Business needs are constantly changing, the shift towards smart and innovative solutions, based on digitalization, is more than evident. At the same time, the organization and storage processes in businesses are undergoing a dramatic transformation, with more companies adopting automated solutions.
The advantages of a fully automated warehouse are clear. However, how easy do you think the transition from the traditional way of operating a warehouse to a new era is?
A.V: Operating in Greece and Romania, VOYATZOGLOU Group is nowadays a comprehensive provider of "Material Handling" systems for the modern warehouse, boasting extensive experience and expertise in technologies related to Warehouse and Intralogistics. We have observed that every time a new technology or, on a larger scale, a new technological era begins, such as Industry 4.0 and 5.0, there are challenges that must be understood to ensure a smooth transition to this Digital Era, beyond the obvious benefits that are clearly outlined in numerous studies.
In our times, the major change came with Cloud Computing, Big Data, and Artificial Intelligence (AI), and of course, the integration of robotic systems and automation. The use of AI in automation introduces us to a new era and already seems to impact all aspects of our lives, from business to personal. And indeed, there are many challenges here, such as how to adopt AI and use it effectively, which will require training staff at all levels, a significant investment in time and money. The AI era we are experiencing now provides us with the tools to optimally utilize Big Data. By adopting new technologies in our business, we can detect and isolate the most necessary information to improve operations while filtering out the "noise."
Therefore, our focus should be on our people, their training, and assigning responsibilities to personnel who have the skills and expertise to leverage the benefits of automation, collaborative robots, and AI. As you rightly point out, digital transformation is not just about adopting technologies. It also includes other components such as corporate processes, people, partners, and above all, a new culture that every company must acquire to successfully transition into the digital age. Thus, the myth of job reduction is dispelled; human skills are merely changing as has happened with all revolutions that shaped modern business and society, such as the Agricultural, Industrial, Digital, etc.
Do you foresee an era in the future with minimal human intervention?
A.V: An era with minimal human intervention is already a reality in many sectors, but there is also an increase in human involvement in others. I would say it is more realistic to speak of a new era where human intervention is increasingly channeled into creative areas that add value. For example, the use of collaborative robots or fully automated systems, which our company recommends as solutions, reduces the operating costs of warehouses and the supply chain in general, significantly decreasing the number of people employed in manual tasks. Errors are nearly eliminated, and the required space is significantly reduced due to the high density offered by automation systems. However, as mentioned earlier, the new era brings new job positions aimed at utilizing these new solutions and adding value throughout the supply chain cycle. Of course, VOYATZOGLOU Group, as a provider, supports this entire effort. We do not simply see ourselves as suppliers and installers of an automation solution but as Lifetime Partners, because every project based on technology requires a support team for its smooth operation, maximum utilization, and after-sales support, which is the only way to guarantee its success.
How can the automated solutions you offer benefit businesses in terms of cost reduction and employee safety?
Firstly, automation and the use of robotic systems create flexibility in demand and production fluctuations. Using intelligent software and appropriate algorithms, a business can respond quickly to market needs by correspondingly increasing or decreasing supply chain flows. Additionally, when dealing with many and varied codes, different items, in various shapes/sizes, dimensions, and weights, the preparation of their shipment becomes extremely complex and time-consuming. In these cases, solutions with automatic G2P (goods to person) systems, AMRs & AGVs, are recommended to solve the problem. Robots bring products in boxes or shelves to the pickers, making the best use of their working time as they are not consumed in moving within the warehouse, optimizing time, and minimizing errors in deliveries while increasing final consumer satisfaction and significantly reducing product returns. Consequently, businesses that adopt automation and robotic systems have a significant advantage over the competition. A typical example is the use of 3D Shuttles, which offer uninterrupted 24/7 pallet management without "downtimes" and absolute accuracy, eliminating errors in the ordering process without human intervention. A significant advantage of the solution is also the great energy savings since they can operate in freezing chambers up to -25°C, supporting the sustainable development of the business with applications that reduce their energy footprint and provide the best response to the urgent need of the times for environmental awareness.
Moreover, a significant advantage of a warehouse based on modern operating systems is that it offers a safe working environment, considering that employees are vulnerable to the risk of accidents as warehouses are usually places with high mobility and work intensity. Ultimately, every step towards a safer and more pleasant working environment has an immediate and absolutely positive impact on every business.
Do you believe that small scale businesses can also benefit from new technologies?
A.V: Large-scale organizations lead the adoption of advanced technologies and make large investments based on the use of robotics and AI technology. However, the digital world affects companies of all sizes, and we see this in our interactions with customers who are much more interested in robotic applications than before. Judging by our clientele, I admit that most businesses are not multinationals but healthy, growing Greek production and retail companies, investing steadily and reaping the benefits of the integrated and quality solutions we offer. Examples of our recent projects include:
Businesses can take advantage of new technologies to optimize their operational functions, regardless of size, with the right solutions delegating the right provider as well.
Do you think that companies that fail to follow the trend of digital transformation will have a future?
A.V: The use of Artificial Intelligence (AI) and robotics in the supply chain is here to stay and will bring significant changes in the coming years. Over the next five years businesses are expected to double the level of automation in their supply chain processes. Automation and AI bring speed, efficiency, reduced operating costs, and a safer working environment. They are therefore a growth driver so, companies that do not follow the new era wave will lose their competitiveness as they will find themselves increasingly difficult to meet market demands.
According to recent surveys, businesses believe that workload will increase in the coming years, and consequently, the need for information systems to improve the level of customer service will significantly increase. Therefore, to meet the ever-increasing demands of final customers, businesses (retail & 3PL) must: a) develop a digital culture, b) reorganize their processes, c) train their staff and attract candidates with experience and expertise, d) invest in automation and smart system operations.