For the last few years, conversations with our customers have covered issues such as narrowing aisles for better space utilization and adding automation solutions to reduce error rates and improve throughput. But it wasn’t until COVID-19 exposed vulnerabilitiesin the economy that many of our customers began to truly hear us.
Until recently, customer response to automation solutions largely was that it was an unbudgeted expense. The reality of today is that it’sin the budget, but it’s allocatedas labor or a lease payment or another line item. Customers that previously feltno urgency to implement automation and integrated solutions realize that now is the time to invest.
Consistent with our experience, a recent industry surveyshowed that76 percent of respondentssaid automation has been the focus of their capital investment discussions over the last three years, and 54 percent saidthey are investing right now in automation solutions.
Accelerated consumer migration to online and on-demand buying, bulging warehouses, labor shortages and wage expansionsall are fuelingthe serious discussions we now are having with customers about how they canbest manage throughput and preserve pricing.Manufacturers and distributors areready to be proactive in the face of an unprecedented, unpredictable marketplace, and they are looking for partners, not product sellers, to help them make informed decisions.