Will More Automation Be Needed to Meet Warehousing Demand?

Warehouse Automation and DowntimeWill more automation be needed to meet warehousing demands in the years to come? Definitely. We live in an age where everyone wants everything instantly. Automation helps speed things up in warehouses. In an era when every second counts, automation is key. That said, warehouses need to step up their game when it comes to automation in order to remain competitive and profitable.

In North America, for example, warehousing capacity is tighter than normal, forcing some companies to actually turn away business. Today’s “problem” is that a majority of warehouses are at or near capacity, and new space is in short supply. If and when new warehouses are proposed, they often face opposition from communities– “We don’t want all that noise and pollution in our backyard.” Warehouse operators are also facing higher costs when it comes to things like rent and/or labor.

Why Warehousing Demand is Through the Roof

Why is warehousing so “hot” these days? You can thank online shopping for growth. So many people today are ordering things online, to be delivered to their homes. And those items go through warehouses.

In the past, most people shopped for items at stores. Today, though, retail is out and e-commerce is in, to the point where even older generations are ordering things online from companies like Amazon and eBay.

In the next few years, demand will be greater than supply when it comes to warehousing space. Therefore, we shall see more and more automation at existing warehouses, in order to best utilize time and space. Warehouses will want to hold more inventory while dealing with shortages of space and labor, so automation helps get things in and out of storage quicker and more efficiently. When automation is incorporated into operations, supply chains should improve.

As for specifics, fast growing segments of automation will concentrate on e-fulfillment operations. Warehouse management systems are used at most facilities these days, but robotics aren’t as utilized, yet… You can expect the use of robotics to increase, though, in the years to come.

If you need reliable warehousing, learn how Affiliated Warehouse Companies can help.