Automated vertical storage solutions – such as Vertical Lift Modules (VLMs), Vertical Carousels, and Vertical Lift Systems (VLS) – help businesses address skilled labor shortages by eliminating wasteful movement, reducing picking errors, and enabling workers to focus on higher-value tasks. These solutions maximize storage capacity and optimize facility layouts by using vertical space instead of expanding outward. Here’s how implementing ASRS (Automated Storage and Retrieval Systems) can improve warehouse efficiency, provide labor shortage solutions, and drive cost savings.
1. Automating Storage & Retrieval Reduces Labor Dependence
Traditional warehouse operations are highly labor-intensive. Workers spend significant time walking, searching for items, and manually retrieving inventory. This inefficiency contributes to higher labor costs and an over-reliance on a workforce that’s increasingly difficult to recruit.
How is warehouse automation a labor shortage solution?
- Reduces reliance on forklifts and other equipment: Automated storage solutions minimize the need for forklifts and order pickers by delivering inventory directly to operators.
- Lower training and certification costs: Because less specialized equipment is needed, businesses can reduce expenses associated with forklift certification and hiring licensed operators.
- Goods-to-person technology: Systems like VLMs and Vertical Carousels bring stored items directly to operators, eliminating unnecessary walking and wasted motion.
- Fewer employees required: Automated storage and retrieval systems enable a smaller team to manage more inventory, minimizing labor requirements without sacrificing productivity.
- Faster retrieval times: Automated solutions increase throughput, reducing the need for additional labor during peak demand periods.
Request your custom quote to see how much your business can save with automated storage solutions. Warehouses using VLMs can cut picking labor requirements by up to 66%, reallocating workers to higher-value tasks.
2. Reducing Errors and Rework Saves Time and Money
Labor costs don’t just come from wages – they also come from inefficiencies, including mispicks, rework, and slow fulfillment speeds. A single mispick can cost a business up to $100 per error, quickly adding up across thousands of orders.
The Right ASRS Solution can improve warehouse efficiency by…
- Increasing accuracy: Pick-to-light and barcode scanning technologies in VLMs and Vertical Carousels utilize laser technology to highlight their contents, reducing picks and ensuring precise inventory retrieval.
- Automating inventory tracking: Integrated software eliminates human error by maintaining real-time inventory levels.
- Creating consistent workflow: Automation ensures the same process is followed every time, improving accuracy and reducing rework.
Automated storage solutions reduce picking errors by over 90%, preventing costly mistakes and lost productivity.
Connect With Our Automated Storage Experts
3. Workforce Optimization Improves Retention and Productivity
The skilled labor shortage in manufacturing isn’t just about finding employees – it’s about keeping them. High turnover, injuries, and job dissatisfaction contribute to rising recruitment and training costs.
How Automation Solves This:
- Employee attraction and retention: Nearly 3 in 4 (74%) warehouse workers are at least somewhat willing to take a pay cut to work at another company with more technology tools to help them do their job.
- Automation enhances job satisfaction: ASRS allows employees to focus on higher-value, less physically demanding tasks, increasing engagement and reducing turnover.
- Ergonomic improvements: Common warehouse injuries include overexertion, repetitive strain, slips, falls, and exposure to hazardous materials. Systems like VLMs and Vertical Carousels can reduce bending, lifting, and reaching, minimizing overexertion and repetitive strain injuries.
- Higher job satisfaction: Employees are more engaged when focused on strategic, high-value tasks rather than repetitive manual labor.
- Less reliance on temp labor: Seasonal hiring challenges can be alleviated with automation, ensuring consistent productivity year-round.
It’s worth including ASRS in your workforce optimization strategies. A recent survey found that 74% of warehouse operators believe automation helps retain employees by reducing repetitive tasks and improving job satisfaction. Additionally, 70% of respondents reported that automation reduced physical strain on workers, contributing to a safer and more ergonomic workplace. These changes may not address the skilled labor shortage, but they will help you retain the employees you have. Warehouses that invest in ergonomic automation solutions see a significant reduction in workplace injuries, lowering turnover and training costs.
Connect With Our Automated Storage Experts
The Bottom Line: Automated is a Smart Skilled Labor Shortage Solution
Automating warehouse storage and retrieval isn’t just about reducing headcount – it’s about maximizing the productivity of the workers you have, and improving warehouse efficiency. VLMs, Vertical Carousels, and VLS solutions help businesses:
- Reduce labor dependence
- Increase accuracy and efficiency
- Improve workplace safety and employee retention
- Cut costs associated with mispicks and inefficiencies
In a world where labor shortages in manufacturing continue to cause concern, automation isn’t a luxury – it’s a necessity. Investing in automated vertical storage solutions is the most effective way to future-proof your operations, reduce labor costs, and maintain a competitive edge.
Ready to optimize your workforce and save on labor costs? Talk to our automated storage experts. Contact us today to learn how Vidir automated storage solutions can transform your operations.
