From autonomous mobile robots and automated storage systems to AI-powered software, there is no shortage of technology promising to make supply chains faster, leaner, and more efficient.
But choosing the technology is rarely the hardest part.
The harder questions are operational: Where can automation create meaningful value? Which solution fits the realities of the business? How will that investment affect the wider supply chain? And what else must be aligned to make it successful?
At Kenco, we use a four-stage process to turn automation from an isolated technology purchase into a broader operational strategy.
Stage 1: Assess the opportunity before prescribing the technology
Kenco begins with an initial assessment of the operation. We ask: What is preventing this facility from achieving its productivity, cost, service, or growth objectives?
The answer may be repetitive manual work, excessive travel, underutilized space, safety risks, or an operation that can no longer scale with demand. By examining how people, products, and equipment move throughout the facility, we can identify which inefficiencies have the greatest downstream impact—and where automation may help.
Once we understand the need, we draw from a broad portfolio of proven and emerging technologies. Our team continually researches and evaluates solutions to understand what each does well, the operating conditions it requires, and where it can deliver value. This allows us to explore multiple paths instead of forcing the operation into a predetermined system.
Kenco’s Innovation Lab is an important part of this work. It gives our team a warehouse environment in which to test and vet technologies before bringing them into customer operations. We can look beyond what a solution promises to understand how it performs, what implementation requires, and where it is most likely to produce a return.
Related blog post: The Wave of Innovation Mitigating MHE and Operator Shortages
The outcome of Stage 1 is a prioritized set of opportunities, an understanding of what may need to change before automation can succeed, and a clearer view of which technologies merit further evaluation.
Stage 2: Determine the best fit for the operation
No two operations are the same. A technology that performs well in one facility may be a poor fit for another because of differences in order volume, SKU mix, product dimensions, facility layout, labor availability, service requirements, or demand variability.
During this stage, we evaluate potential solutions against the customer’s requirements and weigh the tradeoffs. One technology may provide greater throughput but require substantial infrastructure changes. Another may deploy faster but offer less long-term capacity.
Kenco weighs these factors alongside scope, cost, delivery schedule, and expected return to determine whether the solution makes operational and financial sense.
Kenco applied this approach when selecting AutoStore for its Jeffersonville shared fulfillment facility[EH1] . The team modeled customer and operating requirements, compared multiple automation options, and worked with an external integrator to validate the projected performance and business case. The selected system now quadruples storage capacity compared with traditional racking while making more effective use of labor and space.
The result of Stage 2 is a decision-ready recommendation grounded in the requirements of the operation—not simply the theoretical capabilities of the technology.
Stage 3: Look beyond the four walls
Before recommending an investment, Kenco considers how it will affect the customer’s broader network, growth plans, and long-term strategy.
We consider questions such as:
- How will additional capacity or throughput affect upstream and downstream operations?
- Are there opportunities to consolidate volume, facilities, or processes?
- Could the technology be scaled or replicated across other locations?
- Does the investment support the customer’s longer-term network strategy?
Through its Logistics Engineering and Consulting practice, Kenco connects automation planning with network, inventory, and transportation strategy.
The result is a broader automation roadmap—one that connects the proposed investment to other facilities, functions, and priorities across the customer’s supply chain.
Stage 4: Bring the pieces together in one connected operating model
Automation depends on the people, processes, systems, equipment, and transportation surrounding it. Kenco brings these elements together in a coordinated model so improvements compound across the operation.
Faster picking, for example, creates more value when labor is allocated effectively, orders are staged at the right time, and transportation capacity is ready to move them. Connecting warehouse and transportation systems can help coordinate those activities, as Kenco discusses in 10 Benefits of Choosing the Correct WMS.
Because demand, product mix, and labor conditions continue to change, shared data and visibility help Kenco and its customers adjust workflows, resources, and priorities over time.
Build a better operation, not just a more automated one
The best automation strategies begin with a clear understanding of the operation and a clear reason to change it.
Sometimes the right answer is a major automation investment. Other times, it may be a targeted technology, a process improvement, or foundational work that prepares the operation to automate later.
At Kenco, our goal is to provide a clear path forward—one grounded in operational needs, supported by financial justification, and designed to create value across the supply chain. Because automation is not the strategy. It is one of the tools we use to build a better operation.