Robots aren’t just a futuristic concept—they’re already transforming how manufacturers and distributors stay competitive. In this Supply Chain Byte, Lisa Anderson uses the example of Amazon to explain how robotics and advanced technologies such as artificial intelligence are enabling scalability, filling labor gaps, boosting productivity and enabling greater flexibility across supply chains.

Amazon has just surpassed deploying 1 million robots worldwide. Their one millionth robot was delivered to a fulfillment center in Japan as part of the company’s rollout of automation and advanced technologies across their global network of over 300 facilities. Amazon stated that it is introducing a new generative AI foundation model called “DeepFleet” which is designed to boost the efficiency of its robotics fleet by 10%. Thus, they are going “all in” on automation and advanced technologies.

With that said, as Amazon rolls out robotics, they are focused on their human employees. During Q1, they had 1.56 million people which is up 3% from last year. More importantly, Amazon has already upskilled 50% of their employees on advanced technologies, thereby embracing people “and” robots instead of taking the stance of pitting people vs robots. In fact, one of their 12thgeneration fulfillment centers increased employees in reliability, maintenance and engineering roles. Amazon is not alone. Other logistics companies like DHL are pursuing similar strategies. 

What should companies do? First, look at automation, robotics, and advanced technology, and determine what will be most meaningful in contributing to your company’s success. Second, find a focused project that will create value for your company. Third, don’t just think about saving labor dollars; it is far more important to look at robots as a way to scale up rapidly to meet customer needs and support growth plans.

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Industrial Robotics for Manufacturing and Supply Chain Success