Data - the freight forwarder’s USP


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The shipping industry is in the midst of irrevocable change, change that is going to transform the sector radically within the next two to five years – so says Steve Walker, chief executive of SWG, a UK-based business which describes itself as a ‘supply chain facilitator’. It was established to


technology developers and disruptors can be ‘beaten to the spoils’ by forward-looking freight forwarders. On 17 October, Walker gave


a presentation at the 70th anniversary conference of the Canadian International Freight Forwarders Association (CIFFA).


Issue 8 2018 - Freight Business Journal Yet, the industry is changing,


and fast. And some of that change is being led by disruptors, as well as by elements of the supply chain other than freight forwarders (shipping lines, for example, that are now morphing some of their business into the traditional sphere of the cargo agents). But, Walker


insists, we are


not seeing the end of the freight forwarder, as some have predicted over recent years. Their role will remain fundamental to the supply chain. What is going to be key to their future, he believes, is retaining control over what they are good at – not just the physical shipping of goods but the data that goes along with that and is required for it. “My message is that in order to


progress, freight forwarders have to maintain control, and this means good use of data,” Walker says. That data will have to be meaningful and comprehensive, and easily provided to the customer, but – and this is critical, he opines – control of that data must lie with the cargo agent. As part of that package needed


Steve Walker, chief executive of SWG, speaking at the recent CIFFA 70th anniversary conference


deliver a suite of customised


solutions that would help shippers and forwarders ‘correct the past, control the present and look into the future’. That change is being seen in


(and, in part, led) by all sorts of technological developments, from Blockchain to the Internet of Things (IOT), and much of the focus of that change of late has been around the so-called ‘disruptors’: small, innovative businesses that focus their efforts on radically change an industry such as shipping. Yet, insists Walker, emerging


He was invited to do so by CIFFA to give his vision of what the freight forwarding business of the future will look like, and he also talked to FBJ about that vision. Walker recalls that he has always


had an interest in technological innovation, as well as in how the shipping industry operates and how it can grow. Of course, the shipping industry can be slow to adapt and take on board new technologies. As an industry and, in particular, as freight forwarders, “we don’t always look to the future,” he suggests.


for freight forwarders’ success, he looks to cargo agents being able to manage issues of compliance, including offering an efficient freight audit system. He thinks that being able to offer carbon footprint data will be a ‘must’, while freight forwarders will meanwhile also have to be able to offer customers effective management of shipping along trade lanes according to key performance indicators (KPIs), with comprehensive data feedback available on all those. “Technology is raising the bar


on what freight forwarders are able to offer,” Walker observes. “They can use the best of the new technology becoming available but freight forwarders must retain control over the data and expertise surrounding that data.” To a large extent, that will be the real value of freight forwarders in future, he considers.


///IT MarseilleFos system goes live


On 16 October, the port of Marseille- Fos – one of the biggest and busiest container ports in Europe – went live with Ci5, the cargo community system (CCS) developed by locally headquartered MGI. MGI’s vision is to connect


supply chains via an innovative community system that ensures goods flow smoothly and can be tracked on a door-to-door goods basis. Its Ci5 product is described by the company as a new generation of CCS – a ‘Cargo Intelligent System’ that integrate new technologies and innovations associated with IT developments such as Big Data, the Internet of Things (IoT), ‘smart’ containers and artificial intelligence. It is based on open source technologies, in large part so that it can subsequently integrate any new technologies that are developed in the future. Ci5 connects all those involved


in a port, airport or inland logistics community, offering smart goods tracking and management, and Marseille-Fos has become the first port to begin employing the system. President of the MGI executive


board, Jaap van den Hoogen, states: “We started with a blank page and consulted users throughout development. We also chose the best partners in Thales Services and CEA Tech. “With our top-level operational


and technical teams, we worked in start-up mode and adopted the AGILE methodology [described as a process in which adjustments can be made on the basis of user feedback], while continuing to integrate new functionalities to develop Ci5 in under three years.” MGI’s chief business


development officer, Dominique Lebreton, adds that all goods – containerised, ro-ro and general cargo – carried on vessels with a 16 October ETA, whether imports, exports or transhipment – were managed at the port within Ci5. MGI has been there to


provide assistance as and when required. It offers an ongoing user assistance helpline for those


where the user is located, he is able to understand and know how to use Ci5. Some international companies have users located outside France. Plus, our ambition is also to sell Ci5 to foreign port communities,” Lebreton informs. Marseille-Fos is not the only


port authority that will be using the system. The Papeete Port Authority (PAP) in Tahiti is also to


Steve Walker, CEO of SWG, speaking at the recent CIFFA 70th anniversary conference


employing the system should they need help. Moreover, during the implementation phase, MGI undertook on-site visits to further assist users in improving their skills with the system. “Ci5 is a major step for MGI,


since it is our main solution and we started it from scratch in 2015,” says Lebreton. “It is a new vision compared to AP+ [MGI’s previous CCI offering]. “The aim was to offer a system


that will help users to pilot their operational activities thanks


to


the dashboard, the to-do list, the event centre that sends alerts and the container tracking. But also to navigate easily ¬– intuitive, a quick search engine is integrated.” The system has been developed


in English using terms such as vessel, call, service, voyage, cargo, booking, manifest or Customs declaration. “So in any part in the world


Container lines to forge common IT platform


Intelligent freight management


Forward Computers offered everything and they seemed to have the best training and support.


We are now able to offer a superior level of service and much greater efficiency - and in these competitive times, no forwarder can ask for more.


Geoff Hogg, Managing Director, Unsworth Global Logistics


IT executives from MSC, AP Moller– Maersk, CMA CGM, Hapag-Lloyd, and


Ocean Network Express


plan to set up an association that will create common information technology standards for the container shipping industry. Members of the group identified a need for a neutral and non-profit


body for ocean carriers driven by benefits delivered to the industry and its stakeholders. The standards will be openly


available and free of charge to other operators. Group spokesman and chief


information officer of MSC, André Simha said: “It’s in the customers’


move across to the CCS. There, Ci5 will be called FETIA, which means ‘star’ in Tahitian. Ci5 is expected to be initially used by PAP in the first half of next year, possibly May, connecting all the public and private players at the port. As for further developments: are working on add-ons:


“We


bulk management, cargo dues, consolidated cargo, and also a smartphone version,” says Lebreton. “We are also working on Channel 5, an add-on integrating artificial intelligence that will be able to inform on in-coming and out-going terminal traffic, traffic congestion forecasting, volume of import and export goods for each period and other services. “MGI has also been engaged on


projects to implement blockchain (BC) processes inside the Ci5 logistics process. What we see is that Ci5 and BC technologies are complementary.”


and all stakeholders’ best interest, if container shipping companies operate with a common set of information technology standards. “We are striving for less red tape


and better transparency. The timing is right, as emerging technologies create new customer friendly opportunities. Together, we gain traction in delivering technological breakthroughs and services to our customers compared to working in our own closed silos.”


KN expands digital sea platform forwardcomputers.co.uk


Kuehne + Nagel is expanding its Sea Explorer digital seafreight platform into a smart gateway for all container liner services. It uses an algorithm to find services


between 1,200 ports - more than 63,000 port pairs connected either by 750 direct weekly services or by transhipment. The forwarder says it gives realistic lead times


which can be compared with announced transit times from carriers, together with full visibility of CO2 emissions across carrier and individual services.


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