Dynamic Last-Mile-Routing as Business-Value-Application for Galileo Gregor Sandhaus* Matthias Klumpp European Navigation Conference 2013 25.04.2013 Vienna, Austria
Agenda 1. Introduction To Last-Mile Scheduling 2. GNSS Tracking and Agent-Based Systems 3. Dynamic Last-Mile Scheduling Application 4. Conclusions 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 2
1. Introduction Last-mile tour planning is a major business task in logistics networks due to (i) complexity, (ii) time restriction and (iii) direct customer contact Destination A 4. Volatility Assessment (4.) Overall Volatility Assessment and Green Bullwhip Effect An increasing volatility in existing supply chains amplifying bullwhip effects due to green logistics measures can be expected and termed a green bullwhip effect. Last-Mile Tours Most analyzed green logistics instruments have a high probability in leading to increased Destination volatility and therefore amplifying the general bullwhip effect. Destination C Tour 2 Tour 1 Depot e.g. Duisburg q Destination B Main Haul(s) Apr-13 Destination D upstream (supplier) midstream (manufacturer) Other Source Depots Green logistics and supply chain volatility downstream (end customer) t Source Depot e.g. Vienna 11 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 3
2. GNSS Tracking GNSS systems provide continous tracking of shipments in the whole supply chain and allow for dynamic planning of operations GPS tracking system GPS/ GALILEO Cooporative production and transport planning Supplier Manufacturer Retailer LSP LSP 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 4
2. Agent-Based Systems Characteristics of Agent Systems 1. Adaptability 2. Autonomy 3. Collaboration 4. Knowledgeable 5. Mobility 6. Persistence 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 5
AGENT-BASED LAST MILE DYNAMIC SCHEDULING SYSTEM Galileo Scheduling Manager Route 920 LATE! ALERT! Route 925 Tracking Agent Planning Agent OK Route 926
3. Case Study Data Groupage freight network with main haul and last mile Example data set of August 2012 24,384 inbound shipments for a depot on 23 working days Total of 1,104 incoming trucks, total weight of all shipments: 7,014,516 kg Out of these 96 trucks were delayed by more than 10 minutes in arrival, totaling for 8.7 % The maximum delay was even 13 hours for one truck About half of the days with only 1 to 4 delayed trucks and the other half of the working days with 5 to 10 delayed trucks No single working day without any delayed truck and only three days with only one delayed truck 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 7
4. Conclusions A very important business problem (last-mile scheduling) can be solved by the combination of GNSS Galileo real-time tracking data and agent-based systems in order to overcome the information and decision problem with tight time restrictions (1-2 h). The generally estimated business value for a agent-based dynamic scheduling system in groupage freight depots amounts to about 11.500 Euro per month in reduced costs or increased earnings due to delivery on time and with heads-up information. 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 8
Dynamic Last-Mile-Routing as Business-Value-Application for Galileo Thank you for your attention. Prof. Dr. Gregor Sandhaus gregor.sandhaus@fom-ild.de Phone +49 201 81004 553 FOM ild Essen, Germany www.fom-ild.de
2. GNSS Galileo Application Galileo would be even able to bring about a logistics revolution by increased accuracy of shipment addresses, replacing postal addresses and introducing geo-coordinates as shipment information (value: less search time and effort on large sites). CHEMPARK Leverkusen, Germany 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 10
3. Dynamic Last-Mile Scheduling Galileo would contribute to dynamic last-mile scheduling in combination with agent-based systems by solving the time constraints in re-scheduling in the early ours of a delivery day 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 11
3. Dynamic Last-Mile Scheduling Case study testing for GNSS applications (ild GPS.LAB) GPRS Tower Shipment Unit ild GPS.LAB 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 12
3. Case Study Data Delay of one hour on 3 rd of August 2012, 20 shipments 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 13
4. Conclusions A very important business problem (last-mile scheduling) can be solved by the combination of GNSS Galileo real-time tracking data and agent-based systems in order to overcome the information and decision problem with tight time restrictions (1-2 h). The generally estimated business value for a agent-based dynamic scheduling system in groupage freight depots amounts to about 11.500 Euro per month in reduced costs or increased earnings due to delivery on time and with heads-up information. Further advantages may be feasible if complete process traditions and systems (address) are changed towards the GNSS/Galileo navigation semantics (geo-coordinates). 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 14
Gregor Sandhaus - CV Professor for applied business and technology science at hochschule fuer oekonomy & management university of applied science head of software engineering at the institute for logistics & service management in Essen IT focus on software development, database management, artificial intelligence business focus und logistics, supply chain, purchase to pay 25.04.2013 Sandhaus / Klumpp: Dynamic Last-Mile-Routing as Business-Value-Application for Galileo 15