Warehouse Management Archives - Material Handling Wholesaler

China’s warehouse automation market: Risks, realities, and rewards

Wed, 24 Jun 2026 16:01:04 +0000

China is the world’s second-largest economy and remains one of the most significant long-term opportunities for warehouse automation vendors. Its scale, manufacturing base, and increasingly sophisticated logistics networks create a market that international players cannot afford to ignore. Yet China is also a market with its own distinct dynamics, where assumptions that hold in Europe or North America often don’t apply. Demand has evolved rapidly, the competitive landscape has become far more intense, and customer expectations around cost, speed, and customization are materially different from those in Western markets. For companies looking to enter or re-engage with China, understanding these dynamics is essential to assessing where the opportunities lie and how to compete effectively. There are three things to understand about the Chinese warehouse automation market. The first is demand and how this has changed over time. The second is the competitive landscape and the effect this is having on margins. The third is what Chinese end-customers are looking for from an automation vendor. The demand trajectory The warehouse automation market in China can be conceptually broken down into three phases. First, the period between ~2008 to 2016, saw demand dominated by tobacco, automotive, and pharmaceutical manufacturing. The main types of solutions were focused on high density, often pallet-based, AS/RS and the key motivation was not as much about reducing labor costs (as labor costs at the time were very low). The focus was more firmly on increasing throughput and making better use of the square footage than in Europe and the US, given that rent prices were comparably more expensive relative to the labor costs. From 2016 to 2021, the market was driven predominantly by large e-commerce players, in particular Alibaba and JD.com. The market was driven by large sortation systems and goods-to-person solutions within fulfillment and sortation centers. JD.com, for example, rolled out its ‘Asia No.1’ warehouses across China, boasting what it claimed to be ‘lights out’ operations in a number of them. JD.com and Alibaba have seen sharp growth in their fulfillment capacity over the past eight years The rapid rise of e-commerce in China led to a boom in fulfillment capacity to fulfill all these orders. There was a corresponding mania in sortation centers, as China’s five largest express delivery providers at the time (SF Express, ZTO Express, YTO Express, Yunda Express, and STO Express) massively expanded their sortation capacity. This resulted in huge demand for sortation systems, with a big increase in cross-belt sorters toward the end of this time period. In addition to a sharp increase in sortation equipment, we saw strong growth in other e-commerce related automation equipment, such as goods-to-person solutions. Covid-19 accelerated e-commerce growth, which added fuel to the flames, resulting in largest year for China’s warehouse automation to date in 2021. However, from 2021, cracks started to appear. Firstly, the post-Covid boom in e-commerce started to slow down. While the e-commerce market didn’t decline, it was growing at a much lower rate, significantly reducing the amount of additional sortation and fulfillment capacity required. At the same time, there was a significant decline in consumer confidence, which was compounded by the Evergrande crisis in September 2021. The slowdown in real estate development heavily affected revenue collection for local governments across China, resulting in generous subsidies provided by certain provinces (under the general guidelines of the Made in China 2025 initiative) being slashed, further dampening demand. Since 2021, the market has slowly contracted and is now starting to stabilize, albeit without a return to growth. Although e-commerce sales have since picked up somewhat, largely thanks to the government’s trade-in subsidies (aimed at boosting the share of GDP that’s derived from consumer demand), e-commerce retailers aren’t competing on volume anymore, their competing on speed. JD.com, Alibaba, and now Meituan and PDD, are investing heavily in new fulfillment assets. However, these are primarily very small facilities located in urban areas and are used to service rapid deliveries. For anyone who lives in China or has visited, this shift is immediately visible: it’s almost impossible to walk through a city without encountering rapid delivery drivers weaving through the streets. Urban areas have become saturated with couriers as companies race to fulfill orders, often within 30 minutes. The urban nature of rapid delivery fulfillment centers makes automation hard to deploy. Source: chinadigitalretailreport.substack.com This type of fulfillment is less suited to mechanical or robotic automation, given the lower throughput per facility and the urban nature of the buildings (see image above). Instead, the competitive edge comes from the inventory management algorithms placing stock in the right place to maximize inventory turnover while minimizing stock-outs. Compared with the fulfillment build-out between 2016 and 2021, demand for warehouse automation within e-commerce has slowed significantly, driven largely by the shift in consumer preferences. Competitive dynamics China’s warehouse automation market has become increasingly crowded. Although competition was already intensifying before 2021, rapid market growth meant there was enough demand to support a large number of vendors. However, since the market slowdown began in 2022, that dynamic has changed. A large vendor base is now competing for a smaller pool of opportunities, driving significant margin erosion across the industry. As a result, many Chinese automation providers are looking beyond their domestic market and expanding into Southeast Asia, Latin America, and the Middle East, as well as the US and Europe. This outward push is becoming increasingly visible. At MODEX 2022, fewer than 2% of exhibitors were headquartered in China, but that figure rose to 9% in 2024 and 15% in 2026. Facing intense competitive pressure at home, Chinese vendors are targeting international markets where they can achieve stronger returns while still undercutting many Western competitors on price. At the same time, we’ve seen a shift away from international vendors in favor of local players. In 2018, for example, 40% of market demand was serviced by international vendors, but we now estimate this is less than 20%. One of the main reasons is that the quality of domestic vendors has increased

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May Projects Rise 19.2% Year-Over-Year, Food and Beverage Remains Steady in 2026

Wed, 24 Jun 2026 11:00:34 +0000

Industrial SalesLeads released the May 2026 results from its monthly report tracking planned capital investment activity in the Food and Beverage industry. The report monitors new construction, facility expansion, and major equipment upgrade projects throughout North America. Research identified 51 new Food and Beverage projects in May 2026, representing an 8.5% increase from the 47 projects reported during the same period in 2025. Processing facility projects also continued to grow, rising 9.4% year-over-year from 32 projects in May 2025 to 35 projects in May 2026. The following are selected highlights on new Food and Beverage industry construction news. Food and Beverage Project Type Processing Facilities – 35 New Projects Distribution and Industrial Warehouse – 21 New Projects Food and Beverage Project Scope/Activity New Construction – 12 New Projects Expansion – 16 New Projects Renovations/Equipment Upgrades – 26 New Projects Plant Closing – 4 New Projects Food and Beverage Project Location (Top 10 States) Michigan – 8 New York – 6 California – 5 North Carolina – 3 Wisconsin – 3 Alabama – 2 Connecticut – 2 Georgia – 2 Indiana – 2 Louisiana – 2 Industrial Equipment Categories in Demand In the month of May, identified industrial manufacturing project managers are procuring the following equipment: 80% – 83% – Lighting, compressed air systems, material handling/storage, lift trucks 73% – 76% – Cranes & hoists, conveyors, networking/security equipment, HVAC 60% – 69% – loading dock equipment, mechanical construction, fire protection, control systems and instrumentation 52%- 56% – Air emissions control equipment, packaging equipment, process equipment, heat exchangers, tank/vessels, floor coating Largest Planned Project During the month of May, our research team identified 2 new Food and Beverage facility construction projects with an estimated value of $100 million or more. The largest project is owned by American Sugar Refining, Inc., who is investing $200 million and has recently started the expansion and equipment upgrades on their processing facility in ARABI, LA. Completion is slated for 2028. Top 10 Tracked Food and Beverage Projects NEW YORK: Food product MFR. is planning to invest $170 million for the expansion of their processing and warehouse facility in AVON, NY. They are currently seeking approval for the project. Construction will occur in phases, with completion of the 1st phase slated for Spring 2028. CALIFORNIA: Beverage MFR. is planning to invest $68 million for the expansion of their processing facility in SAN LEANDRO, CA. They are currently seeking approval for the project. MICHIGAN: Specialty beverage MFR. is planning to invest $56 million for the renovation and equipment upgrades on a 100,000 sf processing facility at 220 N. Alloy Dr. in FENTON, MI. They are currently seeking approval for the project. INDIANA: Beverage company is planning to invest $35 million for the expansion and equipment upgrades on their processing facility at 5000 W. 25th St. in INDIANAPOLIS, IN. They are currently seeking approval for the project. Construction is expected to start in late 2026. CALIFORNIA: Meat product MFR. is planning to invest $30 million for the expansion and equipment upgrades on their processing facilities in VERNON, CA and SAN BERNARDINO, CA. They are currently seeking approval for the project. MINNESOTA: Specialty restaurant chain is planning for the construction of a 75,000 SF processing, warehouse, and office facility in LAKEVILLE, MN. They are currently seeking approval for the project. Construction is expected to start in Summer 2026 and they will relocate their regional operations upon completion. NORTH CAROLINA: Beverage company is planning for the renovation and equipment upgrades on a recently acquired 177,000 SF warehouse at 1302 N. Salisbury Ave. in SALISBURY, NC. They are currently seeking approval for the project. ALABAMA: Food products MFR. is planning to invest $14 million for the expansion and equipment upgrades on their processing facility in BRUNDIDGE, AL. They are currently seeking approval for the project. CALIFORNIA: Food processing company is planning for the renovation and equipment upgrades on a recently leased 91,000 SF processing facility in MOUNTAIN HOUSE, CA. They will consolidate their operations upon completion. WISCONSIN: Frozen desserts and ice cream MFR. is planning for the renovation and equipment upgrades on a recently leased 43,000 SF of processing space at 5404 S. Pennsylvania Ave. in CUDAHY, WI. They are currently seeking approval for the project. About Industrial SalesLeads, Inc. Since 1959, Industrial SalesLeads, based in Jacksonville, FL is a leader in delivering industrial capital project intelligence and prospecting services for sales and marketing teams to ensure a predictable and scalable pipeline. Our Industrial Market Intelligence, IMI identifies timely insights on companies planning significant capital investments such as new construction, expansion, relocation, equipment modernization and plant closings in industrial facilities. The Outsourced Prospecting Services, an extension to your sales team, is designed to drive growth with qualified meetings and appointments for your internal sales team. Each month, our team provides hundreds of industrial reports within a variety of industries.

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Warehouse Innovation Starts with Solving Problems

Mon, 22 Jun 2026 12:43:53 +0000

Welcome to The New Warehouse Podcast. In this episode, Kevin speaks with Blair Healey, Supply Chain Implementation Manager at Sonepar US, Cam Dore, Director of Operational Innovation at US Electrical Services (USESI), and Chris Shannon, who oversees distribution center and transportation operations for USESI. Recorded at the Kardex Experience Lab in Cincinnati, the conversation explores how leading distributors are approaching warehouse innovation through automation and AI. The discussion highlights the role of technologies in service levels, increasing capacity, and helping warehouse teams become more proactive and efficient. Warehouse Innovation Begins with Better Processes For both Sonepar and USESI, innovation starts long before automation equipment is installed. As customer expectations continue to evolve, distributors are looking for solutions that can adapt alongside them. Healey noted that “our customer expectations are changing, and they’re continuing to change at a quicker pace as customers are using AI as well.” He also highlighted how AI can serve as a support system for employees, explaining that “it’s kind of a sparring partner, with the team and allows your team to do more than they were doing on their own.” That mindset extends to automation investments like AutoStore. Sonepar’s approach focuses on long-term scalability, enabling facilities to increase capacity, offer more products, and improve service levels without increasing building footprints. Automation Creates Competitive Advantages Dore explained that AutoStore allows USESI to process orders later in the day while still meeting demanding delivery requirements. He noted that many customers operate on tight timelines and may place critical orders late in the evening for next-morning delivery. By automating portions of the fulfillment process, the company can respond more effectively to those requests. Shannon emphasized that automation is not about reducing headcount. Instead, it helps organizations increase capacity and improve service levels. As he explained, “This allows us to double our capacity, et cetera, with the same staff we have.” He further reinforced the company’s philosophy toward technology adoption, stating, “So it’s not about losing jobs. It’s about how you leverage stuff.” The discussion also touched on emerging capabilities such as robotic picking and AI-enabled bin induction. These tools can help consolidate orders, reduce manual effort, and create additional operational flexibility while allowing employees to focus on higher-value work. AI Adoption Requires Leadership and Real Use Cases USESI uses AI tools such as Replit and Claude to create applications that solve everyday operational challenges. Examples include slotting improvements and customer-facing delivery visibility tools. One internally developed application allows employees and customers to track deliveries in real time, providing immediate value across the organization. According to Shannon, leaders should focus on solving meaningful business problems first. He explained, “If I don’t say anything else and anybody gets anything from me, it’s understanding a real problem.” That philosophy has helped drive broader adoption throughout the company. Today, more than 25 employees across a 2,500-person organization are actively using AI-powered tools. For Dore, leadership advocacy has been critical. AI applications are helping supervisors move from reactive management to proactive decision-making. As he explained, “being able to create tools, quickly, cheaply, that allow our supervisors to see proactively, where we’re struggling in a building, really just unlocks potential to improve before there’s a fire drill.” The result is an organization that uses innovation not as a technology initiative, but as a business strategy. Key Takeaways Sonepar and USESI view warehouse innovation as a combination of automation, AI, and process improvement. AutoStore provides scalability without requiring building expansion. Later order cut-off times help distributors improve customer service levels. USESI uses AI tools such as Replit and Claude to develop custom operational applications. One internally developed application provides real-time delivery visibility for customers and employees. Automation enables higher throughput while maintaining existing staffing levels. AI is being used to reduce administrative work and increase employee productivity. The New Warehouse Podcast Warehouse Innovation Starts with Solving Problems

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Global Industrial: Warehouse Automation Solutions for Suppliers and Operators

Thu, 18 Jun 2026 13:51:31 +0000

Welcome to this episode of The New Warehouse Podcast, where Kevin chats with Steven Leeds, Senior Category Manager at Global Industrial. Global Industrial supplies more than 1.6 million products to warehouses, distribution centers, manufacturers, and other industries across North America. As both a supplier and warehouse operator, the company brings a unique perspective to the challenges facing the industry. For Global Industrial, Automation Solutions Start with Real Problems Global Industrial’s perspective on automation is shaped by experience. The company operates five distribution centers in the United States and two in Canada, giving it firsthand knowledge of warehouse challenges. According to Leeds, many of the issues their customers face are the same ones they encounter themselves. Leeds noted that “what I hear from customers a lot is that they need to do more with less.” That dilemma is driving interest in automation, but not necessarily in large-scale facility transformations. Instead, Global Industrial is seeing a more targeted approach. As he explained, “we’re seeing more targeted integrations of automation. It’s not just, ‘Hey, automate my entire facility.’” Balancing Efficiency, Safety, and Employee Experience Leeds emphasized that warehouse leaders continue to prioritize workplace safety and ergonomics as labor markets remain competitive. He explained that “the top thing that’s spoken about in our warehouse, and I believe should be the same for all other warehouses, is really worker safety and ergonomics.” Those concerns influence how Global Industrial develops and evaluates products for warehouse environments. One example is the company’s autonomous stretch wrap machine. For instance, manual pallet wrapping can strain workers’ backs and shoulders and produce inconsistent results. Not to mention, make you dizzy. However, an automated solution can wrap a pallet in approximately 70 seconds, operate for an entire shift on a single battery charge, and process up to 250 pallets before recharging. Beyond productivity gains, Leeds sees automation as a retention tool. He observed that “Nowadays, someone can go pay an extra dollar, and steal your entire workforce.” As a result, investments that improve employee comfort and reduce repetitive tasks can help create a more attractive workplace while supporting operational goals. The Future of Automation Is Collaboration One of the most interesting themes is the growing interest in technologies that eliminate tedious work, allowing employees to focus on higher-value activities. Leeds pointed to autonomous floor scrubbers as an example. One manufacturer operating a three-million-square-foot facility implemented automation not across the entire operation, but specifically for walkway cleaning. The goal was simple: free employees to focus on more impactful work. That experience led to a key realization. As Leeds explained, “it’s not about a total solution.” Instead, “it’s about identifying key issues, key problems, and then seeing if an autonomous machine can address them.” Looking ahead, Leeds expects automation adoption to continue growing as costs decline and technology becomes more accessible. Key Takeaways Global Industrial serves warehouses, distribution centers, manufacturers, healthcare, hospitality, and education markets. The company offers approximately 1.6 million products. Global Industrial operates 5 U.S. distribution centers and 2 Canadian distribution centers. Autonomous stretch wrappers can wrap a pallet in approximately 70 seconds. Autonomous floor scrubbers can be programmed to clean specific areas and return to docking stations automatically. One customer used automation to clean walkways in a 3-million-square-foot facility. The New Warehouse Podcast Global Industrial: Warehouse Automation Solutions for Suppliers and Operators

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3PL Customer Service Sets Great Providers Apart: Loki 3PL

Mon, 15 Jun 2026 13:48:35 +0000

Welcome to this episode of The New Warehouse Podcast, where Kevin chats with Rodney Galeano, Founder and CEO of Loki 3PL. Loki 3PL helps importers distribute and fulfill products across the United States, supporting both B2B and e-commerce operations. Since launching the company just a year and a half ago, Rodney has grown the business into a new 100,000-square-foot facility in East Brunswick, New Jersey. In this conversation, he shares down-to-earth lessons from scaling a 3PL, what brands should look for in a logistics partner, and why customer service remains the most important differentiator in a crowded market. Choosing a 3PL Is About More Than Price. For many brands, as Rodney explained, “A decision of which 3PL you use is a big one.” Instead of just comparing rates, brands should evaluate leadership, operational experience, warehouse processes, reporting capabilities, and accountability measures. He encouraged brands to look beyond sales presentations and ask tough questions when choosing a 3PL. What do the warehouse operations look like? What are the company’s standard operating procedures? How are mistakes handled? He also stressed the importance of clear agreements. According to Rodney, “The brand should be able to hold the 3PL fully accountable.” That includes defining responsibilities for lost inventory, damaged products, and misshipments, as well as reporting expectations and performance metrics. Why Smaller 3PLs Still Have an Advantage As larger providers continue to expand their logistics offerings, many brands are evaluating whether to work with global operators or smaller regional providers. Rodney believes owner-operated 3PLs still offer meaningful advantages. He noted, “I think there is a niche for the smaller 3PLs.” Unlike larger organizations, smaller providers often offer direct access to decision-makers and greater operational flexibility. Rodney highlighted that “a smaller 3PL does things that the bigger one will not.” He pointed to examples such as relabeling thousands of units, handling product recalls, opening warehouses on weekends, and supporting urgent customer requests. He also believes responsiveness matters. During the discussion, he repeatedly emphasized the importance of answering calls, solving problems quickly, and being available when customers need help. For growing brands, that flexibility can become a significant competitive advantage when supply chain disruptions or unexpected issues arise. 3PL Customer Service, Communication, and Accountability Drive Success While warehouse space and technology are important, Rodney repeatedly returned to one theme: service. Loki recently expanded into a 100,000-square-foot facility after outgrowing two smaller warehouses. The company plans to continue growing, but Rodney believes customer service will remain the foundation of that growth. He stated, “If they’re looking for service, reliability, strong leadership, and the best communication, Loki’s a wonderful option.” He also emphasized transparency. As Rodney explained, “We make mistakes, we own up to them. We communicate, we’re transparent, and then we do something about it.” Rather than hiding problems, he believes successful partnerships are built on honesty, accountability, and continuous improvement. Ultimately, Rodney’s philosophy is simple. “It’s the service. It’s everything.” Key Takeaways Loki 3PL has grown into a 100,000-square-foot warehouse after just 18 months in business. The company supports both B2B fulfillment and direct-to-consumer e-commerce operations. Rodney recommends evaluating SOPs, reporting capabilities, and accountability measures when selecting a 3PL. Brands should establish detailed agreements that clearly define responsibilities and performance expectations. Smaller owner-operated 3PLs can provide greater flexibility and direct access to decision-makers. Customer service, responsiveness, and communication are core differentiators in the 3PL industry. The New Warehouse Podcast 3PL Customer Service Sets Great Providers Apart: Loki 3PL

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Using Supply Chain Technology to Drive Operational Excellence

Wed, 10 Jun 2026 18:55:51 +0000

Southern Glazer’s Wine & Spirits is the world’s largest wine and spirits wholesaler, serving 47 markets across the United States, Canada, and beyond. For this episode of The New Warehouse Podcast, Kevin mixes it up with Karli Sage, Vice President of Supply Chain Management Technology and Engineering at Southern Glazer’s Wine & Spirits. Together, they discuss how to approach warehouse technology and automation to improve inventory visibility. The discussion highlights the unique challenges of managing thousands of SKUs, maintaining inventory accuracy, and scaling innovation across a complex distribution network. Why One-Size-Fits-All Automation Falls Short Warehouse inventory management looks very different in the wine and spirits industry. As Karli explains, “We have about 17,000 and counting, the different types of SKUs. So it’s very complex.” That level of variety creates challenges that many automation providers have never encountered. “If you’re distributing paper towels, paper goods, or products outside of wine and spirits, it’s difficult for us to determine whether a solution is truly apples-to-apples with our operation.” She adds, “As technology across the supply chain continues to evolve, it becomes increasingly challenging to identify what will actually be effective for our business. That’s one of the biggest changes I’ve seen over the last few years.” Karli warns against blindly following industry trends, stating that “The shiny object syndrome is a real disease.” Instead, her team focuses on solutions that fit the realities of the unique needs of the wine and spirits industry. Using Autonomous Drones to Improve Inventory Visibility Southern Glazer’s turned to Corvus Robotics because of its ability to operate autonomously and integrate directly with warehouse management systems. According to Karli, the results have been significant. “We’ve been able to speed up the process because what takes someone a few minutes to do, we can now get done in a couple of seconds. She adds, “We can count almost every warehouse within two weeks.” The company has also identified approximately 30,000 inventory opportunities across facilities where drones have been deployed. “ We are no longer shorting products. We are giving them everything that they ordered because we have better visibility.” Combining Automation with Human Expertise Southern Glazer’s does not view automation as a workforce reduction strategy. Instead, the company focuses on redirecting employees toward higher-value activities. Karli believes successful automation projects require clear communication and a well-defined purpose. She explains that “Inventory is dollars. It’s money. It’s what you own.” Helping employees understand the business impact of inventory accuracy became a critical part of the change management process. The company also emphasized employee development. Karli explains that automation creates growth opportunities, saying, “This allows us to take those individuals and put them into that stretch project that proves to them we see you, and we see what you’re capable of and what you can do.” By pairing technology investments with workforce development, Southern Glazer’s has improved inventory visibility while strengthening employee engagement and operational performance. Key Takeaways Autonomous drones reduced the time required to perform wall-to-wall inventory counts. Facilities can now count nearly every reserve location within two weeks. Drone deployments have identified roughly 30,000 inventory opportunities. Improved inventory visibility helps reduce shortages and improve customer service. Southern Glazer’s redeployed cycle counters into higher-value inventory and quality-focused activities. The New Warehouse Podcast Using Supply Chain Technology to Drive Operational Excellence

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Dexory Storage Health: Benefits Beyond Inventory Accuracy

Mon, 08 Jun 2026 13:29:24 +0000

In this episode of The New Warehouse Podcast, Kevin speaks with Matthew Smith, Senior Product Manager at Dexory. Dexory is a warehouse intelligence platform that combines autonomous robotics and software to help warehouses improve visibility across their operations. The conversation focuses on Dexory Storage Health, which recently earned Best New Innovation recognition at MODEX. Warehouse Visibility Starts with Better Data Dexory goes to great heights to continuously scan warehouse locations and collect operational data. However, Smith emphasizes that the robot itself is only part of the solution. As he explains, “The hardware involved on the platform is a glorified data collection tool.” The real value comes from transforming that data into actionable intelligence. Dexory’s platform combines robotics, cameras, sensors, and warehouse data to help operators identify discrepancies and gain deeper visibility into inventory and storage conditions. Smith notes that warehouses can remotely inspect locations and verify information without lengthy walks through large facilities. He explains that “most of the customer experience and certainly the value sits in the insights.” The system can scan large operations, including warehouses with up to 100,000 storage locations. Expanding Visibility Beyond Inventory Accuracy Dexory Storage Health came to fruition after customers identified a visibility gap that extended beyond inventory accuracy. Warehouses knew where and how much, but many lacked a reliable way to monitor storage conditions. Smith explains, “We knew that there was a gap in terms of our offering and what the market was providing in terms of ensuring stock and the location housing that stock was in the right condition.” Through customer conversations, Dexory discovered recurring concerns related to damaged pallets, damaged racking, crushed cases, hanging shrink wrap, tipping products, and empty pallet locations. Today, Dexory Storage Health can automatically detect those conditions across warehouse operations. The platform identifies issues that could impact safety, compliance, quality assurance, and operational efficiency. The system can also support future use cases such as slotting compliance, fire-spread mitigation, and warehouse-specific operating rules. According to Smith, “The origins of this area, this kind of feature set really came through customer conversations.” Those discussions continue to shape the product roadmap as customers identify new opportunities to improve visibility. Turning Visibility Into Action with Dexory Storage Health Visibility alone does not create value. Warehouses must be able to act on the information they receive. That principle has become a major focus for Dexory Storage Health. Early customer feedback has been encouraging. Smith says, “Customers are broadly reporting they are detecting more cases to remediate and to fix.” Because robots scan facilities daily, operators can identify problems faster and address them before they create larger operational issues. The impact extends beyond issue detection. Smith notes that some customers are seeing positive changes in workforce behavior as accountability improves. He explains that “warehouse teams know that they’re even more accountable for being prudent” when facilities are monitored consistently and comprehensively. Key Takeaways Dexory Storage Health detects damaged racking, damaged pallets, tipping items, crushed cases, hanging shrink wrap, and empty pallet locations. Dexory’s robots can support facilities with up to 100,000 storage locations. Customer demand directly influenced the development of Storage Health. Customers report finding operational issues they previously did not know existed. Daily warehouse scans help reduce time-to-detection for safety and quality concerns. Some customers are reporting positive workforce accountability and behavioral improvements. The New Warehouse Podcast Dexory Storage Health: Benefits Beyond Inventory Accuracy

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Warehouse Automation Infrastructure Beyond the Robots

Mon, 08 Jun 2026 12:58:02 +0000

Welcome to this episode of The New Warehouse Podcast, where Kevin Lawton speaks with Jonathan Miles of Nucor Warehouse Systems live from MODEX 2026. Nucor Warehouse Systems designs, fabricates, and supplies warehouse racking systems, ASRS solutions, rack-supported buildings, and other engineered storage infrastructure that support modern distribution operations. Miles shares how Nucor is investing in automation while supporting customers with engineered warehouse solutions. The discussion also highlights Nucor’s vertically integrated steel production model and the growing importance of recycled steel in the supply chain. Automation Growth Starts with Infrastructure Automation may dominate conversations at MODEX, but the systems that support it remain critical to long-term warehouse performance. Miles explains that demand for automated storage and retrieval systems continues to rise as companies look for greater consistency, scalability, and operational efficiency. As Miles states, “I would say there’s an uptick in demand in automated storage and retrieval systems.” Nucor Warehouse Systems supports those projects through racking systems, rack-supported buildings, and engineered warehouse solutions. The company is also expanding its engineering capabilities to support customers earlier in the design process. Miles explains, “We want to provide more engineered solutions to the market. We’re building up a strong engineering team and design team to take some of those resources in-house and offer better solutions to end users.” That investment extends internally as well. Nucor is adding 425,000 square feet of automated capacity at a new facility in Georgia. Safety remains a major driver behind that investment. Miles shares, “Any opportunity to remove a teammate’s hands from material is gonna help us on that journey to, you know, no recordables in our facilities.” Cold Storage Automation Continues to Expand Cold storage and refrigerated warehousing remain major growth areas for warehouse automation. According to Miles, automation has become deeply integrated within refrigerated environments due to labor demands and operational complexity. He explains, “Refrigeration really is almost all automated.” The discussion highlights how automated guided vehicles, shuttle systems, and rack-supported insulated panel systems are becoming standard in refrigerated facilities. Nucor showcased insulated panel solutions mounted directly on racking systems at MODEX to demonstrate how warehouse infrastructure and automation increasingly work together. Miles also notes that food and beverage remains a stable investment area for operators. As he explains, “Food and beverage is a pretty solid spend every year from an end user perspective.” Sustainability Remains Part of the Supply Chain Story Sustainability has become a larger part of warehouse investment decisions, especially among enterprise customers seeking supply chain visibility. Nucor’s vertically integrated steel production model gives the company a unique position in that conversation. Miles explains, “One of the big differences with Nucor is we’re vertically integrated. So we recycle about 20 million tons of steel a year.” The company produces approximately 25 million tons of steel annually, much of it sourced from recycled materials such as scrap vehicles and appliances. Miles explains, “We’re able to tell a sustainability story because we know exactly where that scrap came from.” The sustainability discussion also ties directly to the longevity of warehouse infrastructure. As Miles puts it, “Steel is almost endlessly recyclable.” Key Takeaways Nucor Warehouse Systems is adding 425,000 square feet of automated capacity at its new Georgia facility Automated storage and retrieval systems continue to see increased demand across warehousing operations Safety is a major automation driver, especially for reducing hand injuries during material handling Refrigerated warehousing has become heavily automated with AGVs and shuttle systems Food and beverage remains a consistent investment area for warehouse automation The New Warehouse Podcast Warehouse Automation Infrastructure Beyond the Robots

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Warehouse Fulfillment Automation Built for Throughput

Wed, 03 Jun 2026 20:14:29 +0000

Welcome to this episode of The New Warehouse Podcast, where Kevin Lawton speaks with David Scheffrahn live from MODEX 2026 in Atlanta. Representing Ocado Intelligent Automation(OIA), Scheffrahn shares how the company is combining high-density storage, robotic fulfillment, AI-driven orchestration, and autonomous mobile robots to improve warehouse fulfillment automation. The conversation explores Ocado’s storage and retrieval system, its fulfillment software platform Ocado IQ, and a new AMR focused on pallet and case fulfillment. High-Density Warehouse Fulfillment Automation Ocado’s fulfillment system focuses heavily on maximizing warehouse density and throughput. The company’s tote-based storage and retrieval system uses robots that move across the top of a grid to retrieve inventory and fulfill orders with minimal human intervention. Scheffrahn explains that the system is already operating at a significant scale, noting, “In fact, we do approximately 5 million picks a week, right now with these robots.” Rather than emphasizing aesthetics, Ocado’s robots are engineered to reduce weight and improve performance. As Scheffrahn explains, “Every design decision that we’re making is about throughput.” He adds, “Light robots mean they can accelerate faster. It means we can have more robots on the grid because they’re lighter.” That same thinking extends into warehouse cube utilization. While the MODEX demo displayed a smaller version of the system, Scheffrahn explained that production deployments can scale significantly higher. “Normally we do 21 totes high,” he says, allowing operators to “cube out an entire warehouse.” Warehouse Automation Planning: When to Start Thinking About AMRs AI and Resiliency Drive Fulfillment Decisions Scheffrahn explains, “There’s a massive AI component to figuring out what to pick, where to place it, where to stage it.” The robotic picking process also relies heavily on machine learning and operational feedback loops. Ocado continuously evaluates which items robots handle effectively and which should remain human-assisted. Scheffrahn describes the process by saying, “Our goal is to have a larger percentage of the items in the grid to be able to be picked by the robot.” Resiliency is another major focus. The system reroutes workflows when issues occur, reducing operational disruption automatically. That resiliency mindset even impacts battery management. Instead of parking robots to recharge, Ocado uses another robot to swap batteries in roughly 30 seconds. Ocado IQ Connects Warehouse Fulfillment Automation The second half of the conversation shifts toward Ocado IQ, the company’s fulfillment execution software platform. The software sits below the WMS layer and coordinates workflows across Ocado’s autonomous mobile robots, including Chuck and the newly introduced Porter. Scheffrahn explains, “It’s our software that creates the most efficient fulfillment strategy for that.” While Chuck focuses on individual-item fulfillment, Porter supports mixed-pallet and case-fulfillment workflows. Porter also addresses one of the more difficult AMR challenges in warehousing: handling empty or lightweight pallets. Scheffrahn explains, “Porter’s got a really unique fork design where it actually pulls up to the pallet, it extends true forks into the pallet, picks it up, and then places it on the AMR.” He notes, “They work in the same operation, in the same workflow.” Key Takeaways Ocado’s storage and retrieval system currently supports approximately 5 million robotic picks per week. The company’s fulfillment system can scale up to 21 totes high to maximize warehouse cube utilization. Ocado’s robots are 3D printed to reduce weight, improve acceleration, and extend battery life. AI continuously determines which items should be robot-picked versus human-picked Porter specifically improves the handling of lightweight and empty pallets. Goods-to-person pallet fulfillment workflows are gaining traction in omnichannel operations. The New Warehouse Podcast Warehouse Fulfillment Automation Built for Throughput

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E Tech Group to host live session on Hidden IT/OT Risks Blocking AI adoption in manufacturing

Wed, 03 Jun 2026 16:17:00 +0000

E Tech Group, a provider of industrial automation and systems integration, 2025 System Integrator of the Year, and Platinum certified Rockwell Automation Partner, today announced an upcoming live session, “AI-Ready or Not: The Hidden IT/OT Risks Blocking AI in Manufacturing.” Taking place June 17, 2026, at 11:00 a.m. ET, the session will explore the often-overlooked infrastructure and data challenges manufacturers must address to successfully deploy artificial intelligence (AI) initiatives at scale. As manufacturers accelerate investments in AI and advanced analytics, many encounter unexpected barriers rooted in their existing IT and operational technology (OT) environments. Challenges related to data quality, system integration, and infrastructure readiness remain key obstacles. Issues such as unstable network architecture, fragmented systems, inconsistent data, and gaps in historian strategy can significantly limit the effectiveness of AI-driven solutions. This live session is designed to help manufacturing leaders identify and address these foundational challenges before they derail AI initiatives. Register here: https://etechgroup.com/ai-ready-or-not-the-hidden-it-ot-risks-blocking-ai-in-manufacturing/ “Manufacturers are under pressure to adopt AI, but many are trying to build on a foundation that isn’t ready,” said Matt Wise, CEO of E Tech Group. “Without a secure, well-architected IT/OT environment, organizations risk stalled initiatives and missed ROI. This session will help leaders better understand the risks and take a more strategic approach to AI readiness.” The session will be led by E Tech Group subject matter experts Eric Medecke, Director of IT/OT Solutions, and Kevin Romer, Industrial IT Specialist, who bring deep experience in industrial cybersecurity, network architecture, and IT/OT convergence. Together, they will guide attendees through real-world challenges and practical solutions for strengthening the infrastructure required to support AI. During the session, attendees will: Identify common IT/OT risks that hinder AI deployment in manufacturing environments Evaluate the readiness of their infrastructure, data architecture, and systems integration Participate in an interactive “AI-Ready or Not?” diagnostic to benchmark their current state Learn practical strategies to improve data reliability, system connectivity, and scalability “Manufacturers need a clear picture of how their systems, networks, and data environments are performing and where vulnerabilities exist,” said Eric Medecke, Director of IT/OT Solutions at E Tech Group. “By identifying gaps in cybersecurity, network design, and system integration, organizations can prioritize improvements that reduce risk and create a scalable foundation for AI and other advanced technologies.” With deep expertise in industrial automation, digital transformation, and systems integration, E Tech Group helps manufacturers bridge the gap between IT and OT, ensuring data flows securely and reliably from the plant floor to enterprise systems. This integrated approach enables organizations to move beyond pilot programs and successfully scale AI initiatives across operations. The session is intended for professionals across manufacturing organizations, including leaders in IT, operations, engineering, and maintenance who are responsible for driving digital transformation and operational performance. For more insights into E Tech Group’s role in industrial automation, follow the Beyond Tech podcast and visit etechgroup.com.

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Material Flow Optimization from K.Hartwall

Mon, 01 Jun 2026 14:34:02 +0000

Welcome to this episode of The New Warehouse Podcast, where Kevin Lawton speaks with Courtney Jackson live from the MODEX 2026 show floor in Atlanta. Courtney shares how K. Hartwall approaches material flow optimization through connected cart systems, tugger trains, and its LiftLiner solution. From ergonomics and e-commerce picking to AGV integration and ROI analysis, Courtney explains how flexible cart-based systems can help warehouses optimize movement throughout the supply chain. Material Flow Optimization Starts with Movement Hartwall’s approach centers on improving the flow of products through a facility. Courtney explains that the company’s solutions are designed to work together rather than function as isolated tools. As she explains, “What we do is really focus on material flow, with our customers.” She also notes that the systems are designed to “improve our customers’ flow, improve safety, improve efficiencies throughout the entire supply chain.” The discussion also highlighted common warehouse bottlenecks. According to Courtney, many operations are still trying to solve issues related to picking speed, accuracy, and safety. She says customers are often asking, “How can we move more product but still safely in one move?” Instead of relying solely on traditional pallet and forklift workflows, K. Hartwall positions its carts as a more flexible option. Courtney explains, “Our carts are meant to sometimes serve as an alternative to pallets, to forklifts to move just a little bit more seamlessly in an operation.” LiftLiner Systems Improve Efficiency and Safety A major focus of the conversation was K. Hartwall’s LiftLiner tugger train system. The solution allows operators to transport multiple carts or pallets simultaneously while reducing travel time across the warehouse. Courtney describes the LiftLiner as “a wonderful and unique system.” She adds, “This gives you or operators the ability to do more with less.” The material flow optimization gains become even more significant at scale. Courtney explains, “You’re able to move up to eight pallets or eight row carts in one move.” She continues by saying the system helps operations by “eliminating unnecessary travel and decreasing travel time within your warehouse.” Courtney explains the flexibility of the cart system to improve workflow efficiency. As she puts it, “That does speed up the picking process when you’re able to go, you pick from both sides.” Automation and E-Commerce Drive New Use Cases Courtney confirmed that AGVs and AMRs can work directly with the LifetLiner system. She explains, “For those companies that do have those, AGVs that can connect seamlessly to our lift liner.” She also notes, “You don’t need an operator anymore.” E-commerce fulfillment operations may see particularly strong benefits from these workflows. Courtney discussed how large facilities often lose time through long travel distances during picking operations. She explains that in major warehouses, workers may travel significant distances during fulfillment. According to Courtney, “This right here decreases the time that you’re picking by, in a significant way.” Hartwall also works closely with customers to evaluate workflows before recommending a solution. Courtney explains, “I’m getting on-site with the customers. I’m really getting an understanding of their entire process from inbound to outbound, what they’re picking, how they’re picking.” She adds that the company supports decisions with data-driven evaluations and ROI analysis to help optimize future operations. Key Takeaways on Material Flow Optimization K. Hartwall focuses heavily on material flow optimization across the supply chain The LiftLiner system can move up to eight pallets or carts in one trip Tugger train systems help reduce unnecessary operator travel time Cart-based workflows can serve as alternatives to traditional forklift movement The LiftLiner supports ergonomic picking from both sides of the cart AGVs and AMRs can integrate directly with the LiftLiner system

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Autonomous Yard Operations from YMX Logistics

Mon, 01 Jun 2026 13:14:04 +0000

Welcome to this episode of The New Warehouse Podcast, where Kevin Lawton speaks with Rock Stars Matt Yearling and Erin Mitchell of YMX Logistics, and industry analyst Bart De Muynck, live from MODEX 2026. The discussion covers technology enablement, autonomous yard operations, digital twins, safety culture, and the growing need for orchestration across the yard. The episode also highlights how YMX combines operational expertise with technology to help shippers create more value from an area many organizations still underestimate. Yard Operations Are Becoming a Strategic Priority For years, many warehouse operations viewed the yard as a secondary concern. However, that perspective is beginning to shift as distribution centers push for greater throughput and faster execution. Matt Yearling explains that yard operations now sit at the center of a larger operational challenge. As he notes, “There’s nobody on the planet that looks at the yard as a specific problem.” He adds, “It is between transportation and warehousing.” That middle ground has become increasingly important as warehouse and transportation systems improve. According to Bart De Muynck, many companies optimized transportation and warehouse execution first, which exposed inefficiencies in the yard. He explains, “We’ve optimized that. We’ve created a lot more velocity. Now the yard has become an even bigger bottleneck.” Delays in the yard can disrupt dock scheduling, labor planning, outbound fulfillment, and customer service. De Muynck compares the issue to a minor mechanical failure that stops an expensive car. As he puts it, “It’s not always the cost of something, but it’s the impact it has on your operation.” Technology Alone Does Not Solve the Problem YMX’s approach focuses on combining operations, technology, and execution rather than simply deploying software. Yearling explains that traditional yard management systems only solve part of the challenge. Instead, YMX focuses on orchestrating the entire operation through modeling, planning, execution, and visibility. Yearling explains, “It’s very clear that it’s the convergence of operations and technology, focusing on what is the problem you’re trying to solve?” He continues, “It isn’t about — let’s go and hunt for the next widget and apply it and see whether or not it works.” The company’s latest announcement at MODEX further expands that philosophy. YMX discussed its capabilities for autonomous yard operations, including digital twins, computer vision, data capture, and autonomous trucks. However, Yearling emphasized that automation still requires operational expertise. He explains, “People think it does everything, and we know it does not.” Instead of adding more assets or labor to the problem, YMX uses operational data to model and optimize yard performance. Yearling says, “Show us some data. If you don’t have the data, we will observe, we will model it.” He also notes the company focuses on “delivering on doing more with less from day one.” Strong Yard Operations Still Depend on People While automation and orchestration played a major role in the discussion, Erin Mitchell highlighted the operational culture required to support large-scale yard operations. YMX operates across the country with drivers working around the clock, making communication and safety essential. Mitchell explains, “Our customer success is our success.” She adds, “We make sure that our drivers know that their job is to make the customer successful.” The company also uses technology to strengthen communication with drivers. YMX developed an always-on app that allows drivers to provide immediate operational and safety feedback. Mitchell explains, “Our entire leadership team reads all of those app comments.” She continues, “We get that feedback in real time.” YMX also places a strong focus on workforce development and diversity. Mitchell explains that the company invests heavily in training opportunities and leadership development. The organization also works to create more opportunities for women drivers and women in logistics roles. As yard operations become more advanced, YMX believes success will depend on combining technology with engaged people, operational discipline, and continuous feedback loops. Key Takeaways Yard operations are becoming a major operational bottleneck as warehouse and transportation systems improve. YMX views the yard as a strategic layer between transportation and warehousing Autonomous yard operations still require operational expertise and oversight. Digital twins, computer vision, and data capture help optimize yard performance. Real-time driver communication plays a major role in operational safety and culture. Leadership teams review driver feedback daily through YMX’s always-on communication tools. Workforce development and inclusion remain key priorities as YMX continues to grow. The yard may represent a smaller logistics spend, but it can create a significant downstream operational impact. The New Warehouse Podcast Autonomous Yard Operations from YMX Logistics

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Warehouse Execution Systems: Optimizing People, Processes, and Automation

Wed, 27 May 2026 14:20:00 +0000

Welcome to this episode of The New Warehouse Podcast, where Kevin Lawton speaks with Mike Krabbe and Suneel Krishnaswamy from enVista live at MODEX 2026. The three of them explore how warehouse execution systems (WES) are helping operations connect automation, labor, and workflows into a more synchronized operation. From digital twins and interoperability to robotic pallet building and pick-to-light systems, enVista shares how companies can scale automation without creating disconnected systems or operational bottlenecks. Why Warehouse Automation Needs Orchestration Automation has become far more accessible for third-party logistics and warehousing. However, adding more technology also creates more complexity across operations. That is where warehouse orchestration becomes critical. As Suneel Krishnaswamy explains, “Now with that, you need something, typically a WES, that optimizes across people, processes, and automation.” A WES sits between the WMS and WCS layers to coordinate workflows across labor, robots, AMRs, and automation systems. Krishnaswamy explains, “It’ll optimize and balance all of that to get maximum throughput for the warehouse.” The conversation also highlights why interoperability matters more than ever. Many facilities now use automation from multiple vendors. Without orchestration, operations can create choke points or disconnected workflows. Krishnaswamy notes, “Having that total flow through the warehouse and optimizing it so that all the different parts of the system work synchronously… that’s the part that WES will orchestrate.” Building Automation Roadmaps Without Starting Over One major takeaway from the discussion is that companies no longer need to pursue massive “rip and replace” automation projects. Instead, many are gradually implementing automation while preserving future flexibility. Krishnaswamy explains, “They want to do it in a very cautious and risk-averse way.” That cautious approach has increased the importance of a flexible WES layer. enVista’s approach allows companies to introduce automation step by step while maintaining consistent workflows. Krishnaswamy says, “It can give you a smooth ramp-up on automation once you have a good WES in place.” The pace of innovation also continues to accelerate across warehouse automation. Krishnaswamy notes, “Since about 2015, the automation scene drastically changed. And the pace of new innovation for automation has taken off.” That rapid innovation creates pressure for operators to remain adaptable. A strong orchestration layer helps warehouses evolve without becoming locked into outdated systems or infrastructure. Digital Twins, Visibility, and Real-Time Optimization enVista also showcased its digital twin and simulation capabilities during MODEX 2026. Krishnaswamy explains, “We can set it up and do a simulation with the customer’s order profile so they can actually see what to expect from that equipment for their profile.” That visibility becomes especially valuable during seasonal peaks or changing order profiles. Instead of guessing how automation will perform, operators can validate assumptions before investing. The discussion also covered enVista’s real-time digital twin capabilities. Krishnaswamy explains, “You don’t have to walk up to the floor and see what’s happening. You’ll be getting visibility right from wherever you are.” One standout feature of enVista’s pick-to-light solution is the removal of traditional mechanical buttons to reduce operator fatigue. Krishnaswamy explains, “There’s no mechanical movement there, which obviously gives a lot more durability to the lights, and more importantly, less fatigue for the operators.” Key Takeaways on Warehouse Execution Systems Warehouse automation is becoming affordable for smaller facilities, not just large operations. WES platforms help orchestrate labor, robots, AMRs, and automation into synchronized workflows Interoperability is critical as warehouses deploy automation from multiple vendors. A WES can help companies gradually scale automation without major operational disruption. Digital twins allow operators to simulate throughput and validate automation investments before deployment. Real-time visibility improves operational awareness and helps managers make proactive decisions. The New Warehouse Podcast Warehouse Execution Systems: Optimizing People, Processes, and Automation

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Warehouse Autonomy Meets Operational Reality

Tue, 26 May 2026 15:42:47 +0000

Welcome to this episode of The New Warehouse Podcast. Michael Lawrence, Director of Sales and Business Development from Anantak, shares a different approach to warehouse autonomy. Anantak has a deep focus on brownfield-friendly deployments, vehicle-to-vehicle interaction, and customer-driven engineering. The episode also highlights how Anantak’s technology navigates facilities without requiring major infrastructure changes inside warehouse operations. Why Warehouse Operations Fit Autonomy Anantak’s approach to automation intentionally focused on structured material-handling workflows rather than trying to force autonomy into unpredictable settings. “The material handling space is a really good one. It’s a well-defined environment with operational rules and expectations, which is a good fit for autonomy. It thrives with that kind of structure.” Regarding warehouse autonomy, companies can get caught up in flashy demos and big promises. Lawrence explained that Anantak took a more practical path from the beginning. “We didn’t want to just think that we could build the perfect widget and then we’d sell a million of them tomorrow.” As he put it, “It’s not just attaching a bunch of sensors and computers to existing industrial vehicles.” The goal is to make autonomy fit naturally into the customer’s operation. Autonomous Vehicles Built for Brownfield Facilities One of the biggest differentiators in Anantak’s approach is its ability to deploy inside existing facilities without requiring major operational changes. That stood out throughout the MODEX demonstration. Lawrence emphasized this directly when discussing customer concerns around deployment complexity. “A guiding philosophy for us is that we don’t impose ourselves on the customer environment.” He continued, “We don’t require any sort of infrastructure adjustment.” Instead, the system uses multiple LiDAR sensors, depth cameras, and internally generated “breadcrumbs” to navigate warehouse routes in real time. According to Lawrence, the platform processes data from five LiDARs, two safety LiDARs, and multiple cameras simultaneously. He explained, “We fuse all that in real time to navigate the vehicles in their environment.” The system also adapts dynamically to changing operational conditions. Lawrence described how the tugger behaves similarly to a roadway vehicle. “It follows its own lane. It thinks in terms of these, like, lanes on a road.” That flexibility allows the vehicles to function in brownfield warehouse environments while using the same routes operators already travel today. Vehicle-to-Vehicle Interaction Takes Center Stage MODEX was full of impressive demonstrations, but one rarely seen, if ever, was Anantak’s autonomous forklift and autonomous tugger, both actively interacting in real time. Lawrence explained the significance of the demonstration, saying, “We believe we are showing the first ever exhibit where two autonomous vehicles are actually interacting with each other.” Lawrence explained the broader impact on warehousing, “We can get the forklifts lifting and the tuggers tugging.” The roadmap already includes advanced stacking capabilities, additional customer-specific workflows, and collaboration. “One of our principles is engineering by experience.” He added, “We want the customer to tell us what is useful for them, and then we will build to that specification on our dime.” Key Takeaways on Warehouse Autonomy Anantak has been developing warehouse autonomy solutions for approximately 11 years. The company focuses heavily on brownfield warehouse environments without requiring infrastructure changes. The autonomous system does not rely on magnetic tape, QR codes, or wall markers for navigation. The platform processes data from five LiDARs, two safety LiDARs, and multiple depth cameras simultaneously. Anantak demonstrated coordinated interaction between an autonomous forklift and an autonomous tugger live at MODEX 2026. The tugger system navigates using internally generated “breadcrumbs” and lane-based movement logic. The company’s roadmap includes advanced stacking and additional autonomous forklift workflows. The New Warehouse Podcast Warehouse Autonomy Meets Operational Reality

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Dexory Upgrades the Tallest Robot in Warehousing

Tue, 26 May 2026 15:18:50 +0000

How do you top the tallest robot in the industry? Chris Coote, Director of Product at Dexory, caught up with The New Warehouse live from MODEX 2026 to explain how the company is doing just that with its new Dexory View Adapt platform. The conversation also explores how AI-driven insights can reduce firefighting, improve visibility, and help warehouse teams shift from reactive problem-solving to proactive operational management. Moving Beyond Inventory Visibility Dexory initially gained attention for its autonomous robot that can scan warehouse inventory in real time. However, as Coote explains, the true value lies within the intelligence layer powering the platform. “That data fuels our intelligence platform called Dexory View. That’s really what customers are buying.” He also noted that the platform helps operators determine “is the right thing in the right location, with the right quantity on hand.” In addition, Dexory’s AI now detects damaged pallets, hanging shrink wrap, and damaged rack structures. This shift allows warehouse teams to move away from reactive operations. Coote explained, “The team is now problem solvers and fixers, opposed to being kind of the hunters in the warehouse.” Warehouse leaders increasingly want more than dashboards and static reports. They want actionable intelligence that improves operations immediately. Instead of manually searching for issues, operators can focus on solving problems before they escalate. Dexory View Adapt Delivers Warehouse Intelligence Dexory View Adapt represents the next evolution of the company’s platform. Rather than only showing warehouse conditions, the new offering focuses on helping operators understand why problems are happening. Coote explained, “They also have told us extensively- We need to know the why. We need to get to the root cause of these problems.” He added, “With Dexor Review Adapt, we want to take those hours and days down to minutes and seconds.” Instead of walking the floor or reviewing spreadsheets, warehouse teams can interact with the system. Coote described it this way: “You can ask those questions in Dexor Review and get an answer.” He also explained that the platform proactively identifies problems operators may not even know exist yet. “Maybe the things that haven’t broken yet, but we can see in the background might break.” Operational patterns, movement data, throughput analysis, and warehouse-specific context power the proactive notifications. Heat maps and SKU-level insights help operators understand where congestion is happening and why. As Coote summarized, “How do you get from something happening to an action as quickly as possible?” Not All Warehouses are the Same One of the most compelling parts of the conversation centered on warehouse-specific context. Dexory is not simply creating another AI chatbot layered on top of warehouse data. Coote emphasized, “This isn’t just like another chat tool.” Instead, Dexory integrates warehouse-specific operational knowledge, including WMS data, ERP systems, SOPs, and SLAs. That context matters because no two warehouses operate exactly alike. Even facilities within the same network can behave differently based on processes, staffing, and workflows. As Coote explained, “We’ve learned that not all warehouses are the same, not even in the same brand or customer.” He added, “Understanding the specifics about that site and how that behaves, you need to get down to that kind of level.” Dexory’s approach also creates opportunities for benchmarking across multi-site operations. Customers can compare performance across warehouses, regardless of different WMS environments. Key Takeaways from Dexory Dexory View combines autonomous robotics with warehouse intelligence software. Dexory View Adapt focuses on identifying root causes rather than just operational symptoms. The platform helps operators move from reactive firefighting to proactive decision-making. AI-driven storage health monitoring can identify damaged pallets, shrink wrap, and rack issues. SOPs, SLAs, WMS data, ERP systems, and operational context are integrated into the platform. The New Warehouse Podcast Dexory Upgrades the Tallest Robot in Warehousing

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Warehouse Automation Installation: Precision and Cost

Wed, 20 May 2026 13:58:19 +0000

In this episode of The New Warehouse Podcast, Kevin chats with Will Blount about the growing complexity of warehouse automation installation and why precision execution has become critical for modern facilities. Wize Solutions has spent nearly two decades supporting warehouse operations. More recently, the company has expanded into automation-focused mechanical installations for ASRS systems, dense storage solutions, and brownfield retrofits. The conversation explores how integrators, OEMs, and operators are approaching automation projects differently as facilities look to maximize existing space and minimize downtime. Warehouse Automation Installation Requires Precision As automation projects became more complex, Wize found an opportunity to expand its role. The company already had 525 team members supporting conventional warehouse infrastructure. According to Blount, about 200 employees showed strong interest in automation-focused work. He explained that pairing those experienced installers with precision training “created a recipe for success for us.” Today, Wize supports both OEMs and integrators during implementations. Blount explained, “I would say the best way to view us is as an extension of your execution team.” That role now includes receiving material, coordinating installation work, and preparing systems for commissioning teams. Brownfield Projects Are Driving New Challenges Brownfield automation projects continue gaining momentum as operators try to extend the life of existing facilities. Blount said Wize currently sees project demand split roughly evenly between greenfield and brownfield work. He explained, “Yeah, I would say, velocity-wise, probably 50/50 right now.” Blount noted that four-way shuttles, AMR-based goods-to-person systems, and dense storage technologies are creating strong market demand. He explained, “I’m seeing a big push for dense storage.” Brownfield work also introduces operational complexity. Existing facilities often remain active during installation. Floors may have major slab variance, and operators cannot afford extended downtime. Blount explained that some facilities show “four inches of variance across a 200,000 square foot” footprint. He added, “The customer oftentimes doesn’t want to shut down, right? So you have to find creative ways to plan the work, you have to find creative ways to execute the work.” How Warehouse Automation Installation Impacts Costs Many systems appear similar on the surface, but the underlying infrastructure requirements can differ dramatically. Blount explained, “You’ve got one masted AMR provider that does two bolts and shims. And you’ve got one masted AMR provider that does a jack bolt with a grout pack underneath.” He added, “Two very different installations, two very different costs to do that, ultimately providing the same results, right?” Blount described scenarios where Wize reviewed layouts and identified ways to eliminate unnecessary pallet stands or reduce rail requirements. He explained that those conversations help ensure accurate quoting and smoother execution because “the install quote is wrong, and that doesn’t help anybody.” Key Takeaways Wize Solutions evolved from conventional warehouse infrastructure into precision automation installation support. Brownfield and greenfield project demand is currently close to 50/50 Dense storage systems and four-way shuttle solutions are driving significant project activity Brownfield projects often require installations inside active operations with limited downtime The New Warehouse Podcast Warehouse Automation Installation: Precision and Cost

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AI adoption is no longer optional: Dealers face a shrinking window to compete

Wed, 20 May 2026 05:00:38 +0000

The last month or so, I was following up on where dealers stand in terms of AI, Automation, Robots, etc., and how benefits are being produced in terms of quicker turnover, cost reductions, better customer experience, improved sales per employee, and above all, the sales results along with EBITDA data. The results so far, as I am concerned, seem good for those companies and dealers who have invested in and can actually deliver results from AI and other available automation products. And when I inquire about the employee headcount, two possible outcomes result. The AI results are so good that the increase in business requires keeping employees and having them produce more sales per employee, rather than reducing headcount. A nice outcome: an increase in sales and margins, without increasing headcount. In those cases where headcount is reduced and we keep hearing the potential increase in unemployment, it appears that because we basically find ourselves in a position where more workers are required, with some new potential ways now available for minimum cost, and as result a recent Fed report stated that in the last six months the USA has had more new business start-ups up to this point in our existence. In fact, many folks are quitting their jobs and finding an opportunity to start a business with a $599 Mac and access to AI, all of which can be accomplished in 48 hours. As they say, all is hackable now, and with AI, data can detail how each type of business works, which in turn provides revenue-producing opportunities by hacking a segment of some form of transaction. In other words, get rid of the middleman in a transaction. Starting a business in the past would cost six figures. Almost every industry has a middleman collecting fees, rent, etc. Cut the time and cost of these expenses, and you are in business: tools for a specific operation, tools for a type of business, expertise in business management. And, of course, there are systems out there specifically for these types of business. So, we have some dealers working with AI to reduce cost, improve turn around and customer relations who have invested up to this point and are reaping he rewards of doing so, But what I am hearing is that while the initial investment is manageable and producing a real ROI, the costs are starting increase as a result of a lack of “compute” time as well as cost increases for power. Consequently, your initial investment and ongoing expenses will be much higher compared to those already started. And the longer you wait, the more it will cost. So, what happens in a territory where dealers are involved with and using AI systems to reduce costs and increase margins? In the same territory, dealers who are avoiding this opportunity will soon find it tough to compete with more competitive dealers with lower cost structures and superior customer service. The dealers who have not made the changes to AI can certainly compete with the more technically advanced dealers, but with lower margins, which in turn reduce net income and cash flow. This is how the performance gap begins. To deal with the performance gap, dealers have to take the AI plunge, which will cost more the longer they wait. Do nothing, and performance remains strained, while the AI cost continues to increase. A recent article I read noted that if a conversion is not completed by 2027, the only result will be to sell or shut down the business. In short, no turning around to start over. I also made some inquiries about the OEM involvement in these conversion scenarios. They are not pushing for the required changes. CANNOT UNDERSTAND THAT RESULT?? It would be much easier and less costly to assist their dealers, thereby protecting their market in the territory. Or do the dealers not want the OEM’s involved? Last month, we introduced Columbus Global, a small, experienced AI conversion consulting group with dealer experience that could help evaluate your needs and provide a cost and ROI estimate for the project. They would prepare a three-part report: a project report based on their review of your data and systems; an AI Governance report and outline in plain language; and finally, a Scorecard detailing time and cost using real numbers. I don’t think it’s correct to say your employees aren’t interested in this topic. The discussion above regarding the 48 Business tells us that employees understand what is going on and can either stay on the ship or try to make a buck by making another company more efficient. In fact, I would suggest that management sponsor in-house seminars on AI and related topics to both introduce employees to AI and explain how it will impact the company and their jobs. The Bottom Line here is that management needs to drive this project to a conclusion, including moving ahead, how to fund it, the expected ROI, and the impact on the company’s value over the next five years or so. As I said at the beginning…..TIME IS RUNNING OUT! About the Columnist: Garry Bartecki is a CPA and MBA with GB Financial Services LLC, and a Wholesaler columnist since August 1993. E-mail editorial@mhwmag.com to contact Garry.

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Designing Safer Workflows in the Warehouse

Wed, 20 May 2026 05:00:28 +0000

Safety in material handling rarely breaks down because people do not care. It breaks down when the operation places too many judgment calls in the middle of a busy shift. When work piles up, equipment is shared across zones, and supervisors are focused on service levels, the floor becomes a chain of fast decisions. Most of those decisions are reasonable on their own. The risk builds as they stack up, and the pace leaves little room to pause. A warehouse management system (WMS) can reduce that decision load by shaping how work is released, sequenced, and verified. When the system is designed with that in mind, it limits the number of moments where associates need to improvise. It also makes it easier to see when a process starts to drift. Near misses tend to follow patterns before an incident. The same aisle gets crowded at the same time each day. The same exceptions repeat. The same shortcuts appear when the volume rises. Designing for safety starts with a simple constraint. Conditions on the floor will not stay steady. The work needs to hold up when it changes. Where safety slips Most facilities can identify the obvious risks. Lift equipment and pedestrians share the same lanes. Tight aisles. High racks. Mixed case work requires constant stops and starts. The more common issues sit in the gray areas. A pick face runs empty, and someone pulls from reserve without confirming the pallet. A driver cuts through a cross aisle because the next task is nearby, and time is tight. A heavy item gets handled by one person because the team lift path is unclear, and the order needs to be moved. These choices do not come from bad intent. They show up when the system does not make the safe option clear and efficient. That is where WMS design has a direct impact. Work released into crowded areas forces people to manage traffic on the fly. Except for handling that leaves too much discretion invites shortcuts. Task assignment that ignores certification eventually pushes someone into work they are not trained to handle. Congestion-aware work release Most operations know where congestion forms. Narrow aisles that carry both picking and lift traffic. Cross aisles that connect zones. Staging areas that fill when inbound and outbound overlap. Even with that awareness, work release can still send too much activity into those areas at once. A more controlled approach examines where activity is building and adjusts the release pace. Work does not need to be pushed out the moment it becomes eligible. Sequencing can also group replenishment by aisle or zone, reducing crisscross movement and limiting mixed interactions in tight spaces. The goal is to keep the floor stable enough that people do not have to manage traffic in real time. When congestion is controlled, supervisors can focus on issues that actually need attention. Safer travel paths in task logic Every warehouse has preferred routes. Some are documented; others exist through habit. One-way aisles often develop informally, even if enforcement varies. Problems tend to arise when task assignments run counter to those patterns. Task sequencing can keep people in the same zone longer and reduce unnecessary crossings. It can also support one-way travel and preferred paths by how work is grouped and dispatched. This matters most at intersections and cross aisles where lift equipment and pedestrians share space. Consistency matters more than precision. A travel pattern that only works during slower periods will not hold when volume increases. When the system supports safer movement under pressure, there is less need for people to improvise. Risk-based task assignment Labor constraints are part of the reality. Turnover happens. Cross training is often incomplete. Under pressure, work tends to be assigned to whoever is available. That approach breaks down when equipment and load types carry different levels of risk. A WMS can support more controlled assignments by restricting certain tasks to certified operators. This includes work tied to specific equipment classes, attachments, or conditions, such as narrow-aisle travel or elevated handling. Heavy and awkward picks also benefit from clearer direction. In some operations, that means routing them to trained associates. In others, it means directing them into a team lift workflow instead of leaving the decision to the moment. Traceability supports this process. Supervisors need to understand why a task was blocked or rerouted, and associates need to know why it cannot be accepted. Clear rules reduce the chance that workarounds become the default. Exception handling that removes the temptation Exceptions are where safe habits are tested. When locations do not match, inventory is missing, or a pick face runs dry during peak activity, people look for ways to keep work moving. That is when unsafe reaches, unstable pulls, and unverified substitutions start to appear. Exception workflows can be structured to reduce that pressure. Substitute locations can be limited unless verification steps are completed. Exceptions can be routed into a defined resolution process instead of leaving them as judgment calls in the aisle. This does not add friction everywhere. It places control where shortcuts create the most risk. Forward pick and replenishment design also influences how often these situations occur. When pick faces are undersized, and replenishment does not reflect the actual workload, the floor shifts into a reactive mode. Work builds up, priorities change, and people look for faster ways through the problem. Stabilizing those processes reduces the need for those decisions in the first place. Using signals without turning work into surveillance Most operations already have the signals they need. Repeated congestion in the same aisle. Clusters of substitute picks. Spikes in exceptions tied to a zone. Unusual task times that suggest searching or confusion. These patterns point to where the process is pushing people into difficult choices. Not every deviation needs a response. Too many alerts create noise and lead to disengagement. Focusing on patterns with a clear link to risk is more effective and makes it easier to address the cause. Safety culture still plays a role. People still make a difference. Strong workflows help that culture hold up under pressure. When safe execution is built into how work is

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Scalable Warehouse Automation from OPEX

Mon, 18 May 2026 15:24:05 +0000

Warehouse operators are under pressure to grow without expanding their footprint. In this episode of The New Warehouse Podcast, Kevin Lawton speaks with John Sauer of OPEX live from MODEX 2026. The conversation explores how OPEX is approaching scalable warehouse automation through flexible goods-to-person systems, faster deployment timelines, and new automation capabilities inside existing facilities. The discussion highlights the ways warehouses are balancing throughput, storage density, labor reduction, and flexibility in today’s landscape. Scalable Warehouse Automation Decisions Sauer explained that scalability has become one of the most common themes in customer conversations. As he noted, “I want to operate within my existing building. I want to invest in a technology that’ll scale and grow as I scale and grow.” That challenge is especially important in brownfield environments. Companies want automation that increases storage density and throughput without forcing a facility relocation. OPEX is addressing that demand through flexible systems that can scale on both storage and speed fronts. Lead times are also improving. Sauer shared that OPEX can now deliver its five-pound Sure Sort system in about three months. He also noted that goods-to-person solutions are now under a 12-month lead time. According to Sauer, “Because we can control our destiny in manufacturing and we can find efficiencies and things of that nature, we’re getting closer and closer to the quickest lead time out there for a goods-to-person technology.” He adds, “Reducing the labor, the head count for the system, is always a target for our customers.” Sure Sort® X Expands Flexibility for Difficult Products Sauer explains, “Customers still have a gap in the sortability of certain items.” The upgraded Sure Sort X system can manage products up to 20 pounds and process up to 2,100 units per hour. OPEX also added cleated induction belts and transport features to improve handling for spherical products. Sauer explained, “We always handle cylindrical items, but now we can handle round items.” The system’s flexibility opens the door for additional automation opportunities, such as supporting robotic induction workflows. He explained, “You could potentially get to human-less induction.” Precision remains critical for industries with highly variable product profiles. Sauer pointed to cosmetics as an example. He explained, “We have to be able to accurately sort an eyeliner pencil all the way up to larger tubs of facial creams.” Infinity Pushes Density, Throughput, and Temperature Flexibility OPEX also demonstrated new enhancements to its Infinity goods-to-person platform. The system uses a grid-based ASRS architecture that separates storage scalability from workstation scalability. As Sauer described it, “The scalability of throughput to storage grew significantly when we went to Infinity.” The system now supports structures up to 38.5 feet tall and can carry up to 90 pounds per bin. Sauer also shared an example of the platform’s storage flexibility. He said, “You could actually have 100,000 bins in an infinity grid feeding one station.” Another major announcement was the introduction of Tote IO functionality. The system can now eject totes from the storage structure and allow operators to work with products externally before returning them to the system. Sauer explained, “We have to eject the totes from our aisle structure and let their folks interface with it outside of our grid.” Key Takeaways on Scalable Warehouse Automation OPEX is seeing increased demand for scalable warehouse automation inside existing facilities Sure Sort X now handles round and non-conveyable products, including bowling balls and soccer balls. Sure Sort X supports products up to 20 pounds and processes up to 2,100 units per hour. OPEX introduced a powered tote supporting ambient, chilled, and frozen inventory in the same system The company stated its five-pound Sure Sort solution can now ship in about three months. OPEX said its goods-to-person solutions are now under 12-month lead times The New Warehouse Podcast Scalable Warehouse Automation from OPEX

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Cold Storage Warehouse Automation: Insights from TGW

Mon, 18 May 2026 14:43:13 +0000

This episode of The New Warehouse Podcast takes a trip down the freezer aisle. Kevin chats with Collin Russell of TGW Logistics Group to explore how frozen and refrigerated operations are approaching automation differently from traditional warehouses. Russell shares insights into labor and facility upgrades related to cold storage warehouse automation. The discussion also highlights how automation decisions increasingly center on throughput, uptime, and operational resilience rather than simply reducing labor. Cold Storage Operations Are Driving Automation Demand Cold storage warehouse automation is no longer limited to massive greenfield projects. Grocery and food service companies are actively reevaluating existing facilities while expanding into new markets. Russell explained that many operators are balancing brownfield modernization with greenfield expansion initiatives. According to Russell, “They’re trying to alleviate the labor issues that they’re having internally, especially within their frozen, temperature zones, ’cause they have a high turnover rate in there.” He added, “Not too many people want to sign up and work in minus 15 degrees Fahrenheit.” They also want to improve routing efficiency, increase outbound capacity, and serve more customers without dramatically expanding headcount. Russell pointed to growing interest in automation among major grocery operators, such as Kroger and Albertsons, as they seek to improve warehouse and transportation performance. Full Automation Is Not Always the Right First Step Many warehouse leaders arrive at trade shows looking for fully automated solutions. Instead, Russell encourages operators to match automation investments to operational realities and maturity levels. Russell explained, “Sometimes you don’t necessarily need to go that route, even if you’re just trying to dip your toe in. Sometimes it’s better to do a semi-automated option.” He also stressed that operators should avoid feeling locked into massive capital projects too early. “You can still explore some semi-automated options, dip your toe in, get a little bit more experience with the technology, and then at a later time, maybe upgrade it.” Russell described TGW’s “one-touch receiving” vision, in which products are physically touched only during unloading and loading. Everything in between becomes system-driven. Yet even with that vision, he acknowledged the industry still faces limitations around automated truck unloading, especially in frozen environments where damaged packaging and shifting freight create challenges for robotics. Reliability, Maintenance, and Commissioning Matter More Than Hype Automation success depends heavily on maintenance planning, redundancy, and realistic implementation expectations. Russell noted that many companies underestimate the long-term operational support required after installation. Russell explained, “The best scenario is, hey, let us manage it.” He also shared how TGW reduces catastrophic downtime. “We like to build in that redundancy throughout the entirety of the system so you’re not married to just one aisle, one palletizer, one set solution.” Cold-storage installations require multiple commissioning stages because steel contracts as temperatures drop. Russell noted, “Once it’s at temperature, you have to go back in and recommission it because all that steel shrank.” He offers sage advice for operators evaluating an automation provider. “Don’t just buy a product, really explore the solution.” Key Takeaways on Cold Storage Warehouse Automation Grocery and foodservice operators are heavily investing in cold storage warehouse automation to address labor shortages and increased throughput demands. Brownfield modernization projects are becoming increasingly common alongside greenfield expansion efforts. Semi-automated systems can provide meaningful operational improvements without requiring full automation immediately. Many cold storage automation projects range from $5 million to more than $200 million. ROI expectations for automation projects are typically set within 3 to 5 years. Redundancy planning is critical to minimizing downtime in automated facilities. Cold storage commissioning requires multiple phases because steel contracts as temperatures drop. Automated truck unloading remains one of the industry’s biggest long-term opportunities. The New Warehouse Podcast Cold Storage Warehouse Automation: Insights from TGW

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