Augmented Reality (AR) is revolutionizing how warehouses operate, bringing unparalleled efficiency and accuracy to daily tasks. By integrating hands-free AR technology, warehouse workers are provided with instructions in their line of sight. Not only does this enhance safety, but it also improves operations like vision picking, cycle counting, and inventory management. This blog post explores key use cases of AR in warehouses and provides actionable recommendations for organizations aiming to unlock the full potential of this technology.
Chart 1: AR Smart Glasses Shipments for Logistics, 2024 to 2030
Use Cases of AR in Warehouses
AR solutions, particularly those involving vision picking, have a broad range of logistical applications. These systems improve worker accuracy, streamline workflows, and optimize inventory processes. In doing so, warehouse operators meet their Key Performance Indicators (KPIs) more consistently. Here are some of the top ways AR is used in warehouse operations:
- Order Fulfillment: AR-enhanced vision picking is transforming how orders are processed. Workers can receive visual step-by-step instructions through smart glasses, enabling them to pick the right items efficiently. For example, Mexican pharmaceutical wholesaler Nadro reduced picking time by 25% after implementing TeamViewer Frontline and SAP Extended Warehouse Management. This technology benefits both single-order and multi-order fulfillment processes by reducing errors and ensuring smooth operations. Additionally, AR can guide pallet packing for better space utilization and secure shipment.
- Receiving: Receiving inventory can be challenging, but AR simplifies the process. Warehouse workers equipped with AR devices can navigate to the correct storage locations and document incoming goods in real time. This ensures accurate tracking and proper storage of new inventory.
- Putaway: AR streamlines the putaway process by guiding workers to optimal storage locations. Smart glasses display tailored instructions, helping to maximize storage space and minimize the time spent moving inventory from the receiving zone to its designated area.
- Cycle Counting: Cycle counting is essential for maintaining accurate inventory records. AR solutions enable real-time feedback and streamline data collection during physical inventory counts. This ensures that inventory levels match records, improving overall operational efficiency.
- Kitting: In kitting operations, multiple items are picked and bundled into a single package before shipping. AR-guided vision picking accelerates the identification and gathering of items, minimizing errors in bundling and enhancing productivity.
- Production Line Delivery: For production line delivery, AR ensures that the right materials are delivered to the correct location on time. This is particularly beneficial in Just-in-Time (JIT) and Just-in-Sequence (JIS) inventory management systems, where precision is a must.
Recommendations for Warehouse Operators Adopting AR
To maximize the value of AR, warehouse operators must carefully measure their digitalization maturity and ensure their workflows are ready for AR deployment. Here are some recommendations for effectively implementing AR vision picking solutions:
- Train Workers on AR Technology: In most cases, introducing AR solutions requires workforce upskilling. Employees must learn how to use smart glasses hardware and understand the intricacies of complementary software. Providing thorough employee training and fostering internal champions for AR adoption will accelerate implementation and deliver value more quickly.
- Break Down Data Silos: AR platforms flourish when they have access to rich datasets. For these reasons, it’s imperative to ensure AR solutions integrate seamlessly with other smart warehousing technologies, such as Warehouse Management Systems (WMSs), Internet of Things (IoT) devices, digital twins, and analytics platforms.
- Adopt a Device-Agnostic Strategy: Flexibility is vital when deploying AR solutions in a warehouse. Choose systems that work with various devices, including smart glasses, smartphones, and tablets. This ensures scalability and reduces the barriers to expanding AR capabilities across the warehouse floor.
- Balance Automation with Manual Processes: While full automation may not be feasible for all warehouses, AR bridges the gap between manual processes and automation. Vision picking, for instance, combines the precision of automation with the adaptability of human workers, offering a cost-effective and efficient solution.
- Leverage Artificial Intelligence (AI): AI-powered features can significantly enhance AR solutions. For vision picking, AI-based machine vision improves object recognition, reduces errors, and speeds up pick rates. Additionally, AI-driven insights can optimize operations like shift management and resource allocation.
- Future-Proof for Automation: As automation technologies evolve, make sure that AR solutions can integrate with hybrid systems where robots and human workers collaborate side-by-side. This flexibility will make it easier to scale and adapt to future changes in warehouse operations.
For a more in-depth analysis of the drivers, technical considerations, applications, and best practices for AR in warehouse operations, download the free whitepaper: Logistics Digitalization And The Value Of Vision Picking.
About the Author
Eric Abbruzzese, Research Director
Eric Abbruzzese, a Research Director at ABI Research, primarily leads research efforts in Augmented Reality (AR), Mixed Reality (MR), and Virtual Reality (VR). Coverage includes devices, content, platforms, and use cases across consumer and enterprise applications. Additional coverage areas include gaming, video, metaverse, and emerging technologies.
