posts posted under the Blue Innovation initiative

Container terminal at the Port of Long Beach

Zero Emissions future – the case of the Port of Long Beach

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Written by Lidia Slawinska

Written by: Lidia Slawinska, Digital Communications

A net-zero operating terminal is a milestone that most ports around the globe are working towards – as it would mark a significant step towards sustainability. This summer, one port has achieved this remarkable step and begun operating a container terminal that is equipped with nearly all electric and zero-emissions equipment. Already news sources are reporting it as one of the most technologically advanced cargo terminals globally. We are, of course, talking about the Port of Long Beach – and the Long Beach Container Terminal at Middle Harbor (in California, USA) – and we wanted to take a look at it in this #DidYouKnow article.

A decade in the making

The port begun work on the project in May 2011, with an initial estimated cost of $1.5bln. The project was divided in three distinct phases. The first phase was completed in 2016, after which 151 acres opened for business. The next year the terminal was expanded to reach 191 acres, and the final phase of the project ended in July 2021. The Container Terminal now boasts with 300 acres in size, has a completed container yard, a modern administration buiding and an on-dock rail yard to allow for intermodal traffic. The concrete wharf can also receive and process three massive ships at once, with fourteen gantry cranes able to service the shoreline.

The terminal is expected to expand through the North Gate Expansion by 2025, adding an additional 3 acres to the already impressive surface area of the facility.

Net zero emissions

It is doubtlessly difficult for ports to make sure that their operations are carbon neutral – and in line with the global environmental agencies recommendations for the protection of our climate. How did the Port of Long Beach achieve its net zero emissions?

First of all – it ensured sufficient on-shore power supply stations on the berths. All of the vessels are now able to shut down the diesel engines while stationed in port and can connect to the local electrical grid.

Secondly, during the construction it was ensured that all of the major structures were built with features that allow them to save both electricity and water, meeting the American Leadership in Energy and Environmental Design standards.

In-terminal operations are carried out by automated guided vehicles that rely on transponders in the asphalt to manoeuvre around the containers. These vehicles are battery-operated and are also capable of recharging themselves.

The final aspect of the Californian terminal is the emphasis that has been placed on faster truck turnaround times, which further reduced the port’s emissions.

Intermodality at the forefront

There is no doubt that one of the aspects that port terminals can focus on is to increase their intermodal capacities – as bringing trucks off the roads would significantly lower the GHG emissions produced by their diesel engines. The Port of Long Beach was not an exception, and in its construction has included a intermodal rail yard that includes 70,000ft of tracks. “There are 12 tracks, and each is almost a mile long,” says Thomas Baldwin, director of project management at the port. “There are four storage tracks, and eight working tracks. Five dual cantilevered gantry cranes with room for a sixth. It’s one of most modern railyards ever built, with 1.1 million-TEU capacity ” (August 20th, 2021: ENR). In the near future, the port is also planning to expand its on-dock rail capacity to 35%, acknowledging that one fully stacked train can replace up to seventy-five trucks on the road – further alleviating the pressure on our environment.

Innovating into a clean energy future

Becoming a green port is no small feat. There are many innovative ports in the world that have already incorporated significant changes to their operations to lower their emissions and thus conform with international standards. The Long Beach Container Terminal can certainly be used as an example for other ports to follow, as it shows the signs of being the world’s first “all-electric, zero-emission mega terminal” and “will [help the port] increase [its] throughput, improve air quality and maintain [its] status as a leading gateway for trans-Pacific trade” – as was highlighted by Maria Cordero, the executive director of the port (August 23rd, 2021: Splash 247).

Sources

Click&Cargo ERP

ClickandCargo Simulator for Training of Logistic Operations

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Written by - Valentina Salinas, Product Manager clickandcargo.com

Written by – Valentina Salinas, Product Manager clickandcargo.com

ClickandCargo has been in the business less than other software companies in the Spanish market but has been able to develop an Enterprise Resource Planning (ERP) platform that is able to compete fairly with software of similar functionalities. This why it was chosen by the EU-funded YEP MED project to act as the platform to support digital training of new professionals in the logistic sector.

The importance of information flow

A freight forwarder’s core business basically consists of handling import and export operations for their clients. The most important asset they have is the control of the information flow, as they sit in the middle of the logistics chain as the architects of import-export operations.

With e-commerce flooding international trade in recent years, and the ever-increasing demand for faster and more efficient shipments, digital information systems are a must. And since they are so fundamental, it is critical that new professionals understand how to operate within them. It is under this line of thought that ClickandCargo came into play.

Click&Cargo ERP

The ERP explained

What is the simulated setup

In the YEP MED courses, students become employees of PlayForwarding, a freight forwarding company operating in YEP MED’s logistic virtual ecosystem. With branches across the Mediterranean, students from each country handle their local (virtual) client base, planning and managing door-to-door logistic operations.

Playforwarding’s ERP is ClickandCargo, from which students create commercial offers, handle the shipment records and execute the entire documental flow needed for import and export operations.

The ERP is configured just as if it were a real company. All third parties involved in the operations -including clients, agents, shipping, etc., are pre-registered in the system, alongside ports and other data to replicate real-life transport operations. Event though each branch operates separately, they have the ability to share basic information about clients. Default quality control rules apply just as in real life, so students cannot leave any required fields blank to move forward with an operation.

ClickandCargo simulates the integration of the ERP with YEP MED’s virtual Port Community System, that serves as the communication point with shipping companies and shipping agencies for the according documental needs. The environment of ClickandCargo also simulates e-mail communication of PlayForwarding with customs agencies and transport companies. This simulation allows students to receive customs clearances and container information from these companies – as they would be in real life.

Operations: From commercial to invoicing

Through the ClickandCargo platform, students can play different roles during the training. They are first asked to execute commercial tasks by creating a quotation directly in the ERP system. For this, the ERP has preloaded tariffs that allow the students to get familiarised with pricing and commercial tasks. How do you charge for sea freight? You are most likely to understand all the pricing concepts after quoting in the simulator.

After having an accepted quotation, students get their hands on handling all the documentation flows needed for a sea-freight operation. Using the different simulated communication channels (Port Community Systems (PCS), e-mail), students create and send the booking requests, transport orders, customs clearance requests, shipping instructions and House Bills of Lading (B/L). They get the chance to work both with import and export operations by sharing export shipment files with their branches at the destination ports.

YEP MED ERP Screenshot

YEP MED ERP Screenshot

In the near future we hope to be able to close the operations cycle by allowing the students to finally invoice the clients directly from ClickandCargo, make the final invoice reconciliations and close the records. This administrative work is an important step to understand all aspects of the freight forwarding business, and it will soon form part of the training.

Shortening the learning curve and setting precedents in good practices

The ERP simulator that ClickandCargo has put in place for this project gives an unprecedented value to the training of future professionals in the logistic business overall. It allows students to get their hands on a real software used for freight management and get the “learn-by-doing” experience. This experience serves as the initial training they would get in their first job, thus significantly shortening the learning curve.

Finally, what we as ClickandCargo find most exciting in this project is the great opportunity to create good practices in the execution of freight operations. The virtual logistic ecosystem created in under YEP MED is an important test for new functionalities, integrations and technologies before they go into real production. ClickandCargo sits in the middle of this virtual digital logistic chain, and we will work further to take this training to excellence.

Simulated Resource Enterprises help bring reality to students' laptops

Digital Training in the 21st century

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Practice makes perfect

Written by: Lidia Slawinska, Consultant

There is no doubt about it. Historically educational models that incorporated experiential and real-life experiences have proven to be more successful. Currently many professions already employ experiential training approaches – learning-on-the-job, internships, and fellowships are but some examples.

The Escola Europea Intermodal Transport has always believed in the experiential teaching model – explain the theory of the transport operations to the students whilst simultaneously taking them to the places where the operations themselves take place. This was made possible through the signature MOST and SURCO courses, which included on-board sections of the courses where students go to visit transport terminals and experience journeys in intermodal transport means (a Ro-Pax vessel or a train). 2020 has put a stop to this and forced us to think of new models that will help bring the operations closer to the students. Through the EU-financed project YEP MED (Youth Employment in the Ports of the MEDiterranean), which launched in September 2020, a new training methodology morphed into existence – one that incorporated cyberspace with our own reality: Simulated Practice Enterprises.

Simulated Practice Enterprises

Simulated Practice Enterprises are enterprises recreated in a digital environment that simulates real-time conditions to allow for nearly real-life situations without actually having to involve real companies (and therewith lowering the possibility of costly errors). Running simulations with such practice enterprises provides a unique interactive learning experience for participants – as it forces them to apply what they have learned in a robust and risk-free environment. The students can cement their conceptual knowledge, develop vital skills and try out a number of different business strategies and business management concepts to hone their skills – all through such experimentation.

Such synergy between the theory and practice leads to the “formation and development of entrepreneurial spirit and skills, making integration easier prerequisites of future graduates in the labour market.”

Teaching business operations in a classroom is challenging, as it is nearly impossible to teach it in a purely theoretical fashion. Unlike other subject matters (science, sports, etc. where in-class experimentation and training is possible), within the field of business and business management, experimentation is not a feasible option. Frequently theory is not enough to prepare the student for realistic scenarios. Since the early 2010s, many companies have already begun to integrate simulated scenarios to their learning methodologies to better prepare students for the employment world. For example, in the Western Michigan University, Dr. Bret Wagner has integrated a simulation system, called ScrimmageSIM, which “gives students real-world experience in a virtual business setting”. The programme itself is “an effective tool because it does not give students the impression that there is a “right answer” to a business problem, as textbooks do. Rather, the programme engages students in the simulated business problem and shows how business concepts and theory provide insight into these complex situations. It does so by different business scenarios tailored to the business concept being taught.”

It is with this thinking, that the concept for the simulated environment was born for the YEP MED project.

Learning by Doing

The next iteration of a training methodology is in the virtual sphere. The Simulated Practice Enterprise is a methodological didactic strategy of “Learning by Doing” – through a digital lens. With the ERP system provided by Click & Cargo, the Escola Europea and its partners have worked to develop a digital environment that will:

  • Promote simultaneous and integrated development of functional competencies of organisational management (social, human and business) based on a methodological-didactic simulation system that allows for contextualised and experiential knowledge.
  • Encourage the responsible and autonomous development of the student body from a problem solving and decision-making standpoint, when faced with unpredictable events, incidents and conflicts that can emerge from the dynamics of a company and its interactions with customers and suppliers.
  • Develop a permanent synergy of the contents from the continuous connections between teaching and learning activities within the local productive system.
  • Contribute to the vocational guidance of students and the employability of graduates through the creation of role-playing assessments and specific tasks representative of the world of work.

This innovative and new approach will allow for the Escola and its partners to maintain its experiential teaching method, whilst giving the students more opportunities to test out many of the business and supply chain management concepts. Keeping in line with the Escola’s ideological approach which is aligned with the United Nations Sustainable Development Goals, the simulated environment will be open to 17 distinct groups – each corresponding to the thematic aspects of the SDGs themselves. The groups will be able to use the platform to prepare different commercial offers, learn about managing dangerous goods, discovering the machinations behind the cold chain, among other primary transport operations.

The Simulated Resource Enterprises will be put to test in the courses carried out under the YEP MED project – which themselves are divided into three parts. The ERPs will be used by students when they reach the 2nd and 3rd levels of the training. The simulated environment is designed to be as realistic as possible – and could replicate the conditions of a practical internship, giving the students the invaluable skills and experience before entering the workforce. Because the pandemic has made it difficult for companies to accept trainees to offer such opportunities, it is the goal of this part of the YEP MED project to have the simulated environment act as a near-identical virtual substitute. This way, before entering the workforce, the students will be able to learn by doing, and therewith enter the employment sphere fully prepared with virtual experience.

Digital practice will, in fact, make perfect.

Sources:

Infographic: Why Real-Time Data Matters to the Maritime Industry

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Big Data is a field that extracts and analyses data from data sets that are too large or complex to be dealt with by traditional data-processing application software. But why does it matter to the maritime industry? For this month’s #DidYouKnow series we have prepared an infographic that details the main concepts that surround real-time data and maritime transport. 

Curious to know more? These and many other concepts are covered in our Motorways of the Sea course. Contact us to find out what are the upcoming courses this year.

Why real-time data matters to the maritime industry 1/2 Why real-time data matters to the maritime industry 2/2

Why Real-Time Data Matters to the Maritime Industry

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In the face of the current 4th industrial revolution, it is interesting to take a look what changes are taking place in the virtual space of maritime transport. This month, we wanted to share with you an article, originally posted on the Sofar Ocean website, dealing with real-time data and why it matters to the maritime industry and its on-shore and off-shore actors. 

 

Logo-SofarOcean

This article originally appeared on the Sofar Ocean website

Over 90% of the world’s trade is in the hands of the international maritime shipping industry. Every year, it moves more than USD 4 trillion of goods. For shipping companies, there’s a lot of pressure to remain on schedule, protect the cargo ship and crew, and ensure profitability. It is not an easy task.
This interactive map of the world’s main shipping routes provides a glimpse of the industry’s complexity. 90,000 vessels cross paths as they transport goods from one continent to another on a daily basis.

 

The map was created by London-based data visualisation studio Kiln and the UCL Energy Institute

It’s clear from this map that the maritime industry involves an intricate system of transportation. To complicate things, ports and vessels are also subject to the forces of nature, which are becoming harder and harder to predict. With all of these obstacles in the way, shipping companies must be able to adapt to changing situations and act fast. This is where Sofar Ocean comes in. We believe that with real-time big data analytics, however, the maritime industry can better navigate these unexpected challenges.

What is Real-Time Big Data?

Big data is a field that extracts and analyses data from data sets that are too large or complex to be dealt with by traditional data-processing application software. Real-time capabilities mean that those insights are delivered immediately after collection.

How does Real-Time Big Data Help the Maritime Industry?

Maritime companies generate data from different sources and in several formats. Traditionally, these insights are fixed, siloed, and inconsistent. Actioning this information is time-consuming and a major complication point for shipping companies.

With big data tools, this inflow of data is collated and organised in a cloud-based system. This system then analyses and extrapolates the relevant data in real-time, which promotes better decision making. Nothing is left to intuition or chance—therewith unlocking opportunities to drive greater efficiencies.

Efficient Maritime Operations and Logistics

Overall operations and logistics, for example, become much more efficient with real-time data. Companies can obtain information through GPS and RFID tags to help locate containers and ships immediately. Data technology also helps synchronise communication to manage ship arrivals, berthings, and departures safely and efficiently. And in case of an emergency, non-availability of the labour, or terminal allocations, real-time data helps ships plan their routes and speeds accordingly.

Due to climate change, this ability to pivot has never been so relevant. Although the interactive map above demonstrates that the global maritime industry is a well-oiled machine, the ocean’s climate—currents, waves, and wind—are more unpredictable than ever. Real-time data streamlines decision making and supports ad hoc navigation to ensure companies maximise returns.

Fuel-efficient routing

By having access to real-time sea state observations—currents, waves, and swell—vessel operators can re-route according to current ocean and weather conditions while optimising fuel efficiency. Inefficient weather routing oftentimes leads to the increased time spent at sea, which not only disrupts and delays the supply chain but can also increase fuel burn and CO2 emissions.

In addition to increasing voyage earnings, fuel-efficient routing also reduces greenhouse gas (GHG) emissions, supporting the latest GHG reduction strategy developed in 2018 by the International Maritime Organization. The initial strategy envisages that the total annual GHG emissions from international shipping should be reduced by at least 50% by 2050 compared to 2008 levels. What does 50% look like? The IMO calculated that vessels released 1.12 billion metric tons of carbon dioxide the year before, in 2007. So we can guess that emissions need to be reduced by 560 million metric tons. That’s equivalent to emissions from 102 million cars!

So are we saying that real-time data helps reduce fuel costs and GHG emissions? Yes, yes we are. Not a bad day at the office.

Is Real-Time Big Data Safe From Cyber Threats?

We hear this question a lot, and rightly so. The convergence of information technology (IT) and operational technology (OT) onboard ships—and their connection to the internet—creates an increased attack surface that requires greater cyber risk management.

On the IT side, the chances of cyberattacks can be mitigated through proper implementation of encryption techniques like blockchain technology. From an operational standpoint, IMO maintains that effective cyber risk management should start at the senior management level—embedding a culture of cyber risk awareness into all levels and departments of an organisation. You can read more about this in BIMCO’s Guidelines on Cybersecurity Onboard Ships.

Full Speed Ahead for the Maritime Industry

Is it possible that the maritime industry can become bigger and better? More lucrative, while emitting less GHG emissions? We believe so.

Knowledge is power. By implementing real-time insights in daily operations, shipping companies are well-positioned to navigate anything that comes their way. And how this year has gone, it certainly doesn’t hurt to have an edge on the unexpected.

Curious what real-time data looks like? Take a peek at Sofar Ocean’s publicly available weather network dashboard, which offers real-time open-ocean marine weather observation data from over 500 weather sensors worldwide!

This article was originally posted on Sofar Ocean

Smart Cities

What does living in smart cities mean for privacy?

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In the 2000s we are witnessing an exponential growth of the use of information technologies – smart cities or smart ports are becoming the norm. These are slowly pervading all aspects of modern life, including smart refrigerators, smart doorbells, smart plugs, smart bathrooms, etc. The revolution has also affected a larger societal section, with smart cities and smart ports also gaining traction in progress. We have already talked about certain smart technologies that affect port operations, such as Digital Twins, Drones and Smart Containers. Nevertheless, we haven’t yet asked the question: What does this spread of smart technologies mean for us as individuals?

This month, we have caught up with Brad Smith from Turn on VPN to talk about what these advancements mean for our privacy.

If you would like to know more about what VPNs are, check out the guide written by VPN Thrive.

Then, have a look at the article by Brad Smith, reproduced below: 

 

Written by: Brad Smith

Written by: Brad Smith

The idea behind a smart city is one where technology is extensively used to improve the quality of life of people living in an urban area and ease the provision of everyday services. This can mean sophisticated connectivity across the city, automated systems, highly available online resources and so much more.

However, this kind of setup also comes with a few challenges that aren’t normally so pronounced in a traditional city with privacy being the biggest one. How does living in a modern city affect people’s rights to privacy especially in places where privacy laws are not that strict?

Smart cities trends and their privacy implications

There are certainly many components that make a modern smart city in 2020, especially the ones that are built from the ground up. However, three of them do stand out in the way they affect your privacy as you go about your day to day life. Also, keep in mind that some of these technologies have been heavily deployed in traditional cities.

Increased citywide public surveillance and tracking

There is a lot of interest in using citywide public surveillance systems in smart cities across the world. These technologies have especially taken centerstage in the Middle East, China, and some European countries. Sophisticated public surveillance and tracking technologies are being deployed in smart cities to help the authorities in enforcement efforts and for other reasons.

However, such technologies, though useful in some places, do raise a lot of questions in the way they are deployed and how they are used especially with privacy and personal freedom in focus. Indeed, the debate around citywide surveillance has attracted some fair amount of controversy with some progressive governments even going as far as banning the use of these technologies in public.

Citywide connectivity and high-speed internet

The rolling out of 5G and other connectivity solutions in smart cities is integral to their development. A smart city without a stable, high-speed internet that is accessible to everyone is not a smart city. Today, even traditional cities that are trying to transition into modern cities have put a lot of resources into communication technologies such as 5G, public Wi-Fi, and other supporting infrastructure.

Government services moving to the cloud 

A smart city must have a big percentage of government services available via the internet. Indeed, most smart city projects today are geared towards moving entire government services to the cloud. This of course means an increase in data collection.

Increased popularity of smart ports

Another smart city trend is the invention of smart ports. A smart port is one that makes use of automation and innovative technology such as the Internet of Things (IoT), Artificial Intelligence (AI), blockchain, and Big Data to improve performance. The industry of container shipping and ports has been slow on the uptake in embracing change. Still, new systems, solutions, and technologies are emerging that will change the face of shipping in the future, ensuring the sector is more connected than ever before.

The smart port aims to generate transparent and efficient services that add value to the clients. An intelligent port features automated management of all entries and exits at the terminals, monitoring, and managing queues. The smart port removes the need for paperwork during container deliveries and collections, as well as automatic lighting.

In port cities like Montreal, emerging technologies provide useful real-time data for lorries to help them plan their trips and avoid traffic congestions, and lower carbon emissions.

This real-time data and smart sensors go a long way in monitoring crucial infrastructure, enabling the port operators to schedule predictive maintenance and reduce the need for yearly inspections. The data from the sensors, such as pile head sensors in the quays, allows the ports to track the eventual tear and tear and track the impact of cargo yet to be unloaded.

Privacy concerns over today’s smart cities

All of the technologies being deployed in smart cities today require the collection of data on a large scale. This, as expected, raises a lot of questions in terms of privacy going forward for people living in these so-called smart cities. How do you ensure that your right to privacy isn’t lost when everything’s made to collect your data?

Ways to protect your privacy

One way to stay private is to use tools like a VPN or encrypted messaging software. One of the major functions of VPNs is to encrypt your data and online traffic. This is especially important when you want to stay anonymous while connecting to public networks. With a messaging app that offers end-to-end encryption, you can also keep your conversations private.

There is no doubt that living in a smart city is more convenient and sustainable than in a traditional one. As you enjoy all the benefits that come with the advanced connectivity in these urban dwellings, don’t forget the importance of staying private.

Innovation and Digitisation

Innovation and digitisation post Covid-19

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As we enter a new era in the Escola’s development and begin to work on our new project YEPMED, which aims to ameliorate the labour situation for young people across the Mediterranean, we have caught up with Anwar Zibaoui to share his thoughts on the importance of collaboration and sharing of know how in the era of the 4th industrial revolution, and the digitisation and innovation that come with it. Check out the full article below. 

The YEPMED Project aims to better match the labour market skills needs and dual TVET offer in the Mediterranean Port communities sector in order to contribute to jobs creation and productive economic growth. 

 

Anwar Zibaoui

Anwar Zibaoui, chairman of ACASME and founder of AZ Meda Advisors & Consulting

Twelve years after the world financial crisis sent the economies of the developed and developing world into disarray, we are once again facing an unknown situation. An unprecedented tsunami that has confined millions of people to their homes, shaken the stock markets, forced countless businesses to close, including local markets and restaurants and emptied our streets, paralyzing our economies. Historical precedents tell us that such a situation could significantly alter political and economic systems, reconfigure ideas and theories, and impose radical changes to our lifestyles.

In this case, the unexpected allies have been innovation and digital technology, which helped alleviate the impact of COVID-19 on individuals, businesses and governments. In the midst of the chaos, a new era set in the digital world is emerging, and with it creating new opportunities. Nevertheless the benefits of technology are not equally distributed, as more than 3.6 billion people on the planet still do not have access to the Internet. In the informal economy, teleworking does not exist. For millions of children, access to online education is a remote dream.

It is time to coordinate our reaction to the new challenges, because innovation and digitalisation are here to stay. Their implementation has accelerated exponentially and there is no turning back now. It has changed the way we work, learn, buy or socialise. We must be prepared for the so-called new normality.

Never before has the digital agenda been as necessary and vital as it is now. It is not only an immediate response to the measures taken to combat the virus, but it is also indispensable to research and innovation. The current economic models are breathless because of the speed of change. We are in the era of globalisation, climate change, pandemics, digital transformation, the collaborative economy, urban concentration and the depopulation of the rural world. All of these represent many changes that governments all across the globe are struggling to regulate. However, these also highlight new divergences and polarizations between economies and societies. This is why new responses are needed.

There is no doubt that technological change threatens jobs, but it can also create alternatives. Relations at work, between companies, employees, services, mobility… are evolving. The only key to progress is to improve innovation and education. As in everything else, the future of Europe, Africa and the Mediterranean lies in adapting, sharing experiences and moving forward together.

Following the current model, Mediterranean governments are focusing on job creation rather than on business creation. This is an outdated model that consists of launching massive public employment programmes instead of financing and investing in successful businesses that create jobs. It is clear that economic progress is directly related to training, research and innovation activities, and that there is a correlation between social progress and business activities.

The life cycle of companies should demonstrate to many countries that the secret of eternal youth is constant innovation. Governments need to balance expenditures and invest in tangible infrastructure such as roads, railways or ports. However, they must also invest in intangibles such as education, research and development. R&D is the key driver for building and consolidating a knowledge economy and implementing a culture of creativity in which young people are inspired, transform their ideas, raise their ambitions and pursue their dreams.

Entrepreneurship and the private sector can drive adaptation to technology and innovation, be the vehicle to engage young people and move forward. We must promote a new mental framework, a new attitude, harnessing the energy of young people, and fresh ideas, because these are the ones that bring opportunities. Innovation is a lever for value creation because it transforms the way we do business and has a multiplier effect on the growth of a nation and its companies.

Innovation is the way to growth and survival. It is the model for the promotion of a company or a country. Technology is already here, but by itself it is not the answer. It is a facilitator and accelerator of new ways of being and doing. To be able to create wealth and ensure a future, innovation is not an option, it is a necessity.

The Mediterranean region will have to create hundreds of millions of new jobs over the next three decades. This challenge presents an opportunity for the region to transform its economies and harness the creativity of its large youth population and the disruptive power of technology to create wealth.

Whether we like it or not, production lines will require less and less manpower thanks to more efficient machines, automation and robotics. In addition, the next wave will bring more artificial intelligence, 3D printing and new capabilities that will make additional manual labour redundant. We already know that 8 out of 10 jobs will be lost due to new technologies (not immigration or globalization), that 64% of the jobs that exist today will be automated, and that 66% of the jobs for the next 10 years have not yet been invented.

The transition to the fourth industrial revolution, combined with a crisis of governance, makes it imperative to thoroughly reconsider human capital and adapt education to the labour market in order to achieve prosperity and stability. New digital technologies generate a new competitiveness that, for the moment, does not apply to many Mediterranean countries. For the region, a successful transition would guarantee business competitiveness and be a determining factor for regional industrial consolidation. Doing nothing is a risk of negative impact on its future growth and productivity.

In our region, the most immediate economic challenge is not diversification or new tax regimes, but the creation of productive and sustainable jobs for the youth. At the same time, we must be equipped with the combination of talents and skills that will make industry 4.0 a generator of wealth and social peace. We must be concerned about the level of training of the workforce and its quantitative and qualitative nature. The factors that today allow us to better evaluate it are the development of the digital culture, the skills and the capacity to think creatively.

The region has an enormous human capital waiting to be developed. Education, the promotion of the private sector and an understanding of this technological revolution will be key ingredients for success. This is a complex task that will require a broad social consensus and determined action by governments.

The digital potential is unlimited. This represents an opportunity for the Mediterranean. A large market with rapid growth. A hub of innovation, creativity and entrepreneurship. Young people have the resources to find solutions to pressing problems.

Leaving the Mediterranean behind in the digital transformation is not an option. The pace of the fourth industrial revolution will wait for no one. As the United States and Asia move forward, Europe and the Mediterranean need to forge their own identity. Today the imbalance is obvious, and everything that prevents an improvement in innovative capacity is conditioning the future.

The main key to innovation is training. Companies that invest in their employees to provide them with the right knowledge are the ones that grow. Governments must do the same, improving qualifications and promoting innovation in all key sectors of the economy and in the education system. If they stop betting on the education of the new generations, they will condemn them to depend on others for life.

There is a great need for a new platform of collaboration that brings together governments with businesses and other actors interested in public-private cooperation in the Mediterranean, facilitating a progressive dialogue that understands and respects the values and culture of the region. Investment in young people is needed to unlock the demographic dividend in an area where the interests of governments, the private sector and international organizations are fully aligned. This requires joint action by all today, to ensure a prosperous region tomorrow.

This crisis will pass, but we must not forget that innovation and digitalisation are the path to survival and development, the fuel for constant progress and the model for the rise of a company, a nation or a region.

Article published in its original form can be found here.

Digital highway

Digitisation in logistics and e-documents… advantage or cost?

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The current crisis is bringing with it a lot of changes to our industry. For this quarter’s Blue Innovation article, we have caught up with Xavier Lluch, an expert in cost analysis, a veteran of the logistics industry and a regular teacher in our courses, to share with us his thoughts on the emerging trend of e-documents and electronic transport processes. Check out the full article below: 

 

Xavier Lluch

Xavier Lluch i Oms
Professor of the Escola Europea – Intermodal transport
Consultant for Spain for Pionira BV, experts in generic solutions for digital document signing.

The digital revolution is here and was here long before the virus crisis. Perhaps the current crisis allows us to rethink the way we have approached logistics and transport activities so far. The opportunities offered by the new ITC technologies are already changing the way we do business. In the transportation and logistics industry, we now have powerful tools at our disposal to improve the competitiveness of our companies and the range of services offered.

Nevertheless, the implementation of these technologies could be faster than it is currently. For many reasons, but especially because it requires a different approach to the way we do business, a profound cultural change among managers and employees in this sector is necessary. Some business models may make way for new ones.

Are we – are you – ready to take on this challenge? The answer to the question can affect the design of the businesses on offer.

The use of e-documents requires the use of a third party – service providers who are replacing paper in the retention of information and signatures in transport documents with electronic counterparts and with great benefits. You can enjoy other benefits such as attaching images, videos, or other documents with a simple click, avoiding physical contact at the time of signatures, geolocating events… among others. This will save some money, especially from the administration side of any business dealings!

In intermodal transport, it will be possible to use a single document between the first shipper and his consignee, avoiding the traditional ways of having documents physically transferred between different carriers.

But this is only the beginning because when you start using e-documents, you will quickly stop talking about “documents” and instead use the expression “datasets” or “transport datasets”. When you have this information structured in a database that is accessible online and in real-time, there will be a full portfolio of new applications and benefits available, and from this point on you will start not only to save money but to design a new approach to your service concept.

Over the past three years, I have helped a Belgian company, PIONIRA BV, to introduce their solution for digitally signing transport documents in the Spanish market. On their web page (www.pionira.be), you will not find the usual software solutions for printing transport documents, but information about a company that can “offer a generic solution for digitally signing documents”.

It is important to realise the change in the way the company presents their offer because this is much more than a simple reformulation. Pionira offers a new service to connect with existing ERP solutions, linked to the many improvements that digitisation should bring to the logistics and transportation activity.

The solutions exist, they are tested, they do not require any investment and they can easily be connected to other existing apps.

The legal framework is clear for the use of electronic documents in transport. International treaties and national legislation have adapted their processes with a goal to facilitate and promote the use of electronic documents. This past August, the European Parliament approved a new rule that legalised them for all EU countries.

The approval of this European regulation sets the basis for the wide implementation of digital documents across both private and public sectors, by establishing the data and messaging standards as well as the conditions for the interoperability among the different players. In the short term it becomes mandatory for the public sector and voluntary for the private operators, and in a few years it might become mandatory for all. For more information you can check out the Regulation EU 2020/1056 of the European Parliament and of the Council on electronic freight transport information.

Significant companies (shippers, transporters) in Europe are already implementing e-transport documents. Some of the public administrations, mainly in the Benelux countries, have already been active in promoting the benefits of such technologies.

More recently, the main stakeholder’s associations in Spain have reached a compromise, with the acknowledgement of the Ministry of Transport, to promote the use of e-documents. The promotional campaign is expected to continue through September.

Digitisation is in the forefront of the intentions of many private and public policies, especially in the backdrop of the COVID-19 crisis, as e-signing transport documents foregoes any physical contact and therefore minimises the risk of virus transmission. A few days ago “The Economist” published an article titled “Covid-19 stimulates the digitisation of the government” – further highlighting the impact of the changes kickstarted by the pandemic.

We must recognise that one of the obstacles is the lack of a “digital culture” among many of us. The earlier we shorten that gap, the better it will be for the efficiency of our companies and the possibility for all to catch up with the coming changes in the transportation industry across the globe.

Nanosatellites to fuel the Internet of Things

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In the past issues of our #BlueInnovation series we have largely focused on any new developments taking place on land and at sea – Smart Seals, Smart Containers, Digital Twins, etc. What about Space? Is there a future for the logistics and transport sector that involves space technologies?

This month we have caught up with Jaume Sanpera, the founder and CEO of Sateliot, to talk about his views and predictions about the journey into the future for transport.

Journey into the future of logistics and freight transport

Jaume Sanpera

By: Jaume Sanpera, Founder and CEO of Sateliot

What if the real revolution in the logistics and freight sector came directly from space? That is what Sateliot, the company that will launch the first constellation of nanosatellites to democratize the already known Internet of Things or IOT, is proposing.

In the 21st century, we are entering the era of the totally connected. However, there is still a long way to go to make large-scale connection global and affordable for all. In fact, it is estimated that only 10% of the earth’s surface has mobile coverage, while the remaining 90% is a veritable connectivity desert.

However, what may seem like a whole futuristic movie is getting closer. Specifically, up to 100 nanosatellites weighing about 12 kilograms will make this possible, orbiting some 500 kilometres from the Earth and functioning as cell towers from above offering 100% coverage of the territory and reaching areas where terrestrial networks cannot.

And, although when we talk about the IoT and high technology we usually think of the most cutting-edge and disruptive sectors, the truth is that others that are more traditional but no less developed, such as logistics or goods transport, are likely to reap the most benefits, since the commitment to innovation and digital transformation will allow for an improvement in the operations of infrastructures, warehouses or transport fleets. All of this at a time when ecommerce is booming and requires greasing the supply chain to avoid stock-outs, ensuring that consumers get what they want, when they want it.

Globally, around 20 billion devices are connected to the Internet of Things

What’s more, although the IoT is not new to logistics, with 20 billion connected devices already in use around the world, its real revolution has only just begun. It is estimated that by 2025, shipping companies alone will spend an average of more than $2 million annually on IoT solutions. A practical and simple example of this investment will be smart containers.

Sateliot will make it possible to extend the IOT to the whole territory, so sensors can be installed inside and outside the containers to collect an infinite amount of data during their transit, such as the humidity of the cargo, its temperature, oxygen levels, whether or not there is smoke or even attempts to open them. This data could then be analysed by the company sending the goods, by any intermediaries or by the crew of the ship the cargo is travelling on.

Through this it will be possible to remotely act on reefer containers or warn the crew of the need to hypothetically repair or replace them, identify theft attempts during seal manipulations or put out fires when the presence of smoke is detected, among other multiple actions.

This technology will help make possible exhaustive tracking of the containers, both en route and during possible losses into the sea. This will significantly reduce costs by minimizing the premiums of insurance policies, including theft, looting, fire or heat damage, which are usually very high – it is estimated that 70% of companies that adopt IoT solutions have considered this expense as one of the reasons for adopting this technology. It also will help prevent the loss of perishable goods due to failures of the cooling engine or through helping locate and recover containers that have fallen into the water or been lost in other ports by mistake.

Transport workers will increasingly rely on the information taken from the Internet of Things in their operations – where nanosatellites will come in handy

It is not just containers that will benefit. Ships will be able to use the IoT for the maintenance of their machinery, detection of breakdowns before they occur, using its solutions to monitor fuel consumption and thus adjust it more efficiently, all of which will help result in significant decreases in costs.

In short, monitoring the logistics and transport of goods at any time and place and at affordable prices will be key to improving processes, making them more efficient and cost effective. It will also help increase the autonomy of the devices and help get accurate predictions of demand, all of which will allow for greater capacity at lower costs, resulting in profitability increases across all companies in the sector.

The journey into the future of logistics, which is becoming more intelligent every day, has already begun. Nanosatellites will be on board, drawing the road map to follow.

Virtual Meetings are becoming the norm

Towards blue virtual training

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Lidia Slawinska

Written by Lidia Slawinska, Consultant

In recent times a vast number of technological transformations has encompassed the maritime sphere. A recent study (2020) commissioned by the European Commission’s Directorate-General for Mobility and Transport (DG Move) analysed different social aspects of the maritime transport of goods, and identified two technological trends that are particularly visible on the blue horizon in the near future: autonomous and intelligent shipping. The prediction is that in the next three decades these two developments will have become the norm. Ship workers will soon be surrounded by technology that assists in the vessel’s functions, leading to a potential operational redundancy. Terminal operators and freight forwarders will have to deal with smart ports, the Internet of Things, and virtual realities, and the role of the ship operators will shift towards the virtual sphere. This implies a very different training paradigm for the future transport professional – as very different skills will become invaluable. Future professionals will need to acquire an amalgam of different skills, blending the mechanical with the technological, and educational institutions will need to adapt. Covid-19 has doubtlessly accelerated this timeline towards virtual training.

The maritime industry is playing an essential role in the short-term emergency response to COVID-19 by easing the transport flows of vital commodities and products. Although a considerable number of ports has succeeded to stay open to cargo operations, the sector has been hit regardless, and economic losses have been recorded by ports across the Mediterranean. Most of the ports still remain closed to passenger traffic. Mid and long-term recovery will need to further enhance sustainability and resilience of the maritime transport sector as a whole, for sustaining jobs, international trade, and global economy, as much as possible.

The Coronavirus pandemic been instrumental in shifting the ways in which we operate. Overcoming physical distances has become essential to ensure the continued development of businesses ranging across all industries – with the education sector particularly being hit hard. The solution for many has been to turn towards digitisation. Automation, artificial intelligence and the growth of the Internet of Things has enabled many companies and institutions to reshape their business models and operate in remote environments.

The growth of the Internet of Things

The Internet of Things is facilitating the move towards a virtual training reality

For a centre like the Escola, which relies on experiential learning methodologies, the technological shift has proved particularly tricky. It’s proven approach towards delivering knowledge through a combination of theoretical lectures and practical workshops is quite difficult to replicate in a digital environment – even with the help of the increasingly popular online meeting applications such as Zoom, WebEx and Go2Meeting. A solution has presented itself in the form of a new project – YEP-MED, or the “Youth Employment in the Ports of the Mediterranean”, which will be launched in September 2020.

The project, headed by the Escola Europea and with 11 partners coming from 7 countries on the Northern and Southern shores of the Mediterranean (Spain, Italy, France, Lebanon, Egypt, Tunisia, Jordan), has been selected as one of the projects under the European Neighbourhood Instrument CBCMED in 2020 (http://www.enicbcmed.eu/) . The goals of the project are to adapt training to the sector’s real needs and allow for the acquisition of skills to succeed in the work context; to strengthen the ability of Port Authorities and training centres to combine training and job placements by collaborating with at least 600 companies in 7 countries of the ENI area; and increasing employment rates of young people and women and offering them a real possibility to work within personalised mentoring and tutor programs.

How will this training be offered, in the aftermath of Covid-19? To replace the regular experiential approach of the Escola’s proven methodology, YEP-MED will take the training into the virtual world. The students will take part in teleconferences during workshops and debates with professionals and teachers. These will be accompanied by online on-demand training, which the students will need to complete during the 3 week long courses. If the health-related crisis subsides and the situation permits it, visits to port installations will accompany the on-demand classes. The final element to cement knowledge acquisition will be simulation. Working with ERP (Enterprise Resource Planning) systems, the project partners will re-create digital twins of the port communities involved in the project. They will then ask the participants to take over practice enterprises and solve certain case studies involving transport operations. This system will ensure that the participants (albeit remotely) experience the operations themselves, and gain a considerable amount of experience before entering the work force.

Whether or not this new approach will prove effective, and will become the blueprint to use in future maritime training schemes, is to be seen. Being able to experience the operations in a world as complex as the maritime world is essential to prepare young people for real life operations. The virtual world cannot ever completely replace the physical experience – but in today’s reality it is the best option that educators have to prepare future professionals. Automated processes on board of ships, the internet of things, and smart ports all contribute and make the ERP more reliable and easier to programme. Different sectors have already taken the virtual plunge with training (air transport being one of the most famous ones, given the high cost and risk of real-life tests). Perhaps the sea is next in line.

 

Written by:

  • Lidia Slawinska

 

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