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cold chain council

Cold Chain Council Introduces A New Webinar: How to Collaborate with CMOs to Boost Efficiency and Overcome Capacity Challenges in a Complex Supply Chain

September 3rd, 2020 Posted by Pharmaceutical & Life Sciences, Technology, Temperature Protection 0 thoughts on “Cold Chain Council Introduces A New Webinar: How to Collaborate with CMOs to Boost Efficiency and Overcome Capacity Challenges in a Complex Supply Chain”

Cold Chain Council Introduces A New Webinar: How to Collaborate with CMOs to Boost Efficiency and Overcome Capacity Challenges in a Complex Supply Chain

Published on: September 2020

 

Hazel Crest, IL

Release: May 2020

For immediate release.

 

 

The Cold Chain Council, hosted by QProducts & Services, is hosting their second webinar of 2020: How to Collaborate with CMOs to Boost Efficiency and Overcome Capacity Challenges in a Complex Supply Chain. Industry-leading speakers will provide insight and discussion about partnering with Contract Manufacturing Organizations (CMOs) to better manage capacity and risk, promote innovation, and improve efficiency when dealing with complex pandemic scenarios.

 

We invite you to join us on Tuesday, September 29th, at 11 AM CST as our speakers share examples and insight about partnering with Contract Manufacturing Organizations amid a new evolution of the supply chain. Register here for the upcoming webinar.

 

Industry-expert speakers will include:

 

  • Luiz Barberini, Operations Manager, External Manufacturing Latin America Head at Bayer. MBA, mechanical engineer, CQE, APICS CSCP and CPIM certified with three post-graduates in Marketing, Logistics, and Transports, Luiz has worked for more than 25 years in activities related to Supply Chain, Procurement, and Logistics. He also teaches Negotiation, Supply Chain, and Demand Management for some major post-graduation schools in São Paulo.

 

  • Jeff Tucker, CEO of Tucker Company Worldwide. Jeff Tucker is a third generation CEO of Tucker Company Worldwide, America’s oldest privately held freight brokerage specializing in complicated freight, like temperature-controlled, oversized, and high-value, high-security goods. Jeff is past chairman of the board for the Transportation Intermediaries Association (TIA). He also co-authors and chairs the committee for TIA’s Carrier Selection Framework.

 

 

Cold Chain Council began three years ago to gather top talent from all phases of the cold chain – including manufacturers, retail, distribution, and logistics partners – to share their perspectives on existing challenges and best practices. In 2020, we have taken our format from live, in-person events to live webinar events to safely continue and expand our ability to gather around industry experts to tackle the challenges and issues at hand. Visit and join the Cold Chain Council group on LinkedIn to engage and stay informed regarding industry topics and future Cold Chain Council events.

 

 

Contact Information:
Anthony Dellumo
Marketing Manager, QProducts & Services
Hazel Crest, IL
708-271-9833
anthonydellumo@qsales.com

drone delivery

Cold Chain Opportunities and Challenges for Developing Countries

September 1st, 2020 Posted by Technology, Temperature Protection, Transportation 0 thoughts on “Cold Chain Opportunities and Challenges for Developing Countries”

Cold Chain Opportunities and Challenges for Developing Countries

Authors: QProducts & Services Digital Team, Under the Direction of Paul Yadron, Sr. VP of Sales

 

The cold chain, or the temperature-controlled supply chain, is essential to many industries. For successful transportation or post-harvest in any industry, the cold chain is a necessity. In developing worlds or third world countries specifically, major developments have been observed while some major challenges still exist.

 

 

The Growth of the Cold Chain in Developing Countries

 

The growth of the cold chain capacity in developing regions varies from country to country. According to Semantic Scholar, world total cold chain capacity in the last decade has increased. In the developing world, it more than doubled in India, increased 66 percent in Brazil, and 20 percent in China. In most developing countries such as South Africa, Mexico, and Kenya, the cold chain is concentrated in the urban centers and transport terminals, such as airports.

 

rural road in developing country

 

Maintaining a Secure Cold Chain for Life-Saving Pharmaceuticals

 

At QProducts and Services, we understand that there are many obstacles to delivering consumer goods, medicines, food, and other necessities to developing regions of the world. To overcome these obstacles, it takes a combination of supply chain expertise, creativity, and understanding of the culture.

 

For instance, the World Federation of Hemophilia (WFH) has expanded its reach globally into more than 70 countries, and the challenge of safely delivering critical medication to patients in remote regions of the world presents a host of challenges.

 

In underdeveloped areas with poor infrastructure, primitive airports, and little regulation, the responsibility falls on the WFH to maintain a secure cold supply chain and to meet the criteria of its donor companies. This includes the stability guidelines that come with the medicine they are providing for distribution to patients often found in some of the hottest regions of the world.

 

Keeping these life-saving pharmaceutical drugs within allowable temperature ranges as dictated by stability studies from each manufacturer is the greatest risk to the integrity and safety of the donated medicine. The most cost-effective way to secure compliance continues to be their use of PalletQuilt®, a form of passive temperature protection. PalletQuilt® enables WFH to ship these 2-8°C pharmaceuticals to locations such as Sub-Saharan Africa, South America, and South East Asia without conventional temperature control and without compromising the safety and integrity of both the medicine itself and the patients who rely on it.

 

QProducts and Services’ PalletQuilt® solution offers the reflective radiant barrier and robust insulation needed to stand up to the harsh conditions and keep the donated drugs safe. Georgios Ampartzidis, WFH Logistics Manager states, “By using PalletQuilts for the past year to donate and ship pharmaceutical products to more than 70 countries, we completely avoided temperature deviations that would risk the integrity and safety of the donated products.”

 

 

Increasing Cold Chain Reach to Developing Countries with Drone Delivery

 

Drones that deliver blood and medical supplies are saving lives as they provide faster, efficient care by transporting and supplying medicine, pharmaceuticals, vaccines, and emergency medical equipment in rural areas.

 

Zipline International, a health-tech drone delivery company, recently announced it has officially expanded its operations to Ghana, making it the world’s largest autonomous medical drone delivery service.

 

According to Biopharma-Reporter, drones can deliver cold chain medicines and vaccines to hard-to-reach areas by tapping into real-time data analysis. The potential for unmanned aerial vehicles (UAVs) or drones to complete cold chain delivery was tested during a pilot program in 2019. The trials were conducted fully autonomously with cold chain delivery technology, enabling the temperature control of medicines and vaccines at temperatures as low as -70°C. The drone flew over open water between the Bahamian Islands, and testing will continue in Africa and Latin America.

 

The data collected during the successful flights has shown everybody involved, the power of IoT (internet of things) to provide full visibility of the cold chain, even in the most extreme environments while using innovative transportation modes,” stated Richard Wood, Director of Digital Connected Technologies at Softbox, the company that created the temperature-controlled payload box for the pilot program.

 

At QProducts and Services, we believe in controlling digitization, and not allowing it to control you. Drone delivery is certainly a major innovation of the next decade, although there are still some hurdles to widespread adoption. During our September webinar, we’ll dive into the details regarding drone delivery as part of the supply chain.

 

drone delivery

Cold Chain Challenges in Developing Countries

 

Major efforts are still needed to improve the cold chain in developing regions of the world.

For drone delivery specifically, regulatory issues, technical complexities, and privacy concerns remain barriers to widespread adoption. Also, the viability of the technology in these real-world applications depends on various factors, including the different regulatory challenges present around different regions of the world.

 

Furthermore, in regard to the food cold chain, most farmers lack pre-cooling, cold storage, and ripening facilities in rural areas of developing countries. Most developing countries also lack well-developed third-party logistics (3PL) for cold chain facilities or transport services.

 

qproducts drone delivery

Final Thoughts

 

Now more than ever, the world needs a reliable and efficient cold chain. Solutions to protect temperature-sensitive shipments such as vaccines will continue to be critical in the development and distribution stages.

 

Many developing countries continue to face a severe lack in cold chain infrastructure and logistics necessary to supply safe products to consumers. However, there are also many opportunities to overcome these challenges such as drone delivery and

 

At QProducts and Services, we believe in leveraging our supply chain expertise and creativity to continue to learn and develop solutions for the cold chain in developing countries.

cold chain council webinar graphic

The New Normal: Evolving the Global Supply Chain with the Power of Data and Technology

May 22nd, 2020 Posted by Food & Beverage, Pharmaceutical & Life Sciences, Technology, Temperature Protection, Update 0 thoughts on “The New Normal: Evolving the Global Supply Chain with the Power of Data and Technology”

The New Normal: Evolving the Global Supply Chain with the Power of Data and Technology

Authors: QProducts & Services Digital Team, Under the Direction of Paul Yadron

 

cold chain council logo

The global supply chain is evolving at a quick pace due to the current global situation. The power of data is being leveraged more, delivery models are changing, and tracking and tracing is needed now more than ever. How can supply chains keep up with this change?

 

The Cold Chain Council, hosted by QProducts & Services, is hosting their very first webinar this summer, The New Normal: Evolving the Global Supply Chain with the Power of Data and Technology. Industry-leading speakers will provide insight and discussion about current changes and developments happening in the world of cold chain supply logistics.

 

industry professionals meeting at cold chain council

What is Cold Chain Council?

 

Cold Chain Council began three years ago to gather top talent from all phases of the cold chain – including manufacturers, retail, distribution, and logistics partners – to share their perspectives on existing challenges and best practices. An intimate afternoon of networking and expert panel discussion was created as a non-conference and thought leadership event.

 

The goal of the Cold Chain Council for the food and beverage market as well as the pharma and chemical industries is to present and discuss topics from different cold chain segments within the global supply chain.

 

 

Today, two events are hosted: one for the food and beverage industry and another for the pharmaceutical and chemical industries. Each event features a full day of workshops and a limited number of attendees to ensure that Cold Chain Council is an intimate, collaborative experience every year. Taking place over an afternoon to accommodate busy schedules, topics cover current cold chain challenges so that attendees leave with a fresh perspective and actionable solutions.

vp of sales speaking at cold chain council

Previous Cold Chain Council Events

 

Cold Chain Council for the food and beverage industries is hosted by QProducts and Services. Presentations and panels feature industry professionals discussing topics from different cold chain segments in both the food and beverage industries.

 

In previous events, we have had industry expert speakers including but not limited to the following:

 

 

Cold Chain Council for the pharma and chemical industries is also hosted by QProducts and Services. Experts share their knowledge in tackling challenges affecting your transportation network. Presentations and panels also feature industry professionals discussing topics from different cold chain segments in both pharma and chemical industries. This forum setting is designed to be interactive and intimate.

 

Previous event speakers for the pharma and chemical industries have included, but not limited to, the following:

 

cold chain council webinar speakersCold Chain Council Webinar Speakers

 

Our industry-leading speakers will provide insight and discussion about current changes and developments happening in the world of cold chain supply logistics.

 

Our speakers include:

 

  • Don Durm, a 25-year veteran of PLM Trailer Leasing and Vice President of Customer Solutions. He is a recognized industry expert on cold chain transport application, regulatory compliance, and the application of technology for a smarter food safety system. He has been recognized three times as one of the rock stars of the supply chain by Food Logistics Magazine due to his work on supply chain efficiencies, regulatory compliance, and the deployment of blockchain in the food supply chain. A gifted and sought out speaker and writer on cold chain supply challenges, he is one of the authors of the internationally accepted IRTA Refrigerated Best Practices Guide distributed by the Global Cold Chain Alliance (GCCA) to help the industry meet the compliance for the Food Safety Modernization Act.

 

  • Amy Shortman, a Chartered Fellow of the Institute of Transport and Logistics, has 20 plus years of experience within pharmaceutical logistics. During this time, she has worked within operations and commercial roles while keeping her passion for creating supply chains that ensure product integrity is maintained throughout. Amy has worked within the air, sea, and road arena, and has extensive experience setting up secure supply chains for high-value freight and temperature-sensitive freight. Her penultimate role before joining Overhaul was with ASC Associates, in which Amy established in 2011 as a global supply chain business services company that specializes in the areas of temperature-sensitive, high-value products. She has been facilitating and training for over 12 years and is an IATA external facilitator for CEIV Pharma.

 

logging into the cold chain council webinar

 

Cold Chain Council Webinar Details and Registration

 

We invite you to join us on Tuesday, June 23rd, at 11 AM CST as our speakers share examples and insight into how a new evolution of the supply chain is being forged under the pressure of the global COVID-19 pandemic.

 

Learn about using the power of data to gain insight into every aspect of a transportation network, a matrix of shifts and changes in delivery models, tracking and tracing supply chain disruptions and what the future holds for the global supply chain as we navigate our way through the storm driven by SARS-CoV-2. Click here to register for the webinar. We look forward to your attendance!

 

 

Automation Is Not the Enemy: Systematizing Workflow in the Supply Chain

December 16th, 2019 Posted by Manufacturing, Technology 0 thoughts on “Automation Is Not the Enemy: Systematizing Workflow in the Supply Chain”

Automation Is Not the Enemy: Systematizing Workflow in the Supply Chain

Authors: QProducts & Services Team, Under the Direction of Paul Yadron, Sr. VP of Sales

 

 

 

 

Imagine a world where automation comes together with technology to deliver products without much human intervention, if any. Historically, automation has been applied to virtual processes, such as auditing or reporting. However, the trends in automation are changing to reflect actions that function more like artificial intelligence. According to Supply Chain Management Review, “the last 25 years was all about who could make things cheapest, and the next 25 years will be about who can make things smartest.”

 

automation

 

What is Supply Chain Automation?

In essence, supply chain automation means utilizing technology to centrally manage a complex web of working parts. The goal in supply chain automation is to systematize part or all of a workflow in order to improve processes. Automating part or all of the supply chain has a number of benefits that can potentially reduce operating costs and increase revenue.

 

In traditional supply chain systems, the phases act as autonomous phases that have minimal visibility. According to BCI Supply Chain Resilience Report, 69% of companies don’t have complete visibility of their supply chain. On the other hand, supply chain visibility is among the top strategic priority of companies worldwide, according to GEODIS Supply Chain Worldwide Survey. With automation, the supply chain is streamlined from end-to-end, enabling all different phases and pieces of the supply chain to be managed in tandem.

 

 

robots in a warehouse

 

Automation is simply a piece of the “operational excellence” puzzle that so many organizations and supply chains strive for today. An extensive, 10-year study of 12,000 companies by The Harvard Business Review found that companies able to achieve a high standard of excellence delivered $15M in larger profits, 25% higher growth rate, and a 75% increase in productivity on average compared to other companies. In order to achieve this high standard of excellence, companies need to embrace automation. To achieve a high standard of excellence in the supply chain, there needs to be a clear definition of value. Supply chain excellence is a journey, not a project. The organizations driving success carefully define the supply chain strategy and the enabling technologies and processes. Technology should be implemented correctly, and the appropriate technology should be utilized. Other factors involved include having organizational alignment, consistent leadership, and strong capabilities in planning.

 

Historically, few of us would have included robots, artificial intelligence (AI), and the Internet of Things (IoT) in the supply chain automation lineup, but we should now as automation is further along than many may realize. For example, Rochester Drug utilizes autonomous mobile robots to pick items directly from shelves using suction cups before placing them in a tote. These robots were designed by IAM Robotics, who was recently awarded a patent for mobile piece-picking robots.

 

Additionally, DHL is testing collaborative robots that work alongside people to fill e-commerce orders in Memphis, TN. Locus Robotics, who supplies the robots, also uses them at their sister company, Quiet Logistics, for apparel order fulfillment.

 

In general, McKinsey estimates that only 5 percent of all occupations are likely to be fully automated. However, the consulting firm also expects that nearly half of worker activities can be performed by automation, especially robots and AI. Using data and the IoT, maintenance departments are now able to anticipate difficulties with various types of equipment moving and handling individual items or full pallet loads. As a result, unscheduled (and costly) downtime due to unexpected equipment failure is replaced by conveniently scheduled downtime for preventative maintenance.

 

From a supply chain perspective, according to Harvard Business Review, only 7 percent of manufacturing and service companies are using artificial intelligence to automate production activities, and only 8 percent are using AI to allocate budgets across the company while just 6 percent are using AI in pricing. However, according to Forbes Insights, the top priorities among supply chain organizations in 2018 were improving service quality, focusing on performance management, and investing in data analytics. So, where can organizations find the low-hanging fruit – applications of AI that won’t completely kill jobs but could present big benefits?

 

At QProducts & Services, we continue to develop cost saving solutions for transporting temperature sensitive commodities every day, with a game-changing line of proprietary passive thermal protection products.

 

About three years ago, QProducts invested in automation with state-of-the-art sewing machines to boost efficiency. Automation can be a scary word to skilled laborers, but once QPS employees understood the need for automation, they quickly got on board.

 

automation in a warehouseBenefits of Supply Chain Automation

The global supply chain is constantly growing and changing. Organizations are utilizing and should be utilizing the power of technology to help streamline operations for a more efficient, cost-saving process. Below, we’ll look at some of the major benefits that organizations can reap by choosing to automate their supply chain processes.

 

  1. Decrease operating costs
    1. Supply chain automation helps in the reduction of labor costs, inventory, warehousing, and overhead costs associated with inventory storage, including rent, labor, and energy costs. By maximizing production, labor costs and overhead costs are reduced.
  2. Increase productivity
    1. Optimizing the current resources with automation in the supply chain can enable “around the clock” work, allowing companies to gain more productivity. According to Altivate, companies can gain up to 20 percent more productivity in areas that have been automated.
  3. Increase volume
    1. For manufacturers, automation can increase the volume of product that can be produced. Automated technology combines the skills of trained workers with the accuracy of automated equipment, in turn increasing productivity.
  4. Improve accuracy
    1. Automation can reduce errors associated with manual processes such as data input, as well as help plan cost control by providing accurate, real-time information on inventory levels.
  5. Enhance time savings
    1. Through streamlining business processes, supply chain automation boosts time savings by reducing the time associated with implementing labor intensive tasks such as accounting, which saves manufacturers time and money.
  6. Refine compliance
    1. Automation can improve organization’s compliance with industry standards as it can standardize operations for employees and vendors, schedule routine asset maintenance, and track and trace the flow of products for full warehouse visibility.
  7. Advance data accuracy
    1. Automation can reduce errors associated with manual data entry and can also provide real-time visibility into warehouse management systems. In addition, paperwork can be eliminated, allowing organizations to make informed decisions about inventory, assets, and workforce with accurate and readily available data.

 

 

automation in beverage supply chain

 

Automation in the Food and Beverage Industry

Along the food and beverage supply chain, there are so many involved processes, workers, and touchpoints that it can be difficult to not only keep track of food, but also to monitor its quality. Automation can change that completely. For one, it provides end-to-end traceability. If a company has a contaminated shipment that was discovered too late, modern analytics and automation tools can be used to find exactly where the product is being shipped or where it originated from. This way, a massive health problem can be avoided before it even starts.

 

Secondarily, automation provides better quality control within the food and beverage industry. As we know, quality is of utmost importance in this industry. With the appropriate automation systems, defects and issues can be noticed much earlier in the supply chain. By detecting problems during packaging or processing, companies can cut down on the total number of problematic products that enter the market. If something along the supply chain is the culprit, automation can help detect it.

 

Although the food and beverage industry traditionally lacks behind in the adoption of new technologies and automated systems, the rapid advancement in technology and expectations of consumers and regulatory bodies has increased the demand for improved food quality and safety. According to Meticulous Research, the food automation industry is expected to be worth $14.3 billion by 2025.

 

internet of things in pharmaceutical industryAutomation in the Pharmaceutical & Chemical Industry

 

According to The Engineer, the pharmaceutical industry produces millions of tablets each week, all of which must be carefully reviewed before being packaged and shipped to distributors. Most pharmaceutical packaging systems use automation to manage bottle orientation, capping, and labeling. Automation of packaging also requires a system that monitors the operation on a supervisory level, checking for fallen bottles and low-level supplies. Overall, this helps pharmaceutical companies increase their productivity levels.

 

Operating in an intensely regulated market, pharmaceutical drug companies are increasingly making use of robotics to automate specific processes in drug development. Today, processes such as nuclear magnetic resonance (NMR) and high-performance liquid chromatography (HPLC) can have sample preparation carried out by robotic arms. Today, automated technology can be a great investment for the pharmaceutical and chemical industry. Return on investment often comes in the form of energy savings, flexibility, high-speed production, and increased quality.

 

Ian Webster, former Pharmaceutical Segment Manager for Burket Fluid Control Systems, stresses that “automated processes by their nature require less human intervention and, therefore, have less potential for errors. There is also a reduction in labor costs, leading to a more cost-effective manufacturing process.”

robots in a warehouseFinal Thoughts

Advancements in automation including artificial intelligence (AI), robots, and the Internet of Things (IoT) are changing the game across many industries, including the supply chain. Today, computers are far better at managing other computers and, in general, inanimate objects or digital information than they are at managing human interactions. However, automation alone isn’t going to help one organization dominate the entire market. Automation should not be viewed as our enemy, but rather a tool that can help organizations scale their business without scaling the associated chaos.

 

It seems clear that it is not a matter of “if” but “when” robots and other automated technology will be working in our distribution centers, warehouses, and manufacturing centers. Looking ahead, supply chain leaders should prepare their processes and infrastructure to embrace new technology and its ability to harness more data than ever before.

 

As automation continues to evolve and become part of the supply chain, I hope this information was helpful in answering some of your questions.

 

 

Cold Chain Council for what should be on your whiteboard for2020-2030

Prepare Your Cold Chain for the Next Decade

November 12th, 2019 Posted by Pharmaceutical & Life Sciences, Technology, Temperature Protection, Update 0 thoughts on “Prepare Your Cold Chain for the Next Decade”

The Cold Chain transportation experts at QProducts & Services present the 5 innovations you should include on your cold chain whiteboard for 2020-2030.

 

 

 

 

Our annual gathering of industry leaders at the Cold Chain Council for the Pharma & Chemical Industries took place October 1st, 2019 in Chicago, IL. As a result, attendees left armed with knowledge to help them strategically plan their cold chain operations for the next decade. Thus, there are many things going on socially, logistically, and environmentally to be aware of, from blockchain to medical drone deliveries.

 

In summary, here are the top 5 innovations to put on your cold chain whiteboard for 2020-2030:

 

 

Additional information and resources in regard to these technological innovations is below:

Drones

Drones that deliver blood and medical supplies are saving lives as they provide faster, efficient care by supplying medicine, pharmaceuticals, vaccines, and emergency medical equipment. Drone delivery has begun to disrupt both the transportation and pharmaceutical and medical industries as they allow improved access to medical supplies, especially in rural areas. Learn more about how drone delivery and drone technology is shaping the future of these industries. For further information on this topic, please visit the following resources:

  1. Drones in Healthcare
  2. What is Drone Delivery and How is it Changing the Pharmaceutical Supply Chain?
  3. Drones Delivering Medical Supplies and More Can Help Save American Lives

 

Blockchain

The pharmaceutical industry is actively exploring blockchain technology to help with the tracking and tracing of products, product provenance, and supply chain governance. Blockchain technology also provides the opportunity to decrease costs and increase transparency and trust during clinical trials. Blockchain technology could be a major solution to a $450 billion U.S. industry. Read more about how blockchain is revolutionizing the pharmaceutical and medical industry. For further information on this topic, please visit the following resources:

  1. How Blockchain Will Revolutionize the Pharmaceutical Industry
  2. Pharma Meets Blockchain – Solution to $450 Billion U.S. Industry
  3. Five Use Cases for Blockchain in Pharma

 

Augmented Reality (AR)

Augmented reality holds the ability to visualize production processes, which could help to improve pharmaceutical manufacturing. However, the value of augmented reality not only lies in manufacturing, but in patient outcomes as well. Augmented reality is now being used to help reduce patient pain and anxiety levels in patients without the need for additional medication. Learn more about how augmented reality is transforming these industries. For further information on this topic, please visit the following resources:

  1. The Future is Mixed Reality: Augmented Reality Put to Work on Manufacturing
  2. 8 Benefits of Virtual Reality in the Pharmaceutical Industry
  3. Augmented Reality in Healthcare Will Be Revolutionary

 

IoT – Internet of Things

The pharmaceutical and medical industry is perfectly positioned to benefit from IoT, or the Internet of Things. The data collected can have a significant impact on the production and administration of pharmaceuticals, while helping to smooth logistics, eradicate recalls, and improve operational efficiency. Learn more about the IoT and its impact on pharmaceutical and medical. For further information on this topic, please visit the following resources:

  1. How is IoT Transforming the Pharmaceutical Industry?
  2. How Can the Pharmaceutical Industry Benefit from the IoT?
  3. How IoT is Revolutionizing the Pharma Industry

 

QProducts & Services extends their gratitude to the many industry experts that spoke at our event.

Together, our speakers educated attendees on how to best leverage the latest innovations for their 2020-2030 cold chain operations.

 

QProducts & Services is a manufacturer of passive temperature protection and cargo security solutions for the global supply chain. For over 25 years, they have developed innovative, cost-saving solutions for transporting temperature sensitive commodities. QProducts & Services has expanded their product line to include cargo security solutions and wireless temperature monitoring technologies. Manufactured just outside of Chicago, IL, their patented products are noted for durability, performance and reliability in protecting the integrity of shippers’ cargo throughout the supply chain.

What’s On Your Supply Chain White Board for 2020?

September 9th, 2019 Posted by Pharmaceutical & Life Sciences, Technology, Update 0 thoughts on “What’s On Your Supply Chain White Board for 2020?”

Top pharma executives and supply-chain tech experts to gather in Chicago for 4th Annual Cold Chain Council meeting


 

 

 

 

October 1st in Chicago’s’ Museum Campus district will mark the 4th Cold Chain Council for the pharma, healthcare and chemical industries. This educational forum will feature panel discussions and presentations by top executives and tech experts discussing the new decade ahead, trends in supply chain tech and best practices for 2020.

 

With a key focus on furthering the industry and advancing best practices in the supply chain and cold chain respectively, the main goal of the Cold Chain Council is to bring together high-level industry professionals to share in thought leadership and create a casual platform for discussion of real world challenges and solutions derived from everyday experiences of speakers and attendees alike. Hosted by QProducts & Services, there are no other sponsors, no fee to attend, and attendance is capped to provide an informal and informative feel for one afternoon in Chicago.

 

Amy ShortmanThis year’s event will be moderated by Amy Shortman, a senior executive at Overhaul Group. Her keynote will set the scene for the day’s discussion on how technology will affect traditional supply chains, the scope of our working environment and the benefits that may arise. Amy’s expertise stems from more than twenty years of pharmaceutical logistics experience. A Chartered Fellow of The Institute of Transport and Logistics, Amy has become a well-known thought leader in education and brand awareness to the healthcare and logistics industry’s need for improved compliance and cool chain management, backed by her professional career including roles in operations for a global logistics provider of clinical trials, a world-leading temp-controlled container company, supply chain security for a “Top 3” third-party logistics provider and eventually establishing a global supply chain business services company, ASC Associates Ltd, specializing in high-value and temp-sensitive freight.

 

(for Amy Shortman’s full bio click here)

 

Amy will be in good company with an impressive line-up of industry experts hailing from a diverse group of companies: Big Pharma shippers AbbVie and McKesson; the World Federation of Hemophilia; computer-aided environment-software developer Smart CAE; smart technology manufacturers SensorTransport Inc and Berlinger USA; and advanced predictive risk-analysis software developer Riskpulse. Session topics have been locked in and speakers are teaming up to lead discussions in what promises to be an informative afternoon of interactive discussion and networking. The setting overlooks Chicago’s museums and lake front to the East and impressive skyline and Grant Park to the North. Here’s a taste of the agenda and talented roster:

 

Session One: Wild Weather and Adapting to The New Norm. Lane Analysis and Risk Visibility Through Advanced Forecasting and Data Analytics. Mark Russo, SVP of Weather Operations, Riskpulse

 

Session Two: Cold Chain Tech 2020. Service, Equipment and Qualification Innovations for The New Decade.
Stefan Braun, Managing Director, Smart CAE and Stephen Dusel, Sales Manager North, Berlinger USA

 

Session Three: Big Pharma Cold Chain Report. What’s New as We Look Ahead into The Twenties?
David Ulrich, QA Director of Global Supply Chain Compliance, Abbvie and Georgios Ampartzidis, Logistics Manager-Humanitarian Aid, World Federation of Hemophilia

 

Session Four: Digitization and IoT’s Continuing Impact on the Supply Chain. Michael Dee, VP of Global Security, McKesson; Amy Shortman, Director of Product Marketing, Overhaul Group Inc.; and Sascha Peyer, Co-Founder and CCO, SensorTransport, Inc.

(Full event details here)

Cold Chain Council Chicago

 

The afternoons’ sessions conclude with an interactive discussion between attendees and speakers, including an opportunity for Q&A before wrapping up and moving on to the evenings festivities.

 

The networking portion of the Cold Chain Council agenda includes cocktails and dinner reception at the Chicago Yacht Club followed by a private yacht cruise down the Chicago River at nightfall.

 

 

 

For more information on content and key takeaways from this event, connect with event hosts QProducts & Services on LinkedIn or visit the Cold Chain Council homepage for other CCC events and an opportunity to attend.

How Blockchain is Being Used Today in the Food & Beverage Industries

September 4th, 2019 Posted by Food & Beverage, Technology 0 thoughts on “How Blockchain is Being Used Today in the Food & Beverage Industries”

How Blockchain is Being Used Today in the Food & Beverage Industries

 

Author: Kevin Lynch

 

 

 

 

While there has been a lot of talk in the media and we are seeing it revolutionize across many industries, blockchain technology is impacting the food and beverage industries faster than we realize. From Walmart to IBM, large, well-known companies are recognizing the importance of digitalizing our food and beverage system and are implementing the necessary procedures in order to trace food more accurately across the supply chain, combat food-borne illness, and bring improved transparency and efficiency to the global food supply chain.

 

What is Blockchain and How Does It Work?

 

Simply put, blockchain is a chain of “blocks” across a computer database that stores information. As more information is stored, more “blocks” are added to the chain. While this information can be stored, it cannot be copied. With most transactions, there is an intermediary such as a bank. The blockchain network has no intermediary or central authority – the information is transparent to anyone who has access to it. So how does it work? Think of a blockchain like a Google spreadsheet. The spreadsheet contains information about the many transactions of data, which then generates what is called a “hash,” or a combination of numbers and letters. As each transaction occurs, a “block” of digital data is created and the blocks become connected or chained together. As soon as a new block is formed, it can no longer be changed.

blockchain

 

Improving Food Traceability

 

With blockchain technology, organizations can trace the entire lifecycle of food products from origin through every point of contact on its journey to the consumer. The Food Trust Solution, created by IBM, is the first blockchain safety solution that allows transaction partners to confidently and securely share food information, creating a more transparent and trustworthy global food supply chain. According to IBM, simplifying the food supply system could help consumers eat well, vendors save money, and omit the negative news stories in the media.

 

From leafy greens such as spinach and romaine lettuce to fresh fruit and vegetables, organizations such as Albertsons Companies, the world’s second-largest supermarket in terms of sales, are testing out IBM’s Food Trust blockchain. Announced this Spring, they began piloting the blockchain with suppliers of romaine lettuce, a product which was recently linked to a widespread outbreak of E-coli.

 

Additionally, Walmart issued a mandate to all of their suppliers of leafy greens, including spinach and romaine lettuce, stating they have to adopt blockchain by September of 2019.

 

In the food supply chain, information such as farm-origination details, batch numbers, processing data, factory information, expiration dates, storage temperatures, and shipping details are all valid sources of information that could be accessed through the blockchain. Having better food traceability through blockchain technology across the food supply chain allows companies to help reduce the spread of food-borne illnesses by pinpointing issues in the food chain through these blocks of data. At the same time, this could help avoid massive losses for retailers and suppliers at the time of a recall.

 

All of the transactions for one item of food can be seen and validated at any point in time in the blockchain. This will allow every party in the food supply chain to have a better picture of the lifecycle of the product, and these sources of data cannot be altered or tampered with.

 

If anything happens to a product along the line of production and distribution, organizations leveraging blockchain can easily pinpoint the source or track whomever is accountable.

 

“With the promise of fast and secure end-to-end product traceability, blockchain is easily one of the most energizing – and complex – technological developments of the past few years,” stated Melanie Nuce, Senior Vice President of Corporate Development at GS1 U.S. At the present, companies are using blockchain to continuously improve traceability within the food supply chain. In the near future, consumers may be able to trace their food from “farm to fork” with the scan of a QR code.

 

romaine lettuce

 

 Combatting Food-Borne Illness

 

Food safety is not just a food or public health issue, it is a supply chain issue. Similar to our ability to better trace food across the food supply chain with blockchain technology, blockchain is becoming increasingly prevalent in food safety. When foodborne illnesses occur, it is difficult to trace the source of contamination using traditional food supply methods, such as paper trail.

 

Last year, the World Health Organization published that an estimated 600 million people fall ill after eating contaminated food. In addition, according to the Centers for Disease Control and Prevention, about 1 in 6 people in the United States get sick from foodborne illnesses each year. With blockchain technology, the data sources available could provide links to trace these outbreaks more effectively and possibly limit the number that occur by more accurately tracing contaminated and diseased products.

 

According to Frank Yiannas, the Food and Drug Administration’s (FDA) deputy commissioner for food policy and response, the FDA is using blockchain to identify the sources of food safety issues, with the goal of creating more transparency in the food system.

 

So how could blockchain help the FDA track food sources faster? When the E-coli outbreak was announced to the public in November 2018, the FDA spent several days tracing the outbreak to farms in California, as many organizations are still using old methods of paper data and cabinet filing. According to tests conducted by Walmart and IBM, capturing the tracking information can happen in as little as 2.2 seconds with blockchain. As Don Durm, Vice President of Customer Solutions at PLM, states, “Blockchain technology has proven that we can trace food to its origin in a very complex and messy food supply chain that would normally take two weeks or more, to an astounding 2.2 seconds.” In the 2008 China incident, about 30,000 infants fell ill after consuming milk contaminated with melamine. This incident addresses another example of the importance of leveraging blockchain technology to reduce subsequent losses incurred due to contaminated products. With blockchain, there is no missing information when it comes to the history, location, and status of a food product. Having the ability to exactly pinpoint where the tainted food originated, where it was distributed, and where it was served or sold is vital in combatting food-borne illness in our food supply chain.

 

In August 2017, Walmart joined IBM’s Food Trust blockchain pilot along with other suppliers including Kroger, Nestle, Tyson Foods, and Dole. With a digital food system, these companies recognized the importance of becoming a proactive contributor to eradicate the challenges in our food system. For example, many of the mangos sold in Walmart stores are mostly grown by small farms in Central and South America and then transported by land, air, and sea to stores in the United States. Tracking a package of mangos using traditional methods can take several days or even weeks. With blockchain technology, this tracking process can be simplified and minimized to minutes, if not seconds. In the case of a recall or outbreak, stores can quickly access the source of the contamination through the blockchain and remove the mangos from the shelves the same day, versus using a traditional method that takes days or weeks, thus risking further complications from the contamination.

As part of the IBM Food Trust, they provide full transparency of food products from tracing, certifications, and fresh insights. Tracing is likely the most imperative piece of the IBM Food Trust as it can trace food products within seconds, show location or status, and verify credibility or safety of each product. Moreover, besides tracking recalls and contaminated products, blockchain technology has the capability of tracking spoilage or expired products as well. For example, with the implementation of temperature sensors in shipping containers, alerts can be sent and stored in the blockchain when a product goes above or below a specific temperature. When products sit at a higher temperature, foodborne illnesses are more likely to manifest, so having temperature records can prevent potentially tainted foods from making it to store shelves.

 

ibm blockchain technology scanning oranges

 

Bringing Transparency & Efficiency to the Food Supply Chain

 

IBM’s Food Trust is a great example of a company that is currently using blockchain to help bring transparency and efficiency to food supply chains and food safety. Real-time certifications, test data, and temperature data ensure that proper food handling protocols are met.

Secondarily, Greenfence, the food industry’s first remote auditing and certification platform, is leveraging blockchain technology to identify the people, locations, distributors, equipment, and anything else involved in the farm-to-table process of the food supply chain. Some of the advantages blockchain technology brings within the food supply chain include the following:

  • Any attempts to tamper with a food item as it moves through the food supply chain can easily be identified with blockchain technology
  • Stores and supermarkets can identify and remove products from their shelves once a potentially contaminated or hazardous product is identified
  • Consumers can be reassured that the food they are buying and eating is what the label states

 

In addition, blockchain could help eradicate counterfeits and food fraud in our global food supply chain as the data is much less vulnerable to being tampered with or lost. PricewaterhouseCoopers (PWC) estimates that food fraud is worth $52 billion globally each year. With blockchain, providing full visibility and traceability allows for better control over the food supply system, accurate data, and better customer satisfaction or customer trust in our global food supply.

Health supplements company Blackmores and dairy products supplier Fonterra have recently worked together to run a pilot program to prevent food fraud – a practice that involves packing foods with lower quality or counterfeit ingredients – using blockchain. Products will also be tagged with QR codes, a code used for storing information. These organizations strive to utilize blockchain to achieve supply chain traceability and transparency while boosting customer confidence. Moving forward, it’s going to be a continuous effort across all parties involved in the food supply chain to bring more transparency to our producers, retailers, and consumers.

 

blockchain technology 

Final Thoughts

 

Blockchain technology not only has the potential to transform the food industry, it has already begun to. With large, well-known companies such as IBM and Walmart implementing and mandating blockchain for their food supply chain efforts, it’s only a matter of time before we see a larger global shift of organizations leveraging blockchain technology.

 

However, for blockchain to work effectively, organizations need to transition from traditional styles of record-keeping such as the cabinet filing of paper documents to digital solutions that allow the data to be encrypted in a blockchain. For anyone interested in learning more about blockchain technology and its impact on the food and beverage industry, I hope this information was helpful in providing more information on a complex, exciting topic.

 

 

About QProducts & Services:

QProducts & Services is a manufacturer of passive temperature protection and cargo security solutions for the global supply chain. For over 25 years, they have developed innovative, cost-saving solutions for transporting temperature sensitive commodities. QProducts & Services has expanded their product line to include cargo security solutions and wireless temperature monitoring technologies. Manufactured just outside of Chicago, IL, their patented products are noted for durability, performance and reliability in protecting the integrity of shippers’ cargo throughout the supply chain.

Velociti Selected as Installation Provider for QProducts & Services®

QProducts & Services® Selects Velociti as their Power In-Lock® Installation Provider

August 7th, 2019 Posted by Technology, Update 0 thoughts on “QProducts & Services® Selects Velociti as their Power In-Lock® Installation Provider”

Velociti Selected as Installation Provider for Power In-Lock®

Technology deployment services now available for Power In-Lock®, QProducts & Services’ electronic trailer lock systems.

 

 

 

Homewood, IL  – August 7, 2019 —  Velociti Inc., a global provider of technology design, deployment and support services, has been named the provider of installation services by QProducts & Services® for Power In-Lock®, QProducts & Services’ patented, internally mounted locking system for trailers and containers.

 

“Velociti came highly recommended by some of our customers for their expertise on installations,” said Paul Yadron, VP of Sales at QProducts & Services®. “Their coverage of North America and Europe is also a perfect partnership for us because it helps us meet the needs of customers across a large geographic footprint.”

 

Power In-Lock® is a patented, electronic locking system that is mounted on the inside of the truck, trailer or container where it is impossible to tamper with or damage. The keyless system logs all door activity including date, time and personnel and can be integrated with telematics systems to provide location, remote locking and unlocking functions, and an electronic log of all activity.

 

“To help QProducts & Services’ customers effectively deploy their technology, Velociti’s network of highly experienced and qualified mobile technicians will now provide installation services for Power In-Lock electronic trailer lock systems,” said Deryk Powell, president of Velociti. “Our expertise will ensure that fleets can use the system correctly and can quickly take advantage of the benefits of the cargo security solution.”

 

About Velociti Inc

Velociti is a global provider of technology deployment services specializing in the installation and service of a broad range of transportation and networking technology products. Velociti’s experience allows enterprise level technology consumers to maximize ROI as a result of leveraging expert, rapid deployment. Velociti clients include many Fortune 500 companies from a wide variety of market segments such as transportation, retail, distribution, manufacturing, healthcare, government, education, food service and public venues. For more information visit www.velociti.com or call toll free (855)-233-7210.

 

About QProducts & Services:

QProducts & Services is a manufacturer of passive temperature protection and cargo security solutions for the global supply chain. For over 25 years, they have developed innovative, cost-saving solutions for transporting temperature sensitive commodities. QProducts & Services has expanded their product line to include cargo security solutions and wireless temperature monitoring technologies. Manufactured just outside of Chicago, IL, their patented products are noted for durability, performance and reliability in protecting the integrity of shippers’ cargo throughout the supply chain.

 

Power In-Lock® is a patented, electronic internal locking system to prevent cargo theft

Cargo Theft is a Critical Issue to Food and Beverage Industry

December 16th, 2016 Posted by Food & Beverage, Technology 0 thoughts on “Cargo Theft is a Critical Issue to Food and Beverage Industry”

 

 

 

As published in Food Logistics Magazine: http://www.foodlogistics.com/article/12281779/cargo-theft-is-a-critical-issue-to-food-and-beverage-industry

BY KAREN E. THUERMER ON DEC 16, 2016

Cargo theft is not limited to high-value commodities such as electronics. According to CargoNet, food and beverage was the most stolen commodity in the United States last year.

Meanwhile, FreightWatch International (FWI), a subsidiary of Sensitech Inc, estimates the average value of stolen food and drink shipments between 3Q 2014 – 2Q 2016 was $86,149 with seafood being the highest valued sub-category at nearly $200,000. The most targeted sub-category was meats at slightly below $100,000. FWI reports that food and drink shipments remain the most stolen commodity domestically with 23 percent of thefts from June – August 2016. Of those thefts, 77 percent were FTL (full truck loads) and 15 percent FPU (fictitious pickups).

The future of cargo theft in the food and beverage sector is unclear since time of year, economy, and accessibility all factor into what cargo criminals look for as a target. Nevertheless, the FWI Supply Chain Intelligence Center continues to observe and report on any particular product, or commodity that starts to become a trending target in cargo theft incidents across the United States. FWI indicates that the food and beverage supply chain is particularly vulnerable because 99.99 percent of companies in the industry do not institute a layered security program in their transportation and logistics operations.

“Aside from the nut growers in California, little has been done to combat the problem,” FWI says.

In order to protect themselves from cargo theft, companies must pay high insurance premiums. According to TT Club, a top insurance provider, theft is the number three reason for a claim. By outfitting trailers with tracking devices that make it possible to detect cargo theft and recover stolen assets, companies reduce premiums.

“Cargo theft is a customer service failure as it undermines a carrier’s ability to meet service expectations,” remarks Lina Paerez, product marketing manager, ORBCOMM. “Cargo theft can permanently damage a company’s reputation. When a shipper loses a load due to theft, it disrupts the distribution cycles. If carriers can’t provide a safe work environment for their drivers, it can lead to poor driver retention.”

Real Time Monitoring

FWI maintains that assisted-GPS covert tracking technology embedded in cargo is the preeminent force multiplier with respect to combating in-transit cargo theft. Electronic Freight Security (EFS) programs offer a solution as they provide real-time, end-to-end monitoring of cargo shipments through embedded track­ing technology. EFS also allows a shipper to maintain full visibility of the cargo for the duration of the shipment.

“As a complete virtual escort, this low-cost solution removes the vulnerabilities associated with human-based escorts, while significantly increasing the chances of recovery in the unfortunate event of a theft,” FWI states.

Proper EFS programs include pre-determined routes with immediate escalation protocols to ensure maximum compliance and security of the driver and cargo. Compliance to security protocols is critical. Immediate response and resolution to non-compliance incidents reduces opportunities for theft.

FWI got its start developing EFS technology to enable monitoring, reporting and recovery of high-value shipments in transit between manufacturing warehouses and delivery sites for cargo security. Its technology delivers real-time location, status and condition data as well as critical activity alerts that harden the supply chain and mitigate the risk of cargo theft.         “Aluminum containers and cargo holds represent some of the most challenging environments for GPS devices,” FWI officials state. “FWI manufactured devices optimize leading location-based services and machine-to-machine (M2M) technology that works in impaired settings where other GPS devices do not.”

The latest FWI Single-Use GEO Tracker is at the forefront in tracking technology. This tracker takes the complexity out of cargo tracking by offering convenience and simplicity—eliminating the organization and management of tracking equipment.

Telematics devices can track the location and status of transport assets for complete fleet visibility. “Operators receive alerts when a problem is detected: a trailer makes an unplanned stop, deviates from its route or leaves a geofence,” Paerez explains. “This enables dispatch to react to problems quickly. When cargo is stolen, tracking devices make it possible to track the trailer for quick recovery.”

Trailer tracking devices are becoming smaller and more inconspicuous, which makes them harder for thieves to spot and identify. Such systems now support mobile applications, which allow operators and drivers to monitor status and manage alerts from anywhere.

“Devices are also becoming increasingly sophisticated. They are quicker and easier to install and they require almost no maintenance or battery changes—solar powered devices can report for anywhere from 5 to 10 years with no intervention and little sun exposure,” Paerez adds.

Trailer Breach

Trailer breach (unauthorized door opening) or load tampering is another problem. A trailer tracking solution that incorporates cargo and door sensors and delivers notifications/reports when a trailer is loaded or unloaded and when a door opens or closes can help carriers to detect theft early.

“A comprehensive system can also include cargo sensing technology that reports on load status—vibration, light, temperature, humidity, shock, etc.—which makes it possible for carriers to detect cargo tampering as it occurs,” Paerez says.

“A common way to identify a valuable target is when external devices are securing the doors,” states Scott Borsodi, director of business development, at Q Products and Services (QPS), creator of the Power In-Lock cargo security system. This system locks the trailer from inside, making it out of sight and out of reach of thieves or anyone attempting to gain unauthorized access.

“Our doors are locked electronically from our Jackson, Miss. headquarters as soon as the trailer is loaded,” explains Chris Wood, spokesman for KLLM Transport Services.

The locking mechanism is centrally controlled from KLLM’s corporate dispatch through telematics. Once the lock is activated, the door cannot be opened until the trailer reaches its destination. Drivers only have the capability to unlock the trailer through the use of a one-time code entered on a keypad attached to the trailer. This keypad communicates with the internal lock through radio frequency and is only utilized in the event the satellite signal is disrupted.  The corporate dispatcher must provide the one time code to the driver. This prevents any type of collusion between the driver and an outside source from gaining access to the product within the trailer. The doors have sensors that document opening and closings and also indicate whether the trailer was locked or unlocked.

“Even in the event the external padlock and the shipper seal have been breached, we can demonstrate the trailer doors were never opened and satisfy the shipper’s and receiver’s quality control team that the product has remained safe during transit thereby avoiding a claim,” Wood remarks.

Q Products’ Borsodi stresses that Power In-Lock buys time in deterring theft. “Most thieves will give up if they can’t access the cargo within a minute or two,” he says. “By mounting a security solution on the inside of a container or trailer door, the thief doesn’t know what’s preventing the doors from opening. The internal feature is what makes our solution so unique.”

The importance of being able to prove a shipment was not tampered with cannot be understated. “A tampered shipment can be far more detrimental to a business than a few pallets getting stolen,” Borsodi states “Companies who intend to sustain a reputable brand simply can’t afford to take the risk of partnering with a carrier that is unable to help them comply with regulations,” states Borsodi.

Imminent regulations, specifically the Food Safety Modernization Act (FSMA), are probably the largest contributors forcing change, as shippers must be more diligent in selecting their transportation providers. As a result many shippers are taking a zero tolerance position as it relates to a trailer breach. Shippers are presenting transportation agreements to carriers that basically allow the shipper to claim the carrier for the entire shipment rather than being required to inspect the product and prove damages. Coinciding, transportation providers are employing reliable cargo security solutions when investing in new equipment and modern communication tools.

“Quite frankly, they have to if they want to haul their customer’s freight,” Borsodi says. “A common perception with regard to regulations is that they present challenges and increase operating costs. In reality, and speaking on behalf of some of our customers, when the proper technology is utilized it can exploit the weak links in the supply chain. As a result, they have realized cost savings by reducing shrink, cargo theft and minimizing supply chain disruptions.”

Karen E. Thuermer is an Alexandria, Virginia-based journalist who has been writing about logistics for several decades.

How Is Software & Technology Impacting The Food & Beverage Supply Chain?

July 16th, 2015 Posted by Food & Beverage, Technology 0 thoughts on “How Is Software & Technology Impacting The Food & Beverage Supply Chain?”

 

 

 

Industry executives weigh in on Big Data, analytics, apps and more.

As published in Food Logistics Magazine: http://www.foodlogistics.com/article/12088071/how-is-software-technology-impacting-the-food-beverage-supply-chain

As part of this month’s special coverage on Software & Technology, we contacted over a dozen industry executives at companies that play a significant role in the food and beverage supply chain to ask them about the impact of Big Data, the Internet of Things (IoT), analytics, cloud technology, apps and more to get a sense of the changes underway and what they portend for the future. Without a doubt, Software & Technology represents one of the fastest-moving, promising and disruptive segments in the business and consumer worlds today. In the food/bev supply chain it facilitates visibility from farm-to-fork, compliance, improved food safety, productivity, better management of people and processes, and cost reductions and accuracy, among other benefits.

Following are highlights of the comments and quotes these industry executives shared with Food Logistics

 

Who: Kevin Lynch, National Account Executive, Q Products & Services

Key Topic: The impact of rejected loads on the supply chain

Takeaway: Applying technology to address this challenge

Lynch explains that, “Our business is unique because we have a diverse customer base that includes food manufacturers, motor carriers and retailers. In terms of the supply chain, all three play an important role that is dependent on one another to ensure a successful shipment is executed.” In addition, “Food safety regulations already impact our industry and will continue to do so moving forward, especially when something goes wrong,” he says.

“Think about the rippling effect a rejected load has on everyone involved. For example, the revenue lost by the shipper followed by a scramble to get another load prepped for the customer. The carrier will likely be hit with a claim to pay and then forced to delay a scheduled backhaul. Meanwhile, on the receiving end the customer is left with a delayed timeline to get the product on the shelf, resulting in potential lost sales. These are just a few of the consequences felt by each business. While it’s difficult to determine which company feels the most pain, the reality is that on some level everyone loses.”

Lynch acknowledges that rejected loads are sometimes unavoidable. However, “The preventable instances are the most frustrating to everyone involved. Tampered seals and missing temperature recorders are two of the more common variables causing shipments to be turned away. As an industry, we need to continue the development of proactive solutions by way of existing technology.”

 

 

Who: Chetan Tandon, CIO Allen Lund Company, LLC; ALC Logistics

Key Topic: Evaluating your software/technology spend

Takeaway: Look for a solution, not just a product

According to Tandon, “Technology has changed the way we look at the transportation and logistics industry today. Several factors play a major role in this evolution, products like mobile technology, transportation management systems (TMS), yard management, dock scheduling, warehouse management systems (WMS), and location and trailer tracking devices are just a few. Many companies have already taken advantage of such technologies, and some are playing catch up. With so many products in the market, how do you decide which one is the right match for your market segment, industry and company?”

Tandon says there are several key factors to consider:

Price: Expensive is not always the best. Many times mid-market solutions offer more bang for your buck. It is important to find out how much this solution will cost you over the next five years. Technology will change significantly in five years, and so will price.

Features: Does the solution offer all the features you are looking for? Can it grow with your company’s needs? A company needs to assess their business plan specific to growth and confirm that the software solution fits into the plan.

Platform:  As we all know, the tech world is experiencing a mobile war, browser war and operating system war. Is the solution your company is considering platform agnostic? If it is not, then this platform will not be in keeping with your business plans. Additionally, the “solution” will not be able to keep pace with the platform competition in the marketplace.

One size does not fit all: Is the solution customizable? The way you run your supply chain might be completely different from others in your industry. Can the solution be customized to fit your business needs or do you have to change your business process to fit the solution?

When shopping for software, keep in mind the various aspects in which technology interacts with your business. Look for a solution, not just a product.

 

 

Who: John Haggerty, Vice President, Burris Logistics

Key Topic: Cold chain challenges

Takeaway: Creating high performance strategic partnerships

“Today’s cold chain and its stewards are being stretched to new levels of performance by consumer demand, especially for products from all fresh categories,” emphasizes Haggerty. “More products are processed and harvested in more places requiring precision temperatures, critical handling, and faster movement than ever before. As cold chain resources tighten, older assets reach obsolescence, and the driver shortage deepens; food industry leaders should plan for these realities and look to create new, high-performance strategic partnerships.”

Choosing the right cold chain partners is crucial. Haggerty lists a handful of questions to consider when evaluating partners:

  • Will your potential partner be a true partner, one willing to go the distance, and share the pain and the gain with you?
  • Does your partner invest in people, training, and talent management?
  • Does your partner invest in “owned” cold chain assets and their proper maintenance?
  • Is your partner experienced and capable at multiple temperatures?
  • Do they have a solid track record and reputation of integrity?
  • Is your partner committed to constant improvement, process improvement, and process reengineering?
  • Does your partner invest in new technologies?
  • Is food safety and agency compliance part of your partner’s DNA and culture and do they live this every day?

According to Haggerty, “Cold chain logistics partnerships can create substantial value. They can also be executed with seamlessness, visibility, and transparency. New and emerging technologies allow for real-time visibility, as well as time, place, and temperature validation. Inventory visibility and full functionality through systemic integrations can essentially join two companies at the hip. The challenges of fresh supply chain execution may be effectively addressed through collaboration and true partnerships.”

 

 

Who: Michael Bargmann, Principal, Collaborative Logistics LLC

Key Topic: Tapping the potential of mobile apps and Big Data

Takeaway: Cloud stability, back-up systems and cybersecurity are concerns

“The logistics industry continues its journey towards the growing significance of moving information seamlessly along the supply chain,” notes Bargmann. “This critical evolution has been accentuated by the growing prominence of fresh products in the marketplace. The mobility and timeliness of this data is crucial and there is an ever-growing plethora of hardware and software available to drive this critical change.”

Collaboration isn’t a new concept in the supply chain sector, but recently there has been a renewed focused in this area.

“The changes in the food supply chain towards a quickly growing and expanding percentage of fresh foods has rekindled the interest and focus in collaboration,” explains Bargmann. “There are many tools being offered to assist in this journey to a collectively-managed profitable delivery of consumer expectations. The opportunities to enhance supply visibility and share data in real-time with cloud-enabled applications and mobile devices are becoming game changing.  Of great concern though are cloud stability, back-up systems, and cybersecurity.”

Bargmann cautions that, “Many transportation technologies, while very effective, can be cost prohibitive. Yet, mobile apps could impact these costs dramatically. It is possible in the near future that every truck will have a central tablet or similar mobile device which will integrate with the entire vehicle and virtually all current stand-alone technologies and data points such as GPS, diagnostics, cab and trailer condition monitoring, temperature controls, electronic logs, cameras, and more will be synchronized and driven by one device and available in real-time.   This would likely drive down the overall costs and somewhat commoditize or make generic the devices used at data gathering points and higher proprietary systems obsolete. Smart cargos with shipper specific sensory devices might also transmit through some sort of industry standard shared app.”

In addition, “While all the Big Data has been gathering for a long time, little good has been done to harvest and utilize it with any real meaning,” says Bargmann. “What good is the data if it can’t be shared and made actionable while it’s still relevant? Visualization software products seem to be effective in harvesting and bringing this data to an actionable place while still ripe.”

 

 

Who: Dan Filby, EVP and Managing Director, First Advantage

Key Topic: Big Data

Takeaway: Opportunities to improve carrier performance and profitability

In the U.S., the average for-hire truck drives 489 miles each time it hauls freight. With 10.3 million commercial trucks on the road, these vehicles are generating large volumes of information—or Big Data—while in operation. It’s estimated that today’s commercial vehicle generates about 1 terabyte of data annually, according to Filby.

“The existence of these data creates the opportunity for fleet operators to improve their operations with respect to a host of performance measures including pricing, routing, asset tracking and utilization, maintenance, and fuel optimization,” he says. Furthermore, “The existence of these data creates the opportunity for automated government audit and enforcement efforts.”

However, not all carriers invest in the time or analytic tools necessary to mine their own data.

“Some fleets look to an outside vendor because they do not have the internal capabilities or time to conduct this analysis on their own,” says Filby. “Some look to third-party vendors because they’re private carriers—for example, Pepsi—and while they have the capability to do so, it is more cost-effective to have a specialist do it for them so they can focus on their core businesses. Regardless of the reason, they don’t want data. They want management information.”

Big Data is only going to get bigger, remarks Filby. “The proliferation of data from trucks will continue to expand with the growth of onboard devices and a greater driver adoption of social media. With that comes the opportunity for analyses that deliver actionable information to commercial vehicle operators that drives top-line revenue and helps them control costs and bolster profitability in an industry with thin margins.”

 

 

Who: Mike Meehan, CTP, VP of Sales, Fleet Advantage

Key Topic: Mining Big Data for competitive advantage

Takeaway: Rethinking the fleet lifecycle management practice

“In the arena of food distribution, understanding the financial impact of integrating technologies that continually increase fuel efficiency and reduce emissions is imperative,” emphasizes Meehan. “Leveraging data can be the catalyst to elevate a distribution operation from a support function to competitive differentiator with quantifiable revenue enhancement strategies. Using newly-available technology that generates data from a wide variety of sources, then combining and mining that data to discover new ways of cutting costs is the key to gaining competitive advantage.”

Meehan says that, “While data has long been used for route optimization, only recently could it be leveraged to provide new insight into the equipment performance, operating costs and fleet lifecycle management practices. By combining equipment performance data with maintenance and finance data, it is possible to determine each vehicle’s point of economic obsolescence—the exact time that a tractor starts costing more to run than it does to replace it with a new model.  The data essentially provides a P&L statement on each truck.”

On the topic of fuel-related regulations, Meehan notes, “Fuel economy mandates on heavy duty trucks focused on emissions reduction and resource conservation and will be in effect through 2027. That means only one thing—continuous improvement in fuel economy for years to come. Since fuel is approximately 70 percent of a fleet’s operating cost, this is good news for the industry as a whole. Effective in model years 2014, Phase I mandates are indeed proving to save transportation operations millions of dollars annually in fuel and maintenance costs. The new data intelligence is prompting fleets to address long held fleet lifecycle management practices. Fleets are increasingly moving from a purchase/bank financing model to a short-term, more flexible leasing solution that allows them to capture the benefits of the fuel economy improvements (and) reduce their maintenance—gaining efficiencies and competitive advantage.”

 

 

Who: Lori Harner, Sr. Global Product Marketing Manager, International Business Systems (IBS)

Key Topic: Cost impact of Food Safety Modernization Act (FSMA)

Takeaway: Using technology to be proactive, not reactive

Despite helping to assure consumers have access to healthy, sustainably-produced food, the U.S. Food Safety Modernization Act (FSMA) brings with it additional costs, especially for smaller producers and distributors in the supply chain, notes Harner. Leveraging technology, especially around business intelligence (BI) and reporting, is an important strategy for mitigating these costs.

Technology can also help companies become more proactive as opposed to reactive, she explains.

“IBS offers a powerful suite of applications that can synchronize how a company communicates and responds to challenges associated with the FSMA. For example, if there’s a disruption, the distributor can change suppliers and/or initiate an inventory substitution by using their software to ‘see’ what’s going on. Ultimately, this boosts and retains customer loyalty and satisfaction, which is what everyone is looking for.”

At the same time, “The food/bev industry can learn a lot from the work that’s already been done by the pharmaceutical industry,” says Harner. “Many of the processes and best practices with regards to tracking and tracing in the pharma industry can be leveraged by the food/bev industry.”

 

 

Who: Bob Camozzo, President, Logistix Solutions

Key Topic: Maximizing logistics cost cutting strategies

Takeaway: Designing more user-friendly software solutions

“We work with many companies, both start-ups as well as established enterprises, in diverse industries,” explains Camozzo. “A common theme we are seeing from all our customers in the area of logistics, and specifically transportation management systems (TMS) software, is that companies today are really pushing the boundaries and using aggressive cost cutting strategies like cross-docking, backhauls, direct supplier shipments bypassing distribution center networks, managing their own inbound freight and moving from less than truckload (LTL) to multi-stop truckload and other consolidated freight methods.”

He adds that, “While these types of strategies used to be managed as one-off, manual processes, each of these strategies pose a big challenge for supply chain optimization software with even bigger opportunities to generate significant savings, often beyond the frequently-touted 10 to 15 percent goals companies set as a minimum ROI. The reason these strategies are so challenging to solve is that they are often unique to each company, therefore it’s a challenge to design software algorithms that provide flexible solutions for a broad spectrum of users.”

This requires even greater customization or rapid-response and continuous improvement, which the new generation of on-demand software or Software-as-a-Service is capable of providing, says Camozzo.

“Yet, for all the complexity required to generate solutions that increase levels of profitability and enhance customer service, software solutions still need to hide this complexity and still be easy to use. Much more user-friendly interfaces, better graphics and faster computers all contribute to making these software solutions easier to use for problems that are increasingly more complex, more challenging and, ultimately, much more profitable.”

 

 

Who: Peter Yost, VP of Marketing, MercuryGate International

Key Topic: Fleet management and food safety

Takeaway: An optimal plan requires careful analysis

“The food and beverage supply chain has challenges unique to its industry for transportation management,” says Yost. “End-to-end, or tower-to-tower, visibility of the location, and in some cases, the current temperature of the products on board is critical to ensuring food safety and integrity. Knowing where the inventory is and the condition of the inventory when in route allows the food company’s logistics team to react quickly to emergencies, keep the customer updated and reduce their own safety stock inventory levels.”

In addition, “Food companies that operate a fleet for deliveries are challenged to optimize the use of their vehicles and the use of contract carriers. Determining the optimum plan for meeting local and long-distance deliveries with the company’s fleet and contract carriers requires careful analysis of delivery windows, equipment types, pooling locations, and fleet/driver availability. Minimizing the miles driven and driver hours behind the wheel required to deliver products to customers saves money and reduces the company’s carbon footprint.”

 

 

Who: Amy Childress, VP, Marketing & Business Development, PakSense

Key Topic: Automating the transfer of cold chain data

Takeaway: Cellular connectivity removes human intervention

“At PakSense we are seeing a new trend regarding monitoring and maintaining the cold chain,” notes Childress. “Historically, customers were happy with placing a temperature logging device on a perishable load and downloading it at the receiving end. However, we are experiencing a shift in this thinking and perhaps this is in response to impending FSMA legislation. Today, there is increased interest in automating the transfer of this cold chain data and making it available to users via cloud computing for anytime, anywhere analysis and on-demand report generation.”

The company has responded to this market shift by creating bolt-on and extensible systems that utilize cellular connectivity to transmit cold chain data, she says. “For example, our AutoSense inbound system utilizes PakSense wireless labels and our cellular M2M readers. Labels are placed on loads by suppliers and when they arrive at a distribution center, the truck door opens and the temperature data from the wireless label is automatically downloaded to the reader without any human intervention. Emails with temperature data are automatically sent to QA staff smartphones and the data also resides in a database on the cloud. We have similar cellular-based facility monitoring systems and real-time loggers that provide temperature and location data in real-time, and they can be bolted on to our AutoSense Inbound monitoring system. All of these systems are automated and use cellular connectivity to transmit data to a central repository where users can analyze data further.”

 

 

Who: Ron Gillies, VP Sales & Marketing Americas, Printronix

Key Topic: Food traceability and compliance

Takeaway: Meeting GS1 standards

From his perspective, Gillies says that, “Creating compliant labels and tracking that data through the supply chain can be a challenge for many food producers/growers and manufactures. Today’s label software providers are making that easier through simple-to-use, GS1-compliant templates, but many challenges remain.”

For example, “How do you confirm the label has printed correctly? How do you print in a wide range of temperatures and still produce readable barcodes? Additionally, how do you capture the barcode and associated product data throughout the supply chain?” These are the types of challenges that are resolved by selecting the right barcode printer that can operate at a variety of temperatures, asserts Gillies.

“Real-time label validation is also essential to assure GS1 and industry compliance regulations, which will ultimately save businesses time, money (fines) and simultaneously help collect valuable data from their operations. Solutions that can provide these time and money savings are available from Printronix, such as the T8000, which can operate as low as 23 degrees F (5 degrees Celsius); along with our Online Data Validation and PrintNet Enterprise solutions, which can validate barcodes for compliance and manage print production through an entire organization, respectively. All crucial elements to the success of an efficient supply chain process.”

 

 

Who: Valentina Cecchi, Marketing Coordinator, System Logistics

Key Topic: Food safety compliance

Takeaway: Using AS/RS to support tracking and tracing

“Factory-to-fork traceability has many challenges. Key among them is seamlessly tracking and tracing all ingredients input through the final product output while optimizing speed of response at most efficient operating costs. Companies and organizations looking to modernize their processes and facilities should focus on systems and solutions that can support compliance regulations associated with the Food Safety Modernization Act (FSMA), which will be strongly enforced in the near future,” says Cecchi. In addition, “The application of best practices is necessary to decrease response time to customer/regulatory body inquiry or recall, limiting potential product loss and financial liability. With the understanding that data tracking and traceability is critical for food manufacturers, System Logistics software suite Systore provides all of the necessary interface points between the end users’ ERP system and the distribution center’s automation system, helping to keep the system running at peak performance.”

She adds that, “Moreover, by storing finished goods and raw materials in automatic storage and retrieval systems (AS/RS), inventory control and traceability can be guaranteed due to System Logistics` Systore software, which controls the material flow and reports back to the host WMS or ERP. The Systore software can provide a real-time snapshot at any given time and has many more functions to support the material management within the warehouse (i.e., quarantine, cycle counting, expired product or materials, etc). Additionally, utilizing AS/RS warehousing significantly minimizes product damage while increasing accuracy.”

 

Who: Kerry Byrne, President, TQL

Key Topic: Mobile apps

Takeaway: Speak-and-search features finds loads fast

In May, freight brokerage firm Total Quality Logistics (TQL) released Carrier Dashboard 4.1, the first mobile application in the trucking industry with speak-and-search technology designed to save time for drivers on the road and help them find freight more easily.

“We are the first to market with a mobile application that allows drivers to search for loads with voice commands,” says Byrne. “Technology is a serious competitive advantage. The faster carriers can find our loads, the easier it is for us to satisfy our customers’ delivery requirements.”

The app uses a form of artificial intelligence that continuously improves performance, along with recognizing regional accents and filtering out most ambient noise. The more drivers use the app, the better it gets. And when it’s time for the driver to head home, he/she simply asks the app to “take me home” and it finds them a load heading back to their home town.

 

Who: John Clark,

Key Topic: Apps for consumers and B2B; AS/RS

Takeaway: New tools improve cold storage facility management

“With the advent of ‘There’s an app for that,’ controlling your cold storage AS/RS via a tablet device makes sense,” says Clark. “One of our customers, Americold, uses this at their Indianapolis facility. With it, users can monitor the system—and more accurately, monitor by exception. They don’t need to see what’s working, but more so see where issues might occur. This saves on travel time throughout the facility as adjustments can be made within the facility and also from a control area outside the cold storage area.” For example:

  • Software solutions (TMS, WMS etc.)
  • Warehouse (AS/RS, forklift technology etc.)

“In the meantime, AS/RS technology continues to make inroads into the cold storage arena,” says Clark. “AS/RS falls into Level 3 of the four-level automation scale. Level 1 includes WMS and RF or voice-directed picking. This offers an ROI of as fast as 6 to 12 months. Level 2 automation includes conveyor or pick modules and can have an ROI of one to two years. Level 3 includes AS/RS solutions, which also encompasses conveyor and sortation as well as warehouse control and WMS, and can offer an ROI of three to four years. This was unheard of five years ago. Finally, these levels of automation solutions are incremental, so users can ‘dip their toes’ in the waters of automation and build out as they need to.”

 

“Demand Sensing Gets Its Day In The Sun”

By Lara L. Sowinski

One of the biggest buzzwords in the software and technology segment today is “disruptive,” as in disruptive innovations that create new—and unexpected—markets and value networks. The advent of digital photography and the resulting “disruption” of the chemical photography market is one example. In the supply chain space, Terra Technology’s invention of demand sensing 13 years ago fundamentally disrupted traditional planning systems with “advanced pattern recognition algorithms to sort through masses of real-time data, understand what is predictive and create the best picture of demand for every item at every location,” explains Byrne. “It is the way you would imagine demand planning to work if it were invented today instead of 50 years ago.”

He explains it this way. “When you decide how much milk to buy for your family, do you check historical shopping lists to see how much milk you bought this week last year, or do you open the fridge to see how much is there?”

The powerful algorithms in demand sensing are just like peeking inside the fridge and simultaneously examining hundreds of other signals to find predictive patterns in and between data sets. According to Terra Technology’s 2014 Forecasting Benchmark Study, on average, food companies that use demand sensing cut their forecast error by 41 percent across all items and years (2009 through 2013). Other food-specific findings from the study include:

  • Overall, the proliferation of food items remains pretty stable over time, but started to rise in the last two years with 13 percent more items in 2013 compared to 2009. In the same period, shipments were up 1 percent. As a result, sales per item dropped 10 percent.
  • The number of cumulative items almost doubled during this 5-year period, but was masked by a high churn rate of 92 percent. On average, each food company has been introducing three new items and discontinuing two items every day, 365 days a year for the past five years.
  • Finally, the ‘long tail’ continues to be a challenge. The slowest moving 50 percent of items contributed 2 percent of sales, while the fastest-moving 10 percent of items generated 70 percent of sales. In other words, companies could cut their complexity in half while losing at most 2 percent of their volume, probably less.

Meanwhile, demand sensing is still working to acquire widespread acceptance in the market place. Byrne says the five years following the initial launch were slow, with only one major deal each year. That changed, however, when Procter & Gamble (P&G) chose to implement demand sensing.

“It was a real endorsement and put us on the map,” says Byrne. P&G deployed Terra Technology’s demand sensing to approximately 75 percent of its global business and has also selected multi-enterprise demand sensing, inventory optimization and transportation forecasting.

Nils Mueller, P&G’s intelligent daily forecasting initiative manager, explains that, “In the current economic climate—with ever increasing volatility in demand—it is crucial to extend the supply chain visibility as close to our customers as possible. Speed today is of the essence. Only those companies that can respond quickly to customer and consumer needs will stay ahead. Terra’s software provides P&G the ability to stay ahead of shifts in consumer demand.”

Kellogg, Kimberly-Clark, Unilever, Mondelez, Kraft and General Mills are others that have implemented Terra Technology’s solutions. And while Byrne admits that some still don’t view demand sensing as a “must have” solution, like WMS, for instance, there are some positive signs on the horizon.

“Ten years ago, I really thought that retailer data was going to transform the supply chain,” he says. “It’s still getting there. You had a bunch of people that rushed in to do things like on-shelf availability management, but then there was a lull. However, it’s started picking up a bit. The recession forced everyone to shift their focus and a lot of projects got canned. But in the last few months I’ve suddenly seen a lot of customers and prospects doing a 3- to 5-year play around supply chain systems. It’s very exciting.”

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