Paperless Trade in International Supply Chains: Enhancing Efficiency

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Paperless Trade in International Supply Chains
Enhancing Efficiency Security

• 20 21 June 2005

Dagang Net Technologies Sdn Bhd 20th Floor, HP
Towers Jalan Gelenggang, Bukit Damansara 50490
Kuala Lumpur, Malaysia http//www.dagangnet.com
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From Paper to Paper-less to Paperless
Malaysian Implementation Approach
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Presentation Outline

• Implementation Status in Malaysia
• Benefits of Paperless Implementation
• Critical Success Factors
• Issues, Challenges Constraints
• Role of Dagang Net
• Malaysian Vision

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Implementation Status in Malaysia
Ref Type of Form Message Name Paperless Status
1. Customs Declaration CUSDEC CUSRES CUSDEC (Export) Fully paperless
2. Duty Payment PAYORD/PAYMUL DEBADV/DEDMUL CREADV/CREMUL Fully paperless
3. Manifest CUSREP CUSCAR Fully paperless
4. Free Zone Declarations ZBDEC ZBRES Fully paperless
5. Dangerous Good Declarations IFTDGN Fully paperless
6. Permit SANCRT SANACK SANDEC
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Benefits of Paperless Implementation

• Saving in Bank Guarantee Charges
• Annual saving of RM18m in Port Klang
• Improved Safety
• No need of security services during transfer of
  duty collection
• Automatic routing of messages to relevant parties
• Faster Clearance
• Reengineering of approval process (IFTDGN)
• Lowering Operating Costs

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Critical Success Factors

• Governments support
• Changes in policies legislation
• Phased Implementation Approach
• Moving from paper-based to paper-less to
  paperless
• Stakeholders Commitment
• Support from Associations
• Education Awareness

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Issues, Challenges Constraints

• Resistance to Change
• BPR with Other Government Agencies involved in
  trade facilitation to streamline processes
• Proliferation of broadband services nationwide

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Role of Dagang Net

• Operate Manage the National Clearing Centre
• To provide front-end solutions to enable users to
  submit electronic documents and duty payment
• Access/Password Management
• Users Facilitation
• Education Awareness
• Training
• Help Desk
• Problem Management
• Message Design Development
• Multiple standards conversion

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Dagang Nets Actions in Paperless Trade

• Application Architecture / Infrastructure
  refreshment
• Integrating the trade value chain through the
  deployment of BPM (Business Process Management)
  workflow and technology
• To provide a Single Window platform to enable
  common standardised data from one application to
  be re-used by other applications for various
  authorities approval. (Example filing permits,
  and the permit data is re-used for Customs
  declarations)
• Roll-out of Cross-border services
• Use of RFID

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Dagang Nets Single Window Implementation

• PIP3B18 - ASN
• Adopting Rosettanet standards

eLogistics

• Adopting UN/EDIFACT standards

eDeclare
ePermit

• Adopting ebXML standards

CBex

• Adopting ebXML standards

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Conclusion

• Malaysian Government
• To make Malaysia the preferred trading hub in the
  Asia Pacific region
• To attract Foreign Direct Investment (FDI)
• Customs
• To facilitates trade without compromising
  standards of Customs control border security
• Dagang Net
• To integrate the trade value chain adopt
  eCommerce as the standard mean of communication
  through a One Stop platform

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Terima Kasih Thank You