Collaboration in Practice

Transcription

1 DB Schenker Rail Automotive Important Course Settings for international Supply Chains Guest Author: Christian Herzer Manager Systems, DB Schenker Rail Automotive GmbH Collaboration in Practice September 2015

2 Important Course Settings for international Supply Chains In order for international transport and logistics processes to run as if on rails important switches have to be set, as there are not only geographical borders, but also legal boundaries, cultural differences. And in rail freight transport different track gauges. How to integrate the large number of different system partners and carriers with a German automotive supplier s supply chain? An experiential journey from Germany via Czech Republic to Russia. Christian Herzer Manager Systems, DB Schenker Rail Automotive GmbH 2

3 The supply chain reflects the requirements of different companies, people and ideas. Each one is part of the bigger picture. Each one acts for a common goal: to contribute to a project s overall success with their performance. In the supply chain which DB Schenker Rail Automotive has managed for a world-famous automobile manufacturer since 2008 this is the point: Making partners out of people who think and act differently and who live in their own system world. It is about making partners out of people who think and act differently and who live in their own system world. How complex this requirement is can be shown in the transport logistics for a large company which ships from its factories in Germany and Czech Republic to Kaluga in Russia. The participating partners in the transport chain are: DB Schenker Rail in Germany DB Intermodal Services DB Schenker Rail in Poland Czech Railways (ČD) Belorussian Railways (BC) Russian Railways (RZD) As well as further forwarders and transport partners in Germany, Czech Republic and Russia. 3

4 All participants have to face themselves with the same questions. When and how many empty containers have to be provided in the factory of departure? When will which container be loaded, when is loading at the KV-Terminal, transshipment to broad gauge rail cars? When are containers to be returned to the manufacturer? Many different parties work together, closely coordinated thus collaboratively in a supply chain. Collaboration means for the various participants to master logistical challenges together. A core issue is to integrate different carriers with the supply chain on the way from Europe to Asia. Political and customs borders between the EU and Russia have to be overcome. Also the language barriers between Germans, Poles, Belorussians and Russians are high. Collaboration not only means for the various participants to master logistical challenges together, it also means having to integrate different carriers with the supply chain on the way from Europe to Asia. 4

5 Relevant Information for Section Companions A management instrument which creates options of multilanguage communication, independently of location. A complex transport chain requires a continuous flow of data and information. Only when all the involved service partners of the supply chain know what is going on and for which part of the supply chain they are responsible, only then will the goods move into the right direction at the right time. This presumes that there is a management instrument which creates options of multi-language communication, independently of location, and which condenses the complexity of the overall logistical processes to the kind of information which is relevant for the respective section companion. We have found it eight years ago in the IT platform AX4. All partners share information and knowledge through the platform. AX4 maps all functions that we as the lead logistics provider require for continuous management and monitoring of the transports for our automotive customer. Cloud-based as it is, all forwarders, terminals and rail partners can be integrated with running processes through the IT platform; merely internet access is required. All partners share information and knowledge through the platform. It visualizes the flow of information which runs parallel to the transport. This type of cross-company real-time availability of information is an important factor for a successful cooperation in terms of collaboration. It creates an awareness of being responsible for an important part of the overall process with all participants. This type of cross-company realtime availability of information is an important factor for a successful cooperation in terms of collaboration. 5

6 Naturally, the change from old familiar ways to a new solution involves some persuasion at the participants. Especially since we, being the driver for development, were supposed to respond to our customer s request for a central point of contact for all delivery movements. I want you to have the chain down pat for me", was the requirement. Would the marble rolling through the system end up doing exactly what we want? How long would it take us to convince the numerous involved service providers of a new IT tool? Which kind of resistance could possibly delay the implementation? In short: Would the marble rolling through the system end up doing exactly what we want? Then the surprise: As the use of AX4 brought immediately noticeable work facilitations for everyone and all processes were mapped in the respective languages we received broad approval within a very short time. At this point also those effects which showed in automation and speedier handling of administrative tasks were persuasive. At this point also those effects which showed in automation and speedier handling of administrative tasks were persuasive. 6

7 Everything is triggered, uploaded, documented, printed via AX4 Since AX4 maps the complete supply chain live capacities can be dispatched in an optimal way: From provision to loading, transporting and returning containers each and every movement is visible. Orders are triggered out of the system, loading and waiting times are captured. Participants see that they are part of the overall value-added chain. This motivates, generates commitment and creates responsibility for us an important element of collaboration. The transparency that was created in this way helps us and our partners maintain an overview at any time in the flood of operative information. Besides, it has a positive side effect: Participants see that they are part of the overall value-added chain. This motivates, generates commitment and creates responsibility for us an important element of collaboration. At the same time the paperwork is off the desk. No matter if call-offs, IDs of provided containers, driving orders for trucks, waybills or loading lists: Everything is triggered, visualized, documented via AX4. All participating companies can access these results and documentations and complete them with their knowledge and information. Access to this growing knowledge pool makes the participants smarter and lets them act together better. The result is more than the sum of many parts also an effect of collaboration. All participating companies can access these results and documentations and complete them with their knowledge and information. The result is more than the sum of many parts also an effect of collaboration. 7

8 In practice this turns into a continuous improvement process, as AX4 allows for the view beyond the horizon. Feedback and new insight is shared in a straightforward way. Like this solutions can be developed further right out of daily practice. Access to information: It motivates everyone to participate in optimizing upstream and downstream processes also to continuously facilitate one s own work. Everyone profits from this approach in collaborative processes. Due to these advantages it was not hard to say goodbye to a transport world consisting of inhomogeneous information flows. We were not only slower there but also with clearly more staff. Besides, today we benefit from a lively exchange with our partners which allows for generating competitive advantages from the bundled knowledge. Access to information: It motivates everyone to participate in optimizing upstream and downstream processes. Besides, today we benefit from a lively exchange with our partners which allows for generating competitive advantages from the bundled knowledge. 8

9 Collaboration without IT is hardly possible Conclusion: Collaboration without IT is hardly possible. Only IT can create the prerequisites to be able to integrate a large number of different system partners with a complex, international logistical process. It makes information available at the right time and at the right place. Without language issues. It makes for transparency and facilitates smooth interaction of all participants. Competitive advantages result from the cooperation between IT, physical handling and the knowledge which is built up with all participants. Once this cooperation is well-established it can hardly be copied. This results in a competitive advantage. It comes into being due to the cooperation between IT, physical handling and the knowledge which is built up with all participants. Once this cooperation is wellestablished it can hardly be copied. 9

10 About the author Christian Herzer 2002 to 2004 Staff member Product Management DB Cargo Head Office Mainz 2004 to 2008 Product Manager Schenker Automotive RailNet GmbH 2010 to 2011 Team Leader Process Management DB Schenker Rail Automotive GmbH Since 2011 Manager Systems DB Schenker Rail Automotive GmbH About DB Schenker Rail Automotive GmbH DB Schenker Rail Automotive GmbH offers railrelated logistics solutions focusing on supplier and inter-factory traffic. With his European industryspecific train network the logistics expert ensures tailor-made just-intime transport for the automotive industry. 10

11 Editor AXIT GmbH A Siemens Company Nachtweideweg Frankenthal Tel.: / Fax: / Photos: AXIT GmbH, Deutsche Bahn AG September 2015