Warehouse automation is the process of moving inventory into, within and out of warehouses to customers or their next destination with as little help from humans as possible. Warehouse automation allows businesses to remove labour-intensive tasks that entail repetitive heavy lifting, manual data entry and analysis.

Below we discuss warehouse automation in depth, look at the challenges of warehouse automation and how you can reduce your operating expenses (OPEX) with it.

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warehouse automation: how it works

Warehouse automation employs software and technology, such as sensors and robotics, to automate tasks and processes. These elements work together with other software such as inventory management software.

There are two main types of automation:

  • Physical automation: which uses technology to minimise human movement and create efficient workflows.
  • Digital automation: which harnesses data and warehouse automation software to eliminate human errors and reduce manual workflows.

Warehouse automation offers significant financial benefits, including OPEX (operational expenditure) reduction. Automation reduces labour costs and use of resources, and, by minimising human errors, minimises costs related to correcting mistakes.


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CAPEX Vs OPEX Logistics Infographic

CAPEX VS OPEX

OPEX describes short-term day-to-day expenses, including rent and salaries, and is different from CAPEX (capital expenditure), which describes long-term purchases to improve the company’s performance in the future.

CAPEX Examples

  • Buildings
  • Machinery
  • Land
  • Equipment
  • Vehicles
  • Software

OPEX Examples

  • Salaries
  • Insurance
  • Professional services
  • Fuel costs
  • Utilities
  • Rent for office, warehouse, or factory space
  • Maintenance and repairs
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categories of warehouse automation

As straightforward as it sounds, warehouse automation falls into different categories. Some warehouse automation examples are:

Basic automation

Basic automation entails implementing simple technology to boost efficiency by supporting workers in tasks that would call for more manual labour. This could be a conveyor which moves items from point A to point B in the warehouse and requires minimal change.

System Automation

Warehouse system automation uses software, robotics, data analytics and machine learning to automate tasks and procedures. A warehouse management system (WMS) is one example.

The WMS will review all the orders to complete in a day and will organise users to pick similar types of items so workers don’t have to repeatedly cross the warehouse all day. It can coordinate collection tasks, too, and allows businesses to make more informed decisions.

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Mechanised Automation

Mechanised automation employs technology, both systems and equipment, to support humans with warehouse tasks and procedures. Often this is the retrieval and transportation of items into, across, or out of the warehouse. One example is Automated Trailer Loading Systems (ATLSs), which are designed to safely and quickly load a full trailer.

Advanced Automation

Advanced automation combines mechanised automation and automated systems that can replace labour-intensive human workflows. Wave picking, which delivers items in ‘waves’ according to variables, such as order number or delivery destination, uses advanced automation.


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types of warehouse automation technology

You’ll see all types of warehouse automation solutions in a warehouse. Below are some of the main ones.

Automated Storage and Retrieval Systems (AS/RS)

Automated storage and retrieval systems (AS/RSs) use robotic arms, automated vehicles and other tools to store and retrieve inventory correctly. They reduce retrieval times and make the most of space.

Our LoadBuffering Solution integrates with your warehouse and uses automation to prepare full trailer loads, ready to instantly load a trailer upon arrival.


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Goods-to-person and Shuttle Systems

Goods-to-person (GTP) systems boost picking efficiency and reduce strain on humans. Rather than humans going to collect the goods, GTPs bring the goods to the human.

Shuttle systems are a type of AS/RS that use mobile robots or ‘shuttles’ to travel down aisles and retrieve inventory. The shuttles have arms that allow them to retrieve items based on instructions from the automation control system and then deliver them to vertical lifts that then transfer the items to a conveyor or other system.

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Automated guided vehicles (AGVs)

AGVs are key pieces of equipment in transporting inventory in warehouses. They follow pre-established routes in the warehouse and collect and transport items reliably across them.

Trailer Loading and Unloading Automation

Truck Loading and Unloading are time-consuming, time sensitive and labour intensive. Automated trailer loading systems lower OPEX, accelerate loading and unloading, allow businesses to handle and ship higher volumes of goods and make loading and unloading safer.

Automated Unmodified Trailer Loading Systems, can step up trailer loading and unloading and don’t require any modifications to trailers or structures at all. They increase loading capacity without consuming more resources, lowering OPEX.


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Automated Trailer Loading Solutions

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why should you automate your warehouse?

Warehouse automation has become commonplace in the warehousing industry, but why? What are the benefits?

Lower Labour Costs and Less Dependency

Warehouse automation systems reduces reliance on repetitive, time-consuming manual labour considerably and frees up resources for other tasks.

The fact that a task doesn’t require as many people to complete it lowers not only labour costs but, because modernised automated systems are designed with sustainability in mind, also lowers other OPEX overheads such as electricity.


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Eliminating damage and hidden handling costs

Damaged items and employees’ mistakes during handling inflict costs on the business. That can be repacking and reshipping the item through to handling or customer service.

Automation reduces damage and errors significantly, which leads to fewer returns and reduces customer service costs, creating a healthier bottom line.

Faster, Safer Loading Processes

Automation eases pressure on workers and spares them a lot of safety risks associated with manual handling.

Workers must often work to tight schedules, and tiredness or lapses in concentration place them at risk of injury. They may even cut corners or skip health and safety procedures to keep up with their workload.

Futureproofing Against Demand Fluctuations

Automated systems help warehouses to increase their throughput, which means they can cope with larger numbers of orders in the same timeframe.

This is invaluable for operators at peak times or who are struggling with rapid growth of the business. It will make a huge difference.


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how warehouse automation reduces OPEX

Warehouse automation systems lowers OPEX in several ways.

Fixed vs Variable Operating Costs in Logistics

Warehouse automation systems makes costs more predictable. You can work out how much labour you’ll need and the cost of maintenance.

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Direct savings: labour, safety, and damage prevention

Warehouse automation cuts labour costs, makes processes such as loading and unloading safer, and reduces damage to goods in the warehouse as employees fulfil their duties.

Indirect Savings: Efficiency, Space Optimisation, Energy Use

Warehouse automation systems don’t only produce direct savings, but also indirect ones. The automation boosts efficiency by reducing handling and travel times as AGVs and other tech perform warehouse tasks. The shorter handling and travel times inflict less wear and tear on equipment.

Further savings include space optimisation, since ATLS can reduce the number of loading docks required. Space is often at a premium in warehouses, and automation can spare the business the need for an expensive expansion.


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challenges of warehouse automation

Warehouse automation solutions offer businesses lots of benefits and lots of challenges.

Upfront Investment vs Long-Term Savings

Automation requires a significant investment upfront, which often worries businesses; however, the long-term savings in OPEX means the automation can achieve ROI in as little as a couple of years.

The lower labour costs and indirect benefits such as enhanced accuracy, the boost in efficiency, lower rate of employee turnover and lesser injuries all justify automation. The long term investment of automation can pay back significantly in terms of efficiency and ROI.


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Integrating New Tech With Existing Infrastructure

Integrating new warehouse automation tools with existing WMSs is complex and brings with it issues such as incompatibility challenges, data synchronisation and the need for seamless communication between different tools and systems. Many warehouse systems operate on old systems that don’t integrate easily with modern warehouse automation systems or software.

Change Management and Workforce Adoption

As warehouse automation becomes more commonplace, many workers in the industry fear being replaced by the technology or struggle to adapt to new technologies. A lack of technical knowledge can slow down implementation, causing extra resistance to change.

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How Unmodified Automated Trailer Loading Systems (ATLS) Minimise These Barriers

Unmodified ATLSs help businesses to overcome some of these challenges. Integrating them is straightforward as they don’t require adaptation of trailers or of existing structures. Nor is additional hardware necessary.

Naturally, implementing one will require a major investment upfront, but the benefits justify it. Unmodified ATLSs allow you to load and unload trailers much quicker, and do so safely, not to mention enable you to manage labour costs easier and, as fewer workers will be necessary in the loading and unloading processes, free up resources for other tasks.


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when should you automate your warehouse?

There will be signs when your warehouse is crying out for automation.

Volume and Demand Triggers

As the business grows, the volume of orders will, too, and you won’t be able to scale manual processes up enough to meet the demand. Automation will help you cope with larger volumes or sudden spikes in demand more reliably.

Safety and Compliance Considerations

Warehouse work is demanding and carries a lot of safety hazards. Warehouse automation systems help you address health and safety concerns around tasks in the warehouse. Remember that breaches of health and safety regulations can land your business in hot water. Warehouse automation solutions can keep you operating within the law.

Case for automation during labour shortages

Some warehouse tasks are time-consuming and labour intensive. Imagine having to complete them with fewer employees. Warehouse automation boosts efficiency and addresses labour shortages, making it easier to cope with a high turnover.


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Joloda's automated trailer loading systems

We offer a range of Unmodified Automated Loading Systems that take loading and unloading operations to the next level and lower OPEX.

LoadPlate

The LoadPlate is a powerful, automated loading system that loads 30 tons of cargo into a 40 feet container in just five minutes.

Businesses find the system especially handy for loading long or complex cargo, such as steel or timber into containers. You can implement the LoadPlate without making modifications to your trailer.


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benefits of LoadPlate

Actiw's LoadPlate container loader ensures the efficiency and safety of your container loading operations.

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Improve Work Safety

When load handling involves manual work, there is a high risk to safety in each step. When you automate the process, you reduce that risk.

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Prevent handling damage

Eliminate damage to your products when loading them into trucks or containers. A reliable automatic container loading solution keeps your products intact and your end customers satisfied.

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Increase operational efficiency

Automation eliminates unnecessary work in load handling. A typical loading crew has three members, whereas LoadPlate can be run by a single operator.

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Save on machinery investment

LoadPlate significantly reduces your fixed asset costs, replacing a fleet of forklifts with one loading machine.

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Increase loading capacity

When stuffing long goods or special cargo, LoadPlate container loader can increase total handling capacity by 33% compared with traditional loading.

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Boost eco-efficiency

LoadPlate generates additional savings by reducing energy consumption. It runs on electricity instead of diesel oil, eliminating harmful emissions.

LoadMatic

The LoadMatic is a fully automated loading system, suitable for palletised goods and non-palletised ones.

  • Loads nonmodified trailers, trucks and containers
  • Full trailer loading in less than 7 minutes
  • Improves outbound material flow
  • Saves more than 80% in labour and handling costs
  • Instead of using a team of lift truck operators, a single operator can operate several LoadMatics.

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benefits of LoadMatic

Automating your product loading reduces the chance of accidents or damage.

Multiple Industries

Streamline your supply chain

With LoadMatic, you get reliable loading slot times in advance and guaranteed loading times of 7 minutes or less. Rapid live loading of standard trailers or containers improves your outbound material flow.

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Improve work safety

When load handling involves manual work, there is a high risk to safety in each step. When you automate the process, you reduce that risk.

Joloda Icon Reduced Cost

Save on machinery investment and maintenance

LoadMatic significantly reduces your fixed asset costs, replacing a fleet of forklifts with one loading machine. Plus LoadMatic will last 20+ years, longer than any forklift.

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Boost eco-efficiency

LoadMatic generates additional savings by reducing energy consumption. It runs on electricity, eliminating harmful emissions. The total cost of energy is up to 60% less than electric forklifts.

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Save over 80% in labour and handling

Automation eliminates unnecessary work in load handling. Instead of a team of lift truck operators, one operator can run several LoadMatic units.

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Prevent handling damage

Eliminate damage to your products or vehicles during the loading process. A reliable automatic loading solution keeps your products intact and your end customers satisfied.

LoadMatic Lite

The LoadMatic Lite is a versatile, automated, entry-level loading system that helps businesses starting to scale up by moving beyond the amount they can load per day with forklifts.

Importantly, the system only requires a low upfront investment and will make loading faster and more efficient.


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benefits of LoadMatic Lite

Automating your product loading reduces the chance of accidents or damage.

Multiple Industries

Streamline your supply chain

With LoadMatic Lite, you get reliable loading slot times in advance and can load full trailers in 6 minutes. Rapid live loading of standard trailers improves your outbound material flow.

Joloda Icon Safety

Improve work safety

When load handling involves manual work, there is a high risk to safety in each step. When you automate the process, you reduce that risk.

Joloda Icon Reduced Cost

Save on machinery investment and maintenance

LoadMatic Lite significantly reduces your fixed asset costs, replacing a fleet of forklifts with one loading machine.

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Boost eco-efficiency

LoadMatic Lite generates additional savings by reducing energy consumption. It runs on electricity, eliminating harmful emissions.

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Save on labour and handling

Automation eliminates unnecessary work in load handling. Instead of a team of lift truck operators, one operator can run several LoadMatic Lite docks.

Joloda Icon Product Damage

Prevent handling damage

Eliminate damage to your products or vehicles during the loading process. A reliable automatic loading solution keeps your products intact and your end customers satisfied.

How Do They Lower OPEX

Each of these systems will lower your OPEX by reducing the number of workers essential in loading and unloading. Not only will you save in labour, but you’ll also spare forklifts wear and tear because they don’t have to travel as far to load vehicles and instead just load goods onto the system or collect them from it. This keeps CAPEX down, too, because you don’t have to replace forklifts as often or invest in as many.

As well as lowering OPEX, these unmodified loading systems futureproof businesses by allowing them to scale up and take on higher volumes of orders. If your business has any staff turnover issues, you’ll be able to continue operating as normal.

By making loading and unloading safer, the systems also reduce the likelihood of injuries and can lower the number of absences from work through illness or injury, not to mention the risk of compensation requests.


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unmodified ATLSs in action

Businesses come to us for support with their loading and unloading, and we’ve provided them with suitable systems. Take Sverdrup Steel.

Sverdrup Steel

  • The size and weight of their products meant that Sverdrup Steel were struggling with their processes in their service centre in Denmark.
  • The time-consuming, labour-intensive nature of loading heavy alloy products created lots of delays and inefficiencies.
  • The heavy use of forklifts created major safety hazards and the use of contractors to handle products was resulting in damage to the goods, especially because goods were being handled outdoors and exposed to the elements.

Implementing the LoadPlate allowed the company to:

  • Bring loading in-house and protect products from hostile weather conditions.
  • Cut loading down from hours to within five minutes.
  • Reduce labour costs, as they only need one person to operate the system.
  • Improve safety because workers don’t have to be near machinery during loading.
  • Eradicate damage to products so they reach their destination in pristine condition.

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types of unmodified trailer loading systems

LoadPlate

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LoadMatic

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LoadMatic Lite

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LoadBuffering

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Versatile Applications

the future of warehouse automation and OPEX

Warehouse automation is a cost strategy, not a tech choice. It helps businesses to reduce their OPEX and their CAPEX significantly and become more competitive. Warehouse automation systems allow businesses to minimise errors and the costs they incur.

Why an Unmodified ATLS is The Fastest Efficient Path to Cost Savings

An unmodified ATLS creates a quick path to cost savings because you can recover your investment quickly. Our unmodified ATLSs generate ROI within 18 to 24 months. If we envisage a system taking longer than that, we’ll suggest an alternative.

Once you implement the system, you can manage labour easier and assign fewer workers for loading and unloading. Safety will also be much less of a concern.

Using an unmodified ATLS allows you to step up your loading process safely. The systems are highly compatible with regular trailers and containers, which require no modifications or additions to existing equipment or structures.


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Direct to Customer Delivery

how automated loading helps direct to customer (D2C) delivery

D2C (Direct to Customer) is all about delivering directly to customers, rather than going through a third-party fulfilment service.

One piece of equipment businesses might use to speed up their D2C operations is an automated loading system, such as the equipment sold by Actiw, a division of the Joloda Hydraroll Group.

These loading systems are especially handy for third-party logistics (3PL) businesses, who often don’t wish to modify their trailers, because Actiw’s equipment doesn’t require permanent modification of trailers.

This automated loading equipment can really mark a turning point in your operations by boosting efficiency, cutting costs and improving handling safety, to name but a few of the benefits, which we’ll explore further in this article.


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Contact us today for a consultation session with a member of our Systems team.

During the consultation, a Joloda Hydraroll Group Systems Expert will speak with you about your business' current logistics operations, plans and goals. 

We have over 60+ years of experience providing cutting-edge technological solutions to the logistics industry and have helped countless companies around the world lighten their load.  


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frequently asked questions (FAQ)

What is OpEx in a Warehouse?

OpEx (Operating Expenditure) in a warehouse refers to the ongoing costs required to run daily operations. This includes labour, utilities, equipment maintenance, consumables, software subscriptions, training, and all repetitive expenses that recur month to month.

Unlike CapEx, OpEx directly impacts a warehouse’s cost-per-pick, cost-per-pallet moved, and overall profitability of fulfilment operations.

What is CapEx in Warehouse Operations?

CapEx (Capital Expenditure) refers to the upfront investment made to acquire physical assets such as racking, conveyors, forklifts, Automated Loading Systems, or warehouse management software licences. These are long-term purchases that are capitalised and depreciated over time.

How Does Warehouse Automation Reduce OpEx?

Warehouse automation reduces OpEx by lowering labour costs, minimising manual handling, reducing human error, and improving process speed.

Automated systems work consistently without breaks, fatigue, or productivity dips, allowing businesses to move more goods with fewer resources. Automation also reduces product damage, improves inventory accuracy, and lowers the cost of rework, contributing to sustained reductions in operational spending.

What is an Automated Warehouse System?

An automated warehouse system is a combination of hardware and software designed to move, store, track, and process goods with minimal human involvement.

It typically includes automated machinery (such as conveyors, shuttles, AGVs, AMRs, or automated trailer loading systems), combined with software like a WMS or WES to coordinate tasks. These systems streamline material flow, improve accuracy, and enable high-throughput logistics operations.

What Warehouse Processes Can be Automated?

Many warehouse processes can be automated, including:

  • Inbound handling: pallet unloading, dimensioning, scanning, and put-away
  • Storage and retrieval: using AS/RS, shuttles, AMRs, or mobile rack systems
  • Picking: goods-to-person systems, robotic picking, or automated sorting
  • Packing: automated carton erection, sealing, labelling
  • Internal transport: conveyors, AGVs, AMRs
  • Dock operations / Trailer & Container Loading: pallet loading, trailer loading, and automated material flow to outbound lanes
  • Inventory control: cycle counting and real-time stock visibility via sensors and software

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