Order Picking Network - OPN - A paradigm shift in supply chain optimization

Intralogistics has made significant progress in recent years, with WITRON often setting the pace for innovation. Automated order picking, highly efficient distribution centers, and scalable system environments are well established across many areas. For WITRON, however, development goes beyond the performance of individual machines or locations. OPN represents a new strategy and a new way of thinking within WITRON’s philosophy. 

WITRON managing director Helmut Prieschenk describes OPN as neither a standalone automation solution nor a pure software product. Instead, it represents a new environment for redefining the order picking machine. It is no longer an isolated service center within the warehouse, but an integral part of a larger, integrated network. “OPN essentially contains elements of everything.” 

Customers are demanding the next step

WITRON has been systematically preparing for this evolution. First, the highly automated Order Picking Machinery (OPM) revolutionized grocery retail logistics. This was followed by OCM (Omni Channel Machinery), which combined store replenishment and home shopping under one roof. Now, many customers are demanding the next step. The experts in Parkstein are convinced that while in-warehouse technology remains crucial, perspectives must broaden beyond the machine itself and beyond the warehouse. The key question is: how does the customer’s overall system perform?

This question marks the starting point for OPN. WITRON shifts the focus from individual systems to the entire value chain. The first level is defined by the distribution center, where availability, performance, precise project execution, and technical excellence are key. This continues to be essential. “For more than 25 years, we have been delivering this for grocery retailers in Europe, North America, and Australia - across over 125 projects”. This proven track record underpins OPN’s credibility.

On a second level, the perspective expands to the supply chain ecosystem, extending horizontally from the producer through transportation, national and regional warehouses all the way to the store or end customer. “This is where true end-to-end thinking begins for WITRON. The warehouse is no longer seen merely as a technical unit, but as a component within a network designed to maximize overall value.”

A cross-functional, end-to-end network logic

The third level extends even further. Across the enterprise, all relevant business areas are integrated into a seamless end-to-end network logic. To achieve this, different organizational units are optimized holistically to identify the “sweet spot” where the overall system performs at its optimum level without creating suboptimal outcomes in individual clusters. This defines the core of OPN: not the isolated efficiency of a single area, but its impact on the entire network.

An increasing number of companies are targeting this enterprise-level sweet spot. They view the supply chain as a strategic enabler. “When logistics is professionally integrated and executed at a high-performance level, it goes beyond a pure replenishment function and becomes an enabler of services and capabilities that were previously not possible,” explains CEO Karl Högen. This is where OPN makes a difference. Instead of fixed delivery dates, defined packaging logic, and standardized order patterns, the focus shifts toward dynamic control: intelligent handling of store orders, balancing the network across multiple levels, differentiated network management based on demand patterns such as average days, peak days, weekly or seasonal cycles, as well as promotions, and end-to-end inventory management across the entire supply chain. A decisive factor is the ability to use recurring data patterns interactively and dynamically to reach the overall sweet spot. Equally important is that data and intelligence are leveraged broadly and across silos to enable these optimizations.

Premium store service, productivity, preservation

What stands out is that Helmut Prieschenk and Karl Högen approach OPN from a strategic perspective first. For them, the “why” is what matters most. Three guiding principles define their approach: Premium store service, end-to-end productivity, and preservation. Premium store service focuses on the customer and the store. Products must arrive in the right quantity, at the right time, and in the right quality - exactly where they are needed. “Maximum customer service is by far the strongest driver for our customers,” emphasizes Karl Högen. End-to-End Productivity inherently goes beyond local optimization. True productivity only emerges through the interaction of transport, stores, and distribution centers. Preservation extends this perspective by incorporating sustainability, ergonomics, long-term performance, and responsible resource use. OPN is therefore not only about operating more store-friendly and cost-efficiently, but also about increasing reliability, sustainability, and future readiness.

From a technical perspective, this encompasses a range of elements – including design, consulting, facilitation, software tools, algorithms, data integration, and simulation logic – depending on the application. The key is enabling existing systems to evolve within a larger ecosystem that benefits the entire enterprise.

Proven expertise built on decades of experience

WITRON clearly distinguishes itself from traditional consulting approaches. The company designs logistics systems, integrates technologies, takes responsibility for service and maintenance, and operates facilities. This is precisely what sets it apart. “OPN is not a theoretical concept - it is grounded in decades of experience and a close connection to day-to-day retail operations,” emphasizes Helmut Prieschenk.

This underlines key differentiators: OPN is rooted in operational reality. The company operates at the core of data, interfaces, and material flow. WITRON combines physical platform expertise with digital intelligence. OPN seamlessly integrates mechanics, sensor technology, actuators, data, analytics, and system integration. Customer value consistently takes precedence over technology trends. For the two managing directors, only one question truly matters: Does this give WITRON customers a competitive advantage - enabling them to differentiate themselves?

In day-to-day operations, OPN therefore focuses on interfaces. WITRON analyzes the customer’s infrastructure, including its installed base, logistics centers, stores, transport routes, and their interdependencies. This creates a ‘heat map’ of the network, identifying where optimization generates real value - for the store, the CFO, and the company as a whole. The approach identifies interdependencies and translates them into targeted technical, organizational, and data-driven measures.

The concept becomes even more compelling when it comes to scaling. WITRON does not view OPN solely within a single customer organization. A customer with multiple distribution centers already operates its own customer-specific OPN. These customer-specific networks can be integrated into a broader learning system. While customer-specific data and competitive advantages remain strictly separated, standardized processes and patterns unlock additional value. If packaging, coding, or machine parameters for comparable products are aligned across different countries or customer environments, WITRON can leverage synergies and eliminate the need to repeat identical optimization efforts. This enables OPN to continuously evolve, learning from every pilot project and every validated pattern.

OPN as an enabler

At the same time, mechanical systems continue to play a crucial role. “Of course, you still need a well-functioning ‘engine room’ - otherwise the ship won’t move forward”, says Helmut Prieschenk with a smile. The physical platform therefore remains a prerequisite. It must operate reliably, sustainably, and with consistently high performance. However, on its own, it is no longer a differentiating factor. Today, customers expect reliable machine operation and leverage their system environment to enable faster, more intelligent, and more cost-efficient performance at an enterprise level.

This also includes forecasting capabilities. Once store orders, delivery patterns, storage capacities, and network data are integrated, OPN moves beyond the current state. Historical trends, seasonal peaks, promotional patterns, and regional variations are analyzed as time series and transferred into predictive control logic.

Companies in Australia, Europe, and North America are already embarking on this path. “In these regions, pilot customers are eager to identify potential quickly and determine which levers to prioritize,” says Karl Högen. 

Podcast: OPN - A paradigm shift in supply chain optimization