Automation Drives the Next Generation of 3PL Fulfillment

| By: DGDtransport

As more companies push for automation, it continues to make its way into many warehouses and distribution centers around the globe. This can also be seen due to an increase of distribution centers specializing in e-fulfillment. 

As the year moves along, many e-commerce distribution centers will be fully recovered from the onslaught of the holidays. This is because the holidays can cause an influx of orders that are not normally seen.  When this happens, retail orders are known to jump as high as 20%.

An Evolution of Automation in Fulfilment

In distribution centers across America, automation is not only seen among the conveyor systems. Other innovative solutions also exist in the next-generation of supply chains. These include auto-guided vehicles, pick/put-to-light, wearables, voice-directed technology, robotic applications, and radio frequency identification scanning.

After radiofrequency identification scanning showed up during World War II, it was only utilized as a form of laser and telecommunications technology. It didn’t start making headway until the 21st century when the technology was seen as affordable and easy to use in handheld applications. During the early 2000s advancement turned the technology into voice-activated systems and hands-free RFID technology.

Robotics, on the other hand, didn’t get introduced to manufacturing until 1961. This was when Unimation brought it to General Motors as a new assembly robot. 

Ever since the early days, the implementation of robotics has remained focused on manufacturing. Today, however, many vision-guided robots have been introduced to distribution centers. Their main task is to perform retrieval putaway functions, loading/unloading, goods-to-person application, and pallet stacking. The advancement in robotics has grown so much that installations that use robotics had grown by 11% in 2014. According to the International Federation of Robots, an annual 15% growth rate is expected to happen globally.

Over the last five years, Amazon has been the leader in fulfillment by using robotic technology and applications. By 2016, Amazon had increased its robotic applications by 16,000. 

Leading the Way in Fulfillment Automation

So when it comes to warehouse automation who is leading the way? With it trending rapidly among certain industries, it still lacks in the global market. As reported by the International Federation of Robots, only 70% of global sales were achieved by robots in five countries.

These countries included:

  • United States
  • China
  • South Korea
  • Germany
  • Japan

According to omnichannel e-tailing growth rates, many fulfillment centers have begun to meet the market demand for both next-day and same-day delivery, with high emphasis during the holiday season.

DGD Transport 3PL Provider LogoAt DGD Transport, we pride ourselves on disrupting the ever-changing logistics industry by developing tools and solutions that meet our customer’s needs. Through our on-demand proprietary technology, DGD Transport offers cost-effective and eco-friendly solutions. As the premier 3PL company in South Florida, our team is comprised of forward-thinkers who value efficiency and doing things differently.

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