CARRIER CONNECTIVITY WITH TRANSPOREON AT OTM and TRANSPOREON a perfect fit -"plug and play" carrier connectivity. How to combine the expertise of both systems. OTM SIG Webinar 16th September 2014
Agenda Who is UPM Carrier connectivity at UPM and TRANSPOREON as our integration platform for Road transports (UPM) Presentation of the solution (UPM) Benefits (UPM) Who is TRANSPOREON Q&A (UPM and TRANSPOREON)
UPM today Global operator - Sales operations in 65 countries, production in 15 countries Sales 10,4 billion euros in 2012 22,000 employees Listed in the NASDAQ OMX Helsinki stock exchange UPM Biorefining UPM Energy UPM Raflatac UPM Paper Asia UPM Paper ENA UPM Plywood Biofuels Pulp Plantation operations Timber Wood sourcing Hydro, nuclear and condensing power (incl. shareholdings in energy companies) Physical and derivatives trading Self-adhesive label materials for product and information labeling Fine papers in China Label paper business Magazine papers Europe and NA Newsprint and fine papers Europe RCP and wood sourcing Plywood and veneer products Other operations: Forests (over 850,000 hectares) and wood sourcing, New Business Development and Group services UPM
Sales network and production plants Global sales network 67 production plants in 17 countries: - Europe: 55 - USA 5 - Brazil 1 - Uruguay 1 - China 2 - Australia 1 - Malaysia 1 - South-Africa 1 UPMU
Supply Chain Main Locations Supply Chain Center with Customer Service, Planning, Order Fulfillment and Logistics (Augsburg, Dörpen, Altrincham, Tampere, Westmont, Changshu Supply Chain Hub with Customer Service and Logistics (Antwerp, St.Petersburg) Sales Office with Customer Service 5 UPMU April 11, 2010
OTM (MoveIT) in UPM Enabler of change - 2005 Local logistics systems with local processes 2005-2010 Global OTM implementation 2010-2012 Harmonizing organization and processes 2012 - Optimizing Processes 2005-2009 Paper products 2012-2013 Integration of acquired Myllykoski Paper 2010 Non-Paper products 6 UPMU April 8, 2011 2013 Biofuels integration
Agenda Who is UPM Carrier connectivity at UPM and TRANSPOREON as our integration platform for Road transports (UPM) Presentation of the solution (UPM and TRANSPOREON) Implementation & Benefits (UPM) Who is TRANSPOREON Q&A (UPM and TRANSPOREON)
Carrier connectivity strategy at UPM All new LSP interfaces are build via an integration platforms Existing direct EDI interfaces with LSPs are maintained; new direct EDI interfaces are not built Consider the different IT capabilities of the carriers - EDI connections to each carrier are not feasible and industry specific integration platforms are needed a web-platform is needed UPMU
Transporeon as our integration platform for road Before selection of the road integration platform we checked which integration provider has the best coverage of our carrier network Transporeon covered already more than 60% of our carriers and it was by far more than any other provider which we were evealuating Ambitious targets for our integration project were set: Streamline transport assignment process: no more fax, phone and Email Reduction of truck waiting time and associated costs Harmonized process for all mills UPM dispatchers/users should be able work only with OTM user interface (no additional software for UPM users, seamless integration) Avoid carrier support tasks by UPM (no budget, no personnel) Highly available and robust solution Decrease TCO UPMU
Agenda Who is UPM Carrier connectivity at UPM and TRANSPOREON as our integration platform for Road transports (UPM) Presentation of the solution (UPM and TRANSPOREON) Implementation & Benefits (UPM) Who is TRANSPOREON Q&A (UPM and TRANSPOREON)
TRANSPOREON as middleware guarantees the smooth carrier and customer integration Shipper A OTM Shipper B OTM Carriers and customers: Usage of ONE system TRANSPOREONplatform This enables us to provide benefits to the supply chain! Shipper C OTM Shipper D OTM
OTM TRANSPOREON process flow UPM users run bulk plans secure resources OTM accept tender transport order transport order confirmation booked time slot No-touch order transport order accept transport order Service providers loading instructions (including pick-up appointment time) MES & other WMS Timeslotmanagement book time slot AVERAGE MONTHLY MESSAGE COUNTS Load Tender Load tender response Timeslot booking 30.000 60.000 11.000 UPM
TRANSPOREON Time Slot Management Higher efficiency due to transparency for all parties OTM Dock Manager books /reserves slots in OTM Plans capacities in OTM Real-time synchronization in place 7:00 8:00 9:00 10:00 11:00 1 carrier Time Slot Management 2 books slots with reference transport order customer order receives information about the dispatch status optional: manages trailers 3 4 5 Self-collector/ supplier books slots with reference to a customer order receives information about the dispatch status
Agenda Who is UPM Challenges and objectives (UPM) The solution in Detail (UPM and TRANSPOREON) Implementation & Benefits (UPM) Who is TRANSPOREON Q&A (UPM and TRANSPOREON)
TRANSPOREON implementation in UPM All carriers for one source location at the same time In OTM TRANSPOREON interface is activated is on a service provider and source location level UPM
Benefits for carriers Carriers are also benefitting from integration and integration related developments have been done in a very collaborative way The carrier just works within one application, not a large number of different individual shipper portals Carriers have options for a EDI message interface with TRANSPOREON or use of TRANSPOREON web client for processing transport orders from multiple shippers - Small carriers usually don t have own systems with integration capabilities - Carrier only has to set up ONE interface to TRANSPOREON in order to receive ALL transport orders of his TRANSPOREON-shippers EDI message interface with UPM carriers - 10% of all UPM carriers are EDI connected to TRANSPOREON - 30% of the UPM transport orders go via TRANSPOREON EDI to their IT systems 16 UPM
Benefits for UPM High project speed we were able to concentrate on the processes in OTM Integration with TRANSPOREON has improved our agility in logistics sourcing: UPM only has ONE interface to connect new carriers thus we are able to on board new carriers very quickly Harmonized and highly automated and efficient transport order and timeslot management processes - Reduces need for manual communication with carriers (phone calls, emails, etc.) - Reduces errors Carrier Support out of the box - All carriers get trained and supported by the TRANSPOREON customer care team (21 different languages offered), no UPM involvement; High carrier acceptance UPM
Agenda Who is UPM Challenges and objectives (UPM) The solution in Detail (UPM and TRANSPOREON) Live-Demo (UPM and TRANSPOREON) Implementation & Benefits (UPM) Who is TRANSPOREON Q&A (UPM and TRANSPOREON)
Integrated coverage of supply chain processes provided by TRANSPOREON Group solutions Paperless and automatic processes Improve customer service TICONTRACT TRANSPOREON TRANSPORT SOURCING TRANSPORT ORDER ASSIGNMENT TIME SLOT MANAGEMENT STATUS MANAGEMENT/ MOBILE APP REPORTING Much faster tendering process Reduce rates Optimise loading/unloading process Reduce truck cycle time Carrier performance measurement
TRANSPOREON Group key facts 2013 TRANSPOREON OOO TRANSPOREON GmbH TRANSPOREON Inc. TICONTRACT GmbH TICONTRACT Inc. MERCAREON GmbH TRANSPOREON Sp. z o.o TRANSPOREON Group Asia Pacific Pte Ltd 13 years experience in developing solutions for transport logistics: > 330 employees > 850 shippers from industry & retail > 40.000 connected carriers > 100.000 users in more than 80 countries Support and platforms in 21 languages
Geographical distribution of 40.000 connected carriers 2.500 350 900 18.000 8.200 9.100 550 900
TRANSPOREON is proud to saythat our customers rely on us BUILDING MATERIALS METAL/ PLASTICS AUTOMOTIVE/ ELECTRONICS TIMBER PAPER/CARD- BOARD/PRINTING BEVERAGES/ CONSUMER MISCELLANEOUS
The TRANSPOREON business model Software as a Service Transactions based price model Carriers benefit from the platform tremendously No separate costs for trainings 100% variable costs Carrier pays transaction fees No separate costs for support TRANSPOREON Software asa Service Business Model Shipper only pays low project costs Transparent, user orientated and fair price model No running charges for the shipper Fast ROI
Contact! Volkert Gasche Head of Sales and Marketing Central Europe TRANSPOREON GmbH Magirus-Deutz-Str. 16 Stadtregal DE -89077 Ulm Telefon +49 (0)4101 831 67 61 Mobile +49 (0)172 70 80 092 gasche@transporeon.com www.transporeon.com