Warehouse automation is transforming supply chain operations by increasing efficiency and reducing costs. Businesses can reduce human error, optimise operations, and boost overall efficiency by incorporating automated technology.
Labour cost reduction is one of the main ways that automation lowers operating costs. Picking, packing, and sorting are examples of repetitive jobs that automated technologies can undertake, reducing the need for a large labour team. As a result, training expenses are reduced, turnover rates are decreased, and picking errors are reduced. Automation also increases inventory management accuracy by lowering loss and discrepancies.
Optimised use of available space is another cost-saving element. By effectively arranging products, automated storage and retrieval systems (AS/RS) increase warehouse capacity and reduces the requirement for expansive storage areas. Additionally, automation speeds up order fulfilment, which raises customer satisfaction and reduces shipping expenses.
Modern mobile robots may also reduce the capital cost of automation infrastructure and allow for more stock flexibility during periods of seasonal demand and promotions when compared to previous ‘infrastructure heavy’ investments.
Common Types of Warehouse Automation
- Automated Storage and Retrieval Systems (AS/RS) – Uses robotic systems to store and retrieve goods, reducing manual handling and improving storage efficiency.
- Conveyor Systems – Transports items within the warehouse, reducing time spent on manual material movement.
- Robotic Process Automation (RPA) – Handles data entry, order processing, and inventory tracking to minimise human errors.
- Automated Guided Vehicles (AGVs) – Self-navigating vehicles transport goods, reducing reliance on forklifts and human operators.
- Pick-to-Light and Voice Picking – Uses lights and voice commands to guide workers, increasing picking accuracy and efficiency.
By implementing these automation solutions, warehouses can significantly reduce operational costs while improving efficiency and scalability. Davies & Robson has many years’ experience in reviewing warehouse operations and undertaking layout & design activities to improve warehouse operational efficiency and reduce cost. For an informal discussion on how we can improve your warehouse operation, please give us a call.
