Here and FreightVerify aim to transform automotive logistics
January 17, 2018
European mapping and location services company Here Technologies is collaborating with FreightVerify, a cloud-based supply chain technology company, to transform how the automotive industry optimises its logistics and supply chain.
Announced at last week’s Consumer Electronics Show in Las Vegas, the deal between the two companies, builds on their existing offerings and intends to deliver for car makers real-time tracking, logistics optimisation and the opportunity to participate in new logistics sharing models.
"Logistics is poised for radical disruption due to advanced collaborative technologies," said Lorne Darnell, founder and chairman of Michigan-based FreightVerify. "One of the fundamental requirements necessary for these new business models is real-time end-to-end visibility of shipments across the supply chain ecosystem."
The combination of Here's geolocation technologies with the FreightVerify logistics offering should enable a new exchange model within the global automotive supply chain. OEMs for the first time will have the ability to share freight loads on-demand.
"With millions of moving parts, automotive supply chains are incredibly complex," said Leon van de Pas, senior vice president for IoT at Here Technologies. "Our proof of concepts with two OEMs have shown that tracking technology boosts supply chain efficiencies. By teaming up with FreightVerify, and linking our complementary capabilities, we can now together deliver a powerful commercial solution to the industry."
In the first phase of deployment, the companies will provide visibility allowing an OEM to use real-time tracking technologies and analytics to keep close tabs on inbound and outbound logistics. This means the OEM will be able, in real time, to track inbound materials and parts from origin to ocean container, to train car, to truck, to warehouse; track materials as they move within and between production sites; and track finished vehicles as they move from factory floor to dealerships, fleets and other end customers.
The second phase will focus on deployment of on-demand load sharing services. Yossi Sheffi, director of the MIT Center for Transportation & Logistics, has projected that enabling freight matching services over a network will help OEMs reduce costs by more than 24 per cent. These services will allow the optimisation across the many fragmented logistics networks in place today, in addition to helping carriers optimise their own operation, reducing supply chain costs even further.