Presentation done at event "Digital Supply Chain Transformation. From Hype to Reality".

1. Digital Supply Chains thrive on global data standards
Jaco Voorspuij, Senior Manager Transport & Logistics; GS1
24th January 2019; Digital Supply Chain Transformation: From Hype to Reality

2. © GS1 2018
What will I be talking about
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• Who is GS1
• Main Trends driving Digitalisation
• How could global data standards help Digitalisation?
• Are there any such standards available?
• Developments driving adoption of global data standards
• Conclusions

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GS1 – the global language of business
GS1 is a global standards organisation
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Neutral and
not-for-profit
User-driven
and governed
Global
and local
Open and
collaborative
1.5 million companies use GS1 standards
100 million products carry GS1 barcodes
6+ billion GS1 barcodes are scanned every day

4. © GS1 2018
We help Industries in over 20 sectors…
We facilitate business growth through:
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Efficiency
Safety
Security
Sustainability
Interoperability
Visibility
Since
1974
Harmonised
Transport
Label

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Supply Chain Management traditional retail
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Manufacturer
Store
Retail Distribution Centre
Wholesaler
Manufacturer
Manufacturer
Manufacturer
Manufacturer
Manufacturer
Logistics Service Provider
Consumer
Could be managed
with low levels of
digitalisation

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TRENDS driving Digitalisation
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GROWTH
BIG DATA
ROBOTICS
Government
Consumer
Manufacturer
Online
retailer
Parcel
integrator
e-fulfilment
company
Drop off/Pick up
point
Carrier
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Government
Consumer
Manufacturer
Online
retailer
Parcel
integrator
e-fulfilment
company
Drop off/Pick up
point
CUSTOMER
IS IN CONTROL
SELF DRIVING CARS
/ DRONES
TRANSFORMATION

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The delivery landscape is changing
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Government
Consumer
Manufacturer
Online
retailer
Parcel
integrator
e-fulfilment
company
Drop off/Pick up
point
More parcels
More parties
More systems
Where are my
parcels?
Collaboration
&
Interoperability

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Last Mile added to Supply Chains
Pick-up point
Home
Store

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Next Generation Logistics Ecosystem
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Blurring lines between stakeholders
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What do we need standards for?
• Be able to uniquely identify each logistic unit
end-to-end
• Define what type of information to share
• Ensure interconnectivity to be able to
share the information
These are common concerns across Transport & Logistics
Parcel and Postal
City Logistics
Air & Maritime Cargo
Increasing Border Controls

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Parcel Standards
CEN / European Commission
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European standardisation
the European Committee for Standardization (CEN TC 331)
standardisation work commissioned to ease international e-retailing:
“European postal standards should be based on, and compatible with, the
open retail standards for end-to-end supply chain management systems
already used by B2C e-commerce retailers for the global trade in goods and
services”.

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The Vision: Harmonised label
Used by all end-to-end
Created and attached by SHIPPER at origin
Manufacturers
Wholesalers
Retail
Distribution
Centres Stores
E-fulfilment centres
Parcel services
Pick up points
Homes
E-StoresAuthorities

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The European harmonised Parcel Label
Government
Consumer
Manufacturer
Online
retailer
Parcel
integrator
e-fulfilment
company
Drop off/Pick up
point
carrier
Worldwide
unique
parcel
identifier
Assigned
by the
SHIPPER

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Creating worldwide interoperability
GS1 SSCC
European CEN
standard
European CEN
standard
Parcel labels
Data exchange
Worldwide unique
Parcel identification
Future proof
Better service for
the consumer
Lower delivery
costs

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CEN Data Exchange standard -
Electronic Advance Data
• Based on proven UPU/WCO Model
• Enhanced with Global Supply Chain Standards
• Enable use by all stakeholders (beyond Post)
• Same approach as followed for Harmonised
Parcel Label
• Driven by Supply Chain Stakeholder Needs
• Closely linked to EU Legislation
coming into effect 1st Jan 2021
• Aim: Ensure all stakeholders end-to-
end receive information they need
• Will promote adoption of common standards for
identification, labelling and Data Exchanges

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Initiatives driving wider adoption of Standards

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Harmonised Transport Label adopted in Smart City
Hubs
• Receiving Cargo from Many Shippers
• Delivered by many different Carriers
• Consolidating / De-consolidating as needed
• Sending Cargo to Many Receivers in the City
• Using several different Carriers
• Cargo is handled by multiple stakeholders
(including Shipper and Receiver)
Shipper 1
Shipper 2
Shipper 3
City Hub
Receiver 1
Receiver 2
Receiver 3
Carrier B Carrier Y

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IATA Recommended Practice (RP)
Piece Level Tracking
• IATA develops Recommended Practices (RP) that apply to the Air Industry.
• Main characteristics for Recommended Practice
• Full end-to-end view of process from Shipper to Receiver across modes
• Pieces must be identified unambiguously.
• UPID (Unique Piece Identification) MUST be compliant with ISO 15459-1.
• UPID should be assigned as early as possible in the process;
Ideally Shipper will assign UPID.
• All handlers of the piece should then use the UPID
• Allows use of Shipper-UPID only label e.g. Harmonised Parcel Label
• Means full support use of SSCC (if chosen by shipper)
• RP 1689 approved March 2018
• Publication of ratified RP as part of CSC Manual October 2018
• Implementation Guidelines developed in parallel

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A FIATA digital platform for the future
A digitalized document
Using the same information
as in the paper
Harmonized semantics
and syntax
A secured platform
Access given to
authorized actors with
controlled protocols
INTERNATIONALISATION
DIGITALISATION
Interconnection between local and
regional databases and IT systems
of the actors
Efficiency through automatic
integration of the DATA in IT Systems
Compatible with blockchain
INTEROPERABILITY
SECURISATION
With the
support of
International standards
Harmonized & structured data
Global synergy between FIATA and
GS1 given by the same global
presence

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EU VAT Legislation impacting on end-to-end T&L
• LVC = Low Value Consignments
• LVC Items imported into EU enjoy simplified border procedures;
Regulations often abused (billions of Tax revenue lost)
• 2021: EU implements VAT package requiring ALL items to be declared
and taxes to be paid
• Impacts also all e-Commerce items
=> many billions of additional declarations to Authorities
• Border Authorities may need support to cope with this flood
• EU commission LVC working group aims to prevent incidents in 2021
• Aim: receive Electronic Advance Data;
leverage existing standards / solutions

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GS1 Standards used widely in Transport
across all modes
• Carriers like DSV, Dachser, GEFCO, DHL, Bring, DB Schenker and K&N etc.
accept or promote GS1 standards
• Amazon, 3M, Groupe Casino and other big name companies promote GS1 standards
in Transport & Logistics operations
• International Taskforce Port Call Optimization
Partner developing Maritime standards
e.g. “Functional definitions
for nautical port information” endorse
Unambiguous identification of locations
in ports worldwide using GS1 GLN

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Conclusions
Digitalisation is real and happening today
• Common global data standards will greatly improve efficiency and
effectiveness of emerging Supply Chains
• There is an increasing business need for tracking and managing
individual Pieces (transport units) everywhere in the Supply Chain
• Global data standards are being incorporated in the day-to-day
operational procedures in many different areas across Supply Chains
The time to act is NOW
Adopt / Promote common SC standards

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For further enquiries
Jaco Voorspuij, sr. manager Transport & Logistics, Global Office
jaco.voorspuij@gs1.org