There’s no doubt, 2020 has been by far one of the most challenging years any of us have experienced.
With a number of investors fearful and wondering where to put their funds, logistics and warehousing robotics has been one industry gaining traction during this pandemic.
Statista states, “Since the beginning of 2020, more and more countries across the globe shut down their borders and limited transportation and travel to contain the coronavirus (COVID-19) outbreak, thus, creating impediments for international trade and transportation.”
In this article, we will discuss some of the reasons why investors are hot for logistics robots and how these technological advancements as significantly changing the supply chain across the globe.
Since COVID-19, many economies around the world have felt the devastating impact of prolonged lockdowns and closures, forcing many workers to stay home.
Investors and businesses alike are now looking towards robotics and AI (Artificial Intelligence) to supplement the human workforce as the risk of human sickness, or error will no longer pose a threat to the company and its survival.
Logistic site Requis comments on investors looking to the supply chain for returns stating, “Anderson, who easily has the most extensive background in supply chain and supply chain investments, takes the recent uptick in buzz about supply chain in stride. “Everyone’s figured out that supply chains are important, given COVID. They may not know much about what they are, but they’ve understood that we’re about seven days away from starvation without them,” he says.”
It’s clear that this recent pandemic has shaken investors up and made them realise how fragile human life can be, making robots and advanced technological solutions in this arena look far more appealing, not to mention, ‘investable’.
Robots are reliable, precise, able to work longer hours, and are a cost-effective solution to the devastating impact of a pandemic.
Techcrunch states, “Companies attempting to keep the lights on during this and potential future pandemics are no doubt taking a serious looking at ways to automate their work forces.”
Amazon leads the way
Amazon is leading the way when it comes the advancement of robotics in the logistics space.
Prior to Amazon’s effort to shift gears and revolutionize it’s picking and packing processes, many Amazon warehouse workers complained they were being mistreated and were continually pushed to their limits.
The Time states, “A group of workers with their fists raised in solidarity hold a scrawled sign: “We are humans not robots!” They and others at an Amazon warehouse in Minnesota protested in March and on July’s Amazon Prime Days. They were speaking against the day-to-day dehumanizing reality of their workplace.”
Thankfully Amazon will be moving away from treating their staff like robots and further towards technology to do those mundane tasks.
With Amazon at the forefront of these sophisticated technological developments, many smaller businesses in the supply chain are looking to imitate the tech giant by incorporating robotic solutions into their warehouse and transport procedures and processes.
Techcrunch futher states, “Amazon’s successful embrace of a growing robotic workforce has no doubt been an inspiration for companies large and small, and VCs are certainly sitting up and taking notice of the phenomenon.” These types of innovations are getting investors excited across the board, as they see an opportunity to make substantial gains in the future.
Some companies are shining bright in 2020 and gaining attention for their ability to create robots that will support the global supply chain.
The Robot Report states, “XYZ Robotics has raised Series A round funding and is currently hiring senior roles in robotics, manufacturing engineers, and business development for the U.S., European, and Asian markets.”
XYZ Robotics is one such company making a splash in investor land, recently securing a hefty sum to continue its work with robotics and AI.
The Robot Report further states, “XYZ Robotics has developed end-of-arm tooling that it said is tolerant of sensor errors while significantly increasing productivity: a spear tool head, its JY tool changer, and a bag cup for grasping plastic bags packed items”.
From supporting warehouse software to AI integrations, XYZ Robotics is helping to radically change the face of the supply chain.
The evolution of the robot is undoubtedly helping logistics operators to implement cost effective solutions into their businesses all the while providing investors with solid returns without running the risk of too much ‘human dependency’.
During this year of global instability and uncertainty, investors are smart to look to the future and put their money into more secure avenues. Thankfully the logistics sector is providing them with this type of opportunity.
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Author: John Robison