Cooperative Competition In Logistics - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
News

Cooperative Competition In Logistics

Caterpillar Logistics will use Schneider's Sumit application suite to provide supply-chain and transportation management services for its parent company and its 40 external manufacturing clients.

Caterpillar Logistics Services and Schneider Logistics are taking coopetition to a new level. Caterpillar Logistics, a subsidiary of heavy-equipment manufacturer Caterpillar Inc., will use Schneider's Sumit application suite to provide supply-chain and transportation management services for its parent company and for its 40 external manufacturing clients.

"We look at it as coopetition, but we are happy to provide technology to people who can benefit from it," says Schneider CIO Steve Matheys. The two companies have different core competencies: Schneider's is logistics and end-to-end supply-chain management and Caterpillar Logistics' is warehouse management and transportation. Caterpillar is expanding its logistics and supply-chain offerings.

Matheys says the decision to offer its logistics software on a hosted basis was prompted by companies that are reluctant to outsource the management of their logistics operations, including warehouse planning, engineering and management services, as well as inventory management, transportation management, and real-time materials track and trace.

Those services are Schneider's bread and butter with customers like General Motors's service parts operation, Ford Motor, and Ocean Spray. Under its agreement with Schneider, Caterpillar Logistics will use the same logistics tools Schneider uses to manage its own customers. Caterpillar Logistics' customers include automakers Ford, BMW, and DaimlerChrysler. Schneider will host the applications for Caterpillar Logistics in a five-year deal. The value of the deal was not disclosed.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
2020 State of DevOps Report
2020 State of DevOps Report
Download this report today to learn more about the key tools and technologies being utilized, and how organizations deal with the cultural and process changes that DevOps brings. The report also examines the barriers organizations face, as well as the rewards from DevOps including faster application delivery, higher quality products, and quicker recovery from errors in production.
News
How to Create a Successful AI Program
Jessica Davis, Senior Editor, Enterprise Apps,  10/14/2020
News
Think Like a Chief Innovation Officer and Get Work Done
Joao-Pierre S. Ruth, Senior Writer,  10/13/2020
Slideshows
10 Trends Accelerating Edge Computing
Cynthia Harvey, Freelance Journalist, InformationWeek,  10/8/2020
Register for InformationWeek Newsletters
Video
Current Issue
[Special Report] Edge Computing: An IT Platform for the New Enterprise
Edge computing is poised to make a major splash within the next generation of corporate IT architectures. Here's what you need to know!
White Papers
Slideshows
Twitter Feed
Sponsored Live Streaming Video
Everything You've Been Told About Mobility Is Wrong
Attend this video symposium with Sean Wisdom, Global Director of Mobility Solutions, and learn about how you can harness powerful new products to mobilize your business potential.
Sponsored Video
Flash Poll