The Definitive Guide to the Warehouse of the Future: Technology, Trends and Strategic Planning 

Warehouse robotics and automation 

Robots have been implemented in warehouses for many years. But the form they've taken has evolved over the years, with new types of robotics being introduced every year. The capabilities of robotics in warehouses continue to expand, making them more capable than ever.   

What is warehouse robotics and automation? 

When you hear warehouse robotics, some people imagine big robot arms lifting heavy items, stationary and completing one task repeatedly. Whilst articulated robotic arms have revolutionised warehouses, more and more types of robots are being introduced, and we expect this to continue. 

The future of robotics in warehouses refers to the applications of robots to automate various tasks such as picking and packing, inventory management and transportation.  

There are many types of robotics in warehouses used for automation, such as:  

• Automated guided vehicles (AGVs) 
• Automated storage and retrieval systems (AS/RS) 
• Collaborative robots  
• Articulated robotic arms 
• Goods to person (G2P) 
• Autonomous Mobile Robots (AMRs) 
• Aerial Drones 

How can robots be used to automate warehouses? 

The various types of robotics are each designed with a specific task in mind, like the automated storage and retrieval systems that quickly collect items and deliver them to a packer.  

A robotics main purpose is to automate a task. Automating warehouse tasks has many benefits, including reduced errors resulting in improved accuracy and increased operational efficiency. 

Amazon Proteus is an excellent example of how warehouse robotics can look. Proteus was Amazon's first fully autonomous mobile robot, capable of manoeuvring around the warehouse and employees. Taking advantage of its automated guidance system, Proteus can be implemented in any area of the warehouse.  

Uses of robotics in warehouses to automate tasks:  

• Picking items for transportation 
• Transporting products across a warehouse to a desired location 
• Sorting of items 
• Packaging of items 

How will the application of warehouse robotics change in the future? 

Data shows that the warehouse automation – including robotics – market size is set to grow at a  CAGR (Compound Annual Growth Rate) of 14.45% from 2024 to 2031. 

As innovations in robotic guidance systems occur, the capability of more warehouses introducing this technology will become more likely. Staying ahead will include the adoption of robotics into your warehouse to improve processes.  

Whilst previously, robots might’ve been separated or limited to a defined area in a warehouse, this could change to allow robots to work in all areas and become more integrated with employees in the warehouse.  

AI in warehouse management 

What is AI in warehouse management?  

AI has been a hot topic with the release of Chat GPT, Bard and other types of AI. Whilst these have been adopted by the wider population, could AI be implemented in warehouses too?  

AI in warehouse management refers to the use of AI algorithms to collect, analyse and make decisions based on these results. This allows AI to be used in many areas of a warehouse to improve and optimise processes.  

Furthermore, AI algorithms can use their analysis of historical data to predict future trends, such as demand forecasting or supply chain issues. Avoiding unexpected issues or demands that would have previously slowed down or halted warehouse operations.  

How can AI be used in warehouse management? 

Applications of AI can be vast, and algorithms are constantly under improvement and becoming smarter. In the future, we can expect their applications to expand from an already extensive list of use cases. AI can be applied to warehouses in multiple ways, but here are the main ones: 

Demand forecasting: Taking historical data of a warehouse and market trends, AI can predict how demand will change in the future. Being able to increase stock levels to prepare for demand can allow warehouses to be ready in fluctuations and avoid waiting on stock deliveries.  

Optimised picking routes: Picking and packing is one of the key processes in a warehouse. Optimisation of picking routes has been an important process to improve the efficiency of the warehouse and get products to customers faster. AI can look at current picking routes and locations of products and use this data to create the most efficient picking routes for workers.  

Supply chain analysis: Predicting future disruption and trends in the supply chain based on previous data and current trends. Understanding and having control of a supply chain is invaluable to avoid stock issues and low inventory.   

Robotics: We’ve already touched on the implementation of robotics into warehouses and how they can be utilised. Robotics such as Amazon’s Sparrow use AI to detect and handle products.  

What will be the benefits of using AI in a warehouse?  

One of the primary motivations for implementing AI in warehouses is the increased efficiency and productivity of using the technology to improve systems and processes. Some of the benefits a business can hope to see from using AI in their warehouses are: 

• More accurate inventory tracking  
• Improved shipping time 
• Being able to predict and prepare for future trends 
• Improved overall efficiency  
• Savings in both time and money 

RFID warehouse management system 

What is warehouse RFID? 

RFID, or radio frequency identification, uses radiofrequency signals to transmit information on an item's location. Using RFID scanners, items in a warehouse can be automatically scanned and tracked as they move in, out or through a warehouse.  

Unlike barcode scanning, RFID tags don’t need to be manually scanned one at a time. Automating this process and allowing the RFID reader to scan items anywhere in the warehouse can save time on tedious tasks.  

Not to mention reducing errors such as workers forgetting to scan or scanning items multiple times by accident.   

How does RFID work in a warehouse? 

RFID tags can be applied to entire pallets or individual items for more detailed tracking. There are four main areas where RFID technology can be utilised to improve inventory tracking.  

Products in: As a pallet is unloaded and moved into the warehouse, the pallet will move through an RFID scanner. This scanner will read the pallet tag, which contains all the information about the items. It will then update the inventory tracking system in real-time with the provided information. 

Inventory tracking: Scanners placed throughout the warehouse can read the RFID tags in the warehouse at any time. This process will provide real-time updates to the inventory stored within the warehouse. This can help identify any discrepancies from the inventory tracking system, considering any items that may have been lost, stolen or removed incorrectly from the warehouse.  

Position and transportation: The inventory tracking system can even provide further information on where best to store new pallets based on current inventory locations within the warehouse.  

Products out: Once an item has been picked, as the pallet is moved out of the warehouse and through the RFID reader, it can perform checks to ensure the right items are picked and accurate. Once past the scanner, it will update the inventory tracking system to ensure all inventory levels are up to date.  

RFID tags can be applied to entire pallets or even to individual items for more detailed tracking.  

RFID warehouse management systems in practice 

We can expect to see continued adoption of RFID scanners in warehouses in the future. An RFID warehouse needs to be laid out correctly, it’s likely this technology will be implemented into new warehouses rather than retrofitted to existing warehouses.  

Warehouses that do implement this technology will see numerous benefits. Most notable is increased inventory efficiency. RFID scanners remove the need for workers to scan items with a barcode scanner manually. This time-consuming process requires workers to constantly scan items as they are picked and packed.  

Additionally, this offers reduced errors, a common issue within warehouses is workers making mistakes when picking inventory. Accidentally scanning items twice, not at all or scanning the wrong item is a common occurrence.  

Manual vs Automated Warehousing 

The shift from manual to automated warehouses represents a transformation in efficiency, accuracy, and scalability. Manual operations rely heavily on human labour, barcode scanning, and repetitive tasks, which can lead to slower fulfilment and higher error rates. In contrast, automated warehouses leverage robotics, AI, IoT, and RFID to streamline processes, reduce labour dependency, and deliver real-time inventory visibility. While automation requires a higher initial investment, it offers long-term cost savings, improved safety, and predictive analytics - making it a strategic choice for future-proofing warehouse operations. 

Warehouse Sustainability 

What is warehouse sustainability? 

Warehouse sustainability is the aim to reduce the environmental impact that warehouses have on the environment.  

In our blog, ‘Reducing the Fulfilment Industry’s Carbon Footprint’ we discussed how the Transport and Storage industry produces both direct and indirect carbon emissions and that since 2005, the industry has already reduced its emissions by 44.7%. We went on to explore how warehouses could reduce power usage and shipping emissions, which could significantly contribute to warehouses being more sustainable. 

The shifting focus for warehouses to be more sustainable 

From 2023 onwards, the UK’s EPR laws (Extended Producer Responsibility) have taken effect. This environmental policy requires producers to be liable for the costs of waste for their packaging.  

CO2 AI software allows companies to quantify their emissions based on their business activities. It also offers potential solutions to mitigate the impact of their emissions.  

It is also becoming widely considered standard practice for businesses to have Environmental, Social and Governance (ESG) impact statements and strategies, which should include the measures they intend to take, to impact climate change positively. Partners, clients and consumers will be more interested in seeing these policies from their providers. 

How can warehouses be more sustainable?  

Sustainability in warehouses can be achieved through many avenues, all of which can significantly contribute to the reduction of carbon emissions, reduction of waste and overall environmental impact. The main ways warehouses can do this are:  

Renewable Energy: Many large warehouses have begun to generate their own electricity through installing solar panels onto their large roofs in an effort to reduce their use of fossil fuels and adopt renewable energy sources. 

Logistics Planning: If you run your own fleet, you can be more conscious about your route planning to ensure no excess mileage is planned. If you use third-party logistics, choosing an environmentally conscious partner can also help towards being more sustainable.  

Furthermore, additional warehousing partners such as hubs or regional warehouses can help you move and store stock in bulk across different regions to deliver locally and reduce excess carbon emissions. 

Sustainable Packaging: Swapping packaging to more sustainable options such as eco-friendly, compostable or recycled materials is an appropriate measure to take towards becoming more sustainable.  

Reduced Packaging Waste: Some warehouses and retailers have introduced recycling programs with their customers, whereby consumers can return their packaging, such as plastic bags used to wrap clothing items so that they can either be appropriately recycled or reused rather than being thrown into household waste.  

Wearable technology for warehouse management 

What is wearable warehouse technology?  

Wearable warehouse technology can come in various forms, from wrist-worn scanners, voice-control headsets, smart glasses, and exoskeletons. Wearable technology is already widely used in other sectors, such as for sports performance. However, there are also devices designed to aid warehouse operatives to be more efficient, accurate and safer in the workplace. 

How is wearable technology used in warehouses?  

There are two main types of wearable technology used in warehouses: the first for picking and the second for health and safety, both of which offer benefits to the worker and the warehouse.  

Picking Wearables 

Wearables such as wrist-worn scanners, voice-control headsets and smart glasses all assist the operative by removing the need to carry a device or pick list and increase efficiency as they guide the operative straight to the location of goods in the warehouse.  

They further benefit the warehouse and business by increasing the worker's speed and accuracy, resulting in fewer picking errors and lost stock or revenue. 

Health and Safety Wearables 

Exoskeletons and smart glasses can offer assistance to the operative by minimising the risk of harm while performing their work; for example, smart glasses can issue instructions to the operative, while exoskeletons support the operative's back and spine during any lifting activities, therefore reducing the risk of injury or accident.  

In turn, these health and safety wearables reduce the amount of time and money lost by the business due to injury to staff members and the resulting time off. 

Small, localised distribution networks 

The state of the e-commerce industry suggests that the huge premises known as ‘mega sheds’ may no longer be a viable model for international and national distribution networks. Instead, a shift to more localised operations may be more sustainable. 

The logistics lessons of ‘bottlenecking’ caused by the halting of supply chains during the COVID-19 pandemic highlighted the drawbacks of huge warehouses, while consumers’ desire for near-immediate deliveries mean that a new approach may be required to keep up with demand. Adopting local branch operations could offer more versatility, mobility and accessibility to inventory for businesses of all sizes. 

Multi-tenanted warehouses are another option, where businesses can share a more cost-effective model, known as consolidation centres. Such warehouses are accessible locally and regionally to converging towns and dense urban populations nearby big cities. 

Having the flexibility of space as and when required to fluctuate with the seasons and sales by utilising the space you need may be necessary to some but won’t work for others. When we look at some of the future changes in automation and robotics, perhaps the concept is void. 

How technology simplifies and streamlines operations 

Centralise key functions 

Warehousing technology that integrates all key functions into a single location gives businesses a complete overview of the entire ordering process. Stock management, order processing and transportation optimisation are just a few of the steps that can be handled seamlessly through integrated warehouse automation technologies. 

Analyse and predict trends 

Real-time problems require real-time solutions, and smart warehouse technology allows you to analyse and even predict trends to anticipate the needs of your clients and prevent delays caused by supply chain disruptions. 

Reduce costs 

You can also protect your margins from rising costs and give your clients everything they want, including fast, free, branded shipping, by using warehouse automation technology to improve capabilities and offer a streamlined end-to-end service. 

How can warehouse technology reduce operational costs? 

There are a variety of different ways that implementing streamlined warehouse technology can help to reduce your daily operational costs.  

Improved efficiency 

First of all, it allows your staff to work more efficiently, automating processes that would otherwise require time-consuming manual work. In turn, this uptick in efficiency will lead to greater fulfillment capacities, allowing you to expand your business and boost your profits. 

Retain and upsell existing clients 

On top of this, offering innovative smart warehouse solutions that your competitors aren’t able to provide will attract more business, and help you to retain and even upsell existing clients. Using a cloud-based order management system allows you to offer real-time data sharing and 24/7 access from anywhere on any device, which is a level of support that can be sold at a premium and priced into a retainer. 

Eliminate errors 

There are also savings to be made from reducing or eliminating errors, which are typically made during manual data entry and the use of spreadsheets. Mistakes can be costly and affect your relationship with your suppliers and clients. Changing to an integrated system means that reporting, data collection and analysis isn’t reliant on operators alone, helping you to send prompt, accurate information that supports and empowers your clients. 

Warehouse management software (WMS) that can work with and alongside your technologies and keep up with emerging warehouse trends is a great place to start when you’re looking to enhance your operations. 

One key part of determining whether a WMS is able to keep up with the trends is the rate at which it is developed and updated by its software developers. At Mintsoft, our development team is dedicated to keeping Mintsoft up-to-date by adding new features such as the latest version of the Mobile App and Pallets and Cartons, popular integrations to add to the 150+ integrations already available and further functionality to its existing offering. 

If you’d like to see Mintsoft in action, please book a demo with one of our product experts.