Optimizing Warehouse Picking Routes with Indoor Routing APIs

Optimizing Warehouse Picking Routes with Indoor Routing APIs

Published: October 17, 2025

The Importance of Efficient Warehouse Picking

Picking is one of the most labor-intensive and costly operations in a warehouse, often accounting for 50–60% of total operational expenses. As order volumes rise in industries such as e-commerce, retail, and manufacturing, inefficient picking processes can lead to delays, errors, and dissatisfied customers.

warehouse picking

Challenges in Traditional Picking Routes

Without optimized routing, workers spend unnecessary time walking back and forth, retracing steps, and searching for items. This increases labor fatigue, slows fulfillment, and reduces throughput.

Role of Technology in Modern Warehousing

Digital transformation in supply chains now extends to warehouses, where tools such as Indoor Routing APIs play a critical role in streamlining workflows. By applying the same logic that powers outdoor navigation systems, these APIs help optimize picker movements inside complex warehouse environments.

Understanding Indoor Routing APIs

What Are Indoor Routing APIs?

Indoor Routing APIs are specialized navigation tools designed for indoor environments like warehouses, hospitals, airports, or malls. They calculate the most efficient path between two or more points inside a building.

Key Features

  • Precise navigation within confined spaces

  • Route calculation accounting for aisles, shelves, and one-way paths

  • Real-time updates for blocked paths or dynamic changes

  • Multi-stop optimization for complex pick lists

Difference Between Indoor and Outdoor Routing

Unlike outdoor routing, which depends on GPS and road networks, indoor routing relies on digital maps of floor layouts, often combined with Wi-Fi, Bluetooth, or RFID signals for location tracking. This makes it suitable for dense environments where GPS is unreliable.

Warehouse Picking Challenges

  • Inefficient Travel Time and Bottlenecks: Pickers often walk long distances due to poorly planned routes. Bottlenecks in high-demand aisles worsen delays.

  • Misplaced Inventory and Lack of Visibility: When items are not updated in real-time or storage is reorganized without digital mapping, pickers waste time locating SKUs.

  • Impact on Order Fulfillment Speed: Slow picking directly delays last-mile delivery and affects customer satisfaction. In industries like e-commerce, even small delays impact competitiveness.

  • Labor Costs and Worker Fatigue: Unoptimized routes lead to unnecessary movement, increasing fatigue, errors, and labor costs.

How Indoor Routing APIs Improve Picking

Mapping the Warehouse Layout Digitally

APIs enable warehouse operators to create digital twins of floor layouts, representing racks, aisles, and storage bins.

Generating Optimized Routes for Pickers

Based on pick lists, APIs calculate the shortest or fastest route, minimizing walking distance while ensuring logical sequencing.

Real-Time Re-Routing for Dynamic Changes

If an aisle is blocked or an item is moved, APIs instantly update the route to avoid disruptions.

Integrating With Warehouse Management Systems (WMS)

When paired with WMS, routing APIs automatically generate pick paths for workers and update completion status in real time.

Key Algorithms and Optimization Strategies

Order Grouping and Sequencing


Order grouping, often called batching, involves combining multiple customer orders into a single picking batch. This strategy reduces the total distance pickers need to travel, as several orders can be fulfilled simultaneously. Sequencing then determines the most efficient order in which the batches or order lines are picked to further minimize time and distance.

  • Genetic Algorithms (GAs) and metaheuristics are popular in solving the order batching problem, especially as it becomes computationally hard (NP-hard) with increased order complexity. These algorithms encode groups of orders as chromosomes and seek combinations that minimize total route length or completion time. They have demonstrated significant reductions (up to 18%) in makespan compared to rule-based heuristics.

  • Rule-based methods (like First-Fit, Best-Fit, and Seed Algorithms) are also widely used for assigning orders to batches, often prioritizing orders based on size or picking location similarity. These approaches seek to balance load and optimize picker efficiency within device or batch capacity constraints.

Shortest Path Algorithms for Indoor Spaces

Once groupings or batches are defined, shortest path algorithms determine the optimal sequence and route a picker should follow inside the warehouse.

  • SPRP (Shortest Path Routing Problem) is a framework that adapts classic pathfinding (like Dijkstra’s or A*) to warehouse environments, considering aisle layouts, cross aisles, and storage positions.

  • Commercial Solvers and Custom Solutions (like OptiRoute™) often extend these algorithms, factoring in real-time constraints such as congestion or temporary blockages.

  • These methods transform the warehouse into a graph, where nodes represent pick locations and edges represent paths. By solving a variation of the Traveling Salesman Problem (TSP) specific to the warehouse’s geometry, the picker’s distance is minimized.

Clustering Strategies and Wave Picking

Clustering strategies go beyond basic batching by intelligently assigning similar orders or items to the same batch based on proximity or product type, further reducing travel distance.

  • Clustering Algorithms segment orders by spatial or temporal similarity so pickers remain within a defined zone for the batch, minimizing zig-zag movements.

  • Wave Picking orchestrates order releases in scheduled “waves,” grouping orders that can be fulfilled together during a specific time window. This increases throughput by aligning picking with dispatch or shipping windows and can be coordinated with clustering algorithms for added efficiency.

Combined, these algorithms contribute to a holistic optimization approach that helps in grouping orders for batching, sequencing them logically, calculating shortest routes using indoor-aware algorithms, and refining the process with clustering and wave-based release strategies.

Implementation Strategies

1. Data Requirements

  • Accurate floor maps

  • SKU storage data

  • Connectivity infrastructure (Wi-Fi, RFID, IoT sensors)

2. API Integration with Existing WMS or ERP

Indoor routing APIs integrate seamlessly with WMS/ERP platforms to deliver actionable pick instructions to workers.

3. Mobile and Wearable Applications for Pickers

Pickers can access optimized routes via mobile apps, handheld scanners, or AR glasses, improving ease of use.

4. Ensuring Scalability and Maintenance

Warehouse maps and item locations must be updated frequently to ensure scalability across multiple sites.

Advanced Optimization Techniques

1. Zone Picking vs. Cluster Picking

APIs support strategies like:

  • Zone Picking – pickers stay in designated zones, minimizing cross-warehouse travel.

  • Cluster Picking – multiple orders are grouped into a single optimized route.

Batch Picking with Route Optimization

APIs calculate the shortest combined path for multiple orders, reducing redundant travel.

AI and Machine Learning for Continuous Improvement

APIs learn from historical movement patterns to predict bottlenecks and optimize future paths.

IoT and Sensor Data for Real-Time Adjustments

Data from RFID, Bluetooth beacons, or smart shelves enhances location accuracy and ensures up-to-date routing.

Case Studies / Use Cases

1. E-commerce Fulfillment Centers

APIs reduce order-to-ship times in high-volume warehouses with thousands of daily orders.

2. Cold Storage and Time-Sensitive Goods

In temperature-controlled environments, APIs help workers minimize exposure time while picking.

3. Large Retail Warehouses

Big-box retailers optimize restocking and picking routes for store-level replenishment.

4. Manufacturing Assembly Line Support

Routing APIs help ensure just-in-time material delivery to production floors.

Benefits of Optimized Picking Routes

  • Reduced Travel Time: Shorter routes lower walking distances by up to 30–50%.

  • Improved Order Accuracy: Clear instructions reduce picking errors.

  • Better Workforce Productivity: Workers complete more orders per shift.

  • Enhanced Safety: Controlled paths minimize congestion and accidents.

  • Higher Customer Satisfaction: Faster and more reliable order fulfillment improves trust.

Challenges and Considerations

  • Initial Setup and Mapping Complexity: Creating detailed digital maps is resource-intensive.

  • Integration with Legacy Systems: Older WMS or ERP systems may need custom connectors for API integration.

  • Data Accuracy and Real-Time Syncing: Incorrect SKU locations can undermine routing efficiency.

  • Cost vs. ROI for Smaller Warehouses: Small warehouses must weigh the investment against expected gains.

Future of Indoor Routing in Warehousing

The following features could be some of the future features of Indoor routing:

  • AR/VR-Assisted Picking Routes: Workers may follow visual overlays on AR glasses, reducing training time.

  • Robotics and Autonomous Mobile Robots (AMRs): Robots can use the same indoor routing APIs for autonomous picking and delivery.

  • AI-Driven Predictive Route Planning: Future APIs will anticipate order surges and pre-plan routes.

  • Towards Smart, Fully Automated Warehouses: Indoor routing APIs will serve as the backbone for next-generation automated warehouses.

NextBillion.ai as a Technology Enabler in Warehousing

NextBillion.ai offers APIs and tools for advanced routing, optimization, live tracking, and more. Though much of their marketed focus is on logistics, delivery, fleet, and mapping, some of their tools can be adapted or already are adapted to warehouse picking optimization.
They have a specific solution page for Warehouse Picking Optimization that aims to “streamline the picking process by generating the most efficient routes and picking sequence for workers, reducing travel time and improving order accuracy.” 

Understanding What NextBillion.ai Offers

Core API and Platform Features Relevant to Picking Routes

Route Optimization API supports many constraints and large-scale route problems. Useful for determining efficient sequencing of pick tasks.

route optimization api
For API reference, refer
here.

Distance Matrix API for computing ETAs and distances between many origins/destinations. In a picking context this might mean distances between the picker’s current location and multiple SKUs, or between pick points. 

distance matrix api
distance matrix api


For API reference, refer here.

Directions API / Navigation SDK enabling path direction rendering; possibly useful for guiding pickers via mobile or wearable devices. 
direction api
For API reference, refer here.

Live Tracking and Monitoring helps in real-time tracking of assets or workers; useful if you want to adjust dynamically when someone deviates, someone’s path is blocked, etc. 

live tracking


Clustering / Zone-Based Routing / Task Sequencing features in NextBillion’s toolkit include constraints and sequencing that allow tasks to be grouped or ordered logically. This helps in batch picking or zone picking. 
clustering api

On-Premise Deployment  and Private Maps / Custom Map Data is used for indoor warehouse environments, you may need detailed floorplans & precise non-public map data; NextBillion supports custom maps, “road editor” type restrictions, etc.

on premise deployment

Strengths of NextBillion.ai vs Generic Routing Tools

  • Handles large numbers of stops / large distance matrices (e.g. up to 5000 x 5000 origin-destination pairs) which is useful when your pick list is large. 

  • Supports many constraints (more than 50) including time windows, capacity, possibly other physical or operational constraints. This lets the system adapt well to warehouse-specific rules. 

  • Flexibility, pricing models that are more scalable to business volume rather than rigid per-call charging. This matters when picking optimization will generate many small internal API calls. 

  • Good support for localized and custom mapping data, which is essential for indoor routing (where the standard street maps are insufficient). While NextBillion is more known for outdoor routing, there is indication they support detailed custom maps and geofencing, which can be leveraged or adapted for indoor settings.

How NextBillion.ai Can Be Applied to Warehouse Picking

Here’s how the earlier picking-route-optimization framework can map onto NextBillion.ai capabilities:

Picking Stage / Challenge

How NextBillion.ai Helps

Mapping the Warehouse Layout Digitally

Use custom map data; potentially use “road editor” or similar tools to define aisles, shelves, no-cross zones, blocked paths. Geofencing can define zones. 

Generating Optimized Picking Routes

Route Optimization API with sequencing constraints: order of picks, zones, batch orders. Distance Matrix API for computing pairwise distances inside a warehouse.

Real-Time Re-Routing for Dynamic Changes

Live Tracking for worker or asset locations; updates via API, ability to adjust routing or tasks if an aisle is blocked or items are moved.

Integration with Warehouse Management Systems (WMS)

NextBillion provides APIs to integrate: route-solver API, distance matrices, ability to embed into your system; also tooling to upload tasks (via CSV or programmatically) and get back routes. 

Implementation Strategy with NextBillion.ai

Here’s a suggested plan to use NextBillion.ai for a warehouse picking optimization project.

Gather Warehouse Data

  • Detailed floor plan (aisles, shelves, bins) in map format.

  • SKU location data (bin, shelf, zone).

  • Constraints: e.g., certain routes are one-way; some aisles cannot be used at certain times.

  • Worker starting points, shift times.

Define Constraints and Objectives

  • Minimize total walking distance.

  • Sequence picks to avoid cross-walking or backtracking.

  • Time windows if some items must be picked earlier (e.g., perishable, or for specific outbound shipments).

  • Batch picking rules.

  • Zone-based dividing of the warehouse.

Modeling and Mapping

  • Use NextBillion’s custom map or geofencing tools to model warehouse layout.

  • Possibly use On-Premise deployment or private maps, if desired.

Integration

  • Connect the WMS or order system to feed in pick lists.

  • Use NextBillion’s Route Optimization API to compute picking order.

  • Use their Distance Matrix API to compute intra-warehouse distances.

  • Use their Directions API / SDK if guiding workers with mobile apps (e.g., show path, turn-by-turn in aisles).

Handle Dynamic Events

  • If a picker deviates, or an item is unavailable, trigger rerouting: use live tracking to know current position, then request a new optimized route.

  • If new urgent pick orders come in, insert into existing tasks with minimal reoptimization. NextBillion supports situations like this. NextBillion.ai

Performance Monitoring and Feedback Loop

    • Collect actual walking times vs estimated; detect bottlenecks (e.g. congested aisles).

    • Use historical data to adjust model (e.g. average walking speeds in different zones).

    • Possibly invoke ML / AI features if NextBillion supports training on your own data (they have this in roadmap / custom instances).

Benefits and Trade-offs When Using NextBillion.ai for Picking

Benefits: 

  • Reduced travel time for pickers: faster order fulfillment, lower labor cost.

  • Improved accuracy and consistency in pick sequencing, reducing retracing or mistakes.

  • Scalable / handles large pick lists due to ability to support many stops and large distance matrices.

  • Flexible constraints allow matching real warehouse rules (one-way aisles, zone restrictions, etc.).

  • Cost efficiency via usage-based / scalable pricing vs paying for lots of small API calls in more restrictive systems.

  • Better visibility & monitoring if using live tracking / directions SDK.

Trade-offs / Considerations:

  • Indoor mapping requirement: much of NextBillion.ai is designed for outdoor routing; indoor layouts need to be represented properly (custom maps, careful modeling). There may be efforts to digitize warehouse maps.

  • GPS limitations indoors: live tracking might require internal positioning systems (BLE beacons, RFID, WiFi) since GPS is unreliable indoors; NextBillion.ai’s live tracking may need adaptation or additional hardware.

  • Real-time latency & update challenge: to be effective, the system must quickly respond to changes; workers must have devices capable of receiving new instructions.

  • Cost vs benefit for smaller warehouses: initial mapping, integration costs and adapting workflows may be more significant proportionally.

  • Support & custom tuning: to get route constraints, sequencing, exceptions right one may need to work closely with the NextBillion.ai team.

How NextBillion.ai Compares / Differentiates

Compared to generic routing APIs (Google Maps, HERE):

NextBillion allows far more constraints and custom logic. 

Supports large scale distance matrices which are essential when many items are in picklists.

Flexible pricing that aligns with business volume. 

More control over map data and private map features; handling restrictions. 

Indoor vs outdoor: while NextBillion.ai’s product is primarily for routing on road networks, the presence of custom map editing, geofencing, and building indoor-delivery case studies (e.g. robot delivery inside malls, airports) suggests their tools are already being used for indoor applications.

Future / Potential Enhancements

These are possible directions (or ones that NextBillion.ai might already be or planning to) to strengthen indoor picking route optimization:

  • Better support for indoor localization (BLE / RFID / ultra-wideband), feeding into live tracking.

  • More built-in logic for warehouse partitioning, shelf height / level constraints (some picks require climbing ladders, etc.).

  • Worker experience layers: AR-assisted navigation inside the warehouse using their map + route back end.

  • Dynamic crowd / congestion prediction inside warehouse (e.g. at difficult aisles, high traffic zones) to adapt routes accordingly.

  • Offline mode in case connectivity inside the warehouse is poor.

Conclusion

As warehouses evolve into high-performance fulfillment hubs, the pressure to reduce travel time, cut operational costs, and accelerate order accuracy has never been greater. Traditional picking methods simply cannot keep up with the pace of modern supply chains. This is where NextBillion.ai’s Route Optimization, Distance Matrix, and Indoor Routing capabilities make a measurable difference.

By digitizing warehouse layouts, sequencing pick tasks intelligently, and dynamically adjusting routes in real time, NextBillion.ai enables operations teams to achieve up to 30–50% reduction in walking distances, significantly improving picker productivity and reducing fatigue. Its ability to integrate seamlessly with Warehouse Management Systems, support advanced optimization strategies (zone, cluster, batch picking), and adapt to custom indoor environments ensures a solution that is tailored to your warehouse—not the other way around.

Industry leaders across logistics, retail, e-commerce, and manufacturing already rely on NextBillion.ai to manage complex routing challenges at scale. Their proven track record in delivering enterprise-grade, flexible, and scalable solutions makes them a trusted partner for organizations looking to modernize fulfillment operations.

If your warehouse is struggling with inefficiencies in picking, or if you’re planning to future-proof your supply chain with AI-powered routing, now is the right time to act.

👉 Book a demo with NextBillion.ai today and see firsthand how their APIs can transform your warehouse into a smarter, faster, and more efficient operation.

About Author

Prabhavathi Madhusudan

Prabhavathi is a technical writer based in India. She has diverse experience in documentation, spanning more than 10 years with the ability to transform complex concepts into clear, concise, and user-friendly documentation.

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