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Last Mile Visibility through Digitisation,
Cloud Computing and Mobility
Miguel Jorge
#SAPICS2017
Who am I?
Solution Architect and Integration Specialist at STRATO
IT Group
Been involved in SAP consulting for 16 years, with
projects across South Africa and also international
projects. Started off in the supply chain modules, but
focusing more on integration now.
Completed my MBA in 2014, with electronic proof of
delivery and digitisation being the subject of my
dissertation
Love keeping abreast of new technologies and
concepts in IT
#SAPICS2017
Today’s Objective
Today’s objective is to demonstrate the ability of
combining the concepts of cloud computing, mobile
computing and digitisation in order to improve logistics
tracking and customer satisfaction
#SAPICS2017
What are the Key Take Aways
• Cloud computing is accessible anywhere anytime and is
cost effective
• Mobile computing is not limited to consumer applications
and can be used effectively to improve your business
• Digitisation of logistics processes allows for important
documentation and processes to be converted into usable
data
• The combination of the above points allows for
businesses to be proactive and improve logistics
processes cost effectively whilst improving customer
satisfaction
#SAPICS2017
Problems
Process Adherence
Current processes & poor discipline circumvent procedures
for ensuring all documents are completed and records are
comprehensive
Record Keeping
Incomplete historic documentation & poor access to
records
Evidence
No evidence of variances or stock claims.
Present procedures not adhered to. Dispute
procedures inadequate
Visibility
No current practice provides poor visibility of the
delivery process and it’s supporting
documentation
Lack of Information
Current processes do not support the need to convert data
into information for better decision making
Outdated Technology & Business Practice
Existing procedures & process paper driven & dictate process
times
#SAPICS2017
Solution – Mobile Computing
CAN DIGITIZE DOCUMENTS &
PROCESS STEPS
Capture of the consignee signature at point
of delivery
Manage regulatory compliance
A POLICY INSTRUMENT
Scan product off the vehicle to
eliminate delivery failures
PROCESS IMPROVEMENT
Codify and standardize communications to
enable reporting and analysis
Back-end Information Orchestration and
Analysis
DATA BECOMES INFORMATION
Identify OS&D (Over, Short, Damaged)
situations and initiate a claims process
REDUCES CLAIMS
Mobile Computing
Low cost yet powerful mobile
devices ranging from
ruggedized handhelds to
smart phones to tablets—
running customizable pickup
and delivery applications—
enable processes to be
automated and digitized.
Information that captures the
essence of a customer
interaction can then be
communicated back to the
enterprise in real time and
disseminated to the
appropriate resource.
#SAPICS2017
Solution – Cloud Computing
Shifts Fixed to Variable Costs
Enables a Pay as you Use model
COST FLEXIBILITY
Provides flexible cost-effective
computing capacity to support
growth
BUSINESS SCALABILITY
Enables faster time-to-market / value
Supports experimentation
MARKET ADAPTABILITY
Fosters new value nets
Drives potential new business
ECOSYSTEM CONNECTIVITY
Enables user-defined experiences
Increases product value / relevance
CONTEXT-DRIVEN VARIABILITY
Enables expanded product sophistication
Background processes enhance user
friendliness.
MASKED COMPLEXITY
Cloud empowers Six
Potentially
Game-changing
Business
Enablers
01
02
03 04
05
06
#SAPICS2017
Cloete Sand and Stone began in 1982 as a sole proprietorship. With over 30 years in the construction and
transport industry, Cloete Sand and Stone has grown to become a trusted name in the industry. The
business operates with over 30 modern trucks in its fleet and prides itself on providing its customers
with quicker lead times due to safer operating speeds as well as less down time due to break downs
#SAPICS2017
Cloete’s Dispatch Process – Before ePOD
• Order captured on back-office system
• Loads collated and manually dispatched (2,5 hrs for 200
loads)
• Delivery documents manually printed
• Works Schedules manually printed
• Admin staff manually pre-populate quarry pickup forms i.e.
the generic information
• Admin staff collate delivery documents, work schedules
and quarry pickup forms into delivery packs for drivers
• Visual inspection of truck and no record of truck condition
#SAPICS2017
Cloete’s Dispatch Process – With ePOD
• Order captured on back-office system
• Orders automatically distributed into dispatch hub on cloud-
based portal
• Loads collated and planned through the dispatch hub (30
minutes for 200 loads)
• Planned loads automatically synchronised with back-office
system
• No work schedules printouts
• No delivery documentation printouts
• No quarry form pre-population required
• Driver Load retrieval on mobile device – 7-inch rugged tablets
• Truck Pre-Inspection completed on tablet
#SAPICS2017
Cloete’s Quarry Pickup Process – Before ePOD
• Driver would need to collect paper-based delivery
pack
• Quarry weighbridge information populated onto quarry
forms
• Weighbridge information manually captured onto
back-office system when truck returns at the end of
the day
#SAPICS2017
Cloete’s Quarry Pickup Process – After ePOD
• Driver retrieves delivery pack onto the tablet
• Weighbridge information captured onto the tablet
• Weighbridge information automatically synchronised
with back-office system at the point of capture
• Confirmation of pickup from quarry emailed from
cloud-based portal
#SAPICS2017
Cloete’s Customer Delivery – Before ePOD
• Driver would complete delivery and then customer would
sign paper-based delivery note
• All paper-based delivery documentation collected for the
days deliveries and sent to admin office
• On the following work day, admin staff to go through
previous days delivery documents and manually capture
information into back-office system
• On the following work after the manual capture, the
delivery documents are scanned and uploaded into a
Document Management System (DMS).
• Once the back-office system and DMS system have
synchronised, information is integrated into Pastel system
and invoice generated and sent to customer
#SAPICS2017
Cloete’s Customer Delivery – After ePOD
• Driver completes delivery and customer signs on tablet
• Once signed, delivery information automatically synchronised
with cloud-based portal
• Digital copy of delivery document with signatures generated
and emailed through to customer and admin staff
• Digital copy of delivery document automatically added to the
Document Management System (DMS)
• Back-office system automatically updated with the delivery
quantities and completion status
• Once the back-office system and DMS system have
synchronised, information is integrated into Pastel system and
invoice generated and sent to customer – on the same day as
delivery
#SAPICS2017
Some Common Pitfalls
• Over complicate the solution
• Try to add too many new things
• Assume that it will never work in their business
• Underestimate the capability of their employees /
drivers
• Worry about the cost of data
• Worry about hardware being stolen or not working
• Worry about connectivity
#SAPICS2017
What can I do now?
• Analyse your current business processes and see
where an electronic proof of delivery system would be
beneficial – not only during the delivery process, but
include before and after delivery processes
• Engage with customers and see how they would feel
about a system like this
• Take that first step and start small
#SAPICS2017
Thank You
Miguel Jorge
miguel.jorge@stratoitgroup.co.za

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Last mile visibility through digitisation, cloud computing and mobility - SAPICS 2017

  • 1. Last Mile Visibility through Digitisation, Cloud Computing and Mobility Miguel Jorge
  • 2. #SAPICS2017 Who am I? Solution Architect and Integration Specialist at STRATO IT Group Been involved in SAP consulting for 16 years, with projects across South Africa and also international projects. Started off in the supply chain modules, but focusing more on integration now. Completed my MBA in 2014, with electronic proof of delivery and digitisation being the subject of my dissertation Love keeping abreast of new technologies and concepts in IT
  • 3. #SAPICS2017 Today’s Objective Today’s objective is to demonstrate the ability of combining the concepts of cloud computing, mobile computing and digitisation in order to improve logistics tracking and customer satisfaction
  • 4. #SAPICS2017 What are the Key Take Aways • Cloud computing is accessible anywhere anytime and is cost effective • Mobile computing is not limited to consumer applications and can be used effectively to improve your business • Digitisation of logistics processes allows for important documentation and processes to be converted into usable data • The combination of the above points allows for businesses to be proactive and improve logistics processes cost effectively whilst improving customer satisfaction
  • 5. #SAPICS2017 Problems Process Adherence Current processes & poor discipline circumvent procedures for ensuring all documents are completed and records are comprehensive Record Keeping Incomplete historic documentation & poor access to records Evidence No evidence of variances or stock claims. Present procedures not adhered to. Dispute procedures inadequate Visibility No current practice provides poor visibility of the delivery process and it’s supporting documentation Lack of Information Current processes do not support the need to convert data into information for better decision making Outdated Technology & Business Practice Existing procedures & process paper driven & dictate process times
  • 6. #SAPICS2017 Solution – Mobile Computing CAN DIGITIZE DOCUMENTS & PROCESS STEPS Capture of the consignee signature at point of delivery Manage regulatory compliance A POLICY INSTRUMENT Scan product off the vehicle to eliminate delivery failures PROCESS IMPROVEMENT Codify and standardize communications to enable reporting and analysis Back-end Information Orchestration and Analysis DATA BECOMES INFORMATION Identify OS&D (Over, Short, Damaged) situations and initiate a claims process REDUCES CLAIMS Mobile Computing Low cost yet powerful mobile devices ranging from ruggedized handhelds to smart phones to tablets— running customizable pickup and delivery applications— enable processes to be automated and digitized. Information that captures the essence of a customer interaction can then be communicated back to the enterprise in real time and disseminated to the appropriate resource.
  • 7. #SAPICS2017 Solution – Cloud Computing Shifts Fixed to Variable Costs Enables a Pay as you Use model COST FLEXIBILITY Provides flexible cost-effective computing capacity to support growth BUSINESS SCALABILITY Enables faster time-to-market / value Supports experimentation MARKET ADAPTABILITY Fosters new value nets Drives potential new business ECOSYSTEM CONNECTIVITY Enables user-defined experiences Increases product value / relevance CONTEXT-DRIVEN VARIABILITY Enables expanded product sophistication Background processes enhance user friendliness. MASKED COMPLEXITY Cloud empowers Six Potentially Game-changing Business Enablers 01 02 03 04 05 06
  • 8. #SAPICS2017 Cloete Sand and Stone began in 1982 as a sole proprietorship. With over 30 years in the construction and transport industry, Cloete Sand and Stone has grown to become a trusted name in the industry. The business operates with over 30 modern trucks in its fleet and prides itself on providing its customers with quicker lead times due to safer operating speeds as well as less down time due to break downs
  • 9. #SAPICS2017 Cloete’s Dispatch Process – Before ePOD • Order captured on back-office system • Loads collated and manually dispatched (2,5 hrs for 200 loads) • Delivery documents manually printed • Works Schedules manually printed • Admin staff manually pre-populate quarry pickup forms i.e. the generic information • Admin staff collate delivery documents, work schedules and quarry pickup forms into delivery packs for drivers • Visual inspection of truck and no record of truck condition
  • 10. #SAPICS2017 Cloete’s Dispatch Process – With ePOD • Order captured on back-office system • Orders automatically distributed into dispatch hub on cloud- based portal • Loads collated and planned through the dispatch hub (30 minutes for 200 loads) • Planned loads automatically synchronised with back-office system • No work schedules printouts • No delivery documentation printouts • No quarry form pre-population required • Driver Load retrieval on mobile device – 7-inch rugged tablets • Truck Pre-Inspection completed on tablet
  • 11. #SAPICS2017 Cloete’s Quarry Pickup Process – Before ePOD • Driver would need to collect paper-based delivery pack • Quarry weighbridge information populated onto quarry forms • Weighbridge information manually captured onto back-office system when truck returns at the end of the day
  • 12. #SAPICS2017 Cloete’s Quarry Pickup Process – After ePOD • Driver retrieves delivery pack onto the tablet • Weighbridge information captured onto the tablet • Weighbridge information automatically synchronised with back-office system at the point of capture • Confirmation of pickup from quarry emailed from cloud-based portal
  • 13. #SAPICS2017 Cloete’s Customer Delivery – Before ePOD • Driver would complete delivery and then customer would sign paper-based delivery note • All paper-based delivery documentation collected for the days deliveries and sent to admin office • On the following work day, admin staff to go through previous days delivery documents and manually capture information into back-office system • On the following work after the manual capture, the delivery documents are scanned and uploaded into a Document Management System (DMS). • Once the back-office system and DMS system have synchronised, information is integrated into Pastel system and invoice generated and sent to customer
  • 14. #SAPICS2017 Cloete’s Customer Delivery – After ePOD • Driver completes delivery and customer signs on tablet • Once signed, delivery information automatically synchronised with cloud-based portal • Digital copy of delivery document with signatures generated and emailed through to customer and admin staff • Digital copy of delivery document automatically added to the Document Management System (DMS) • Back-office system automatically updated with the delivery quantities and completion status • Once the back-office system and DMS system have synchronised, information is integrated into Pastel system and invoice generated and sent to customer – on the same day as delivery
  • 15. #SAPICS2017 Some Common Pitfalls • Over complicate the solution • Try to add too many new things • Assume that it will never work in their business • Underestimate the capability of their employees / drivers • Worry about the cost of data • Worry about hardware being stolen or not working • Worry about connectivity
  • 16. #SAPICS2017 What can I do now? • Analyse your current business processes and see where an electronic proof of delivery system would be beneficial – not only during the delivery process, but include before and after delivery processes • Engage with customers and see how they would feel about a system like this • Take that first step and start small