Automation, Digitisation & Process Improvement Benny Mantin - - PowerPoint PPT Presentation

Automation, Digitisation & Process Improvement

Benny Mantin Steffen Klosterhalfen

• Partnership with the

Massachusetts Institute of Technology Center for Transportation & Logistics

• Our mission:

Innovative research and teaching excellence with practical relevance

Luxembourg Centre for Logistics and Supply Chain Management

Luxembourg Centre for Logistics and Supply Chain Management

Research Teaching Outreach

§ Purchasing & Procurement § Production & Operations Mgmt § Logistics, Transportation & Distribution § Supply Chain Mgmt § Technology Innovation § International Trade & Regulatory Dimensions § Full-Time Master Programme § Part-Time Master Programme § Executive Education § Doctoral Education § Access to International Experts Through MIT’s Global SCALE Network § Pool of First-Class Graduates § Opportunities for Master Thesis Projects § Dedicated Research Projects § Networking Opportunities and Knowledge Exchange

Benny Mantin Steffen Klosterhalfen

Automation, digitisation & process improvement

Why invest in automation?

• Reduce errors
• Increase precision and consistency
• Speed up processes, reduce noise
• Cost savings and productivity gains
• Empower employees
• Harness new technologies
• Keep in mind: Automation generally requires a stable

and predictable environment

kymx.cbslocal.com Storactlog.com extremetech.com

Warehouse automation

Rethink Processes

Embracing automation Process redesign

Why invest in digitisation?

• Reduce errors
• Speed up processes, reduce noise
• Cost savings and productivity gains
• Empower employees
• Harness new technologies
• Most importantly: INFORMATION

– Increase data accessibility – Data preservation – New insights – Volume, velocity, variety

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reedme.org

Rethink Processes

Embracing digitisation Process redesign

Why digitise logistical processes?

• Harness availability of data to predict demand,

plan and optimise capacity

• Share and collaborate with supply chain members
• Increase JIT sourcing
• Rethink inventories
• Process and business models innovation

How to harness availability of data for making predictions

Net sales Inventory cost Composite Leading Indicator (OECD)

Net sales and inventory cost

50 75 100 125 150

Modeling approach

External market knowledge Internal knowledge Historical sales data

> 5000 indicators

Benefit from harnessing additional data

Historical demand

3-month ahead forecasts, chemical industry example

MAPE = 8.2% MAPE = 3.2% without indicator with indicator

Forecast (with prediction interval 70%)

Get involved with the LCL

… and explore the improvement potential that can be unleashed in a joint collaboration

Thank you for your attention! Lcl.uni.lu

Why invest in digitisation?

Source: Future of jobs survey. World Economic forum

• Harness new technologies

% of respondents