Since the 1900s, Swisslog has been focused on logistics and automation, where it offers a wide range of data-driven and robotic solutions for logistics companies. The company specialises in integrated automation solutions for warehouses, hospitals, and distribution centres.
Swisslog is a global Swiss company specialising in integrated automation solutions for warehouses, distribution centres, and hospitals. With a history dating back to 1900, it has grown into a leading logistics automation company offering a wide range of data-driven and robotic solutions for your logistics automation alongside reliable, modular service concepts.
The company provides industry-specific solutions in areas like grocery, retail and e-commerce, food and beverages, and industrials, adapting its offerings to meet the varied logistics and supply chain requirements of different companies.
Their product line-up includes automated guided vehicles (AGVs), various palletizing systems, small parts storage and picking systems, conveyor systems, and warehouse management software among others, aiming to enhance warehouse efficiency, quality, and flexibility. Swisslog is part of the KUKA Group.
In a conversation with edge/ Rami Younes, General Manager, Swisslog Middle East talks about the key trends and growth of the organisation.
Tell us about the logistics and tech marriage in the Middle East, and how has AI played a strong role?
In the Middle East, the integration of logistics and technology has become increasingly pronounced, shaping a dynamic landscape where innovation drives efficiency and competitiveness in the logistics sector.
Artificial intelligence (AI) has played a crucial role in this fusion, empowering businesses to optimise their supply chains, predict demand, and enhance operational efficiency. This integration has led to more dynamic and agile logistics operations in the region, ultimately improving competitiveness and driving growth.
The impact of AI in the Middle East is significant, with PwC forecasting the market could be valued at $320 billion by 2030. This underscores the potential of AI across various sectors in the region, including logistics and warehouse automation.
As AI continues to evolve, the warehouses of the future are poised to undergo significant transformation. AI-driven ‘learning warehouses’ will maximise intelligence, flexibility, anticipate scenarios, and refine performance autonomously, thereby enhancing overall productivity and streamlining interactions between humans and machines.
What key trends and shifts do you see in the near future?
The MENA region’s logistics and warehouse automation sector has seen significant growth and transformation in recent years. Key trends shaping the industry include:
Advanced technology: Flexible infrastructure technologies like mobile robotics and AGVs will become more prominent. For instance, Swisslog’s CarryPick system offers faster implementation, significant labour savings, and scalability at a lower cost.
Autonomous robots: As the e-commerce market expands, the need for efficient storage solutions becomes paramount. One noteworthy advancement in addressing this demand is the anticipated rise of autonomous robots. By 2025, these robots are expected to manage up to 50 per cent of e-commerce orders.
Renewable Energy Integration: The global demand for eco-friendly logistics is rising, with 75 per cent of consumers preferring greener options for shipping goods. For instance, high bay warehouse pallet stacker cranes incorporate regenerative power and braking modules to enhance energy efficiency. Similarly, robotics are designed to consume as little as 0.1kW of energy per hour, often sourced from renewable or cleaner energy alternatives, thereby reducing reliance on non-renewable resources.
Micro-Fulfilment Centres (MFCs): As e-retail continues to rise, the rise of MFCs as local distribution hubs is inevitable. Employing automated processes for curb side pickup or home delivery, MFCs offer adaptability to handle surges in demand, like seasonal spikes or product launches, and stock additional products.
These trends reflect a broader shift towards innovation and efficiency in the logistics and warehouse automation sectors, driven by regional policies and initiatives aimed at economic diversification and sustainability.
Could you share a case study with us?
One notable case study is Almarai, a prominent dairy company based in Saudi Arabia, which collaborated with Swisslog to automate its distribution logistics operations. Through the implementation of the company’s cutting-edge logistics automation solutions, Almarai witnessed impressive outcomes.
These included a substantial 25 per cent increase in throughput, a notable 30 per cent reduction in order fulfilment time, and a significant enhancement in inventory accuracy. The benefits for Almarai also included heightened operational efficiency, elevated product quality standards, and increased customer satisfaction. This success story exemplifies the transformative impact of Swisslog’s technology solutions on business performance, showcasing how innovative technologies can drive remarkable results in optimising supply chain operations.
How has Swisslog evolved and grown in the past few years?
Swisslog has undergone significant growth and development in recent years, establishing itself as a leading global provider of automated logistics and warehouse solutions. In the Middle East, the company has formed strategic partnerships with key organisations such as Mai Dubai, Raha, Almarai, and Robostores, among others.
These partnerships have played a crucial role in driving Swisslog’s expansion and enabling the delivery of tailored solutions to meet the evolving needs of the materials handling, logistics, and warehousing industries in the region and beyond.
The company has also diversified its product portfolio to include a wide range of data-driven and robotic solutions for logistics automation, along with modular service concepts. One notable example is AutoStore, a compact storage and order picking system that uses efficient, scalable robotics. Swisslog has strengthened its position as a trusted partner in the logistics industry, offering solutions that improve operational efficiency and productivity for businesses worldwide.
How has the post-pandemic world of logistics evolved, and how does Swisslog contribute towards the same?
During the COVID-19 pandemic, the UAE’s e-commerce industry witnessed significant changes in consumer behaviour, with a notable shift towards online grocery shopping and increased demand for ecommerce in retail. To address the challenges of increased demand and health regulation restrictions, commercial warehouses turned to logistics automation solutions. These solutions, including scalable and modular systems, high bay warehouses, and fully automated processes, delivered increased efficiency, reduced dependency on manual labour, and improved storage capacity.
The shift towards automation in logistics and warehousing has been instrumental in enabling the e-commerce sector to adapt and thrive amidst challenging circumstances. As a result, the industry has experienced significant growth, with forecasts by the Dubai Chamber of Commerce indicating that the country’s e-commerce market size could reach $9.2 billion in 2026. This growth trajectory underscores the pivotal role of the logistics automation industry and its ability to help commerce adapt to evolving consumer demands.
Tell us about the technology of the product, and what are the workings like?
Swisslog, as a global leader in providing robotic, data-driven, and flexible automation solutions, is dedicated to transforming the future of logistics with advanced technology. Our core architecture is built on a foundation of modular and scalable automation systems integrated with sophisticated software that ensures seamless operations, an increase in efficiency, and adaptability in various logistics environments.
The development of our core architecture was inspired by the need for agility, efficiency, and scalability in the logistics sector. Recognising the challenges of traditional logistics systems, we wanted to create a solution that not only addresses the current needs but is also future-proof. The modular nature of our solutions allows for easy scalability, enabling businesses to expand their operations without significant disruptions.
One of the primary challenges we had was ensuring the seamless integration of our robotic solutions with existing warehouse infrastructure. Hence, we focused on developing highly adaptable and flexible solutions that can be tailored to fit the requirements of each facility. Additionally, navigating the complexities of real-time data management and processing required us to innovate continuously.
What are the learnings you have incorporated, and what are the first principles you kept in mind?
One of the key learnings we have incorporated in our journey to redefine logistics through automation is the importance of flexibility and adaptability in our solutions. The landscape is continuously evolving with fluctuating market demands and technological advancements. Our experience has taught us that solutions must be scalable and modular for easy implementation and expansion as the client’s needs grow and change.
Another crucial lesson is to be able to harness the power of data analytics. By doing so, companies can optimise operations, predict their maintenance needs, and enhance the efficiency of the supply chain, which has helped us improve operational outcomes and also contributed to more sustainable practices by minimising waste and reducing energy consumption.
What are your future plans for the region?
Swisslog is committed to advancing its capabilities and offerings to meet the evolving needs of its clients and the market. The company plans to continue investing in research and development, focusing on emerging technologies like machine learning, predictive analytics, and autonomous systems.
By incorporating these innovations into its solutions, Swisslog aims to provide even greater value to its customers, enhancing efficiency, agility, and sustainability in logistics and warehouse operations.
Furthermore, Swisslog will prioritise strategic partnerships and expansion into new markets to broaden its reach and impact. By collaborating with industry leaders and leveraging its expertise, the company intends to drive further growth and innovation while remaining responsive to regional and global trends.
The company further recognises the importance of regional policies, such as Saudi Arabia’s Vision 2030 and the UAE’s Net Zero 2050, in shaping the future of the logistics and warehouse automation sectors in the MENA region. These policies serve as catalysts for transformative trends, driving businesses to adapt to new standards of sustainability and efficiency.
