Inspiration: The problem CO3-VID solves
The shortage of protective equipment (PPEs) for healthcare workers has been a common problem in the fight against COVID-19. The only possible way to manage efficiently this situation of scarcity is through collaboration, sharing information and taking coordinated decisions. Any other way, only makes the problem bigger and, in this case, it is no joke as it has a direct impact in the number of infections and deaths.
Even if numbers are still hair-raising, the last statistics in Europe allow to be slightly optimistic. However, the challenges are still multiple and it is necessary to plan in detail how to deal with the re-activation of non essential activities. This will imply, for sure, to provide proper PPEs to all workers, and it is essential to look for efficient collaborative solutions to do so. Some industries already reacted and started to produce their own PPEs which is great, but the only way to succeed is through coordination and collaboration. As it has been already proved in the last few weeks, the impact of not doing so would be terrible.
When we gradually restart our production in the industry: Europe has about 30 millions people working in manufacturing (45% in large and 55% in SMEs). To provide each of them with the needed PPEs is going to be a titanic effort. A back of the envelope estimation gives: Disposable face masks (3/day): 90 millions/day (3 face masks x day x person); Hydroalcoholic Handgel: 1500 tons/day (6ml per wash x 8 washes a day); Faceshields: 300.000/day (1 per person per 3 month)
CO3-VID project proposes a complete sound and solid solution to build an efficient collaborative intelligent logistics network for the decentralised production of PPEs, and its distribution to the multiple locations where this equipment is needed. CO3-VID builds-on different already consolidated solutions covering from the daily forecast of the needs in each of the locations, combining artificial intelligence and prescriptive analytics (Nextail - COVAID), to the intelligent coordinated planning of decentralised production, and the management of a collaborative distribution network involving multiple transport service providers, operators and logistics hubs, inspired on the physical internet concept (MIXMOVE Match). The local stock position would be guaranteed through an easy plug&play warehouse management system that will be available for any production site and logistic hub in the network (Oakenshield).
What it does: The solution CO3-VID brings to the table
CO3-VID is a complete sound and solid solution to build an efficient collaborative intelligent logistics network for the decentralised production of PPEs, and its distribution to the multiple locations where this equipment is needed.
EFFICIENT and COLLABORATIVE
The progressively restart of the activity in EU will require billions of PPEs to protect workers at factories and logistics hubs. Many industries have started to produce their own PPEs in some of the factories, first to help with the supply to healthcare workers and later to supply their own production and logistics sites for the restart of the activity. However, if each company develops their own network to produce and distribute PPEs to their workers this would not be the more efficient approach (1). The potential savings just integrating the networks of different companies for this purpose are enormous and imply reductions up to the 50% in transport and logistics costs and the associated harmful emissions (2).
Nextail’s COVAID: The first brain of the solution able to make detailed long-term and short-term forecasts of the needs of every type of PPE for each node in the network, and able to make automated decisions (manufacturing orders, replenishment decisions, rebalancing stock between warehouses, etc.). This is done through proved AI algorithms and prescriptive analytics.
MIXMOVE Match: The second brain of the solution necessary to execute replenishment, rebalancing and other decisions related to the allocation of stocks of PPEs, in a collaborative, efficient and flexible way. It allows to manage the physical distribution of the PPEs between the nodes of the network coordinating and optimising the transport capacity of the operators involved. It is inspired on the physical internet concept for the distribution of goods.
Oakenshield: The third brain of the solution is a plug&play warehouse management (WMS) system that will be available for any production site and logistic hub in the network that would require the management of new spaces to stock PPEs and the control of their distribution to workers. This will provide real-time information of the stock position of every PPE in the network.
GOVERNANCE MODEL The implementation of CO3-VID requires a Governance model for in order to manage the entrance/exit and coordination of factories, transport and logistics operators into the network. This will be leaded by key factories and logistics hubs and facilitated by ALICE ETP for Logistics with the support of Fundación Valenciaport.
How I built it: What we have done during the weekend
- Discuss the idea developed by ALICE ETP
- Define and select the required components of the solution building on proved soundness available systems performing extraordinary results that only need to be integrated and slightly adapted to the specific problem CO3-VID is addressing
- Adapt the systems and tools which conform CO3-VID solution: - Define the specific parameters and set o data to feed Nextail’s product-location forecasting algorithms - Define the procedures and required data of any stakeholder (transport service providers, operators and logistics hubs) joining the collaborative distribution network managed with MIXMOVE Match - Define the required integration between systems - Develop an easy plug&play guideline for production sites, logistics hubs and transport operators willing to join the network
- Plan the continuity of the project: - Communication plan through ALICE members - Calculate the resources required - Implementation plan
The CO3-VID's impact to the crisis
Motivate European local production of PPEs. To:
- Reduce lead times of PPEs
- Be more responsive to needs – therefore saving lives (Reduce stockouts of PPE in the workplace thus reducing the number of employees infected by COVID. Using Nextail’s technology, the stockout in products is reduced by 40-50% across the location network)
- Lower cost by: Reducing the need for middlemen/distributors; Bundling products in a collaborative network enabling full utilisation of transport resources (up to 50% saving); Merge PPE goods in already existing, resilient, effective logistics operations
- Using intercontinental container shipping as a fallback source and utilise the same network for distributing PPEs coming from overseas
The necessities in order to continue CO3-VID
- Connect MIXMOVE Match and COVAID to provide status of cargo availability to COVAID
- Connect MIXMOVE Match to the ERP systems of manufacturers (efforts depends on how the exchange format).
- Connect Oakenshield and COVAID
- Nextail need to adapt and develop its systems to: full data & integration daily; develop knowledge of the supply chain and use of PPE’s to improve forecasting; Adapt to this vertical: New vertical learning curve; Forecast improvement with new drivers.
- Oakenshield needs to make an investment of approx. € 35.000 on servers and professional upgrades of licenses
What's next for CO3-VID: The value of CO3-VID after the crisis
CO3-VID is a complete sound and solid solution to build an efficient collaborative intelligent logistics network for the decentralised production of PPEs, and its distribution to the multiple locations where this equipment is needed. After the crisis this could also be used for normal goods that need to be distributed all over Europe with high availability, maximum agility and OTD (on time delivery). Or as a tool for humanitarian aid logistics.
The URLs to CO3-VID elements
ETP ALICE Youtube on PI for city distribution: https://www.youtube.com/watch?v=O-8OQZYqNi4
Website ETP ALICE: www.etp-alice.eu
COVAID video: https://vimeo.com/410546941 Nextail website: https://nextail.co/ MixMove youtube: https://www.youtube.com/watch?v=U9j0HF_YV0A&t=5s Website : www.mixmove.io