The period will see a warehouse increase with some 57,000 more distribution facilities in operation by then compared to last year. The continued growth of the e-commerce market and ascending customer expectations are putting huge pressure on warehouses to execute more instant and adjustable deliveries. This is directing investment in warehouse facilities, automation technologies, and warehouse management systems to put together and optimize operations.

 

“The warehouse is becoming the engine room of the supply chain and is, therefore, a focal point for investment from retailers, manufacturers, and logistics service providers,” said ABI Research principal analyst Nick Finill. “As the warehouse technology ecosystem becomes increasingly complex, supply chain operators require more sophisticated management systems that can orchestrate the high volume and variety of intelligent, connected devices and systems within their facilities, as well as the flow of inventory.”

 

The firm finds that as the e-commerce boom grows in and stretches beyond the established economies of China, Japan, and Korea, the Asia-Pacific will discover the greatest growth of warehouse facilities and WMS revenue, becoming the biggest market for the software by 2023. The prompt adoption of WMS is also imagined in the emerging economies of the Middle East, Africa, and Latin America. Europe and North America will experience powerful growth as supply chain operators increase spending on upgraded software systems.

 

WMS expenses will also deviate in accordance with industry verticals. The retail, food and beverage, and manufacturing sectors will be responsible for the highest growth rate as they catch up with more mature verticals, for example logistics service providers.

 

ABI’s data suggests AI-driven innovation from WMS market leaders such as for example JDA Software, High Jump, and Manhattan Associates is allowing significant adaptability and functionality in WMS and Warehouse Execution Systems, an extremely important orchestration layer linking high-level management with connected machines. At the device and machine level, greater automation is creating demand for more advanced Warehouse Control Systems from major automated material handling solution providers such as Bastian Solutions, Dematic, and Honeywell Intelligrated.

 

“The increasing velocity of goods through the supply chain is driving demand for real-time decision making and optimisation,” said Finill. “As the margin for error in the warehouse decreases, AI and ML-enabled WMS solutions are becoming imperative for warehouses that rely on speed, efficiency, and intelligence to remain competitive.”

 

Source: TRONSERVE