Understanding Waste and Risk: The First Step to Eliminating Them in Maritime Operations
Understanding waste and risk is the first step towards eliminating them. In the maritime industry, gaining control over waste and risk in cargo movements and voyages is crucial. Shipping is a complex chain of events involving various stakeholders, making it challenging to pinpoint the sources of waste.
In this Q&A, Teqplay’s Head of Product Daan Spikker show that with technologies and increased visibility, it is becoming clearer where improvements can be made.
Understanding waste and risk is the first step towards eliminating them. In the maritime industry, gaining control over waste and risk in cargo movements and voyages is crucial. Shipping is a complex chain of events involving various stakeholders, making it challenging to pinpoint the sources of waste.
In this Q&A, Teqplay’s Head of Product Daan Spikker show that with technologies and increased visibility, it is becoming clearer where improvements can be made.
The Complexity of Maritime Operations
In shipping, the journey from planning to execution involves many variables and unexpected events. Despite meticulous planning, many factors can cause delays and additional costs. A key example is demurrage, the cost incurred when a vessel is delayed at the port. During the planning phase, everything may appear to be in order, but the reality often involves unforeseen issues.
Identifying Sources of Waste
Understanding where waste occurs in a voyage is not straightforward. Multiple stakeholders, including port authorities, shipping companies, and logistics providers, all play a role in the vessel’s journey. This complexity makes it difficult to identify the exact points where waste and additional costs arise. Questions like “Why are we spending so much on demurrage?” and “Why are there such long waiting times at ports?” are common.
The Importance of Visibility
To eliminate waste and risk, visibility is essential. Knowing where and why delays and additional costs occur allows for targeted improvements. This understanding is not only about identifying waste but also about learning from these insights to make better decisions in the future.
Leveraging Technology for Better Visibility
With the rise of digital technologies, achieving greater visibility in maritime operations is becoming more feasible. Technologies such as real-time data analytics, AI, and IoT devices provide comprehensive insights into various aspects of a voyage. These tools help in monitoring vessel movements, tracking cargo, and predicting potential delays.
The Time to Digitize is Now
Given the advancements in technology, now is the ideal time for the maritime industry to embrace digitization. By doing so, companies can gain better control over their operations, reduce waste, and mitigate risks. Digitization not only improves operational efficiency but also enhances decision-making processes through data-driven insights.
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