Transforming with TOS
Published by Alfred Hamer,
Editorial Assistant
Dry Bulk,
Carlos Lopez Barbera, Kaleris, USA, explains how new technologies, like terminal operating systems (TOS) can transform the dry bulk handling and transportation industry.
The dry bulk handling and transportation industry plays a critical role in global trade, ensuring that essential commodities such as coal, grain, iron ore, powders and other raw materials are moved efficiently across the world. However, dry bulk terminals face numerous challenges due to complex and often fragmented operations, many of which stem from outdated processes and manual operations. The challenges can potentially stagnate business growth by limiting a terminal’s operational effectiveness. Embarking on a digital transformation journey helps terminals by addressing both the challenges that slow them down and equipping them with new advancements to drive growth. Similar to cargo’s journey through the supply chain, digital transformation is a process that should be handled in stages, giving terminals and their teams time to adjust to new practices and procedures.
The first phase of digital transformation is introducing digitisation. This refers to converting analogue activities into digital ones, such as switching from paper-based logbooks to digital records and completing bills of lading digitally. Once dated, manual processes are updated, terminals are well-positioned for the next phase – digitalisation. This involves finding new and better ways of operating based on the data that has been collected from the digital shift. The terminal can use the data to make operating decisions that increase productivity and throughput.
But first, let us examine some of the challenges that digital transformation addresses.
Challenges for business growth
Dry bulk terminals in various geographies recently reported to maritime analyst firm Thetius the following commonalities that adversely impact their operations:
Time-consuming manual data entry
A significant portion of the dry bulk industry still relies on manual data entry to track cargo, ship movements, yard inventory, and equipment status. This leads to frequent errors, delays, and inefficiencies. Manual processes also do not offer real-time visibility into operations, compounding operational inefficiencies and increasing costs.
Individual working styles
There is a lack of standardisation across the industry, with each terminal, port, and operator often using different methodologies and procedures for handling bulk materials. This inconsistency not only results in operational inefficiencies but also poses risks to safety and compliance, making it difficult to streamline and optimise processes across multiple facilities or regions.
System silos
Many dry bulk terminals operate disparate systems for different functions, such as yard management, vessel tracking, and inventory control. These systems often do not communicate with one another, resulting in data silos. The absence of integrated systems means that operators cannot gain a holistic view of their terminal’s operations, leading to missed opportunities for optimisation and real-time decision-making.
Inefficient communication
The coordination between various stakeholders, including terminal operators, shipping companies, and transport providers, is often disjointed. Poor communication and coordination result in delays, missed connections, and underutilised resources. For instance, the misalignment of schedules between ships arriving at the port and trucks or rail carriers can cause congestion and idle time, further reducing productivity.
Disparate data
Without a centralised source of accurate and up-to-date reference data, such as shipment records, inventory status, and equipment availability, terminals struggle to make informed decisions. This lack of reliable, centralised data hampers the ability to perform advanced analytics, optimise operations, and accurately forecast supply chain movements.
Underutilised yard space
In many dry bulk terminals, yard space is not fully utilised due to poor planning and a lack of real-time data. Terminals struggle with optimising storage space for bulk materials, leading to inefficiencies and higher costs. The inability to track available yard space accurately also means that terminals are often forced to operate at less than full capacity.
Lack of agility for demand shifts
Global trade patterns are constantly changing, with shifts in demand for various bulk commodities, emerging markets, and evolving regulations. These trends require terminals to be agile and adaptive. Still, many traditional bulk terminal operations lack the flexibility to respond to such changes, causing delays and inefficiencies in handling new trade flows.
Transforming with modern technology
The dry bulk handling and transportation industry can benefit tremendously by adopting technology that facilitates modern terminal operations and offers data-driven insights to overcome operational challenges. And while this digitisation exercise will deliver substantial improvements for most terminals, the possibilities stretch beyond fixing points of friction. Once dry bulk terminals master the basics, they can move on to phase two of the digital transformation journey: unlocking new efficiencies and safety measures that grow and protect their business. By adopting modern technology, such as a terminal operating system (TOS), purpose-built for dry bulk, terminals can:
- Gain immediate access to reliable data
- A terminal operating system (TOS) replaces manual processes with automated, real-time data capture. This reduces the risk of human error and also provides operators with live updates on yard movements, inventory levels, and equipment status, resulting in better visibility and operational control.
- Develop standard processes
- A TOS helps standardise operations by providing customisable workflows that can be applied across terminals.
This consistency improves efficiency, enhances safety, and makes compliance with industry regulations more straightforward. Standardised processes allow bulk terminals to streamline operations, reduce downtime, and improve cargo throughput.
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Read the article online at: https://www.drybulkmagazine.com/special-reports/30122024/transforming-with-tos/
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