“In warehouses, AR (Augmented Reality) through the use of smart glasses or headsets that display real-time information to warehouse workers, can ensure accurate and quick order picking.”
With advancements in technologies, the modern supply chain and retail/e-commerce businesses are actively integrating technologies such as Augmented Reality (AR), the Internet of Things (IoT), and Radio Frequency Identification (RFID) to significantly enhance warehouse order-picking processes. It leads to improved efficiency, accuracy, and overall operational performance. Businesses such as retail and e-commerce are prioritizing order fulfillment and customer experience and given the highly competitive retail landscape, it makes sense to invest in these technologies. Retail giants like Walmart, Target, and Amazon are striving to boost their presence in foreign countries as the Deloitte Global Retail Outlook Report 2024 highlights that retailers are focusing on growing their market presence (22%) after reducing costs (30%), improving supply chain resilience (23%), and becoming sustainable (22%).
Technologies like Augmented Reality add a layer of digital interface to the physical warehouse operations. Warehouse Order Picking is a simple yet extremely crucial task that depends on warehouse layout, inventory visibility, and complete knowledge of the warehouse. Warehouses with a floor area larger than 90k sq feet can benefit from AR technology where workers can visualize the entire warehouse and stock on a single digital screen and streamline the order-picking process. Tagging stocks and pallets with RFID tags, creating zones with BLE beacons and gateways, and leveraging indoor navigation ensure accurate and quick order picking.
How AR, IoT, and RFID Enhance Warehouse Order Picking?
AR, IoT, and RFID technologies for warehouse order picking work collectively to enhance stock visibility on the floor. Having real-time information on which items are located where and which items need to be picked as per pick-list, First-in-First-out, etc. Augmented Reality allows the staff members to digitally visualize the entire inventory on a screen and quickly locate the items for order picking using a handheld RFID scanner and BLE indoor navigation.
Implement RFID in the Warehouse
RFID technology plays a crucial role in enhancing retail supply chain and warehouse management. It allows for the tracking of inventory throughout the supply chain, from the warehouse shelves to the sales floor. RFID tags are used across various supply chain processes, including scanning raw materials, completing products, transporting goods, and storing products, with accuracy and speed.
The technology also offers several benefits in supply chain management and logistics. On goods arrival in warehouses, employees can use handheld RFID scanners to scan the goods on each pallet and add the new stock to the Warehouse Management System (WMS). Additionally, as products are stored in the warehouse, RFID tags enable location tracking, and when pickers select goods, they can scan each RFID tag, marking the item as leaving the distribution center.
Integrate RFID and IoT
The integration of RFID and IoT technologies can lead to enhanced management system efficiency, maximized productivity, and minimized costs in the supply chain. Thus RFID and IoT technology integration provides real-time data on item location, shipment status, and stock levels, allowing for improved decision-making and automation of processes.
Train Employees in Warehouse Operations with AR
Another significant advantage of using AR in warehouse order picking is the ability to facilitate the training and onboarding of new employees. By overlaying instructional videos, 3D models, or interactive tutorials onto the physical environment, AR technology can help new workers quickly understand the layout of the warehouse, learn picking procedures, and become proficient in their roles. It not only reduces the time and resources required for training but also ensures a consistent and standardized onboarding process across different shifts and locations.
With AR-powered visualization tools, warehouse managers can also analyze the layout of the warehouse and simulate different storage configurations to maximize space utilization and minimize travel time during order picking. It leads to more efficient workflows and reduced operational costs.
AR and IoT in Warehouse Order Picking
One of the primary applications of AR in warehouses is through the use of smart glasses or headsets that display real-time information to warehouse workers. When a worker wearing AR glasses looks at a shelf or a storage location, the AR system can superimpose digital graphics onto the worker's field of view, providing crucial information such as the location of the item, the quantity to be picked, and the most efficient picking route. This eliminates the need for workers to constantly refer to handheld devices or paper pick lists, allowing them to have both hands free to pick items, thus increasing productivity.
In addition to RFID, the integration of AR and IoT technologies can further enhance warehouse order-picking processes. IoT devices can communicate with each other and with the warehouse management system, enabling real-time tracking of inventory and facilitating seamless coordination of order-picking activities.
Enhanced Visibility and Decision Making
The combination of RFID, AR, and IoT technologies enhances visibility throughout the supply chain, from manufacturing to the retail floor. The enhanced visibility on the inventory floor allows for improved decision-making, dynamic pricing, theft reduction, and employee tracking. Moreover, the real-time data provided by these technologies enables retailers to minimize out-of-stock situations and improve the customer experience.
AR can assist in reducing errors by providing visual and audio cues to guide workers through the picking process. For instance, the AR system can highlight the exact location of the item on the shelf and provide step-by-step instructions on how to pick and pack it. Such real-time guidance minimizes the likelihood of picking the wrong item, leading to improved order accuracy and customer satisfaction.
To summarize, the integration of AR, IoT, and RFID technologies offers significant potential to enhance warehouse order picking in supply chains and retail/e-commerce businesses. These technologies provide real-time data, improve inventory accuracy, and enable efficient and automated processes, ultimately leading to enhanced operational efficiency and customer satisfaction. In addition to these benefits, AR and IoT sensors can also enhance safety in warehouses. The AR system can alert workers to potential hazards, identify restricted areas, and display safety guidelines in real-time, thereby reducing the risk of accidents and injuries.
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