Smart warehouses in the fashion world go beyond storing and protecting merchandise. They are characterized by seamless connectivity, adaptability to market dynamics and, especially, by presenting a management based on the processing and analysis of a large amount of data from different sources.
In this post we explore why big textile brands require this type of intelligent infrastructures and what are the main tools and technologies applied, both in the logistics centers of manufacturers and retailers.
What exactly does a smart warehouse entail?
A smart warehouse is a logistics space where advanced technologies, such as AI, robotics and Internet of Things, are implemented and integrated for digitization, automation, data analytics, traceability and autonomous driving. It is the way to improve decision making and optimize every internal process, from receiving goods or raw materials to order fulfillment and shipping.
It is a warehouse that has interconnected systems and equipment, such as WMS management software, sensors and smart labels, artificial intelligence-driven machines, robotic equipment, conveyors, automated solutions for packing and case erecting and sealing, sensing and tracking technologies, and so on.
It is an ecosystem made up of technological tools, platforms and devices that:
- Improve the speed and accuracy of logistics operations.
- Enable real-time control of the flow of goods.
- Execute repetitive storage, picking and packing tasks, or tasks that represent a certain risk for operators.
- Facilitate the monitoring of garment conditions and quantities.
- Help maximize space efficiency.
- Improve energy efficiency.
Why fashion needs smart warehouses
The fashion industry’s investment in smart logistics spaces continues to grow as fast as e-commerce. Brands know that it is essential to distinguish themselves in the market, offering faster deliveries, incorporating a greater variety of products, styles, colors, sizes, fabrics….
In addition, collections change every season and must be managed in the most efficient way during sudden peaks in demand, such as sales, viral launches, important events, etc. On the other hand, it is crucial to manage omnichannel sales and synchronize orders with stock and replenishment of garments in the warehouse and in stores.
Let’s delve deeper into how the smart warehouse is a critical link to overcome the main challenges of the fashion industry:
Managing product complexity and seasonal trends.
In this industry, the same garment model must be offered, at a minimum, in multiple sizes and colors. This means using more space and managing a high variety of garments and accessories.
An intelligent warehouse is able to sort, store, receive the order, prepare, pack and ship it more quickly and accurately than logistics centers that operate manually or are semi-automated.
Ensuring traceability
The ability to track the movement of the garment throughout the supply chain is essential to maintain control and transparency of operations, prevent product counterfeiting and ensure the sustainability of the garment. This is what today’s consumer demands, as well as environmental regulations and 2030 emission reduction targets.
A smart warehouse has physical product tracking solutions, such as smart tags, RFID readers or automatic garment hanging counters. In addition, they use cloud or blockchain-based platforms that consolidate product and movement data (receiving, internal transfer, picking, shipping, distributor, retail, end consumer, return…).
Reducing waste and energy consumption
The textile industry generates an estimated 90 million tons of waste annually. It also consumes enormous amounts of water and energy. For example, it takes approximately 2,700 liters of fresh water to produce one shirt. On the other hand, there is also water pollution from textile dyeing.
All this environmental impact, together with ESG requirements, is forcing textile brands and logistics operators to adopt sustainable practices, such as the reuse of packaging, the use of solar energy sources and the integration of energy-efficient automation equipment.
Managing order returns
Reverse garment logistics is another critical operation in the textile and fashion industry, especially for garments with high seasonal demand and numerous SKUs per season or collection. The return rate can be as high as 50%.
Beyond the cost, it is complex to reprocess the returned products, with garments and accessories of different types, sizes, colors, packaging, qualities… In addition, they must be reconditioned, quickly sorted and put back on sale. Manual processing of these operations is slow, causes delays and errors, and takes up valuable space in the warehouse.
Technological tools most commonly used in fashion warehouse automation
Below we explore the main technological equipment and tools that support a smart warehouse in the fashion industry:
Automated shelving.
Stock management is mainly divided into two main categories: folded garments and hanging garments. Each requires specific automated storage solutions:
- Folded garments, which are stored in cardboard boxes, trays or containers. This product format is typically used for this product format:
- Stacker cranes or SRM systems. They consist of automatic cranes that move vertically and horizontally in narrow aisles with high racking. They run on rails installed either in conventional warehouses or in self-supporting structures. It is an automatic storage and retrieval system for products ranging from light loads, such as boxes with folded clothes, to pallets. For example, it is used by sportswear and footwear brands.
- Shuttle system. This is a storage solution for small items in cardboard boxes or trays where multiple vehicles (shuttles) can circulate autonomously and simultaneously in the aisles and different levels of the warehouse racking. For example, it is used in the storage of folded garments in boxes, accessories or returns.
- Structures for hanging garments: The fashion industry also requires hanging storage for coats, dresses, suits, shirts or any other delicate garment, to avoid wrinkling, deformation or other damage to the fabric. For this purpose, they are usually implemented:
- Overhead conveyors. The hangers with hanging garments circulate through these conveyors without manual handling.
- Automated mobile racks for hangers. In this mechanism, the racks of garments are moved in their entirety, by means of rails on the floor, to facilitate picking or seasonal changes.
- Carousel systems for hangers. They work as a vertical or circular wheel where the hanging garments rotate to the picking or shipping station.
Eco-efficient solutions for reused packaging
The packaging phase in a fashion warehouse is one of the most critical processes, both in terms of volume and in terms of order, traceability and sustainability. The goal is to pack efficiently while reducing energy consumption and waste, especially in e-commerce operations.
To achieve this, smart warehouses incorporate eco-efficient automation technologies that enable packaging to be optimized from both an operational and environmental perspective. For example:
- Automatic case erector. This solution folds flat cardboard along pre-marked lines.
- Automatic box transferer. This is a system that detects empty trays on the conveyor and inserts the boxes accurately.
- Box closing and sealing machine, which seals overfilled boxes and adapts to the packaging format.
The main feature of these packaging automation solutions is their ability to operate with both new and used boxes. Because it is not only about increasing the speed and accuracy of order picking, it is also essential to use resources efficiently and minimize waste generation. And reusing cardboard box is a key strategy to achieve this.
RFID technology in textiles
RFID electronic tags incorporate a chip that stores key garment data, such as size, model, lot and a unique identification code. This information is transmitted remotely to the RFID reader. Unlike barcodes, RFID systems allow multiple tags to be read at the same time, even through packaging or from a distance.
Where are RFID tags integrated? There are a variety of locations and formats. For example:
- RFID inlay fabric tags. These can be sewn into the lining of pockets, hems or side seams,
- RFID hang tags, external to the garment.
- Self-adhesive RFID tags, to be placed directly on the garment, in its bag or box.
- Garment care labels integrating RFID technology.
- Button-type RFID tags.
For example, RFID readers in the aisles, at the entrances and exits of the warehouse register all garments as they are transported, achieving instantaneous stock counts per area. This optimizes inventory control. In addition, in the store, the RFID tag makes it possible to offer added services to the end customer, such as automated payments without going to the cash register.
Robotic technology
Different types of robotic equipment are used in smart fashion warehouses, depending on the type of merchandise and the operational phase. For example:
- Autonomous mobile robots. These are vehicles equipped with sensors, cameras and navigation systems that allow them to move freely around the warehouse to transport goods to the picking areas.
- Robotic picking arms, which are usually integrated into the picking and packing lines. They are equipped with machine vision systems and adaptable gripping terminals, such as grippers or soft grippers.
- Palletizing robots.
- Cobots. These are articulated robotic arms designed to operate safely alongside human operators. They typically assist in tasks such as folding and packaging clothing.
Tecnimusa. Automation for intralogistics in the textile and fashion sector.
We specialize in the design and manufacture of automated and eco-efficient solutions for the internal logistics of the textile industry. As an engineering company, we work to increase the efficiency, accuracy and sustainability of our customers’ intralogistics operations.
Our solutions not only automate your warehouse, they make you save energy, reduce waste and operate with the efficiency demanded by the market… and the environment. Innovation is our forte.
Contact our team. We’ll help you create a greener, more efficient future for your industry.
