25 Jul Enabling Dynamic Maritime Processes with a Port Community System
As nations are now inclining more towards a Single Window System for trade facilitation, the requirement for integrated platforms rose. Then came the Port Community System that essentially integrates resources and enables seamless information interchange among stakeholders in the maritime ecosystem. Well, a Port Community System is pretty lucrative and way more futuristic.
Built with technologies such as Artificial Intelligence/Machine Learning and Blockchain, it offers more than resource integration and information interchange. Moreover, improved productivity and higher efficiency as well isn’t enough to say how futuristic Port Community System can be. Here are some of them and why port authorities should implement Port Community System to achieve relevant synergies both individually and collectively.
Milestone Status Updates& Real-time Visibility
With the vast number of processes, the cargo movement needs to be tracked on a micro level to see if it is reaching the right destination. This manual process to track each shipment movement shifts focus of each stakeholder from essential tasks. Whereas with a Port Community System in place, tracking cargo movement is automated. Moreover, with the cognitive capabilities using Artificial Intelligence/Machine Learning every milestone status update is shared through Whatsapp, Email and other digital mediums.
A forwarder/consolidator is always subject to filling forms in the manual process. Reportedly, the same information is entered unanimously in all documents. A Port Community System with an electronic docket facility enables information reusability. For example, the data submitted for customs declaration can be reused for obtaining documents from consignees and Shipping Lines.
When it comes to online transactions, security of documents exchanged and payments made electronically is a factor that keeps stakeholders away. A Community System is highly secured and they’re hosted in secured servers that are monitored 24×7 for phishing attacks. By doing so, information submitted is highly secured and is not subject to any attacks.
Cost Saving Benefits
Forwarders/Consolidator’s operating expenses are more towards documentation alone. This eventually is challenging for the Consolidators to breakeven or recover their losses. Also, Shipping Lines, Consignees, Customs authorities too save a lot on document handling. Whereas a Community System enables them to share information electronically and indulge in paperless trade. Through this, reportedly a major chunk of the cost spent on documentation is saved.
Regulatory authorities have set the stakes high for Consolidators, Shipping Lines and others to meet certain goals. But eventually, ensuring compliance itself becomes a process for these stakeholders to follow. Therefore, a large portion of them manually crosscheck documents to see if they are compliant to the guidelines. With a Community System, adhering to compliance comes as a process. Hence, stakeholders can allow the system to cross verify documents electronically before submission.
A Port Community System is the new trend across the maritime sector in the developed as well as the developing world. In the coming years, the same trend might catch up with the third world nations too. As the world raises to a new normal post COVID-19, the need for community systems will be sky rocketing. Already various ports worldwide are rapidly implementing community systems as part of their functional ecosystem.
Also, do read the benefits of EDI message transmission.