Dr' Noel P' Greis, Director

1
The Future is Here INTELLIGENT LOGISTICS! New
Opportunities for KFBS MBAs in the Center for
Logistics and Digital Strategy
Dr. Noel P. Greis, Director Center for Logistics
and Digital Strategy Kenan Institute of Private
Enterprise Kenan-Flagler Business
School University of North Carolina at Chapel Hill
2
A SNAPSHOTUNC Center For Logistics And Digital
Strategy

• Established in 1997 as a resource for
  organizations struggling with logistics
  complexity and enterprise change management
• Areas of Specialization
• Strategic visioning for intelligent enterprising
• New logistics technology (Intelligent Software,
  RFID, Wireless, GPS/GIS)
• Logistics and Supply Chains in Emerging Markets
• Logistical Network Planning and Design
• Intelligent Supply Chain Management Strategies
• Serves both public (SAP, FedEx, Boeing,
  Caterpillar) and private sector (NSA, DARPA,
  NASA, FAA) organizations
• Founding member of the Global Logistics Research
  Initiative (GLORI)

3
OUR PREMISE.
New intelligent software and sensor technologies
will change everything about how products and
services are defined and delivered and how
companies interact with their customers and
suppliers.
4
WHAT IS INTELLIGENT LOGISTICS?
Example A truck moving equipment from a
logistics hub to a sports venue is caught in a
traffic jam. The trucks position and contents
are known, as well as a snap shot of local
traffic densities. An intelligent decision
can be made in real-time regarding re-routing or
substituting equipment from an other venue.
Intelligent logistics can be defined as the
application of intelligent technologies,
including RFID/sensors and intelligent software
agents to manage increasingly complex logistics
processes so they are real-time, event-driven,
responsive and adaptive.
5
THE FUTURE
Smart products/systems linked by smart processes
to intelligent, closed-loop logistics networks
that produce, maintain (and enhance) the utility
of the product/system until ultimate disposal.
6
WORK WITH OUR INDUSTRY FELLOWS

• Manny Aparicio, CTO and Founder, Saffron
  Technology, and technologist extraordinaire.
• Jack Olin, former VP for Technology, Delphi
  Europe and automotive guru.
• Gayle Sheppard, former VP, J.D. Edwards and
  People Soft, IT marketing whiz.
• Lowell Hoffman, former vice president and global
  chief purchasing officer for National Can, Kraft
  and Colgate-Palmolive, currently president Global
  Sourcing Solutions.
• Richard R. Rocks, Advanced Support Concepts,
  Boeing, known as God of Logistics at Boeing.

7
TAKE A TEST DRIVE IN THE INTELLIGENT SYSTEMS LAB

• Virtual laboratory for experimental intelligent
  logistics
• GLORI lab links Kenan Institutes ISL
  (Intelligent Systems Lab) with similar labs in
  Mexico and Netherlands
• Explore electronic commerce and new logistics
  practices
• Simulation modeling and computational
  capabilities
• Playground for intelligent software agents
• Global collaboration - Virtual Teaming Project

Building a Dynamic and Intelligent Logistical
System Layer by Layer
8
PARTICIPATE IN GLORI?Global Logistics Research
Initiative
Tsinghua University
University of North Carolina Business School,
Kenan Institute of Private Enterprise
Chalmers University Dept. of Transportation and
Logistics University of WarwickWarwick
Manufacturing Group Brunell University
Technical University of DelftFaculty of Mech.
Engineering and Marine Technology University of
Applied Sciences Cologne Faculty of Business
Administration University of Hamburg-Harburg
Instituto Tecnologico Estudios Superiores de
Monterrey (ITESM)
Hong Kong Polytechnic University Chulalonghorn
University The Kenan Institute Asia Bangkok,
Thailand Nat. University of Singapore Faculty
of Business Administration
Global Network of Logistics Excellence
9
The Chinese Century?
KENAN-TSINGHUA CENTER FOR LOGISTICS AND ECONOMIC
DEVELOPMENT IN BEIJING

• New Opportunity for KFBS
• Partnership with Tsinghua University
• Research Collaboration for Faculty/Students
• Consulting with Multinational/Chinese Companies
• MBA Summer Internships in China!

Pre
10
Interested in China?

• Industry-Focused Projects on Emerging SC and
  Logistics Trends and Outsourcing in China
• Aviation and Aerospace - Boeing
• Retail and Fashion Liz Claiborne
• Automotive General Motors
• Electronic Motorola
• Research Assistants Paid and Unpaid
• When Spring Semester 2006
• Forthcoming workshop on Business and Logistics in
  China!

Work on a team with Prof. Jay Swaminathan and
Prof. Noel Greis, along with Tsinghua students
and faculty
11
Boeings Chinese Suppliers
Boeing holds 1.6 Billion in contracts with
Chinas aviation industry
12
OLYMPIC LOGISTICS
Looking for Students to Help with Planning and
Execution!
February 2005 1st Annual Olympic Logistics
Symposium Learning from the Past and
Planning for the Future February 2006 2nd Annual
Olympic Logistics Symposium currently being
planned Crisis Management theme
13
INTERESTED IN TECHNOLOGY?Convergence Of Enabling
Technologies
Networking Internet, Wireless Communications,
Open Architectures, etc.
Enabling Technologies Sensors, RFID, Prognostics
INTELLIGENT LOGISTICS
Intelligent Software Machine Agents, Multi-Agent
Systems (Learning, Self-Organizing
Computing Infrastructure Grid Computing,
Peer-to-Peer
Convergence new intelligent technologies is
enabling a potential transformation in logistics
14
RADIO FREQUENCY IDENTIFICATIONGARTNER HYPE CYCLE
(circa 1995)
Peak of Inflated Expectations
RFID is an Emerging Technology
TECHNOLOGY
2004
2008 Beijing Olympic Games
Wal Mart Mandate
Slope of Enlightenment
2007
2003
Plateau of Productivity
2005
Technology Trigger
2006
Trough of Disillusionment
TIME
Source Gartner Group
15
What is CLDS Doing in RFID?

• Consortium member of EPCGlobal
• Participant in START project (SME-Tailored
  Applications of RFID Technologies) with 14
  European universities/companies, ITESM, and China
  European Business School
• Building demos and applications in the ISL.and

Interest in RFID brown-bag seminar series to help
develop business cases for our clients?
16
.working with Boeing THE RFID-ENABLED
AIRCRAFT

• Support Maintenance Personnel
• Aircraft Configuration, Emergency Battery Status
  .......
• Support Flight Crew
• Navigation Charts On-Board, Minimum Equipment
  List ......
• Support Flight Attendants
• Meals on Board, In-Flight Entertainment
  Inventory.......
• Support Baggage Handlers
• Orphan Baggage..

• Support Maintenance Personnel
• Aircraft Configuration, Oxygen System Status,
  Emergency Battery Status, Fire Extinguisher
  Status.......
• Support Flight Crew
• Navigation Charts Present On-Board, MEL Check,
  Software Configuration, ........
• Support Flight Attendants
• Meals on Board, Liquor Status, Boxes of Peanuts,
  Emergency First Aid Kit Status, In-Flight
  Entertainment Inventory.......
• How Should this Capability be Integrated with the
  Aircraft?
• How Should this Capability be Demonstrated?
• Volunteers?

RFID will be integrated with wireless network
inside aircraft to provide core aircraft functions
17
BROKER MODEL for PARTNERING WITH TECHNOLOGY
START-UPS
CLDS Technology Partners Saffron Technology
Associative Memory Topia Venture Mobile
Agents Magenta Technology Swarming
Agents 3D-Solve Virtual Reality Training
CLDS is engaged in a pro-active way with
technology developers as well as industry and
government to create the intelligent technologies
of logistics!
Technology Start-Ups
Logistics Companies
CLDS
Private/Public Sector Clients
18

• CLDS Technology Partner in UK (programmers in
  Russia!)
• Intelligent Software for Scheduling and Network
  Management
• Real-time, Event-driven Network Control
• RA Margaret Harrelson (KFBS MBA)

19
SAFFRON TECHNOLOGYAssociative Memory For
Adaptive Learning

• BIOLOGICALLY INSPIRED LEARNING!
• Builds an associative memory like the Human Brain
  does.
• Has the ability to recognize patterns and
  correlations across large and complex datasets
  (more than 1M attributes).
• Ability to scale to extremely large problems and
  datasets using patented compression technology.

Think of Saffron as providing the brain of the
Intelligent Agent.
Associative Memory, developed by Saffron
Technology, offers the ability to learn
on-the-fly without rules!
20
DEVELOP BUSINESS CASES WITH SAFFRON

• Work with Saffron Technology (located in RTP)
• Named Best Place to Work in Triangle
• 3-Month Pilot/Feasibility Studies
• Associative Memory Intelligent Software
• Project Teams MBAs, CLDS Industry Fellows,
  Saffron Staff
• Paid!
• First Project.Lowes or Glaxo.starts in November

www.saffrontechnology.com
21
PROGNOSTICS
THE PILOT PROJECT(Prognostics-Integrated
Logistics) A consortium of universities,
aerospace manufacturing companies and airlines
that have aligned to engage in collaborative
research and development activities to achieve
significant advances in (intelligent) aviation
services.
22
WHAT IS AN INTELLIGENT SERVICE?
Real-Time Info
Process Control
On-Board Diagnostics and Prognostics
1
RFID-Enabled Spare/Repair Parts Visibility
Prognostics Make Unexpected Failures Expected
2
3
Off-Board Processes and Agent-Enabled Intelligent
Decision Support Tools
AIRPORT
AIRPORT
SYSTEMS
GOAL Keep aircraft in sky!
23
COLLABORATIVE LEARNING FOR SECURE LOGISTCS
MBAs Needed to Develop Module 5 China Case
Summer 2006
Supported by National Science Foundation
24
TO CONCLUDE

• If you are interested in
• Supply Chain Management and Logistics in China
• Logistics Outsourcing
• Beijing Olympics 2008
• Intelligent Technologies Saffron/Magenta
  Business Cases
• RFID and Prognostics
• Aerospace, Aviation, Automotive and Electronics
  Industries (especially)
• And are thinking about
• Summer Internships
• Research Assistant during School Year (full-time
  or short-term)
• Independent Studies
• Or if you have your own innovative idea.
• Send me an email (noel_greis_at_unc.edu) or give me
  a call (962-8201).

MBA Elective BA239 Intelligent Enterprising in
the Digital Economy (Spring)
25
Let the demos beginBoeing Network Centric
LogisticsandRFID
THANK YOU!