June 26th, 2023
4 min readRobotic Automation – You Should Know the Top 3 Effects on E-Commerce and Distribution
Robotics are helping to overcome workforce challenges, are substantially contributing to e-commerce growth, and are increasing the need for AI, machine learning, and big data.
The fulfillment and logistics sectors are currently undergoing remarkable expansion due to the substantial growth of e-commerce and the continued workforce shortage.
Another driver behind this growth is the adoption of omni-channel fulfillment as retailers, suppliers, and third-party logistics companies (3PLs) race to enhance their capabilities for delivering products through multiple channels.
Given these conditions, robotics have become indispensable assets for companies to meet and ultimately surpass their customers’ expectations.
1. Overcome Workforce Challenges
The first major effect of robotics on e-commerce is how the technology has helped businesses overcome labor shortages and other workforce challenges. Robots can increase efficiency, augment human workers, reduce costs, enhance scalability and flexibility, mitigate labor-intensive processes, improve safety, and improve the overall customer experience.
Robots are capable of performing repetitive tasks with high precision and speed, leading to improved productivity. What’s more, they can work around the clock without suffering from fatigue or needing to take breaks, significantly increasing operational efficiency.
Robots also can complement human workers by taking on physically demanding or hazardous tasks, which reduces the strain on the existing workforce and lets employees focus on more complex and value-added activities. Additionally, this minimizes absenteeism due to injuries and potential legal liabilities.
And by utilizing robotics for tasks such as order fulfillment, inventory management, and customer service, companies can streamline operations and provide faster, more accurate, and consistent service, leading to improved satisfaction and loyalty.
2. Substantial E-Commerce and Distribution Center Growth
Robotics are contributing to e-commerce growth in several significant ways, including through warehouse automation and last-mile delivery.
Robotics technologies, such as automated guided vehicles (AGVs), autonomous mobile robots (AMRs), and robotic arms, are being employed in e-commerce warehouses to automate various tasks.
These robots can efficiently navigate warehouse environments, retrieve items, sort and pack orders, and optimize inventory management. By streamlining these processes, robotics enable faster and more accurate order fulfillment, reducing turnaround times and enhancing the overall efficiency of e-commerce operations.
Robotics also play a significant role in last-mile delivery, which is a critical aspect of the e-commerce and distribution ecosystem. Companies are exploring the use of autonomous drones and delivery robots to transport packages from local distribution centers or warehouses directly to customers’ doorsteps – further increasing an expectation of increased speed in deliveries.
These robots can navigate urban environments, avoid obstacles, and deliver packages swiftly and efficiently. By leveraging robotics for last-mile delivery, businesses can enhance delivery speed, reduce transportation costs, and provide more flexible delivery options.
3. Increased Need for AI, Machine Learning, and Big Data
Robotics generate a wealth of data during various processes, such as order fulfillment, inventory management, and delivery. Operational data can be analyzed to gain valuable insights.
What’s more, these vast amounts of data require AI, machine learning, and big data analytics for intelligent automation, predictive analytics, fraud detection, enhanced customer service, and supply chain optimization.
Machine learning algorithms, for example, can be used to forecast demand, optimize inventory replenishment, and dynamically adjust routes for efficient last-mile delivery.
By leveraging robotics and other data-driven insights, businesses can make data-driven decisions, improve customer experiences, increase efficiency, improve supply chain management, optimize product offerings, and enhance overall business performance to gain a competitive edge in the market.
Next Steps
Our robotics and automation experts can help you streamline your operations to maximize productivity and ridiculously increase your ROI. Take the first step towards future-proofing your e-commerce or distribution operations – contact an IndPro specialist today. We’re here to help!