Friday, 23 May 2014

OHB subsidiary LuxSpace and arviem awarded new ESA contract

Betzdorf, Luxembourg, May 22, 2014

LuxSpace received an ESA development contract for the design of an
innovative container tracking device. The project volume amounts to EUR 2.5
million of which 50 % is financed by ESA. In cooperation with their two
sister companies OHB teledata (D) and megatel (D) and project partner
arviem (CH), the innovative cargo monitoring device will offer localisation
and cargo condition monitoring capabilities via a wireless sensor network,
and report using satellite or ground communication systems. Apart from the
technical development, the project partners will offer the cargo monitoring
device within a comprehensive customer tailored real time cargo monitoring
service, including analytics and operational support.

"The service concept will ensure the transparency and the overall control
of the cargo shipment process which conventional reporting hardly allow",
as pointed out by Jochen Harms, Managing Director of LuxSpace.

The project named RTICM (Real Time Intelligent Cargo Monitoring) belongs to
ESA's ARTES 20 Integrated Application Program. Primary markets for the
innovative cargo monitoring concept are high value container shipments. In
a 6 month pre-operational demonstration phase, the service concept will be
validated in close cooperation with a number of key clients.

Friday, 16 May 2014

How real-time cargo monitoring could optimize the fule consumtion in Supply Chains

Fuel prices remain volatile and continue to increase. The price of fuel has a direct impact on transportation costs. Some experts have calculated that each $10 increase in the cost of barrel of oil results in a 4-cent per mile increase in transportation rates. That adds up!
For an average arviem client, this would mean around 400US$ more for each and every shipment.

Increased transportation costs can affect the optimal design of a supply chain. With low transportation costs, it often makes sense to pool inventory in fewer locations so you can optimize space, labor and inventory pooling. However, as transportation costs increase it is more optimal to place inventory closer to customer locations, reducing overall transportation miles. However, as a distribution professional, it can be significantly more complex to manage multiple smaller warehouses rather than a single large facility. 

Another key to managing the fuel-optimized supply chain is transportation optimization. Many organizations use manual processes to plan their transportation routes. They have people manually reviewing orders, combining orders into loads, and determining the best service levels and carriers to ship those loads. Technology exists that can review groups of orders and select the least cost route and rate to ship those orders by combining them into optimized loads.

Small and midsized businesses may perceive that this technology is out of reach for them. However, recent advances have made this technology easy to use and made it available at affordable prices. Optimizing your transportation planning can yield significant savings which help offset ever-increasing transportation costs.

Friday, 2 May 2014

What's your definition of supply chain?


From time to time I'm reading through the mails I get from my LinkedIn discussion group "Supply Chain Management Group".
I stumbled over a question, which made me very curious: 

What is your two word definition of supply chain?

For your convenience I list some of the answers here:
- absolute certainty
- real-time communication
- demand matching
- customer satisfaction
- managed predictability
- risk management
- optimized flow
- value add
- realistic commitments
- etc.

I tend to add two more answers from my side
- realtime monitoring
- arviem services

Realtime cargo monitoring does not solve all these ideas 100% itself. But realtime cargo monitoring could contribute substantially.
Or to quote one of our clients: This is a no-brainer!

Read about the mentioned discussion on LinkedIn yourself:  LinkedIn discussion