The top original equipment manufacturers come to the aftermarket industry (OEM). In the United States, the aftermarket industry accounts for 8% of the G2P. It can account for 40% to 60% of a company’s overall income. It is according to the industry publication Industry Week. In today’s advanced world, automation in the supply chain management system is very essential. New distributors of spare parts should look at Goods-to-Person (G2P) solutions.
Because the client’s expectations are changing at the speed of light, automation is becoming important. In addition, the pandemic has led to an increase in demand for warehouses and distribution centers. GTPs were created as a result of computer advances and powerful artificial intelligence algorithms. These devices are a cost-effective and simple method of enforcing social isolation in the warehouse.
The warehouse’s efficiency and effectiveness are also boosted by the deployment of technologies like this one. Since these systems are straightforward to implement, they are appealing. Even more important is that these systems are less intrusive than others that monitor the movements of workers.
It is part of a larger research on distribution network trends, which also includes the G2P data. It anticipates supply chain companies. It would make significant investments in integrated solutions and artificial intelligence. 50% of firms expect to make such expenditures by 2024. It is to fulfill changing needs for smarter and informed choices in seconds, according to the statistics.
G2P systems are ideally suited for spare parts storage, according to this article. Let us continue reading to learn more about the advantages that spare part distributors derive from such systems.
Numerous SKUs Available
In spare part warehouses and distribution hubs, the quantity of stock-keeping units (SKUs) can reach six digits! Yes, that’s correct. A huge footprint is required for SKU’s forward placement, requiring pickers to go considerable distances. It’s a waste of time and energy to go for a stroll. Because they take advantage of the warehouse’s vertical space, goods-to-person systems are possible. The use of vertical space reduces the picking footprint at the front. In addition, the system’s stock-keeping units (SKUs) are easily accessible using this feature. Consequently, it’s the greatest automated handling system.
Changing SKU Requirements
The statement that it is impossible to foresee which pieces will fail and at what time is correct. End users have substantial issues when slotting SKUs forward pick medium because of the random breakdown. Slotting is no longer necessary with the purchase of goods-to-person (GTP) systems.
Using A Lean Stocking Approach
According to their value, a few units might represent months or even years for minuscule parts. Small amounts of a product are often kept on hand by clients to ensure that they never run out. A G2P system allows warehouse personnel to store all of their stock-keeping units (SKUs) inventory. It eliminates the need for restocking and storing reserves.
Modest Fluctuation in Demand Across The Year
- Demand for aftermarket products does not fluctuate as much as it does for consumer items throughout the year. Relatively consistent demand prevents the need for oversizing the system’s capacity. The clients can also sustain a high level of system utilization throughout the year.
Order Processing In A Short Time
It’s typical for end-users to wait until a component fails before purchasing replacement components. As a result, spare component requests are often seen as requiring a high degree of urgency. G2P is one of the greatest material handling systems because of its high bandwidth rates and quick reactivity.
Types And Sizes Of Orders That Can Be Placed
There are a variety of clients who fall under market support, including partner dealers and end-users. Depending on the type of customer, the degree of service and the quantity of the order might range. Customers that use goods-to-person systems can work on a variety of orders in different ways. To boost the company’s productivity and output, these systems manage the workflow.
The information presented above shows the automation of Spare Part Distributors. G2P systems are essential for every distribution center and warehouse in the world. Systems like this can appear at any time and for any reason anywhere on the world’s surface. According to Gartner’s statistics, the demand for G2P materials management is predicted in the next two to three years. Enterprises all over the world seek ways to impose social distance in warehouses. This means that the overall productivity and efficiency of G2P systems may be improved over a longer period. It also provides additional benefits, such as better storage density.