DHL Supply Chain has deployed more than 8,000 robotics systems across its global operations, fundamentally reshaping how warehouse work gets done. The investment has delivered measurable benefits: lower employee turnover, faster onboarding, and reduced operational costs. But it has also eliminated jobs, raising hard questions about the future of warehouse labor as automation accelerates across the logistics industry.

What's Driving the Robotics Boom in Logistics?

The logistics and manufacturing sectors face a persistent labor crisis. Surveys consistently show that American manufacturers struggle to attract and retain workers, particularly for physically demanding tasks. In 2000, U.S. manufacturing employed 17.2 million people; by September 2025, that number had dropped to 12.7 million, according to consulting firm McKinsey. Even the Trump administration's tariff policies, which were intended to bring manufacturing jobs back to the United States, have not reversed this decades-long decline.

DHL Supply Chain began its robotics journey in 2017, when investor enthusiasm for robotics startups was soaring. The company now focuses on identifying manual tasks like picking, packaging, and putting away goods, then works with vendors to design robotic systems that can handle the same work. The return on investment varies by location, depending on how many robots are deployed and local labor market conditions. Sites where jobs are harder to fill are the most attractive candidates for automation.

Which Robots Is DHL Actually Using?

DHL Supply Chain has narrowed its robotics strategy to three key vendors:

• Locus Robotics: A vendor providing mobile manipulation systems for warehouse picking and material handling tasks.
• Boston Dynamics: Known for advanced robotics with sophisticated mobility and perception capabilities, owned by Hyundai Motor Group.
• Robust AI: Developing AI-enabled robots like Carter, which uses cameras to map warehouse floors and navigate around obstacles and workers safely.

This multi-vendor approach serves a strategic purpose. Sally Miller, the global chief information officer at DHL Supply Chain, explained the reasoning behind this diversification strategy.

"Having multiple vendors for the same use case is a good thing. It decreases our risk, because these are startup companies, and funding comes and goes. Not all of them are going to make it," said Sally Miller.

Sally Miller, Global Chief Information Officer at DHL Supply Chain

DHL pilots new robotics solutions across Europe, North America, and Asia, typically testing them in cordoned-off areas of the warehouse floor before scaling across its 2,800 global sites. To manage all these disparate systems, DHL uses SVT Robotics, a warehouse enterprise software platform that connects all robotics and consolidates data on order picking, shipment confirmation, and inventory tracking in one centralized location.

How Are Robots Changing the Nature of Warehouse Work?

As robotics deployment increases, the nature of warehouse jobs is shifting rather than disappearing entirely. Work is evolving to focus more on supervising robots and collaborating with vendors on data capture and insights from the artificial intelligence built into these systems. Miller noted that computer vision technology opens new possibilities for warehouse operations and worker safety.

"There's just a lot more you can do if you have the ability to use computer vision to harness that data," said Sally Miller.

Sally Miller, Global Chief Information Officer at DHL Supply Chain

In sites where robots have been deployed, DHL has observed measurable improvements in worker experience. Robots have dramatically reduced the time warehouse pickers spend walking the floor and have taken on difficult tasks like unloading boxes from trailers on hot days. Miller stated that turnover is lower and onboarding is faster at these locations, and she contends that people prefer to work in sites where technology is deployed.

Steps to Integrate Robotics Into Warehouse Operations

• Task Analysis: Identify manual tasks that are repetitive, physically demanding, or difficult to fill with human workers, such as picking, packaging, or unloading goods from trailers.
• Vendor Evaluation: Work with multiple robotics vendors to reduce dependency on any single startup and ensure continuity if funding or business conditions change.
• Pilot Testing: Test new robotics systems in cordoned-off areas of the warehouse floor before scaling deployment across all global sites to ensure worker safety and system reliability.
• Data Integration: Use enterprise software platforms to connect disparate robotics systems and consolidate data on order picking, shipment confirmation, and inventory tracking in one centralized location.
• Workforce Transition: Retrain workers to supervise robots and work with vendors on capturing insights from AI and computer vision systems embedded in the hardware.

What About the Job Losses?

Miller does not shy away from the reality that robotics reduce labor dependency. When asked directly whether automation cuts jobs, she stated that it does reduce dependency on labor and that anyone claiming otherwise is not being truthful. This candor reflects a broader tension in the industry: automation solves real business problems like labor shortages and high turnover, but it also eliminates positions.

The broader robotics investment landscape is substantial. Venture capital funding for robotics startups has risen threefold from 2023 to 2025, and the sector now attracts $40.7 billion in annual investment across the entire industry. However, Miller notes that much of this funding has flowed toward humanoid robots from companies like Tesla, Hyundai, and Boston Dynamics, which have garnered significant media attention. This has diverted some investment away from less glamorous but highly impactful use cases in logistics and manufacturing.

"There's a lot of hype in the market. And yet, with $40.7 billion invested annually in robotics systems, we should see some accidental products come out that can benefit our sites," said Sally Miller.

Sally Miller, Global Chief Information Officer at DHL Supply Chain

DHL's experience offers a real-world case study in how enterprise robotics deployment works at scale. The company has navigated supply chain disruptions including the COVID-19 pandemic, the Russia-Ukraine war, tariff conflicts, and the blockage of the Strait of Hormuz due to the Iran war. Despite these challenges, DHL Group reported a 2% increase in first-quarter revenue in April 2026. Robotics have become a key tool for maintaining operational resilience and managing labor costs in an unpredictable global environment.

As more companies follow DHL's lead, the logistics industry faces a critical inflection point. Automation is solving real operational challenges, but it is also reshaping the workforce in ways that demand careful planning, worker retraining, and honest conversation about the future of manual labor in warehouses and factories.