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Meinderdjan Botman Chief Commercial Officer DSV Solutions A/S December 12 th 2018 / SCM Partner bijeenkomst, Moerdijk - NL “DSV Start Up“: Innovation Nurturing in the world of Logistics Service Providers

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Page 1: “DSV Start Up“: Innovation Nurturing in the world of ...€¦ · Innovation Nurturing in the world of Logistics Service Providers. 2 ”DSV Start Up”: 3PL Summit, ... •70+

Meinderdjan Botman – Chief Commercial Officer DSV Solutions A/S

December 12th 2018 / SCM Partner bijeenkomst, Moerdijk - NL

“DSV Start Up“:

Innovation Nurturing in the world of Logistics Service Providers

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2 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

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3 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

• The world of Supply Chain is continuously changing…

• Technology and innovations are on a fast pace, new solutions

will come to market and need to be adopted…

• 3PL Industry needs to be-come more mature in the field of

innovation, shippers need to source for industry solutions other

than just price… (price costs value)

• Business Analytics & Intelligence are the new gold…

So: Embrace innovation... DSV stepped into the core

of innovation & start-ups to build partnerships

DSV Start Up: Initiative back-grounds

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4 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start Up Nation - Testimonials

4 Angel Gurria: OECD Chair

“ Israel should be proud of being at the forefront of green innovations for water management; these innovations can be decisive in managing scarce water resources”

5 Dan Senor: “Within the 6 years after the tech bubble burst in 2000, Israel suffered one of its worst periods of terrorist attacks and fought a 2nd Lebanon war; and yet, its share of the global venture capital market did not drop—it doubled from 15% to 31%”

1 Bill Gates: "The quality of education is one of the key factors that made Israel so unique."

2 Eric Schmidt, GOOGLE: “The United States is the number one place in the world for entrepreneurs, but after the US, Israel is the best.”

3Warren Buffet: “Some Americans have come to the Middle East looking for oil. We came to the Middle East looking for brains, and we stopped at Israel.”

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5 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

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6 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

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7 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

1. Scout for SW/ HW Start-ups, enabling DSV to enhance its

direct client-facing service portfolio

2. Scout for SW/ HW Start-ups, enabling DSV to enhance its

in-direct client-facing service portfolio

3. Become THE supply chain and logistics partner of

promising and successful new start-up companies

DSV Start Up: Initiative goals

DSV Start Up: your partner for innovative logistics

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8 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our direct service portfolio… (1)

• Artificial Intelligence: Business analytics,

requirements & restrictions in the background

• Settling service & delivery with end-customer

• 24/7 available

• Direct link to distribution partner / parcel carrier

Tests coming up in DSV Solutions NL…

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9 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our direct service portfolio… (1)

• Artificial Intelligence

• 24/7 hours “call desk”

• Customer service & complaint handling

• No staff ramp-up, no training (cost-out)

Under investigation…

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10 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our direct service portfolio… (1)

• First real functioning business case with

drones, delivered in Reykjavik

• Retailer delivering parcels across the river

in town district. Range: 5 km

• Investigating for stock- & cycle counts

Tests coming up in DSV South Africa’s

parcel network…

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11 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our direct service portfolio… (1)

• Easy to use

• Tracking via mobile app

• Scalable & affordable

• Real-time throughout the journey

• No hassle in equipment return

Pilot running in DSV Israel…

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12 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our direct service portfolio… (2)

• Pick & pack processes

• Light (sub)assembly activities

• Increased productivity

• Stable quality level, beating human labor

PoC for a.o. E-com scheduled…

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13 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our in-direct service portfolio… (2)

• Active measurement of usage / consumption of

consumable products (bottles, strips, cartons…)

• Customer pro-actively informed about need to re-order

• Supplier informed about consumption per SKU, to be

used for forecasting (campaigns), production

schedules and after inventory management

Scalable: activate new on-site bot takes 1 minute

Operates in existing warehouse environment with existing

infrastructure

Highly flexible WCS system

Detailed and live simulation of daily orders

Current product already prepared & developed for future;

low des-investment risk

Deployed in Canada, Finland & the Netherlands…

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14 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our in-direct service portfolio… (2)

• Active measurement of usage / consumption

of consumable products (bottles, strips,

cartons…)

• End-customer pro-actively informed about

need to re-order

• Statistics & dashboards for producer:

consumption forecasts (campaigns),

production planning & inventory

management

Under investigation…

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15 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies enhancing our in-direct service portfolio… (2)

• Hybrid engines to be mounted on trailer &

truck fleet

• Intelligent software to support efficient

driving (f.e. downhill…)

• Cost savings

• Carbon footprint reduction

Tests upcoming with DSV Road US Ltd…

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16 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies requesting our services… (3)

New type of helicopter, overcoming today’s “weak

spot” (= rotor blades)…

• Can fly in cities (between flat blocks)

• Can land under much bigger angles (slopes, mountains)

• Has more landing options for trauma teams (hospitals,

highway patrol, police)

• Visited factory, discussed delivery needs and options

• Fits in a container or on a trailer

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17 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Start-up companies requesting our services… (3)

• Measuring soil conditions, quick results (minutes)

• Easy installation

• Measurements & advices on mobile app

• Cost out when preparing land for crops and more

• First shipments made into the US

• Also available in DIY shops

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18 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Functions:

• Execution

• Optimize supply chain

• Quality control

• Cross trade

• Visibility

• Consolidation

• Purchase order management

• Documentation control

• Daily trouble shooting

• Data Management report

DSV Control Tower

Line of control from

DSV Control Tower

Control Tower

information

exchange

Global Small-Shop (Start Ups) Control Tower FunctionalityStreamlined operations

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19 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

• Contracts signed in February 2018 with the Simon Peres

Center for Innovation & Peace and SOSA

• Offices / desks / branding installed in both locations

• Weekly meetings with 3-5 new start ups that are scouted by

SOSA

• Dedicated operational team supports the start up activity

where needed, control tower functionality

• 50+ active projects, in different maturity stages, from

scouting to Proof-of-Concept and onwards

• 70+ requests for logistics services, business pipeline

• Organizing innovation event for our customers early 2019

in the Simon Peres Center for Innovation & Peace

• Joined the Grand Opening and Global Innovation

Conference at the Simon Peres Center for Innovation &

Peace in October 2018

Today overall status and projects

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20 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Augmented reality

Drones (air)

Self driving vehicles

3D printing

Defining the future IT architecture for Solutions’ 3D Exploration Lab.

Blockchain

Digital freight platforms

Predictive analysis

Customer churn prediction.

Internet of Things

GPS on trailers, sensors on cooling trucks, pharmaceutical warehouses, etc.

Autonomous vehicles in warehouse

Robotic process automation

120+ robots used for e.g. reporting, data entry, customer integration.

Digital interactions with customers and suppliers

Purchase management system (eDC)

Customer integrations (EDI/API)

Global Road Mobility: Mobile device and smartphone app for scanning, claims handling, 3rd party registration, etc.

High-speed database technologies

SAP HANA on BW/BPC.

Adopt

Test

Assess

Track

Cognitive email dispatching

Assessed how Natural Language Processing can be used to read and dispatch emails.

Advanced cognitive

computing

Chatbots

Assessment to be started up. First use case will be simple order flows in the Global IT ServiceDesk.

Internet of Things – data platform for live tracking

Close to real-time track and trace of ships, airplanes, containers and trailers.SAP invoice matching

Business Intelligence

Modernising business intelligence using cloud solutions, to increase computing power and scaling capabilities.

DSV Technology & Innovation Radar

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21 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Good relationships don’t just happen

They take time, patience, and two parties who truly want to work together

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For more information, please contact:

Meinderdjan Botman

Chief Commercial Officer – DSV Solutions A/S

[email protected]

Mobile: +31 6 5123 2479

www.dsv.com

Thank you !

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23 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

3D-Exploration Lab

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24 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Where are we now?

The market is still at the beginning of the road (Path I)

Companies do not seek radical alterations in

either supply chains or products, but they may

explore AM technologies to improve value

delivery for current products within existing

supply chains

Path I

Companies alter both supply chains and

products in pursuit of new business modelsPath IV

Companies take advantage of scale economics

offered by AM as a potential enabler of supply

chain transformation for the products they offerPath II

Companies take advantage of scale economics

offered by AM as a potential enabler of supply

chain transformation for the products they offerPath III

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25 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Value Analysis

Total value becomes strategic

Re-configure

value chain

Digital

manufacturing

chain

Differentiate by

product

performance

Low hanging

benefits

• Value-chain repositioning

• Forward/backward integration

• New services driven by data

• Flexible production location

• Flexible production volume + time

• Digital spare parts

• Customization / personalization

• Functional and part integration

• New structures and geometries

• Improved logistics

• Cost reduction by substitution

• Cost-effective product development

High

Low

High

Low

Va

lue

of

AM

Co

mp

eti

tive

ad

va

nta

ge

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26 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

DSV Solutions Internal 3D Printing Approach

How we work

Internal 3D Printing

Local operations

3D Exploration Lab

Project team

Product DevelopmentEngineering

Local operations

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27 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

- We will create 3D model of your idea

- For reviewing pursposes of large prints

we also make a small 3d printed

example for validation of the idea

- A production budget will be advised and

if the ROI will be sufficient for approval

we will start printing

When the idea can be printed

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28 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Internal 3D Service

Existing 3D Printed Warehouse Tools

Idea initiated by Danish Warehouse Employee (Horsens):

• Used for increasing productivity

• Providing customised transportation of tools

Idea initiated by Dutch Warehouse Employee (Moerdijk):• 1000x1200 mm

• Used for increasing productivity (ROI 2 months)

• Supports stacking long cartons on pallet

• Works well in operation and ordered 4 more

Idea initiated by SHEQ Employee (Moerdijk):

• Used for safety of picking carton from pallet on heights

• Lighter as previous iron version (increased productivity)

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29 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

3D Printing Idea

This briljant idea is from ………………………

Background

Current situation

Frustration

Solution

Draw it!

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30 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Which business models is likely for our customers?

Large

Manufacturer

Owned

ProductionProduct Integrator/

Traditional Manufacturer

Additive

Manufacturer

B2B

Raw Material Consumer

Questions to answer:

• Do our customers print on the production line?

• Do our customers print closer to their customer?

• What are my raw material inventory levels?

• How much working capital do I need?

• What is the cost-to-serve?

3D printing ideas are numorous, but do we know the execution impact well enough?

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31 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

External Service 3D service: Customer: Spare Parts

Requested to start printing 3 SKUs

Biggest issues:

- Minimum order quantity

- Long leadtimes

- Longtail inventory

- No 3D models, only parts- One SKU was only part in the world

left

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32 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

External Service 3d Service: Customer Mitsubishi: Spare Part

Requested to start printing 1 sku

Biggest issues:

- Minimum order quantity

- Long leadtimes

- Longtail inventory- Japanese management want to lower

longtail inventory in Europe

- No 3D models, only parts

Original part 3D printed parts partScanned original part

For 3D model

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33 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

Mobile Manufacturing ContainerProject presented at AutoDesk University 2018 in Las Vegas

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34 ”DSV Start Up”: 3PL Summit, October 30th 2018, Düsseldorf – Germany

• Presented to 12000 Autodesk software 3D modeling engineers – Construction, Off-shore, Consumer products,

Entertainment, Industrial engineering

• DSV A&S transported the container from Port of Rotterdam to Las Vegas and is currently returning to Port of

Rotterdam. Insurance Goods Value € 354,919 Total trip paid by Autodesk for a value of € 20,381 for one container

• Next trip will be the construction site of AFAS HQ in Alkmaar, where outside skirts of windows architecture is

connected by 3D printed parts

• Vestas has informed about the project as they recognised the DSV logo on the container. DSV Global Accounts is

involved and we will approach jointly.

• Learning along the way what the cost-to-serve is for our customers if we would move these containers.

Comments we heard is that the industry would pay more per container is they could solve shutdowns, which cost

much more. Interesting value proposition.

Mobile Manufacturing ContainerProject presented at AutoDesk University 2018 in Las Vegas