Warehouse Automation Forecast: 60% of Warehouses to Adopt Automation in the Next Five Years

IoT innovator Zebra Technologies recently published the results of its 2024 Warehousing Vision Study, which analyzes the planned strategies of IT and operations decision makers as it relates to modernizing their warehouses, distribution centers, and fulfillment centers. It included 1,403 IT and operational decision makers in the manufacturing, transportation & logistics, retail, post and parcel delivery and wholesale distribution markets in North America, Latin America, Asia-Pacific and Europe, all of whom were interviewed by Qualtrics.

So what does it have to say? Well, for one thing, both automation and worker augmentation solutions will be a key focus for decision makers’ plans during the next five years. More specifically, the 2024 Warehousing Vision Study states that more than three-quarters (77 percent) of respondents agree that augmenting workers with technology is the best way to introduce automation in the warehouse; however, just 35 percent have a clear understanding of where to start automating.

Furthermore, 87 percent of decision makers are currently in the process of or planning to expand the size of their warehouses by 2024, with 82 percent anticipating an increase in the number of warehouses during this timeframe.

Other key findings from the Study:

• By 2024, automation will enhance worker performance rather than replace workers.
• Rethinking fulfillment strategies and operations to meet emerging challenges across the warehouse remains a top priority.
• The investment and implementation of new technologies is critical for remaining competitive in the on-demand economy.

Key regional findings from the Study:

Asia-Pacific

• By 2024, 87 percent of respondents plan to implement a mobile execution system to better manage workers on the warehouse floor.
• Seventy-three percent of decision makers plan to invest in smart watches, smart glasses and hip-mounted wearables in the next three years.

Europe

• The square footage of the average warehouse is projected to increase by 26 percent—more than in any other region—in the next five years.
• By 2024, RFID and locationing technology usage is anticipated to increase for outbound operations with more than one in five planning to use them for packing (25 percent), inventory management (20 percent) and picking (19 percent).

Latin America

• Latin American decision makers identified labor efficiency or productivity (71 percent) as the top operational challenge of the next five years.
• Ninety-five percent of organizations plan to implement Android-based mobile computers in the warehouse by 2024 to help improve worker productivity and efficiency.

North America

• Almost half (49 percent) of North American decision makers identified outbound packing, staging and loading as a challenge.
• Ninety-four percent of respondents will have implemented or plan to implement trailer load optimization and/or load compliance solutions by 2024.

To read more about Zebra Technologies’ 2024 Warehousing Vision Study, visit our sister site EBNonline