The Evolution of Warehousing
Early warehouses were little more than storage facilities to protect inventory until it was time to sell. Warehouse operators were mainly concerned with increasing storage and keeping inventory safe from weather and theft.
E-commerce and other consumer trends have shifted the warehouse from a simple storage facility to a supply chain control center. Modern facility operators use warehouse management software and other technology to optimize storage and distribution. Warehouse management improves supply chain integration by speeding up the flow of inventory from one center to the next.
Modern Technologies in Warehousing
The modern warehouse is a technological hub of systems made to optimize processes, manage inventory, and more.
Role of Warehouse Management Systems
Warehouse management is a component of supply chain management. It involves specific processes within the warehouse, while supply chain management covers the whole process of sourcing materials and delivering a finished product.
A warehouse management system provides real-time visibility into inventory levels, orders in process, shipping, and more. These systems guide warehouse optimization, manage picking activities, automatically replenish inventory, and more to enhance order fulfillment.
Integration of IoT in Warehousing
The Internet of Things (IoT) refers to physical objects connected to the internet. In warehousing, IoT sensors make inventory and shipments trackable. You would place an IoT sensor on a piece of merchandise or on a container to monitor its location. These sensors enable you to track shipments from the shipping yard to your warehouse. They also help your pickers find inventory faster.
Place IoT sensors on machinery and heavy equipment to get alerts when you need to schedule maintenance. This technology prevents costly breakdowns and repairs.
Real-Time Data Analytics
Tracking sensors, warehouse management software, and other systems include data analysis and visualization tools for decision-making. For example, you can track your average time to deliver or measure your average dwell time to identify bottlenecks and improve processes.
Data analytics can also help you identify seasonal inventory patterns and other customer behaviors that impact your warehouse layout and how you manage your inventory.
Innovations and Strategies in Emerging Markets
Warehousing logistics solutions enhance your growth potential by making it easier to expand into new markets. If you want to enter a new part of the country, opening a local warehouse or partnering with a distribution center helps you fulfill regional orders faster.
Scalable Solutions for Growth
Global warehouse solutions in emerging markets support high-growth businesses. Because these warehouses put your products closer to international customers, you reduce shipping times and costs. You also get a more reliable supply chain, because you’re not shipping an item overseas.
Adapting Strategies for Local Markets
Global warehousing also eases growing pains associated with entering new markets. Local partners understand regulations, compliance, transportation networks, language, and other considerations. Using a local team helps you navigate country-specific rules and customs.
Automation and Robotics in Warehouse Management
Warehouse managers across the world have started using automation and robotics to streamline processes.
Reducing Costs With Automation
Using technology to automate inventory management, order processing, and transportation planning saves time and reduces errors, which lowers operating costs. Automation also helps reduce waste across the supply chain.
Warehousing and distribution solutions can also use AI to optimize freight scheduling and plan warehouse layouts, for example. These tools make globalization easier by analyzing data from throughout the supply chain and producing regional level forecasts and optimization strategies.
Enhancing Efficiency Through Robotics
In many warehouses, robots do the repetitive, labor-intensive jobs such as picking, packing, and sorting. This reduces error and makes the warehouse safer for human workers. Since robots move heavy objects, move objects from high shelves, and handle bulky items, your human workers are at a lower risk of injury.
Sustainability in Warehousing
Global warehousing improves your sustainability efforts by reducing the greenhouse gas emissions involved in shipping. You can also make your warehousing practices more sustainable in other ways.
Implementing Green Practices
Building a warehouse with energy-efficient lighting and heating reduces energy consumption and lessens your environmental impact. You can also switch to solar power or renewable energy to make your warehouse greener and lower energy costs.
Inside the warehouse, consider using sustainable packaging materials and implementing recycling programs for waste. Conserve and recycle water within the warehouse.
Aligning with Environmental Responsibilities
Each country has its own environmental laws and guidelines. Global warehousing helps you align with regulations in each country. These laws govern everything from waste and disposal practices to transportation and logistics. Working with a local partner will help you refine your practices.
For example, you may need to use electric vehicles and other alternative delivery vehicles to meet greenhouse gas emissions guidelines in different countries. Some countries also require sustainable packaging materials.
The Future of Warehousing
Some trends shaping the future of global warehousing and logistics include technology, urban logistics, and supply chain resilience. Industries such as pharmaceuticals, biotechnology, and food and beverage have increased the need for temperature control in shipping and logistics. Warehousing companies are adapting by adding climate controls into warehouses and shipping containers and using advanced technology to monitor conditions throughout the shipping process.
Small-scale warehouses are making it easier to deliver items quickly in densely populated areas without paying more for the real estate needed to store items.
Technology that tracks and analyzes data is also improving supply chain resilience. AI and other technology helps companies anticipate disruptions from weather, economic shifts, and other unexpected events. These companies can create contingency plans to reduce impact to their customers.
Surgere offers warehouse management solutions that improve visibility into the supply chain and help you scale your business. Contact us today to learn more.