A New Partnership Model at the Turning Point of Supply Chains... Exotec's Vision for Strategic Automation in Korea

Innovation in business rarely begins at the center. Just as digital transformation and sustainability once evolved from back-office ideas to boardroom imperatives, warehouse automation is now emerging from a tactical fix into a strategic growth lever.

Exotec, a French robotics unicorn, reached a $2 billion valuation in 2022—the first industrial startup in France to do so. But its significance goes beyond technology. It marked a shift in how logistics is perceived: not as a cost center, but as a driver of competitive advantage.

Why Korea, and Why Now?

In June 2025, Exotec opened its second Asian demo center near Seoul. This was no coincidence. Korea's logistics market is among the world's most complex—regulated, expensive, and highly demanding. For many, it's a no-go zone.

But Ryu Tatewaki, Exotec's APAC Managing Director, sees it differently: "Korea's constraints are catalysts for innovation. Dense urban environments, limited space, and demanding SLAs create the perfect use case for our Skypod system."

Rather than shy away from complexity, Exotec leans in—with a strategy built on turning friction into opportunity. In the words of Peter Drucker: "The greatest opportunity for innovation often lies where no one expects it."

Redefining Automation as Partnership

At the core of Exotec's solution is the Skypod: a modular robotics system that climbs up to 14 meters, integrates picking and buffering, and fits within existing warehouse footprints. But the value proposition goes far deeper.

"We're not just a hardware supplier," says Ryu. "We're ecosystem partners. We co-design solutions that fit each client's unique operational needs and business trajectory."

It's a shift from project-based automation to strategic enablement. Over 30 global leaders—from Carrefour to Uniqlo—have already embraced this model, not just for the tech, but for the collaborative vision it brings.

Finding the Sweet Spot: Korea's Mid-Market

Rather than compete for conglomerates with existing integrators, Exotec is targeting Korea's rising mid-sized firms: those navigating rapid e-commerce growth, seasonal fluctuations, labor shortages, and omnichannel complexity.

"These firms are at an inflection point," Ryu notes. "They need automation not as a luxury, but as a necessity."

This echoes Clayton Christensen's theory of disruption: success lies not in attacking the top but in enabling the underserved. Exotec is doing just that—with modular, scalable automation tailored for mid-tier logistics challenges.

Modular Thinking, Scalable Execution

Exotec rejects the "all-or-nothing" automation approach. Instead, it offers a modular roadmap: start small, measure ROI, and expand with confidence.

Clients can simulate layouts, visualize throughput gains, and project cost-per-pick and labor efficiency before deployment. Over 60% of Exotec customers globally proceed to multiple implementation phases.

This is more than engineering—it's business model innovation. A CFO can now evaluate warehouse automation like a capital investment with clear, measurable KPIs.

Human-Centered by Design

Exotec doesn't seek to replace workers. It aims to refocus them.

"Let robots handle the repetitive. Let humans focus on value creation," says Ryu. It's a people-first philosophy that treats automation as augmentation, not substitution.

In this sense, Exotec aligns with Heidegger's view: the essence of technology lies in its ability to bring forth new possibilities for humanity.

Beyond Systems: Designing Ecosystems

Where does Exotec see itself in five years?

"Not as a vendor, but as a partner in designing Korea's logistics ecosystem," Ryu says. That includes collaboration with local integrators, consulting firms, and regulators—a co-creative process tailored to the Korean market.

It’s a model that doesn’t just deliver automation—it installs adaptability. A blueprint for ongoing transformation.

The Bigger Question: What Is Logistics For?

Exotec's entry into Korea is not just expansion—it's a strategic thesis in motion. One that challenges Korean decision-makers to reframe logistics from a function of cost to a source of value.

"Is your logistics infrastructure just keeping up? Or is it setting you apart?"

As Korea looks ahead, speed is no longer enough. Structure, adaptability, and ecosystem thinking will define the next chapter.

Exotec isn’t selling machines. It’s designing futures.

Who is?

Ryu Tatewaki, Managing Director, Exotec APAC
With over 14 years of leadership in industrial automation across Japan, Germany, Italy, and the US, Ryu currently leads Exotec’s strategy and operations across the Asia-Pacific region. Before joining Exotec, he served as Japan Country Director at Cognex Corporation. He holds an engineering degree from Japan and an MBA from a top German business school.

※ The following interview is based on a written Q&A conducted in English with Ryu Tatewaki, CEO of Exotec Asia-Pacific.

Q1. Leading global companies no longer see automation as a mere capital expense, but as the very structure of their competitive edge.

From Exotec’s point of view, what is the core strategic value of warehouse automation, and which types of Korean businesses should be rethinking their logistics model right now?

For Exotec, warehouse automation is not just about efficiency — it's a strategic foundation for long-term business growth. Automation enables companies to turn logistics from a cost centre into a profit-driving function, supporting agility, scalability, and business resilience.

We don’t just manufacture robots — we consider ourselves a logistics consultant and total solution provider. Our mission is to work closely with customers as partners, helping them shape logistics that align with their strategic goals.

In Korea, businesses under pressure from seasonality, labour shortages, and multi-channel complexity — such as retailers, e-commerce operators, and manufacturers — should be rethinking their logistics models. With the rise of consumer expectations and compressed delivery timelines, automation is becoming a competitive necessity, not just a back-end upgrade.

Q2. Korea’s logistics environment is complex—limited warehouse space, strict fire regulations, pressure for same-day delivery, and rising labor costs.

How does Exotec interpret these constraints as opportunities, and how are they reflected in your design and market approach?

We view Korea’s logistical constraints as catalysts for innovation. The urban density and limited warehouse space are exactly where our Next Gen Skypod® system shines — with robots capable of climbing racks up to 14 meters, it delivers exceptional storage density and vertical efficiency, even in compact facilities.

The latest system also supports higher throughput and faster picking speeds, making it ideal for Korea’s fast-paced, consumer-driven market. Moreover, we’ve integrated buffering, order sequencing, and packing functionalities into a single platform, reducing operational complexity and improving process flow.

Safety is a top priority in Korea, and we have customised our solutions to fully comply with strict local fire safety regulations, including support for in-rack sprinkler installation — a crucial requirement in many Korean warehouses. We work closely with local fire safety experts to ensure our systems meet these standards without compromising performance.

In our view, these constraints are not obstacles, but rather a validation of the need for flexible, modular, and high-performance systems like ours — purpose-built to thrive under such conditions.

Q3. One of Exotec’s strengths is its modular, scalable automation, which allows phased adoption.

But many companies still consider large, one-time integrated solutions. In practice, how do your clients make that call, and what kind of ROI models or roadmaps does Exotec typically provide?

At Exotec, we believe that automation should be tailored to each customer’s business model, product type, facility layout, and growth strategy. That’s why we offer both full-scale deployments and phased adoption models, depending on the customer’s goals and constraints.

Our team — including Solution Engineers who work hand-in-hand with sales — conducts detailed simulations and ROI projections to determine the most effective system size and rollout plan. In many cases, customers start with a limited configuration, and once they see results, they choose to expand. In fact, more than 60% of our global clients become repeat customers — a clear sign of long-term trust and satisfaction.

We support this decision-making process with multi-year roadmaps, investment planning, and clear KPIs such as cost per pick, labor reduction, and order cycle time — helping clients move forward with confidence.

Q4. Exotec’s Skypod system has been implemented across retail, manufacturing, 3PL, and healthcare sectors.

How do automation priorities differ by industry, and which verticals will Exotec be focusing on in Korea going forward?

Each industry has unique automation drivers:

Retail and e-commerce emphasize SKU variety, picking speed, and omnichannel agility.

Manufacturing requires precise sequencing, buffering, and production line integration.

3PLs need adaptability to serve diverse client portfolios and seasonal peaks.

Healthcare prioritises traceability, uptime, and error minimization, ambient/chilled

In Korea, our initial focus is on retail, consumer goods, apparel and e-commerce, where the demand for dense, fast, and reliable systems is accelerating. That said, we are also seeing growing interest from 3PLs and manufacturers who are looking to modernize operations with scalable, space-efficient automation.

With the Next Gen Skypod’s ability to consolidate multiple logistics functions — including picking, buffering, sequencing, and packing — into one platform, we can now address a broader range of use cases with higher ROI potential across industries.

Q5. Exotec doesn’t just install systems—it becomes part of the long-term supply chain strategy.

How do you envision Korea’s automated logistics landscape in five years? And what kind of ecosystem do you hope to build with Korean partners?

In five years, we see Korea’s logistics sector becoming fully digital, vertically optimized, and strategically integrated — not just responding to operational issues, but proactively supporting business innovation.

Exotec’s role in that vision is to be a long-term partner, not just a vendor. We stay involved after go-live to support optimization, scaling, and continuous improvement. By combining robotics, data intelligence, and local market insights, we aim to co-develop next-generation logistics strategies with Korean businesses.

We are also committed to building a collaborative ecosystem in Korea — with local integrators, consultants, and regulatory stakeholders — to ensure that automation not only complies with local requirements but also drives long-term, sustainable growth. Our ultimate goal is to empower Korean companies with future-proof logistics infrastructure, enabling them to compete globally.

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This is part of the STREAMLINE: Beyond Logistics Playbook by BEYONDX series.