Fujitsu Japan Tests Quantum-Inspired Optimization Engine for Global Warehouse Networks
April 28, 2015
On April 28, 2015, Fujitsu Laboratories Ltd. in Japan announced the results of a logistics-focused pilot using its Digital Annealer—a quantum-inspired optimization engine—to manage inventory routing across multi-node warehouse networks spanning Asia and Europe. The project represented a significant early effort to apply quantum-inspired computation to real-world supply chains, demonstrating measurable improvements in cost efficiency, delivery performance, and environmental impact.
Unlike true quantum computers, the Digital Annealer operates on classical hardware but simulates certain aspects of quantum annealing. This enables rapid solutions to combinatorial optimization problems that are notoriously difficult for conventional algorithms, particularly when applied to complex logistics networks with variable demand and multiple constraints.
Tackling the Complexity of Global Warehousing
Modern global supply chains face multifaceted challenges, including:
Distributing inventory among multiple fulfillment centers without excessive cross-shipping
Meeting delivery time windows across diverse geographic regions
Minimizing transport costs and carbon footprint while managing customs and regulatory constraints
Fujitsu’s pilot focused on a network that included:
Seven distribution centers across Japan, South Korea, and Southeast Asia
Nine fulfillment points in Germany, the United Kingdom, and Central Europe
Variables encompassing shipping lane costs, forecasted demand, and port dwell times
The goal was to dynamically optimize inventory movements while accounting for operational constraints, seasonal demand fluctuations, and unexpected disruptions.
Pilot Results and Performance Metrics
Using real-world and anonymized operational data from Fujitsu’s electronics supply chain and partners in Singapore and Frankfurt, the Digital Annealer delivered significant improvements in simulated scenarios over one week of operations:
Cost Reduction: Inter-warehouse transfer costs decreased by 14%
Delivery Performance: Service level agreement (SLA) compliance improved by 22%
Environmental Impact: Overall network emissions fell by 11%, considering fuel consumption, distance traveled, and load balancing
Computation times were notably faster than traditional optimization algorithms, achieving results that would have taken 10 to 100 times longer with conventional methods, particularly under scenarios with high demand volatility.
Key Applications Modeled
The Digital Annealer proved effective across multiple logistics use cases:
Reverse Logistics: Efficient routing of returned goods to central processing centers
Seasonal Demand Planning: Strategic deployment of buffer stock across European hubs in anticipation of peak periods, such as Chinese New Year
Disruption Management: Dynamic reallocation of goods in response to labor strikes, port congestion, or other operational interruptions
The system recalculated optimal inventory distribution in minutes, allowing operators to adapt rapidly to changing conditions.
Bridging Classical and Quantum Computing
Though not a full quantum system, the Digital Annealer acted as a transitional technology, preparing logistics operators for eventual integration with true quantum annealers and universal quantum computers. By simulating quantum annealing on classical hardware, Fujitsu demonstrated that near-term operational benefits could be realized even before commercial quantum devices became widely available.
Fujitsu also engaged in collaborative efforts to extend algorithmic research and practical applications:
1QBit: Canadian quantum software company providing algorithmic insights
Japan Post: Exploring postal logistics optimization using quantum-inspired computation
University of Tokyo: Contributing academic research and modeling expertise
These partnerships reinforced Fujitsu’s position at the forefront of hybrid quantum-classical logistics research.
National and Industry Alignment
The pilot aligned with Japan’s broader Society 5.0 initiative and METI’s smart logistics strategy, which sought to integrate emerging technologies such as AI, robotics, and quantum-inspired computing into industrial processes.
Fujitsu aimed to scale the Digital Annealer across several sectors:
Automotive: Optimizing the distribution of automotive parts across manufacturing and assembly centers
Electronics: Managing high-volume, time-sensitive electronics supply chains
Emergency Response: Facilitating rapid deployment of aid and equipment during natural disasters
The pilot gained recognition at the 2015 Hannover Messe in Germany, where Fujitsu showcased the Digital Annealer alongside other pioneers in quantum-inspired logistics solutions.
Industry Recognition and Strategic Insights
Consulting firms including Boston Consulting Group (BCG) and Gartner highlighted the Digital Annealer as an early proof-of-concept for commercial logistics applications, demonstrating that hybrid quantum-classical systems could deliver tangible benefits prior to the availability of universal quantum computers.
Key takeaways from the pilot included:
Feasibility: Quantum-inspired optimization is viable today on classical hardware, with measurable operational impact
Scalability: The engine can handle multi-node global networks with complex constraints
Adaptability: Rapid re-computation allows supply chains to respond to dynamic operational conditions
These findings positioned Fujitsu as a leader in near-term quantum logistics innovation.
Roadmap and Future Applications
Fujitsu outlined a strategic pathway for the broader adoption of the Digital Annealer:
Launching a commercial logistics optimization service by 2017
Exploring integration with blockchain-based supply chain visibility platforms
Preparing transition pathways to hybrid quantum-classical cloud offerings as hardware and quantum resources evolve
The Digital Annealer offered a bridge between conventional optimization approaches and the anticipated era of fully quantum-enabled supply chains, enabling organizations to begin leveraging quantum-inspired techniques today while remaining prepared for future technological advances.
Broader Implications for Global Supply Chains
The success of Fujitsu’s pilot demonstrated the potential for quantum-inspired engines to transform complex logistics networks worldwide:
Cost Efficiency: Reducing operational expenses through optimized routing and inventory management
Resiliency: Enhancing network flexibility in response to disruptions such as port congestion, customs delays, or sudden demand spikes
Sustainability: Lowering emissions and fuel usage through intelligent route planning and load balancing
Decision Support: Enabling logistics planners to evaluate multiple scenarios quickly and select optimal strategies
These capabilities are particularly valuable for multinational corporations managing time-sensitive goods and high-density fulfillment networks.
Conclusion
Fujitsu Laboratories’ April 2015 pilot marked a critical milestone in the application of quantum-inspired optimization to global logistics. By leveraging the Digital Annealer to simulate quantum annealing on classical systems, Fujitsu provided measurable improvements in cost, delivery performance, and sustainability for complex warehouse networks.
The pilot offered a clear proof-of-concept for hybrid quantum-classical logistics solutions, demonstrating that even before commercial quantum computers are widely available, operators can benefit from quantum-inspired methodologies.
As supply chains continue to globalize and demand patterns grow increasingly volatile, technologies like the Digital Annealer provide early competitive advantages. Fujitsu’s initiative laid the foundation for scalable, future-ready logistics systems capable of transitioning seamlessly to full quantum optimization, signaling the beginning of a new era in supply chain computation.