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Today’s number is $5 million. This is the amount Finverity recently raised to expand its trade and supply chain finance technology.

Hello and welcome back to news, trends & insights in the industry.

In today’s edition:

• 3 Start-ups ( Instacart, Finverity, Drone Delivery Canada )

• 2 Old guards ( Amazon, Chewy)

• 1 Tech in warehousing (Honeywell)

• 1 Logistics Origin (Transcontinental truck delivery)

Let’s dive in.

In the Box

Instacart raises internal stock by 18%

The Information reports that the grocery delivery app has raised its internal stock by 18%.

In the update, Instacart is currently valued at $12 billion up from $10 billion as of December last year according to the media company.

The internal price, best known as 409a valuation - is different from the valuation determined by investors and is a measure of employees’ equity in the company.

Finverity raises $5m to power supply chain finance & trade

Supply chain finance reduces the risk of supply chain disruption and enables both buyers and suppliers to optimize their working capital.

Now, Finverity,- a start-up founded in 2017 to tackle this challenge has recently closed a $5 million funding.

The UK-based start-up finance backers included:

• Founders Fund

• B&Y Venture Partners

• Acrobator Ventures

• Outward VC

• S16VC

The new funding has been used to increase its headcount from 40 to 60 and is in the works to finish opening offices in Dubai, Kenya, and Poland.

Drone Delivery Canada’s (DDC) cargo drones

Canada’s government drone delivery company has signed a contract with Innovative Solutions Canada for their Condor - a heavy-lift remote-piloted aircraft.

Here is the statement released by DDC;

“The increased size and payload capacity of the Condor is expected to unlock a significant number of new potential use case opportunities, including in sectors such as mining, oil and gas, inspection, and emergency preparedness.”

Through the pilot, DDC will work with Transport Canada to operate. The Condor cargo drone contains these specifications;

• Multi-package payload compartment

• 20 cube feet of cargo

• Vertical takeoff and landing (VTOL) capabilities

• Router diameter of 20 feet approx

Technology

Honeywell addresses automation interoperability in the distribution center (DC)

Under the ongoing immense labor shortages, there has been increasing in demand for automated robotics.

Honeywell Integrated president Keith Fisher said;

“Forward-thinking companies are investing in robotics and automation in the distribution center to accommodate growing order volumes, fill critical skilled labor gaps, take over repetitive and dangerous tasks, and help alleviate profitability and inflationary pressures,”

Tech: Honeywell’s Momentum Warehouse Execution System utilizes machine-learning algorithms and data-driven optimization techniques to orchestrate disparate automation systems and empower DCs with dynamic decision-making intelligence.

Other notable Honeywell tech solutions include;

• Smart Flexible Depalletizer

• Automated Storage and Retrieval System (AS/RS)

• The Honeywell Universal Robotics Controller (HURC)

• Honeywell Forge Connected Warehouse

Old Guards

Chewy

In last week’s earnings call, the pet e-commerce giant released plans to close two fulfillment centers to double down on automation.

The two affected fulfillment centers are located in the following areas;

• Mechanicsburg, Pennsylvania

• McCarran, Nevada

This will help the company reduce its fulfillment costs and continue to invest in automated fulfillment facilities. The company has an automated facility in Belton, Missouri, and is slated to open another in Mt. Juliet, Tennessee, this year.

Amazon

A couple of weeks ago, Amazon started to reduce potential delivery errors in a memo to the supply chain dive. 

The Risk Aware Delivery program uses delivery data to prevent packages from being part of a grouped stop when there is a high risk for another issue.

The goal is to reduce future delivery defects, particularly when it comes to packages that have been delivered but not reported as received by end customers.

Logistics Origins

Transcontinental truck delivery

In 1912, drivers from the Charles W. Young company completed the first transcontinental delivery by truck from Philadelphia to San Francisco, transporting 3 tons of olive oil soap.

The trip took 91 days, with no established roads, gas stations, or bathrooms. This was the start of motor truck shipping, and the Teamsters’ general president at the time, Dan Tobin, saw the potential in this technology and organized a group of drivers to start a motorized truck delivery market.

Despite the challenging conditions, the delivery was a success, and four years later, the Teamsters organized another delivery from New York to Seattle, which took only 30 days, symbolizing the growing improvement and innovation in automobiles and the shipping industry.

Thank you for reading.

My goal is to break down complex technologies in the logistics and supply chain industry. Hope it is worthwhile.

Over and out,

Okerosi