The June 7, 2021 ORSP webinar on the topic Logistics in Challenging Times was very well attended with 227 members and students from various schools. The talks of the two invited speakers complemented each other to give a picture of what is happening in the Logistics area in the Philippines and around the world.
Gloria T. Estabaya of San Miguel Integrated Logistics Services, Inc. presented trends in logistics that are disrupting the industry, namely: 1) technology which through analytics, GPS, autonomous vehicles, internet of things, and AI have enabled faster and reliable delivery of services; 2) the changing needs and wants of various market segments which is increasingly demanding, including a mix of millennial and affluent older customers; 3) macroeconomic trends of globalization, climate change, urbanization, etc; and 4) the current pandemic.
On the other hand, the Philippines is faced with challenges of 1) an archipelagic geography; 2) widely varying population densities; 3) internet infrastructure; and 4) the region’s highest logistics costs.
She emphasizes that logistics makes possible the advent of digital marketing, online shopping, as well as traditional shopping experience. She described how digitization in transportation and logistics makes it possible to optimize processes and capture real time information to enhance service delivery.
The second speaker, Patric Ellis Chua Uy, shared how his company, L & F Logistics, a regional third-party service provider, has embraced digitalization to transform the different elements of the supply chain into data that could provide valuable insights. This is key in equipping the company with speed to make decisions faster, operate with agility and innovative ways of doing business.
This is made possible through the use of off-the shelf tools that perform supply chain network optimization; supply chain mapping through GIS; market demand analysis and geo-processing; for statistical computing with Python and Minitab; transportation and shipment planning and optimization; data visualization, big data and business intelligence; warehouse layout and simulation; and lastly, vehicle routing and scheduling, along with fleet planning and management. The speaker gave examples on the use of these tools and how it has helped design a supply chain network in the Philippines; design an optimal SKU arrangement in warehouses through simulation; plan transport shipments that take into account time windows, vehicle types and service levels; and dispatch vehicles with real-time dashboards. He explained the importance of a Control Tower which enables monitoring of processes, KPIs and exceptions across the freight, warehousing and transport operations.
A lot of questions were asked by the audience. The recording of the lecture is available to attendees at https://youtu.be/AVQV782y7g4; https://youtu.be/mJ_Ix_KX4iY. The two hour session gave a full picture of the logistics challenges and how it is being addressed. Webinar participants, who rated the session at near perfect levels, benefited greatly from the cumulative and extensive logistics experience of the two speakers.