DIGITALISATION OF THE MARITIME INDUSTRY
WÄRTSILÄ / TRANSAS
THE FUTURE OF FLEET OPERATIONS CUSTOMER CONFERENCE
NOVEMBER 5TH, 2019
AGENDA
INTRODUCTION
STRATEGY
CYBER SECURITY
ADDITIVE MANUFACTURING OF SPARES
DIGITAL CREW CERTIFICATES
SINGAPORE SHIPPING ASSOCIATION
STEEN’S BACKGROUND
A.P. MOLLER – MAERSK – 1987-2009DENMARK – PAKISTAN – KOREA – INDIA – SINGAPORE – HONG KONG
GERMANISCHER LLOYD – 2010-2013CHINA
DNV GL – 2013-2017SINGAPORE
RADIO HOLLAND – 2017-2019SINGAPORE
EXECUTIVE SHIP MANAGEMENT 2019-SINGAPORE
AGENDA
INTRODUCTION
STRATEGY
CYBER SECURITY
ADDITIVE MANUFACTURING OF SPARES
DIGITAL CREW CERTIFICATES
SINGAPORE SHIPPING ASSOCIATION
KEY QUESTIONS
Key questions to ask before planning a digital strategy
What is the source of the competitive edge for the core business ?
How will digitalization affect the operating model and the company’s
position in the market ?
Are there any digital disruption models from other industries that
are likely to compete with the core business or alter the structure
of the industry or value chain ?
Identify areas where value creation through digitalization has
the most relevance.
Engine and deck log books
Passage planning
Tank cleaning
Compliance
Fleet maintenance
Spares
Crew management
Predictive maintenance
BI Tool
Digital crew certificates
Digital class certificates
TARGET PROCESSES
BI tool with customer interface
Operational Control Centre
Digital organization (independent)
Reinventing the core business through digital transformation
Office visit experience
Internal communication
AI / AR based navigation
TIM
ESO
ON
LA
TER
Invoicing and payment hierarchy
PSC / RightshipANALYTICS
MASS - Autonomy
Procurement
Crew Welfare
DATA GATHERING
VISUALISATION
SIMULATION
MACHINE LEARNING
OPTIMISATIONOptimal decisions for clear objectives
Algorithms learn from data and make predictions
Digital twin to make trials and predict performance
Dashboards / Communication
Digital
• 10-20-70
• 10% algorithms
• 20% tools/technology/IT
• 70% people - Business Transformation
The real task is addressing cross functional use teams around the total mission (the ship), rather than only the individual task (tech/crew/ops/HSE)
PRIORITIES 10-20-70
AGENDA
INTRODUCTION
STRATEGY
CYBER SECURITY
ADDITIVE MANUFACTURING OF SPARES
DIGITAL CREW CERTIFICATES
SINGAPORE SHIPPING ASSOCIATION
MARITIME CYBER EMERGENCY RESPONSE TEAM
MCERT – OVERVIEW
©MCERT 2019
COMMERCIAL IN CONFIDENCE
The MCERT is a global collaboration
offering cyber incident support and response
for the industry by the industry.
MCERT was founded by Templar Executives
& Wärtsilä.
©MCERT 2019
COMMERCIAL IN CONFIDENCE
MCERT – Drivers of Change
Regulation & Compliance ▪ Sector specific e.g. IMO regulations,
BIMCO guidelines;
▪ Country and flag state regulations.
National Interests ▪ Of high fiscal importance globally - one
million+ seafarers in over 150 nations;
▪ Serving more than 90% of global trade.
Technological Advances ▪ Digitalisation, Automation, Innovation;
▪ Integration of IT/OT systems;
▪ Billions of devices connected.
Business Risk and Opportunity ▪ Financial and Reputational;
▪ Ecosystem and supply chain complexity.
©MCERT 2019
COMMERCIAL IN CONFIDENCE
MCERT – Scope
MCERT Membership provides the following:
• 24/7 Reporting of incidents with the option of anonymity;
• Incident triage and access to Supplier Framework.
Incident Reporting & Response
• Threat map (global cyber incidents);
• Relevant threat alerts;
• Daily reports.Threat Intelligence
• Access to MCERT hosted forums;
• Private discussion space for the MCERT community.MCERT Forums
©MCERT 2019
COMMERCIAL IN CONFIDENCE
MCERT – Incident Response
Handling an incident requires coordinated action and a timely
response;
MCERT Operators will triage an incident to provide appropriate
response and mitigation options with expert advice and support.
• “Respond quickly and efficiently to a Cyber incident.” (BIMCO, 2019)
• “Implement risk control processes and contingency planningto protect against a Cyber-event” (MSC-FAL.1/Circ.3)
©MCERT 2019
COMMERCIAL IN CONFIDENCE
MCERT – Cyber Intelligence
The MCERT helps prevent and protect members against cyber
incidents via targeted and relevant daily threat intelligence reporting;
The MCERT operates a reporting portal enabling collaborative
information sharing, anonymously if desired;
The MCERT cyber intelligence capability is staffed with trained analysts
able to generate timely threat intelligence in relation to emerging
cyber threats and incidents.
• “Raise awareness on Cyber Risk threats and vulnerabilities” [MSC.428(98)]
©MCERT 2019
COMMERCIAL IN CONFIDENCE
MCERT – Onboarding
Organisation decides to join MCERT
They visit www.maritimecert.org and
register as a new user
The MCERT takes payment
MCERT confirms the payment and, approves
the user access
New user is officially a MCERT Member with access
to www.maritimecert.org
MCERT Member has the full benefits of joining the
MCERT
©MCERT 2019
COMMERCIAL IN CONFIDENCE
MCERT – Summary of Benefits
• IMO 2021 Guidelines – Empowering you to meet your duty of care and IMO
obligations (+BIMCO);
• Cyber incident triage – Coordinated action to establish appropriate response and
mitigation;
• Cyber incident response – options to restore operational capability;
• Cyber information and intelligence – Proactively addressing against cyber-attacks
and risks to vessels and operations;
• Access to MCERT Forums and Certified Training.
AGENDA
INTRODUCTION
STRATEGY
CYBER SECURITY
ADDITIVE MANUFACTURING OF SPARES
DIGITAL CREW CERTIFICATES
SINGAPORE SHIPPING ASSOCIATION
JIP Scope:
The objective of the JIP with 3 workstreams is to establish:
▪Work stream #1
▪Work stream #2
▪Work stream #3
- Commercial viability through market feasibility study
-Technical feasibility
- Regulatory requirements behind the use of AM for marine parts
(1) MarketFeasibility Study
Work stream #1
100 parts shortlisted
(2) Part Suitability & Selection + AMFabrication
Work stream #2
(3) TestingMethodology and DataGeneration
Work stream #3
AM JIP DELIVERS
AM JIP 100 PARTSHighly feasible for 3D printing
without class certification
Highly feasible for 3D Printable
with class certification
Not highly feasible for 3D
printingBearing shell Air compressor elbow Angular ball bearingCompressor housing Anti-polishing ring AnodeFuel pump top cover Banjo plug Band brake liningPlate for condenser/evaporator Bearing bush Bearing housing
Shaft Bearing cover Bolt reamerTurbine diffuser Bleed screw Compressed sealingringValve plug Bursting disc Compressor driving pulleyBearing nut Connecting rod Coned disc springBlade (air compressor) Cooling water jacket Crane shackleClaw clutch Crank pin DowelpinClutch shoe Drive pinion FairleadConnection nipple Flange GasketCoupling Flexible coupling Gear ringCylinder liner Gear Gland packingDamper ring Guide pin HexagonscrewExpansionjoint Handle axle Impeller nutFlywheel Hatch cover packing KeyHelical rotor Impeller Mooring winch drumNozzle ring Needle roller bearing Oil scraper ring (stuffing box)
Pistonring Nozzle tip Pipe clampPlunger barrel O ring PistoncrownRocker arm bracket Oil slinger Purifier bowlRoller guide housing Pintle bush ScrewRotary cup Polyurethane buffer SpringSpindle guide Quick acting cleats Steel ballTapered bush Retainer ring V pulleyThrust collar Sea chest strainer Valve springThrust piece Seal valve stem Filter cartridgeValve guide Spiral gearValve seat Spring carrierValve spindle SwirlerWorm gear Thrust spindleNut Valve bridge
Valve cotterWasher
AGENDA
INTRODUCTION
STRATEGY
CYBER SECURITY
ADDITIVE MANUFACTURING OF SPARES
DIGITAL CREW CERTIFICATES
SINGAPORE SHIPPING ASSOCIATION
Lack of trust & transparency
85% misrepresentations or
incorrect statements on
resumes
60% Counterfeit documents
or alteration
30% Falsification of records
10% Cloning or impersonation
Today’s paper-based systems
Inefficiencies
lengthy paper-chains &
repetitive manual tasks
imposing a substantial
administrative burden/costs
& increasing risk of errors
Risk of non-compliance &
huge fines
with data-privacy
regulations/ stringent
GDPR / PDPA
requirements
FRAUD IN CURRENT CERTIFICATES
Leveraging
Blockchain & AIAs a catalyst for
digitisation
C-LOG is digitising several paper-based processes in the maritime industry
Certificates and licenses
Record of sea-going service
Endorsements
Health Certificates
Familiarization
Record of completed training
Assessments (soft-hard skills)
All documentation in one place.
AGENDA
INTRODUCTION
STRATEGY
CYBER SECURITY
ADDITIVE MANUFACTURING OF SPARES
DIGITAL CREW CERTIFICATES
SINGAPORE SHIPPING ASSOCIATION
A VIBRANT COMMUNITY
Coming together to:
Design a strategy playbook
Structure cyber security priorities
Upskill talent
Bring the AM JIP to life
Innovate a International E-Registry of Ships (IERS)
EIRSINTERNATIONAL E-REGISTRY OF SHIPS (IERS)
Joint Media Release
Singapore, 14 October 2019
PROJECT IS LAUNCHED TO TRANSFORM SHIPPING REGISTRIES GLOBALLY
Confirming Singapore’s position as an international hub for innovation, the Singapore Shipping
Association (SSA) is working with the world’s largest business organisation, the International
Chamber of Commerce (ICC) and pioneering Singapore tech startup Perlin, to build an advanced
digital blockchain ship registration preparation system for international adoption.
Called the International E-Registry of Ships (IERS), it is an entirely new digital blockchain-based
solution to streamline, standardize and drastically improve the currently laborious ship registration
and renewal process. Immediate advantages will include very significant reductions in operating
costs, timing required, human error and fraud.
“The Singapore flag is already a nexus for global maritime trade and innovation. The Singapore
Shipping Association has been actively encouraging and promoting the adoption of new technologies
to navigate the future of shipping. This opportunity to collaborate with the ICC and Perlin to co-
create the world’s first blockchain system for preparation of ship registration not only brings solid
efficiency gains and cost savings for our members but also the wider global maritime community,”
said Steen Brodsgaard Lund, SSA Council Member and Chairman of the Digital Transformation
Committee.
Singapore is the fifth largest registry in the world with a fleet of around 4,500 ships amounting to 91
million gross tons. Such collaboration may have the potential to improve the efficiency of the ship
registration process for the Singapore flag, which is currently done via the Marinet web portal. Such
a solution will also benefit other ship registries who are using manual and paper-based processes.
The Maritime and Port Authority of Singapore (MPA) is supporting this industry-led initiative through
knowledge sharing of the IERS ship registration process and exploration of an open Application
Programming Interface (API) interface in the registration process.
“MPA is heartened that SSA is galvanising the maritime industry to come together to leverage
relevant technologies to streamline the preparation process in ship registration. We are happy to
show our support to such initiatives which can bring greater efficiencies to the shipping industry,”
said Ms Quah Ley Hoon, Chief Executive of the Marine and Port Authority of Singapore.
Essentially, the IERS will be powered by Perlin’s pioneering Wavelet Protocol to create a blockchain
E-register powered by self-executing smart contracts, a streamlined relationship management
platform, and vastly simplified data entry user systems. Automated document checking and API
integration from trusted data sources will also render inefficient manual systems currently used
effectively obsolete.
“As a blockchain company focused on harnessing positive technological disruption, we are greatly
honoured to be working with key partners like the ICC, MPA, SSA, and shipping companies to ensure
Singapore remains at the forefront of digital innovation in port and maritime infrastructure. Using
our pioneering Wavelet Protocol, the most performant public blockchain in the world, we can make
the new IERS a world standard for best practice,” explained Dorjee Sun, Chief Executive Officer of
Perlin.
Once successfully implemented in Singapore, the ICC will provide active and ongoing support for
global adoption of the IERS standards, systems and technology developed by Perlin among its vast
international network of members, affiliated chambers and other business networks. The ICC will
also assist with the submission of Singapore’s IERS in all international government tenders.
“The ICC recognises Singapore as a highly dynamic international hub for continuing industry
innovation. Working with Perlin, our goal is for the IERS built in Singapore as the world’s first digital
blockchain shipping registry solution to be showcased and adopted globally to help power the next
100 years of shipping-based trade across all industries,” said John Denton AO, Secretary General of
the ICC.
Aside from the ICC and Perlin, the IERS is championed by key stakeholders, such as the SSA, DNV GL, Zeaborn, Pacific International Lines, Executive Ship Management, and a growing list of others. Consolidating Singapore’s position as a pioneer and global centre for innovation in vessel registration and renewal, it is likely that other jurisdictions will seek to integrate the IERS transformative digital platform to access the very substantial available benefits.
EIRS
Signatories of the International E-Registry of Ships (IERS) MoU Mr John Denton AO, Secretary-General of ICC, Mr Dorjee Sun, Chief Executive Officer of Perlin and Mr Steen Brodsgaard Lund, Chairman of SSA Digital Transformation Committee. MPA Chief Executive, Ms Quah Ley Hoon, witnessed the signing.
THANK YOU !
QUESTIONS AND DIALOGUE PLEASE
Steen Brodsgaard Lund
+65-96425394