At last month’s National Conference, we heard from a panel of robotics specialists that ROI for automation and robotics is coming down. Depending on the nature and scale of the project, ROI can be achieved in less than 2 years, particularly if robots are rented to manage peaks, rather than bought.
What’s more, RaaS (Robotics as a Service) seems to have helped SMEs to get involved with robotics, as entry level costs are much lower.
The message is becoming increasingly clear. While we must, in the words of one speaker at our National Conference, ‘Leverage technology to improve efficiency and unleash the potential of people’, the good news is that costs are coming down.
Nonetheless, there remains a concern amongst SMEs, not only around cost, but also around potential disruption. That’s why we began working with the University of Cambridge last year, to explore opportunities for warehouse operators to introduce digitalisation on a small scale. The idea was to identify where existing ‘everyday’ technology could be integrated into a business operation to improve efficiency and performance, but without major investment or perceived upheaval.
A number of UKWA members attended an initial workshop with a team from the University to outline the aims of project ‘Digital logistics on a shoestring’. They were encouraged to consider and areas within their own operations that they believed could benefit from digitalisation.
Among those embracing the opportunity was Gary Whittle, Commercial Director at Meachers Global Logistics, who was quick to recognise how technology could improve performance management by measuring productivity. Specifically, Meachers is interested in monitoring container loading and unloading, as well as automating the charging process. Based on information from the manifest, the solution under consideration will provide Meachers with data around the number of man hours required to load and unload boxes, with costs per minute/per box audited. According to Gary, the added insights will enable internal productivity to be improved, help the company better understand its operational costs and create increased transparency for customers. Automatic invoicing will also reduce the cash to cash cycle.
There are numerous other options under consideration by the team, from geo-fencing for vehicle tracking to use of drones for inventory management.
Our ultimate aim is to work with engaged companies like Meachers to identify areas where affordable technology can make significant impact on warehousing operations, and then test solutions in a live environment. Alongside the University of Cambridge, and our willing pioneers, we hope to develop a range of standardised products that are affordable and effective to share across our membership – and with the wider logistics community, supporting SMEs in adopting technology without trepidation.
Clare Bottle
UKWA, CEO
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