiently and quickly,” said Mike DeSimpelaere, vice president of Network Operations, Cardinal Health at-Home Solutions. “This technology will help us get critical medical supplies to patients faster through stronger, resilient and more efficient warehouse operations. Additionally, the PSI system is scalable, meaning it will be able to support us as we continue our business expansion efforts.”

Scalable automation brings speed and efficiency to fulfillment amid growing business demand

The PSI Pack Line automates the SLAM process (scan, label, apply and manifest), speeding up the end of the two facilities’ outbound processes.

“Automation in the pack area is often overlooked, yet it is a critical component of the order fulfillment process where bottlenecks and packing errors can hamper production goals,“ said John Pollock, PSI’s Director of Client Solutions. “Cardinal Health has approached their automation strategy with a holistic and comprehensive outlook, and the solutions we’ve developed reflect this ethos. These lines have automated 10 major touchpoints, including all instances of variable data and document handling, labeling, and sortation—all while working with and within the existing legacy software infrastructure.”

Additionally, PSI’s original equipment manufacturer (OEM) machinery is uniquely positioned to handle Cardinal Health at-Home Solutions’ direct-to-patient distribution model, capable of scanning unique bar codes on packages moving down the conveyor line and of printing, folding and inserting corresponding documents into the package. PSI’s pack line automation technology then sorts packages to their respective shipping ports.

Integra, PSI’s pack line system management software, also provides comprehensive visibility into production and inventory health, overall equipment efficiency and alarm history. Integra is designed to work seamlessly with Cardinal Health at-Home Solutions’ newly implemented warehouse management system platform to ensure an error-free packing process. The conveyor technology also integrates with the distribution centers’ robotic fulfillment and on-demand packaging systems – automating nearly every step in Cardinal Health at-Home Solutions’ pick, pack and ship process.

About PSI Engineering

PSI works with clients globally to increase facility productivity, optimize labor costs, and improve overall order packing efficiency. With over 30 years of industry experience, PSI has evolved into a leading end-to-end pack line solutions provider, from consultation and design to manufacturing and support. The last hundred feet of the warehouse is our first priority, ensuring that the capital investments made in the picking and shipping areas of the warehouse do not fall flat because of bottlenecks in the pack area.

About Cardinal Health

Cardinal Health is a distributor of pharmaceuticals, a global manufacturer and distributor of medical and laboratory products, and a provider of performance and data solutions for healthcare facilities. With more than 50 years in business, operations in more than 30 countries and approximately 48,000 employees globally, Cardinal Health is essential to care. Information about Cardinal Health is available at cardinalhealth.com.

Contacts
Media:
PSI: Arjun Bedi, abedi@psiengineering.com, 905.858.3600
Cardinal Health: Cari Wildasinn, cari.wildasinn@cardinalhealth.com, 614.757.8287