How Is Automation Technology Changing Warehousing?

Nebraska Warehouse

Author

August 12, 2021

581 Views

When it comes to warehousing there are a lot of current trends that can affect the way you do business. Also, there are current and future developments that can also have a drastic effect on your income and expenses. One of the hottest topics of the year for those in the warehousing industry is automation. Today we will take a closer look at the effects automation technology is having on the warehousing sector.

How Is Automation Technology Changing Warehousing?

What is Automation Technology?

This technology is not new, but it has been upgraded as the need for more efficient methods of warehouse management has emerged. Automation technology includes machines that handle various aspects of packing, sorting, unpacking, and fulfilling orders in a warehouse. Many of these functions are typically handled by humans. However, with the advancement of technology paired with the rising costs of employee retention, automation is becoming one of the most used technologies in the sector.

Why Is Automation Technology Important?

Warehouse technology and advancements are the main methods that companies are able to keep up with the competition and meet consumer demands. There are advancements made every year that better optimize storage, sorting, employee management, and automation. With the surge of Covid-19, many warehouses are finding themselves understaffed and thus, unable to perform at peak capacity. Automation has been around for a while in smaller quantities. However, it is now becoming one of the main methods of maintaining efficient warehouse operations as human manpower availability decreases.

How Warehouse Automation Is Changing The Field

There are many factors that have led to the increase in the use of automation technology in the warehouse sector. The cost of automation technology is lower than hiring and maintaining employees. Also, technology is much easier to scale. This can be attributed to labor shortages caused by the pandemic. This problem has led to lower consumer spending and issues with supply chain management.

A machine is always going to be able to work more hours and get orders in and out of the door faster than a team of trained professionals. As a result, this has led to an increase in reliance on automation technology. This enables warehouse owners to maintain a competitive edge in the field. There is also much less risk for businesses when using this technology. This is especially true with the vast number of advancements in recent years. Although there are still some kinks and bumps that come with using a machine, the margin for error is much lower than with a team of human professionals. This is causing a shift in the warehouse industry on the reliance of warehouse workers in favor of automation technology overall.

The Bottom Line

As a whole, automation technology will be the gold standard in the future of warehousing that includes fewer workers in close proximity. Aside from the pandemic, automation technology is a cost-effective way to do business while still maintaining high standards and high delivery rates.

Additional Reading: Warehouses Look to Robots to Fill Labor Gaps, Speed Deliveries (Wall Street Journal)

Nebraska Warehouse One-Stop-Shop | Technology Enabled 3PL Value-Added Services Warehouse | Freight Broker | Logistics

Nebraska Warehouse doesn’t just help to facilitate your shipments, but we are truly a one-stop-shop solutions provider. Our services include:

Top Trends in 3PL and Contract Warehousing for 2024

Third-party logistics (3PL) providers and contract warehousing service partners are on the front...

More Details

June 7, 2024

Get in touch

Address

10064 S 134th Street, Omaha, NE 68138

Telephone

+1 (402) 896-2200