Global supply chains continue to face significant labor shortages. At the same time, logistics organizations are looking to manage costs carefully during post-pandemic business recovery. These are just a couple of the factors that are driving more applications to automate a range of projects within their warehouses.
Here, we look at six of the key trends we are seeing most when discussing finance solutions for warehouse automation projects with businesses.
1.Autonomous and automated vehicles
Automated Guided Vehicles (AGVs) and Autonomous Mobile Robots (AMR) are not new. However, as businesses look to drive down labor costs and overcome skills shortages, more are looking at how robotic vehicles could enhance their warehouse operations.
As well as reducing labor requirements, AGVs and AMRs can also help to improve operational productivity, by conducting repetitive tasks faster, and without human error, while freeing up skilled workers for more value-added tasks.
This option is also appealing for many businesses as it is highly scalable. The fleet of AGVs or AMRs can be expanded as operational needs grow or change. Automated machines can be added across a whole warehouse operation, or just a small part.
Regardless, DLL is the ideal partner for businesses looking to fund automated equipment fleets as it offers tailored, highly flexible finance solutions designed to evolve with the customer’s needs.
2. Automated Storage & Retrieval
Automated storage and retrieval systems (sometimes call AS/RS) vary drastically because every warehouse is different. They can include shuttles, conveyors, carousels, lifting modules, automated shelving systems, or various other technologies designed to place items in storage in the warehouse, or help retrieve them.
Similar to AGVs and AMRs, AS/RS systems are attractive as they reduce the need for manual labor in picking operations, in turn improving accuracy and speed.
However, at a time when warehouse space is at a premium, and expensive, these systems also help to maximize space. Aisles only need to be wide enough for the AS/RS technologies to fit, and racking can often be taken higher. With greater storage density, there is potential for greater throughput from the warehouse, and greater profitability as a result.
Drones are increasingly conducting these types of repetitive functions in warehouses . They can, in many cases, move safely around a warehouse to conduct tasks like barcode scanning, cycle counting, inventory, and stock inspections. They are also used for retrieving goods and increasingly for deliveries.
DLL is focused on making advanced technologies and automated equipment attainable, with innovative finance products and services to help businesses adopt automated picking and storage solutions.
3. Cobots
‘Cobot’ is the commonly used term to refer to a ‘Collaborative Robot.’ There are some tasks where using human labor is a better option, but time is of the essence. Cobots are designed to operate alongside the human workforce in a warehouse and enhance their capabilities, speed, and productivity. For instance, cobot machines can support elements of operations within packing, picking, palletizing, and inspecting, freeing up human labor for more complex tasks.
Cobots will typically be incorporated in selected areas of a warehouse rather than across the whole operation. DLL’s custom finance solutions for automation equipment can help make it possible to automate just one area of a warehouse, or the entire site if required.
4. Automated Sortation
Automated sortation systems are designed to use scanners and sensors to identify materials on a conveyor system so that they can be diverted to specific locations in the warehouse. Depending on the needs of the warehouse, systems may handle individual items or whole cases.
These systems are a good option for 24/7 warehouse operations, where systems can work longer and faster than human workers can. Productivity is also increased, and manual sorting errors are reduced.
Implementing these automated sortation systems would, in the past, require a large upfront investment from businesses and it can be hard to get buy-in for this outlay of capital. DLL can work with customers right from the automation planning stage to give a clear idea of future monthly costs, and create finance plans with progress payments, so repayments don’t need to be made until the automated warehouse is generating profits or reducing costs. This approach puts businesses in a position where they can continue to invest their capital in their core business.
5. Wireless Fleet Management
Fleet management refers to how a business monitors and manages its fleet of vehicles. In warehouses, this is commonly materials handling equipment like forklifts, whether operated manually or automated.
Wireless fleet management is key for optimizing efficiency and managing costs in today’s warehouses. It enables businesses to digitally track activity, see locations of equipment, and analyze the efficiency of the fleet, and the routes followed in the warehouse. It also provides helpful usage data that can be used to manage maintenance and prevent downtime. What’s more, various telematics systems provide data regarding impacts, incidents, or other security/safety alerts to help protect equipment, and those working in the warehouse.
Solutions, such as RFID (radio frequency identification) tagging, are also increasingly being used to give digital insight on inventory and product location within a warehouse, complementing a fleet management system. This typically feeds into a warehouse management system (WMS), where the software is designed to help businesses control, monitor, and optimize the key functions in their warehousing operations.
Organizations financing a warehouse automation project with DLL can cover the cost of software and hardware within their custom finance package – it’s not just about financing robotic trucks.
6. Wearable and Voice Technology
Even those functions where human labor still plays a part are evolving with added technologies, which sometimes conduct tasks automatically.
For instance, wearable sensors like bracelets and gloves, may not only show workers how to stock a shelf, or where to pick from but can also use tracking to automate the digital ‘paperwork.’
Voice picking is another growing trend, integrated with a WMS to automatically determine order requirements, and then verbally relay this to workers in the warehouse - via a headset they can learn what to pick and from where.
Each warehouse is vastly different, and DLL understands that every customer will have their own specific requirements. However, DLL can be a one-stop-shop for all assets needed, with tailored financial solutions based on different scenarios, modeled on real industry data.
DLL helps make automation affordable
It is clear that there are many potential advantages to automating a warehouse. By financing automation projects with DLL, businesses can unlock these benefits, and access innovative automation concepts, all without having to make large upfront investments.
DLL’s dedicated Intralogistics finance team consults companies around the world to make their individual business cases for their automation projects right from the beginning.
As DLL’s asset finance solutions are flexible and customized to the organization’s specific requirements, businesses can protect and support their cash flow and benefit from reduced Total Cost of Operation in their warehouse.
Plus, unique finance solutions from DLL can support either the entire project – such as a whole new warehouse development – or just certain elements, such as the purchase of an automated equipment fleet. DLL’s specialized finance packages, with manageable monthly costs, can also cover expenditure for software, installation, training, and consulting costs.
Looking to automate all or part of your warehouse?
Learn more about how our expert Intralogistics team can help, or reach out to Marco Wagner now to learn more.
