The road to real-time PDA: A Global shipment management
Association Eelco de Jong
Welcome to the connected world
Isn’t it time for Twitter for your cold chain?
Why should we care? To prevent problems and improve product quality
Agenda 1. 2. 3. 4. 5.
Panalpina Case Study Technology introduction Analysis of potential obstacles Potential business value Summary and Conclusion
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Introducing Antaris Solutions Company profile - Provider of ‘sense and respond’ supply chain management solutions - SmartView as integrated real-time control center - Simple and reliable innovative technology solutions
Business model - Long-term relationships with key end-users and business partners - SmartView as integrated web-based application - Open platform for sensor and software integration
Panalpina Case Study The benefits of pro-active intervention
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Traditional airfreight approach 1. Shipper conducts trade lane qualification and risk assessment. 2. LSP follows SOP to minimize risks. Cold Chain Monitoring: 1. Shippers use data loggers to monitor shipments. 2. LSP’s monitor the cold rooms and transportation vehicles.
No capability for real-time shipment management 7
Case Study: Panalpina Issue:
Panalpina is a global freight forwarder that wanted to have real-time visibility on its international pharmaceutical shipments and storage facilities
Solution:
Shipments are equipped with dSeal and SmartPoints sensors. dSeal sensors provide real-time visibility during road transportation. SmartPoints act as wireless data loggers.
Benefits:
• No more temperature excursions • Increased process efficiency • Compliance with EU GDP regulations
Panalpina initial deployment • Real-time monitoring • Alerting • Automatic shipment monitoring • Up to 7 year storage
Manufacturer Luxemburg Hub
Alabama Hub
Customer
Wireless networks installed at Luxemburg and Alabama hubs
How SmartPoints monitor shipments 1. SmartPoints are attached to shipments and log temperature during road transport. 2. Upon arrival in Luxemburg, SmartPoints automatically download their log to the wireless network. 3. SmartPoints continue to report in real-time during storage. 4. SmartPoint log again during flight to Alabama. 5. SmartPoint automatically download their log at Alabama hub SmartView provides alerts about excursions at regular points during global distribution, enabling pro-active intervention
Example pro-active intervention
SmartView Shipment Alert -----Original Message----From: SmartView [mailto:smartview@antaris-solutions.net] Sent: Thursday, September 20, 2012 5:36 AM To: Shift Leaders Subject: SmartView Shipment Alert: [KRK 601083 HSV] Dear sir/madam,
This is like a Twitter or Facebook Update, directly from your shipment.
The Shipment Alert [1535:+15° - +25° C / Controlled Room Temperature CR] has been triggered. [DETAILS] Shipment: KRK 601083 HSV Alert:+15° - +25° C / Controlled Room Temperature CR Recipient(s): shift-leaders.lux@panalpina.com Message: pay attention / critical temperature below +16° respectively above +24° Celsius ! [EXCEPTIONS] (3731: 2012-09-20 03:35:36 UTC) [10:00:00:00:12:29] 13.516 is smaller than 16.0000 Kind regards, SmartView Support
Operational response -----Original Message----Van: LUX Pereira Jose [mailto:Jose.Pereira@panalpina.com] Verzonden: donderdag 20 september 2012 5:49 Aan: 'noreply@antaris-solutions.net'; LUX Shift Leaders Onderwerp: RE: SmartView Shipment Alert: [KRK 601083 HSV]
Within 15 minutes after alert, the problem has Namens Shiftleaders been identified and resolved to prevent any damage to the product
dear all, uld placed to a wrong cell. Best Regards Jose Pereira ( Tony
There is no point in monitoring your cold room when the cargo is misplaced
-----------------------------------------------------------------------------------------------------------------------Procurement - Capacity Air Operations Outbound - Operations Shift Leaders ------------------------------------------------------------------------------------------------------------------------
Technology Overview The “smartphones” for your shipments
Key visibility technologies
USB data loggers
RFID/ WSN data loggers
GPRS/satellite data loggers Excursion
Technology options 1. RFID-logger with Readers in the warehouse – – –
Logging during transportation Automatic flushing upon arrival Easy to deploy
2. RFID-Logger with Readers in the trucks – – –
Loggers send data to Reader in the truck Reader forwards data over the GPRS network Real-time visibility during transportation
3. GPS/GPRS logger on the shipment – – –
GPS/GPRS logger forward data directly Includes real-time localisation Requires no reader installation
Potential obstacles
What are the obstacles? Costs? Technology? Organizational?
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Costs? RFID-tag prices are equal or below USB data loggers. Multi-use RFID tags can significantly reduce the cost per shipment Infrastructure is easy to deploy and installation costs are very low.
Cost is not a major obstacle. 19
Technology? RFID tags with intelligent temperature loggers and reliable read range (>50 meter) are available and have been proven on thousands of shipments. Intelligent GPS/GPRS logger devices with reliable power management are available.
Technology is mature and available
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Air carrier approvals? • Wireless devices require air carrier approvals • Available RFID temperature tags do NOT transmit inside aircraft. Most air carriers have approved RFID tags. • New generation of GPS/GPRS sensors are also compliant with FAA Guidelines, based on automatic aircraft mode
Air carrier approval requires attention but is no obstacle 21
Organizational? RFID Infrastructure: – Different parties for RFID tags (e.g. freight forwarders) and RFID infrastructure (e.g. handling agents) create organizational challenges.
Transparency culture: – Sub-contractors may be hesitant to enable trading partners to collect real-time information.
Cross-chain intervention: – Intervention may require cross-chain coordination.
Best fit for close partnerships or integrator model 22
Busines Value “show me the money”
Where is the value?
V
alue
=P
roduct
(Value + Sensitivity)*Risk *InterventionCapability - Number of handovers - Number of parties involved - External conditions
- 24/7 operations - Contingency scripts - Culture: commitment to quality and openness
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Significant value in air freight
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LSP‘s have intervention capability • Real-time shipment management requires 24/7 operations in a Cold Chain Control Center • Logistics service providers have most intervention capability • What is required: – – – –
Adoption of the technology Training of staff Culture based on quality commitment and transparency Financial investment
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Summary
Conclusion Real-time shipment management provides value compared to traditional approaches – Traditional approach contains gaps in visibility – Pro-active intervention has proven to prevent problems – There is no point in monitoring a cold room when your products are placed in the wrong location
Technology for real-time shipment management is available, both RFID and GPRS based
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Outlook Short term outlook: • LSP’s will drive adoption for real-time shipment management • Focus on high-value products in high-risk trade lanes • Real-time sensors will complement – but not replace- existing data loggers Long term outlook: • Real-time shipment management a standard practice • Cross chain information sharing and intervention • Convergence of wireless and USB loggers 29
What it means for shippers • Be informed about the possibilities for real-time management. • Select you LSP’s based on their capabilities for real-time shipment management: – Technology adoption – Organizational commitment (training, 24/7 operations)
• Request in-transit temperature visibility • Pay a small fee per shipment to encourage adoption • Make it part of the SOP’s
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Thank you for your attention!
Eelco de Jong eelco.dejong@antaris-solutions.net
www.antaris-solution.net Parklaan 13 3941RD Doorn The Netherlands +31-(0)6-1590 5506