Case Study

Cisco achieves robust, proactive approach to supply chain risk

“Everstream Analytics has helped us become more systematic in the way potentially disruptive events are identified, categorized and communicated to mitigate risk.”

– Daniel Stewart, Senior Manager, Service Ops, Cisco Asia-Pacific region

“Everstream Analytics has provided another layer of proactivity to our Service Logistics offering. The solution enables us to anticipate and react to incidents in a more structured way, to understand the impact on our customer’s orders, and to ensure high service levels by mitigating unforeseen risks.”

– John Farrell, President, Service Logistics, DHL Supply Chain

Businesses rely on Cisco’s hardware, software and services to run critical infrastructure. The global IT leader’s reputation for reliable, high- performing equipment and world-class customer service makes up a core part of its value.

Across 19 countries in Asia-Pacific, DHL Service Logistics manages a comprehensive service and support logistics operation on behalf of Cisco. Hardware and spare parts from 80 rapid DHL fulfillment sites operate 365 days a year, shipping replacement equipment in as little as two hours and coordinating closely with Cisco’s own sales, customer support and technical teams.

Customer Objective

To improve service operations performance – and support provided to Cisco customers – DHL Service Logistics and Cisco sought ways to enhance the network’s ability to cope with unexpected events, from minor transport delays to major natural disasters.

“In recent years, we’ve experienced several events that had a big impact on operations,” says Christopher Stewart, Director of DHL’s Cisco-dedicated Asia Pacific Logistics Support Center in Singapore. “In 2015, for example, severe flooding in Chennai in Southern India caused a lot of equipment failures, and severely disrupted transport links in the city. We had to act fast to find alternative operating sites and ship in replacement parts. We realized we needed a more proactive approach, with better planning, better preparation and the ability to react in real time to those kinds of events.”

Everstream Solution

DHL looked to Everstream Analytics, the leading supply chain predictive analytics company, to deliver actionable insights that would help increase the resilience and agility of Cisco’s supply chain. Critical to the case was Everstream’s ability to provide location-level risk analysis based on historical incident data and real-time monitoring of potentially disruptive events, all through a single, integrated portal.

Activated in the Cisco Logistics Support Center in Singapore, the platform provides a comprehensive model of all the operating locations and major freight lanes in the network. Each location is geo-coded at the street address level, with a detailed overview of the nature and severity of supply chain risks which helps to tailor risk management, mitigation and contingency planning.

Through Everstream Analytics’ incident monitoring capabilities, Support Center staff receive immediate notification of relevant events as they are detected. From the Center, alerts are relayed directly to relevant logistics operations personnel, couriers, customer service teams and technicians on the ground. That information allows them to take the necessary action to prevent disruption, coordinate their response to major incidents and keep customers informed of any unavoidable changes to shipment timing or availability. Plans are underway to extend the model to cover other important places, like key customer sites, and to link it directly to current orders scheduled for delivery.

The platform is also helping DHL and Cisco improve their network and operations planning activities. Everstream Analytics can also support the risk assessment process when new warehouse sites or transport routes are being considered, for example, allowing the companies to pick secure locations for facilities and target their investment in risk mitigation activities

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Customer Benefits

“Everstream Analytics has helped us become more systematic in the way potentially disruptive events are identified, categorized and communicated to mitigate risk,” says Daniel Stewart, Senior Manager, Service Ops in Cisco’s Asia Pacific region. “And when we show customers the Logistics Support Center in Singapore with live incident monitoring up on the screen, that really helps give them the confidence that we take service and support very seriously.”

In October 2016, for example, a typhoon threatened several key transportation nodes in the Cisco network. With the aid of Everstream Analytics, Cisco was able to identify specific shipments at risk of damage or delay because they were en route to severely affected areas. Those shipments were held at a safe location until the weather had cleared, and affected customers could be informed in advance of the delay. The system has similarly helped the network manage the impact of numerous smaller scale incidents, from rainstorms in Thailand to road closures in New Zealand caused by forest fires.

Customer Objectives
– Better visibility of potentially disruptive events in a time-critical service network spanning 19 countries
– Faster, clearer communication with internal teams and with customers
– A more robust, proactive approach to supply chain risks

Everstream Solution
– 24/7 Everstream Analytics Incident Monitoring from the Cisco Logistics Support Center in Singapore
– Instant alerts to relevant personnel across the region
– A comprehensive overview of risks and incidents through a single portal

Customer Benefits
– Earlier notification allows a proactive approach to minimize the impact of minor disruptions, and a more effective response to major events
– Enhanced customer satisfaction through clear, timely communication
– Better information to support network planning and risk mitigation activities