Warehouses are under immense pressure to perform. The days of manual inventory checks and siloed data are gone, or should be. Forward-thinking businesses are recognising that automation isn't a "nice to have": it's a necessity for efficiency, accuracy, and long-term competitiveness. But where should that investment go, and how quickly can it pay off?
According to a Forrester Total Economic Impact™ (TEI) study commissioned by Dexory in December 2024, companies deploying DexoryView—a warehouse intelligence platform powered by autonomous robotics and real-time analytics—achieved an impressive 219% return on investment (ROI) over three years, with a payback period of under 6 months.
So, why are businesses betting big on warehouse automation? And how can they be sure that the return is real?
The case for automation: More than a cost-cutting tool
When businesses consider automated inventory management, two key benefits usually come to mind first; improved stock accuracy and reducing labour costs, and for good reason. Knowing exactly what’s in your warehouse, at any time, is the foundation of efficient operations, and if you can save money at the same time, even better.
But here’s the truth: inventory automation is about much more than just accuracy and streamlining labour-intensive tasks. The right system doesn’t just track stock, it transforms your operations, frees up your team, and drives serious cost savings. And as warehouses get larger, SKUs multiply, and supply chains become more complex, manual inventory tracking simply can’t keep up. The true value lies in visibility, adaptability, and speed.
Today’s warehouses are dynamic engines at the heart of the supply chain. Yet many still rely on outdated, manual processes that limit insight, increase risk, and constrain performance.
According to Forrester’s interviews with leading logistics and warehouse operations teams, businesses were previously relying on staff using forklifts and spreadsheets to perform time-consuming inventory counts. This resulted in:
- Poor inventory accuracy
- Excessive stockholding
- Lost pallets and time-consuming investigations
- Operational downtime during audits
- Suboptimal use of warehouse space
- Declining customer satisfaction due to delayed or incomplete orders
These inefficiencies are expensive. And they scale with every warehouse added.
DexoryView: Automation with intelligence
DexoryView is more than an automation tool. It’s a full-stack solution combining autonomous robots that scan warehouses from floor to ceiling with an AI-powered platform that turns real-time data into actionable insights.
The robots autonomously collect data at speed (up to 10,000 locations per hour), removing the need for forklifts and manual checks. DexoryView then maps this data into a live digital twin of the facility, surfacing discrepancies, tracking inventory movement, and uncovering optimisation opportunities across operations.
Quantifying the payoff: What the Forrester study found
To evaluate the business impact of DexoryView, Forrester Consulting built a composite organisation representing a global 3PL with $2 billion in annual revenue and 300 warehouses worldwide. This hypothetical company implemented DexoryView across three warehouses over three years. The results were significant.
Key financial benefits over three years:
- $1.1M in reduced stockholding costs
- $915K in savings from fewer lost pallets
- $867K from automated cycle counting efficiencies
- $693K from reduced fines due to better fulfillment
- $264K in reduced racking damage
- $216K saved on empty location checks
- $254K in reduced audit fees
Total quantified benefits: $4.3 million
Total risk-adjusted costs: $1.35 million
Net present value (NPV): $2.96 million
What stands out is how fast those benefits begin to accumulate. With a payback period of less than 6 months, DexoryView pays off long before many capital investments reach break-even.
Download the full study