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Océ at Mediterranean Shipping Company S.A. (MSC)
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Documents accompanying container shipments
Ensuring optimal production of shipping documentation
Thanks to Océ software and hardware, Mediterranean Shipping Company S.A.’s Dutch site has been able to make considerable improvements in the efficiency of the document processing required for logistics processes. One specific example of these improvements is that the company can deliver a Bill of Lading within 24 hours after a ship sails. The number of manual activities has been reduced to a minimum.
‘During the entire process of converting form the old work method to the new one, we have been able to benefit from Océ’s expertise.’
Ruud van der Spoel, IT manager and adjunct director
of MSC Nederland
In its over 30 years of existence, MSC has experienced a formidable growth. From one second-hand cargo ship in 1970 to the number two position in container shipping worldwide, operating a fleet of over 200 ships with a combined capacity of half a million containers (expressed as TEUs: Twenty-foot Equivalent Units; thus a 40-foot container counts as two containers).
An expanding network
This growth has taken place along the lines of an increasingly expanding network of shipping routes. What began with a connection between the Mediterranean Sea area and the east coast of Africa, via the Cape, has been expanded into a network that now encircles the globe. This network was completed in 1999 with a connection across the Pacific Ocean between Asia and the west coast of America and has become increasingly close knit ever since. The approach MSC has chosen reduces the number of nautical miles and improves the average level of utilisation for its ships, making the system more efficient. This has created a network in which ports such as Antwerp, New York, Durban and Sydney form the hubs from which 170 ports are served in 65 countries on five continents.
 
Information provision as condition
As a relative newcomer (in a centuries-old industry) MSC was able to fully utilise modern information and communication technologies from the outset. And the company did just that, as demonstrated by its ERP environment MSCLink—developed in-house—to which many of the 150 sites worldwide are connected. A software environment that has proved to be so good that other shipping companies have adopted it as well.
 
Documentation: the capstone of information processing
The importance of documents in commercial shipping can best be illustrated by what is currently called a Bill of Lading. Traditionally a word of French origin is used in Dutch to refer to this document: cognossement. It is more than a simple shipping manifest. Bills of Lading are documents that indicate ownership. Bank guarantees and credit can be requested on the basis of these documents. They can be traded and represent value. Moreover, once the ship has sailed these documents are all a consignor has. No wonder that stringent requirements are imposed on a Bill of Lading; the document must meticulously describe the load down to the last comma (literally). One must remember that in the preparation phase prior to loading a container, a load can change up to the very last moment. Something may be added or removed. This means that the Bill of Lading is frequently only declared final just before departure. Producing the Bill of Lading is generally the carrier’s responsibility. The document must be delivered to the customer (the consignor) within 48 hours after the ship leaves port. So the document must not only be absolutely correct; it must be created quickly.
 
MSC Nederland and Océ
MSC Nederland functions as the agent for the parent company MSC in Geneva, which, like other large shipping companies has chosen to handle the ship broker’s function via its own offices. The Dutch site reflects the same level of growth as the parent company—fifteen employees in 1985; 170 in 2003. A rough distinction can be made in MSC Nederland’s activiti s. On the one hand between handling export reight leaving the Netherlands for the MSC ships that call at Antwerp and Rotterdam; handling the import freight destined for the Netherlands on the other hand.

Of course, this includes related communication with carriers, stevedores, shipping companies, (port) authorities etc., as well as being responsible for the documentation on behalf of the carrier.

MSC Nederland has been working with Océ for more than 18 years. IT Manager Ruud van der Spoel characterises the lengthy collaboration in part in terms of the features he has come to see as typical of Océ, which—like MSC—is extremely solution-oriented, absolutely professional and quite  nnovative. Moreover, Van der Spoel can identify with Océ’s tendency to perform much, if not all, of its global work with its own personnel.

Until the mid-nineties MSC Nederland produced the documents the common way at the time: the variable data were printed on white paper from the ICT systems, after which the results were ‘copied’ to pre-printed forms. This was not only laborious and time-consuming; there was a considerable risk that errors would be made.

In collaboration with Océ, MSC modified the procedure. Gradually the transition was made from analogue copying on pre-printed material to separating the document processing from the back-office environment, printing the documents on multifunctional Océ 3165 printers driven by Océ PRISMAsatellite software. Five Océ 3165s have been installed. One machine (still) functions exclusively as a copier. Two others are equipped with Océ Scan Logic to digitise incoming analogue documents, but also to send draft bills of lading to the customer, to speed up the procedure.

Van der Spoel explains that he acquired the equipment ‘with growth in mind’, but readily declares that the printer park can effortlessly handle the currently doubled document volume (of approximately 4 million prints per year).
 
Efficiency and quality improvement go hand in hand
The most important difference in terms of procedures compared to the past is that the variable data and the form layout are printed in a single run, with each Bill of Lading delivered from the printer as a single sorted set. This eliminates the time-consuming and error-prone copying step.

There is a world of difference in another aspect as well. The document process has acquired its own dynamic as well as a certain independence from the ICT environment. The result is that the documents look better, the chance of error is reduced and people can react more flexibly to situations that arise. MSC Nederland has reacted to all this by implementing its own efficiency requirements. MSC has replaced the obligation to deliver documents within 48 hours by a goal of delivery within 24 hours—an objective that is met in most cases, thanks in part to Océ.

Van der Spoel: ‘During the entire process of converting form the old work method to the new one, we have been able to benefit from Océ’s expertise. Océ has taken the trouble to learn the ins and outs of our industry. Moreover, it’s an advantage that even though the systems have become increasingly complex, we still only have to deal with one party for both hardware and software.’

He continues: ‘In the current situation we satisfy all the requirements we have set regarding speed, reliability, control levels, user-friendliness, quality and flexibility. The connection with our ICT environment MSCLink is flawless and does not affect any of this in any way. Moreover, because we can utilise Océ PRISMAsatellite to send just the variable data and do not have to transmit the complete forms, we have also achieved a much better balance in terms of network load.’

‘Some things have surprised even me’, he says, ‘For example, I didn’t expect the mailbox function to become so popular. But people really like working with it. They trust the system completely and only go to the printer when it is convenient for them to do so. This further increases efficiency and also gives the employees the feeling that they have control over their documents. They are very happy with it, which in turns gives me a sense of satisfaction.’ Van der Spoel adds, ‘We are now ready for the next step: digital archiving. We have not made the final decision, but Océ is a serious candidate for this step as well.’
 
Meeting deadlines with Océ IntransIT
Océ has included PRISMAsatellite—used by MSC to create, distribute and present its freight documents—in an application especially created for logistic operations named Océ IntransIT. This dedicated solution combines hardware, software and services to optimally address the stringent requirements that contemporary logistics processes impose on the accompanying document streams. IntransIT reflects Océ’s years of experience with the aspects of the logistics sector.

Océ IntransIT is completely modular and can be used for specific tasks in the logistics process. Nonetheless, Océ IntransIT covers the entire spectrum of what Océ calls the document value chain or the Enterprise-wide Document Architecture. This starts with gathering data from both analogue and digital sources.

The process continues with the creation of documents, in the desired form with layout based on business rules. Next is intelligent distribution, including management functions such as accounting, job and print management. And finally presentation, via any printer desired, but also via SMS, fax and email or to a digital archive.

Océ IntransIT enables a logistic service provider to successfully improve efficiency, cut costs and integrate document processes. It can be used in conjunction with any ICT environment without affecting it. Océ IntransIT makes digital documents accessible to all partners in the supply chain. Last but not least, customers who choose Océ IntransIT have to deal with just one partner for both hardware and software.
 
About MSC
Mediterranean Shipping Company in Geneva is a family company. It was founded in 1970 by its current president director Gianluigi Aponte, who still manages the company. The company specialises in container shipments and operates a fleet of over 200 ships, approximately half of which are owned by the company. These ships primarily transport container cargo to and from 170 ports in 65 countries, but on a much smaller scale the company also operates several cruise ships.

For its freight acquisition and handling operations, MSC operates 350 offices worldwide, including 150 of its own so-called line agents (ship brokers). One of these offices is located in Rotterdam. Containers being shipped to and from the Netherlands are transhipped via Rotterdam and Antwerp, which along with Felixstowe are some of MSC’s so-called hub
ports.
 
 
 
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