DB Schenker advances IT infrastructure with Microsoft Azure
In a collaborative partnership with Microsoft, DB Schenker has established plans that will advance its IT infrastructure transformation with the help of Microsoft Azure.
As part of the collaboration, DB Schenker will take a step closer to becoming a leading global digital logistics company, as well as establish new milestones for the evolution of its future ‘logistics-as-a-service’ approach.
“We at DB Schenker thrive to make future logistics ever more intelligent. Our digital services will create value for our customers by making supply chains more data-driven and efficient. Using Microsoft Azure will boost our ability to seamlessly connect our cloud-based services with our real-world logistics solutions,” commented Markus Sontheimer, CIO/CDO at DB Schenker.
“Investments in digital technologies help companies reimagine their businesses and build more agile and resilient operations. By harnessing Microsoft Azure, DB Schenker enables organizations to redefine their supply chains and accelerate the delivery of new customer value,” added Ulrich Homann, Corporate Vice President and Distinguished Architect, Cloud and AI at Microsoft.
DB Schenker migration to Microsoft Azure
To enhance security, speed and scalability of DB Schenker’s cloud-based services, the logistics company will migrate key infrastructure services to Microsoft Azure. First cloud migration projects have already begun, using Azure Migration Program (AMP). The program provides support with best practices, guidance, direct access to Azure engineers, tools and subsidised partner services.
In addition, Azure’s new Big Data services will reportedly enable DB Schenker to analyse and optimise volumes, capacities and supply chain performance in near-real time.
Early in the collaboration between the two, DB Schenker smoothly migrated its entire digital workspace to Microsoft 365 to drive efficiency and comfort, which DB Schenker reports has been key for its “business continuity and new way of working in times of the COVID-19 pandemic.”
5 Minutes With: Jim Bureau, CEO Jaggaer
What is data analytics, and why is it important for organisations to utilise?
Data analytics is the process of collecting, cleansing, transforming and analysing an organisation’s information to identify trends and extract meaningful insights to solve problems.
The main benefit for procurement teams that adopt analytics is that they’re equipped to make faster, more proactive and effective decisions. Spend analysis and other advanced statistical analyses eliminate the guesswork and reactivity common with spreadsheets and other manual approaches and drive greater efficiency and value.
As procurement continues to play a central role in organisational success, adopting analytics is critical for improving operations, meeting and achieving key performance indicators, reducing staff burnout, gaining valuable market intelligence and protecting the bottom line.
How can organisations use procurement analytics to benefit their operations?
Teams can leverage data analytics to tangibly improve performance across all procurement activities - identifying new savings opportunities, getting a consolidated view of spend, understanding the right time for contract re-negotiations, and which suppliers to tap when prioritising and segmenting suppliers, assessing and addressing supply chain risk and more.
Procurement can ultimately create a more comprehensive sourcing process that invites more suppliers to the table and gets even more granular about cost drivers and other criteria.
"The main benefit for procurement teams that adopt analytics is that they’re equipped to make faster, more proactive and effective decisions"
Procurement analytics can provide critical insight for spend management, category management, supplier contracts and negotiations, strategic sourcing, spend forecasting and more. Unilever, for example, used actionable insight from spend analysis to optimise spending, sourcing, and contract negotiations for an especially unpredictable industry such as transport and logistics.
Whether a team needs to figure out ways to retain cash, further diversify its supply base, or deliver value on sustainability, innovation or diversity initiatives, analytics can help procurement deliver on organisational needs.
How is data analytics used in supply chain and procurement?
Data analytics encompasses descriptive, diagnostic, predictive and prescriptive data.
Descriptive shows what’s happened in the past, while diagnostic analytics surface answers to ‘why’ those previous events happened.
This clear view into procurement operations and trends lays the groundwork for predictive analytics, which forecasts future events, and prescriptive analytics, which recommends the best actions for teams to take based on those predictions.
Teams can leverage all four types of analytics to gain visibility across the supply chain and identify optimisation and value generating opportunities.
Take on-time delivery (OTD) as an example. Predictive analytics are identifying the probability of whether an order will be delivered on time even before its placed, based on previous events. Combined with recommendation engines that suggest improvement actions, the analytics enable teams to proactively mitigate risk of late deliveries, such as through spreading an order over a second or third source of supply.
Advanced analytics is a research and development focus for JAGGAER, and we expect procurement’s ability to leverage AI to become even stronger and more impactful.