Victoria Kickham started her career as a newspaper reporter in the Boston area before moving into B2B journalism. She has covered manufacturing, distribution and supply chain issues for a variety of publications in the industrial and electronics sectors, and now writes about everything from forklift batteries to omnichannel business trends for DC Velocity.
Technology continues to transform the supply chain, especially on the warehouse floor, where innovations in material handling equipment are making it easier for workers to accomplish the daily tasks of moving inventory into, out of, and around facilities. Computer-enabled vision systems—which allow equipment and devices to essentially see, observe, and even understand their surroundings—are a key part of the trend. They are a central component in the robotic equipment that is quickly becoming a staple in warehouses across the country, and they can be applied in other ways to improve warehouse processes as well.
Computer-enabled vision systems are also becoming one of the industry’s hottest growth sectors. The market for computer vision systems is expected to increase nearly 20% between 2023 and 2030, according to recent data from market research firm Grand View Research, for example. And the development of vision systems powered by artificial intelligence (AI) is among the top eight strategic supply chain technology trends for 2024, according to Gartner research released earlier this year. These are advanced systems that combine 3D cameras, computer vision software, and AI pattern recognition technologies to autonomously capture, interpret, and make inferences based on the unstructured images the vision systems see in real time.
Those advances are translating into real-world results. In one recent example, industry technology provider Vimaan has developed an automated cycle-counting solution that combines computer vision and machine learning (ML) algorithms to speed and streamline inventory management in the warehouse. The system is helping warehouse managers get a better handle on the important but difficult task of regular cycle counting, with the end goal of driving higher inventory accuracy overall. Here’s how.
CYCLE COUNTING MADE EASIER
Vimaan is using its expertise in computer vision and AI to help third-party logistics service providers (3PLs), retailers, and others get a more accurate view of what’s in their warehouse. Once focused on using drone technology for cycle counting—which is the process of regularly auditing inventory to ensure recordkeeping accuracy—the company has morphed its drone solution into a new offering that company leaders say provides a better way to manage and track inventory.
“Our approach and experience with cycle counting has allowed us to gain significant insight into the shortcomings of using drones in the warehouse,” explains KG Ganapathi, Vimaan’s founder and CEO. He cites limited battery life and the inherent risk in having objects flying around warehouse workers as some of the main drawbacks.
The company’s StorTrack solution replaces the drone with a standalone hardware module (it looks like a pallet) that attaches to a piece of material handling equipment already in use at the warehouse—like a forklift, an automated guided vehicle (AGV), or even the cranes used in automated storage and retrieval systems (AS/RS)—and then captures images of the goods within the racks of a particular aisle or storage location, even densely packed ones. The images are then automatically uploaded to the facility’s warehouse management system (WMS), where they can be accessed for real-time analysis or stored in photo archives for future use.
The technology inside the StorTrack module was developed for Vimaan’s drone-based solution and works in much the same way, albeit with some improvements, according to company leaders. It combines computer vision and ML algorithms to capture and analyze data from the labels on pallets, cases, and boxes of goods. The system can read barcode data as well as label text, inspect for damage, and even identify open bays, allowing companies to maximize available storage space. The system stitches together multiple images for a complete view of the racks, pallets, and packages in the facility—creating a kind of “Google street view” of the entire warehouse, according to Ganapathi. This allows warehouse workers to easily zoom, pan, and scroll through images to spot and resolve inventory and storage utilization issues, which can improve inventory accuracy and give managers more control over stored goods.
“Warehouse managers have expressed that they would benefit from more contextual imagery that displays other goods found on a shared or nearby rack, or even on shared pallets,” Ganapathi says. “So [we] developed a solution to make that possible.”
Ganapathi says the system is easy to use as well. Warehouse associates simply pick up the hardware module with a forklift or similar piece of handling equipment, set out on their predefined path (as determined by the system’s user interface), and then follow instructions to complete the cycle count. As the module is carried down an aisle, lights illuminate the stored inventory, and the computer vision-powered camera suite captures the barcode data, reads label text, inspects for damage or problems, and even identifies inventory that might be in the wrong location.
FROM ONE WEEK TO ONE HOUR
As for potential applications, Craig Dowley, Vimaan’s vice president of marketing, says the system is ideal for any customer that requires thorough and fast cycle counting and that it is especially well suited for warehouses that store dry grocery items, high-volume industrial parts, home furnishings, medical devices, electronics, and other consumer goods.
Georgia-based luxury rug manufacturer Jaipur Living is one such customer: The company significantly improved cycle counting efficiency after implementing the StorTrack system, company leaders said in a case study on the project.
“We experienced a 40x improvement in time to scan our inventory,” said Ryan Schmid, Jaipur Living’s distribution center operation manager. “What used to take us a week to scan, now takes an hour. This has [led to] a dramatic improvement in the way we now operate in the warehouse. Before … we would have to break the aisle into sections and shut the area down for several hours. Now we get done with an entire aisle and open it up after one hour, allowing our team to have greater access to our inventory.”
Accuracy has improved as well.
“I can say without a doubt that StorTrack has almost doubled our inventory accuracy,” said Schmid, who reported that bin accuracy improved to 95% from an average of 50% within six weeks of implementing the system. “And it continues to improve each week. Additionally, our overall accuracy has improved from the low- to mid-70s to consistently reporting in the mid- to high-90s.Anybody responsible for inventory management understands the impact this will have on day-to-day operations.”
Such applications are likely to become more commonplace in the warehouse, and elsewhere, as the technology continues to advance. The Grand View research, for one, points to a widening scope for vision systems across a broad range of industries.
Fruit company McDougall & Sons is running a tighter ship these days, thanks to an automated material handling solution from systems integrator RH Brown, now a Bastian Solutions company.
McDougall is a fourth-generation, family-run business based in Wenatchee, Washington, that grows, processes, and distributes cherries, apples, and pears. Company leaders were facing a host of challenges during cherry season, so they turned to the integrator for a solution. As for what problems they were looking to solve with the project, the McDougall leaders had several specific goals in mind: They wanted to increase cherry processing rates, better manage capacity during peak times, balance production between two cherry lines, and improve the accuracy and speed of data collection and reporting on the processed cherries.
RH Brown/Bastian responded with a combination of hardware and software that is delivering on all fronts: The new system handles cartons twice as fast as McDougall’s previous system, with less need for manual labor and with greater accuracy. On top of that, the system’s warehouse control software (WCS) provides precise, efficient management of production lines as well as real-time insights, data analytics, and product traceability.
MAKING THE SWITCH
Cherry producers are faced with a short time window for processing the fruit: Once cherries are ripe, they have to be harvested and processed quickly. McDougall & Sons responds to this tight schedule by running two 10-hour shifts, seven days a week, for about 60 days nonstop during the season. Adding complexity, the fruit industry is shifting away from bulk cartons to smaller consumer packaging, such as small bags and clamshell containers. This has placed a heavier burden on the manual labor required for processing.
Committed to making its machinery and technology run efficiently, McDougall’s leaders decided they needed to replace the company’s simple motorized chain system with an automated material handling system that would speed and streamline its cherry processing operations. With that in mind, RH Brown/Bastian developed a solution that incorporates three key capabilities:
Advanced automation that streamlines carton movement, reducing manual labor. The system includes a combination of conveyors, switches, controls, in-line scales, and barcode imagers.
A WCS that allows the company to manage production lines precisely and efficiently, with real-time insights into processing operations.
Data and analytics capabilities that provide insight into the production process and allow quick decision-making.
BEARING FRUIT
The results of the project speak for themselves: The new system is moving cartons at twice the speed of the previous system, with 99.9% accuracy, according to both RH Brown/Bastian and McDougall & Sons.
But the transformational benefits didn’t end there. The companies also cite a 130% increase in throughput, along with the ability to process an average of 100 cases per minute on each production line.
Artificial intelligence (AI) and the economy were hot topics on the opening day of SMC3 Jump Start 25, a less-than-truckload (LTL)-focused supply chain event taking place in Atlanta this week. The three-day event kicked off Monday morning to record attendance, with more than 700 people registered, according to conference planners.
The event opened with a keynote presentation from AI futurist Zack Kass, former head of go to market for OpenAI. He talked about the evolution of AI as well as real-world applications of the technology, furthering his mission to demystify AI and make it accessible and understandable to people everywhere. Kass is a speaker and consultant who works with businesses and governments around the world.
The opening day also featured a slate of economic presentations, including a global economic outlook from Dr. Jeff Rosensweig, director of the John Robson Program for Business, Public Policy, and Government at Emory University, and a “State of LTL” report from economist Keith Prather, managing director of Armada Corporate Intelligence. Both speakers pointed to a strong economy as 2025 gets underway, emphasizing overall economic optimism and strong momentum in LTL markets.
Other highlights included interviews with industry leaders Chris Jamroz and Rick DiMaio. Jamroz is executive chairman of the board and CEO of Roadrunner Transportation Systems, and DiMaio is executive vice president of supply chain for Ace Hardware.
Jump Start 25 runs through Wednesday, January 29, at the Renaissance Atlanta Waverly Hotel & Convention Center.
The new cranes are part of the latest upgrades to the Port of Savannah’s Ocean Terminal, which is currently in a renovation phase, although freight operations have continued throughout the work. Another one of those upgrades is a $29 million exit ramp running from the terminal directly to local highways, allowing trucks direct highway transit to Atlanta without any traffic lights until entering Atlanta. The ramp project is 60% complete and is designed with the local community in mind to keep container trucks off local neighborhood roads.
"The completion of this project in 2028 will enable Ocean Terminal to accommodate the largest vessels serving the U.S. East Coast," Ed McCarthy, Chief Operating Officer of Georgia Ports, said in a release. "Our goal is to ensure customers have the future berth capacity for their larger vessels’ first port of calls with the fastest U.S. inland connectivity to compete in world markets."
"We want our ocean carrier customers to see us as the port they can bring their ships and make up valuable time in their sailing schedule using our big ship berths. Our crane productivity and 24-hour rail transit to inland markets is industry-leading," Susan Gardner, Vice President of Operations at Georgia Ports, said.
It appears to have found that buyer in Aptean, a deep-pocketed firm that is backed by the private equity firms TA Associates, Insight Partners, Charlesbank Capital Partners, and Clearlake Capital Group.
Through the purchase, Aptean will gain Logility’s customer catalog of over 500 clients in 80 countries, spanning the consumer durable goods, apparel/accessories, food and beverage, industrial manufacturing, fast moving consumer goods, wholesale distribution, and chemicals verticals.
Aptean will also now own the firm’s technology, which Logility says includes demand planning, inventory and supply optimization, manufacturing operations, network design, and vendor and sourcing management.
“Logility possesses years of experience helping global organizations design, build, and manage their supply chains” Aptean CEO TVN Reddy said in a release. “The Logility platform delivers a mission-critical suite of AI-powered supply chain planning solutions designed to address even the most complex requirements. We look forward to welcoming Logility’s loyal customers and experienced team to Aptean.”
Netstock included the upgrades in AI Pack, a series of capabilities within the firm’s Predictor Inventory Advisor platform, saying they will unlock supply chain agility and enable SMBs to optimize inventory management with advanced intelligence.
The new tools come as SMBs are navigating an ever-increasing storm of supply chain challenges, even as many of those small companies are still relying on manual processes that limit their visibility and adaptability, the company said.
Despite those challenges, AI adoption among SMBs remains slow. Netstock’s recent Benchmark Report revealed that concerns about data integrity and inconsistent answers are key barriers to AI adoption in logistics, with only 23% of the SMBs surveyed having invested in AI.
Netstock says its new AI Pack is designed to help SMBs overcome these hurdles.
“Many SMBs are still relying on outdated tools like spreadsheets and phone calls to manage their inventory. Dashboards have helped by visualizing the right data, but for lean teams, the sheer volume of information can quickly lead to overload. Even with all the data in front of them, it’s tough to know what to do next,” Barry Kukkuk, CTO at Netstock, said in a release.
“Our latest AI capabilities change that by removing the guesswork and delivering clear, actionable recommendations. This makes decision-making easier, allowing businesses to focus on building stronger supplier relationships and driving strategic growth, rather than getting bogged down in the details of inventory management,” Kukkuk said.