— Newsletter Archive: Newsletter Vol. 34, 5/20/2026 —
Rewriting the Future
– 2026 MHI Annual Industry Report –
In this month’s HAKO-FLO® newsletter, we are focusing on the massive shift toward intelligent orchestration in the supply chain, starting with a look back at the industry’s premier event and a deep dive into the latest industry benchmarks.
We are exhibiting at DXPO NAGOYA’26 taking place on May 21 (Thu) and 22 (Fri) at Port Messe Nagoya!
For more details about our exhibition, please refer to the announcement at the end of this newsletter.
MODEX 2026 Recap: The AI Inflection Point
The MODEX 2026 event in Atlanta marked a significant turning point for the industry, moving the conversation from mere data analytics to AI-driven operational execution. Keynote speaker Salim Ismail highlighted that we are now in the “Exponential Age of AI,” where computational power requires organizations to completely redesign themselves for speed and adaptability.
One of the most talked-about trends on the show floor was “Physical AI”—the integration of generative and agentic AI with physical machinery like humanoid robots and autonomous vehicles. Humanoid robotics adoption is predicted to jump from 4% today to 28% within five years.
In-Depth: The 2026 MHI Innovation Awards
The 2026 MHI Innovation Awards at MODEX showcased the technologies most likely to bridge the gap between high-level AI concepts and daily warehouse realities. Here is a detailed breakdown of this year’s winners and why they were recognized as leaders in their fields:
Award Categories and Winners
- Best New Innovation: Dexory
Recognized for its DexoryView Storage Health Feature, which provides a granular view into facility utilization and inventory health.
By moving beyond simple tracking to deep “storage health,” this tool helps operators identify and resolve bottlenecks before they impact throughput. - Best Robotics Innovation: Anyware Robotics Inc.
Won for Pixmo, a solution designed to automate inbound operations.
Its standout feature is the ability to operate without the need for fixed infrastructure, allowing facilities to deploy flexible automation that can adapt to changing layouts or workflows. - Best IT Innovation: ProGlove
Awarded for MAI, a wearable “companion” that integrates an AI voice assistant directly into the worker’s gear.
This innovation allows frontline teams to receive real-time guidance and interact with systems hands-free, directly addressing the need for workforce upskilling and agility. - Best Sustainability Innovation: Flux Power
Selected for its Advanced Lithium-Ion Energy Solutions, which focus on high-efficiency power management for material handling equipment, aligning with the industry’s broader push toward embedding sustainability throughout the supply chain.
Deep Dive: The 2026 MHI Annual Industry Report
The MHI Annual Industry Report analyzes supply chain innovation, technology, adoption, and operational transformation.
The newly released report, “Rewiring the Future: A Supply Chain Playbook for Innovation,” provides a roadmap for navigating today’s volatile environment. Based on a global survey of over 500 professionals, the report identifies AI as the single most disruptive technology for the next ten years, with 71% of leaders acknowledging its disruptive power and 24% viewing it as transformational.
Key Trends and Pressures
The industry is currently facing a “perfect storm” of challenges. The report ranks the top trends impacting operations as:
- Pace of Technology Adoption.
- Economic Uncertainty & Inflation.
- Workforce & Talent Shortage.
- Supply Chain Visibility & Resiliency.
- Cybersecurity & Data Security.
Talent acquisition remains the primary operational hurdle, cited as a major challenge by 58% of respondents. Additionally, while interest in AI is high, 40% of organizations cite cybersecurity concerns and 36% cite the lack of a clear business case as significant barriers to adoption.
The Path Forward: AI Orchestration
The report advocates for a shift from isolated technology pilots to a rewired, end-to-end network.
The Orchestration Playbook (also referred to as the AI Automation Playbook) is a strategic framework designed to help organizations transition from static, manual execution to intelligent, real-time networks. It focuses on closing the loop between virtual predictions and real-world physical execution.
This “Orchestration Playbook” is built on four pillars:
- Asset Fluidity: Treating equipment and transport as re-allocatable nodes.
- Supply and Demand Synchronization: Balancing inventory and orders in real-time.
- Space and Flow Optimization: Moving from static layouts to responsive, dynamic slotting.
- Workforce Agility: Upskilling teams to work alongside automation.
To bring these pillars to life, the playbook follows a repeatable four-phase decision-and-execution loop:
- Sense: Captures real-world signals using IoT, edge AI, and telemetry.
- Decide: Synthesizes these signals to simulate options and recommend the best course of action within predefined guardrails.
- Execute: Deploys decisions through automated systems or human intervention.
- Learn: Validates the outcome (e.g., dwell time, quality) to update thresholds and playbooks, ensuring the system becomes smarter over time.
Real-World Application: The Reefer Load Scenario
The sources illustrate this playbook through an example of an inbound reefer load at risk of temperature excursion due to delays.
- The system Senses the quality risk by combining cold-chain telemetry with live traffic and store-level demand.
- It Decides the best option is rerouting to a closer distribution hub, which a human supervisor approves.
- The system Executes this by dynamically re-dispatching the truck and reserving cross-dock lanes at the new hub.
- Finally, it Learns from the event, updating its automation rules to prevent future excursions with even less manual intervention.
As MHI CEO John Paxton noted, the biggest threat today is the risk of running “tomorrow’s operations on yesterday’s equipment and technology”. It is time to rewire for the future
At HAKO-FLO®, we are committed to supporting that transformation—not only by providing technology, but by working alongside your operations. From solution design tailored to your on-site workflows, to implementation planning and ongoing operational support, we help ensure that real change takes hold on the ground.
Why not take the next step with HAKO-FLO®?
From day one, you can begin to see tangible results—both in your operational metrics and in the feedback from your frontline teams.
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Experience HAKO-FLO at DXPO Nagoya’26
We are exhibiting at DXPO NAGOYA’26 taking place on May 21 (Thu) and 22 (Fri) at Port Messe Nagoya! (Booth #4-42)
HAKO-FLO® is a flexible warehouse DX solution designed to tackle every challenge in warehouse operations—from inbound/outbound management to improving workflow efficiency. Built with real-world feedback and semi-custom flexibility, it delivers immediate results after implementation.
By digitizing traditionally paper-based tasks such as inspection, inventory checks, stock management, and document creation, HAKO-FLO® significantly reduces on-site workload, drives operational efficiency, and promotes a paperless environment.
At our booth, you can try hands-on demonstrations to experience how HAKO-FLO® works in the field. Our solution experts—our development and deployment staff of HAKO-FLO®—will be available to discuss your specific needs and suggest tailored approaches to your challenges.
If you are considering digital transformation in your warehouse operations, this is a great opportunity to see and feel the real impact of HAKO-FLO® in person.
Come and see how our technology transforms efficiency on the warehouse floor!
We look forward to welcoming you at our booth!
