AI-Powered IT Transformation for Kalmar

Tata Consultancy Services has been selected by Kalmar Oyj, a global manufacturer of heavy material handling equipment and services, as its strategic IT partner to spearhead a full IT service transformation.


To enable Kalmar to operate even more efficiently, TCS will help establish a modern, integrated, AI-powered, digital core IT foundation that will reduce costs while enhancing agility and efficiency. As per the partnership, TCS will consolidate Kalmar’s IT landscape into a single integrated delivery model spanning application maintenance and development services, end-user service, and infrastructure and hybrid cloud operations. TCS will introduce an AI-driven operations framework and a unified command center to enhance observability, strengthen service reliability, and reduce operational complexity across Kalmar’s global footprint. As part of the collaboration, TCS will also enhance the digital experience of Kalmar’s 5,200 employees by using AI to support better human-machine collaboration. By driving continuous innovation, TCS will enable Kalmar to remain a perpetually adaptive enterprise.


Tero Lehtonen, CIO, Kalmar said, “Our decision to partner with TCS is built on the confidence gained from a successful history of collaboration. We are convinced by the ability of TCS in establishing a modern, agile, and AI-first IT foundation for Kalmar. Our collaboration is among the key enablers to achieving our strategic goals.”

Subhadipta Samantray, Country Head, TCS Finland said, “Kalmar’s decision to partner with TCS as its strategic IT services provider is a strong endorsement of our ability to support global organizations through comprehensive, post-separation transitions and build the digital foundations of their future. With our deep contextual knowledge, strong local presence, delivery expertise along with global AI-leadership, we look forward to supporting Kalmar with enhanced operations, and continuous digital innovation for the years ahead.”


Arun Pradeep Surendra Mohan, Business Head – Travel & Logistics, EMEA, TCS said, “Our focus for Kalmar is to build a resilient, AI-first digital core that delivers agility, reliability, and scale. By combining deep contextual knowledge with TCS’ AI expertise and an integrated IT delivery model, we will help simplify Kalmar’s global IT landscape, strengthen operational resilience, and enhance employee experience enabling continuous innovation and strengthen long-term competitiveness.”


TCS has had a presence in the Nordic region since 1991, and its 20 000 consultants serve clients in Finland, Sweden, Denmark, and Norway. Deeply rooted in innovation, TCS PaceTM Studio in Stockholm offers its Nordic customers exclusive access to its PaceTM ecosystem.

How will Europe’s Fleet Management Transform?

The fleet management industry is undergoing rapid change. From digitalisation and sustainability mandates to evolving commercial pressures and the global expansion of connected mobility technologies, the next 12–24 months will be a defining period for fleet operators across Europe and beyond. The latest European industry reports collectively illustrate a sector coming to grips with technology, regulation and operational necessity, according to vehicle connectivity and fleet management solutions provider Cubic3.

The Forces Shaping Fleet Strategy

According to a recent industry overview, a survey of over 1,800 fleet decision-makers across 15 countries highlights four principal trends for the upcoming year. These priorities reflect both operational imperatives and broader shifts in corporate and public policy environments.

Key among them are the acceleration of electrification, the heightened emphasis on safety and compliance, the deeper adoption of telematics and data analytics, and the strategic optimisation of vehicle utilisation. Across haulage, delivery, car sharing and corporate fleets alike, these trends are no longer abstract objectives but day-to-day operational pressures.

Electrification and sustainability continue to dominate strategic planning for fleet directors. The combination of EU regulatory pressure, nationwide emissions zones, and corporate net-zero commitments is transforming fleet composition and management practices. Electric vehicle (EV) adoption is no longer simply a vehicle-type choice; it requires fleet managers to integrate dedicated EV-focused tools, for example, battery health monitoring, charger-aware routing and energy usage optimisation, into broader operational systems. These capabilities are emerging as essential components of any modern fleet strategy, particularly as fleets accelerate toward zero-emission targets while maintaining service reliability and cost control.

European Market Expansion Against a Global Backdrop


As Europe’s fleet management ecosystem evolves, the global market is expanding rapidly. The latest MarketsandMarkets report projects that the global fleet management market will grow from an estimated USD 37.71 billion in 2025 to USD 70.26 billion by 2030 at a compound annual growth rate (CAGR) of roughly 13.3 per cent. Growth drivers include the expanding footprint of commercial vehicle fleets in logistics, utilities, and field service operations, as well as a growing imperative to improve cost control and regulatory compliance.

Europe is distinctive both in its maturity and its aspirations. Recent European fleet industry reports forecast significant regional uptake of fleet management systems, with the installed base of active systems set to grow markedly through the end of the decade. One strategy forecast suggests that fleet management systems in Europe could increase from 18.1 million active units in 2024 to approximately 30.5 million by 2029.

In fact, independent analysis highlights Europe’s own fleet management market expanding from an estimated USD 11.82 billion in 2025 to USD 21.90 billion by 2030. This is supported by a robust 13.1 per cent CAGR and reflects the combination of regulatory complexity, rising EV penetration, and fleet operators’ increasing demand for real-time data, automation and integrated cost management.

Technological Drivers: Telemetry, Data and Automation

At the heart of this transformation is technology. Fleet management systems, once an optional extra for larger enterprises, are now central to operational efficiency for fleets of all sizes. These systems integrate telematics, IoT sensors, GPS tracking, and analytics engines to deliver comprehensive visibility over vehicle performance, driver behaviour, route optimisation, and compliance reporting. This data-rich environment enables predictive maintenance, more intelligent routing, reduced fuel and energy costs, and improved safety outcomes. For haulage and delivery operators working on increasingly tight margins, these capabilities directly impact profitability and service reliability.

Cloud-based fleet management platforms are also gaining traction because they offer the scalability, secure access and real-time updating capabilities that today’s distributed and multi-national fleets require. These platforms allow fleet managers to respond dynamically to shifting conditions, integrate with back-office systems, and ingest large volumes of operational data without the constraints of legacy on-premises infrastructure.

Commercial and Regulatory Imperatives


Beyond technology, fleet management in Europe is shaped by commercial pressures and regulatory frameworks. Urban low-emission zones, congestion charges, and evolving safety standards demand granular reporting, compliance tracking, and automated policy enforcement at the vehicle- and driver-level. This environment is forcing operators to adopt tools that can ensure regulatory alignment at scale.
Commercial logistics fleets, particularly those operating in last-mile and cross-border markets, are actively investing in systems to improve reliability, reduce carbon emissions, and enhance customer service. The growth of e-commerce and same-day delivery models has pushed efficiency to the top of the agenda, making advanced route planning and performance monitoring core investible functions.

From Fuel Cards to Intelligent Fleet Payments

To successfully deliver this transformation, fleet managers face persistent challenges: fragmented systems, disconnected data and limited visibility across fuel spend. Fuel price volatility, fraud risk and the expansion of EV charging and tolling networks have increased pressure on fleet operations in the future.

FleetWallet3 by Cubic3 helps fleet operators regain control of one of their most vulnerable cost centres: in-vehicle payments. Traditional fuel cards are prone to fraud and inefficiency, whereas FleetWallet3’s cloud-based, AI-enabled platform links directly to telematics data to enable secure, real-time transactions.

By analysing live vehicle and journey data, FleetWallet3 can detect and prevent anomalous spending before losses occur, while providing clear visibility into fleet-wide expenditure. With automated workflows and PSD2-compliant security, fleet managers can manage fuel, tolls and mobility services from a single dashboard, improving cost control and operational efficiency at scale.

Outlook: What Comes Next for Fleet Leaders


This year, Europe’s fleet ecosystem faces both opportunities and hurdles. The ongoing integration of EVs presents clear sustainability benefits but requires investment in charging infrastructure and sophisticated energy management tools. The rapid expansion of connected vehicle data streams offers unprecedented insights, yet raises questions around data governance, cybersecurity and interoperability. Moreover, as AI and machine learning continue to mature, they will increasingly shape fleet decision-making, from predictive diagnostics and automated route optimisation to real-time spend control and intelligent payment authorisation.

Fleet managers who align strategic priorities with robust, integrated technology platforms will be best positioned to navigate this environment. As digitalisation, sustainability mandates and financial accountability converge, fleet management is evolving from a logistical function into a strategic enabler – one where payments, data and operational intelligence must work seamlessly together.

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