While the need for human capital may always be needed, perhaps greater logistical efficiency can be accomplished through better robotic automation.  How so?

Warehouse fulfillment typically entails people crossing depot floors to grab and pack products to ship as orders come in- this is known as a ‘picker-to-parts’ model.  In a bid to improve worker safety and increase efficiency, a ‘parts-to-picker’ model- one which sees robots bring goods from shelves to human packers- has been researched with some promising results.

The ‘parts-to-picker’ model research focused on matters such as elasticity in demand.  The model proved successful even when orders accelerated ten-times normal rates, which happened during the thick of the pandemic.  And while order flow increased significantly during the pandemic, the ‘parts-to-picker’ model by design proved to keep human packers more socially distanced.  This allowed for more continuity of business operations.  Another major issue facing this type of fulfillment model is ensuring that the hundreds of robots swarming around the warehouse floor don’t collide with one another.  The researchers needed to figure out a way to avoid a robotic demolition derby!

Did the ‘parts-to-picker’ research prove successful?  Read the report from Chicago Booth and let me know what you think!

~ Brian Kasal- The Leadership Matrix

Click here- Smarter algorithms stop factory robots from colliding

Are you ready to start a conversation or get a second opinion on the financial or philanthropic goals for you, your family, or your business?  Click here to connect with the team at FourStar!

If you enjoyed this post, please consider sharing it on your favorite platform below.