Decathlon increases warehouse productivity by twofold using Exotec robots at seven locations in Europe | TNW

      The largest sporting goods retailer in the world has automated seven of its warehouses in Europe using robots, and the initial results indicate that the machines are justifying their investment. Decathlon revealed on Tuesday that its collaboration with Exotec, a French company specializing in warehouse robotics, has resulted in what it describes as significant productivity improvements at locations in France, the United Kingdom, Portugal, Italy, and Germany.

      The statistics are compelling. In its warehouse located in Setúbal, Portugal, Decathlon reports that the facility now processes 114,000 orders daily, which is double the previous count of 57,000 before automation. A warehouse in France almost doubled its replenishment capacity from 37 to 73 stores. At the Northampton location in England, workers who previously walked over 10 kilometers a day now walk less than one. Additionally, the rate of workplace incidents related to order picking at that site has decreased significantly from one in every 5,000 to one in 10,000.

      These are not the humanoid robots commonly in the news. Exotec’s flagship product, Skypod, consists of a fleet of wheeled machines that resemble large Roombas. Each unit carries storage bins and can ascend proprietary shelving up to approximately 14 meters, retrieving and delivering hundreds of thousands of items daily. A typical Decathlon installation includes between 150 to 200 Skypods, along with automatic depalletisers, carton-opening machines, RFID tunnels, and palletisers. The entire system is managed by Deepsky, Exotec’s warehouse execution software.

      As for the spatial aspect, Romain Moulin, cofounder and CEO of Exotec, stated that the primary benefit is not just speed but also spatial efficiency. In traditional warehouses, shelves are generally two meters high to allow for human pickers, which compels companies to expand to larger facilities as order volumes rise. Moulin noted that the average warehouse occupies around 18,000 square meters. With Skypods' vertical climbing capability, Exotec claims it can reduce the required space to around 6,000 square meters while maintaining capacity, as the same volume of goods requires much less floor area.

      This suggests that retailers can either operate in smaller, more affordable spaces or use the extra space for other operational purposes. For Decathlon, which oversees over 1,800 stores and employs 101,000 people worldwide, the attraction is clear: a standardized warehouse model that can be rapidly replicated across various markets. Moulin asserted that Exotec can set up a new automated warehouse every four months.

      A key concern accompanying warehouse automation is the fate of the human workers who previously handled picking tasks. Exotec’s data provides some insight. At one location, the number of designated pickers was reduced from 50 to 12 following the installation of Skypods, with the remaining workers moved to roles such as processing returns and repairs.

      Moulin presented this shift as an enhancement of working conditions rather than just a job cut. Workers no longer have to walk extensive distances each shift, injuries have decreased, and increased throughput means the reassigned staff are necessary to manage the higher volume of goods flowing through the system.

      This narrative, while convenient, also highlights a real structural issue. There is a significant and worsening labor shortage in warehouse logistics across Europe, Japan, and the United States. Moulin remarked that every client he interacts with, regardless of their location, struggles to find pickers. The warehouse robotics market, projected to be valued around $8.75 billion by 2026, is expanding at over 18% annually, largely due to this labor shortage.

      In terms of humanoid robots, the article reveals that Exotec is intentionally not developing them. While companies like BMW and Amazon are experimenting with bipedal robots for warehousing and factory tasks, Moulin dismissed this approach for his needs. He argues that using a humanoid to push a cart for 10 kilometers a day just replicates the problems automation aims to resolve. Instead, Exotec focuses on specialized machines designed for specific tasks and integrates AI for routing, scheduling, and inventory management.

      This represents a notably European approach to industrial robotics: practical, specialized, and not focused on spectacle. Founded in 2015, Exotec became a unicorn in 2022 after raising $335 million, achieving a valuation of $2 billion with support from Goldman Sachs. Its annual revenue has since risen to around €300 million, with the Skypod system implemented at over 200 customer sites worldwide, such as Uniqlo, Carrefour, Gap, and Geodis.

      The Decathlon rollout, known as the Skyfleet program, is Exotec's most ambitious multi-site implementation so far. Whether it sets a standard for how European retail manages its supply chains will depend on the sustainability of the productivity improvements as the system scales. For the 38 former pickers at that specific site who have transitioned to other roles, the outcome may already be apparent.