Automation drives warehouse efficiency

Sumitomo Drive Technologies opts for Swisslog’s automated storage technology

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2 min
Sumitomo is using Swisslog’s AutoStore automated storage and picking system.

A $9.4m investment in automated storage and retrieval will enable Sumitomo Drive Technologies USA to boost throughput, reduce handling times and avoid costly warehouse expansion.

Power transmission supplier Sumitomo Drive Technologies USA is investing $9.4m in an automated storage system from equipment and technology provider Swisslog to manage its warehouse in Chesapeake, Virginia.

Swisslog is providing its AutoStore automated storage and picking system, in coordination with autonomous forklifts, controlled by its SynQ intralogistics software platform. The new system is expected to be up and running by August 2026. 

The AutoStore equipment will comprise 14 autonomous robots and 22,872 bins for small parts storage. It will also include autonomous forklifts for handling heavier components. The SynQ software will manage all of the logistics processes, including receiving and storage, enabling just-in-time delivery and kitting for assembly lines. 

A spokesperson for Sumitomo said the company expected measurable gains in both time savings and space utilisation. “The optimised storage solution will allow us to store more materials in a smaller footprint, reducing congestion and cutting down on unnecessary movement in our processes,” said the spokesperson. “Over time, these efficiencies are expected to improve productivity and support our continued growth. Most importantly, it means our customers will receive the critical products they need from us with significantly shorter lead times.” 

Previously, warehousing operations at Chesapeake was handled manually, which meant more physical movement of materials, manual tracking and less efficient use of space, according to Sumitomo’s spokesperson. “While that approach served us well for many years, it also presented challenges in terms of speed, accuracy, and scalability as our operations grew. The new system modernises this process, automating many steps and allowing us to operate with greater precision and efficiency.” 

Tony Barlett, vice president and chief operating officer of Sumitomo Drive Technologies USA, said that the installation of automation was not a threat to jobs at the facility. “By partnering with Swisslog, we're not only gaining cutting-edge automation technology and expertise to drive real efficiency, flexibility, and performance across our warehouse and assembly processes, but we're also making a critical investment in our workforce,” he said. “No jobs will be lost; instead, we're equipping our team with new tools and opportunities to grow alongside this technology, ensuring a smarter operation and continued investment in our incredible people.”

The space-saving use of Autostore, which enables direct stacking of bins on top of each other and storage of multiple SKUs in a single bin, means Sumitomo also saves cost by not having to expand or relocate the Chesapeake operation. 

“By consolidating parts and streamlining workflows, the system will reduce warehouse space requirements, helping Sumitomo avoid the cost and complexity of a facility expansion," said Mike Barker, president and CEO of Swisslog Americas