In our last blog article we looked at the steps required for the successful introduction of automation to a manual warehouse.
As warehouse automation delivers measurable improvements in labor efficiency, throughput and order accuracy, many operations eventually reach a point where incremental improvements are no longer enough. The next step isn't simply adding more automation, it's creating an integrated, fully automated operation designed to support long-term business growth.
At Toyota Automated Logistics (TAL), we help organizations to build automation roadmaps, not just automation projects. Rather than replacing an entire warehouse at once, we work alongside customers to identify the processes that create the greatest operational strain and introduce scalable automation in phases. This approach delivers a measurable return on investment (ROI) today, while building the foundation for future expansion.
Meeting a Variety of Challenges
We believe that a warehouse is ready for full automation when a combination of challenges begins to emerge. These include rising fulfillment costs, difficulty finding labor, space constraints, inconsistent performance at peak times, and when throughput of the facility can no longer meet demand.
Fully automated operations include the introduction of advanced technologies, such as robotic piece picking, and case and item handling; automated guided vehicles (AGVs); automated mobile robots (AMRs); and automated palletizing and depalletizing solutions. Full automation also marks the completion of end-to-end system integration across the facility.
A Genuine Game-Changer
A fully automated system is a gamechanger, because it can deliver improved throughput and capacity. In addition, by providing reliability and consistent performance, an end-to-end solution offers long-term cost stability as well as resilience for future growth. This can also give a company a competitive advantage in their supply chain.
What’s more, full automation means changes in capacity are less dependent on the availability of labor, especially when it comes to scaling up during busy periods. For example, we estimate that integrating robotic picking with an ASRS could reduce dependence on full-time employees by 20%.
The warehouse can also expect an increase in accuracy and quality in areas like picking and order fulfillment. Moreover, fully automated facilities are safer places, because they reduce work-related injuries, which keeps the workforce more productive while lowering costs.
Making the Move to Full Automation
So, what is involved when making the move from a semi to fully automated operation? Every automation journey begins with understanding how a warehouse operates. We evaluate material flow, inventory profiles, labor utilization, software systems, facility constraints and long-term business objectives, before recommending technology. This system-level approach ensures each investment supports the next phase of automation rather than creating isolated solutions.
It’s also important to evaluate bottlenecks in the system, as well as the source of any errors. Furthermore, companies should be clear about their expectations for expansion by generating five- and ten-year projections for throughput and SKU growth. We use our expertise and experience to help customers through this process before identifying the scalable technologies that align with their business goals.
Getting Employees On Board
The cultural impact of full automation on the workforce needs to be handled carefully while promoting the positive benefits of change. For example, there will be opportunities for people to move from manual to supervisory roles, which must be backed by upskilling and training options. This opens up better career paths for employees and provides the chance to move into higher paid roles.
As a positive added benefit, by reducing physical strain and increasing job satisfaction through the provision of more engaging and fewer repetitive tasks, full automation can help improve employee retention.
A practical roadmap to full automation:
- Define long-term business and growth objectives.
- Identify operational bottlenecks.
- Select scalable automation technologies.
- Develop a phased implementation plan.
- Prepare employees through training and change management.
- Optimize, maintain and continuously improve system performance.
There are also several important everyday factors to consider when committing to warehouse automation projects. These include servicing requirements, facility modifications, implementing performance monitoring and integrating software systems.
Moving from semi-automated to fully automated warehouse operations isn't simply about adding more technology, it's about creating an integrated automation strategy that supports businesses for years to come. At Toyota Automated Logistics, we combine global automation expertise with local execution to design, implement and support scalable warehouse automation solutions tailored to each customer's operational goals.
Whether you're expanding an existing system or planning a new automated facility, our team helps you to reduce risk, maximize long-term ROI, and build a warehouse that's ready for what's next.
Please reach out to our experts for more information.