Managing Risks in Transport and Logistics

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Managing Risks in Transport and Logistics A key
element of product stewardship along the supply
chain Jos Verlinden, Director Transport
Logistics, Cefic
European Responsible Care
Conference
Warsaw, 18 September 2006
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Agenda

• Product stewardship in transport
• Cefic Logistics Organisation
• Best Practices
• SQAS
• ICE Emergency Response Systems
• RC Partnership with transport industry

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Product Stewardship

• The responsible management of the health,
  safety and environmental aspects of a chemical
  product throughout its lifecycle
• Responsible Care along the supply chain
• What does it mean for transport logistics?

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Product Stewardship in transport and logistics

• The responsible management of the HSE aspects of
  the transport and associated handling of products
  by all modes of transport, including
  loading/unloading and storage activities
  (logistics stewardship).
• How far does logistics stewardship go?
• Unloading at customers
• Customer collections

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Challenges in Managing Transport Safety

• Off-site activity / in the public domain
• General public in close proximity
• External factors unpredictable
• Outsourcing to external service providers
• Complex supply chains
• Many different parties involved / many interfaces
• Security
• Transport is one of the activities where
  chemical companies are most vulnerable.

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Example of a supply chain for multimodal
transport (marine/road) of packed cargo
Tank
Shipping
Agency
Ships'
Stevedore
Haulier
Operator
Point/
operator
A
Producer
Ships command
Final
Haulier
Forwarder
Agency
Ships'
Stevedore
Destination
B
operator
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Transport operations of European Chemical
Industry

• 1.5 million tonnes transported per year
• 8 of total European freight volume

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Cefic Logistics

• Objectives
• Promote high safety and environmental standards
  
• Promote sustainable and competitive logistics in
  Europe
• Promote the application of industry best
  practices
• Advocacy at EU and other international
  regulatory
• bodies (UN, IMO) on issues which may have an
  impact on
• the European chemical industry

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CEFIC Logistics
Programme Council Energy, HSE and Logistics
Logistics Committee
Services and Systems
Issue Team European Transport Policy
Issue Team Transport Environment
Issue Team Promotion Communication
Issue Team Best Practices
WG Cargo Securing WG Standardisation
Equipment WG Tank Cleaning WG Learning from
accidents WG RailTech
WG Transport Regulations
ICE Emergency Response Tremcards ERICards SQAS


WG Chem Tankers WG Degassing Barges
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Cefic Logistics Team

• J. Verlinden F. Jonckheere
  D. De Cock
• European Transport Policy Transport
  Regulations SQAS
• Best Practices Tremcards / ERICards
  
• Transport Environment
  ICE Emergency Response
• C. Napoli C Bienvenu
  C. Napoli

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Best Practice Guidelines

• SHE management practices for LSPs
• Standardised delivery performance measurement
• Standardisation of equipment
• Loading/unloading windows (16 hrs operation)
• Safety awareness and behaviour in supply chain
• Behaviour Based Safety driving
• Behaviour Based Safety loading/unloading
• Subcontracting of Road Transport
• Security in transport
• Supply Chain Excellence
• Transperanto
• under revision
• For copies see www.cefic.org

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Behaviour Based Safety

• Programme aiming at improving safety during
  transport and loading/unloading by positively
  influencing the behaviour of people through
  observation, coaching and communication.
• Truck Driving
• Focus on drivers
• Loading/unloading of road vehicles
• Focus on site operators drivers

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What is Transperanto?

• Transperanto is a tool containing key safety
  related words and phrases translated in 25
  European languages, to promote effective
  communication between (un)loading sites and truck
  drivers.
• esperanto
• transport
• transparency
• www.transperanto.org

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www.transperanto.org
15
(No Transcript)
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What is SQAS ?

• A system to evaluate the quality, safety,
  security and the environmental performance of
  Logistic Service
• Providers and Distributors in a uniform manner by
  single
• standardised assessments carried out by
• independent inspectors

It is NOT a certification system but fact
finding. No pass or fail.
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Why do we do SQAS ?

• Responsible Care applied
• to Logistics Operations
• (full Supply Chain)
• Drives Continuous
• Improvement of Safety Standards
• Cost effectiveness single
• objective evaluation instead
• of individual company assessments

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Status of SQAS

• We have in place
• operational modules for all aspects of the supply
  chain, with dedicated industry questionnaires
• a database containing over 1500 reports of
  assessed transport companies / LSPs
• a network of approx 100 SQAS assessors across
  Europe, trained and accredited by Cefic
• an SQAS Service Group of 47 chemical companies,
  providing the management structure and the
  financial support

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www.SQAS.org
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SQAS Coverage

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SQAS implementation in other regions

• Global companies aim at managing their
  logistics operations and the follow-up of LSPs
  according to a single/common approach
• Some companies raised the issue of expanding SQAS
  towards other regions
• SQAS already copied in a few countries (South
  Africa, Brasil)
• For areas (like China, India, Middle-East) where
  no assessment systems are established yet, SQAS
  could be used as the model
• Cefic invited ICCA to develop common criteria for
  the introduction of an SQAS-equivalent in other
  regions
• Each interested country or region could develop a
  local SQAS system based on these criteria, under
  the umbrella of the local association, and with
  support of the local companies

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Transport Emergency Response Road

• Transport Emergency Cards (Tremcards) for drivers
  
• Emergency Response Intervention Cards (ERICards)
  for fire brigades
• ICE European Network of National Emergency
  Response Schemes covering 17 countries

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ICE Emergency ResponseNETWORK

European Network of ICE Centres
National ICE Centre
Product Data
National Network of Chemical Companies
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ICE - Transport Emergency Response
Status
25
ICE - Transport Emergency Response
Status
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• Best Practices / SQAS / ICE
• Responsible Care in Action
• applied to
• Logistics Operations

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RC Partnership with transport industry

• Co-operation Cefic - transport industry
• Best Practice Guidelines
• SQAS
• Possible Cefic - ECTA Responsible Care
  Partnership
• Proposal of ECTA RC Programme discussed at Cefic
  RC Core Group
• Obstacle no link with national RC Schemes (ECTA
  has no national federations)
• Possible way forward
• Cefic ECTA framework agreement
• Individual transport companies must establish
  link with national RC Schemes
• ECTA (European Chemical Transport Association)