Dematic marks 60 years of warehouse automation in ANZ

Dematic is marking 60 years of operations in Australia and New Zealand, tracing its history to its founding in Sydney as Colby Engineering.

The anniversary marks the company's evolution from a local manufacturing and engineering business into a supplier of warehouse and distribution automation systems across the region. Founded in 1966 by Gerry Hatton AM, it began with mechanical and structural steel work before introducing the adjustable racking system ColbyRACK, which remains part of its local product range.

Over the past six decades, the business has expanded beyond storage equipment into software, robotics, voice-directed picking, goods-to-person systems and automated guided vehicles. In Australia, its customers include retailers, healthcare groups and logistics operators, with projects delivered for Woolworths, BIG W and Sigma Healthcare.

The anniversary comes as demand for automation rises in warehouses and distribution centres. Across retail, grocery, healthcare, manufacturing and third-party logistics, businesses are seeking ways to respond to labour shortages, more complex fulfilment operations and higher customer service expectations.

Dematic now employs more than 850 people across Australia and New Zealand and continues to invest in local manufacturing in Sydney, as well as engineering teams, apprenticeship programmes and graduate pathways aimed at building technical skills across multiple disciplines.

Origins

The company's roots lie in Sydney's Northern Beaches, where Hatton established Colby Engineering as a small workshop. From there, it built a reputation in racking and storage systems before expanding into more complex materials handling and warehouse technology.

That local history remains a notable part of Dematic's identity in Australia, particularly as many smaller engineering businesses have been absorbed by multinational industrial technology groups. Now part of KION, a global supply chain and industrial equipment group, Dematic continues to emphasise its Australian engineering heritage.

Hatton pointed to that continuity in remarks issued for the anniversary.

"Dematic has always been built on a culture of innovation, partnership, and a commitment to customers," said Gerry Hatton AM, founder of Dematic.

"From the very beginning, there was a strong belief that we could design and build world-class solutions locally, while continuing to evolve with the changing needs of industry. It's incredibly rewarding to see how far the business has come, and even more exciting to see the next generation continuing to push innovation forward."

Market demand

Warehouse automation has become a larger investment area for companies under pressure to improve throughput, accuracy and supply chain resilience. Demand has also been shaped by eCommerce growth, the need for faster replenishment in grocery networks, and stricter handling requirements in healthcare and pharmaceuticals.

A large volume of goods in everyday supply chains now passes through sites using Dematic systems, including operations linked to online shopping, supermarket distribution and medical supplies.

Simon Barrow, Vice President and Managing Director for Australia and New Zealand, said the company's systems play a role in routine consumer and industrial supply flows.

"A significant number of products move through supply chains powered by Dematic technology every day," said Simon Barrow, Vice President and Managing Director, Dematic.

"Whether consumers are shopping online, purchasing groceries, accessing medical supplies or receiving essential goods, there is a high probability that Dematic technology has played a role somewhere along that journey."

Its local operations now cover software, storage and order fulfilment systems, robotics, and integrated automation for distribution centres. These systems are designed to support higher volumes and reduce operational bottlenecks in facilities handling large numbers of stock keeping units and time-sensitive orders.

Local skills

Barrow also highlighted the workforce behind those projects, particularly engineers, technicians, software specialists and project teams based in Australia. Apprenticeships in service and lifecycle support form part of the company's approach to maintaining those skills locally.

"For 60 years, we have remained focused on helping customers solve complex operational and supply chain challenges. We are incredibly proud of our people and the role Dematic has played in supporting Australian industry, manufacturing, and engineering innovation.

"Ongoing investment in Australian engineering capability remains central to the business' long-term strategy. Our engineers, technicians, software specialists, project teams, and apprentices have always been pivotal to Dematic's success.

"Supplementing our manufacturing in Sydney is a commitment to our Lifecycle Solutions and Service apprenticeships program, coupled with our graduate pathways to ensure we grow our local engineering expertise across multiple disciplines," said Barrow.