Goods-to-Person vs Person-to-Goods: The Key Choice for Boosting Warehouse Efficiency

MHD Magazine (March 2026)

‍MHD sits down with Malcolm Druce, Managing Partner at BPS Global Australia, to discuss how 30 years of Asian manufacturing connections combined with deep local expertise is demystifying Chinese automation purchases and de-risking implementation for Australian businesses.

Supply chain operators are looking directly to Chinese manufacturers for innovative, cost-effective solutions. But this route requires expert knowledge in sourcing, installing, and maintaining equipment to Australian standards.

BPS Global Australia is stepping forward as a leader in this area. Malcolm Druce, Managing Partner at BPS Global Australia, says their connections to Asian manufacturing markets and local Australian expertise positions them to solve this challenge.

“We want to be able to demystify purchasing robotics and automation out of China," says Malcolm. "We don't want companies to miss out on the opportunity to buy really good quality,cost-effective equipment. But we also want to make sure that they go in with their eyes completely open, and there are no hidden surprises."

The Hong Kong advantage

BPS Global Hong Kong has been operating for over 30 years, turning over more than $35 million annually and serving over 1,000 clients across engineering and construction, logistics technology, investment and real estate,and robotics solutions. This gives BPS Australia immediate access to Asian manufacturing markets.

“They are connected to just about every single manufacturing organisation in China of any significance," Malcolm explains. This infrastructure provides BPS Australia with an edge: expertise on Chinese manufacturing capability, quality standards, and emerging technologies. The organisation can assess factories, understand equipment capabilities, and identify which manufacturers deliver on their promises.

“If necessary, we'll bring people out of BPS Hong Kong who know the equipment to assist with installations,” Malcolm notes. “We can tap into our factory knowledge, understand market trends, and help clients get the best value from Chinese manufacturers.”

Addressing the need in Australia’s market

Australian businesses looking at innovative, cost-effective equipment at trade shows or through online research face hurdles when trying to bring that technology into local operations. Often there are language barriers, different compliance requirements, installation challenges and warranty concerns. Malcolm says these roadblocks have the potential to derail promising automation projects before they have the chance to hit the ground running.

Malcolm emphasises BPS will still maintain an ‘equipment agnostic’ approach, keeping a strong pulse in analytics and operational understanding. Instaying neutral, BPS recommends the right equipment for each application rather than pushing specific brands or suppliers.

The full-service offering covers equipment selection, factory quality assessments, design and CAD drawings, Australian compliance management, installation, warranty support, and integration with warehouse management systems. BPS also has deep connections with local suppliers for complementary requirements like racking systems.

BPS can work in multiple capacities depending on client needs: as a consultant providing advice and facilitating connections, as a broker, or as a full-service integrator managing the entire process.

"Some businesses out there know automation really well, and we can support them to make their own decisions. Some don't know automation very well, and we can offer more guidance in those cases," Malcolm says.

Essentially, BPS supports businesses through two pathways: purchasing equipment through BPS as part of a full-service engagement, or buying direct from a Chinese manufacturer. In cases where the buyer chooses to purchase direct, BPS can act on the customer’s side – supporting negotiations, duediligence and freight coordination if required, while ensuring the buyer understands responsibilities such as warranty and importer-of-record requirements.

Understanding the local landscape

BPS has a deep understanding of Australian business requirements,including the compliance, safety, and physical specifications that can catch overseas manufacturers unaware.

BPS has a deep understanding of Australian business requirements,including compliance, safety, and the physical infrastructure needed to support automation.

Malcolm says the biggest mistakes that derail projects are often basic butcostly – overlooking infrastructure requirements such as fire regulations,floor quality and site connectivity.

He also emphasises the importance of safety and compliance duringinstallation. “You need to make sure that whatever you’re buying is manufactured to Australian standards, and that your installation contractors are properly covered with insurance, licences and permits,” he says.

For BPS, de-risking the purchase means ensuring warehouse infrastructure is fit for purpose, verifying factory quality and processes, and putting the right controls in place for installation – whether BPS delivers the installation directly or takes a project management role with customer-selected contractors.

This is what he describes as de-risking the purchase, ensuring businesses understand and meet all Australian requirements from day one.

Getting businesses automation-ready

Ensuring businesses are prepared for automation means assessing operational processes, IT capability, and physical infrastructure before any equipment arrives.

"When you automate, particularly with robotics, you have to change your operational processes," Malcolm emphasises. "You can't do what you've always done, throw in equipment and expect to be able to do that into the future. It won't work and you will fail."

Part of BPS's initial assessment involves analysing whether a client's warehouse management system or ERP could handle the messaging requirements ofautomated equipment. “You need to be able to send and receive the messages thatthe robotics and automation require in order to function," Malcolm explains. "If you've got a very basic ERP or an accounting system with no operational capability, you're going to struggle.”

The business also looks at extracting operational knowledge before automation implementation. "The worst cases are where knowledge sits inthe heads of the operators and no one documents the process flows,” Malcolm says.

“Automation gets installed, you realise you missed part of the workflow and all of a sudden you've got to rework it or throw it all out and start again."

The BPS approach

BPS's strength comes from the combined operational experience of its Australian team, many of whom – Malcolm included – have worked their way up through manual and automated warehouses.

This, combined with strong data analytics and design capability, allows BPS to create solutions that work for operational staff, not just procurement teams or supply chain directors. In one of its most recent major projects, feedback highlighted BPS's innovation, flexibility, quick understanding of operations, and ability to design solutions that support ground-level workers.

For BPS, success means changing how Australian businesses approach Chinese automation purchases - moving from hesitation to confidence.

"With all our experience, we are best placed to be the Australian face of Chinese equipment manufacturers," Malcolm says.

With Chinese manufacturers producing innovative equipment at competitive prices and Australian demand growing, Malcolm sees BPS's role as essential -not just facilitating sales, but ensuring successful implementations that deliver long-term value.

Malcolm references a colleague from the military’s wisdom. “Time spent in reconnaissance is time seldom wasted.” For BPS, this means thorough understanding of cross-cultural regulations, risk mitigation strategies, and business continuity processes built into every project from the start.

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In fast-moving warehouse and e-commerce environments, operational success depends less on isolated technologies and more on how effectively processes work together. Conveyor systems, often treated as basic infrastructure, play a far more strategic role than they are given credit for.

Rather than simply transporting goods, modern conveyor systems shape how efficiently orders move through a facility. When designed thoughtfully, they help businesses maintain consistency, adapt to demand fluctuations and improve overall performance across the fulfillment lifecycle.

Beyond Transport: Managing Operational Flow

At their core, conveyors move products between different stages of fulfillment. But in high-volume operations, their real value lies in managing flow between processes that operate at different speeds.

For example:

• Picking may generate items in bursts
• Packing may require more time per order
• Sortation may depend on downstream carrier schedules

A well-designed conveyor system balances these differences. It creates buffers where needed, prevents congestion and ensures that no single stage disrupts the entire operation.

Throughput Depends on Coordination

It is tempting to think that faster conveyors lead to higher output. In practice, throughput depends on how well each part of the system is aligned.

Key factors include:

• Balanced workflows: Matching capacity across picking, packing, and shipping
• Controlled accumulation: Allowing items to queue without blocking movement
• Efficient merging: Managing multiple input streams without delays

In this context, conveyors are not about speed alone. They are about maintaining a steady, predictable flow.

Impact on Cost and Efficiency

Conveyor systems influence several core cost drivers in warehousing and e-commerce:

1. Labor Efficiency

By reducing the need for manual transport, conveyors allow employees to focus on value-adding tasks. This improves productivity and reduces reliance on temporary labor during peak periods.

2. Space Utilisation

Conveyors enable more compact layouts, including vertical designs and multi-level operations. This can delay or eliminate the need for facility expansion.

3. Error Reduction

Integrated systems with scanning and routing capabilities help reduce mis-sorts and lost items, improving order accuracy and customer satisfaction.

4. Designing for Changing Demand

E-commerce operations rarely deal with consistent order patterns. Variability is constant, whether due to promotions, seasonality, or shifting product mixes.

Effective conveyor systems are designed with this in mind:

• Modular components that can be reconfigured
• Flexible routing to adapt to changing workflows
• Scalable capacity to handle both daily operations and peak demand

The goal is not just to handle volume, but to handle change.

The Role of Data and System Integration

Modern conveyor systems increasingly serve as data sources within the warehouse ecosystem. With sensors, scanners and software integration, they provide visibility into how goods move in real time.

This enables:

• Early identification of bottlenecks
• Performance monitoring across zones
• Predictive maintenance to reduce downtime

When connected with warehouse management and control systems, conveyors become part of a larger, data-driven operation rather than standalone equipment.

Preparing for Peak Periods

High-demand periods such as holiday seasons place significant strain on fulfillment operations. Conveyor systems that perform well under normal conditions may struggle if not designed for peak scenarios.

Key considerations include:

• Sufficient buffer capacity in critical areas
• Redundancy to avoid single points of failure
• Clear processes for handling exceptions

Designing for peak conditions ensures stability when it matters most.

Integration as a Success Factor

The effectiveness of a conveyor system depends heavily on how well it integrates with other technologies, including:

• Warehouse Management Systems (WMS)
• Warehouse Control Systems (WCS)
• Automated picking and robotics
• Sortation and scanning solutions

Strong integration enables smoother workflows, better visibility, and more consistent performance across the operation.

Conclusion

In warehousing and e-commerce, operational efficiency is driven by how well materials move through the system. Conveyor systems play a central role in enabling that movement, influencing everything from throughput and labor efficiency to accuracy and scalability.

Organisations that approach conveyor design strategically, rather than as a basic equipment purchase, are better positioned to adapt, grow, and meet increasing customer expectations.

In an industry defined by speed and reliability, managing flow effectively is not just an advantage. It is a requirement.

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In e-commerce, the biggest concern is often not a lack of orders, buta sudden surge in demand that overwhelms back-end logistics systems. Considerthis scenario: a marketing campaign achieves great success, and overnight ordervolume multiplies several times. While this should be a reason to celebrate,the reality in the warehouse is chaos: inventory piled high, pickers rushingunder pressure, frequent order errors and customer service lines constantlyringing with complaints about delayed shipments. This dilemma of “ordersreceived but unable to fulfill” is one that many logistics managers andbusiness owners in Australian can empathise with.

Three Major Pain Points in E-commerce Logistics: The Critical Weaknesses of Traditional Warehousing in the AutomationEra

Modern e-commerce operations are fundamentally different from thetraditional B2B wholesale supply chain. When faced with the demands ofe-commerce logistics, conventional warehousing exposes three major structuralproblems:

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1. Highly Fragmented Orders

In the past, shipments were mostly full pallets or cartons. Today, anorder may consist of just a single toothbrush or two packs of tissues, eachrequiring separate picking and packaging. This “small-quantity, high-frequency”order pattern, if handled entirely manually, is not only inefficient but alsodifficult to scale.

2. Same-Day or Next-Day Delivery as a Basic Requirement

Consumers have extremely high expectations for deliveryspeed. Orders placed in the morning are often expected to arrive the same dayor, at the latest, the next day. Any delay may result in customers turning tocompetitors. Delivery speed is no longer an added benefit — it has become acore competitive advantage.

3. Complex Returns Processing

Return rates in e-commerce are generally higher than in physicalretail. Processing returns involves inspection, restocking, qualityverification, and relisting. These procedures are time-consuming andlabor-intensive, placing a heavy burden on manpower and resources.

Logistics Automation Solutions: Addressing Labor Shortages with Warehouse Robotics and IntelligentSystems

Faced with these challenges, many businesses’ first reaction is to“hire more staff.” However, labour costs are high, and warehousestaff turnover is significant. Relying solely on manual labor often fails tocreate a stable and sustainable operation, which has driven logisticsautomation to become the industry standard.

Logistics automation is not just about installing conveyor belts; itintegrates hardware and software to achieve the core goals of reducing labour,improving efficiency, and optimising space utilisation. Common solutionsinclude:

• Goods-to-Person Picking Systems
     Using Autonomous Mobile Robots (AMRs) or visually guided automated forklifts (AGFs), shelving units are automatically transported to picking stations. Workers no longer need to walk long distances in large warehouses and can operate from fixed positions, increasing picking efficiency several times over.
• Automated Storage and Retrieval Systems (AS/RS)
     Given high rents and limited floor space, Automated Storage and Retrieval System (AS/RS) — also known as mini-load systems — can expand vertically, fully utilizing ceiling height to achieve high-density storage and effectively increase warehouse capacity.
• Warehouse Management Systems (WMS)
     Automation requires both hardware and software. Advanced Warehouse Management System (WMS) platforms can analyze real-time sales data and direct the system to pre-position fast-moving items near dispatch areas, significantly shortening order processing time and enhancing overall supply chain efficiency.

Cost-Benefit of Logistics Automation: Upfront Investment vs. Long-Term Advantage

When it comes to logistics automation, many businesses are concernedabout the initial investment. While it is indeed a decision that requirescareful planning, a long-term cost analysis reveals a different picture.Factoring in salaries, mandatory provident fund contributions, insurance, sickleave, absenteeism and costs related to human errors, the total expense ofmanual operations in Australian’s labour-cost environment can be much higher.

Automated equipment, such as AMRs, can operate 24/7 without fatigue,absenteeism or emotional fluctuation. This not only improves accuracy but alsoensures consistent and predictable outbound operations.

Today, logistics automation is no longer exclusive to largeenterprises. As e-commerce logistics standards rise, small and medium-sizedenterprises must also proactively transform. When competitors are alreadycapable of “ultra-fast delivery,” reliance on manual, order-by-order processingmakes it difficult to maintain a competitive edge.

BPS Australian understandsthe real challenges faced by SMEs during logistics transformation in Australian. If your company is experiencing warehouse congestion, labour shortages orshipment delays, we can design a tailored, cost-effective intelligent logisticssolution to deliver the fastest results, helping transform logistics costs intoa sustainable competitive advantage.

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