Copyright © 2004 All Rights Reserved ShipServ Ltd ShipServ TradeNet The largest and fastest growing multiple buyer and supplier trading network ShipServ Tomorrow’s ship supply solutions delivered today by the most knowledgeable and experienced team The logistics challenge in Ship Supply Management TradeNet Conference Copenhagen June 18, 2004

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet The delivery flow 2.ISPS code explained 3.Consequences of the ISPS code – discussion, identify challenges and solutions 4.ShipServ Delivery Management solution 5.Presentation in plenum (15:00)

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Definitions Deliverypoint : Anyone who manages receipt of goods on a Shipping Company’s behalf Examples of deliverypoints : - Freightforwarder - Own warehouse - Shipschandler - Supplier - Port agent - etc.

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Supplier First Delivery Point Logistics Flow Ship 1. Requisition 2. PO 3. Shipment Sent 4. Shipment Received 4. Delivery Advice 6. Shipment Advice 7. Consolidated Shipment Received 6. Consolidated Shipment Sent 7. Delivery Advice Local to Supplier Local to Ship 9. Shipment Adv. 10. Shipment Received 9. Shipment Sent 11. Del. receipt 3. Shipment Advice 2. PO Advice 5. Order Shipment Status updates as approp. 8. Order Shipment Ship 9. Shipment Adv. 11. Shipment Received 9. Shipment Sent 10. Shipment. Adv. 12.Del. receipt Last Delivery Point Buyer Check shipment before taking on-board

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet The ISPS code Ship Security Officer (Clause 7.2) ¤At security level 1, the following activities shall be carried out, through appropriate measures, on all ships, taking into account the guidance given in part B of this Code, in order to identify and take preventive measures against security incidents: 6 supervising the handling of cargo and ship's stores; Ship Security Assessment ¤Clause 9.33: The security measures relating to the delivery of ship's stores should: 1ensure checking of ship's stores and package integrity; 2prevent ship's stores from being accepted without inspection; 3prevent tampering; and 4prevent ship's stores from being accepted unless ordered. ¤Clause 9.35: At security level 1, the SSP should establish the security measures to he applied during delivery of ship's stores, which may include: 1checking to ensure stores match the order prior to being loaded on board; and 2ensuring immediate secure stowage of ship's stores. Training ¤Clause : Crew must be able to perform physical searches of persons,.... and ship's stores prevent ship's stores from being accepted unless ordered checking to ensure stores match the order prior to being loaded on board

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Groupwork Identify challenges this creates to your existing processes and systems. Suggest necessary solutions and their impact on your existing delivery management set-up.

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Challenges How do you make sure the goods delivered to the vessel is what was ordered? How far do you need to go into the description of the goods – i.e. the package units? How do you send the packing list to the ship? If you buy locally, how will you know what the physical appearance of the goods is? - how many boxes, size and shape? Can the ship be sure that no one has tampered with the list? How does your delivery point know which deliveries to expect? Etc.

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet ShipServ Delivery Management solution

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Do you know this situation?? Freight Forwarder A Agent Supplier Website Fax Website Telephone Website Freight Forwarder B Freight Forwarder C

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet How do you keep the delivery status up-to-date?? - E- Mail - Telephone - Fax - Website ShipServ eSSM Delivery points Your spreadsheet ShipServ eSSM solution Your delivery points update your solution directly Information is at hand at delivery point before delivery

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Delivery point features 1.See ordered deliveries instantly 2.Update receipt of goods, incl. Physical appearance 3.Receive shipping instructions 4.Create shipments and packing lists A eSSM delivery point can :

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Implementation How do you roll out? 1. Agree with your delivery point 2. Issue password to delivery point 3. Add delivery point ID in your purchasing system 4. Send purchase order via TradeNet

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Complete e-enablement of delivery points Deliverypoint # 1 Deliverypoint # 2 Deliverypoint # 3 Deliverypoint # 4 Deliverypoint # 5 Deliverypoint #48 Deliverypoint # 49 Deliverypoint # 50 Deliverypoint # 51 Deliverypoint # 52 Complete e-enablement of delivery points Shipping Company

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Deliveryp. # 48 Deliveryp. # 49 Deliveryp. # 50 Deliveryp. # 51 Deliveryp. # 52 Deliverypoint # 1 Deliverypoint # 2 Deliverypoint # 3 Deliverypoint # 4 Deliverypoint # 5 Which tools the delivery points use is seamless to the owner StartLogistics SmartLogistics Integrated Seamless to the shipping company Shipping Company

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Benefits in short Faster update, no waiting for faxes or updates No rekeying (No spreadsheets to update and distribute) Easy access for everyone involved (Web Access) Allows Delivery point to be proactive You can use a mix of delivery points but still keep overview Complies with International Ship & Port Facilities Code (ISPS) Makes it more cost effective for your logistics provider (no retyping, no faxing, no development cost for own web solution)

Copyright © 2004 All Rights Reserved ShipServ Ltd – Holland House 1-4 Bury Street London EC3A 5AE UK - Tel Fax – TradeNet Thank you