Why automation is now the smartest investment in New Zealand logistics.
With ROI measured in years, not decades, and proven results from companies like Douglas Pharmaceuticals, warehouse automation is emerging as a strategic advantage, not just a technology upgrade.
In New Zealand, warehousing has reached a tipping point. Labour shortages, rising rents, and customer expectations for speed and reliability are exposing the hidden costs of manual operations. Errors, safety risks, and wasted space are no longer just operational issues, they are barriers to growth.
Automation reframes the warehouse as a strategic asset rather than a cost centre. High-density solutions such as AutoStoreTM compress storage into compact cubic Grids, unlocking up to 400% more capacity within the same footprint. Robots deliver products directly to ergonomic workstations, achieving thousands of picks per hour and driving accuracy above 99%. The result is faster fulfillment, safer workplaces, and stronger resilience in a volatile market.
Globally, businesses are accelerating investment, with logistics and fulfillment set to account for over one- third of capital expenditure by 2030. For New Zealand operators, this isn’t a distant trend but an immediate challenge. Local rents are climbing, particularly in Auckland, while labour shortages continue to bite. To stay competitive, businesses must align with these shifts and ensure operations are designed for future demand.
The value of automation is already evident close to home. Douglas Pharmaceuticals in West Auckland adopted AutoStore to address capacity and fulfillment constraints. The result was four times faster picking, 30% more storage, and all achieved within a fraction of its existing footprint. Crucially, it delivered without requiring a disruptive move to new premises. That case illustrates how automation can transform operations from a bottleneck into an enabler of growth.
Investing in automation is not about adding cost, it is about unlocking value. With fast implementation, typically within months, and ROI often realised in two to three years, automation represents one of the most compelling levers available to New Zealand supply chain leaders today.
The question for warehouse managers is no longer if automation fits their strategy, but how quickly they can build the case to transform their operations into a driver of long-term value.
To see how an AutoStoreTM solution could transform your operations, explore the StoreX Calculator – a free, intelligent tool that models your warehouse inputs and delivers a tailored performance and ROI report.