Next Generation Port Community Systems

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Next Generation Port Community Systems

• Robert Inchausti
• Navis LLC

infoPort - Amsterdam 15 April 2003
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Agenda

• Navis
• State of the industry
• Todays Port Community Systems
• New Technologies
• Next generation of TCS and PCS
• Examples and case study
• Summary

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Navis LLC

• Founded in 1988
• Leading global supplier of TMS -
• Navis SPARCS, Navis PowerStow, Navis Express,
• Navis WebAccess, Navis DC
• Consulting services
• World wide support offices
• 24/7/365 - Oakland, London, Hong Kong, Sydney,
  Chennai
• 150 employees
• Technology Expertise 15 years of building
  technologies specific to terminal industry

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Presence in over 150 terminals around the world
in more than 35 countries
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State of the Business - terminals

• Many experiencing flat or declining container
  volumes
• Demand by Lines for cost reduction
• Focus shifting from growth to cost effectiveness

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Bottom line State of the Business

• Profit pressures forcing cost extraction
• Terminal and distribution chain operations
  continue to grow in complexity
• Higher demand for visibility and integration
• Technologies that reduce costs are critical
  systems that can streamline processes and provide
  mission critical, real time data for decision
  making

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Port Community Systems

• What is their promise?
• Bring about integration
• Allow easy access to pertinent data
• Allow interaction with pertinent data
• Results
• Increase operational efficiencies for all parties
• Improve customer service
• Lower costs

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The Constituents
Shipping Lines
Trucking Companies
Barge Operations
Marine Terminals
Railroads
Depots
Rail Terminals
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The Constituents
Shipping Lines
Trucking Companies
Barge Operations
Marine Terminals
Railroads
Depots
Rail Terminals
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What are they looking for?

• Equipment availability, delivery Requirements,
  demurrage information
• Bookings, EDOs and BLs and related equipment
• Vessel, barge and rail manifests, load
  discharge lists
• Vessel schedules, export receival cutoffs, work
  start times
• Pre-advise containers, empty returns and transfer
  with depots
• Gate appointments (VBS, Gate based, Yard
  constraints)
• Holds (Line, Customs, Agriculture, off-hire,
  service based holds, etc.)
• Requesting service orders (pre-tripping,
  fumigation, etc.)
• Equipment off-hire notices
• New Requirements
• Security (24 hour rule), appointments, more to
  come

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Traditional Port Community System Architecture

• Replicates the data in members system to answer
  questions

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Traditional Community Systems

• Advantages
• Single Point of Access for community members
• Uniform presentation

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Traditional Community Systems

• Disadvantages
• Limited data
• Stale data
• Inaccurate data
• High administrative costs for you and the CS
  host
• Least common denominator
• Community member business rules ignored

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Traditional Community System

• Disadvantages
• CS is a monopoly cost, quality, functionality,
  service level determined by CS Host
• Community members cant differentiate themselves
• Terminals primary customer is not well served
  need an alternate solution
• Terminals may be members of multiple communities
  costs multiply proportionally

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Modern Community System Architecture

• Data from the source (no replication/synchronizati
  on)
• 2 primary functions
• Provide a single point of access
• Route requests to appropriate data source

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A Modern Community System Architecture
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Modern Community System Architecture

• Use Web Services
• Java and XML based technologies
• UDDI, SOAP, WSDL, XML, ebXML
• Result
• Unparalleled level of collaboration and
  integration
• Within the same organization
• Across different organizations in the
  distribution chain

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Web Services technology

• Disadvantages
• Technology and advantages are not fully
  understood within our industry
• XML, WSDL, UDDI, SOAP, XSLT
• Few implementations within container
  transportation industry

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Web Services technology

• Advantages
• Accurate, real time visibility and interaction
• Alignment of business processes
• Low latency
• Technology is not difficult nor expensive
• XML Based (non-binary)
• Multi-vendor/platform support, off-the-shelf
  tools
• With published descriptions

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Web Services technology

• Benefits
• True Integration and collaboration
• Ask the responsible party for the answer
• Each party can change its business rules at will
• Business rules are maintained at the source and
  thus can be enforced exactly the same way at
  multiple locations
• More efficient and cost effective operations
• Administrative efficiency gains
• Win-win for everyone

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Web Services - Examples

• Trucker system Integration into the terminals
  community
• Trucker dispatching system
• Automatically check on container availability
• Customs, line status, demurrage owned
• Demurrage payment
• Gate appointment automatically created

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Appointments
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Web Services - Examples
Navis WebAccessTerminal Community System
Terminal
AppointmentBusinessRules Engine
TOSDB
Web ServicesServer
TOS (Navis Express)
Dispatcher
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Web Services - Examples

• Integration with distribution centers, depots,
  near-dock rail facilities
• Container shuttling from terminal to depots
• Empty transfers as required
• Directed by Line system to both terminal depots
• Container shuttling from terminal to DCs
• YMS/WMS to request more containers from
  trucker/terminal
• DCs to depots lines
• Empty availability

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Web Services - Examples

• Terminal Integration with shipping lines
• Business rule validation at the gate
• Is the trucker authorized
• Has payment been made
• Are storage charges owed
• Is the booking full
• What if the container is damaged
• Has the ship sailed
• Roll the container?
• Return to shipper?

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Web Services - Examples

• Terminal Integration with shipping lines and
  agents

• Rerouting/rolling a container
• Is the container already loaded
• How much will it cost to unloaded it
• Does the agent still want to unload it?
• What if its part of a 3 container shipment

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Implementing Web Services

• Build or Buy
• Components
• Middle-ware
• Turn-key solutions

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Implementing Web Services

• Build or Buy
• Components
• IBM, BEA, Sun, Microsoft, Borland, Apache
• Free to a few thousand dollars
• Is software a core competency
• Can you spread the cost through a large number of
  sites or applications within your organization

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Implementing Web Services

• Build or buy
• Middleware
• Adapt legacy systems to Web Services
• Tibco, Iona, iWay, Actional Corp
• 20k - 100k per license
• Strong vendor lock-in

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Implementing Web Services

• Build or buy
• Turn-Key solutions
• ERP Vendors
• SAP, PeopleSoft, Navis
• Minimal technical work by customers
• Solution geared towards application
• Less flexibility
• Much lower TCO
• Time to Market is the fastest

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Navis WebAccess- A terminal community system
Allows access to other company systems in the
port community
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Navis WebAccess A Terminal community system

• Terminal Web based Customer Service Center
• At over 10 sites
• Secure access
• Secure data
• Web Services

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Navis WebAccess - Key Features
Trucks Lines Customs Government agencies Shippers Consignee Community systems,etc
Custom predefined reports X X X X X X
Auto-notify, SMS X X X X X X
Delivery req. Availability, Demurrage X X X X X X
Vessel X X X X X
EDI X X X
Hold mgmt X X X
Bookings, EDOs X X X
Web Services X X X X X X
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Case Study
- Georgia Ports Authority
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Case Study- Georgia Ports Authority

• Goals
• Extract operational efficiencies
• Increased cargo moves per day
• Lowered terminal congestion
• Lowered transportation costs
• For all port constituents

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Case Study- Georgia Ports Authority

• Results
• 2001- 20 volume growth
• 2002- 11 volume growth
• No increases in staff
• Improved customer service
• A happy trucking community!
• A happy customer community!

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Real Results
WebAccess has more than improved our customer
service - it has revolutionized it, and we
believe this gives us a competitive advantage.
Bill Sutton, Manager, I.S. Georgia Ports
Authority
Real-time information has tremendous power to
give our users a complete visual picture of the
days events, including our productivity. Steve
Jursenko, Terminal manager Hudd Logistics
(Wal-Marts in-house trucking Co.)

• Faster and more efficient operations by turning
  data into information, information into knowledge
  and knowledge into action.
• Tom Armstrong, CIO, Georgia Ports Authority

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Summary

• Purpose of Port Community systems
• Single Point of access
• Uniform presentation
• Route requests and responses to appropriate
  parties

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Summary

• Benefits of Port Community Systems
• Integration and collaboration
• Let each partner/constituent control its data
• Ensure that partner business rules are followed
• Avoid data replication
• Use technology that supports this
• Web Services
• Its available and proven

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Summary

• Results
• Higher efficiencies
• Increased productivity
• Reduction of costs
• Better more services
• Stronger relationship with existing customers
• Attract new customers
• Exploit relationship of your customers customers
• Where there is value there is revenue
• Win-win for everybody

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Thank youFor more information please visit us
at

• www.navis.com