What is RaaS, and Why Your Warehouse Can No Longer Ignore the Concept?

Deploying robots for warehouse operations such as loading, picking, sorting, distribution, packing, cleaning, and other tasks increase efficiency and delivers substantial operational cost savings. But the high investment and technical expertise needed to install and manage robots often prevents warehouse automation.
 
Enter RaaS, or Robotics-as-a-service!
 
RaaS entails deploying autonomous mobile robots with a cloud-based subscription service instead of purchasing and deploying robots outright. RaaS providers rent robots for specific tasks or specific periods. 
 
Did you know that warehouse businesses that adopt the RaaS model stand at a better gain?
 
Shift from CapEx to OpEx
 
RaaS changes facility automation costs from capital expenses (CapEx) to operational expenditures (OpEx). 
 
That means businesses no longer need to tie up capital in automating their warehouse!
 
They can realize the opportunity cost of such capital. Moreover, the expense becomes easily attributable to the specific client or service using the robots. 
 
RaaS lowers entry barriers significantly. Small and mid-sized businesses especially find RaaS a godsend, as they do not have to commit to substantial upfront capital for automation. RaaS offers them a level playing field with big players in automation and efficiency.
 
If you look at it from an administrative front, the budget approval process for RaaS is much simpler than purchasing robots outright. 
 
Quick and easy deployment
 
Traditional robotic automation deployment takes time. 

The enterprise has to acquire equipment, assemble an engineering team, procure and configure software, train robots on AI algorithms, invest in testing, and prepare the workforce before deployment. The entire process takes about 18 months, on average. 
 
 
With RaaS, deployment becomes almost instantaneous. Enterprises can reap immediate benefits from automation. 
 
One of the main reasons that warehouses refrain from automation is fearing their investments becoming obsolete in today's age of rapid innovation and technical disruptions. 
 
With RaaS, this issue is taken care of.
 
The service provider assumes such risks. Since robots are the core focus of the service provider's business, they can manage such risks better.
 
 
Easy scalability and flexibility
 
Changing demands or unpredictable workloads? RaaS can adapt just as quickly to all of that! 
 
Warehouses may scale up and down the deployment of robots on a need basis. For instance, they can deploy more robots during the busy festive season and return them to the service provider during lean periods. 
 
RaaS also enables the warehouse to focus on solutions rather than just equipment. As such, 
RaaS-based models can adapt easily to customers' supply chain ecosystems.
 
Hassle-free maintenance and upgrades
 
You no longer have to worry about robot maintenance and upgrades. 

Instead, focus your energies on your core operations while the service provider focuses on his!
 
RaaS shifts the burden of maintaining and upgrading robots to the service providers. 
 
RaaS providers constantly upgrade to the latest robot models, allowing warehouses to deploy the latest robots without additional investments.
 
A Solution to HR Woes
 
Have you struggled to get temporary workers, especially during the busy season? 

Even otherwise, many warehouses face a talent crunch plaguing most industries for many years. 
 
RaaS enable the warehouse to overcome the crisis effortlessly.
 
RaaS robots can work alongside humans. And unlike humans, robots do not tire. 

They can work round the clock without rest, fatigue, food, or toilet breaks. They always work at the same productivity level and perform tasks precisely as instructed. 
 
…but the service agreement matters.
 
The devil often lies in the detail. 

The success of RaaS deployment in a warehouse often depends on the service agreement signed by the warehouse operator with the service provider. 
 
Vet the RaaS service contract thoroughly. Especially consider:
 
Price to value: 

Do not go by the price alone. Instead, look at the robots on offer. 

The type and nature of the robots also matter.

Top-end robots have embedded artificial intelligence and machine learning capabilities, deep learning, computer vision, IoT, and more. They are fast, do agile manoeuvring, and can carry huge payloads continuously without breaking down. 

Standard robots capable of warehouse operations lift up to 40 kgs. High-end robots have industrial chassis and can handle loads of three tonnes. 
 
The level of flexibility:

For instance, inflexible contracts, such as commitment to adopting a service level with no flexibility to scale up or down, negate the very purpose of RaaS. 
 
Costs:
 
Ensure the costs are transparent and no hidden expenses or maintenance charges are in the contract.
 
Value-added services:

RaaS service providers offer a wide range of services. Some top-end services provided by leading providers include fully customized AI warehouse installation, configurable warehouse execution system, real-time monitoring, simulations of the warehouse to troubleshoot issues, business intelligence reporting, and more. 
 
Ensure the service provider offers the service needed and the contract does not saddle your warehouse with the costs of an unneeded service.
 
Ease of use:
 
The interface to manage the robots also matters. It makes sense to prefer providers who offer an easy-to-use, intuitive interface that enable the warehouse to leverage the full benefits of automation. 
 
Training and support:
 
With RaaS, warehouses have lesser control over the robots hired under the RaaS model. They depend on the service provider for support and, sometimes, even basic operations. To overcome such drawbacks, strike a cordial relationship with the service provider, and impart training to the workforce on operating these robots.
 
 
Adopt RaaS based on the specific needs and circumstances surrounding the warehouse. Understand the current state of the supply chain and automate critical areas that make a huge difference in productivity and efficiency.
 
The challenges notwithstanding, RaaS is fast becoming the preferred approach to automate warehouses and transform supply chain systems.