Materials Handling Equipment Selection Guide

Selecting the right materials handling equipment (MHE) is a strategic decision that directly impacts operational efficiency, workplace safety, and your bottom line. With annual equipment costs potentially representing 15–25% of warehouse operating budgets, making informed choices is essential.

This guide provides a structured, eight-step methodology for evaluating and selecting MHE. Whether you're outfitting a new facility, upgrading aging equipment, or optimising an existing operation, this framework will help you make decisions that deliver long-term value.

Step 1: Assess Your Operational Needs

Before evaluating any equipment, conduct a comprehensive analysis of your current operations and anticipated future requirements. This assessment forms the foundation of your selection criteria.

Critical Assessment Questions

• Material types: What are you handling? (e.g., pallets, cartons, rolls, drums, specialty items)
• Weight parameters: What are the average and maximum load weights? What is the frequency distribution?
• Vertical requirements: How high do you need to lift? Consider stacking heights, racking configurations, and clearance requirements.
• Throughput volume: What is your daily movement count? Note peak periods and seasonal variations.
• Environment: Is the operation indoor, outdoor, or mixed? Are there temperature, hygiene, or hazardous area considerations?
• Aisle configuration: What are your aisle widths? Note any constraints or variations throughout the facility.
• Technology integration: Is compatibility with WMS, ERP, or automation systems required?

Step 2: Understand Equipment Categories

Materials handling equipment spans a broad spectrum from simple manual tools to sophisticated automated systems. Understanding each category's strengths and ideal applications is essential for appropriate selection.

Manual & Light-Duty Equipment

Pallet Trucks (Manual or Electric)

Application: Short-distance pallet movement, truck loading/unloading, small warehouse operations.

Capacity: Typically 2,000–5,500 kg. Electric versions reduce operator fatigue for frequent use.

Choose if: You need low-cost, ground-level transport over distances under 50 metres with minimal lifting requirements.

Pedestrian Stackers

Application: Low-lift stacking in confined spaces, retail backrooms, light-duty order assembly.

Capacity: Usually 1,000–2,000 kg with lift heights to 5 metres.

Choose if: You need a compact, low-cost solution for light loads in congested areas where ride-on equipment cannot operate.

Stacker Trucks (Pedestrian or Rider)

Application: Light to medium stacking in workshops, retail environments, and small warehouses.

Capacity: 1,200–2,000 kg with heights reaching 6 metres.

Choose if: You need a compact footprint with moderate stacking capability.

Forklifts & Reach Equipment

Counterbalance Forklifts (Electric, LPG, Diesel)

Application: General-purpose lifting, loading/unloading, medium to large warehouse operations.

Capacity: 1,500–8,000+ kg with lift heights to 7 metres.

Aisle requirement: 3.5+ metres.

Choose if: You have wide aisles and need versatile equipment for varied load types and moderate lift heights.

Reach Trucks

Application: High-density storage, narrow aisle operations, selective and deep-lane racking.

Capacity: 1,400–2,500 kg with heights reaching 12+ metres.

Aisle requirement: 2.7–3.2 metres.

Choose if: You want to maximise storage density while maintaining good throughput. Offers 25–35% more storage than counterbalance layouts.

Very Narrow Aisle (VNA) Trucks

Application: Maximum storage density, automated or semi-automated warehouses with high racking.

Capacity: 1,000–1,500 kg with heights to 17 metres.

Aisle requirement: As narrow as 1.6 metres with wire or rail guidance.

Choose if: Space is at a premium and you're investing in a high-efficiency warehouse. Requires excellent floor flatness and significant infrastructure investment.

Order Pickers

Application: E-commerce fulfilment, parts distribution, batch and piece picking operations.

Configurations: Low-level (ground to 2.5m), medium-level (to 6m), high-level (to 12m+).

Choose if: Your operation involves frequent individual item picks at various heights and high SKU counts.

Specialty & Heavy Equipment

Tow Tractors and Tugs

Application: Assembly lines, airports, large facilities with repetitive transport routes.

Advantage: Moves multiple trailers in train formation, dramatically reducing trip frequency.

Choose if: You move many smaller loads over distances exceeding 100 metres and want to reduce trips.

Container Handlers (Reach Stackers, Empty Container Handlers)

Application: Ports, intermodal yards, distribution centres handling shipping containers.

Capacity: Handles 20ft and 40ft containers, typically 35–45 tonnes.

Choose if: You regularly handle shipping containers and need outdoor-capable heavy lifting.

Cranes & Hoists (Jib, Overhead, Gantry)

Application: Workshops, factories, maintenance bays handling oversized or extremely heavy items.

Types: Jib cranes (fixed point), overhead cranes (bay coverage), gantry cranes (portable).

Choose if: You handle loads that exceed forklift capacity or dimensions.

Fixed Infrastructure Systems

Conveyor Systems (Roller, Belt, Gravity, Powered)

Application: High-throughput distribution, parcel sorting, production line integration.

Types: Roller (gravity/powered), belt, flexible, spiral, sortation systems.

Choose if: You handle 500+ items per hour with predictable routing and want minimal manual handling.

Docking Equipment (Dock Levellers, Yard Ramps, Vehicle Restraints)

Application: Warehouses, distribution centres, retail backrooms.

Components: Dock levellers, yard ramps, vehicle restraints, dock shelters/seals.

Choose if: You load/unload multiple trucks daily and want to improve speed and safety at the dock.

Pallet In-Feed Systems

Application: Manufacturing lines, bottling plants, packaging operations.

Function: Automated pallet supply to production without manual intervention.

Choose if: You need consistent, high-volume pallet flow into production or packaging lines.

Automated Solutions

Automated Guided Vehicles (AGVs) and AMRs

AGV (Automated Guided Vehicle): Follows fixed paths using wires, magnets, or tape. Predictable and reliable with lower flexibility.

AMR (Autonomous Mobile Robot): Uses sensors and AI for dynamic navigation. Higher flexibility, adapts to obstacles and changing environments.

ROI consideration: Typically requires 2–3 year payback. Best suited for operations running multiple shifts.

Choose if: You're ready to invest in automation to improve accuracy, reduce labour costs, and scale operations. AGVs suit stable environments; AMRs suit dynamic ones.

Step 3: Evaluate Power Source Options

The power source significantly impacts operating costs, environmental suitability, and total cost of ownership. Each option has distinct advantages and limitations.

Power Source	Best For	Advantages	Considerations
Electric (Lead-Acid)	Indoor operations, food/pharma, clean environments	Zero emissions, quiet, lower energy costs	8-hour charge cycle, battery maintenance, charging infrastructure required
Electric (Lithium-Ion)	Multi-shift operations, opportunity charging	Fast/opportunity charging, maintenance-free, longer lifespan	Higher upfront cost (offset by operational savings)
LPG (Propane)	Mixed indoor/outdoor, extended shifts	Quick refuelling, good power output, versatile	Emissions require ventilation, fuel storage needed
Diesel	Outdoor, heavy-duty, construction sites	Maximum power, durability, all-weather capability	Not suitable indoors, higher emissions, noise
Hydrogen Fuel Cell	Large fleets, sustainability-focused operations	3-minute refuelling, zero emissions, consistent power	Significant infrastructure investment, limited availability

Step 4: Analyse Warehouse Layout and Infrastructure

Your facility's physical characteristics determine which equipment will operate efficiently and safely. Document these parameters before engaging with suppliers.

Critical Layout Factors

• Aisle Width: Measure your narrowest operational aisle. This single factor often determines viable equipment categories.
• Vertical Clearance: Document ceiling heights, obstructions (sprinklers, lighting, HVAC), and maximum rack heights.
• Floor Condition: Assess levelness (critical for VNA and reach trucks), surface quality, and load-bearing capacity.
• Access Points: Note doorway dimensions, ramp gradients, and dock configurations.
• Infrastructure: Verify electrical capacity for charging, ventilation requirements, and fuel storage options.

Aisle Width Reference

Aisle Width	Suitable Equipment	Storage Density
3.5m+	Counterbalance forklifts	Standard
2.7m – 3.2m	Reach trucks	High (+25–35%)
1.6m – 2.0m	VNA trucks (guided)	Maximum (+40–50%)

Step 5: Calculate Total Cost of Ownership (TCO)

Purchase price represents only 20–30% of total equipment cost over a typical 7–10 year lifecycle. A comprehensive TCO analysis reveals the true cost of ownership.

TCO Components

• Acquisition cost: Purchase price, financing charges, or lease payments
• Energy/fuel: Electricity, LPG, or diesel consumption based on operational hours
• Maintenance: Scheduled service, wear parts, unexpected repairs
• Operator costs: Training, certification, productivity differences between equipment types
• Downtime impact: Lost productivity during repairs, backup equipment requirements
• Infrastructure: Charging stations, fuel storage, ventilation modifications
• Residual value: Expected resale or trade-in value at end of useful life

Step 6: Prioritise Safety and Operator Comfort

Safety considerations extend beyond regulatory compliance. Well-designed equipment reduces incidents, improves operator retention, and lowers insurance costs.

Essential Safety Features

• Active safety: Proximity sensors, automatic speed reduction, collision avoidance systems
• Passive safety: Seat belts, overhead guards, stability systems, blue safety lights
• Operator ergonomics: Adjustable seats, suspension systems, intuitive controls, climate control options
• Visibility aids: Cameras, mirrors, clear sight lines, warning lights and alarms
• Telematics: Real-time monitoring of operator behaviour, impact detection, usage patterns, and maintenance alerts

Training Requirements

Ensure your training programme covers equipment-specific operation, workplace hazard awareness, and refresher schedules. Many suppliers offer comprehensive training packages as part of purchase or lease agreements.

Step 7: Plan for Scalability and Future Needs

Equipment decisions should account for projected growth and evolving operational requirements. Consider a 3–5 year planning horizon.

Future-Proofing Questions

• What volume growth is projected over the next 3–5 years?
• Are there plans for automation or WMS/ERP integration?
• Will product mix or handling requirements change?
• Is facility expansion or relocation anticipated?
• Can the equipment platform accommodate attachments or upgrades?

Step 8: Engage with Suppliers

Work with established suppliers who can provide ongoing support, parts availability, and technical expertise throughout the equipment lifecycle.

Supplier Evaluation Criteria

• Request on-site demonstrations with your actual products and operating conditions
• Negotiate trial periods before committing to major purchases
• Verify service network coverage and response time commitments
• Assess parts availability and lead times for critical components
• Review training programmes and ongoing support options
• Check references from operations similar to yours
• Evaluate service contract options and terms

Pre-Purchase Checklist

Before finalising any equipment purchase, confirm the following items have been addressed:

• ☐ Load specifications documented (weights, dimensions, types)
• ☐ Aisle widths and ceiling heights measured
• ☐ Indoor/outdoor usage requirements confirmed
• ☐ Power source selected with infrastructure verified
• ☐ Operator skill levels and training needs assessed
• ☐ Total cost of ownership calculated (not just purchase price)
• ☐ Safety and compliance requirements verified
• ☐ Service and maintenance support confirmed
• ☐ Scalability and future needs considered
• ☐ Technology integration requirements documented

Conclusion

Selecting the right materials handling equipment is a strategic investment that impacts operational efficiency for years to come. By following this structured methodology—assessing needs, understanding options, evaluating layouts, calculating true costs, and planning for growth—you can make informed decisions that deliver sustained value.

Remember that no guide can replace site-specific expertise. For complex operations or significant investments, engage a materials handling specialist to conduct a thorough assessment and provide tailored recommendations.

Invest wisely—your equipment choices today will shape your warehouse efficiency for years to come.