How Automated Storage and Retrieval Systems have Knock-On Effects on Achieving Operational Efficiencies?

Published: 13 Jan 2024

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Today, hiring or purchasing space inevitably results in a significant capital investment.

For most industries when space is a constraint or is available at an astronomical price premium like in Metro cities or Tier 1 cities, an efficient storage mechanism is required to store and fetch raw material and inventory for operations.

 

An Automatic Storage & Retrieving System, a.k.a  AS/RS has the capability to sort, store, locate, transport and pack inventory in a desired and planned manner.

 

An Automated Storage and Retrieval System (AS/RS) is a computer-controlled system which effectively stores and replenishes loads or inventory from specific locations.

 

AS/RS technology is widely used in warehouses, manufacturing units, and distribution centers for materials transport and inventory management purposes.

 

These systems are usually required by a slew of industries as varied as cold storage, automotive manufacturing facilities, pharmaceutical manufacturing, food and beverage, tyres, tiles and ceramics, CPG and e-commerce applications.

 

In this article, we’ll walk you through the top benefits of installing and functioning an Automated Storage and Retrieval System for your business:

 

 

  • Increases efficiency

Automating these tasks increases accuracy and efficiency while also freeing up human workers to focus on higher-value activities.

 

 

  • Optimum Space Utilisation

Most AS/RS solutions require narrower aisles compared to facilities that require enough aisle space for human workers and equipment such as forklifts to pass through, often with bi-directional traffic. Narrower aisles free up more storage space for goods and materials, allowing warehouses and DCs to store more items without expanding the facility. Facilities can also make better use of vertical space, as automated storage and retrieval systems can more easily reach higher storage locations than human workers.

 

 

  • Reduction of variable costs

Automated storage and retrieval systems reduce the variable cost of operations by reducing the need for manual intervention or labor for tasks such as picking, storing, and inventory replenishment. These costs are variable, and expenses such as overtime, benefits and payroll taxes escalate the total cost of manual labor at storage facilities.

 

 

  • Modular Nature of the Product Helps Plan and Budget Investment in Stages

AS/RS systems can be costly and require an initial capital investment.

However, these systems can be installed in a modular manner; staggering the capital investment based on capacity utilization and capital adequacy.

An operation can migrate inventory segments into AS/RS gradually—as a case in point example, prioritizing fast-moving product first—limiting initial expense, and later budgeting for a transition to a fully automated system.

 

 

  • Better Real-time Inventory Management

Most automated storage and retrieval systems have a warehouse management system (WMS) that identifies and controls the stock in real time. With the movement history, logistics managers can rigorously control product traceability.

 

 

  • Productivity and high availability of inventory 24 x7

AS/RS ensure continuous, uninterrupted inflows and outflows of goods, inventory and material. The handling of equipment can be virtually 24/7.

 

The Magnum Resources team can help you understand the specific advantages of investing in an AS/RS for your business, plan your initial investment in an ASRS solution and our team of experts will help guide and deliver the instillation.

 

We install Sieger Astor AS/RS which leads to several added advantages over similar solutions such as:

 

  • More than 65% savings in storage space
  • Significant time reduction in storing and fetching
  • Easy identification of old stock
  • Better inventory control

 

Using our AS/RS means reducing your inventory storage space requirement to a fourth of what is otherwise required. Thus, a 75% reduction in space and a consequent significant saving in cost of hiring or purchasing such storage space.

You can get in touch with our team of subject matter experts by calling: +91 9924104568

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You may write to us and inform us on your specific product query by emailing us at: info@magnumresources.co.in