InKoRISK – Collaborative Risk Management in the Automotive Industry

Overlapping Business Risk Management for Supply Chains

High complexity in automotive logistic networks due to increasing customer individualization and increasing implementation of lean management approaches in procurement and production lead to a high traffic load in particular of the transport mode road.

The development of new integrated planning processes in the project InTerTrans already created a potential to decrease the traffic load and therefore also the emission of carbon dioxide. However, this proven potential is influenced negatively by the occurrence of risks along the integrated planning process. These risks usually result in interruptions or failures.

A systematic risk management consisting of logistic-oriented risk assessment and a conscious handling of risks with consequences regarding traffic with suitable proactive and reactive measures show research gaps. The project InKoRISK – integrated termination and transport planning supported by a collaborative risk management in the automotive industry – fills these gaps.

Target

Target of the project team is to enhance the processes and prototypes for the integration of production and transport planning with measures of overlapping business risk management. The processes and prototypes have been developed in the past years in the course of the previous project InTerTrans, which has been supported by the German Federal Ministry of Economics and Technology. Besides a shift of standard transports from road to rail the parties involved expect an increase of the utilization rate and a reduction of stocks, the lead time and special transports. The pursued shift of transports to rail is exposed to special risks, for example due to swirls in the production sequence.

“The distribution-oriented sequence planning, we closely link the processes of production and transport, so that we have almost no safety buffer. If an unexpected event happens the entire process can be disturbed. In order to avoid this, the implementation of an intelligent risk management is needed.”

Dr. Ansgar Hermes, project manager distribution logistics at Volkswagen Logistics explains.

Innovation

The three-year research project is funded by the German Federal Ministry of Economics and Technology within the scope of the research program “Mobility and Transport Technologies”. The project plan includes the

  • identification,
  • evaluation and
  • categorization of risks.

Then risk management measures are developed and integrated into an overall process, which is supported by customized software prototypes. For this purpose, the software product 4flow vista, the standard software for the logistic planning, and the simulation tool OTD-NET, which has been developed by the Faunhofer IML and tested in the automotive industry are used in conjunction with OTD-Assist the framework for logistics assistance systems.

In order to ensure the practicability of the approaches, the entire project is supported by case studies in plants from Continental and Volkswagen in collaboration with Schenker AG.

Partner

  • Volkswagen AG
  • Fraunhofer Institute for Material Flow and Logistics (IML)
  • 4flow AG
  • Schenker AG
  • Continental