OTMSIG. Implementing an Integrated Shipment Tracking and Tracing Solution at Mondelēz International. Robert Owen OTM Conference

Implementing an Integrated Shipment

Tracking and Tracing Solution at

Mondelēz International

Robert Owen

2014 OTM Conference

•

Introduction

•

Objective and Fundamentals

•

OTM Configuration

•

Using the Track and Trace tool

Agenda

•

Supply Chain Mgt from Penn State University (1991)

•

20+ years in Transportation with

Johnson & Johnson Microsoft

Nabisco > Kraft (2001) > Mondelēz (2012)

•

OTM Experience – Since December 2012

Version 6.2.8

USA | Canada | Brazil (Single Instance)

•

TNT project had help from

Biscuits Gum & Candy

~60% of Gum & Candy Revenue

Beverages, Cheese & Dairy

Chocolate

Our Power Brands (Represents ~60% of total revenue)

• Mondelēz International, Inc. (NASDAQ: MDLZ) -- one of the world’s largest snacks companies

• Launched on Oct. 1, 2012, following the spin-off of North American grocery operations

• Mondelēz International holds the number one global position in Biscuits, Chocolate, Candy and Powdered Beverages as well as the number two

position in Gum and Coffee.

• Global net revenues of ~ $35 billion

• Mondelēz International is a new company in name and strategy

• Mission is to create delicious moments of joy in everything we do

OTM at Mondelēz

•

Purchased –

August 2005

•

Freight Pay –

2006

•

Planning –

2007

•

Carrier Portal –

2009

•

Terra Forecasting –

2011

•

Transportation Intelligence –

2011

•

Track & Trace –

2013

Agenda

Project Goal

Position Mondelēz Transportation to maintain a more PROACTIVE

posture with actual, imminent or potential service failures

Notify the business (and customers) of issues BEFORE being asked

to

explain

…

Or simply

ON TIME DELIVERY

Exploit OTM Native Abilities

• Give transportation planners the tools to actively track their respective shipments underway

• Early action is key

• Goal is NOT to provide 100% shipment tracking or measure compliance

• Track the important service events – not everything

• Design the solution using OTM’s built in shipment status functionality and configuration options

• Use native OTM tools to tactically manage the process

• Utilize OTM reporting to monitor track and trace

Communication, Communication, Communication

• Work with carriers to resolve missing and/or late events

• Input shipment tracking information when available

• Scrutinize target customers

• Identify and follow critical (HOT) orders and shipments

• Prioritize event scenarios and notify Customer Service and/or supply chain operations of service issues when necessary

• Improve service response

Process and Technical Design Complete

February 2013

OTM Solution Design and Configuration

March

Beta Implementation and Process Modification

March

Solution Enhancement

March

Rollout, Training and Hypercare

April

Track EDI Events

Transportation

Identify Critical Orders

Business

Fundamentals

|

General Construct

1

2

Mondelēz

Track & Trace

Communicate

Transportation, Business & Carriers

PICK UP ARRIVAL DELIVERY APPT PICK UP DEPARTURE PICK UP APPT EDI Events DELIVERY ARRIVAL DELIVERY DEPARTURE 1 _{2 3 4 5 6}

OTM

214

CORE Mondelēz EDI

214

Statuses:

(AA)

PICK-UP Appointment

(X3)

Arrived at PICK-UP Location

(AF)

Actual PICK-UP (Departed)

(AB) DELIVERY Appointment

(X1) Arrived at DELIVERY Location (Actual Delivery)

(CD) Departed DELIVERY Location

PICK UP ARRIVAL DELIVERY APPT PICK UP DEPARTURE PICK UP APPT DELIVERY ARRIVAL DELIVERY DEPARTURE

Event Tracking

|

Target TNT Events

X

X

1

2

3

4

Actual

Actual

MISSING

Events

LATE

Events

Service Not At Risk – YET

• Transportation Team Communicates with Carrier(s)

• Updates Tracking Events

Service Failure OR At Risk

• Delivery Delays

• Appointment(s) or Actual Delivery Exceeded

• Business and/or Customers Notified

Event Tracking

|

Slotting as Late OR Missing

1

DELIVERY APPT PICK UP DEPARTURE PICK UP APPT DELIVERY ARRIVAL

1

2

3

4

Missing Tracking Events Late Tracking Events

Critical Shipments

|

Tagging HOT Orders

Concentrate on

Give Transportation the ability to zero-in on BUSINESS CRITICAL shipments

Critical Shipments

|

Tagging HOT Orders

HOT Shipments

• ORDERS can be MANUALLY flagged as HOT

• SHIPMENTS containing HOT ORDERS will be flagged HOT

• Mondelēz Transportation manages the process with

Supply Chain Ops or Customer Service 1

“HOT ORDER!”

OTM

Notify

Customer Service

Notify

Supply Chain

Contact

Carrier

OTM: Update Location Status Event OTM: Enter MTEC Event

Carrier Action

OTM: Enter Status Event OR

EDI: Submit Status Event

Transportation Team

Update Location Status Event

Or Carrier

Confirm or Re-Submit Status Event

Transportation Team

Transmit OTM Notification

Transportation Team

Transmit OTM Notification

Transportation Team

Update Location Status Event

Or Carrier

Confirm or Re-Submit Status Event

Contact

Carrier

Communication

|

Native OTM Functionality

Agenda

MISSING

Events

LATE

Events

• No PICKUP Appointment -- Tender Accepted • No DELIVERY Appointment -- Tender Accepted • No Actual PICKUP -- Appointment PAST

• No DELIVERY Actual -- Appointment PAST

• DELIVERY Appointment EXCEEDS Requested Delivery • DELIVERY Actual EXCEEDS Delivery Appointment

2

1

MISSING Actual Pickup PICK UP DEPARTURE DELIVERY ARRIVAL DELIVERY APPOINTMENT

MISSING | Post Tender PICK UP

APPOINTMENT

Missing | > Appt MISSING | Post Tender LATE (LONG) | > Requested

MISSING | > Appt LATE | > Appt MISSING Pickup Appt MISSING Delivery Appt LATE (LONG) Delivery Appt LATE Actual Delivery MISSING Actual Delivery EDI Events

Missing Tracking Events Late Tracking Events

PICK UP DEPARTURE DELIVERY ARRIVAL DELIVERY APPOINTMENT PICK UP APPOINTMENT ?

If Not Departed/Delivered Yet

EVENT Missing?

A

?

Event Scenarios

| Specifics

Pull the following Shipments into the Track and Trace space

Missing PickUp Appointment (AA)

24 Hours Post Tender Accept Shipment Not Departed

PICK UP DEPARTURE DELIVERY ARRIVAL DELIVERY APPOINTMENT ?

If Not Delivered Yet

EVENT Missing?

PICK UP

APPOINTMENT

B

Event Scenarios

| Specifics

Pull the following Shipments into the Track and Trace space

Missing Actual PickUp (AF)

PickUp Appointment 4 Hours Past Shipment Not Delivered

PICK UP DEPARTURE DELIVERY ARRIVAL DELIVERY APPOINTMENT

EVENT Late (Long) ? EVENT Missing? PICK UP

APPOINTMENT

C

?

If Not Delivered Yet

Event Scenarios

| Specifics

Pull the following Shipments into the Track and Trace space

Late (Long) Delivery Appointment (AB)

Appointment Exceeds the Requested Delivery Shipment Not Delivered

Missing Delivery Appointment (AB)

24 Hours Post Tender Accept Shipment Not Delivered

PICK UP DEPARTURE DELIVERY ARRIVAL DELIVERY APPOINTMENT EVENT Missing? EVENT Late (Long)?

Delivery Appt EXISTS PICK UP

APPOINTMENT

?

D

Event Scenarios

| Specifics

Pull the following Shipments into the Track and Trace space

Late Actual Delivery (X1)

Received 2+ Hours Past Delivery Appointment

Missing Actual Delivery (X1)

Event Tracking

Transportation

Tagging Critical Orders

Business

Managing TNT

|

Core Modifications

2 New

Event Statuses

1

2

HOT Orders

(Shipments)

Check Call

COMPLETE

Notification

COMPLETE

Managing TNT

|

New Event Statuses

Carrier Contacted

• “Check Call” to carrier

• EDI details confirmed

• Necessary updates complete

• Indicates when complete

Business Notified

• Business or customer has been notified

• Event scenarios which require notification established

• Indicates when complete Both fields can be referenced with REPORTS

Also used to EXCLUDE certain shipments from TNT

1

Managing TNT

|

New Event Statuses

|

CONFIG

Create TWO new

EVENT GROUPS

2

1

Managing TNT

| Critical Orders

|

CONFIG

Order Releases

User Defined Image

Shipments

Reference Number

User Action

• “Set as HOT Order”

• Update User Defined image

Managing TNT

| Tagging Critical Orders

1

2

4

3

User Action

1. Menu option: Order Release Screen Set

2. Select Order Release

3. Click on Actions

Managing TNT

| Critical Orders & Shpts

|

CONFIG

Create

Managing TNT

| Critical Orders & Shpts

|

CONFIG

1

2

3

4

Set HOT Order

Tag Order Release

Managing TNT

| Viewing Critical ORDERS

Order Releases

Screen Set SEARCH

Managing TNT

| Viewing Critical SHIPMENTS

Shipments

On Mondelēz Radar

OTM

Carrier

‘HOT’ Transmitted to Carrier TMS via EDI

OTM

Highlighted in Carrier TMS

Agenda

LATE & MISSING Events

NEW FUNCTIONALITY

Advanced Layouts

NEW SAVED QUERIES

Shipment Screen

NEW REPORTS

Late & Missing Summary Data

Tactical

Management

LATE & MISSING Events

NEW FUNCTIONALITY

Advanced Layouts

NEW SAVED QUERIES

Shipment Screen

NEW REPORTS

Late & Missing Summary Data

Tactical

Management

Using TNT

|

Macro Design

Advanced Layout

Using TNT

|

Advanced Layout

Advanced Layout

MISSING Events LATE Events

Using TNT

|

Advanced Layout

Tab Options

(2) Late Event Scenarios (4) Missing Event Scenarios

Using TNT

|

Advanced Layout

|

CONFIG

Saved Queries

Reflect defined Event Scenarios Screen Set

Managing TNT

|

Actions

1

2

3

User Action

1. View all 214 Status Events

2. Check Call & Notification Statuses