Sponsored by Phoenix Investors
Over the past several decades, science fiction movies have featured all kinds of things that were once unimaginable, such as robots, self-driving vehicles, and fully automated factories. As we reach a point where these fantasies have become a reality, the industrial real estate sector must look to a better future. This article will discuss some of the innovative new features found in warehouses and what property owners can do to support them.
What does a smart warehouse look like?
A “smart warehouse” is so named because it relies on artificial intelligence (AI) and machine learning (ML) software solutions to enable the identification and correction of inefficiencies. The COVID-19 pandemic and the ensuing labor shortage prompted warehouse operators to adopt innovative ways to take orders and get them out the door with minimal staff, which greatly advanced the use of this type of warehouse technology. To keep pace with post-pandemic volumes, some of the solutions that are growing in popularity for the warehouse sector include:
- cobot and drone, Many warehouses have implemented robotic solutions to pick up items. These advanced robots leverage AI, cameras, radio-frequency identification (RFID), barcode scanners and other capabilities to identify items and bring them to a warehouse associate for convenient packing.
- Internet of Things (IoT), IoT solutions leverage an Internet connection to maintain continuous communication with warehouse systems, such as a Warehouse Management System (WMS), enabling continuous customization. As a result, these systems can accomplish mundane tasks much faster while minimizing the risk of human error.
- mobility solutions, With robotics and IoT solutions, e-commerce businesses are making their warehouses smart by using wearable technologies and mobile device solutions to keep their partners connected to WMS and automated devices. These technologies enhance the capabilities of each warehouse worker, helping the facility to accomplish more with a smaller workforce.
- better analysis. Through advanced analytics capabilities, Smart Warehouse technology monitors order processing data and machine learning to predict ebb and flow in order volume with a high accuracy rate. This capability enables warehouse managers Consistently optimize labor, space and inventory levels,
Construction of the warehouse of the future begins now
The days of dusty old warehouses have faded as a new era of online shopping and same day shipping dominates the market. with driving online sales Unprecedented growth in storageMust be in sync with property owners The evolving needs of modern warehouse tenants, even if we are talking about million square feet Mega-Fulfillment Center or 10,000 Square Foot Micro-Fulfillment CenterThe e-commerce sector will seek the following to increase efficiency:
- excellent connectivity, Modern businesses have gone online. As a result, these companies are no longer hosting legacy software on-site in internal server farms. Instead, these businesses need advanced connectivity to support the simultaneous use of dozens of cloud-based software. to appeal for new generation of supportersLandlords should get the warehouse wired for the highest possible internet speed. Additionally, lessees want reliable access to other advanced connectivity services, such as Wi-Fi 6, 5G, and SD-WAN.
- Stability. Studies have shown that Most Americans engage in permanent behavior At home. with 64% of US shoppers are willing to spend more on sustainable brandsE-commerce tenants will increasingly pursue greener warehouse leasing opportunities. Even though the cost of leasing a warehouse may be slightly higher than implementing permanent changes, tenants know that they may pass on some of that cost to the consumer.
- High power capabilities. Automated solutions and the Internet of Things (IoT) draw significantly more power than traditional warehouses were built to handle. Property owners hoping to appeal to e-commerce tenants should ensure that their warehouses can handle the higher power requirements of more intelligent technology solutions. Until the last point about sustainability, ensuring that electricity comes from renewable sources would provide an added bonus.
With this infrastructure, e-commerce fulfillment operations And other tech-savvy industrial tenants can lease industrial space without worrying about the property’s ability to support future needs.
About Phoenix Investors
established by Frank P. Crivello In 1994, based in MilwaukeePhoenix Investor and its affiliates (collectively “Phoenix”) are leaders in the acquisition, development, refurbishment and restoration of industrial facilities throughout the United States. Using a disciplined investment approach and successful partnerships with institutional capital sources, corporations and public stakeholders, Phoenix has a proven track record of generating superior risk-adjusted returns while providing cost-effective lease rates for its growing portfolio of national tenants. have developed. Its efforts inspire and inspire change and revitalization of economic engines in the communities it serves. Phoenix continues to be defined by thoughtful relationships, sophisticated investment tools, cost-effective solutions and a reputation for success.