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Understanding the Future of Warehouse Digitalization – 2022

 The business revolution is all due to e-commerce & its innovative ways of doing business. Previously, only big companies with multinational presence were able to do international trade and logistics. They would have warehouses at multiple locations and multiple countries enabling them to do international trade easily. However, it was a very costly way of doing business. 

Small businesses do not have the option of a global presence as it was a very costly and unmanageable process for small enterprises. Small businesses were mostly doing sales within their cities or only within their countries. 

E-commerce has given small companies the option to go global. The success of online businesses has led to more companies coming into the e-commerce businesses. This concept of e-commerce has led to an increase in demand for warehousing. Traditional warehousing is an obsolete term now. In that few employees in storage space were managing things without proper documentation using forklifts.

The traditional way of warehousing is inefficient and cannot handle the increasing demand for warehousing. This demand for inventory management, warehouse management has led to warehouse digitalization. Digital warehousing not only has increased the efficiency of the supply chain process.

Digital Warehousing:

It is the process of allied services that employ automation and technology to maximize the efficiency of warehousing workflow. Digital warehousing provides the option to the businesses to hire the service of 3PL third-party logistics. They will help with handling and fulfillment of their online order of e-commerce platform. Digital warehousing has helped small businesses to improve their efficiency. Also, delivering the product to the customer, with a higher rate of accuracy. Digital warehousing by using the technology and automation system enables the business to know exactly about its inventory level. It also helps the business in better inventory management. In digital warehousing, hiring the service of the 3pl third-party logistics has enabled the business to manage efficiently. Even globally without investing in infrastructures such as buying space and building warehouses.

Difference Between Digital Warehousing & Traditional Warehousing.

In traditional warehousing, the focus of the e-commerce business is to store the products until receiving an order for fulfillment. Traditional warehousing does not have an automated tracking system. Thus, tracking and inventory management is an issue in the traditional way of warehousing. Without the use of technology or system traditional warehousing results in inefficiency and customer unsatisfied due to higher lead times.

On the other hand, digital warehousing uses systems and technology to manage the warehouse properly. The warehouse management and inventory management enable the business to track the inventory level of the product in real-time. Further, the option of 3pl Third-party logistics has given the ability for faster order fulfillment and better customer satisfaction. 

Benefits of Warehouse Digitalization:

Digital warehousing has revolutionized the way products were stored and processed for order fulfillment. It has further enabled small enterprises to manage their warehouses globally through the services of 3pl. There are a lot of benefits of digital warehousing. A few important benefits are as follows:

Efficiency Level:

The foremost benefit of digitalizing warehouse management is that increases the efficiency level of the basic warehouse workflow. It is achieved by automating the whole process. By replacing the manual work with technology and automated systems. It includes inventory management and barcoding it helps in better tracking of products. 

Inventory Management:

The second benefit of digital warehousing is it help in warehouse management and inventory management in an efficient way. Businesses by using the proper technology and systems can always know about the placement of the product. The digital warehousing will complete updated real-time data on the inventory level.  It helps in the proper planning of their stocks.

Eradicate the siloed systems

Digital warehousing has the capability for the fulfillment of orders through multiple centers. The system has better tracking of inventory under digital warehousing. This will help in eradicating the siloed systems. Thus, enabling to manage hurdle in the efficient working of multiple fulfillment centers.

Digital warehousing implements management systems that give the real-time tracking of orders. Also, the inventory level along with the indication of the place the product is stored. All this will result in an increased efficiency level at warehouse management.

 The Future of Warehouse Digitalization 

Digital warehousing is the future of storage management. There is still a lot of room for improvement in digital warehousing. New technology and systems will further enhance the efficiency level of this way of storing and fulfilling the orders. Below, we will discuss the point that will further enhance the capabilities of digital warehousing in the future beyond 2022.

Inventory management systems:

In the future, more work will be done in better inventory management. Companies invest heavily in the stock that lies in the warehouse. These levels of stocks can be reduced to the minimum level as per keeping in view the demand analysis of the customer.

Warehouse management systems:

The total workflow of the warehouse management from receiving, stacking, packing, and then handling. Finally, fulfillment of the order needs to be further improved to increase its efficiency levels. Warehouse management systems that can control all the networks of the warehouse across the globe in a centralized system. It will further enhance the ability of the companies to better track their order, products, and inventory level in real-time.

Real-time data processing:

The future of digital warehousing is expected to further increase the ability to process. The real-time data for the stock, order fulfillments and placement to the most accurately are benefits of digital warehousing. It will help the companies in better managing the warehouse and overall management of workflow. It can also reduce the cost of managing the stocks

Demand Forecasting:

The benefit of the digital warehouse can enable to better forecast the demand together stock and supply level of their product. The real-time data on the stock of their product and order fulfillment will help the company in analyzing the demand for their product and they can plan better.

Warehouse automation:

Full automation of the warehouses eliminates manual labor to increase the efficiency of the warehouse. It also will increase the ability to manage workflow. 

Automated vehicle

The automated vehicle in warehousing digitalization such as lifters and other machinery for handling the product. The use of automated vehicles in the warehouse will increase the efficiency levels and accuracy rate. It will also decrease the dependency on humans.


Digital warehousing is the future of the way the product will be stored, handled, and sent for order fulfillment. However further improvement in the technology and automation systems will further increase its abilities to handle and will enable the businesses to the better demand forecast. These all benefits of digital warehousing are leading the e-commerce business into a new era that is opening up even new possibilities of handling and managing the stocks by new, small enterprises while going global

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