Coles expands automated grocery ops with second fulfilment centre

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Image credit: Coles Group

Coles has opened its second state-of-the-art Customer Fulfilment Centre in Wetherill Park, NSW, bolstering its tech-driven supply chain strategy, with the launch attended by Minister Chris Bowen, Chairman James Graham, and CEO Leah Weckert.

This opening comes a month after Coles unveiled its first CFC in Truganina, Victoria, as part of a $400 million partnership with Ocado, a global leader in online grocery automation.

CEO Leah Weckert highlighted the significance of the launch, especially ahead of the holiday season.

“[The] launch marks a significant transformation of our online grocery delivery service for New South Wales. Across Victoria and New South Wales, we’ve already fulfilled over 120,000 orders with near-perfect accuracy and zero substitutions.”

Weckert emphasised that the new fulfilment centres come at the perfect time to meet the heightened demands of Christmas shopping. 

“With greater choice, better availability, improved freshness and more flexible delivery options, our CFCs are making it easier for our customers to shop this Christmas,” she added.

The Wetherill Park CFC will serve a region with over five million residents, from Hazelbrook in the west to Bondi in the east, and from Cowan in the north to Bargo in the south. 

The facility offers a range of extended services, including access to specialty brands such as Byron Bay Peanut Butter and an expanded selection of health, baby, and dietary products.

The centre boasts on-site baking, fresh produce packaging to order, and longer delivery windows, operating from 5 a.m. to 10 p.m. Customers can also benefit from same-day delivery options with extended cut-off times.

With a footprint spanning more than 87,000 square metres—four times the size of the Sydney Cricket Ground—the Wetherill Park CFC integrates Ocado’s advanced robotics and artificial intelligence. A fleet of over 700 robots will operate in “The Hive,” a central hub where grocery orders are fulfilled within minutes. 

An AI-driven control system ensures seamless operations by coordinating the movements of robots across 3D grids.

The site has capacity to store three million units of stock and process more than 10,000 orders per day when fully operational. 

Around 1,000 employees will work at the facility, including drivers supported by 200 specialized delivery vans equipped to ensure optimal freshness and lower emissions.

Chairman James Graham praised the progress in Coles’ technology strategy, noting, “With the recent opening of our two automated distribution centres in Kemps Creek and in Redbank, Queensland, alongside our two Ocado CFC’s – the first in Victoria last month, and now here in Western Sydney today – we have made significant strides in using world-class technology to enhance our supply chain.”

Designed with sustainability in mind, the Wetherill Park CFC features a two-megawatt solar installation, water recycling systems, and sensor lighting. The facility also commits to 100 per cent cardboard recycling, furthering Coles’ environmental efforts.

CEO of Ocado Group, Tim Steiner, expressed his enthusiasm: “It’s a great moment for Ocado as we celebrate the opening of this second CFC here in Australia with Coles.” 

“This is one of the fastest growing markets in the world for grocery ecommerce, and Coles is already a market leader in the online channel,” he added.

The Wetherill Park CFC is named Duraway Ngurra, meaning “Grass Country,” in consultation with the local Dharug community. 

The artwork and name celebrate the cultural heritage of the Dharug people, whose connections span across the Sydney basin.