Digital Transformation of Slovenia’s logistics backbone

Pošta Slovenije has been investing heavily in the digitalisation of its operations. Why did you decide to take such an ambitious step, and what key business benefits—both internally and for end customers—do you expect from these investments?

Digitalisation is no longer optional; it is a prerequisite for long-term business success. At Pošta Slovenije, we are directly confronted with major structural changes in the market: the volume of traditional letter mail continues to decline, while the number of parcels is rising sharply year after year due to the growth of e-commerce. We therefore need to thoroughly adapt our processes, infrastructure, mindset and ways of working.

Through extensive investments in technology, we aim to improve our processes, increase operational efficiency, enhance service quality and provide our employees with modern tools. This includes process automation, advanced analytics, digital support for delivery operations and the comprehensive optimisation of logistics flows. For customers, this means faster, more reliable and transparent services, improved tracking options and easier access to our services through digital channels. Internally, we expect higher productivity, more efficient use of resources, faster data-driven decision-making and greater adaptability to future market changes. We do not view digitalisation merely as a technological upgrade, but as a comprehensive business transformation.

You are placing considerable emphasis on optimising last-mile delivery. Which technologies and algorithms do you rely on to ensure that parcels reach recipients faster and more accurately?

Delivery optimisation is one of the key success factors in logistics today. We are currently introducing advanced digital tools and analytical models to plan delivery routes more efficiently and improve workforce scheduling. Planning is based on a combination of data concerning parcel volumes, the geographical characteristics of individual areas, traffic conditions, delivery time windows, and the availability of staff and vehicles.

Algorithms optimise the delivery sequence and the allocation of delivery areas, directly reducing delivery times and the number of kilometres travelled. Mobile applications are another extremely important component. They provide delivery staff in the field with up-to-date information, enable electronic data capture and facilitate real-time communication with central systems. However, it is not merely about speed. Our objective is to achieve the optimal balance between quality, cost efficiency and sustainability. Fewer kilometres travelled directly translate into a smaller environmental footprint, which is an essential part of our development strategy.

How do digitally managed processes and your sorting centres help you handle exceptional workloads during seasonal peaks, such as the festive season or major sales events like Black Friday?

Digitally supported processes and our logistics centres in Ljubljana and Maribor are essential for managing substantial fluctuations in parcel volumes. In the run-up to the festive season or during major sales events, parcel volumes can increase by more than 40% within a very short period. Under such circumstances, the system must operate with exceptional predictability and stability. With the support of digital monitoring, which we will soon upgrade further, we have a comprehensive real-time overview of parcel volumes, the workload at individual post offices, available capacity and the progress of deliveries. This provides us with the analytics required to reallocate resources and adapt processes in good time.

Our logistics centres, which will soon be upgraded with automated parcel acceptance, ensure high speed and accuracy through automated parcel routing while reducing the likelihood of errors. For customers, this means greater reliability and up-to-date tracking even during periods of peak demand. Our goal is to use the appropriate technology to manage seasonal peaks without compromising the quality of the customer experience.

For manufacturers and online retailers, seamless integration between their systems and postal systems is essential. Which new digital services do you offer business partners to help them manage their shipments more easily?

We want working with Pošta Slovenije to be as simple, digital and efficient as possible. We are therefore developing solutions that directly connect companies’ information systems with our logistics infrastructure, automating procedures, reducing administrative work and accelerating parcel processing.

We enable business customers to prepare data electronically, integrate their systems through modern application programming interfaces (APIs), exchange data automatically and track shipments in real time. Companies can therefore manage the entire process—from order placement to dispatch—directly within their own business systems.

We also recognise that the needs of a major e-commerce retailer differ from those of a smaller company, which is why we place considerable emphasis on flexibility. We provide our business partners with more than transportation from point A to point B; we offer comprehensive digital logistics support. Our goal is not simply to deliver a parcel, but to provide our business partners with comprehensive digital logistics support that enables faster processes, greater transparency and a better customer experience for their own customers. Digital connectivity is now one of the key factors in competitiveness, and we will continue to devote considerable attention to it in the future.

Digital transformation is often more of a cultural challenge than a purely technological one. How do you involve employees in such extensive changes and overcome organisational challenges?

That is correct. Digital transformation is primarily not a technology project, but a project that changes how people work and transforms company culture. Technology can be implemented relatively quickly; the considerably greater challenge is integrating it into everyday processes and giving employees the knowledge and confidence to use it.

Pošta Slovenije is a large organisation with a long tradition, so we introduce changes thoughtfully, gradually and in close cooperation with our employees. It is crucial that people understand the purpose of the changes and the benefits they bring to their daily work.

From a technological perspective, we naturally face the challenges of integrating new solutions with existing systems while ensuring a high level of cybersecurity and uninterrupted operations. The key to success lies in achieving the right balance between modern technology, high-quality processes and people. We place considerable emphasis on training and open communication, as employees’ practical experience often produces the best suggestions for improvement.

There has recently been considerable discussion about additional costs and changes in the handling of small parcels from third countries, such as China. Will this significantly alter your logistics landscape?

Changes in the handling of shipments from third countries will undoubtedly affect international parcel flows in the short term. However, it is still too early to assess their long-term impact, as this will depend on how e-commerce retailers respond and how consumer purchasing habits change.

Our logistics system has been designed to be flexible, allowing us to manage changes in the structure and volume of shipments efficiently, regardless of whether individual segments grow or decline. Parcel delivery remains one of our core strategic areas, so we are continuing to invest in automation and digitalisation to ensure an excellent service regardless of a shipment’s country of origin.

Is there another aspect that we have not addressed in this conversation but that you consider essential to understanding the future of Pošta Slovenije?

I would particularly emphasise that digitalisation is not an end in itself. Technology is merely a tool that allows us to create greater value for customers, partners and employees. Our fundamental mission remains unchanged: to provide reliable, accessible and high-quality postal and logistics services throughout Slovenia.

Pošta Slovenije has a specific role because, in addition to its commercial activities, it also provides an important public service. We must be able to combine the efficiency of a modern logistics company with our responsibility to all citizens—both in urban centres and in the most remote locations.

The future of logistics therefore depends not only on technology, but also on sustainable development, employee empowerment and close partnerships. We will continue investing in modern technologies, developing our employees’ skills and improving the customer experience.