International business. In our global economy, it represents a
huge series of opportunities. But also irritations and frustrations… …as traders increasingly fail to feel truly
in control. Ask Li Wei. Six hundred shipments
from her Chinese webshop… arrived at a European airport today. This afternoon, five hundred and sixty
of them will be on their way again… by road or rail to their final destinations. Forty won’t. Why?
She has no idea. Although she remembers that only last
week a hundred parcels were held up… because of one incomplete
declaration concerning one item… Or talk to Jan van Basten. Last month, his container full of
avocadoes left Veracruz in Mexico,… cooled to 4 degrees, and at a humidity of 90%. Today, it arrived in Rotterdam, again at
4 degrees and 90% humidity. But what happened to the
container in between,… on dockside, aboard ship, during
the crane-driver’s lunchbreak,… when left unattended?He has no idea. Meanwhile, the medical equipment Leo Muller
has dispatched… from Eindhoven to a hospital in Nashville,
has been held up… in a South Carolina port for days. and
there it will remain… until the discrepancies between three
sets of documents are resolved. Much to the displeasure of the hospital
and her patients. Frustrations. Hiccups. Hold ups. All too often, they seem like facts of
international trade. But if we adopt the concept of smart
and secure tradelanes. They become problems of the past. And where better could such a concept be
brought to practical life… than in The Netherlands? The Dutch are well known for their
logistical expertise. So when specialists from business,
government and universities get together… with all parties involved in physical
transportation processes… you can be sure some valuable
insights will emerge. Working in unison, they addressed the
creation of a new logistics concept… using state-of-the-art IT technology
and blockchain techniques… and utilising a port community system
and all kinds… of other clever communications tools. Why? Simply to bring together
all information concerning shipments… in a single network of trusted networks.
A hugely rich and multi-faceted source. The basic idea: focus on data rather
than on the documents that contain them. A systematic approach that starts with a
simple order or invoice,… and gets consistently enriched with
data from waybills,… checkpoints, shipping notices,
container sensors,… track-and-trace systems… and inspection reports as goods
move from A to B. The result is an information source that
can be accessed by all parties… according to their needs and
their authorisation levels… possibly seeking additional information:
everyone with a legitimate interest… in the shipment and with the
corresponding authorisation. We call it the internet of logistics.
An all- encompassing,… highly accessible and yet security-conscious
universal data environment… at lightning speed. In the current system, the data sharing
and logistics is very fragmented. There are countries in the world where
they still use telexes. But all that information has to be
joined up at a certain moment. Border crossing is the moment that customs
starts asking all that information. And when you have preprepared the
information in a kind of unified standard… then communication of the data to customs
or any other authority or any other one… in the supply chain is much easier. There is a lot of pressure on
the supply chain. If you look at the cost of
moving a container… the administrative costs are higher than
physical transport costs. We can not continu to just have
everything coming to our hub… we need to know what is coming
in advance. So we would like to make deals with
other departing ports… to see what’s coming and to be
able to anticipate. You can imagine here for flowers,
every delay that we have, really effects… the vase life at their home. Information
helps us to know where the delays are… and how to prevent them. Pending cargo is costing money. And if
you can offer your market… a reducing of twenty percent of the total
transit time… it’s saving a lot of costs. Well, the most important thing is the
willingness of all parties involved… to share information on a trusted network. Because of the data sharing, the whole
supply chain process goes more efficient… There’re less errors. Less waiting time.
All kind of opportunity… to improve processes to make things flow
even faster. In theory, clearly a single data source based
on decentralised architecture… could be a major development in
contemporary logistics. But in a field where so many parties
have so many interests,… where so many actors have
such different backgrounds… and where so many factors can
affect so complex processes… Well, theory simply isn’t enough. What is needed is tried and
tested practice. Which is why the project team
included major shippers,… the most relevant authorities
and important locations. Traditionally, their various interests
could be seen as conflicting. But in this environment
of trust and sharing,.. an underlying commonality is brought
to vibrant life. This is a ten year effort.
So it’s basically three projects in a row. EU-funded projects. We started with the
first ideas, the first prototypes. Then the piloting. Therefore you really
have to bring all the parties together… in a neutral setting. Otherwise they are
not going to collaborate. And give all there commercially-sensitive
data. And now it’s up to them to really make it
work worldwide. And really to make it a commercial
success worldwide. Logistics is one of our vital pillars in
our national economy. We have a very high-level developed
infrastructure, as well on… air side as on the maritime side.
Our fast way… of communicating, our collaborative
attitude is making the difference. Companies, they choose their harbours
of loading and unloading… not merely on the infrastructure…
They choose it on the reliability… and the predictability of the system.
– Because of the data sharing… the whole suplly chain process goes
more efficient. If the data is there…If it can be trusted,
if it’s trustworthily… You can built beautiful business cases.
– And it helps us to optimise logistics… and we can also add temperature information
for instance… And see exactly under what temperature
conditions the flower… has been transported. And ultimately see
what the quality of the flower is in the end. To use this kind of one system, we can
save a lot of time. Eventually you want a seamless flow of
goods. It’s good for efficiency, for transparency,
you can lower your costs… as a port and in the entire
supply chain. So the more people start sharing
their data in a new way… the stronger the version of the truth,
the stronger the amount of business cases… that can be produced. So there you have it. Less intrusion,
and more security. Fewer hold-ups and
enhanced consistency. Less constraining and
more enabling. Lower costs and
improved predictability. All inside a uniform, simple and
controlled environment… in which all trade partners can agree
to share information on common terms: what they want,
when they want, where they want and
with whom they want. It is the kind of common approach to
individual requirements… that international business needs. Now,
it is what international business gets. Because that’s what happens
when you add a specific Dutch twist… to a European initiative. And the best part is…. it is all
available to you. Now.

Internet of Logistics
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