ADB-ESCAP Workshop on TTFMM Baseline Studies in Bangladesh, Bhutan and Nepal

Transcription

1 ADB-ESCAP Workshop on TTFMM Baseline Studies in Bangladesh, Bhutan and Nepal Review of the Key Issues on BPA Prabir De January 2015, Bangkok

2 BPA to implement paperless trade BPA is the first technical step in preparing for paperless trade and SW. International model, universal methodology (UML) It provides Inventory of processes, documents, data, parties, rules & regulations.. Description of the processes Specifications for harmonizing data and development of electronic documents Specifications to develop software for the automation of procedures Business Models for operation of SW A basis for maintenance and improvement

3 Comprehensive understanding of the supply chain Supplier Intermediary Authorities Customer Buy Ship Pay Prepare for export Export Transport Prepare for import Import Commercial Procedures Establish contract Order goods Advise on delivery Request payment Transport Procedures Establish transport contract Collect, transport and deliver goods Provide waybill, gods receipt and status reports Regulatory Procedures Obtain export/import licenses, etc. Provide customs declaration Provide cargo declaration Apply trade security procedures Clear goods for import/export Financial Procedures Provide credit rating Provide insurance Provide credit Execute payment Issue statements

4 Major BPA activities Scope setting Specify a scope of processes to be analyzed e.g. import and/or export processes of a specified product, through a certain mode of transportation (trucks, trains, ships or airplanes) Data collection and process documentation Define and document a sequence of steps in actual practices and their attributes Who involved (stakeholders/actors) Procedures and documents required (input to/output from) Related rules and regulation Process analysis Locate bottlenecks, examine what causes them, and develop measurable and quantitative process indicators (e.g. the number of steps, time and costs required to fulfill those processes) Recommendation development Determine how to eliminate each bottleneck and prioritize improvement actions

5 Identifying BPA project tasks Develop a work breakdown structure for a BPA project A work breakdown structure is an outputoriented description of project tasks. It typically starts with outputs. The work components of outputs are then broken down into tasks necessary to achieve them.

6 Drawing a use case diagram Based on the outcome of desk research, Identify key business processes and name it using a descriptive verb phrase Clear goods through customs Identify stakeholders Handle Container and stow it on vessel Exporter or Representative Customs Inland Haulage Port Authority Carrier (Shipping Line) Identify relationships between stakeholders and key business processes Exporter or Representative Clear goods through customs Handle Container and stow it on vessel Customs Inland Haulage Carrier (Shipping Line) Department of Fisheries Port Authority

7 Defining the scope of a BPA project Project Manager/ Project Leader Process Participants/ Business Domain Experts Project Sponsor Project Sponsor Project Manager/ Project Leader 1) Define a project scope Process Participants/ Business Domain Experts Objective To establish a frame of reference for detailed business process modeling work Conduct desk research Extract key process participants and business processes Visualize collected information Use Case Diagram Review and provide feedback Identify a business domain of interest Inaccurate Accurate Approve 7

8 UML notations for use case diagram Notation Actor/Role Use case Boundary Description Actor Represents a role in a particular business process Is labeled with a role name Use Case Represents a business process Is labeled with a descriptive verb phrase Relationship Association Link actors with business processes that they participate in Subject Boundary Represents a process area Includes the name of a subject boundary on top

9 Activity diagram notations (1/2) Notation Description and instruction for use Initial State Represents the beginning of a set of activities Can only be one initial state for each activity diagram Final Flow State Is used to stop the flow of activities Indicates that further activities cannot be pursued within the described context Final Activity State Is used to indicate the completion of the business process Swimlane Is used to break up individual actions to individuals/ agencies that are responsible for executing their actions Is labelled with the name of the responsible individual, organization, or department E.g., Exporter or Representative, Department of Fisheries Activity Represents a non-decomposable piece of behaviour Is labelled with a name that 1) begins with a verb and ends with a noun; and 2) is short yet contains enough information for readers to comprehend E.g., Prepare information needed for export permit application, Verify submitted information, Issue Export Permit, Collect R. 9

10 Activity diagram notations (2/2) Object Represents a document or information that flows from one activity to another activity Is labelled with a name of a document E.g., Application Form for Export Animals/Animal Remains Through Thailand (R. 1/1), Commercial Invoice, Packing List, Export Permit (R. 9) Decision Represented by a diamond Refers to the point where a decision, depending on the outcome of a specific prior activity, has to be made Has multiple transition lines coming out of a decision point and connecting to different activities Label each transition line that comes out of Decision with the condition; such as, correct or incorrect Transition line Indicates a sequential flow of activities and information flows in an activity diagram Fork (Splitting of Control) Is used to visualize a set of parallel activities or concurrent flow of activities Join (Synchronisation of Control) Is used to indicate the termination of a set of parallel activities or concurrent flow of activities

11 UML diagrams for BPA Use Case Diagram A frame of reference illustrating a Importer Exporter or Representative Quote price and term of trade Proforma Invoice Prepare the shipment of goods Buy - Conclude sales contract and trade terms Exporter or Representative Importer Acceptable Confirm the intent to purchase Purchase Order Not acceptable Cancel high level business process and its associated actors Activity Diagram A detailed elaboration of a use case diagram A graphical representation of a business process and its attributes Activities that come in a specific order and decision points Actors who perform those activities Defined inputs and outputs of each activity Criteria for entering and exiting the business process Relationships among actors Information flow

12 Drawing a use case diagram Where there are many business processes of the same category, may be used to group them together. Boundary 2) Ship 2.1) Have product sampled and examined Authorized Private Inspector Insurance Company Inland Haulage Importer Importer s Bank 1) Buy 3) Pay Exporter or Representative 2.4) Apply for cargo insurance 2.5) Prepare and submit customs declaration 2.6) Stuff container and transfer to port of departure 2.7) Clear goods through customs Customs Bank Department of Fisheries Carrier (Shipping Line) Port Authority Exporter s Bank For Simplification: * L/C * CIF * FCL * CY/CY 2.8) Handle Container and stow it on vessel 2.9) Prepare documents required by importers Customs Department of Consular Affairs The Central Islamic Committee Office Thailand Department of Foreign Trade

13 Example of a use case diagram 2) Ship Thailand s Export of Frozen Shrimp 2.1) Have product sampled and examined Authorized Private Inspector Insurance Company 2.2) Arrange transport 2.3) Prepare export permit Inland Haulage Importer Importer s Bank 1) Buy 3) Pay Exporter or Representative 2.4) Apply for cargo insurance 2.5) Prepare and submit customs declaration 2.6) Stuff container and transfer to port of departure Customs Bank Customs Department of Fisheries Carrier (Shipping Line) Exporter s Bank 2.7) Clear goods through customs Port Authority 2.8) Handle Container and stow it on vessel 2.9) Prepare documents required by importers Department of Foreign Trade The Central Islamic Committee Office Thailand Department of Consular Affairs

14 Activity diagram Authorized Private Inspector Exporter (or Representative) Department of Fisheries (DoF) Exporter or Representative 2.1) Have product sampled and examined Authorized Private Inspector Department of Fisheries (DoF) Additional examination not required Have product ready for sampling Schedule the sampling date Notify the date for sample collection Additional examination required Collect sample Submit Request for Sampling Examine sample Deliver sample Request for Sampling Collect sample Record the result of examination Test Report Collect Test Report Record sampling result Examine sample Record result of examination Collect Test Report Test Report

15 Process descriptions A set of process descriptions; each provides a textual description of an activity diagram and related information including relevant laws, rules, and regulations, documentary requirements, input and criteria to enter/begin the business process, output and criteria to exit the business process, and indicate the average time required to complete them.

16 Recommendation development Days day 1 1 Example: Time Procedure Chart of Importation by Sea 2 day 2 1 days 3 1 day 4 1 day 5 1 day day day day days 12 days Main processes 1. Prepare documents for import 2. Prepare to enter a seaport (Vessel) 3. Enter a seaport (Vessel) 4. Report cargo manifest 5. Unload cargo 6. Clear goods through customs 7. Arrange the transport for the pick-up of goods 8. Handle cargo at the terminal 9. Pay for goods Process

17 A Case Study: Selected Findings

18 Selection of corridors & products Corridor Countries Linked Distance, Total Distance, Transit Products Traded Corridor 1 (Nepal corridor) Kakarvitta-Panitanki-Fulbari- Banglabandha Corridor 2 (Bhutan corridor) Phuentsholing-Jaigaon-Hasimara- Changrabandha-Burimari Nepal India - Bangladesh Bhutan India - Bangladesh 1152 km # 54 km Lentil LAA* 630 km^ 115 km Orange Fruit juice Corridor 3 (Nepal corridor) Kathmandu-Birgunj-Raxaul - Kolkata Nepal - India 1287 km $ 1047 km Carpet CSO** *Lead acid accumulator **Crude soya bean oil #Kathmandu to Dhaka. ^Thimpu to Dhaka $Kathmandu to Kolkata

19 Business processes, time, cost (2013) Corridor Exporter Importer Products Procedures (No.) Time Cost Corridor 1: Kakarvitta- Panitanki-Fulbari- Banglabandha Corridor 2: Phuentsholing- Jaigaon-Hasimara- Changrabandha - Burimari Corridor 3: Kathmandu- Birgunj-Raxaul- Kolkata Exporter Importer Total (Day) (US$/TEU) Nepal Bangladesh Lentil Bangladesh Nepal LAA Bhutan Bangladesh Orange Bangladesh Bhutan Fruit Juice Nepal Third country** Third country* Nepal Carpet CSO *Excluding export processes **Excluding import processes

20 Use case diagram: Bhutan s import of fruit juice from Bangladesh 2. SHIP 2.1 Obtain Trade License RBP 2.2 Register for Import House Permit RTIO Bangladeshi Exporter 2.3 Obtain Import License DOT 1. BUY 2.4 Issue Letter of Guarantee RRCO 2.5 Arrange Transport Transporter Bhutanese Importer 2.6 Clear Goods at Burimari Border Security (India) Exporter s Bank Importer s Bank 3. PAY 2.7 Clear Goods at Changrabandha 2.8 Transport Goods to Jaigon & Phuentsholing 2.9 Complete Import Documentation 2.10 Obtain Import Declaration at Phuentsholing Border Security (Bangladesh) Customs (Bangladesh) Customs (India) CFA

21 Use case diagram: Nepal s import of LAA from Bangladesh 2. SHIP 2.1 Obtain Approval Letter AEPC Bangladeshi Exporter 1. BUY 2.2. Prepare and Collect Document Bank Clearing Agent Importer Bank Nepalese Importer 2.3 Appoint Clearing Agent NTWLC 3. PAY 2.4 Contact Customs, Arrange Transshipment, and Transportation Transporter Banglabandha Customs (Bangladesh) Exporter Bank 2.5 Customs Clearance at Transit and Kakarvitta Customs Phulbari Customs (India) Panitanki Customs (India) 2.6 Transfer of Goods to Destination Kakarvitta Customs (Nepal)

22 Use case diagram: Bangladesh s import of fresh oranges from Bhutan 1. BUY 2. SHIP 1.1 Conclude Sales Contract and Trade Terms 2.1 Opening of L/C 2.2 Verification of L/C by Exporter GOB Bank Bhutanese Exporter Bangladeshi Importer 2.3 Prepare Import Documents DCCI 3. PAY 2.4 Appointment of Transport Agency Transporter 3.1 Establish Payment Guarantee 3.2 Claim Payment for Goods 2.5 Appointment of Clearing Agent Clearing Agent 2.6 Customs Declaration Burimari Customs (Bangladesh) Importer Bank Exporter Bank 2.7 Customs Inspection and Border Clearance 2.8 Transport Goods to Destination Border Security (Bangladesh)

23 TPC: Export of lentil by Nepal in Corridor 1 Product: Lentil Time procedure chart Preparation of Customs documents Receiving payment

24 TPC: Export of orange by Bhutan in Corridor 2 Time procedure chart Product: Orange

25 TPC: Export of carpet by Nepal in Corridor 3 Product: Carpet Time procedure chart

26 Activity diagram: Export of oranges from Bhutan Getting labor permit

27 Activity diagram: Shrimp export from Bangladesh Exporter or Representative Prepare export document Exporter s Bank Industry Association Request EXP Form from bank Collect and complete EXP Form Receive request EXP Form Request Packer s Certificate Commercial invoice EXP Form Packing list Receive Certificate Compile documents for customs Verify documents Incorrect Correct Issue Certificate Packer s Certificate Commercial invoice EXP Form Health Certificate Packing list Insurance certificate L/C Quality Certificate Packer s certificate

28 Thank you