Digital intralogistics

In the context of this study, 4flow conducted in-depth interviews with 20 supply chain experts in the automotive manufacturing, automotive supply, and retail industries. These interviews revealed that while the digitization of intralogistics is progressing rapidly in the surveyed industries, complete and comprehensive digitization still has not been achieved. In order to understand why this is the case even though numerous technologies are actively being tested, the experts were asked about the goals, obstacles, real-world use cases, development and implementation considerations, and necessary change management measures involved with digitizing intralogistics in their respective fields.

In addition to creating a broad overview of current practices in these industries’ digitization initiatives – which is later used as the basis for recommendations on how to achieve full digitization – the study provides highly granular examinations of a broad spectrum of digital technologies with potential for implementation in logistics. These innovations include autonomous transportation systems, goods-to-person picking systems, wearables, identification sensors and technologies, enhanced planning tools, virtual reality applications, and intelligent warehouse management systems. “Ready-to-implement digital technologies have the capacity to set new standards in the field of intralogistics”, said Dr. Stefan Wolff, Chairman of Supervisory Board of 4flow. “Companies who seize the opportunity will have a significant competitive advantage.”

The study goes on to address the most common obstacles to full implementation of these revolutionary solutions, from the challenges in finding the right service providers and implementation partners, to overcoming company-internal hesitance on the basis of capital expenditures and incomplete forecasting data.

Of the companies surveyed, those that have previously overcome such obstacles cite success factors such as agile project management, transparent communication, and a commitment to expanding successful pilot projects. Other key factors include implementing robust training programs to counteract the effects that new technologies and automation have on human employment, as well as proactively harnessing the enthusiasm that younger employees have for innovation and technology.

Based on the insights gained in the study, 4flow makes actionable recommendations for implementation and change management measures. These include developing a comprehensive digitization strategy, making an effort to include all affected employees in planning and implementation processes as early as possible, and securing the support of implementation partners with crucial experience from outside the organization. Because the study shows that the industries surveyed are generally open to digitization and eager to innovate, measures of this kind may ultimately prove to be the missing links in the global, digital supply chain of the future.