Currently, there is a strong focus on automation technologies emerging as a linchpin for progress. Operators are harnessing these technologies to heighten productivity and efficiency and navigate labour uncertainties, affirms Rami Younes, General Manager, Swisslog Middle East.
In 2023, the landscape of material handling stands at a crossroads, shaped by the echoes of recent upheaval and a persistent drive for innovation. 2022 saw material handling organisations regaining a sense of normalcy within the ever-evolving industry.
The MEA Automated Materials Handling Market is projected to reach US$ 1890mn accompanied by the MENA e-commerce market’s meteoric rise, projected to reach US$ 57bn by 2026. This interplay of innovation, stability, and data underscores the dynamic narrative of materials handling in the era ahead.
Amidst this transformative backdrop, five trends are redefining the industry:
Ultra high-density storage
Ultra-high-density storage has emerged as a transformative trend in the realm of warehouse automation, offering an effective solution to the persistent challenge of space utilization. In an era where e-commerce and supply chain demands are accelerating, optimizing storage efficiency is paramount.
This innovative approach involves maximizing storage capacity within a confined footprint, leveraging advanced technologies such as automated robotic systems, vertical stacking, and intelligent inventory management. By capitalizing on every available inch, businesses can not only streamline their operations but also reduce overhead costs associated with larger warehouse spaces.
Swisslog’s AutoStore stands as a pinnacle of innovative warehouse automation, renowned for its exceptional features that redefine storage and retrieval systems. At its core lies a grid-like arrangement of bins, managed by a fleet of autonomous robots.
This intricate technology allows for unrivalled space optimization, as the robots navigate the grid, delivering and retrieving bins with precision and speed. AutoStore’s modular design facilitates scalability, accommodating evolving business needs effortlessly.
Real-time inventory tracking and order processing enhance operational visibility and efficiency, while its adaptability to various product sizes and shapes makes it a versatile solution.
Robotic arms
Carton Handling: The opportunity is in customising pallets for more efficient store replenishment. Until recently, retailers have been limited in their options for systems capable of building mixed-case pallets based on store layouts. But in the last several years, multiple manufacturers, including Swisslog, have introduced palletizing systems that will help drive increased adoption of this technology.
Item picking: This is a challenge for robotic arms due to the range of shapes and sizes being picked. Robot manufacturers have attempted to refine robot vision and gripping systems but this has ultimately limited adoption.
Now, developers are focused on ensuring that robots can accurately and reliably pick products that are easily graspable, improving performance in select applications and spurring renewed interest in the tech.
Automated e-grocery fulfilment
Automated e-grocery fulfillment centres (EFCs) and micro fulfilment centres (MFCs) have gone through the entire Gartner Hype Cycle in just a couple of years. In early 2020, with the pandemic creating a sudden spike in e-grocery sales, they rose quickly to the ‘Peak of Inflated Expectations’.
Then, as we moved through 2021 and 2022, this strategy slid into the ‘Trough of Disillusionment’ as some operators struggled with deployments. However, some grocers moved forward with their deployments because they understood the e-grocery market.
Outsourcing fulfilment to third parties seems like an easy solution but a grocer’s brand can be overshadowed by their fulfilment partner, and there is a risk that third parties will ultimately cut grocers out of the process.
Manually picking from store shelves can work when order volumes are low, but as volumes grow this strategy creates aisle congestion that alienates in-store shoppers and is difficult to scale in today’s tight labour market.
With research showing that the MENA online grocery market is expected to grow to reach US$ 25bn by 2030 and the UAE leads with e-grocery penetration of around 9%, the sector has become increasingly important. First-movers are streamlining the process for the second wave of automated grocers.
Software lead automation
Warehouses increasingly adopt numerous automation setups, with a shift from fine-tuning individual systems to harmonising the operation of multiple ones. The evolution emphasises consolidated platforms integrating diverse control modules, poised to act as the conductor of this orchestration.
This intelligent synchronisation orchestrates humans, processes, and machinery, elevating efficiency, not solely in isolated systems, but across the entire warehouse setup.
Warehouse sustainability
There is a growing demand for environmentally friendly logistics globally, with 75% of shippers actively seeking greener options when exporting goods, according to the World Bank. Moreover, electric automation technologies, such as robotics, rely on less electricity, consuming only 0.1 kW of energy per hour, which can even be generated from renewable energy or cleaner sources.
To set an example, Swisslog implemented its first 100% solar-powered warehouse automation system, demonstrating the ability of these systems to operate with on-site renewable energy.
