Labor shortages continue to affect many industries in early 2023. According to the U.S. Bureau of Labor Statistics (BLS), the labor force participation rate in the U.S. as of March 2023 was just 62.6%. For warehousing and logistics, workers are becoming increasingly difficult to find, with 488,000 job openings as of February 2023. The lack of a skilled workforce makes it difficult to meet growth and performance goals without finding the people you need.
In addition to finding a workforce, retaining a workforce is also a challenge. Warehouse jobs often require long hours and overtime and are physically demanding. Many warehouse jobs are dirty, boring, and can be dangerous. It's hard work and, with a reduced workforce, existing employees feel overworked and underappreciated. In addition, the workforce is changing. The aging workforce and the addition of younger generations to the workforce will have a significant impact on the future of the business.
- Improve Productivity
Order picking rates can be increased by a factor of two to three with AMR over manual methods. By walking throughout the warehouse less often, employees can spend more time picking and less time searching for products. Increasing throughput today can meet future demand growth. - Better Ability to Manage Peaks
Don't hire more labor during peak times, but instead, think about supporting your existing workforce through increased productivity.AMR offers more Flexibility. Additional AMR can be deployed to reduce manual work and fulfill more orders. - Higher accuracy
Accuracy has a huge impact on customer satisfaction. To avoid mispicks and improve order accuracy, AMRs can be integrated with barcode scanners and picking lights to confirm picks. This ensures that customer orders are completed correctly the first time, reducing the risk of errors and returns. - Real-time data visibility
When implementing warehouse automation, look for solutions that provide real-time performance data on software components. Knowing inventory availability, warehouse throughput, and even individual or team performance is valuable information. This data can identify areas for improvement as well as employee engagement throughout the day. - Reducing training time
Manual picking with carts and paper picking lists can take weeks to learn and a month or two to reach full productivity. This is partly due to the complexity of the roles and tasks, but also includes the walking and searching associated with manual picking operations. Warehouses using automated equipment, such as AMR, require only a few hours to train employees in picking and only a few days to reach full productivity. Order picking with AMRs is simpler because the AMR displays the items to be picked with a picture on the screen, as well as the picking position and the location of the selected items with a placement light. Given the high turnover of warehouse jobs, reducing training time is critical to addressing labor shortages.
Addressing labor shortages
With labor becoming increasingly difficult to find, it's important to focus on your current employees first. Implementing AMR can support the existing workforce by optimizing processes throughout the warehouse. Making the warehouse workforce's job easier will help retain employees and also attract labor.
