Benefits of using Smart Warehousing Technology

Warehouses are integral and essential entrepreneurial commandments that allow enterprises to store the associated inventory in a highly secured environment. With ecommerce slowly becoming a reality, the onus is now on the business to store their products safely before the big dispatch; thereby making sure that customers get exactly what they paid for. Moreover, with technological advancements assisting the logistical arena, warehouses have now evolved into indispensable business tools instead of being considered as simple storage facilities.

The latest industrial buzzword, however, is smart-warehousing which efficiently connects the basics of warehouse management with smarter technologies; thereby revolutionizing the entire concept of inventory management and e-commerce business.

Deciphering Smart Warehousing

The basic layout of a smart warehouse involves the addition of computing prowess, specifically for automating certain processes. Smart warehousing, therefore, can be regarded as a process where the entire storage facility comes equipped with the likes of bar code scanners and automated management techniques. The associated inventory is skillfully stored and managed as smart warehousing brings forth the underlining concepts of IoT and diverse RFID solutions. Moreover, there are certain Smart warehouses that even have location trackers, allowing businesses to trace dispatches, regardless of their positions.

Why Should Businesses go for Smart Warehousing?

While traditional warehouses can save a lot of money, the smart ones are better equipped when it comes to managing the inventory in a more efficient manner. That said, smart warehousing technology is quite expensive as compared to the traditional ideas but their benefits clearly outweigh the existing cons. Smart warehousing perfectly leverages the supply chain technology and even pairs the same with Internet of Things; thereby boosting the efficiency of the entire storage hub.

1.      Enabling Smart Contracts

One of the most essential traits of using a Smart warehouse happens to be the advent of smart contracts. Every detail regarding the inventory gets updated and recorded online; thereby simplifying the overall process of storage and management. Business can therefore manage the financing arrangement of the inventory is a more seamless manner while abiding by the Inventory Financing Agreement. Unlike a conventional warehouse that is incapable of keeping a digitized record of sales, Smart Warehouses can easily keep tabs of the dispatched inventory courtesy the flexibility of smart contracts.

IFA, therefore, is a typical example of smart contract which is validated by Smart Warehousing technology. Every tabulation process is exceedingly transparent with this technology on-board. Lastly, the associated records cannot be deleted with Smart warehousing technologies on-board. Apart from that, businesses can make the best use of location tags and implement blockchain technology on their existing inventory management plan.

2.      Increased Accuracy

Another exemplary benefit of smart warehousing is the increased levels of accuracy on offer. In most cases, smart warehouses come forth with automated technologies which eventually minimize human labor. Inventory owners can deploy automated technologies for minimizing the risk associated with product damages. Moreover, automation minimizes the human errors and amplifies the efficiency of the concerned warehouse. In most cases, ecommerce logistics fail to deliver products on time courtesy the existence of inefficient inventory processing techniques. While manual management techniques are bound to be erroneous and time-consuming, automation can quickly dissolve this issue by speeding up the existing processes like shipping and packing.                                                                    

3.      Better Tracking Options

As mentioned, Smart Warehouses are usually equipped with latest technologies, making them highly resourceful and functional. The likes of integrated sensors, RFID tags and even devices are paired with the inventory essentials for improving the efficiency of systems. The involvement of Internet of Things further improves productivity as businesses can now access information without being restricted to the workstations. Smart Warehousing also improves shipping accuracy and offers unparalleled visibility into supply chains and inventories.


Warehousing has come a long way since its inception. At present, majority of organizations are embracing smart warehousing as a part of their functioning. This technology is further bolstered by the inclusion of IoT and IoE or Internet of Everything. While certain organizations are still facing execution challenges, it’s all about handling the basics of warehouse control, warehouse management and building automation systems associated with the concerned organizations. Last but not the least, every smart warehouse must perfectly combine smart systems with legacy alternatives; thereby getting hold of multiple connectivity schemes. It needs to be understood that Smart warehousing, in association with IoT can easily minimize the existing costs and speed up the processes leading towards product remittance.

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