Today's e-commerce retailers face a perfect storm of market challenges. While order fulfillment complexities are on the rise, the pool of qualified labor continues to shrink. According to a recent report by the National Retail Federation, the growth of e-commerce order volumes is expected to triple those of wider industry growth rates. This emerging e-commerce reality is forcing DC operators to look for new ways to deal with rising SKU counts of varying velocities and the subsequent inventory, storage and picking difficulties.
In our next On The Move webinar, we will discuss how many retailers are deploying automated storage and retrieval system (AS/RS) shuttles to address the mounting pressures of e-commerce order fulfillment. This informative webinar will take place on Thursday, Nov. 16 at 2 p.m. EST / 11 a.m. PST.
In addition to looking deeper into the forces behind this trend, we'll also explain how the rules of thumb for deploying shuttle automation is evolving - from its historic use of addressing inventory storage challenges to a more pragmatic solution to offset labor shortages.
To better understand how e-commerce growth is driving the need for greater efficiencies, we will compare traditional operator-to-goods (OTG) workflows to goods-to-operator (GTO) automation. While OTG represents a lower capital investment, it is often characterized by labor-intensive, inefficient and inaccurate processes. In fact, workers can spend up to half their time walking between pick locations rather than actually picking. For SKUs that are ordered less frequently in an e-commerce scenario, OTG might require an associate to walk five minutes to a remote area of the DC to retrieve them.
In contrast, a GTO shuttle system would greatly reduce labor requirements and potentially eliminate much of this walk time. And although a shuttle system calls for a higher capital investment, it delivers significant gains in pick rates, order volumes and accuracies.
Attendees of this webinar will learn:
- Impacts of labor challenges on e-commerce order fulfillment processes
- Overview and benefits of the GTO shuttle fulfillment model
- How AS/RS improves fulfillment efficiency, accuracy and throughput
- The various factors driving the AS/RS ROI equation
So, if you would like to learn how AS/RS shuttle automation can help address your labor shortages and improve order fulfillment productivity, please register for our next On The Move webinar and join us Thursday, Nov. 16 at 2 p.m. EST / 11 a.m. PST.