Digitization of warehousing and logistics has become an absolute necessity for business enterprises to keep up with the increasing consumer demand and budget optimization.
Warehousing today needs to be efficient and quick, with zero scope for error to meet the rapidly increasing demand for speedy deliveries by the consumers.
Smart Warehousing is no longer a luxury, but a necessity for any business to thrive.
A Smart Warehouse is an enterprise that automates workflow using IoT (Sensors), Machine Learning and Data Analytics. Human involvement is required only for monitoring and supporting automation — reducing the risk of errors.
Real-time location of assets, Voice Activated receiving, picking and packaging, Smart Lighting, Maintenance of warehouse equipment, Inventory Monitoring and Maintenance
Advantages of Warehouse Automation:
Increased efficiency and productivity, Transparency in handling of inventory, Maximizing space, Increased level of security
Machine Learning and Data Analytics
Predictive analytics software use digital data acquired from across the supply chain network and analyze it to predict customer behavior, product demand, risks and future opportunities. Sensors or smart chips installed throughout a warehouse can yield data about each product’s availability and signal when there is a need to restock. Predictive Analysis can help in the following ways:
- Demand Prediction: Fluctuation in consumer demands is one of the major challenges in maintaining a warehouse. Based on the consumer behavior and past demand patterns, a prediction can be made on future demands.
- Inventory Optimization: Good inventory management revolves around a single contradiction: keeping enough stock in the warehouse to ensure the business keeps moving but not enough stock to drain its limited cash reserves. Future demand for stock can be predicted and thereby avoiding over stocking or out-of-stock situations.
- Plan for smarter inventory locations: Stocking the inventory as well as delivering products will be more time consuming if the inventory is located at a far-away location. Accurate location of the inventory will speed up picking and loading operations.
- Transport Optimization: The goal here is delivering the goods on time and at minimum cost. Analyzing the traffic, rush hours and selecting the shortest route for delivering products helps to predict delivery time.
- Inventory Optimization: Good inventory management revolves around a single contradiction: keeping enough stock in the warehouse to ensure the business keeps moving but not enough stock to drain its limited cash reserves. Future demand for stock can be predicted and thereby avoiding over stocking or out-of-stock situations.
Thus, through digitization of their warehouses — businesses can not only drive efficiencies and greater transparency across their supply chain but also ensure that costs are optimized at each step.
Adoption of technologies like Machine Learning and the Internet of Things is no longer an option but has become a necessity for businesses to maintain their competitive edge.
We at NeenOpal have built products and solutions leveraging the power of Machine Learning algorithms and IoT to assist businesses in their digital transformation journey giving them complete operational visibility and intelligence across their warehouses and fulfillment centers.
