Coles Group opens automated distribution centre in Sydney's west

Coles Group has opened a Witron-powered automated distribution centre (ADC) at Kemps Creek in Sydney’s west, joining a similar facility launched in Queensland last year.

Image credit: Coles Group.

The ADC uses technology from German automation company Witron Logistik + Informatik, under an agreement struck back in 2018.

Coles said that at 66,000 square metres, the Kemps Creek site is “one of the biggest and most productive automated distribution centres in the world.”

Yet, it is also “half the footprint of the current two distribution centres in NSW”, the grocery retailer said.

This was made possible by utilising the building’s full 36 metre height - “which is almost three times taller than Coles’ current distribution centres.”

“Witron’s pack pattern algorithm enables store order pallets to be packed to different heights in an optimal stacking sequence, based on product characteristics and store friendly logic,” Coles said.

“Once these pallets are delivered to store, they will require less sorting due to improved product grouping, and greater levels of accuracy. 

“This will aim to improve on-shelf availability and allow store teams to be more customer focused.”

Kemps Creek is not yet operating at full capacity, but when it is, it will service 229 NSW and ACT-based stores.

Coles said that the first ADC in Queensland had resulted in a “20 percent improvement in availability” of product in Queensland and northern NSW stores, compared to other locations.

CEO Leah Weckert added that the Kemps Creek facility “also delivers a step-change for the safety of our team, with the elimination of around 16 million kilograms of manual handling every week.”