Navistar Reports That Digital Supply Chain Will Boost Industry Productivity

by Jake Tully - Published: 9/27/2017

While 2017 has seen many propositions from sources in trucking in regards to breakthroughs in productivity, Navistar International proposed earlier today that the Digital Supply Chain may be the next efficiency-related factor in the industry.

At the North American Commercial Vehicle Show (NACV) in Atlanta, Navistar International Executive Vice President and COO Persio Lisboa told NACV attendees that he believes that advances in the field of trucking will be found through data and analytics in order to advance industry productivity.

"The transformation to a more productive transportation model is already under way," said Lisboa. "A fully integrated digital supply chain could remove close to $160 billion of inefficiencies."

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Navistar reports that Lisboa acted as the keynote speaker at the NACV during the 26th annual Heavy Duty Manufacturers Association Breakfast and Briefing.

According to Navistar, Lisboa’s speech saw an audience of suppliers and manufacturers in the heavy-duty truck industry during an event that focused on the role that advanced technologies may play in the improvement of freight efficiency.

Navistar reports that in addition to speaking on the subject of the digital supply chain, Lisboa also spoke to the industry of electric vehicles and autonomous vehicles, proposing that advances in both markets have the potential to generate $79 billion in regards to improvements for industry efficiency.

"When we add together the impact of these three megatrends – electric, autonomous and digital supply chain – the industry has the opportunity, over the next few years alone, to capture a 30 percent improvement in efficiency, and consequently lower operating costs," said Lisboa.

Navistar reports that Lisboa went on to speak about how the potential for a network of connected drivers and vehicles can produce data that may allow for digital load matching and a more accurate manner of forecasting truck maintenance issues.

Lisboa went on to speak about the potential for collecting data from connected vehicles may be analyzed by truck makers to pinpoint specific issues generated by certain trucks in a population.

"One day, when the supply chain system is fully integrated, breakdowns and unplanned service events will be remembered only as something in the past," Lisboa said.

According to Navistar, the announcement from Lisboa follow company announcements earlier this week per its plans to launch the On Command Connection Live Action Plans in 2018, providing customers with a service that may predict maintenance-related issues using big data analytics.

"The companies who supply the network of connected vehicles and take advantage of the big data generated by them, will be one step ahead of the others," said Lisboa.