Supply Chain Visibility
Supply Chain Resilience
CORE is an EU-US initiative involving 80 organisations, supported by the European Commission's FP7 Programme, to develop new technologies to make supply chains safer, more resilient and more sustainable.
One of the key innovations is MJC²'s real-time Lean Agile Resilient Green Optimized (LARG+O) supply chain solution. LARG+O enables shippers to quickly formulate optimized contingency strategies, to plan for major disruptions such as natural disasters, severe weather, labour disputes and political problems such as Brexit.
Furthermore, LARG+O's real-time optimization capability enables dynamic, automated response to disruptions. For example, re-routing around an affected port or region, or dynamically switching to a faster mode in response to inventory variations.
What is LARG+O?
LARG+O is a real-time supply chain optimization environment, combining live dashboards of shipments as they progress through the global logistics network with dynamic AI-driven optimization of routes and flows.
In offline mode the solution includes tools for strategic analysis of the impact of major disruptions on the supply chain, and optimization of contingency plans.
This offers the user trusted trade lanes for freight movements or new alternatives that are optimized on a number of factors such as cost, reliability and time.
The system makes use of all relevant transport modes with means the best solution can be found for each case (e.g. taking a train rather than a feeder vessel which may be more expensive but necessary due to strict time constraints).
The multimodal network of routes provides resilience to the supply chain by offering alternative routes when major events cause disruption in the trade lanes. This can be done in advance when disruption can be predicted (e.g. diverting to a different port that is closed due to strikes) or in real-time when an unexpected event occurs (e.g. a land slide closes a rail line).
Integrating Visibility and Optimization
LARG+O is a key component of MJC²'s supply chain optimization software toolset:
Real-time Visibility and Response
Knowledge of availability and ETA of inbound inventory feeds into real-time distribution planning systems that dynamically adjust transport schedules. Delayed inbound traffic can be automatically re-routed to alternative transport modes/corridors, while advanced notice of volume facilitates smoothing of transport resource levels and corresponding cost reduction.
Integration with real-time transport control and tracking systems provides seamless automatic optimization of the entire logistics operation.
Disruption to the supply chain is monitored at the individual container level with sensors and seals on containers that relay real-time so customers can see where their goods are at any time as well as the condition they are in.
Standardisation and visibility of both logistic events (container loading/unloading, leaving a terminal etc.) and relevant documents (bill of lading, invoices etc.) allows secure exchange of information between relevant parties.
Pro-active Optimization
Increased visibility facilitates forward planning at the tactical and strategic levels. Inventory can be allocated where it is really needed, while having a real-time view of stock across multiple locations and organisations enables manufacturing partners to optimize production processes to save costs and increase adherence to service levels.
Well-positioned inventory can be diverted to meet demands from other channels or locations, reducing lead times and costs while increasing customer satisfaction levels and therefore sales.
Collaboration
Treating the supply chain as a single entity, removing silos and partitions, enables the connection between supply and demand right up to the point the goods reach the customer. This facilitates inventory optimization, third-party inventory management and proactive supply management to improve service and reduce inventory levels.
Tracking inventory along the entire supply chain, even while it is under the control of third parties, allows optimized response to demand fluctuations while improving relationships with suppliers and customers.
Measurement and Forecasting
Visibility provides a rich source of management information which drives future planning and decision making. The need for accurate, timely information within the fulfilment operation ensures the quality of data captured for reporting and analysis purposes.
Integrated demand forecasting tools and data warehousing solutions provide the foundation for intelligent business intelligence tools that allow business leaders to measure, review and enhance the service provided by their supply chain.
Benefits
Retailers, Shippers and Manufacturers
The supply chain resilience provided by LARG+O allows stakeholders to adapt their freight movements in response to large scale disruption such as natural or humanitarian disasters. Delays and cancellations can be modelled to provide updated ETAs and alternative routes where needed.
Integration with container monitoring technology and interoperability allows information to be shared about security or environmental alerts in real-time. This allows extra security checks or replacement shipments to be planned quickly and efficiently.
Standardisation allows for easier exchange of information amongst all relevant parties. Supply chain monitoring allows manufacturers and retailers to have a view of stocks of products in locations where they do not have a presence allowing improved and reliable inventory management.
Freight Forwarders and Transport Operators
Increased visibility and standardisation as well as increased security for containers allows freight forwarders and transport operators to communicate better with their customers by providing more and up to date information on their cargo.
Trusted trade lanes allow freight forwarders to have better visibility on parts of the supply chain that they do not have control over. Having information available from third parties lets the freight forwarders know that the whole supply chain can be trusted.