Page 60 - Case Study Annual 2015
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interconnected logistics operations platform leading to                                          invited to participate in the project’s activities.
wa islilgbneificdaenmt orendsturactteiodninintwcoostismapnldemCeOn2taetimonisspioilnoststhfoart  Seminars and workshops: Several seminars will be
interconnected solutions.                                                                        organised to better understand how concepts developed
                                                                                                 in Modulushca could be adapted to fulfil FMCG sector
    Modulushca efforts will lead to the development                                              needs.
of a road map towards a fully interconnected logistics                                           Roadmap: The development of a transformational
system in 2030. The road map will address the changes                                            and technology roadmap is being planned, which
and necessary steps to evolve the logistics system                                               will address the required step-changes needed for
gradually, exploiting progresses in digital, physical                                            gradual modification to the logistics system,
and operational interconnectivity, building on current                                           exploiting progress in digital, physical and operational
players, assets and infrastructures. The changes required                                        interconnectivity and building on current players, assets
to move towards interconnected FMCG logistics were                                               and infrastructures.
assessed and linked to the industry perceived success                                            Networking: Learn and share knowledge, documents
drivers and obstacles.                                                                           and experiences about this new logistics concept.
                                                                                                 LinkedIn: Search in the Groups, the items ‘Physical
..... the technology is “a piece of cake. There’s no                                             Internet’ or ‘Modulushca’; Twitter: @modulushca;
                                                                                                 YouTube: youtube.com/modulushca
 science fiction and nothing to invent in terms of                                               Also go to: http://www.physicalinternetinitiative.org/
                                                                                                 and http://www.modulushca.eu/
software and the big picture where Business Meets
                                                                                                 Conclusion
     Materials Handling data collection”
                                                                                                 The Physical Internet: Not a utopia, not a Big-Bang.
Expected results                                                                                 The Physical Internet builds on the network effect,
                                                                                                 getting ever more effective as it gathers more users.
The main benefits can be summarised as:                                                          It must gather critical mass, first exploiting existing
• Demonstrate technical, digital and operational feasibility                                    infrastructures and means, then gradually fostering
                                                                                                 innovation. Even though it is to be ultimately global,
  of seamless handling of cargo within supply chain                                              it will have to grow first in fertile domains, where it
  operations across companies and transport modes;                                               must be collaboratively supported by key leaders from
• R ecommending industry standards for iso modular                                              industry, government and academia.
  logistics units to be deployed along the entire supply
  chain of different branches for a European wide and                                                So, is the Physical Internet a pipedream or is it a
  global market introduction;                                                                    possibility? According to Montreuil, the technology is
• D evelop models to assess the supply chain benefits                                           “a piece of cake. There’s no science fiction and nothing
  providing a methodology for cross process and cross                                            to invent in terms of software and the big picture where
  company supply chain analysis for industry and                                                 Business Meets Materials Handling data collection.”
  policy makers;                                                                                 He believes the companies within MHIA could come
• A clear information handling approach, including                                              up with the handling innovations to make this happen
  data consistency and transport monitoring along the                                            very quickly.
  journey as model contributing to extend and enhance
  standardisation developments in eFreight and iCargo;                                               In Montreuil’s definition, quickly is about a decade.
• Developing optimisation algorithms for loading                                                “The real challenge,” he said, “is overcoming the
  capacity optimisation and scheduling transferring                                              reservation of businesses to collaborate with one
  especially to SME user groups;                                                                 another to make the Physical Internet work. Companies
• Enhance the innovation process at the interface                                               will need to come up with new business models.”
  material and transport flow to stimulate a gradual
  market take up and implementation process;                                                         The other challenge is convincing a group of shippers
• S timulate the market uptake of new interconnected                                            to do it now, rather than later. While it may take a
  logistics systems and other innovations developed                                              decade to get a global Physical Internet up and running,
  and tested within the project and thereby increasing                                           Montreuil believes that a consortium of companies, or
  the viability of the implementation.                                                           even an entire industry, could do it now. “I think the
                                                                                                 biggest hurdle is the reluctance of companies to do
Participate                                                                                      this until everything is in place to operate on a global
                                                                                                 scale,” he said, “I see it as something that can be phased
All companies involved in FMCG supply chain are                                                  in now and grow incrementally.” That could be the
                                                                                                 industry that is asking the question: “Isn’t there a better
                                                                                                 way?” Perhaps Modulsucha will form the starting point
                                                                                                 in answering this question. •

58 the logistics news case study annual 2015
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