SIGFOX SOLUTION REDUCES LOGISTICS FIRM LOSCAM’S PRODUCT REPLACEMENT COST AFTER JUST 4 MONTHS
Loscam achieves operational efficiency gains with Thinxtra’s IoT “Track and Trace” solution
Founded in 1942, Loscam is Asia-Pacific’s largest pallet pooling and returnable packaging solutions company, with over 100 depots operating across the region, serving thousands of customers.
Under Loscam’s business model, customers pay a daily hire rate for returnable packaging assets to move inventory via a third-party logistics provider between manufacture and retail. Customers are required to pay a daily compensation rate to cover replacement of missing assets.
“A key pitfall in our environment is that we can’t easily track assets leased to customers. When assets go missing, customers often resist paying compensation because they feel they’ve already paid for the asset by hiring it. The challenges for us of not tracking assets were unhappy customers, lost compensation fees and replacement costs.” explains Daniel Bunnett, Executive Vice-President for Australia and New Zealand, Loscam.
Loscam needed a cost-effective, end-to-end asset tracking solution. Ten years ago the company trialled their first “Track and Trace” solution with a 3G GPS tracker that had less than seven days battery life. The trial allowed the customer to track stillage units, but the costs were prohibitive for widespread application, the need to recharge batteries weekly was not operationally viable and the business case did not stack up.
Radio-frequency identification (RFID) offered another solution for asset tracking but was short-lived because the ‘scan in, scan out’ approach couldn’t offer end-to-end, real-time visibility to an asset’s location and was too cumbersome to deploy across a large customer base.
Thinxtra’s 0G Network, powered by Sigfox Technology, Enables Long Battery Life, Low Costs of Connectivity And Hardware
After a decade of trialling expensive, complex and incomplete asset management solutions, Loscam implemented a Thinxtra IoT-enabled Track and Trace solution. The implementation unlocked unexpected business value for Loscam, and its customers, by making Loscam’s returnable packaging assets smarter. Today, Loscam customers can make fact-based decisions to improve supply chain operations using Thinxtra’s scalable, cost-effective, end-to-end IoT-enabled Track and Trace solution.
“We wanted to solve our tracking challenges by making our returnable packaging assets smarter. When Thinxtra’s IoT solutions arrived, the overall costs of connectivity, hardware and deployment became feasible. The devices were getting smarter too, particularly for extending battery life to years instead of months.”
Loscam chose Thinxtra to design and deploy an IoT-enabled Track and Trace solution for a major customer: