Kurly’s logistics center in Gimpo, Gyeonggi Province, where LG CNS and Kurly will conduct a humanoid robot deployment pilot. Photo courtesy of Kurly
LG CNS will conduct preliminary proof-of-concept work to deploy humanoid robots at Kurly’s logistics centers. The collaboration represents a strategic intersection between LG CNS’s drive to secure a success case for its new robotics business and Kurly’s demand to reduce the cost burden of its logistics operations.
LG CNS and Kurly announced Tuesday that they have signed a memorandum of understanding (MOU) for a humanoid technology proof-of-concept (PoC) to advance smart logistics centers. Under the agreement, the two companies will conduct a PoC to deploy humanoid robots at Kurly’s logistics centers in Gimpo, Gyeonggi Province, and Changwon, South Gyeongsang Province. The main purpose of the collaboration is to identify logistics center tasks that can be automated using humanoid robots. The PoC will utilize LG CNS’s robot learning and operation platform “Physical Works” to analyze the robots’ task accuracy, execution speed, and the level of efficiency improvement compared with existing work methods.
LG CNS and Kurly are joining forces on humanoid deployment in logistics centers as the two companies’ interests align in strengthening their new businesses. For LG CNS, the logistics industry is a suitable testbed to validate its newly launched robotics business. LG CNS has previously secured major logistics clients such as Lotte Global Logistics and Coupang, building IT systems and logistics centers for them.
Robots trained with LG CNS’s “Physical Works” demonstrate logistics operations at LG Science Park in Gangseo-gu, Seoul, on the 7th. Photo courtesy of LG CNS
Amid this backdrop, demand for robot-based automation has begun to rise within the logistics industry. Reading the industry trend, LG CNS is investing in the related business to retain existing logistics clients while securing a success case for its robotics business. The company recently signed a contract to build a “mobile shuttle” at a Paris Baguette bakery factory under construction in Texas. The mobile shuttle is a shelf-type rail-moving robot that LG CNS first unveiled last year.
Kurly also views logistics center automation as a foundation for sustainable business expansion. The logistics industry is exploring ways to reduce fixed costs by entrusting simple, repetitive tasks such as goods transport, picking, sorting, and packaging to robots. Kurly has been operating a third-party logistics (3PL) business since 2019, storing and delivering goods for outside companies. Moreover, since last year, Kurly has expanded its 3PL business by handling dawn delivery for Naver Smart Store products. The company is eyeing robot-based logistics automation to offset the growing cost burden that comes with expanding external operations.
“Operating a logistics center is a business that requires significant costs,” a logistics industry official said. “Kurly would want to improve return on investment (ROI) by reducing the number of workers deployed.”