The smart warehouse system is a completely different upgraded version of the manual warehouse systems because of many benefits it brings, from increasing efficiency and productivity to improving health and safety in the workplace. However, not all businesses fully understand the values that a smart warehouse brings and have incorrect views. That is the reason why businesses are still delaying investing in this technology. Let’s find out 7 common misconceptions about a smart warehouse.
Misconception 1: The cost of smart warehouse investment is too expensive
Most companies can easily appreciate automated warehouse systems that offer the benefits of quick and consistent logistics handling with little to no human involvement. However, like any other major investment, there are many factors to consider before making an investment decision – and the cost of smart warehouse investment is one of them.
For a smart warehouse, a lot of factors contribute to the cost of ASRS, such as unit size, environment (climate controlled or clean room), stored products and machine controls, etc. From there, based on the budget and resources, businesses can completely choose an ASRS system with fully integrated inventory management software suitable for their business.
Another key point to remember is that while these smart warehouse technologies may seem high, help to streamline processes by reducing costs in the long-run, tend to cost justify in 18 months and a great deal of the ROI comes from the improvements that are made in terms of productivity, accuracy and saving space.
As an example, let’s suppose a manufacturing plant invests in a Kardex Remstar vertical lift smart warehouse solution (VLM) to store parts required on the production line. The Kardex Remstar VLM immediately frees up 85% of the floor space that was once occupied by racks and shelving to hold the parts by storing them in a densely packed column that almost reaches the ceiling of the building. That recovered floor space can be repurposed for additional smart manufacturing capacity that can rapidly justify the cost of the initial investment.
Misconception 2: Smart warehouse system breakdowns carry risks of longer downtimes
Besides cost, downtime may invariably occur down the line and is a major concern for anyone considering switching from a manual warehouse system to an automated warehouse system. Unplanned downtime can lead to seriously reduced levels of productivity and throughput.
If a facility loses power, any equipment that doesn’t run on an alternative power source such as lights, conveyor and automation classification, light-directed picking and more, etc. will all go dark; and operators wouldn’t be able to see to pick from racks. However, all of this is a matter of the bare minimum, the ASRS technologies can be backed up with external power generators to guarantee operation in the event of a power failure.
In addition to minimizing unplanned downtime, smart warehouse solution providers offer preventive maintenance training and service, as well as 24/7 technical support to ensure the equipment operates efficiently to increase overall productivity.
Misconception 3: The smart warehouse solution won’t integrate with existing softwares and equipments
Integration can seem like a major obstacle when it comes to upgrading to a smart warehouse system. Computer-controlled and programmable, a smart warehouse operation is directed by software that interfaces seamlessly with any facility host system, warehouse management system (WMS), warehouse control system (WCS), warehouse execution system (WES), or enterprise resource planning (ERP) system. A smart warehouse solution provider is highly experienced in ensuring their technology communicates with existing operational systems in order to facilitate high levels of productivity. A smart warehouse system also integrates with conveyors to automate item movement through a facility. Further, should business needs change, a smart warehouse solution can be easily reconfigured or scaled up to expand the system.
Misconception 4: Difficulty in training employees on smart warehouse technology
Employee training on ASRS technology is frequently included when businesses invest in a smart warehouse system, therefore, setting up and operating the system of the enterprise should not be a concern.
Smart warehouse solutions are designed with the operator in mind, making them more intuitive and easy to navigate so that minimal training is required to get up and running. If your business has an influx of newer employees, the ASRS technology provider has an employee training program available.
Misconception 5: Smart warehouse solutions are suitable only for large, multinational businesses
Some small businesses worry that smart warehouse solutions will complicate their otherwise clear-cut logistics processes. However, automation isn’t reserved for big corporations — smart warehouse solutions can benefit businesses of any scale. Small business owners can devote time to tasks and goals that really matter, for example, automating repetitive processes.
Exp: Med24 is a healthcare business based in London, combining virtual services with a state-of-the-art clinic, specializing in health, beauty and medicine with a staff size of less than 100 people has chosen to install the Kardex Remstar vertical carousel automated warehouse system to ensure the ability to fast, cost-effective operation and maximum customer satisfaction. With the Kardex Remstar vertical carousel smart warehouse, Med24 has reduced the pick-up time by 60%, reduced pick area by 80% and reduced personnel from 7 – 9 to 3 – 4.
Today, the automated storage and retrieval system (ASRS) is the key to empowering small businesses where logistics is concerned, as automated warehouse solutions enable small businesses to not only process tasks quicker but to also expedite orders more efficiently, improving customer service across the board.
Misconception 6: Smart warehouse solutions are bulky
Space is always considered a finite resource that needs to be designed mindfully, and smart warehousing systems can be installed so that limited spaces are most efficiently utilized. And installing a smart warehouse system is an optimal automation solution to solve the problems of space constraints that are used most effectively.
For example, for the Kardex Remstar vertical lift smart warehouse offers high-density storage in a compact footprint by taking advantage of the full height of the workshop ceiling resulting in 40% to 85% space saving floor; eliminating wasted space requirements between racks compared to conventional warehouses.
Misconception 7: Smart warehouse solutions only benefit warehouses with sizeable items or large volumes of goods
Smart warehouse solutions are designed to efficiently handle all kinds of products, regardless of size or volume.
For example, businesses that need to store and transport small products like microchips can tap on smart warehouse solutions like Kardex Remstar vertical buffer automated warehouse (LR35), Kardex Remstar vertical lift automated warehouses with small and medium loads (Kardex Remstar Shuttle 250/500 and Kardex Remstar Shuttle 500), etc. – Always ensure to provide fast, safe and efficient storage and retrieval of items no matter how small and light they are.
Smart warehouse management solutions like the warehouse management system (WMS) are designed to constantly optimize warehouse operations by adapting quickly to different situations. As such, businesses with smaller volumes are also able to reap the benefits of smart warehouse solutions.
Autotech Machinery Vietnam specializes in distributing and supplying the world's leading Kardex Remstar smart warehouse system
Autotech Machinery is not only a leading mechanical engineering company in Vietnam specializing in designing and industrial machine manufacturing, improving and upgrading automation lines, providing and consulting automation solutions for many fields such as electronics – semiconductors, engineering, automobile and motorcycle manufacturing, F&B, etc. but also the official distributor of the world’s leading Kardex Remstar smart warehouse system.
With long experience in the field of automation combined with a professional working culture, Autotech confidently brings Kardex Remstar smart warehouse solutions to meet all needs as well as conquer the complexity of the enterprise’s supply chain.
Moreover, the cooperation between Autotech experts and Kardex Remstar experts will help businesses operate their warehouses more easily and efficiently, break down misconceptions about a smart warehouse and be ready to compete in the market as well as firmly conquer the path of building a smart factory in the future.
Read more about Kardex Remstar products distributed by Autotech in Vietnam: https://www.auto-tech.vn/home-new/en/autotech-distributor-kardex-remstar/
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