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Maersk teams with Microsoft for digital transformation

Global transport and logistics company Maersk has joined forces with Microsoft Corporation in a strategic move to revolutionize supply chain management and global trade. From its connected vessels to its transportation economics, the company is betting on Microsoft to fuel growth and power logistics globally. This agreement means:

•Microsoft has been selected as the preferred cloud partner for Maersk’s digital transformation, supporting carrier performance, equipment utilization and supplier performance.

•Microsoft Azure is the digital platform to power Maersk’s app store and help fuel business model innovations.

•Microsoft’s intelligent cloud will be used to enhance operational performance, increase visibility and predictability of supply chains, and improve service to millions of Maersk customers worldwide.

In total, Maersk estimates the power of data will help save tens of millions of dollars to the bottom line annually.

Maersk has offices in 130 nations and a fleet of more than 1,000 vessels. The company’s container carrier, Maersk Line, sails in all major trade lanes, transporting more than 17 million containers annually, and its terminal operating unit, APM Terminals, is operating in more than 70 ports worldwide.

The firm plans to leverage digital solutions to revolutionize the way it operates its assets, some of which are already underway. Every ship is now tracked by GPS and connected to shore by satellite communications. Using data generated from flow meters, control and alarm systems, sensors, and time stamps, Maersk can analyze and improve fuel efficiency, reduce port stays and provide better network designs. Maersk Line has also harnessed data to lower emissions per transported container by 42% between 2007 and 2016.

Damco, Maersk’s business unit for supply-chain solutions, recently launched several digital supply chain solutions built on Microsoft Azure. The next app to be launched is a digital app for Customs House Brokerage.

The sheer volume of data Maersk generates presents an enormous opportunity, and one that is largely untapped. With the power of the Microsoft Cloud, Maersk is turning on the data spigot to provide actionable insights for tactical and strategic decisionmaking and operational efficiencies, as well as to create new lines of business and revenue streams.

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