Amazon.com, Inc. (NASDAQ: AMZN) This technological innovation can be a great evolution for Whole Foods by finding many opportunities to reduce costs and provide customers with exceptional service. Distribution will be super advanced by delivering the freshest of fresh produce, vegetables, and meat.
These robots would most likely be put in warehouses and that would mean that jobs there would be replaced. In these warehouses, products from suppliers would be transported to store shelves, however, distribution will be automated once these robots are implemented. These automated warehouses would likely be 1 million square feet which would be large enough to serve Whole Foods and Amazon’s various grocery businesses.
After automating warehouses, Amazon could possibly bring the robots into stores, but not replacing cashiers just yet. These robots would likely be navigating aisles to check inventory and alert employees when items run low.
Automation is definitely a key strategic advantage in Amazon’s overall grocery strategy. They would like to focus primarily on Whole Foods’ 11 distribution centers specializing in perishable foods that serve its stores. Seafood processing plants as well as kitchens and bakeries that supply prepared food to each location is also a target.
Over the past few years, Amazon has grown to have a network of many warehouses around the country with a great variety of goods, each that have thousands of robots in those facilities. Year after year, these warehouses have grown to be more specialized with inventory that is within driving distance of big cities. With big cities come with many kinds of products that people want quickly so Amazon is also utilizing smaller delivery hubs. Even with these robots, it hasn’t impacted Amazon’s hiring spree much. They are looking to hire 100,000 new workers over the next 18 months while having 351,000 employees as of right now, which was a 43 percent increase from last year.