Juha Hintsa

Assessing the drivers of change for cross‐border supply chains

Purpose – This paper aims to systematically document drivers of change and the implications they will have on international supply chain management in the coming two decades.Design/methodology/approach – This study was commissioned by the World Customs Organization (WCO) at the end of June 2006. Because of increased trade volumes, emerging complex supply networks and heightened security concerns, the WCO saw the need to assess future trends and drivers in supply chain management. The Delphi method was applied to identify a set of foreseeable drivers of change and to assess their predicted impact on global supply chain management in the coming ten to 20 years. Based on a literature review of 150 recent publications and interviews among 33 industry, academic and customs experts, a survey was designed and conducted to collect current and potential change drivers in global supply chains. These drivers were compiled and prioritized by an eclectic team of 12 specialists.Findings – The main results of the study ...

Supply Chain Security Management: an overview

Supply Chain Security Management (SCSM) is a relatively new research discipline, thus introductory papers are scarce. The recent concerns on security are driving the introduction of new security initiatives forward to an extent that they are becoming an integral part of supply chain management. This paper presents the current state of SCSM initiatives, and discusses their managerial implications, highlighting the importance of interplay between various business and governmental parties. The paper concludes that a gap exists between SCSM research, standards development and practical managerial actions; the academic community can bridge this gap, e.g., by carrying in-depth supply chain case studies.

Drivers and barriers affecting usage of e-Customs : A global survey with customs administrations using multivariate analysis techniques

The adoption of e-Customs platforms to simultaneously ensure regulatory compliance and to facilitate trade is a major strategic issue for governments and customs administrations worldwide. It ensures a more cost-efficient usage of resources while preserving a smooth flow of goods across international borders. Hence, customs administrations are challenged to favor the introduction of IT systems that may enhance the ability to improve information sharing with the business sector, as well as with other governmental agencies. This is often not a straightforward process. As many experts point out, e-Government development projects fail commonly due to the lack of thorough understanding of administration requirements as well as barriers for implementation. Hence, the purpose of this study is to understand what factors enable or hinder the exploitation of e-Customs platforms. By means of a Systematic Literature Review (SLR), a theoretical framework is developed to identify drivers and barriers for usage of e-Government/e-Customs platforms. Thereby, a survey instrument was developed and data was collected in occasion of a World Customs Organization (WCO) Annual Council meeting, which was joined by around 400 customs delegates and officers from 178 WCO member administrations. A total of 94 questionnaires have been collected and analyzed, which gives an approximate response rate of 23% (46% considering only the 178 member administrations). The analysis of data has been performed by a combination of multivariate techniques and ANOVA. Results show that factors like cost-savings and ease of use significantly influence the usage of e-Customs platforms. On the contrary, cost-efficiency and usefulness of e-Customs platforms have no significant impacts. From the perspective of barriers preventing adoption, this paper identifies two main factors: 1) technical constraints and costs and 2) quality and trust. Both these factors significantly influence adoption of information sharing, in the context of business-customs communication.

Security Programs as Part of Efficient Supply Chain Management

This paper aims to explain how different supply chain security initiatives and programs affect different supply chain partners and their operational efficiency. Three in-depth cases-a global consumer goods company, a carrier, and a port operator-were studied through multiple interviews to understand how the five supply chain security initiatives affected their operational efficiency. The case organizations, security programs, and aspects of operational efficiency were triangulated in the case analysis to derive managerial and practical implications. The findings indicate that over the short term, implementing the supply chain security initiatives increases freight fees and overhead costs due to the needed technology and IT investments, but the case organizations also benefit from information transparency, better partnering, and above all means of achieving resilient and efficient operational supply chains. Other benefits include reductions in the following supply chain problem areas: theft, smuggling, counterfeit, and loss and damage. Some supply chain partners see that the changes also generate new business opportunities.

Adapting supply chain management strategies to security – an analysis of existing gaps and recommendations for improvement

ABSTRACT The purpose of this paper is to determine the main security threats in supply chains, to understand gaps in today’s supply chain management strategies and to make recommendations to enhance security in the context of supply chain management. Previous research lacks comprehensive studies and recommendations about how supply chain managers deal with security issues in line with the business visions and strategies of their companies. The study methodology is based on an exploratory approach. Data were collected from 20 managers from international companies by means of self-administered surveys, one-to-one interviews and group interviews. Study findings point out risk management as an important tool at the disposal of managers for trading off performance and vulnerability. However, some important challenges also need to be considered, such as lack of data, insiders, IT vulnerabilities, regulatory frameworks, criminal behaviour, etc. Hence, recommendations are made for managers to improve their understanding of supply chain security.

Future Development of e-Customs: A Survey Study with Swiss Companies

This survey paper explores the current state of play of Swiss cross-border trade and logistics operations and highlights areas for future developments. In particular, the survey aims: (1) To identify how customs declarations are filed, (2) To understand the companies’ knowledge about compliance costs, (3) To understand future developments expected by companies, and (4) To determine the potential benefits of e-Customs platforms. This study will ultimately bring to light concrete functionalities to be included in future e-Customs platforms. The results unveil the importance of interactive and user friendly e-Customs services. In addition, design and implementation of e-Customs services need to be driven by tangible benefits for the private sector, including facilitating export procedures, improving flexibility, reducing the need to re-enter any customs data during the declaration processes, and enabling a seamless flow of data between the parties involved.

Differences in security risk perceptions between logistics companies and cargo owners

Purpose – Supply chain stakeholders may perceive security risks differently and thereby misalign mitigation strategies. Hence, causing weak spots in supply chains and thereby disruptions. The purpose of this paper is to determine whether supply chain companies actually perceive security risks and effectiveness of mitigation strategies differently. Design/methodology/approach – Two survey studies measuring perception of security risks and effectiveness of measures have been developed and used to collect data from European and Latin American companies, grouped as cargo owners and logistics companies. Findings – The findings of the surveys unveil that only two (out of six) security risks, namely, violation of customs non-fiscal regulations and illegal immigration, show significant differences between the two groups of companies. In addition, the surveys show that companies perceive equally the effectiveness of security measures. This study concludes that supply chains seem to have good visibility over the security risks of their partners. Hence, in terms of security, supply chain companies seem to have achieved a common understanding of risks and furthermore are able to act jointly to secure assets and operations. Originality/value – Previous research claim supply chain stakeholders may perceive risks differently and thereby may fail to correctly align mitigation strategies. Yet, to the authors knowledge, previous research has not empirically demonstrated these differences in perceptions of risks and mitigation strategies.

Coordinating Research Efforts on Environmental Crime

In a period of extreme urbanisation, overconsumption, and extensive production of waste and pollution, the environment is under greater pressure than ever before. The adverse effects of this go well beyond strictly environmental impacts, by seriously undermining economies and livelihoods, good governance, and the rule of law. Having reached significant global proportions, environmental crimes have increasingly attracted the attention of the international community.

Impact Analysis of Two World Custom Organization Technical Instruments – Customs Data Model and Unique Consignment Reference – On Customs Operations and Performance: Survey at 18 Customs Administrations

Information and documentation are central elements in the control of international cross-border trade and logistics, aiming for provision of necessary level of society, economy and revenue protection by the Customs administration and other border agencies and as well as acceptable border release times for the trade. Standardized data sets and electronic messages using international code standards are key for effective and efficient B2B, B2G, or G2G exchange and sharing of such information. Historically there is a major lack of global standards for cross-border trade business processes such as import, export or transit. This paper presents the results of the first survey study on potential impacts of two cross-border related technical instruments under development at the World Customs Organization – Customs Data Model and Unique Consignment Reference – on operations and performance at Customs administrations in 18 countries worldwide.