We won't have androids picking eaches any time soon, but robots used in distribution centers are becoming more sophisticated and moving deeper into operations.
Peter Bradley is an award-winning career journalist with more than three decades of experience in both newspapers and national business magazines. His credentials include seven years as the transportation and supply chain editor at Purchasing Magazine and six years as the chief editor of Logistics Management.
The word "robot" derives from a Czech term dating back to 1920 that means something on the order of "forced labor." Our more contemporary sense of a machine capable of some intelligence and of manipulating materials comes to us more from the realm of science fiction—the thinking robots of Isaac Asimov, George Lucas, and others.
The robots that are increasingly found in modern distribution centers combine, in some sense, both of these concepts. They are capable of nearly endlessly repeating the same action, work that is pure drudgery for a human. And, largely as a result of improvements in their underlying sensors, software, and vision systems, they are becoming more sophisticated, easier to program, and capable of a wider variety of tasks.
And it's that capability for intelligent drudgery that may be at the core of why robots have a substantial future in the DC.
Earl Wohlrab, product manager for robotics systems and palletizing for Intelligrated, a maker of automated material handling systems, lays out why robots will be a good fit. "We've got a labor problem around several different issues: finding qualified people and finding people that desire to do that kind of work," he says. "Gone are the days that someone is going to retire out of a DC. Nobody wants to spend day after day in the back of a truck in an Atlanta summer. It's going to be more than a desire to use robots; we're going to be required to go to robots."
Brené Tymensky, vice president of engineering for Fortna, a supply chain and material handling consultancy, believes the future of robots in DCs is "unlimited." He foresees a day when robots in the DC interact more frequently with other machines than with humans. "We're getting closer and closer to the lights-out realm we've envisioned for many years," he says. "I don't think we'll ever get to that completely, but robots are interfacing more with the machine and less with the person."
ROBOTS "SEE" BETTER, FASTER
As for what's led to the increased presence of robots in DCs, the experts interviewed for this article agreed that it was more about technological breakthroughs and enhancements than changes in the robotic hardware itself. The robot manufacturers have already solved most of the problems around the physical handling of products, explains Dean Starovasnik, practice leader for distribution engineering design at Atlanta-based systems integrator and consultancy Peach State Integrated Technologies.
Tymensky of Fortna agrees. "The real advances have been in the software and vision systems and learning techniques," he says. Those vision system improvements—the cameras and related technology that enable robots to "see" what they are handling—allow robots to manipulate a greater variety of products than in the past, a key capability in a DC environment. Also important, he says, is the ability to retrain robots quickly as patterns in the DC change, which happens much more often than in manufacturing.
Wohlrab of Intelligrated adds that today's robots not only see better, they see faster—an attribute with major implications for DCs. "Today's systems not only offer robot vision with fine detail, they offer much higher speeds than in the past," he says. "That's what we needed to be able to survive the robust nature of the DCs. When a shipping wave comes at you, it's partially controlled pandemonium. That's a difficult environment for a robot."
But it's not just about enhancements in vision. Advances in controls have played a role as well, says Starovasnik. Today's sophisticated controls—essentially the technology that directs the robot's motions—enable the devices to handle the greater complexity demanded in distribution applications compared with manufacturing, he explains.
Larry Boroff, director of automation systems engineering for systems integrator and supply chain consultancy Forte, notes that he has seen gains from manufacturers in both mechanical systems and underlying technology. "The gripper mechanisms are getting better, and vision systems are starting to get better," he says.
BUILDING COMPLEX PALLETS
One result of these enhancements is to boost robots' capabilities in an area where they have already made great inroads in DCs—palletizing and depalletizing. It's a timely advance, as rainbow pallets (those with a variety of different items) are becoming more common, especially in retailing. Earlier generations of palletizers worked well with cartons of a uniform size. The new generation can accommodate cartons of a variety of sizes and weights.
"We're trying to right-size all the cartons, so the number of box sizes is going up," says Tymensky. "We want to optimize the palletizing, and in the past, we had to do that manually." The newest generation of palletizing robots are able to manage that variety.
Not only can today's robots handle cartons of different sizes, but they can also load them on pallets in a specific order. Starovasnik says that robotic systems from companies like Witron and Schaefer are able to build pallets to a planogram (a diagram of a store's interior indicating where products are located). That is, they add cases to pallets in the reverse order they are needed in the store aisle. That way, he explains, a worker in the store can unload from the top down while moving down the aisle, eliminating backroom sortation and thus, labor.
In addition, Starovasnik says, the pallets are built so as to reduce damage and make the best use of cube in transportation, further reducing those costs. To do that, he says, the robotic system not only has to "understand" how to build a square pallet with various-sized cartons, but it must do so in a way that accounts for carton weight (with heavy cases on the bottom) and such factors as isolating food from hazardous materials. In addition, as it builds the pallet, the robot must sense any earlier cartons that might be in its path—it must work in three dimensions. These are expensive systems, he says, but they provide considerable savings downstream.
The key to making all this work is data, says Mike Khodl, vice president of solutions development for systems supplier and integrator Dematic. "It is absolutely critical that the data repository—whether an enterprise resource planning (ERP) system or a warehouse management or warehouse control system—has knowledge of every case, including its physical footprint, weight, and crushability," he says. "Those attributes—and several others—have to be put into a cubing algorithm driven by software on how to put the pallet together." He compares the process to doing a Tetris puzzle at high speed.
WHAT'S AHEAD?
The recent advances in palletizing are just the forefront of what robots will be able to do in DCs in the years to come. Case and piece picking, taking over tasks in hazardous environments, and even packaging applications are all possibilities.
"One day, we could see a robot mosey on down into the pick aisle," Wohlrab muses. "That could be years from now, but we're not all that far away from some things." He says, for instance, that Intelligrated is looking at robots that could unload floor-loaded trucks. That technology could be as close as 12 to 24 months away, he says.
Nonetheless, Wohlrab acknowledges that the technology still has a ways to go. "We are trying to shoehorn in software from the manufacturing side," he says. He adds that costs need to fall further and that tools for programming robots need to improve before robots make greater inroads into DCs. But he expects that to happen.
Tymensky speculates that as software matures and competition among robot manufacturers increases, costs may drop in ways that make robots feasible for lower-volume operations.
James Bowes, Peach State's president and CEO, is of the same mind. "As the technology moves from the early adopter phase and the control systems become more dependable and the cost of labor continues to grow, the [technology] becomes much more affordable and attractive," he says.
As for what's ahead, Khodl says, "If I were to paint a picture of the future, we would see item-level picking with robotics come to some form of reality. I could see robotics replacing labor in goods-to-person picking operations."
To get there will require further breakthroughs in vision systems, Bowes says, and will likely apply first to operations with a high volume of similar goods. But he expects the problem will be solved.
The potential for robots in DCs is limited only by the imagination of developers and end users. "I can envision robots involved in every step from picking through cutting a custom-sized carton, packaging, and labeling," Tymensky says. "If we get to the far end of the spectrum, we might even see them doing gift wrapping. It's a repetitive process. The potential is kind of unlimited."
Container traffic is finally back to typical levels at the port of Montreal, two months after dockworkers returned to work following a strike, port officials said Thursday.
Today that arbitration continues as the two sides work to forge a new contract. And port leaders with the Maritime Employers Association (MEA) are reminding workers represented by the Canadian Union of Public Employees (CUPE) that the CIRB decision “rules out any pressure tactics affecting operations until the next collective agreement expires.”
The Port of Montreal alone said it had to manage a backlog of about 13,350 twenty-foot equivalent units (TEUs) on the ground, as well as 28,000 feet of freight cars headed for export.
Port leaders this week said they had now completed that task. “Two months after operations fully resumed at the Port of Montreal, as directed by the Canada Industrial Relations Board, the Montreal Port Authority (MPA) is pleased to announce that all port activities are now completely back to normal. Both the impact of the labour dispute and the subsequent resumption of activities required concerted efforts on the part of all port partners to get things back to normal as quickly as possible, even over the holiday season,” the port said in a release.
The “2024 Year in Review” report lists the various transportation delays, freight volume restrictions, and infrastructure repair costs of a long string of events. Those disruptions include labor strikes at Canadian ports and postal sites, the U.S. East and Gulf coast port strike; hurricanes Helene, Francine, and Milton; the Francis Scott key Bridge collapse in Baltimore Harbor; the CrowdStrike cyber attack; and Red Sea missile attacks on passing cargo ships.
“While 2024 was characterized by frequent and overlapping disruptions that exposed many supply chain vulnerabilities, it was also a year of resilience,” the Project44 report said. “From labor strikes and natural disasters to geopolitical tensions, each event served as a critical learning opportunity, underscoring the necessity for robust contingency planning, effective labor relations, and durable infrastructure. As supply chains continue to evolve, the lessons learned this past year highlight the increased importance of proactive measures and collaborative efforts. These strategies are essential to fostering stability and adaptability in a world where unpredictability is becoming the norm.”
In addition to tallying the supply chain impact of those events, the report also made four broad predictions for trends in 2025 that may affect logistics operations. In Project44’s analysis, they include:
More technology and automation will be introduced into supply chains, particularly ports. This will help make operations more efficient but also increase the risk of cybersecurity attacks and service interruptions due to glitches and bugs. This could also add tensions among the labor pool and unions, who do not want jobs to be replaced with automation.
The new administration in the United States introduces a lot of uncertainty, with talks of major tariffs for numerous countries as well as talks of US freight getting preferential treatment through the Panama Canal. If these things do come to fruition, expect to see shifts in global trade patterns and sourcing.
Natural disasters will continue to become more frequent and more severe, as exhibited by the wildfires in Los Angeles and the winter storms throughout the southern states in the U.S. As a result, expect companies to invest more heavily in sustainability to mitigate climate change.
The peace treaty announced on Wednesday between Isael and Hamas in the Middle East could support increased freight volumes returning to the Suez Canal as political crisis in the area are resolved.
The French transportation visibility provider Shippeo today said it has raised $30 million in financial backing, saying the money will support its accelerated expansion across North America and APAC, while driving enhancements to its “Real-Time Transportation Visibility Platform” product.
The funding round was led by Woven Capital, Toyota’s growth fund, with participation from existing investors: Battery Ventures, Partech, NGP Capital, Bpifrance Digital Venture, LFX Venture Partners, Shift4Good and Yamaha Motor Ventures. With this round, Shippeo’s total funding exceeds $140 million.
Shippeo says it offers real-time shipment tracking across all transport modes, helping companies create sustainable, resilient supply chains. Its platform enables users to reduce logistics-related carbon emissions by making informed trade-offs between modes and carriers based on carbon footprint data.
"Global supply chains are facing unprecedented complexity, and real-time transport visibility is essential for building resilience” Prashant Bothra, Principal at Woven Capital, who is joining the Shippeo board, said in a release. “Shippeo’s platform empowers businesses to proactively address disruptions by transforming fragmented operations into streamlined, data-driven processes across all transport modes, offering precise tracking and predictive ETAs at scale—capabilities that would be resource-intensive to develop in-house. We are excited to support Shippeo’s journey to accelerate digitization while enhancing cost efficiency, planning accuracy, and customer experience across the supply chain.”
Donald Trump has been clear that he plans to hit the ground running after his inauguration on January 20, launching ambitious plans that could have significant repercussions for global supply chains.
As Mark Baxa, CSCMP president and CEO, says in the executive forward to the white paper, the incoming Trump Administration and a majority Republican congress are “poised to reshape trade policies, regulatory frameworks, and the very fabric of how we approach global commerce.”
The paper is written by import/export expert Thomas Cook, managing director for Blue Tiger International, a U.S.-based supply chain management consulting company that focuses on international trade. Cook is the former CEO of American River International in New York and Apex Global Logistics Supply Chain Operation in Los Angeles and has written 19 books on global trade.
In the paper, Cook, of course, takes a close look at tariff implications and new trade deals, emphasizing that Trump will seek revisions that will favor U.S. businesses and encourage manufacturing to return to the U.S. The paper, however, also looks beyond global trade to addresses topics such as Trump’s tougher stance on immigration and the possibility of mass deportations, greater support of Israel in the Middle East, proposals for increased energy production and mining, and intent to end the war in the Ukraine.
In general, Cook believes that many of the administration’s new policies will be beneficial to the overall economy. He does warn, however, that some policies will be disruptive and add risk and cost to global supply chains.
In light of those risks and possible disruptions, Cook’s paper offers 14 recommendations. Some of which include:
Create a team responsible for studying the changes Trump will introduce when he takes office;
Attend trade shows and make connections with vendors, suppliers, and service providers who can help you navigate those changes;
Consider becoming C-TPAT (Customs-Trade Partnership Against Terrorism) certified to help mitigate potential import/export issues;
Adopt a risk management mindset and shift from focusing on lowest cost to best value for your spend;
Increase collaboration with internal and external partners;
Expect warehousing costs to rise in the short term as companies look to bring in foreign-made goods ahead of tariffs;
Expect greater scrutiny from U.S. Customs and Border Patrol of origin statements for imports in recognition of attempts by some Chinese manufacturers to evade U.S. import policies;
Reduce dependency on China for sourcing; and
Consider manufacturing and/or sourcing in the United States.
Cook advises readers to expect a loosening up of regulations and a reduction in government under Trump. He warns that while some world leaders will look to work with Trump, others will take more of a defiant stance. As a result, companies should expect to see retaliatory tariffs and duties on exports.
Cook concludes by offering advice to the incoming administration, including being sensitive to the effect retaliatory tariffs can have on American exports, working on federal debt reduction, and considering promoting free trade zones. He also proposes an ambitious water works program through the Army Corps of Engineers.
ReposiTrak, a global food traceability network operator, will partner with Upshop, a provider of store operations technology for food retailers, to create an end-to-end grocery traceability solution that reaches from the supply chain to the retail store, the firms said today.
The partnership creates a data connection between suppliers and the retail store. It works by integrating Salt Lake City-based ReposiTrak’s network of thousands of suppliers and their traceability shipment data with Austin, Texas-based Upshop’s network of more than 450 retailers and their retail stores.
That accomplishment is important because it will allow food sector trading partners to meet the U.S. FDA’s Food Safety Modernization Act Section 204d (FSMA 204) requirements that they must create and store complete traceability records for certain foods.
And according to ReposiTrak and Upshop, the traceability solution may also unlock potential business benefits. It could do that by creating margin and growth opportunities in stores by connecting supply chain data with store data, thus allowing users to optimize inventory, labor, and customer experience management automation.
"Traceability requires data from the supply chain and – importantly – confirmation at the retail store that the proper and accurate lot code data from each shipment has been captured when the product is received. The missing piece for us has been the supply chain data. ReposiTrak is the leader in capturing and managing supply chain data, starting at the suppliers. Together, we can deliver a single, comprehensive traceability solution," Mark Hawthorne, chief innovation and strategy officer at Upshop, said in a release.
"Once the data is flowing the benefits are compounding. Traceability data can be used to improve food safety, reduce invoice discrepancies, and identify ways to reduce waste and improve efficiencies throughout the store,” Hawthorne said.
Under FSMA 204, retailers are required by law to track Key Data Elements (KDEs) to the store-level for every shipment containing high-risk food items from the Food Traceability List (FTL). ReposiTrak and Upshop say that major industry retailers have made public commitments to traceability, announcing programs that require more traceability data for all food product on a faster timeline. The efforts of those retailers have activated the industry, motivating others to institute traceability programs now, ahead of the FDA’s enforcement deadline of January 20, 2026.