The Robot Anchor: Is Automation the Future of the Last Mile?
Robotics is one of those subjects that captures the imagination. Sci-Fi futures where robots are commonplace regularly appear on the silver screen and the pages of novels. But how close are we to this vision of the future? The answer may be more immediate than we think. Many startups and giants within the supply chain and transportation industries are investing heavily in the R&D of robotics technologies. The application of robotics in the supply chain has the potential to revolutionize many current operations, especially last-mile delivery. We have discussed the last mile and its challenges in previous articles. However, this issue continues to puzzle supply chain managers, especially regarding e-commerce and the demand for faster delivery and fulfillment times. This article will recap some of the problems associated with last-mile logistics, discuss possible applications of robotics, and identify strategies both startups and established companies are employing to capture the potential benefits of this technology.
The Last Mile Challenge
Most would agree that the main challenge of the last mile is the uniqueness of individual customer demand. The massive variety in customer orders, order time, and destination pose a considerable problem for supply chain managers. Less-than-truckload is not exempt from these issues. LTL runs into difficulties when attempting to consolidate shipments for the final leg of the journey effectively. The uniqueness of customers makes it difficult to pack trucks and schedule deliveries efficiently. With the continued rise of e-commerce, this problem is only becoming more pressing. Many carriers are simply preceding last-mile delivery to avoid the hassle. Companies who remain in the game are now looking for an advantage to meet and capture final mile demand effectively. One possible advantage firms are considering is the application of robotics in the last mile.
The Future is Here: Current Applications of Robotics
The prospect of robots in daily life seems fanciful. However, current technologies are already being developed and implemented in today’s supply chain. We have previously discussed the growing prevalence of autonomous trucking and innovative warehousing, but these and other technologies may become even more widespread. Tech startups are exploring possible applications of robotics in the supply chain. Skype creators Ahti Heinla and Janus Friis founded a ground-delivery robotics company, Starship. Although the robots are still in the beta testing phase, the potential benefits of this technology have already captured the attention of competitors and copy-cats. Since Starship’s unveiling, many similar companies have developed comparable product offerings. The development of robots for the supply chain is not confined to startups. Many prominent industry players also want to implement autonomous technology into their operations. Amazon, for example, has invested heavily in developing drones for home deliveries. These drones bring many potential benefits, including more straightforward navigation of urban and rural areas and faster fulfillment times. Auto manufacturers are also embracing autonomy in their vehicles. Companies such as Ford, BMW, and Daimler are investing in developing self-driving cars. The continuing saturation of automated vehicles in the market will make it considerably easier for transportation companies to implement the technology into their supply chains. These motorized vehicles can help lessen the problems of the last mile through on-the-fly calculations of better driving routes, reduction of human error and inefficiencies, and 24-hour delivery.
The last mile continues to be a dilemma for supply chain managers. However, the growing application of robotics in the supply chain may solve many of its problems.
The original article is from RedWood “The Robot Anchor: Is Automation the Future of the Last Mile?.“