Warehouses are getting smarter. They have incorporated advanced technologies and digital tools into their operations—including tools that collect and exchange data with interrelated devices as part of the internet of things (IoT). Here’s a look at some building blocks of the IoT.
Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.
The common barcode label has long been the foundation of the IoT network, serving as an inexpensive repository of product information like price, weight, and date of manufacture. Now that system is about to get a major upgrade as the industry transitions from the familiar zebra-striped, one-dimensional (1D) barcodes to two-dimensional (2D) versions like quick-response (QR) codes. Compared to 1D barcodes, 2D versions can encode far more data, providing managers with a more detailed view of their operations.
RFID tags
Megaretailers like Walmart are increasingly requiring suppliers to affix item-level radio-frequency identification (RFID) tags to products shipped to their DCs, which allows those items to be tracked as they’re received, distributed, and ultimately sold in stores. Retailers can use the data they collect to improve inventory accuracy, the shopper experience, and their own omnichannel capabilities.
Handheld and wearable computers
Scanning guns used to be heavy and awkward, but the modern versions are lighter and more powerful. They can be worn on a finger like a ring, strapped to the user’s forearm, or attached to the back of a hand with a glove. Today’s wearables boast longer read ranges than their predecessors and can read a dozen barcodes at once. Some models even support texting, talking, and voice picking.
Conveyors
The workhorse of the modern warehouse is the basic conveyor, which sorts and ferries thousands of packages to the right destination each day. In many operations, those conveyors are outfitted with sensors that measure their speed, vibration, or temperature—data that can be used to proactively identify maintenance needs before a breakdown occurs or save energy by shutting down the belts when not in use.
Scan tunnels
Scan tunnels are essentially frames built around conveyors or doorways that are outfitted with an array of readers that scan every item passing through—typically at superfast speeds. The data collected can be sent instantly to the cloud (see entry at right) for processing.
Autonomous mobile robots (AMRs)
The AMRs that cruise down warehouse aisles these days are increasingly equipped with sensors that weigh, count, and identify everything they carry. On top of that, those AMRs may be outfitted with sensors, cameras, and LiDAR (light detection and ranging) technology to detect obstacles and enable them to navigate safely through the facility.
Drones
The lifeblood of a warehouse is the constant flow of up-to-the-minute inventory data, but manually updating inventory records is a slow, laborious, and error-prone task. To reduce their reliance on manual labor, many DCs are using self-guided aerial drones to automate the cycle-counting process. Once they’ve completed their rounds, the drones transmit the data they’ve collected to the site’s warehouse management software to update its records.
Real-time location systems (RTLS)
The GPS signals used for fleet and asset tracking in the outside world are often blocked in indoor spaces like warehouses. So many warehouses rely on RTLS networks to track the items inside. These systems use short-range tags, beacons, and receivers to monitor and locate everything from bins and pallets to vehicles, forklifts, and even employees.
5G wireless network antennas
Today’s fifth-generation (5G) wireless networks offer far more bandwidth, handle greater numbers of wireless devices, and use less energy than previous technology—a perfect recipe for supporting the IoT. Whether they run through a commercial data plan or a private network, 5G systems rely on antennas placed throughout the building.
The cloud
Back in the day, the software used to manage warehouse operations—typically warehouse management systems or enterprise resource planning (ERP) systems—ran on computer servers located on the premises. But today, you’re more likely to find that software running off site, in a virtual “cloud” of connected computers. Although the actual servers are no longer in the same town, or even the same state, as the DC, as long as the facility is connected to the internet, there should be no effect on its daily operations.
A monthly measure of trucking business conditions rose steadily in November to reach its strongest level since April of 2022, Bloomington, Indiana-based FTR said today.
FTR’s measure of carrier market conditions was based on its Trucking Conditions Index (TCI) for November, which rose to a 3.02 reading from 0.49 in October. The improved TCI stems from lower fuel costs and less challenging rates, partially offset by weaker utilization. FTR still expects the truck freight market to be consistently favorable for carriers by the second quarter of 2025, but the outlook is somewhat softer than it was previously due to weaker growth forecasts for freight demand, utilization, and rates.
“A few outliers aside, our forecast indicates positive TCI readings over the next couple of years, but it does not show the index more favorable for carriers than it was in November until the third quarter of this year,” Avery Vise, FTR’s vice president of trucking, said in a release.
“The first half of 2025 still looks to be one of transition from the tough market of the past couple of years to one in which carriers have greater ability to achieve a desirable margin. We will be watching Trump administration policy initiatives closely for any developments that might shift the trajectory of the truck freight market,” Vise said.
The TCI tracks the changes representing five major conditions in the U.S. truck market: freight volumes, freight rates, fleet capacity, fuel prices, and financing costs. Combined into a single index number, a positive score represents good, optimistic conditions while a negative score represents bad, pessimistic conditions.
Autonomous forklift maker Cyngn is deploying its DriveMod Tugger model at COATS Company, the largest full-line wheel service equipment manufacturer in North America, the companies said today.
By delivering the self-driving tuggers to COATS’ 150,000+ square foot manufacturing facility in La Vergne, Tennessee, Cyngn said it would enable COATS to enhance efficiency by automating the delivery of wheel service components from its production lines.
“Cyngn’s self-driving tugger was the perfect solution to support our strategy of advancing automation and incorporating scalable technology seamlessly into our operations,” Steve Bergmeyer, Continuous Improvement and Quality Manager at COATS, said in a release. “With its high load capacity, we can concentrate on increasing our ability to manage heavier components and bulk orders, driving greater efficiency, reducing costs, and accelerating delivery timelines.”
Terms of the deal were not disclosed, but it follows another deployment of DriveMod Tuggers with electric automaker Rivian earlier this year.
Manufacturing and logistics workers are raising a red flag over workplace quality issues according to industry research released this week.
A comparative study of more than 4,000 workers from the United States, the United Kingdom, and Australia found that manufacturing and logistics workers say they have seen colleagues reduce the quality of their work and not follow processes in the workplace over the past year, with rates exceeding the overall average by 11% and 8%, respectively.
The study—the Resilience Nation report—was commissioned by UK-based regulatory and compliance software company Ideagen, and it polled workers in industries such as energy, aviation, healthcare, and financial services. The results “explore the major threats and macroeconomic factors affecting people today, providing perspectives on resilience across global landscapes,” according to the authors.
According to the study, 41% of manufacturing and logistics workers said they’d witnessed their peers hiding mistakes, and 45% said they’ve observed coworkers cutting corners due to apathy—9% above the average. The results also showed that workers are seeing colleagues take safety risks: More than a third of respondents said they’ve seen people putting themselves in physical danger at work.
The authors said growing pressure inside and outside of the workplace are to blame for the lack of diligence and resiliency on the job. Internally, workers say they are under pressure to deliver more despite reduced capacity. Among the external pressures, respondents cited the rising cost of living as the biggest problem (39%), closely followed by inflation rates, supply chain challenges, and energy prices.
“People are being asked to deliver more at work when their resilience is being challenged by economic and political headwinds,” Ideagen’s CEO Ben Dorks said in a statement announcing the findings. “Ultimately, this is having a determinantal impact on business productivity, workplace health and safety, and the quality of work produced, as well as further reducing the resilience of the nation at large.”
Respondents said they believe technology will eventually alleviate some of the stress occurring in manufacturing and logistics, however.
“People are optimistic that emerging tech and AI will ultimately lighten the load, but they’re not yet feeling the benefits,” Dorks added. “It’s a gap that now, more than ever, business leaders must look to close and support their workforce to ensure their staff remain safe and compliance needs are met across the business.”
According to AAPA, the policies are necessary to revitalize America’s ports, keep America safe and secure, and unleash sustainable economic growth. The announcement comes shortly after the 119th Congress began its 2025 session on January 3, and just days before the January 20 inauguration of Donald Trump for a second term as president.
One notable item on the list is opposition to the steep new trade tariffs that Trump has proposed. The U.S. business community—including maritime port operators—has broadly opposed increased tariffs, saying they will increase the cost of goods and manufacturing, raise prices for consumers, and trigger increased inflation.
In AAPA’s words, its policy agenda includes:
reauthorizing oversubscribed mainstay infrastructure grant programs;
ensuring timely passage of navigation channel funding;
opposing tariffs that hurt consumers and stifle growth;
reforming burdensome federal permitting;
pushing back against and educating stakeholders on the harmful effects of vessel speed restrictions;
empowering ports to power America with an all of the above energy strategy;
securing our ports and their assets from potential threats with the necessary resources and personnel; and
expediting “Build America Buy America” waivers and incentivizing domestic manufacturing of ship-to-shore cranes.
In support of those ideas, AAPA staff have already begun meeting with members of congress and industry to advocate for the priorities. And AAPA’s president & CEO, Cary Davis, and John Bressler, its VP of government relations, have met with President-elect Trump’s transition team, as well as with U.S. Department of Transportation Secretary nominee Sean Duffy’s team.
“There’s no such thing as a strong America without strong ports,” Davis said in a release. “America’s ports are key to the nation’s economic health and global competitiveness. As trade and cargo volumes continue to grow, our nation’s ports must continue working with the Federal Government to invest in and build the next generation of port infrastructure so we can deliver for America.”
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.