1. To represent, lead and serve the airline industry e-freight Sycaff Jan 26th 2012 Guillaume Drucy Head, Cargo e-business

2. e-freight – end to end paperless process for air cargo transportation 13 DecemberCargo Media Day 2011 Shippers Export Customs Import Customs Origin Freight Forwarders Carrier Consignees 1. 1. Invoice 2. 2. Packing List 3. Master Air Waybill 4. House Air Waybill Destination Freight Forwarders 10. Import Cargo Declaration 11. Import Goods Declaration 12. Customs release Import Origin GHA Destination GHA 5. Export Goods Declaration 6. Export Cargo Declaration 7. Customs release Export 8. House Manifest 9. Flight Manifest Set of business processes and standards for data exchange and removal of paper

3.  INTERNATIONAL AIR TRANSPORT ASSOCIATION 2011 Electronic Customs/regulatory environment Shipper Export Customs Import Customs Origin FwR CarrierConsignee Dest. FwR GHA - -Customs declarations electronic - -Invoice/packing list) accepted in electronic format, or printed copy

4.  INTERNATIONAL AIR TRANSPORT ASSOCIATION 2011 Shipper Origin FwR CarrierConsignee Dest. FwR GHA - Communicate electronic data (FWB and FHL messages) or capture information on airline web portal - - e-AWB implemented (currently optional for e-freight but mandatory as of Jan 2013) - - Paperless acceptance counter and freight delivery (destination) without original paper docs (may require use of a shippers delivery note or warehouse receipt) Electronic communication between forwarder, airline and handler

5.  INTERNATIONAL AIR TRANSPORT ASSOCIATION 2011 - Communicate key documents to destination forwarder, broker and shipper electronically (house air waybill, invoice, packing list) - - Ability to archive documents electronically (e-Archiving) - - Elimination of the document pouch for general cargo documents, reduced pouch for other cargo that needs special cargo docs in the pouch Shipper Origin FwR CarrierConsignee Dest. FwR GHA Electronic communication between origin and destination forwarder/consignee

6. 6 DecemberCargo Media Day 2011 Why e-freight – key benefits Lowers industry costs TransfertimeErrors in data Carbon footprint Key Facilitator for Security

7. 6 DecemberCargo Media Day 2011 Benefit example: Single Data Capture  37% of data in HAWB comes from Invoice, Packing List, COO (CAAS Study)  Significant savings on re-entry of MAWB/HAWB data by airline/handler on freight acceptance

8. 6 DecemberCargo Media Day 2011 Benefit example: Simpler Freight Acceptance Process at Origin 1. Documents acceptance 2. Freight acceptance Traditional process 1. Freight and data acceptance Paperless process

9. 6 DecemberCargo Media Day 2011 e-freight status – Dec. 2011 42 Countries/SARs 100+ Major Airports 42 Live airlines 400+ Forwarders 9.4% Live trade lanes* *Trade lanes live at end 2010

10. Critical factors of change 13 DecemberCargo Media Day 2011  Customs and regulatory support  Airline readiness (IT legacy)  Airline-Handler interface  Data quality  Forwarder capability and awareness

11. 6 DecemberCargo Media Day 2011 Approach 2012 and beyond: collaboration Global Global: GACAG e-Commerce Task Force (GECTF), e-freight Central Action Group (eCAG) Local Local: (EF@NL, EF@SIN, Task Forces, and now Sycaff e-freight commission!)

12. Priorities 2012 21 May 2015 Cargo Media Day 2011 12 Customs / regulatory FF-Shipper interface FF-Airline-GHA interface Expand network (priority BRIC) Improve support in existing countries/ locations (US and others) Proof of concepts for e- SDDG and e-Security Declaration e-AWB 15% (Board target) Multilateral e-AWB agreement Improve industry data quality (FWB/FHL) Upgrade IHM (Ground Handling) Assess and promote technology solutions – e-pouch Review overall Roadmap to 100% e-freight with GACAG partners

13. e-freight Pillars and Foundation 6 DecemberCargo Media Day 2011 Treaties Regulations Electronic Customs /government procedures e-AWB e-House/Flight Manifest Data quality (MIP/C2K) Electronic invoice, packing list, HAWB e-freight Industry ‘To-Be’ Business Process e-freight Operating Procedures (e-FOP) Customs / regulatory FF-Shipper interface FF-Airline -GHA interface e-Document standards Supporting Standards/ Business Processes Supply Chain Transformation