Technology & innovation 02/18 - DB Cargo AG

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Technology & innovation 02/18 - DB Cargo AG
02/18

The customer magazine of DB Cargo

                                     FO CU S

                 Technology &
                  innovation
                        Logistics providers today are fully
                     integrated into their customers’ supply
                     chains. The right technology ensures an
                         efficient workflow management.
                                        Page 8
Technology & innovation 02/18 - DB Cargo AG
EDITOR IAL               0 2 / 18

 _ DB Cargo's open car
transport wagons will
also be equipped with
GPS trackers by 2019.

02
Technology & innovation 02/18 - DB Cargo AG
0 2 / 18                                                    EDITOR IAL

           Editorial

           Dear Readers,

           BVL International conducted a study to determine
           how we, as logistics experts, should prepare our-
           selves for the future. One of the core messages was
           that innovative technology concepts have considera-
           ble potential for optimising our processes. It lists
           predictive analyses to better forecast and plan our
           business processes, sensor technology as a source of
           data, and not least the linking of new technologies
           with our existing systems and those of our customers.

           We are trying to take a more systematic approach
           to the future, using such tools as predictive analytics
           and predictive maintenance to make our everyday
           business that little bit better. And by doing so, we're
           making our customers' business better, too.

           By the way, this is also the reason why we held our
           innovation workshop on freight wagons, whose pur-
           pose is to establish a dialogue between our customers
           and our development engineers. To give you an idea
           of what we're doing in terms of personnel to tackle
           future challenges, we've included an interview with
           Dr Ursula Biernert, Member of the Management
           Board for Human Resources.

           I hope you enjoy reading our magazine.

           Yours faithfully,

           Raimund Stüer

                                                                     03
Technology & innovation 02/18 - DB Cargo AG
CONTENTS                                                                                0 2 / 18

            FO C U S

02          08                                    14
Editorial   Transport chain 4.0                   Keeping a digital ear to the ground
            Innovative technology concepts        Fibre optic sensing means
04          optimise customers' supply chains.    better safety and quality for rail operations.
Contents
            12                                    15
            Predictive planning                   Processing damaged wagons with
06                                                an app
            Better planning processes thanks to
News
            predictive analytics.                 Faster reporting and repair –
                                                  thanks to digitalised processes.

                                                  16
             _ A number of techni-                Innovative freight wagons
            cal innovations along
            the entire supply chain
                                                  Freight wagons of the future: a research
            ensure reliability and                project like no other in Germany.
            efficiency.
                                                  20
                                                  On the way to smart predictive
                                                  maintenance
                                                  Optimised maintenance improves
                                                  ­processes along the entire supply chain.

                                                  24
                                                  Interview with Dr Ursula Biernert
                                                  Dr Ursula Biernert, DB Cargo Management
                                                  Board Member for Human Resources, on
                                                  demographic change, international focus
                                                  and digitalisation in HR.

04
Technology & innovation 02/18 - DB Cargo AG
0 2 / 18                                                                                                              CONTENTS

I N N OVAT IO N S & S O LU T IO N S             C U S TO M E R S & M A R K E T S

28                                              36
Blockchain technology in logistics              Hydraulic show of strength
Even greater security and transparency for      Special freight wagons win over Danish
service providers and their customers.          steel manufacturer NLMK DanSteel.

30                                              38
Think tank and laboratory of                    Development on equal terms
the future                                      A direct line between customers and the    _ On the move at the
Where are Big Data and Logistics 4.0 taking     experts at DB Cargo.                      innovation workshop
us? We visit the amspire lab.                                                             for freight wagons at the
                                                                                          Paderborn mainte-
                                                42                                        nance depot.
                                                So what does it do?
                                                the amspire lab in Frankfurt?

                                                43
                                                Looking ahead & publishing details

 _ Interdisciplinary
teams tackle the chal-
lenges of Logistics 4.0 at
the amspire lab.

34                                              NEWSLETTER
State of the art and fully automatic            Visit our website and sign up for our
DB Cargo invests in the new train formation     newsletter:
facility in Halle (Saale) and makes it one of   www.dbcargo.com/­
the most modern facilities in Europe.           newsletteranmeldung

                                                                                                                           05
Technology & innovation 02/18 - DB Cargo AG
NEWS                                                                                            0 2 / 18

       GERMANY

       Tackling future trends
       together
       Fourth DB Cargo Pulp & Paper
       Summit at DB Academy in Potsdam.                                              U
                                                                             DI D YO
                                                                              KNOW
                                                                                 ...

                                                                               that

                                                                        100
                                                                      different nationalities
       Over 70 customers and logistics partners in the               work at Deutsche Bahn?
       paper, pulp and packaging industry enjoyed a
       diverse programme at the 4th Pulp & Paper Sum-
       mit on 15 May, where they discussed current
       industry trends and their impact on logistics
                                                                     The world’s longest freight
       with DB Cargo. The focus was on digitalisation
                                                                railway link, which connects Madrid
       and demographic change, which were addressed
                                                                          to Yiwu, China, is

                                                                13,000
       during interesting talks and examined in more
       detail along with additional topics at workshops
       with the participants.

       “The in-depth discussions demonstrated to us
       that working logistics concepts are absolutely                    kilometres long?
       essential for our customers. We need to map out
       reliable transport services from the very begin-
       ning and take end-to-end responsibility,” said
                                                                               that
       Jürgen Röher, Head of Sales and Operations

                                                                       60%
       Center Pulp & Paper.

       According to Raimund Stüer, DB Cargo Board
       Member for Sales and Marketing, “The event
       was a resounding success, with exciting talks
       and in-depth discussions”. №                               of DB Cargo transports cross at
                                                                     least one national border?
       A detailed report on the event is included in railways
       issue No. 03/2018.

06
Technology & innovation 02/18 - DB Cargo AG
0 2 / 18                                                                                        NEWS

                                          RUSSIA
                                                                              The
                                          Facts about the 21st              World Cup
                                          FIFA World Cup                       is
                                          Here are a few facts for
H U N G A RY

New CEO
                                          striking up a lunchtime
                                          conversation about the
                                                                              36.8
                                          world's greatest sporting        cm tall and weighs
Dr Jan Busch is the
                                          event and the first Worl
new CEO of DB Cargo
                                          Cup to be held on two dif-
Hungária.
                                          ferent continents – Asia
                                          and Europe.
                                                                            6,175
                                                                                  grams

                                          The greatest distance        France has the most
                                          between two venues is        expensive squad at

Since 1 May, Dr Jan Busch has been
                                             2,484                        1.08
the new CEO of DB Cargo's Hungarian                kilometres              billion euros
national company, DB Cargo Hungária
Kft. in Győr. Busch (41) has been
with DB Cargo since 2007 and has
extensive experience in sales and                  There are           Panama has the least
controlling. In his most recent role as                                 expensive squad at
Head of Sales Processes in Frankfurt
am Main, he was responsible for cus-
tomer satisfaction analysis throughout
                                          338,414                         8.43
Europe, several IT projects in sales       ticket requests from
and bid management. DB Cargo                     Germany                  million euros
Hungária Kft. was formed when Logis-
tic Center Hungária Kft., which was
established by DB Cargo in 2001, was
renamed. It received its railway
licence in 2011 and since then has
successfully offered transport services
and helped significantly increase
the share of international transport
services in the DB Cargo family. №

                                                                                                  07
Technology & innovation 02/18 - DB Cargo AG
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Technology & innovation 02/18 - DB Cargo AG
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             —   K AT H R I N P O L I K E I T

           In the age of digitalisation, changes in customer
           needs and patterns of behaviour are just as
           rapid as they are radical. The entire supply
           chain has to adapt accordingly. DB Cargo is
           therefore relying on a whole series of technical
           innovations.
Technology & innovation 02/18 - DB Cargo AG
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                                                          “The logistics goals
                                                     with the highest priority are
                                                        fulfilment of customer
                                                   ­requirements, ­reliable delivery
                                                         and logistics costs.”

T
                                                        Trends and Strategies in Logistics and Supply Chain Management:
                                                      Digital Transformation Opportunities, a study by the German logistics
                                                                  association Bundesvereinigung Logistik, “BVL”

                he results of the recent
                study “Trends and Strat-
                egies in Logistics and
                Supply Chain Manage-
                ment: Digital Transfor-
                mation Opportunities”
                by Bundesvereinigung
Logistik (BVL) show the way: “The
logistics goals with the highest priority
are fulfilment of customer require-
ments, reliable and on-schedule deliv-
ery and logistics costs.”
     The study focuses especially on        sis and analysis appreciably enhances         repairs that may be necessary, which
the technical elements of the supply        the quality of equipment and rolling          reduces idle time and cancellations for
chain. According to the study, these        stock. But the long-term aim is to go one     customers. At the moment, DB Cargo
must be modified in two ways: Suppli-       step further: for example, maintenance        is working with two customers from
ers and logistics service providers need    optimisation should also asses which          the recycling industry to pilot the app.
to be linked to seamless IT systems,        incident notifications need to be pro-
and supply chains need to be designed       cessed first if there are competing inci-     Fibre-optic sensing (FOS)
and analysed by exchanging data             dents, because one may have a more
across company lines. Predictive analyt-    severe potential impact than the other.       Deutsche Bahn is also testing a
ics, mobile access by customers to data     This sounds very theoretical, but it          fibre-optic system at present that will
and the corresponding sensors for           yields a specific benefit: if the mainte-     make the monitoring of modern trans-
monitoring are the technology con-          nance of wagons can be planned more           port chains even better. Fibre-optic
cepts that offer the brightest prospects    efficiently, the availability of wagons       sensing (FOS) can allow for more rapid
for logistics. DB Cargo is already          for customers will improve, too.              detection of animals on the track, land-
investing in these fields.                                                                slides or cable theft. It will preserve
                                            DB Cargo’s damaged wagon app                  resources while delivering further
Predictive Maintenance                                                                    safety and quality improvements in
                                            The same is true for the damaged              rail operations. “Since a year ago, we
The objective of predictive mainte-         wagon app. DB Cargo is using this new         have been investigating FOS at sites
nance is designing the maintenance of       application to optimise the handling          including Berlin Wannsee, the right
locomotives to be more efficient by         process for when wagons need to be            bank of the Rhine and the new Ger-
means of data-based predictions. Sen-       replaced or repaired. Customers can           man Unity Transport Project 8.2 high-
sors and other data recording devices       now report damaged wagons digitally.          speed line”, explains Patrick Pohl,
collect data on the infrastructure and      The app features a simple-to-navigate         project manager for fibre-optic sensing
vehicles and link it on an open plat-       menu that one can follow to transmit          (FOS) at DB Netz AG. The German
form to determine what systems need         reports, complete with photos of the          Unity Transport Project 8.2 (or VDE
to be maintained or replaced, and at        damage, by means of a few clicks. The         8.2) is Germany’s largest rail construc-
what intervals. This smart data diagno-     photos can considerably speed up any          tion project between Nuremberg and

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Berlin. 8.2 is the name for all the new-
build sections of the route. The first
results are expected by the middle of the
year.
                                            GER MAN UNIT Y
On the way to digitally transformed
logistics                                   TR AN SPORT
DB Cargo’s investments are squarely
aimed at relationships with customers
                                            PROJECT NO. 8
and satisfying their needs. They do not
only offer DB Cargo optimisation of         Germany’s largest rail project between Nurem-
freight wagon availability; data such as    berg and Berlin is a undertaking filled with
runtimes, distance travelled and            ­superlatives, whose multiple innovations are
capacity utilisation of networks also
offers the opportunity to improve            ­setting new standards.
logistics for customers. №
                                                                         The German government approved the
                                                                         multi-billion-euro project in 1991 to
                                                                         improve the transport links between
                                                                         east and west and between north
CHECKLIST                                                                and south, and to close the gap in
                                                                         Germany’s high-speed rail network.
                                                                         There is a passing station every 20
7 requirements for successful supply
chain management                                                         km for high-speed express trains to
                                                                         overtake other services. New routes
   Overarching cooperation                                              will alleviate bottlenecks in freight
                                                                         transport, and renovated hubs, such
                                             _ The viaduct over
   Transparent exchange of information                                   as the Halle formation yard, will make
                                            Froschgrundsee:
                                            798 m long, 65 m             it easier to spread freight trains
   Fast reaction times                      high, concrete arch          throughout the network.
                                            with 270 m spans.
   Short process times

   High-performance planning software

   Comprehensive logistics

   Clear and binding rules
                                                           € € €

                                            10 billion                               4,500
                                             capital expenditure costs              employees at work
                                                                               on construction of the route

                                              770,000                                    230
                                                plans and documents            kilometres of new-build line

                                                                                                             11
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Predictive
planning
DB Cargo’s Utilisation Man-
agement uses predictive
analytics to determine the
proper scope of and manage
some 3.6 million single wag-
onload transports in the
network annually.

H
            ow do you ensure that the          Here is how single wagonload
            right number of wagons         transport works in practice: the cus-
            reaches the right destina-     tomer orders an empty wagon, loads it,
            tion at the right time for     and DB Cargo transports the custom-
            your customers? The sim-       er’s goods from point A to point B. How-
ple answer is planning. However, you       ever, since it would not be efficient for
need another solution if you want this     a locomotive to pull only one wagon
planning to be as effective as possible    from point A to point B, the wagons
in terms of production quality for         are collected at hubs and assembled
customers – meaning reliability and        into trains that transport wagons trav-         “You have
punctuality – and as efficient as possi-
ble from a cost vantage point. This is
                                           elling to similar destinations farther
                                           along their route. The process is           to know what’s in
because single wagonload transport is
complex and naturally extremely
                                           repeated at the next hub until the
                                           wagon reaches the customer. A single
                                                                                         the data to be
resource-intensive. Extensive HR
costs and investments in wagon fleets
                                           wagon is thus transported through
                                           the network by several trains. A sys-
                                                                                        able to use it.”
generate fixed costs that can be managed   tem this complex requires nuanced
                                                                                              DR MARTIN BODESTEDT,
in an economically reasonable fashion      planning to ensure that the network           expert in Predictive Analytics at
only when resources are distributed        has the requisite resources available        DB Cargo’s Utilisation Management
appropriately.                             at all points. This sounds abstract,
                                           but customers can notice it directly:
                                           it translates into better availability
                                           and predictability of their flows of
                                           goods.
                                               Single Wagon Network Manage-
                                           ment, established a year and a half ago
                                           at DB Cargo, is breaking new ground to
                                           meet these needs. The aim is to be as
                                           targeted as possible to assist salesper-
                                           sons when they are planning the trans-
                                           port service customers need for spe-
                                           cific routes, in order to predict as
                                           precisely as possible what transport
                                           service and resources will be needed.

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That will allow sales personnel to be
more targeted at how they meet the
requirements of their customers and
the customers’ specific transport. Sta-
tistical models and clever algorithms
are used to make that happen.

The future of single wagonload
transport

250 salespersons and 70,000 routes
can easily generate a million data sets
that are simply impossible to view and
process manually. A great deal of
traffic, such as wood transport, is also
seasonal and mathematical models
can depict it very precisely. The algo-
rithms can thus be used to generate
models that serve as the basis for much
more precise forecasts. Single Wagon       ers’ transport needs at times of peak        Think integrated
Network Management is using 16             demand. The optimal capacity utilisa-
models to do this, which operate in        tion of the fleet can boost reliability      “You have to know what’s in the data
parallel. The amazing thing is that the    for customers, because increased             to be able to use it”, says Martin
system studies the data sets and val-      earnings achieved at the same cost           Bodestedt, neatly summarising the
ues of the previous ten years and          can free up the funds needed to invest       requirements facing data scientists at
learns independently when and in           in locomotives, wagons and human             DB Cargo. “You need an understand-
what cases a given model will make         resources.                                   ing of mathematics to grasp where the
the most sense. “Machine learning” is                                                   numbers are coming from. That is the
the operative term here. Dr Martin                                                      only way to integrate them into the
Bodestedt, who has been an expert in                                                    process to improve it.” When various
Predictive Analytics at DB Cargo’s         THIS IS HOW ­                                parameters are available, such as the
Utilisation Management for a year          PREDICTIVE ANALYTICS                         number of wagons, net tonnage or
and a half has this to add: “The
direction we aspire to head in is to
                                           WILL HELP WITH PLAN-                         revenues, data scientists need to
                                                                                        decide which figures make valid fore-
simplify the planning process for cus-     NING BY SALESPERSONS                         casts possible. In most cases, net ton-
tomer advisory to a large extent and       AT DB CARGO:                                 nage per transport is the key figure
improve the quality of the process at                                                   that is most ideally suited, since it
the same time, so advisory have more                                                    directly reflects the transport service
time for their customers.”                 1 _ I NTEGRATION                            that customers need. That is why one
    The objective of the experts sur-           The models and dashboards devel-        also needs a basic understanding of
rounding Dr Martin Bodestedt is to              oped will be integrated in DB Cargo’s   business to succeed in mining a com-
determine the perfect size of the net-          infrastructure.                         pany’s available data to generate added
work. “Strong forecasts in terms of                                                     value for planning. №
time and geography as a foundation         2 _ VENDOR PLANNING USE CASE
for planning make it possible to get            As the first use case, the predictive
more out of locomotives, wagons and             analytics models will be integrated
personnel. This leads in turn to fewer          into salesperson planning to support
                                                the forecast in VIPS (DB Cargo’s
quality problems and faster turna-
                                                sales, information and planning
round cycles for wagons, making                 system).
them available faster for the next cus-
tomer”, says Carolina Lasse, head of the
Single Wagon Network and Utilisation       3 _ ADDITIONAL USE CASES
Management unit in Industrial Sales.            The methodology can be applied to
                                                other use cases such as freight
The faster turnaround cycle times               wagon availability or determining the
enable DB Cargo to perform more                 proper size of the network or local
                                                                                                       Dr Martin Bodestedt,
transports with the existing fleet of           service.                                        Utilisation Management, DB Cargo
wagons and to better cover custom-                                                            martin.bodestedt@deutschebahn.com

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Keeping a digital
ear to the ground
Damage from storms, cable theft and animals on the track.                                  ject Manager at DB Netz AG. Some
It would be great if we could always keep an ear to the                                    2,500 light impulses per second are
                                                                                           continuously transmitted via a glass
ground to be able to respond to these events immediately                                   fibre located in the cable next to the
by warning trains, closing off routes and dispatching safety                               line. If sound waves impact the cable,
personnel. There is a solution, and it’s called “fibre-optic                               for example as a train passes by, the
sensing”, or FOS for short.                                                                glass fibre will change shape near the
                                                                                           microphone, deflecting the light.
                                                                                           These def lections will be checked
                                                                                           against the acoustic fingerprints of

                                                F
                                                                                           diverse types of influences, which are
CHECK BOX                                                 ibre-optic cables are used       recorded in a database. “This will ulti-
                                                          to rapidly transmit data,        mately put us in a position to deter-
                                                          for internet connections for     mine exactly what is happening, and
How fibre-optic sensing works                             instance. The oil and gas        where, with an accuracy of up to five
                                                          industry has used fibre-optic    metres, and we will be able to act, if
1 _ People or animals on the track trigger    cables to monitor pipelines in remote      needed”, says Patrick Pohl.
      sound waves, which cause microbends
                                                areas for quite some time. Deutsche
      in the optical fibre in the fibre-optic
      cable on the track, which reflects the    Bahn is currently conducting tests at       Three preliminary projects in
      transmitted light impulses.               three locations to determine whether       ­constant use
                                                the technology can be harnessed for
                                                rail transport.                            Back in 2014, a 33 km test field on the
2 _ Sending light impulses and measur-
                                                                                           Fulda–Würzburg route was installed for
    ing how the light is reflected in the
    fibre-optic cable makes it possible to      Acoustic fingerprint database              an 18 month study. Berlin-Wannsee,
    see and evaluate sound waves.                                                          the right bank of the Rhine and the new
                                                “Fibre-optic sensing works like a micro­   high-speed line for the German Unity
                                                phone that picks up noises along a rail    Transport Project 8.2 were equipped
3 _S
    oftware constantly compares the            line”, explains Patrick Pohl, FOS Pro-     with permanently installed fibre-optic
   incoming acoustic data with known
                                                                                           sensor systems in December 2016. “We
   digital fingerprints to provide infor-
   mation about the type and position                                                      want to find out how fibre-optic sensing
   of the noise source and the time the                                                    can be integrated into regular rail oper-
   noise occurred.                                                                         ations”, says Pohl. “We are expecting
                                                                                           the results of the preliminary projects
                                                                                           to be in by the middle of the year, and
4 _ FOS systems can monitor areas of
     up to 40 km and pinpoint sources of                                                   they will inform our decision of what to
     noise within five metres.                                                             do next.” №

                                                                                                Patrick Pohl, FOS Project Manager, DB Netz AG
                                                                                                      patrick.pohl@deutschebahn.com

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Processing damaged
wagons with an app
Customers used to have to
fax damaged wagon reports
to DB Cargo for the com-
pany to be able to provide
replacement wagons and
repair damaged ones. Now
DB Cargo’s new damaged
wagon app is digitalising the
process.

S
           nagged bogies, stuck hinges     New process benefits customers
           and dented doors: damaged
           wagons are an annoyance for     Those customers that frequently have
           customers. DB Cargo’s new       to contend with loading and unloading
           damaged wagon app is mak-       damage linked to specific industries
ing it easier to report them. Until now,   and models stand to benefit the most
reporting damaged wagons was quite         from the new application. It was this
cumbersome and time consuming: cus-        that prompted DB Cargo to pilot the
tomers had to print out a form on A4       app in collaboration with two custom-
paper and fax it to Customer Service       ers from the scrap industry. “The
and the office. “Our new app stream-       ­d amaged wagon app will greatly sim-
lines this process”, explains Jürgen        plify our work process,” says Thomas
Bosse, Head of myRailportal and Cus-        Grötzinger, Head of Logistics at Scholz
tomer Integration at DB Cargo. “Not         Recycling GmbH. “Our employees
only do our customers save time and         will use the app on their smart phones.
money, but they can also send the           Any damage that is identified will be     photographed right away and digitally
information directly to several parties                                               relayed to DB Cargo. That will noticea-
involved in the process.”                                                             bly accelerate the decision of whether
                                                                                      new wagons have to be ordered.”
Reporting damage by photo chat
                                                                                      Broader rollout by the end of 2018
 The new smartphone app is customis-
 able and features a simple-to-navigate          “The                                 Other customers will have the chance
 menu that customers can follow to
 submit damaged wagon reports with          damaged wagon                             to use the app as soon as this year,
                                                                                      says Jürgen Bosse. “We are planning to
 their user profiles by means of a few
 mouse clicks. Customers can attach
                                            app will greatly                          kick off a second phase by the end of
                                                                                      2018 that will make the app available
 photos so Production can get an
 immediate idea of what the damage
                                           simplify our work                          to a wider clientele.” №

 looks like. This lets technicians             process.”
 decide whether a new wagon has to be
 delivered to a given customer, or            THOMAS GRÖTZINGER, HEAD OF LOGISTICS
 whether it would be worth sending                AT SCHOLZ RECYCLING GMBH.
                                                                                      Jürgen Bosse, Head of myRailportal and Customer Integration
 out a mobile team to repair the                                                                              at DB Cargo
­existing wagon.                                                                                  juergen.bosse@deutschebahn.com

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Innovative
freight wagons

           INNOVATIVE                                  POWER CABLE/
           BOGIES                                      DATA BUS
             hree-axle bogie for
            T                                            oal: 48V power cable and CAN data
                                                        G
            flat wagon/BraCoil                          bus cable
             ngoing development based on
            O                                           Battery charging for telematics devices
            existing bogie designs
                                                         ontrol of electropneumatic brake func-
                                                        C
             ptimised wear patterns on bogie
            O                                           tionality (ep brake) via CAN data bus
            through interior structure reinforcement
                                                         tatus quo: 110V power cable for ep
                                                        S
             reater cost effectiveness and
            G                                           brake control
            lower life cycle costs
                                                        (BraCoil, Laaeffrs 561)
            (BraCoil)

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                                                                M
                 In the only research project of its                                      ore efficiency,
                   kind in Germany, DB Cargo has                                          more reliabil-
                                                                                          ity, lower costs:
             joined forces with VTG AG and other                                          customers’
           well-known project partners to develop                                         requirements
                   the freight wagon of the future.                                       for rail freight
                                                                                          transport of
                                                                the future are nothing new, but in an
                                                                age of digital transformation and fast-
                                                                paced markets, the demand for innova-
                                                                tive technical services is great. In
                                                                2016, DB Cargo and VTG AG joined
                                                                together to launch the “Innovative
                                                                freight wagons” research project on
                                                                behalf of the Federal Ministry of
                                                                Transport and Digital Infrastructure
                                                                (BMVI). For Holger Schmidt, project
                                                                manager at DB Cargo and spokesper-
                                                                son of the VTG-DB Cargo consortium,
                                                                the long-term goal is to test innovative
                                                                components that contribute towards
                                                                significantly reducing a freight wagon’s
                                                                life cycle costs. “Our focus in this
                                                                ­project is therefore clearly on noise
                                                                 reduction and energy savings,”
                      SPECIFICATIONS:                            Schmidt explains. The schedule is
                                                                 brisk: as early as September 2018, the
                      BRACOIL                                    new freight wagons are set to be
                      Specific use:                              exhibited at the InnoTrans trade fair in
                      Transport of steel slabs, steel coils      ­Berlin, even before the project ends on
                      and containers                              31 December 2018.

                                                                Spotlight on two wagon types
                       1 _ Length over buffers: 16.40 m
                       2 _ Loading length: 15.16 m
                                                                For the VTG-DB Cargo consortium,
                       3 _ Loading width bet. cradles: 2.40 m   there is no reason for last-minute
                       4 _ Width bet. stanchions: 2.63 m        panic: the team is right on schedule. In
                       5 _ Bogie spacing: 9.40 m                the past two years, they have devel-
                       6 _ Wheelset diameter: 92 cm             oped twelve new freight wagons in
                       7 _ Axle load: 22.5 t                    total based on four wagon categories
                       8 _T are weight (incl. stillage):       and placed them on the tracks as proto-
                           max. 35 t                            types in January and February 2018.
                       9 _ Max. payload: min. 100 t             The development work by DB Cargo
                      10 _ Max. total weight: 135 t             focused primarily on two wagon
                                                                ­categories: a six-axle flat wagon for

                                                                                                        17
FO C U S                                                                                                                                    0 2 / 18

  transporting steel products and a                                                   EP BRAKE “LIGHT”
two-part open car transport wagon.
                                                                                          lectronic brake valves are controlled
                                                                                         E
ep brake “light”: hidden                                                                 via a power cable/data bus and
                                                                                         ­electropneumatic brake functionality
champion of components                                                                    is established.

  The ep brake “light” is something                                                      All wagons can be braked simultaneously
  like a hidden champion among the                                                        ith a focus on cost savings, only one air
                                                                                         W
  components.                                                                            line and air reservoir must be refilled in
                                                                                         the conventional manner after braking
      In contrast to a conventional brake
  in freight trains, it enables simultane-                                               (BraCoil, Laaeffrs 561)
ous control of appropriately equipped
­wagons during braking, improving the
 train’s braking precision and saving
 energy. The technology is being used
 for the first time in a freight train with
 a hybrid brake system – that is to say
 both conventional and electropneu-
 matic.
      Initial experiences during field                                                INNOVATIVE WHEELSETS
 testing show that the effect is clearly                                              WHEELSET COATINGS /
 noticeable in the test train, in which
 only the innovative freight wagons are
                                                                                      WHEEL NOISE ABSORBERS
 equipped with the ep brake “light”. If                                                   esting of various combinations of low-noise
                                                                                         T
 this impression is confirmed with                                                       wheelsets, wheel coatings and wheel noise
 ­corresponding measurement results                                                      absorbers
  and the energy savings are thus quan-                                                   heelsets and wheel noise absorbers for
                                                                                         W
  tified, a future equipping, and even                                                   wheels with tread brakes
  retrofitting where appropriate, of the                                                  esting of low-noise wheels in the acoustic lab
                                                                                         T
  wagons with the ep brake “light” tech-                                                 of project partner RWTH Aachen to identify
  nology could subsequently be assessed                                                  their sound effects
  in operational and economic terms.                                                     (BraCoil, Laaeffrs 561)

BraCoil: multifunctional
allrounder for steel products

The first new development from
DB Cargo is the six-axle flat wagon for
transporting steel products. This
­“BraCoil” is multifunctional and is
 capable of transporting containers in
 addition to steel slabs and steel coils.          TECHNICAL DATA
 A key feature of the BraCoil is that it           LAAEFFRS 561
 enables cargo to be transferred without
 modifying the wagon. №                            Specific use:
                                                   Transport of large car models,
                                                   minibuses and pickups

                                                   1 _	Maximum car height: approx.
                                                        1,990 mm
                                                   2 _  Length over buffers: 33 m
                                                   3 _L  oading length (lower loading level):
                                                        32.18 m
                                                   4 _	Loading length (upper loading level):
                                                        32.55 m
                                                   5 _  Max. payload: 36 t
                    Holger Schmidt,
     Head of Technical Management Freight Wagons
                                                   6 _ Number of axles: 4
       holger.hl.schmidt @deutschebahn.com

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           DIGITAL BRAKING                      TELEMATICS
           ­INDICATOR                             asic functionalities, such as location
                                                 B
            I ndicates whether the brake and    determination and recording of distance
             handbrake are off or applied        travelled

            Monitors brake pads                  dditional equipment with RFID/NFC
                                                 A
                                                 tags for fast wagon identification and
            (BraCoil, Laaeffrs 561)              retrieval of wagon history via mobile app
                                                 (BraCoil, Laaeffrs 561)

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FO C U S                                                             0 2 / 18

On the way to
smart predictive
maintenance
           Sluggish manufacturing processes, loss of produc-
           tion and frustrated customers: what costs time and
           money in the machinery and automotive industries
           can also delay processes along the entire supply
           chain in the logistics industry. The solution is smart
           predictive maintenance.

                                  O
                                                        ne cancelled freight
                                                        train can easily cost
                                                        hundreds of thou-
                                                        sands of euros.
                                                        When a locomotive
                                                        that works perfectly
                                                        well is taken out of
                                   service for maintenance, it upends
                                   processes that are calibrated right
                                   down to the second in an infrastruc-
                                   ture where one thing counts above all:
                                   efficiency. That’s why logistics services
                                   providers such as DB Cargo are on the
                                   lookout for solutions to minimise dis-
                                   ruptions like these and to ensure exist-
                                   ing assets are utilised to the fullest.
                                   One such solution is the digital trans-
                                   formation of asset management and
                                   maintenance processes, which are still
0 2 / 18                                                                                                                    FO C U S

Camera bridges, wheelset diagnostics, brake
block diagnostics. “These technologies are
absolutely crucial — both for the digital assess-
ment of freight wagons and for DB Cargo’s
asset digitalisation strategy on the whole.”
JAN MÜLLERSCHÖN
Project Manager for Digital Appraisal

largely carried out manually. This               “The key to our success will be con-
transformation is set forth in the Asset    dition monitoring of locomotives, i.e.      THE FOUR-STAGE MODEL
and Maintenance Digitalisation              monitoring rolling stock and applying
(AMD) programme. The AMD pro-               the information we obtain to ensure         The rollout of the maintenance strategy is
                                                                                        based on these four process stages:
gramme encompasses a variety of dif-        that the assets are maintained as
ferent digitalisation projects, which       needed”, Niggeman continues. “This is
are being carried out at the Digital        already being implemented at DB Cargo
Asset & Maintenance Lab at the House        through the TechLok project. To put it               STAGE 0:
of Logistics and Mobility in Frankfurt.     simply, locomotives are equipped
                                                                                        Modular overhaul (2016–2019):
The lab is the central data and analysis    with transmission computers, known          Dividing complex overall maintenance
hub, which makes it the brains behind       as ‘boxes’. They transmit all the neces-    requirements into individual modules.
digital fleet management and optimised      sary signals to the land side. We can
maintenance processes at DB Cargo.          use this data to assess the condition of
                                            locomotives early on and accurately so                STAGE 1:
 The four-stage model and                   we can draw the right conclusions for
                                                                                        Condition monitoring 2017–2020:
­connected workers                          maintenance.” So what does that mean        Live-tracking rolling stock and using the
                                            for employees at maintenance depots?        information obtained to maintain locomo-
The AMD programme takes aim at              “The initiatives of the individual          tives through all current management
two core targets. Its first and primary     stages ensure that employees will           levels.
objective is creating added value for       increasingly be ‘connected workers’
customers by providing digital prod-        who will have the right expertise, the
ucts. Second, it aspires to drop mainte-    right tools and the right digitalised                 STAGE 2:
nance costs by ramping up efficiency        information about operational steps,        Condition based maintenance
and asset availability. This is precisely   which they will be able to apply at the     2017–2021:
                                                                                        The first step is to monitor rolling stock
where digital transformation opens up       right time and at the right place at the    to bring all components in line with limit
an efficient path to condition-based,       right maintenance depot using the           values that have been checked or newly
predictive maintenance (CBM).               right materials to maintain the right       specified.
“Having the right information at the        locomotive. It will be like a Formula
right time is the crucial point here”,      One pit stop”, says Niggemann. “To
says Holger Niggemann, Head of              ensure that this happens, it is crucial
Condition Based Maintenance (CBM)           for all of the projects in the AMD
at DB Cargo. “To ensure this happens”,      ­programme and related programmes                     STAGE 3:
says Niggemann, “we are phasing in           and systems to operate in synch with       Predictive maintenance 2018–2021:
condition based maintenance for our          one another, like clockwork.”              Developing algorithms for certain asset
locomotives and predictive mainte-               Deutsche Bahn is increasingly net-     components and designing the mainte-
nance, which takes CBM further”.             working data from systems on an open,      nance of these components to allow them
                                                                                        to “report themselves” in a timely fashion
The new maintenance strategy will            generic platform. For instance, regu-      even before damage occurs so that loco-
be rolled out by around 2021 using a         lar trains and self-propelled track        motives can be brought to maintenance
four-stage model.                            recording cars monitor infrastructure,     depots on time.
                                             such as track geometry, overhead

                                                                                                                                 21
FO C U S                                                                                                                    0 2 / 18

                                                 “Another advantage of predictive         his current project in March 2018. He
                                             maintenance is that it makes it simpler      is responsible for making maintenance
                                             to pool interests with other operators       commissioning viable for the future as
                                             by exchanging visualisations and             part of DB Cargo’s technology and
                                             assessments. In collaboration with           innovation strategy. Müllerschön and
                                             industry, this method also makes it          his colleagues are laying the founda-
                                             simpler to connect to existing assets        tion for changing how maintenance is
                                             digitally and specify exact interfaces to    planned, managed and carried out.
                                             ensure the stability of the overall infra-   “Essentially, we are transforming reac-
“Our aspiration is                           structure. There are many benefits”,         tive and deadline-based maintenance

  to strengthen                              stresses Niggemann. “Not only does it
                                             determine the maintenance strategy
                                                                                          into smart and preventive mainte-
                                                                                          nance that rests on predictive intelli-
 capacity utilisa-                           for certain components; it can also
                                             intervene intelligently in exceptional
                                                                                          gence.” The team collects the condi-
                                                                                          tion-based data required for this using
  tion, improve                              situations. For instance, when there
                                             are competing error notices, it can
                                                                                          diagnostics systems, which the project
                                                                                          team installs on infrastructure in col-
 the availability                            decide which of them to prioritise in        laboration with DB Netz.

   of asset and                              future. We are working step-by-step
                                             with all our partners internally and         A mammoth digital task
    production                               with industry representatives exter-
                                             nally to improve all of this.”               Two core elements are crucial for mak-
  resources and                                                                           ing a project like this feasible in the
                                             Smart predictive maintenance of              first place: digitalisation and transfor-
to step up energy                            freight wagons                               mation. “Our main objective when it

    efficiency,                              Jan Müllerschön knows this topic
                                                                                          comes to digitalisation is selecting the
                                                                                          right technologies and taking the pro-
   quality and                               through and through. He works at DB
                                             Cargo in Mainz, where he heads up the
                                                                                          cesses that are still largely carried out
                                                                                          manually and making them fit for the
     customer                                Semi-Automated Damage Detection              future. When it comes to transforma-
                                             Wagons (SDW) project, which is part          tion, employees take centre stage.
  satisfaction.”                             of the AMD programme. He and his             In particular, this means providing
                                             team are developing digital solutions        employees with the appropriate digi-
               JAN MÜLLERSCHÖN
                                             for asset management and mainte-             tal support to help them continue to
     Project Manager for Digital Appraisal   nance. When anyone asks him how              deliver their key contributions to
                                             digitalisation can help improve work-        DB Cargo’s business performance.” For
                                             flows, planning efficiency and thus the      Jan Müllerschön, Heinz Frank, Marcus
                                             availability of the freight wagon fleet      Jäger, Thomas Ziesmer and the rest of
                                             when it comes to the maintenance of          the team, the underlying strategic
                                             DB Cargo’s fleet of roughly 90,000           objective is both to encourage people
                                             freight wagons, his answer gets right to
                                             the point: “Here’s how: our SDW pro-
                                             ject reduces unscheduled wagon can-
    lines and the dynamic response of        cellations due to damage by introduc-
vehicles. Conversely, the infrastruc-        ing preventive maintenance based on
ture also monitors rolling stock and         additional condition analyses, which
its parameters at checkpoints, for           are generated automatically while
example, by identifying out-of-round         ­wagons are in service. Moreover, we
wheels and measuring wheel loads              are enabling digital wagon appraisal,
and lopsided loads. In the process, the       which lets us commission mainte-
infrastructure also monitors itself by        nance earlier. All of this happens
rendering additional data on infra-           before wagons even arrive at mainte-
structure components, such as diag-           nance depots. At the same time, we
nostics of points or level crossings,         are designing the modern and attrac-
                                                                                          1 _ The SDW Project
usable on a central platform. There           tive workplace of the future.”
                                                                                          Team at work, consist-
are considerable advantages. More                 Having worked on building and           ing of staff at the head
precise diagnostics and more reliable         developing a European maintenance           office and the regions.
forecasts can substantially improve           network over the last three years, the
the quality and speed of traffic.             32-year-old industrial engineer joined

22
FO C U S

                                                                                            1 _ Thanks to the
                                                                                            TechLOK systems,
                                                                                            locomotives only need
                                                                                            to visit the depot if the
                                                                                            evaluated data indi-
                                                                                            cates a need for this.

                                                                                            FEATURES AT
                                                                                            A GLANCE
                                                                                            After the three technologies have been
                                                                                            ­s uccessfully validated, 30 systems are set
                                                                                             to be installed throughout Germany (ten
                                                                                             per technology).

and challenge them at the same time.       asset digitalisation strategy on the
                                                                                            Camera bridges
“What we want to achieve is improved       whole”, Müllerschön says. First, they
availability of freight wagons, which      play a key role in ensuring that the             1 _ Identification of damaged wagon
has a direct bearing on production qual-   individual projects in the AMD pro-                   superstructures and chassis frames
                                                                                                 by trained staff
ity, and by extension, on customer         gramme can work in concert with one
                                                                                            2 _ Appraisal of damaged wagons —
­satisfaction. Aside from that, we want    another. Second, they ensure that
                                                                                                 many other application scenarios (for
 to design a modern and attractive         ­processes throughout the entire sup-                 example identification of cargo resi-
 workplace of the future that will bene-    ply chain are automated, which makes                 due, documentation for handovers of
 fit both our new and experienced col-      them even more reliable. “It goes with-              leased wagons)
 leagues.”                                  out saying that the ones who benefit
                                            from this the most are our customers”,          Wheelset diagnostics
“Ultimately, it will be our customers       Müllerschön adds. №
                                                                                            1 _ Regular measurement of wheelset
who benefit”
                                                                                                 profiles in operation
                                                                                            2 _  Analysis of wear characteristics
In order for smart predictive mainte-
                                                                                            3 _ Identification of damaged wheelsets
nance to be possible in the first place,
innovative solutions are required, and
Müllerschön and his team are also                                                           Brake block diagnostics
responsible for developing and testing                      Holger Niggemann,               1 _ Regular measurement of brake blocks
them. The technologies that they use               Head of Condition Based Maintenance           in operation
                                                Assetmanagement & Technology Locomotives
are camera bridges and wheelset and               holger.niggemann@deutschebahn.com         2 _ Analysis of wear characteristics
brake block diagnostics systems.                                                            3 _ I dentification of damaged brake
“These technologies are absolutely                            Jan Müllerschön,                   blocks and direct management of
                                                Project Manager for Semi-Automated Damage
crucial – both for the digital appraisal                                                         mobile repair teams
                                                         Detection in Wagons (SDW)
of freight wagons and for DB Cargo’s              jan.muellerschoen@deutschebahn.com

                                                                                                                                           23
FO C U S                          0 2 / 18

           —   A X E L N O VA K
           —   TI ANA KOL ZTER

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A CO N V E R S AT IO N W I T H D R U R S U L A B I E R N E RT

The new DB Cargo:
digital, international,
diverse
Human resources at Europe’s largest freight oper-                                         specific, we are currently working on
ating company: demographic change, the interna-                                           international recruiting channels and
                                                                                          concepts at the Group and business
tional alignment and, last but not least, digitalisa-                                     unit level. That’s very enjoyable. At
tion are bringing changes to DB Cargo. Member                                             HR, we also stand in very close solidar-
of the Management Board for Human Resources                                               ity with our business partners, and we
                                                                                          fight hand in hand to ensure business
Dr Ursula Biernert explains in an interview how                                           performance, stability, customer satis-
the company is responding to these developments.                                          faction and growth.

                                                                                          What sort of an impact has digitali-
                                                                                          sation had on DB Cargo?

                                                                                          U B _ The megatrends on the logis-
                                                                                          tics market affect all the stakeholders,
                                                                                          and the same goes for digitalisation.
                                                                                          On the one hand, digitalisation offers
                                                                                          enormous opportunities for boosting
Dr Biernert, the situation at DB Cargo         to add over 3,000 new employees to         efficiency and automation. On the
is not an easy one. Digitalisation,            our ranks in the coming years. That        other hand, it means we need to adapt
growing internationalisation and               includes train drivers, shunting loco-     existing professions and point out
demographic change: what does all              motive drivers and wagon inspectors,       alternative career paths. We need to
this mean for the Human Resources              but also planners and chief dispatchers    empower our employees and managers
division?                                      in Production.                             to respond to these trends.

U B _ Right now, these are turbulent           It sounds like you have a lot of dif-      Does that mean chief dispatchers
times for rail freight transport; we are       ferent areas to tackle at once. Are        will turn into programmers and
number one in Europe, employing                you actually enjoying yourself?            wagon inspectors will become data
some 29,000 employees in 16 coun-                                                         analysts?
tries. But there is fierce competition         U B _ I absolutely am, because my
among modes of transportation and              previous work always had an interna-       U B _ Well, maybe it won’t be quite
rail companies. At the same time, we           tional bent, and I see a great deal of     that drastic. It’s all about the company
have to respond to the gaps that demo-         opportunity in DB Cargo’s European         taking advantage of the opportunities
graphic change is opening up at our            network. We are building a European        that digitalisation presents. Let’s take
company. DB Cargo’s new growth                 HR organisation, and we have to be         one example: at the moment we are
strategy has enjoyed market success            integrated and think European.             outfitting our locomotives and freight
since last year, which sent our staffing       Despite the diversity of the countries,    wagons with sensors and GPS mod-
needs soaring starting in the summer           for the most part, our national compa-     ules that continuously send data about
of 2017. DB Cargo wants to grow. and           nies share the same set of strategic and   the condition of components, their
we need more staff to do it! Our aim is        operational challenges. To be more         location and other information.

                                                                                                                               25
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    This data is collected, analysed           about a major staff shortage on the                paign: we successfully addressed cer-
and evaluated in a way that will allow         labour market today. This shortage                 tain target groups at seven sites with
it to generate added value for us              puts us in fierce competition with our             particular shortages by using large
and our customers, whether that’s              competitors and other major industrial             posters, image ads in newspapers and
through keeping customers better               companies. We therefore have to moti-              regional media cooperation.
informed, digital fleet management,            vate career changers to come to us.
automated functions or the warehouse           Then we train them. We are also fight-             How is recruitment coming along?
mana­gement system at our mainte-              ing to attract junior employees, espe-
nance depots. We need to prepare our           cially in the operational organisations.           U B _ We are doing away with obsta-
employees for this.                            I see digitalisation as an opportunity             cles in the application process. For
                                               here for us to position ourselves as an            instance, by organising recruitment
So digitalisation isn’t an end in              attractive employer.                               days. People who are interested can
itself...                                                                                         apply there informally and come by
                                               Does DB cargo appeal to employees?                 for interviews. In remote regions, we
U B _ Digitalisation won’t make us                                                                rely on minibuses, which can be used
into machines; it will save our employ-         U B _ DB cargo is often still perceived           as mobile interview lounges. Employee
ees from having to perform many                as an organisation in the midst of                 recommendations are a key tool for
tasks, and it will free up time for new        ­layoffs. Both internally and externally,          recruiting new staff. In 2017, 16% of
tasks. That applies to our maintenance          our new growth strategy and the strong            staff were recruited at the recommen-
workshops, for instance. The mainte-            opportunities it offers our employees             dation of DB employees. We want to
nance workshop management system                are not yet fully recognised. We need             leverage this even more. There have
there is digitalising certain workflows,        to increase DB Cargo’s visibility on              also been internal changes: we have
cutting down on paper and bureaucracy           the market as an attractive employer              realigned the recruiting process from
and adding clarity. Everything is               and ensure that layoffs are a thing of            the applicant’s perspective.
entered into an app, material can be            the past.
reserved, and volumes can be queried.                                                             What tasks did the HR division take
In this way, digitalisation is helping to      How are you doing that?                            on for these changes?
reduce the burden of administrative
tasks and paperwork that falls on              U B _ We are putting various recruit-              U B _ We want to fulfil our responsi-
employees so they can intensify their          ment marketing and recruiting meas-                bility for business performance. That
focus on the core competencies of their        ures into effect to increase our visibil-          means that we assist managers as an
work in areas that create added value.         ity: we are expanding Performance                  HR partner. This entire staffing pro-
                                               Marketing to promote job vacancies at              cess, for example, is supported and
You want to hire a lot of new                  DB Cargo as needed. That includes                  implemented by our internal DB talent
employees. How are you going                   Google keywords, job aggregators and               acquisition organisation. It pools the
about it?                                      recruiting events. By using geofencing             requisite expertise for the entire pro-
                                               marketing, we can appeal to target                 cess to run efficiently and from a single
U B _ Germany and many other                   groups at specific locations. For exam-            source. So ideally, everyone does what
European countries are complaining             ple, in the DB Cargo 2017 autumn cam-              they do best: HR is a consultant and

THESE ARE THE JOBS OF THE FUTURE
Digitalisation is changing employees’ tasks. Three examples:

Train drivers                                  Planners and chief dispatchers                     Data analysts

More than ever, the train drivers at           The story of DB Cargo’s growth is built            DB employees, external scientists and
DB Cargo ensure reliability and customer       on tailor-made solutions for customers.            creative staff work at Deutsche Bahn’s
quality. In addition to their traditional      ­Planners and chief dispatchers implement          Asset and Maintenance Digital Lab. They
duties, they now also use digital tools to      new services and business models in               use historical data to create new business
drive more efficiently and for profes-          ­production management. They have an              models and services for customers.
sional development and orientation on            affinity to digital solutions and also undergo
new routes.                                      further training on an ongoing basis.

26
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                                           How is the project being imple-            Do you have any initial results yet?
                                           mented?
  CV                                                                                  U B _ We have some strong successes
                                           U B _ Online-based software is a criti-    to point to: we have now found people
  1998                                   cal pillar of the project. It makes HR     to fill roughly two-thirds of all job
  Dr Ursula Biernert studied in Passau     work more digital by following the         vacancies. At DB Cargo, we have taken
  and completed her PhD in Munich.
                                           motto “Speed. Convenience. Perfor-         a step forward in our efforts to entice
  She first entered the field of HR at
                                           mance.” At the same time, it makes the     the best employees to work for us. Ulti-
  Volkswagen AG in Wolfsburg in 1998
                                           jobs of managers, employees and our        mately, that means that we in the HR
  2001                                    HR professionals easier. In addition,      division are making a considerable
  Head of human resource manage-           we are strengthening integrated staff      contribution to the company’s perfor-
  ment for subsidiaries and interna-       support, and thus setting the frame-       mance and the satisfaction of our cus-
  tional assignments at Dr Ing. h.c. F.    work for managers to exercise respon-      tomers. №
  Porsche AG in Stuttgart                  sible management. The objective is for
  From 2009 to March 2013                 our employees to enjoy working at our
  she was Vice President of Human          company and deliver the best possible
  Resources & Communications at            performance.
  Thales Deutschland GmbH, Stuttgart
                                           So you are ensuring better working
  Since 1 April 2013 
                                           conditions...
  she has headed Human Resources at
  DB Cargo as part of the business
                                           U B _ Right, because that is critical to
  unit’s management team
                                           being viewed as an appealing
                                           employer, both internally and exter-
                                           nally. Training is a key element of the
                                           process. To that end, we started the
                                           2020+ training campaign to create a
                                           standardised, efficient and transpar-
                                           ent model for functional training at DB
                                           Cargo. The content and methodology
                                           of training sessions like these are
                                           adapted to the relevant needs. They
                                           help to ensure that new employees in
                                           new environments are well-equipped
expert for employee and organisa-          and can carry out their jobs compe-
tional topics. Managers manage their       tently at all times.
employees and assume responsibility
for them. However, we are not doing        How have the employees reacted to
this by ourselves, but as part of a net-   these changes?
work within the DB Group.
                                           U B _ We aspire to give our employ-
Could you elaborate on that?               ees a reason to renew the choice they
                                           made to work at DB Cargo and their
U B _ In the summer of 2015,               commitment to the company every
Deutsche Bahn created the Future of        day, and we are doing a very good job of
HR Management project to mount a           it. We keep a comprehensive portfolio
response to the changes in today’s         ready for this: from onboarding for
workplace. The project reduces admin-      new employees, to professional devel-
istrative workload at many levels,         opment and employee management, to
which frees up time. That shores up        a wide variety of formats for sharing
our trained HR organisation as a key       experiences. Apart from information
partner and helps managers take on         sharing per se, we are also strengthen-
more responsibility for their employ-      ing the sense of solidarity and enabling
ees. It also adds to transparency          top management to keep its finger on
throughout the company.                    the pulse of the organisation.

                                                                                                                           27
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Blockchain technology
in logistics
In the world of logistics, the
digital age began a long time
ago. First came IT tools and
the ability to perform smart
analyses, and now complex
administrative processes
are next in line – the block-
chain model could help
international logistics ser-
vice providers and their
customers operate in a safer
and more transparent way.
                                            mation. The chain stores information              Many companies are currently test-
                                            in encrypted data units, known as             ing potential applications of block-
                                            blocks, using a broad network rather          chain. Deutsche Bahn, for example, is
                                            than a single, centralised computer.          looking into possible uses for block-
                                            The transaction blocks are reviewed           chain technology that include smart

W
                                            by all actors in the system before they       contracts, which could be documented
                                            are saved and updated, and they are           transparently in online blockchain
                  hile logistics does       validated as part of the saving process.      records. The city of Rotterdam is inter-
                  involve building and      The result is a kind of decentralised         ested in harnessing blockchains to pro-
                  operating complex         database containing up-to-date infor-         vide new services. Partnering with the
                  supply chains, it also    mation that companies and private             city, the Port Authority of Rotterdam
                  deals with the question   individuals can use to make payments          started what it calls the BlockLab. Rot-
of how to rapidly process reams of          and perform other transactions with-          terdam plans to use its lab to test ser-
information transparently and relia-        out involving banks or brokers as             vices such as inventory financing,
bly. With this in mind, blockchains         intermediaries.                               which will allow credit lines to be
hold a great deal of potential for com-                                                   extended to companies based on their
panies grappling with logistics issues.     High volume, slow speed
Any company, whether a vessel-oper-
ating ocean carrier, freight forwarder      Blockchains do have some downsides,
or rail freight company, can improve its    however. For instance, the processes
internal processes by making a strate-      underlying them slow to a crawl under                 Potential savings –
gic investment in this new technology.      heavy processing loads. This can occur              even today, as much as
Particularly when it comes to interna-      when data stored in the blocks accu-

                                                                                                  50%
tional traffic, blockchains could help      mulates to huge amounts over time, as
build customer confidence in the sta-       BVL International notes. Data queries
bility of processes and the security of     performed on blockchains are also con-
data. This is why the transport indus-      siderably more sluggish than they are
try is following a trend that has spread    in normal databases. Finally, block-
across the entire logistics industry.       chains still have quite a few legal hur-           of transport costs can be
Blockchain, which refers to a chain of      dles to clear. Bearing all this in mind, it        attributed to paper-based
transaction blocks, is a decentralised      is not yet clear what impact the new                     documentation
system for storing and verifying infor-     system will have on the industry.

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0 2 / 18                                                                                     I N N OVAT I O N S & S O L U T I O N S

                                             _ The Pioneering
                                            Spirit, the largest
                                            working ship in the
                                            world, in the Port of
                                            Rotterdam.
                                                                                       BLOCKCHAIN MODEL
                                                                                       The term blockchain refers to a
                                                                    4                  list of transaction records, also
                                                                                       known as a chain of blocks.

                                                             Recipients
                                                      receive transaction data,
                                                        which makes them the
                                                       proprietors of the infor-
                                                           mation or data

                                                                    3
                                                         Miners (network)
                                                      supply computing power
                                                       and verify the transac-
                                                            tion records

                                                                    2
inventories. One of the lab’s first pilot
                                                          Relay (swarm)
projects is focused on a manufacturer’s                 checks and confirms
e-bikes. The manufacturer’s bank                        the legitimacy of the
grants it a line of credit, which is                  transaction data. Block-
backed by collateral in the form of bat-                chains maintain their
                                                       transparency because
teries stored in its warehouse which
                                                       they are monitored on
have yet to be mounted on bikes. Both                        the network
parties exchange data directly through
the blockchain. This is one way the
system will create opportunities for                                1
new services to be provided at various
points in the supply chain.                                   Senders
                                                       send information and
Communication along the                                 data as transactions,
supply chain                                          adding to the blockchain

Blockchain technology also creates
opportunities to simplify billing and
provide intermediate financing at var-          The Port Authority of Antwerp is
ious stages of the transport chain. At      also interested in using blockchain to
present, there are often 15 to 20 steps     automate container handling. The
that have to be taken by various part-      technology has the potential to sim-
ner companies in order for a single         plify communications among the more
company to secure financing. To             than 30 different players involved,
make things worse, fees are incurred        including transport companies, con-
at every step, adding up to a percent-      signers, freight forwarders and drivers.
age of the transported items’ value.        When goods are transported by con-
Using blockchain technology, a single       tainer, as much as half of the transport
bank could handle the entire financ-        costs are attributable to the prepara-
ing process from start to finish, which     tion of paper-based documentation, so
would slash transaction costs by up to      blockchain technology could cut costs
a third.                                    in a big way. №

                                                                                                                               29
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