Order fulfillment is changing. It’s becoming faster, smarter, and more efficient.

Part of this is the move from a conventional person-to-goods model to the time and money-saving modern alternative: goods-to-person. Manufacturing, supply chain, logistics, and distribution sectors are all making the transition. In this guide, the experts at BoxLogix will explain why, looking at the goods-to-person system value and the distinct benefits it delivers.

Key Takeaways

• Goods-to-Person (G2P) systems improve efficiency by bringing products directly to workers, reducing walking time, errors, and labor strain.
• Automation and robotics power G2P fulfillment, integrating with warehouse management software to boost accuracy, speed, and scalability.
• While initial costs and complexity exist, the long-term benefits (higher productivity, safer workplaces, and cost savings) make G2P a smart investment for many industries.

Understanding a Goods-to-Person (G2P) System

A goods-to-person (or G2P) system is an order fulfillment system that transports products to people, not the other way around. 

So, instead of having warehouse workers trudging around the warehouse space, wasting hours of their time, they can mostly stand in place and get products sent right to their station. Because this system transforms the entire dynamic of warehouse operations, it is rising in popularity. Warehouses and distribution centers worldwide are choosing to elevate their logistics with a high-quality goods-to-person system. 

Software & Integration

Goods-to-person solutions are built on technology. They typically involve autonomous mobile robots that scour the warehouse environment to track down products and deliver them to workers, as well as fixed robotic systems, such as Automated Storage and Retrieval Systems, which pull and deliver relevant items on trays or in totes to workers.

Powering all of these goods-to-person technologies is advanced software that can often integrate with or replace existing warehouse management systems. The software integrates with robots and other devices on the warehouse floor to gather data and provide instructions to facilitate the fast, fluid movement of products from point A to point B.

How Do G2P Systems Work?

There’s no singular, fixed way that all G2P systems work, since they can vary quite a lot from warehouse to warehouse.

With that said, they do tend to follow a familiar format and comprise the same core components, like an entry point, where products/orders first enter the system, storage locations where orders are stored, and robots/conveyor systems that move them about. There are also exit points where the products leave the storage and sorting area, plus picking stations where human workers collect them.

A usual workflow goes like this:

1. Products flow into the system via the entry points.
2. They get stored on racks until needed.
3. When orders come in, robots and software activate to find the relevant items and move them across the facility to the right picking stations.
4. Workers can then go about their own duties to finish and send out the orders.

Types of G2P Systems

We can divide goods-to-person systems into different categories or groups based on the technologies they use and their general ways of working.

Two common categories are “racks to person” systems and “tote to person” systems. A racks-to-person system uses robots that are low to the ground but able to support large amounts of weight. They go underneath entire shelves’ worth of goods and lift the whole shelving unit, or rack, and transport it to a picking station. Tote-to-person methods mainly use autonomous mobile robots to deliver individual product totes.

There are other sorts of G2P, too, like grids and carousels. Grids involve high-density storage racks/shelves arranged in grid systems, with robots navigating the aisles to find items swiftly. Carousels, as you can imagine, use revolving carousels that store items in vertical space on shelves that can then move around to transport goods to picking spots.

Benefits of G2P Order Fulfillment

When you compare G2P to more conventional order fulfillment methods, like person-to-goods (or P2G), it’s faster, smarter, and just more efficient overall. 

Some of the benefits are obvious, like the fact that workers don’t have to spend anywhere near as much time or physical effort getting around warehouses and moving orders manually. Others are a bit more “hidden,” so to speak, but still help improve warehouse operations a great deal.

These are the top benefits of a goods-to-person order fulfillment system:

• Higher throughput and productivity: Warehouses move faster with G2P systems in place. Orders flow from point A to B in record time, jobs are finished faster, and productivity metrics soar.
• Improved accuracy: The robots and AI technologies behind G2P aren’t perfect, but they aren’t prone to making the same kinds of mistakes that human workers sometimes do. Thanks to that, orders fulfilled this way are less likely to have errors in them. That means better customer satisfaction and less time wasted chasing up problems that could have been prevented.
• Better work safety and ergonomics: Some studies show that warehouse workers walk around 10 miles a day. It’s exhausting work, both mentally and physically, but G2P systems make life significantly easier. Workers simply remain in their stations and focus more of their energies on their tasks.
• Optimized storage density: Inventory accuracy and space utilization in warehouses both become smarter and better with G2P, because robotic systems and storage racks are optimized to keep everything organized.
• Scalability and flexibility: Whether you’re running a single warehouse in a relatively slow period or multiple facilities in peak season, you can scale G2P according to your needs.
• Labor savings and cost efficiency: Robots do a lot of the literal heavy lifting in G2P. That means less onus on physical workers and the chance for labor cost savings.

Challenges and Considerations

G2P is the future of order fulfillment, but that’s not to say that it doesn’t have any downsides or that it doesn’t present challenges of its own that need resolving. There can be issues adopting or transitioning to G2P, like:

• Upfront costs: It costs a lot to get set up with a G2P system, given the high price tags attached to products like autonomous mobile robots, robot pickers, ergonomic workstations, etc.
• Complexity: Going from a traditional P2G model to G2P is a big transition. It’s like flipping your entire warehouse operations around or upside down, and that is not always easy for warehouse operators and their staff to adapt to, especially in the early stages.
• Suitability: G2P is highly suitable and beneficial for some distribution and logistics spaces, yet it may not be the ideal fit everywhere. Smaller centers with fewer orders to process might not see the same cost-effective benefits of opting for G2P.

How the Right Logistics Partner Can Help

While these challenges are worth considering, they are by no means insurmountable. Many facilities that adopt G2P find that the long-term gains in speed, accuracy, and labor savings quickly outweigh the initial hurdles. With the right planning and expert integration, the transition can be smooth and highly rewarding. 

In fact, companies that take the step toward G2P today are often the ones best positioned to compete and grow tomorrow.

Goods-to-Person vs. Person-to-Goods Fulfillment

P2G fulfillment sits at the other end of the order fulfillment spectrum from G2P. It’s an older, more conventional approach. It was also, for a long time, more or less the only approach that existed, because the technology for anything different or more advanced (such as G2P) did not exist.

With P2G, it’s the people, the warehouse workers themselves, who do a lot of the moving around. They walk the warehouse aisles, find items on racks and shelves, and move themselves. This method is not only slower, but it’s less efficient, less cost-effective, and more error-prone than G2P.

Industries that Benefit Most from G2P

G2P has proven effective in numerous industries, but tends to work best in those that involve large amounts of orders and heavy warehouse traffic, or those that rely on speed and precision for fulfilling orders and keeping customers satisfied. Major examples include the e-commerce and retail space, as well as pharmaceuticals, grocery and food distribution, and third-party logistics (3PL).

Future of G2P Automation

The future of G2P is bright because the technologies that power this model are only getting faster and smarter. As the technology improves, this means of fulfilling orders will get better, too, which means that customers will get their orders more quickly, workers will find their day-to-day duties easier, and warehouses will become safer and more efficient places.

Learn More about Goods-to-Person Fulfillment with BoxLogix

G2P fulfillment isn’t just for the future. It’s becoming a bigger and bigger part of the present in logistics and distribution, and if your warehouse or facility is still struggling with a more conventional people-to-goods model, maybe it’s time to make the change. 

Contact the BoxLogix team today to learn more about how you can make the most of G2P.

Frequently Asked Questions (FAQs)

What is a goods-to-person (G2P) order fulfillment system?

A goods-to-person (G2P) system is an automated order fulfillment approach where products are brought directly to workers, rather than workers walking through the warehouse to retrieve items. This saves time, reduces physical strain, and boosts efficiency across warehouse operations.

How does goods-to-person differ from person-to-goods fulfillment?

In a person-to-goods model, workers travel through aisles to pick items, which is slower and more labor-intensive. G2P flips that model by using automation and robotics to deliver products to picking stations, resulting in faster, more accurate, and more efficient fulfillment.

What technologies are used in goods-to-person systems?

G2P systems rely on tools like autonomous mobile robots (AMRs), automated storage and retrieval systems (AS/RS), carousels, and grid-based solutions. These are all powered by advanced software that integrates with warehouse systems to coordinate movement and keep operations seamless.

Is a G2P system right for small warehouses or distribution centers?

G2P is most beneficial for high-volume facilities where speed and accuracy are critical. Smaller warehouses can implement G2P, but the investment may not deliver the same level of cost efficiency unless order volumes and growth projections justify it.

How much does it cost to implement a goods-to-person system?

Costs vary widely depending on the size of the warehouse, the technology selected, and the level of integration needed. While the upfront investment can be significant, many organizations find the long-term savings in labor, accuracy, and throughput make it well worth it.

Can G2P systems integrate with existing warehouse management software?

Yes, most modern G2P systems are designed to integrate with warehouse management systems (WMS) or even replace them with more advanced software. This integration ensures smooth communication between robots, software, and workers for efficient fulfillment.