Retrofitting for future-proof Logistics
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Retrofitting
Technological innovation is propelling the logistics industry forward at an unprecedented pace, transforming the business landscape in fundamental ways. Market forces are driving this shift: intense cost pressures, rising customer expectations, and the demands of global competition have made efficiency the highest priority in intralogistics. To keep up, many logistics providers have turned to automated systems, which offer substantial advantages. Yet, the investment required for automation is significant, and small to mid-sized companies often hesitate to take on such expenses. As a result, many existing systems essentially become time capsules – hardware, software, and infrastructure are often frozen in their original state from the time of launch. This leaves companies with the challenge of maximizing their investment, as returns are generally only realized after several years. Retrofitting – the modernization and adaptation of existing systems – offers a promising solution here.
Through targeted retrofitting, logistics facilities can enhance efficiency, increase resilience, and stay competitive in a fast-evolving landscape. However, as with any valuable upgrade, there are a few challenges and essential steps to address along the way to modernized automated systems.
Before embarking on a retrofit project, it’s essential to conduct a thorough assessment of the existing systems. This is an ideal stage to bring in external expertise – logistics specialists can provide a comprehensive, manufacturer-independent view of the current state of automation technology. In this initial phase, the following key points should be considered:
- Technological Age
- Evolving order spectrum
- Performance bottlenecks
- Safety standards
Integration of new technologies
A key element of retrofitting is the integration of new technologies—and this is where the challenge begins. It’s essential to ensure that the new components work seamlessly with the existing systems, preventing any disruptions or incompatibilities within the overall system.
It involves compatibility, scalability, flexibility and responsiveness of adjusted and new systems
Cost-Benefit analysis
The desire to simply replace old systems with new ones is understandable, but a thorough cost-benefit analysis is essential to ensure that the project is economically viable and does not result in financial losses. A detailed evaluation of both costs and potential benefits is key to making a successful investment decision. Consider the following:
- Investment costs
- Operational costs
- Return on investement (ROI)
Who can benefit from Retrofitting?
Large companies
For large enterprises that operate logistics centers with extensive, often inflexible automation systems, retrofitting is almost a necessity. The advantages are clear: scalability, cost efficiency, competitiveness.
Small and medium-sized enterprises (SMES)
Retrofitting can also offer significant benefits for small and medium-sized businesses. The advantages are particularly practical for SM’s. These include: cost-effective modernization, flexibility, growth opportunities.
External support can be a game-changer
Retrofitting offers valuable benefits for businesses of all sizes. Large companies particularly benefit from scalability and long-term cost savings, while small and medium-sized enterprises gain from cost-effective upgrades and enhanced flexibility.
The decision to pursue retrofitting should be based on the company’s specific needs and objectives. Often, it is worthwhile to seek external support at various stages of the process— logistics experts provide an unbiased perspective on solutions and are well-versed in potential pitfalls.
Is your logistics system ready for Retrofitting?
Contact one of our experts without obligation. We would be happy to help you assess the current state of your logistic systems and determine whether retrofitting is the right solution. Also read more about retrofitting in the white paper with a practical checklist included.
FAQs
Retrofitting allows you to get the most out of your initial investments.
Through targeted retrofitting, logistics companies can improve efficiency, increase resilience
and remain competitive in a rapidly changing landscape.A thorough analysis of your current systems is important. Check out our checklist in our white paper to assess your current logistics systems. Our consultants will be happy to help you.
Please feel free to contact our consultants. We will be happy to help you!
Need advice?
I’m here to help!
Bas Blom
Consultant
I’m here to help!
Dennis van Steen
Director Customer ProjectsWhitepaper Retrofitting
How Retrofitting can prepare your logistics for the future
More details about retrofitting can be found in the white paper with a checklist included.
