Originally published 03/29/2022
KEY TAKEAWAYS
- Logistics organizations are implementing automation to address labor shortages, supply chain disruptions, and the increasing demand for faster, more accurate logistics services.
- Several key technologies are revolutionizing logistics automation, including optical recognition technology, Automated Storage and Retrieval Systems (ASRS), and real-time tracking systems.
- These technologies are powering trends in logistics automation, including connected warehouses, Automated Guided Vehicles (AGVs), intelligent automation, and more.
Companies worldwide are facing labor shortages and disruption to their supply chain as a result of uncertain conditions around the economy, the political landscape, and more. Many organizations are using automation to increase their productivity and add to their bottom line — and so should you.
What’s in this article:
- Importance and benefits of logistics automation
- The technology behind automation adoption
- The hottest logistics automation trends to be aware of right now
- What does the future hold?
IMPORTANCE AND BENEFITS OF LOGISTICS AUTOMATION
The rapid, continual growth of e-commerce has put increased pressure on logistics organizations to find faster, more efficient ways of working, making the adoption of automation a no-brainer. In fact, the logistics automation market size is expected to grow by $162.5 billion by 2030.
Logistics organizations are implementing automation into nearly every aspect of their operations due to the wide variety of benefits it offers:
- Increased efficiency: Automation streamlines processes, reducing time and effort required for tasks (e.g., data entry, document processing, transportation, etc.).
- Reduced cost: By automating manual tasks and using robots for transportation, companies can significantly reduce labor and operational costs.
- Improved visibility: Automation enhances supply chain visibility, allowing companies to track products in real-time.
- Enhanced decision-making: With improved data analysis and visibility, companies can make better-informed decisions about inventory management, transportation, and more.
- Increased scalability: Keeping up with surging demand is nearly impossible without automation. Advancements in AI and robotics make it easier to adapt to changes quickly and seamlessly.
- Increased accuracy: The inherent precision that comes with automated tools reduces possible human errors in order fulfillment and inventory management, elevating the customer experience as a result.
THE TECHNOLOGY BEHIND AUTOMATION ADOPTION
From smart updates and traditional tools to advanced storage, retrieval and tracking systems, these technologies are powering steady adoption of automation in the logistics sector.
Automated Storage and Retrieval Systems (ASRS)
These computer-controlled machines are used for storing and retrieving products. Advancements in this technology are making the systems even more powerful for a wider variety of applications. The Modula Next from Modula, Inc. combines the space-saving design of Vertical Lift Modules (VLMs) with the precision and control of industrial vending systems, making it ideal for industries managing high-value materials that require pinpoint picking accuracy.
Conveyor Systems
Automated conveyor belts are used to move products through warehouses seamlessly. They offer more precision than traditional conveyor belts, especially for moving pallets or larger products. These conveyors are becoming increasingly customizable to meet the needs of various industries. For example, the Glide-Line 360 from Glide-Line is a custom conveyor system that can shuttle, divert, merge, sort, stack, lift, lower, transfer, and turn based on specific customer needs.
Optical Recognition Technology
This vision-based technology is often used in automated quality control systems. It can identify defects or issues with products that may not be visible to the human eye. Organizations like Cognex Corporation and Keyence Corporation of America are taking this tech to the next level, incorporating AI and deep learning to improve accuracy and flexibility.
Pick-and-Place Robots
Pick-and-place robots are often used for automated inventory retrieval. They can handle items on high shelves, improving safety and efficiency. They can also be used to sort packages or products by size, shape, and destination, and can even fulfill online orders.
The capabilities of these robots continue to advance, taking on more tasks throughout the logistics process. Item PiQ, a pick-and-place robot from Swisslog (part of the KUKA Group) is capable of picking up to 1,000 items per hour. AI-based pick-and-place robots from FANUC are used for bin picking to autonomously fulfill orders.
Real-Time Tracking Systems
Advanced technologies like GPS, RFID, and IoT allow logistics companies to monitor the location, status, and condition of goods as they move through the supply chain. These systems provide up-to-the-minute visibility and data for improved decision-making and operational efficiency.
TOP LOGISTICS AUTOMATION TRENDS TO WATCH NOW
Here are the automation trends that are revolutionizing logistics today.
Automated Guided Vehicles (AGVs)
AGVs can transport materials, work-in-progress items, and finished goods throughout logistics facilities, operating 24/7 with consistent performance. They use advanced navigation systems to plan efficient routes, reducing travel times and minimizing errors. They also improve workplace safety by reducing the risk of accidents.
AI-powered automation
Finding better ways of improving processes is an endless concern for modern managers. But luckily, AI is here to help.
Intelligent automation builds on AI’s data-processing capabilities to enhance manufacturing and storing processes. By using intelligent automation, both factories and warehouses alike can streamline their workflows and free up resources that are needed elsewhere.
By optimizing processes that were originally designed for humans, these tech solutions are helping to modernize and advance a wide variety of industries like automotive, warehousing, transportation, and beyond.
Connected warehouses
Warehouses have always stressed connectivity. However, the development of 5G and IoT has raised the bar to another level.
The proliferation of IoT warehouse devices (like Industrial PCs and embedded computers) on machines, products, facilities, and even people is effectively making warehouse aisles transparent.
Using a tablet or a cellphone, managers can track the whereabouts of every product, package, and pallet that is either in the warehouse or in transit.
Furthermore, the rise in connectivity also allows outside stakeholders like sales, distribution, management, or suppliers to stay plugged into customer relationship management (CRM) systems. The software then gives them accurate, real-time information about inventory and orders anytime, anywhere.
Data-driven decisions
With consumer demand at an all-time high, companies are prioritizing digital technologies to help them build a complete picture of everything that is happening or developing in their companies. Think big data, AI, IoT, and cloud services.
For warehouses, the cornerstone of this new way of planning in real-time is represented by the warehouse execution system (WES). By compiling and analyzing their data with AI, logistical centers can use WES software to make last-minute decisions about their inventory, orders, and workflows with a high level of precision — and confidence.
Drones
Companies like Amazon, Walmart, and DHL are investing in drone technology to optimize their supply chain operations. These autonomous aerial vehicles can perform inventory management, infrastructure inspection, security surveillance, and pallet scanning with unprecedented speed and precision.
Plus, advanced sensors, cameras, and AI-powered navigation systems allow drones to access hard-to-reach areas and reduce the need for human workers to perform potentially dangerous tasks.
Machine-worker integration
For logistics companies facing a labor crunch, robots that work alongside people to complete tasks together may be the answer to increasing productivity.
At least 73 percent of employers see a mixed human-robot workforce as the ideal solution—and for good reasons too. While robots like ABB's double-armed YuMi can work faster, longer, and with greater precision, a human’s critical thinking skills and ingenuity are still unmatched.
By taking over the most repetitive, physically demanding tasks, robotics can help save employees from burnout.
WHAT DOES THE FUTURE HOLD?
The growth of e-commerce is expected to continue driving the need for automation in logistics. As technologies like AI and machine learning advance, more sophisticated automation solutions are expected to emerge, providing higher levels of adaptability to keep up with the ever-changing e-commerce landscape.
The integration of various automated systems is expected to create more comprehensive and efficient logistics ecosystems. From seamless data flow between various systems and platforms to IoT-enabled devices providing real-time visibility across the entire supply chain, these systems will enable logistics companies to achieve higher levels of operational efficiency, reduce costs, and improve customer satisfaction.
Want to know more about how automation can accelerate your business? Then register for the Automate Show and experience the latest automation technologies in action.
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