LOGIN aim is a platform development to support a cooperation between production units specific industrial processes that belong to different supply chains that form the extended supply chain from raw material acquisition, handling of goods until the delivery to the addressee. The organizations involved in the extended supply chain are an Ecosystem. The extended chain is flexible and is composed according to the needs of its user.
The logistics focus of this program covers both the physical flow and the information flow (orders, invoices, business placing data). The informations flow precedes and join with the goods physical one. Then, logistics is a coordination and synchronization activity between the moving material process and the immaterial one. So, platform develops a systematic relationship between the goods flow and the informations one; this is a significant jump compared to the current situation. In fact, the first is the result of the processes production, the second one adds services provided by goods manufacturers and those generated by the extended supply chain and provided by the platform. The added- value services components added to goods are able to emphasize the brand “Made in Italy”.
LOGIN will act about the following open problems:
· Too many steps in logistics process, consequently distribution channel is too long and logistical inefficiencies are generated. These ones fall on the quality of handled goods, on the international business of manufacturers and, therefore, on the final sale price;
· Frequent availability of small material batches resulting from the increasing production delocalization and from diffusion of activities such as “lightweight processes” and “just in time”; these activities generate a lot of loads managing difficulties and, therefore, return trips costs determining a falling of business index of the products;
· “ex works” dominant use caused by the inability to manage logistics throughout the supply chain; so distributor has a strong bargaining power in relation to manufacturers resulting in gain decreasing for them;
· poor use of intermodal rail, sea and airport thus limiting the presence of manufacturing companies in international markets;
· poor use of information and communication technology (ICT) in logistics processes with different effects such as the reduction of the value added generated by logistics management, difficulties for company internationalization process, lack of management flexibility and consequent difficulty to maintain its competitive position with the continuous business changes, lack of accuracy in traceability process and the resulting loss of warranty Made in Italy.
Problems listed above regard particularly small and medium companies that produce goods and third-party providers of logistics services. For these companies, the inability to recover all the added value that an effective logistics management would give to produced and handled goods generates an objective difficulty of investing in strengthening its capacity and innovation. This reasons determine a gradual weakening of companies bargaining power with the large logistics centers. This represents a “Made in Italy” recession.