to efficient order fulfillment, labor reduction and maximum
storage capacity.
Improving Order Fulfillment
Due to the complexity of orders and ever-decreasing order
turnaround times, order fulfillment has become a compli-
cated task with no room for errors. To meet these demands,
distributors, manufacturers and even retailers are often under
pressure to fulfill orders within a short period of time while
maintaining order accuracy.
The measurement of success for an order fulfillment process
is heavily dependent upon the design of the warehouse and
the efficiency of the picking process. Automated warehouse
systems allow manufacturers to integrate efficient order
fulfillment processes and workflows to enhance warehouse
performance and minimize labor. By integrating an AS/RS
with warehouse materials handling and management sys-
tems, picking processes can be drastically simplified and can
significantly improve order fulfillment logistics. For greater
efficiency, combine an AS/RS with a picking system to sys-
tematically pick products, layers and cases from the inven-
tory to palletize and ship to the consumer. Today’s advanced
warehouse automation solutions are customizable to accom-
modate any order-picking strategy and establish efficient
picking processes, routes and sequences for a better overall
performance of the warehouse.
Reducing Labor
Order picking is undoubtedly a laborious task no matter
where your operations are housed. Automating the picking
process dramatically reduces labor requirements and travel
times and reduces the risk of error— leading to cost savings
in the long run.
The integration of warehouse material handling systems, with
a high-density AS/RS, greatly simplifies the picking processes
used to improve order fulfillment. For example, a worker is
tasked with fulfilling an order containing a variety of SKUs,
located all over the warehouse. The worker then walks though
racks to find the products. If the warehouse is large or the
products are far apart, it will significantly increase the travel
time and increase labor costs.
Rather than having a person take time to travel between
various locations to pick requested products for an order,
an AS/RS could provide a “Goods to Person” approach to
order picking. An efficient automated process might couple a
high-density AS/RS with other technology to systematically
pick full pallets, layers and cases from the inventory to fulfill
a customer order. The system ensures that the necessary
products are available to the picker as needed, often travelling
over vast distances, moving both horizontally and vertically,
in a short amount of time.
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In addition to reducing manual labor costs, an AS/RS helps
keep workers safe. There is no longer a need for repetitive
lifting, and forklifts are not driving around in the same aisles
as people. An AS/RS is especially beneficial for picking in
cold and freezer environments where temperatures are often
too harsh for the human body. Also, with an AS/RS there is
no need to take precautions by closing an aisle or area of the
warehouse to pick items from the top shelf, so operations are
able to continue running smoothly and accidents are signifi-
cantly reduced.
Maximizing Storage Capacity
A huge obstacle to optimizing warehouse efficiency and
reducing the costs associated with demand-based replen-
ishment is storage space. Finding alternatives to house
thousands of SKUs within the least amount of real estate is a
challenge facing many companies today. By implementing a
high-density AS/RS, manufacturers will be able to store more
product in the same amount of space and eliminate the need
for new construction or off-site storage—costly options that
produce little ROI. Including an AS/RS in new construction
can minimize the overall building footprint by up to 50 per-
cent, when compared to a conventional warehouse.
At the same time, the system will better-position a facility
for growth since the warehouse has the room to accommo-
date increased product quantities and SKUs. Since an AS/RS
allows for better space utilization, companies can further cut
costs by consolidating several smaller, disparate warehouse
facilities. By combining operations from remote locations
into a centralized warehouse, companies will reduce costs
associated with additional labor, resources and energy con-
sumption.
When pick tunnels are integrated in the high-density ware-
house, companies can reduce the travel time, achieve better
product availability and maximize existing real estate. Not
only is picking more efficient, but so is the overall use of
warehouse space, generating savings for years. Plus, in cold
storage facilities, automation can strictly control all picking
movements and processes within the cold environment. Since
workers are no longer entering and exiting fridges and freez-
ers, temperatures are more easily maintained with less ener-
gy; resulting in significant savings in energy consumption.
Every business has its own processes and solutions, so a “one-
size-fits-all” system will not always work. A high-density
AS/RS has the ability to simplify and execute different
processes inside of the same building footprint. Combining
different picking strategies, automated and manual order ful-
fillment technologies, and warehouse management software,
such as a WES, often best sets the business up for success.
The Satellite Review
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