digital transformation at algeciras port
TRANSCRIPT
Digital Transformation
at Algeciras Port
Francisco de los SantosChief Information & Innovation Officer
Algeciras Port Authority
January, 2019
Information and Technology is Transforming the Port and Shipping Industry...
E-commerce Platforms
Automation & Autonomous
Artificial Intelligence
Digital Forces Transforming the Port and Shipping Industry
Globalization & Maritime Transport
Malcolm McLean, 1956: Initiator of Shipping
Containerization: “The Box that Changed the World”
Manipulation Costs: From 5.86 to 0.16 $/Ton
4x Price: $180M
Container Ships´s Figures
Capacity: 20,000 TEU
Capital Intensive & Very Big Scale Industry
How Are We Transforming Algeciras Port?
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Digital Platform for Operations Orchestration
Innovation as a Business Process
Intelligence
Things IT Systems
EcosystemsCustomers
Source: Gartner Research
UNDERSTAND THE
BUSINESS & ITS
CHALLENGES
DEFINE A BUSINESS
VISION & DIGITAL
AMBITION
EXECUTE WITH
QUICK-WINS & LONG-
TERM GOALS
1 2 3
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Steps of the Transformation Journey?
Key Issues
What Are the Busines Challenges?
What Is Algeciras Port Vision and Digital Ambition?
Execution: What´s Going On in Practice?
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02
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VALUE PROPOSITION: SUPERIOR QUALITY OF FULL
SERVICE AT A GEOSTRATEGIC LOCATION
STRAIT OF GIBRALTAR
1st SPANISH
4th EUROPEAN
PORT IN
TOTAL CARGO
102 M tons
4,4 M TEU
321 K Trucks
5,5 M Pax
Algeciras Port Positioning
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Algeciras Port Positioning
Mission of a Port in Global Logistics
Accelerate the Cargo Flowthrough Logistic Chains
to Support Trade & Create Value
Many Players Involved to DeliverThe Port Service
Operations and DocumentationFlows: Complex
Source: BCG
80% of Global Trade by Sea
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The Evolving Role of Port Authority
Port Authority: From “Landlord” to “Business Facilitator”
Landlord, Regulator & Operator
Port EcosystemOrchestrator
“Logistification” of Business Models
“To set up a reliable and scalable
structure at Amazon, our efforts have
been focused on building our
distribution chain as the core of our
business model”
Jezz Bezos, Amazon CEO
Importance of Logistics in Business is Growing
Problems in Port Logistics
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REAL TIME INFORMATION & PREDICTIONS
Source: Competitive Gain in the Ocean Supply Chain study and report, BPI Network, XVELA and Navis.
PORTS AS “BLACK HOLES” IN LOGISTIC CHAINS
Key Issues
What Are the Busines Challenges?
What Is Algeciras Port Vision and Digital Ambition?
Execution: What´s Going On in Practice?
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02
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Next Generation Algeciras Port
SEAMLESS – AUTONOMOUS – INTELLIGENT
FOCUS ON OPERATIONAL EXCELLENCE &
CONTINUOUS INNOVATION CULTURE TO SUCCEED IN
QUALITY OF SERVICE
Next Generation Algeciras Port
Port Digital Layer: Real Time Info & Control Efficiency of
Every Business Process
Port Collaborative Platform: End-to-End Integration of
Agents and Systems to Share Info and Improve Coordination
Innovation as a Process: Continuous, Systematic, Integrated
in the Business & Ready to Adopt New Business Models
CORE ELEMENTS OF ALGECIRAS NGP
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Things IT Systems Ecosystems Customers Intelligence
Port Digital Ambition: IoT – AI - DSS
REAL - TIME
VISIBILITY
Situational Awareness
EXECUTION
IMPROVED
PREDICTABILITY
Operational Events
PLANNING
PRESCRIPTIVE
CAPABILITIES
Max. Value Creation
OPTIMIZATION
Decis. Supp. Syst.IoT & Data Adv. Analytics
DIGITAL PLATFORM FOR OPERATIONS ORCHESTRATION
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Things EcosystemsIntelligence
HOLISTIC INTELLIGENT SYNCHROMODALITY
Key Issues
What Are the Busines Challenges?
What Is Algeciras Port Vision and Digital Ambition?
Execution: What´s Going On in Practice?
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02
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Phase I: 2014-2016 Phase II: 2017-2020 Phase III: 2020-2025
2014 2017 2020 2025
Digital Innovation Roadmap
Digital Port Ecosystem
New Innovation
Framework
Collaboration in Port Community
Innovation as a
Business Process
New Business Models
Start-Ups
Collaboration
Automation & Advanced Analytics
IT - Business Integration
Logistics
Innovation
Hub
Next GenerationPort
MaximizeImpact
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Phase I Projects innovacion.apba.es
Advanced Analytics & Virtual Management System
Met-Ocean & MonteCarlo Simulation Systems
Image Analysis – Gate Automation – Track & Trace– Telco (eLTE)
PHASE II: 2017-20202014 2017 2020
Operational Orchestration Platform
PHASE I: 2014-2016
PORT OPS MANAGEMENT SYSTEM PIT STOP PORT OPERATIONS PROJECT22
All Players Working as a Team
Reduce Idle Time at the Port
Vessel = Formula 1 Car
Pit Stop Port Operations Project
Pit Stop Port Operations Project
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Easy Access to Planning and Execution Info from Vessels Visits
Arrival – Operations – Departure
Forecast Delayed Arrivals
Forecast On-Time Arrivals
Full Visibility of Real-Time & Estimated Events for OPS Coordination
Pit Stop Port Operations Project
CARGO OPERATIONS
Timeline of Estimated & Real Time Events from Different Systems
Access to Unique & Complete Source of Truth to All Parties
"Culture Eats Strategy for Breakfast"— Peter Drucker
Consolidating Innovation Culture
Innovation Propellers
Innovation Web Portal
26Algeciras Port IT Symposium
Executive Leadership
Algeciras NGP: Seamless – Autonomous – Intelligent
Integration of Innovation – Technology – Business
Digital Transformation: Team Sport
Extend Pit Stop Approach along the Logistic Chain
Add more Predictive and Presciptive Intelligence to our Systems
Consolidate Port Living Lab and Relationships with Start-Ups
Wrap-Up and Next Steps
Maritime Transport Future
Malcolm McLean, 1956
IoT
AutonomousVehiclesArtificial
IntelligenceSimplification New Business
Models
3D-Printing
WE SHOULD BE OPEN TO INNOVATE!28