Article

Unlocking Value with Data: A Deep Dive into the Contract Logistics Data Lake

We've integrated digitalization into our daily operations, driving innovation and deploying cutting-edge digital solutions.
13/12/2023

In an era where digitalization and data reign as the twin pillars of industry evolution, CEVA Logistics has embarked on a transformative journey towards becoming truly data-driven. This voyage has not only reshaped our day-to-day operations but has also empowered us to develop and deploy digital solutions to thrive in a rapidly changing environment. At the heart of this journey lies the Contract Logistics data lake, our "one source of truth." 

A data lake is a storage repository for a large amount of data in a mixture of raw formats. 'It allows business users to quickly access the data whenever they need to and data scientists can apply analytics to gain insights. Just like a lake in nature is fed by rivers, a data lake is fed by a flow of data from a range of sources. Leveraging the Contract Logistics data lake, will allow us to continue to adapt, enhance, and innovate to meet the ever-changing demands of the logistics industry. 

Contract Logistics Data Lake

 

A foundation for data-driven excellence 

The Contract Logistics data lake has revolutionized the way we conduct business. It's not just about having information readily available; it's about cultivating a data-oriented culture that empowers us to make informed decisions. By establishing this centralized "source of truth," we've shifted conversations from plain numbers to information that is accepted and trusted by all parties involved. 

With a focus on innovation and collaboration, we are not just keeping pace with the industry's digital evolution; we are driving it forward. In this dynamic landscape, the Contract Logistics data lake stands as our foundation, enabling us to not only react to changes but to proactively shape our future. Our data-driven culture empowers us to make informed decisions, enhance transparency, and continually improve our processes.  

 

Enhancing transparency and accountability 

The data lake's enhanced transparency empowers Contract Logistics teams to oversee global warehouse activities, fostering accountability and driving continuous improvement through data validation, fueling growth. 

Keys to success on the data journey include: 

  • Relevant use cases: data must be linked to critical business initiatives to ensure its relevance and garner the desired attention. For example, we've harnessed data from various sources such as inventory management and order processing to optimize our supply chain operations. By identifying and addressing bottlenecks in our supply chain, we've significantly reduced lead times and improved order fulfillment rates. 
  • Robust technical setup: collaborative efforts between IT, Data, and Business specialists are essential to making data available from source systems. We've invested in a data infrastructure that integrates information from various platforms, including our Warehouse Management System (WMS) and Enterprise Resource Planning (ERP) software. This integration ensures that our data lake is constantly fed with real-time, accurate data, enabling us to respond swiftly to changing market conditions. 
  • Agile project management: an agile approach is crucial to continuously challenge data quality, user acceptance, and necessary developments. With an agile project management approach, we've been able to adapt to evolving data requirements. For instance, as the demand for sustainable logistics practices increased, we swiftly developed a suite of digital tools that analyze our energy consumption, emissions, and overall environmental impact. This data-driven approach allowed us to make meaningful changes and reduce our carbon footprint. 
  • Data communities: contributors and stewards play a vital role in materializing and embracing available data, gathering more people around the information to achieve common goals. We've fostered a culture of data sharing and collaboration. For example, our data communities have facilitated knowledge sharing between our Contract Managers and Process Engineers. This collaboration led to the development of a predictive maintenance system, which significantly reduced equipment downtime and maintenance costs in our warehouses. 

 

Empowering Contract Logistics Professionals 

Our connected data empowers Contract Managers, Operation Leaders, Business Controllers, Process Engineers, and others to understand, challenge, and manage daily productivity, operational quality, safety, and green initiatives across more than 700 CEVA warehouses worldwide. 

Concrete examples of data-driven initiatives at CEVA include: 

  • Demand forecasting: leveraging data from historical sales and inventory levels, our Contract Managers now have the ability to accurately predict customer demand. This, in turn, has allowed us to optimize inventory levels, reducing carrying costs and minimizing stockouts. 
  • Financial insights: Business Controllers rely on our data lake to access financial data from across the organization. This data enables them to identify cost-saving opportunities and allocate resources more effectively. 
  • Process efficiency: Process Engineers analyze data on warehouse operations, identifying areas where automation and robotics can be integrated to enhance productivity. As a result, we've successfully implemented automated picking systems that have reduced labor costs and improved order accuracy. 
  • Safety and sustainability: we monitor safety incidents and environmental impact through data analytics. By identifying patterns in safety incidents, we've developed targeted safety training programs. Additionally, our sustainability initiatives have been guided by data, helping us reduce emissions and operate more eco-friendly warehouses. 

 

A Collective Journey Toward the Future 

At CEVA Logistics, we remain committed to our data-driven transformation. Everyone's involvement is key to the success of this journey, and one thing is certain: the advance With concrete examples of how data has transformed our operations, we are well-prepared for the challenges and opportunities that lie ahead.

 

About CEVA Logistics 

CEVA Logistics, a world leader in third-party logistics, provides global supply chain solutions to connect people, products and providers all around the world. Headquartered in Marseille, France, CEVA Logistics offers a broad range of end-to-end, customized solutions in contract logistics and air, ocean, ground and finished vehicle transport in 170 countries worldwide thanks to its approximately 110,000 employees at more than 1,300 facilities. With pro forma 2022 revenue of US$18.7 billion, CEVA Logistics is part of the CMA CGM Group, a global player in sea, land, air and logistics solutions.