New Colleagues Made of Steel and Intelligence: How Stretch is Injecting Fresh Momentum into Otto Group Logistics

“With the deployment of three additional Stretch robots, we’ve reached the next milestone on our roadmap. Here, we see AI and humans working hand in hand successfully. But this is just the beginning: in the coming years, AI will be crucial in making logistics processes even more efficient, flexible, and sustainable. Our goal is to enhance the overall performance of our logistics network, because a robust, resilient logistics system is one of the key drivers for delivering an optimal customer experience in retail,” says Kay Schiebur, Otto Group Executive Board Member for Services.

More than one hundred Stretch robots are planned for widespread deployment across Otto Group’s logistics operations in the coming years.

Human and Machine – A Powerful Team

Experience so far shows that integrating AI and robotics works best when people remain at the center. Through targeted training, digital learning opportunities, and open dialogue, the Otto Group fosters an environment where technology complements employees rather than replaces them.

“Since the Stretch robots started working here, our daily routines have completely changed and become much more interesting. For me, it means less physical strain and more time for truly challenging tasks. For example, I can now focus on quality control and coordinating workflows,” shares Piet Engelmann, Incoming Goods Assistant inbound area at Hermes Fulfilment.

Artificial Intelligence Plays a Key Role

The commissioning of the additional Stretch robots has already been significantly faster compared to last year’s pilot project, now taking only about two weeks. This time savings is due to parallel installation processes. Regular updates ensure all Stretch robots have the same functionalities and can draw on the knowledge of already deployed robot colleagues for container unloading.

“Our strategic partnership with Boston Dynamics is a crucial lever for Hermes Fulfilment to elevate our logistics network management to the next level. Together, we develop scalable automation solutions that integrate seamlessly into our processes. For example, the Stretch robots are currently being trained to handle our standard swap bodies (WAB), which are not commonly used internationally. Boston Dynamics is conducting corresponding tests in the US with the European WAB. We expect the ‘WAB unloading’ function to be available to us by early next year at the latest,” explains Vinort Mahalingham, Head of Network Management and Optimization at Hermes Fulfilment.

Until then, the Stretch robots continue unloading container after container—at a pace well above initial expectations. Instead of 500 packages per hour, they now handle 550. “That’s a ten percent increase over our original KPIs, leading to a significant improvement in throughput and utilization rates,” Vinort Mahalingham notes with satisfaction.

For the Otto Group, continuing the collaboration with Boston Dynamics is more than just a technical upgrade—it’s a clear commitment to innovation and responsibility toward its employees. It forms a central pillar of the long-term digital and logistics strategy across all sites, where artificial intelligence plays the leading role. “Innovation should never be an end in itself but must create real value—for the company and the people who work there. With this approach, the Otto Group remains a pioneer in intelligent logistics automation,” concludes Kay Schiebur.