Twin
Transition
Twin Transition
Integrating green and digital transformation for agile, resilient and competitive supply chains
The Twin Transition refers to the combined shift towards green and digital transformation in logistics. It recognises that decarbonising freight transport, energy transition and enhancing efficiency requires more than environmental measures; advanced digital technologies enable improving planning, coordination, and resource utilisation creating opportunities for decarbonization and increasing business opportunities and competitiveness for supply chain partners at the same time.
This dual approach addresses some of the pressing challenges in freight transport: reducing greenhouse gas emissions, providing agility and resilience to supply chains, meeting regulatory requirements, and improving competitiveness in a rapidly evolving market.
Green and digital: two paths, one goal.
The green transition in logistics aims to reduce emissions and energy consumption and minimise waste. This involves reviewing logistics models to reduce unnecessary movements of goods, moving more freight onto rail and waterways, increase the utilization of assets and resources and using low- and zero-emission transportation means optimising routes and employing reusable or recyclable packaging. Find out more by consulting the ALICE Roadmap Towards Zero Emissions Logistics 2050.
The digital transition provides the sector with the tools to implement these changes effectively bringing opportunities for enhanced efficiency and addressing sectorial challenges such as labour shortage and the need to improve safety and working conditions. Technologies such as real-time tracking, Internet of Things (IoT) sensors, artificial intelligence, digital twins and automated freight transport enable more efficient planning, coordination and monitoring of operations.
The value of digitalization increases as the physical and digital systems are more standardized and interconnected and therefore, digital transformation following Physical Internet principles maximize the business value in the supply chain.
These two dimensions are mutually reinforcing. Digital tools enable environmental performance to be measured and optimised, while sustainability goals guide investment in technologies that have a tangible operational impact. Together, they form a strategic approach to modernising logistics.
The Twin Transition in action: IKIGAI Logistics Innovations & Pilots
The IKIGAI project demonstrates how the Twin Transition operates in real-world conditions by showcasing five Logistics Innovations.
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- Freight corridors: consolidating volumes and creating standardized processes for intermodal transport sourcing and integrating booking and tracking tools across transport modes and operators to enable efficient, low-emission intermodal journeys.
- Port zones: implementing data-exchange systems to optimise container handling and reduce waiting times for vessels and trucks, while cutting emissions from idle equipment.
- Urban hubs: Coordinating zero-emission last-mile deliveries using digital platforms that integrate electric vehicles, cargo bikes and micro-depots, with the aim of reducing congestion and pollution.
- Data governance: establishing secure, standardised processes for exchanging data that support sustainability reporting and compliance with the PI Norm.
- Packaging standards: introducing reusable, standardised containers with embedded tracking devices to reduce waste and improve loading efficiency.
These examples will demonstrate that integrating digital and environmentally friendly initiatives yields measurable and scalable results, accelerating progress towards net-zero logistics.
The Twin Transition is not a one-off project with a defined end date. Rather, it is an ongoing transformation that requires continuous innovation, strategic investment and collaboration between industry, policymakers and technology providers. Success hinges on building trust, sharing data, and aligning competitive interests with collective goals.
By combining digitalisation and sustainability, the Twin Transition paves the way for cleaner, smarter, and more competitive logistics systems that are ready to meet future demands.