Automated storage and retrieval system (AS/RS) revenues are expected to surpass $15 billion globally by 2030, and warehouse management system (WMS) revenues are expected to exceed $10 billion by the same period, according to ABI Research.
“Global supply chain challenges over the last three years have highlighted the need for digitalization and a deeper restructuring of inventory management. Labor constraints, geopolitical trade shifts, and inventory gluts continue to pressure warehouse operations, and the most impacted organizations continue to be those with lower focus on digital transformations,” says Ryan Wiggin, supply chain management and logistics industry analyst at ABI Research.
From ABI Research:
- AS/RS vendors and autonomous mobile robot (AMR) vendors are leading the structural automation charge, while established and emerging WMS vendors continue to add new functionalities to orchestrate and optimize both the manual and automated workflows.
- In addition, high investment in hardware and devices is expected to increase worker productivity, as manual worker involvement remains necessary alongside the adoption of automated equipment. Global shipments of handheld devices for warehouse workers will grow at a CAGR of 20% to 2030.
- New warehouse building is expected to drop by as much as 35% in 2023 compared to 2022. Disruption to new developments will be short-lived, with steady growth in warehouse construction expected to 2030, led by a much greater CAGR in global e-commerce fulfillment center development at 18%.
“Successful deployments by Tier 1 organizations continue to spur the adoption of technologies within small-medium enterprises. Solutions providers must continue to offer accessible adoption through as-a-service models and scalable structures, and exploring partnerships with complementary technology will be key to deploying market-leading end-to-end solutions,” adds Wiggin.