SAP Leonardo Logistics 4.0 at Semicon 2018 San Francisco

1. Pierre Erasmus, SAP
July 2018
SAP Leonardo for Connected Fleet
Logistics 4.0

2. 2© 2018 SAP SE or an SAP affiliate company. All rights reserved.
SAP Leonardo Moving Asset Platform for Logistics 4.0
Collect, map, store, and analyze vehicle sensor data in real time
Vehicle data and analytics in the cloud
DIGITIZE your moving assets
insight across your business
INTEGRATE moving asset insights
to operationalize and optimize
planning processes
INNOVATE by creating new
processes to increase customer
intimacy and create new revenue

3. 3© 2018 SAP SE or an SAP affiliate company. All rights reserved.

4. 4© 2018 SAP SE or an SAP affiliate company. All rights reserved.
Evolved Logistics 4.0
Optimized supply chain and dynamic fleet operations
Logistics 4.0 for a connected, Integrated, dynamic improved
supply chain network
• Connect all fleet
• Connect via different
technology. cellular,
radio, satellite
• Connect to 3PL /
service providers
• Timely & informed insights
• End to end oversights
• Network collaboration &
exception handling
• Utilization & efficiency
reporting
• Increased customer
service
• Operator assistance
• Fleet and logistics
performance
measurement
• Report generation
• Performance and
efficiency calculations
• Downstream business
process integration
• Dynamic planning to
increase efficiency
• Optimized real time
routing
• Automatic business
adjustments
Process AutomationInformed Insights Optimized PlanningConnected Fleet Alert & React
!
4© 2018 SAP SE or an SAP affiliate company. All rights reserved.

5. 5© 2018 SAP SE or an SAP affiliate company. All rights reserved.
“Network” perspective
Logistics 4.0 Portfolio Overview
Real-
time
data
Historical
data
On premise | Cloud |
Hybrid
SAP S/4HANA, ECC,
Enterprise digital
core
“Thing” perspective
SAP Global
Track and TraceSAP Vehicle
Insights
SAP Connected
Goods
Monitor goods as well as assets in-transit and
survey the lifecycle of mass-market products
Maximize the value of your fleet and IoT-enabled business
assets
Manage your core business processes
SAP Leonardo IoT Cloud
SAP Logistics
Business
Network
SAP Bridge
SAP TM, EWM,
Yard Logistics
Planning
Execution
Hybris

6. 6© 2018 SAP SE or an SAP affiliate company. All rights reserved.
Quick realization of business integration
scenarios by using predefined content
and services to analyze and integrate.
INTEGRATE
Moving assets insights to improve operations
Business
Processes
2
Logistics 4.0 Impact real time business decision making

7. 7© 2018 SAP SE or an SAP affiliate company. All rights reserved.
SAP Vehicle Insights
Proven solution at leading companies worldwide
Increased efficiency and
asset up-time by proactive
handling of error situations
DISTRIBUTION
Precision vehicle location
tracking and geo-fencing to
accurately claim fuel tax credits
MINING
Real-time intralogistics to
increase efficiencies, safety
and vehicle utilization
MANUFACTURING
Commercial fleet management and
new business models supported by
data-driven vehicle and driver services
that are integrated with core SAP systems
AUTOMOTIVE
Usage-based insurance
individualized by tracking
driving behavior
INSURANCE
End-to-end trucks and
trailer transport processes
using BPW trailer telematics
and SAP Vehicle Insights
LOGISTICS
© 2018 SAP SE or an SAP affiliate company. All rights reserved. 7

8. 8© 2018 SAP SE or an SAP affiliate company. All rights reserved.
The challenge Logistics 4.0
Utilization insights
12%
33%less fuel/energy
efficiency from improved
operator behavior (2)
Free up-capacity and improve
asset utilization
Asset rightsizing Logistics optimization
Emissions
10%Reduction in asset
spend through fleet
rightsizing (3)
Over 35%Increased asset efficiency through
logistics and dynamic routing
optimization
50%Over 25%of hydrocarbons emitted
by transportation (6)
of carbon monoxide and
nitrogen oxides and almost…
8

9. 9© 2018 SAP SE or an SAP affiliate company. All rights reserved.
The challenge
Utilization insights
12%
Free up-capacity and improve
asset utilization
Asset rightsizing Logistics optimization
Emissions
10%Reduction in asset
spend through fleet
rightsizing (3)
Over 35%Increased asset efficiency through
logistics and dynamic routing
optimization
50%Over 25%of hydrocarbons emitted
by transportation (6)
of carbon monoxide and
nitrogen oxides and almost…
9

10. 10© 2018 SAP SE or an SAP affiliate company. All rights reserved.
APP on time deliveries and improved customer experience
with SAP® Vehicle Insights
Company or Organization
Asia Pulp & Paper (APP)
Headquarters or Location
SEA (Indonesia)
Industry
Forest Products, Furniture &
Textiles
Products and Services
Packaging, Paper, Tissue
& Services
Revenue
36.85 trillion IDR (2016)
Web Site
www.asiapulppaper.com
Objectives
 APP supply chain group manages multiple trucks (both internally owned and contracted
ones) for delivering goods to their customer locations. These trucks transport the goods to
multiple locations (500+) all over Indonesia. The trucks are operated by multiple
transporters. APP measures the performance of the contracted transporters based on key
KPIs like on time delivery, unloading times, number of trips and several other utilizations
related KPIs.
 The main challenge they currently face is that the trucks are fitted with different GPS
devices. Currently they have to login to multiple GPS provider portals to consolidate the
information and all reporting is done manually.
 APP decided to use SAP Vehicles Insights and the Vehicle Tracking CAE to integrate the
data from several GPS providers onto a single platform to get a holistic view of their
transport business. The key KPIs are calculated in VI and the stakeholder reporting is done
via SAP Analytics Cloud platform.
Business Value
 Monitor trucks fitted with various GPS providers on a single platform.
 Real time visibility of location of trucks to measure accurately the arrival time and unloading
time at customer location.
 Rank various transporters based on their On-Time delivery KPI
Outcome
• Because of positive and interactive collaboration between the customer’s IT team, the SAP
VI Product team, and CSC team the project was delivered in 6 weeks from the sign off.…
• APP customers experience increased customer experience with higher on time deliveries.
Harmonized
Single platform to get a holistic
view of their transport business
Transparency
Real time visibility of location of
trucks to measure accurately the
arrival time and unloading time at
customer location
Efficiency
 Rank various transporters
based on their On-Time delivery
KPI
(2016/10)
Connected logistics
delivery
Fleet analytics
Customer Experience

11. 11© 2018 SAP SE or an SAP affiliate company. All rights reserved.
The challenge
Utilization insights
33%less fuel/energy
efficiency from improved
operator behavior (2)
Asset rightsizing Logistics optimization
Emissions
10%Reduction in asset
spend through fleet
rightsizing (3)
Over 35%Increased asset efficiency through
logistics and dynamic routing
optimization
50%Over 25%
11

12. 12© 2018 SAP SE or an SAP affiliate company. All rights reserved.
3) Strategical
2) Tactical
1) Operational
Vehicle
Monitoring
Safety
Heatmapping
Utilization
Analytics
Top
Floor
Shop floor
Vehicle Insights
Predictive Maintenance
Digital Manufacturing Insight
“We need to have data out of our factory to improve the performance.
So we built the Live Factory where we use the live data to solve problems in the moment they occur.” – Marty Groover, Caterpillar
• Data-driven decision
making
• Improvement of
efficiency and
utilization
• Active safety
management with
real-time insights
• Proactive problem
solving
• New insights into
productivity
AfterBefore
• Reactive & delayed
management of
challenges
• Safety only as a
management task
• Investment-based
decisions
• Low asset utilization
Connected Fleet
Live Factory

13. 13© 2018 SAP SE or an SAP affiliate company. All rights reserved.
The challenge
Utilization insights
40%
Properly maintained
vehicles can increase its
fuel and energy economy
up to (2)
Asset rightsizing Logistics optimization
Emissions
10%Reduction in asset
spend through fleet
rightsizing (3)
Over 35%Increased asset efficiency through
logistics and dynamic routing
optimization
50%Over 25%
13

14. 14© 2018 SAP SE or an SAP affiliate company. All rights reserved.
Connected logistics,
delivery
Connected logistics,
delivery
BPW Bergische Achsen and SAP Vehicle Insights
Company
BPW
Headquarters
Wiehl, Germany
Industry
Transportation
Products and Services
Fleet Management and
Trailer equipment supplier
Employees
6,400
Objectives
 Digitization of transport processes of vehicles BPW is supplying complete running gears for
e.g. commercial, agricultural, truck and bus equipment, caravans and plant and trailers
 Innovation-Lab to accelerate optimized end-to-end transport processes using BPW trailer telematics
solution and
SAP Vehicle Insights as foundation
Why SAP
 Flexible and extensible platform with extensible “thing” data model
 Seamless integration of partner applications and custom solutions and other SAP solutions using
standardized
Web-enabled services on data models
 Storage of telematics raw data and calculated data within SAP HANA for real time access
Resolution
• SAP Vehicle Insights Cloud Platform offers real time sensor data analysis by integrating automotive
telematics data
• Collection of telematics data like acceleration, speed, current position, braking events, error codes from all
kind of cars and all kind of telematics sensors offers full transparency
• BPW telematics and SAP Vehicle insights will connect logistical relevant information e.g. transportation
orders, traffic information and business data
Benefits
 Improved transparency, efficiency and security in the transport industry
 New business models and opportunities for the automotive industry
 Increased security and transparency with end-to-end transport processes
Co-Innovation
Car-fleet analytics
„Using telematic gains insights of the location and status on individual transport
level.Enhanced transparency enables tighter integration of sender and dispatcher.
Supply chain processes gain tremendous planning reliability occuring delays can be
detected far earlier and allows faster reaction.
says Marcus Sassenrath, Head of IT- and Digitalstrategie at BPW
Connected logistics,
delivery

15. 15© 2018 SAP SE or an SAP affiliate company. All rights reserved.
The challenge
12%
Free up-capacity and improve
asset utilization
Logistics optimization
Emissions
10%Reduction in asset
spend through fleet
rightsizing (3)
Over 35%Increased asset efficiency through
warehouse logistics and dynamic
routing optimization
50%Over 25%of hydrocarbons emitted
by transportation (6)
of carbon monoxide and
nitrogen oxides and almost…
15

16. 16© 2018 SAP SE or an SAP affiliate company. All rights reserved.

17. 17© 2018 SAP SE or an SAP affiliate company. All rights reserved.
SAP Vehicle Insights
Customer Story Bosch Zenoway
Company Profile:
Founded in 1886
Headquarters: Gerlingen, Germany
Employees: 375.000
Industry: Conglomerate
• Automotive components
• Industrial technology
• Consumer goods and power tools
• Security systems
Website: www.bosch.com/en/com/home/index.php
Announcement (Sep, 2016): SAP and Bosch Team Up to Advance IoT
The cooperation between Bosch and SAP shows how the interplay of
sensors and software enables the creation of new services that go beyond
individual companies. “Bosch can draw on extensive sensor systems
experience in the areas of mobility, manufacturing, consumer goods, and
connectivity. By combining all this, we aim to help our customers generate
new sales.”
“In order to make even better use of the major potential that connected
industry holds, international companies must cooperate more closely than
before, and they must base that cooperation on open standards.” Dr.
Volkman Denner, CEO of Bosch
SAP Vehicle Insights Project:
Increasing Transparency & Efficiency in Logistics
In a partnership with Bosch and their subsidiary Zenoway
SAP VI team realized a use case for forklift monitoring
and analytics based on exact positioning data.

18. 18© 2018 SAP SE or an SAP affiliate company. All rights reserved.

19. 19© 2018 SAP SE or an SAP affiliate company. All rights reserved.

20. 20© 2018 SAP SE or an SAP affiliate company. All rights reserved.
SAP Leonardo IoT innovation industry packages
Move from IoT vision to deployment in less than four months
Discover &
Assess
(Optional)
IoT design
thinking with
stakeholders
Explore
Project Kickoff
Vision and
Scope
Implement
Launch Prototype
Run Live
Prototype
1 WEEK
Rapid IoT
Prototyping
1 DAY1 DAY 3 MONTHS
The program is currently available for four solutions: SAP Connected Goods,
SAP Vehicle Insights, SAP Predictive Maintenance and Service, SAP Asset Intelligence Network.

21. Thank you.

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