Sankalp Arora:
0:00
The most important thing I want to say to anyone as an operator or potential customer is that do not adopt technology for the sake of it. There are specific problems that need to be solved that your operation is facing. You know those specific problems already, so adopt a technology for that. I think we become most useful when you need to increase your facility throughput with reduced labor. But that's what we do, and you it might be the case that you're you have some other challenges, but so find the right fit for that. I say that because a lot of people get enamored by flying groups, I would say get enamored by solving problems. Welcome
Blythe Brumleve:
0:53
into another episode of everything is logistics, a podcast for the thinkers in freight. We are proudly presented by SPI logistics, and I am your host. Blythe Brumleve On today's episode, I'm happy to welcome in Sankalp Arora. He is the CEO and co founder of Gather AI. We're going to be talking about the impact of AI and warehouse drones inside of, well, not other than a warehouse. So Sankalp, welcome to the show.
Unknown:
1:18
Thanks for having me. Blythe brumleve,
Blythe Brumleve:
1:20
now I was listening in preps for this interview. I was listening to a bunch of different previous conversations you had had. One of my favorites was your appearance on the logistics of logistics podcast. Joe Lynch, he's friend of the show, and he was mentioning all of sort of the, you know, the intricacies, or you both were having a great conversation about the intricacies of just drones inside of the warehouse, how this idea sort of came to be, and I really want to start there, because you have a long history of just an interest in robotics. It dates back to your childhood, correct? Yeah,
Unknown:
1:56
that's right. I always wanted to make robots, and now I get to make robots that serve people so, so living the dream, in some sense,
Blythe Brumleve:
2:06
and so you, I think, in one part of that, that conversation, you were talking about making robots curious, and with the sort of the stir current state of what goes on inside of a warehouse, can you kind of Give us what is going on inside of a typical warehouse, and then making the robots curious about what's going on in the warehouse?
Unknown:
2:30
Well, yes, I and I take the first principles approach, because I think that's where all the joy is. Because you get, you're getting warehouses are acting as a buffer zone between suppliers, people who make stuff to shipping last mile to e commerce or shipping within the network. So they get a bunch of stuff that they need to store, so that, just like a water tank in your city, you can then store, store those goods and ship them out. So it seems like a very simple thing to do, right? In terms of, you get a bunch of goods, you store them in your warehouse, and then you ship them out as needed. And it turns out it's complicated because you're shipping so much out, out from the warehouse that's come to the warehouse, and you're shipping it in a fashion where you used to ship, you know, 5000 pair of jeans to a Walmart store, but now you're sending a pair of jeans to Blythe or some Culp and those pair of jeans better get there. So the demands on how accurately the things need to go out and be distributed out of a warehouse have increased so much since e Commerce has come about, and at the same time, the visibility that we get on those operations is still stuck with barcode readers telling you where the stuff is, and people using barcode readers to scan where that stuff is. What does that mean? That means that you don't have visibility on large amount of goods that are coming into your warehouse in real time. Neither do you have visibility on how quickly they are going out in real time, other than people manually scanning barcodes in high stress, high velocity environment, which leads to errors. And now errors actually not just impact I sent 50 jeans short to a Walmart store. They actually impact that I send the wrong pair of jeans to a customer who's never going to buy from me again. So the need for that accuracy has gone so much higher. So now you need different ways of getting visibility into your operations so you can run a much higher, much more accurate operation to maintain your revenue stream. And that's where, using cameras, computer vision, flying drones or ground robots come in in terms of automation.
Blythe Brumleve:
4:55
And so that's it. That's what your company gather. Ai specializes in, is, is create. Are you manufacturing the drones yourself? Or is it more software based, or is it kind of a combination of the two?
Unknown:
5:09
I like to say we are a computer vision company. All we do is take images and make convert images into inventory data that people can rely on and trust on in real time. Our drones. We don't manufacture them. We are not a robot manufacturing company, but it turns out, we are the only company in the world that can take off the shelf hardware that is tried, true and tested, and actually make it useful, turn it into useful data gather hence, it's curious, because it's a data gatherer. By using our software. That's our secret sauce. And
Blythe Brumleve:
5:43
so it's one of the things that, you know, it took me forever to realize the differences between software and hardware. And you know, one of the comparisons is that, you know, with hardware, there's a reason why they call it that is because it's hard to make. And so if you can take advantage of all of these off the shelf products, and then use your software to solve a specific problem, then you're already kind of, it's almost like a race to the finish line. So I'm curious, how did you first know that this was a problem that needed, I guess, to be solved, and how did you, did you did you always, maybe have a longing for the supply chain industry. I guess that's kind of weird to say. Or did you know about logistics? Or how did you know that this was something that you wanted to solve, especially with having robotics interest at such an early age?
Unknown:
6:38
So I didn't, I didn't have especially for longing to supply chain. I'm a roboticist by heart, and want to make agents that are intelligent, that are useful, that serve a purpose. And this really started and came about when I was working on a full scale autonomous helicopter. And I'm standing in the fields of Quantico, FBI, trading grounds, five star army generals behind me, and this helicopter comes in, and I get to I had written, I get to be a part of the team that made the autonomy for the helicopter. It comes in, avoids a bunch of trees, avoids a hay bale, and lands itself. It's like, oh, this is so cool. I get to make awards first. And we actually won a few national awards for the work we did. But what stayed with me was it is such an amazing data gatherer because it had covered 10 kilometers of path length and digitized the whole area that it had flown through. That's where I dedicated my PhD on how to make robots curious with sort of that was the watershed point that this is the problem to solve. And then I started looking for applications where curious robots can have an immediate impact, which is where supply chain came in. It's like, oh, yeah, of course. You need to know where your goods are, at least within your four walls, so you can serve your customers, right? And repeatedly and urgently, those problems came on from people who are now our customers, but then only potential customers, where someone would say, you know, I wrote off a million dollars of inventory last year within my warehouse, someone else would say, I can only meet 98% of my orders, so 2% of my customers actually go unsatisfied and they leave and never come back to my my case and the the worst was, you know what I have my team spending over time every day and double shifts every day, just to stay on top of my inventory so I can stay with this ecom boom. So it just made sense, if robots can be curious about wires and openings in buildings and and moving assets and environments that DOD cares about, we could have robots curious about where is inventory in the warehouse, and that's where sort of gather AI came about, and supply chain interest came about.
Blythe Brumleve:
9:06
And so with, with these drones, or, you know, robotics, or do you have a preference on on what we should call them? Is it? Is it drones or robotics? Are they kind of the same thing? Kind
Unknown:
9:16
of the same thing? I think I like to call them data gatherers, because that's all they're doing.
Blythe Brumleve:
9:22
And so how does it? How does it sort of work? I've seen the videos of it. We've actually talked about it. Grace Sharkey and I, we host a monthly show called freight friends, and she brought this to my attention as one of her favorite freight businesses. And so this was the first time I was seeing, you know, the drone in action. And so it's, if I'm understanding correctly, it's deployed on the different aisles of a warehouse. It goes vertical, up and down, or even side to side, and it scans and takes images of all of the inventory, and it counts the inventory, and then sends that back to your software, your SAS, I would imagine. Do I have that description? Accurate?
Unknown:
10:03
Yeah, mostly accurate. I think the only thing I want to add to it is it does all of that while, of course, no one is flying it. It flies itself. Oh, that's cool. And the other thing is, while the drone is flying, and while it is doing all those things in terms of using its cameras to figure out where it is, to fly itself to take images. It doesn't while operating. Doesn't need any Wi Fi or active infrastructure in the facility. So it is basically designed for facilities that already exist, and most warehouses have dead spots for Wi Fi coverage. And you know that so operates in an infrastructure, free fashion, and the secret sauce comes in. How do we get these roles autonomous? One part, the second part, which is more important, converting images to inventory data, which is counts, bar code, reads label, reads empty, not empty, how much of a pallet location is occupied, and presenting that in our SaaS dashboard to our customers. And
Blythe Brumleve:
11:05
so does that, I guess, that data and that information, does it live on its own within sort of the, you know, the gather AI platform, or does it sync to, you know, their warehouse management system? How does the data sort of live and breathe so that workers can take action on it.
Unknown:
11:23
Yeah, so they it lives on our dashboard to the extent where people can take action on it. Because, as you can imagine, most warehouse management systems are not designed to handle image data, where now we can actually provide image data for each and everything that we audit and we report to so people take actions on our dashboard when they've taken actions, and it's really clean data, it can sync with the WMS.
Blythe Brumleve:
11:49
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Unknown:
13:03
It starts with as basic as your WMS says x is here, but actually y is sitting here. So there is an exception. Then goes down to your counts are off. And then it goes down to, oh, you're you're saying that this location is empty, but you're just storing a bunch of shrink wrap in this location. So that's an exception when go act on it down to the level of you think this location is 50% occupied, your accounts are right, but your sizing is wrong. It's only 10% occupied. You can consolidate your locations and make your warehouse better. So all of this information is present on the web dashboard where people can select actions to take, like I want to visit this location physically. I want to correct the WMS count. I want to consolidate these two bins and then get synced to WMS data. So you can imagine people 90% of the time, people used to go out there to fix inventory or to recount it. Now they can just look at a dashboard and do it, and 10% of the time they say, I need to go visit physically. So I because I don't know what is going on here.
Blythe Brumleve:
14:12
Oh, that's super interesting, because I like that you presented it as exception management, where it's not just because I think that that's, you know, especially coming from, like, the marketing world, and even, like, looking at content, and it's almost at times, too much data. And I don't know what action to take next, but I love that you said it's more exception management. So the workers who are using this software, it's not just, you know, information for the sake of information you're presenting, the exception managements.
Unknown:
14:41
Oh, yes, yeah. Otherwise, people would drown in all the information, right?
Blythe Brumleve:
14:47
Exactly. So you had, I don't know why I assumed that there would somehow, at some point, there would be a pilot involved in deploying these the drones throughout the warehouse. What does sort of, a, I guess, a typical day in the life of one of your drones look like, is it, you know, several of them inside of a warehouse space. Does it really depend on the size of the warehouse space? What does sort of, I guess, you know, from the starting shift to the end shift look like for a drone? No,
Unknown:
15:19
that's such a good question. I've never thought of a life or of a drone, because I only most of the time think about life of the user. So I think life of the drone is a pretty hard but a lot of fun, because it gets to fly around in a warehouse where it would get from the WMS that you know, this is where the warehouse management system thinks all the inventory is, and it would say either, oh, either I can the user selects, or I can have one of the pre selected missions, fly all the A counts, or fly a specific supplier, or fly the bins I select. The drone takes off, flies it. The images get collected, if there is Wi Fi, gets synced to the dashboard, and the drone just keeps doing that all day, all night, if you wanted to, at the speed of multiple drones. So three drones can do up to 900 pallet locations per hour. Oh, wow. And that's on an average, 15 times faster than doing it manually and basically just keep, keep flying through the warehouse throughout the day. The data then gets into the web dashboard, and people can then do exception management as they as they want to do it. Sometimes a drone gets to feel like a hero, where there is a truck to be loaded, it's waiting on the loading dock, and you're missing a specific skew that needs to go on it. Then people would say, oh, all my three drones fly this aisle, and within 15 minutes, find me the thing that I'm looking for. So sometimes that excitement happens, and I think that's when they really pay for for themselves, in in customers, where we help you file fight and not pay for these crazy fees just because you couldn't find a single SKU. That's super
Blythe Brumleve:
17:14
interesting. I love that you can just sort of deploy them immediately for a mission, and then they come back with the information that that you needed. How? How do you sort of balance? Because there's obviously a problem with warehouses all over the country with adopting technology, but then also filling the roles of the staff that they need because they're not adopting technology. So how do you sort of, I guess, ease those concerns of people who think, Oh, this is just going to take someone's job. How do you how do you help them see it as more of a companion to their job?
Unknown:
17:52
First of all, you're so right that it's a companion because, oh, I was, I used to do only 60 pallets per hour. Now I can do 900 just by myself and and just control. I have these three drone bodies that I can control at any given point where I can tell them, hey, go there. Scan that location. And the easiest way I've found to cross that bridge is actually to meet them where they're at and show them working it in their facility, because once they see it in action, they get, oh, my life would be so much easier.
Blythe Brumleve:
18:31
So it's actually showing them first of this is what is possible, and then it probably eases their their concerns a bit. Yeah. And
Unknown:
18:40
given, so given our model, because we can show up to any warehouse and within 45 minutes, automate a section of the aisle. Oh, wow. So we, we end up, if people are serious about solving their problems, we just end up showing it to them, and suddenly you'll see all the fears and doubts melting away. Like, Ah, okay, this is now I get it completely.
Blythe Brumleve:
19:02
So let's while we're on the topic, let's talk a little bit about what that onboarding process looks like from the time that you know maybe a warehouse owner says, Okay, we need some kind of solution, because I'm tired of hiring people that you know show up for one day of work and then they never come back, or just that the turnover is so high within warehouse workers so they know that they have a problem, they've contacted you, and you say, Okay, we're going to deploy this solution for you. How do you do you show up on site to evaluate the warehouse operations? Do you do you take inventory of what they currently are using? What does that sort of initial process look like?
Unknown:
19:43
So in the initial process, our job is to help customers solve a problem. So that's how we first evaluate someone would contact us, we would meet with them and understand what are the set of problems they're looking to solve, mostly the problems that we. Help the most is I cannot hire sufficient number of people for what I want to do and from what I want to do in terms of revenue, is too steep a climb for my current inventory processes to meet that, either in terms of labor or most of the times in terms of processes, because manual processes will only get you so far once we understand that, we map out the map math behind it. We ask for facility photos. We ask for the facility layout. And if all of that checks out, we show up at your facility in 45 minutes, automate an aisle and show it to you how it's going to work. How, how can it impact your operations? What is the ROI of it? And then, if the customer is ready to go, we now have a rough waiting time off, roughly two months to come and deploy. But once we are ready to deploy, usually a warehouse gets deployed in 15 days with no no changes in your warehouse infrastructure, not even a PowerPoint or a plug. Before we leave the facility, we make sure there is two days of shadowing where we stay and you run thing and you start seeing the benefits. And then we leave the deployment processes, we just map the warehouse and place some stickers in the warehouse which locations are mapped, and that's all,
Blythe Brumleve:
21:29
wow. And so I imagine there's, there's probably, you know, a similar like to a similar section of the warehouse where, say, all the forklifts are stored. So then you have another section that you're going to store all of your drones in a certain area, and then as a worker, when I'm coming to the warehouse for the day, am I deploying them to do an inventory count for the day? Or is it really only to maybe like a once a week type process that I have to run?
Unknown:
21:57
Oh, people run it every day, because some customers want to go through their full warehouse every day? Oh, wow. And because for air cargo, for example, it's very important to go through the full warehouse every day. So even if it's a small warehouse, let's say 5000 pallet locations, they would still get three drones to run through it every day. Where is it? For some customers, it's important to weekly cycle counts weekly go through the full warehouse, then they would say, I have, you know, I have 25,000 to 60,000 pallet locations. I can use three to six rooms to do it. Because the benefit, think about this place. The benefit is, you used to count your warehouse once every quarter, and all once every quarter, you would figure out all the little problems in location that, oh, this thing is missing here. This thing is missing there. Now you can do it every once every week and make decisions on your operations once every week. That is actually the game changer for most of our customers.
Blythe Brumleve:
22:54
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Unknown:
23:54
right? The most common thing is items to purchase, to know that these items are missing from where they need to be, and re sorting the warehouse to get it right and get it accurate. And the most the most common action that gets taken is our inventory accuracy is lower than what it needs to be. So let's fix our WMS to reflect and let's change in terms of where are we storing, what specific items to get it to more accurate, because these items are moving more these areas in the warehouse are less accurate. Let's make them more accurate so those decisions get made on a weekly basis. Now, instead of over three months, I'll now realize those two racks at the back of the warehouse, that's where most of my inventory problems live. So I need to figure out how to get those people to perform better.
Blythe Brumleve:
24:47
This makes so much sense, because I used to when I was younger. I used to work at Costco, and so it's Costco warehouse, and so we every six months, we would have an inventory night wherever. Every employee was required to work that night, and you were given a section, and you had to count everything in that section and mark it off, and no one could leave until that process was done. Now I feel like Costco could just, you know, hire, gather, AI, and we, none of us, would have to do that anymore, and you probably have a much more accurate, you know, inventory, yeah, besides, you know employees, where there's human error that probably plays a larger role than most would like to admit.
Unknown:
25:30
That's so true, and it's I think human error is only natural because it's a fast paced environment where a lot of boring things need to be done again and again.
Blythe Brumleve:
25:39
Do you have favorite? Any favorite, like customer stories of, you know, maybe a customer purchasing your product and then implementing it, and then, you know, immediately, or maybe within a few months, starting to see some success.
Unknown:
25:55
Oh, have have so many. What i i share. I share a few that are close to my heart. This. This was a repeat story, so we deployed at a warehouse. I can't say which customer, but we are now in sort of all of their warehouses in us. The first deployment we did, six months later, they call me, and the director of the warehouse calls me and says, Uncle, you've, you've found $1 million worth of invest inventory for me in the last six months. I say, Oh, that's great. That's, that's wonderful. And then recently, now it's been three years in the same warehouse. Over the course of three years, we have taken it to around five to $7 million of of found inventory for them. So that's that's really close to my heart, because, you know, it just helps us, helps their facility be more efficient. And it's a massive, massive network of facilities, and I'm talking about single facility in which we found this much, not talking network wide. I don't want to talk network quite, because I think they will be upset. I think this other one, which was a three PL, and we got them from 97% inventory accuracy to 99.999% inventory accuracy, and then they could sell that SLA to their customers. And effectively, in an year, they did a lot of things right, but this was one of the things as differentiator, they were able to roughly double their revenue to get to that point where now we can sell an SLA that very few other people in the world can and basically double their revenue last the last One only happened very recently, couple of weeks ago, there's a customer we work with that is dedicated towards getting visually impaired and blind people to be a part of the workforce. And they do that by operating a warehouse that supplies medical supplies to all the VA hospitals, they've never been able to have a visually impaired person do a counting job, but now they have an ability to do that. So just just how the stories where we've had some positive impact on on people's lives, that's
Blythe Brumleve:
28:19
amazing. I mean, definitely giving, you know, more options and more roles to folks who are probably super excited to take part in a role that they maybe, like you said, have never had access to, or would never have been able to have access to through that type of role. I'm curious if there's any other sort of use cases for because this imaging technology and this sort of exception management feels like there's so many other use cases it could be applied to. Do you have sort of a, you know, a gather, AI, sort of, you know, roadmap of what, yes, software could do in the future? Oh,
Unknown:
28:55
that is so on point. Because you're right. It's all we are doing is taking an image and converting into data. Actually, before I describe that, Can I Can I mention the name of the people who sort of helped us see that visually impaired people can do counting? Yes, please. Bosma is the name of the company. They just do such amazing work, B, O, S, M, a, and it's just, you go there and you're just so humbled that people can achieve so much with with what they do. So back, back to the question of what, what can images do? So things that that come to us from customers, I think one of the things that is coming back again and again is, can you count my check pallets? Because, you know, check pallet audits cost quite a bit, and if I damage those, I have to pay for them. It's like, yeah, it's a blue palette in image. Of course, we can do that. We do much harder things than detecting a blue palette in it. So that's on the roadmap. The other thing that is on the roadmap is damages. And making sure that we can report on damages, because we collect all those images already. The thing that is so close to being launched is saying that your thing is stacked wrong. Because one of the things that one of our customers was facing, they were facing a lot of instapot damages, because instabots can only be stacked, I think, four high, and people were stacking them six high as a result causing damages to instabot. So you say, oh, yeah, you know, SOP is being violated here. So these are data driven insights that are coming onto the roadmap. The other aspect is now we are reporting network wide insights on how SOPs are being followed, and how various facilities are doing with respect to each other, in inventory accuracy and exception reports in operational efficiency. So those are the two big things that we are we are launching in coming years. And there, there are couple of things that that I'm not allowed to say. That is, that is, I think, in some ways, going to change how we how we scan in warehouses that are coming in q1 and q2 of next year.
Blythe Brumleve:
31:14
Oh, that's exciting. I would imagine that a lot of people are listening to this conversation and they're already blown away at the possibilities that exist. And so with you, you sort of mentioning what's going to come in the future that this, it kind of sounds like this is only the beginning for gather. Ai,
Unknown:
31:29
Oh, absolutely. Because, you know, we are not a drone company. We are not a robot company. We are a computer vision and a data company. As a result, it gives us the flexibility to say, Yeah, drones can do this much, but there are so many more things that computer vision can do because customers don't care about drones, let's be honest, like they really care about their data. So that's, that's where we want to have an impact. Well,
Blythe Brumleve:
31:54
that's amazing. I think that that's a really good place to sort of, you know, in the discussion, you know, we talked about the roadmap, we talked about, you know, product features and onboarding experience and all of that. And so if you're a warehouse owner and you are struggling with employee turnover and you know, the lack of a true inventory count, then I would encourage you to go to gather AI's website. We'll link to it in the show notes so that you can check out more of their content, more of their videos. Schedule a demo. Is there anything else that you think is important to mention that we haven't already talked about?
Unknown:
32:30
The most important thing I want to say to anyone as an operator or potential customer is that do not adopt technology for the sake of it, there are specific problems that need to be solved that your operation is facing. You know those specific problems already, so adopt a technology for that. I think we become most useful when you need to increase your facility throughput with reduced labor. But that's what we do. And you it might be the case that you're you have some other challenges, but so find the right tech for that. I say that because a lot of people get enamored by flying drones, I would say get enamored by solving problems.
Blythe Brumleve:
33:16
Oh, that is a great quote. I feel like that's going to be the the intro quote to this episode. So I appreciate you dropping that one and saving, you know, the best for last, because this was, this is a really fun conversation. I love this concept. You're solving a couple really big problems, and that's, you know, accurate inventory counts, and then also employee turnover. That is an unfortunate reality for for this entire country. I think I heard that Amazon was actually scared that they were going to run out of potential employees to work inside of their warehouses. So, you know, these are big problems that require big solutions. And so it sounds like, you know, gather AI is is creating that solution for a lot of these warehouse operations. So sencult, thank you so much for your time. Where can folks follow you, get connected with you and the gather AI team.
Unknown:
34:03
Also find us on LinkedIn. That's where we are more most active, and we'll share some of our successes and some of the stories that customers find the things that you've done well for them. I think that's the best place to find us. And then we're [email protected] can always find us there. Oh,
Blythe Brumleve:
34:23
perfect. Yes. I enjoyed a lot of the conversations that you guys shared on on YouTube as well. So you have a really great YouTube channel, which is very rare for this industry. So again. Senko, thank you so much for your time and really enjoyed the conversation. So keep up the great work, and we look forward to your q1, q2, announcements.
Unknown:
34:44
Also. Am I looking forward to them? Thank you so much for having
Blythe Brumleve:
34:48
me. Thank you. I hope you enjoyed this episode of everything is logistics, a podcast for the thinkers in freight, telling the stories behind. How your favorite stuff and people get from point A to B. Subscribe to the show, sign up for our newsletter and follow our socials. Over at everything is logistics.com and in addition to the podcast, I also wanted to let you all know about another company I operate, and that's digital dispatch, where we help you build a better website. Now, a lot of the times we hand this task of building a new website or refreshing a current one off to a co worker's child, a neighbor down the street or a stranger around the world, where you probably spend more time explaining the freight industry than it takes to actually build the dang website. Well, that doesn't happen at Digital dispatch. We've been building online since 2009 but we're also early adopters of AI automation and other website tactics that help your company to be a central place, to pull in all of your social media posts, recruit new employees and give potential customers a glimpse into how you operate your business. Our new website builds start as low as$1,500 along with ongoing website management, maintenance and updates starting at $90 a month, plus some bonus freight marketing and sales content similar to what you hear on the podcast. You can watch a quick explainer video over on digitaldispatch.io just check out the pricing page once you arrive, and you can see how we can build your digital ecosystem on a strong foundation. Until then, I hope you enjoyed this episode. I'll see you all real soon and go jags.
Unknown:
36:42
You
