DHL recently launched a tool that streamlines and consolidates
data from existing modules to provide further insights through DHL
Resilience360, the Group’s innovative, cloud-based risk management platform and
early warning system. Launched at its third annual Risk & Resilience Conference,
DHL’s Resilience360 Analytics is an innovative tool that can combine
systemically collected supply chain data with some of the most comprehensive
risk databases available in the market.
It combines DHL’s Risk Exposure Index, a
weighted index across more than 30 risk categories, with customer supply chain
and business impact data to provide predictions of potential future obstacles.
The analysed and consolidated data is visualised in a succinct manner and helps
businesses have an increasingly clear view into their supply chains.
“As global businesses are growing
rapidly while supply chains are becoming more complex, it is crucial for our
customers to detect future obstacles along the supply chain and take early
actions to mitigate business risks,” says Tobias Larsson, head of
Resilience360, DHL Customer Solutions & Innovation.
During Hurricane Harvey, about 33
percent of US chemical production was disrupted, and many chemical suppliers
had to give force majeure notices. Resilience360 Analytics showed that the
expected shortages of basic industrial building blocks such as ethylene,
chlorine or butadiene are likely to have an impact on the automotive, life
science and healthcare and electronics industries. A manufacturing company in
one of these sectors, for example, might have a supplier of chemicals that
ships items by rail from the Port of Houston.
Armed with the knowledge that the port
and the railway were likely to be closed for a certain period, the customer
could be the first to pre-order additional supplies to cover that period. With
the information from Resilience360, DHL is able to visualise their customer’s
end-to-end supply chain, making it possible to specifically say whether
production lines may be impacted and revert to contingency plans if needed.
The new module provides real-time
insights to companies, helping them to gain a profound understanding of risks
affecting their supply chain. The new module, for instance, shows that
automotive and aerospace industries are 16.6 percent and 4 percent below the
average risk profile, meaning that these industries are the most risk-averse,
while chemicals and technology have a substantially higher risk profile with
figures at 8 percent and 10 percent above the average respectively.
“Utilising the new analytical tool and
methods now gives us the basis to develop regression and predictive models,
further enhancing our solutions in the area of risk mitigation. Together with
the Deutsche Post DHL Data Science teams, we are currently looking into
alternative re-routing suggestions, shipment delay predictions, to forecast the
likelihood and the potential duration of shipment disruptions for risk events
along transportation hubs using millions of historic DHL shipment data sets,”
says Rick Tillenburg, senior customer operations analyst, Resilience360.
From natural disasters to cyber-attacks
and a quickly changing regulatory environment, organisations need to be
prepared in order to take quick action when the inevitable occurs. The new R360
Analytics application complements DHL’s Resilience360 platform in order to map
out specific industries and the subsequent impacts on other industries likely
to run short of supply in the event of a disruption.