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04 Jun 2025

Being Smart in Logistics: Leveraging Innovation for Competitive Advantage

Alexis Dallemagne, Innovation & AI Director, ID Logistics Martin Whitcombe, Head of Global Customer Development, ID Logistics

Innovation at the Core of Operations

In this insightful breakout session at DELIVER Europe 2025, Alexis Dallemagne and Martin Whitcombe of ID Logistics provided a masterclass in scaling innovation across a global logistics business. With over 45,000 employees and operations in 18 countries, their approach blends grassroots creativity with centralised vision.

The Why: Innovation for Customer Value

For ID Logistics, innovation is not a buzzword — it’s a strategic lever for differentiation. From using AGVs and co-developed scanning robots to custom-built software integrations, each project is designed to solve real operational frictions. “If you keep doing the same things,” Dallemagne notes, “don’t expect new outcomes.”

A Culture of Continuous Improvement

The company’s innovation process is built on two pillars: top-down investment in breakthrough tech, and bottom-up contribution from warehouse teams. Each site is expected to implement at least two new innovations per year. To enable this, ID Logistics created a 150+ project innovation catalogue that managers can deploy like a plug-and-play system.

From Showroom to Scalability

Their physical and digital Innovation Campuses demonstrate proven tools — not market hype — from AI-driven packing algorithms to custom sustainability solutions. These campuses serve as a showcase and internal learning hub, reinforcing ID’s belief that innovation must be tangible, testable and tied to ROI.

AI for ID: Building Organisational Muscle

The "AI for ID" programme exemplifies how they develop internal capability. Rather than relying solely on tech vendors, ID Logistics identifies and trains “AI champions” — operational staff with deep process knowledge and an appetite for tech experimentation. In 2024 alone, 29 champions formed 14 teams working on 85 AI use cases, from customer support automation to warehouse optimisation.

Real-World Innovation Examples

Highlighted projects included:

  • Dynamic Warehouse (Digital Twin): Real-time 3D visualisation of warehouse operations, integrating WMS, IoT, and CCTV data to improve decision-making.

  • AI-Assisted Picking: A 3D vision system using stereoscopic cameras to detect picking errors in real time, enhancing accuracy without slowing down workflows.

  • Picking Optimisation Algorithms: AI that clusters orders to reduce walking distance and simulate WMS rules for improved efficiency.

  • Safety & Sustainability Tools: Paper-based wrapping alternatives and automated dock-truck safety mechanisms.

Managing Failure, Driving Change

The session didn’t shy away from challenges. Both speakers acknowledged that not all ideas work — and that’s okay. With structured innovation committees, clear KPIs, and a fail-fast approach, the company embraces experimentation. Culture, they emphasised, is the foundation: leadership must support risk-taking, and learnings from every attempt must be shared transparently.

Final Word: Focus, Simplicity, and People

As Dallemagne put it, “AI is not magic. It’s just algorithms and data.” The key is simplifying before solving, staying humble, and ensuring that innovation starts with people — not platforms. For ID Logistics, that means being smart not only in what you build, but how you build it.

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