Two projects one goal Away with paper!
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1 Two projects one goal Away with paper! e-awb A global initiative of IATA on behalf of Airlines e-freight.switzerland A joint initiative of IG Air Cargo Switzerland and SPEDLOGWISS with financial support of the Swiss FOCA November 25, 2015
2 1.1. IATA e-awb Project (airport-airport) Time and material cost savings On-line Tracing & Tracking Less mistakes, better quality and higher level of security Modern, integrated and standardised working processes 2
3 1.2. The 50 Top e-awb Airports Airlines are preparing since several years the implementation of the e-awbs with an increasing penetration of presently 29.4 % worldwide and 12 % share of e-awb shipments originating in Switzerland. Top Airlines and forwarders with > 40 % e-awbs: CX, DL, BA, QR, DHL, Schenker, Panalpina, SDV, Expeditors, FEDEX, UPS Multilateral AWB Agreement was signed by 28 airlines & 38 forwarders 3
4 1.3. e-awb Airlines from ZRH (1.3.16) Several IATA member airlines are taking the lead to implement electronic air waybill (e-awb) for their air freight shipments. These 14 airlines are switching over to e-awb as the preferred means of shipping cargo to all destinations by using the e-awb Single Process at ZRH airport, effective 1 March 2016 (some exceptions for special cargo). Cargologic Air Canada American Airlines Cathay Pacific Czech Airlines Finnair IAG British Airways/IBERIA Lufthansa Cargo Singapore Airlines Saudi Arabian Airlines SWISS Dnata Air France-KLM Qatar Airways 4
5 2. Vision Paperless, integrated and secure logistics chains on road/rail/water and in the air for companies in Switzerland.
6 2.1. Connect and complement We enable an integrated transport management process by electronically connecting existing in-house systems respectively by complementing them with missing functions if required We secure an efficient, reliable and secure «Door-to-Airport / Door-to-Door» transport process in which all accompanying papers are replaced by electronic data exchange and the status of shipments can seamlessly monitored by using and scanning barcode labels. (Integration with the IATA-e-AWB-process). 6
7 2.2. Strategy: neutral e-platform We build a neutral onlineplatform for Importers Exporters Warehouse handlers Forwarders Ground Handlers Truckers Airlines etc. in line with the legal and regulatory requirements, e.g. customs (import/export) and FOCA (security). Dang. Goods documentation Transport steering Workflow Program Archiving Security measures Instant Printing of documents Data storage E-Pouch for accomp. docs Shipping Order DATACENTER Tracking & Tracing Converter of message formats Interface for communication Barcode Label printing 7
8 3. DATACENTER Shipping Order Order management software for shippers Integrated export-/import software for multiple working stations Easy and efficient execution of shipping orders Data transmission to forwarders directly or via the e-freight-platform Regular receipt of status-updates Complete data base with addresses and article numbers etc. Copy/paste function for repeat orders Transmission of accompanying documents as PDF (Invoice, packing list, etc.) Important: Labelling with barcode labels! 8
9 4. Workflow for transport management Transport steering program involving all parties of the landside transport process (Shipper till Airport Ground Handler) Mapping of defined working processes in advance Modular allocation of access rights and distribution channels for information Process mapping done in a logical context with subsequent sequence Automatic on-forwarding of working steps and information dispatch Storage of the individual process steps as well as status updates On the following pages the export processes for data and goods of paperless shipments are schematically presented. For import shipments the same process steps apply in reverse sequence. 9
10 4.1. Standard export process (electronic) 0 Shipper 1 Order from client Transaction platform Shipping Order with shipping data and SSCC or order/id- number Order confirmation with booking data, SSCC or order/id- number and HAWB 2 Trucker Warehouse Pick-ip order with SSCC or order/id- number and HAWB Confirmation of pick-up /Status Update with SSCC or order/id- number Handling order with HAWBs/MAWB, labelling for delivery to AP-GHA Acceptance confirmation/ Status Updates with SSCC or order/id- number Delivery confirmation ready for carriage with MAWB, SSCC, order/id number MAWB- info (FWB/FHL) with customs ZV-number and e-csd 8 5 Forwarder Airline 9 11 MAWB-info (FWB/FHL with customs ZV-number and e-csd) Truck arrival status (DOH), Unload Truck Status (FOH), Ready for Carriage (RCS) 10 Shipment Departure Status (DEP) to forwarder and finally to shipper Ground Handler
11 4.2. Standard export process (secure cargo) Acceptance by driver check of order number and scanning of SSCC label Handover shipper => driver Check of driver-id, transport company and order number Preparation by Shipper Packing, labelling with SSCC label Secured transport according NASP Acceptance at secure warehouse Check of driver-id, transport company and order number. Check-in by scanning SSCC-label Labels on shipments can be SSCC label or barcode label with own order number or H-AWB-number. Condition: barcode scanning Consignee Arrival confirmation by scanning of SSCC-label Transfer to Airline Loading ULDs Check-out by scanning M-AWB-label Secured transport ) according NASP Acceptance at secure GHA Check of driver-id, transport company. Check-in by scanning M-AWB-label 11
12 4.3. Access to e-platform Access ideally through a direct EDI-interface. If not available then entries can be made directly on the shipping order tool. Shipper Consignee 12
13 4.4. Secure and save data storage The evaluation for offering a secure data storage in Switzerland is in progress and could be ready earliest in autumn of
14 5. Pricing policy Initial cost for installation Interface to e-freight-platform Specific customizing for in-house applications Charges Annual fee to cover basically the fix cost of the e-platform Transaction fee per shipment for data transfer and status updates (covers all messages and transmissions of the respective process steps of a shipment) Transaction fees are usually absorbed by the receiving service provider Other applications Additional services (e.g. security, Dangerous Goods documents, archiving, etc.) will be developed and prices will be fixed at a later stage. 14
15 6. Advantages for users of Lower cost No paper handling, no double capturing, no paper cost, less manual work, electronic archiving Higher quality Less mistakes, quality control, higher quality standards Lower transport times Faster handling, less waiting times for shipments, earlier arrival at consignee Increased security through availability of data On time availability of data (e.g. for US customs or security profiling) Constant and seamless monitoring Tracking & Tracing, online status updates, door-to-door Sustainability Reduction of paper use, environment protection Modern and automated processes Integrated and standardised processes based on workflows 15
16 7. References The following companies have made positive experiences by using paperless transports: Kühne+Nagel saves between 8-44 % by using e-freight in their export process NV Logistics saves USD per shipment trough e-archiving Cathay Pacific expects productivity increases of % with a 100% implementation of e-awbs in HKG WEF/IATA-study estimated yearly savings of USD 12 Mrd. in case of 100 % paperless One of the leading Swiss chocolate producers uses since 1 year DATACENTER for the paperless transport of their entire European road distribution Several other well known Swiss export and retail companies are in the test phase for the introduction of paperless transport on the basis of e-freight.switzerland and DATACENTER 16
17 8.1. How to use the e-awb Airlines 1. Designate an e-awb-responsible person 2. Signature of multilateral e-awb agreement 3. Installation of approved forwarders for the selected routes in the network 4. Prepare IT-System for electronic data exchange min. CargoIMP version 16 (or via external provider) 5. Implement control mechanisms to monitor incoming FWBs in completeness and correctness (no mistakes) 6. Adaptation of internal working processes (SOPs) and training of staff 7. Evaluate introduction of the Single Acceptance Process with GHA 8. Run test shipments and proceed with definite implementation 9. Secure correct filing for e-documents Forwarders 1. Designate an e-awb-responsible person 2. Signature of multilateral e-awb agreement and activation with selected airlines 3. Prepare IT-System for electronic data exchange min. CargoIMP version 16 (or via external provider) 4. Implement control mechanisms to monitor incoming FWBs in completeness and correctness (no mistakes) 5. Secure correct entry of key data on FWB (EAP/EAW, e-csd, OCI-Infos etc.) 6. Adaptation of internal working processes (SOPs) and training of staff 7. Run test shipments and proceed with definite implementation 8. Secure correct filing for e-documents 17
18 8. How to use Forwarders 1. Designate an e-freight-responsible person 2. Signature of a user agreement with e- freight Switzerland 3. Install interface to e-freight platform in IT- System (cargo software) 4. Define and install workflow master process together with the transport partners 5. Implement control mechanisms to monitor incoming messages in completeness and correctness (no mistakes) 6. Adaptation of internal working processes (SOPs) and training of staff 7. Run test shipments and proceed with definite implementation (e-lane-pilots) 8. Final implementation 9. Secure correct filing for e-documents Shippers 1. Designate an e-freight-responsible person 2. Signature of a user agreement with e-freight Switzerland / DATACENTER 3. Install EDI-interface in IT-System to e-freight platform (or directly to forwarder) or use «webentry tool» for issuing shipping orders 4. Decision on use of SSCC labels or any other scannable/readable Barcode labels 5. Define and install workflow master process together with the transport partners 6. Implement control mechanisms to monitor incoming messages (completeness/correctness) 7. Adaptation of internal working processes (SOPs) and training of staff 8. Run test shipments and proceed with definite implementation (e-lane-pilots) 9. Final implementation 10.Secure correct filing for e-documents 18
19 8. How to use Trucking companies Warehouse handlers (forwarders) 1. Designate an e-freight-responsible person 2. Sign user agreement with e-freight Switzerland 3. Install EDI-interface in IT-System to e-freight platform for electronic data exchange 4. Select appropriate software for internal planning and dispatch activities 5. Define and install workflow master process together with the transport partners 6. Implement control mechanisms to monitor incoming messages in completeness and correctness (no mistakes) 7. Adaptation of internal working processes (SOPs) and training of staff 8. Run test shipments and proceed with definite implementation (e-lane-pilots) 9. Final implementation 10.Secure correct filing for e-documents 1. Designate an e-freight-responsible person 2. Sign user agreement with e-freight Switzerland 3. Install EDI-interface in IT-System to e-freight platform for electronic data exchange 4. Select appropriate software for internal processes of handling activities 5. Define and install workflow master process together with the transport partners 6. Implement control mechanisms to monitor incoming messages in completeness and correctness (no mistakes) 7. Adaptation of internal working processes (SOPs) and training of staff 8. Run test shipments and proceed with definite implementation (e-lane-pilots) 9. Final implementation 10.Secure correct filing for e-documents 19
20 9. Time schedule Following rough schedule for implementation in Switzerland is presently planned. What Who Till when Setting up of data center with transaction platform and storage processes Definition of the master processes as basis for the workflow Test phase with e-lane-pilots at the airports in ZRH, GVA, BSL Programming of the definite master process workflow program Implementation of the e-awb from ZRH by 12 leading airlines Promotion actions and market implementation IG AirCargo, SPEDLOGSWISS. Lobster GmbH IG AirCargo, SPEDLOGSWISS, Lobster GmbH 5 shippers with their transport providers IG AirCargo, SPEDLOGSWISS, Lobster GmbH OK In progress NOV15 MAR16 March airlines with IGAC and IATA IG AirCargo, SPEDLOGSWISS, Lobster GmbH As of Q3/
21 Supply Chain Priority 2016 The online communication and transaction platform for the Swiss market. 21
22 Attachments Supporting documents with more detailed information. A Functions and applications of 22
23 A.1. Functions and applications Function Description Practical application Shipping Order DATACENTER Transport management workflow program Data storage Communication platform Online issuance of shipping orders and data exchange Mapping of master process for export and import orders and allocation of user and access rights Storage of data and shipment history All communication standards are available for use For export and import Status updates Shipper and forwarder define jointly their chosen workflow steps and allocate the correct access rights Shipping order SSCC Barcode label Additional data as required Secure data exchange (SFTP, AS2, HTTPS etc.) Converter for message formats Conversion of formats (EDI, XML, CARGOIMP, etc.) into the version/format requested by the receiving party Status updates Information and data exchange 23
24 A.2. Functions and applications Function Description Practical application Tracking & Tracing E-pouch for accompanying documents Instant Printing and Download of documents Continuous update of shipment status based on the scanning of barcode labels Tool for the electronic transmission of documents to make «paperless» really «paperless» In case customs or security require a printed version of a document it can be printed or downloaded in various formats Monitoring of shipment status by shipper, Importer, forwarder, etc. Download of documents by shipper, importer, forwarder, etc. Instant printing of documents if required at any place Archiving Secure and save data storage Traceability Storage, duration Barcode Label Printing To enable a correct identification of a shipment a barcode label is needed. An excellent tool is the «Serial Shipping Container Code» provided by GS1. Shipment labelling by shipper Scanning at all chosen locations 24
25 A.3. Functions and applications The following applications are in progress of evaluation. Function Description Practical application Shippers declaration for dangerous goods Security measures Other functions Online issuance of shippers Declaration based on an online Data base containing all relevant information (DGR, IMDG, ADR) Several measures to make full use of the e-freight process and to enable a e-security-trail along the logistics chain are in evaluation together with Swiss FOCA Are in evaluation Shippers declaration Online checks by Ground handler at acceptance Automated check of EUdatabase for Regulated Agents Central register for «secure truckers Identification at handover points by electronic means 25
26 A.4. Pick-up and transportation process Airline booking and acceptance process Export papers Packing Labelling IID check Shipper 4 Trucking 1 2 Pick-up, scanning, transmission of ID number Acceptance confirmation 7a Acceptance IN-Scanning Merge ID/HAWB/AWB Security check & Labelling Acceptance confirmation Transportation order with SSCC / ID number Order & flight confirmation with ID number Pick-up order with ID number Pick-up confirmation with ID number Customs 6 ZV-Export OK Handling order with ID-Nr. ZV- Info & shpmt data Forwarder Handling e-dec 7a OUT-Scanning Acceptance confirmation 9 7a Departure confirmation 8 Security aproval FHL C Delivery to airline handling with MAWB-label G e-freight@switzerland Forwarder DataCenter+ D PSN Security ACAS CBP RCS & DEP PA CT FOH Flight booking request Flight confirmation FWB, FHL, Incl. e-csd, ZV-Info A B FMA/FNA Security release / OK for transport e-freight@switzerland process map security F 10 Airline Ground Handling (airside) C D Creation of E-AWB if not available E Booking list, FWB, e-csd, security release, FOH IN-Scanning MAWB Security & DG check Single acceptance process with triage for correct dispatch of papers according to destination country F RCS Creation of E-AWB if not available G
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