Industry Statement
For Immediate Release
Dynamic Upgrade for Logistics Time Slot Management Systems Long
Overdue
Says Jesper Bennike, CEO, GateHouse Logistics
Nørresundby, Denmark,1stNovember 2016:As the supply chain moves into the data-rich, transparent Industry 4.0 era, it's become apparent that distribution centres and their static Time Slot Management systems cannot cope with the mass of data involved in managing inbound and outbound logistics.
According to a January 2016 report about freight transport in the European Union, total inland freight transport in EU-28 was estimated to be over 2,200 billion tonne kilometres in 2013 with 75% being transported by road.
But how many inbound or outbound logistics trucks to distribution centres, manufacturing units or warehouses arrived late because of traffic jams, truck breakdowns or whatever? Information is sparse on the subject but some industry watchers believe that more than 40% of inbound transports arrive late.
In any given year, that's 880 billion tonne kilometres of supplies arriving late creating chaos and needless costs at distribution centres in the process.
Distribution centres use Time Slot Management systems to organize inbound and outbound logistics. In this way, information such as supply volume, loading point capacity, production requirements, shipment priority, storage capacity and the status of shipment material can be input into planning.
In theory, Time Slot Management systems are the ultimate link between loaders, carriers, collectors and manufacturers to bring about an organized supply chain with reliable throughput times for carriers and plant traffic and more stable transport schedules. The systems would also lead to more balanced use of loading resources, reduced demurrage charges or cargo rates, increased flow-rate, as well as even greater process safety.
That's the theory, but the fact of the matter is that the vast majority of Time Slot Management systems in use by shipping and receiving operations are static, non-communicative systems and cannot deal with the dynamics of today's transport logistics.
... Solving the lost 880 billion tonne kilometres dilemma
By moving to dynamic and automated on-line Time Slot Management systems, the industry allows inbound and outbound carriers to book time slots at facilities for pick-ups and deliveries. These solutions can spread loading and unloading activities more evenly throughout the day for faster dock velocity and quicker truck turnaround, helping to eliminate traffic bottlenecks and reducing wait times.
In addition, if shippers, carriers and receivers have access to and share real time tracking data throughout the supply chain, all parties can be instantly alerted on a 24/7 basis should a delivery problem occur. They then have the opportunity to "fill the gaps" at delivery points in cancelled appointments. Rigid Time Slot Management systems do not offer this convenience and flexibility.
If distribution centres can improve operational efficiencies and optimize road carrier collaboration, they will be able to load and ship out a greater volume of orders in less time while increasing on-time deliveries and reducing delays. Not only will they avoid demurrage charges and retention fees, but transportation spend will be reduced through improved operational efficiency and utilization rate of hauliers' assets.
About the Author
Jesper Bennike has a background in the semiconductor markets, handling enterprise-level customers and growing accounts into multi-million dollar customers within the camera flash LED sector. He then served as vice president for Seoul Semiconductors for its mobile device business unit with responsibility for product development and global sales. In 2014, he was appointed vice president of business development with mobile intelligence and connectivity leader Tweakker, now part of Spirent Communications plc.
As CEO of GateHouse Logistics, Bennike leads the business and software development teams of the firm's flagship product ghTrack and sector modules such as ghCore and ghArrival for dynamic and transparent operation of logistics. He holds an electronic engineering degree from the University of Copenhagen.
About GateHouse Logistics
GateHouse Logistics A/S is a wholly owned subsidiary of the GateHouse Group. Its logistics systems track over 250,000 units each day in ships, trucks and planes. The firm's flagship ghTrack Platform provides transparency and visibility of all assets and deliveries throughout the entire supply chain. Users of GateHouse's unique data aggregation services are the world's leading transport companies as well as retail/wholesale companies and manufacturers. ghTrack is hardware agnostic and compatible with all telematics systems. The unified data stream can easily be integrated in any business system. Visit www.gatehouselogistics.com
Ends
Press contacts for further information, executive interviews and images:
Mette Lilkær, Marketing Manager, GateHouse Logistics
Landline: + 45 7020 1909. Mobile + 45 2920 2383
Email:mdl@gatehouse.dk
Hugh Paterson, CEO, Whoosh PR
Direct Landline +33 (0)467 55 99 12, Mobile +44 (0)77681 75452