Postal & Logistic Operations in a connected world Connected Fleet & Smart Buildings

Transcription

1 Postal & Logistic Operations in a connected world Connected Fleet & Smart Buildings INDUSTRY OF THINGS WORLD EUROPE 2018, BERLIN Christian Ostergaard, Business CIO Technology & Infrastructure, PostNord

2 Leading communication and logistic business in the Nordics A broad service offering Online groceries Postcards Parcels E-commerce Full- & part-loads/ groupage Omni-channel DM Courier services Apps Prepaid solutions Parcel lockers Letters Home delivery Express/InNight Partner outlets Warehousing/TPL Online solutions e-invoicing

3 PostNord in brief In 2017 PostNord delivered: 4.3 billion letters and other mail items LETTERS SE: -7% LETTERS DK: -18% LETTERS TOTAL: -9% 154 million parcels PARCELS TOTAL: +9% PARCELS B2C: +14% And has: 6,250 distribution points in the Nordics Employees 37.1 bn SEK Net sales Nordics +25 mio 1 mio km 2 PostNord Norway Net sales: SEK 3,875m PostNord Denmark Net sales: SEK 8,720m PostNord Strålfors Net sales: SEK 2,081m PostNord Finland Net sales: SEK 1,028m Employees (FTE): 1,224 Employees (FTE): 123 PostNord Sweden Net sales: SEK 22,671m Employees (FTE): 8,645 Employees (FTE): 19,550 Direct Link Net sales: SEK 1,028m Employees (FTE): 769 Employees (FTE):

4 Key Challenges Operational Efficiency Added Customer Value Drive & Embrace Disruption As we know it As our customers wishes As only the future knows External drivers Market drivers Business requirements Digitalization Maturing technology New delivery models Market deregulation Environmental awareness Globalization Rapidly changing market demand Increasing competitiveness Pressure on margins Mobile born players Reduce cost structure Move into new markets Innovation Agility, scalability, flexibility, speed

5 Contents 1. Roadmap 2. Connected fleet 3. Smart buildings

6 Production Roadmap Integrated & Flexible Production model

7 Illustrative IoT Roadmap Operational insights & business transition PostNord state 2016 Data in silos Optimize in silos Existing solutions Cross border Application integration Goods events IoT Enabler Initial capability analytics lab Facilities Utilization Predictive maintenance Energy consumption Mobile APPs APP sensors Real time feedback Machines Utilization Predictive maintenance Energy consumption Fleet Utilization Sizing and sourcing Maintenance Protection New insights New business New iterations Digital Twin Assets Utilization Gain experience how to use and utilize IoT Enabler Production planning Sizing and sourcing 7 Protection

8 Contents 1. Roadmap 2. Connected fleet 3. Smart Buildings

9 Connected Fleet Step 1 Step 1 swap body/ container Cargo GPS Cargo IoT Gateway Vehicle data Type Own fleet Subcontractors Short term Step Z GPS aprox connected now IoT Gateways Via vehicle manufacturer Vehicle data OBD2/FMS dongle aprox connected by the end of 2018 Mobile Existing (Guard/Postrack/etc) There is not a single technical solution to be applied when we want to connect our fleet. 10/5/2018 9

10 Connected Fleet Step 1 PostNord heat map 24h operational movement with our line haul fleet (trucks, trailers, dollys and swap bodies) Center of gravity changing over the day

11 Connected Fleet Step 1 One day in PostNord - speed Screenshots of movement with speed as an indicator Higher speed during the night

12 Connected Fleet Step 1 Analyze traffic flow Stockholm area - Monitoring the flows during 24 hrs Flows around a sorting center Flows around in inner city of Stockholm

13 Connected Fleet Step 2 Step 1 swap body/ container Cargo GPS Cargo IoT Gateway Vehicle data Type Own fleet Subcontractors Short term Step Z GPS aprox connected now IoT Gateways Via vehicle manufacturer Vehicle data OBD2/FMS dongle aprox connected by the end of 2018 Mobile Existing (Guard/Postrack) There is not a single technical solution to be applied when we want to connect our fleet. 10/5/

14 IoT Connected Fleet Solution Connected Fleet Step 2 Achieving max utilization & increase visibility in operations is a must IoT becomes an enabler Pilot Done Go-live (2019) Analytics & Insights IoT Platform (TCS SDAF) Service Provider API / Device Mgmt Interpretation API & Device Mgmt IoT Connectivity Distr. Vehic. ~1000 OBD Units Installation With OEM alignment IoT Connectivity Distr. Vehic. ~7000 OBD Units To be Installed Vehicle Utilization

15 25-35% 60-70% Connected Fleet Step 2 Utilization of invested capacity drives economically sustainability Utilization 24h Rate % Utilization 24 Rate % Key Drivers Potential savings (100%) AS IS TO BE 45% Fuel Cost FUEL CONSUMPTION Monitoring of fuel mileage. Fuel invoice mapping integration FLEET UTILIZATION Monitoring Daily utilization of vehicles. Driving behavior FLEET ADMIN Manual entry of odometer Daily/periodic Health checkup Thru DTC OTHERS Real-time feed to routes & scheduling Parcels tracking 25% Fleet Admin 15% Fleet Utilization 5% Fuel Mileage 5% Proactive measure to avoid accidents Data Monetization codes 15 5%

16 Connected Fleet Step 2 Pilot Real-time Information/GPS Location from vehicles Fueling Pattern - Service reminders with alert of critical

17 Data at a glance Driving far from economic 127 hard turns 479 hard accelerations 34 hard breakings 35 hrs of idle time

18 Data at a glance Driving far from economic Far more 3500 rpm s than anyone else Higher fuel consumption

19 Data at a glance Driving very economic More 35 km per liter No hard accelerations No hard turns No hard breakings

20 Connected Fleet Step 2 Observations from our step 2 pilot Limitations of solutions in the market to cover 17 different OEM make and 15 years of models. Vehicle proprietary data interpretation is a big marketplace. Installation in 300+ locations using external staff is going to be challenge. Monitoring of devices in the field (need an ecosystem) Barriers 21% Lack of Urgency 28% Unaligned Management 39% Not Enough Funding Program success depends on following.. 30% Limitations of technology 34% Cultural aversion to Change

21 Contents 1. Roadmap 2. Connected Fleet 3. Smart Buildings

22 Smart buildings Facility Management Terminals/Depots We know We expect Terminals are integral part of logistics production Monitoring of energy utilization in terminals will help in cost cutting of electricity bills In many terminals Shutters, conference rooms/specific areas remains unused/under utilized. Energy consumption due to heating, cooling & ventilation always overshooting the budget. Shutters are kept open after use, leading to more heating/cooling. Conference rooms/wash rooms are not always utilised but the cleaning schedule is regular Improvement of carbonoxid footprint

23 Smart buildings Facility Management Terminals/Depots By getting insight on energy consumption including heating and cooling we can optimize consumption and lower energy costs By getting insight on occupancy of conferenceand restrooms, regular cleaning scheduling can be optimized and moved to on-demand cleaning. By getting insight on usage of gates in terminals we can control how long time gates stands open, optimize usage and lower maintenance cost. 23

24 Data at a glance Heating and Cooling happening at the same time Outside shutter are being kept open in the absence of vehicles Room are not used, but the cleaning happens as scheduled

25 Smart buildings Observations from the pilot Installed sensors and gateways were many times disassembled/misplaced in the terminals. Contracts/agreement with land owners/vendors are to be redesigned to get data of systems through API call. Integrations with Existing local meter and BMS systems needs to be enabled. All facilities are unique, need to consider requirements for each one and at the same time find scale up possibilities We have found areas where visualization and alerts can be set up to control and optimize: Energy consumption: effect usage control avoid heating/cooling running in parallel area optimization via sub meter control threshold control energy/temperature control forecasting Occupancy: change frequency for cleaning optimize cleaning by considering occupancy close down areas not used conference room optimization input to new construction Gate control: change frequency for maintenance optimize maintenance and usage of all gates close ports not used to save energy and ensure security climate control 25

26 In Summary Opportunities are there. Start small, seek advise, use partners Implementation takes longer than anticipated due to complexity Accelerate internal change by examples, it has value.

27 THANK YOU