Disruptive technology is coming at speed

Delegates attending this year’s UKWA National Conference, which was sponsored by Kallikor, left the event invigorated, informed and better prepared to navigate new challenges and opportunities created by the emergence of Generative AI and other disruptive technologies.

Keynote speaker Richard Lim, CEO of Retail Economics and highly respected commentator on retail trends, opened the conference by defining the rise of Social Commerce and detailing the impact of changing consumer behaviour on retailers and, by association, the warehousing and logistics sector.

He said that increasingly complex shopping patterns demand more competitive and efficient service levels, and that gearing around customer satisfaction is at the heart of retailers’ growth strategy right now. “The shift from omni-channel players to ‘Unified Commerce’ is the biggest disruption in a decade,” he said. “Retailers are being forced to raise their game and will look to their supply chain partners to support them in meeting new demands and driving efficiency, particularly on delivery and returns management.”

Richard referenced the wide use of Gen AI amongst consumers and its significance for retailers, a message reinforced by fellow keynote speaker Martin Bricknell, Director at Accenture, who said Gen AI had become a C-suite level topic.

Martin described Gen AI as ‘the most disruptive technology of our times’, predicting ‘huge changes ahead’.

“Diagnostic AI and Machine Learning has been around for a while,” he said. “However, Generative AI is new. Able to process more complex requests, it understands context and can create content. Gen AI will define growth and innovation for the 21st century and is business critical.

“This technology is coming at speed. It is here to stay, and the cost is dropping – Act now!” he urged delegates.

Conference sponsor Kallikor brought to life the benefits of AI intelligent simulation for warehouses with a real-world case study of a recently completed project, using its Warehouse DesignLab technology, for UKWA member Howard Tenens Logistics.

Kallikor’s Chief Revenue Officer Will Lovatt explained that while only 15% of UK warehouses have implemented automation and robotics, research from Gartner suggests that 92% intend to implement new technology in the future. AI simulation provides the ‘headroom’ to explore the likely implications ahead of such an investment and much more, he said.

Jo Gumery, Senior Development Manager, explained how Howard Tenens had used intelligent simulation as a new business development tool to enhance the cost modelling process, using ‘what if’ scenarios to pinpoint potential risks and the resources that would be required to manage added volumes within the operation.

Delegates also heard from James Turpin, Director of Logistics for the NHS Supply Chain, who described the huge task of providing 28 million consumables to 215 NHS trusts annually, the challenges of legacy systems and maintaining the balance between stability and transformation. He shared the excellent service levels achieved and future plans for modernisation, including 3 new sites with 900,000 sq ft capacity and new systems.

The final key speaker after a day packed with inspirational presentations and animated discussions was Kevin Mofid, Head of EMEA I&L Research at Savills, who had more to add on market disruption and the opportunities ahead.

Predicting a ‘golden era’ for bringing forward warehouse schemes as areas of green belt are redefined as ‘grey belt’ by a government focused on reforming planning, Kevin also noted a dramatic shift in the supply/demand dynamics for industrial and logistics property. The traditional link between higher vacancy rates and lower rents is no longer relevant, he said, explaining that this is largely due to 3PLs (key drivers in demand for space) gravitating towards prime space as ESG becomes a higher priority.

“Rising costs dominate for 3PLs, also availability of power is increasingly a key consideration, but ESG is driving upgrades – with 77% of take-up in 2024 for Grade A.”

Bringing the UKWA National Conference 2025 to a close, CEO Clare Bottle paid tribute to speakers and panellists, exhibitors and attendees, for their support of the event.

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