Logistics Leaders Navigate Cost and Automation

· Source: Big Data & AI News - EE Times · Field: Manufacturing & Industrial — Supply Chain & Logistics, Automation & Robotics · Depth: Intermediate, medium

Summary

Gartner VP analyst David Gonzalez, speaking at the Gartner Supply Chain Symposium/Xpo on 06.11.2026, outlined strategies for logistics leaders facing unpredictable shipping costs, rising customer expectations, and labor shortages. He emphasized careful cost management, advocating for strict cost-to-serve and cost-to-deliver models and transparent communication between logistics managers and executives regarding service costs. Gonzalez also highlighted the need for practical technology adoption, noting that only 13% of logistics leaders have fully implemented AI, trailing other sectors. He recommended starting with targeted AI projects, citing Unilever's 50% productivity gain using agentic AI for order inquiries. Furthermore, with Gartner predicting half of new warehouses in developed markets will be 'robot-centric' by 2030, Gonzalez stressed adapting infrastructure to automation, rather than fitting robots into old spaces, and addressing the challenge of shifting from standardized to customized handling for direct-to-consumer demands.

Key takeaway

For Chief Supply Chain Officers facing escalating costs and labor scarcity, you must rigorously implement cost-to-serve models and transparently communicate service costs to executives. Prioritize targeted AI deployments, like agentic AI for order management, and proactively redesign your infrastructure to accommodate future robot-centric warehouses, ensuring profitability and operational resilience amidst increasing customization demands.

Key insights

Logistics profitability requires balancing cost management, pragmatic tech adoption, and infrastructure adaptation for automation and customization.

Principles

In practice

Topics

Best for: Operations Professional, Executive, Consultant

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Editorial summary, takeaway, and curation by AIssential. Original article published by Big Data & AI News - EE Times.