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How to Get Real Value fromReal-Time Logistics Data
Supply Chain Visibility Webinar
Matthew BarnesRegional Director, Integration & Analytics
Dr. Jürgen KrämerVP, CEP & Analytics
3 December 2012
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Today’s session
2012 Supply Chain Management Webinar Series 2
Your customers expect reliable, on-time and in-full delivery of your products and services. See
how you can meet their expectations consistently with real-time, end-to-end visibility into
your supply chain. Attend our one-hour webinar to learn how to:
• Gain full visibility and control of your logistic operations by using real-time event monitoring
across your extended supply chain
• Reduce risks, maximize efficiency and increase agility of your order-to-delivery process by
using actionable intelligence and analytics
See how other companies are getting real value—including savings and more satisfied
customers—by using real-time logistics data. Gain insights from their order-to-delivery best
practices. Discover how instant access to meaningful event data when it matters most makes
your business more responsive and customer-focused.
Matthew BarnesRegional Director,
Integration & Analytics
Dr. Jürgen KrämerVice President,CEP & Analytics
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One Recipe For SuccessSupply Chain Companies’ #1 Priority: Customer Satisfaction
Integration
Visibility
Focus &Simplification
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� Business activities or transactions failing or taking too long
� Not understanding why this is happening
� Not getting automatically notified of problems
� Wasting time searching multiple reports for the relevant data nuggets
� No way to predict potential issues or opportunities
� No way to PRO-ACTIVELY do the right thing
What keeps a Business User up at night?
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The Value of End-to-End VisibilityComplex business processes are supported by multiple, disconnected systems…
TMSERP WMSCRMB2B
A
B
C
D
J
E
F
G
H
Multiple systems with multiple stress points…
I
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End-to-end visibility definedFrom rear view to prediction
Understand the past
Analyze events and predict the future
Know what’s happening now
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Order Clerk Warehouse Logistics A/R
7
CustomerNeed
Time
Create Sales Order
CreateDelivery
ShipGoods
PostInvoice
DeliveryNote
GoodsIssue
InvoiceSalesOrder
Automated Process Discovery
Extractor
Order-to-Cash
ERP,BPMS, …
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Metrics
AutomatedProcess
Discovery
Root-cause
analysis
� Amount
� Times
� Costs
� Quality
� Risks
� Organizational performance
� Compliance
� Customer satisfaction
8
See what’sgoing on
‘in the middle’=
Realprocessbehavior
From indicators to root causes
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Analytics: Trends - Distribution – Dependencies
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Instrumenting your supply chain processes at key action points
Valu
e
Business event
Data captured
Action taken
Intelligence delivered
Time
Reference: Richard Hackathorn – The BI Watch: Real Time to Real Value
iKnow
Opportunity
• Order arrives from customer• Customer orders back-ordered /
out of stock product• Truck at loading dock Missed Opportunity
• Order stuck on credit hold• Customer cancels order
• Truck has left the dock
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KNOW What Impacts Order VelocityOrder Monitoring
Proactively alert on the following conditions:• Credit Block• Delivery Block• Delivery N/A• Incorrect SKU• Missing Quantity• Incomplete Order
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KNOW About Problems Before Your Customer DoesProcess Assurance: Advance Ship Notification
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• Extends to real time monitoring of ASN Acknowledgements
• Allows Production Support to Proactively contact the customer
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KNOW the Impact On Your CustomerCustomer Order Backlog
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Useful Links: Previous Webinars and Collateral
iKnow: Know About Problems Before Your Customers Do
http://www.softwareag.com/corporate/rc/rc_perma.asp?id=tcm:16-104185
Supply Chain Visibility - Our Offer to You: Your World in 22 Minutes
http://www.softwareag.com/corporate/rc/rc_perma.asp?id=tcm:16-97102
Improve Business Performance with Process Intelligence
http://www.softwareag.com/corporate/rc/rc_perma.asp?id=tcm:16-79532
2-Minute iKnow Video on YouTube
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Real-Time Logistics
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Providing Real-Time Visibility to Assets
16
GPS/GPRS tags• Determines position via GPS• Sends data back via device type
and configuration• Monitors environment (e.g.
temperature)
Real-time information hub• Collects event data from all tags• Business logic for event processing• Actions, alerts in case of exceptions• Populates event data to concerned
business services
Usage Scenarios• Visibility• Visualization• Asset management
• Exception management• Theft prevention• Quality of Service (QoS) monitoring• Business activity monitoring
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Better Event Management can become a Competitive Advantage
17
Warehouse
ComponentDistributor
PartManufacturer
Final AssemblyeCommerce Site
Retailer
Consumer
Delivery
Product
Delivery
Order
Shipment
Product
Product
Warehouse item
Invoicedelivered
Source material
Componentordered
Stockdecremented
Itempicked
Advancedshippingnotice
Palletloaded
Routecreated
Customscleared
StockinboundOrder
item
Ordercreated
Delivery signed
In transit Intransit
A multitude of events across the ecosystem need to detected, integrated and processed A multitude of events across the ecosystem need to detected, integrated and processed in order to enable an instantly responsive and proactive enterprise.
2012 Supply Chain Management Webinar Series
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Event Streams
GPS GPSGPSGPSGPSGPSGPSGPSGPS
Stream of position reports from a truck
Stream of orders from a customer
Order OrderOrderOrderOrderOrderOrderOrderOrder
Value ValueValueValueValueValueValueValueValue
Stream of sensor readings from warehouse
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Shipment Tracking / Geo-Fencing
Planned route
New route
Ship will arrive later
What would you do, if you knew that…
4:03 a.m.
4:12 a.m.
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Increase in Data Velocity
GPS GPSGPSGPSGPSGPSGPSGPSGPS
Stream of position reports from a truck
Stream of orders from a customer
Order OrderOrderOrderOrderOrderOrderOrderOrder
Value ValueValueValueValueValueValueValueValueStream of sensor readings from a warehouse
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Stream of sensor readings from ALL warehouses
Increase of Data Volumes
GPS GPSGPSGPSGPSGPSGPSGPSGPS
Stream of position reports from ALL trucks and ships
Stream of ALL orders
Order OrderOrderOrderOrderOrderOrderOrderOrder
Value ValueValueValueValueValueValueValueValue
Stream of position reports from a truck
Stream of orders from a customer
Stream of sensor readings from a warehouse
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Need for Real-Time Analytics
GPS GPSGPSGPSGPSGPSGPSGPSGPS
Order OrderOrderOrderOrderOrderOrderOrderOrder
Value ValueValueValueValueValueValueValueValue
�Newest data is more relevant!
�Database becomes bottleneck!
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Options
Time
Business
Event
Action
Taken
Action Time
Problemor
Opportunity
Costs
FasterReaction
ProactiveAction
Business Value of Faster Actions
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In-Memory, In-Flight Analytics
GPS GPSGPSGPSGPSGPSGPSGPSGPS
Order OrderOrderOrderOrderOrderOrderOrderOrder
Value ValueValueValueValueValueValueValueValue
Complex Event Processing (CEP)
Result
Result
Result
e.g. Filtering, Aggregation
e.g. Time windows
e.g. Correlation
Complex Event Processing (CEP)
Definition: Continuous analytics to derive meaningful business events from different event streams or other event sources like databases in real-time to gain situation awareness and trigger immediate actions.
� Event-driven, incremental processing
� High efficiency and scalability
� Enrich events with context data
� Detect patterns with time/locationparameters
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Real-Time Solutions for Smarter Logistics – Live Demo
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Real-Time Solutions for Smarter Logistics
Description
Fleet & Operation Management Tracking fleet and cargo locations and meeting
SLAs.
Challenges
• Overwhelming events (from warehouse, vehicle
management & RFID systems, GPS devices, and
environmental sensors)
• No actionable insights to effectively manage resources
• None optimal capacity usage
Benefits of webMethods
Business Events
• Instant detection of route deviations and updates to
estimated time of arrivals (ETA)
• Meet customer SLAs & arm them with info to make
contingency plans
• More effectively direct material, trucks, people, etc. to
places where required
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Business Impact of CEP
� Improves the quality of decision making by presenting information
that would otherwise be overlooked.
� Enables faster response to threats and opportunities.
� Helps shield business people from data overload by implementing a
management-by exception policy.
� Reduces the cost of manually processing the growing volume of event
data in business.
Source: Gartner Inc.: W. Roy Schulte; Zarko Sumic: „Hype Cycle for Data Management”, 2011.
CEP is one of the pillars of the emerging "big data" movement.
Gartner Hype Cycle for Data Management 2011
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My business operations
Intelligent Business Operations (IBO)
Decision processEvent
managementto enhance situation
awareness
Decision management
to make faster and better decisions
BPM flow management
to coordinate more-flexible processes
Observe, orient Decide Act
A C D
Other departments, customers, partnersand the environment
Source: W. Roy Schulte: Apply Three Disciplines to Make Business Operations More Intelligent, Gartner Inc., March 2012
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BusinessProcessManagement
Intelligent Business Operations (Next Best Action)
Event Bus
webMethods Business Events
CEPEngine
Pattern detection Real-time dashboards
Rules Engine
webMethods Business Rules
� Process actions� Task actions� Service actions
Context-based decisions
Businessevents
Simpleevents
Actionableevents
Logging ¬ification events
1) Situational Awareness 2) Immediate Actions
ProactiveBusiness Process
Management
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Big Data
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Big Data Poses Big Challenges
VARIETY
Mobile
10101100100001010011010110010001110101001
10111001001
Kiosks
Web
Sensors
VideoTelemetry
Files
Social Media
Big Data
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Classical Data Management Architecture
• Operational and analytical
environments are separated
• Mainly based on structured data
• Data exchange and
transformation with latency
• Different ways end-user
interacts with data OLTP
DBMS
Applications
Data
Warehouse
Business
Analytics
ETL
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Performance Intelligence
Real-time Data Management Goals
Applications Analytics
Transactional Data Analytic Data
How can business
be smarter?
What is happening
now?
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010010100011100011010111010010100011101110010000101010001111010
•Too slow•Does not scale
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In-Memory Data Management for the Real-time Business
Performance Intelligence
Applications
Transactional Data Analytic Data
Analytics
Real-time Analytics
In-Memory Data
ETLETL
On-Demand,Retrospective
Analytics
Operational Intelligence
How can business be smarter?�Automated
Decisions�Faster Actions
What is happening now?�Situation
Awareness�Real-time
Dashboards
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Next Generation Data Management
OLTP
DBMSData
Warehouse
Mobile- and
Web-Scale
Applications
Business
Analytics• Reporting
• OLAP
• Data Mining
New Analytics• Social Media
• Big Data
• Real-time dashboards
Cloud
In-Memory
In-Memory Data Management Platformcombining transactional, analytical, and Big Data to enable the
real-time enterprise for better business outcomes.
Data Store Event ProcessingLL Messaging
Big Data
HadoopInternet of ThingsSocial computing
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Summary
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How can Software AG help you?
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Goal
Compress Time to Action
Respond Faster Reduce RiskReduce Cost
Increase Customer Satisfaction
Business
Processes
Events Operations
ITOperationsConnect
Information
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382012 Supply Chain Management Webinar Series
More to Explore
On-Demand Webinars
iKnow: Know About Problems Before Your Customers Do
http://www.softwareag.com/corporate/rc/rc_perma.asp?id=tcm:16-104185
Supply Chain Visibility - Our Offer to You:Your World in 22 Minutes
http://www.softwareag.com/corporate/rc/rc_perma.asp?id=tcm:16-97102
Improve Business Performance with Process Intelligence
http://www.softwareag.com/corporate/rc/rc_perma.asp?id=tcm:16-79532
Live Online Demo
Experience what Real-Time Logistics can do for you!http://www.mashzone.com/en/Gallery/179612.html
More Info?
In case you’d like to
discuss the contents of
this webinar in more
detail, have specific
questions or would like to
follow up with a local
sales representative,
please send an email to:
Or go to our website to
find your nearest
Software AG office:
www.softwareag.com
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www.softwareag.com/pi 392012 Supply Chain Management Webinar Series