Move from a CMI (Customer Management Inventory) to (VMI (Vendor Management Inventory) and change your business from product to service. Gas cylinders can be track and monitor thanks to LPWA

1. Gas cylinders tracking
concept proposition_
Telefónica m2m
10.2015

2. DISCOVER, DISRUPT, DELIVER
Index
1. Case of use identification
2. Solution description
3. Benefits and Savings

3. DISCOVER, DISRUPT, DELIVER
Index
1. Case of use identification
2. Solution description
3. Benefits and Savings

4. DISCOVER, DISRUPT, DELIVER
4
the customer owns and operates a huge number of small
assets with a complex direct and reverse logistic process
the
customer
factory
Logistic chain Customer premises
• Gas cylinders refilled
at the customer
production facility
• Tracking made with
traditional RFID plus
paper-based solutions
• Gas cylinders are loaded in tricks which
delivers the items to multiple locations
• Al can’t track accurately the transport
conditions of the items along the logistic
chain
• the customer loses single-item-basis
visibility in the logistic chain
• Prof of delivery made by
traditional paper-based solution
• the customer can’t get info about
the filling level of the cylinder.
VMI cant be implemented
• Not possible to monitor gas
cylinders storage conditions
Reverse logistic chain
• Cylinders may arrive damaged
and even in a condition which
makes impossible to reuse it
• the flow of incoming cylinders
can be inconstant and so the
production of gas is
• Reverse logistic chance is less optimized
due to the fact that anticipation and
planning is only possible based on historic
data
• The level of occupation of each vehicle is
lower than the one observed in the
• Customer MUST ask for a refill
• Al can’t react in advance so
no VMI and logistic
optimisation is possible
• the customer need to ensure
the cylinder is where it is
supposed to be

5. DISCOVER, DISRUPT, DELIVER
5
Telefonica offers to the customer a comprehensive end-to-
end solution comprising HW, communication and a VAS
Cylinder tracking
Smart Business Control
M2M Connectivity
Hardware
• Telefonica SBC platform is the service layer offering a set of value information tailored
to support the customer daily operations
• This is a cloud-based platform which gather, store and depict the information coming
from the cylinders
• The information will be depicted in a optimized way to know at a glance the most
relevant parameters associated to the cylinders
• The SBC can also manage business rules and set alarms to the associated events
• M2M low power wide area communications based on SIGFOX technology to enable low
power consumption and cost-effective data transmissions.
• M2M-communication enabled module capable of measuring key parameters of the
cylinder

6. DISCOVER, DISRUPT, DELIVER
Index
1. Case of use identification
2. Solution description
3. Benefits and Savings

7. DISCOVER, DISRUPT, DELIVER
Temperature
The device can measure the temperature of the
cylinder in order to determine if the asset is
withstanding levels of temperature above the
limits
7
Telefonica proposes to install a low consume m2m device to
monitor key parameters from each cylinder
Pressure /filling level
The device can measure the pressure of the cylinder
and so the filling level.
Tilt
It is possible to determine the angle of tilt of the
cylinder so that an alarm is raised once the limit is
reached or overcome.
GPS positioning and movement
It is also possible to know the GPS position once a
relevant event happens (ex. begin moving, impact
level…)
Impacts
The device can also measure the number and level
of impacts suffered by the cylinder and raise an
alarm in case it exceeds the permitted lhreshold

8. DISCOVER, DISRUPT, DELIVER
8
To meet the use case limitations the cylinders will be
outfitted with alternative m2m communications
Sigfox base
stations
Sigfox backend Smart Business
Control Platform
Cylinders
The cylinders will be equipped
with a m2m low power
consumption device to measure
the most relevant parameters
related with the operations of
these assets
Sigfox M2M network
The devices will be Sigfox-enable so they will send the data
through the Sigfox network.
The device will be designed with a optimized power
consumption algorithm to transmit data periodically and
based on relevant events.
Position will be updated periodically and once the device is on
the move in order to save battery
Telefonica Smart business
control
Data coming from the devices
will be collected and store by
Sigfox backend.
Telefonica will retrieve that
data and display it in its SMC
platform to offer the range of
services proposed as part of this
solution

9. DISCOVER, DISRUPT, DELIVER
9
The SBC shows a complete set of dashboards to display the
information and business rules to support operations
SBC capabilities
• Customized dashboards showing the KPI of the cylinders
• Information about the status and conditions of every single cylinder
regarding pressure, temperature, tilt and impacts.
• Boundary alerts if the cylinder gets out of the allowed perimeter
• Completely customizable business rules and alerts
• Integration with the customer SAP, ERP and CRM systems

10. DISCOVER, DISRUPT, DELIVER
Index
1. Case of use identification
2. Solution description
3. Benefits and Savings

11. DISCOVER, DISRUPT, DELIVER
Potential Benefits and Savings of the project for the
customer
Predicting high-value gases demand will help the customer:
• Reduce the delivery time when the customer places a new order.
• Reduce time between orders.
• Increase the number of orders/client/year and therefore increases the demand and
the incomes.
• Optimize the production of high-value gases as some of them have production times of
months.
• Demand aggregation
• More predictability
• Scale economy
• Increase in the customer satisfaction
• Optimization of the time dedicated to customer inventory and ordering vs. customer
care, new business generation.
• Lost cylinders recovery thanks to the GPS location
• Faster identification of defective cylinders for replacement
• Possibility to charge the customer charges for misuse.
4,5%
5%
80%

12. 1
Rafael Cabrera Rodríguez
Global M2M Business Development Manager
Telefónica Sales Specialist
rafael.cabrerarodriguez@telefonica.com
rafaelm.cabrerarodriguez@yahoo.com
@rafacabrerarod
es.linkedin.com/in/rafaelcabrerarodriguez
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