Ecommerce and Omnichannel Success Drives Warehouse Automation Growth

Ecommerce and omnichannel success is driving the rapid growth in the worldwide market for warehouse automation and warehouse control systems. The revenue growth of both e-commerce and omnichannel markets are not obvious due to the fact that many vendors are privately held companies that do not report their revenues. However, as these growing markets are analyzed and the extensive data is compiled, it becomes more and more evident that such growth is rapid and widespread across vendors, regions, and technologies.


Warehouse Automation is propelled by Ecommerce

Due to ecommerce and omnichannel success, retailers, their wholesalers and 3PL fulfillment partners are investing in systems that can efficiently and effectively handle a very high volume of small, multi-line-items. These systems include warehouse control systems (WCS), goods-to-person systems such as shuttles,  pick-to-light systems and put-to-light orders. Evolving fulfillment demands are driving warehouse investments through the supply chain to parcel carriers and manufacturers. Parcel carriers are receiving increased volumes and throughput demands, and manufacturers are thereby being pressured by retailer partners that are running leaner inventory operations.

Warehouse Control Systems (WCS) Delivers Value

Warehouse control systems (WCS) provide real-time control of resources, equipment, and material flows across the facility. WCS contains the critical intelligence that coordinates automated and manual processes across a facility that ultimately delivers the desired performance improvements. These systems have evolved to include optimization functionality that prioritizes orders and processes to deliver further performance improvements.

Emerging Markets Increase Warehouse Investments

In conclusion, as a result of ecommerce and omnichannel successful growth, markets are finally seeing the true need in automating their warehouse to increase throughput reliability, and order accuracy.

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Ed Romaine
Ed Romaine
Romaine has spent over 30 years involved with organizations looking to optimize their distribution, manufacturing, and warehousing operations. Focusing on customer’s processes, systems and business model, Romaine has helped dozens of organizations improve profitability by reducing labor, floor space, errors and inventory while improving accuracy, inventory turns and cut-off times.Within the industry trade association, MHI, Romaine has taken numerous leadership positions over his 18 year membership including: Chairman of the Automated Storage & Retrieval (AS/RS) Group, Chairman of the Order Fulfillment Council of America, Chairman of the Warehouse Execution Systems Group and was one of the originators of the Carousel and VLM Product Section Group.Romaine is a frequent editorial and information contributor to hundreds of publications, blogs and online publications and has been a speaker at dozens of Supply Chain, Logistics, Lean and Facility organizations and functions.

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