Automating brownfield warehouse operations

Modernising brownfield warehouses with pre-existing structures and layouts often feels challenging. Yet, with the right warehouse automation solutions, it’s also an opportunity. 

Retrofitting brownfield warehouses with automation focuses on more than addressing logistical challenges. It helps resolve key issues such as labour shortages, inefficiencies, and limited scalability through the adoption of warehouse automation technology. To explore how businesses are turning these challenges into opportunities, we spoke with Jack Pool, our Business Development Director for Supply Chain & Logistics. Jack shares actionable insights on the complexities of warehouse automation and shows the full potential of robotics in warehouses. Read on to discover how innovation can breathe new life into brownfield warehouses. 

Why brownfield warehouses are challenging to automate 

Brownfield warehouses often present unique challenges due to their age and design. Many were built long before modern automated warehouse systems existed, making upgrades more complex. Some of the biggest challenges are: 

Physical limitations 

Existing infrastructure is a common hurdle. Floors that need to be levelled, obstructive pillars, and outdated docks sometimes don’t align with current warehouse automation, often requiring costly modifications to ensure compatibility with automated solutions such as conveyor belts, storage systems and autonomous mobile robots (AMRs). For example, achieving the necessary floor flatness for automation can demand significant investment. 

Market uncertainty 

Beyond physical challenges, businesses hesitate due to market uncertainty. Rapid changes in consumer demand, economic fluctuations, and evolving logistics requirements make it difficult to commit to large investments with fixed capacities. Companies worry about investing in warehouse automation solutions that may not align with future operational needs. 

Ownership concerns 

Ownership of warehouse spaces adds another layer of complexity. Many companies lease their warehouses, which makes them hesitant to invest in automated warehouse systems. Short leases pose a problem. As Jack explained, “If you only have a three-year lease, but the automation system takes five years to pay off, it’s a tough decision.” 

Dependency on 3PLs 

Third-party logistics providers (3PLs) often operate warehouses and can also resist automation. Their revenue frequently depends on manual labour, so warehouse automation and robotics can feel like a threat. Jack pointed out, “3PLs are often paid (directly or indirectly) based on the amount of manual work they perform. Automation reduces that, which can impact them financially.” 

To overcome this, businesses need to collaborate with their 3PL partners. Aligning incentives and demonstrating mutual benefits are key to making automation work for everyone. 

Fear of disruption 

Many businesses delay automation because they fear disruptions to daily operations. Shutting down a warehouse for months is rarely an option. Careful planning and phased implementations are important to minimise downtime. 

How modular automation eases the transition

Modern warehouse automation technology provides modular solutions that simplify the upgrade process for brownfield warehouses. Instead of overhauling the entire facility at once, businesses can take a phased approach by automating specific processes first. 

To ensure a seamless transition, it’s important to establish clear contract agreements, define service level expectations, and foster long-term collaboration with automation partners. This proactive approach helps businesses navigate challenges effectively while maximising the benefits of automation. 

Examples of modular automation: 

• Inventory management: Drones and scanners track stock levels and provide accurate inventory counts.
• Automated unloading: Robotic systems can now handle automated unloading processes, reducing manual effort and improving inbound efficiency. 
• Packing and sorting: Automated sortation systems improve order accuracy and speed up processing. 

This modular approach is ideal for brownfield warehouses, where adapting to the existing layout is important.

A simple guide to automating brownfield warehouses 

Automating a brownfield warehouse is achievable with a step-by-step approach. Breaking the process into manageable phases ensures smooth operations while maximising the benefits of warehouse automation and robotics. 

Step 1: Focus on high-impact areas 

Identify areas that will benefit most from robots in warehouses, such as: 

• Inbound logistics: Streamline receiving processes with robots in warehouses. 
• Storage: Optimise inventory management and maximise space using warehouse automation and robotics solutions. 
• Outbound processes: Enhance picking, packing and shipping efficiency with robotics in warehouses. While still thinking about end-to-end design to ensure the solution fits the whole process in the warehouse. 

Step 2: Gather and analyse data

Before introducing robots and automation in warehouses, analyse order patterns, bottlenecks, and labour usage. This will help pinpoint where warehouse automation will provide the greatest return on investment. 

Step 3: Plan for temporary solutions 

Minimise disruptions by creating temporary workflows during upgrades. For example, set up temporary storage areas while implementing warehouse automation in specific sections of the facility. Modular, scalable solutions like AMR’s would also give the option to start up in a phased manner. 

Step 4: Test and fine-tune 

Pilot new systems in a single area to ensure they work seamlessly with existing operations. Fine-tune the systems before scaling them across the warehouse to maximise the efficiency of robots in warehouses.

Preparing for the future of warehouse automation 

Warehouse automation isn’t just an opportunity anymore, it’s a must. There are fewer workers, less space to build new warehouses, and a growing need to meet sustainability goals. Automating existing warehouses helps businesses stay ahead by making better use of space, avoiding expensive new builds, and handling labour shortages with smart robots and AI. Companies that wait too long may struggle to keep up as the industry moves faster toward automation and efficiency. 

However, technology alone isn’t enough. By investing in workforce training, businesses can ensure a smooth transition and long-term success with robots and automation in warehouses. Proper preparation positions companies to fully harness the potential of warehouse robotics and automation.

Ready to transform your brownfield warehouse?

We specialise in brownfield warehouse optimisation and automated warehouse systems tailored to meet your needs. Ready to take the next step? Contact us today to build a smarter, more efficient future together. 

Our blog ‘Network Design: Future-proof & innovative supply chain approaches’ might also be an interesting read for you. In this blog we explain the 4 steps of designing a future-proof supply chain, ensuring robustness and resilience, which are vital to maintaining or gaining a competitive advantage.