Asia-Pacific Trade Facilitation Forum 2010 Swiss Garden Hotel, Kuala Lumpur, Malaysia 5 th 6 th October 2010 Sharing The Malaysian Experience 5 th October 2010 Yong Voon Choon Advisor (yong@dagangnet.com) Dagang Net Technologies Sdn Bhd Tower 3, Avenue 5 The Horizon, Bangsar South No. 8 Jalan Kerinchi 59200 Kuala Lumpur, MALAYSIA http://www.dagangnet.com A Member of TIME Group
Background History Planned Implementation Approach Public-Private Partnership (PPP) Government provides policies, implementation guidelines & performance criteria Private Funding Initiative (PFI) Formation of a Cabinet-level EDI Implementation & Coordination Committee (EDIICC), chaired by a Cabinet Minister The National EDI Blueprint called for the establishment of the Port Klang Community System (PKCS), with the objective of providing an efficient cargo clearance system, as the pilot project & then be replicated nationwide Page 2
Port Klang Community System (PKCS) PKCS Page 3
Port Klang Community System (PKCS) Objectives To improve the clearance time of cargo To provide accurate and timely submission of regulatory declarations and manifest information for cargo clearance To standardise trade documents and procedures To facilitate submission of electronic documents through a single connectivity Page 4
Port Klang Community System (PKCS) Acknowledged to be one of most successful e-govt projects, covering the scope of B2G & G2G Asia Pacific MSC IT & Telecommunications Award 1999 (APMITTA) Best of E-Government E Applications Port Klang Community System (PKCS) Page 5
Evolution of National Single Window Stage 4: National Single Window Stage 1: The Isolated Organisation Objective: Automate internal processes Internal information systems Scenario: Internal LAN Stage 2: The Connected Organisations Objective: Connect with port agents for critical business processes Many to one connectivity To exchange messages Scenario: Ethernet connection WAN Stage 3: The Community System Objective: Linking all trading parties within the community to exchange messages/data electronically through a single connectivity Regulatory declarations Manifests Scenario: Community portal Integration with web technology Use of message standards Objective: Increase efficiency in the trade facilitation value chain by exchanging messages/data electronically through a single connectivity and promoting the reusability of data; a paperless and error-free process environment Electronic commerce is promoted the mean of inter-organisation communication Increased connectivity and integration with all trading parties Increased use of ICT (Information Communication & Technology) as the enabling tools Foster integration by connecting Sea-Port-Land operations, improving the cooperation of the Port Community Scenario: (Connecting to the world) Web services Use of message standards Evolution of Single Window Page 6
National Single Window - Objectives Single Window for TRADE FACILITATION An electronic approach to facilitate trade and increase efficiency of Government delivery service by allowing parties involved in trade: to fulfil commitments at ASEAN level on ASEAN Single Window Agreement and Protocol to submit of data and information through a single point (single window); to re-use data and information; to synchronise processing of data and information from relevant private and public parties; to re-engineer trade process; and to facilitate the Small Medium Enterprises (SMEs) to come into the main economic stream by adopting ICT Page 7
National Single Window Scope of Services (Stage 1) Ref Service PKCS NSW Message 1. Electronic Customs Declarations - CUSDEC - CUSRES 2. Electronic Duty Payment - PAYMUL - CREMUL - DEBMUL 3. Electronic Permits - SANCRT - SANACK - SANDEC 4. Electronic Manifests - CUSREP - CUSCAR 5. Electronic Preferential Certificates of Origin 6. Electronic Free Zone Declarations - ZBDEC (subset of CUSDEC/CUSRES) 7. Electronic Dangerous Goods Declarations - IFTGDN Page 8
National Single Window Case Study Integrated & Paperless Environment 1 Prepare and submit Permit Receive Permit 2 4 Receive Approved Status Process & Approve Permit 3 6 Customs Response (SANACK) 14 Receive Debit Advice Declarant 7 Prepare & Submit K1 10 Receive K1 Status Response 11 Prepare Payment Instruction 16 Receive K1 Status Response National Single Window Customs Response (SANACK) 6 Customs Response (SANDEC) 17 Receive Approved Status 4 Customs Response (SANACK) 5 Receive K1 8 Process & Response 9 Receive Credit Advice 14 Process & Response 15 Customs Response (SANDEC) 17 PIA SMK Receive Payment Instruction 12 Credit Advice/ Debit Advice 13 Bank Page 9
Lessons Learnt 3 Key Lessons Continuous Capital Investment Technology is only an enabler Need for continuous technology upgrades to provide effective & efficiency solutions Implementation is evolutionary in nature Requires fine-tuning and adjustments along the way to address issues and opportunities not foreseen at the start of the project Users become more intelligent Government becomes more PARTICIPATIVE Page 10
Conclusion Electronic commerce is the way towards future international trade Port Community System & National Single Window should NOT be viewed as about implementing a solution. It is about implementing CHANGES for the benefits of all parties in the trade & transport logistics chain to increase national competitiveness The Government and the local trading community should NOT view E-Commerce as means of data exchange or means of communication but as highly and dynamic means of collaboration between organisations to create a WIN-WIN environment Page 11
What DNT Can Offer Advisory & Consultancy Trade Facilitation, Customs & Single Window related National Network Business & Operations Operations Strategies, Framework, Policies & Procedures Integration & Interoperability Framework & Guidelines Business Strategies & Modeling Design & Implementation National Infrastructure/Network Infrastructure/Network Security & Policy Integration & Interoperability Users Facilitation Education & Marketing Project Management Cross-Border Exchange Page 12
Thank you Terima Kasih Dagang Net Technologies Sdn Bhd Tower 3, Avenue 5 The Horizon, Bangsar South No. 8 Jalan Kerinchi 59200 Kuala Lumpur, MALAYSIA http://www.dagangnet.com