Logistical challenges are often a company owner’s worst nightmare – from navigating complex supply chains to meeting increasing customer demand. To address these challenges effectively, businesses are increasingly revamping their warehousing operations. Once seen as necessary cost centres, warehouses are now being transformed into strategic assets pivotal to driving success, writes Gavin Harrison, UK sales director at Element Logic.
The catalyst for this transformation is the adoption of advanced technologies such as automated storage and retrieval systems (ASRS), robotics, and artificial intelligence (AI). These innovations are redefining intralogistics, enabling businesses to drive down costs while significantly enhancing operations.
Adapting to global challenges
In an environment of global supply chain pressure, exacerbated by geopolitical tensions, economic instability, and increased ecommerce demand, many industries are facing challenges. To adapt, companies are turning to automation to create more flexible and scalable warehouse operations.
At the forefront of warehouse automation is the implementation of ASRS. These sophisticated systems, while falling into a number of specific categories, offer a range of common advantages, most notably, the dramatic reduction in the use of warehouse space and, by extension, costs.
For instance, in the UK, where warehouse space is costly, ranging from £5 to £9 per square metre per month, and much higher in prime locations like London. By maximising the use of vertical space, an ASRS can significantly increase overall storage capacity within the same physical footprint.
Beyond cost reduction, ASRS also enhances the accuracy, speed, efficiency of pick and pack operations, with the capability to run 24/7 to further boost productivity. By automating repetitive and labour-intensive tasks, businesses can reallocate staff to more value-added activities, further stimulating innovation and growth.
This technology is also playing a pivotal role in the increasing popularity of micro-fulfilment centres and ‘dark’ storage units, often found within retail stores themselves or in other non-traditional locations. The highly flexible, modular nature of an ASRS like AutoStore, for example, makes it perfect for such environments.
Dark warehouses are especially innovative, acting as fully automated facilities with minimal to no human involvement, enabling businesses to scale their operations effortlessly and maintain continuous, highly efficient workflows. With the potential to generate over $400 billion in revenue by 2033, these solutions are undoubtedly transforming the landscape of e-commerce.
Boosting efficiency with AI and robotics
Adding to the efficiency of modern warehouses are autonomous mobile robots (AMRs) and robotic piece-picking solutions. Capable of tasks such as picking, transporting, sorting, and packing, they boost productivity, enhance safety, and reduce errors.
For example, when robotic piece-picking arms are integrated with an ASRS, they can provide secure, accurate picking that optimises existing labour and streamlines the supply chain processes. Artificial intelligence and machine learning power the ‘brains’ of robotic piece-picking arms, enabling them to continuously refine their ability to pick items of varying shapes and sizes with both precision and efficiency.
What’s more, AI-powered warehouse software can analyse vast amounts of data to provide real-time insights, optimise inventory management to avoid over- or under-stocking, and forecast demand with remarkable accuracy. This leads to better decision-making, reduced waste, and improved customer satisfaction. Machine learning models can predict when and where inventory will be needed, automate reordering processes, and even optimise delivery routes.
Unlocking the potential of sustainable warehouses
Efficient warehouse operations have become a central point of focus for companies aiming to reduce their carbon footprint. At the heart of this is energy efficiency. Many warehouse robots, like those used in high-density ASRS, do not need lighting or heating, thus operating with minimal energy use. Some robots also use regenerative energy, returning power to their batteries during operations.
Smart technology investments, like Internet of Things (IoT) sensors and data-driven warehouse analytics, contribute to sustainability. Sensors that control lighting and heating when the building is unoccupied save considerable energy costs. Data-driven analytics provide valuable insights into energy consumption patterns, allowing for optimisation and reduced environmental impact.
However, operating a sustainable warehouse isn’t just optimising energy use and reducing carbon emissions. It’s also about maintaining a healthy, satisfied workforce by alleviating physically demanding and sometimes dangerous tasks. Rather than replacing staff, automation enables the redeployment of employees to more valuable tasks. This shift creates opportunities for upskilling and job enrichment, leading to a happier workplace, reduced staff turnover, and a future-proofed business model.
Looking ahead?
The impact of robotics, automation, and AI on warehousing has been tremendous and these technologies will only continue to advance. By 2030, experts predict a 50-60% growth in warehouse automation, with AI managing most repetitive tasks, and optimising operations.
Integrating these technologies now not only address present challenges, but also position warehouse operations for future growth. Businesses that still rely heavily on manual operations must make a change now – or risk being left behind.
Gavin Harrison, UK sales director at Element Logic
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You are in: Home » Themes » AI & Robotics » GUEST COMMENT From cost centre to innovation centre: the evolution of automated warehouses
GUEST COMMENT From cost centre to innovation centre: the evolution of automated warehouses
Katie Searles
Logistical challenges are often a company owner’s worst nightmare – from navigating complex supply chains to meeting increasing customer demand. To address these challenges effectively, businesses are increasingly revamping their warehousing operations. Once seen as necessary cost centres, warehouses are now being transformed into strategic assets pivotal to driving success, writes Gavin Harrison, UK sales director at Element Logic.
The catalyst for this transformation is the adoption of advanced technologies such as automated storage and retrieval systems (ASRS), robotics, and artificial intelligence (AI). These innovations are redefining intralogistics, enabling businesses to drive down costs while significantly enhancing operations.
Adapting to global challenges
In an environment of global supply chain pressure, exacerbated by geopolitical tensions, economic instability, and increased ecommerce demand, many industries are facing challenges. To adapt, companies are turning to automation to create more flexible and scalable warehouse operations.
At the forefront of warehouse automation is the implementation of ASRS. These sophisticated systems, while falling into a number of specific categories, offer a range of common advantages, most notably, the dramatic reduction in the use of warehouse space and, by extension, costs.
For instance, in the UK, where warehouse space is costly, ranging from £5 to £9 per square metre per month, and much higher in prime locations like London. By maximising the use of vertical space, an ASRS can significantly increase overall storage capacity within the same physical footprint.
Beyond cost reduction, ASRS also enhances the accuracy, speed, efficiency of pick and pack operations, with the capability to run 24/7 to further boost productivity. By automating repetitive and labour-intensive tasks, businesses can reallocate staff to more value-added activities, further stimulating innovation and growth.
This technology is also playing a pivotal role in the increasing popularity of micro-fulfilment centres and ‘dark’ storage units, often found within retail stores themselves or in other non-traditional locations. The highly flexible, modular nature of an ASRS like AutoStore, for example, makes it perfect for such environments.
Dark warehouses are especially innovative, acting as fully automated facilities with minimal to no human involvement, enabling businesses to scale their operations effortlessly and maintain continuous, highly efficient workflows. With the potential to generate over $400 billion in revenue by 2033, these solutions are undoubtedly transforming the landscape of e-commerce.
Boosting efficiency with AI and robotics
Adding to the efficiency of modern warehouses are autonomous mobile robots (AMRs) and robotic piece-picking solutions. Capable of tasks such as picking, transporting, sorting, and packing, they boost productivity, enhance safety, and reduce errors.
For example, when robotic piece-picking arms are integrated with an ASRS, they can provide secure, accurate picking that optimises existing labour and streamlines the supply chain processes. Artificial intelligence and machine learning power the ‘brains’ of robotic piece-picking arms, enabling them to continuously refine their ability to pick items of varying shapes and sizes with both precision and efficiency.
What’s more, AI-powered warehouse software can analyse vast amounts of data to provide real-time insights, optimise inventory management to avoid over- or under-stocking, and forecast demand with remarkable accuracy. This leads to better decision-making, reduced waste, and improved customer satisfaction. Machine learning models can predict when and where inventory will be needed, automate reordering processes, and even optimise delivery routes.
Unlocking the potential of sustainable warehouses
Efficient warehouse operations have become a central point of focus for companies aiming to reduce their carbon footprint. At the heart of this is energy efficiency. Many warehouse robots, like those used in high-density ASRS, do not need lighting or heating, thus operating with minimal energy use. Some robots also use regenerative energy, returning power to their batteries during operations.
Smart technology investments, like Internet of Things (IoT) sensors and data-driven warehouse analytics, contribute to sustainability. Sensors that control lighting and heating when the building is unoccupied save considerable energy costs. Data-driven analytics provide valuable insights into energy consumption patterns, allowing for optimisation and reduced environmental impact.
However, operating a sustainable warehouse isn’t just optimising energy use and reducing carbon emissions. It’s also about maintaining a healthy, satisfied workforce by alleviating physically demanding and sometimes dangerous tasks. Rather than replacing staff, automation enables the redeployment of employees to more valuable tasks. This shift creates opportunities for upskilling and job enrichment, leading to a happier workplace, reduced staff turnover, and a future-proofed business model.
Looking ahead?
The impact of robotics, automation, and AI on warehousing has been tremendous and these technologies will only continue to advance. By 2030, experts predict a 50-60% growth in warehouse automation, with AI managing most repetitive tasks, and optimising operations.
Integrating these technologies now not only address present challenges, but also position warehouse operations for future growth. Businesses that still rely heavily on manual operations must make a change now – or risk being left behind.
Gavin Harrison, UK sales director at Element Logic
We deliver!
Our editor picks some choice pieces from the analysis flow and sends them to your inbox every Wednesday. Dedicated research report previews will also come direct to you. Subscribe for the emails.
Why not join us on Linkedin and you’ll get the best updates on our research and analysis – UK, Europe and Global – in your feed.
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