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e-freight
                                                   fundamentals




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   1
e-freight Vision
           Shipper
                          Origin                      Carrier   Destination
                        Forwarder    Origin
                                                                  GHA                       Consignee
                                     GHA
                                                                              Destination
                                                                              Forwarder

                        Export
                       Customs/
                                                                 Import
                       Regulators
                                                                Customs/
                                                                Regulators

     „Building and implementing an end-to-end
     paperless transportation process for the air
     cargo industry where paper documents are
     replaced with the exchange of electronic data‟


                                                 Safe, Secure, Reliable, Efficient


INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013              2
e-freight fundamentals (1/3)

    e-freight is about building a paper free air cargo supply chain

    It includes a set of business processes and standards that allow to
     remove paper documents from the process of shipping air cargo from
     origin to destination

    Documents are replaced with the exchange of electronic data




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   3
e-freight fundamentals (2/3)

    The e-freight initiative identifies the locations where those electronic
     standards can be used

    The e-freight initiative drives adoption of those standards by industry
     participants via targeted change management initiatives




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   4
e-freight fundamentals (3/3)

    e-Doc standards used as part of e-freight rely on use of EDI (Cargo-
     IMP or XML) or scanned images (for some documents)

    e-freight uses the existing air cargo industry messaging
     infrastructure. Participants must use in-house technology to connect
     to their partners or use tools provided by their partners or 3rd party
     providers




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   5
Scope: e-freight documents
Shippers
                                                                            Carrier
                    Origin
              Freight Forwarders
                                                        Origin                                Destination
                                         Export
                                                        GHA                                      GHA
                                        Customs
                                                                                                             Import
1. Invoice
2. Packing List                                                                                             Customs
3. Certificate of Origin                                                                                               Destination
4. Letter of Instruction
5. Dangerous Goods Declaration                                    12.   Flight Manifest                            Freight Forwarders
                                 7.    Master Air Waybill
6.CITES certificate*                                              13.   Transfer Manifest
                                 8.    House Waybill
                                                                  14.   Export Cargo Declaration
                                 9.    House Manifest
                                                                  15.   Import Cargo Declaration
                                 10.   Export Goods Declaration
                                                                  16.   Transit Declaration*
                                 11.   Customs Release Export
                                                                  17.   Security Declaration*
                                                                  18.   Freight Book List*
                                                                                       19.   Import Goods Declaration
                                                                                       20.   Customs Release Import
                                                                                                                         Consignees




 INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013                           6
e-freight: Why do it?

                          Cost:
                          Eliminate paper handling, transporting and processing cost
                          (eliminates data re-capture)
                          Time:
                          Reduced freight “wait time”
                          Visibility:
                          Quality electronic messaging for tracking status of freight
                          Quality:
                          Unified Quality Management Standards
                          Sustainability:
                          Contribute to environment by reducing paper consumption



INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013        7
e-freight Status – end Oct 2012

                    42                                437
            Locations LIVE                     Airports LIVE
                                                                                    Overall e-freight
   Monthly EF Volume (last 12 months)                                               penetration
   70,000                                                                  12.00%   reached 14% on
   60,000                                                                  10.00%   trade lanes that
   50,000
   40,000
                                                                           8.00%
                                                                                    were live at the end
                                                                           6.00%
   30,000                                                                           of 2010.
                                                                           4.00%
   20,000
   10,000                                                                  2.00%
       0                                                                   0.00%
                                                                                    Graphic figures
                                                                                    are based on
              Total EF Consignment      EAP
                                                                                    October 2012 data.
              EAW                       EF Penetration between live partners



INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013             8
Cargo-XML Standards for e-freight
    IATA published the Cargo-XML Manual and
     Toolkit (1st Edition) containing the following 14
     Cargo-XML Messages:

          Transport Messages               Acronym               Commercial Messages                       Acronym
   XML Waybill                               XFWB         XML Shippers Declaration for Dangerous
                                                                                                              XSDG
                                                          Goods
   XML House Waybill                          XFZB
                                                          XML Invoice                                          XINV
   XML House Manifest                         XFHL
                                                          XML Packing List                                    XPCL
   XML Flight Manifest                        XFFM
                                                          XML Certificate of Origin                           XCOO
   XML Freight Booked List                    XFBL
                                                          XML Shippers Letter of Instruction                   XSLI
   XML Status Message                         XFSU
   XML Response Message                      XFNM
                                                           Note: IATA also developed CITES permit and Transit Declaration
   XML Booking Message                        XFFR         in conjunction with respective organizations i.e. Convention on
                                                           International Trade in Endangered Species (CITES) and World
   XML Custom Status Notification            XCSN          Customs Organization (WCO)



   For further details about Cargo-XML standards please visit www.iata.org/cxmltf


INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013                       9
e-freight development life cycle
        2006 2007               2008          2009 2010         2011         2012 2013 2014 2015



         Project Kick -Off
                         Pilots in six
                         locations (1)
                                      First e-FOPs (2)




                                       Develop missing
                                                                                       Drive Roadmap towards
                                          standards
                                                                                           100% paperless
                                                                              GACAG
                                   Build the route network                   Roadmap
                                    (location Capability)



(1) Canada, Hong Kong, Netherlands, Singapore, Sweden, United Kingdom
(2) e-freight Operational Procedures


 INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013                           10
In 2012 GACAG adopted a
       „ three-pillar‟ Roadmap to achieve
             paperless transportation




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   11
Three Pillars towards paperless
              Shipper
                                      Origin                                     Carrier          Destination
                                    Forwarder              Origin
                                                                                                    GHA                           Consignee
                                                           GHA
                                                                                                                    Destination
                                                                                                                    Forwarder
                                                                                                                                              Pillar III
                                                    Pillar II
                        Export                                                                       Import
                       Customs/                                                                     Customs/
  Pillar I                                                                                          Regulators
                       Regulators


       Pillar I – Establish Route                      Pillar II – Implement Paperless                           Pillar III – Implement
       Network (enabler)                               „airport-to-airport‟                                      Paperless „door-to-door „
       Engage regulators to create                     Digitize core transport docs: Air Waybill,                Digitize core commercial docs
       network where customs are                       House Manifest, Consignment Security Dec.                 (invoice/Packing list/HAWB) and
       electronic and regulatory                       (CSD), Flight Manifest                                    Special cargo docs
       environment supports paperless                  Goal: Paperless acceptance and delivery of                Goal: Removal of document
                                                       freight, airport to airport.                              pouches, shipper to consignee

      *Air Waybill, House Manifest, Flight Manifest, (Consignment Security Declaration is anticipated)


INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013                                          12
What is required for
                         e-freight to work?




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   13
I – Global e-freight           II – Removal of Core
                                             Pillar I                              III – Removal of pouch
                       Network                      Transport Docs

                                                                 Airline
                                                   Electronic Customs environment
                                                                  Shipper
   Key                                           Handler                                    Forwarder
  Stake-            Customs                        Ability to make customs declarations Airline
 holders                                                 Forwarder
                      and                            electronically (export and import)
                   Regulators
                                                   No requirement to show original paper
                                                     documents for invoice and packing lists during
                Pilots in two BRIC
   2013
                     locations
                                                     or post transit
                                                e-AWB 20% penetration
                                                                            Industry plan to digitize
  Target                                                                       commercial docs
              45% trade lane coverage              Electronic docs (invoice/packing list) must be
                                                     accepted in electronic format, or printed copy


2015 Goal                                                                            Use of e-pouch for
               80% world trade lanes                100% paperless *
                                                                                       general cargo



   Lead                  IATA                              IATA                         FIATA & GSF

              *Air Waybill, House Manifest, Flight Manifest, Consignment Security Declaration

INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013                14
Key electronic customs requirements
              for e-freight
  Customs should accept:

     Electronic as an alternative to paper-based requirements
     Goods & cargo declarations exchanged electronically
     Release & control notification exchanged electronically
     Supporting documents exchanged electronically
     Messages & supporting documents archived electronically
     Paper by exceptions e.g. for examination
     Paper printout of electronic records instead of paper originals – at least for invoice and
      packing list, master air waybill and house air waybill (including for post-flight audits)




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013         15
e-freight trade & transport
                messages should “feed”
              Customs messages, reducing
                    manual entries and
                   increasing Quality



INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   16
I – Global e-freight
al e-freight
twork
                     II – Removal of Core
                               Network
                         Transport Docs
                                                  Pillar –Transport Docs
                                                   III – Removal of pouch Core
                                                          II Removal of
                                                            II                                          III – Removal of pouch


                                  Airline                              Airline
                                                        Electronic communication
                                                   Shipper                     Shipper
       Key           Handler
                                                        between FF-Airline-GHA Forwarder
                                                          Handler
                                                             Forwarder
s     Stake-               Customs                                       Airline                                                    Airline
     holders                   Forwarder                                Forwarder
                             and                        
                                                     Ability to communicate FWB and FHL information
rs                        Regulators                 between FF-Airline-GHA systems (or capture
                                                     information on airline web portal)
 two BRIC               Pilots in two BRIC       e-AWB agreements signed and implemented (currently
       2013                                 Industry optionaldigitize
                                                      plan to for e-freight but     Industry plan to digitize
ations                       locations
                    e-AWB 20% penetration        e-AWB 20% penetration mandatory as of Jan 2013)
     Target                                    commercial docs defined between FF-GHA-Airline todocs
                                                 Procedures                             commercial accept
ane coverage        45% trade lane coverage
                                                     freight at acceptance counter (origin) and for freight
                                                     delivery (destination) without original paper docs (may
                                                     require use of a shippers delivery note or warehouse
    2015 Goal                                  Use ofreceipt) for
                                                       e-pouch                          Use of e-pouch for
d trade lanes         80% world trade lanes
                       100% paperless *             100% paperless *
                                                 general cargo                            general cargo



ATA Lead                         IATA
                               IATA                               IATA
                                                         FIATA & GSF                                           FIATA & GSF
                                                            *Air waybill, House Manifest, Flight Manifest, Consignment Security Declaration

House Manifest, Flight*Air Waybill, House Manifest, Declaration
                       Manifest, Consignment Security Flight Manifest, Consignment Security Declaration
     INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013                 17
Flight Manifest

                                                                                               Cargo Declaration


              Master Air Waybill                      Air Waybill




                                                                    Transportation
                 House Manifest




                                                                                     Customs
    House Waybill           House Waybill




                                                                    Trade
       Invoice                    Invoice              Invoice

     Packing List            Packing List            Packing List                              Goods Declaration




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013              18
of Core                   – Global e-freight
                  III – IRemoval of pouch               II – III
                                                    Pillar Removal of Core              III – Removal of pouch
                 III – Removal of the pouch
Docs                          Network                      Transport Docs

rline                                                                Airline
                 Shipper                               Electronic communication
                                                                         Shipper
                                                       Handler
      Key
     Stake-
                              Forwarder                between origin and destination
                                                                                 Forwarder
                            Customs       Airline                                          Airline
arder
    holders                   and                      forwarder/consignee
                                                               Forwarder
                           Regulators
                                                          Ability of origin forwarder to communicate key
                     Pilots in two BRIC                     documents to destination forwarder, broker and
     2013        Industry plan to digitize                  shipper electronically (houseIndustry plan to digitize
                                                                                           air waybill, invoice,
netration                 locations                    e-AWB 20% penetration
                                                            packing list)
    Target          commercial docs                                                            commercial docs
                   45% trade lane coverage
                                                          Ability to archive documents electronically (e-
                                                            Archiving)
                                                          Once the above are in place, the forwarder does not
                    Use of e-pouch for                      need to provide these documents to thee-pouch for
                                                                                              Use of airline for
less * Goal
  2015              80% world trade lanes                 100% paperless *
                                                            carriage to destination (Eliminationgeneral cargo
                                                                                                 of the document
                      general cargo
                                                            pouch for general cargo documents, reduced pouch
                                                            for other cargo that needs special cargo docs in the
                                                            pouch)
        Lead           FIATA IATA
                             & GSF                                IATA                           FIATA & GSF

                  *Air Waybill, House Manifest, Flight Manifest, Consignment Security Declaration
gnment Security Declaration
   INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013               19
Appendix

       e-freight: end-to-end data flow for General Cargo
       e-freight: Principles
       e-freight: find out more




INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   20
e-freight end-to-end data flow
                        for General Cargo
       In the paperless environment, data flows match the
        requirements of each party for information

       The following diagram represents one possible data flow
        scenario

       Other scenarios exist based on the location, the nature of the
        cargo, or the specific arrangement between the parties



INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   21
e-freight end-to-end data flow for General Cargo
                                                                                Invoice
                                                                                Packing List


                  Invoice                                                                      Invoice
                  Packing List                                                                 Packing List
                                                                                               Air Waybill
                                                                                               House Manifest
Shippers                                                                                       House Waybill

                                                      Cargo Acceptance
                                                                                                                                     Consignees

                             Origin
                       Freight Forwarders                                       Carrier
  Export Goods Decl. /
  Customs Release Export
                                 Air Waybill
                                 House Manifest

                                                                                                           Import Cargo Decl. /
                                 Export Cargo Decl. /                    Flight Manifest                   Customs Release Import
                                                                         Air Waybill
                                                                                                                                        Destination
                                 Customs Release Export
                                                                         House Manifest                                             Freight Forwarders

     Export Customs
                                                                                                                                    Import Goods Decl. /
     Freight flow                                                                                                                   Customs Release Import
     Information flow EDI
     Information flow EDI or Scan                                                                           Import Customs

 INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013                                  22
e-freight: Principles (1/2)
  In support of the vision to build and implement an end-to-end paperless process for
  the air cargo industry, GACAG members have identified the following principles.

  The initiative shall:
   Aim to achieve data capture at source (to avoid re-keying)
   Adopt end-to-end supply chain vision: shipper to consignee (to enable single data
     capture)
   Encompass customs, security and transportation and other relevant documents that
     are part of the freight transportation process
   Include legal, regulatory, business and technology elements in the definition of
     paperless processes
   Rely on e-Document standards and common business processes (defined in e-freight
     Operating Procedures – e-FOP) that are aligned with international standard setting
     bodies (WCO, UNCEFACT, ICAO, etc.)
   Allow paper to still be present by exception as required by local processes and based
     on electronic source data (print-on-demand)

INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013     23
e-freight: Principles (2/2)
  In support of the vision to build and implement an end-to-end paperless process for
  the air cargo industry, GACAG members have identified the following principles :


  The initiative shall:
   Not rely on single industry technology platform: each participant remains responsible for
     managing their own data
   Use existing industry EDI infrastructure where sufficient, but upgrade where relevant
   Drive emergence of solutions that facilitate adoption by all parts of the supply chain,
     and all types of organizations (large and small)
   Identify workable migration paths from current paper based processes to paperless
     processes
   Define a roadmap towards 100% paperless that splits the vision in manageable
     components with specific deliverables over time


INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013      24
e-freight: Find out more
  Tools provided by IATA to support you:

     e-Cargo Matchmaker: who does e-freight where
     e-freight complete Case Studies
     e-freight Handbook: implementation guide
     e-freight self-assessment questionnaire
     e-freight Model EDI agreement (for e-AWB)
     Capability Matrix of IT Providers


            www.iata.org/e-freight and www.iata.org/e-AWB


INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013   25

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1. e freight-fundamentals

  • 1. e-freight fundamentals INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 1
  • 2. e-freight Vision Shipper Origin Carrier Destination Forwarder Origin GHA Consignee GHA Destination Forwarder Export Customs/ Import Regulators Customs/ Regulators „Building and implementing an end-to-end paperless transportation process for the air cargo industry where paper documents are replaced with the exchange of electronic data‟ Safe, Secure, Reliable, Efficient INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 2
  • 3. e-freight fundamentals (1/3)  e-freight is about building a paper free air cargo supply chain  It includes a set of business processes and standards that allow to remove paper documents from the process of shipping air cargo from origin to destination  Documents are replaced with the exchange of electronic data INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 3
  • 4. e-freight fundamentals (2/3)  The e-freight initiative identifies the locations where those electronic standards can be used  The e-freight initiative drives adoption of those standards by industry participants via targeted change management initiatives INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 4
  • 5. e-freight fundamentals (3/3)  e-Doc standards used as part of e-freight rely on use of EDI (Cargo- IMP or XML) or scanned images (for some documents)  e-freight uses the existing air cargo industry messaging infrastructure. Participants must use in-house technology to connect to their partners or use tools provided by their partners or 3rd party providers INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 5
  • 6. Scope: e-freight documents Shippers Carrier Origin Freight Forwarders Origin Destination Export GHA GHA Customs Import 1. Invoice 2. Packing List Customs 3. Certificate of Origin Destination 4. Letter of Instruction 5. Dangerous Goods Declaration 12. Flight Manifest Freight Forwarders 7. Master Air Waybill 6.CITES certificate* 13. Transfer Manifest 8. House Waybill 14. Export Cargo Declaration 9. House Manifest 15. Import Cargo Declaration 10. Export Goods Declaration 16. Transit Declaration* 11. Customs Release Export 17. Security Declaration* 18. Freight Book List* 19. Import Goods Declaration 20. Customs Release Import Consignees INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 6
  • 7. e-freight: Why do it? Cost: Eliminate paper handling, transporting and processing cost (eliminates data re-capture) Time: Reduced freight “wait time” Visibility: Quality electronic messaging for tracking status of freight Quality: Unified Quality Management Standards Sustainability: Contribute to environment by reducing paper consumption INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 7
  • 8. e-freight Status – end Oct 2012 42 437 Locations LIVE Airports LIVE Overall e-freight Monthly EF Volume (last 12 months) penetration 70,000 12.00% reached 14% on 60,000 10.00% trade lanes that 50,000 40,000 8.00% were live at the end 6.00% 30,000 of 2010. 4.00% 20,000 10,000 2.00% 0 0.00% Graphic figures are based on Total EF Consignment EAP October 2012 data. EAW EF Penetration between live partners INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 8
  • 9. Cargo-XML Standards for e-freight  IATA published the Cargo-XML Manual and Toolkit (1st Edition) containing the following 14 Cargo-XML Messages: Transport Messages Acronym Commercial Messages Acronym XML Waybill XFWB XML Shippers Declaration for Dangerous XSDG Goods XML House Waybill XFZB XML Invoice XINV XML House Manifest XFHL XML Packing List XPCL XML Flight Manifest XFFM XML Certificate of Origin XCOO XML Freight Booked List XFBL XML Shippers Letter of Instruction XSLI XML Status Message XFSU XML Response Message XFNM Note: IATA also developed CITES permit and Transit Declaration XML Booking Message XFFR in conjunction with respective organizations i.e. Convention on International Trade in Endangered Species (CITES) and World XML Custom Status Notification XCSN Customs Organization (WCO) For further details about Cargo-XML standards please visit www.iata.org/cxmltf INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 9
  • 10. e-freight development life cycle 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Project Kick -Off Pilots in six locations (1) First e-FOPs (2) Develop missing Drive Roadmap towards standards 100% paperless GACAG Build the route network Roadmap (location Capability) (1) Canada, Hong Kong, Netherlands, Singapore, Sweden, United Kingdom (2) e-freight Operational Procedures INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 10
  • 11. In 2012 GACAG adopted a „ three-pillar‟ Roadmap to achieve paperless transportation INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 11
  • 12. Three Pillars towards paperless Shipper Origin Carrier Destination Forwarder Origin GHA Consignee GHA Destination Forwarder Pillar III Pillar II Export Import Customs/ Customs/ Pillar I Regulators Regulators Pillar I – Establish Route Pillar II – Implement Paperless Pillar III – Implement Network (enabler) „airport-to-airport‟ Paperless „door-to-door „ Engage regulators to create Digitize core transport docs: Air Waybill, Digitize core commercial docs network where customs are House Manifest, Consignment Security Dec. (invoice/Packing list/HAWB) and electronic and regulatory (CSD), Flight Manifest Special cargo docs environment supports paperless Goal: Paperless acceptance and delivery of Goal: Removal of document freight, airport to airport. pouches, shipper to consignee *Air Waybill, House Manifest, Flight Manifest, (Consignment Security Declaration is anticipated) INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 12
  • 13. What is required for e-freight to work? INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 13
  • 14. I – Global e-freight II – Removal of Core Pillar I III – Removal of pouch Network Transport Docs Airline Electronic Customs environment Shipper Key Handler Forwarder Stake- Customs  Ability to make customs declarations Airline holders Forwarder and electronically (export and import) Regulators  No requirement to show original paper documents for invoice and packing lists during Pilots in two BRIC 2013 locations or post transit e-AWB 20% penetration Industry plan to digitize Target commercial docs 45% trade lane coverage  Electronic docs (invoice/packing list) must be accepted in electronic format, or printed copy 2015 Goal Use of e-pouch for 80% world trade lanes 100% paperless * general cargo Lead IATA IATA FIATA & GSF *Air Waybill, House Manifest, Flight Manifest, Consignment Security Declaration INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 14
  • 15. Key electronic customs requirements for e-freight Customs should accept:  Electronic as an alternative to paper-based requirements  Goods & cargo declarations exchanged electronically  Release & control notification exchanged electronically  Supporting documents exchanged electronically  Messages & supporting documents archived electronically  Paper by exceptions e.g. for examination  Paper printout of electronic records instead of paper originals – at least for invoice and packing list, master air waybill and house air waybill (including for post-flight audits) INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 15
  • 16. e-freight trade & transport messages should “feed” Customs messages, reducing manual entries and increasing Quality INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 16
  • 17. I – Global e-freight al e-freight twork II – Removal of Core Network Transport Docs Pillar –Transport Docs III – Removal of pouch Core II Removal of II III – Removal of pouch Airline Airline Electronic communication Shipper Shipper Key Handler between FF-Airline-GHA Forwarder Handler Forwarder s Stake- Customs Airline Airline holders Forwarder Forwarder and  Ability to communicate FWB and FHL information rs Regulators between FF-Airline-GHA systems (or capture information on airline web portal) two BRIC Pilots in two BRIC  e-AWB agreements signed and implemented (currently 2013 Industry optionaldigitize plan to for e-freight but Industry plan to digitize ations locations e-AWB 20% penetration e-AWB 20% penetration mandatory as of Jan 2013) Target commercial docs defined between FF-GHA-Airline todocs  Procedures commercial accept ane coverage 45% trade lane coverage freight at acceptance counter (origin) and for freight delivery (destination) without original paper docs (may require use of a shippers delivery note or warehouse 2015 Goal Use ofreceipt) for e-pouch Use of e-pouch for d trade lanes 80% world trade lanes 100% paperless * 100% paperless * general cargo general cargo ATA Lead IATA IATA IATA FIATA & GSF FIATA & GSF *Air waybill, House Manifest, Flight Manifest, Consignment Security Declaration House Manifest, Flight*Air Waybill, House Manifest, Declaration Manifest, Consignment Security Flight Manifest, Consignment Security Declaration INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 17
  • 18. Flight Manifest Cargo Declaration Master Air Waybill Air Waybill Transportation House Manifest Customs House Waybill House Waybill Trade Invoice Invoice Invoice Packing List Packing List Packing List Goods Declaration INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 18
  • 19. of Core – Global e-freight III – IRemoval of pouch II – III Pillar Removal of Core III – Removal of pouch III – Removal of the pouch Docs Network Transport Docs rline Airline Shipper Electronic communication Shipper Handler Key Stake- Forwarder between origin and destination Forwarder Customs Airline Airline arder holders and forwarder/consignee Forwarder Regulators  Ability of origin forwarder to communicate key Pilots in two BRIC documents to destination forwarder, broker and 2013 Industry plan to digitize shipper electronically (houseIndustry plan to digitize air waybill, invoice, netration locations e-AWB 20% penetration packing list) Target commercial docs commercial docs 45% trade lane coverage  Ability to archive documents electronically (e- Archiving)  Once the above are in place, the forwarder does not Use of e-pouch for need to provide these documents to thee-pouch for Use of airline for less * Goal 2015 80% world trade lanes 100% paperless * carriage to destination (Eliminationgeneral cargo of the document general cargo pouch for general cargo documents, reduced pouch for other cargo that needs special cargo docs in the pouch) Lead FIATA IATA & GSF IATA FIATA & GSF *Air Waybill, House Manifest, Flight Manifest, Consignment Security Declaration gnment Security Declaration INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 19
  • 20. Appendix  e-freight: end-to-end data flow for General Cargo  e-freight: Principles  e-freight: find out more INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 20
  • 21. e-freight end-to-end data flow for General Cargo  In the paperless environment, data flows match the requirements of each party for information  The following diagram represents one possible data flow scenario  Other scenarios exist based on the location, the nature of the cargo, or the specific arrangement between the parties INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 21
  • 22. e-freight end-to-end data flow for General Cargo Invoice Packing List Invoice Invoice Packing List Packing List Air Waybill House Manifest Shippers House Waybill Cargo Acceptance Consignees Origin Freight Forwarders Carrier Export Goods Decl. / Customs Release Export Air Waybill House Manifest Import Cargo Decl. / Export Cargo Decl. / Flight Manifest Customs Release Import Air Waybill Destination Customs Release Export House Manifest Freight Forwarders Export Customs Import Goods Decl. / Freight flow Customs Release Import Information flow EDI Information flow EDI or Scan Import Customs INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 22
  • 23. e-freight: Principles (1/2) In support of the vision to build and implement an end-to-end paperless process for the air cargo industry, GACAG members have identified the following principles. The initiative shall:  Aim to achieve data capture at source (to avoid re-keying)  Adopt end-to-end supply chain vision: shipper to consignee (to enable single data capture)  Encompass customs, security and transportation and other relevant documents that are part of the freight transportation process  Include legal, regulatory, business and technology elements in the definition of paperless processes  Rely on e-Document standards and common business processes (defined in e-freight Operating Procedures – e-FOP) that are aligned with international standard setting bodies (WCO, UNCEFACT, ICAO, etc.)  Allow paper to still be present by exception as required by local processes and based on electronic source data (print-on-demand) INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 23
  • 24. e-freight: Principles (2/2) In support of the vision to build and implement an end-to-end paperless process for the air cargo industry, GACAG members have identified the following principles : The initiative shall:  Not rely on single industry technology platform: each participant remains responsible for managing their own data  Use existing industry EDI infrastructure where sufficient, but upgrade where relevant  Drive emergence of solutions that facilitate adoption by all parts of the supply chain, and all types of organizations (large and small)  Identify workable migration paths from current paper based processes to paperless processes  Define a roadmap towards 100% paperless that splits the vision in manageable components with specific deliverables over time INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 24
  • 25. e-freight: Find out more Tools provided by IATA to support you:  e-Cargo Matchmaker: who does e-freight where  e-freight complete Case Studies  e-freight Handbook: implementation guide  e-freight self-assessment questionnaire  e-freight Model EDI agreement (for e-AWB)  Capability Matrix of IT Providers www.iata.org/e-freight and www.iata.org/e-AWB INTERNATIONAL AIR TRANSPORT ASSOCIATION 2013 25