AI reshapes logistics as Alpha Augmented reports soaring demand

As labor shortages, geopolitical shifts and changing sourcing strategies roil the global supply chain, logistics providers are racing toward automation — and fast.

Few companies are seeing that shift as clearly as Alpha Augmented Services, a Switzerland-based AI optimization platform that said demand for digital decision-making is accelerating across every major trade region.

“We’re seeing inefficiencies every day, and the main driver is people and the decisions they’re taking,” CEO Massimo Rossetti said during an interview with FreightWaves. “The experience that used to anchor warehouses is disappearing. The workforce is changing, and companies need a way to capture decades of knowledge before they retire.”

Alpha Augmented — winner of the 2025 Digital Innovation Award at the Logistics Cluster Forum in Basel, Switzerland last month — leverages AI to optimize logistics processes, including packaging and shipping, for enterprises of all sizes and across primary modes of transportation, including, air, ocean and road.

The company says its software can cut logistics costs and CO₂ emissions by up to 20%, while boosting productivity as much as 40%.

Rossetti said an emerging trend in global logistics is a widening expertise gap inside warehouses.

Across Europe, North America and Asia, veteran warehouse workers with 30 to 35 years of tribal knowledge are retiring, while younger staff tend to view logistics as a short-term stop — not a long-haul career. That churn, Rossetti said, is undermining consistency and quality in daily operations.

“Our customers all have the same challenge,” he said. “They’re losing the people who knew how to pack freight the right way for decades. The transition to less experienced workers is where inefficiency really grows.”

Alpha’s platform attempts to standardize those decisions by digitizing a company’s operational rules, packing logic and safety requirements into automated workflows — ensuring even inexperienced workers follow optimal patterns.

Rossetti and COO Amjad Ladak said many companies severely underestimate the data requirements needed to operate the “warehouse of the future.”

Rossetti pointed to Adidas’ new largely automated facility in Mantua, Italy, which reduced its workforce from 3,500 to roughly 700. While automation drives massive productivity, “what they’re missing most of the time is the data,” Rossetti said. “How do I feed these machines? Where do I get the data?”

Alpha prepares companies for that transition by collecting and maintaining shipment-level data as part of its optimization process, Rossetti said. Even customers still using paper spreadsheets can achieve measurable gains quickly.

“If they have everything ready, we can onboard them in four to six weeks,” Rossetti said. “But most don’t have complete data. That’s why it’s good to start early — we maintain it while they modernize.”

Ladak and Rossetti said firms across North America are embracing logistics AI the quickest.

“The U.S., by far,” Rossetti said. “They want to try something. If it helps, great — let’s do it.” Europe lags slightly due to heavier administrative processes, while Asia adapts quickly because many global freight flows originate there. The Middle East, backed by heavy investment, is also moving fast.”

Ladak added that consolidation across the supply chain is pushing more companies towards technologies that can help them reduce costs.

“As that consolidation happens, you’re getting larger and larger companies with massive scale already dealing with some of the larger shippers in the world,” Ladak said. “They’re able to scale the automation that you see. Some of the largest ones are already focused, whether it be AI, whether it be optimization tools. They’re all looking at how they can become more competitive because in this environment, everybody has to become more competitive.”

Rossetti said logistics volume softened for six to eight months but is now recovering, though peak season underperformed expectations.

Some industries saw declining demand, but improvements are emerging as tariffs ease in certain trade lanes, particularly Europe – U.S. flows. “Most customers expect Q1 and especially Q2 of next year to return to the numbers they had before,” Rossetti said.

When asked which emerging technologies will hit mainstream logistics first, Rossetti pointed to autonomous delivery vehicles, which are already rolling through U.S. cities in pilot operations.

“These small autonomous vehicles for city deliveries — we’ll see more and more of that,” he said. Quantum computing is also on the horizon, especially as supply chains accumulate massive datasets that exceed traditional computing limits.

Ladak highlighted digital twin technology as the near-term game changer.

“Digital twins let companies simulate cost savings, near-sourcing strategies, tariff impacts, geopolitical shocks — everything,” Ladak said. “It’s extremely critical for larger organizations.”

The post AI reshapes logistics as Alpha Augmented reports soaring demand appeared first on FreightWaves.

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