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Copy of DP World take port management to the next level with RFID

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by

Bob Green

on 6 October 2013

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Transcript of Copy of DP World take port management to the next level with RFID

Summary
Question 2: Describe two improvement the resulted from implementing the Identec RFID-based solution.
Q3:
How does the concept of supply chain execution relate to this interactive session?
Q4: What managerial, organizational, and technological challenges might DP World have faced in the early stages of the RFID project's deployment?
Organizational Challenge
Improve security
Give better accuracy on the incoming and outgoing truck movements
DP (Dubai Ports) World is a leading terminal operators in the world with 50 terminals in 31 countries and International professional team of more than 30000 people.

They adopted the
customer-centric approach
, enhanced customers’ supply chains by providing quality, innovative services to effectively manage container, bulk, and other terminal cargo.

DP World helps shipper address complex and costly challenges of managing supply chain.

HOWEVER.......
Improve gate efficiency
Improved truck management
Reducing Queues and congestion around gates
Why is SCE important to the DP World?
Enables the company to use tracking system
Transportation operation
Containers
Enables the company to adopt "Just in time" principles to improve container turnaround.
Delivers containers from a warehouse to consumer at a time it is meant to be used

Supply chain execution (SCE) is a system that manage the flow of products through order fulfillment, distribution centers and warehouses to ensure that products are delivered to the right locations in the most efficient manner.

Using RFID technology
Increasing efficiency of truck movements through port access gates
Enhancing customer satisfaction through optimized supply chain flow which is enabling smoother, faster and more effective delivery
Lack of standardization
Different standards - networks, tag data , and systems.
Difficult for employee to adopt the use or RFID technology
Training for employees
Task 2 - MIS ISSUE RELATED TO THE CASE STUDY
SUPPLY CHAIN EXECUTION SYSTEMS
- MANAGE THE FLOW OF PRODUCTS THROUGH DISTRIBUTION CENTERS AND WAREHOUSES TO ENSURE THAT PRODUCTS ARE DELIVERED TO THE RIGHT LOCATIONS IN THE MOST EFFICIENT MANNER.

INFORMATION SYSTEMS AND SUPPLY CHAIN MANAGEMENT
- JUST IN TIME STRATEGY
- MANUFACTURER WITH PERFECT INFORMATION ABOUT EXACTLY HOW MANY UNITS OF PRODUCT CUSTOMERS WANTED, WHEN THEY WANTED THEM, AND WHEN THEY COULD BE PRODUCED.
- COMPONENTS WOULD ARRIVE EXACTLY AT THE
MOMENT THEY WERE NEEDED AND WOULD BE SHIPPED AS THEY LEFT THE ASSEMBLY LINE.

Problems in container terminal operations!!!

Traffic congestion at port entry points due to lengthy procedures and paper-based logistics
How did DP World response?
introduced many IT-based solutions to enhance terminal capacity utilization.
>>>>
Electronic custom release of cargo
Electronic Data Interchange (EDI) reporting
Two-way digital radio communications
The "e-token" advanced booking system
\ONE STEP FURTHER/
To make the loading & unloading of containers operate on
" just in time"
principles to
improve container turnaround.
Radio Frequency Identification (RFID) technology
-
Effective way of

increasing the efficiency of truck movements

through

port access gates
.
- TODAY, DP World uses RFID-enabled automatic gate systems in Dubai and Australia port terminals.
Eliminate traffic congestion
Eradicate lengthy procedures
Increase productivity at ports
Improve customer satisfaction
+
BY
>>>
Optical character recognition (OCR) system determines if the truck is loaded with container, then identifies the ID of the truck's container, and read the truck license plate number as a backup identification.
The system uses the information to automatically issue a ticket to the driver that specifies the lane the truck should proceed to in order to load or unload the container.
As the truck leaves the gate, the RFID tag is read once again, and the driver receives a receipt for complete transaction.
RFID benefits DP World
It enables DP World in increasing container’s handoff productivity, fuel efficiency & speed the trucks entry and exit through terminal gates.

It improves gate entry efficiency through better truck management, reduce queues and congestion around gates & streamline truck processing procedures which remove number of trucks from public roads (coordinator-DP WORLD SDYNEY).

It also increases customer satisfaction through smoother, faster & more effective delivery of containers at terminal gates which represents a higher efficient supply chain.

The elimination of lengthy paper transaction & manual inspections as well as lower manual data input errors shows better customer centric approach in delivering excellent customer service
Question 1:
How did the Identec Solutions RFID-based technology help DP World increase the efficiency and effectiveness of its customers' supply chains?
Traffic congestion at port entry point during container terminal operations.
Lengthy paper transactions, manual inspection at gates.
Paper-based logistics causing data input errors.
(1)
(2)
(3)
Problems
Improve gate efficiency through improve truck management
,
reduce queues and congestion around gates
,
remove number of trucks from public roads by streamlining truck processing procedures
.
Increase productivity of container handoffs
Speed entry and exits of trucks through terminal gates
Increase fuel efficiency

Elimination of lengthy paper transaction
,
manual inspection at gates
, and
reduction in manual data input errors.
Help increase the efficiency and effectiveness of customers' supply chains

>>>
Smoother,
faster,

more effective delivery of customers' containers
HOW?
->
->
HOW?
Check whether the truck is authorized to enter through RFID
Managerial Challenge
High Implementation cost
Integrating RFID networks
Inflexible managerial requirements – DP world spent several months performing proof of concept trials involving several competing RFID suppliers. However, due to the rugged environmental conditions at the ports, DP world required that 99.5% of all tags be read successfully.
Technological Challenge
Adopting RFID technology (complicated)
Overwhelming data from RFID
IT infrastructure strain – overwhelming information system
Server stress – additional server space / capacity needs to be added
Full transcript