Kesko adopts Manhattan Associates AI-driven warehousing solution

Finnish retail group Kesko has selected Manhattan Active Warehouse, a cloud-native solution from Manhattan Associates Inc., to modernize its grocery supply chain operations. The Nordic retailer is replacing its legacy warehouse management system with the new platform, which incorporates agentic AI capabilities through Manhattan Active Agents and Manhattan Agent Foundry.

The investment aims to enhance operational agility and efficiency across Kesko’s extensive grocery trade business, which reported net sales of €6.5 billion and an operating profit of €418 million in 2025. Pekka Tala, director of strategic programs for grocery trade logistics at Kesko, stated that the goal is to create a technology foundation that evolves without the disruptions typical of enterprise software upgrades while leveraging AI to unlock new opportunities.

The rollout will initially cover five distribution centers, with plans to include a greenfield site in 2029-30 and various terminal hub operations. The move responds to increasing consumer demands for rapid and reliable fulfillment in an interconnected digital and physical retail landscape.