For manufacturing companies still recovering from the effects of the pandemic, the year 2021 has been full of ups and downs. While it was an improvement over the previous year, several industries have yet to witness a significant increase in local and worldwide trade. Small-scale manufacturers and shops, understandably, have seen a significant drop in sales as a result of the COVID-19 situation. They finally had the chance in 2021 to improve their production and sales methods and make up for the losses they had suffered in 2020. Without a doubt, technology played a critical role in accelerating the post-pandemic recovery in all major industries. Furthermore, even before the pandemic, the manufacturing industry was at the forefront of the most significant technological change.
As we are already approaching the half of 2022, for the next months the manufacturing industry is expected to witness some major technological reforms as more businesses embrace the fourth industrial revolution. In this blog post, we drive you through the latest trends that are going to disrupt the manufacturing industry in the last months of 2022. Here, the main focus would be on warehouse management software development and its derivatives.
The manufacturing business has been transformed by cloud computing, particularly in the area of warehouse management. Small-scale manufacturers, retailers, and eCommerce businesses were able to save money by using cloud services to improve their warehousing operations. Furthermore, cloud-based warehouse management software development reduces the need for complicated hardware/software infrastructure, lowering overhead expenses. Cloud ERP for warehouse and inventory management procedures will be widely adopted across sectors by 2022. The global spend on cloud computing is predicted to rise from $332 billion in 2021 to $495 billion in 2022, according to Statistics.
Data is another point on this list that is not exclusive to warehousing management, but its importance cannot be understated. There is an increasing reliance on data as companies improve the collection, storage, and processing. This leads to the production of useful data that can be quickly digested in attractive data visualizations. Good access to data also makes it possible for warehousing operations to start using predictive analytics.
AI would make the list of top trends for 2022 in most industries and sectors, and it is going to be important in warehouse management too. It is a technology that is becoming more advanced, and with that improvement comes greater impact and familiarity.
In warehouse management, AI and machine learning can help with data analysis and decision-making, while also optimizing processes and operational efficiency.
Robotic automation has become increasingly popular in recent years, and this trend is expected to continue through 2022 as businesses seek to boost production and solve warehouse issues.
We will see a movement away from fixed automation systems and toward smaller mobile robots. 5G connectivity and machine vision systems will become more significant in warehousing operations, and robots will become more common.
Internet of Things (IoT)
The internet of things has gained significant traction worldwide and is quickly moving towards mainstream acceptance. Over recent years, there has been a substantial increase in the number of connected devices in all aspects of our day-to-day lives. The manufacturing industry represents a large proportion of global IoT spending. Radiofrequency identification (RFID) is an apt example of IoT in warehouse management. According to International Data Corporation (IDC), the global investment in IoT for warehouse management is expected to grow by up to 11.3 percent (CAGR).
The Introduction of the Blockchain
Blockchain technologies in warehousing management are in their infancy, but they have the potential to be a substantial growth area. Blockchain technologies can also increase transparency in warehousing operations, while also reducing risks and streamlining processes. We are still at the start of this journey, but it is a trend to look out for.
Supply Chain 4.0
The advent of the fourth industrial revolution significantly improved the way we manage supply chain operations by implementing next-gen technologies like AI, IoT, blockchain, and cloud computing. As a result, it rendered complete transparency and connectivity across different SCM activities, enabling enterprises to track shipments and automate workflows. In the coming year, supply chain 4.0 is going to make steady inroads into mainstream businesses.
3PL and 4PL Logistics
We have already witnessed tremendous growth in third-party logistics across the manufacturing and supply chain industries. As of today, 3PL is one of the most extensively used logistics models across the globe. However, many small-scale enterprises continue to rely on 2PL logistics to this day. In 2022, we are going to see widespread adoption of 3PL logistics as new enterprises build trust in third-party logistics service providers. At the same time, 4PL logistics is likely to gain traction worldwide as more businesses invest in automating their entire supply chain.
With multiple technology developments, warehouse management software development has come a long way, making operations more streamlined than ever before. It’s just a taste of what’s to come in terms of innovative inventions. Drones and robots will continue to replace humans as time goes on, resulting in more agile and streamlined workflows. In the manufacturing and supply chain industries, machines have clearly taken over many labor-intensive activities. We’ll soon see machines and software algorithms working together to handle more sophisticated warehouse activities like storage, procurement, and shipping, among other things.