AI in warehouse management 20 August 2024

Artificial Intelligence (AI) in the warehouse is common nowadays, but its full scale application is only just starting to take off. Here, global warehouse automation specialist, Mecalux, discusses how integrating technologies such as automation and AI in logistics operations can bring multiple advantages to warehouse management. 

An automated warehouse, also known as a smart warehouse, combines robotic and automated elements to replace the most labour intensive tasks. The warehouse incorporates machines such as stacker cranes or motorised shuttles to reduce repetitive tasks, increase agility and minimise physical strain on operators.

Warehouse automation also includes machines that systematise logistics operations by integrating AI-related enhancements such as picking robots. Thanks to computer vision, these devices recognise the shapes of objects they’ve never seen before and arrange them as efficiently as possible to fulfil orders. Autonomous Mobile Robots (AMRs) can also move loads between different points of a facility, ‘making decisions’ without the need for predefined routes. These capabilities are enabled by AI and machine learning.

AI can also make demand forecasting more accurate by avoiding stockouts, and can also be an ally for preparing other supply chain processes. Other departments that manage behind the scenes activities for companies such as IT tasks, human resources and accounting, can also benefit from AI. Cognitive automation, for instance, can be implemented in billing processes.

Although it requires an initial outlay, employing AI in logistics comes with several benefits. These include 24/7 availability – AI driven systems need no rest, so they can work uninterrupted; higher productivity – machines such as picking robots cooperate with humans to boost their work in automated warehouses and if necessary they can also operate independently; attention to detail – AI’s accuracy in performing tasks results in fewer errors; customer satisfaction – chatbots respond faster to consumers’ questions and enable tracking of shipments and deliveries, whilst also enhancing the buying experience by personalising messages and recommendations; quicker data analysis –
AI is capable of processing large amounts of information in a short time and can draw conclusions and make suggestions for optimisation; and predictive maintenance – technology makes it possible to detect potential problems before they cause failures, enabling companies to carry out preventive maintenance to ensure business continuity. 

Another field where AI is extremely useful is route management. When employing AI in this process, companies are able to take into account factors such as total capacity, weather forecasts, traffic information and vehicle geolocation, enabling them to reduce travel costs and driving hours while serving customers as quickly as possible.

The future of AI in warehouse management

Experts anticipate that we’re on the brink of a new era for logistics. Supply chains will be transformed as AI technologies become more effective. Eventually, repetitive and physically demanding tasks will be relegated to robots. Then, operators will be able to focus on work that adds greater value. AI will also shorten customer service response times and improve the visibility of operations, increasing overall satisfaction.

Before integrating AI in warehouse management, it’s advisable to analyse your company’s capabilities and needs to formulate a plan. First, establish a strategy. Think about what you hope to achieve and how you’ll adapt AI to your current processes. Next, find the right type of AI. Several machines and systems already incorporate AI processes and the key is to choose the solution most closely aligned with business requirements. It should provide the greatest benefit with the smallest investment in time and resources. 

Third, study how to integrate AI. It’s best to train all employees on managing these technologies. They can be implemented through a pilot project or through small tasks that gradually become more significant. Finally, measure improvements. It’s critical to assess performance to obtain the maximum possible throughput.

If you’re looking to speed up processes, whether automated or manual, a Warehouse Management System (WMS) is a must. This software will help you streamline operations and fine tune processes such as order fulfilment and shipping. Mecalux has developed Easy WMS to coordinate teams, inventory and the workforce from a single digital tool.  

Editor

Claire Aldridge Editor t: +44 (0) 1727 743 889

Biog

Having spent a decade in the fastener industry experiencing every facet – from steel mills, fastener manufacturers, wholesalers, distributors, as well as machinery builders and plating + coating companies, Claire has developed an in-depth knowledge of all things fasteners.

Alongside visiting numerous companies, exhibitions and conferences around the world, Claire has also interviewed high profile figures – focusing on key topics impacting the sector and making sure readers stay up to date with the latest developments within the industry.