Walmart is pioneering the use of autonomous technology in its supply chain, utilizing self-driving supply trucks to transport goods more efficiently. In partnership with Gatik, Walmart has deployed driverless trucks on an 11km route, operating continuously for 12 hours a day. This marks a significant step forward, demonstrating the potential of self-driving trucks in optimizing logistics and addressing labor shortages.
Self-Driving Supply Trucks: The Future of Logistics?
Walmart has partnered with Gatik to operate two fully autonomous supply trucks, requiring no safety drivers, on a route exceeding 11km for 12 hours daily. This operational model facilitates the transportation of groceries from distribution centers to Walmart Neighborhood Market stores, reducing costs and alleviating labor shortages within the retail supply chain.
Tom Ward, Senior Vice President of Walmart, stated, “Through our collaboration with Gatik, we have observed that self-driving supply trucks are an efficient, safe, and sustainable solution for transporting goods on repeatable routes between stores.”
Diagram illustrating Walmart's Hub and Spoke distribution model
The trial of Gatik’s self-driving supply trucks is part of Walmart’s strategic shift towards a “hub and spoke” model, aimed at optimizing its transportation network. This model focuses on transporting goods from a central distribution center (hub) to smaller retail locations (spokes). The use of autonomous vehicles also frees up store employees to focus on other tasks, such as processing online orders and assisting customers.
Walmart and Gatik are also testing electric supply trucks with safety drivers in the New Orleans area to deliver online grocery orders from a Walmart Supercenter to customer pickup points.
Walmart Expands Partnerships with Autonomous Vehicle Companies
Beyond Gatik, Walmart is collaborating with several other autonomous vehicle startups, including Udelv, Google’s Waymo, and Nuro – the first company to receive approval for driverless delivery in California.
Cruise Chevy Bolt autonomous electric vehicle used by Walmart
In November 2020, Walmart partnered with Cruise, GM’s autonomous vehicle company, in a pilot program using self-driving electric vehicles for home delivery in the Scottsdale, Arizona area. Customers ordering from local Walmart stores receive free delivery with Cruise’s Chevy Bolt autonomous electric vehicles.
Automation Trends in the Retail Industry
Beyond Walmart, other supermarket chains like Kroger have also been testing autonomous delivery with Nuro since 2018, completing thousands of “last-mile” deliveries in the Houston, Texas area. Kroger is also utilizing automated warehouses to expand its online grocery delivery service in Florida and other states.
Albertsons, which operates supermarkets including Safeway and Kings, is testing “last-mile” delivery with Tortoise in Northern California. Employees load groceries onto Tortoise’s remotely controlled carts at the store. Tortoise “drivers” use Xbox controllers to navigate the carts to customers’ homes.
Conclusion
Walmart’s adoption of self-driving supply trucks demonstrates the inevitable trend in the logistics industry towards leveraging technology to optimize operations and enhance efficiency. The partnerships between retail giants and autonomous vehicle companies promise significant changes in the transportation and supply chain sectors in the near future.
