Economy

Long after Webvan.com’s legendary flameout in 2001, the online grocer’s biggest problem never left Mick Mountz’s mind.As
employee No. 400 at the dot-com, he knew that it simply cost too much
to fulfill online orders. Labor was the killer cost: Employees had to go
pick out products on shelves before they could be packed into boxes,
and those minutes cost money. “That 89 cent can of soup was costing us
$1 to get it into the tote,” Mountz remembers.You know with robots making the products, the cost of making the
products will drop exponentially…tolerances can be held more tightly,
production is more consistent, the products themselves will not only be
made much better, but much cheaper. Instead of learning to swing a
hammer, someone might need to learn monitor oil levels or change
settings for different product lines. People will still be needed, and
it could be a win/win for everyone.

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