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How to Find the Best Warehouse Automation System for Your Budget in 2025

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Global Logistics, Global Trade Daily, Technology, Warehousing

How to Find the Best Warehouse Automation System for Your Budget in 2025

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The best value warehouse automation systems balance high-yield service offerings with an accessible price. These vary widely, including robotics, retrieval systems and automated picking. However, integration may only include a few functionalities, depending on what your business can afford. Discover the most critical assets in cost-effective automation solutions for large warehouses to save time and streamline now.

Read also: Warehouse Automation: Reflections on the Past Year and Predictions for the Year Ahead

The Qualities of the Best Value Warehouse Automation Systems

You must know what features top-performing organizations have before combing through long lists of service offerings. What should they include?

Warehouse Management Systems (WMS)

Executives need a central location to monitor and program every device in the automation system. A WMS tells each machine what to do and logs data about its performance. Managers can see accuracy, efficiency and maintenance needs in one spot.

The straightforward access saves budgets because the visualizations inform teams about oversights before they worsen. Most programs bill yearly and have a high return on investment, especially if you leverage other technologies like artificial intelligence (AI) and machine learning. These benefits are why 55% of survey responders prioritize WMS installation for the future.

Storage and Picking Capabilities

Automation handles countless manual tasks, including storage, picking and everything in between. These include:

  • Receiving inventory with barcode scanners or RFID tags.
  • Sorting products with robotics arms and scanning them with cameras and sensors.
  • Informing autonomous vehicles about where to transport and lift inventory for optimization.
  • Refilling stocks when inventory is low.
  • Packing and palletizing boxes.
  • Helping reverse logistics when returns arrive.
  • Tracking shipments and sending notifications with updates.

Warehouse automation systems use autonomous robots (ARs), smart inventory and data oversight to execute these tasks.

Scalability

You should adopt Industry 4.0 and 5.0 systems when the corporation is ready to grow. Warehousing automation promotes scaling, so quality systems consider the constraints of the existing warehouse.

Scaling considerations are critical for financially aware warehouse leaders. While it can raise company revenue, it can squander automation incorporation if implemented too quickly.

Pay-Per-Use Models

Automation saves warehouses money, but overuse can also hurt monetary gains. Therefore, executives must ensure they only use devices when necessary, and pay-per-use models are the best way to minimize excess. One case study showed a warehouse only paid between 20%-40% of a conventional client’s upfront costs to install a pay-per-use grid.

Top Budget Automation Systems in 2025

If you’re going to invest in a comprehensive answer this year for a price that aligns with your needs, these are the places to start looking.

1. SAP

SAP is one of the biggest names in the business. It offers digital and physical solutions for receiving, picking, packing and shipping so supply chains meet their deliverables. Alongside its WMS, SAP can help customers integrate these utilities into their warehouses:

  • Automated guided vehicles
  • Robotics, including cobots
  • Conveyors
  • Voice picking
  • RFID 
  • Automated sorting
  • Goods-to-person systems
  • Autonomous mobile robots
  • Pick-to-light and put-to-light systems

Once you invest in these services, you will gain the many benefits SAP advertises as a part of committing to its technologies. Your budget expands as your operations save money by enhancing productivity, making work conditions safer and reducing waste. Your inventory management will also better use the space, improving the visibility that makes customers happier, as they receive orders expediently and carefully.

2. Opex

Opex has 50 years of experience and 333 patents to serve its high-profile clients. Currently, 47 of the Fortune 100 organizations collaborate with it for next-generation warehousing services. It has document and mail automation in addition to the following:

  • Cross-docking
  • Reverse logistics
  • Mail opening
  • Mail and parcel management
  • Order fulfillment
  • Document and imaging scanning
  • Remittance

It offers several efficient storage and retrieval models curated by industry. Opex serves every sector, including government, freight, legal, nonprofit, banking and more. Its Perfect Pick touts an accessible interface, and the entire setup is plug-and-play, ready to operate within minutes of installation. The Infinity has 35% more capacity than other options, making it the most dense, while the Sure Sort series is an alternative with higher weight capacities.

Opex has its Remote Performance Monitor software to complement this equipment. It is a cloud-based platform, so anyone throughout the warehouse can access insights in a few clicks. Every byte of data imports into a constantly updating dashboard full of helpful analytics and controls for the storage and retrieval systems. It works expertly alongside Cortex — the equipment management and order fulfillment program — to automate workflow management and customer service.

Sustainability is one of the many characteristics that sets Opex apart from competitors. It takes a comprehensive approach to reducing emissions through many green initiatives, including renewable energy implementation, water conservation and natural gas reduction. Warehouses embracing environmental, social and governance objectives can rest assured they are partnering with a company aligning with their values.

3. AutoStore

AutoStore is a global operation working in over 56 countries. It has decades of experience in international warehouse efficiency, making organizations smarter by supplementing strained labor forces with high-quality automation. It offers many warehouse staples, such as compact storage systems that can pack inventory 400% denser than conventional shelves.

These designs handle everything from frozen food to industrial machinery. Smart robots store and retrieve the materials while software intelligence tracks and oversees the stocks.

One of AutoStore’s highlights is its pick-to-light system. This product is easy to use, and employees only need a terminal to sift through inventory. A quick scan with QR codes and barcodes manages counts and monitors the location for changes.

Voice direction is also available to make workflows more efficient and accurate. AutoStore additionally has completely autonomous picking systems if leaders want to delegate manual labor to high-value tasks in the warehouse an automation system cannot handle.

Cost-Effective Automation Solutions for Large Warehouses

Warehouse automation is diverse, and few companies provide every possible service, much less for a reasonable price. These businesses have a variety of features while remaining budget-friendly.

Instead of inventing your automation plan, outsource efforts to a knowledgeable third party. You will garner advantages without expending time and effort while researching, including competitive advantage and lean practices.

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3pls, Global Trade Daily, News, Technology, Warehousing

Warehouse Automation: Reflections on the Past Year and Predictions for the Year Ahead

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Supply chain leaders at U.S. retail and e-commerce companies operating globally are adept at transformative change. Many navigated the pandemic’s disruptions and adapted to the demands of today’s true omnichannel consumer. They also witnessed a dramatic acceleration in innovation, alongside the rapid adoption of automation and robotics solutions that seemed unimaginable just a few years ago.

Read also: Optimizing Warehouse Automation: Understanding Key Considerations

In these times, reflecting on the past year and anticipating what lies ahead is a valuable exercise.  It helps assess what succeeded and what didn’t, while identifying emerging trends and their potential impact on business strategies. Plus, it’s an enjoyable way to close out one year and begin the next. 

So what did retail materials handling professionals in the food and grocery, general merchandise and apparel industries experience in 2024, and what will they likely encounter in the year ahead? More precisely, what were the pivotal trends among leading global brands and fast-growing challengers? And looking forward, what will they encounter in what promises to be another memorable year? 

With the caveat that hindsight is 20/20 and a nod to Yogi Berra’s contention that “it’s tough to make predictions, especially about the future,” here is our 2024 roundup of noteworthy developments in warehouse automation for retailers, e-commerce companies and dynamic omnichannel brands, and our synopsis of key issues we believe will be top-of-mind in 2025.

2024: The Year it All Came Together

Over the past year materials handling automation went mainstream. Despite the fact that the world’s largest brands have relied on advanced automation for many years, the majority of materials handling operations continued to rely heavily on manual processes and systems in their warehouses. In 2024 this changed rapidly, as mid-sized retailers across sectors embraced automation for the first time to address the shortage of warehouse labor and keep up with larger competitors. 

Intent to set themselves up for success over the next 20, 30 and even 40 years, these businesses predominantly chose to invest in new, fully-automated greenfield facilities. This resulted in a new era of truly mainstream adoption of materials handling automation. You could even say that we witnessed its democratization. 

In contrast, large brands predominantly opted to ‘sweat their materials handling assets,’ rather than making large capital investments amid uncertainty around inflation and interest rates. Instead they opted to add value to their existing operations and assets. This included deploying new goods-to-picker systems, expanding existing Automated Storage & Retrieval Systems (AS/RS) and adding new, more advanced to conveyor and sorting systems. 

Known and proven automation also reigned supreme. Even in the face of significant hype around impressive innovations in robotics and increased use cases, adoption proceeded slower than many expected in 2024. The general merchandise sector was one exception: Although AS/RS remained the dominant investment in automation, the deployment and use of item-picking robots increased.

In the apparel arena, there was a noticeable and sustained uptick in demand for new, more advanced goods-to-picker systems and pocket sorters, while in the grocery sector the creation of fully-automated systems dominated completely – particularly related to technologies that are now proven and relied on globally. These included mixed-case palletizing systems that can deliver a consistent return on investment across numerous grocery and food retailers.

Notably, in 2024 we also saw a dramatic increase in demand for Automated Case-Handling Mobile Robots (ACRs). This enabled organizations with relatively lower-level throughput needs to deploy an automated item picking and storage solution that uses traditional, and sometimes pre-existing, warehouse rack systems. Such factors made it universally attractive to operations that needed to address new distribution and throughput needs, as well as expansion efforts, quickly and effectively. In contrast to AS/RS systems that take significant time to design and build, ACRs can be up and running in a matter of weeks.

Finally, and perhaps most strikingly, fears of a recession proved to be just that – fears. Despite a consumer price index that continued to increase by more than 3%, inflation and comparatively high interest rates, consumers continued to buy. In the U.S., retail e-commerce sales increased  – with Q1 2024 e-commerce sales amounting to an 8.6% increase over the same quarter last year, and Q2 2024 sales were 6.7% higher than those in Q2 2023. Amazon’s venerable Prime Day event also saw online shoppers spend an awe-inspiring $14.2 billion over July 16-17 – a full 11% more than last year. 

Reading the Tea Leaves for 2025

Withstanding a dramatic geopolitical event, pandemic, or trade war – all of which are regrettably possible – in 2025 we will likely see a continuation of the trends we saw shape the materials handling landscape in 2024. This will be driven in part by the caution of the Fed, which likely will not make any abrupt changes in interest rates that could cause uncertainty and volatility. For that reason, mid-sized organizations will likely continue to invest in greenfield, fully automated facilities.

Larger players will also continue to ‘sweat their assets’ by enhancing their warehouses and distribution centers with point solutions that address specific business processes and challenges. Others will opt for modular enhancements – such as installing additional storage, shuttles and lifts in existing AS/RS to increase throughput and capacity. 

Likewise, we will likely see a continued focus on refining technologies that deliver a known return with efforts to optimize innovations that entered the market over the past decade – among them automated mobile robots, robotic pickers,  and vision software – with incremental advancements. The resulting stabilization of these assets will enable warehouse leaders to demonstrate a consistent, predictable impact on their organizations, and to show in more clear terms how materials handling operations impact topline and bottom-line results.

This mindset will also govern how most warehouse operations approach AI. The buzz around the application of AI will continue, but most projects will remain in an exploratory phase as leaders work to determine how AI can be utilized in their operations, what return on investment it will deliver, and whether such gains offset the significant compute, storage, networking and cybersecurity investments associated with it.

The automation industry itself will also change. This will be especially true in the robotics arena, where many players are venture-backed startups under pressure to quickly generate profits, something that will drive continued consolidation and acquisition activity among larger players. 

Notably and ironically, leasing options – something which makes today’s AMRs particularly attractive to warehouse operations that need to quickly deliver greater throughput while keeping CapEx costs in check – will only accelerate this trend by extending the payout period for suppliers. It will be important for brands to keep these issues in mind as they vet and select robotics vendors.

In the Moment

With another year behind us and an exciting one ahead, it is also important for retail supply chain leaders to ask themselves several important questions. Does my materials handling operation and use of warehouse automation mitigate the risks of labor shortages and other prescient challenges, including increased throughput and storage requirements?   

More fundamentally, it’s time to explore a crucial question: Do my retail distribution centers and fulfillment operations deliver a competitive edge, not only in terms of profitability but also in exceeding customer expectations for order accuracy, on-time delivery and timely restocking of store shelves? Armed with answers to these questions, materials handling operations can confidently move forward in the year ahead.

Author Bio

Jake Heldenberg, director of sales engineering, warehousing, North America, at Vanderlande, oversees the design of warehouse systems that enable retailers of all kinds to transform their businesses for long-term, scalable success with integrated systems that combine intelligent software, robotics and advanced automation.

Andy Lockhart is the director of strategic engagement, warehouse solutions, North America, at Vanderlande, where he provides many of the world’s best-known brands – with the innovative, scalable systems, intelligent software and reliable services needed to optimize distribution and fulfillment operations. 

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Global Logistics, Global Trade Daily, Warehousing

Eliminate Pneumatic Hassles Once and for All

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Many warehouse automation systems are driven by the pneumatic energy of pressurized air. They’re often found in shoe sorters, which use pneumatic cylinders to actuate switch blocks. They’re also common in narrow-belt accumulation conveyors. 

Read also: The Top 5 Inexpensive Warehouse Automation Solutions

At first glance, pneumatics seem like an easy and low-cost solution. There’s nothing fancy or magical about the technology. Parts are inexpensive and easy to find. Even if you can’t get the exact valve made by the original manufacturer, any vendor that sells similar parts can provide something suitable. Troubleshooting is also easy, at least in theory. 

In real-world applications, however, the complexity of pneumatic systems makes them extremely inefficient — and there are many ways they can fail. 

Let’s “Air” a Few Grievances

Pneumatic systems are complicated and require a vast number of parts. This makes them difficult to install and inefficient to operate. Estimates vary, but some suggest that pneumatic equipment only makes effective use of about 5 to 10% of the energy required to run them.

A lot of that energy goes into powering the compressor that pressurizes the air. These units are typically located outside or isolated away from the equipment they run. They generate so much noise and heat that no one wants to work anywhere near them. If you’re installing a large system, or plan to expand the system later, you’ll need to make sure your compressor is powerful enough to provide the airflow required. 

Regular care and maintenance of the compressor are essential to keep the air clean and dry. Unfortunately, they’re also very expensive. As a result, many operations let air quality slide. Over time, dust accumulates inside cylinders and valves, causing a system to lose efficiency, energy, and speed. 

A compressor failure will obviously mean costly unscheduled downtime, but even a tiny air leak can bring an entire system down. If you’ve ever tried to sip a drink through a broken straw, you’ve experienced a similar problem. Now imagine that straw is several miles long, twisting and turning throughout an entire warehouse and branching off in multiple directions. A leak anywhere in that line can cause airflow loss throughout the entire system — without giving you any idea where it is.

Pressurized air also makes a lot of noise, like the sound you hear when a kneeling bus lowers to make it easier for passengers to board. Although some pneumatic cylinders have components designed to help reduce this noise, they’re still loud. Every time you actuate, you’re going to hear it.

Technological Disadvantages Put Downward Pressure on Your Business

Air systems provide no speed or position controls. Although most pneumatic units have an end-of-line switch that will tell you whether the cylinder was extended, you have no way of knowing what’s happening between the beginning or end of the motion. This means there’s no early warning if a cylinder’s performance is declining. You won’t know there’s a problem until it breaks, potentially causing unscheduled downtime.

Pneumatics are also slow compared to other technologies. The only way to increase the speed of a cylinder is to increase the airflow. The upper limit you can achieve in this way is generally much lower than with electrical activations. That’s becoming somewhat of an issue, as distribution centers are under growing pressure to increase throughput more than ever before.

Are Electric Alternatives the Answer?

Electric solutions have many advantages over pneumatics, including easier installation and maintenance, superior performance, quieter operation, and more consistent reliability. They also make it easier to scale at your own pace. 

Adding a new conveyor to a pneumatic system, for example, often requires a larger compressor plus all the new airline runs. By contrast, expanding an existing electric system is more likely to be a “plug-and-play” operation. You can install new equipment with little or no extra infrastructure. In addition, you can start small without having to worry about oversizing a compressor to support future upgrades.

Let’s review the pros and cons of three electric alternatives to pneumatics: solenoids, servomotors, and Solligence™ fast rotary actuators.

Solenoids

Solenoids allow faster activation times and offer a good balance of performance and cost. They’re small, inexpensive, low maintenance, and typically require only a pair of cables. If something goes wrong, they can be replaced quickly with minimal cost and downtime.

Like pneumatic cylinders, electric solenoids don’t have speed or position control. You’ll need to put a sensor somewhere if you want to know what it’s doing.

Solenoids also need to be managed by an external controller and require large power supplies to achieve their higher speeds. The size of the power supply needs to be optimized to provide the right burst of energy. Too little power and the solenoid won’t function at the desired speed. Too much and you can burn the unit out.

Servomotors

Servomotors in warehouse automation are a lot like sports cars. They’re the fastest solution on the market, with precise control over speed and position. A built-in encoder provides visibility and smart feedback.

Like sports cars, however, servomotors and the controls that drive them are extremely expensive. They need large power supplies, complex software, and are complicated to configure properly. Together, these disadvantages make them cost-prohibitive for most warehouse applications.

Solligence Fast Rotary Actuators

Johnson Electric developed Solligence to leverage many of the technologies previously found only in servomotors into a simple electric solenoid. This combination overcomes the disadvantages of both options — as well as long-standing industry performance limits — while simplifying installation and reducing operational costs. 

An integrated drive unit eliminates the needs for an external driver, control box, and assembly labor. Low voltage and current requirements reduce installation and energy costs, enabling narrower-gauge wire and smaller, less expensive power supplies to be used. Integral on-board energy storage allows power to be slowly “sipped” from the main bus during the entire cycle, actuating the solenoid with bursts of power to generate high velocity as needed. 

Solligence continuously monitors changes in motion duration, adjusting the drive profile as needed to continue meeting specifications. The unit also triggers an alert when it detects wear, preventing costly unplanned downtime.

Weigh the Pros and Cons Holistically

Although low capital costs continue to make pneumatics popular, the costs of operating and maintaining these inefficient systems can quickly outpace your initial savings. It’s therefore no surprise that a growing number of the world’s leading logistics operations are turning to electric alternatives. They’re ready to be done with the downtime risks, operational costs, and other hassles of pneumatics. 

Whether you choose traditional solenoids or innovative Solligence fast rotary actuators, electric alternatives deliver cost and performance advantages pneumatics simply can’t match. You’ll benefit from faster, more reliable automation that won’t leave you gasping in frustration.

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Global Logistics, Global Trade Daily, News, Warehousing

Vecna Robotics Secures $100 Million in Series C Funding to Revolutionize Warehouse Automation

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Vecna Robotics, a leader in flexible material handling automation solutions, has announced the successful closure of its Series C funding round, securing $100 million. This round includes $40 million in new funding, comprising both equity and debt, nearly doubling the company’s valuation from the previous round. The investment saw participation from Tiger Global Management, Proficio Capital Partners, and IMPULSE.

Read also: Optimizing Warehouse Automation: Understanding Key Considerations

The fresh capital will be directed towards developing workflow-specific innovations to deliver rapid returns on investment (ROI) for cost-conscious warehouse operators in the $165 billion pallet-moving autonomy market. Alongside this expansion, Vecna Robotics has appointed Michael Helmbrecht as the new Chief Operating Officer to support its rapid growth.

Craig Malloy, CEO of Vecna Robotics, expressed his enthusiasm about the funding, stating, “Finalizing this capital raise, with the help of our existing investors and a new financing partner, is huge validation that we are on the right track. With fresh capital secured, we have the balance sheet to help us drive growth with our existing customers through improved product performance and the release of new automation technology that will change the game for material handling in warehousing and distribution.”

Over the past year, Vecna Robotics has enhanced its Pivotal™ Command Center with cloud software updates, aiding customers like GEODIS, FedEx, Caterpillar, and Shape in achieving up to 70% performance improvements in ground-to-ground warehouse workflows, including case picking, packaging, and cross-docking. The new funding will further support the launch of next-generation platforms, offering greater deployment flexibility and addressing high-demand workflows, while continuing to deliver immediate cost savings for operators.

Andy Johnston, Senior Director of Innovation at GEODIS, highlighted the collaboration with Vecna Robotics, saying, “GEODIS has been working with Vecna Robotics on the development of a new, groundbreaking case picking solution that nearly doubles performance. We are counting on this recent cash infusion at the company to speed up development and launch of a complete, market-ready offering that can be deployed right away.”

Helmbrecht, with nearly 20 years of experience from companies like Dell, Lifesize, and Ring Central, will play a crucial role in overseeing operations, manufacturing, IT, product, and customer success, ensuring Vecna Robotics meets its customer-defined performance guarantees. His appointment follows a year of significant growth for the company, including triple-digit revenue growth, over 100% increase in deployments, and the successful announcement of an industry-leading performance guarantee.

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Global Logistics, Global Trade Daily, News, Warehousing

Rising Warehouse Wages Propel Demand for Automation: ITS Logistics Q2 Report

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ITS Logistics has released the Q2 US Distribution and Fulfillment Index, in collaboration with Cresa. The latest index highlights a significant increase in the National Industrial Real Estate Vacancy Rate, which reached 6.2% in Q2, up from 5.7% in Q1. This rise is accompanied by an unprecedented availability of warehouse space since the onset of the pandemic in 2020. Concurrently, increasing warehouse wages are driving a surge in the demand for technology and automation to curb labor costs.

Read also: Optimizing Warehouse Automation: Understanding Key Considerations

Ryan Martin, President of Assets for ITS Logistics, noted the sharp wage increase: “Wages have escalated to a regional average of $18.99, marking a 40-50 percent rise over the past five years. Not long ago, starting wages for warehouse employees ranged from $12 to $14 per hour. As wages rise, employers face pressure, which in turn fuels the demand for technology and automation in warehouse operations.”

A recent report by Gartner underscores the growing importance of warehouse automation in modern logistics. The global warehouse automation market is expected to reach $71.01 billion by 2032, growing at a compound annual growth rate (CAGR) of 15.91% from 2023 to 2032. Asia/Pacific is projected to lead this growth.

The Q2 index also highlights how rising wages, influenced by inflationary pressures, are intensifying competition for talent in key regions. Federal and state incentives are attracting manufacturing to these areas, further increasing the demand for higher-paying jobs and pressuring general warehouse positions. Regions like Reno, Los Angeles, and Chicago have seen average wages rise to $18.99, outpacing the Consumer Price Index (CPI) in many areas, with some experiencing even higher increases.

According to the National Retail Federation’s (NRF) 2024 June Monthly Economic Review, the economy is currently growing, with inflation moderating as consumer spending supports underlying momentum. The NRF review suggests that the rest of the year will largely depend on inflation rates, job growth, and the Federal Reserve’s decisions. The University of Michigan’s Consumer Sentiment Index rose to 79.4 in March, indicating a 28.1% increase from March 2023 and a 13.92% rise from December 2023.

Martin added, “The improvement in Consumer Sentiment is a highly encouraging indicator for businesses. Retail sales saw a 0.7% increase in March, seasonally adjusted from February, and a 4% year-over-year unadjusted rise. This growth benefits retailers and includes services.”

ITS Logistics offers comprehensive network transportation solutions across North America and provides omnichannel distribution and fulfillment services to 96% of the U.S. population within two days. Their services encompass drayage and intermodal solutions at 22 coastal ports and 30 rail ramps, a complete suite of asset and asset-lite transportation solutions, and outbound small parcel services.

The ITS Logistics US Distribution and Fulfillment Index monitors the Producer Price Index (PPI) for Warehousing and Storage and provides a regional market overview to help optimize warehousing and delivery costs. Each quarter, the index highlights all major US markets. For a comprehensive copy of the index with forecasts for the US distribution and fulfillment sector, visit the ITS Logistics website.

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Global Logistics, Global Trade Daily, News, Warehousing

AutoStore Expands Global Footprint with New Robot Factory in Thailand

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AutoStore, a leader in warehouse automation technology, has announced the opening of a new assembly factory in Rayong Province, Thailand. This strategic expansion aims to support the company’s global growth, particularly in key markets such as Japan, Korea, and the United States.

Read also: AutoStore Unveils U.S. Headquarters in Salem, New Hampshire

With over 1,450 systems deployed across 54 countries, AutoStore boasts the world’s most widely used automated fulfillment system. The new factory in Thailand is set to enhance the company’s ability to deliver its advanced automated storage and retrieval systems to North American warehouses more efficiently. In the U.S. alone, 232 systems and 17,000 robots are already operational, serving top brands like Puma, Gucci, and Best Buy to meet the increasing demands of e-commerce.

“Since 2012, our robots have been manufactured and shipped exclusively from Poland,” said Mats Hovland Vikse, CEO of AutoStore. “With the rising demand for our automated fulfillment systems in North America and worldwide, opening a second factory became crucial to better serve our current and future customers. Thailand’s workforce availability, proximity to harbors and airports, favorable labor costs, and government incentives made it the ideal location for our new factory.”

AutoStore’s COO, Israel Losada Salvador, highlighted the company’s rapid capacity expansion: “In the last 24 months, we have tripled our existing capacity and set a structure to increase it tenfold in another 24 months if needed. Our expansion into Thailand not only boosts capacity but also diversifies our supplier base. This move has reduced our lead times from 34 weeks to 20 weeks.”

AutoStore’s innovative system replaces traditional shelf-based storage and manual retrieval with a cube-based modular storage system. Using state-of-the-art robots, this system accelerates order fulfillment, maximizes warehouse space, and improves operational efficiency.

The new factory is expected to create around 80 jobs in its first year, with plans to expand to 200-300 jobs by 2026. AutoStore aims to produce 15,000 robots within the next 18 months, doubling its current capacity to meet the growing demand in North America.

This latest expansion complements the company’s recent opening of a new U.S. headquarters in the greater Boston area and the strengthening of key customer partnerships, including with U.S.-based medical supply leader Medline.

For more information about AutoStore and its warehouse automation solutions, please visit www.autostoresystem.com.

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Global Logistics, Global Trade Daily, News, Technology, Warehousing

AutoStore Unveils U.S. Headquarters in Salem, New Hampshire

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AutoStore™, the pioneering global warehouse technology company renowned for revolutionizing warehouse automation through modular storage solutions, has disclosed its intentions to relocate its United States headquarters to a state-of-the-art facility in Salem, New Hampshire. This strategic move, slated for April, heralds the creation of over 100 job opportunities within the greater Boston region, underscoring AutoStore’s steadfast commitment to fortifying its presence and investment in the North American Automated Storage and Retrieval Systems (ASRS) market.

Spanning an impressive 40,000 square feet, the new headquarters is primed to deliver enhanced support to end customers through an expanded service team, revamped training initiatives, and immersive onsite technology showcases. A notable addition to this facility is the inauguration of the AutoStore Academy, an innovative platform offering both hands-on and virtual training sessions tailored for integration partners. These sessions will empower participants with the skills to adeptly design, install, maintain, and service the AutoStore System. Complementing this educational endeavor is the Experience Center, featuring a fully operational storage and retrieval system adorned with active robots and workstations arranged across a vast grid. This setup will facilitate live demonstrations and training exercises, offering attendees an unparalleled insight into AutoStore’s cutting-edge technology.

Paul Roy, Vice President and Managing Director of North America at AutoStore, remarked, “With sustained growth momentum across North America, our new U.S. headquarters will serve as a catalyst for expanding the cube-based ASRS market and enhancing warehousing capabilities throughout the region. We are particularly enthusiastic about the hands-on initiatives and regular onsite demonstrations, which will provide our clientele with exclusive opportunities to witness AutoStore’s innovative technology firsthand.”

Renowned for its widespread adoption as the premier automated fulfillment system globally, AutoStore has empowered leading brands and logistics providers such as Puma, Gucci, BestBuy, Medline, Helly Hansen, and DHL to expedite order fulfillment with unparalleled precision, boasting a staggering 99.7% accuracy rate. With over 232 systems, 14 million bins, and 17,000 robots deployed solely in the U.S., the inauguration of the new headquarters will serve as a pivotal pillar in supporting AutoStore’s relentless expansion endeavors across North America.

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Global Logistics, Global Trade Daily, Warehousing

Optimizing Warehouse Automation: Understanding Key Considerations

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Understanding how AS/RS and AMR solutions differ from one another is the first step to not only determine which one is best for your organization’s warehouse, but also where their joint use can optimize workstreams and throughput.

By Andy Lockhart, director of strategic engagement, warehouse solutions, North America, at Vanderlande

Consumers’ affinity for online shopping appears to have finally reached an equilibrium where e-commerce growth is in line with expectations. Although macro-economic trends, such as inflation’s impact on consumers’ buying power and capital costs for sellers, continue to raise questions, most believe we have reached a new normal in which the omnichannel shopper reigns supreme.

The United States Census Bureau’s Quarterly Retail E-Commerce Sales Report quantifies the trends.  While consumers continued to enthusiastically frequent the stores they missed four years ago, e-commerce continues to grow. Total estimated retail sales in the fourth quarter of 2023 increased 2.4% from the fourth quarter of 2022, but e-commerce sales increased by an estimated 7.2% in the same period. Online purchases also accounted for 17.1% of all sales versus 14.7% of all sales in the previous year.

Consider the Software

While robotics and singular innovations like AI receive the lion’s share of hype within the warehousing and DC communities, much of the transformative innovation shaping materials handling operations is taking shape at the software layer, a reflection of the fact that numerous automated systems and machines must be integrated and working in concert with one another to maximize efficiency. For this reason software – from task specific applications like the vision software used by robotic pickers to the platforms that tie everything together – should be carefully considered.

In particular, fulfillment operations should look for the hallmarks of robust software.  These include:

(a) User experience and ease of use;
(b) Security; 
(c) Integration capabilities; and 
(d) Support and service.

In light of this, materials handling and fulfillment organizations for U.S. retailers doing business with global brands are actively looking for ways to not only make their operations more efficient, but also to address a wide range of longstanding hurdles. These include the ongoing challenge of attracting and retaining warehouse and distribution center (DC) employees, higher operational costs, demand for faster delivery times, increased throughput and order accuracy; and greater pressure to avoid the bottlenecks that result from manual operations and processes.

As a result, more companies are looking at where to begin their warehouse automation journey or how to refine it, with fulfillment operations offering the greatest opportunities to drive bottom-line and top-line results. Not surprisingly, Automated Storage and Retrieval Systems (AS/RS) and Automated Mobile Robots (AMRs) are key components in these efforts.

Despite this, many organizations struggle to determine which solution is best for their organization, how AS/RS and AMR solutions differ from one another, and where they can collaborate. These questions only grow more complex when considering the rise of Automated Case-handling Mobile Robots (ACRs). To understand the optimal solution or mix of solutions their organizations’ unique warehouse needs, the following considerations must be made: 

 

  • Dynamic or static? — AS/RS systems are static and typically shuttle-based systems that store and move product to goods-to-person or goods-to-robot pick stations. Once installed, they cannot be easily moved, although when created in a modular fashion – something most AS/RS manufacturers now do – they can easily be expanded to add additional storage and throughput capacity. In contrast, AMRs operate in a dynamic environment, moving among workers and assisting in the sortation and transportation of goods. ACRs include aspects of both – functioning as AMRs but storing and moving products similar to an AS/RS, but using more traditional racks rather than lifts and shuttles, and achieving slower throughput than shuttle-based systems. 

 

  • Sorting, moving, picking or all three? — If you are looking for a warehouse solution that simply moves product within the warehouse, then an AMR is the logical choice. AMRs can dramatically increase a warehouse’s output while addressing what is often the single most significant time sink: the 70% or more of the workday employees spend walking to access and move items.  

 

  • High throughput or even higher throughput? — In operations where maximum throughput is required, a shuttle-based AS/RS is the gold standard, offering not only the speed but also the exceptional sequencing capabilities needed to move high levels of inventory out of storage in the right order. But such systems require scale – more on that below – to function at their full capacity. This of course is relative, as ACRs also achieve high throughput when compared to the manual processes they often augment or replace.  

 

  • How varied are the SKUs you must process? — Today’s AS/RS are widely versatile – some systems handle cartons, trays and totes for greater versatility. However, AMRs can transport an even greater range of SKU than tote-based AS/RS, including heavier or larger items. Regardless of the SKU variety, sequencing needs must be considered as well. As previously noted, AS/RS offer exceptionally robust sequencing abilities.  

 

  • More space around and overhead? — AMRs result in more traffic, which when combined with the humans they function alongside require more warehouse floor space. AS/RS in contrast require a much smaller footprint and offer the potential for far greater storage capacity, but need more overhead height to keep lifts working at all times to achieve maximum throughput capabilities. The taller a structure, the more effective an AS/RS can become, while ACRs – at least for now, are largely limited to racks that are 35 feet high or less.

 

  • Greenfield or brownfield warehouse? — In addition to requiring greater height to maximize efficiency, AS/RS are highly advanced systems best deployed in purpose-built facilities that can take advantage of the smaller footprint they can operate within and feature stronger floors to handle the equipment. In contrast, many older or brownfield facilities do not offer the height and required floor strength, making it easier to deploy an AMR-based solution.

 

  • Is an automated fulfillment system needed right now? — AS/RS systems should be designed to address each organization’s unique needs, whether it’s the need for exceptionally fast throughput and extensive storage density or robotic picking stations. To design, build and test such a system is a project measured in months, not days. In contrast, an ACR system can typically be created and deployed in much less time than a shuttle-based system. AMRs also do not need to be a long-term capital expenditure – a benefit for smaller warehouses that are just beginning their automation journey. This is driving the Robots-as-a-Service trend, in which organizations lease AMRs as needed – for example to augment a picking operation during the peak holiday season.

Just as important as the above considerations, materials handling leaders must remember that AMRs and AS/RS can complement one another. For example, an AMR can move items into reserve storage when overflow capacity is needed, deliver items to an AS/RS system, handle items that are too heavy or large for a shuttle, transport goods as needed from station to another in an AS/RS facility, or even sort goods for individual orders by picking from a pallet or tote. 

Every organization has unique needs, constraints and opportunities that will determine if an AS/RS system, AMR – or ACR – are best for them at any given time. Simultaneously, all warehouse automation should be considered in an integrated fashion, something that requires partners who have experience orchestrating the expanding array of automated solutions omnichannel retailers have to choose from.

Author Bio

Andy Lockhart is the director of strategic engagement, warehouse solutions, North America, where he provides Vanderlande’s retail customers – including many of the world’s best-known brands – with the innovative, scalable systems, intelligent software and reliable services needed to optimize distribution and fulfillment operations. Lockhart received his master’s in electrical and electronics engineering from King’s College London and his bachelor’s in electronic physics from Royal Holloway, University of London.

 

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Archives, Global Logistics, Global Trade Daily, Warehousing

HWArobotics Introduces its Reliable, Customizable Shuttle Systems at MODEX 2024

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HWArobotics made a significant impact at MODEX 2024 in Atlanta by introducing its cutting-edge shuttle systems, now available to companies across North America. With two decades of experience in the field, HWArobotics showcased its high-quality, reliable, and efficient automated storage and retrieval systems (ASRS) technology, aiming to expand its presence in the region and forge new partnerships.

The company presented a comprehensive range of ASRS technology, including tote shuttles and pallet shuttles, along with associated cargo lifts, racking, and control software. These systems are designed to optimize logistics and supply chain management operations, boasting system availability of over 99% and delivering high throughput for various industry sectors.

At Booth C3885, attendees had the opportunity to explore HWArobotics’ products, which utilize high-performance components from European suppliers like Siemens, Voestalpine, and Hilti. The showcased SLS300, SLS400, and SLS600 series tote shuttles, along with the FPSS1500 pallet shuttle, exemplify the company’s commitment to durability, efficiency, and versatility.

The SLS300 series standard tote shuttle storage system offers high efficiency and continuous operation for up to 24 hours, achieving speeds of up to 4 m/s and handling up to 120 boxes per hour. The SLS400 series variable tote shuttle system provides compatibility and flexibility, allowing for the mix and storage of containers of different sizes.

Additionally, the SLS600 3D tote shuttle system caters to low-traffic, high-efficiency environments, offering excellent warehouse sharing capabilities and easily adjustable system capacity. The FPSS1500 series pallet shuttle system, designed for warehouses and distribution centers, enhances operational efficiency with its advanced four-directional movement and AI scheduling algorithms.

HWArobotics’ General Manager, Sky Chen, expressed pride in the company’s 20 years of experience as a pioneer in shuttle robot systems, highlighting its commitment to exceptional customer service and technological innovation. The recent deployment of HWArobotics shuttle systems by Darwynn underscores the effectiveness of their technology in automating and optimizing logistics and storage processes.

With a strong global customer base, including prominent names like Bosch UAES, Hisense Hitachi, SONY, and JD.com, HWArobotics aims to enhance the competitiveness of North American businesses by offering intelligent warehouse and manufacturing plant upgrading solutions. Their advanced shuttle systems represent a significant leap forward in the field of warehousing and logistics automation.

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Archives, Global Logistics, Global Trade Daily, News, Warehousing

GreyOrange Enhances Warehouse Efficiency for Flaconi, a Leading Beauty Retailer

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Flaconi, a prominent online beauty and perfume retailer in Germany, has chosen GreyOrange Inc., an AI-driven fulfillment automation leader, to optimize its warehouse operations for faster and more efficient product distribution to customers.

The collaboration involves flaconi implementing GreyOrange’s GreyMatter™ fulfillment orchestration platform alongside a fleet of 70 GreyOrange Ranger™ Assist robots. By adopting the Robots as a Service (RaaS) and Software as a Service (SaaS) model, flaconi gains the flexibility to scale its warehouse operations according to demand, particularly during peak seasons. GreyOrange’s RaaS and SaaS solutions enable flaconi to expedite order fulfillment through features like dynamic zoning, hybrid picking, and GreyMatter’s intelligent workload distribution to the robots.

Kurt-Alexander Westphal, Team Lead Operations Excellence at flaconi, highlighted the strategic advantage of quickly deploying additional robots during peak seasons to ensure timely delivery of beauty products. He emphasized that the automation deployment with GreyOrange Ranger Assist robots allows flaconi’s teams to focus on more strategic tasks, enhancing daily operations and scalability.

flaconi’s decision to partner with GreyOrange was influenced by GreyMatter’s versatility in handling a wide range of product SKUs, including fragile items, with precision. The GreyMatter platform’s ability to integrate various technologies under a unified control system further appealed to flaconi.

Akash Gupta, Co-Founder and CEO of GreyOrange, emphasized the company’s commitment to providing flaconi and similar customers with comprehensive hardware and software solutions to gain competitive advantages and exceed customer expectations. Gupta highlighted GreyOrange’s global support network, ensuring seamless implementation and ongoing assistance for customers like flaconi as they scale their operations.