International Business Transport S.A.

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Established in 1994, AEO and ISO 9002 (Lloyd’s Register Quality Assurance). Recently, the company successfully finished the gap analysis for acquiring ISO 2015 certification.

As of 2013, International Business Transport (IBT) became part of the Maman Group, the biggest logistics provider in Israel. Maman’s main shareholders are Taavura – the leading road haulage & logistics company in Israel – and EI/AI (the national Airline Company).

Over the years, IBT gained an excellent reputation and developed long-term business partnerships through joint value creation programs with clients like Michelin Romania and Central Europe, Procter & Gamble Balkans and EMEA, Knauf Gips Carton Romania, BASF, Dunapack Romania, Kronospan Romania, Carrefour, Silcotub, Amraz and more.

With its own IT & C department, IBT recently developed a two-stage distribution system that successfully resolves the variability of daily shipping orders. At the same time, the system treats efficiently different types of unforeseen events that may occur in the distribution of goods (refusals, last-minute deliveries etc.). Based on this complete and flexible system, with an attribute of 3 PL – which ensures the distribution from A to Z, both on the primary and secondary distribution segment – IBT won in 2016 an important tender organized by the Michelin Group for the daily distribution of tires from the Vác (Hungary) warehouse center to Romania and Bulgaria.

 

In 2016, when Michelin changed its distribution structure for Romania and Bulgaria – now taking place in Hungary, in Vác- a large tender was organized. To this, were invited important regional and global players. The four-month auction was won by IBT, which is already running the tire manufacturer’s distribution since 2001, but previously Michelin’s central warehouse was located in Romania. “We are dealing with daily distribution from Vác, and we offer 24 hours delivery to customers, for most areas in Romania. In Bulgaria, the delivery must be done in 48 hours, but over 80% of the customers, or 70% of the quantity, are represent by deliveries done in 24 hours”, explains Marian Martin, CEO IBT.

Before the tender, Michelin has provided all competitors a full set of annual orders of its customers, so that all have the same reference. “It was obvious that in the new circumstances, with the distribution center at Vác, IBT had to propose a new topology of the distribution network. Previous experience was no longer an advantage!”

In addition to other operational aspects, proposing a new distribution structure was, in fact, the most difficult part of the project. “How many platforms (hubs) propose and where you place them so that the total cost of shipping and handling is minimal and also to respect the delivery times specified in the specification”, said Marian Martin, adding: “we now see ourselves as a 3PL ++, a customer business developer, but we do not offer any more logistics services at Michelin’s central warehouse in Vác.”

Paul-Christian Andrei, Business Development Director, IBT, adds: “no doubt, we already had operational distribution sub-systems. For example, Track & Tracing, based on the use of mobile phones with Android, was implemented by IBT in 2015. Android is developed in-house. During the tender we integrated and developed the existing subsystems, and now we are able to offer complete distribution systems, starting from topology design, customer interface ERP and daily execution of distribution operations supervised by a a powerful Track & Tracing component. The customer has online access.”

For IT & C interfacing with client systems, IBT implemented the UN / EDIFACT D.96A standard, IFTMIN (shipping instructions) and IFTSTA (deliveries status) messages. If necessary, IBT can also implement SAP IDoc-type interfaces.

“At the moment, the IBT’s in-house system for organizing distribution operations is a complete planning tool, a system for optimal route calculation – both for primary distribution and secondary – to organize cross-dock and Track & Tracing operations”, says Paul-Christian Andrei.

Regarding the optimal calculation of transport routes – when it is necessary for transport planners to make small adjustments in the calculated routes, for various reasons: one recipient announces at the last moment that he can not receive the goods, the client transmits operatively that he wants to prioritize a delivery etc. – IBT has incorporated into its system a meta-heuristic mVRP (Multi-Vehicle Route Planning) algorithms. “For more flexibility in the post-processing phase, IBT has adopted the solution of purchasing a «.NET library» software for optimal route calculation and integration into the in-house system”, explains Marian Martin.

“Starting from the topology design, the optimal route calculation, and the execution of day-to-day operations, we can say that we have the necessary experience to do and pursue what is called «the compromise between optimal and operational» – an extremely important aspect in distribution systems”, says Paul-Christian Andrei.

IBT does not intend to sell this IT & C system, because it is a proper tool for implementing and executing complex distribution systems.

The IBT solution allows both the logistics provider and the recipient and transport partners to track in real time the daily distribution operations: the position of the distribution vehicles, the photos of the accompanying consignments – confirmed by the consignees and sent by IBT drivers from the place of delivery – alerts to consignees, informing them of the estimated time of arrival of the cargo, the status of the orders to be loaded every day at the central warehouse Michelin EDC Vác, the dynamic calculation of the transport capacities to be made available to Vac for the primary distribution, respectively of the trucks to be delivered to platforms or directly to customers the next day etc.

“Working as a web application, the system is accessible to all actors involved, according to «the roles» assigned to them. And by actors, I mean platform IBT operators, delegated IBT operators to Vác, IBT operators who supervise all traffic, from the IBT headquarters, to the dispatching of the carriers we collaborate with, the Call Center operators of the client. A «role» confers certain rights to the operator to have access to the necessary information. At this point, when we present the system, we use a «privileged» password that gives us access to all of its functions”, says Paul-Christian Andrei.

For primary distribution, IBT works with Duvenbeck and E. van Wijk, “prestigious companies with huge experience in automotive”, as Marian Martin points out. “For secondary distribution we work with our own vehicles, but also with local partner companies. In Bulgaria, we are working with Unimasters. We have recently completed the interface of IT & C systems for pre-announcements and Track & Tracing with them.”

In addition to these distribution systems, IBT develops on site logistics applications in warehouses, deploying advanced technologies such as Pick-by-Voice – also an in-house application.

“Pick-by-Voice is not itself an end: we implement the technology when needed. IBT also has a “small objects“ logistics application that can be easily adapted and implemented. It benefits from an IT & C interface with courier companies. Of course, our application also interfaces with the client, usually an «online sales» application”, says Paul-Christian Andrei.

“Coming back to the concepts of the PL pyramid, we should mention that we had a project where we acted as a 4PL: we buy the merchandise (raw materials) for the client, then we deal with the entire logistics chain and deliver «just in time» the raw material. Scripturally, the client works practically with no stock of raw materials – an advantage for listed companies. So, we can also offer such services”, said Marian Martin.

 


International Business Transport S.A.

8 Intrarea Granarului, 2nd District, 021903, Bucharest

Phone: +40 21 314 26 75; Fax: +40 21 312 55 93; office@ibt.com.rowww.ibt.com.ro