Sydney, Australia – 4 March, 2025 – Zebra Technologies Corporation (NASDAQ: ZBRA), a global leader in digitising and automating frontline workflows, today released the findings of its latest Warehousing Vision Study. In the study titled, “Elevating Every Move: The Formula for High-Performance Warehousing,” frontline workers clearly communicated the benefits of automating warehouse operations – and the risks of not automating fast enough.
According to the study, 63% of global warehouse leaders plan to implement both artificial intelligence (AI) software (63% in APAC) and augmented reality (AR) (65% in APAC) within five years. In addition, 64% surveyed globally plan to increase spending on warehouse modernisation in the next five years, with APAC leaders at 63%. Meanwhile, 63% plan to accelerate their modernisation timelines by 2029, similar to 64% in APAC.
From an industry point of view, Interact Analysis projects global warehouse square footage will increase by 27% to 42 billion square feet in 2030 from 33 billion square feet in 2023. Warehouse labour spend is also expected to show long-term expansion projected at a compound annual growth rate of 7% through 2030.
As this expansion continues and daily order volumes increase, feedback shared by global frontline workers as part of Zebra’s Warehousing Vision Study suggests that warehouse leaders will need to move a bit faster to expand workforce capacity:
- 85% of associates (88% in APAC) report that if employers do not invest in technology to improve warehouse operations, they will not meet business objectives.
- 74% of associates (77% in APAC) are concerned they are spending too much time on tasks that could be automated.
- 72% of associates (79% in APAC) are concerned about safety on the (increasingly busy) warehouse floor, with 70% (72% in APAC) specifically worried about injuries.
- 69% of associates (73% in APAC) reported there is a lack of qualified staff on the warehouse floor and expressed concerns about fatigue and physical exhaustion (69% globally, 76% in APAC).
Even warehouse leaders admit they find it challenging to maintain the fill rates (51% globally, 45% in APAC) and prepare orders (47% globally, 51% in APAC) outlined in their service level agreements (SLAs), with order accuracy (41% globally, 43% in APAC) and outbound processes (41% globally, 40% in APAC) cited as the top two operational challenges in the Zebra study. Increased e-commerce activity is also making “faster delivery to the end-customer” (37% globally, 36% APAC) a top challenge for warehouse teams, even as technology use is on the rise.
Given the disparity between customers’ growing expectations and warehouse operators’ limited hiring capacity, warehouse associates say it’s important that collaborative robots (88% globally, 91% in APAC), ergonomic mobile devices (88% globally, 90% in APAC), communications applications (87% globally, 90% APAC), and task management tools (91% globally, 94% in APAC) are used to help solve workplace issues. More than nine in 10 associates (93% globally, 92% in APAC) also believe the increased availability of automation and mobile technologies would help attract and retain more warehouse associates, especially given they personally feel more valued (89% globally, 90% in APAC) by their employers when provided with technology tools and automation designed to help them.
“Our customers prioritise operational efficiency and safety in warehouse operations. Working with Zebra Technologies, they streamline workflows and eliminate friction. Our next-gen mobile computers, like theMC9400, enhance speed and ergonomics with exceptional scan range. TheFXR90 fixed RFID readers automate asset tracking, whileZT411 industrial printers meet modern warehouse demands for barcode and RFID labeling”, said Tom Christodoulou, Sales Vice President for Australia and New Zealand & India and Sub-Continent at Zebra Technologies.
How (and How Much) Automation is Really Expected to Help Warehouse Workers
Warehouse leaders believe the biggest impact of mobile device-based AI applications will centre on worker safety, quality control, and inventory management. While 79% say AI will positively impact their ability to detect potential hazards and issue alerts for prevention, 78% think AI would make an impact on their ability to detect issues or anomalies using AI – this sentiment is echoed by 82% and 81% of APAC warehouse leaders respectively. In addition, 77% (78% in APAC) feel AI applications would impact their ability to forecast needs, streamline stock levels, and maximise space using AI applications.
Many global warehouse leaders who plan to augment/automate or have already done so say their goal is to mitigate errors (71%) and meet SLAs (70%). They hope automation will increase worker efficiency and productivity (54% globally, 56% in APAC) as well as reduce order errors and manual picking (53% globally and in APAC). Plus, 82% of warehouse leaders (84% in APAC) agree that giving warehouse workers more technology tools will help them exceed productivity goals while reducing physical strain and preventing injuries. 81% of the leaders also admit that automation improves morale, similarly reflected by 80% in APAC.
Warehouse Leaders Need More Help, Too
Ultimately, warehouse leaders say their biggest supply chain network challenges are “innovating with technology and intelligent automation” and “meeting changing customer service expectations.” Yet, the latter will not prove possible until warehouse leaders figure out a clear path forward with technology.
“At Zebra Technologies, we empower frontline warehouse workers by eliminating repetitive tasks, enhancing productivity, and improving work quality. Amid labour shortages, rising costs, and growing customer expectations, we drive innovation to help our customers do more with their existing resources,” added Christodoulou.
Key Regional Findings
- Asia-Pacific: Missed SLAs are a tremendous financial burden for 88% of decision-makers (83% globally), underscoring the need to swiftly address inefficiencies.
- Europe: Workplace safety remains a concern, with 73% of associates (70% globally, 72% in APAC) worried about injuries on the warehouse floor.
- Latin America: 70% of decision-makers (71% globally, 70% in APAC) who plan to augment/automate or have done so already say the biggest driver for automation is the need to mitigate errors.
- North America: 88% of decision-makers (84% globally, 83% in APAC) agree adopting new technology is essential to remain competitive in the fast-paced, on-demand economy.
About The Study
Zebra Technologies commissioned a global research study to explore the trends and technologies shaping warehouse and distribution centre operations. Conducted online by Azure Knowledge Corporation, the study gathered insights from over 1,700 associates and decision-makers across manufacturing, retail, transportation, logistics, and wholesale distribution.
About Zebra Technologies
Zebra (NASDAQ: ZBRA) provides the solutions to help businesses grow through increased asset visibility, connected frontline workers and intelligent automation. The company operates in more than 100 countries, and our customers include over 80% of the Fortune 500. Designed for the frontline, Zebra’s award-winning portfolio includes hardware, software, and services, all backed by our 50+ years of innovation and global partner ecosystem. Follow Zebra on our blog and LinkedIn, visit our newsroom and learn more at www.zebra.com.
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