IPIC2018: 5TH INTERNATIONAL PHYSICAL INTERNET CONFERENCE
PROGRAM FOR WEDNESDAY, JUNE 20TH
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09:00-09:50 Session 14: Plenary Keynote (IPIC2018)
Chair:
Lóri Tavasszy (Delft University of Technology, Netherlands)
Location: Aula
09:00
Robert Jan Ter Kuile (GVB, Netherlands)
On the proper behaviour of people, parcels and packets. What can they learn from each other?

ABSTRACT. People are the ultimate self-organizing system. Unfortunately, a person’s individual optimum does not add up to a social or system optimum. Therefore, we have a long history of trying to nudge people into the right behaviour. GVB, which organizes the public transport in Amsterdam, offers many examples in this aspect including tollgates, road pricing, paying differently for mobility, investing in the quality of public transport, mobility management and mobility as a service. Lessons from people behaviour in these examples could be applied to the behaviour of parcels and packets. As a cherry on the cake, Robert Jan ter Kuile will elaborate upon what happened to the cargo tram in Amsterdam.

BIOGRAPHY. Robert Jan ter Kuile is strategy officer with GVB, the Amsterdam Public Transport operator and responsible for all future developments of the company. He graduated as a traffic engineer from Delft University of technology in 2006 and has worked across mobility and strategy consulting since. Current key areas of interest are the development of a Mobility as a Service ecosystem and the upcoming rise of autonomous cars.

09:25
Wando Boevé (Hutchison Ports ECT Rotterdam, Netherlands)
The synchromodal mindshift

ABSTRACT. Wando Boevé will share his experiences about the journey of the synchromodality concept in practice and focus on the mindshift needed within the sector to realise the full potential of the concept. Wando is the inventor of the concept of Synchromodality from Europe Container Terminals in Rotterdam. He has held several management and executive positions at ECT, its mother company Hutchison Port Holdings and the national triple-helix organisation Topsector Logistics. 

10:00-11:30 Session 15A: E-Commerce (IPIC2018)

The growth of e-commerce has led to an increasing number of deliveries to cities. In the past years, the number of parcels, web shops, parcel carriers, delivery vehicles and delivery options provided to consumers are increased. Consumers like fast and customized deliveries. In order to win customers, web shops use logistics as a marketing tool. New delivery initiatives follow each other in quick succession. Parcels are delivered where and when the customer wants it. Because of this customization, it is a challenge for e-fulfillment parties to use resources efficiently. Collaboration and coordination become essential. For example, an open network of parcel lockers is an ideal opportunity to optimize the usage of the lockers. In this session, some of these new initiatives will be explained and discussed from an industry and academic perspective.

Chair:
Nicol Saaltink (University of Groningen, Netherlands)
Location: Heymanszaal
10:00
Kees Jan Roodbergen (University of Groningen, Netherlands)
E-commerce & the Physical Internet

ABSTRACT. While sales volumes are growing rapidly in e-commerce, the logistics concepts for transport and last-mile delivery are developing alongside. Many variations in speed (e.g., next-day delivery, same-day delivery), location (e.g., at home or at a pickup location), and accessibility (e.g., during opening hours of a store, or 24/7 at a locker) exist. Also transport modes are diversifying, from vans and bikes to robotic vehicles. Interestingly, some of the concepts that are now being introduced are very suitable for use in a Physical Internet, or may even thrive better in such setting. In this presentation, we will show some recent developments in e-commerce logistics and highlight how those concepts would fit in a Physical Internet context, and may stimulate the inception of the Physical Internet.

BIOGRAPHY. Kees Jan Roodbergen is professor of Quantitative Logistics at the University of Groningen, and Director of the Center for Operational Excellence (University of Groningen). His research interests include e-commerce Logistics, Warehouse optimization, Vehicle Routing, Traveling Salesman Problem, and Inventory Management. He has applied various techniques from the field of Operations Research in practice. Roodbergen serves on the Scientific Advisory Council of the World Food Logistics Organization, which represents companies specialized in handling cooled and frozen food products. Until 2013 he served as member for international affairs on the College-Industry Council on Material Handling Education in the USA. This council is affiliated with the Material Handling Industry of America and facilitates the information interchange between industry and academia. Currently, he is working on a large project mapping the future of e-commerce logistics, which is subsidized by NWO, the Netherlands Organization for Scientific Research.

10:30
Nick Bond (Cubee, Belgium)
Parcel lockers in an open network

ABSTRACT. The “convenience” for the consumer in parcel delivery is driving many innovations and start-ups to appear. In order to be successfull a good customer centric approach needs to be combined with a well balanced viable ecosystem to grow fast. An open trustfull network in a win win for both logistic partners as parcel lockers location partners is crucial to achieve the goal of excellent customer convenience.

BIOGRAPHY. After more than 19 years of experience in parcel logistics (DHL, bpost), Nick Bond has taken up the challenge to spearhead Cubee, the largest open network of parcel lockers in the Benelux.

11:00
Russel Thompson (The University of Melbourne, Australia)
Optimising the Capacity of the Parcel Lockers

ABSTRACT. Hyperconnected City Logistics involves creating an integrated, open and shared urban logistics network. Parcel lockers provide a flexible option for receivers to pick up goods and can provide substantial financial savings for carriers as well as environmental benefits for residents. There is a need to improve methods for determining the optimal number and type of lockers at parcel locker stations. Providing too many lockers can lead to additional capital and operating costs, whilst too few can led to customers not being able to pick-up their goods at their nominated location. This paper describes a model developed for determining the optimal capacity of parcel lockers. Systems analysis as well as a model for minimising the costs associated with parcel lockers is presented. Demand for a parcel locker is characterised by the number and time that parcels are delivered. Utilisation is estimated by combining demand with customer pick-up times. The capacity of parcel locker stations is determined by the number of parcel lockers by size. An analysis of aggregate demand levels, duration of time that parcels are in lockers and the proportion of parcels that are not picked up within the specified time limit is presented.

BIOGRAPHY. Russell is an Associate Professor in Transport Engineering at the University of Melbourne. He studied Mathematics and Engineering. For the last 20 years he has been involved in numerous freight studies in Australia and Japan. Russell is a Team Leader of the Volvo Centre of Excellence in Sustainable Urban Freight Systems and Vice-President of the Institute for City Logistics based in Kyoto. He has also contributed to a number of international studies relating to urban freight, including the European Union’s Best Urban Freight Solutions (BESTUFS) project and the OECD report on urban distribution. Russell has co-authored over 10 books and 100 refereed publications. He recently co-edited a book, “City Logistics: Mapping the Future” (CRC Press, 2015) that presents a range of innovative solutions to increase the efficiency and reduce the impacts of freight in cities.

11:05
Louis Faugere (Georgia Institute of Technology, United States)
Hyperconnected Mobile Buffer Storage Capacity Management

ABSTRACT. This paper deals with the dynamic management of mobile buffer storage capacity in the context of first and last mile delivery in omnichannel supply chains. Its main contribution is the conceptualization of a decision framework enabling to benefit from the advantages of distributed logistics systems while limiting capital expenditures. The paper first synthesizes insights from the current literature. It then defines a conceptual framework enabling the dynamic management of mobile buffer storage capacity and depicts the induced design and operational challenges, highlighting the potential benefits and trade-offs through an illustrative case. Finally, it provides directions for future research and innovation. 

BIOGRAPHY. Louis Faugère is a Ph.D. candidate in Industrial Engineering, with concentration in Supply Chain Engineering, at the H.Milton Stewart School of Industrial and Systems Engineering. He holds a Master of Science in Supply Chain Engineering from the Georgia Institute of Technology, and a Master’s degree in Mechanical and Industrial Engineering from Arts et Métiers ParisTech (France). His main research interests stand in the area of Hyperconnected City Logistics and the analysis and development of first and last mile delivery solutions.

11:10
Shannon Buckley (Georgia Institute of Technology, United States)
Impact of Modular Containerization and Continuous Consolidation on Hyperconnected Parcel Logistics Hub Design and Performance

ABSTRACT. The current trend in the parcel logistics industry is towards customers having ever greater power. Thus, to stay competitive, service providers must offer a broader range of more convenient products, which allow customers to receive their goods not only faster, (on the order of a day, or even a few hours), but also at more specific times. This trend presents major challenges for the service providers because supply chains are already suffering from many inefficiencies, including empty travel and shipping air. To assist with accomplishing this new challenge, this paper focuses on gaining efficiencies within the parcel logistics hubs. Specifically, this is achieved by utilizing modular containerization, in the form of PI containers, and pre-sorting, to minimize a parcel’s required touches and time spent within the hub. We review the current state-of-the-art sorting techniques as well as the relevant Physical Internet(PI) literature about hyperconnected crossdocking hubs and PI containers. Then we introduce methods for pre-consolidation with modular containers. To finish, we present our experiment using a simulated hub that combines consolidated modular containers with time-phased sorting techniques to achieve greater efficiencies with respect to resource utilization and parcel time in hub.

BIOGRAPHY. Shannon Buckley is from Atlanta, GA in the United States. He Received his B.S. in Applied Mathematics from Emory University in 2014, and currently is enrolled in Georgia Tech’s ISyE Supply Chain Engineering Ph.D. program. During his studies, he joined Professor Benoit Montreuil as a research assistant in the Physical Internet Lab. The Physical Internet (PI) was proposed as a paradigm-breaking model by Dr. Montreuil to significantly improve supply chain sustainability worldwide, and as a research assistant, Shannon works on industry projects to help companies implement PI concepts. Shannon’s research is focused on the design of hyperconnected Physical Internet Hubs (PI Hubs), which take advantage of open flow consolidation across multiple parties to produce fuller carrier loads (from trucks to light delivery vehicles and drones), and more optimal routes with respect to social, economic and environmental objectives.

10:00-11:30 Session 15B: Governance (IPIC2018)

Which new arrangements are needed between private and public institutions to allow the PI to function effectively? The panelists provide introductions to the topic of governance from the perspectives of the legal and commercial constraints to collaboration, the management of safety and security risks, changes in global logistics service networks (forwarders and maritime carriers) and the technical and organisational challenges of data exchange (new information platforms). During the discussion with the audience we will aim to identify critical issues for governance of the PI.

Chair:
Lóri Tavasszy (Delft University of Technology, Netherlands)
Location: Senaatszaal
10:00
Frans Cruijssen (Argusl/CO3, Netherlands)
Commercial and legal aspects of increased collaboration

ABSTRACT. The PI intrinsically is a collaborative network in which logistics services are combined to create a fully connected network that is open to everybody, both on the demand and the supply side. Collaboration in closed user groups can be considered an intermediary step towards the PI, but has proven to be difficult. Frans will highlight some legal and commercial considerations that companies face when deciding to engage in logistics collaboration.

BIOGRAPHY. Frans is founder and partner of Argusi, a Dutch advisory specializing in Supply Chain Analytics. After his studies on Econometrics and Operations Research, Frans conducted a PhD study (Cum Laude) on the topic of horizontal cooperation in transport and logistics. He has published papers in international academic journal on the topics of, amongst others, horizontal cooperation and network design

10:10
Michiel Haarman (iShare, Netherlands)
Governance of Data Exchange

ABSTRACT. What happens if you want to share your logistics data with parties you do not have a contract with? What are the operational, legal and technical consequences? How to deal with related risks? A Public-Private initiative co-created first answers: iSHARE

BIOGRAPHY. Michiel graduated at the University of Groningen in 1991 and obtained an exec MBA degree at University of Virginia. Before 2010, Michiel was CIO and CSR director at TNT Logistics. Currently he is responsible as program manager for building the "Neutraal Logistiek Informatie Platform (http://www.nlip.org/)" on behalf of multiple stakeholders in the logistics industry and the dutch government (Topsector Logistiek). He is the initiator of iSHARE (www.ishare-project.org).

10:20
Rutger Thielen (DBSchenker, Netherlands)
Industry's Needs for Governance of the Physical Internet

ABSTRACT. DB Schenker has the strongest pallet distribution network in Europe and a stable global network with multiple modalities. 140 year ago Mr. Gottfried Schenker was the first one to consolidate goods in a linehaul from Vienna to Paris. This legacy is still in the DNA of DB Schenker; We advance businesses and lives by shaping the way our world connects!

BIOGRAPHY. Rutger is Director Logistics Support DB Schenker. Within the Contract Logistics Unit of DB Schenker Benelux, Rutger is responsible for Engineering, Project Management & Carrier Management. He is currently involved in programs concerning robotics, AGV’s, virtual reality & AI. Next to that he is concept founder of a new way of looking at warehousing, currently evolved as stockspots.eu.

13:00-15:00 Session 16A: Blockchain & Legal Aspects (IPIC2018)

The Blockchain is regarded by many as the ultimate ‘trust machine’ which is deemed to replace traditional banking systems, land registers, public record systems, and even conventional voting systems. Distributed-ledger technology has the potential to  address  the  trust,  transparency,  and  bureaucracy  challenges  that  several  public bodies currently face. Explore the role of Blockchain in logistics during this session.

Chair:
Sofia Ranchordás (University of Groningen, Netherlands)
Location: A2
13:00
Sofia Ranchordás (University of Groningen, Netherlands)
Welcome and opening of session
13:15
Jon Kuiper (Koopman Logistics, Netherlands)
A Blockchain application in the finished vehicle supply chain

ABSTRACT. In his presentation, Jon Kuiper (CEO of the Koopman Logistics Group) will share practical insights from one of the first actual applications of blockchain technology in the logistics sector. The Koopman Logistics Group is active in the supply chain of finished vehicles, transporting about a million cars a year, for several of the large automobile manufacturing companies. Currently, Koopman is implementing blockchain technology in that supply chain. The blockchain is developed together with IBM and uses the unique identification number (VIN) that each vehicles is given upon production, and hence is called the VIN-based ledger. The blockchain enables capturing and sharing information among actors in the supply chain about all transport activities, damages and repairs, but also provides the ability to quickly communicate with customs authorities and avoid potential fraud with mileage in the market for second-hand cars. Jon will shed light on how the supply chain of finished vehicles is organized, share his experience with using blockchain technology and present his view on future developments.

13:35
Wout Hofman (senior research scientist, TNO, Netherlands)
Jacco Spek (TNO, Netherlands)
Christian van Ommeren (TNO, Netherlands)
Applying blockchain technology for situational awareness in logistics - an example from rail
SPEAKER: Wout Hofman

ABSTRACT. Improved situational awareness, also known as supply chain visibility, contributes to better decisions with the ability to synchronize processes and reduce costs. It requires data sharing of for instance positions and Estimated Time of Arrival (ETA) of transport means. Blockchain technology could be a means to support data sharing, due to its immutability and transparency. However, transparency might conflict with economic interests of Logistics Service Providers (LSPs): full transparency may disclose customer relations and trade volumes to competitors. This paper presents a Supply Chain Visibility Ledger based on blockchain technology where data sharing can be controlled by a data owner. The Supply Chain Visibility Ledger is illustrated by a case from rail freight transport.

13:55
Yari Borbon Galvez (LIUC Business School, Italy)
Fabrizio Dallari (LIUC Business School, Italy)
Physical Blockchain: A Blockchain use case for the Physical Internet

ABSTRACT. A stunning technological upgrading of the Internet and its uses for companies, individuals, and public organizations is promised by the Blockchain. It allows to realize peer-to-peer transactions, and also to incorporate legally binding "smart contracts" with no need for central authorities or third parties other than the Blockchain itself. There is yet another concept that promises to revolutionize the way we trade, the Physical Internet. Like the Blockchain, it is expected have the capability to be permissioned or permissionless (e.g. known traders or anonymous auctioneers), and to be distributed. By the year 2050, because of its high degree of standardization and automation, a trader expecting a good to move from and to any place at a specified time, will no longer have to worry for the cheapest or most sustainable solutions, because it all will be optimized by the Physical Internet itself. This presentation lays out a first Blockchain use case for the Physical Internet. We first outline the Blockchain and Physical Internet concepts, the use case developed with Hyperledger Fabric, and the future capability requirements for the future development of the Physical Blockchain use case.

14:15
Sofia Ranchordás (University of Groningen, Netherlands)
Legal aspects of using blockchain technology in logistics

ABSTRACT. The Blockchain is regarded by many as the ultimate ‘trust machine’ which is deemed to replace traditional banking systems, land registers, public record systems, and even conventional voting systems. Distributed-ledger technology has the potential to address the trust, transparency, and bureaucracy challenges that several public bodies currently face. Furthermore, this technology creates room for new collaboration opportunities between governments and citizens. It verifies close to real time transactions, simplifies regulatory compliance, promises efficiency gains through the reduction of intermediaries, and reduces the risks of fraud and cybercrime. Not surprisingly, throughout the world, multiple governments are experimenting with blockchain in different areas (e.g., health, public procurement, elections). However, this technology remains a black box to many citizens, public bodies, and companies. The broader employment of blockchain technology is susceptible of raising legal concerns for areas where democratic processes are essential to create legitimacy, increase the digital divide, and exclude citizens who prefer to stay offline. This presentation will provide an overview of the potential of blockchain for the public sector and the optimization of public services, discuss the role of public authorities in this context, and outline some of the legal challenges that could arise in a blockchain-based government.

14:30
Sofia Ranchordás (University of Groningen, Netherlands)
Jon Kuiper (Koopman Logistics, Netherlands)
Yari Borbon Galvez (LIUC Business School, Italy)
Wout Hofman (TNO, Netherlands)
Panel discussion with all presenters
13:00-15:00 Session 16B: City Logistics & Government (IPIC2018)

Explore the role of government in city logistics during this session at the Smart freight city hub Groningen-Eelde.

Chair:
Birgit Hendriks (Binnenstadservice Nederland, Netherlands)
13:00
Hans Quak (TNO, Netherlands)
Future developments in city logistics and the role of procurement

ABSTRACT. The city logistics system faces serious challenges in the near future, such as zero-emission transport in city centers and the decarbonization of urban freight transport to meet the climate agreements. The city logistics system is in itself a very heterogenous system with many different types and forms of logistics operations. On the other hand, especially in last mile home-deliveries the existing logistics system is changing rapidly due to considerable growth of e-commerce, entrance of new market players, as well as the increasing possibilities following ICT developments to improve customer intimacy and as well as vehicle technology developments. All kind of disruptive and new delivery models are trailed to better serve receivers as well as to reduce the footprint of the city logistics deliveries. The role of procurement is essential, as the customer actually determines the logistics conditions at the order; both for large public procurers as well as for e-commerce customers at homes. As the buyer actually initiates the logistics conditions, it is important to start with the procurement to steer the (city) logistics system towards a more sustainable direction.

BIOGRAPHY.  Hans is senior scientist at the Dutch research institute TNO, where he is responsible for projects and research on automated and self-organizing logistics. Hans has been working on innovations in sustainable and urban logistics after obtaining his PhD on sustainable of city logistics in 2008.

13:30
Paul de Rook (Municipality of Groningen, Netherlands)
Zero Emission City Logistics Groningen

ABSTRACT. In 2014 Groningen has signed the ‘Green Deal City Logistics 2025’ together with the national Dutch government, logistics companies and retailers. Groningen also wants a liveable city. So we are not only aiming for ‘clean’ logistics, but also for efficient and pleasant logistics. To achieve the goals of zero emission city logistics and a liveable city a big shift in the city logistics chain is needed. Groningen is working on new policy and on new ways for regulation and monitoring the logistics traffic in the city. We also stimulate and facilitate all the stakeholders in the logistics chain to work on the needed changes, because we need innovations and new approaches to achieve our goals. Goederenhub Groningen Eelde can help us with this ‘paradigm shift’ in the city logistics chain.

BIOGRAPHY. The last five years Paul de Rook (1987) has been vice-mayor of Traffic & Transport, Culture and Sports for the city of Groningen. In 2010 he became a member of the city council as a representative of D66 (Liberals). Between 2013 and 2014 he was deputy secretary at the SER (Social Economic Board) North Netherlands. He graduated as MA International Relations and Affairs at the University of Groningen.

14:00
Karel van der Lingen (Goederenhubs, Netherlands)
Opening of the smart city freight hub "Goederenhub Groningen Eelde"

ABSTRACT. The smart city freight hub in Eelde is a new initiative to deliver freight to customers in the region of Groningen and Assen in a sustainable way, by bundling freight from many suppliers into one zero emission truck for the last mile deliveries. In this way the hub reduces the strain on the cities and their region and takes on the challenges of the Green Deal ZES. Henk Brink and Paul de Rook will open the hub by exchanging the first symbolic 'piece of parcel'.

BIOGRAPHY. Karel van der Lingen is the founder and owner of the smart city freight hub “Goederenhub Groningen Eelde”. He graduated from the University of Groningen in Industrial Engineering and Management in 2011 and has previously worked for wholesale natural gas trading company GasTerra.

13:00-15:00 Session 16C: Simulation analysis & Warehousing (IPIC2018)

This session is split between two relevant separate topics.
The first part deals with novel developments in warehousing and production, based on concepts from the Physical Internet and the Internet of Things.
The second part presents simulation and simulation-optimization methods for making effective routing decisions in different settings.

Chair:
An Caris (Hasselt University, Belgium)
Location: A8
13:00
Tomas Ambra (Vrije Universiteit Brussel - MOBI, Belgium)
An Caris (Transportation Research Institute Hasselt University, Belgium)
Cathy Macharis (Vrije Universiteit Brussel - MOBI, Belgium)
Do you see what I see? A simulation analysis of order bundling within a transparent user network in geographic space

ABSTRACT. Assuming the universal network openness, the users can tap into the PI network and place orders which will be assigned to the nearest available transport service and consequently delivered to the order sender. The objective of our paper is to investigate the impact of stochastic insertion of service points into existing dedicated freight flows of a service driven company. We simulate different transparency levels, routings and pick-up locations, and evaluate the impact in terms of altered lead-times, covered distances and fill rates. The novel aspects presented herein are 1) deliveries based on decentralized location detection of the nearest order sender, 2) dynamically changing speed parameters within specific geographic clusters based on geo-locations of agents to account for congestion levels, 3) more realistic routing strategies that consider the urban layout and 4) transparent querying of nearest agents in space and time that meet specific conditions such as current ongoing processes, available capacity and position. Finally, we identifying impact from a holistic/system perspective based on emergence of individual asset performances.

13:25
Christian Haider (Heuristic and Evolutionary Algorithms Laboratory, Austria)
Alexander Kinast (RISC Software GmbH, Austria)
Stefanie Kritzinger (RISC Software GmbH, Austria)
Erik Pitzer (Upper Austria University of Applied Sciences, Austria)
Michael Affenzeller (School of Informatics, Communications and Media, Upper Austria University of Applied Sciences, Austria)
Simulation-based optimization approach for PI-networks

ABSTRACT. The Physical Internet (PI) aims to connect single logistic networks to develop an open and global transportation network for shipping physical goods from its starting point to its destination. This creates big challenges: through the openness and size of the network, multiple objectives and many restrictions have to be considered. This paper proposes a new simulation-based optimization method for modeling and optimizing these problems. It is shown how the optimization is used to evaluate solution candidates for the problem and how the simulation is used to evaluate the quality of the candidates.

13:50
Xin Wang (The University of Hong Kong, China)
Xiang T.R. Kong (The University of Hong Kong, China)
George Q. Huang (The University of Hong Kong, China)
Hao Luo (Shenzhen University, China)
Cellular Warehousing for Omnichannel Retailing: Internet of Things and Physical Internet Perspectives

ABSTRACT. Significant expansions have been reflected worldwide in business reports of major E-commerce players such as Alibaba, Amazon and JD.com. Omnichannel retailing is an evolutional variant of E-commerce by providing consistent, unique and contextual brand experiences across multiple customer-aware touchpoints. Despite all the efforts, goods still move slowly and damages are a concern along with the booming omnichannel retailing. Meanwhile, high variety and variability of omnichannel retailing orders complicate the implementation of automated facilities. To deal with these phenomenal and challenging problems, a new warehousing paradigm named cellular warehousing is proposed. The concept of cellular warehousing is adapted from cellular manufacturing, taking full advantage of the similarities between online-offline orders and/or their items as well as standardization and common processing. To sum up, the paper will firstly introduce the key processes within the IoT/PI-based cellular warehouse, and then cover the major elements to support the operation. Finally, three representative case studies of Alibaba, JD.com and COSCO will be presented to verify the necessity to transform the existing warehouses to cellular warehouses.

13:00-15:00 Session 16D: Synchromodality (IPIC2018)

This session will cover the link between the Physical Internet and synchromodality. Improvements in synchromodal planning and synchronization will be discussed. The attitude of stakeholders will be further explored during this session.

Chairs:
Lóri Tavasszy (Delft University of Technology, Netherlands)
Rob Zuidwijk (Erasmus University, Netherlands)
Location: Heymanszaal
13:00
Nina Lemmens (Katholieke Universiteit Leuven, Belgium)
Joren Gijsbrechts (Katholieke Universiteit Leuven, Belgium)
Robert Boute (Katholieke Universiteit Leuven, Belgium)
Synchromodality in the Physical Internet: Dual Sourcing and Real-time Switching between Transport Modes

ABSTRACT. The Physical Internet (π) suggests the use of modular units to route freight efficiently across the network of π-hubs or terminals. To allow shippers to efficiently route these modular units across the network of π-hubs, we introduce an extension on the synchromodality concept by combining its different interpretations. On the one hand, synchromodality is characterized by the ability to switch freely between transportation modes at particular times while a consignment is in transit, in order to either slow down or speed up inventory in transit. On the other hand, synchromodality is defined as the synchronized parallel usage of direct trucking and intermodal transportation, which is also known as a multi-mode dual sourcing model. We develop a replenishment policy that combines both concepts by (1) determining at the source which volumes will be shipped using which type of transport, and (2) determining whether a shipment should switch transport modes during the shipment when a terminal is introduced in the middle of the corridor. Both decisions are based on the current inventory position using a base-stock type policy. Using simulation optimization, we demonstrate the potential of our policy. We quantify the impact of the switching option on the total logistics costs and on the share of intermodal transport.

13:30
Joren Gijsbrechts (Katholieke Universiteit Leuven, Belgium)
Robert Boute (KU Leuven/Vlerick Business School, Belgium)
A deep reinforcement learning approach for synchronized multi-modal replenishment

ABSTRACT. We optimize the multi-modal replenishment process of a distribution center: a setting where multiple transport options are available, each with a different cost and transport lead time. We develop a smart algorithm, leveraging machine learning techniques, to solve this analytically intractable problem. Distinguishing features of our model are that it captures the full delivery schedule of pipeline inventories while being more versatile to include practical limitations such as transport service schedules.

14:00
Masoud Khakdaman (Delft University of Technology, Netherlands)
Lori Tavasszy (Delft University of Technology, Netherlands)
Jafar Rezaei (Delft University of Technology, Netherlands)
Identifying the attitude of logistic service providers towards Synchromodal transport services

ABSTRACT. Synchromodality is considered as one of the milestones towards implementing Physical Internet. Logistic service providers (LSPs) play the fundamental role in providing integrated logistic chains to pave the way for implementing door-to-door Synchromodal services. Developing and offering Synchromodal transportation services by port and hinterland terminals is one of the initiatives towards implementing Synchromodal transportation. Here, LSPs, such as third party logistics (3PL) providers and forwarders are considered as the major customers of the Synchromodal port and hinterland services. Current literature has not paid much attention to understand service requirements of these LSPs. In this research, world major 3PL providers and forwarders are being asked to share their views and requirements for joining the Synchromodal transport network. To identify the taste heterogeneity of these LSPs for Synchromodal transportation, advanced choice modelling approach is applied. Results highlight new insights towards implementing door-to-door Synchromodal transport services.

13:00-15:00 Session 16E: Conceptual frameworks (IPIC2018)

This session aims to strengthen the conceptual basis for the Physical Internet.
For implementation, it is vital to understand PI on a conceptual level and how PI impacts existing supply chain concepts.
The presentations deal with the analogy with the digital internet, as well as resulting new supply chain concepts.

Chair:
Rod Franklin (Kühne Logistics University, Germany)
Location: A7
13:00
Raphaël Oger (Industrial Engineering Center - IMT Mines Albi - Toulouse University, France)
Benoit Montreuil (Physical Internet Center - ISYE School - Georgia Institute of Technology, United States)
Matthieu Lauras (Industrial Engineering Center - IMT Mines Albi - Toulouse University, France)
Frédérick Bénaben (Industrial Engineering Center - IMT Mines Albi - Toulouse University, France)
Towards Hyperconnected Supply Chain Capability Planning: Conceptual Framework Proposal

ABSTRACT. This paper is to drive research towards a methodology that will enable organizations to foster high performance when planning their supply chain capabilities in the Physical Internet (PI) era. It first introduces the relevant concepts to understand the specificities of performing Supply Chain Capability Planning (SCCP) in the PI era and deduces two enablers: hyperconnectivity and automation. Second, it assesses the relevance of the Sales and Operations Planning (S&OP) methodology to perform SCCP in the PI era and concludes that it would not be sufficient. Consequently, it third introduces the Hyperconnected Supply Chain Capability Planning (HSCCP) methodology and the associated conceptual framework proposal, aiming to fill the gaps left by the S&OP methodology to perform SCCP in the PI era. It finally concludes leading the limitations of this paper towards avenues for future research.

13:25
Jordi Arjona Aroca (Valenciaport Foundation, Spain)
Salvador Furió Pruñonosa (Valenciaport Foundation, Spain)
Analogies and differences between routers and logistics hubs.

ABSTRACT. The Physical Internet initiative has promised to revolutionize logistics by applying lessons and importing know-how from the world of communications, the digital internet. Expectations are to reduce the deadheads, to increase the average occupation of transports, or to reduce fuel consumption and emissions, among others. in general, a substantial increase of efficiency in nowadays logistics. Routers play a key role in the digital internet, receiving packets, processing them, performing routing actions deciding what is their best next how, and forwarding the packet towards it. However, we still see their Physical Internet equivalents, logistics hubs, as black boxes. In this work we study the analogies between routers and hubs, between the types of routers and their hierarchical structure in the digital internet and types of hubs, and how logistics are structured nowadays. Based on this study we propose a model of operations general for any hub, proving its correctness by showing how it adjusts to different types of hub. This model will act as an enabler to define key operational parameters in hubs mathematically and in a general way. This will ease the construction of new routing algorithms horizontal for the different types of hyperconnected hubs in the Physical Internet.

13:50
Chuanwen Dong (Chalmers University of Technology, Sweden)
Rod Franklin (Kuehne Logistics University, Germany)
From the Digital Internet to the Physical Internet: A conceptual framework with a simple network model

ABSTRACT. Despite the increasing academic interest and financial support for the Physical Internet (PI), surprisingly little is known about its operationalization and implementation. In this paper, we suggest studying the PI on the basis of the Digital Internet (DI), which is already a well-established entity. We propose a conceptual framework for the PI network using the DI as a starting point, and find that the PI network not only needs to solve the reachability problem, i.e., how to route an item from A to B, but also must confront the optimality problem, i.e., how to dynamically optimize the logistics-related metrics such as cost and time for the trip. The latter is often negligible in the DI because digital signals are traveling at almost the speed of light with minor marginal energy cost. We then propose a simple network model by using graph theory to support the implementation of the PI. The model covers the characteristics of the PI raised in the current literature and offers potentials for further quantitative analysis. We also propose a simple algorithm to solve the model and discuss how it can be used to operationalize the PI in a case study.

15:30-17:30 Groningen Experience (IPIC2018)

During Groningen Experience, we provide you with the opportunity to explore more of the city of Groningen. It is possible to attend a guided tour in a cabrio bus or to explore the city by feet with a guide. Please gather in the central hall of the Academy building.
The bus tour will also visit the Zernike campus of our University: More than 4000 researchers, employees and a few hundred entrepreneurs work here on innovative solutions which are of importance in the future. Today, more than 35000 students develop themselves into professionals at the University of Groningen and the Hanze University of Applied Sciences. For about 150 companies, the high tech facilities and the collaboration opportunities provide an excellent basis for their products and services.
Please register yourself via the registration card for your preferred option. Enjoy our beautiful city!

15:30-17:30 Session 17A: ALICE Roadmap to Physical Internet: from concept to practice (IPIC2018)

Presentation and interactive discussion of the current status of ALICE Roadmap Towards the Physical Internet facilitated by the SENSE project. The focus is on missing technologies, current barriers and possible ways to realize PI until 2030.

Location: Heymanszaal
15:30
Andreas Nettsträter (Fraunhofer-Institut für Materialfluss und Logistik, Germany)
ALICE Roadmap: Currently Identified Research Areas

ABSTRACT. ALICE Roadmap to Physical Internet: from concepts to practice.

BIOGRAPHY. Andreas is responsible for strategic initiates and European cooperation at the Fraunhofer Institute for Material Flow and Logistics in Dortmund. His focus is on innovative ICT solutions for logistics and manufacturing, like Internet of Things, machine learning and autonomous systems. He has a background in Computer Science and Mechanical Engineering and is vice-chair for innovative ICT systems in ALICE, the European Technology Platform on Logistics.

15:45
Fernando Liesa (ALICE, Belgium)
ALICE Roadmap: Introduction to the SENSE Project

ABSTRACT. ALICE Roadmap to Physical Internet: from concepts to practice.

BIOGRAPHY. Dr. Fernando Liesa led the creation of ALICE, Alliance for Logistics Innovation through Collaboration in Europe, The European Technology Platform on Logistics and now is ALICE´s Secretary General. Fernando holds a PhD by University of Zaragoza (Spain). Fernando has worked in the field of knowledge transfer and research management linked to chemical engineering, process industries, manufacturing and lately (+12 years) to logistics and supply chain management in both public and private organizations.

15:30-17:30 Session 17B: City Logistics & Operations (IPIC2018)

During this session, Benoit Montreuil will provide a introduction lecture in the Physical Internet & City Logistics. Initiatives, (new) standards and new insights will be discussed regarding hub operations and the last mile. Furthermore, the challenge of large-item logistics will be discussed.

Chair:
Birgit Hendriks (Binnenstadservice Nederland, Netherlands)
15:30
Benoit Montreuil (Georgia Institute of Technology, United States)
The Physical Internet: Towards Hyperconnected City Logistics

ABSTRACT. This short presentation introduces the Physical Internet (PI) concepts and foundations. Then it focuses on Physical Internet enabled hyperconnected city logistics, omnichannel urban supply chains and last-mile delivery. I am joining two papers which you may find pertinent relative to the session’s topic:

Crainic T. G. & B. Montreuil (2016). Physical Internet Enabled Hyperconnected City Logistics, Transportation Research Procedia – Tenth International Conference on City Logistics, v12, 383-398.

Montreuil B. (2017). Omnichannel Business-to-Consumer Logistics and Supply Chains: Towards Hyperconnected Networks and Facilities, Progress in Material Handling Research Vol. 14, Ed. K. Ellis et al., MHI, Charlotte, NC, USA.  

BIOGRAPHY. Benoit Montreuil is Professor and Coca-Cola Chair in Material Handling & Distribution at the Stewart School of Industrial & Systems Engineering of Georgia Tech. He is Director of Georgia Tech’s interdisciplinary Supply Chain & Logistics Institute and Director of the Physical Internet Center. Dr. Montreuil is a world-renowned paradigm-challenging scientist, deeply vested in engaging with academic, industry and government leaders worldwide into research and innovation projects on smart, hyperconnected and sustainable logistics, supply chains, transportation, businesses and regions. He notably leads the. He is leading the International Physical Internet Initiative and he is on the scientific board of the Global Supply Chain Innovation Center. He has received numerous awards, recently including DC Velocity’s Rainmaker of the Year and The Physical Internet Pioneer Award for his outstanding and inspiring vision.

15:50
Jaco Voorspuij (GS1 Global Office, Belgium)
Frits van den Bos (GS1 Netherlands, Netherlands)
Last Mile Standards as enablers for PI adoption

ABSTRACT. The Last Mile in logistics has been rapidly increasing in both size and complexity over recent years and will continue to do so over the coming years. Last Mile is where we will see the largest numbers of shipments transported compared to any other part of the Logistics Networks. We will show how this necessitates collaboration among shippers, carriers, hubs and receivers. Such collaboration relies on a solid foundation of common standards.  We will cover a number of emerging standards (e.g. CEN Harmonised Parcel Label) that will provide this solid foundation for collaboration. In addition we will explain a number of related initiatives (and upcoming EU regulation) that will further help drive collaboration, standardisation and digitalisation in Last Mile as well as other areas of the end-to-end Logistics Networks. This standardisation and digitalisation of Logistics Networks is at the heart of the Physical Internet. We aim to provide strong evidence (proof) that this vision is no longer just something to hope for but in fact will become a reality before long at least in Last Mile.

BIOGRAPHY. Jaco spent over 25 years in Logistics in Manufacturing, Transportation, Warehousing and supporting Information Technologies. After working close to 20 years with DHL working with all its divisions Jaco joined GS1 about 3 years ago as Manager Transport & Logistics. Jaco has a proven track record for developing and implementing truly innovative solution (e.g. Mix Move Match). Frits van den Bos (1963) is Manager Innovation at GS1 Netherlands, co-chair of the global GS1 Omni channel retail interest group and project lead of the GS1 in Europe Last mile delivery project. Frits currently coordinates standardisation initiatives at a European level.

16:15
Nayeon Kim (Georgia Institute of Technology, United States)
Benoit Montreuil (Georgia Institute of Technology, United States)
Nitish Kholgade (Georgia Institute of Technology, United States)
Urban Large-Item Logistics with Hyperconnected Fulfillment and Transportation
SPEAKER: Nayeon Kim

ABSTRACT. Last-mile operation in urban area constantly faces challenges from continuing trend of urbanization and growing customer expectation on faster and punctual delivery. Physical Internet (PI) based hyperconnected fulfillment and delivery system in a congested urban area can be an innovative breakthrough for last-mile fulfillment and delivery of large items with time-window requirements. Scenarios for a model city, representing various systems from a current dedicated system to a hyperconnected system with openly shared fulfillment centers and a network of PI hubs, are constructed and evaluated using agent-based simulation. Results demonstrate the potential of a hyperconnected system in terms of efficiency, sustainability and service capability, notably with up-to-50% reduction in travel miles, fuel consumption, and emission of greenhouse and with average delay time reduction of more than 60%.

BIOGRAPHY. Nayeon Kim is a Ph.D. student in the ISyE department at Georgia Tech. She received her B.Sc. in industrial engineering from Seoul National University and M.Sc. in industrial engineering from Georgia Tech. Her Ph.D. advisor is Professor Benoit Montreuil. Her main research interest is on hyperconnected supply chain and logistics network design and inventory allocation and deployment over hyperconnected distribution system. 

16:40
Hao Luo (Department of Transportation Economics and Logistics Management, Shenzhen University, Shenzhen, PR China, China)
Siyu Tian (Department of Transportation Economics and Logistics Management,Shenzhen University, Shenzhen, PR China, China)
Xiang T.R. Kong (Department of Industrial and Manufacturing Systems Engineering, The University of Hong Kong, Hong Kong, China)
Physical Internet enabled bulky goods urban delivery system: a case study in customized furniture industry

ABSTRACT. Physical Internet (PI) is a novel concept aiming to render more economically, environmentally and socially efficient and sustainable the way, in which physical objects are transported, handled, stored, realized, supplied and used throughout the world. In this paper, the application scope of PI is scaled down into a city-wide and the urban delivery system for bulky goods is investigated. The bulky goods include household electrical appliances, musical instruments and indoor decorating materials. Customized furniture is one of the typical bulky goods. Some characteristics of customized furniture delivery bring critical challenges to the logistics service providers. The furniture delivery operator not only needs to transport the goods to the customer destination, but also needs to carry the goods into the customer’s house. There is no suitable material handling facility for their on-site operation. The truck unloading and in-house movement is very time consuming and leads to extremity high labor cost. The “last 100 meters” becomes the critical bottleneck of furniture delivery industry. In order to solve these problems, the concept of Physical Internet has been employed and a PI enabled bulky goods urban delivery system is proposed. In the proposed system, a modularized furniture container as well as a vehicle-mounted container loading/unloading facility is designed. These facilities are accompanied by a mobile execution system for drivers and a real time task planning system for high level resource control. The feasibility of the proposed system is illustrated in a real-life case study in a leading customized furniture company in China.

18:00-22:00 Gala Dinner (including visit to the Groninger Museum) (IPIC2018)

Only accessible for registered guests.

The Gala Dinner is traditionally a highlight in the social programme of all IPIC editions and provides an opportunity for the participants to relax and enjoy meeting outside the conference programme. The doors of the museum will open at 18:00 for you as an IPIC participant, where you have the possibility to visit the exhibition of the famous photographer David LaChappele. His spectacular, colourful, and often controversial portraits of celebrities have become iconic archetypes of our generation. This first large-scale solo museum show in the Netherlands will feature more than 70 works, highlighting areas of the artist’s oeuvre, from portraiture, still life, landscapes and tableaux. This comprehensive survey also introduces LaChapelle’s latest series, New World, in which he attempts to photograph the unphotographable - in a future quest for paradise.

Our gala dinner will start at 19:00 in the Coop-Himmelblau pavilion of the museum.