Control Tower Strategy & Supply Chain Visibility

Technological developments and the fast globalization of business result in supply chains that are becoming more and more complex to manage.

Proposition

Technological developments and the fast globalization of business result in supply chains that are becoming more and more complex to manage. This is combined with the changes and disruptions that seem to be following-up each other at an increasing speed (ever-changing supply chain). Com-panies are looking for solutions that can help them to manage this complexity and avoid risks and uncertainties.

Our vision on control tower strategy & supply chain visibility

In today’s global environment change and disruptions are the new normal. Global supply chains have become more complex over the last decade. This situation requires you to increase your control on your supply chain and hence create visibility and/or to simply the supply chain dramatically to reduce the exposure and need for visibility. When continuing with complex and global supply chains, visibility is not “a nice to have”, but similar to a driver’s license when driving a car.

Visibility should not only be limited to your downstream supply chain, but also include your upstream suppliers and preferably multi-tier levels. Next to that the visibility should be on order at SKU-level and not be limited to shipments only. An important solution considered by companies is a transport management operations. These solutions focus on visibility, control and optimization of your transportation. Frontrunners in the arena of supply chain control have been able to connect the physical world of transportation with the planning related processes by establishing an end-to-end Control Tower. Next to the most optimal visibility and control solution, you should also consider the following key questions: What to do yourself and what do you outsource to external partners What are supporting IT systems are required and how should the IT landscape look like?

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The BCI approach

Feasibility assessment on improved visibility and control operations

One of our key services is conducting a strategic review of the benefits of a visibility and control operations and its requirements. We make a clear distinction between transportation management operations and end to end control towers. Our service includes the development of a business case which is based upon an opportunity assessment and our control tower maturity framework which encompasses elements relevant to control tower development such as organizational processes and IT systems.

Design visibility & control operations and make vs. buy decisions

If you require:

  • support in designing your end-to-end visibility & control operations or redesigning an existing operation)
  • would like to evolve a transport management operation into an end-to-end Control Tower

Our concept (re-)design methodology is a proven solution. Also a Make vs Buy decision (insource or outsource the operations) can be part of the ask.

Our solution includes assessing the proposed organization, processes (roles & responsibilities), IT blueprints, financial and qualitative aspects of the requested concept. This can be included the question of insourcing vs. outsourcing to a LLP/4PL or operating a hybrid model.

Partner selection of a 4PL/LLP

A 4PL or Lead Logistics Provider (LLP) is a company that focuses on the management and optimization of transportation operations. These companies focusing on visibility & control solutions are in general asset-free and have strong IT solutions in place and are therefore providing capabilities useful to our clients. Therefore, we are frequently supporting in the partner selection of a 4PL/LLP based on our knowledge of the market place and a proven RFI/RFP process. The most important selection criteria for selecting the right 4PL/LLP for your organization are:

  • Industry knowledge of the 4PL/LLP
  • Geographical coverage (including the option for 24/7 operations)
  • Independency, i.e. is the 4PL/LLP carrier independent or not (owned by a carrier)?
  • Operations focus or also proven continuous improvement methodologies in place
  • Dependency of your company as an organization on the 4PL/LLP
  • Technology ownership and transfer-ability at the end of the contract 

IT system landscape assessment

Our knowledge of the available IT systems related to visibility & control, enables us to support our clients in the definition of the required IT landscape and the selection of the required IT tool based on a proven RFI/RFP process. Seven key Tool selection considerations are:

  • Industry knowledge of IT supplier
  • Geographical scope of the solution
  • Carrier integrations available and options to add carriers
  • Level of visibility needed (shipment vs order line level)
  • Ability to integrate with other platforms
  • Functionalities linked to value you would like to achieve with the system
  • Cost related to the solution (fixed and variable components)

Implementation support

We support our clients in the implementation process of both end-to-end Control Towers as well as transportation management operations. Our support varies from project management support to full implementation management including subject matter expertise.

Cases
Case
Validating the control tower strategy
Validating the control tower strategy
Validate the control tower strategy for a large industrial manufacturing company and support the outsourcing process to select multiple LLPs.
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News
News
BCI's Transportation Monitor – enables to manage transportation cost and provides 20 measures to reduce scope 3 carbon emissions

29 November 2022

BCI's Transportation Monitor – enables to manage transportation cost and provides 20 measures to reduce scope 3 carbon emissions
European road transport rates for parcels & pallets continue to increase with 5 to 10+%. Ocean rates are still going south, while Airfreight rates remain extremely volatile. Cargo owners shall maintain different procurement strategies for securing competitive pricing. In addition the European Commission adopted new Corporate Sustainability R...
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News
European road transport costs expected to rise further – 5 tactics to offset

13 June 2022

European road transport costs expected to rise further – 5 tactics to offset
Global air and ocean transport has been causing major headaches to supply chain leaders but European road transport remained rather stable. Road transport rates are expected to rise by 5-8%. Five tactics to mitigate the current impact on European road transport will be detailed.
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News
Parcel rates are going through the roof: 4-7% increase in 2022

12 January 2022

Parcel rates are going through the roof: 4-7% increase in 2022
The general rate increase (GRI) for parcel and express shipments in Europe will this year be between 4% and 7% (4-6% domestic; 5-7 cross border). That is one of the results of the 6th edition of the Transport Monitor of BCI Global.
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News
Biotech Companies Are Preparing for the Manufacturing Future

28 September 2021

Biotech Companies Are Preparing for the Manufacturing Future
Biopharmaceuticals are one of the world’s growth powerhouses. In 2020, the global biopharmaceuticals market was worth $325 billion, and it is expected to grow with a compound annual growth rate of between seven and eight percent to approximately $500 billion in 2026, according to Mordor Intelligence. This growth is being driven by the aging of p...
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News
Making your manufacturing footprint more resilient

01 September 2021

Making your manufacturing footprint more resilient
For most companies clearly the time has come to take a longer-term perspective again and prepare the company for potential new disruptions in the future. BCI Global has defined 5 strategic initiatives that companies should adopt when preparing the manufacturing footprint for the future.
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News
Practical tactics for shippers to weather the storm in ocean freight

21 June 2021

Practical tactics for shippers to weather the storm in ocean freight
Currently, there is a serious storm or even a hurricane ongoing in the ocean freight industry. Rates are at an all-time high (BCI’s monitor shows an average of factor 4, with outliers of factor 10!), capacity is limited which is strengthened by the false container positioning and port congestion due to Covid-measures and high demand is counted i...
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