CEVA Logistics will begin a five-year process to convert a range of internal and legacy operational systems used by employees to a single platform provided by forwarding software supplier WiseTech Global.
The move will see all CEVA teams globally using a common system to manage logistics and customs services, the companies said in a statement this week. CEVA, part of the CMA CGM Group, said 50 percent of its global locations will be operational on WiseTech’s CargoWise platform, with the whole project completed and deployed by 2025.
CargoWise is one of the more widely used forwarding operating systems on the market, competing with the likes of Descartes and BluJay Solutions, among a host of smaller providers. It offers capability in forwarding, customs clearance, warehousing, shipping, tracking, land transport, e-commerce, and cross-border compliance.
“CEVA Logistics will further improve productivity and efficiency as we strive to lead the way in multi-modal forwarding and contract logistics operations,” CEVA Logistics CEO Mathieu Friedberg said in the statement. “CEVA Logistics recently invested to improve the customer journey and this implementation allows us to develop a high-level employee journey as well.”
Focus on operational efficiency
The move to implement CargoWise is a part of CEVA Logistics’ IMPACT 2020 plan, which the company said aims to both grow the business and improve operational efficiency. Another part of the plan was the launch of the myCEVA platform, which provides instant booking and visibility manageable by shippers, and builds on the instant quoting capability it started in September 2019.
The myCEVA platform will initially be offered for door-to-door full and less-than-container load (LCL) shipments on trade lanes to and from the United States, China, and India. That accounts for 11,000 locations from main ports and container freight stations.
“The world of logistics has experienced significant upheaval over the past six months with the digitization and automation of processes critical for future success,” WiseTech CEO Richard White said in the statement.
While large third-party logistics providers (3PLs) have been endeavoring to standardize their internal and customer-facing systems across their global networks, past efforts to do so have been fraught with peril. DHL Global Forwarding and UTi Worldwide (acquired by DSV in 2015) both failed in costly efforts to harmonize disparate offices under a common system. Most forwarders deal with a range of legacy infrastructure that’s hard to shed, a situation made more difficult when acquisitions create broader webs of entrenched systems.
CEVA’s moves toward simplifying its systems and development of customer-facing tools syncs with parent company CMA CGM’s desire to provide digital end-to-end solutions for its shipper customers.
Interestingly, CEVA in 2019 inked a multi-year deal with software provider Kontainers to provide customers with self-service access to manage all shipments online. Kontainers was acquired in June by Descartes, a competitor of WiseTech Global.