Air Cargo & Ocean
Transport Portals
The development of Internet-based neutral
trading platforms for the international cargo transport
industry can be traced back to the year 1998. The initiative
was started by airfreight carriers and soon found its
acceptance among ocean transport carriers two (2) years
later.
In todays's column, we shall review the
list of major commercially available portals that are
operational.
Air Cargo Portals
Global Freight Exchange (GF-X) claims it is now transforming
the $50-billion airfreight sector through the development
of a neutral trading platform for airfreight carriers
and forwarders. Founded in 1998, GF-X's progress has
been driven by its commitment to a core set of values
and skills: neutrality, professionalism and an emphasis
on helping its clients manage and negotiate e-commerce
implementation.
The solution is a sophisticated platform that enables
forwarders to secure capacity with major carriers quickly,
simply and in a cost effective way. This delivers substantial
operating efficiencies, faster transactions, dynamic
pricing and access to a wider range of global transactions
for our clients.
GF-X went on to secure strategic investment from American
Airlines, British Airways, Deutsche Post World Net,
Lufthansa Commercial Holdings, Panalpina World Transport
(Holdings) Ltd and SAirLogistics/Swisscargo. Its participating
members now include many of the leading global carriers
and freight forwarders.
In January 2003 Unisys Corporation, along with Air Canada
Cargo, Northwest Airlines Cargo, and United Airlines
Cargo, announced that Cargo Portal Services (CPS) was
ready for business. All freight forwarders were invited
to use the only Internet-based portal that allows them
to more easily book and manage shipments through their
lifecycles on these carriers, while reducing transaction
costs.
In March of this year, CPS announced the 1,000th forwarder
organization to join its group. The top ten economies
for CPS registrations in alphabetical order are Australia,
Austria, Canada, Germany, Hong Kong, Japan, Philippines,
Taiwan, Thailand, and US.
Ezycargo commenced operational trials last year and
is the third multi-user cargo booking portal for the
international air cargo industry. It projects itself
as a secure, carrier-neutral internet service portal.
It is co-developed by Cargo Community Network Singapore
(CCN) and Global Logistics System Hong Kong (GLSHK).
It offers forwarders and carriers global online-access
convenience to a comprehensive range of functions used
for their day-to-day time-critical transactions.
There are currently four (4) participating carriers
for the Ezycargo Portal: Cathay Pacific Cargo, Japan
Airlines Cargo, Qantas Freight and Singapore Airlines
Cargo.
Ocean Transport Portals
In the year 2000, groups of ocean cargo carriers began
announcing internet portals to reduce inefficiencies
in the ocean shipping industry. These carriers hoped
to reduce inefficiencies and costs for themselves and
their customers by automating processes such as access
to sailing schedules, booking shipments, tracking and
tracing shipments, and others.
CargoSmart began service in October 2000.
Member carriers include Orient Overseas Container Line,
China Ocean Shipping Company, and Malaysian International
Shipping Corp. It launched its online portal on October
11, 2000, and has since added offline, integration,
and mobile platforms to help customers manage their
shipment information. CargoSmart is working with several
other carriers to make their customers' shipment information
accessible through its portal.
CargoSmart also provides a Web site designed
to service the Chinese shipping community. In addition
to the features that are currently available, customers
can find information about how CargoSmart solutions
are tailored to bridge the supply chain processes of
Chinese importers and exporters and their overseas counterparts.
The portal is reportedly enhancing its products to meet
the unique language and business requirements for its
Chinese customers.
Over 13,000 members use CargoSmart to
effectively manage their shipments. With its advanced
application services and close ties to carrier and customer
needs, CargoSmart provides one of the most comprehensive
shipment management solutions.
GTN Ocean Portal began service with a
pilot program in April 2001. Member carriers include
APL Limited, CP Ships, Crowley Liner Services, CSAV,
Hanjin Shipping, Hyundai Merchant Marine, "K"
Line, Mitsui O.S.K. Lines, Senator Lines, Wan Hai, Yang
Ming, and Zim Israel Navigation Company.
GTN projects itself to be a leading transportation
portal providing shippers worldwide with a common transaction
platform for conducting business with ocean lines. Backed
by a consortium of global carriers based in Europe,
Asia and the Americas, GTN provides integrated access
to over 45% of the global market for containerized shipping.
GTN portal is powered by technology from GT Nexus, a
leading provider of software and services for multimodal
transportation and logistics management, global supply
chain visibility, and performance management.
INTTRA began service with a pilot program
in April 2001. Founder carriers include CMA GGM, Hamburg
Süd, Hapag-Lloyd, Maersk Sealand, MSC Mediterranean
Shipping Company, and P&O Nedlloyd. Others who now
participate in INTTRA include Alianca, ANL, Columbus
Line, Crowley American Transport, and Safmarine.
This portal enables shippers, freight
forwarders, third party logistics providers, brokers,
importers, and industry portals to manage the scheduling,
booking, documentation, Bills of Lading, and tracking
of cargo and the negotiation of freight services across
multiple shipping lines in a single integrated process.
It is interesting to note that the name "INTTRA"
is a combination of several terms. The "INT"
is an abbreviation for International, which represents
the extent of INTTRA's customer reach. The "TRA"
is an abbreviation for both transportation and trade,
two terms that are essential to the driving principles
behind INTTRA. The double "T" in the center
of "INTTRA" also represents Track & Trace,
the first module offered to the public.
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Insights on Some of the
Latest ICT Developments
SINCE the middle part of this year, I
have continuously taken note of a number of really interesting
insights with regard to on-going information and communication
technology (ICT) developments in ports, shipping and
logistics industry that are either local initiatives
or directly impact Philippine port users.
Just to mention some of the highlights:
-
computerization projects of both the Philippine
Ports Authority and Bureau of Customs altogether
involve government ICT investments amounting to
not less than P1 billion between the period 2003
and 2006
-
both PPA and BOC technology initiatives will institutionalize
web-based systems for conducting electronic government
front-line services and transactions
-
American President Lines' web site is adjudged
by internationally-known BtoB magazine as one of
its top 10 "great web sites" (the only
ocean transport carrier to make it to the top 10)
-
Aboitiz Transport System elevates its e-commerce
strategy to another level of sophistication with
the launch of www.2go.gom.ph
that integrates into a single web-based acecss to
all its freight, express, logistics and solutions
business.
Latest Developments On PPA MIS Computerization
Project
PPA's web-based e-Port and e-Procurement
systems are already well underway based on milestones
reported during the latest PPA anniversary celebration
last July.
What I really find to be outstanding
in this initiative is the introduction of Internet-based
electronic submission of port documentation requirements
for notice of vessel arrival and berth application in
the North Harbor - a location that is not exactly known
for being "ICT-ready" in terms of network
infrastructure and extent of software application usage
among port users.
It will be interesting to know later
how PPA can futher expand the utilization of these services
to other ports under its direct management and operation.
Rapid Progress In the New BOC Computerization
Project
During the 1st half of October, this
column featured some high-level features of ASYCUDAWorld,
the new web-based customs administration system that
will be implemented as a result of the new BOC computerization
project.
In contrast to the PPA IT project which
is funded by internally-generated funds, the BOC project
is one of the beneficiaries of e-Government Fund that
was specially set aside to push e-governance initiatives
among qualified government agencies. As I highlighted
above, the combined government ICT investment for both
initiatives is not less that 1 billion pesos.
BOC has not made new official announcements
on the latest developments after awarding the project
consultancy to Pacific Consultants International which
will then prepare the Request For Proposal.
However, it is already well-known within
Philippine ICT industry circles that two entities are
already shortlisted to participate in the contract bidding.
Both of them possess in-depth expertise in implementing
IT projects that are of the magnitude required by BOC.
They are likewise part of globally known technology
companies.
APL Web Site Uses "Show, Don't
Tell" Approach
In layman language, this means that APL
web site visitors and users are not merely shown web
pages to read. They are made to experience how the services
and solutions featured in the web site actually work.
According to news reports and web expert
reviews, APL web site uses plenty of demos and multimedia
to get its point across and educate customers. Webmaster
Hank Moreira is reported as saying that, "The demos
and multimedia provide a simple and highly effective
visual introduction to our e-commerce suite. The aim
is for them to be easily understood by customers across
all industries and countries". As an example, the
use of Shockwave Flash demos enhance customer leaning
of a particular tool and, more important, their understanding
of its benefits.
BtoB magazine particularly made mention
of the EBL feature that allows customers from anywhere
in the world to print their bills of lading.
2GO: A New Brand Name & e-Commerce
Front-End
Aboitiz Transport System recently unveiled
its new brand 2GO for all of its freight businesses,
which includes freight, express, logistics and solutions.
ATS President and Chief Executive Officer
Endika Aboitiz says that 2GO is "simple, clear,
distinctive, Filipino, fresh and creative. We need to
simplify and integrate our brands into one…one
brand, as well as one service."
The web site is designed as single integrated
portal for ATS customers and business partners. Even
the choice of web site color - magenta - reveals a design
strategy that not only calls attention to itself but
projects "action, precision and passion".
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Latest News on GPS Systems
and Anti-Virus Software
During the 1st seafreight forwarders
awards event organized last week by PortCalls
and the Philippine Shippers' Bureau, I came across the
booth of a technology provider for global positioning
system (GPS)-based solution. I had previously come across
its name and company logo but I did not really have
much opportunity to know more about them.
Upon closer look at its product brochures,
I realized that here is one pioneering Filipino company
that is providing real business solutions. Star Communications
Holdings Corporation otherwise known as StarComm was
founded in 1997 and is the proud developer and manufacturer
of the 3rdEye GPS Vehicle Monitoring System.
Since its inception in 1998, the 3rdEye
solution is reported to have benefited hundreds of companies
in various industries by providing the most cost-effective
way of maximizing their vehicle and personnel resources
while increasing revenue. It is a pioneer in providing
GPS-based solutions in the Philippines since 1997 and
currently exports its products to Hong Kong and Kuwait.
Its core product & solution - 3rdEye Vehicle Monitoring
System - is reported to the first locally-developed
GPS-based vehicle monitoring system with Philippine
patents.
In April of last year, I already wrote
about GPS technology in one of the issues of this column.
For many years now, most of the real-world applications
of GPS can be broadly categorized into the following
categories: location (determining a basic location),
navigation (getting from one location to another), and
tracking (monitoring movements).
The use of GPS technology has found some
of its most important applications in international
ports, shipping and transport industry. GPS receivers
are now standard equipment onboard container ships,
passenger cruise vessels and luxury yachts. Some of
the biggest foreign ports use GPS-based container tracking
systems. Equipping a fleet of trucks with GPS receivers
provides many large transport companies abroad with
tangible operating cost benefits as a result of efficient
fleet scheduling and deployment. Stringent physical
security requirements in the transport of high-value
goods are satisfactorily met by making it mandatory
for such shipments to be loaded only to truck carriers
equipped with GPS systems.
StarComm's 3rdEye system has two (2)
versions: Post Mission and Real-Time. Both report the
position of your vehicles as well as additional information
like engine on/off and door open/ closed. This allows
close monitoring of the whereabouts of your vehicles
and personnel. Both versions also entail installation
of a GPS "Mobile Unit" in your vehicle and
a "Base Station" at your office.
The Post-Mission System (Version 1) effectively
facilitates management and supervision if client's requirement
is to monitor movements and locations of delivery trucks,
sales agents, and field personnel. When your personnel
return to the office at the end of the day, the 3rdEye
system provides a printed report on where the vehicle
went during the whole day. With this information, you
could schedule more trips, cut fuel and oil expenses,
cut long lunch breaks, cut unnecessary overtime and
do Time-and-Motion studies.
The Real-Time System (Version 2) tells
you right now where your vehicles are. It is the appropriate
solution if your cargo is time-sensitive or of high-value.
The 3rdEye Real-Time System is reported to have special
security features that alert you right away if there
is an emergency in the vehicle. You will be able to
know if the vehicle goes out of route or stops somewhere
where it is not supposed to be.
On another development, I recently received
an advisory from Sophos anti-virus and anti-spam software
regarding several arrests made by Brazilian federal
police authorities of suspected computer hackers who
stole money from internet bank accounts using a series
of phishing Trojan horses.
Phishing attacks use 'spoofed' e-mails and fraudulent
websites designed to fool recipients into divulging
personal financial data such as credit card numbers,
account usernames and passwords, social security numbers,
etc. By hijacking the trusted brands of well-known banks,
online retailers and credit card companies, phishers
are reportedly able to convince up to 5% of recipients
to respond to them.
The media advisory reports that "Hackers
and virus writers in Brazil seized upon the opportunity
to make significant amounts of money by writing these
Trojan horses," said Graham Cluley, senior technology
consultant for Sophos. "The Trojans would lurk
in the background, waiting for innocent users to enter
their bank login details and then secretly pass them
back to the hackers. The Brazilian authorities should
be congratulated for taking swift action against this
activity - fifty arrests give some idea of the huge
scale of this kind of organised internet crime."
Virus experts at Sophos reportedly warned
Brazilian computer users earlier this year of the increasing
trend of Trojan horses being written specifically to
target customers of Brazil's online bank websites.
Even this week, Sophos has added detection for several
new Brazilian Trojans. Once a computer is infected with
one of the Trojans, internet activity is monitored,
and if it is determined that the computer user is visiting
one of a number of Brazilian banking websites, a fake
login page is displayed and the confidential data emailed
back to the hacker's email addresss.
"All computer users should be running
up-to-date anti-virus as well as protecting their PC
with a firewall. This, combined with the safe computing
practice of exercising caution over what you choose
to run on your computer, can dramatically reduce the
risks of these kind of attacks," continued Cluley.
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Looking Forward to ASYCUDAWorld
Implementation Next Year
The 04 October issue of PortCalls reported
that the Bureau of Cus-toms recently awarded the project
consultancy contract for its new computer system to
Pacific Consultants International Philippines, Inc.
I understand that the output of this consultancy
work is the request for proposal (RFP) which will be
the basis for subsequent bidding of the P500-million
computerization project.
I was not surprised at all that after
this was reported, I received a number of requests if
I can suggest reference information for those who may
want to learn more about this projected new customs
automation initiative.
Since official information on this project
will emanate only from BOC itself, I can only cite available
information found on the web as well as those intended
for press releases. We also have to bear in mind that
the detailed system functionalities BOC requires will
still be specified in the RFP document.
One of these is the National Computer
Center (NCC) web site which has a section on status
of existing government information & communications
technology (ICT) projects. Based on the latest available
update published by NCC, the ASYCUDAWorld Project proposed
by BOC is already approved for funding from the e-Government
Fund (specifically created to finance mission-critical
and high-impact ICT projects of government agencies).
The NCC update further reports that this
project aims to intensify the mandate of BOC to facilitate
trade exchanges and generate revenues for government.
A web-based applications system using
a portal/gateway shall be created to upgrade BOC's operational
facilities, as well as enhance interfaces, streamline
processes, and encourage transparent transactions. The
project will use ASYCUDAWorld, the new e-customs web-based
platform launched by UNCTAD last year.
Based on UNCTAD web site information made
available to the press, the fourth version of UNCTAD's
automated system for Customs - dubbed ASYCUDAWorld -
is now taking off in Europe. Moldova is the first country
to implement ASYCUDAWorld, with live operation planned
by year-end. UNCTAD expects that ASYCUDAWorld, which
makes use of state-of-the-art technologies such as electronic
signature and biometrics, has the potential to reach
well over 100 countries in just a few years.
In general, ASYCUDAWorld allows the computerization
of all Customs operations, including risk-management,
valuation control, assessment of Tariff duties and automation
and control of transit operations. Unlike the existing
versions of ASYCUDA++ (such as the one currently used
by BOC ACOS system), ASYCUDAWorld makes full use of
Internet technology. A secondary benefit of the distribution
of ASYCUDAWorld processing is its effectiveness in combating
fraud, corruption and illicit trafficking, as it gives
Customs authorities in different countries their first-ever
tool for working together online.
According to UNCTAD, the ASYCUDAWorld
system makes use of cutting-edge ICT technologies, including
e-signature, biometrics and XML to provide governments
and Customs administrations in particular with new tools
that will enable them to make dramatic improvements
in security, trade efficiency and the fight against
corruption. ASYCUDAWorld means even greater tax revenue
collection and lower transaction costs, making it a
showcase for e-government.
The ASYCUDAWorld database is fully compatible
with ASYCUDA++, thereby ensuring a smooth transition
to e-Customs for countries currently using ASYCUDA++.
This is eased by the built-in implementation in all
ASYCUDA systems of relevant international standards,
and in particular the Harmonized System Tariff for classification
of goods (HS) and ISO codes.
Through the implementation of ASYCUDA
projects, Customs data requirements are harmonized and
simplified and Customs procedures re-engineered and
straight forwarded. That objective is also being pursued
by the Brussels-based World Customs Organization (WCO),
which is developing a global, harmonized standard data
set that uses uniform electronic messages.
The WCO Customs Data Model, as it is
called, is likely to have a dramatic effect on the processing
of business-to-business, business-to-government and
government-to-government transactions. These developments,
combined with the fact that 85 countries around the
world are already using the same customs IT system -ASYCUDA
- represent a formidable opportunity for using the Internet
to make international trade simpler and cheaper while
also making international markets more accessible to
enterprises from developing countries.
For those interested in the technical
specifications of this system, ASYCUDAWorld can work
with all major database management systems - including
Oracle, Sybase, DB2, Informix, SQLServer, etc. - and
most operating systems, such as Linux, Solaris, AIX
and Windows.
The choices of software and hardware suppliers
are thus left entirely to user countries. The platform's
use of XML (extensible mark-up language) allows for
the exchange of any document inside and outside the
system, between Customs administrations and traders
and between Customs administrations in different countries.
Entirely Java-based, user countries can modify or extend
the ASYCUDAWorld system without requesting assistance
from UNCTAD.
The existing BOC ACOS system was initially
implemented during the mid-1990s. The hardware configuration
used by BOC such as servers and workstations have already
long exceeded their maximum productive lifecycle. Once
the new BOC computerization project gets underway, we
can look forward to a new and modern customs computer
system by the end of next year.
The author has more than 20 years experience
in the development, project management and implementation
of IT projects in Philippine ports, transport and logistics.
He is presently an independent consultant for IT projects
and initiatives in Philippine ports and transport industries.
For comments or inquiries, email him at leo@morada.name.
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