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Flexible Supply Chain Management Improving the efficiency of distribution in the magazine value chain. 22.9.2010 Jari Viljasaari. Agenda. Technology drivers and enablers Changes in customer need and behaviour Market demands towards Itella Lessons learned from CrossMedia/FSCM .

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Flexible Supply Chain Management Improving the efficiency of distribution in the magazine value chain

22.9.2010

Jari Viljasaari


Agenda l.jpg
Agenda

Technology drivers and enablers

Changes in customer need and behaviour

Market demands towards Itella

Lessons learned from CrossMedia/FSCM


Technology drivers and enablers l.jpg
Technology drivers and enablers

Increased available bandwidth

Broadband in every household?

Tablets and eReaders

Printing service providers continuously investing in personalisation

technology


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Changes in customer need and behaviour

Publishers

Consumers

Anywhere, anytime, anything

mobile and/or physical

Periodical volume in decline

magazines dying

shorter lifecycles

electronic substitution

  • Demand for personalised content

    • versioning

    • attachments


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Market demands towards Itella

Still increasing pressure for efficiency in physical delivery

Main challenge

Universal service obligation, nationwide 5-day delivery

Possibilities

Closer value chain co-operation


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Lessons learned from CrossMedia/FSCM

Efficiency demands already noted and further actions taken

Virtual Sorting Centre - Itella Sorting Service - development started

already 2007. Version 1.0 in production since 2009

Demands found during CrossMedia/FSCM not fully met by Sorting Service

Sorting Service XML upload/download content should also take into account

information flow happening prior users mailing system

-> XML upload/download content jointly developed within the research

program


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Sorting Service 2.0 with FSCM lesson

Support for selective inserts

  • The sorting service bundles or boxes and makes transport unit unitisation of the batch optimally from the point of view of the distribution process

    • checks the addresses of the postal items, corrects the address mistakes and – the manifestations technically if needed and sorts them in intelligent manner according to right postal address

    • forms the unit labels and the Internet sales list (ISA) and

    • produces reporting data batch-specifically and monthly of the posted items

    • Enhanced XML definition supports several address files in one upload document noting information flow prior sorting service

    • Enhanced XML definition supports different addressee characteristics per recipient in one upload document noting information flow prior sorting service

Support for selective inserts


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