Proving the Business Case for the Internet of Things

Sigfox and IBM optimise Groupe PSA supply chain

Steve Rogerson
February 6, 2019

IBM and Sigfox are using IoT technology to help French car maker Groupe PSA optimise container rotation between its various supplier sites and factories. Groupe PSA makes cars and motorcycles sold under the Peugeot, Citroën, DS, Opel and Vauxhall brands.
The Track&Trace service is for the digitalisation of container tracking between suppliers and assembly plants and is based on IBM’s cloud-based IoT technologies and Sigfox’s international 0G network.
With Track&Trace and IBM Watson IoT, Groupe PSA tracks its sensor-equipped containers in real time through Sigfox’s network. The service, easy to deploy, provides simple and efficient services to reduce production line breakdowns and eliminate packaging waste to prevent incidents. It is being deployed at several sites of the group.
“We are constantly looking for technological solutions to meet with the needs of our factories and to be as efficient as possible,” said Yann Vincent, executive vice president at Groupe PSA. “This Track&Trace system allows us to know, individually and in detail, where our containers are located. This technological advance must allow to optimise our rotation loops and to prevent incidents. It is a real disruption and a new step in the digitalisation of the supply chain.”
At the end of supplier consultation phase leading to the choice of IBM, the business service was co-created and developed during a design thinking session at IBM Studio with Groupe PSA’s logistic experts. It was then industrialised within IBM France’s ScaleZone, a structure federating open ecosystems to develop multi-stakeholder projects.
This co-construction approach has been possible thanks to the close collaboration between IBM, Groupe PSA and Sigfox, which aimed at bringing this to an industrial scale.
“I am proud that IBM is Groupe PSA’s trusted partner for its efficient logistics,” said Nicolas Sekkaki, president of IBM France. “With this innovative project, we are demonstrating the value of working in a conjoined ecosystem and in particular with a partner such as Sigfox, to develop new digital usages in a co-innovating process with Groupe PSA.”
Based on the technological innovation on the IoT field, the service was developed by IBM to be integrated into the industrial environment, from the sensor’s adaptation to the deployment of an as-a-service container system. Already integrating IBM’s analytical services, it will be able to develop and evolve in line with business needs and logistic uses, through artificial intelligence and technology sharing within blockchain ecosystems.
“Asset management and tracking is constantly growing for the companies,” said Ludovic Le Moan, CEO and co-founder of Sigfox. “This is the most important demand on the IoT market. We are delighted to combine Watson IoT’s power with our seamless international network to enable Groupe PSA to improve its supply chain.”
IBM, Sigfox and Groupe PSA plan to offer this platform to other European manufacturers from 2019.
Founded in 2010, Sigfox is headquartered in France, and has offices in Madrid, Munich, Boston, Dallas, San Francisco, Dubai, Singapore, Sao Paulo and Tokyo.