MHE Explained: The Backbone of Modern Warehouse Operations

What is MHE?

MHE stands for Material Handling Equipment. It encompasses the wide range of mechanical and automated tools that warehouses, fulfillment centers, and distribution operations use to move goods from one place to another, store inventory safely, and support order fulfillment. MHE ranges from simple hand tools like pallet jacks to complex systems like automated conveyors and robotic pickers. For beginners, think of MHE as the physical muscles of a warehouse: it enables work to be done faster, safer, and with less physical strain on people.

Core functions of MHE

• Movement — transporting goods within or between facilities (e.g., forklifts, conveyors).
• Storage — holding goods in optimal positions for access and protection (e.g., racking, mezzanines).
• Unitizing and load handling — securing and grouping products for transport (e.g., pallet wrappers, stretch filmers).
• Order picking and put-away — assisting operators to locate and retrieve items efficiently (e.g., pick carts, order pickers, automated storage and retrieval systems).
• Sorting and distribution — directing items to the right downstream process or carrier (e.g., sorters, barcode scanners integrated with conveyors).

Common types of MHE

• Lift trucks and forklifts: Counterbalance forklifts, reach trucks and pallet stackers for moving pallets and bulk loads. Example: a reach truck accessing deep racking in an e-commerce warehouse.
• Hand-operated equipment: Pallet jacks, hand trucks and cart trolleys used for short moves and small loads.
• Conveyors and sortation systems: Belt conveyors, roller conveyors and automated sorters that move items across fixed routes.
• Automated storage and retrieval systems (AS/RS): Shuttles and cranes that store and retrieve goods automatically in high-density racks.
• Order picking equipment: Pick carts, order pickers, and voice-directed picking devices that improve accuracy and speed.
• Automated guided vehicles (AGVs) and autonomous mobile robots (AMRs): Mobile robots that transport goods without fixed rails, useful for flexible layouts.
• Specialized equipment: Pallet wrappers, stretch hooders, drum handlers, lifts and docks for loading/unloading trailers.

Why MHE matters

MHE directly affects throughput, labor cost, safety, and inventory accuracy. Well-chosen equipment reduces manual handling time, speeds up picking and packing, minimizes product damage and lowers workplace injuries. In modern operations where fast fulfillment is essential, MHE also enables integration with software systems (WMS/TMS) to provide real-time visibility and optimized workflows.

How to choose MHE

• Volume and throughput: High-volume operations often justify automation (conveyors, AS/RS, AMRs) while low-volume or variable operations may rely on manual and semi-automated equipment.
• Facility layout and ceiling height: Narrow aisles, high racking, or multiple levels influence whether you need reach trucks, order pickers, or mezzanine conveyors.
• Product characteristics: Size, weight, fragility and storage requirements (e.g., cold storage) determine specialized pallets, handling attachments, or temperature-rated equipment.
• Labor strategy: If the goal is to reduce manual labor, invest in automation or ergonomic MHE; if flexibility is key, favor portable and reconfigurable tools like pallet jacks and AMRs.
• Integration with software: Compatibility with WMS/TMS and safety systems enables routing, tracking and preventive maintenance schedules.
• Budget and ROI: Balance upfront cost with expected savings in labor, speed, reduced damage and improved accuracy.

Best practices for implementing and using MHE

1. Assess workflows first: map inbound, storage, picking and outbound processes to identify bottlenecks where MHE will deliver the most value.
2. Start with pilot areas: test new equipment in a contained area to measure performance, train staff and tune processes before full deployment.
3. Prioritize safety and ergonomics: choose equipment that minimizes manual strain and install guardrails, signage and lighting where equipment operates.
4. Standardize equipment and attachments where possible: reduces training time and spare parts inventory.
5. Integrate with WMS and sensors: track utilization, plan routes, and schedule maintenance to avoid unscheduled downtime.
6. Train operators and enforce procedures: well-trained staff reduce accidents, increase equipment life and improve throughput.

Maintenance and lifecycle management

Regular preventive maintenance is essential. Create a maintenance schedule that covers inspections, battery or fuel checks, tire and brake replacement, and software updates for automated systems. Keep records of usage hours, repairs and parts to plan replacements and calculate total cost of ownership. For battery-powered lift trucks and AMRs, proper battery charging and thermal management prolong life and performance.

Safety considerations

MHE is a major source of warehouse accidents if not managed properly. Common safety measures include:

• Operator certification and refresher training for powered equipment.
• Speed limits, designated aisles and pedestrian walkways.
• Regular safety audits and incident reporting.
• Use of sensors, lights and alarms on automated equipment to prevent collisions.
• Appropriate PPE and ergonomic aids for manual handling tasks.

Common mistakes to avoid

• Buying equipment before understanding workflows — leads to underused or misapplied assets.
• Neglecting integration — standalone machines that cannot communicate with WMS/TMS reduce visibility and efficiency.
• Under-investing in training and maintenance — increases downtime and safety incidents.
• Over-automating too quickly — automation without process maturity can create inflexibility and high upfront cost.

Real-world example

Consider a mid-sized e-commerce fulfillment center that struggled with slow peak-season order processing. By introducing a mix of solutions — narrow-aisle reach trucks for higher rack utilization, a conveyor-fed packing line for continuous flow, and AMRs to shuttle full totes between picking zones — the center increased throughput, reduced picker walking time, and smoothed labor peaks. Integration with the WMS provided better order allocation and real-time tracking, improving accuracy and customer satisfaction.

Looking ahead

As warehouses evolve, MHE increasingly blends mechanics with software and AI. Expect more flexible, collaborative robots, improved battery technologies for longer operation, and tighter integration between MHE and warehouse management systems. For beginners, the key takeaway is that MHE selection and use should be driven by clear process goals: increase throughput, reduce cost, improve safety and maintain flexibility to adapt as demand changes.

Bottom line

MHE is foundational to modern warehousing. Choosing the right mix of equipment, pairing it with solid processes and software, and maintaining a culture of safety and continuous improvement will make MHE an effective backbone for your operation.