DC Velocity - IdeaBook 2015

their work as needed. For instance, a worker assigned to putaway might encounter a situation where he or she is told to deposit a product in a location already occupied by another item. Voice allows that worker to change the assigned location simply by informing the voice system of the new storage location.

Likewise, if a worker can’t find a product he or she has been assigned to pick, that worker can simply ask the system to send him or her to a redundant location that holds the same stock-keeping unit (SKU).

“Voice strikes a nice balance of worker autonomy with the enforcement of best practices,” says Lachenman of Lucas Systems.

Voice systems also offer visibility tools that can be used for monitoring worker performance. Managers can easily see where bottlenecks are occurring. They can also analyze individual worker performance to see where additional instruction and support are needed to help all members of a team reach their potential.

“The visibility tools are an important part in empowering the supervisors and other stakeholders who need immediate information,” says John Schriefer, manager of marketing communications at Lucas Systems.

THE ENDLESS WAREHOUSE

One of the biggest changes brought about by omnichannel distribution is that order processing is no longer limited to the warehouse. Many retailers view their stores as extensions of their distribution centers. Customers can order online and pick up at the store. Stores can also be used to process returns. On top of that, online orders that might typically be filled in a DC can be assigned to a retail store to pick and pack. For example, some grocery chains are picking Internet orders directly from store shelves for local delivery or customer pickup. Voice vendors are now developing applications that will allow their technologies to be used at the store level.

In addition to order fulfillment, voice can be
applied to store replenishment tasks and used for
taking inventory. All of these are labor-intensive
activities that are performed by store personnel that
are often paid better than warehouse workers. As a
result, having efficient systems in the retail outlets is
essential to the bottom line.

“Doing distribution from stores is offered as a service, but it is hard to make a profit at it,” says Steve Hoffman, technology and fulfillment specialist at systems integrator Dematic. Hoffman explains that even though in-store distribution is a loss-leader, retailers believe they have to offer it to customers. “The more you can do in the store with less labor, the better, even if it is not profitable,” he adds.

Using voice also makes store employees look less like warehouse workers.

Instead of holding a scanner or pick list, workers using some voice systems appear as if they are merely wearing a phone earpiece. “When picking in the store, you don’t want to upset the experience of the other customers,” notes Another advantage of voice is the software’s ability to run on a variety of different hardware devices, including in some cases, smartphones and tablets. “We are building layers that make the fulfillment devices agnostic. It gives the customer the choice to use multiple devices operating on the same system,” says McKnight of Intelligrated’s Knighted.

“This is a new way that companies are applying voice,” adds Vangard’s Bova. He says that just about any task done in the warehouse or store can be directed by voice utilizing smart devices. “We can voice-enable the operations that the customer is already doing to increase productivity and improve the customer experience,” he says.

That kind of flexibility may be voice’s biggest selling point when it comes to the omnichannel environment. Whether in the distribution center or a store, it is a technology that can handle just about any process assigned to it.

“It all comes down to flexibility,” notes Vocollect’s Kubera. “When you look at the dynamics of omnichannel distribution, flexibility is really going to make the difference going forward.” c