Why Will the Need for Tier 2 Solutions Diminish?
In short, because of intelligent automation. Autonomous mobile robot providers, like Locus Robotics, provide their own optimization. Warehouse workers work alongside autonomous mobile robots to fulfill orders. Warehouse execution systems emerged to optimize work across both the manual and more automated parts of the warehouse. Leading WMS providers – like Manhattan Associates, Blue Yonder, and Körber Supply Chain – offer WES.
What Does This Mean for Providers of Tier 1 Solutions?
They must focus on optimization and other functionality that drives labor productivity. Functionally, a Tier 1 solution should include the following:
When it comes to Tier 1 solutions, the architecture also matters. Ideally, the solution should be based on a public cloud architecture. The platform should include other supply chain applications sharing the same master data and database. The solution should be componentized. Components should not be inside the warehouse management or transportation system but rather independent, sharable, and composable. For example, if transportation plans can leverage pack logic components, typically used by a WMS, trucks can be filled more fully.
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