Automated warehouses lead to increased sales


Following online supermarket Ocado today announcing [3] an 11.5% jump in retail sales, Manu Tyagi, retail expert and associate partner at Infosys Consulting [4], commented on how their roll-out of automated warehouses has directly led to this increase in sales.

“It’s no secret that the rise in connectivity has led to an age of urgency in retail. Consumers now expect to order and receive items in a matter of hours, an expectation that has recently extended beyond Amazon orders and into consumers’ weekly grocery shops. Automation, when rolled out efficiently, can help boost ecommerce sales by providing consumers with what they want, when they want it. Retailers both online and on high streets are under constant pressure to keep up with this growing customer demand.

“Ocado is clearly an example of automation done right. What Ocado has done especially well is balance the use of both humans and machines in its operations. By retaining workers for ‘intelligent’ jobs – such as sales and business strategy – and deploying robots to do manual work like picking and packing, Ocado have not only streamlined but also _enhanced_ their supply chain. Today’s figures show that shareholders and customers alike are reaping the rewards.”

With customers demanding products quicker, without sacrificing on quality, what Ocado have done successfully is BALANCED THEIR SUPPLY CHAIN BETWEEN HUMANS AND MACHINES to ensure the best service – and that all-important boost to sales in a struggling market.