When warehouses and DCs make the shift to lithium-ion batteries over traditional lead-acid batteries, they experience lower maintenance costs, longer run times, increased performance, faster and more efficient charging, and less downtime. With only so many hours in the day to work with, warehouse and fleet managers are always looking for ways to do more with less, cut costs, and gain a competitive advantage. Right now, many of them are finding those answers—and more—in lithium-ion battery-powered forklifts.

1. NEXT-GENERATION
FORKLIFTPOWER SOURCES
MAKING THE CASE FOR
CONTENT CREATION
PEERLESS
When warehouses and DCs make the shift to lithium-ion batteries
over traditional lead-acid batteries, they experience lower
maintenance costs, longer run times, increased performance,
faster and more efficient charging, and less downtime.

2. 2 • TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com
W
ITH ONLY SO MANY HOURS IN THE DAY TO WORK WITH, warehouse
and fleet managers are always looking for ways to do more with less,
cut costs, and gain a competitive advantage. Right now, many of them are
finding those answers—and more—in lithium-ion battery-powered forklifts.
Lead-acid batteries are the current industry standard for electric forklifts
and are regenerated with an 8-hour charge time, plus an additional 8-hour
cooldown time before they can be cycled back into the forklift for use.
The case for LIBs gains strength because of their far superior charging
capabilities, which is much faster and occurs during a 1-hour or 2-hour
continuous session.
“The lithium-ion battery has emerged as the most serious contender for
dethroning the lead-acid battery,” chemical engineer Robert Rapier writes in
Forbes. “Lithium-ion batteries are on the other end of the energy density scale
from lead-acid batteries. They have the highest energy to volume and energy
to weight ratio of the major types of secondary battery.”
Declining LIB costs and the fact that more companies are using them are
also driving the trend to replace lead-acid batteries. In the end, the economics
typically come down to just how much the batteries themselves are used,
which impacts downtime, maintenance, and labor costs.
ChargingEfficiencyisthe
NextSteptowardCompetitive
AdvantageinDCsandWarehouses
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES

3. TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com • 3
and maintenance have become
central issues for forklift users.
Going a step further, LIBs
are decidedly “green”—an
important distinction in a world
where everyone from the CEO to
the end consumer is concerned
about organizational impact on
the environment. The charging
efficiency, which reduces the
power lost during the charging
process, in turn reduces the
carbon footprint created in
electricity generation. Along with
promoting sustainability, forklifts
that run on LIBs (versus fossil fuels)
are also compliant with regulations
like the California Air Resources
Board (CARB) regulations.
In this Making the Caase, we
explore the growing adoption
of lithium-ion batteries in the
warehouse and DC, highlight
the benefits of replacing
lead-acid batteries and/or
combustible engines, and prove
that LIBs are no longer in the
“early adopter” phase.
only extract more productivity out
of their forklifts, but they also save
on energy bills. That’s because
LIBs are more energy-efficient
and charge faster than lead-acid
batteries. They also last longer
than their lead-acid cousins, and
that translates into lower total cost
of ownership over time.
For some operations, especially
food processing, third-party
logistics (3PL), and other multi-
shift applications, LIBs provide
that extra edge by reducing labor
costs and improving productivity.
“That’s where opportunity
charging really comes into play.
The first shift comes in and runs
for three hours and takes a half-
hour break, during which time the
forklift battery charges back up,”
says Ries.
“They can repeat that at
lunch and throughout the day,”
Ries continues, “instead of
having to wait 16 hours to be
able to use their trucks again.”
This not only helps improve
operational productivity, but it
also diminishes forklift downtime.
In a business environment where
fluid, efficient fleet management
is absolutely critical, battery life
In making the case for using
LIBs in forklifts, Bill Ries,
Account Manager for a Toyota
authorized dealer on the West
Coast, Toyota Material Handling
Northern California, says the
decision is generally based on the
productivity gains. “The biggest
conveniences are that LIBs are
maintenance-free,” says Ries.
“And they can be replenished
using ‘opportunity charging.’”
In other words, LIBs don’t rely
on the 16-hour charging cycles
that lead-acid batteries require.
With opportunity charging, LIBs
can last through multiple shifts
without ever needing to swap the
battery. “That can be particularly
useful for the warehouse or DC
that’s managing two or more daily
shifts,” Ries says.
For example, Toyota Material
Handling has several customers
that run shifts around the clock
and seven days a week, leaving
little or no time for extensive
charging sessions.
And while the average price for
an LIB forklift battery is roughly
3x to 4x the cost of a lead-
acid battery, in return for that
investment, fleet managers can not
— Bill Ries, Account Manager,
Toyota Material Handling Northern California
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES
“ThebiggestconveniencesarethatLIBs
aremaintenance-free,”saysRies...
Andtheycanbereplenished
using‘opportunitycharging.’”
LIBsaremore
energy-efficientand
chargefasterthan
lead-acidbatteries.
Theyalsolastlonger
thantheirlead-acid
cousins,andthat
translatesinto
lowertotalcostof
ownershipovertime.

4. 4 • TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com
T
HE EVOLUTION OF E-COMMERCE AND DIGITAL BUSINESS
is setting a fast operational pace for companies across most industries,
disrupting traditional practices in product and materials management. To keep
up, modern warehouses and DCs need fluid, efficient fleet management tools
that can work around the clock (when necessary). Concerned with battery
life, maintenance requirements, and employee satisfaction, more warehouse
managers are considering lithium-ion batteries (LIBs) to run their forklifts.
“LIBs are much more efficient than lead acid batteries,” says Martin
Brenneman, senior product planning specialist at Toyota Material Handling.
“This allows them to charge faster and more frequently than traditional lead-
acid batteries without experiencing deterioration.”
SUPPORTING HIGH-OUTPUT OPERATIONS
When Toyota Materials Handling introduced its new lineup of LIBs approved
for use in its 3- and 4-wheel electric sit-down forklift models, it became the
first manufacturer in the industry to obtain UL-E and UL-EE certification for the
combination of truck and LIBs on a sit-down counterbalanced forklift.
IntroducingNext-Gen
ForkliftPowerSolutions
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES

5. TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com • 5
GOING GREEN
In 2006, the California Air Resources
Board (CARB) adopted new
regulations to reduce emissions
from large spark-ignited (LSI) engine
powered equipment including
forklifts, sweeper/scrubbers,
and industrial tow tractors. The
regulations set fleet average emission
level requirements (FAELs) that
decreased each year to encourage
the use of electric vehicles and low-
emissions engines. Any company
using three or more forklifts receives
an emissions score based on their
equipment’s age and other factors.
Smart operations are also taking into
account that these regulations could
become more stringent over time.
Working with Underwriters
Laboratory (UL), Toyota’s engineers
tested and certified the use of
four new lithium-ion batteries in
the company’s forklifts. Focused
on offering customers versatile
solutions that are both reliable and
compatible, Toyota’s LIB offering is
part of its commitment to offering
a wide variety of alternative energy
solutions for its customers through
Toyota Industrial Energy Solutions.
During opportunity charging
sessions, for example, LIBs can
utilize a “fast charge” approach that
applies a very high current to the
process.
“In high-output operations,
where you would traditionally see
multiple batteries being used per
truck, LIB provides a fast charge
and requires just one battery per
truck,” Brenneman points out. This
creates some clear advantages for
the warehouse operator, whose
employees don’t have to worry
about “changing out” batteries.
They also don’t have to maintain
battery acid levels or allocate
physical space for battery storage.
“There are some clear labor
costs to putting someone in charge
of swapping batteries, and to
having drivers waiting in line to get
their trucks’ batteries charged,”
Brenneman explains. “With LIBs,
the same drivers can pull up to a
charger, plug in their trucks, go to
lunch, and come back and resume
working. It’s a much more efficient
use of labor.”
Electric forklifts receive zero points,
making them the most CARB-
friendly option on the market. And
while California leads the charge
on environmentally-conscious
regulations, other states—as well
as corporations and consumers—
are also focused on reducing
negative environmental impacts of
combustible engines and their
related emissions.
Adding LIB to the electric
solution can help operations
retain the convenience of internal
combustion when lowering their
overall CARB score.
“The higher the score, the
higher the pollution levels,” says
Brenneman, who adds that
equipment size, age, and other
characteristics can impact the
forklift’s rating. If a company’s
average rating must fall below a
certain threshold, one way to
bring it down is by replacing older
forklifts with newer, electric-
powered options.
By taking that step, warehouse and
DC operators can also leverage the
many other benefits of using next-
generation forklift power sources.
Not only do electric vehicles perform
better overall, but they also require
less maintenance than internal
combustion forklifts (mainly because
they have far fewer “moving parts”).
“In general, electric trucks are less
expensive to operate,” Brenneman
points out. “And while the upfront costs
may be higher with electric, their total
cost of ownership is much lower.”
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES
— Martin Brenneman,
senior product planning specialist,
Toyota Material Handling
“Therearesome
clearlaborcoststo
puttingsomeonein
chargeofswapping
batteries,andtohaving
driverswaitinginline
togettheirtrucks’
batteriescharged...
WithLIBs,thesame
driverscanpullupto
acharger,plugin
theirtrucks,gotolunch,
andcomebackand
resumeworking.
It’samuchmore
efficientuseoflabor.”

6. 6 • TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES
The name of the game in the cold storage material handling
industry is to get as many products as possible into as tight a
space as possible while eliminating as many touches as possi-
ble. (That second part is generally true for any warehouse).
But part of maintaining an effective cold storage operation for
food products is also maintaining the efficiency in the material
handling equipment we use in those applications.
Extending run-time, ensuring effective aisle design for lifts, and
maintaining fewer entries and exits must all be accounted for
when managing cold storage material handling.
One innovation is carrying cutting-edge operations to new
heights in cold storage: lithium-ion forklift batteries. These
batteries are being used by early-adopters to replace lead-acid
batteries when working in fridges above 32 degrees. They are
helping to overcome serious material handling challenges.
Lithium-ion forklift batteries are also nearly maintenance free.
While lead-acid batteries require water maintenance, a lithi-
um-ion battery can run virtually untouched except for charging
needs. This is a huge boon for return on investment (ROI),
efficiency, and productivity.
TheLithium-IonForklift
Battery-ColdStorageConnection

7. TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com • 7
FOR THE CFO: The initial cost of LIBs might be higher, but that investment can more than pay
for itself over time, especially in the right multi-shift applications. Much of that savings comes in
the form of lower maintenance costs, but the fact that LIBs support environmental sustainability
through efficient use of electricity, can be easily charged and back in action quickly, and enhance
productivity on the warehouse floor all add up to significant cost savings.
“Trucks using LIBs have much less downtime than those that need 16-hour battery charging
cycles and battery swaps,” says Toyota Material Handling Northern California Account Manager Bill
Ries. “That equates to less money spent on operators or maintenance staff.” It also means more
productivity in the warehouse, where the speed of business today leaves little room for downtime.
And because LIBs last two to four times longer than lead-acid batteries, CFOs can rest easy
knowing that equipment replacement cycles will be far fewer. As an added bonus, some electricity
suppliers in states like California are offering rebates to companies that “go green” by investing in
battery-powered forklifts.
Next-Generation
Forklift
PowerSources
MAKINGTHECASEFOR
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES
When warehouses and DCs
invest in lithium-ion-powered
forklifts, everyone wins.

8. 8 • TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com
FOR THE OPERATIONS MANAGER:
Focused on keeping their operations running across all shifts,
operations managers need reliable, dependable forklift fleets.
Martin Brenneman, senior product planning specialist at
Toyota Material Handling, says next-generation LIB-powered
forklifts have come a long way since the days when swapping
out a propane tank on an internal combustion engine truck
was easier than charging a battery.
A warehouse that’s running multiple shifts, for example,
no longer has to worry about swapping out lead-acid
batteries and then waiting 16 hours until the “swapped”
batteries are recharged and ready to use. This frees up
floor space that was allocated to the battery-charging
operation, which typically includes extraction machinery
and storage space. These are very bulky, heavy batteries
that take time to swap out, says Ries, not to mention the
room to do it in.
“The idea that an electric truck is more work due to the
battery swaps and charging sessions is no longer valid,”
Brenneman points out. “With today’s fast-charge options,
LIBs can stay up and running 24/7.” That’s good news
for the operations manager who doesn’t want workers
having to swap out 2,200-pound lead-acid batteries and/
or lift full propane tanks onto their vehicles. “Instead,” he
adds, “they just plug the battery connector into a charger.”
FOR THE FLEET MANAGER: With
the “early adopter” phase for LIBs
already behind them, fleet managers
who weigh out the pros and cons of
using these next-generation battery
sources can readily see the benefits
of making the move to LIBs. “The
technology has been proven and
is being used in some large-scale
operations,” Brenneman explains.
“The bugs have been worked out,
and now we’re getting into that
stage where LIBs are being used
more universally.”
In return, the fleet managers in
those operations are experiencing
higher levels of productivity, less
need for maintenance, and fulfillment
operations that can literally run
around the clock. “If you’re running a
multi-shift operation and concerned
about throughput, operator
efficiency, and overall productivity
gains,” says Ries, “then LIBs could
be the answer.”
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES
— Bill Ries, Account Manager, Toyota Material Handling Northern California
— Martin Brenneman, senior product planning specialist, Toyota Material Handling
“TrucksusingLIBshavemuchlessdowntimethanthosethatneed
16-hourbatterychargingcyclesandbatteryswaps...
Thatequatestolessmoneyspentonoperatorsormaintenancestaff.”
“Theideathatanelectrictruckismoreworkduetothebatteryswaps
andchargingsessionsisnolongervalid,”Brennemanpointsout.With
today’sfast-chargeoptions,LIBscanstayupandrunning24/7.”

9. TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com • 9
L
ESS MAINTENANCE, LOWER COSTS, ENVIRONMENTAL SUSTAINABILITY, and overall
worker satisfaction are just a few of the key benefits of using next-generation lithium-ion batteries in
forklifts. The fact that “opportunity” charging these vehicles is easy means these batteries offer a broad
range of benefits for many warehouses and DCs.
High-throughput operations tend to see the biggest bang for their buck when using LIBs, but the
benefits are broader than just ROI. “As the technology behind the batteries has advanced, we’re
seeing a broader range of companies using them,” says Martin Brenneman, senior product planning
specialist at Toyota Material Handling.
Seeking less equipment maintenance and better charging flexibility, one food bank network
working with Toyota Material Handling Northern California moved over to using LIB-powered electric
pallet jacks a few years ago. Those jacks are transported by and used on tractor trailers that pick
up and deliver the food for the organization. “The truck drivers can charge the batteries whenever
they want, versus having to endure a rigid charging cycle,” says Toyota Material Handling Northern
California Account Manager Bill Ries. “They also don’t have to worry about truck maintenance while
they’re out on the road.”
Wanted:Lower
MaintenanceCosts,
EasierCharging,and
BetterProductivity
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES

10. 10 • TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES
ENERGY BILLS: Lithium-ion batteries are more energy-efficient
and charge much faster than lead-acid batteries.
LONGEVITY: Your lithium-ion battery will last two to four times
longer than a lead acid battery.
DOWNTIME: Lithium-ion batteries don’t need to be swapped
out and can be opportunity-charged during operator breaks.
LABOR COSTS: Lithium-ion forklift batteries don’t require
maintenance or watering.
PRODUCTIVITY: Enjoy longer run-times and no decline in
performance as the battery discharges.
ENVIRONMENTAL IMPACT: Lithium-ion batteries avoid fume
emission and their longevity could mean less battery disposal in
the future.
REAL ESTATE: Reclaim the area you’re using as a charging
room for additional storage.
7ReasonstoUse
Lithium-IonForkliftBatteries
1
2
3
4
5
6
7
For the higher upfront price that companies pay for their
lithium-ion forklift batteries, those users save money on:

11. TOYOTA: Next-Generation Forklift Power Sources • toyotaforklift.com • 11
using electric forklifts,” he explains, “the days
when your maintenance personnel had to
change engine oil, swap out air filters, and flush
engine coolant literally just go away.”
TESTING AND QUALIFICATION
Looking specifically at Toyota’s LIB-powered
forklift approach, Brenneman says the
differentiations also lie in Toyota Industrial
Energy Solutions’ in-depth battery testing and
qualification.
“We put quite a bit of time and energy into
developing viable solutions,” says Brenneman,
who is often asked to provide direct
comparisons between electric forklifts and
those that have internal combustion engines.
Toyota Material Handling Northern California
Account Manager Bill Ries concurs, and says a
good starting point is to talk to both the forklift
manufacturer and the battery vendor about the
available options. “Here at Toyota, we use a
team approach that includes
representatives from the
battery manufacturer,” says
Ries. “When it comes to LIBs,
there are a lot of options out
there on the market right
now, and we strive to match
the right solution to the right
warehouse or DC, every time.”
MAKING A DIFFERENCE
A common misconception about forklift LIBs is
that they are just another battery and can be
directly swapped in place of a lead-acid battery.
The truth is that an LIB is an intelligent piece
of technology being used to replace a basic
chemical reaction connected by cables. This
means an LIB has to have a “brain.”
The “brain” continually monitors the battery
cells and their temperatures, detects when
there is a short or fault in a battery, and then
shuts down to protect itself if needed. “These
are new capabilities that we didn’t see on the
earlier generations of lead-acid batteries,”
says Brenneman. These and other functions
help keep LIBs relatively low maintenance
compared to lead-acid batteries. LIBs have built
in technologies to guard against maintenance
needs, while lead-acid batteries still require a
great deal more manual attention to maintain,
including constantly monitoring and adjusting
fluid and water levels.
“Lead acid batteries require
quite a bit of maintenance,
while LIBs have virtually
none,” Brenneman says. This
is especially significant for
companies that are investing
in their first battery-powered
forklifts. “When you move to
MAKING THE CASE
NEXT-GENERATION FORKLIFT POWER SOURCES
ThetruthisthatanLIB
isanintelligentpiece
oftechnologybeing
usedtoreplaceabasic
chemicalreaction
connectedbycables.
ThismeansanLIB
hastohavea“brain.”

12. TO FIND OUT MORE ABOUT WHAT TOYOTA CAN DO,
VISIT WWW.TOYOTAFORKLIFT.COM
CUSTOMER SUPPORT: 1-800-381-5879