Redefining the warehouses of imminent future

Online shopping continues to gain momentum as we enter a new decade and it is rapidly shifting customers’ expectations. The current social-distancing environment has accelerated this change, since it has led people to become more and more comfortable in purchasing online. As we keep at staying away from crowded malls and rely on e-commerce, the warehousing sector is witnessing an all-time high and will need to adapt operations in response to this evolving purchasing behavior of the customers.

E-commerce has changed the face of retail forever. It has now become a major influencer in shaping how buyers think and what they expect. The arrival of digital transformation requires the retailers, manufacturers, wholesalers and 3PLs to rapidly overhaul their operations. There are certain trends that sculpt the warehouses of the near future:

WMS (Warehouse Management Systems): An efficient warehouse runs on technology and to achieve this, the tried and tested technologies – such as a WMS and partial automation using conveyors or automated sortation systems reap long-term benefits. Hence, investing in automation is more common and pertinent.

Time of delivery: Amazon’s same day delivery process revolutionized the online purchasing market. Now, not only the price but the time of delivery of the product is also a differentiator.

Reverse Logistics: The easy return process extended by the ecommerce companies has become a standard practice leading to more impulse purchases. This has been further fueled by in-platform selling tools like the ‘Shop’ option on Instagram. More impulse purchases means more returns.

Batch picking: Batch picking allows picking multiple items from multiple orders at the same time. This has been observed to optimize efficiency and allow pickers more defined routes throughout the warehouse. It also eliminates the need to go back and forth through the aisles to pick items later.

For 2021 and beyond, multiple methods of strengthening warehouse operations will be necessary. For companies to attract and retain their customers, they need to revamp the process and facilities alike to provide an extraordinary online shopping experience.