The urgent need for warehouse robotics

Understanding our customers is one of our core values. That’s why we recently surveyed over 50 supply chain professionals at executive and operational levels to better understand their needs and concerns. Our aim was to be selective in terms of business sectors and job titles, to ensure that we heard from the voices that matter. Our survey revealed some interesting insights.

Main conclusions of the sector survey

Warehouse automation is no longer a pipe dream

Today, 80% of warehouses have no form of automation. This is largely because, until recently, the price and availability of labour was not a major issue. Automation was seen as a time-consuming and capital-intensive process, which also required the closure of at least part of the warehouse during deployment. This meant that the majority of warehouse operators saw automation as a long-term project that could be pushed into the future by relying on short-term band-aid solutions such as hiring seasonal workers.

The situation has changed in recent years. For a variety of demographic and socio-economic reasons, warehouse labour is scarce and increasingly expensive. The traditional model based on the availability of seasonal labour is no longer tenable. This situation is forcing warehouse managers to rethink their approach and timetable. In our survey, 63% of respondents were planning to automate their warehouse in the next 1-2 years, with the remainder planning automation projects in the next 2-3 years. Automation is no longer a long-term project, but an immediate need that requires a concerted effort.

Macroeconomic environment stimulates adoption of Goods-to-Person systems

There is much to be said for the fluctuating nature of the macroeconomic environment. Between constant supply chain bottlenecks, rampant inflation and the seemingly inevitable recession, companies are struggling to distil market signals and are unable to develop strategies for the future.

In the consumer goods sector, however, it seems that the uncertain economic environment is driving the demand for solutions. Whether it’s the fear of rising prices or the inability to predict the availability of labour, 78% of respondents to our survey said they were likely or fairly likely to invest in a materials handling system in the next two years.

Warehouse robotics eat up the warehouse automation market

If we look at the new entrants to the warehouse automation market, the vast majority of them offer robotics-based solutions. Unlike traditional automation solutions, such as shuttles and mini-loaders, which rely on heavy, complex machinery, the new solutions are generally based on autonomous mobile robots that move between static infrastructures to carry out the required tasks.

There’s a good reason for this. Robotic solutions tend to be quicker to install, offer a similar level of performance and are much more flexible, both in terms of staggering throughput and the range of tasks they can perform. And it seems that those involved in purchasing decisions are increasingly recognising this. Our survey found that 80% of respondents see warehouse robotics as the new way to manage warehouse operations.

The next step for your warehouse

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