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© 2009 IBM Corporation
Innovative Air Cargo Logistics
Henk Hilders
CEO
Cargobox NV
© 2009 IBM Corporation
Conversations for a Smarter Planet
Cargobox
the
Sea Container Concept
for
AIR CARGO LOGISTICSAIR CARGO LOGISTICSAIR CARGO LOGISTICS
Presentation IBM Brussels 9 December 2009Air Cargo Integrated System Solutions
INNOVATIVEINNOVATIVEINNOVATIVE
© 2009 IBM Corporation
Conversations for a Smarter Planet
CONTENT:CONTENT:
Background
Industry Challenge
The Cargobox Concept
Four Key Elements
CITRACCO Pilot Project
Market Introduction
Conclusions and Summary
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
BackgroundBackground
Introduction of the 40ft ISO Container
Success Driver: Port Handling Cost Savings
Dropped from $ 5,60 till $ 0,16 per Tonne
Became the WORLD STANDARD
Sea Freight Transport 50 years ago:
High Airfreight Transport Costs
D-2-D Service (now: Airport-to-Airport)
Security Measures preventing pilferage and terrorist actions
Should become the WORLD STANDARD
Air Cargo Industry needs similar Solution:
Air Cargo: Volume: < 5% Value: > 20% of WTV
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
Background DBackground D--22--D shipmentD shipment
Port Handling Costs decreased from $ 5,60 to $ 0,16 per Tonne
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
Background: VulnerabilityBackground: Vulnerability
Only <5% of all Air Cargo is screened
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
Industry ChallengeIndustry Challenge
Multiple Handling: at Origin, Destination and Midways:
(airports, warehouses, cross docks, customs)
Packaging, Eco-tax, Damages, Pilferage, Insurance Premiums
No optimized weight/volume Ratio
High Airfreight Transport Costs due to:
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
Industry ChallengeIndustry Challenge
Pilferage Prevention (estimate: > $ 10 B/yr in USA)
Homeland Security Rules, Screening up from <5% to >50%
Security Enhancement:
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
Solution: CONCEPTSolution: CONCEPT
Dimensions tailored for Aircraft and Truck
Collapsible, to address repositioning costs
Made from Advanced Composites materials
Locking with PIN code Security
Container Design Requirements:
IT System Requirements:
Result: a Universal Global Air Cargo Container Concept
Air Cargo Integrated System Solutions
Tracking & tracing
RFID (Intelligent Object Identification) Technology
Access to Information, based on WWW services
Electronic Documents, No Paperwork
© 2009 IBM Corporation
Conversations for a Smarter Planet
Solution: ConceptSolution: Concept
Air Cargo Integrated System Solutions
• Light weight, reusable, collapsible Container
• Lockbar, the Cargobox “intelligent” closing strip
• RFID Technology with FAA acceptable active tags
• Cargosyst, enabling real-time Supply Chain Visibility
4 Major Interactive Components:4 Major Interactive Components:
© 2009 IBM Corporation
Conversations for a Smarter Planet
Concept Key Elements:Concept Key Elements:
Air Cargo Integrated System Solutions
Air Cargo Container
Cargosyst IT SystemRFID Technology
Supply Chain Control:
1.
4.3.
2.
Door-to-Door Visibility & Security Management
Lockbar
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargoboxCargobox: :
Air Cargo Integrated System Solutions
Air Cargo Container
Cargosyst IT
System
RFID
Technology
Lockbar
1.
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargoboxCargobox: Design: Design
Air Cargo Integrated System Solutions
a reusable, collapsible conveyance unit for D-2-D transport of air freight in multi-
modal supply chains
- low tare weight: 35 kg.
- high load capacity: 750 kg.
- strong and durable.
- fits on standard air cargo pallets
- tamper free.
© 2009 IBM Corporation
Conversations for a Smarter Planet
Smart Construction DetailsSmart Construction Details
Air Cargo Integrated System Solutions
No Tools for Assembly, just sliding
© 2009 IBM Corporation
Conversations for a Smarter Planet
Dimensions: MultiDimensions: Multi--modalitymodality
Air Cargo Integrated System Solutions
Fits on the Standard PMC pallet (125 x 96)Fits in the cargo-hold of trucks
© 2009 IBM Corporation
Conversations for a Smarter Planet
LockbarLockbar::
Air Cargo Integrated System Solutions
Cargobox
RFID
Technology
Lockbar
Cargosyst IT
System
2.
© 2009 IBM Corporation
Conversations for a Smarter Planet
LockbarLockbar::
Air Cargo Integrated System Solutions
• Electro-Mechanical Lock
• Indelible unique EPCIS Code
• RFID Tag ("sleeps" on board aircraft)
• Alarm Sensors (detect tampering)
• Numeric Keypad (PIN-Code unlocking)
© 2009 IBM Corporation
Conversations for a Smarter Planet
RFID Technology:RFID Technology:
Air Cargo Integrated System Solutions
Cargobox
RFID TECHNOLOGY
Lockbar
Cargosyst IT
System
3.
© 2009 IBM Corporation
Conversations for a Smarter Planet
RFID Technology:RFID Technology:
Air Cargo Integrated System Solutions
• Active Tag based, for long reading distance
• GHF 2.45 GHz band for global acceptance
• FAA approval expected within 3 - 6 months
• ANT technology for wireless Sensors
• Reader and PDA interaction
© 2009 IBM Corporation
Conversations for a Smarter Planet
Security ScheduleSecurity Schedule
Cargosyst Software: Security Enhancement
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargosystCargosyst::
Air Cargo Integrated System Solutions
Cargobox
Lockbar
Cargosyst IT System
4.
RFID Technology
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargosystCargosyst: 3 Numbers: 3 Numbers
Air Cargo Integrated System Solutions
1
2
3
Passport number
Unique indelible EPCIS Code number
AWB number (Air Way Bill)
Contains all goods & travel information
PIN Code Security number
To lock or open the Cargobox
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargosystCargosyst: IBM: IBM’’s Smart Lanes Smart Lane
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargosystCargosyst ScheduleSchedule
Air Cargo Integrated System Solutions
Lockbar Electronics
RFID Readers
RFID Tag
Data Transfer Platform
IBM Websphere
Cargosyst Interactive Website
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargosystCargosyst: Components: Components
Air Cargo Integrated System Solutions
REAL-TIME VISIBILITY
SUPPLY CHAIN Network
APPLICATION Software
SHIPPER DATABASE
SITA Champ
IBM Websphere
Lockbar RFID
© 2009 IBM Corporation
Conversations for a Smarter Planet
CITRACCO: Pilot ProjectCITRACCO: Pilot Project
Testing the System Components and Integration
Demonstrate the Viability of the Cargosyst IT System
Measure and Quantify Advantages
In Full Cooperation with Logistics Industry
Use Results for Market Introduction
Objective:
Key Elements: Three Shippers and their Logistics Services Providers
Four Trans-continental Transport Lanes
E-Documents instead of Paperwork
Customs Clearance included
24 Cargoboxes during 16 weeks
D-2-D instead of Airport-to-Airport thinking
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
After CITRACCO:After CITRACCO:
Assumptions:
Potential Market Volume: +4 Million Units in Yr 2014
Projected Market Share: 2% in Yr 2014, with 95.000 Units
Lifetime: Estimated at 4 years or 120 one-way transports
Endurance of a single Trip: 6 days, resulting in 30 Trips/year
Estimated Cost Savings: (>) 20%
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
Conclusions & SummaryConclusions & Summary
Multi-modal, re-usable Air Cargo Container for D-2-D transport
Supply Chain Visibility with Costs Savings and Security Enhancement
Partnership with Fortune 100 Company
Lease per Car Rental Formula with multiple Service Levels
Patented Technology
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
CargoboxCargobox
For more Information:
Cargobox Holding bv
Crown Business Center
Planetenweg 5
2132 HN HOOFDDORP
The Netherlands
T: +31 23 751 8383
F: +31 23 751 8385
E: mail@cargo-box.com
URL: www.cargo-box.com
Air Cargo Integrated System Solutions
© 2009 IBM Corporation
Conversations for a Smarter Planet
Innovation Acceptance:
Air Cargo Integrated System SolutionsAir Cargo Integrated System Solutions
Sometimes it's hard to convince people about having a solution for their problem.
© 2009 IBM Corporation
Conversations for a Smarter Planet
Presentation IBM Brussels December 9 2009
The INNOVATIVE
Container Concept
for D-2-D
AIR CARGO LOGISTICSAIR CARGO LOGISTICS
THANK YOU FOR YOUR ATTENTION !
Air Cargo Integrated System Solutions
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