Having Robots Run Warehouses When Crisis Hits

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The Covid-19 pandemic exposed a harsh reality—global supply chains and fulfillment systems were woefully unprepared for a truly unpredictable world. Empty shelves, delayed deliveries and frustrated customers became a universal experience.

Despite these failures, e-commerce has continued to grow. In 2025, it is estimated that 21% of all retail purchases will happen online , up from about 18% in 2021. This e-commerce explosion has created immense pressure on businesses, as consumers typically expect fast (often same-day) delivery of the products they purchase. Traditional logistics models, where humans locate, pick and pack items, struggle to keep up. In today's fast-paced, on-demand world, delays are becoming less acceptable.

In light of this challenge, more organizations are implementing robotics. Companies like Amazon, for example, have deployed over 750,000 AI-powered robots across their warehouses. These robots make it possible for Amazon to efficiently meet the increased customer demand. They make sure that orders are continuously fulfilled, but more importantly, they allow rapid scaling during peak periods like Black Friday or Christmas. That is nearly impossible to do with human labor alone, assuming the labor is even available.

Labor shortages represent a growing challenge for businesses, and the warehouse sector is no exception. Walmart, recognizing this issue, has heavily invested in automation . For example, they have included robotic forklifts and automated their distribution centers. They expect 65% of their stores will receive merchandise from high-tech distribution centers by the end of this year. The innovative solutions they have introduced handle repetitive tasks, freeing up human workers to focus on higher-value activities. This can help further lead to improvements in employee satisfaction, staff retention and working conditions in the warehouse.

Implementing automation in fulfillment requires a structured approach to maximize efficiency, scalability and cost-effectiveness. Before investing in automation, conduct an operational audit to pinpoint inefficiencies. A clear understanding of these challenges helps in selecting the right automation solutions. A flexible system that can easily scale up or down, for instance, can be particularly beneficial for businesses needing to handle peak periods without significant disruptions.

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