Trade disputes, international tensions and rising energy costs are putting pressure on margins in the logistics sector. In the quest for cost control, automation is the way to increase productivity and efficiency and protect margins. But although it may seem as though logistics companies are making significant strides in this area, in reality many processes are still carried out manually.
And that’s unnecessary, because these companies often already possess data they can use for automation. Epko van Nisselrooij, security adviser at Axis Communications, frequently sees the same challenges in warehouses: a lot of data, but too little context to act on it in time. He shares three concrete steps that companies can take to provide immediate relief, without requiring major changes or investments within the warehouse:
1. Make truck flow measurable and automated
The gate-to-dock process often gets bogged down by queues, last-minute decisions and constant adjustments by security staff and operators. This costs unnecessary time and money, as it can easily be prevented using basic data. Get a real-time overview of which lorries are on site, where queues are building up and what the occupancy is at the loading bay. With that insight, you can make much better adjustments, open an extra entrance or give a lorry priority if necessary. A simple first step is to implement number plate recognition for truck identification and to install visual verification systems in the event of incidents or malfunctions, so you can immediately see what is happening in and around the dock.
2. Reduce returns processing and prevent fraud
Returns and claims often take up a lot of time because information is missing. What exactly was packed? In what condition was it dispatched? And what is actually being returned? On top of that, logistics companies have their hands full dealing with incorrect customer claims and fraudulent customer refunds. Investigating and reconstructing these cases results in a significant loss of time. Prevent this by capturing video footage of the process at set intervals (for example, at packing and returns stations) and linking this to order and scan data. This makes it immediately clear what the customer has received, allowing you to resolve complaints more quickly and minimise fraud, loss and chargebacks.
3. Identify the causes of bottlenecks
Bottlenecks can occur anywhere and at any time. Sensors quickly detect that there is a problem, but not what the problem is. As a result, operators still have to search for the cause themselves, leading to increased downtime and costs. You should therefore always combine sensors with image-based incident detection to see where bottlenecks are starting. The footage immediately reveals the cause and helps operators take swift action. It also provides insight into areas for improvement, enabling you to optimise your working methods to prevent incidents and recurring faults more quickly in the future.
Eliminating guesswork is often a quicker and more effective way to reduce costs than making major AI investments straight away. So don’t be distracted by ‘shiny’ solutions as an end goal; instead, start by building a solid foundation of operational insight. Start with a pilot at a single location, measure the return on investment, and then scale up step by step across the warehouse. With that foundation in place, it will also be easier to deploy further automation or AI responsibly later on, where it truly adds value.
About the author
This guest article was written by Epko van Nisselrooij, security adviser at Axis Communications.
