
- Blog
In the past decade, businesses have increasingly adopted warehouse automation technologies to meet escalating customer demands, while operating in an increasingly complex supply chain environment.
One key factor driving this growth are continued labor shortages; according to Gartner’s 2022 Supply Chain Technology User Wants and Needs survey, 59% of respondents said that labor availability issues were leading them to consider warehouse automation.
Other key factors are changing structural trends in consumer demand within eCommerce and omnichannel retailing, as well as 3PL logistics.
Despite the temporary reduction in retail and eCommerce caused by the economic slowdown in 2023, experts and businesses alike agree that the trend towards eCommerce, and the reshoring of manufacturing to the US and Europe to mitigate future supply chain disruption, is likely to continue to accelerate. In turn, warehouse automation revenues are expected to grow again in 2024 and return to double-digit growth in 2025, reaching USD 44 billion by 2028.
As a result, more than a quarter (26%) of warehouses are expected to be automated in 2027, up from 14% only a decade earlier.
Large warehouses and DCs with complex operations and very high throughput requirements typically leverage Material Handling Equipment (MHE), such as conveyors, shuttle systems and automated storage and retrieval systems (ASRS) to reliably fulfill large numbers of orders.
This creates a heterogenous automation landscape, that can address workflows from store-in to order picking and outbound processing.
Most businesses justify the substantial investment into material handling equipment with the expected boost in throughput and order processing capacity.
However, effectively managing these mixed portfolios of automation equipment presents significant challenges, including:
Modern warehouse control systems (WCS) can help address these issues by providing a single point of integration and control for the different MHE systems: it controls the operation of a portfolio of automation equipment and orchestrates all components, optimizes the material flow across the warehouse.
To do so, a warehouse control system should meet the following requirements:
Once implemented, the WCS close the functional gap between the WMS and the automation systems, and orchestrates material flow across the facility. To do so, it leverages information from the WMS and typically follows these steps:
Or
Orchestrating this process and the associated tasks with a vendor-neutral WCS unlocks significant operational benefits for customers:
Successful order processing has become a multidimensional, complex and costly requirement: up to 50% of variable costs incurred in a typical warehouse are associated with order fulfillment.
As the trend towards warehouse automation continues, there is a growing need for vendor-and technology-agnostic WCS. They control the operation of individual material handling systems and orchestrate all components, optimize material flow across the warehouse and provide visibility down to individual items as they move through the automation chain.
By seamlessly integrating the solution with their existing WMS, customers can successfully run a heterogenous automation landscape. In doing so, the WCS improves throughout and enables significant efficiency gains that have a direct impact on operational profitability.
Read how our WCS helped Infios customers improve order fulfillment processes and warehouse operations.
Europe’s top brand for workwear optimizes order fulfillment in their highly automated facility with Infios’s warehouse control system, achieving up to 12,000 picks and 4,000 shipped order per hour. Learn more here.
The leading western apparel retailer manages their automation and conveying solution with Infios’s warehouse control system. Following its implementation, Boot Barn experienced a 50% increase in picking productivity and a 25% increase in throughput compared to the operations in the original warehouse.