While speaking at the last SMART4SEA Conference, Mr. Giampiero Soncini, Senior Advisor, RINA, noted that digital revolution to industry is normal considering the use and impact that technology has already had on our lives.
The technology that we are currently talking about is not new; it has been available for the last 30 years. The technology is here today, but the mindset is not. In general, when it comes to ourselves, we want the latest technology. But when it comes to work, we could use a typewriter and we would be happy. There is no real explanation for this, we only talk about “resistance to changes” and we look for the psychological reasons behind it. What we should do, instead, is simply to apply the same mindset that we apply in ourselves, into our job and exploit what technology can give us.
In the last few years, we appear to have moved from steel to microchips; the following are the new developments which are happening very quickly: big data, Internet of Things, Cybersecurity, remote monitoring and control, unmanned vessels, remote surveys, drone inspections, electronic reporting and weather routing.
When we are talking about unmanned ships, I don’t believe there will be there in 30 years, because they are here today. So why do we have to wait 30 years? Why don’t we have to apply technology in a way that it helps us in being more efficient? Don’t we prefer to be working in a ‘smarter’ way, rather than working long hours to cope with all the workload? Why do we have to have complete computerized “process driven” purchasing systems, but at the end we still print the Purchase Orders, we still file them in some binder, we still sign them and we still fax them eventually? It doesn’t make any sense.
Information Technology had been the biggest job creator in the planet. IT has created millions of jobs; and the same, in a smaller scale, will apply for unmanned ships. Who do you think will run the unmanned vessels? It’s still going to be people at the office, still the crew that you don’t have onboard anymore is going to be ashore, serving the ships as soon as they come into port.
Digitalization is normal
Look at the impact that IT has had on our lives. Think of Google maps, Smart phones, emails, Internet, Amazon, the way we fly and in the future the way we will drive cars. It is obvious that all the above and more will come into shipping. The digitalization main areas, that keep growing and we cannot ignore them, are:
- Navigation (GPS, ECDIS, weather routing, reporting, FMS)
- Back office (procurement, e-commerce, finance, crew management)
- Regulatory (certificates, vetting, inspections)
- New Frontiers (unmanned vessels, IoT)
- Cyber Protection
The digitalization process is already leading the way; it is happening. You can decide not to be the first but if you will be last, it will probably be your last (and wrong) decision in shipping.
With digitalization, you will be confronted with totally new sets of risks, threats, and opportunities which may challenge what you know so far.
In the past, value was in ships and in the experience and competence of the shipping staff. Today, value is in the data you are able to extract and manage from ships, charterers, ports, weather and so on. Experience and competence are still needed and will always be needed but with some additional skills required.
We always talk of big data, but which data is needed and where does it come from? To manage vessels, cargo and crews, one needs all short of data:
- Names: of crew members, suppliers, agents, customers, dispatches, ports authorities, emergencies etc
- Technical information: handbooks
- Maintenance instructions, planning and reporting (history)
- Spares information: supplier, location, price, delivery time, equipment, need to change them
- Papers: certificates, instructions, procedures
- Navigation: weather, traffic, currents, obstacles
- Market conditions
All this data is very valuable and when processed, interpreted and managed efficiently, it will allow you to manage your fleet efficiently.
Cybercrime affects shipping
Shipping digitalization has more than one enemy, but a difficult one to fight is Cybercrime. Cybercrime exists because thieves have understood, before many of us, the importance of stealing data or hiding our data from us so that they can blackmail us. Cybercrime pays because it is easy, difficult to bring to justice and it can be done remotely.
Most people think that cybercrime will affect only very large companies; will never hit on their companies; will never hit on them because they are prudent and; will never affect their families. All these are wrong perceptions because cybercrime is the easiest form of crime in the planet. It pays well and it will attract more and more people, defeating every other form of crime including prostitution and people smuggling, except drugs (from now).
The frauds concerning cybercrime come in many different types: bunkering frauds, cargo and document frauds, chartering frauds, port related frauds, blackmail frauds, cyber fraud, fake jobs adverts and information phishing.
Why going digital?
Considering all these risk, why then going digital? The answer could be very simple: because in today’s society, margins are thin and getting thinner, errors are not accepted, responsibilities are increasing, rules are unforgiven and you need to be in control every minute.
Being in control means knowing what is happening with your business, technically and economically. A responsibility which can’t be delegated.
This means that ship management will have to start working in a very organized way, where data is being collected to allow you to manage your fleet in a very efficient way. This will allow you to save money and be competitive.
View Mr. Giampiero Soncini’s presentation on digitalization process herebelow
The views presented hereabove are only those of the author and not necessarily those of SAFETY4SEA and are for information sharing and discussion purposes only.
