Optimizing Order Fulfillment with Vertical Lift Modules (VLMs)

In today’s fast-paced world of e-commerce, manufacturing, and distribution, efficient order fulfillment is essential to meeting customer expectations and maintaining profitability. As operations grow and labor shortages continue, many businesses are turning to warehouse automation to increase productivity and accuracy. One of the most effective automated storage solutions for improving space utilization and control over inventory is the Vertical Lift Module (VLM).

What Is a Vertical Lift Module (VLM)?

A Vertical Lift Module is a type of automated storage and retrieval system (AS/RS) that stores items on trays stacked vertically inside an enclosed cabinet. An internal elevator automatically retrieves the requested tray and presents it at an ergonomic access window for picking or replenishment.

VLMs are designed to maximize vertical space, improve inventory visibility, and reduce manual labor. They are especially well-suited for slow- to medium-moving inventory, where high-density storage and controlled, automated retrieval deliver significant efficiency and accuracy gains.

How VLMs Improve Order Fulfillment

1. Space Optimization

By taking advantage of unused vertical space, VLMs can reduce floor space requirements by up to 85% compared to traditional shelving or racking systems. This allows facilities to expand storage capacity within the same footprint or repurpose valuable floor area for additional production or fulfillment operations.

2. Increased Picking Efficiency for Slow- to Medium-Movers

While fast-moving SKUs are typically handled by carton flow or pallet rack systems, VLMs excel at managing slow- and medium-moving parts. The system delivers trays directly to the operator, eliminating walking, searching, and reaching. When integrated with a Warehouse Management System (WMS), VLMs enable batch picking, order sequencing, and dynamic slotting, improving throughput while maintaining flexibility.

3. Improved Order Accuracy

Each pick operation is software-guided and can be enhanced with pick-to-light technology, barcode verification, or visual cues that direct operators to the exact item location. This significantly reduces human error and improves order accuracy, a key factor in reducing costly returns and ensuring customer satisfaction.

4. Ergonomic and Safety Benefits

Because trays are delivered to an ideal working height, operators no longer need to bend, stretch, or climb to access parts. This ergonomic design minimizes fatigue, lowers injury risk, and creates a safer, more efficient workspace — especially important in environments focused on productivity and employee well-being.

5. Real-Time Inventory Control

Every transaction within the VLM is digitally recorded, providing complete inventory traceability and real-time visibility. Managers can track stock levels, item movement, and order progress, leading to better demand forecasting and just-in-time replenishment. Integration with ERP or WMS systems further enhances control and accuracy.

6. Labor Efficiency and Automation ROI

By automating retrieval and consolidating storage, VLMs can dramatically reduce labor requirements. Fewer operators can manage more SKUs with higher speed and accuracy. This makes VLMs an ideal solution for companies facing labor shortages or looking to improve fulfillment productivity without expanding headcount.

Ideal Applications for Vertical Lift Modules

• E-commerce and retail distribution centers – Optimize picking for slow- and medium-moving SKUs.

• Manufacturing and assembly operations – Store parts, components, or tooling close to production areas.

• Pharmaceutical and healthcare facilities – Maintain secure, traceable, and hygienic inventory storage.

• Aerospace and defense – Manage high-value, restricted parts with full audit tracking.

• Automotive aftermarket – Streamline parts picking and counter service operations.

  
  

The ROI of Automated Storage and Retrieval Systems

While the initial investment in automated storage systems can seem high, the return on investment (ROI) is typically realized within 18 to 24 months through:

• Up to 85% space savings

• Reduced labor and travel time

• Fewer picking errors and returns

• Improved order fulfillment speed and accuracy

For facilities struggling with space constraints or fulfillment bottlenecks, a Vertical Lift Module can quickly transform operational efficiency and scalability.

Conclusion

As warehouses evolve to meet increasing order volumes and complexity, automation has become a cornerstone of modern material handling. Vertical Lift Modules offer a smart, scalable solution for slow- to medium-moving inventory, combining space efficiency, ergonomic design, and software-driven accuracy.

Implementing a VLM system can be a powerful step toward optimized order fulfillment, leaner operations, and future-ready warehouse performance.