Third Party Logistics

Warehouse Challenges for 3PL

Industry challenges
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Labour shortage - Companies face issues in acquiring skilled staff, training them while controlling attrition costs. Almost 76% of Supply chain leaders report warehouse workforce shortages.
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Omnichannel fulfilment - 3PL companies often service B2B and B2C clientele across multi-industries. Facilitating bulk and individual orders from the same warehouse requires systems that support multi-tenancy.
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Reverse Logistics - U.S. returns are expected to reach $890 billion by 2025. Managing high return volumes has become as a significant operational challenge for 3PL providers.
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Fluctuating demand - Order volumes fluctuate during holidays and peak season sales which may highlight either capacity gaps or surplus spends on consuming unnecessary energy or space.
Industry challenges
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Error rate - Partners expect real-time tracking, SLA compliance, and error free delivery. Yet, as per leading studies, 35% of warehouses report more than 1% picking error rates.
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Speed - With 80% of consumers expecting same-day shipping, 3PL companies may face a monetary penalty for the delay in fulfilment.
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Short term contracts - Most 3PL warehouses run on leased spaces, making fixed infrastructure a barrier to agility. Faster-to-deploy, flexible automation ensures scalability, quick adaptation, and seamless onboarding for ever-changing customer needs.

Automation Solutions for 3PL

Fixed and Flexible

Sortation

Storage

Software

Digital Twin

As a Service

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Our expertise in both fixed and flexible automation solutions like Crane ASRS, 4 way pallet shuttle, sortation robots, autonomous forklifts and AMRs helps us provide a balanced approach that fits your requirements.

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Our Sortation robots enable 3PLs to accurately handle multi-SKU orders through batch picking, consolidate delivery to multiple last mile delivery providers, facilitate order consolidation, and streamline return handling all while ensuring accuracy, speed and throughput.

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Automated storage solutions powered by shuttles like Cruiser 360, Quadron and Multi-Pro assure maximum utilisation of space without compromising on order retrieval speeds. This enables 3PLs to unlock high density storage that saves up-to 80% of floor space and manage SKU-heavy inventories with loads up to 2,500 kgs.

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Integrated with IoT sensors and scanners, Addverb’s AI enabled Warehouse Software Suite offers real-time visibility into inventory flow. Moreover, it can also be integrated with existing in-house ERP systems like Truck management/ Order Management or any external system.

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Our digital twin platform lets you onboard new customers with confidence by combining real-time data from existing operations with projected data from incoming customers. This real–sim coexistence helps you test, analyze, and optimize in the virtual world before execution in the real one.

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Automation-as-a-Service enables our partners to deploy Warehouse automation solutions on a subscription basis eliminating high upfront costs and supports flexible client needs.

Solutions Finder

Your biggest challenge?
Short-term contracts leading to redundancy of existing infrastructure
Changing market demands requiring flexible automation solutions
Inadequate space utilization for multi-customer site
Labor shortage to manage operations
Omnichannel fulfilment and complex returns management

Download our Brochure

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Are you looking for a solution?

Contact Us

Tailored automation solutions to fulfil your customer’s requirements

Why Choose Addverb?

Commercial Flexibility

We offer automation solutions that support multi-tenancy in a warehouse offering the commercial flexibility to serve pay-per-service models.

Accuracy

Our proven track-record of ensuring order consolidation with 99% accuracy ensures reliable performance, while offering state-of-the-art returns management.

Speed

With our experience in 3PL industry, we design solutions for quick deployment and faster go-live with flexible and scalable infrastructure.

After Sales Support

Our AI-enabled after-sales platform, built on Mendix, delivers industry-leading asset care through digital twins for real-time preventive maintenance.

Empowering Industries with Automation

Automation is required in Third Party Logistics industry for streamlining logistics operations, reducing order processing time and increasing accuracy. Read our case study for 3PL automation to understand innovative solutions offered by Addverb.

Case Study

DHL's Automated Sortation System

DHL, a 3PL player modernized its fulfillment center with sorting robots to improve efficiency, accuracy, and visibility.

Read More
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Featured blog
Maximizing Efficiency in 3PL Logistics Automation

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Products for 3PL Automation

Our extensive product portfolio helps us design customised solutions for varying industry requirements.

Dynamo

Autonomous Mobile Robot

Multi-Pro

Mother Child Shuttle

Quadron

Carton Shuttle

Cruiser

Pallet Shuttle

Other Industries

Fashion

Rapidly evolving fast fashion trends, requires robust Apparel warehouse automation.

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Grocery

With quick commerce growing, it is cruicial for Grocery warehouse automation.

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Consumer Goods

Large SKUs with varied handling requirements require CPG warehouse automation.

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Ecommerce

Quick and accurate e-commerce deliveries through warehouse automation.

Know More

Frequently Asked Questions

  • What factors determine the cost of automating a 3PL warehouse?

    The cost depends on warehouse size, SKU volume, order throughput, and the type of robots used. Since every 3PL operates differently, solutions are customised according to their requirement. For an exact cost estimate, please get in touch with our experts.

  • How long does it take to implement warehouse automation for 3PLs?

    Timelines for 3PLs vary by warehouse size, client base, and SKU range. Modular systems like parcel sortation or batch picking can go live in a few months, with stepwise deployment helping smooth integration with multi-client WMS and order flows. Phase-wise automation details for this implementation are available on our whitepaper.

  • We have 3PL supporting multiple clients with various types of orders. Can automation still help us?

    For 3PLs handling multiple clients and SKUs, Addverb’s batch picking, robotic sortation system, and our Fleet management system keep orders separated and accurate while managing both B2B bulk shipments and B2C parcels. This enables true omni-channel fulfillment.

  • Can 3PLs test warehouse capacity before onboarding new clients?

    Yes, Addverb’s digital twin lets 3PLs simulate new client volumes, order types, and SKUs. This helps test throughput, spot bottlenecks, and confidently commit to service levels before onboarding. Moreover, our Movect - Addverb's proprietary FMS can also help in emulating impact on throughput on increasing or decreasing the number of robots in your fleet.

  • How can 3PLs reduce turnaround times for returns?

    Addverb’s automation handles returns with robotic scanning, fast conveyor sortation, and dedicated workflows. This speeds up processing, enabling quicker resale or faster client credit updates.