S&OP Conference in Melbourne

This year’s S&OP Conference, to be held in Melbourne on 29 & 30 August, is themed ‘faster and more accurate forecasting through business integration’.

The conference will feature international keynote presenter Mike Bonnici, European Forecasting Development, Heinz (UK).

GRA partner, Carter McNabb, will chair the event, and present on Day 1. His presentation, titled Overtaking the Competition — S&OP at Super Cheap Auto, will give attendees a rare insight into one of Australia’s leading retailers; the challenges they faced and how they used S&OP as part of an overall supply chain management improvement program to gain and maintain a competitive advantage in an already challenging retail environment.

Peter Burgess, GRA Partner, will present Selecting Software Tools for Forecasting on Day 2. His presentation will focus on the importance of selecting the right forecasting tool and reveal tips and advice on the best approach, including a valuable list of “do’s and don’ts”.

GRA representatives will also be at the conference to discuss demand, inventory and supply chain optimisation.

Please feel free to drop by and let us know about your current supply chain management challenges, or just to say hello.

About GRA GRA is an expert consulting firm specialising in demand, inventory and supply chain optimisation. We combine expert knowledge with best-of-breed planning and optimisation systems to take your supply chain to the next level.

Our experience is your experience, and we work side-by-side with our clients to ensure change is successful and benefits are sustainable. Guaranteed results are typically delivered within 8-12 weeks, and we aim for a minimum 3:1 ROI.

RedPrairie’s SmartWay Transport Partnership

RedPrairie is the first supply chain technology company accepted as an Affiliate Member to the Environment Protection Agency’s (EPA) SmartWay Transport Partnership.

RedPrairie Corporation, a world leading consumer driven optimisation company, is pleased to announce it has been accepted as an Affiliate member of the EPA’s SmartWaySM Transport Partnership.

The Partnership was established to promote the reduction of greenhouse gas emissions and improve the efficiency of ground freight transportation.

RedPrairie, with its innovative E2e™ solutions, will help its clients achieve their fuel and energy conservation goals.

“Every step to increase efficiency throughout your supply chain adds up, and the overall impact can make a dramatic difference—for both the environment and the bottom line,” says Jim Hoefflin, EVP and Chief Marketing Officer for RedPrairie.

“We are proud to be a SmartWay Affiliate and share in their commitment to provide strong environmental leadership and corporate responsibility.”

To obtain a copy of RedPrairie’s, download “Greenlighting Efficiency: 7 Easy Steps to Reduce the Environmental Impact of Today’s Supply Chains.

About Smartway

Launched in 2004, the SmartWay Transport Partnership aims to achieve fuel savings of up to 150 million barrels of fuel per year. The Partnership brings together major freight shippers, trucking companies, railroads, logistics companies and trade/professional associations to pursue mutually beneficial efficiencies that result in emissions reductions and other environmental improvements, as well as cost savings to the companies.

More information on SmartWay can be found at www.epa.gov/smartway.

About RedPrairie Corporation RedPrairie is a world leading consumer driven optimization company. Built on an advanced Service Oriented Architecture (SOA) developed over the past 10 years, the RedPrairie integrated suite of solutions offers on-demand capabilities to over 25,000 sites worldwide for many of the world’s largest companies.

RedPrairie’s E2e™ solutions synchronize people and products throughout the customer buying cycle to ensure goods reach the right place at the right time.

At the point of sale, this means consumers have access to desired products and that the store is staffed with the right people to help them make their purchases. In the production cycle, it means suppliers and manufacturers time and synchronize shipments and production based on demand signals from the retailer.

And in the back room of the store, it means having the least amount of inventory, solving the “last 50 metres” problem of the retail supply chain.

BMWs transported for Asia Art in Motion

While it is not uncommon for Schenker to handle logistics for cars and spare parts, transporting priceless BMW’s for the Asia Art in Motion Tour was quite a novelty for the leading provider.

The four BMW cars were painted on by well-known artists; Ken Done, Roy Lichtenstein, Frank Stella and Andy Warhol.

During the project, the Schenker team carefully moved the cars by hand, with only one hundred per cent cotton gloves separating the cars from their skin. Each BMW had its own Schenker container.

According to Stephan Till, Vehicle Detail Manager & Logistics of BMW Mobile Tradition in Germany there were some challenging locations during the tour which were easily handled thanks to the experienced cooperation between BMW Mobile Tradition and Schenker.

Ron Koehler, CEO of Schenker AU/NZ says Schenker teams have managed to achieve high security planning and organisation through handling these BMW’s from Asia, to Australia and New Zealand.

“We have the necessary expertise built over our many years of experience in logistics and transportation with the car industry,” he says. “We are proud to have been a part of such great events.”

The Asia Art in Motion Tour included stop-overs in Australia and New Zealand for events at the Museum of Contemporary Arts, Sydney and the Auckland Museum.

Schenker Australia was established in 1962 in Sydney.

Today, Schenker Australia provides a complete range of international air, ocean and land transportation, together with integrated logistics services.

Schenker comprises over 1,200 people in 36 locations in Australia, and seven in New Zealand. Schenker and BAX Global are in the process of integrating around the world.

The joint organisation has a team of about 55,000 experts at 1,500 locations in 150 countries. Together Schenker and BAX are now the No. 1 source for European land transportation, No. 2 for global air freight, No. 3 for global ocean freight, No. 6 for global contract logistics and No. 3 for North American integrated heavy freight.

Schenker is a part of DB Logistics, the Transportation and Logistics Division of Deutsche Bahn AG.

Study shows warning systems need attention

A study into truck accidents involving trains at level crossings shows the ineffectiveness of warning systems according to National Transport Insurance (NTI).

“Since 1986 our records indicate 84 incidents where trucks (insured by NTI) and trains have collided with varying degrees of seriousness,” says NTI’s Industry Affairs Manager Owen Driscoll. “Disturbingly, 44% of these crashes have occurred since 2000.”

“A majority of the incidents occurred in daylight hours highlighting the ineffectiveness of warning systems at level crossings and the need for motorists to stay alert, particularly in rural and remote areas,” Driscoll adds.

“With reportedly more than 9400 rail crossings across Australia, NTI strongly advises that immediate action should be taken to protect the safety of road and rail users.”

“Whilst this includes ongoing driver awareness and training, a system that provides earlier warnings for motorists is crucial,” he says.

“With the high cost to the community of these incidents, both in relation to life and property, NTI implores government and industry to identify a solution to this issue.”

Interim findings include: _ In 83% of incidents the road unit was on an outbound journey from home base;

  • In 87% of incidents the heavy vehicle was found to be responsible;
  • 43% occurred in Queensland with the result influenced by incidents with cane trains;
  • Worst day was found to be Wednesday;
  • Worst time was between 9am and 3pm;
  • Worst months were July, September and November.

NTI’s National Centre for Truck Accident Research reviewed, day, month, time, location of rail crossing, freight carried, truck configuration, age/experience of driver and other associated factors in the recent study.

The research focuses on NTI insured heavy vehicle accidents in the hire and reward road freight sector with trucks having a carrying capacity exceeding 4.5 tonnes.

About National Transport Insurance

National Transport Insurance is Australia’s largest truck insurance specialist. NTI provides risk management, claims and assessing management services to the transport industry.

NTI insures over $7 billion in assets, on behalf of over 13,000 policyholders. Originally formed in 1971, NTI is an equal-partner joint venture of CGU and Vero.

For more information please contact: Owen Driscoll (07) 3287 0610, Mobile: 0438 299 205 owendriscoll@nti.com.au

Process complexities eliminated

Sterling Commerce, an AT&T Inc. subsidiary, has announced that the Water Heater Division of Rheem® Manufacturing, one of the world’s leading manufacturers of water heaters, swimming pool heaters, commercial boilers and tankless water heater solutions, has successfully implemented its Gentran Integration Suite™ (GIS) and Sterling Collaboration Network (SCN) as its multi-enterprise integration platform.

Together, GIS and SCN provide flexibility through a hybrid approach to hosting integrated business processes and allow strategic processes to be prioritised while less-strategic processes are managed in the network.

As a result, Rheem can securely expose dynamic order information from key customers to internal decision-makers and external partners across its value chain without IT involvement. This capability improves operational efficiency, customer satisfaction and revenues.

GIS accurately, flexibly and rapidly manages the infrastructure required to automatically capture, manage and display customer information across its supply chain, order entry, accounting and credit departments — while freeing IT resources from time-consuming, low-value, technology-related activity.

SCN gives Rheem end-to-end, business-to-business (B2B) connectivity that simplifies real-time collaboration with customers and partners regardless of their technical capability. With 69 percent of all orders coming through electronic data interchange (EDI), Rheem needed a solution that it could trust to handle that flow of information.

Implementing GIS has allowed Rheem to reduce the amount of staff needed to manage EDI files while taking the business process of researching orders and invoices out of the hands of IT.

The solution gives Rheem the ability to cost-effectively scale revenue-generating processes and adapt to diverse order formats and protocols, in addition to adapting order entry and call centre processes for rollout in various countries.

“By replacing the complex and unstable IT process routing system with the new Sterling Commerce B2B solution, we can instantly put critical, time-sensitive customer order information directly into the hands of the Rheem business,” says Jay Palmer, system development manager for Rheem.

“Now we can seamlessly connect our business units to our customers. This leads to better customer service and partner collaboration. At the same time, SCN enables secure data movement across multiple platforms, reduces operational risk and reliably supports customer-service-oriented business initiatives behind the scenes.”

“Sterling’s solution helps Rheem mitigate dynamic market environment and prevent the revenue loss that comes from searching for or losing valuable customer order data and invoices,” says Russell Scherwin, global director of product marketing for Sterling Commerce.

“Sterling’s hybrid solution of GIS and SCN will enable 100 percent community engagement and help Rheem increase competitive advantage by focusing resources on strategic activities while outsourcing non-strategic activities — with all processes remaining on the integrated hybrid Sterling solution.”

GIS is one of the Sterling Commerce B2B solutions and enables customers to extend processes to their customers, partners and suppliers while maximising existing and future IT systems and technologies and maintaining compliance with applicable governmental and industry legislation and mandates.

SCN provides a highly reliable and secure B2B communications foundation for enhanced global collaboration through simplified partner integration and management. It provides end-to-end visibility and automation of core business processes, and it improves margins and creates additional efficiency opportunities.

For more information: David Bass 02 9967 8022 or Mobile: 0416 017 194

Industry must act on education

It’s time the Australian Logistics industry got more serious about supporting scholarships for bright students, according to Sydney University’s Institute of Transport and Logistics Studies Director Professor David Hensher.

Speaking exclusively with Logistics Magazine, Professor Hensher, who founded the Institute of Transport and Logistics Studies (ITLS) 20 years ago, says partnerships between institutions such as his own and industry will produce the next generation of smart, committed leaders.

He calls for local companies to be more active in attracting such students.

“Our vision is to contribute to and promote excellence in research, scholarship and teaching in the Transport, Logistics and supply chain fields,” Hensher says, “but to also use our framework to work more closely with and remain relevant to industry.”

“We’ve actually achieved this vision through working collaboratively with many organizations around the world who recognize that the success of what we do is very much dependent on partnerships that we form with industry through internship programs, consultancy and other forms of advice.”

“Now that people are increasingly entering Logistics through a formal university education, we’ve got to convince Australian industry that the new generation will be more strategic and move their businesses ahead in the current dynamic and global environment,” he says.

An economist by training, Professor David Hensher’s 30-year career in transport and logistics has focused on strategy and policy in both freight distribution and passenger logistics.

With over 250 current post graduate students and a staff of 30 in the Faculty of Economics and Business at the University of Sydney, ITLS is regarded as one of the most important Australian institutions in the field.

Recognised world-wide for its reputation in transportation logistics learning and research, ITLS

was made a national centre of excellence in Australia through the Federal government’s Key Centres Program in 1995.

“We have students from 33 countries at the moment, attracting those who are switching careers in to this industry, along with a high proportion of students working in the industry, who are aiming to further their careers in manufacturing, retail and distribution companies,” Professor Hensher says.

“Many of our graduates have become highly successful individuals, particularly in the fields of intermodal freight, maritime, aviation and tourism, all clearly relevant to the logistics task.”

According to Professor Hensher, Australia still lacks vision in terms of positioning logistics and supply chain within the broader context of good business, in both public and private sectors.

“The vast majority of organisations basically want their people to have skills that are immediately relevant to their roles,” he says. “Many people in logistics have come up from the floor, and while they’ve clearly done very well, they often view education as a threat.”

On the other side of the coin, Hensher sees evidence that practitioners within logistics organisations have a narrow outlook on what business opportunities and capabilities might be.

“I think many practitioners feel they know enough by simply working in an organisation, but I believe that’s a myopic attitude, especially given logistics and supply chain management has really become the new general management, along side the CEO,” Hensher observes.

“We don’t deny the importance of knowing the nuts and bolts and operational aspects of the business, but first and foremost, the ITLS focuses on the strategic vision of logistics and supply chain in a business context.”

“We like to think that we graduate people who are thinkers and doers rather than just people who may have learned how to run a bit of software or know some of the operational aspects of their own roles.”

“Many of our ITLS graduates have been employed by medium to large sized organizations in Australia and the subsequent feedback has proven how useful they are in growing the business.”

A recent ITLS initiative reflecting this industry-focused approach is an investment in solution provider Mid-Comp International’s Odyssey Software for training purposes.

“The Odyssey Learning Initiative recognizes that many of our graduates need to be exposed to integrated commercial planning packages, such as SAP and Odyssey,” Professor Hensher explains.

“Odyssey enables students to develop an understanding of how all the elements of the value chain fit together and actually monitor and audit the performance of an enterprise with a focus on the logistics task,” he says.

“As a teaching tool, Odyssey brings together all of the various roles performed in an organisation and enables students to establish and analyse key performance indicators relating to finance, customer service and operations.”

“Were hopeful in the long term that through Odyssey students will learn to appreciate the way all the parts fit together in running a good business.”

“Australian companies these days can’t afford to be players outside the global market and at the end of the day, Transport and Logistics companies want to make money,” Professor Hensher says. “We believe the students we deliver, many of whom have overseas experience, can give Australian organizations a competitive edge.”

Gearing up for Momentum

Momentum Australia/ New Zealand 2007 will be held on the 13th September at the Waterview Convention Centre, Olympic Park, Sydney.

The annual conference is rapidly becoming one of the Australian Supply Chain industry’s largest and best known events.

Now in its fourth consecutive year, Momentum Australia/ New Zealand (ANZ) will allow local organisations to hear examples of global Supply Chain best practice from Australian organisations like themselves.

In addition, conference attendees will learn about the latest developments in Supply Chain technology from Manhattan Associates, one of the world’s leading Supply Chain solution providers.

The event offers fresh insights into the complexities of the Supply Chain, along with the tools and the knowledge needed to overcome business challenges and optimise operations.

An unparalleled opportunity for companies of all sizes and across multiple industries to come together for strategic thought leadership, networking and idea sharing, this year’s conference will inspire Supply Chain leaders to achieve ‘Value through Innovation’.

Momentum ANZ 2007 will bring together delegates from amongst the existing Manhattan Associates ANZ client base, as well as key representatives from leading supply chain organisations, partners and industry associations. Delegates include chief executive officers, chief information officers, general managers, purchasing and supply executives, logistics managers, IT managers, and manufacturing managers from distribution intensive companies, as well as Supply Chain Consultants.

The global Momentum conference series commenced in May in Las Vegas, US, with three days of educational sessions and networking attracted more than 1,200 attendees.

During September and October, the Momentum conference will continue as a series of one- and two-day events held in Europe and the Asia Pacific Region.

For more information on Momentum Australia/ New Zealand 2007, or parallel events in Singapore, Tokyo and Paris, please contact Jennifer Noonan: jnoonan@manh.com, phone: 02 9454 5414

CRT Group’s golden touch

CRT Group has acquired one of Australia’s most reputable family-owned logistics companies Golden Bros.

CRT Group is a national business providing specialised transport and logistics solutions to customers in the polymer, food and industrial sectors, with six (6) national distribution centres and employing over 300 personnel.

CRT Group became part of Australian logistics giant, QR (Queensland Rail) in 2005. The announcement supports the national expansion strategy of QR, to provide a fully integrated national logistics service to the Australian marketplace. QR operates in every mainland state in Australia and is the nation’s largest rail company.

According to Mr Cameron Dunn, CEO of CRT Group, the acquisition of Golden Bros is an exciting move that will bring about many synergies.

“Prior to 2005, CRT Group was a family owned business and as such shares a strong affinity with Golden Bros, who have grown organically as a national business, whilst still maintaining a strong customer focus,” he says.

Golden Bros is a privately owned national logistics business that has provided specialist services to the plastics and chemicals industries for over 25 years.

The company manages seven (7) distribution centres across Australia, with a dedicated fleet and employing over 60 personnel.

Cameron Dunn says the significance of the acquisition as part of CRT Group’s strategy is an increased ability to grow the business and provide a high level of service to an expanding customer base.

“It is an exciting time, as the acquisition of Golden Bros will provide sustainable growth through the expansion of our business both geographically and also through the diversification into market sectors such as dangerous goods,” he explains.

“The strong foundation upon which the Golden Bros business has been built will enable CRT Group to offer an extensive range of services nationally,” Dunn says.

Golden Bros founder, Doug Golden who will work with CRT Group to facilitate the smooth assimilation of the companies, welcomed the acquisition.

“Both Golden Bros and CRT Group share a strong commitment to providing a superior service and we look forward to becoming part of an expanding national business,” he says.

“We’re extremely proud of what we have achieved over the past few decades and look forward to continuing to provide a premium service to the marketplace.”

For further information: Rebecca Smith Marketing & Communications Manager: 03 9290 1700

or Cameron Dunn, CEO CRT Group: 03 9290 1700

Retail tool launched

Retail intelligence specialist Beonic last week launched its new system for eliminating checkout queues and improving customer service at Melbourne’s Retail Expo.

National sales manager, Traffic Insight Ken Warmington tells Logistics Magazine that Beonic’s latest product, Queue Assist, is a fully automated Checkout Management System that monitors queue lengths, customer wait times, checkout performance and can predict queues in advance.

“Store managers are instantly alerted if the current number of checkouts is insufficient to cope with the foreseeable customers demand,” he says.

“Beonic’s specialised sensors and intelligent back-end give this system its edge. Alerts give the store managers enough time to make the necessary adjustments to the checkout service levels so that queues are avoided, allowing customers to get served quicker.”

Beonic managing director Peter Cohen says the company initially developed the Checkout Management System to solve serious customer service problems in supermarkets.

“The Queue Assist solution can help to improve sales, service and customer satisfaction,” he says.

Ken Warmington says the Checkout Management System product is designed to be implemented in almost all retail environments fills a huge gap in the retail intelligence area.

“To date, stores collect information from Point-of-Sale data, supply chain records and loyalty program reports. The missing component is information about foot traffic and queueing in the store,” he says.

The Checkout Management System identifies how many people are in the store and calculates when these people will need service.

A variety of other reports about where people have walked, how they reacted to store layout and merchandising are all important value add-ons provided by the system.

“The Checkout Management System is a giant step forward towards making the retail environment a pleasant place to shop whilst keeping a close finger on the staffing pulse to keep costs at their most efficient levels,” says Peter Cohen.

“It also improves store efficiency by alerting store managers prior to queues forming so they can open additional checkouts. This solves the problem of long queues turning away customers.”

“The Checkout Management System (CMS) is the only one of its kind in the world. End-of-day reporting will provide a clear historical record of exactly what went on.”

“These are summarised into easily identifiable Key Performance Indicators (KPIs) at stores. The system has been designed as an out-of-the-box experience, equipping retailers who are serious about improving customer service consistency across all shifts and across all stores,” Cohen says.

The Checkout Management System uses the latest generation of Beonic’s sensor tracking technology. The new system delivers business benefits including:

· Improved rostering by accurately identifying the optimal level of staffing required to service customer demand, based on foot traffic through the store

· Advanced warning of queues by alerting managers when customers will arrive at checkouts

· Service level KPIs, including queue length, transaction times, scan rates, idle time and sales conversion ratios

· Improved service consistency across stores by accurately tracking service KPIs and providing customer service managers with a tool that takes the risk out of operational decisions.

Beonic offers the Checkout Management System on a per-checkout pricing basis.

The system is designed for stores with three or more checkout terminals. As well as thermal imaging sensors above checkouts and at each entrance to the store, the system includes a Beonic server running the Traffic Insight software.

According to Peter Cohen, the Checkout Management System reports can replace expensive and episodic “mystery shopper” initiatives to measure store service levels.

“These KPIs allow a store to promise a service level to its customers — and then measure their service against that promise,” he says.

“Our system measures everything that happens at the front of the store including queue lengths, how long the customer waits, the basket size, scan rate and idle time. With the Checkout Management System, Beonic helps retailers predict how many checkouts they need, how many staff rostered on and KPIs for the store.”

“The powerful reporting dimension is that this information is available through a web browser, so any authorised person in an organisation can tap into it,” Cohen adds.

“We can also configure the system to send an email, pager message or SMS to store managers for urgent alerts, so nothing is overlooked.”

Beonic is an Australian company whose world-leading Traffic Insight retail intelligence system assists retailers to learn how to convert store visitors into customers.

Beonic reports equip retailers to make better decisions about advertising, merchandising and checkout service levels, leading to happier customers, more sales and improved profits.

Customers using Beonic technology include retailers such as IKEA, Angus & Robertson Bookshops, Vodafone and Adidas as well as shopping centre groups such as Mirvac, AMP, Gandel and Centro, and public facilities such as the Sydney Opera House, the Southern Cross Railway station and Melbourne’s Federation Square.

For more information about Beonic, visit www.beonic.com.

CRT Group’s golden touch

CRT Group has acquired one of Australia’s most reputable family-owned logistics companies Golden Bros.

CRT Group is a national business providing specialised transport and logistics solutions to customers in the polymer, food and industrial sectors, with six (6) national distribution centres and employing over 300 personnel.

CRT Group became part of Australian logistics giant, QR (Queensland Rail) in 2005. The announcement supports the national expansion strategy of QR, to provide a fully integrated national logistics service to the Australian marketplace. QR operates in every mainland state in Australia and is the nation’s largest rail company.

According to Mr Cameron Dunn, CEO of CRT Group, the acquisition of Golden Bros is an exciting move that will bring about many synergies.

“Prior to 2005, CRT Group was a family owned business and as such shares a strong affinity with Golden Bros, who have grown organically as a national business, whilst still maintaining a strong customer focus,” he says.

Golden Bros is a privately owned national logistics business that has provided specialist services to the plastics and chemicals industries for over 25 years.

The company manages seven (7) distribution centres across Australia, with a dedicated fleet and employing over 60 personnel.

Cameron Dunn says the significance of the acquisition as part of CRT Group’s strategy is an increased ability to grow the business and provide a high level of service to an expanding customer base.

“It is an exciting time, as the acquisition of Golden Bros will provide sustainable growth through the expansion of our business both geographically and also through the diversification into market sectors such as dangerous goods,” he explains.

“The strong foundation upon which the Golden Bros business has been built will enable CRT Group to offer an extensive range of services nationally,” Dunn says.

Golden Bros founder, Doug Golden who will work with CRT Group to facilitate the smooth assimilation of the companies, welcomed the acquisition.

“Both Golden Bros and CRT Group share a strong commitment to providing a superior service and we look forward to becoming part of an expanding national business,” he says.

“We’re extremely proud of what we have achieved over the past few decades and look forward to continuing to provide a premium service to the marketplace.”

For further information: Rebecca Smith Marketing & Communications Manager: 03 9290 1700

or Cameron Dunn, CEO CRT Group: 03 9290 1700

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