As manufacturing and distribution facilities face increasing pressure to maximize efficiency while managing labor shortages, Automated Storage and Retrieval Systems (ASRS) have emerged as a critical solution. These computer-controlled systems, which automatically place and retrieve loads from defined storage locations, are transforming how companies handle inventory management. With the global ASRS market projected to reach nearly $11 billion by 2027, these systems are becoming essential infrastructure for modern manufacturing operations.
Summary:
- ASRS systems automate storage and retrieval processes, maximizing space utilization while reducing labor costs and errors.
- Different ASRS types (vertical lift modules, horizontal carousels, cubic systems) serve specific industry needs and inventory profiles.
- Integration with warehouse software and AI/IoT technologies enhances inventory tracking, predictive maintenance, and operational efficiency.
How ASRS Systems Work
ASRS systems function through a coordinated network of hardware and software components. At their core, these systems use computer-controlled equipment to store and retrieve items without human intervention. When products arrive at the facility, the system automatically identifies appropriate storage locations based on predefined parameters such as size, weight, and demand frequency. When items are needed for production or order fulfillment, the system locates and retrieves them, delivering them to designated workstations.
This automation eliminates the need for workers to search for items manually, significantly reducing retrieval times and minimizing errors. The computer maintains a real-time inventory database, tracking exactly what is stored and where, ensuring accurate stock levels and reducing the risk of stockouts or overstock situations.

3 Types of ASRS Systems for Different Applications
Type 1: Vertical Solutions for Space Optimization
Vertical Lift Modules (VLMs) and Vertical Carousel Modules (VCMs) make excellent use of ceiling height, storing items in trays arranged in vertical columns. An inserter/extractor mechanism moves vertically to retrieve the requested tray and present it at an ergonomic height for the operator. These systems are particularly valuable for facilities with limited floor space but substantial vertical clearance, and they excel at storing smaller components in manufacturing environments.
Type 2: Horizontal and Shuttle-Based Systems for High Throughput
Horizontal Carousel Modules rotate bins in a carousel-like configuration, bringing requested items to the operator. Shuttle-based systems use independent shuttles that travel along tracks within the rack structure to retrieve totes or cartons. These systems are ideal for operations requiring high throughput and frequent access to a wide range of SKUs, such as in consumer packaged goods or e-commerce fulfillment.
Type 3: Unit-Load and Mini-Load Systems for Varied Inventory
Unit-load ASRS handles larger, palletized items weighing up to thousands of pounds, while mini-load systems manage smaller containers under 75 pounds. These versatile systems are commonly used in manufacturing facilities that need to store both raw materials and finished goods of varying sizes and weights.
Industry Applications and Benefits
Manufacturing Efficiency Through Just-in-Time Inventory
ASRS systems are particularly valuable for manufacturers implementing just-in-time inventory strategies. By swiftly storing incoming materials and retrieving them precisely when needed for production, these systems maintain a continuous flow of inventory that aligns perfectly with production schedules. This reduces work-in-progress inventory and ensures materials are available without delay, minimizing production disruptions.
Distribution and Fulfillment Speed
In distribution centers, ASRS systems dramatically improve order fulfillment speed and accuracy. By automating the retrieval process and bringing goods directly to pickers, these systems can reduce order processing times by up to 65%. This efficiency is critical for meeting customer expectations for rapid delivery while managing labor costs effectively.
Space Utilization and Safety Improvements
ASRS systems can increase storage density by up to 85% compared to conventional shelving by utilizing vertical space and minimizing aisle requirements. This density is particularly valuable in urban facilities where space comes at a premium. Additionally, by bringing items to operators rather than requiring them to climb ladders or operate forklifts, these systems significantly improve workplace safety and ergonomics.
The Role of Technology in Modern ASRS
AI and IoT Integration
The latest ASRS systems leverage artificial intelligence and Internet of Things (IoT) technologies to enhance performance. AI enables predictive analytics that optimize picking routes and forecast maintenance needs, while IoT sensors monitor system performance in real-time. These sensors collect data on everything from load handling to energy consumption, ensuring peak efficiency and enabling adjustments based on current warehouse conditions.
Software Integration and Real-Time Monitoring
An ASRS is only as effective as its software integration. These systems typically work with Warehouse Management Systems (WMS) and Warehouse Execution Systems (WES) to coordinate operations. Shoplogix solutions complement this ecosystem by providing real-time visibility into production processes and ASRS performance. By offering insights into equipment utilization and operational efficiency, Shoplogix helps identify bottlenecks and areas for improvement, allowing manufacturers to make data-driven decisions that enhance productivity.
Considerations for Implementation
When evaluating ASRS for your facility, consider your specific inventory profile, throughput requirements, and growth projections. The initial investment can be substantial, but the return on investment comes through labor savings, space optimization, inventory accuracy, and improved throughput. Many manufacturers find that ASRS systems pay for themselves within 2-3 years through these combined benefits.
Implementation should be phased, with careful planning for integration with existing systems and processes. Staff training is essential, as roles often shift from manual picking to system operation and oversight.
Final Thoughts
ASRS systems represent a significant advancement in manufacturing and distribution operations. By automating storage and retrieval processes, these systems help facilities operate 24/7 with reduced labor requirements while improving accuracy, safety, and space utilization. As technologies continue to evolve, ASRS systems will become increasingly intelligent and integrated, further enhancing their value in the modern supply chain.
What You Should Do Next
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