Leveraging the digital transition for efficient and zero-emissions logistics

Monday, December 2nd, 2024

The ALICE Logistics Innovation Summit session, “Digital transition: leveraging technologies for efficient and zero emissions logistics”, explored how digital technologies are transforming logistics operations to improve efficiency and reduce environmental impact. Moderated by Marion Cottet, ALICE Project & Innovation Manager, the session featured insights from the keynote speaker Professor, Eric Ballot (MINES Paris – PSL) and the panellists Cristina Martin (USYNCRO), Evangelos Mitsakis (CERTH/HIT), Ignacio Serra Viedma (Algeciras Bay Port Authority), Jon Kuiper (Ministry of Infrastructure and Water management of the Netherlands), and Marianna Levtov, (AELER).

The role of digital technologies in logistics

Digitalisation is a powerful tool for improving logistics efficiency, enabling better collaboration, and supporting decarbonisation efforts. Technologies such as AI, IoT, 5G, digital twins, data spaces and automation can support supply chains meeting the increasing demands to be agile, flexible, resilient and sustainable. Digitally enabled collaboration, automation and (real-time) data exchange is a lever for optimising the use of resources through enhanced network status visibility and management.

Despite these advances, the session highlighted that the logistics sector still faces significant challenges, particularly around interoperability, governance and scalability of open and universal solutions. Many systems and technologies operate in silos being platform centric, limiting their effectiveness in addressing the sector’s overarching challenges and recognizing the fragmented nature of it. The race is focused on creating digital silos instead of creating holistic value through the use of open source solutions and standards. Several examples and initiatives were introduced as best practices on logistics data exchange and elaborated by the DELPHI project the Roadmap for 2030 and beyond.

Some takeaways from the discussion

Breaking down silos and enabling data sharing

A recurring theme is the need to move from siloed operations to interoperable systems. Panellists noted that the lack of standardised data exchange frameworks makes it difficult for stakeholders to work together. Building trust in data exchange processes is essential, as is distinguishing between “data sharing” (to create value out of data) and “data exchange” (to run logistics operations smoothly). The latter, supported by clear governance structures, was identified as more feasible for building a cohesive digital ecosystem with true value for logistics and as a first step to build upon data sharing.

Technologies driving change

Several technologies were highlighted for their transformative potential:

IoT and 5G: These technologies enable real-time tracking of goods, reducing inefficiencies in supply chains. Emerging innovations, such as battery-free 5G tags, offer promising solutions for seamless monitoring of goods in warehouses and in transit.
Digital Twins: By creating virtual replicas of physical systems, digital twins improve decision-making through predictive modelling and real-time updates. However, the integration of these tools remains a challenge due to fragmented systems and a lack of communication between layers.
Data spaces: Defined as governance frameworks for secure and trusted data sharing, data spaces have been identified as critical to fostering collaboration while ensuring data sovereignty and security.

Building a collaborative framework

The panellists emphasised the importance of governance and collaboration to support the adoption of digital tools. European initiatives such as the EU Data Strategy, the electronic Freight Transport Information regulation and projects such as EDIC aim to create sustainable digital infrastructures hat last beyond individual projects. Ensuring user involvement in the development of digital tools was seen as key to addressing real-world needs and fostering widespread adoption.

Challenges in digitalising logistics

Despite the promise of digitalisation, its impact on reducing the environmental footprint of logistics remains unclear. The session highlighted several barriers that need to be addressed to unlock the full potential of these technologies:

A number of EU-funded projects in which ALICE is a partner are working towards interoperability and collaborative governance frameworks:

DELPHI – federated network of platforms for passenger and freight operations
DISCO – data-driven solutions for dynamic management of urban spaces and assets
MULTIRELOAD – European cooperation for the development of innovative inland port solutions for efficient, effective and sustainable multimodality
REMUNET – resilient multimodal freight transport network to improve response to disruptions, enabling real-time synchromodal alternative route planning and capacity optimisation across rail, road, and inland waterways
SARIL – sustainability and resilience for logistics networks, integrating green and sustainable considerations into classic resilience models.

Integration and interoperability: Current digital solutions often lack seamless integration, with various technologies and standards creating inefficiencies and siloes.
Trust and data governance: Building trust between stakeholders is critical, especially when sensitive data is involved.
Scalability: Many digital solutions remain limited to pilot projects and lack the scalability needed to achieve widespread impact. In most cases, this is a consequence of the lack of interoperability with other competing solutions addressing the same market.
Mindset shift: Embracing digitalisation requires a cultural shift, with stakeholders needing to move beyond traditional practices and actively participate in the development of new tools.

Towards a zero emissions future

Digitalisation offers significant opportunities to decarbonise logistics, but only if it is used effectively. Collaborative solutions such as common data languages and governance frameworks can streamline operations, reduce waste and improve fill rates. In addition, urban logistics projects that use real-time data, such as freight parking management using cognitive digital twins, have been identified as promising models for reducing congestion and emissions in cities.

The session concluded with a call for collective action to exploit the potential of digitalisation in logistics. Key priorities include:

Developing standards and governance: Aligning stakeholders around a common framework and standards for data exchange and digital adoption is essential for interoperability and trust.
Scaling digital solutions: Moving beyond pilot projects to implement scalable, high-impact technologies across the logistics ecosystem.
Supporting SMEs: Providing tools, training, and resources to ensure small and medium-sized enterprises can fully participate in the digital transition.
Strengthening collaboration: Encouraging partnerships across sectors, regions, and borders to foster innovation and shared learning.

Digitalisation is not just about adopting new technologies, it is about creating a framework that integrates these tools into a coherent, efficient, and sustainable logistics system. With the right governance and collaboration, digitalisation can be a key enabler of the Physical Internet, a fully connected logistics network designed to be the future of supply chains.

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