Automating operations in the intelligent warehouse can help overcome productivity challenges related to manual processes. And it is the first step in the direction of digital transformation in which aggregating and analyzing information results in data-driven decision-making.
But getting to this level of automation requires understanding the unique elements of each facility.
In this interview with Fabrizio Sasdelli, e-commerce business line director at Coesia and CEO of CIMA SpA, Automated Warehouse takes a look at the software tools, systems, and industrial controls that serve as the foundation of the intelligent warehouse.
Warehouses face hurdles on the path to automation
What are the biggest bottlenecks impacting the automated warehouse today?
Sasdelli: Today, most operations are handled manually in warehouses. Global statistics show that just 30% of warehouses are automated. In the context of warehouse automation, the main bottlenecks are related to data integration, flexibility, and manpower use. Specifically:
- Data integration: Many warehouses operate with disparate or outdated systems, making it difficult to integrate new technologies. Without a centralized and interoperable data flow, various automation systems cannot work effectively together, limiting the full potential of automation and hindering optimal real-time management.
- Flexibility: Automated solutions need to adapt quickly to changes in demand, product variations, or seasonal fluctuations. Rigid systems lack the flexibility required to respond to these dynamics, making it challenging to handle workload spikes or new operational requirements.
- Manpower use: Despite technological advancements, many repetitive and labor-intensive tasks, such as material handling and order picking, are still performed manually. This reliance on human labor reduces efficiency and increases the likelihood of errors, while the full potential of automation remains underutilized for routine tasks. Automation in warehouses will change the status quo.
What kind of technology or equipment could solve these problems?
Sasdelli: User-friendly automation designed to address labor-intensive jobs and guarantee zero errors in inventory and order fulfillment processes. Automated solutions capable of addressing the challenges are:
- Robotic automation: Systems that can take over repetitive tasks such as picking, packing, and sorting, executing them with high precision and improving both speed and accuracy. By automating labor-intensive processes, the system helps reduce the reliance on manual labor and minimizes errors that can occur during order processing.
- Warehouse control systems (WCS): These systems are crucial for managing and coordinating the various automated technologies within a warehouse. They ensure that all robots and automation work together smoothly and share data, allowing the warehouse to efficiently handle fluctuations in demand or operational changes while guaranteeing flexibility.
- Collaborative systems: Designed to integrate human workers, these systems can assist in repetitive and critical tasks alleviating some of the physical burdens on staff. They can improve productivity while maintaining flexibility, helping to bridge the gap between full automation and manual operations.
- Pack automation: Bag and box-on-demand, right-size automation solutions aim to tackle the challenges of zero errors in order fulfillment, eliminate package voids, and reduce carbon emissions.
- Pack optimization software: Specific to pack automation, pack optimization software enhances the efficiency of packing operations by selecting the best packaging method for each order. This not only reduces material utilization but also ensures that products are packed securely and efficiently. The software’s integration with various pack machines enables real-time adjustments, improving both speed and accuracy in the packaging process.
- Maintenance and support systems: To ensure continuous operations, intelligent maintenance systems monitor the health of automated machinery, predicting when repairs or adjustments are needed. This reduces downtime and helps extend the lifespan of critical equipment. Automated support systems also simplify troubleshooting and repairs, ensuring that any issues are addressed quickly.
Software can ease the move to the intelligent warehouse
What kind of software or tools does Coesia offer that can move the warehouse toward digital transformation?
Sasdelli: We provide order-fulfillment software and controls capable of tracking and tracing any single order processed while gathering all the data and information.
We can offer comprehensive software designed to enhance every aspect of warehouse operations by gathering real-time data across the entire fulfillment process. This ensures accurate tracking of orders, identifies process inefficiencies and enables proactive management to resolve issues before they affect performance.
In addition, the system includes smart customer service and condition monitoring, which is critical for preventing unplanned downtime. By continuously monitoring the condition of warehouse equipment, the system can predict when maintenance is required, allowing for timely interventions that prevent breakdowns. This reduces the risk of machinery failures that could slow down the entire workflow, ensuring the warehouse operates at peak efficiency without unexpected interruptions.
Through these integrated solutions, the software provides real-time data and actionable insights, ultimately improving accuracy, efficiency, and scalability in the warehouse.
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How can digital tools integrate with warehouse management systems (WMS) to create the intelligent warehouse?
Sasdelli: Software-agnostic systems are designed to ensure seamless data exchange across any automation or software layer within a warehouse system. They can operate independently of specific hardware or software platforms, making them highly adaptable to a variety of environments.
This flexibility allows for easy integration with existing warehouse technologies, from inventory management systems to automated picking robots and packing systems.
In an intelligent warehouse, the key to maximizing efficiency is the ability to collect, analyze, and act on data generated by all the tools in use. By aggregating information from different systems – such as order fulfillment processes, robotics, and tracking tools – the software creates a unified data flow. This comprehensive view of operations enables better decision-making, real-time adjustments, and the automation of routine tasks.
The transformation of raw data into actionable insights leads to smarter warehouse management, optimizing workflows and significantly reducing human error.
As every aspect of the warehouse becomes interconnected and data-driven, operations become smoother, more accurate, and more responsive to changing demands. This evolution is critical for achieving the high levels of precision, speed, and flexibility required in modern logistics environments.
What role do artificial intelligence and analytics play?
Sasdelli: AI and analytics are pivotal in shaping the future of warehouse automation by driving accuracy, efficiency, and smarter decision-making. As these technologies evolve, their ability to process vast amounts of data in real-time allows for unprecedented levels of precision, effectively reducing human error to zero levels.
Through predictive analytics, AI can anticipate demand fluctuations, optimize stock levels, and fine-tune operational processes, ensuring that resources are used in the most efficient way possible.
Moreover, AI systems can continuously learn from operational data, identifying patterns and inefficiencies that may not be immediately apparent to humans. This leads to ongoing improvements in performance, from faster order fulfillment to better inventory management to zero errors.
By automating repetitive, labor-intensive tasks, AI enables workers to focus on more complex, skilled activities that require human judgment, such as system oversight, strategic planning, and customer service.
The ultimate goal is to create a warehouse environment where equipment and algorithms seamlessly handle routine processes, while human expertise is reserved for tasks that truly add value. This shift not only enhances overall productivity but also transforms the workforce by allowing humans to engage in more strategic roles.
Goals: Better workplace, control, and environment
What is the ultimate goal of the intelligent warehouse?
Sasdelli: The intelligent warehouse is designed to achieve operational excellence, where error-free processes and streamlined workflows are the norm.
A primary objective is to eliminate errors in inventory management and order fulfillment, ensuring that operations run smoothly, and customers receive their products ordered accurately and on time. This reduction in errors enhances customer experiences and builds trust in the reliability of the warehouse’s performance.
Another key focus is the automation of labor-intensive tasks. By automating repetitive processes like picking, packing, and handling of the goods, the warehouse frees human workers from monotonous duties, allowing them to shift their focus to higher-value tasks. This not only improves the efficiency of operations, but also elevates the role of human labor to more strategic areas where complex decision-making is essential.
Automation also brings scalability to the forefront. As demand increases, automated systems – driven by robotics and AI – can easily handle the additional workload without the need to hire and train additional workers for labor extensive jobs. This adaptability ensures that the warehouse can be flexible and handle the business easily, seamlessly managing peaks in activity.
Finally, the intelligent warehouse thrives on data-driven decision-making. Real-time analytics play a crucial role in optimizing every aspect of the operation, from supply chain management to resource allocation. By leveraging data effectively, the warehouse becomes a dynamic environment that constantly adjusts and improves, driving both performance and long-term sustainability.
What else is important to the discussion of the digital transformation of the intelligent automated warehouse?
Sasdelli: The benefits digital transformation can bring to an intelligent automated warehouse in terms of sustainability. Digital transformation can reduce the carbon footprint generated by a warehouse by means of intelligent operation management.
Some examples of how companies can lower their environmental impact are through adopting low power consumption, efficient materials handling, reduced cardboard material consumption, zero errors, order fulfillment, and optimized shipping.
Editor’s note: To learn more, download our Digitalization of the Warehouse e-book and check out our recent webinar on the same topic.