Lufthansa Cargo has selected Quintiq to improve production planning at its hubs in Frankfurt and Munich, with additional stations following in the future.
The Quintiq solution is able to generate a production plan seven days in advance, based on forecasted orders and closer to the day of operations the solution will start to fill the plan with actual orders.
Using rapid optimisation technology, it will manage last minute updates as full information on orders may arrive just hours before the goods are scheduled for delivery.
It will be integrated into Lufthansa Cargo’s iCargo and Forecast systems, the three-way feedback loop between Forecast, Quintiq and iCargo drives more accurate plans on breakdown and build-up activities, and enables iCargo to monitor on-ground progress.
Lufthansa Cargo chief operating officer, Soren Stark says: “We at Lufthansa Cargo are constantly looking for new ways to simplify operations and increase efficiency. Digitisation is key. It adds to our competitive advantage and gives value to our partners.
“Our search for digitised processes led us to Quintiq. We are confident that Quintiq will enable us to offer better service to our customers and strengthen our market position.”
At the Frankfurt and Munich hubs, cargo needs to be broken down and built up for delivery to its next destination either by air or road.
Quintiq will enable Lufthansa Cargo to make smarter decisions with regards to schedules and workstations for breakdown and build-up activities.
The company will provide better visibility of inbound and outbound freight handling, the solution eliminates the need for long buffer time when reserving a workstation, freeing up capacity, limiting required space for storage and increase overall reliability for its customer.
Lufthansa Cargo head of supply chain management, Tim Heppenheimer says: “The Quintiq team impressed us with their experience and ability to find simple solutions for our complex challenges. They were able to translate them into a powerful software solution that will improve our cargo handling operations and resource usage.”
Quintiq chief executive officer, Rob van Egmond adds: “Given its massive volume of production, the increased efficiency of breaking down and building up the cargo will make a great difference to its overall business performance.”