Revolutionizing Warehouse Workflow: How Kitting Automation Drives Efficiency

by Michael TaylorDecember 4, 20246 minutes read

As e-commerce grows, warehouses face increasing pressure to improve efficiency. Kitting automation is a key innovation that is transforming product assembly processes. It enables faster order fulfillment, reduces errors, and optimizes space. This technology is reshaping warehouse operations and helping businesses remain competitive in a demanding market.

What is Kitting Automation?

Kitting automation refers to the use of technology to assemble product kits automatically, without the need for manual labor. This can range from simple bundling, like pairing a toothbrush with toothpaste, to more complex kits, such as multi-brand beauty boxes or nutritional bundles. Automation in kitting processes is already widely adopted by Consumer Packaged Goods (CPG) companies. According to PMMI, 84% of companies have automated some aspects of their kitting workflows, including storage and retrieval systems, warehouse management, and picking systems. This percentage is expected to rise to 93% within the next five years.

Benefits of Kitting Automation in Warehouses

Maximizing Warehouse Space

Kitting automation allows businesses to operate with less storage space by reducing the need for shelves, labels, and lifting equipment. This can lead to significant cost savings, especially for large businesses that occupy tens of thousands of square feet.

Lower Labor Costs

Manual kitting is costly due to the need for more employees, workstations, and lifting equipment. Training is also expensive, and part-time workers are often needed to handle high-volume requests. Pre-assembled kits ensure that all necessary components are ready when needed, reducing labor costs and allowing employees to focus on more critical tasks.

Improved Order Accuracy

For employees who spend much of their time searching for components, assembling kits, and creating material lists, automation offers a much-needed change. Platforms like VeraCore aim to minimize these tasks, helping companies improve order fulfillment rates. Automation also minimizes human error, leading to more accurate orders and better inventory tracking.

Valuable Data Insights

Automated kitting systems track valuable data points such as order processing times, inventory levels, and error rates. These insights help businesses identify areas for optimization and implement strategies to improve warehouse efficiency, meeting the evolving demands of customers.

Faster Component Restocking

Automation enables real-time responses from inventory control managers and procurement experts when stock levels are low. Proactive restocking ensures that businesses avoid stockouts and shipping delays.

Safer Work Environment

By reducing the time employees spend driving, searching, lifting, and operating forklifts, automation lowers the risk of injuries such as slips, falls, and back pain. Fewer people in the aisles also reduces the likelihood of congestion and accidents, contributing to a safer working environment.

4 Effective Warehouse Automation Solutions

Automated Storage and Retrieval Systems (AS/RS)

Automated Storage and Retrieval Systems (AS/RS) use advanced machines like robotic cranes, conveyors, and lifts to automatically store and retrieve goods. These systems help maximize storage space and speed up order fulfillment by automatically moving goods to and from storage locations. The main advantages include improved space utilization, faster order fulfillment, and fewer errors since the system eliminates the need for manual labor.

However, the initial installation cost can be high, and the system may lack flexibility when the warehouse layout or inventory needs change. It's most beneficial for high-volume operations but may not be the best choice for smaller or evolving warehouses.

Pick-to-Light Systems

Pick-to-Light systems are a relatively low-tech automation solution that guide warehouse pickers with light signals. These systems use light indicators mounted on shelves, racks, or workstations to direct employees to the correct product locations and the required quantity for each order. When all the lights go off, the picker has completed the current order and can move on to the next one.

This system is recognized as one of the fastest operator-based picking strategies, particularly effective for high-volume operations and broken-box order fulfillment. In dense picking environments, the high installation costs can be offset by the efficiency gained through multiple picks per unit of distance. However, it may not be ideal for warehouses that frequently rearrange their layouts, and managing multiple pickers simultaneously can present challenges.

Autonomous Mobile Robots (AMRs)

Autonomous Mobile Robots (AMRs) navigate warehouses independently, sensing their surroundings without supervision. Unlike Automated Guided Vehicles (AGVs), which need external guidance, AMRs perform tasks like transporting goods and improving picking processes. They excel in high-volume, labor-intensive warehouses by reducing travel time but are not yet equipped to handle extremely heavy materials.

According to CONVEYCO's "Autonomous Mobile Robot Guide," AMRs are typically categorized into three key functions:

●Moving inventory within the facility

●Assisting in the automation of warehouse picking processes

●Providing flexible sorting solutions

AMRs offer valuable benefits to warehouse operations, including:

●Flexibility and Scalability: Initial deployments can begin with just a few units, and these systems offer the flexibility to add or reduce units as needed.

●Labor Cost Reduction: The less time workers spend traveling, the more time they have to focus on completing orders.

●Enhanced Warehouse Safety: By taking over physically demanding tasks and minimizing human involvement, AMRs contribute to improved worker safety.

Unmanned Aerial Vehicles (UAVs)

Unmanned Aerial Vehicles (UAVs), or drones, are becoming increasingly popular in large warehouses for tasks like inventory management and stocktaking. Equipped with cameras and barcode scanners, drones can fly around, scan shelves, and update inventory in real-time, improving accuracy and minimizing human error.

UAVs offer several advantages, such as enhanced inventory precision, quicker stocktaking, and the ability to reach high or hard-to-access shelves. They also help reduce downtime by speeding up tasks like stock counting and inspections. However, limitations include their limited battery life, which restricts operational time, and the need for specialized training for operators. Regulatory challenges may also arise, depending on the region. Despite these issues, drones provide an efficient way to automate processes, especially in large or complex warehouses.

Conclusion

The future of warehouse efficiency will depend on the widespread adoption of automated supporting systems, which bring numerous benefits, including increased productivity, cost savings, improved order accuracy, and data-driven decision-making. With continuous technological advancements, warehouses investing in these innovative systems will gain a competitive edge in the fast-evolving logistics and supply chain sectors.