Sunday 28 June 2020

TATLO: Transparency and Traceability for Logistics Optimization

1. Fragmentation of systems and lack of common documents in international trade cause significant inefficiencies and resultant loss of revenues.

2. Improving both B2B and business-to-government (B2G) information exchange through the supply chain could increase global trade volumes and GDP.

3. The obstacles to implementing such exchanges are not technological, but rather are caused by lack of standardization and incentives for information sharing.

4. For a broader roll-out of e-supply chains, global leaders in each supply chain step should work together on practices for sharing information and agree on joint standards.

5. While initial e-customs efforts are a step in the right direction, they need to accelerate, be more ambitious and include businesses to deliver maximum benefits.

6. The TATLO concept is not new, and many of the technologies exist for implementing it. However, a lack of standardization and sharing of norms is preventing the seamless flow of information and the use of protocols, both of which could turbocharge the process.

KEY FEATURES OF TATLO
1. TATLO, a set of concepts and proposals for streamlining parts of the global supply chain through data digitization and standardization, could be part of the solution and lead to significant gains in trade flows and global welfare.

2. It covers a broad set of topics, from tracing products to optimizing inventories and tracking emissions.

3. TATLO also aims to provide integrated information flow for the entire supply chain (just as the focus of this report is on information exchange – between businesses, governments and logistics service providers).


TRACKING AND INFORMATION STORAGE TECHNOLOGIES IN PLACE
1. TATLO, a set of concepts and proposals for streamlining parts of the global supply chain through data digitization and standardization, could be part of the solution and lead to significant gains in trade flows and global welfare. 

2. TATLO, a set of concepts and proposals for streamlining parts of the global supply chain through data digitization and standardization, could be part of the solution and lead to significant gains in trade flows and global welfare. 



3. Businesses have been working together to share information that helps track goods under shipment. Some of the technologies already in place for B2B information exchange (Figure above) allow shippers, recipients and logistics service providers to monitor deliveries throughout the supply chain, and enable real-time tracking of goods across distances.  

4. However, implementing these technologies alone is not sufficient, especially if the stored and tracked information is in a form that cannot be easily shared among stakeholders, and if no agreed-upon protocols or willingness to exchange the information exists.

5. The picture is more fragmented for B2G information exchange. Significant progress has been made in increasing the efficiency of submitting and processing trade documentation. In numerous countries, shippers and logistics providers use so-called “single-window systems” that involve a consolidated programme to handle a variety of services including customs, safety inspections and security clearance for goods.

6. These systems align standards on data format and collection, and have clear protocols for data security. In Latin America, 13 of 33 countries were reported to have a single-window system in place, with five more countries indicating they had similar systems under development. 

7. However, the progress has been limited in many places, and the systems often cannot function with each other.


SUGGESTED ROADMAP FOR IMPLEMENTING TATLO IN B2B AND B2G 



1. TATLO’s true benefit would emerge if B2B and B2G information exchange systems were developed in parallel, leading to accelerated movement across the trade chain and reduced transaction costs.

2. Within the B2G system, the first step would involve digitizing and automating all trade information for customs purposes. 

3. Second, a single interface would be created that traders and select authorities could use to exchange information. 

4. The third step would cover a full national standard for all import, export and transit-related regulatory requirements and all government authorities. 

5. In the final step, the national window would be extended to a regional level, with exchange of information between national single-window operators. 

6. For the B2B information exchange, the process would first create a limited set of simple e-documents shared by shippers, carriers and 3PLs. 

7. The second step would be an expansion to a more robust e-document exchange between key stakeholders such as carriers, logistics service providers and ports. 

8. The exchange would expand further in the next step to cover all stakeholders, including as well shippers and buyers, banks and freight forwarders. 

9. Finally, expansion to a full international exchange would add end customers, enabling them to access all documentation in real time.


Source:
http://reports.weforum.org/connected-world-2014/4-transparent-and-more-efficient-trade-flows/?doing_wp_cron=1605383129.9355189800262451171875