Read on to know more about how AI is revamping the warehouse management domain and how it can be beneficial for your business as well.
There is a lot of hype built around artificial intelligence and how organizations operate. We are in the year 2020 where the current pandemic has taken a toll on the day to day operations in all industries and the supply chain has not to be spared. Our businesses create enormous amounts of data and if these organizations were powered by AI especially during such times it would have proven to be a completely different experience.
Now more than ever organizations are putting efforts to understand how they can accommodate AI in their warehouse operations to gain a competitive edge. Ecommerce giants especially are finding opportunities and areas where they can incorporate artificial intelligence and machine learning in their warehouse operations. AI is making the process at warehouse smarter some of which is by providing customized data insights, instant customer service through chatbots, customized search results, etc.
Businesses that are powered by AI are able to connect their warehouses through the cloud and gives the ability for tracking and mapping the quickest way to deliver their products it’s also allowing companies to improve their platforms and revamp their existing packing process to make it more efficient. Studies with Statista.com suggest that the global artificial intelligence market would be growing from $10 billion to $126 billion in the next 5 years.
Artificial intelligence….
When a machine can function independently without human intervention, learn from its past experience, and take actions based on the historical behavior it’s known as artificial intelligence. Just like a person, these machines can change their course of action for different situations and adapt themselves.
When you program your computer to perform actions for you, you need to break down those actions into smaller challenges that the computer can tackle. In the case of AI, you don’t tell the computer what it should be doing because it learns how to tackle challenges based on its experience. For instance, now there are grocery stores where the sorting and picking of products are completely automated and handled by robots.
AI and ML
Every industry wants to integrate AI and ML in their businesses but it is crucial to know the difference between the two. Artificial intelligence is a system in a machine that is capable of thinking, understanding, and tackling challenges. AI has the ability to make decisions and respond like a human would in a given situation.
Machine learning on the other hand is a subset of AI. It enables machines to gather knowledge by themselves instead of being programmed. To do tasks in the best possible way the machine analyses the data and creates algorithms.
Is your business ready for AI?
Artificial intelligence plays a crucial role in transforming operations in warehouses. Artificial intelligence helps organizations by making processes smoother and increasing the profitability of businesses.
Below are some reasons why your business needs AI:
Data quality
AI algorithms provide detailed analytics that allows businesses to understand their data better. It helps companies identify patterns and manage their activities better.
Simplified inventory management
Artificial intelligence allows companies to predict market behavior to understand the demand and supply of products and manage their inventory better. It safeguards the company from the volatility of markets so that businesses never hoard excess inventory or run out of inventory.
Productivity improvement
Bots in the warehouse for transactional activities are significantly more effective than manual labor. The robots are able to effectively manage picking and packing of orders and also at a much better speed than manual labor.
Improved communication
Effective running on warehouses need quality data and circulation of data amongst various human touchpoints leads to larger confusion and errors. AI empowers employees to gauge what is going on at any given time and reduces the errors from processes so that companies can be much more profitable.
Reduced costs
AI automates a large number of tasks and thus allows the company’s save a significant amount of money spent on labor and additional overheads.
How is AI revamping warehouse?
Smart warehouses are impacting the way the supply chain operates globally. Studies show that 30% of warehouse jobs would be automated by 2030. Smarter technology can predict patterns and streamline information to aid businesses to manage their inventory in a better manner. These technologies eliminate the need to physically update the database and it also reduces errors significantly.
Artificial intelligence is changing the ways goods move by improving the existing handling process and conveyors. There are many touchpoints to collect data like the warehouse facility, the ramps, the doors, elevators and they help leverage the massive data collected.
Below are some ways AI is revamping the warehouse management system:
Automated vehicles:
AI has helped the monitoring of delivery through the usage of automated vehicles that are enabled with 3PL software and warehouse management software.
Robots:
The picking, stacking, and storing of products can be done by automated robots that systematically place items as per the algorithms set. The algorithms can be created based on the frequency of product purchase and the ease of access to the product.
Prediction:
Artificial intelligence allows businesses to assess the labor requirement at a given point and also assess the best transportation routes and options.
Validation:
AI allows organizations to validate the orders for goods so that the goods can be dispatched and tracked and also generate customer feedback.
Contingency planning:
Warehouses regularly face challenges that couldn’t have been predicted in advance and that is where AI plays a crucial role. AI helps companies be prepared for contingencies by forecasting patterns and allows businesses to manage their operations and inventory during such times.
Revamp your warehouse using AI
AI is transforming warehouses and operations across industries. Smart technology is allowing businesses to create better, flexible, and faster systems to improve their existing state.
IT Action Group can help you on your journey of transformation. To know more Get in touch with IT Action Group today.
