Goods id

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Globalisation, the increase in production and outsourcing, have made the supply chain more complex by greatly multiplying the number of different flows. Historically, products were predominantly consumed in close proximity to their place of production. Today, they travel around the world at great speed. Health risks are multiplied with the use of ever more complex ingredients, some of them genetically modified and introduced into the food chain more and more quickly. For this reason, traceability is a non-negotiable requirement, demanded by today’s consumer.

The collaborative supply chain: a unique differentiator

For our customers, the supply chain is therefore becoming an increasing source of competitive advantage. Based on its long experience of the supply chain and to meet current business needs, Zetes has introduced the collaborative supply chain solution portfolio. This consists of a suite of standardised solutions that target the issues specific to each supply chain stakeholder, from manufacturer through to consumer. These solutions allow companies to improve their performance, enabling them to have greater control, visibility of key supply chain processes and helping them comply with legislation on traceability and counterfeiting.

In a nutshell, the collaborative supply chain fulfils three essential requirements:

  • Visibility - providing real-time information on the location or movement of goods at any stage.
  • Traceability - to trace the origins of a product and its components or to retrace its history and ensure authentication.
  • Flexible execution - optimising the processes required to enable a company to deliver the right products to the right place, in the right condition and on time.

These three critical aspects are intrinsically interconnected and, when dealt with properly, allow companies to cope with today's challenges: globalization, omni-channel distribution and regulatory compliance.

A rapidly evolving logistics chain

The strategy described above is why the Goods ID Division achieved improved results for the third consecutive year in 2015. The unique structure of its offering is truly advantageous to companies because it is the perfect response to the changing realities of the sector. And current trends indicate that demand for this type of solution will continue along this growth curve.

There are several factors causing these crucial transformations in the supply chain:

  • Omni-channel sales

The rise of the Internet and e-commerce have revolutionised product distribution models. As a result, companies that are active in, or entering this sector must reorganise their logistics processes. They are rapidly transforming from a model where previously large standardised quantities of goods needed to be delivered to a limited number of customers, to one where they must now fulfil many small orders to meet the changing consumer habits being driven by e-commerce. The ability to effectively manage these processes, including the increasing product returns flow, is a challenge that, if addressed properly, offers customers major competitive advantages.

This change in consumer behaviour, together with a growing number of purchases made on line, has created the new reality of omni-channel sales. This means that companies not only need to adapt to e-commerce but, more broadly, they need to be present wherever the consumer might be - whether on line or in-store. The growth of e-commerce is expected to continue over the next few years, presenting further opportunities for solutions like ZetesMedea, ZetesChronos, and ZetesAthena.

  • Globalization

The proliferation of global exchanges worldwide has also introduced many challenges. How do you maintain control over products that are sent thousands of miles away from their place of production? How do you guarantee the quality of components sourced from another country or even another continent? There are many more intermediaries between the company and the final consumer, whilst neither one nor the other has visibility over the movement of goods. This greatly increases the risk of parallel markets and counterfeit goods springing up.

  • Regulations

Health risks are one of the harmful consequences of globalization and the rise of e-commerce. Some countries have passed laws to protect consumers. The current regulations are particularly aimed at the pharmaceutical, agri-food, and arms sectors. These should allow the origin of a product to be certified and guarantee its delivery to the correct destination.

The logistics chain has therefore become vastly more complex over the years, requiring simple, coherent systems for implementation and use to be devised; and to provide visibility and simplicity in the midst of chaos.

Four cornerstones for consistency and flexibility

When implementing each solution, Zetes takes a four-step approach, providing customers with the best solutions, using the most productive and efficient processes. These four cornerstones demonstrate the value added by Zetes’ approach, differentiating it from technology integrators and independent software providers. Zetes focuses on optimizing processes rather than on technology or replacing an existing system. 

The business process

Our customers' processes are the starting point for any project. Even if these processes are 80% similar from one company to another, allowing us to address them with standardized solutions, each customer also has its unique issues requiring a specific analysis and approach.

Execution solutions

The execution solutions reflect the business processes, translating an organisation’s process requirements into an effective IT solution, which is fully integrated with central back office systems. This involves coding and developing applications that permit the smooth running of routine operations like order processing, delivery, or inventory management.

Technological integration

The choice of identification and data capture technology is an important one, as it can significantly impact the cost and internal reorganization of business processes. This choice calls for careful analysis of the environment and a client's individual needs and priorities in terms of expected gains. In every case, the technologies proposed by Zetes reflect particular operational constraints and the search for productivity and quality.

System integration

For Zetes, the perfect customer is someone that won’t just settle for the status quo."

Our solutions integrate seamlessly with any system chosen by the customer, whether transportation management systems (TMS), warehouse management systems (WMS), or enterprise management systems (ERP). Zetes’ solutions can also interface with, amongst others, business intelligence tools, route planning, and point of sale (POS) systems.

For Zetes, the ideal customer is someone that won’t just settle for the status quo. Our ideal customer is aware of market changes and wants to adapt, but without completely revamping all processes or investing in expensive new management software. At the same time, they do not accept being constrained by the capabilities of a legacy system.

Management of cloud applications

In recent years, the concept of cloud has made its debut in companies and is becoming increasingly popular. This is due to the application management functionality this system offers and the fact that it allows companies to reduce their capital expenditure. The model is, however, still in the early stages of development in supply chain environments. Unlike an office environment, operators work with mobile terminals and Internet connectivity is not always assured. This requires a tool adapted to satisfying these different needs yet delivering the same benefits, which is what the MCLTM mobility platform achieves. This platform is marketed with several Zetes solutions, enabling customers to reduce their IT infrastructure costs and simplify application management.

A solid partner

Companies are seeking partners with the technical and human resources to support them in projects that are of crucial importance for their organizations. In a market that remains highly fragmented, Zetes provides:

  • The critical size required for the deployment of large-scale projects;
  • A solid financial foundation enabling it to make significant investments, particularly in infrastructure;
  • A network of subsidiaries across EMEA able to accompany international projects for customers requiring homogeneity of IT solutions and equipment fleets. Zetes' presence in both Europe and Africa is a major advantage for companies that operate in both of those continents. The Group is able to offer them the same level of service everywhere.

In the highly fragmented automatic identification market, Zetes is the only company that can provide this level of service, an approach that has earned it several major contracts.

Prospects

Zetes continues to observe the market and upgrade its solutions, adding new functionality and discovering new fields of application for existing features.

In spite of recent developments, we observe that the supply chain has continued to change quickly. The adoption of new technologies leads companies to continually reposition themselves to satisfy the needs and demands of ever-more exacting consumers. Zetes continues to observe the market and upgrade its solutions, adding new functionality and discovering new fields of application for existing features. The strategy adopted since 2012 has proven its relevance, and the company will continue to base its developments on this strategy in the future. In the past, any improvement in the Division's results depended mainly on external growth, but today, the Division manages to achieve growth organically, whilst continuing to increase its margins. This makes the Group confident that it can continue along these lines in 2016 and beyond.