Top 4 Latest Trends for Cold Storage Warehouses

  • July 5 2023
  • Eclipse IA

The global cold storage market is estimated to grow from $112 billion to $330 billion between 2021 and 2030. Cold storage businesses are embracing technology to improve efficiency. This blog post examines the latest trends in cold storage warehouses, including internet of things (IoTs), automation and robotics, vertical farming, and energy efficiency. It also provides tips for installing and managing cold storage in warehouses, such as having proper temperature and humidity control, as well as efficient space utilization and inventory management.

Organizations implementing the latest trends and tips below enjoy improved product quality and reduced operating costs. However, cold storage warehouses also face several challenges—high costs, difficulty maintaining the required temperature, and high energy usage.

Latest Trends in Cold Storage

Automation and robotics

In a cold storage warehouse, efficiency and speed are crucial. It is especially true when you have online orders to fulfill. However, it becomes difficult to maintain the needed speed in such traditional cold storage facilities.

When it comes to automation, there are specific steps businesses can take. You can achieve automation with the help of programmed robotic forklifts to automate tasks such as retrieval and storage. Your workers will be more productive by minimizing injuries and fatigue—this is achieved by ensuring robots and staff work together.

You can also use intelligent software for a smarter facility. With a facility like a warehouse management system (WMS), you can plan your operational processes and inventory. It's also helpful in optimizing the space in your warehouse.

Other automation technologies are interlocking controls and audible alarms that protect workers inside and outside the loading dock.

Internet of Things (IoT)

The internet of things consists of communication, sensors, and processors. The devices get embedded in distribution, storage, and packaging to provide information about the condition of a product and the surrounding temperature. Therefore, IoT reduces potential errors.

Energy efficiency

Energy efficiency has become necessary now more than ever with the increase in energy prices. Since cold storage facilities use up a lot of energy, it will make a lot of difference when you can cut costs.

However, you can only maximize energy efficiency by optimizing operations. With the cooling equipment running throughout, reducing the power input can be challenging.

 Fortunately, you can use thermal energy storage (TES) technologies to reduce energy use. The TES technologies ensure your warehouse facility operates at a limited run time. 

The equipment will run idle for some hours but still maintain the temperature conditions. Therefore, you'll use less energy without affecting the quality of food ingredients.

Moving around zones can lead to energy wastage because heat enters the space, making your equipment work harder to regulate the temperature. How can you prevent this problem from happening in your cold storage warehouse? You can install dividers between temperature zones and ensure your workers keep the doors closed always.

Vertical farming

Vertical farming is a new trend fast catching on in the cold storage industry, and the market is expected to reach $9.73 billion by 2026. It is done by growing crops indoors in a climate-controlled space. Therefore, crops are not limited by geographical regions and grow in ideal growing conditions. The cold room panels are used in creating spaces due to their insulation properties and to maintain internal conditions. With vertical farming, farmers use fewer resources, produce more and spend less on transportation. Since the farming does not depend on the weather, it is possible to have year-round crop production. 

Tips for Cold Storage in Warehouses

Proper temperature and humidity control

Temperature control is crucial in a cold storage facility, but it is hard to maintain temperature since different food products have different temperature requirements. Monitoring the temperature is simple, but it's easy to forget to set the correct temperatures. 

Heat can move into low-temperature areas and affect the products. Having an insulated curtain helps prevent the temperature from fluctuating. You can also use modular insulated wall systems to create compartments for different food products.

Efficient space utilization

You have to be careful how you divide your space. Cold storage warehouses use a lot of energy because the freezers have to run constantly. You have to find an efficient way to utilize the warehouse space. How you utilize your space can affect the safety of your products. Use the appropriate industrial storage for the colder environment.

Effective inventory management

With accurate records, you'll maintain proper inventory management. Freezer increases the shelf life, but you must use the first in, first out (FIFO) principle to ensure your food remains fresh. Ensure the first items in the store are the first to be put out for use.

Benefits of implementing the latest trends and tips for cold storage in warehouses

Improved product quality

Manually handling products in the cold storage warehouse increases the risk of damage. With automation, the risk reduces significantly, ensuring the product quality is maintained. 

Damaged products cost time and money, but you can save both with automation. Automation reduces the risk of human error to ensure the product quality is not compromised when in the warehouse. Unlike warehouse temp services, where workers are sometimes rushed through training and turn over quickly, causing loss of industry and warehouse-specific knowledge, using a team-based CPU (cost per unit) will be highly beneficial as safety, thorough training, teamwork, and employee retention are top priorities.

Reduced operating costs

One of the most significant overheads in a warehouse is the operating costs. With the additional energy costs, the operational costs will increase much more. By automating warehouses, it becomes possible to reduce operating costs. The system can store and retrieve pallets from the cold store without manual intervention, reducing the need for operators and forklifts. The result is reduced cost.

Challenges and solutions in cold storage

Cold storage warehouses face many challenges that may interfere with smooth operations, since it is hard to maintain the temperature needed for storage purposes.

Cost

To build a cold storage facility, you need to do it after careful consideration. Factors such as temperature, size, and location must be considered. The actual costs, therefore, vary depending on the project-specific requirements.

For a cold storage business, the warehouse needs approximately $220 per square foot of equipment, which is much more costly than the traditional warehouse. It is also expensive to operate a refrigerated warehouse, since they use up to 24.9 kilowatt-hours (kWh) per square foot.

Employee costs can also add up very quickly. With a warehouse workforce solution, cold storage warehouse managers can reduce the costs associated with maintaining employees in-house.

Technology obsolescence

The average cold storage warehouse in the United States has been around for 42 years. Most of them were built before 2000. That is what has led to the technology obsolescence challenges. The older warehouses may not have the layout needed for the modern world. Furthermore, the refrigerator requirements of current shippers cannot be accommodated with outdated cooling equipment.

Regulatory compliance

Cold storage facilities have to deal with regulatory compliance challenges, especially companies in the food sector. Organizations have to follow food safety standards. Before the products can be sold, their industry standards must be met. Expiry dates are always regulated for certain food products to maintain data on the items at the facility.

Addressing these challenges with the right solutions

As a warehouse manager, you need to look for ways to address these challenges with the right general warehouse solutions. One way is using industrial staffing agencies to find and retain qualified workers. 

At Eclipse IA, we are the market leader in supply chain staffing. We are integral to our partners' operations by helping our clients improve performance. Choose the best workforce people solutions.  Get in touch with us today.

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