For terminal operators looking to deploy a new digital technology or set of systems, the first challenge is determining where and how to start. For terminal operators that have yet to digitise or digitalise their operations, the idea of a full digital transformation or TOS rollout is overwhelming. Starting small, laying the right foundations, and digitising and digitalising slowly are key. If done correctly, the rewards, growth and competitive advantage can be substantial.
Many terminal operators turn to digital technologies and solutions to improve operational efficiency without a clear idea of where and why these inefficiencies exist. It is important to understand the processes and challenges going on and whether the digital solution or TOS selected addresses the underlying issues. Have specific goals that you want the digital solution or TOS to address, not general ideas.
For instance, investing in artificial intelligence (AI) because that’s what everyone else is doing is unlikely to achieve the gains you are looking for unless you know exactly what you want it to do and why. Examine the current processes, identify where the major bottlenecks lie, and then determine the solutions that may be able to help.
It’s important to remember that implementing a digital solution, including a TOS, should help but not replace the people using it. Which tasks could be made more efficient by digitalising or automating for example? In the context of general cargo terminals, efficiency is critical due to the various cargoes handled and their specific requirements. But, for instance, there’s little benefit in optimising berth allocation if the key issues and financial losses come from poor utilisation of yard space and improper cargo storage, resulting in the waste of perishable goods.
With any technology or digital solution implementation, the project will achieve greater momentum by starting with the quick wins – areas where straightforward action achieves impactful results. For many, this may mean focusing on moving away from paper-based processes, which this research has found is still a prevalent practice in the general cargo space. Automating time-consuming manual processes, such as digitising billing codes instead of searching through binders for them can deliver huge value. These are relatively easy to complete and set the stage to move on to bigger tasks such as process or equipment automation.
Terminals using outdated systems can make a plan for gradual digitalisation, especially when dealing with large volumes of data, to make the project more approachable and feasible. A ‘closed source’ mindset can cause delays and risk data accuracy, quality, consistency, and completeness. Terminals with a ‘growth mindset’ seek to facilitate data movement, generating connectivity with port communities and trading partners that enhance communication and efficiency
Terminal operators looking to implement digital technologies or systems should take a measured approach, starting small and laying the right foundations for gradual digitisation and digitalisation. It is crucial to identify specific goals and understand the existing processes and challenges before selecting a digital solution or TOS. By focusing on quick wins, such as automating time-consuming manual processes and digitising paper-based systems, terminals can achieve impactful results and set the stage for more significant tasks like process or equipment automation. Adopting a ‘growth mindset’ and facilitating data movement can enhance communication and efficiency, ultimately leading to substantial rewards, growth, and competitive advantage for the terminal operators.
For a more detailed understanding and exploration of the topics covered in this article, refer to our report, commissioned by Kaleris. Gateways of Tomorrow: Exploring the business value of digital transformation for general cargo terminals. You can download the full report below:
