FAST FORWARD ISSUE 52 SYNCHRO-

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1 FAST FORWARD winter 2011 ISSUE 52 Standing Out through Outstanding Service NEUSS TRIMODAL NEW PARTNER VISION ON FUTURE FREIGHT TRANSPORT SYNCHRO- MODALity

2 FAST FORWARD CONTENTS Colophon Fast Forward, a business-to-business publication of ECT, appears three times a year. Please contact our Communications Department with any questions or suggestions you may have regarding the contents. 8-9 Copy Rob Schoemaker, Rob Wilken (editor-in-chief) Translation Niall Martin, Dean Harte Photography Eric Bakker (unless stated otherwise) Layout Ontwerpwerk, The Hague External coordination and printing RWP, Voorburg Chief editor ECT Rose Wiggers Europe Container Terminals (ECT) Europe Container Terminals (ECT) is the leading and most advanced container terminal operator in Europe, handling most of the containers at the port of Rotterdam. ECT operates three deep-sea terminals in Rotterdam: the ECT Delta Terminal and the Euromax Terminal Rotterdam (together with CKYH - the Green Alliance) on the Maasvlakte peninsula, close to the North Sea, and the ECT City Terminal in the Eemhaven close to the city centre. Through its European Gateway Services ECT offers customers a variety of services to facilitate the optimal flow of containers between the deep-sea terminals in Rotterdam and the direct European hinterland. In 2010, ECT handled more than 7 million TEU. ECT is a member of the Hutchison Port Holdings (HPH) Group, a subsidiary of the multinational conglomerate Hutchison Whampoa Limited (HWL). HPH is the world s leading port investor, developer and operator with interests in 52 ports, spanning 26 countries throughout Asia, the Middle East, Africa, Europe, the Americas and Australia. HPH also owns a number of transportation-related service companies. In 2010, the HPH Group handled a combined throughput of 75 million TEU worldwide. No rights can be derived from this publication. P.O. Box 7385, 3000 HJ Rotterdam, the Netherlands T +31 (0) E info@ect.nl W E egsinfo@ect.nl W Vision on Future European Transport The development of synchromodality, realising push systems and thinking in terms of flows. In the opinion of ECT, these are the most important elements for guaranteeing sustainable and reliable European transport in the future. The Pioneer of Synchromodality The synchromodal organisation of hinterland transport is currently a hot topic. The basis for the concept however was already conceived about ten years ago by Professor Jan Fransoo. Neuss Trimodal New Partner The European Gateway Services network is growing steadily. The latest addition is Neuss Trimodal, which offers customers new options for efficient and sustainable transport to and from Germany s Ruhr region. 2

3 winter 2011 COLUMN Standing Out through Outstanding Service These are uncertain economic times. Of course the effects are being directly felt in the container sector. Nevertheless ECT is continuing at full steam ahead in the interests of its customers. ECT President Jan Westerhoud: I recently outlined the three top priorities for 2012 to my staff. These are at number one the customer, at number two the customer and at number three the customer. News People make the Difference A-modal Booking, Synchromodal Transport Ready to Go! Road Transport Out of the Box Reefers via Inland Shipping Me and My Vessel Sustainable ECT Synchromodality matters One of the leading marine research agencies recently calculated that the average capacity of ships sailing in the Far East - Europe trade already amounts to 9400 TEU and is further increasing. How long ago was it that only the largest container ship could carry 8000 TEU? Scale does matter, this much should be clear. With ships only becoming larger and larger, call sizes are also increasing accordingly. We know that discharging 6000 containers and loading 6000 new ones in the shortest possible time will be no exception in the future. Not a problem for ECT; our deep-sea terminals have been fully geared to this. And not just on the sea side. At least as important is an optimal organisation of the conveyance of containers on the landside. It is especially there that ECT aims to and can make a difference for its customers as well. In the special publication The future of European freight transport (see page 11, ed) we explain how we are concretely implementing that in practice. Synchromodality plays a central role in this. It is a philosophy in which companies always have an equal choice between various modes of transport - barge, train, feeder, truck - at hubs and can easily switch between them when necessary. The result is an optimal sustainable and reliable transport system. A system that can however only work if high-frequency rail, inland shipping and feeder connections are available from the port to as many European destinations as possible. Due to the scale of the operations at our deep-sea terminals and the quality of Rotterdam s hinterland infrastructure - the river Rhine, the Betuweroute dedicated freight railway line - ECT is the place where this is possible. Via European Gateway Services we are already proving this in practice on a daily basis and we are constantly expanding the concept. Synchromodality is not an ECT toy. To further strengthen the already strong position of the Netherlands in global transport, a so-called Topteam Logistics comprising leading representatives from the worlds of business, government and science has (among other things) recommended the Dutch government to develop a synchromodal transport system in the coming years. Via European Gateway Services, ECT and its partners are in the vanguard of this. Just like we have led the way in innovation in the past and want to continue doing so in the future. Our customers can always count on us: both on the sea side and the landside. Jan Westerhoud President of ECT Fast Forward is also available as an app on your ipad. It can be dowloaded free of charge in the Apple App Store. 3

4 NEWS Fast Forward App with Many Extras You can now also read this paper edition of Fast Forward on your ipad using a special app. In addition to the regular content, the app offers you access to various extras. In video impressions, you can learn more about our latest partner in the European Gateway Services network Neuss Trimodal, watch from the quay as operations commence at the Euromax Terminal and see more details of the Hanjin Rotterdam. You will also learn about the similarities between ants, synchromodality and European Gateway Services. No Fast Forward app on your ipad yet? Download it for free in the Apple App Store right now. Easier and Faster Truck Handling at MCT Moerdijk Already More than 70 Green Awards for Barge Sector With the completion of a new, largely automated forecourt area and the introduction of the Cargo Card, the terminals of MCT and CCT in Moerdijk are ready for the faster handling of greater numbers of trucks. As a result, MCT is even better able to fulfil its role as an extended gate within ECT s European Gateway Services network. MCT is connected with the Maasvlakte by means of a daily barge service. This enables transporters to easily collect and deliver their containers in Moerdijk, preventing unnecessary trips on busy motorways. In the new lay-out of MCT s forecourt, a truck first passes through a so-called Photo Gate upon arrival. Here, cameras automatically record info pertaining to the truck plus container(s) and directly send on these data to the terminal system. At the new reception building, the driver can next choose between a faster do-it-yourself window or a staffed window. In both cases, identification takes place using the Cargo Card. Already very common in the Rotterdam port, the Cargo Card is a smart identification card which uses hand recognition. After having discharged and/or loaded the container(s) at the terminal, the truck departs again via the outgoing Photo Gate. Finally, a driver identifies himself one last time at the exit gate using the Cargo Card in combination with a hand scan. In this way, a truck is back on the road again in no time while the terminal can always rest assured that the driver has collected the correct container(s). The Green Award, the global quality mark for sea shipping since 1994, launched a separate category for the inland shipping sector in Inland shipping may be a sustainable choice anyway, but differences obviously exist within the sector itself. The aim of the Green Award is to create recognition and awareness of sustainable inland shipping and to stimulate this. Inland shipping owners which have their vessels certified can boost their image and, as the idea goes, will in the future be able to benefit from various incentives. The Green Award certificate furthermore constitutes an additional selection tool for shippers. Barges are inspected by the independent Green Award foundation, which assesses both the technical equipment aboard and the behaviour of the crew. More than 70 barges - including many from the container industry - have already been certified in this first year. More information: 4

5 NEWS TCT Venlo plans Expansion Barge Terminal Synchromodal Ants In response to the vast popularity of the barge terminal which officially came on stream in mid 2010, TCT Venlo is in an advanced stage of expanding its site by 0.7 hectares. The additional metres are created at the back of the terminal and are primarily intended as an addition to the available stack space. Several shipping lines use the barge terminal as a depot for the efficient repositioning of empty containers. The barge terminal of TCT Venlo is currently connected with Rotterdam three times a week and served by an Antwerp-bound barge twice a week. The problem-solving abilities of what initially seem like chaotically functioning ants show strong similarities with the efficiency of synchromodal transport. You can see this for yourself in the animation on the website or by scanning this QR code for your smart phone right now. Inland Container Giants to the South-eastern Netherlands Photo Danser The more cargo is consolidated, the better this is in terms of cost-efficiency and the environment. With this in mind, the inland terminals of TCT Venlo and Osse Overslagcentrale (OOC) together with barge operator Danser Benelux have taken the initiative for the deployment of an inland container giant comprising a motor boat and a push barge on the route between Rotterdam and the south-eastern Netherlands. The combined length of the push-barge combination is 186 metres, the maximum on-board capacity 360 containers. This makes it the largest inland vessel to navigate on Dutch waterway routes. From Rotterdam, the push barge is moved up to OOC while the motor ship continuous on to TCT Venlo. On the way back, the push barge, which has in the meantime been discharged and loaded at OOC, is collected again. Initially, two round trips a week will be carried out. The new cooperation serves as a good example of how ECT s European Gateway Services network is continuously further expanding. 5

6 NEWS Record Ship Hamburg Süd In October 2011, the Santa Catarina, a new record vessel of Hamburg Süd with a length of metres, made her maiden call to the ECT City Terminal. The Santa Catarina has a capacity of 7100 TEU and has no less than 1600 reefer plugs. New on Website: Transport Planner Widening Amazonehaven on Schedule The preparations for the widening of the Amazonehaven port basin at the Maasvlakte are well underway. ECT expects work on this port basin of the ECT Delta Dedicated East Terminal and the ECT Delta Dedicated West Terminal to concretely commence in early The project antici pates the trend among shipping lines to continuously launch more and more Ultra Large Container Carriers (ULCCs) with a capacity of 12,500 TEU and beyond. By widening the Amazonehaven from 255 to 310 metres, such ships can also always be optimally handled at both of ECT s deep-sea terminals in the future. The planning is to have the widening of the Amazonehaven completed in early As of December 2011, will feature a handy, interactive transport planner. For any given European destination, this planner will quickly show you the available options for reliable and sustainable transport via the network of European Gateway Services. The new tool enables you to enter the desired departure and arrival times of containers up to the hour; you will next be presented with your best transport options. 6

7 People make the Difference The staff of ECT have already been meeting the needs of customers for almost 45 years. In this series they discuss their drive. This time we meet Jacques van Wieringen, who has been an instructor for all equipment with a steering wheel for over twenty years, and Kelly van der Steeg, operational employee for three years now and currently in training to become a crane driver. Both work in the DUG division and as such can be deployed at all of ECT s deep-sea terminals. Why did you opt for ECT? Jacques: Originally I worked in the road haulage sector. Often I d be away from home for weeks at a time. I was ready for a more regular lifestyle and that s why I was happy to take up the opportunity ECT offered me in I became an instructor quite early on and it s work I still enjoy. Every day I m up for the job! Kelly: I used to work at a correctional facility. I started at ECT as a tugmaster driver, then learned the ins and outs of being radio operator on deck and radio operator on shore and now I m in training to become a crane driver. ECT appealed to me because I work well in a man s world and because of the round-the-clock shifts. That means a bit of extra money and relatively speaking you get a lot of free time. How do you experience the training opportunities at ECT? Kelly: As a crane driver in training I m currently working 35 days in a quay crane with an instructor alongside me. After that I can count on an additional 60 days of extra supervision where necessary. It s great to have my training at the ECT City Terminal, because that s known as the most difficult one. On the whole the vessels are smaller than those calling at the Maasvlakte. That means the work is very varied. Once I have finished this course I certainly want to go on to do more training courses. ECT offers all kinds of possibilities. Jacques: As instructors it s important to us that trainees show a steady improvement in their work. In that I strive to help them as much as possible. Men versus women Jacques: ECT still employs only a limited number of women in its operations. Personally I ve only trained one. Kelly: I have no problems working together with men. Men are straightforward and direct. At times they can really have a go at you, swearing and cursing, but the next day it s good morning! as usual. With women it doesn t work that way. In what ways does ECT stand out for the customer? Jacques: Ships that have fallen behind schedule elsewhere can make up the lost time on their sailing schedule at ECT. What s more, at ECT customers can pick up a container as soon as it s been taken off the ship and put in the stack. At other terminals that s often impossible. Kelly: ECT has loads of experience, knows what it s all about. At other terminals you will be absolutely losing out in terms of service. What s your personal contribution to customer satisfaction? Kelly: I often work on board the ships and I m conscious then of being ECT s calling card. After all, when I m in a shop I also want to be served nicely and efficiently. Good service helps to build up the bond with customers. Jacques: Given my previous work as a truck driver I m always extra motivated to help them in particular to get on their way as quickly as possible. 7

8 ECT s Ongoing Drive: Standing Out through Outstanding Service These are uncertain economic times. Of course the effects are being directly felt in the container sector. Nevertheless ECT is continuing at full steam ahead in the interests of its customers. ECT President Jan Westerhoud: I recently outlined the three top priorities for 2012 to my staff. These are at number one the customer, at number two the customer and at number three the customer. Consumers drive the economy. If they are confident, the economy ticks over nicely. But in the current market conditions that s almost impossible, says Jan Westerhoud. Stock market prices are totally unpredictable, the eurozone crisis is centre stage, pensions are under pressure and consumer spending power is being eroded because governments have to implement major spending cuts. The ECT President is very concerned about the future. There is huge uncertainty at the moment: amongst consumers, amongst our customers, within our company and within the market as a whole. Our economic model is faltering. No-one knows what the future will bring. And where are the leaders that have to bring back faith and trust. Customer, Customer, Customer Westerhoud sees the uncertainty about what tomorrow will bring as a given. Now it all comes down to navigation skills. Only by standing firm can ECT continue to steer the right course. ECT has no influence over the economy, knows Westerhoud. So we re fully concentrating on those aspects over which we do have control and where we can stand out even more. In this the customer is always ECT s first point of departure. I recently outlined the three top priorities for 2012 to my staff. These are at number one the customer, at number two the customer and at number three the customer. Continuous Product Improvement Optimum service at realistic tariffs and constant innovation to help boost the customer s business (and that of his customer) - that s what Westerhoud aims to achieve. Our core business is and remains the fast and efficient handling of containers at our deep-sea terminals. In close cooperation with our customers we re constantly working to further improve our product. The current market conditions present an additional challenge in this regard. We have to cope with a rapid succession of peaks and troughs in container volumes. Managing this flexibly while taking the shipping lines needs and wishes into account is crucial. We re getting better and better at this. ULCC Port of Choice In keeping with the uncertain market conditions Westerhoud finds it is very difficult to predict trends in container volumes for Looking at the market as it is now, I would say that a result in line with 2011 would be a major achievement 88

9 over Rotterdam does however have a major advantage in Europe because of its excellent access for Ultra Large Container Carriers (ULCCs) with a capacity of 12,500 TEU and more. From the North Sea these giants can be moored at the ECT terminals on the Maasvlakte in little over an hour. What s more, there are no tidal limits. The more ULCCs being taken into service over the next few years, the more we will be able to stand out from the competition. For this reason Westerhoud is happy with the current work to widen the Amazonehaven port basin. As a result the ECT Delta Dedicated East Terminal and the ECT Delta Dedicated West Terminal will become even more easily accessible for ULCCs in the future and will be able to compete with Maasvlakte 2 capacity when taken into operation. The more ULCCs, the more we can stand out In close cooperation with our customers we re constantly working to further improve our product. Further Development Feeder Product With the introduction of increasing numbers of ULCCs and Rotterdam s growing role as an European hub we at ECT definitely will make a point of continuing to invest in further improvements of our feeder product, Westerhoud 9

10 From the North Sea container vessels can be moored at the ECT terminals on the Maasvlakte in little over an hour. continues. ECT already commands a strong position in this particular market segment. By further boosting reliability and creating tailor-made solutions we plan to make ourselves even more attractive. Important considerations in this respect are the optimisation of available quayside space and the streamlined handling of feeders in relation to the deep-sea vessel. We re well aware that efficiency determines whether a feeder operator is making money or losing it. But the terminal performance and costs are only a small part of the total cost of ownership for feeders. Rotterdam should be aware of competing ports in Western Europe. We want to keep expanding our network of inland terminals and sustainable links Further Expansion Inland Network ECT will also continue to invest unabated in its operations on the landside. Our European Gateway Services has booked impressive successes. We want to carry that forward and continue to expand our network of inland terminals and sustainable links. The recent cooperation agreement with the Neuss Trimodal inland terminal is a good example - and certainly not the last (see also our feature on page 18-19, ed.). I m convinced that with European Gateway Services we re still only at the beginning. What s more, the cooperation with Neuss Trimodal again shows that you don t necessarily have to acquire inland terminals to expand your network, but that you can also cooperate on the basis of quality and know-how. Continuous Innovation is Imperative And so ECT keeps innovating with its customers in mind. A pilot with synchromodal transport between Rotterdam and Tilburg in the south of the Netherlands running until the spring of 2012 is a good example, Westerhoud believes. Alongside the MCT inland terminal in Moerdijk and the Barge Terminal Tilburg major shippers such as Samsung, Sony and Fuji Film are actively involved. This pilot centres on always opting for the best transport mode for the customer s situation: inland shipping, rail or truck. Continuous innovation is imperative, Westerhoud continues. ECT is market leader in Rotterdam and wants to remain so. Changing market conditions however mean this is far from self-evident. The past has made us into what we are now, but it isn t going to take us any further. By doing what we do, and doing it well, we will have to raise our profile in the market even more. That s of course also the kind of drive you can expect from a market leader. We simply aren t followers. Setting the trend is what drives us. Maasvlakte 2 Jan Westerhoud doesn t want to say too much about it. ECT s position concerning the pace in which Maasvlakte 2 - Rotterdam s new port area in the North Sea - is to come online is known, acknowledged and underpinned by an independent report by Policy Research Cooperation. 10

11 ECT publishes Vision on Future European Freight Transport The development of synchromodality, realising push systems and thinking in terms of flows. In the opinion of ECT, these are the most important elements for guaranteeing sustainable and reliable European transport in the future. Our vision has been laid down in the special publication The future of freight transport. The first copy was presented to Dutch minister of Infrastructure and the Environment Melanie Schultz van Haegen on the 30 th of November Despite the current economic problems, it is generally expected that global cargo transport will continue to grow substantially in the future. The challenge for Europe is to be ready for this, both in terms of capacity and the widely supported ambition to organise transport in a far more sustainable manner. Synchromodality offers the solution. The concept is synonymous with an optimally flexible transport system in which companies can always make a smart choice between various modes of hinterland transport at hubs and, depending on the circum stances, can easily switch between them when necessary. Thus, synchromodal transport leads to a higher degree of cost efficiency, more sustainable operations and an optimum usage of resources and infrastructure for all parties involved. Push instead of Pull Synchromodal transport furthermore implies making optimum use of the factor time: push instead of pull. Containers no longer remain at the deep-sea terminals in anticipation of action on the part of the recipient (pull), but are directly moved by barge or train to the inland terminals in the hinterland in a pro-active fashion (push). The other way around, the timely supply of export cargo at the inland terminals enables the deep-sea terminal to also call in containers by barge or train. Both flows prevent the logistics system from becoming more and more vulnerable as a result of transport always and only being carried out by truck - too late - during peak times, allow for the optimum deployment of sustainable transport by rail and inland shipping and lead to a better organisation of logistics chains with reliable (just-in-time) delivery from the inland terminals. With European Gateway Services, ECT is already concretely implementing this in practice right now. Combination Seaport Airport The future of freight transport however focuses on more aspects: the importance of proper data exchange, for example. ECT also sees opportunities for the Netherlands to more explicitly position itself in the world as a combined seaport (Rotterdam) and airport (Amsterdam Schiphol). The proximity of the two allows for the creation of a univocal logistics chain for companies. Lastly, ECT also concludes that more efficiency is needed in the European transport sector. Annually, the European cargo transport sector generates more than 400 billion euros. The average occupancy rate of all this transport however currently is below 45 percent. Increased cooperation within the logistics chain to raise this occupancy rate to, for example, 70 percent can consequently have a massive impact. Read The future of freight transport The future of freight transport is available in both Dutch and English and can be downloaded from the website of ECT, > news. You can also request a paper copy. Send an with your name and address to info@ect.nl and you will receive the publication by mail as soon as possible. 11

12 A-modal Booking, Synchromodal Transport Synchromodal transport is currently taking concrete shape in a pilot between Rotterdam and Tilburg in the south of the Netherlands. Wil Versteijnen, Managing Director of GVT Group of Logistics: Of the 12,000 trucks a year which we currently still dispatch to the Maasvlakte over the A15 motorway, at least 50 percent must have been taken off the road by 2012; our ultimate aim is 100 percent. Through subsidiaries Barge Terminal Tilburg and Railport Brabant, GVT arranges the transport of containers from the port of Rotterdam to many European distribution centres in the south of the Netherlands (Tilburg, Eindhoven regions). Five barges and two daily rail shuttles constantly ply back and forth to this extent. The logistics service provider however also still needs to deploy 12,000 trucks annually to move the cargo from the large deep-sea terminals at the Maasvlakte. Concrete Pilot An ideal starting point for organising a synchromodal pilot, concluded a number of parties. The synchromodal organisation of transport is a new way of ensuring that the port remains optimally accessible in the future. With synchromodality at hubs such as a deep-sea terminal and/or an inland terminal, parties can always select the most appropriate option for every particular situation from various modes of hinterland transport. Supported by the Netherlands Organisation for Applied Scientific Research TNO, GVT, ECT (through European Gateway Services), the MCT inland terminal in Moerdijk, transporters Danser Peter Struik, Fuji Film More Sustainable and Cost-efficient Transporting the vast majority of containers by barge or train and only time-critical cargo by truck. If the synchromodal pilot properly manages this, then hinterland transport can be made even more cost-efficient and sustainable. Although we are already quite satisfied with the current method in which our inland transport has been organised we use inland shipping a lot those are important aspects for us to participate. Containerline and DB Schenker and GVT s customers Samsung, Fuji and Sony want to experience how synchromodal transport works in practice and which bottlenecks may possibly occur. A-modal Booking In the pilot, which runs until April 2012, GVT is in control, explains Paul Ham, General Manager Business Development at ECT. They determine the mode of transport which will be used to move a container from our deep-sea terminals at the Maasvlakte to the hinterland. To achieve this, it is imperative that the customers of GVT start booking a-modal. Instead of ordering the logistics service provider to make use of a specific mode of transport, they give GVT carte blanche in that respect. The only thing they need to communicate is the time at which the container should be at their front door. It is next up to GVT and its partners in this pilot to actually make this happen and select the best possible mode of transport for each individual situation. The allowable transit time determines the mode of transport. Extra Options via MCT With their own barge services, rail connections and trucks maintaining connections with the deep-sea terminals of ECT, GVT has a good starting point for the organisation of synchromodal transport. An extra dimension is added to the pilot through the use of the MCT inland terminal in Moerdijk - an extended gate of ECT - halfway between Rotterdam and the south of the Netherlands. Ham: GVT will also book containers through European Gateway Services. After having been discharged from a deep-sea vessel, these containers are immediately moved by the European Gateway Services barge of Danser to MCT. There, GVT can collect them using either a smaller barge or a truck. An added benefit is that GVT can easily exchange empty containers at MCT. Versteijnen adds: We want to do away 12

13 Wil Versteijnen: With own barge services, rail connections and trucks, GVT has a good starting point for the organisation of synchromodal transport. with the truck trips to the Maasvlakte over the busy A15 motorway right through the port. Synchromodality makes this possible. Of our 12,000 trucks per annumn that now still drive to the Maasvlakte, at least 50 percent must have been eliminated by 2012; ultimately, our aim is 100 percent. Despite the improved performance of the deep-sea terminals in recent years, we still see a decline in the kilometre performance of our trucks. Partly due to the 48-hour working week which nowadays is mandatory in the road transport sector, it is often no longer possible to go back and forth between Tilburg and Rotterdam twice a day. Furthermore, I fear that the hours syndrome, in which everyone wants to receive their containers at that specific time early in the morning, simply cannot be solved. We want to do away with truck trips over the busy A15 motorway Various Challenges During the pilot, we will undoubtedly encounter hick-ups, says Ham. For customs-technical reasons, a container which for example has been planned on a barge cannot just like that be moved by truck. And insurance conditions vary for each mode of transport as well. The pilot is also aimed at chartering - and solving - these kinds of administrative, legal and operational bottlenecks. Furthermore, the participating shippers have indicated that they want to continue to be able to keep tabs on their cargo. Exactly which information they need and how this can be organised is also covered in the pilot. Highly Frequent Connections As ECT, we will also be able to use the practice-based findings of the pilot for other destinations which we serve via European Gateway Services in the future, concludes Ham. Offering synchromodal transport solutions will make Rotterdam and ECT even more attractive. We have the scale and volumes for highly frequent connections; a claim which no other location in Europe can rival. Once again, the General Manager emphasises that it is crucial that customers start booking a-modal. If the customer indicates the required arrival time of the container, then we will see to it that the box is efficiently moved to the hinterland in an optimally sustainable manner using such modes of transport as train and inland shipping. 13

14 The Pioneer of Synchromodality 80 percent of the hinterland transport can be carried out using a slower, cheaper and more environment-friendly mode of transport. It must already be some ten years ago that we first developed models at the university to charter the effects of using various modes of hinterland transport in a parallel fashion, says Jan Fransoo about the initial stages of thinking about synchromodal transport. Under the title Quick and Smart, we proved that shippers can have 80 percent of their hinterland transport carried out using a slower, cheaper and more environment-friendly mode of transport (inland shipping or rail, ed) and that speed (truck, ed) is only of relevance in 20 percent of all cases. The business community was initially quite slow in adopting Fransoo s recommendations in practice. Until a couple of years ago, that is. With ECT, there is now a logistics service provider which offers various modes of transport alongside one another. Fransoo also thinks that the growing congestion in Europe plays a role. In addition, companies are paying more and more attention to sustainability. The consolidation of volumes is essential But where does the name synchromodality come from? Fransoo: I first introduced the term in a conversation with Wando Boevé, Director Marketing & Sales at ECT, to make clear the difference with intermodal transport, in which the choice is known beforehand: inland shipping with connecting road transport or rail with connecting road transport. The starting point of synchromodal transport however is that various modes of transport are offered alongside one another at a hub; depending on the circumstances, customers can select the most appropriate mode of transport up till the very last moment. It was Boevé who next really introduced this concept to the market and further shaped it via European Gateway Services, says the professor while modestly crediting the ECT director. Data Exchange Crucial The realisation of a synchromodal transport system is not that easy. The consolidation of volumes is essential in this respect. Only then frequent connections are possible between all the hubs using all three modalities: rail, inland shipping and road, explains Fransoo. In the Ultimate project which is organised by the Dutch Institute for Advanced Logistics Dinalog (of which Fransoo is Vice-President) coordination mechanisms are developed from different angles to stimulate a working system. ECT and Brabant Intermodal (a collaboration of five Dutch inland terminals in the south of the country) are two participants from the business community in this project. Fransoo: One of the challenges ECT is currently facing is that they do not always know what the next destination is when discharging a container from the 14

15 The synchromodal organisation of hinterland transport is currently a hot topic. The basis for the concept however was already conceived about ten years ago by Jan Fransoo, Professor of Operations Management and Logistics at the School of Industrial Engineering of the Eindhoven University of Technology in the south of the Netherlands. It is just one of the many positions which Fransoo holds in order to raise logistics to a higher level. deep-sea vessel. Brabant Intermodal however often does know, but they in turn do not know when specific containers have been released for onward transport at the deep-sea terminal. Within a much broader range of criteria such as the destination and the priority of a container, the professor therefore thinks that improved data exchange is the most important factor for being able to constantly make the right choice at a hub between, for example, transport by inland shipping or truck. Data exchange is really crucial. In principle, all the necessary information is actually available within the logistics chain, but not everybody is always willing to share that data. The benefits must therefore be made clearer. I am convinced that if this is done, parties will indeed be willing to cooperate. New Logistics Services In practice, an inland terminal operator such as Brabant Intermodal and a deep-sea terminal operator such as ECT collectively have virtually all the information at their disposal to organise the hinterland transport in a synchromodal fashion. It would of course be even better if the shipping lines cooperate, but this is not truly essential. Just look at how ECT manages to organise the hinterland transport with its own inland terminals. A passionate scientist such as Fransoo in that respect sees opportunities for new logistics services. As a spin-off of the organisation of their own hinter land transport, ECT and Brabant Intermodal could also market their combined know-how to third parties. Coordination creates efficiency. If you manage to do this properly, then parties will be willing to pay and the sky is the limit. Why would a subsidiary of ECT and Brabant Intermodal not be able to organise the hinterland transport of, for example, the port of Barcelona? Increasing Reliability The Ultimate project also aims to increase the reliability of the logistics chain. Fransoo: Where the current unreliability lies is not known. ECT knows this for its own environment, the inland shipping sector in relation to their own travel times etc. Those different variations can reinforce (read: worsen) one another, but when addressed properly can also mitigate each other. In the Ultimate project, all possible variables for success or failure are therefore brought together in optimisation models. The aim is that the end user will ultimately no longer notice any variations. The agreed-upon time is the agreed-upon time. You may arrive early at one hub in the logistics chain and late at another, but in the ideal world the customers should not notice any of this in terms of the agreed-upon delivery time. Here as well, a coordinating party is needed to organise this. This can be a shipping line or a forwarder, but also European Gateway Services can do the job. 15

16 The 8236-TEU YM Upward moors at the Euromax Terminal on a cold November evening at exactly hours. The first contact with shipping line Yang Ming about this visit already transpired weeks earlier. The ship was next entered into the ECT terminal system, the vessel was allocated a provisional berth and the electronic data exchange about the cargo was set in motion. The closer to the time of arrival, the more intensive and concrete the preparations become. Taking into account the wishes of the customer and the stowage aboard, the number of cranes and teams used to handle the vessel are determined on the day itself at hours. First five cranes will be used; a sixth one will be added after the first shift change. In total, the Euromax Terminal has to discharge more than 2900 containers and load over 1300 boxes. In constant consultation with the central planner of Yang Ming, the ship planner of the Euromax ensures that the cargo will be stowed in an optimum manner, also taking into account particulars such as off-standards, hazardous cargo, etc. Ready and Waiting on the Quay On the quay, the preparations for the handling of the YM Upward have been set in motion hours prior to the arrival of the vessel. The teams have been briefed and the quay 16

17 Ready to Go! Long before a deep-sea vessel enters the port, ECT is already busily preparing her arrival. All with the aim to ensure that operations can commence as soon as the ship lays moored alongside the quay. The visit of the YM Upward to the Euromax Terminal Rotterdam is a good example. cranes tested; special cargo has been readied in the on-wheels stack, chassis for the stacker crates wheeled onto the quay and a reserve spreader has been put on standby so that operations can continue unhampered should a crane malfunction. At hours, the YM Upward turns into the Yangtzehaven. Tugs and boatmen ensure that the vessel is tightly moored alongside the quay at hours. By now, the quay is bustling with activity. The teams of ECT are ready and waiting, as are the employees of the lashing company which will unlash the containers aboard the vessel. For the top rows of containers, this is done using gondolas which hang underneath the quay cranes. The official start of the operation is the moment when the ship has lowered her gangway. At hours the time has come and the gondolas immediately embark on their trips between the rows of containers. An intensive job: at all the gondolas are ready. As if by themselves, Automated Guided Vehicles spring into action from the stack and the first containers are taken off the ship by the quay cranes. The Euromax Terminal is in full swing! You can view a short video of the start of the operation on the Fast Forward app for ipad, which can be downloaded free of charge in the Apple App Store. 17

18 Neuss Trimodal New Partner in European Gateway Services The Neuss Trimodal management team (from left to right): Ulrich Altmann, Katja Benteler and Karsten Scheidhauer. the two managing directors of this ISPS-certified terminal, which is expected to gain AEO-status (Authorised Economic Operator) within the foreseeable future. The city of Neuss is situated in the German state of North Rhine Westphalia, nestling on the left bank of the river Rhine across from its considerably larger counterpart Düsseldorf. In this heart of the Ruhr region, Germany s leading economic centre, Neuss Trimodal acts as a key hub. The terminal, which stretches over thirteen hectares, currently boasts 230 metres of inland shipping quay with two gantry cranes and eight rail tracks measuring a total of 4300 metres. Here eight reach stackers do the work. With these facilities Neuss Trimodal handled more than 300,000 containers in 2010, equal to some 450,000 TEU. Through a regular schedule with seven barges and 39 trains a week the inland terminal is linked up with North-western Europe s seaports and various destinations into the European hinterland (see box). Further connections and day by day use, are completing the fixed possibilities. What s more, on peak days we have around 1000 trucks at the gate to take care of local deliveries to and from the terminal, says Ulrich Altmann. He s one of Saving an Entire Day Four times a week Neuss Trimodal links up with Rotterdam by rail via the Quirinus Express service operated by rail operator Optimodal (a subsidiary of Kombiverkehr) and by water via Rhinecontainer s barges also four times weekly. From now on these services are available under the flag of European Gateway Services. Managing Director Karsten Scheidhauer: We believe in the European Gateway Services philosophy. This concept makes the difference. Shipping lines, forwarders and shippers can book the destination Neuss Trimodal through European Gateway Services central booking desk. Subsequently ECT will ensure that containers are shipped on by train or barge immediately after discharging from the deep-sea vessel. The service will also enable customers to only complete customs formalities once in Neuss. Time-wise, customers can count on saving an entire day, says Operations Manager Katja Benteler. Gradual build-up Neuss Trimodal has high expectations of the partnership. Scheidhauer: ECT is a big name. Becoming part of their European Gateway Services network can raise Neuss Trimodal s profile in Europe and indeed in the rest of the 18

19 The European Gateway Services network is growing steadily. The latest addition is Neuss Trimodal, which offers customers new options for efficient and sustainable transport to and from Germany s Ruhr region. The inland terminal maintains daily connections via both rail and inland waterway with ECT s deep-sea terminals in Rotterdam. What s more, Neuss Trimodal has onward links to Austria, Hungary and Italy. world. As far as Neuss management is concerned, the biggest challenge lies in ensuring that as many containers as possible now still being transported across Europe by truck switch to inland shipping or rail. The cargo is on the road. But it has to get off. European Gateway Services is an excellent concept for achieving that. Both parties have explicitly opted to build up the cooperative venture by degrees. The first shipments under the aegis of European Gateway Services have already taken place, but the two partners only expect to be operating full swing in around February or March of You may well want to accelerate from zero to 100 km an hour in under two seconds, but slowly and surely is preferable, says Scheidhauer. You have to get to know one another and get a feel for one another. highly motivated and flexible staff. Every player in the sector has cranes and capacity. The difference lies in the people using them. More Investments Of course hardware remains a key factor as well. Neuss Trimodal has many plans for the future. In addition to a modest expansion of stack capacity resulting from a relocation of the maintenance and repair centre, 2013 will see the construction of a ninth railway track of 650 metres long and the purchase of two additional gantry cranes. At the same time the length of the quay will be increased to 900 metres. Scheidhauer: The total investment comes to Euro 11 million. The new cranes are intended specifically to enable rapid barge-rail, rail-barge and rail-rail transhipment. In addition Neuss Trimodal expects to have completely new terminal software fully installed and up and running by the spring of 2012, an investment to the tune of Euro 1.8 million. With input from Neuss Trimodal itself, the software is currently being developed to meet the specific needs of trimodal terminals. Altmann: We started off by looking at existing terminal systems, but found they were either optimally suited to inland shipping or for rail. Our new intelligent software will enable us to work 25 to 30 percent more efficiently in the future, so we will be able to handle many more containers. You can view a short video impression of Neuss Trimodal on the Fast Forward app for ipad, which can be downloaded free of charge in the Apple App Store. Neuss Trimodal s Connections Inland shipping (number of connections weekly) Rotterdam 4 Antwerp 3 People Business It s not systems alone that make a terminal stand out, of that the management team is convinced. One of Neuss Trimodal s greatest strengths is its almost 80-strong workforce. The company invests heavily in its staff, as various awards adorning the walls of its offices testify. Our staff is the bedrock of the company. Lots of companies say the same, but we really make it our mission. We are convinced that we stand out from the competition because of our Rail (number of connections weekly) Rotterdam 4 Antwerp 5 Hamburg 5 Gallarate (Italy) 5 Graz (Austria) 4 Vienna/Budapest 10 Vienna/Wels 6 19

20 Road Transport Out of the Box Joosen Transport in the Belgian city of Brecht, makes full use of ECT s nearby MCT extended gate in Moerdijk by having its containers shipped by barge from the deep-sea terminals in Rotterdam. Director Kurt Joosen: The greatest strength of road haulage is its speed. As long as MCT is able to match that via European Gateway Services, we re able to profit from the cost advantage, particularly during busy periods. Inland terminals are proving a powerful competitor for road haulage. After all, they take a large number of kilometres off the road. Viewed in terms of traffic congestion and the environment this can only be a good thing, but the fact remains that it eats into road hauliers turnover. It would therefore be interesting if the road transport sector were to view inland shipping as an opportunity rather than a threat - an opportunity to boost the efficiency of their own services provision, even over very short distances. A Tip from Kurt Joosen In an ideal world, every innovation would go smoothly from the start, as would use of the barge in the road transport sector. The reality is that there are always a couple of things that need ironing out. Container cargoes transported by road for example are insured for a certain amount per kilo (CRM Road). However cargo transported by barge has significantly lower cover per kilogram. Should there be damage this could result in serious problems, particularly in the unlikely event of a barge having sunk. Kurt Joosen advises: Avoid unwelcome surprises. Always inform the insurance company when using multi-modal transport. Kurt Joosen does not lack vision. The director of the mediumsized container transport company (47 trucks, 10 fixed charters) situated almost midway between Rotterdam and Antwerp in the Belgian town of Brecht proved five years ago that he could think out of the box when he set up the website Eurotranscon.com. Via this website road hauliers can swap rides with one another to avoid journeys with empty trucks. In addition the website functions as a platform for swapping empties without having to go via the depot. Around a hundred hauliers from Belgium and the Netherlands are affiliated to the network. Joosen Transport saves some 10,000 kilometres a day by combining with others. And that s just Joosen Transport: the kilometres of the other hauliers working within Eurotranscon.com come on top of that. We ve done it all under our own steam, emphasises Joosen. There s never been a single politician who has ever given environmental subsidies to road transport. He adds: Empty kilometres are a horror for road hauliers, of course. They only cost money. Avoiding empty kilometres however is a case of working together and meticulous planning. Internet enables us to reach a very large number of colleagues at once at the single touch of a button. The hauliers linked up to our Eurotranscon.com website would rather give rides to colleagues than drive half the trip empty. What s more, at times when drivers are scarce it creates more capacity opportunities. There are only advantages. 20

21 By using MCT in Moerdijk we are actually saving money. Overcome Natural Resistance Even so Joosen has also found that in a conservative sector such as road transport, hauliers have to overcome a great deal of their own natural resistance in order to allow outsiders an inside look into their business. Transparency can be threatening, particularly for the older generation, Joosen says. They were used to playing their cards close to the chest. Because after all we re all fishing in the same waters. By Inland Shipping to Moerdijk Joosen s basic philosophy is an open mind and common sense. For hauliers old-fashioned driving from A to B is no longer enough. The tariffs aren t up to that. That s also why we sought cooperation with the MCT inland terminal in Moerdijk. From Rotterdam we had a flow of some 20 to 30 twenty-foot containers with heavy metals a week. Originally we used to fetch them from Rotterdam Shortsea Terminals and the ECT City Terminal and transport them to our stack in Brecht, after which we delivered the containers just in time to our customer. But then we discovered that when in busy periods we would disregard the costs and have a number of the containers shipped by barge to MCT in Moerdijk as part of European Gateway Services, we were actually saving money. It saves on mileage, it saves on time lost in possible traffic jams, time waiting at the terminals and in busy periods it frees up capacity in terms of drivers and chassis. It all goes very smoothly at MCT, particularly now their new gate is operational. In and out in no time. Their opening times in the evenings and at night contribute to the smooth flow as well. At the same time we can deliver to our customers just in time from MCT instead of from our own stack if necessary, so that saves on handling. For us, the entire concept hinges on speed in barge time and terminal handling, otherwise there would be no point. Speed and flexible decision-making are, after all, road haulage s unique selling points. As long as MCT can give us this required speed, it s a win-win. That doesn t mean that Joosen always wants to do everything by barge. If he has export containers bound for Rotterdam or empty containers for delivery in Rotterdam (not all shipping companies maintain an empty depot in the region) then of course his own driver will take the import container. You have to keep calculating what works out best. More information: and Joosen Transport saves some 10,000 kilometres a day by combining with others 21

22 Reefers via Inland Shipping Photo Waterwegen en Zeekanaal NV In a joint project with snack foods multinational United Biscuits, the TCT Belgium inland terminal - one of ECT s extended gates - has laid the foundations for the transport of reefer containers efficiently between seaport and hinterland by inland shipping. It started with a Belgian route, but TCT Belgium can now also offer this type of extra service to and from Rotterdam. Customers are definitely interested, says Managing Director Martine Hiel. Inland terminals are playing an increasingly bigger role when it comes to hinterland logistics. The transport of reefer containers however poses a particular challenge, because the cold chain may of course never be broken. In Belgium snack foods manufacturer United Biscuits - well known for brands such as Sultana, Verkade and Tuc - has taken up the challenge, together with its logistics services providers Kuehne + Nagel and DB Schenker, waterways utility Waterwegen en Zeekanaal NV and the inland terminal TCT Belgium in Willebroek. Within a wider-ranging sustainability programme aimed at cutting its carbon footprint, United Biscuits has teamed up with these partners to realize a modal shift from warehouse to seaport. And it s been a success. After an extensive study and pilot, the official start came on October 4, 2011 to transfer the export of reefer containers from the road to inland waterways. Reefer containers now only travel a couple of kilometres by truck from the warehouse to TCT Belgium. From here they are transported onwards by barge to Antwerp. Compliance with Wide Range of Requirements On the face of it, the modal shift appears simple. In practice however it meant a wide range of conditions needed to be met. In this the inland terminal had an important role to play - as did cooperation from deep-sea shipping lines. Because the equipment is expensive and consequently demands a high rate of turnaround, shipping lines prefer to store their empty reefer containers at the seaports. As part of the project with United Biscuits this has changed when it comes to TCT Belgium. For a number of shipping lines the inland terminal now also functions as an empty depot for reefer containers. This enables a rapid exchange of full and empty containers with the United Biscuits warehouse, and that in turn cuts out unnecessary road kilometres with empty reefer containers from the seaport. TCT Belgium of course has invested in reefer plugs for its terminal so that full reefer containers can be linked up to the electricity grid from the moment they arrive right up until the point of departure. The barges operated by Danser Containerline are equipped with the necessary reefer plugs as well. Martine Hiel: To start off with we have twelve reefer plugs at the inland terminal; we however can increase this number in line with volume developments. The same goes for Danser. Also on the TCT Belgium - Rotterdam Route For United Biscuits, the completed pilot has shown that the new way of working yields economic benefits. In addition it cuts back carbon emissions by 31 percent compared with transporting the reefer containers to the seaport by road. Hiel: Selfevidently the basis established by this project enables us at TCT Belgium to organise a modal shift in reefer transport for other companies as well. That s certainly also true of the route to Rotterdam, with which we maintain a daily inland shipping link. 22

23 ME AND MY VESSEL For Captain Pag Chol (44), the Korean master of the Hanjin Rotterdam, this is already the second time his ship (taken into commission in April 2011) moors at the Euromax Terminal Rotterdam. Of course, this is also where the bunkering takes place and provisions are taken on board before the Hanjin Rotterdam heads back to Asia. In Hanjin s Asia North Europe Service 6, Rotterdam is the ship s last port of call in Europe. Hanjin Rotterdam The Hanjin Rotterdam was taken into commission April 14, 2011, and built by Hyundai Samho Heavy Industries. Flag Panama Length 336 metres width metres TEU-capacity 8600 Crew 10 Koreans, 10 Indonesians Loop Asia North Europe Service 6 in 70 days: Kwangyang, Pusan, Ningbo, Shanghai, Xiaming, Hong Kong, Yantian, Suez, Algeciras, Felixstowe, Hamburg, Rotterdam, Suez, Singapore, Kwangyang. Most exciting experience at sea? On my first trip as an apprentice officer in 1990, I witnessed a sunrise and a sunset between Korea and Australia. It was at that moment that I definitely decided to further pursue my career at sea. I experienced less aesthetic but definitely also exciting moments as Captain of a container vessel in a raging storm near Alaska with no chance to get out of the way and a 40-degree heel. Is this it? I wondered and thought of my wife and son in Pusan. Why is Captain the best job in the world? It s a job that offers so many opportunities and makes so many demands on your skills. In some ports, such a large ship as this needs to be manoeuvred through very narrow passages. That is a fantastic experience. Favourite dish on board? Our crew consists of ten Koreans and ten Indonesians. Our cook is skilled in both cuisines, so I enjoy my Kimchi Zige (Korean dish, ed). I also sometimes eat Indonesian gorengs. If I want to brag about this vessel, I would say... All the computer systems are dual; communication, navigation, steering, radar, etc. That is very safe. The manoeuvrability of the ship is excellent. Nicest places in Rotterdam? As captain of a container vessel, the nicest place in Rotterdam is mainly the port. Our schedule is tight so the dwelling time is very limited. Rotterdam is a busy port but due to the sophisticated Vessel Traffic Management System it is also a very safe and comfortable one. So well organised. See more of the Hanjin Rotterdam on the free Fast Forward app for the ipad which you can download in the Apple App Store. 23

24 Sustainable ECT Examples of ECT s Initiatives for Sustainable Entrepreneurship Cutting costs and emissions In the Light of saving Energy Along the stairwells and gangways of all the quay cranes at the Euromax Terminal Rotterdam the traditional fluorescent lighting has been replaced by led-lighting. A thousand units in all, so says Senior Maintenance Engineer Pascal Vermeulen. Led lighting saves energy and although the initial purchase price is higher, in the long run leds are more cost-efficient. The lifespan of led lighting is estimated at around ten years, compared with traditional fluorescent strip lights which on average need replacing after just a year. Calculations indicate the initial investment in led lighting will be recouped within five years. At the same time using led lighting reduces power consumption by almost 80,000 kwh, equivalent to cutting carbon emissions by nearly 45,000 kilograms and sulphur by some 33.5 kilograms. Relatively modest figures, but above all the start of something more, says Vermeulen. The introduction of led lighting for the quay cranes has prompted us to see what more we can do in the way of light saving on the already environmentally efficient Euromax Terminal, without making any concessions in the way of safety. An example is the fluorescent lighting used on the reefer platforms in the stack. Those lights stayed on round the clock, when actually they are only needed when the reefer technicians come to check the temperature of the containers. So now we ve set up the lights to click on in response to the access check the technicians do to get to the platform. In this way there are many more ideas for saving on lighting currently being investigated, both in the stack and across the entire terminal site. And that is not only at the Euromax Terminal but at all the other ECT locations too. 24

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