The drones are coming. And they're going to force warehouses to change, according to a new report from JLL.
While warehouses have gone through little change over the years, Ashley Smart, EMEA logistics development director at JLL, says that buildings will need to "accommodate drones in just a few years if technical and regulatory progress continues at its current pace."
JLL says warehouses will need to incorporate charging points, roof hatches or sky lights, or more space outside for drone landing pads to be drone-ready. In addition, warehouse operators will need to rethink design, picking and packing operations and shipping methods.
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"3PLs more used to dispatching multiple items will be switching to single items being sent out individually—that alone is a big change to overcome given traditional delivery methods," Smart says.
JLL says that drones in Europe are taking longer trips to more remote locations. Royal Mail has an un-crewed aerial vehicle carrying up to 100kg of mail to an airport in the UK. After that, a smaller drone takes deliveries to dedicated points.
Drone technology also continues to advance with a new model coming from Wingcopter capable of delivering three parcels in one go.
Despite this progress, obstacles remain. Financial feasibility is still a long-term issue, with concerns about replacing drones over time. Ultimately, Smart thinks drones are more likely to play a supporting role in the delivery process.
There are still regulatory hurdles as well, including concerns about safety and privacy in low-lying airspace to energy efficiency.
While there have been several approvals to allow drone deliveries in Europe, the US Federal Aviation Administration has provided approval for piloting schemes from UPS and Amazon. In addition, Kroger is running its own pilot drone schemes to deliver groceries in as little as 15 minutes, according to JLL.
As drone deliveries become more common, the global market for drone delivery will grow from $528 million in 2020 to $39 billion by 2030, according to research firm MarketsAndMarkets.
While drones will be a growing force in delivery, other research highlights the need for warehouses to adjust to emerging technologies. For example, a report from NAIOP last Fall said that drones and autonomous vehicles will likely contribute to more efficient and responsive supply chains and greater productivity for industrial assets.
But logistics technology won't be the only upgrades: innovative approaches to distribution are driving the adoption of multistory warehouses and micro-distribution centers, according to the report.
The report authors expect data analytics and artificial intelligence to increase the efficiency of supply chains. As data is collected along the supply chain and from operations within buildings, it should help developers make better locational decisions and improve facilities' operational performance.
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Leslie Shaver
Les Shaver has been covering commercial and residential real estate for almost 20 years. His work has appeared in Multifamily Executive, Builder, units, Arlington Magazine in addition to GlobeSt.com and Real Estate Forum.
