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Supply Chain in a Virtual World

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Yonus Siddiqui
Yonus Siddiqui

The document discusses how supply chains are moving to a virtual world through increased integration of information technologies. It provides examples of how Dubai has used mobile phones, portals, and wireless connectivity to integrate different parts of its supply chain, reducing cargo transfer time from port to airport to just 20 minutes. This virtual integration has increased supply chain visibility, optimized processes, and driven time savings of up to 30%. The document argues that Pakistan can similarly leverage growing wireless adoption and its large pool of technical skills to integrate its logistics sector and put it on a fast track to connect with global supply chains.

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SUPPLY CHAIN IN A VIRTUAL WORLD Take Away from World Economic Forum DAVOS 2011-12 By: Yonus A. Siddiqui Vice President Projects
WORLD ECONOMIC FORUM GLOBAL AGENDA COUNCIL ON LOGISTICS & SUPPLY CHAINS Global Agenda Councils (GAC) are unique multi stakeholder groups that convene leading thought leaders from academia, business, government & other fields to capture best knowledge on key issues and integrate them into global collaboration and decision making process. The GAC on Logistics & Supply Chains is: Contributing to the global dialogue on supply chain issues Publishing articles and providing insights Working jointly with GAC on Global Trade Systems to propose new models of trade rather than just Tariffs.
SUPPLY CHAIN IN A VIRTUAL WORLD
INFORMATION DRIVES BUSINESS Cargo from Jebel Ali Sea Port can be moved to Al-Makhtoum Airport in just 20 minutes, (all processes included) 10,000 virtual stores opening up in China USD 160 Bn. Annual online retail sales in North America A transformational shift in logistics and supply chain through virtual integration is in the making
JEBEL ALI PORT MOBILE PHONE HOLDS THE KEY Employee cell phones integrated with Labor Management System (LMS) LMS integrated with Berth Planning and Gate Controls Automatically calculates the best labor deployment based on forecasted variables Multiple what-if scenarios for cost and time optimization Berth Planning integrated with HRMS Assigns workers to points of work in minimum time 3G connectivity given to shipping lines to access bay and stowage plan information, helping to cut port call time Time savings up to 30%
DUBAI LOGISTICS CORRIDOR SPEED IS THE NAME OF THE GAME Cargo from Jebel Ali Sea Port can be moved to Al-Makhtoum Airport in just 20 minutes all formalities included Dubai Trade Portal provides a virtual integration platform Visibility of inbound shipments Automating customs, entry and exit gates Maximizing yard space on wharves Maximizing Vessel efficiency 57,000 users 26% annual growth in transactions Many companies using the Portal for 90% of their core services Virtual integration of All Players
ENABLING EFFECT OF E-INTEGRATION World Banks 2012 report on Doing Business placed the UAE among the top 5 countries (globally) for enabling Trading Across Borders
GARTNER REPORT 2011-12 Wireless adoption is growing by 30% annually among supply chain businesses worldwide and this number will continue to be driven by new spectrum of network services being offered to logistics sector.
TAKE AWAY FOR PAKISTANI LOGISTICS SECTOR Increasing affordability of wireless technology & Tech advancement we can easily leapfrog to the virtual world and drive growth. Tremendous Growth in Telecom Sector 120 Mn cell phone users 92% of land area; >10,000 cities/towns/villages covered 25 Mn. Internet users; 16% annual growth rate Mushroom growth of asset tracking companies Introduction of HHTs, RFIDs, Bar Codes etc. Increasing addiction to social media Big pool of tech savvy people Market integration with global mainstream can be put on fast track
IMAGINE THE IMPACT OF AN INTEGRATED SYSTEM ON LOGISTICS BUSINESS Vessel demurrage close to ZERO Port Cargo Velocity Gate out in 2 hours Integrated Logistics Parks with all ports Cargo crosses Afghan border in 3 days Delivery confirmation sent to customers within 5 mins Virtual shopping Walls in public places On line ordering through cell phones & cell phones Allowing staff to work from home
FUTURE IS HERE ...ALREADY!

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Supply Chain in a Virtual World

  • 1. SUPPLY CHAIN IN A VIRTUAL WORLD Take Away from World Economic Forum DAVOS 2011-12 By: Yonus A. Siddiqui Vice President Projects
  • 2. WORLD ECONOMIC FORUM GLOBAL AGENDA COUNCIL ON LOGISTICS & SUPPLY CHAINS Global Agenda Councils (GAC) are unique multi stakeholder groups that convene leading thought leaders from academia, business, government & other fields to capture best knowledge on key issues and integrate them into global collaboration and decision making process. The GAC on Logistics & Supply Chains is: Contributing to the global dialogue on supply chain issues Publishing articles and providing insights Working jointly with GAC on Global Trade Systems to propose new models of trade rather than just Tariffs.
  • 3. SUPPLY CHAIN IN A VIRTUAL WORLD
  • 4. INFORMATION DRIVES BUSINESS Cargo from Jebel Ali Sea Port can be moved to Al-Makhtoum Airport in just 20 minutes, (all processes included) 10,000 virtual stores opening up in China USD 160 Bn. Annual online retail sales in North America A transformational shift in logistics and supply chain through virtual integration is in the making
  • 5. JEBEL ALI PORT MOBILE PHONE HOLDS THE KEY Employee cell phones integrated with Labor Management System (LMS) LMS integrated with Berth Planning and Gate Controls Automatically calculates the best labor deployment based on forecasted variables Multiple what-if scenarios for cost and time optimization Berth Planning integrated with HRMS Assigns workers to points of work in minimum time 3G connectivity given to shipping lines to access bay and stowage plan information, helping to cut port call time Time savings up to 30%
  • 6. DUBAI LOGISTICS CORRIDOR SPEED IS THE NAME OF THE GAME Cargo from Jebel Ali Sea Port can be moved to Al-Makhtoum Airport in just 20 minutes all formalities included Dubai Trade Portal provides a virtual integration platform Visibility of inbound shipments Automating customs, entry and exit gates Maximizing yard space on wharves Maximizing Vessel efficiency 57,000 users 26% annual growth in transactions Many companies using the Portal for 90% of their core services Virtual integration of All Players
  • 7. ENABLING EFFECT OF E-INTEGRATION World Banks 2012 report on Doing Business placed the UAE among the top 5 countries (globally) for enabling Trading Across Borders
  • 8. GARTNER REPORT 2011-12 Wireless adoption is growing by 30% annually among supply chain businesses worldwide and this number will continue to be driven by new spectrum of network services being offered to logistics sector.
  • 9. TAKE AWAY FOR PAKISTANI LOGISTICS SECTOR Increasing affordability of wireless technology & Tech advancement we can easily leapfrog to the virtual world and drive growth. Tremendous Growth in Telecom Sector 120 Mn cell phone users 92% of land area; >10,000 cities/towns/villages covered 25 Mn. Internet users; 16% annual growth rate Mushroom growth of asset tracking companies Introduction of HHTs, RFIDs, Bar Codes etc. Increasing addiction to social media Big pool of tech savvy people Market integration with global mainstream can be put on fast track
  • 10. IMAGINE THE IMPACT OF AN INTEGRATED SYSTEM ON LOGISTICS BUSINESS Vessel demurrage close to ZERO Port Cargo Velocity Gate out in 2 hours Integrated Logistics Parks with all ports Cargo crosses Afghan border in 3 days Delivery confirmation sent to customers within 5 mins Virtual shopping Walls in public places On line ordering through cell phones & cell phones Allowing staff to work from home
  • 11. FUTURE IS HERE ...ALREADY!