Siemens AG and KION Group AG have entered into a strategic partnership to accelerate the digital transformation of supply chains and warehouse operations. The collaboration focuses on integrating artificial intelligence (AI), automation, and simulation technologies to enhance efficiency, flexibility, and resilience across complex intralogistics environments.
At the core of the partnership is the development of intelligent warehouses where digital and physical systems operate in close alignment. Using on-site cameras and sensors, large volumes of operational data are collected and analyzed through AI-driven systems. This data enables the creation of digital twins for individual machines, entire facilities, and complete warehouse networks, allowing companies to simulate and optimize processes end-to-end.
Through these capabilities, logistics operators can virtually assess how modifications to warehouse layouts or workflows impact throughput and performance before implementing changes in real-world environments. This approach is expected to improve decision-making, reduce operational risks, and enhance overall productivity.
As part of the agreement, KION will become the first company in Europe to deploy Siemens’ Digital Twin Composer software. This solution enables real-time, parallel simulation of multiple processes, offering a new level of operational visibility and adaptability.
Cedrik Neike, Member of the Managing Board at Siemens AG and CEO of Digital Industries, stated that modern supply chains must prioritize resilience alongside efficiency. He noted that the partnership leverages industrial AI and comprehensive digital twin technology to transform warehouses into central, data-driven hubs that support more responsive and flexible supply networks.
Rob Smith, CEO of KION Group AG, highlighted that the collaboration strengthens KION’s ability to integrate digital and physical systems at scale. He emphasized that the partnership enhances the company’s capability to deliver end-to-end solutions across warehouses, factories, and broader supply chain ecosystems.
Originally introduced at CES 2026, Siemens’ Digital Twin Composer functions as a modular platform for building AI-powered digital representations of products, facilities, and processes. It enables high-fidelity 3D simulations across the entire lifecycle, supporting continuous optimization once systems are operational.
KION currently utilizes Siemens’ Teamcenter software to manage the lifecycle of its logistics solutions through digital twin technology. This allows early-stage simulation, data-driven planning, and virtual testing of operational changes before deployment.
The partnership also includes the exchange of selected industrial data. KION will contribute operational insights and domain expertise, supporting the accelerated development of AI-enabled applications. This collaboration reflects a broader move toward scalable industrial AI solutions and the advancement of next-generation supply chain systems.