As companies seek new use cases for robots in their supply chains, many will find themselves needing to integrate different robots from different vendors that perform different tasks.
The past few years have witnessed an explosion in interest in and use of robots within the supply chain. According to Gartner’s most recent “Supply Chain Technology User Wants and Needs Study”—a cross-industry, cross-company size, and cross-geography survey—a staggering 96% of respondents said they were investing, or were planning to invest, in robotics over the next two years.
Of those respondents, 7% had already fully deployed a robotics solution, and 29% were currently deploying one. Furthermore 93% of these current robot users said that they planned to expand the fleet size of their existing robot platforms, and 94% said they were pursuing additional use cases for robotics in their operations.
As a result of this interest, we believe there will be exponential growth in what we call the “intralogistics smart robots” (ISR) marketplace over the next decade. In fact, Gartner predicts that by 2028, 50% of large enterprises will have adopted some form of ISRs in their warehouse or manufacturing operations.
Currently, Gartner tracks 34 different categories of intralogistics smart robots. Among the most relevant categories to logistics leaders are six that we see companies deploying and having the most success with today. The categories include:
Basic transport—This category involves autonomous mobile robots (AMRs) designed to move goods around warehouses and plants. These trainable and intelligent robots excel at moving goods long distances and can operate through multiple shifts. By using them, companies reduce the amount of time human workers waste traveling across the warehouse.
Collaborative picking (robot to person)—For this application, a human worker and robot move through the warehouse together. The human worker picks products into bins or totes transported by the robot. This category will enhance human labor by improving picker efficiency, cycle time, and throughput. This “cobot” augmentation of human effort can leverage existing infrastructure and will be utilized in high volume/velocity picking environments such as e-commerce.
Goods to person (G2P)—For this variation, the robots deliver multiple goods on mobile storage units (MSUs) to a stationary area, where a human picks goods for multiple orders onto another MSU. When all the orders are complete, robots deliver the MSUs to packing stations. G2P robots can eliminate wasted travel time for human workers, reducing drudgery and fatigue.
Sortation robots—This category will be seen both in e-commerce and parcel-sorting environments and will improve order-fulfillment accuracy and agility while streamlining picking and packing operations. These robots can replace powered conveyors and are not bolted to the floor, meaning they are adaptable and reconfigurable on demand, with lower fixed infrastructure requirements.
Robotic picking—These robotic solutions are designed to handle the most mundane pick-and-place tasks. These solutions combine robotic arms, different forms of end effectors or grippers, and 3D vision systems, all enabled by advanced machine learning and artificial intelligence (AI). Robotic picking works particularly well in environments where the items are a consistent size and shape.
Cube robotic G2P systems—In this category, G2P robots autonomously move goods in totes or cases that are stored in a pre-built cube/grid structure. The robots also deliver these totes or cases at the appropriate time to humans at pick stations. These solutions work well for high-density and high-speed environments. For example, these applications work well in facilities with large quantities of small items that are ordered frequently. This category is scalable and adaptable and is typically delivered as a larger integrated system.
Each of these categories represents different use cases and operating models, some are designed to be stationary, others mobile; some are designed to operate alone and autonomously; while others are designed to complement human labor.
As companies seek new use cases, many will start to have different robots from different vendors performing different tasks. We believe that within the next five years more than 40% of large enterprises will have a heterogeneous fleet of ISRs in their warehouse operations. The good news is that many companies will begin to leverage ISRs in their operations. The bad news is that this creates challenges for companies. Namely, how do they integrate with and orchestrate the work of a heterogeneous fleet of robots? And how do they coordinate between different fleets?
Standardized software needed
To integrate and orchestrate the work of a fleet of heterogenous robots, companies will need standardized software that can easily unite a variety of agents and robot platforms. Gartner refers to this emerging software as “multiagent orchestration platforms.” These solutions act like intelligent middleware that integrate and orchestrate work among various business applications, heterogenous fleets of operational robots, and other automated agents like doors or elevators. These solutions will assign work to the right robots based on the characteristics of the immediate tasks and will orchestrate communication between different robot platforms and other types of automation agents. (See Figure 1.)
This type of software becomes increasingly necessary as the robotic environment becomes more complex. When companies invest in their first ISR platform, they will typically just create a one-off connection between their business applications—such as a warehouse management system (WMS)—and their robot provider’s fleet management system. This, while not optimal, works for one robot. However, as a company’s fleet of robots grows, simple point-to-point API (application programing interface) integration will not be enough. Companies will need an orchestration capability that can assign work to the right robots based on near-real-time information. These work assignments will need to take into consideration the characteristics of the activity and the capabilities of various automation agents. A multiagent orchestration platform will reduce the time, effort, and cost to onboard new robots. It will also reduce support cost, ultimately making organizations more efficient because work will be assigned to the robot best suited for the task. As a result of this need, we believe that by 2026, more than 50% of companies deploying intralogistics robots will adopt a multiagent orchestration platform.
Of course, most companies will not recognize the need for these types of solutions until they move beyond one or two robot platforms. Then, they may attempt to find a solution through their current WMS provider or their robot provider’s fleet management systems. These systems may or may not address the need for orchestration and integration across and between a variety of robot platforms. While some providers do offer these types of orchestration platforms, many ISR providers’ fleet management solutions are largely focused in and around their own robot offerings and are not true multiagent orchestration platforms. To be sure, many ISR providers are focusing more on software, as they are concerned that they will be commoditized by less expensive robot hardware. But we do not expect a universal fleet management platform that works across robot platforms any time soon, if ever. Consequently, for the foreseeable future, companies with heterogeneous fleets of robots will need a multiagent orchestration platform.
To identify the right platform capable of orchestrating and integrating their heterogenous robot fleet, companies should start by analyzing the integration requirements as their robot fleet expands beyond a single vendor. Along with that, they should study how work will be assigned to the various robots and other automation agents and determine what orchestration logic will be needed to support this simultaneously. Once they understand their orchestration and integration requirements, they should then look for the multiagent orchestration platform that best addresses their needs.
The New York-based industrial artificial intelligence (AI) provider Augury has raised $75 million for its process optimization tools for manufacturers, in a deal that values the company at more than $1 billion, the firm said today.
According to Augury, its goal is deliver a new generation of AI solutions that provide the accuracy and reliability manufacturers need to make AI a trusted partner in every phase of the manufacturing process.
The “series F” venture capital round was led by Lightrock, with participation from several of Augury’s existing investors; Insight Partners, Eclipse, and Qumra Capital as well as Schneider Electric Ventures and Qualcomm Ventures. In addition to securing the new funding, Augury also said it has added Elan Greenberg as Chief Operating Officer.
“Augury is at the forefront of digitalizing equipment maintenance with AI-driven solutions that enhance cost efficiency, sustainability performance, and energy savings,” Ashish (Ash) Puri, Partner at Lightrock, said in a release. “Their predictive maintenance technology, boasting 99.9% failure detection accuracy and a 5-20x ROI when deployed at scale, significantly reduces downtime and energy consumption for its blue-chip clients globally, offering a compelling value proposition.”
The money supports the firm’s approach of "Hybrid Autonomous Mobile Robotics (Hybrid AMRs)," which integrate the intelligence of "Autonomous Mobile Robots (AMRs)" with the precision and structure of "Automated Guided Vehicles (AGVs)."
According to Anscer, it supports the acceleration to Industry 4.0 by ensuring that its autonomous solutions seamlessly integrate with customers’ existing infrastructures to help transform material handling and warehouse automation.
Leading the new U.S. office will be Mark Messina, who was named this week as Anscer’s Managing Director & CEO, Americas. He has been tasked with leading the firm’s expansion by bringing its automation solutions to industries such as manufacturing, logistics, retail, food & beverage, and third-party logistics (3PL).
Supply chains continue to deal with a growing volume of returns following the holiday peak season, and 2024 was no exception. Recent survey data from product information management technology company Akeneo showed that 65% of shoppers made holiday returns this year, with most reporting that their experience played a large role in their reason for doing so.
The survey—which included information from more than 1,000 U.S. consumers gathered in January—provides insight into the main reasons consumers return products, generational differences in return and online shopping behaviors, and the steadily growing influence that sustainability has on consumers.
Among the results, 62% of consumers said that having more accurate product information upfront would reduce their likelihood of making a return, and 59% said they had made a return specifically because the online product description was misleading or inaccurate.
And when it comes to making those returns, 65% of respondents said they would prefer to return in-store, if possible, followed by 22% who said they prefer to ship products back.
“This indicates that consumers are gravitating toward the most sustainable option by reducing additional shipping,” the survey authors said in a statement announcing the findings, adding that 68% of respondents said they are aware of the environmental impact of returns, and 39% said the environmental impact factors into their decision to make a return or exchange.
The authors also said that investing in the product experience and providing reliable product data can help brands reduce returns, increase loyalty, and provide the best customer experience possible alongside profitability.
When asked what products they return the most, 60% of respondents said clothing items. Sizing issues were the number one reason for those returns (58%) followed by conflicting or lack of customer reviews (35%). In addition, 34% cited misleading product images and 29% pointed to inaccurate product information online as reasons for returning items.
More than 60% of respondents said that having more reliable information would reduce the likelihood of making a return.
“Whether customers are shopping directly from a brand website or on the hundreds of e-commerce marketplaces available today [such as Amazon, Walmart, etc.] the product experience must remain consistent, complete and accurate to instill brand trust and loyalty,” the authors said.
When you get the chance to automate your distribution center, take it.
That's exactly what leaders at interior design house
Thibaut Design did when they relocated operations from two New Jersey distribution centers (DCs) into a single facility in Charlotte, North Carolina, in 2019. Moving to an "empty shell of a building," as Thibaut's Michael Fechter describes it, was the perfect time to switch from a manual picking system to an automated one—in this case, one that would be driven by voice-directed technology.
"We were 100% paper-based picking in New Jersey," Fechter, the company's vice president of distribution and technology, explained in a
case study published by Voxware last year. "We knew there was a need for automation, and when we moved to Charlotte, we wanted to implement that technology."
Fechter cites Voxware's promise of simple and easy integration, configuration, use, and training as some of the key reasons Thibaut's leaders chose the system. Since implementing the voice technology, the company has streamlined its fulfillment process and can onboard and cross-train warehouse employees in a fraction of the time it used to take back in New Jersey.
And the results speak for themselves.
"We've seen incredible gains [from a] productivity standpoint," Fechter reports. "A 50% increase from pre-implementation to today."
THE NEED FOR SPEED
Thibaut was founded in 1886 and is the oldest operating wallpaper company in the United States, according to Fechter. The company works with a global network of designers, shipping samples of wallpaper and fabrics around the world.
For the design house's warehouse associates, picking, packing, and shipping thousands of samples every day was a cumbersome, labor-intensive process—and one that was prone to inaccuracy. With its paper-based picking system, mispicks were common—Fechter cites a 2% to 5% mispick rate—which necessitated stationing an extra associate at each pack station to check that orders were accurate before they left the facility.
All that has changed since implementing Voxware's Voice Management Suite (VMS) at the Charlotte DC. The system automates the workflow and guides associates through the picking process via a headset, using voice commands. The hands-free, eyes-free solution allows workers to focus on locating and selecting the right item, with no paper-based lists to check or written instructions to follow.
Thibaut also uses the tech provider's analytics tool, VoxPilot, to monitor work progress, check orders, and keep track of incoming work—managers can see what orders are open, what's in process, and what's completed for the day, for example. And it uses VoxTempo, the system's natural language voice recognition (NLVR) solution, to streamline training. The intuitive app whittles training time down to minutes and gets associates up and working fast—and Thibaut hitting minimum productivity targets within hours, according to Fechter.
EXPECTED RESULTS REALIZED
Key benefits of the project include a reduction in mispicks—which have dropped to zero—and the elimination of those extra quality-control measures Thibaut needed in the New Jersey DCs.
"We've gotten to the point where we don't even measure mispicks today—because there are none," Fechter said in the case study. "Having an extra person at a pack station to [check] every order before we pack [it]—that's been eliminated. Not only is the pick right the first time, but [the order] also gets packed and shipped faster than ever before."
The system has increased inventory accuracy as well. According to Fechter, it's now "well over 99.9%."
IT projects can be daunting, especially when the project involves upgrading a warehouse management system (WMS) to support an expansive network of warehousing and logistics facilities. Global third-party logistics service provider (3PL) CJ Logistics experienced this first-hand recently, embarking on a WMS selection process that would both upgrade performance and enhance security for its U.S. business network.
The company was operating on three different platforms across more than 35 warehouse facilities and wanted to pare that down to help standardize operations, optimize costs, and make it easier to scale the business, according to CIO Sean Moore.
Moore and his team started the WMS selection process in late 2023, working with supply chain consulting firm Alpine Supply Chain Solutions to identify challenges, needs, and goals, and then to select and implement the new WMS. Roughly a year later, the 3PL was up and running on a system from Körber Supply Chain—and planning for growth.
SECURING A NEW SOLUTION
Leaders from both companies explain that a robust WMS is crucial for a 3PL's success, as it acts as a centralized platform that allows seamless coordination of activities such as inventory management, order fulfillment, and transportation planning. The right solution allows the company to optimize warehouse operations by automating tasks, managing inventory levels, and ensuring efficient space utilization while helping to boost order processing volumes, reduce errors, and cut operational costs.
CJ Logistics had another key criterion: ensuring data security for its wide and varied array of clients, many of whom rely on the 3PL to fill e-commerce orders for consumers. Those clients wanted assurance that consumers' personally identifying information—including names, addresses, and phone numbers—was protected against cybersecurity breeches when flowing through the 3PL's system. For CJ Logistics, that meant finding a WMS provider whose software was certified to the appropriate security standards.
"That's becoming [an assurance] that our customers want to see," Moore explains, adding that many customers wanted to know that CJ Logistics' systems were SOC 2 compliant, meaning they had met a standard developed by the American Institute of CPAs for protecting sensitive customer data from unauthorized access, security incidents, and other vulnerabilities. "Everybody wants that level of security. So you want to make sure the system is secure … and not susceptible to ransomware.
"It was a critical requirement for us."
That security requirement was a key consideration during all phases of the WMS selection process, according to Michael Wohlwend, managing principal at Alpine Supply Chain Solutions.
"It was in the RFP [request for proposal], then in demo, [and] then once we got to the vendor of choice, we had a deep-dive discovery call to understand what [security] they have in place and their plan moving forward," he explains.
Ultimately, CJ Logistics implemented Körber's Warehouse Advantage, a cloud-based system designed for multiclient operations that supports all of the 3PL's needs, including its security requirements.
GOING LIVE
When it came time to implement the software, Moore and his team chose to start with a brand-new cold chain facility that the 3PL was building in Gainesville, Georgia. The 270,000-square-foot facility opened this past November and immediately went live running on the Körber WMS.
Moore and Wohlwend explain that both the nature of the cold chain business and the greenfield construction made the facility the perfect place to launch the new software: CJ Logistics would be adding customers at a staggered rate, expanding its cold storage presence in the Southeast and capitalizing on the location's proximity to major highways and railways. The facility is also adjacent to the future Northeast Georgia Inland Port, which will provide a direct link to the Port of Savannah.
"We signed a 15-year lease for the building," Moore says. "When you sign a long-term lease … you want your future-state software in place. That was one of the key [reasons] we started there.
"Also, this facility was going to bring on one customer after another at a metered rate. So [there was] some risk reduction as well."
Wohlwend adds: "The facility plus risk reduction plus the new business [element]—all made it a good starting point."
The early benefits of the WMS include ease of use and easy onboarding of clients, according to Moore, who says the plan is to convert additional CJ Logistics facilities to the new system in 2025.
"The software is very easy to use … our employees are saying they really like the user interface and that you can find information very easily," Moore says, touting the partnership with Alpine and Körber as key to making the project a success. "We are on deck to add at least four facilities at a minimum [this year]."