Compensating for rising transport costs
Electronic networking with the authorities can help to keep costs down, according to inet CEO Oswald Werle.
(Verkehr 02.2009) Much business nowadays is handled on a global basis. This means extended supply chains involving cross-border transportation, all requiring compliance with local laws, rules and regulations. In this interview, inet-logistics GmbH CEO Oswald Werle explains how the fast growing complexity of global transport processes can be managed on a sustainable basis.
Oswald Werle: Let’s take It’s not just rising road tolls that are driving transport costs up but also wide-ranging customs and compliance requirements. What contribution can IT
make towards supporting companies operating on the international stage?
Oswald Werle: Let’s take as an example the challenges currently presented by customs. From 1st July 2009, every company in the EU trading with customers abroad will be required
to submit its export documentation to the authorities in electronic format. When this happens, many shipping agents will be confronted with the need to adapt their existing procedures
in line with this new regulation. In order to manage this basic problem, a collaborative approach has been adopted in the market place that utilises the advantages offered by internet
technology to perform transport-specific tasks that extend beyond individual IT systems. Web-based integration platforms such as logistics-server® enable all the supply chain partners,
including shipping agent, logistics provider and consignee as well as the authorities, to access the functions and information they need for their specific role within the chain.
Consequently, it becomes possible to synchronise the flow of information and material. This is an essential prerequisite for significantly boosting effectiveness within the supply chain
by means of efficient and, above all, transparent structures.
Interviewer: What can customs management achieve here?
Oswald Werle: Customs management is an integrated component within supply chain execution. It is only when customs software interacts smoothly with upstream and downstream IT
systems, i.e. by logging and transmitting data from all stages in the process, that transport can be planned and directed in optimum fashion, so that it is carried out in a
cost-efficient manner. When it comes to abiding by multilayered compliance requirements, collaborative integration platforms that are constructed in modular fashion on a cross-company
basis such as logistics-server® are of immense assistance. They support the transparent networking of shipping agent, logistics provider, consignee and authorities. At the same time,
they make good use of merchandise management data to optimise the continuous flow of goods. In this way, transport costs can be significantly reduced.
Interviewer: What concrete savings can you point to?
Oswald Werle: Our experience has shown that an integrated IT system can achieve savings of between 5 and 15 percent. In addition, through the automation of planning,
optimisation, testing and booking of transport, process costs can be reduced by up to 30 percent.
