e-AWB Sponsored by:
Chairman’s Opening Remarks Felix Keck, Managing Director, TRAXON Europe
Welcome Address Nick Rhodes, Director Cargo, Cathay Pacific Airways Limited Jackson Chan, e-AWB Services Manager e-Freight, Cathay Pacific Airways Limited
e-AWB Vision IATA World Cargo Symposium Nick Rhodes – Director Cargo Jackson Chan – Manager e-Freight 09 Mar 2011
Agenda 1. Introduction 2. CX EDI Agreement 3. CX e-AWB 4. CX e-AWB Vision 5. Q & A
e-AWB Timelines Implementation Strategy approved by S/C Feb 10 Mar Briefing sessions to Forwarder’s Management Apr May HAFFA + key customers pre-alerted. Notice & briefing invitation issued Start trail run Jul Sep Technical and operation training to Forwarder’s OPS Team Conclude EDI Agreement Oct Nov Start Pilot Run HKG e-AWB Cut over Dec Jan 11 All HKG Forwarders are ready
Why 100% e-AWB in HKG One International Airport Strong Home-Based Carrier Close-unit Cargo Community Co-operative Government and Customs Strong IT Support – GLSHK “Can-Do” Hong Kong Spirit Project Champion
CX EDI Agreement
CX Agreement adapted from IATA Model Agreement IATA CX
What are differences? IATA Model Agreement CX Agreement Difference? Master Agreement Basically same Annex A –Technical Annex Basically same Annex B- Conditions of Contracts for contracts concluded by electronic means Same Annex C – Recommended practice 1670 Same Nil Annex D – Terms for initiating and concluding cargo contracts in respect of Warsaw Carriage CX only – for non MC 99 ** destinations Nil Annex E - Conditions of Contracts for contracts concluded by paper means CX only – for non MC 99 ** destinations Nil Annex F – Airport Schedule CX only – adopt e-AWB by airport * *TPE/KHH/BKK/HKT/CMB/KTM/DPS/JKT/SUB/PNH/HAN/SGN/CEB/MNL/DAC/MOW
CX e-AWB
e-AWB Scope of Document Shippers Origin-Destination Carrier Origin Freight Forwarders 15. 16. Export Customs Import Goods Declaration Customs Release Import Customs 1. Invoice 2. Packing List 3. Certificate of Origin 6. 4. Letter of Instruction 5. Dangerous Goods Declaration 7. 8. 9. 10. Master Air Waybill House Manifest Export Goods Declaration Customs Release Export 11. 12. 13. 14. Flight Manifest Transfer Manifest Export Cargo Declaration Import Cargo Declaration Note: Four more documents were added in year 2010 17. Flight Book List, 18. Security Declaration, 19. Transit Declaration and 20. CITES Certificate e-AWB only covers Master Air Waybill and House Manifest out of 20 Documents in this diagram Destination Freight Forwarders Consignees
Objectives of e-AWB • Removal of paper AWB & replace by electronic AWB data between Freight Forwarder and Airline. • Replacing paper contract by electronic contract • Establish first mandatory step for e-Freight
Design Principles • One standard process between Freight Forwarder and Airline. • All cargo types. • All destinations, MC 99 or non-MC 99 Countries.
How to implement it? To sign an Agreement for EDI with Forwarder (Global agreement with Annex F for each individual location) To exchange electronic messages via CDMP or direct host-tohost connection. CX IT Provider is GLSHK (Ezycargo/Ezyfreight) * Forwarder send FWB/FHL to Airline and receive FNA/RCS from Airline Options: 1. Host to Host connection (Forwarder’s own system, Local IT Provider, Global IT Gateway) 2. Ezycargo/Ezyfreight
Design Approach One standard procedure to Freight Forwarder – No AWB Paper for all destinations ex-HKG Freight Forwarder has to send electronic Air Waybill and House Data to CX e-Freight (ezyfreight) System. Other required documents can be manually uploaded to electronic airline pouch CX will accept the AWB within 30 mins and inform Ready For Carriage with EDI message (RCS) or reject with error message (FNA) CX will print AWB and House Manifest on behalf of forwarder based on individual destination requirement
AWB Printing Based on Destination Inbound Customs Neutral AWB Clearance (4 copies) Local Customs accept Laser AWB e-Freight (No paper AWB (Print 1 A 4 paper copy) onboard) PEK / CTU / CKG / FOC JNB / CSX / PUS / AKL / AMS / HKG / KUL / HGH / KMG / NKG / FUK / NGO / SPK / ADL / LHR / ICN / SIN / NGB / TAO / PVG / / CNS / PER / BRU SYD / YVR / NRT / MEL / WUH / XMN / CAN / /MXP / ROM / ARN / BNE/ FRA / CDG / MAN / CEB / HKT / PNH / JKT BAH / YYZ / LAX / SFO / JFK / ORD/ PER/ KHH/ / SUB / KTM / DEL / IAH / ATL / DFW / MIA TPE BOM / MAA / RUH / / SYX / PEN / BLR / KHI JED / MOW / CMB/ / BKI / HND / SDJ /OKA BKK / DPS / MNL / HAN / SGN / DAC/ DXB / KIX / PNH Note: Master Waybill will be printed in either Neutral or Laser A 4 House Manifest will be printed in Laser A 4 Neutral AWB will be printed for truck and Interline shipments Hopefully in near future, AWB will be printed by destination only when required.
e-AWB Process – Overview Freight Forwarders ERP Service Providers Airlines Web Prepare Consol FWB/FHL Receive Information (system starts data validation) Receive Freight (warehouse receipt) Deliver Freight FSU/FOH Freight on Hand (system starts data validation) Scan Documents Resolve Issues (with airline if any) Print Cargo Receipt (if need be) Deliver Pouch (to airline if any) e-Pouch (documents for airline acceptance: license, declaration letter etc) FNA (system validation) FSU/RCS Validate Information (data and scan) Resolve Issues (with forwarder if any) Freight Acceptance (produce cargo receipt) Fly Pouch (to destination if any)
Sample of e-AWB Pouch Label
Difference between e-AWB and e-Freight e-AWB e-Freight To remove paper Air Waybill and replaced by electronic message (FWB). Can implement on non-IATA declared e-freight stations. Only implement on IATA declared e-Freight stations. No IATA Cargo IMP code Need to input IATA Cargo IMP code: EAW or EAP The whole chain involves: Origin Freight Forwarder Origin Airline To remove all physical papers required for air transport, and convert them to electronic messages. Examples: Air Waybill, House Manifest, House AWB, Invoice, Packing List, Certificate of Origin, etc. The whole chain involves: Shipper Origin Freight Forwarder Origin Airline Origin GHA Origin Customs Destination GHA Destination Airline Destination Freight Forwarder Consignee Common Practice for e-AWB & e-Freight : Documents which can’t be converted to electronic data can be sent to Airline through Ezycargo as e-Pouch.
Latest Status CX/KA have successfully cutover 100% e-AWB in HKG as planned on 01 Jan 11 e-AWB have been shipped to almost all CX/KA destinations and 100+ offline stations All EDI Agreements signed 2/3 of HKG forwarders are connected by host-to-host
CX e-AWB Vision
e-AWB Vision Move AWB document printing from Forwarder to Airline origin station Move AWB document printing from origin to destination, print only by exception Implement 100% e-AWB for all CX/KA online stations by end 2012 Remove Forwarder Pouch by implementing e-Freight
e-AWB Vision (cont. . ) Inbound Customs Clearance Local Customs accept e-Freight (No paper AWB onboard) AKL / AMS / HKG / KUL / LHR / ICN / SIN / SYD / YVR / NRT / MEL / BNE/ FRA / CDG / MAN / JFK / ORD/ PER/ KHH/ TPE PEK / CTU / CKG / FOC / HGH / KMG / NKG / NGB / TAO / PVG / WUH / XMN / CAN / CEB / HKT / PNH / JKT / SUB / KTM / DEL / BOM / MAA / RUH / JED / MOW / CMB/ BKK / DPS / MNL / HAN / SGN / DAC/ DXB / KIX / PNH JNB / CSX / PUS / FUK / NGO / SPK / ADL / CNS / PER / BRU /MXP / ROM / ARN / BAH / YYZ / LAX / SFO / IAH / ATL / DFW / MIA / SYX / PEN / BLR / KHI / BKI / HND / SDJ /OKA All CX stations are e-freight enabled station
Q & A ?
Thank You !
Keynote: The Iberia e-AWB Experience In Madrid Angel Cabeza Rivas, Head of Network & Product Development, Iberia Cargo
IBERIA e-AWB VISION Angel Cabeza IBERIA CARGO / Head of Network & Product Development IATA World Cargo Symposium, Istanbul, March 9 th, 2011
AGENDA 1. IB vision on e-AWB 2. The solution 3. The Status 4. What's next
IBERIA e-AWB VISION The AWB is the common document for all shipments… Let´s Make it HISTORY ! e. Freight Benefits & Shipments e. AWB Now Number of Documents & Complexity
THE SOLUTION IBERIA e. AWB KEY SUCCESS ELEMENTS Spanish Customs Support IATA RP 1670 full endorsment as IB e. AWB standard Agreement e. Business Help. Desk: e. AWB & e. Freight are MAJOR changes for all participants IT Systems readiness: iberia-cargo. com & TRAXON GLOBAL CCS Forwarders & IBERIA Top Management willingness to embrace this initiative and get e. AWB benefits in early stages
IBERIA e-FREIGHT & e-AWB STATUS IBERIA as part of the IATA e. AWB Working Group support the IATA RP 1670, and takes it as the Standard IB e. AWB Agreement More than 10 with Global & Local Forwarders from Spain, Colombia, Germany have already signed with IB e. AWB Agreement Other 2 Global and 8 Local Forwarders to join during 2011
IBERIA e-FREIGHT & e-AWB STATUS Over 2. 000 e. FREIGHT (e. AWB) shipments each month and growing e-AWB CAGR 2008 -2010: +65% % e. AWB by origin MAD: 19% SPAIN: 12% NETWORK: 5%
IBERIA e-FREIGHT & e-AWB STATUS IATA MIP, Dec 2010 IBERIA 5 th Airline in the World & 1 st European Airline
WHATS NEXT? Everything is in place now to make WORLDWIDE the e-AWB iniciative a REALITY. IT Systems are ready. ALL WE NEED IS A FIRMLY SUPPORT FROM INTERNATIONAL CUSTOMS We All (Shippers, Forwarders & Carriers…) are willing to start! Legal framework is favourable with MP 4/MC 99, and the e. AWB Agreement defined
Keynote: The Emirates e-AWB Experience in Dubai Niranjan Navaratnarajah, Manager Cargo Systems and E-Freight, Emirates Sky. Cargo
“Moving Toward 100% e-AWB" By Niranjan Navaratnarajah Manager cargo Systems & E-Freight 37
Remember the Benefits. Q Reduction in processing cost Q Greater accuracy Q Reduction in cargo handling delays Q Elimination of the requirements to file and store paper AWB Q Real-time access to AWB information when required and not from stores 38
How did we do it. ≥ Door to Door Campaign with Global Account Customers ≥ Campaign Locally with trusted customers ≥ Educate and explain the e-AWB concept to Staff and Customers. ≥ Be creative and offer differential Service offerings. ≥ Simplify it, e-AWB and e-Freight, Separate but connected. 39
How did we do it. Explained that the e-AWB agreement is simply replacing the Condition of Contract on the AWB. Q Contrary to opinion, the e-AWB agreement protects the interests of Customers. Q Have an open dialog with Customs, Airline and Agent on a feasible solution to achieve e-AWB in the local market. Q Q DXB customs don’t want the MAWB 40
What are the challenges? Q Q Q Global Forwarders are cautious to accept and adapt e. AWB even though their IT systems are e-AWB capable already. Forwarder local offices hesitant to adopt e-AWB, what's in it for us? Countries which have ratified the MP 4/MC 99 treaties where customs are still demanding original AWB documentation. 41
What are the challenges? Q Changing the mind set among customers to accept electronic data (EDI) instead of paper documents. Q Numerous legacy IT systems in place. Q Customs IT landscapes are very diversified. 42
Keeping our Targets in View. ≥ 100% e-AWB by end 2014 ≥ 70% e-AWB by end 2013 ≥ 30% e-AWB by end 2012 ≥ 10% e-AWB by end 2011 43
“Moving Toward 100% e-AWB" Thank You 44
Keynote: How to Roll-Out Successfully e-AWB? Céline Lavinay-Hourcade, Manager, Cargo Industry Management, IATA
Objectives of e-AWB project ä Replace the paper Air Waybills by the electronic version. No more paper AWB tendered to airlines! ä Provide a win-win scenario for airlines, freight forwarders and ground handlers by lowering costs, increasing data accuracy and improving customer experience 46
Key milestones for the Industry ä 2010: standard approved (RP 1670) by the Industry and piloted by 9 airlines in 8 countries ä 2011: 6% e-AWB ä 2012: 30% e-AWB & standard EDI multi-lateral agreement ä 2013: 70% e-AWB ä 2014: 100% e-AWB 47
e-AWB today ä 10 cargo hubs in 10 countries where e-AWB has already been piloted by 12 airlines ä 162 airlines & local FFA to be actively engaged in April/May by IATA to raise awareness and mobilize the industry toward the 2014 mandate ä 111 countries where e-AWB is legally feasible accounting for 95% of the global air freight volumes 48
Reduce your costs and delays Improve your customer service Start e-AWB, now! 49
Simple steps for your e-AWB project 1. Set up your project team 2. Define your deployment plan 3. Ensure technology is in place 4. Sign your first EDI agreements 5. Engage and align your partners 6. Use the support from IATA 50
Set-up your project team ä Get the support from your Senior Management (Sales, IT, Legal, Operations, Customer support) ä Your e-AWB project champion needs to have a lot of IT background, the cargo experience and the passion to make it happen 51
Define your deployment plan When? Where? ä First signed EDI ä Home market? agreement ä 100% out of home market ä 100% where feasible ä e-AWB markets? ä Top trade-lanes? ä e-freight trade-lanes? ä All trade lanes or only MC 99/MP 4 trade lanes? How? ä By freight forwarder? ä By GHA? 52
Ensure technology is in place ä Ensure you have the capability to send, receive & archive FWB, FSU/RCS messages and Cargo Receipt ä Offer web portal to your customers without EDI capability ä Improve your data quality 53
Sign your first EDI agreements ä Define your strategy ä Contact your top 20 customers? ä Engage all your customers in the same market? ä Contact the local FFA and let them push for their members to sign the EDI agreements? ä Involve the right people: Legal is in the driver seat, Sales and Claims departments need to be trained & informed 54
Engage and align your partners ä Engage ä Ground handlers ä Communicate ä Freight forwarders ä Explain ä Interline partners ä Align ä Airports ä IT providers ä Insurance companies 55
Use the support from IATA Coming soon ä e-AWB scorecards ä e-AWB e-learning module ä e-AWB Interactive Map to check the airports readiness ä e-AWB Handbook ä IATA Regional Workshops Already available ä e-AWB basics ä e-AWB specifications ä IATA RP 1670 on www. iata. org/eawb 56
For more information, go to the IATA website www. iata. org/eawb 57
e-AWB Questions & Answers Moderator: Celine Lavinay-Hourcade, Manager, Cargo Industry Management, IATA Panel: Jackson Chan, e-AWB Services Manager e-Freight, Cathay Pacific Airways Limited Niranjan Navaratnarajah, Manager Cargo Systems and E-Freight, Emirates Sky. Cargo Angel Cabeza Rivas, Head of Network & Product Development, Iberia Cargo
Chairman’s Closing Remarks Felix Keck, Managing Director, TRAXON Europe
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