INDUSTRY 4.0. MILOS IOT (Internet of Things) Solution

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1 INDUSTRY 4.0 MILOS IOT (Internet of Things) Solution 2017 Copyright Circle Srl May, 2017

2 Digital disruption scenario Maersk s CEO has recently diclared «we are embracing the age of digitalisation systems that offer the chance to reduce costs by up to 30% by better coordinating the interaction of ships and shore collect more real time data.. Offer new services predictive approach» Several It Platforms have been recently launched on the market with new business models and services. Nowadays, the most clear example of this process is the collaboration between IBM and Maersk with the Blockchain Technology. Other solutions are: GT Nexus, xchange, MixMoveMatch Also Hapag Lyod, MSC, CMA CGM have announced similar investments Big Data and IoT solutions. Digital Disruption is ongoing. on

3 Technology evolution opportunities IoT technologies are mature and low cost.

4 Market opportunities Big shipping Alliances 2M, OCEAN Alliance, THE Alliance 40 millions TEU moved to and from Europe along the SILK ROAD on 2030 (Shanghai International Shipping Institute) Criticalities in Northern Range Ports New investments on shipping industry made by global player (Amazon & Alibaba) Shippers even more focused on minimizing costs and transit time Fonte: The Guardian

5 The reply of SHIPPING LINE «streamline processes» The task which the companies operating in the shipping industry have to face, it is to innovate their business models and process flows along the Logistics Chain, in a Door to Door perspective. Such a innovative approach need a deep understanding of the entire supply chain, by mapping the entire logistics process, in order to identify eventual inefficiencies and area of possible evolution, innovation and optimization.

6 Supply chain operators approach To get aligned with ever-changing logistics scenario, the logistics operators along the supply chain need: A clear vision of the entire supply chain to have a complete picture of the logistic processes at international level (MED area, etc.) Business Process Reengineering with focus on added value recovery, transit time reduction innovation of the processes with the aim of minimizing the transit/dwell time with a reduction of the variability of the performance of services provided New services proposition possibility to deliver new innovative services IOT opportunity exploitation possibility to amplify the opportunities by implementing IoT solutions (Industry 4.0 incentives) Italy positioning and Customs evolution (UCC and Italian technical evolutions and implementations) exploitation strategic position of Italy and Italian innovative customs procedures

7 Italian scenario: Trading Across Borders - n.1 in the world Customs 4.0 strategy and innovative procedures strongly increased Italian ports and logistics performance. World Bank certified that in Doing Business Report

8 Supplier Turkish Inland International Digital supply chain maritime part Turkish Customs Administration Shipping Agent Shipper Turkish Ports Port Community System EU TERRITORY INTERNATIONAL CORRIDOR MANAGEMENT PLATFORM Italian Customs Agency AIDA Il Trovatore Trieste Port Terminals Shipper Trieste Port Community System Supplier Trieste Inland Terminal

9 Logistics providers Freight Forwarders CENTRAL EUROPE Shipper Final destination MTOs International Digital supply chain land part Shippers Logistics providers Central Europe Logistics Hubs MTOs Freight Forwarders Intra Europe Customs Administrations Interporto di Trieste Logistics providers MTOs Interporto di Trieste Freight Forwarders Italian Customs Agency AIDA Il Trovatore Samer Seayard Terminal EMT TMT NMSW Dir. 65/2010 PCS Port of Trieste Maritime

10 International Digital supply chain the opportunity INDUSTRY 4.0 MILOS IoT eseals allows authorized companies and authorities to access status information of container transport, matching logistics data with security information, supporting the related changes in business processes and the opportunities for process automation. MILOS IoT eseals has a special focus on the integration of new RFID active and passive technologies into the full logistic chain business processes.

11 MILOS IoT solution A multi-sided approach Interoperability Platforms & Internet Of Things approach Compliancy with International Regulamentation & Standard Process innovation based on specific context

12 MILOS IoT (Industry 4.0) schema

13 Shipper Inland Terminal MILOS IoT eseals Supplier International Fast Trade Lanes - Corridor perspective EXTRA EU Customs Agency IT Systems Shipping Agent Port Terminal MILOS IoT eseals Port Community System EU TERRITORY MILOS CORRIDOR MANAGEMENT PLATFORM MILOS IoT eseals Port Terminal Port Community System Shipper Italian Customs Agency IT Systems AIDA Il Trovatore MILOS IoT eseals Inland Terminal Supplier 2017 Copyright Circle Srl

14 The Solution The key points for providing an effective IOT + Corridor Platform solution are: Detailed Process Analysis & Reenginering Value creation for each actors involved and in a corridor perspective Full digital approach in order to reduce manual input and paper documents ONCE criterion data exchange through international & vertical standard connectors from the owner of the information Optimization & Orchestration framework & Cloud Based The «IOT Platform» is a Unique Configurable and Scalable solution

15 Milos IoT eseals Gate RFID automation The RFID component is designed specifically to monitor and manage the movement of containers that pass through it. It is able to monitor in a reliable and secure way the RFID e- seals applied to the containers that enter terminals, ports and depots, by taking an automatic accurate reading of passive (battery free) and active RFID seals. We are working with different HW providers of OCR, RFID, sensors, etc. Our MILOS module is designed to be HW-indipendent

16 integrated with RFID, GPS, bluetooth family Active RFID seal Passive RFID seal Cable active RFID seal JRC compliant Active RFID seal Iso compliant RFID Palmtops Palmtops with Portable Antennas Vehiclemounted

17 RFID eseals solutions ACTIVE JRC Joint Reasearch Center EU Safety and Security Lab - defined and tested a standard for evolutive procedures Frequency: 4.33 MHz / 2.45 GHz Circle was technology partner within several EU projects where the use of these electronic seals were studied and tested according to the European Union Regulation: TIGER PILOT and TIGER DEMO, B2MOS, WIDERMOS, RAVENNA FAST CORRIDOR. Passive RFID eseals have been used especially for trailer and for ro-ro needs. Frequency: MHz UHF EPC Global Reference RF Standard: ISO/IEC C RF Protocol: EPC Class 1 Gen2 / ISO/IEC C The RFID passive eseals were tested inside B2MoS EU project in a pilot between Rades port (Tunisia) and Leghorn port.

18 From metal and plastic METAL SEALS PLASTIC SEALS To Internet of Things Active RFID seal Passive RFID seal Cable active RFID seal Passive Tag 2017 Copyright Circle Srl NFC / sensors

19 MILOS IoT - Operative flows Security Safety Automation Integration Container stuffing operation eseal apposition Gate operation Yard operation Automation Integration Simplification Automation Integration Gate operation Customs Procedures Yard operation 2017 Copyright Circle Srl

20 MILOS IoT Mobile App (Tunisian pilot example) Accessing and logging in mobile App Profile definition Security management Baptysm procedure Check procedure Save data Transfer data Store data in central system Share data with Customs & operators 2017 Copyright Circle Srl

21 MILOS IoT Representation Map The MILOS Representation Map allows graphically representing on a map the geographical coordinates of tracked objects. The MILOS Representation Map module is developed as a web application, able to independently extract data from a web service layer and show it on a map, accessible by web and mobile devices Copyright Circle Srl

22 MILOS IoT solutions - successful projects: the Tunisian pilot The pilot involved an international RoRo traffic between Rades and Leghorn ports. A preclearing procedure using passive eseals and a Corridor Management Platform were tested for the first time integrating logistics and Customs information. Economic actors involved: Importers; Exporters; Shipping Company; Shipping Agency; Freight Forwarders. Public Institution involved: Port Authority; Port Captaincy; Customs Agency Single Window Public Operators Copyright Circle Srl

23 and their role in preclearing and International Fast corridor Port Authority: Helping defining the procedure, the cooperation and distribuiting the RFID passive seals to the identified operator; Shipping Agency: Internal export data manifest data filling Submission of the goods manifest (MMA) on the AIDA portal; Asking for the Activation of the Preclearing procedure. Exporters: Procuring the RFID passive seals (from the Port Authority) before taking over the freight; Setting up the freight in an area located out of the Customs Circuit; Affixing the RFID passive seals within the designated area before reaching the Customs area and under his responsability Copyright Circle Srl

24 and their role in preclearing and international Fast corridor (2) If case of some specific product categories: Freight Forwarder / Shipping Agency Compiling the required documents on the Italian NSIS portal (the new health data system), attaching the following documentation: Request for Ro-Ro Pre-clearing, containing the IMO code and ETA; Communicating the ID number of the RFID passive seal; Bill / Certificate of Origin. After receiving the 13-digits booking code from the NSIS portal they can submit the shipping bills on the AIDA portal Copyright Circle Srl

25 Speed up and new opportunities (preliminary example of FLOW) Warehouse Port Anchorage Port Final Client XX Warehouse of departure Pre-notification for Operative and Customs reasons Customs Can manage Automatically controls Temporay storage can be declared before the actual unloading The trader can send the customs declaration Customs Know the destination of a container before it is unloaded Goods are checked in unloading Port Goods are immediately addressed to controls cleared, sent to terminals or sent to final destinations Dry-port Addressed to the dryport 2017 Copyright Circle Srl Copyright: Italian Customs Agency

26 MILOS IoT: Logistics + Customs Why is important for the EU / MED area: Possibilities of building Fast Logistic and Customs corridors between Extra-EU and EU countries: Providing services to the actor of the supply chain (Tracking and tracing, proof of delivery) Reducing administrative burdens Moving and concentrating Customs procedures Reducing time and costs on the full door-to-door chain

27 MILOS IoT: Benefits & savings Reduction of yard operators at terminal gates Increased security performance Reducted dwell time Extension of terminal towards the international supply chain & alliances by exploiting corridor management approach (both maritime & inland) Simplified management of transhipment activies Optimization of Terminal performances (move/hours; gate-in gate-out; etc.)

28 Circle - main projects and references

29 Circle - main projects and references (2) LEGEND Port Intermodal Terminal

30 MILOS Ecosystem MTOs RFID eseals Coast Guard Authorithy Shipping companies Bluetooth eseals D.65 Layer/NMSW Connector Customs Authorities Inland Carriers Logistic information (ETA, ATA etc.) *Il Trovatore *AIDA TC Customs Agency IT System * In Italy CSW connector Truck Companies Truck & GPS systems Logistic Platform Transport Minister Rail Companies Rail Operating System Port Community System Port Authorities Shunting Companies OCR/RFID Gate Automation HW Inland Terminals Crane Automation HW Port Terminals Terminal Operating System Ferries Terminals

31 Our company Circle is an European company that works on innovation, technology and digital marketing to be a unique partner for business development, efficiency and integration of innovation. Circle relies on vertical solutions and know how in the fields of intermodal freight transport, ports, inland terminals and logistics. Particularly through the development of innovative applications of mobile, RFID, NFC technologies, Circle provides solutions for the optimized management of yards and multimodal movement, the complete traceability of goods throughout the logistics chain, and the simplification of customs procedures. milos@circletouch.eu