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CILT London Networking Group Control Towers

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Page 1: 10NOV16 CT CILT PPT Circulate

CILT London Networking Group

Control Towers

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Dr Richard Gibson Business Unit Director • Responsible for our activities in

– EU Healthcare Control Tower – Asia Healthcare Control Tower

• Contact details

– +44 (0)7814 554 051 – [email protected]

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Eunice Friend

• General Manager, Business Development

• Contact details

– 07979 891 425

[email protected]

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Nick Rees

• Client Solutions Director

• Contact details

– 07867 907 197

[email protected]

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Yusen Logistics

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• Life before Control Towers

• What is a Control Tower?

• Customer perspective

• LSP systems

• Benefits and opportunities

• Futurology

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Life before Control Towers

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Life before Control Towers

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Life before Control Towers

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Life before Control Towers

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What is a Control Tower?

• A central hub with the required technology, organization and processes to capture and use supply chain data to provide enhanced visibility for short and long term decision making that is aligned with strategic objectives

• A centralized hub with the requisite technology, processes and organizational structure to capture data for enhanced visibility

• A centralized view with the ability to drill down to the root cause of a problem and resolve the problem from that view

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Functions of a Control Tower

Function of the control tower

Planning and routing

Auditing and reporting

Forecasting Event

management Decision making

• Provides unprecedented

supply chain flexibility for

dynamic planning and

routing

• Provides GPS tracking,

freight forwarding and

inventory control

• Helps in auditing all the

stages in detail within the

supply chain movement

• Generates a report that

shows the total landed cost

of every product with the

breakdown

• Make predictions at the

daily ‘operational’ level

about ETAs

• Provides event

management at all stages

within the supply chain

• Provides warehouse

management, transport

management, yard

management, container

management and billing

and invoicing

• Provides a one-stop-shop

solution with centralized

accountability and

responsibility for cost,

quality and performance by

creating a decision making

platform

Capgemini (2011)

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New

En

tran

ts

Ow

n a

cco

un

t

Control Tower Systems

Page 13

Supply chain planning and

execution

Trading partner integration

Information Management

IT

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The customer perspective

• The approach enhanced quality assurance • Reduced complexity and the number of service providers • Allowed for full process control (cooperation with quality and

procurement) • Delivered savings through utilized network and buying strength • One stop service

– Transport execution – Monitoring (real time where available) – Interventions – Handling irregularities – CAPA

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Asset Light

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Yusen Logistics healthcare control tower

EU Control Tower Road Shipments

EU Control Tower Final mile delivery

EU Control Tower Sea Shipments

EU Control Tower Air Shipments

Trunk loads

1,962,000 Parcels

Orders

Loads

2,082,260 Pallets

Orders

FEU

16,726 Pallets

Orders

Loads

KG's

Orders

Asset Light

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Our Control Tower system

ALL Control Tower

Carlo

Vision i

Zeus

Oberon

CODA

PI & Sales

Supplier Invoices

Asset Light

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LoadSight App • For Carriers with no telematics / no ability to integrate

• Android-based mobile phone app

• Manual confirmation of arrival and departure

• GPS positioning

Asset Light

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The Calais zone

160km

160km

160km

100 miles

Asset Light

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The benefits of using a Control Tower Area of Benefits List of Benefits

General • Integrated supply chain with an ability to retrieve information • Reduced compliance penalties • Improve decision-making capabilities • Reduced network failures, increased network visibility and responsiveness • Respect customer commitment: schedule, costs, quality and improved customer satisfaction

Inbound • Optimal inventory levels and reduced buffer inventory • Synergies in procurement transport carriers leading to reduction in transport costs • Reduction in total landed costs and increase OTIF • Influences sourcing strategies, shift supplier allocations, modify commercial terms

Manufacturing • Awareness of WIP and improved productivity • Manufacturing in an optimal way across plants operating globally • More accurate demand planning, better scheduling, reduction in cycle time, reduced inventory levels and timely

and complete management information

Outbound • Improved load efficiency • Improved transport efficiency using best-in class carriers and redesigning transport solutions • Ability to predict the right ETA for customers

Capgemini (2011)

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The benefits of using a Control Tower Area of Benefits List of Benefits

General • Integrated supply chain with an ability to retrieve information • Reduced compliance penalties • Improve decision-making capabilities • Reduced network failures, increased network visibility and responsiveness • Respect customer commitment: schedule, costs, quality and improved customer satisfaction

Inbound • Optimal inventory levels and reduced buffer inventory • Synergies in procurement transport carriers leading to reduction in transport costs • Reduction in total landed costs and increase OTIF • Influences sourcing strategies, shift supplier allocations, modify commercial terms

Manufacturing • Awareness of WIP and improved productivity • Manufacturing in an optimal way across plants operating globally • More accurate demand planning, better scheduling, reduction in cycle time, reduced inventory levels and timely

and complete management information

Outbound • Improved load efficiency • Improved transport efficiency using best-in class carriers and redesigning transport solutions • Ability to predict the right ETA for customers

Inventory savings of

20%

Increased f/c accuracy of

25%

Improved SLAs to > 98%

Workforce reduction of

10%

Faster resolution

Cash to cash time reduced

Capgemini (2011)

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Flaws

Buyer beware!

• Limited visibility

• Mere decision support and alerts

• Too planning centric

• Not scalable – they struggle to scale across entire businesses especially if the goal is to manage at SKU level

• Trading partner connections aren’t reusable

One Network Enterprises (2012)

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In x5 years

? ?

Picture of

drones

Robots

Machine

learning

The point Neil

was making

about,

regardless of

better

technology

you still need

people

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Conclusion

• Technology has been the enabler for Control Towers

• We saw how a customer changed their approach for the better

• The system landscape is still maturing…buyer beware!

• Our Control Tower enables asset light solutions – Agile, flexible and fit for purpose

• The future….

The four old pictures at the front

Then replaced with modern versions

European lorry

Modern office

Optical CR scanning systems Iwatch

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Thank you from the Yusen Control Tower team