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Single Window Development and Implementation Experience of Singapore

Single Window Development and Implementation Experience of Singapore. Dr. Chong Yoke Sin Chief Operating Officer NCS Pte Ltd. UNESCAP-UNECE CAPACITY BUILDING WORKSHOP ON TRADE FACILITATION IMPLEMENTATION FOR ASIA AND THE PACIFIC REGION 17 – 18 March 2005, Kuala Lumpur, Malaysia. Agenda.

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Single Window Development and Implementation Experience of Singapore

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  1. Single Window Development and Implementation Experience of Singapore Dr. Chong Yoke Sin Chief Operating Officer NCS Pte Ltd UNESCAP-UNECE CAPACITY BUILDING WORKSHOP ON TRADE FACILITATION IMPLEMENTATION FOR ASIA AND THE PACIFIC REGION 17 – 18 March 2005, Kuala Lumpur, Malaysia

  2. Agenda • Experience of Singapore: The Single Window Implementation • The Next Big Thing: Integrated Single Window e-Logistics • A Vision: Single Window Inter-operability • About NCS

  3. Background Fifth Wave Connected Singapore 2003 - Fourth Wave Third Wave Infocomm21 Late 90s Second Wave IT2000 Early 90s National ITPlan Mid 80s First Wave National Computerisation Plan Early 80s Making Waves Since the 1980s ( Singapore Roadmap ) • TradeNet • Conceptualized in 1986 as • part of National IT Plan • Implemented in 1st Jan 1989 • by Singapore Customs

  4. Background TradeNet Process Traders Permit Applications Trade & manifest info EDI VAN Operator Cargo Clearance Permits Controlling Agencies Cargo Clearance Singapore Customs Checkpoints (ICA - Immigration Checkpoint Authority)

  5. Background The Path of TradeNet • Implemented Electronic Submission • Declarations were batched up • Turnaround time in few days Version 1.0 - 1.5 1988 - 1990 • Improved validations & features • Incorporated GST requirements • Turnaround from hours to ~30 minutes. Version 1.6 - 1.7 1991 - 1994 • Interactive TradeNet • Integrate Internal Systems • Business intelligence/risks profiling • Approval within 2 - 5 minutes Version 1.8 - 2.0 1995- 2000 • Major business process streamlining • Incorporated Export Control Consignment System (ECCS) • New HS Code (Asean Harmonized Tarrif Nomenclature) Version 3.1 2003

  6. Design and Development Process • Formation of TradeNet Working Committee Chaired by NCB (currently NCS) and Customs • Business Process Study • Trade documentation business processes • Review all Manual processes involved • Standards Definition • Study and Review Goods Classification • Legal Policy Support • Introduction of Electronic Transaction Act • Evaluate Technology

  7. Design and Development Process • Systems Design • Consolidate Data Element to form TradeNet specifications. • Operations Plan • SOP & Contingency • Measure Performance • Evolve, Improve and Enhance • Payment of Duty and GST via Electronic means ( GIRO )

  8. Structure and Services • Submission of TradeNetapplications • # Import/ Export/ Transshipment • # Controlled/Non-controlled/Strategic goods • # Payment/Non-payment • # Cert of origin and other applications • Amendment & Cancellation of TradeNetapplications • Auto Process of TradeNetapplications (more than 1000 • validation rules) • Enquiry on application status via 24-hours IVR ( Interactive • Voice Response System ) • Auto deduction of duty/GST via GIRO • Paperless clearance for TradeNetpermits (CCS)

  9. Participants Government Agencies • Singapore Customs ( System Owner ) • Controlled Agencies ( e.g. AVA, SPF, etc ) • IRAS ( Accounting of GST collection ) • RCB ( Registration of Company and Business) • IE Singapore ( Statistics department ) • Chambers of Commerce for COO Private Sectors • Systems Integrator and Operator (NCS) • Front-end vendors ( e.g. IPACS, SCS, PSA Portnet) • VAN operator (e.g. Crimson Logic)

  10. Clients Users: • Importers/Exporters • Freight Forwarders/Carriers • 3rd or 4th Party Logistic Companies ( 3PL/4PL ) • Port/Terminal Operators (PSA, Jurong Port) • Other Trade communities/portals (Warehouse Operators, CCN) Statistics: • 3,000+ registered declarant agents • 1,000+ customs staffs • 30,000 transactions per day.

  11. Business Model • Front-End Systems • Development funded by the Government. • Operated as an ASP model with transaction charges • Backend System • Development funded by Government • Operation outsourced to private sector (NCS)

  12. Results Single Window Benefits To the Traders: • Simplified commercial framework for both domestic and international trade • Faster turnaround time (average approval within 5 minutes) • Improved Convenience and efficiency • Productivity improvement and Costs saving • Faster customs clearance w/ paper-less and cashless transactions To the Government: • Increased effectiveness of control methods • More effective and efficient deployment of resources • Improved trader compliance • Facilitates business intelligence through better/faster data capturing • Accelerated economic development & Encourage Foreign Investment

  13. Critical Success Factors • Conduct BPR within agencies to remove redundancy and streamline processes and procedures (for both manual and automated systems) • Use industry standards for electronic messaging to ease adoption (e.g. UNEDIFACT, ebXML, RosettaNet ) • Standardise practises on trade documentation and Goods classification ( to achieve cross border trading ) • Close Collaboration & Consultation with all parties involved, including private sectors

  14. Future Plans Singapore TradeNet: • Liberalisation of VAN for competitive pricing & services • Deeper integration into trade communities & processes • Objective is to reduce duplicate data entry, facilitate information sharing and increase cost savings. • Centralised platform to act as National Hub to facilitate trade activities

  15. Integrated Single Window e-Logistics • Integrated Single Window e-Logistics • “A neutral and open platform enabling the integration and collaboration among trade, logistics, financial and government communities to fulfill import, export or transit processes and documentation through electronic means, in order to increase information velocity, visibility and accuracy.” • Single-Window for all logistical information, requests, and exchange. • Trade Declarationwill be one of the Core Applications • Owned and Run by Government or Private Sector © NCS Pte Ltd

  16. Bank Importer Exporter Freight Forwarders Domestic Carriers Customs Sea Ports & International Carriers Integrated Single Window e-Logistics A Logistics Scenario Today: BL, Invoice, Pack List, etc LC Bank/ Insurance Shipping Instructions P.O. LC Application BL Statuses/ Changes Rates &Schedules Declaration/ Permits % Data Re-entry? Manual or electronic communication Imagine the scenario of 2000 shippers, 200 LSPs, 20 Banks, 20 Carriers?

  17. Integrated Single Window e-Logistics Key Issues in e-Logistics Today: • Highly fragmented, non-standardized communication methods due to explosion in logistics outsourcing in recent years • Players (MNCs/SMEs) have different capability levels to transact electronically • High effort and cost to establish point-to-point connectivity w/ new business partners or to cater for new business processes. • High rate of data re-entry at multiple process points, including trade declaration • Lack of proper system controls lead to errors, fraud and cargo delays - impacting all parties in the supply chain • Net results: inefficiency and wastage in the nation’s trade & logistics eco-system leading to uncompetitiveness.

  18. Exporter Bank/ Insurance Freight Forwarders 3PL/ Domestic Carriers Customs Sea Ports & International Carriers Integrated Single Window e-Logistics Integrated Single Window e-Logistics Scenario Message Translation Services Statuses/ Changes BL, Invoice, Pack List, etc Shipping Instructions Permit OBL OBL Rates &Schedules Open Standards Service Oriented Architecture Draft BL Draft BL Shipping Instructions Declaration/ Permits Schedule/ Status Value-Add Solutions Electronic communication

  19. Integrated Single Window e-Logistics Key Benefits of Integrated S.W. e-Logistics • Provides translation and routing services among partners, with support for common international protocols (EDIFACT, XML, Rosetta-Net, etc.) • Low cost solutions through either web application or 3rd party ASP to enable local SMEs to participate in digital economy • Low cost, easy and quick establishment of interface with new business partners • Re-use of data where relevant and when desired, to eliminate re-entry of data • Improve (paper-less) handling trade documentation, resulting in timely delivery and clearance from ports • Ultimate results: an efficient eco-system to facilitate trade and logistics

  20. Single Window Inter-operability Towards S.W. Global Trade Business Value Chain >2010’s ? Integrated S.W. Global Trade >2005’s Integrated S.W. e-Logistics >1995 >1985 Single Window Customs <1980s Agency Portals Detached Integration Scope B2B -> B2ga G2G -> B2G N2N Pre-Internet Era

  21. The Problem Single Window Inter-operability Source: Andrey Masalovich, Natalia Makarycheva

  22. Single Window Inter-operability Why the need for cross-border inter-operability? • The landscape of global business is being shaped and driven by: • Increased scale of competition: • 1980’s - Competition of Product Superiority (TQM) • 1990’s - Competition of Supply Chain (B2B) • 2000’s - Competition of National Eco-system for Trade Facilitation (G2G, B2G) • 2010’s - (Prediction) Competition between Regional Eco-system for Trade Facilitation (N2N) • Increased volume of cross border trade and the need for capacity to handle it. • FTA and WCO implementations to facilitate international trade collaboration • Lower cost, and simplification of cross-border processes • Fraud detection and control • Increased physical threat to business and national security • 911, financing and smuggling of weapons • Increased physical, health and social threat to citizens from natural disasters or biological imports • SARS, Avian Flu, Drug recalls, etc. • Disaster relief operations

  23. International Carriers International Carriers International Carriers Haulier Haulier Haulier Forwarder Forwarder Forwarder Customs Customs Customs Bank Bank Bank Seller Country A Seller Country A Buyer Country Z Single Window Inter-operability Beyond Borders: a Nation-to-Nation (N2N) Vision Country C Country A Country B • Federated Enterprise Reference Architecture • Message Converter • Registry & Repository • Collaborative Event Handler • Metrics & Reporting Engine • Choreographer Tools • ebXML, RosettaNet, Web Services

  24. Single Window Inter-operability Examples of Purposes and Benefits • Single Trade Declaration - re-use of export data for import. • Import permit application • Submission of manifests and other documents • Each country retains its own customs procedures and workflow. • Trade Monitoring & Controls • Visibility of cargo content from port of origin • Track & Trace of carrier and container routes • Trade Regulations Streamlining • Clearer export/import and simplified compliance effort for traders • Faster verification of information leading to faster revenue collection • Facilitate easier implementation of future security & other trade policies

  25. Single Window Inter-operability Challenges & Recommendations • Firstly, improve internal government efficiencies & automation toward a comparable performance standard (benchmark) • Build your Customs or e-Logistics Single Window with “end-in-mind.” • Adopt and support international or open standards for systems development, • messaging, product codes and other specifications. • Adopt a common data messaging and security framework, supported by governments and • trusted by traders. • Enhance Regulatory and Legal framework to support cross-border electronic document exchange. • Begin with specific, low risk product categories to achieve Single Declaration and/or Single Inspection with another country. Balance between trade facilitation and security. • Collaborate with commercial organizations and associations to address the issues of Letter of Credit, Bill of Lading, Inspection Certificates, etc.

  26. China We go where our customers go.. About NCS Regional Reach • Private Company, subsidiary of SingTel. • 16 locations in 8 countries and territories across the Asia-Pacific • Global presence in 34 offices in 16 countries and territories through SingTel • Beijing • Chengdu • Fuzhou • Guangzhou • Shanghai • Shenyang • Suzhou • Wuhan Hong Kong India Malaysia Philippines Sri Lanka Singapore Australia

  27. MIS Asia About NCS IDC Ranking: Industry Accomplishment MIS 100 : 30% of MIS TOP I.T. Users in Asia are NCS’ customers. NCS is also listed. Strategic 100 : NCS is Asia Pacific’s TOP 25 IT Vendors. IDC : NCS is #1 in IT Services Market Share Singapore, ahead of IBM, HP, Accenture & CSC

  28. Corporate Capital About NCS Our Thought Leadership • Speakers at regional Seminars & Conferences • Co-authors and author of these books: • “Branding In Asia” • “Hi-Tech High Touch Branding” • “E-Government in Asia” (On the reading list of a degree module at the Kennedy School, Harvard University)

  29. One Stop e-Enabler About NCS ‘THINK – BUILD – OPERATE’ • Consulting Services • Development & Integration Services • Managed Services

  30. One Stop e-Enabler About NCS ‘THINK – BUILD - OPERATE’ Government ICT Planning • Singapore Intelligent Island : IT2000 Masterplan • Mauritius and Sri Lankan Government IT Blueprints • Hong Kong SAR Government Departments • Malaysia’s Sarawak State Government IT planning • Singapore Government Data Centre Relocation • Broadband Infrastructure for Government, Singapore Enterprise ICT Planning • Singapore Anti-Tuberculosis Association • Singapore Changi International Airport • SingTel Telco Infrastructure

  31. One Stop e-Enabler About NCS ‘THINK –BUILD- OPERATE’ • Over 2,000 solutions and counting • Cross industries: Education, Financial Services, Healthcare, Government, Manufacturing, Logistics, Telecommunications, Transportation. • Complex and mission-critical projects • NCS is one of Asia Pacific’s Top 25 IT Vendors (Strategic 100, MIS) • 30% of Asia’s Top 100 IT Users are our customers (MIS100, MIS)

  32. One Stop e-Enabler About NCS Business Innovation ‘THINK – BUILD -OPERATE’ Outsourcing & Managed Services • Total Outsourcing • Application Management • Airport Facilities Management • Business Recovery and Continuity • Call Centre Data Centre • Enterprise Server & Storage • Network Management • System and Desktop Management • Messaging Data centre services BS7799 certified IDA-IT Standards Committee Certified Business Continuity / Disaster Recovery service provider SunTone Certified

  33. THANK YOU NCS Contact Information: Dr. Chong Yoke Sin yokesin@ncs.com.sg www.ncs.com.sg

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