According to the Coldwell Banker Richard Ellis (CBRE) report, e-commerce in India accounts for 30% of total warehouse leasing in 2019, and the numbers are expected to grow in the coming years.
In comparison to traditional shopping, e-commerce works 24 * 7. Warehouses in these industries work around the clock to meet demand. If an e-commerce company makes any promise to customers as same day delivery then warehouse and logistics services as the backbone to deliver on their promises.
Why a smart warehouse critical for e-commerce business?
E-commerce companies have come through a long way from the simple idea of bringing offline stores online and have moved on to another level of offering same day delivery, personal recommendations, season sales, or product return without incurring any cost. It is quite apparent that the smart and efficient warehousing network will be a critical component for fulfilling orders in one day or reducing the cost involved in managing return goods from customers
Automation has become a vital and reliable aspect of all thriving e-commerce industries. Amazon started to incorporate robotics with the purchase of Kiva Systems in 2012. That was also the time Amazon spent a lot on automation. Before the warehouses were automated, employees traveled 10-12 miles a day to pick up orders. After the automation began, the robots carried out a lot of heavy lifting, which reduced transport and operational time, leading to the development of 18,000 warehouses today. The effect of the amazon is the product of this automation.
Know more about amazon effect(link)
The success of e-commerce companies is directly related to automation in warehouses, for example, Flipkart has launched 100 self-guided bots in one of its warehouses that process up to 4,500 products an hour, compared to the earlier 500 products an hour that have helped them achieve higher productivity.
Levels of Warehouse Automation
- Level 1 automation includes software part where you have a Warehouse Management System which monitors and directs operations in the warehouse.
- Level 2 automation involves hardware solution consisting of conveyor network, light guiding picking systems, smart racking solution
- Level 3 automation is where you convert your warehouse into an intelligent system with advance self learning software which automatically controls hardware in your system
We can infer that e-commerce is going to be a boom in the Indian market, and companies can only move forward if they adopt technology at the right time or else will be at risk of falling behind.
If your e-commerce company is looking for warehouse automation, we at Flexli are proud to have a professional and experienced team to optimize and modernize your warehouse. Flexli Technologies has seen the journeys of a wide range of warehouse companies and recognizes which automation solution is ideally suited for business operations. With our WMS and product solutions, we ensure that our automation operations are of the highest quality with the highest performance and profitability of your warehouse.