IoT a transformative and innovative disruptor in supply chain. Soili Mäkinen

Transcription

1 IoT a transformative and innovative disruptor in supply chain Soili Mäkinen

2 We are shaping the future of cargo handling

3 Cargotec in brief Cargotec shapes the cargo handling industry for the benefit of its customers and shareholders. Our products are present in every major cargo hub worldwide. They are used in ships, ports, terminals, distribution centres, heavy industry and in on-road load handling globally. Cargotec's business areas MacGregor, Kalmar and Hiab are recognised leaders in their fields. Sales 2014: EUR 3.4 billion Approximately 11,000 employees Class B shares are quoted on the NASDAQ OMX Helsinki Ltd 150 million 11 February

4 Shaping the future of cargo handling sets expectations on our businesses Transformation journey 2013 Leader in cargo handling equipment Shape the business 2020 Leader in intelligent cargo handling

5 Cargotec Digitalisation Vision is to Create Value on Data Digitalisation Vision - We create value on data We offer unique value to our customers Automated processes with connected cargo handling systems Operational lifetime value through predictive and prescriptive services Cargo flow optimization services through industry knowledge, software capabilities and utilization of data In order to reach our vision we need to ensure that all of our new equipment fleet is connected by 2018 our installed base fleet under service contract is connected by 2020 our selected analytical capabilities cover use of all available data we have established process for customer dialogue and collaboration to drive better customer experience Mid-term targets 5

6 Our digitalisation framework is comprehensive Digital service processes Data model Data and IoT Cloud Analytics Connected devices

7 We analyse the cargo flow and logistic chain to identify potential and decide focus areas Key focus area Focus on applications for port to port flow and enabling information sharing across the whole value chain Freight forwarders Information management Shipper Road trans-port Warehouse Road/Rail trans-port Terminal Ocean trans-port Terminal Customs clearance Cust-oms clearance Consolidation Deconsolidation/ warehouse Road/ Rail transport Custo-mer/ Con-signee Closest to Cargotec s current core Market currently highly fragmented, Focus on solutions for container shipping while assessing potential to export solutions to other shipping types Container Ro-Ro Bulk and break bulk Tanker Ferries Special purpose (e.g. offshore) Container shipping is closest to Cargotec s current core business

8 The container value chain is woefully inefficient, waste is leading to annual losses of EUR ~17 billion

9 Industry trends will lead to increasing opportunities for data and software driven solutions and services Continued demand Capacity growth oversupply Shift to forwarders Increasingly larger 4 5 vessels Bunker prices Gradual shipping Increasing hub-and 6 7 of alliances 8 9 lines consolidation -spoke networks Terminal automation Terminal 10 consolidation

10 Cargotec s strategic aspirations in container flow are relying on IoT and software Strategic aspirations Software building blocks Terminal operating system Labor management 1 We optimize terminal productivity Terminal Logistics System Terminal optimization Predictive maintenance Testing & qualification 2 We enable collaboration across the container flow Stowage planning Appointments Berthing planning Port management Port community 3 We optimize the performance and capacity of vessels Stowage planning Lashing Loading Sailing performance Vessel mgmt. Vessel tracking 4 We enable shippers to better control the container flow Online marketplace Container booking Container routing Container tracking IoT impact

11 Disruption on (any) value chain has different ignition points Use current assets as a starting point Reassess current assets Generate new insights Secure control points Identify control points Secure control points Reduce areas that will be commoditized Drive agility in a dynamic environment Ingrain agility and stay informed Analyze other industries for transferable business models SOURCE: McKinsey

12 We have set a clear path to meet our customers needs for better solutions SERVICE LEADERSHIP World-class service offering DIGITAL BUSINESS LEADERSHIP Global leader in intelligent cargo handling PRODUCT LEADERSHIP World-class equipment company Product R&D drives offering development Service R&D drives offering development Digital business R&D drives offering development

13