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Freight Research: Identifying the Nexus Between Efficiency

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Title: Freight Research: Identifying the Nexus Between Efficiency


1
Freight Research Identifying the Nexus Between
Efficiency Security
  • Dan Murray
  • American Transportation Research Institute
  • (formerly the ATA Foundation)
  • Northwestern University

2
Phase I - Testing an Air Cargo Security System
  • Goals
  • Efficient movement of air cargo
  • Reduce potential for air cargo tampering
  • Enhance air cargo security
  • - Identification
  • - Deterrence

3
Phase II Electronic Supply Chain Manifest
  • Private Sector
  • Trucking, Aviation Manufacturing firms that
    together comprise complete real-world supply
    chains
  • Technology Vendors
  • Public Sector
  • DOT Office of Intermodalism/FHWA
  • Federal Aviation Administration/TSA
  • Chicago Department of Aviation
  • State of Illinois
  • OHare Airport
  • JFK Airport

4
Phase II ESCM
  • Internet-based alternative to manual air cargo
    manifest
  • Biometric/Smart Card system authorization
  • Manufacturer gt Motor Carrier gt Airline
  • Improve Intermodal Efficiency
  • Increase Intermodal Security

5

6
(No Transcript)
7
ESCM Security Features
  • Biometric fingerprint readers
  • 8K 32K Smart Cards
  • Security with 192 bit DES encryption
  • System computers configured to prevent data
    tampering

8
Findings - Efficiencies(Supported by
Independent Evaluation)
  • Per Shipment estimated time and cost savings
    demonstrated by ESCM
  • Time Savings Savings
  • Manufacturer 6 min 13 sec 1.52
  • Motor Carrier 14 min 14 sec 3.61
  • Airline 11min 11 sec 2.72

9
Findings - User Perceptions(Supported by
Independent Evaluation)
  • ESCM system strengths cited by participants
    include
  • Ease of use
  • System reliability
  • Ability to track loads and potentially improve
    scheduling, planning, and customer support
  • Reduced paperwork and time on task
  • One-stop source for shipment information

10
Findings - User Perceptions(Supported by
Independent Evaluation)
  • ESCM system weaknesses cited by participants
    include
  • Limited number of supply chain partners using the
    system, limiting ESCM value
  • Lack of ESCM integration with participants
    corporate legacy systems resulting in duplication
    of effort

11
  • UPDATE Advancing Intermodal Cargo Information
    Across Modes Regions (AKA Tacoma-Chicago
    Project)

12
Project Background
  • There are considerable inefficiencies that exist
    between shipping, rail and trucking.
  • This project
  • Technical Memorandum 1-Business
    Transactions Across Modes
  • Technical Memorandum 2-Technology
    Utilization Across Modes
  • Technical Memorandum 3-Dray Industry Issues
    and Opportunities

13
Transportation Across Three Regions
and Three Modes
Ports
Rail


Chicago
Ports
Chicago
Rail
Dray Industry
14
Technical Memorandum 1
  • Ocean and rail transport and port operations
    have relatively few entities, moving great
    amounts of cargo.
  • Drayage operations consist of a large number
    of small, decentralized firms transporting
    vastly lower cargo volumes than the other
    modes.
  • Sophisticated processes and technologies
    used by water and rail modes.
  • Less formalized processes and communications
    methods used in drayage operations.

15
Participants
Port of Tacoma
Union Pacific BNSF

Chicago
Port Authority of NY/NJ
Norfolk Southern CSX
Angel Logistics Blackbird Terminals Central
States Trucking Cushing Transportation Donnelly
Transportation Hammer Express Horizon Freight
Systems Stack Container
16
Technical Memorandum 2
  • Numerous processes, technologies and systems
    used to support cargo movement.
  • Level of technological sophistication varies
    greatly within and across modes.
  • Vast incompatibilities exist in systems, data
    and information exchange among entities.
  • Gaps exist in extent and timeliness of
    information exchange.

17
Diverse (Legacy) Systems

Chicago
  • Dray Systems
  • Phone
  • FAX
  • Internet Email
  • EDI
  • Dispatch Support
  • Port Systems
  • EDI
  • Terminal Mgmt. Systems
  • Web Information Applications (FIRST, eModal,
    PIERS)
  • Rail Systems
  • EDI
  • AEI
  • Yard Mgmt. Systems (OASIS)
  • Web Info. Applications (RAIL, Inc.)

18
Myriad Supporting Data
Chicago
  • Rail
  • Rail Waybills
  • In/Out Gate Events and Documentation
  • Equipment Requests/Matching
  • Equipment Staging
  • Ramping
  • Train Consists and Interchange Information for
    Interconnects
  • Train Releases
  • En-route Location Tracking with ETAs
  • Train Arrivals
  • De-ramping Grounding Notifications
  • In/Out Gate Events Documentation
  • Ports
  • Booking Information
  • Manifests
  • Shipping/Forwarding Instructions
  • Stow Plans
  • Ship Schedules/ETAs
  • Ship Arrivals/Departures
  • Customs Status
  • Container Event Status
  • Equipment Requests/Matching
  • Equipment Staging
  • Rail Status Train Consists (if Rail at Port)
  • In/Out Gate Events and Documentation
  • Drayage
  • Pre-Notification of In-Bound Loads
  • Equipment Requests
  • Train/Shipment Tracking
  • Pick up and Delivery Notification

19
Numerous Information Flows
20
Numerous Information Flows
21
Technical Memorandum 3
  • Identified key issues - areas for improvement.
  • Most important area is improved notification
    and load-tracking capabilities to improve
    planning and resource allocations.
  • Inefficiencies are not localized to the Chicago
    area, therefore improvements should allow for
    cargo visibility across the full supply chain.

22
Solution - A Global Approach
  • Minimum Technical Requirements
  • Internet Platform
  • System Standards
  • System Integration
  • One Source - a National Intermodal
  • Portal?

23
Solution - A Global Approach
  • Institutional requirements
  • Willingness by all parties to broaden scope
  • of existing systems
  • Development of New Business Model
  • Agreements and/or legislation providing for
    adequate data privacy and acceptable access and
    use of information

24
Benefits to Stakeholders
  • Government - Greater transportation system
    efficiency - Improved cargo security
  • Transportation Service Providers - Improved
    advance utilization planning - Customer
    service and cargo tracking enhancements -
    Enhanced security vis a vis early load-specific
    information and chain of custody tracking

25
Inland Port Security Program
  • Existing Programs Focused on Coasts
  • Existing Programs Allow Freight to Move inland
  • Successful Program Must be Cost-Effective
  • At the Present Time, Must be Industry-Centric
  • Must Have Clear Objectives

26
Inland Port Security Program
  • Multi-Modal Team (Rail, Truck, Ship, Ports
  • Multiple Technologies
  • Existing
  • Emerging
  • Public-Private Team, but Industry- Designed
    Controlled
  • National Impact / Coast-to-Coast

27
For More Information
  • ATRI-ONLINE.ORG
  • DMURRAY_at_TRUCKING.ORG
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