The risks involved in seeking electronic simplification in international trade reach far beyond the technological challenges; here is an assessment of integrating into existing contractual practices.
Recent actions in the maritime sector in relation to containing cyber risks offer some useful lessons for the remainder of the intermodal supply chain. Embrace and apply the principles accordingly.
Few in the international freight supply chain can be unaware of the 'NotPetya' cyber event that struck at the end of June 2017. The repercussions should have caused organisations to review every existing assessment of the risk exposures arising from cyber activity.
Concerns have been raised over recent years that the movement of shipping containers facilitates the spread of pests adversely impacting sensitive environments. Both the International Plant Protection Convention (IPPC) and the International Maritime Organization (IMO) have now given endorsement to joint industry guidelines concerning container cleanliness.
In 2011 the International Maritime Organization (IMO) agreed a two-year output on 'Development of measures to prevent loss of containers', in part arising from the
Lawyers can become excited about who has the burden of proof and when it might pass or be discharged. Nevertheless, a convoluted interpretation can give rise to pragmatic judgements.
While operators do not plan to have incidents, the prudent will seek to apply sound pre-emptive advice to bolster the defence of any potential future claims.
The cost of safety failures, however small the frequency rate, is usually disproportionate; equally, the rewards for safe operations and practices generally accrue significant benefits. Effective near miss reporting is key.
Incorporation of Standard Trading Conditions is an 'old chestnut', but remains critically important in supply chain operations. Don't let the 'big picture' deal blind you to such protective 'detail'.
