The “2024 Automation Solutions Study” conducted by Modern Materials Handling and Peerless Research Group delves into the trends and preferences surrounding warehouse automation systems and solutions. The study, based on 155 responses from professionals in materials handling and fulfillment operations, offers insights into industry practices, purchase intentions, and future investment plans.
Key findings from the study include:
Evaluation Criteria: When considering automation systems, respondents prioritize factors such as durability, reliability, and uptime (92%), total cost of ownership, ROI, and maintenance costs (82%), and support and service response time (81%).
Drivers for Automation: Companies are investing in automation to improve capacity utilization (66%), picking efficiency (58%), and order fulfillment speed (57%). Other motivations include meeting customer service level agreements, supporting e-commerce demands, and staying competitive.
Current Automation Levels: While some processes like conveyance (26%) and packaging (11%) are fully automated, many warehouses still rely on manual methods for core tasks like storage (32%) and picking (25%).
Future Investments: Over the next two years, companies plan to invest in individual pick, pack, and ship fulfillment for both wholesale distribution (45%) and e-commerce (45%). Mobile collaborative robotics (79%), A-frame picking technologies (76%), and picking robotics (74%) are among the top planned investments.
Spending Trends: On average, companies spent $1.67 million on materials handling equipment and solutions in 2023. Future spending plans indicate continued investment, with preferences for direct purchase from manufacturers (64%) and engagement with systems integrators (45%).
Software Usage: Warehouse management systems (WMS) (59%), transportation management systems (TMS) (50%), and warehouse control systems (WCS) (52%) are among the most widely used supply chain execution (SCE) software solutions.
Industry Representation: Respondents come from diverse industries including food and beverage, industrial machinery, electrical equipment, and plastics and rubber. The average facility size is 152,206 square feet, with most companies reporting annual revenues under $10 million.
Overall, the study highlights a growing reliance on automation to enhance operational efficiency and meet evolving customer demands in the warehouse and distribution center landscape. Companies are strategically investing in technology to achieve greater productivity while balancing workforce dynamics.
Inspired by: https://www.mmh.com/article/2024_automation_study_how_automation_is_transforming_the_warehousing_landscape