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TGW Logistics' employee's hands in front of a screen, presenting the FlashPick solution for flexible logistics TGW Logistics' employee's hands in front of a screen, presenting the FlashPick solution for flexible logistics
Blog Post

What is an automated warehouse and how does it transform modern logistics?

In a world where speed and efficiency define logistics success, the automated warehouse has become a key driver of transformation in modern logistics.

Its integration into the supply chain enables companies to optimize processes, reduce costs, and improve operational accuracy across industries such as food, e‑commerce, and automotive.

What is an automated warehouse?

An automated warehouse is a facility equipped with advanced technologies—such as AS/RS systems, autonomous mobile robots (AMRs), and warehouse management software (WMS)—designed to optimize material flow and inventory management.

Its main goal is to reduce manual intervention, increase efficiency, and ensure greater traceability and safety throughout logistics operations.

Key technologies in an automated warehouse

Automated systems combine mechatronics, robotics, and intelligent software to create integrated and highly efficient workflows:

  • AS/RS (Automated Storage and Retrieval Systems): automate the storage and retrieval of goods using stacker cranes or shuttle systems.

  • Autonomous Mobile Robots (AMRs): move independently within the warehouse to transport goods without fixed infrastructure.

  • Warehouse Management System (WMS): centralizes information, optimizes routes, assigns tasks, and ensures real‑time traceability.

  • Automated picking: robots and ergonomic workstations speed up order fulfillment and reduce errors.

  • Conveying and sorting systems: modular conveyors and automated sorters streamline internal material movement.

Six benefits of an automated warehouse

Warehouse automation delivers strategic advantages that directly impact productivity, operational efficiency, and service quality. The most relevant benefits include:

  1. Higher operational efficiency: automated processes reduce handling times.

  2. Fewer errors and greater accuracy: digital control minimizes inventory and order‑picking mistakes.

  3. Space optimization: vertical and dynamic storage maximizes usable capacity.

  4. Faster delivery: automated warehouses accelerate order fulfillment and enhance the end‑customer experience.

  5. Lower labour costs: reduced reliance on manual work decreases personnel‑related expenses and employee turnover.

  6. Sustainability and energy savings: automated systems optimize energy consumption and reduce waste.

Industries that benefit most from automation

Intralogistics automation adapts to different business models and product types. These industries gain the greatest value thanks to improved operational flow, accuracy, and responsiveness to demand:

  • E‑commerce and retail: fast and accurate order processing.

  • Pharmaceutical industry: strict inventory control and storage conditions.

  • Food and beverage: efficient handling of perishable and temperature‑controlled products.

  • Automotive: just‑in‑time supply for assembly lines.

  • Industrial and consumer goods: flexible, scalable storage for demand peaks.

TGW Logistics technologies for warehouse automation

A fully automated picking workstation capable of recognizing, handling, and sorting products using artificial intelligence—even irregular or deformable items.

It operates autonomously 24/7, increasing productivity and reducing errors.

The future of automated warehouses

Technological evolution is driving a new era of intelligent intralogistics. AI, machine learning, and IoT enable predictive inventory management and dynamic resource optimization.

In the coming years, automated warehouses will be a cornerstone of Logistics 4.0, combining efficiency, sustainability, and real‑time adaptability to demand.

Transform your logistics with TGW Logistics

By integrating TGW Logistics solutions, organizations can achieve more efficient, accurate, and sustainable logistics operations.

If you are considering the move toward automation, explore our solutions and transform your supply chain.

Contact us

TGW Logistics is a foundation-owned company headquartered in Austria and a global leader in warehouse automation and warehouse logistics. As a trusted systems integrator with more than 50 years of experience, we deliver end-to-end services: designing, implementing, and maintaining fulfillment centers powered by mechatronics, robotics, and advanced software solutions. With over 4,600 employees spanning Europe, Asia, and North America, we combine expertise, innovation, and a customer-centric dedication to help keep your business growing. With TGW Logistics, it's possible to transform your warehouse logistics into a competitive advantage.