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Case Study:
A collaborative Approach to
Chemical Supply Chain Visibility
using Cloud Technology
Logichem
Düsseldorf, April 22, 2010

Theo Zwygers, LyondellBasell
Paul Simon Thomas, GT Nexus
About Us




               GT Nexus Confidential
           1
Verbatim at Logichem…. During the last 2 days



                                  “Volatility”

                                  “Flexibility”

                                    “Speed”

                                  “Networks”

                                “Collaboration”

                      “Open borders between partners”

             “Involve customers, suppliers and service providers”

                “Increase visibility across the Supply Chain….”


   Ironically most of the systems that are supposed to enable this change are:

                      Proprietary, Intra-company focused,

             Installed behind firewalls, costly, take time to install…

                                                                         GT Nexus Confidential
                                         2
The Trouble with Supply Chain Visibility


 Everybody seeks supply chain visibility and control.
 Few have it. IT systems fail at “inter-enterprise”.

         Supply Chain Agility
1 NEED    Sense & respond – demand driven supply
          Visibility   Velocity    Variability

              Multi-enterprise Value Chains
2 CONTEXT       Globalization     Outsourcing    Collaboration
                Process optimization across value chains

                            Single-Company IT Systems
3 INFRASTRUCTURE                “Closed” ERP data and process model
                                Data locked up in partner systems

   Over 50% of value chain data is locked up in partner systems.

                                                                      GT Nexus Confidential
                                       3
On-Demand technology:
the key to Inter-Company collaboration
Connecting partners and allowing them to share information
and data on one single neutral platform.

Allowing them to share cost, establish standard and spread
best practice            Manufacturers
      Logistics




                                                     Carriers
                           Neutral,
                          Web-based
                          Web-
                           Platform




  Events, Documents
 Events, Documents
  and Information
 and Information
                         Suppliers


                                                                GT Nexus Confidential
                               4
On-Demand technology:
the key to Inter-Company collaboration
Connecting partners and allowing them to share information
and data on one single neutral platform.

Allowing them to share cost, establish standard and spread
best practice            Manufacturers
      Logistics




                                                     Carriers
                         IT Analysts and
                             Neutral,
                      Experts call it CLOUD
                            Web-based
                            Web-
                           technology
                             Platform




  Events, Documents
 Events, Documents
  and Information
 and Information
                           Suppliers


                                                                GT Nexus Confidential
                                 5
How does GT Nexus enable SC Collaboration?


  GT Nexus runs the global trade and logistics portal

            A unique profile                         A Shipper Community


  Independence from all players
  10 years of experience
  A focus on IT
  Global presence


         On-demand PLATFORM                           Broad Capabilities

  100% On-demand (SaaS) solution             Freight Procurement
  Thousands of companies and users           Transportation Planning and Execution
  Large integrated partner network           Supply Chain Visibility

  99.9% Uptime and 24x7 global support       LSP Monitoring & Compliance

                                                                           GT Nexus Confidential
                                         6
The Issues Lyondellbasell is Addressing


 We move large quantities of products across regions
   Working capital
   Ability to track 2000 individual shipments per month
   Use multiple shipping lines across independent suppliers
   Sailing time / Transshipments

 Our customers care about delivery, not vessel departure
    Manage actual delivery date
    Reduce customer safety stocks

 Polyolefin markets are volatile, requiring short delivery time
    Use the ocean as a floating distribution centre
    Bring your product virtually closer to the market

 Long supply chains need impact management
    Multiple carriers and modes
    Increased frequency of shipments
    Transit time visibility and shipment Delay Management

                                                                  GT Nexus Confidential
                                   7
LyondellBasell Solution on GT Nexus


Lyondellbasell has visibility into direct shipments from supply sources
to customers to keep customers notified and anticipate any disruptions




   Supply Sources                                    Customers


           Saudi Arabia


            Australia


           Netherlands


              Korea
                                310



                                        315




 Supply Sources have                                What is next?
                          Up to 30 Ocean Carriers
 discrete visibility
 into their shipments                               • Add more carriers, supply
 only                                                 sources and customers
                                                    • Shipment Planning and
                                                      Execution on GT Nexus

                                                                       GT Nexus Confidential
                                              8
Benefits and Success Factors


 Benefits:
   An IT tool oriented making data transparent and manageable
   A user friendly format, managing the huge data streams
   A system that proactively provides alerts on deviations
   Independent from 3PL’s, forwarders etc
   A tool to provide data for shipping line evaluation

 Key to Success:
   Grow the number of users
   Force information standardization across carriers
   Force transparency and improvement of data reliability
   Integration into ERP systems




                                                      GT Nexus Confidential
                             9
QUESTIONS ?


Thank you for your attention

   Theo ZWYGERS, LyondellBasell

   Paul SIMON THOMAS, GT Nexus




                                       GT Nexus Confidential
                                  10
Case Study:
A collaborative Approach to
Chemical Supply Chain Visibility
using Cloud Technology
Logichem
Düsseldorf, April 22, 2010

Theo Zwygers, LyondellBasell
Paul Simon Thomas, GT Nexus

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Chemical Supply Chain

  • 1. Case Study: A collaborative Approach to Chemical Supply Chain Visibility using Cloud Technology Logichem Düsseldorf, April 22, 2010 Theo Zwygers, LyondellBasell Paul Simon Thomas, GT Nexus
  • 2. About Us GT Nexus Confidential 1
  • 3. Verbatim at Logichem…. During the last 2 days “Volatility” “Flexibility” “Speed” “Networks” “Collaboration” “Open borders between partners” “Involve customers, suppliers and service providers” “Increase visibility across the Supply Chain….” Ironically most of the systems that are supposed to enable this change are: Proprietary, Intra-company focused, Installed behind firewalls, costly, take time to install… GT Nexus Confidential 2
  • 4. The Trouble with Supply Chain Visibility Everybody seeks supply chain visibility and control. Few have it. IT systems fail at “inter-enterprise”. Supply Chain Agility 1 NEED Sense & respond – demand driven supply Visibility Velocity Variability Multi-enterprise Value Chains 2 CONTEXT Globalization Outsourcing Collaboration Process optimization across value chains Single-Company IT Systems 3 INFRASTRUCTURE “Closed” ERP data and process model Data locked up in partner systems Over 50% of value chain data is locked up in partner systems. GT Nexus Confidential 3
  • 5. On-Demand technology: the key to Inter-Company collaboration Connecting partners and allowing them to share information and data on one single neutral platform. Allowing them to share cost, establish standard and spread best practice Manufacturers Logistics Carriers Neutral, Web-based Web- Platform Events, Documents Events, Documents and Information and Information Suppliers GT Nexus Confidential 4
  • 6. On-Demand technology: the key to Inter-Company collaboration Connecting partners and allowing them to share information and data on one single neutral platform. Allowing them to share cost, establish standard and spread best practice Manufacturers Logistics Carriers IT Analysts and Neutral, Experts call it CLOUD Web-based Web- technology Platform Events, Documents Events, Documents and Information and Information Suppliers GT Nexus Confidential 5
  • 7. How does GT Nexus enable SC Collaboration? GT Nexus runs the global trade and logistics portal A unique profile A Shipper Community Independence from all players 10 years of experience A focus on IT Global presence On-demand PLATFORM Broad Capabilities 100% On-demand (SaaS) solution Freight Procurement Thousands of companies and users Transportation Planning and Execution Large integrated partner network Supply Chain Visibility 99.9% Uptime and 24x7 global support LSP Monitoring & Compliance GT Nexus Confidential 6
  • 8. The Issues Lyondellbasell is Addressing We move large quantities of products across regions Working capital Ability to track 2000 individual shipments per month Use multiple shipping lines across independent suppliers Sailing time / Transshipments Our customers care about delivery, not vessel departure Manage actual delivery date Reduce customer safety stocks Polyolefin markets are volatile, requiring short delivery time Use the ocean as a floating distribution centre Bring your product virtually closer to the market Long supply chains need impact management Multiple carriers and modes Increased frequency of shipments Transit time visibility and shipment Delay Management GT Nexus Confidential 7
  • 9. LyondellBasell Solution on GT Nexus Lyondellbasell has visibility into direct shipments from supply sources to customers to keep customers notified and anticipate any disruptions Supply Sources Customers Saudi Arabia Australia Netherlands Korea 310 315 Supply Sources have What is next? Up to 30 Ocean Carriers discrete visibility into their shipments • Add more carriers, supply only sources and customers • Shipment Planning and Execution on GT Nexus GT Nexus Confidential 8
  • 10. Benefits and Success Factors Benefits: An IT tool oriented making data transparent and manageable A user friendly format, managing the huge data streams A system that proactively provides alerts on deviations Independent from 3PL’s, forwarders etc A tool to provide data for shipping line evaluation Key to Success: Grow the number of users Force information standardization across carriers Force transparency and improvement of data reliability Integration into ERP systems GT Nexus Confidential 9
  • 11. QUESTIONS ? Thank you for your attention Theo ZWYGERS, LyondellBasell Paul SIMON THOMAS, GT Nexus GT Nexus Confidential 10
  • 12. Case Study: A collaborative Approach to Chemical Supply Chain Visibility using Cloud Technology Logichem Düsseldorf, April 22, 2010 Theo Zwygers, LyondellBasell Paul Simon Thomas, GT Nexus