EPoSS Brokerage Workshop on IoT Large Scale Pilots London, 26 June 2015

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1 EPoSS Brokerage Workshop on IoT Large Scale Pilots London, 26 June 2015 Demand Side Requirements for Logistics Prof. Dr. J. Rod Franklin Kuehne Logistics University, Germany ALICE Vice-Chair and Chair of WG3 IS for Interconnected Logistics

2 Logistics and Supply Chain 5 7/22/2014 Goods Information Money A Supply Chain raw materials production warehousing retail consumption/use disposal Transportation Decisions impacting (the need for) transportation Design Manufacturing Supply Chain Modular Greater machine decisions design, flexibility, smaller component batches, lower commonality, set-up times, new materials, production miniaturization locations Impact on transportation Ship less air and larger volumes, enable value added logistics close to market, safety stock reduction Lower inventory, smaller batches, smaller lead times, higher transportation service required Distribution The time of information availability and the remaining time for transportation Multi-modal transportation, higher vehicle utilization, less empty miles Sales After sales Sales Guaranteeing planning, the upkeep of promotions, machines, packaging, return flows product variety Efficient use of warehouses and vehicles Where to stock spare parts, how to transport and process return flows efficiently Finance Financing and insurance of goods, import duties and risk management, financial liquidity Port of call choice, speed of transportation Inspections Timing of inspections, the demands for inspections for different types of products When products can be shipped, how they are routed Enablers and drivers ICT Technological improvement (e.g. 3D printing) New materials Energy costs Resource scarcity / local4local Labor costs Safety & Security Growing economies Knowledge availability Regulation

3 Market opportunity and vision A 10% to 30% efficiency in EU logistics sector = billion cost relief for European industry Make European industry resilient by a true people, planet, profit oriented logis8cs and supply chain sector. A sector that is economically, environmental and socially sustainable contributing to both industry compe88veness and the EU policy targets 4 7/22/2014

4 Mission Development of new logistics and supply chain concepts and innovation for a more competitive and sustainable industry. The ambition is to contribute to a 30% improvement of end to end logistics performance by The ETP on logistics aims to accelerate the deployment of more efficient, competitive and sustainable supply chains. Approach Bring together primary service providers stakeholders: shippers and logistics Other relevant stakeholders: transport companies, terminal operators, support industry and research and education Collaboration with related ETPs: ERTRAC, ERRAC (Shift2Rail), WATERBORNE AND MANUFUTURE (FoF) 21 7/22/2014

5 ALICE Steering Group composi8on Related associa,ons and ETPs/PPPs represented in the SG

6 Plenary Members 20+ in process/interested

7 ALICE vision Future logis,cs is based on an open global logis,c system: (connec1ng logis1cs networks), founded on physical, digital, and opera,onal interconnec,vity (access to resources), enabled through encapsula,on of goods, standard interfaces and protocols, with the aim to move, store, produce, supply and use physical objects throughout the world in a manner that is economically, environmentally and socially efficient and sustainable We call this the Physical Internet

8 ALICE Roadmaps hkp:// logis8cs.eu/alice/en/publica8ons/

9 ALICE WG3 Vision and Mission Vision Real-,me (re)configurable supply chains in (global) supply chain networks with available and affordable ICT solu,ons for all types of companies and par8cipants, whether large or small. Mission Iden8fy and define research and innova8on challenges including the development of technologies and tools that facilitate the closure of exis8ng gaps in current ICT systems and data sharing capabili,es in supply chains for op8mal performance in the execu8on of supply chain ac8vi8es.

10 Challenges The ability to rapidly connect to, and disconnect from, supply networks at two levels; the business level and the technical ICT level. The simplifica8on of ICT systems, informa8on interfaces and business models so that domain users are shielded from having to become technology experts and can focus instead on the efficient execu8on of transport and logis8cs opera8ons; The simplifica8on and standardiza,on of device interconnec,ons so that the rapid connec,on and disconnec,on of sensor enabled items is facilitated; Open cloud based collabora,on plalorms to facilitate the dynamic and cost effec,ve forma,on and management of complex supply networks; Secure and reliable data management approaches that facilitate the collec8on and analysis of authorized data so that opera8onal efficiency can be improved while assuring the public that privacy is maintained; The development of appropriate standards and data collec8on systems for repor8ng commercially and socially important informa8on (e.g., emissions, load factors, conges8on levels, etc.) so that proper comparisons can be obtained and informed decisions made; The ability to properly manage goods flows so that infrastructures, transport assets, modal nodes and other supply network assets are op8mally u8lized; and The adop,on, integra,on and use of smart infrastructures, Intelligent Transport Systems (ITSs), IoT devices and other intelligent edge based technologies in supply chains to increase the efficiency, effec8veness and control of supply networks.

11 IoT à Intelligence for better planning and execution Autonomous Vehicles and Urban Zones Smart Farming and Food Security Smart Living and Ageing Well Wearables

12 ALICE Videos

13 Additional Information The following documents can be found on ALICE Web ( ALICE Executive Summary and Mission Statement (link) ALICE Terms of Reference (link) Who is who in ALICE, Steering Group Membership (link) ALICE input for HORIZON calls (link) ALICE input for HORIZON calls (link) ALICE Research & innovation Roadmaps (link) 7/22/

14 Logistics innovation for a more competitive and sustainable industry 7/22/

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