GlossaryEN1 min readUpdated: Jun 26, 2026

Digital Warehouse

A digital warehouse integrates physical storage infrastructure with connected technology to automate and optimise warehouse operations.

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Last updated: 26 June 2026Published: 27 January 2026

Source: https://www.mckinsey.com/business-functions/operations/our-insights/how-digital-warehouses-will-redefine-logistics

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Logistics Concept

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Definition & Explanation

A digital warehouse integrates physical storage infrastructure with connected technology to automate and optimise warehouse operations. IoT sensors, RFID tagging, automation equipment, and cloud-based warehouse management systems work in concert to provide real-time inventory visibility, streamline material flow, and flag process deviations early. For logistics service providers and contract warehousing operators, the practical benefits are shorter throughput times, fewer picking errors, and transparent stock data accessible to all parties. The term describes a maturity level rather than a fixed product—implementations range from basic WMS connectivity to near-full automation.

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Digital Warehouse

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Related Terms

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