Abstract
Purpose: Grocery retailers in the fast-moving consumer goods (FMCG) sector are reconfiguring their logistics networks to address rising operational complexity and technological disruption. In this context, warehouse automation is moving beyond operational support to play a strategic role, enabling firms to redesign processes and adapt logistics systems to dynamic market and technological conditions. Despite the growing relevance of automation, empirical understanding of how automated technologies are selected, combined, and adapted in grocery DCs remains limited. This study addresses this gap by investigating how grocery retailers implement warehouse automation to transform logistics processes in response to evolving operational complexity and market demands. Design/methodology/approach: A multi-phase qualitative approach was adopted, combining semi-structured interviews with eight automation providers and six grocery retailers, complemented by site visits. Data were analysed through the Gioia method to inductively derive recurring patterns and managerial logics. The emerging framework was then interpreted through the lens of the DCT. Findings: The study identifies six DC processes supported by distinct automation technologies, such as AS/RS systems, miniloads, shuttles, and robotic picking stations, and five strategic decision factors guiding automation decisions: selectivity, accessibility, expandability, scalability and resilience. Interpreted through the lens of dynamic capabilities theory, these dimensions show how the implementation of automation supports firms in sensing operational requirements, seizing technological opportunities and sustaining long-term adaptability and operational continuity. Originality/value: This research bridges the gap between theory and practice in grocery logistics by conceptualising warehouse automation implementation as a dynamic capability. It provides a validated framework for scholars and practitioners, supporting informed, future-oriented automation strategies in retail distribution.