What is Warehouse Automation?

Warehouse automation involves using machines, software, and technology to handle warehouse-related tasks that are usually done by humans.

This doesn't mean relying on just one type of gadget or software. Warehouse automation is an umbrella term covering several tools and methods designed to make warehouse operations more efficient and accurate.

To break it down, warehouse automation has four key levels:

1. Basic automation: This is when you use a simple machine or software to handle a job that was previously done by hand. For example, conveyor belts that move items around so people don't have to carry them.
2. Mechanized automation: These are physical machines that work alongside humans to streamline manual processes. An example would be automated forklifts that help lift and move heavy items.
3. System automation: This is smart software that collects and analyzes warehouse data. It helps warehouse managers quickly identify what they have in stock and what orders are coming in, without having to sift through piles of information manually.
4. Advanced automation: This combines robots with artificial intelligence (AI) to fully automate operations. This means that robots can do almost everything, from sorting items to packing them, with minimal human intervention.

In short, warehouse automation is about using technology to make warehouse processes and operations better, faster, and more efficient.

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Types of Warehouse Automation systems

Warehouse automation systems come in various types, each designed to reduce the need for manual labor and speed up everything from receiving goods to shipping them out.

Here's a quick look at the most common types of warehouse automation technology:

• Goods-to-person (GTP): A popular method for boosting efficiency, GTP systems move items directly to warehouse workers using carousels, vertical lift modules, or conveyors.
• Automated storage and retrieval systems (AS/RS): These are advanced GTP technologies. They are controlled by computers and integrated with warehouse management systems to store and retrieve items. They're especially useful in high-volume warehouses where space is limited.
• Automated guided vehicles (AGV): These are basic mechanized automation vehicles that can carry goods over long distances but need guidance from operators. They use wires or reflective markers to navigate.
• Autonomous mobile robots (AMR): Unlike AGVs, AMRs are more adaptable, using advanced laser guidance systems to navigate a busy warehouse environment with ease.
• Pick-to-light and Put-to-light systems: Great for reducing time and errors, these systems use mobile barcode scanners and digital light displays to guide workers in picking or placing items.
• Voice picking and tasking: This approach uses speech recognition software and headsets to direct workers to the correct locations.
• Automated sortation systems: These systems use radio-frequency identification, barcode scanners, and sensors on conveyor systems to identify and direct goods to the right location in the warehouse. They're used in the receiving, picking, and packing processes.

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What kind of warehouse tasks can you automate?

Warehouse automation systems and tools can do a lot for a warehouse. Let's look at some examples of the areas they're most useful:

Order fulfillment

Order fulfillment is difficult without some sort of warehouse automation, especially with high-volume order fulfillment. It's possible to automate nearly every task, like picking, packing, and shipping. For example, a warehouse management system can print shipping labels for all orders and help pick and pack them.

Goods receiving and put-away

In your warehouse's receiving area, mobile devices can gather information quickly. The software that works with these devices takes this information, processes it, and keeps it on record. Using both mobile robots (like AVGs and AMRs) and computer programs, a warehouse can move items efficiently from the receiving area to where they're stored.

Pick-and-place

Automated warehouse systems can ensure the right products are picked and placed every time. Robots can help grab items from a location and bring the correct order to workers for case packing - or even pack them on their own.

Palletizing

A robot's flexibility and adaptability make it a preferred choice over traditional palletizing methods. Whether you have a small operation or a large-scale production, these robotic systems fit right in, handling production volumes with ease.

Machine tending

Automated machine tending offers two major benefits: consistency and accuracy. Every item is made with the same high level of quality, so companies can be confident that every product meets their high standards.

Inventory management

Automated systems can keep an eye on your stock and identify when you'll need more. Warehouse management systems can update your inventory data automatically, so you know what you have at all times. You can also predict the future needs of your warehouse and manage inventory across multiple warehouses.

What benefits can you expect from Warehouse Automation?

A more efficient warehouse can improve the entire supply chain, helping a company grow. Much of this improvement comes from using automation.

Swift and flexible operations

Automated warehousing systems are fast and can work on multiple orders at the same time, which gives workers the chance to focus on jobs that require more skill or are less physically demanding. These systems can also work non-stop without getting tired, so there's less downtime.

Less human error

With automation, accuracy improves. These systems are built to follow exact rules and steps, ensuring products are picked, packed, and sent out correctly. This reduces error, saves money, and improves customer satisfaction.

Cost reduction

Labor is one of the biggest costs in warehousing. When businesses use automation for repetitive and time-consuming jobs, they can shift their employees to more skillful roles. This helps make the most of labor costs.

Automation can also save energy, reduce waste from human error, and use space better. All of this creates a more efficient and profitable warehouse over time.

Enhanced worker safety

Warehouse automation technologies, such as AMRs, can perform risky tasks and reduce the strain on workers. This also means fewer workers on the warehouse floor, creating a safer environment.

Improved inventory management

At the heart of any warehouse operation is managing inventory. Using automated storage systems and Internet of Things (IoT) sensors, companies can know exactly how much stock they have, predict how much they'll need, and avoid having too much or too little.

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Collaborative robots: Automation that works safely alongside your team

Collaborative robots, or Cobots, are becoming key players in warehousing and production lines. Designed to work safely alongside humans, they make sure both workers and goods are protected.

These Cobots don't replace people; they just make their jobs easier. They do the 'heavy lifting,' like packing orders or moving heavy items. For example, cobots at stacking and packing stations help speed things up.

Powered by AI and machine learning, Cobots learn from human workers to perform tasks with high precision, without getting worn out. Cobots handle the tedious, repetitive tasks, allowing human workers to focus on more important things like making decisions and analyzing data.

Looking ahead, it's clear that the collaboration between humans and Cobots makes warehouses more efficient and keeps the quality of work high.

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Best practices for Warehouse Automation

Adding automation to your facility can really help your business do better, but it takes time and careful planning.

To make sure you get the most from your investment, here are some best practices for bringing automation into your warehouse.

1. Look at your current processes

Before diving into automation, look at your current workflow. Identify areas that need improvement and consider rearranging operations to make them more efficient. This will make integrating automation solutions smoother and more effective.

2. Integrate with a warehouse management system (WMS)

It's essential to choose automation that integrates seamlessly with a WMS. This system should manage inventory, monitor labor costs, and offer useful reports and dashboards for easy monitoring.

3. Choose a scalable automation solution

Don't just think about what you need right now. Choose solutions that can expand as your business does. This means starting small, like adding one AGV, and then expanding the automated systems as your needs increase and your budget allows.

4. Upskill workers

Don't neglect human labor in the name of automation. While automation might mean you need fewer people, their skills need to be more technical. Train your team to use the new systems instead of hiring new people. Many technology providers offer training programs but make sure you also teach your team how to use these tools in their daily jobs.

5. Automate data collection

Start your automation journey with a system that automates data collection, transfer, and storage. Using cloud-based solutions along with mobile barcode scanners is a cost-effective and low-risk approach. This setup helps eliminate human error and captures essential warehouse performance and inventory data.

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FAQs

How much does it cost to automate a warehouse?

Automating a warehouse varies in cost, depending on factors like the equipment brand, size, how many machines you need, and setup costs. It's important to consider the total cost of ownership, not just the initial spending.

For full automation, an average warehouse might spend about $25 million, while semi-automation costs between $5 million and $15 million.

When should you automate a warehouse?

Deciding when to automate your warehouse involves considering your current processes and identifying where your current technology and warehouse operations fall short of your business goals.

While there is no one-size-fits-all answer, there are a few signs that it might be time for automation:

1. Current processes are too slow and resource-heavy.
2. Problems with order fulfillment and inventory accuracy.
3. Customers are unhappy.
4. Challenges in meeting delivery deadlines.
5. Outdated systems need too much upkeep.

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Conclusion

Automation is transforming warehouses into smarter, more efficient spaces. By incorporating automated systems, the shift to enhance warehouse operations means quicker processes, less physical labor, and a marked reduction in errors. In short, embracing warehouse automation is a game-changer for any business looking to upgrade its warehousing capabilities.