Magaya Exec on the Importance of Prioritizing Tech-Driven Solutions

Chain Reaction is Sourcing Journal’s discussion series with industry executives to get their take on today’s logistics challenges and learn about ways their company is working to keep the flow of goods moving. Here, Kristjan Lillemets, chief product officer at Magaya, discusses how the software development company helps its supply chain partners streamline operations, improve communication and measure their carbon impact.

Name: Kristjan Lillemets

Title: Chief product officer

Company: Magaya

What industries do you primarily serve?

We primarily serve logistics service providers, including freight forwarders, third-party logistics (3PLs) and customs brokers, as well as self-filing importers.

What are some of your latest initiatives?

Our most recent initiatives are related to connectivity and artificial intelligence (AI). For example, Broker AI Assistant for Magaya Customs Compliance is an AI-powered customs filing solution that automates the manual process of extracting data from commercial invoices to expedite the completion of customs documentation, saving several minutes per line item. 

We also offer Magaya Connect, a powerful Integration Platform as a Service (iPaaS) solution that empowers businesses to achieve seamless connectivity, streamline operations and strengthen collaboration across the supply chain.

What logistic challenges do you think the industry is currently facing?

From shifting regulations and trade policies to unpredictable supply chain disruptions, businesses are constantly navigating change. Tariffs can be introduced or adjusted overnight, compliance requirements evolve without warning and geopolitical tensions create ripple effects that impact global trade. Staying ahead requires more than just efficiency: It demands agility.

The key to overcoming this uncertainty is connectivity and digital resilience. Businesses that rely on manual processes and disconnected systems are forced to react, while those with integrated, data-driven solutions can anticipate and adapt. Real-time visibility, automated compliance updates and seamless collaboration with logistics partners help companies pivot quickly when conditions shift.

What are the main things brands and retailers could do (or stop doing) right now that would immediately improve logistics?

Many brands still use spreadsheets, emails and phone calls to manage some aspects of logistics, leading to inefficiencies and delays. Adopting a centralized digital platform allows for real-time tracking, automated workflows and better decision-making.

Improving digital communication and choosing tech-driven logistics partners is also vital to improving logistics. Seamless integration with freight forwarders, 3PLs, customs brokers and shipping agents ensures that critical data flows efficiently between systems. Partnering with logistics providers who prioritize technology means better visibility, fewer errors and faster problem resolution, keeping supply chains agile and efficient.

What is your company doing to make the movement of goods more sustainable?

Sustainability in logistics starts with visibility: You can’t reduce what you can’t measure. That’s why Magaya has integrated Pledge—a leading carbon emissions measurement and reporting solution—into our platform.

With Pledge, businesses can accurately track emissions across all transport modes and measure carbon impact for shipments by air, sea, road, rail and inland waterways using Global Logistics Emissions Council (GLEC)-accredited and ISO 14083—a standard that helps companies calculate and report greenhouse gas (GHG) emissions—aligned methodologies.

Pledge also empowers shippers with actionable insights and detailed, transparent carbon reports, helping them make greener logistics decisions and stay ahead of evolving environmental regulations.

What is one thing brands and retailers could be doing to make better use of technology to improve logistics? 

Integrate, don’t isolate. Too many brands and retailers invest in logistics technology but fail to connect it across their operations. Siloed systems create inefficiencies, slow down decision-making and increase the risk of errors.

Technology is most powerful when it’s connected. Brands and retailers that prioritize system interoperability will move goods faster, reduce costs and build a more resilient supply chain.

Are you optimistic about the state of supply chains in the next few years?  

I believe that we are at a transformative moment where technology adoption will begin to accelerate, both because innovation is making digitization more accessible than ever and because the pressures of modern commerce demand it.