Why 90% of Warehouses Are Still Manual
Episode Transcript

The warehousing industry is at a pivotal moment. With labor shortages and supply chain disruptions persisting, warehouse automation is no longer a luxury—it’s a necessity. Yet, despite the technological advances, nearly 90% of warehouses still don’t use robotics. So, what’s holding them back?

At Manifest: The Future of Supply Chain & Logistics 2025, Everything is Logistics host Blythe Brumleve sat down with Kevin Lawton, host of The New Warehouse Podcast, to unpack the challenges and opportunities in warehouse automation.

The Barriers to Warehouse Robotics Adoption

One of the biggest misconceptions in the industry is that robotics is only for large enterprises like Amazon or Walmart. Lawton explains that many warehouse operators assume automation is too expensive or disruptive. However, what often holds companies back isn’t cost—it’s a lack of process optimization.

“If your workflows aren’t efficient, automation won’t fix that—it will just make inefficiencies happen faster,” Lawton points out.

Entry-Level Automation: Where to Start

For warehouses looking to take the first step toward automation, Lawton recommends starting small. Some of the most effective entry-level robotics solutions include:

  • Automated Pallet Jacks (Big Joe’s model) – Ideal for repetitive pallet movements.
  • Drones for Inventory Management (Verity, Gather AI, Corvis Robotics) – Reducing manual cycle counts.
  • AI-Driven Pick Carts (Robust AI’s “Carter”) – Flexible, semi-autonomous solutions.

Innovations to Watch: Drone-Based Picking

One of the standout technologies at Manifest was Hummingbird Systems, which is pioneering drone-based picking. Unlike traditional warehouse drones used for inventory scanning, Hummingbird’s system physically retrieves items using a tethered drone arm.

While still in its early stages, Lawton sees massive potential:

“It’s different from anything we’ve seen before. If they can scale it, it could be a game-changer for e-commerce fulfillment.”

The Role of Change Management

Implementing robotics is about more than just tech—it’s about people. Resistance from employees is common, with many fearing job displacement. Lawton emphasizes the need for clear communication and gradual implementation:

  • Involve employees in the decision-making process.
  • Explain how automation enhances their roles rather than replaces them.
  • Train staff on how to work with robots to improve productivity.

The Future of Warehouse Robotics

With robotics and AI adoption accelerating, the next few years will be pivotal for warehouse automation. Companies that invest in scalable, user-friendly robotics while prioritizing change management will have a significant competitive advantage.

 

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About the Author

Blythe Brumleve
Blythe Brumleve
Creative entrepreneur in freight. Founder of Digital Dispatch and host of Everything is Logistics. Co-Founder at Jax Podcasters Unite. Board member of Transportation Marketing and Sales Association. Freightwaves on-air personality. Annoying Jaguars fan.

To read more about Blythe, check out her full bio here.