Welcome - Overview...Barilla G.E.R. Fratelli SPA Italy TRT Transporti E Territorio SRL Italy . Overview Project Rationale ... for Greece, and b) farmer case in order to identify synergies

Welcome - Overview

Richard Walters (richard.walters@lcpconsulting.com)

Funded by the

Horizon 2020

Framework

Programme of the

European Union

Agenda

Project background and rationale

Project Status

Method / Outcomes / Results

Lessons learnt & Challenges

The U-TURN Project

U-TURN project aims to address freight urban

distribution, focusing on food logistics.

U-TURN project will suggest innovative collaboration

practices and tools towards achieving more efficient

operations from both an environmental and cost

perspective.

… in a nutshell

Urban

Environmental &

social concerned

1 couples without children and single person households

GROWTH OF SMALL FAMILIES1

41% 2013

35% 2000

33% 1992

DECREASE FAMILY SIZE

2,7 2014

3,3 1980

DECREASING HOUSEHOLD DISPOSABLE INCOME per capita, 2000=100

96 2014

100 2000

Lonelier Poorer

22% pop. > 65 years

HIGHER LIFE EXPECTANCY

DECREASING FERTILITY

1,3 children per woman

78 years

84

years

Older

70-80% POPULATION LIVING IN CITIES

0

VIDEOS SOCIAL

NETWORK

NEWS

PHOTOS

E-MAIL

MUSIC

FINANCES INSTANT

MESSAGING

Educated, connected

& informed

Setting the Scene: The 2020 EUROPEAN consumer will be..

The food logistics context

In Europe, around 75% of the population lives in urban areas

This is foreseen to increase up to 80% by 2020.

Urban freight traffic accounts for about 10-15% of kilometers

travelled

and emits approximately 6% of all transport-related GHG

emissions.

The food logistics context

Two major consumer trends increases the transport burden in

urban contexts

a. shopping packaged goods in smaller convenient retail shops in

urban areas on a more frequent basis;

b. online shopping with special home-delivery requirements.

The shared logistics practice has raised a lot of attention among

manufacturers, logistics service providers and retailers

Sharing logistics in freight transport is related to three main issues: a)

vehicle sharing, b) infrastructure sharing and c) route sharing.

Main Objectives

Analyse existing transportation flows of food products in urban

areas,

Identify opportunities for consolidating transportation flows in this

context and define collaboration practices

Measure the impact of the identified practices and strategies,

Involve market stakeholders

Main Objectives

Design and implement a simulation tool

Design and implement a collaboration platform

Conduct pilots applying representative collaborative proposals in

practice (real-life scenarios)

Propose a set of guidelines (roadmap)

Partners from around Europe

9

Intrasoft International SA Belgium

Instrasoft International SA Luxembourg

Athens University of Economic & Business Greece

OPTILOG Advisory Services Greece

Cranfield University United Kingdom

LCP Consulting Limited United Kingdom

Technical University of Dortmund Germany

Simplan AG Germany

Barilla G.E.R. Fratelli SPA Italy

TRT Transporti E Territorio SRL Italy

Overview

Project Rationale

Project Status

Method / Outcomes / Results

Lessons learnt & challenges

U-TURN Approach

Collaboration

Platform

Matching

Algorithm

Simulation

Tool/Studies

Comparative

Assessment

Pilot 3 UK

External industrial partner

Pilot 1 Greece

Pilot 2 Italy

Pilots Overview

Pilot 1

Distribution of packaged goods

from food manufacturers to retail

outlets located in urban areas

Pilot 2

Distribution of fresh food from

local producers to consumers in

urban areas

Pilot 3

Food delivery from online

retailers to consumers in

urban areas

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Method & Outcomes

User

Requirements

Elicitation

A set of shared logistics models proposed at each

one of the pilots contexts 1

Industry insights gathered about potential benefits

and feasibility of shared logistics models 2

Opportunities for consolidating transportation

flows were identified by analyzing the existing

transportation flows in urban areas 3

Market Assessments undertaken to

understand business environment

4

User insights about U-TURN Tools 5

Method & Outcomes

Design and

Development

The U-TURN Platform to support the synergies identification and

shared logistics implementation 1

An smart matching algorithm for addressing the needs of a

collaborative urban transportation of goods. 3

An economic and assessment tool for evaluating alternative

distribution logistics models 2

A simulation tool that integrates supply chain network with a

collaborative route planning algorithm for the last mile 4

Demonstration

and Evaluation

The vehicle sharing type of the proposed shared logistics

models proposed evaluated by using actual data from 3PLs

and farmers

1

Simulation model applied for implementing an Urban

Consolidation Center by using actual data from 3PLs companies

Stable matching algorithm applied at two cases a) 3PLs

for Greece, and b) farmer case in order to identify synergies 3

2

Method & Outcomes

Stakeholder

Engagement

Two working groups on shared logistics with the

support of the Greek Logistics Association (EEL)

and Efficient Consumer Response (ECR)

organization were organized in the context of Pilot 1.

1

17 in-depth interviews

with the representatives

of the most important

3PLs companies,

retailers and suppliers in

the FMCG sector

2 15 interviews were

organized with

agricultural associations

and farmer’s districts to

discuss about current

transport practices

3 10 interviews with several

stakeholders within the UK

market. In terms of UK

grocery retailers, these

include Sainsbury, Asda,

Waitrose, Morrisons, Abel &

Cole.

4

Participation in the ‘Annual Transportation

Research Board Meeting’ where the U-TURN

presented to US-EU Urban Twinning Roundtable

and participation in the USA study tour to

European urban logistics projects

5 the Urban Consolidation Centers related project outcomes will be taken into account for the

composition of the Presidential Decree for the Operations of Urban Consolidation Centers in

Greece

6

Primary distribution data received by

8 3PLs companies (6-months period

data) and 6 suppliers and retailers

and 2 supermarkets UK retailers

7

Established cooperation with the other

CIVITAS Freight Cluster Projects 8

The Project

Channels

Conferences / Events

Publications

Newsletters

Social media

Website Verbal

/ Face to face

Repository

External Internal

Industry

The Partners

Horizon 2020

Research

Project Dissemination

Some Highlights

Pilot 1 transport matching platform shows the potential to increase loading factor by 11-25% and reduce travelled distance by 44%

Desire by industry stakeholders to collaborate in physical pilot and use the technology

Pilot 3 mathematical model shows potential to reduce costs of transport by 5%

General

• Significant interaction with industry UK, Italy, Greece

• Development of transport matching platform

• Dissemination event in UK with more planned

• Engagement with other Horizon projects

Overview

Project Rationale

Project Status – Main Achievements

Method / Outcomes / Results

Lessons learnt & Challenges

Lessons learnt and Challenges

Different pilots applied at different contexts

Variety of involved stakeholders

Competitive environment with immature collaboration culture

Stakeholders with immature logistics processes (e.g. farmers)

Broad geographical span

Data challenges: unavailability and harmonization

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Thank you for your

attention