NileDutch reduces empty container flow costs by 15% with Transmetrics
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NileDutch has deployed software from Transmetrics, the leading tech startup for predictive logistics solutions, in order to streamline their empty container flows and increase efficiency.
Transmetrics was selected by NileDutch as the best company to implement its logistics software due to its extensive experience in demand forecasting and predictive optimisation for the cargo transport industry.
With the start of the cooperation, Transmetrics also will launch its new product AssetMetrics, the two companies said in a joint statement.
“The project with NileDutch is strategically important for us. The container is a symbol of globalisation and it revolutionised the way transportation works worldwide. With machine learning and intelligent algorithms we now want to revolutionise how empty container handling and relocation is organised,” said Anna Shaposhnikova, CCO and co-founder of Transmetrics.
“Our envisioned goal for the project with NileDutch is to reduce the cost of empty container logistics by 10-15 percent,” she added.
NileDutch already started the migration of data into the predictive IT tool at the beginning of January 2018. The rollout of AssetMetrics will begin in March 2018.
AssetMetrics uses historical data of the shipping company and improves those data sets to the extent that the intelligent algorithm can produce reliable predictions.
In earlier test projects, Transmetrics was able to increase the data quality by around 75 percent during this process.
Afterwards, the system will create a demand forecast model, which is then optimised by the algorithm.
With its technology, Transmetrics was achieving 25% to 50% higher forecast accuracy than the in-house teams of their customers.
This approach allows the rebalancing of assets across the whole NileDutch network at minimal cost.
It takes into account maintenance costs, the future demand at each location, the cost to reposition and the assets that will be returned.
AssetMetrics will be connected to the TMS-system of NileDutch to secure a constant exchange of information.
“We had been looking for a partner who could help us streamline our empty container flows for a long time. There are different IT solutions on the market, but we chose Transmetrics over other providers because they proved their technical expertise and also demonstrated a deep knowledge of the logistics industry and container shipping in particular, which is very difficult to find,” said Carlo Zaalberg, global director, logistics at NileDutch.
Smart empty container repositioning is one of the areas where NileDutch is seeing a large potential for improvement by predictive analytics and artificial intelligence, he added.