Deutsche Post DHL has signed a Memorandum of Understanding (MOU) with information and communications technology (ICT) developer Huawei Technologies to develop supply chain solutions for customers using industrial-grade Internet of Things (IoT) hardware and infrastructure.
According to DHL, IoT could generate up to 1.77tn (US$1.88tn) in additional value for the global logistics industry by 2025, enabling operators to better monitor and optimize their supply chain processes with low-cost networked sensors and devices.
The new agreement will see Huawei and DHL collaborate on innovation projects focusing on cellular-based IoT technology, which can connect large volumes of devices across long distances with minimal power consumption. This enhances the logistics chain by providing critical data and better visibility in warehousing operations, freight transportation, and last-mile delivery.
Dr Markus Voss, global chief operating officer and chief information officer, DHL Supply Chain, said, “Spending on connected logistics solutions is expected to more than double between now and 2020, and many logistics providers including DHL have already begun to explore IoT applications in their supply chains, including everything from enhanced asset tracking to driverless delivery vehicles. This MOU will allow both Huawei and DHL to tackle complex operational and business challenges with a powerful combination of world-class IoT hardware, networks, and expertise in end-to-end supply chain management.”
The MOU will see Huawei make its IoT devices, connectivity experts, and network infrastructure accessible to DHL. Huawei and DHL will also collaborate on efforts to market and commercialize the results of their innovations, including pilot commercial projects in Europe and China.
Yan Lida, president of Huawei Enterprise Business Group, said, “Relying on cloud-pipe-device collaboration, Huawei builds an open, flexible, elastic and secure platform, helping customers easily integrate and develop applications tailored to actual service scenarios. This partnership opens up an opportunity to improve the efficiency, safety and customer service offered by global supply chains in previously-impossible ways, and defines how IoT will shape the fortunes of the logistics industry in the next few critical years of innovation.”
February 17, 2017
