Target group The solutions of MP Objects focus on the core players in the supply chain: companies in industry, trade and transport/distribution. Examples of organizations in the target group are: - Manufacturers: suppliers of materials, industrial goods factories, consumer goods producers.
- Logistics service providers: public warehousers, distributors, forwarders.
- Trading companies: wholesalers, purchase organizations and retails chains.
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As a result of the terrorists attack at the Twin Towers of 9/11, security protocols have never been as high on the agenda as they are today. Shippers transporting goods to, for example the US, will nowadays be confronted with intensified customs control. One means to avoid this, is opting for the Authorized Economic Operator (AEO) status, as this will result in a smoother collaboration with the customs authorities. The AEO status is granted by the local customs authorities after completing a self assessment by the logistics party and an audit by the customs authority. The ultimate goal is that all parties in the supply chain are recognized as AEO as this means that the entire supply chain is controlled. This depends on the willingness of companies to opt for the AEO status, as it is not compulsory to obtain the AEO status. In the self assessment, the company should depict areas of risks and provide appropriate countermeasures.
IT systems play a crucial role in obtaining AEO status. All relevant information is stored in the IT systems of the company and this data must at all times be secured and access should be limited to authorized staff only. In this respect the interfaces with the various supply chain partners should not be neglected; sharing data electronically is very important to ensure efficiency in the supply chain. This does however increase the security risk. One way of ensuring this needed IT governance is managing the systems via CobIT or ITIL standards. This can be an important criterion in selecting your system providers.
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The value of time window management |
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Time is of the utmost importance in logistics. Time can even be the decisive factor for efficiency and effectiveness of the supply chain. The Just in Time concept for example, successfully streamlined the inbound logistics for production companies. Service lead times are another well known element in logistics. Agreed service lead times can force choices in the supply chain processes which are not necessarily the most cost effective or environmentally friendly.
A less known, but very relevant, time related aspect is waiting hours on terminals. These can seriously effect the productivity of the driver, resulting in higher costs. New technologies like GPS with traffic information based on information from mobile phones, can now more accurately predict the actual time of arrival at the terminal, allowing the terminal to work more pro-actively. Studies from Prof. dr. J. van Nunen from the Erasmus University in Rotterdam show that this can reduce waiting hours at the terminal with up to 1 hour.
A fourth aspect of time-management relates to the increase in e-shopping and the impact on home deliveries. Stricter control of time windows results in happier consumers as well as more efficient logistics. Using the right financial incentives, the supplier can steer the consumer to pick those time slots which will improve the utilisation of the delivery van and at the same time reduce the mileage to be driven for all deliveries.
R&D at MP Objects shows great opportunities for new Supply Chain Portals for Interactive Time Window Management between customers and suppliers.
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Reverse Logistics for Green Supply Chains |
Corporate social responsibility (CSR) is a hot topic nowadays. Companies devote themselves to creating a working environment which is delicately balancing on the three corner stones of the people, profit and planet triangle.
CSR in logistics can be realized by complementing the forward supply chain movement with a reverse flow. In this way, companies can actually close their supply chain loops. Whereas focus has been on efficiency of the forward chain, the management challenge is moving to collecting the end of use products and returning the materials to the origin.
Especially with rising energy and material costs, re-using and recycling products starts to become more beneficial. The benefits do not only improve the financial results, but also have a positive impact on sustainability. Re-using product materials saves a lot of energy which would otherwise be needed for producing new products.
In a recent survey of reverse logistics, Cap Gemini showed that 73% of the logistics executives have been able to reduce their procurement costs, by incorporating reverse logistics into their supply chain management practices.
Even though the economy is spiraling downwards, manufacturers and retailers do not slow down their reverse logistics initiatives. Logistics service providers are even developing new services for reverse logistics, including repair & return, swap faulty for good, disposables collection and waste management.
Reverse logistics can thus improve the bottom line and at the same time help in creating green supply chains.
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Second Maasvlakte becomes reality |
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The port of Rotterdam has started on 1 September 2008 with the development of the Second Maasvlakte, after 15 years of planning and discussions with all involved stakeholders. The new Maasvlakte will extend the port of Rotterdam with 1000 Hectare, or about 20%. This will allow for the future growth of the port. The total cost for development is estimated at Euro 3 billion. The plan is that in 2013 the first ships will dock here. Due to its position, it will be able to handle the biggest class of container vessels in the world. There is a lot of demand for this new area: 40% has already been rented to customers. The development of this new port area is certainly not without questions.The environmental impact of such a big development can not be neglected. It is therefore the intention to make this the most sustainable port in the world, which means that there are clear agreements with the tenants on sustainability and that the emphasis for the hinterland connections is on barge and rail: in 2035 maximum 35% can be transported via the road. The coming 25 years, the eco system will be monitored to see if all agreements are indeed followed as intended and whether or not they should be amended. For this reason, a collaboration contract has been closed between the port, the government, the tenants and 4 environmental parties. To follow the construction process, the visitor centre ‘Future land’ will be opening beginning 2009. For more information, check the website: www.maasvlakte2.com. Picture: Havenbedrijf Rotterdam N.V., Projectorganisatie Maasvlakte 2.
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Pincvision, one of the first companies to use ExportDocuments Online, recently started Compliance TV. This internet TV channel has a new episode each month. In the first three episodes the subjects were Packaging Tax, Intrastat and VAT. Episode 4 released on March 3 has EDO and printing outside the EU as subjects. This is currently a hot item. Several companies using EDO have asked ExportData and the Chamber of Commerce permission to place a printer in a country outside the European Union. So far permission was only given for countries within the EU (presently Belgium and Ireland). The specific requests are for placing a printer in Dubai and Kiev. If the Chamber of Commerce does permit placing the printers in countries outside the EU, many companies think the exodus of export can be stopped. EDO provides the option to fill in requests anywhere in the world. EDO is an internet application, and can be accessed using MS Internet Explorer from any workstation. The only aspect of the process that is bound to a location is the printer. EDO supports multiple printers. By placing the printer on the location where the physical documents are needed for the first time, time and courier costs can be saved.
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Business case: Nokia E-fulfillment |
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Nokia has launched webshops for on-line sales across Europe. Consumers can buy mobile phones, accessories and subscriptions directly online from Nokia.
CEVA Logistics is the trusted supply chain partner for these Nokia E-Stores. From a central logistics center in The Hague, CEVA Logistics runs the e-fulfillment processes for Nokia, including: storage, picking, packing, distribution, transport managements, reverse logistics and event management. Nokia Online shops have been opened for 7 countries: UK, France, Germany, Netherlands, Italy, Spain and Finland. Currently, Sweden, Denmark, Belgium and Poland are being rolled-out. The e-fulfillment processes make use of a WMS, TMS and Supply Chain Portal.
MP Objects is proud we have developed the latter two systems for CEVA and Nokia.The TMS selects the carrier depending on destination and service requirements.The Supply Chain Portal gives customers on-line status info at any stage in the process.
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ShipitSmarter linked to Export Documents Online |
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ShipitSmarter.com in Amsterdam has realized a standard interface with ExportDocuments Online (EDO). The ShipitSmarter system is a buying system for mail, courier, road, sea and airfreight transport. The first customer to use this interface is Ormco Europe in Amersfoort. Ormco Europe exports high quality products for the orthodontic profession. Ormco uses the ShipitSmarter system for buying transport. In case of export, data from the ShipitSmarter system is sent to EDO3. Using the interface with EDO Ormco reduces costs with respect to the application of export documents. Not only additional savings of labour costs are achieved but also an important saving of time. Due to the fact that the application of export documents at the Chamber of Commerce is changed from the office in Amersfoort to the office in Almere, bringing and collecting of export documents became very time consuming for Ormco. The many traffic jams on the route to the Chamber of Commerce in Almere makes the bringing and collecting an activity you want to avoid. The combination of the ShipitSmarter system and EDO ensures that Ormco can handle all paperwork from behind their own offices desks.
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