SaaS in the Warehouse

SaaS in the Warehouse

What is SaaS? A different model for Software deployment Users do not purchase a licence up front No capital purchase for the software Users pay a ongoing usage fee for the service An ongoing fee for the use of hardware, software, services and support An Example? Long-Term Rental Vs. Outright Purchase 2

SaaS today what has changed? A new idea? Of course not Application Service Provider (ASP): back in 2000, the Internet and New Economy era! Why ASP failed? Business Model deficiency Technology triggering demand Lack of a Business need HIGH Costs of service 1:1 Distribution model Technology deficiency Traditional applications became Web-enabled Fast Internet connections not available High hardware costs Saas What is new? Business Model Business climate is triggering demand Economy of scale LOW Costs of service Distribution model One to many Technology Evolution Web Native Applications Fast and widely available Internet connections Standard integration and architecture Virtualisation and cloud computing 3

Saas Succes Stories? SaaS today what has changed? 4

Benefits of Saas? Rapid Time To Value The initial investment is eliminated Quick Deployment Fast configuration and launch Easy Customisation Self-service personalisation Unlimited Scalability Multitenant, therefore quick scalability Painless Upgrades Users always use the last release 5

Benefits of Saas in the Warehouse? Not only Software Need for fast, reliable integration of field devices to WM systems RF devices Thermal printers Automation subsystems Vehicle terminals Scales Configuration of complex operational processes Linked to a specific product To different packaging types To specific processing To a specific location Devices Processes 6

WMS as a service who gains most? Suitable for all companies particularly Small and Medium sized enterprises Costs Value Risks Flexibility Time Longevity 7

Better employment of IT Budget: IT Related Benefits Expenses allocation when the Software is being purchased Expenses allocation with Software as a service When a company buys on-premise software, the majority of the budget is typically spent on hardware and professional services Any organization would gladly add software functionality without extra hardware if it could do so effectively, but no organization would simply add hardware without an anticipated need to add software as well 8 Source: Microsoft, MSDN Architecture Strategies for Catching the Long Tail

Operational Benefits The Ready to go approach reduces: Launch time Consulting costs The costs for internal staff involvement Risks of misalignment Increases utilisation with focused personalisation created in the field Gradual and progressive adoption Single provider for software and infrastructure Time Adoption of traditional WMS Project dimension Hardware purchase Configuration Process Analysis Network setting Configuration Development Field test Specific personalisation Adoption of WMS as a service Installation Business simulation Software configuration Field test Eventual devices configuration 9 Business simulation

Business Benefits Number of activated functions, required by current warehouse needs Activation and configuration No need for changing the product!! Business growth brings new needs and the demand for new wms functions Clients only pay for the functions they are using Functionality and personalisation are activated at the time of need It allows companies to immediately access a WMS Enterprise solution, with a wealth of functionality for business growth and change 10

Financial Benefits Financial Simplicity and control variable cost link directly to business needs related to activated users and functionality no contractual constraints Protection of investment no hardware obsolescence always on the latest software release no concerns regarding software updates 11

The Reply Approach

SideUp Reply @logistics Reply response for SaaS Warehouse Management solution - Comprehensive, Software as a Service Warehouse Management www.sideupreply.eu Rapid Time To Value The initial investment is eliminated Quick Deployment Fast configuration and launch Easy Customisation Self-service personalisation Unlimited Scalability Multitenant, therefore quick scalability Painless Upgrades Users always use the last release 13

Main Processes SideUp Receiving Put away Shipping and Picking Map and Inventory Delivery notes Unsold items Receiving from production Accounting receiving Physical receiving Received quantities control Quality control Supplier order Physical put away Slot assignment Container mono and multi reference Container composition Pallet composition Put away missions Deposit optimisation Labelling Planning Scheduling Picking missions Occupation strategy Shipping packages composition Delivery notes Trips Freight notes Physical position Accounting and physical material handling Batch management Quarantine Traceability Processing Assigned picking positions Stock property Multi site Execution systems Additional modules Tools and configuration Multi site Virtual Stock Transfer Orders distribution Joint inventory Radio frequency terminals Barcode RFID Voice terminals Automation systems Printings management Pallets and containers management Production lines supply JiT management Client boxes management Multi-language option Rules configuration Planned operations Monitoring and alarms External systems interface 14

Do your requirements suit SaaS? Speed of Deployment SaaS Fast On-premise Regular IT resource requirements Business Process Budgeting requirements Limited Best practice processes High dynamic scenarios Operating costs Consuming Complex processes Capital budget 15 Company policy on data and external connectivity Integration Pragmatic approach Extra-company focus Standard best practices Composite application Circumspect, strict approach Intra-company focus Heavily customized Centralized application

SideUp Architecture Basic Functions Advanced Inbound Processing Advanced Outbound Company firewall Executive Proxy Printing Radio Interfaces 16

for activation number of executive proxy SideUp Price Model It includes the support necessary to start-up the system Activation: just once map configuration processes configuration executive proxy configuration number of active users number of active functions additional services It allows the fee to vary as a function of the warehouse needs Use: monthly fee 17

Customer Case

THE ANCONA PLANT The experience of Geodis Wilson Italia Company branch with a 5000 sqm warehouse Both import and export materials are handled in the same warehouse (FCL-LCL sea and air freight) Area of 1100 sqm dedicated to as temporary customs area Area of 600 sqm dedicated to bonded warehouse Storage area dedicated to air traffic with metal cage (Civil Aviation Authority regulations) Goods stored in bulk on the ground and on shelves 19 Main clients: Roal Columbus Akifix Viateco Tek

WMS Project Defining the context BUSINESS NEEDS: Obtaining the AEO certificate* to offer a better service level CRITICAL ISSUES: the certification is needed quickly!! * AEO CERTIFICATE (AUTHORISED ECONOMIC OPERATOR) Certificate issued by the customs administrations of the 27 EU Member States Benefits: simplified and accelerated customs procedures IT Division Two possible solutions A WMS is needed in the ANCONA branch TRADITIONAL WMS WMS AS A SERVICE Main Focus WMS AND PROCESS QUICKNESS AND COST 20

Consolidation Module Processes INBOUND PHASE Receiving BoM creation on the system Entry from user interface Consolidation Pallet composition (parcels) for the outbound transportation Printing of Outbound parcel labels Putaway/Customs Automatic handling and job confirmation by the operator Shipping Vehicle loading with load check Shipment confirmation Printing of TD Data download and storage OUTBOUND PHASE Customs Clearance and Picking In a structured way with jobs and automatic confirmation Shipment creation Shipping order Entry from user interface Recurring shipments Processes managed with RF 21

Business Results Results and Benefits AEO certificate through an accurate traceability of the movements System activated rapidly (in two weeks) Cost easily assignable to the related business and flexible for future business demands IT Results No initial investment No new technical competences to be developed No new sw to install and maintain Scalability of the solution Preventive cost control 22

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