Discover the Latest in Intralogistics & Packaging Automation – December Issue Out Now!  Click Here to Read.

Discover the Latest in Intralogistics & Packaging Automation – December Issue Out Now!  Click Here to Read.

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Automation in intralogistics and packaging enhances supply chain resilience

Vijay Harti, the Operations Director at VSH Logistics Solutions Pvt Ltd, is at the forefront of innovations in intralogistics automation, particularly where emerging technologies such as AI, IoT, and robotics drive operational efficiency. His insights shed light on the most transformative trends, from predictive maintenance to AI-powered warehouse systems, that are reshaping the logistics landscape.

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Vijay Harti, Operation Director, VSH Logistics Solutions Pvt Ltd.

What are the most significant trends seen shaping the intralogistics automation sector?

The trends may be summarised as follows:

1. AI and Machine Learning (ML) in Automation

  • Predictive Maintenance: AI predicts equipment failures, reducing downtime and maintenance costs.
  • Computer Vision and Robotics: AI enhances robots' capabilities for sorting, picking, and placing.

2. Warehouse Management and Execution Systems (WMS/WES)

  • Seamless Integration: Modern WMS/WES integrates with automation for smooth warehouse operations.
  • AI-Powered Solutions: AI optimises inventory tracking, order processing, and real-time updates.

3. Last-Mile Delivery Automation

  • Micro-Fulfilment Centres: Automated centres near customers speed up delivery in urban areas.

4. E-commerce Growth and On-Demand Warehousing

  • Higher Automation Demand: E-commerce drives investment in automation for handling orders.
  • On-Demand Warehousing: Flexible storage solutions help manage fluctuating demand.

5. Training Ground Staff

  • Focus on new automation tools to improve warehouse efficiency and adaptability.

How are emerging technologies like AI, IoT, and robotics enhancing efficiency, predictive maintenance, and real-time decision-making in intralogistics automation?

1. Artificial Intelligence (AI)

  • Optimised Operations: AI analyses data to predict demand and optimise tasks like inventory management and order picking, reducing costs and improving resource use.
  • Predictive Maintenance: AI predicts equipment failures using sensor data, enabling proactive maintenance and minimising downtime.
  • Real-Time Decisions: AI processes data instantly to identify bottlenecks and adjust operations, providing actionable insights for informed decision-making.

2. Internet of Things (IoT)

  • Enhanced Connectivity: IoT sensors gather real-time data on inventory, equipment, and supply chain conditions, improving control and decision-making.
  • Asset Monitoring: IoT detects equipment issues early, scheduling maintenance to prevent breakdowns and cut costs.
  • Inventory Management: IoT ensures real-time stock visibility, automating reorders and improving accuracy in locating items.

In what ways is the integration between intralogistics and packaging automation evolving? How are these two sectors creating synergies?

The integration of intralogistics and packaging automation is transforming supply chains for greater efficiency, cost-effectiveness, and sustainability. Key developments include:

1. End-to-End Automation: Seamless systems streamline goods flow from storage to shipping, reducing manual handling, errors, and speeding up order fulfilment.

2. Increased Efficiency: Synchronised operations in picking, sorting, and packaging boost throughput, while scalable automation adapts to fluctuating demand.

3. Sustainability: Automated packaging creates right-sized packages, reducing waste and using eco-friendly materials to lower the environmental impact.

4. Enhanced Traceability: Integration with Warehouse Management Systems (WMS) ensures product traceability, compliance, and accurate automated labelling.

5. Optimised Order Fulfilment: Automated quality control and order-specific packaging enhance customer satisfaction by reducing errors and improving delivery accuracy.

How can automation solutions in packaging and intralogistics drive operational efficiency, support sustainability goals, and help businesses meet evolving regulatory requirements on sustainability?

The combination of intralogistics and packaging automation creates several significant synergies that enhance the overall performance of supply chain operations:

  • Improved Speed and Accuracy: Integrated systems lead to faster and more precise operations, from picking to packing to shipping, which reduces order lead times and increases customer satisfaction.
  • Cost Savings: Automation reduces labour costs, minimises packaging material usage, and optimises shipping costs through efficient packaging and logistics coordination.
  • Greater Agility: The ability to quickly adapt to changes in demand or order requirements makes the supply chain more agile, allowing businesses to respond rapidly to market trends.
  • Enhanced Sustainability: Right-sized packaging, reduced waste, and optimised logistics workflows contribute to sustainability initiatives and reduce the carbon footprint of supply chain operations.
  • Seamless Information Flow: Data from intralogistics and packaging systems flows seamlessly between different systems, creating a unified platform for real-time decision-making and improved supply chain visibility.

How are companies approaching the need for flexibility and customisation in automated packaging and intralogistics systems, especially in the context of varying consumer demands?

1. Smart Packaging Solutions

  • On-Demand Packaging: The integration of intralogistics with automated packaging solutions enables on-demand packaging, where machines dynamically adjust box sizes to fit the product dimensions. This reduces material usage, shipping costs, and the environmental impact of excess packaging.
  • Customisation and Flexibility: Automation enables greater flexibility in packaging, allowing companies to cater to customer preferences for personalised or branded packaging with minimal human intervention. Smart packaging machines can switch between different packaging formats rapidly, responding to varied product demands.

2. Data-Driven Decision Making

  • Real-Time Monitoring and Analytics: The use of data analytics and IoT in both intralogistics and packaging automation provides real-time visibility into the status of products, machinery, and orders. This allows for better inventory management, optimised packaging processes, and more accurate demand forecasting.
  • Predictive Analytics: Data collected from packaging machines and intralogistics systems is analysed using AI to predict equipment failures, optimise maintenance schedules, and streamline supply chain operations, reducing unplanned downtimes and enhancing overall efficiency.

How is automation in intralogistics and packaging contributing to supply chain resilience in the face of global disruptions?

Automation in intralogistics and packaging enhances supply chain resilience by increasing flexibility, speed, and responsiveness in the face of global disruptions. Automated systems can quickly adapt to changing demand patterns, supply shortages, or labour constraints, allowing businesses to scale operations up or down without sacrificing efficiency.

Automation reduces dependency on human labour, which is crucial during disruptions like pandemics or workforce shortages. Robots, AI-driven systems, and automated warehouses ensure continuous operations with minimal downtime. Additionally, advanced data analytics in automation provides real-time visibility into the supply chain, enabling quicker decision-making, better forecasting, and proactive risk management, helping businesses to anticipate and respond effectively to disruptions.

How do automation solutions in intralogistics and packaging differ across various industries, and what industry-specific trends are driving their adoption?

Automation solutions in intralogistics and packaging differ across industries based on their unique requirements, operational complexities, and the nature of their products. Here's a brief overview of the differences and industry-specific trends:

1. Manufacturing and Automotive: These industries require high precision and just-in-time delivery in their logistics. Automated guided vehicles (AGVs), collaborative robots (cobots), and advanced conveyor systems are commonly used. The drive toward Industry 4.0, with a focus on digital transformation and smart factories, is a significant trend in this area.

2. Logistics and Warehousing: Flexibility and speed in managing diverse product types and volumes are essential. Innovations like AI-powered warehouse management systems, drone technology, and robotics for order fulfillment are widely implemented. The growth of global supply chains and the need to manage complex logistics networks are fueling automation trends.

3. Retail and E-commerce: This industry focuses heavily on speed, efficiency, and scalability due to high demand fluctuations. Automation trends include robotics for picking and sorting, automated storage and retrieval systems (AS/RS), and AI-driven inventory management. The rise of channel retailing and fast delivery expectations are key drivers of automation adoption.

4. Pharmaceuticals and Healthcare: Precision, traceability, and compliance with strict regulations are crucial in this sector. Automated solutions like track-and-trace systems, robotic handling of delicate products, and temperature-controlled packaging are widely adopted. The focus on patient safety and the growing demand for personalised medicine are major trends driving automation.

5. Food and Beverage: Hygiene, quality control, and rapid handling of perishable goods are top priorities here. Automation trends include robotic packaging systems, vision-based inspection technologies, and smart conveyors that maintain cleanliness. The demand for sustainable packaging and efficient handling of fresh products is accelerating automation in this sector.

Overall, the adoption of automation in intralogistics and packaging is driven by industry-specific needs for efficiency, speed, precision, regulatory compliance, and sustainability. Emerging technologies like AI, robotics, and IoT are shaping these trends, making supply chains more resilient and responsive to market demands.

How are companies balancing human labour with automation in intralogistics and packaging, and what role does human-machine collaboration play in this transition?

Companies are balancing human labour with automation in intralogistics and packaging through a hybrid approach that leverages the strengths of both. Rather than replacing workers, businesses focus on human-machine collaboration, where automation handles repetitive, hazardous tasks, while humans concentrate on problem-solving and decision-making. Collaborative robots (cobots) work alongside humans in tasks like heavy lifting and sorting, boosting productivity and safety. Companies also invest in upskilling workers to manage these systems. This synergy between human expertise and machine efficiency enhances flexibility, resilience, and overall operational efficiency.

(The views expressed in interviews are personal, not necessarily of the organisations represented)

Vijay Harti, in an illustrious career spanning 2 decades, is focussed on supply chain management for complex and long-term projects including creating and implementing various supply chain strategies/ processes / procedures; and coming up with innovative ideas to translate project objectives into clear and actionable business plans, and requirements and recommendations.

  • A perceptive and proactive leader and an innovation specialist with extensive experience in vendor rationalisation and analysis across geographies and industries with a skill for coming up with solutions that dissolve barriers in sourcing and procurement
  • Experienced in supply chain function in commercial operations, manufacturing and product management, project coordination and administration with leading companies in the telecom sector
  • Top management professional who enjoys problem-solving such as addressing cost issues head-on, resolving performance issues, strengthening productivity and accelerating profit especially in competitive projects through pioneering sourcing initiatives and ensuring efficient and timely execution
  • Gained international exposure of visiting China (Suzhou & Guangzhou) to study the base station antennas packing and how to stack in the containers which optimise the space and reduce the freight cost in 2005 Proven planning skills which are reflected in the track record execution, as a result of which all contracts have been competitive, profitable, executed on time and within budget and with minimum performance issues which were all resolved
  • Spearheaded the Warehouse VSM, VSD, LFMA and Risk Analysis, Crisis Management, HSE Topic at Warehouse & support for global warehouse on implementation
  • Quality Management on customer complaints/damage (4Q & 8D) Support global and local project planning and consolidation of the warehouses
  • Devising & implementing Global Category Management initiatives, including selection of Key Global Category Managers

Selected Highlights and Contributions

  • Devised strategic plans for Transport Network Optimisation that resulted 16% cost saving
  • Aligned roadmap for modernisation of warehouse for 30% productivity enhancement with reduction of warehouse operation cost, and

Conceptualised Warehouse Footprint Optimisation Roadmap from 24 to 16 locations, reduced operation cost by 31%. 

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