d2dLogIT Efficient Transport Management in the Jan Tore Pedersen Dag Atle Nesheim

Integrating Transport Modes Logistics cost USD per ton Producer Customer Land Land and sea

Truck Transport Producer “Raw materials” Customer  Benefits for transport user  Easy to use (one phone call is enough)  Flexible  Fast  Reliable service  Transparent (driver provides status information)  Cost effective  Problems for society  The annual transport spending in EU is million Euro  Transport is the second largest producer of CO 2  km of motorways are congested every day  More than people are killed in traffic every year

Systems Transport L43 Port Terminal Distribution Terminal Capacity co-ordination Warehouse & Secondary Distribution Terminal Waterborne Backbone

LogIT d2d Making Multimodal Transport Competitive Benefits for the user  Easy to use  Flexible  Fast  Reliable service  Transparent  Cost effective Benefits for society  Waterborne transport takes larger part of transport growth  Reduces congestion  Reduces required energy consumption in transport  Reduces other external costs  Makes Europe more efficient from a transport and industrial viewpoint Producer “Raw materials” Customer

LogIT d2d Managing door-to-door multimodal transport chains efficiently Transport Chain Manager Responsible for door-to-door transport operations LogIT d2d adds value by simplifying the complexity of information exchange

Transport Management in NMC Vision –Provide the equivalent of Amadeus capabilities (air travel) for door-to-door transport in NMC

D2D * Demonstrators Farm Equipment - Germany to Australia: Truck, barge, truck, ocean shipping, truck. Cars - Germany to Turkey: Train, short sea shipping, truck. Ceramic tiles - Spain to the Canary Islands: truck, short sea shipping, truck. Animal food - Portugal to the Azores: truck, short sea shipping, truck. * Project funded by EU DG TREN under the 65 th Framework Programme

Transport Management in NMC

Silica from Salten, Norway to Rheinfelden, Germany SSS Salten – Rotterdam: NCL Terminal in Rotterdam: Euro Nordic / RST Barge Rotterdam - Weil am Rhein: Euro Nordic / CCS Terminal Weil am Rhein: CCS / Rhenus Kleyling Truck Weil am Rhein / Rheinfelden: CCS / Rhenus Kleyling

Participants Elkem, the customer ordering door-to-door transport from the Transport Chain Manager (ENL in the current example) ENL, organising the door-to- door transport on behalf of ELKEM Transport service providers, performing the actual transport operations Consignor Consignee Rail Port Vessel Terminal Barge Truck Brokers and agents ENL

LogIT d2d Processes Organising single- or multimodal door-to- door transport operations –Long-term contracts –Individual shipments Monitors progress, deals with deviations Provides transparency Provides basis for invoicing & claims handling Monitors payment Shipment Planning Transport Execution Invoicing and Reporting Network Planning

Definition of Unit to be Transported

Important Relationships LogIT d2d holds relationships between –Trade units (cartons), –Logistics units (pallets or containers – pallets may be placed in containers), and –Transport means

Definition of a Provider Service

Definition of a Voyage

Definition of Provider Service Cost

Information Exchange Between ENL and Provider

Standard Transport Chain Starts at POL in Salten SSS to Rotterdam Terminal in Rotterdam Barge on the Rhein to Weil am Rhein Terminal in Weil am Rhein Truck from Weil am Rhein to Rheinfelden

Alternative Chain I Starts at POL in Salten SSS to Rotterdam Terminal in Rotterdam Truck from Rotterdam to Rheinfelden

Alternative Chain II Starts at POL in Salten SSS to Rotterdam Terminal in Rotterdam Rail from Rotterdam to Weil am Rhein Truck fra Weil am Rhein to Rheinfelden

Transport Network Starts at POL in Salten Passes through Rotterdam Alternatives from RTM to RFN –IWS-TERM-TRUCK –TRUCK –RAIL-TRUCK

Comparison of chains pre-calculations

What LogIT d2d does (2) Shipment Planning Transport Execution Invoicing and Reporting Network Planning

Booking by Customer General Information Cargo Information

Transport Chain Details

Booking for Ocean Transport General booking information Cargo information

Confirmation by Provider Provider confirms

Confirm Customer Booking When all provider services are confirmed, customer booking may be confirmed Mark customer booking(s) Confirm customer booking(s)

What LogIT d2d does (3) Shipment Planning Transport Execution Invoicing and Reporting Network Planning

Monitor Progress Transport Means Load Units Showing complete transport chain Showing only tour/voyage

Monitor Progress Geographical presentation VesselMS PERUVIAN StatusON SCHEDULE VoyageEC101 # TEU150 (see all load units)

Redirect Cargo Procedure: 1.Identify cargo 2.If a complete shipment is to be redirected, then modify the transport chain 3.If only a part of the shipment is to be redirected, split the cargo to be redirected and modify the relevant transport chain

Redirect containers

‘Dashboard’

Cross-Docking Customer bookings Gustavsberg Logistics, Sweden Norway Sweden FinlandBalticsDenmark Provider bookings/-instructions Status Gustavsberg, Sweden Provider bookings/-instructions Villeroy & Boch, Germany and France

What LogIT d2d does (4) Shipment Planning Transport Execution Invoicing and Reporting Network Planning

Customer Invoice Invoice elements General invoice information Recording payments

Potential LogIT d2d Users Manufacturing companies outsourcing transport services but keeping control of the logistics processes Transport service providers taking on the responsibility for multi- modal door-to-door services (3rd party logistics providers) Freight forwarders (4th party logistics providers)

LogIT d2d Benefits Providing a simple “one-stop-shop” for transport users Selecting the most efficient door-to-door service by comparing costs and schedules. Providing efficient communication to transport users and service providers for booking, confirmation, invoicing and payment. Keeping transport users and service providers continuously informed about transport status. Enhancing, not replacing, existing information technology applications.

Loaded Goods Report Information about what actually was loaded