Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.
Enterprise software giant Oracle Corp. today unveiled the latest updates to its Oracle Fusion Cloud Supply Chain & Manufacturing (Oracle Cloud SCM) platform, saying the changes will help organizations to increase collaboration across supply networks, proactively manage supply chain assets, and implement long-term supply chain planning.
According to Redwood Shores, California-based Oracle, the improvements will allow companies to build more resilient and agile supply chains, thanks to new features like: Oracle logistics digital assistant, Oracle AI planning advisor, field service preventative maintenance, multi-tier supply chain collaboration, planning for project-driven supply chain, new channel revenue management capabilities, and cross-product procurement enhancements.
Oracle’s release came out on the same date as an upgrade from its rival enterprise software vendor, the german technology giant SAP AG, which today announced a new release of its SAP Logistics Business Network. That cloud-based network platform is designed to connect SAP customers’ back-end systems to their freight collaboration, tracking, order fulfillment, and material traceability networks, the company says.
According to SAP, the updated Logistics Business Network increases network visibility, collaboration, and reach through upgrades like: sales order fulfillment tracking, enhanced freight collaboration capabilities, standard APIs to connect partners and networks, and new coverage for additional modes of transport through partnerships with ClearMetal and Shippeo, as well as its existing partnership with project44.
As the releases came out in the midst of a deadly pandemic, both companies pointed to a growing need for companies to safeguard against global disruptions by supporting sustainable and resilient supply chains.
“The last 12 months have stretched supply chains to the limit as organizations wrestle with the disruptions of Covid-19, shifting global trade agreements, rapidly changing customer expectations, and numerous other unforeseen circumstances,” Rick Jewell, senior vice president, Oracle Applications development, said in a release. “With the new capabilities within Oracle Cloud SCM, we are helping our customers navigate this complexity and build more adaptable businesses that can respond to today’s challenges and whatever comes next.”
For example, shutdowns and panic-buying during the pandemic have disrupted freight transportation patterns across the U.S., said Jon Chorley, Oracle’s chief sustainability officer and GVP of SCM Product Strategy. But to weather than challenge, companies must understand that an unprecedented event like the Covid-19 health crisis may cause spikes in volume and demand, but some of those spikes will be just temporary increases followed by deep toughs. “You have to look at it differently than from traditional, historical causes, and see that some retailers are stuffing the supply chain with their products, but other items are not selling at all,” Chorley said. “The trick is in teasing those different effects apart.”
According to Chorley, Oracle’s upgraded platform can help companies cope with pandemic supply chain impacts both on the transportation side and on the demand management side. Looking at transportation first, users can apply Oracle software to flex their capacity, find pools of new availability, fit more product onto each truck, and optimize routing in transit. “But on the demand side, you have to understand which impacts are caused by which factors,” he said. “You can’t just run the same plan you ran last month; you have to adjust the dials.”
To do that, users can turn to Oracle’s “causal factors” tool, which tracks changes in supply and demand to specific triggers, such as seasonality, geography, flu season, or weather events. “If you know that increased demand is a temporary spike in hoarding, like a rush for paper products for cleaning surfaces during the pandemic, then you don’t start ramping up long-term capacity because there will be a trough that follows, not sustained demand,” Chorley said.
Supply chain planning (SCP) leaders working on transformation efforts are focused on two major high-impact technology trends, including composite AI and supply chain data governance, according to a study from Gartner, Inc.
"SCP leaders are in the process of developing transformation roadmaps that will prioritize delivering on advanced decision intelligence and automated decision making," Eva Dawkins, Director Analyst in Gartner’s Supply Chain practice, said in a release. "Composite AI, which is the combined application of different AI techniques to improve learning efficiency, will drive the optimization and automation of many planning activities at scale, while supply chain data governance is the foundational key for digital transformation.”
Their pursuit of those roadmaps is often complicated by frequent disruptions and the rapid pace of technological innovation. But Gartner says those leaders can accelerate the realized value of technology investments by facilitating a shift from IT-led to business-led digital leadership, with SCP leaders taking ownership of multidisciplinary teams to advance business operations, channels and products.
“A sound data governance strategy supports advanced technologies, such as composite AI, while also facilitating collaboration throughout the supply chain technology ecosystem,” said Dawkins. “Without attention to data governance, SCP leaders will likely struggle to achieve their expected ROI on key technology investments.”
The British logistics robot vendor Dexory this week said it has raised $80 million in venture funding to support an expansion of its artificial intelligence (AI) powered features, grow its global team, and accelerate the deployment of its autonomous robots.
A “significant focus” continues to be on expanding across the U.S. market, where Dexory is live with customers in seven states and last month opened a U.S. headquarters in Nashville. The Series B will also enhance development and production facilities at its UK headquarters, the firm said.
The “series B” funding round was led by DTCP, with participation from Latitude Ventures, Wave-X and Bootstrap Europe, along with existing investors Atomico, Lakestar, Capnamic, and several angels from the logistics industry. With the close of the round, Dexory has now raised $120 million over the past three years.
Dexory says its product, DexoryView, provides real-time visibility across warehouses of any size through its autonomous mobile robots and AI. The rolling bots use sensor and image data and continuous data collection to perform rapid warehouse scans and create digital twins of warehouse spaces, allowing for optimized performance and future scenario simulations.
Originally announced in September, the move will allow Deutsche Bahn to “fully focus on restructuring the rail infrastructure in Germany and providing climate-friendly passenger and freight transport operations in Germany and Europe,” Werner Gatzer, Chairman of the DB Supervisory Board, said in a release.
For its purchase price, DSV gains an organization with around 72,700 employees at over 1,850 locations. The new owner says it plans to investment around one billion euros in coming years to promote additional growth in German operations. Together, DSV and Schenker will have a combined workforce of approximately 147,000 employees in more than 90 countries, earning pro forma revenue of approximately $43.3 billion (based on 2023 numbers), DSV said.
After removing that unit, Deutsche Bahn retains its core business called the “Systemverbund Bahn,” which includes passenger transport activities in Germany, rail freight activities, operational service units, and railroad infrastructure companies. The DB Group, headquartered in Berlin, employs around 340,000 people.
“We have set clear goals to structurally modernize Deutsche Bahn in the areas of infrastructure, operations and profitability and focus on the core business. The proceeds from the sale will significantly reduce DB’s debt and thus make an important contribution to the financial stability of the DB Group. At the same time, DB Schenker will gain a strong strategic owner in DSV,” Deutsche Bahn CEO Richard Lutz said in a release.
Transportation industry veteran Anne Reinke will become president & CEO of trade group the Intermodal Association of North America (IANA) at the end of the year, stepping into the position from her previous post leading third party logistics (3PL) trade group the Transportation Intermediaries Association (TIA), both organizations said today.
Meanwhile, TIA today announced that insider Christopher Burroughs would fill Reinke’s shoes as president & CEO. Burroughs has been with TIA for 13 years, most recently as its vice president of Government Affairs for the past six years, during which time he oversaw all legislative and regulatory efforts before Congress and the federal agencies.
Before her four years leading TIA, Reinke spent two years as Deputy Assistant Secretary with the U.S. Department of Transportation and 16 years with CSX Corporation.
Serious inland flooding and widespread power outages are likely to sweep across Florida and other Southeast states in coming days with the arrival of Hurricane Helene, which is now predicted to make landfall Thursday evening along Florida’s northwest coast as a major hurricane, according to the National Oceanic and Atmospheric Administration (NOAA).
While the most catastrophic landfall impact is expected in the sparsely-population Big Bend area of Florida, it’s not only sea-front cities that are at risk. Since Helene is an “unusually large storm,” its flooding, rainfall, and high winds won’t be limited only to the Gulf Coast, but are expected to travel hundreds of miles inland, the weather service said. Heavy rainfall is expected to begin in the region even before the storm comes ashore, and the wet conditions will continue to move northward into the southern Appalachians region through Friday, dumping storm total rainfall amounts of up to 18 inches. Specifically, the major flood risk includes the urban areas around Tallahassee, metro Atlanta, and western North Carolina.
In addition to its human toll, the storm could exert serious business impacts, according to the supply chain mapping and monitoring firm Resilinc. Those will be largely triggered by significant flooding, which could halt oil operations, force mandatory evacuations, restrict ports, and disrupt air traffic.
While the storm’s track is currently forecast to miss the critical ports of Miami and New Orleans, it could still hurt operations throughout the Southeast agricultural belt, which produces products like soybeans, cotton, peanuts, corn, and tobacco, according to Everstream Analytics.
That widespread footprint could also hinder supply chain and logistics flows along stretches of interstate highways I-10 and I-75 and on regional rail lines operated by Norfolk Southern and CSX. And Hurricane Helene could also likely impact business operations by unleashing power outages, deep flooding, and wind damage in northern Florida portions of Georgia, Everstream Analytics said.
Before the storm had even touched Florida soil, recovery efforts were already being launched by humanitarian aid group the American Logistics Aid Network (ALAN). In a statement on Wednesday, the group said it is urging residents in the storm's path across the Southeast to heed evacuation notices and safety advisories, and reminding members of the logistics community that their post-storm help could be needed soon. The group will continue to update its Disaster Micro-Site with Hurricane Helene resources and with requests for donated logistics assistance, most of which will start arriving within 24 to 72 hours after the storm’s initial landfall, ALAN said.