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CrimsonB Y T E S

June 2014

Crimson

JUNE 2014

Y B T E STHE QUARTERLY PUBLICATION BROUGHT TO YOU BY CRIMSONLOGIC PTE LTD.

Editorial material may originate from third parties and does not necessary reflect the views of CrimsonLogic Pte Ltd. Please note that the copyright and trade marks in the materials are the property of CrimsonLogic Pte Ltd and/or the respective third party proprietors. All rights reserved. No portion of the Crimson Bytes Newsletter may be reproduced in any form without the written permission of CrimsonLogic Pte Ltd.

WHATS NEW?

OUR PERSPECTIVE

WATCH OUT FOR THESE EVENTS!

PARTNER IN THELIMELIGHT

• Kenya’s National Single Window System to Launch

• CrimsonLogic Launches New e-Services on TTBizLink in Trinidad & Tobago

• Data Harmonization for Single Windows: A Case Study from Oman

• Port Community System Infographic

• Africa Singapore Business Forum

• World e-ID Congress 2014

• Rise of Mobile-Based Bill Management & Payment Mr Anand Singh Founder CEO, Green Bills Pte Ltd

WHAT’S NEW?

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KENYA’S NATIONAL SINGLE WINDOW SYSTEM

TO LAUNCH

LAUNCH

C.G.H., President and Commander in Chief of the Defence Forces of the Republic of Kenya on 2 May 2014.

The Kenya TradeNet provides a single point of access for the Kenyan trading community to electronically submit and receive approvals from regulatory agencies, enabling easier, faster and more transparent process, providing significant cost savings to the trading community.

Key regulatory agencies such as Kenya Revenue Authority, Kenya Ports Authority, Kenya Maritime Authority, Kenya Airports Authority, Kenya Bureau of Standards, Kenya Plant Health Inspectorate Services, Department of Veterinary Services, Horticultural Crops Development Authority, Pharmacy & Poisons Board and Port Health (and eventually over 20 partner government agencies) are integrated with Kenya TradeNet.

Kenya TradeNet is owned and managed by Kenya Trade Network Agency (KenTrade), a State Corporation mandated to implement, operationalise and manage the system.

Under a government contract between Kenya and Singapore, CrimsonLogic successfully rolled out the Kenya Electronic Single Window System, officially known as Kenya TradeNet. The system is CrimsonLogic’s 18th live Trade Facilitation implementation so far, and its first major project in Kenya.

Kenya TradeNet is the first comprehensive Single Window system in the East African Community, and one of the very few in the world that integrates a complex heterogeneous government agencies ecosystem onto a single common platform, streamlining clearance process for sea, air and land cargo.

With the country’s annual trade volumes exceeding US$22.4 billion*, Kenya TradeNet is a flagship project under Kenya’s Vision 2030 programme to position the country as a key trading hub in Africa. The implementation of the Kenya TradeNet is timely as the system is expected to reduce cargo dwell time at ports and improve the ease of doing business.

Kenya TradeNet was rolled out to the trading community since November 2013, and officially launched by His Excellency Hon. Uhuru Kenyatta,

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“The journey towards modernising our Trade Facilitation system has benefitted from the wealth of knowledge and expertise that CrimsonLogic has brought into this project,” said Alex Kabuga, CEO of KenTrade. “CrimsonLogic is our valuable partner that delivered this challenging project on time, enabling us to positively manage the expectations of our stakeholders and trading community.”

“We are thrilled to see initial benefits of the Kenya TradeNet to our operational efficiency, and encouraged that it is well-received by our stakeholders and trading communities, as they are now able to fully leverage the system to boost our trade and market positioning globally.”

Mr Saw Ken Wye, CEO of CrimsonLogic added: “We are extremely honoured to be a key partner to Kenya’s eGovernment journey to transform the country’s economy and trade, and as a Singapore company, proud to have shared our expertise and experience to support this project.”

President Paul Kagame of Rwanda officially launches the Kenya TradeNet System at Safari Park Hotel, Nairobi on 2 May 2014 in an event witnessed by President Yoweri Museveni of Uganda (in cap) and President Uhuru Kenyatta of Kenya (extreme right). Also in the photo is KenTrade Chairman, Gen. Joseph Kibwana (Rtd) on the extreme left.

“As a global leader in Single Window implementations, it is about working with governments that have the foresight and tenacity to drive the necessary reforms and investments to affect positive changes. I would like to congratulate KenTrade to have taken on the challenge to enrich the lives of citizens and business communities through the Kenya TradeNet project.”

“The demand for eGovernment solutions remains strong in Africa and we will continue to increase our investments there. Working closely with Singapore organisations like Singapore Corporation Enterprise (SCE), and international organisations such as World Bank and Investment Climate Facility for Africa (ICF), we aim to play a key role in helping our government customers and their citizens to progress to the next level of growth and prosperity.”

* Source: CIA World Factbook, based on 2013 trade estimates

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CrimsonLogic announced that five new e-Services on TTBizLink will be launched by the Honourable Senator Vasant Bharath, Minister of Trade, Industry, Investment and Communications.

Developed by CrimsonLogic, TTBizLink is a Single Electronic Window for Trade, Investment and Business facilitation built for the Government of the Republic of Trinidad & Tobago (GORTT). The e-Services going live are: e-Goods Declaration, e-Maritime Services, e-Vendor Registration, e-National Insurance Board Registration, e-Board of Inland Revenue and e-Value Added Tax Registration.

TTBizLink is the second Single Electronic Window (SEW) built by CrimsonLogic that integrates a host of business facilitation e-Services to improve the ease of doing business in the country. Other SEW systems by the company were mainly focused on international trade and automation of import and export documentation.

The TTBizLink system was able to successfully reduce transaction times significantly (ranging from 2.5 to 28 times improvement in time saving – please refer to table), enabling Trinidad & Tobago to positively enhance its overall international competitiveness for trade, foreign investments and the ease of doing business.

*Source: Ministry of Trade, Industry, Investment and Communications, Trinidad & Tobago

CRIMSONLOGIC LAUNCHES NEW E-SERVICES ON TTBIZLINK IN TRINIDAD & TOBAGO

ImprovementLead Agencye-Service

e-Company Registration

e-Permits and Licences

e-Certificates of Origin

e-Work Permits

e-Import Duty Concessions

e-Fiscal Incentives

Ministry of Legal Affairs

Ministry of Trade, Industry, Investment and Communications Ministry of FoodProduction Ministry of Health

ExporTTTrinid and Tobago Chamber of Commerce and Industry

Ministry of National Security

Ministry of Trade, Industry, Investment and Communications

Ministry of Trade, Industry, Investment and Communications

7 days to 3 days*

4 weeks to 1 day*

1 day to 30 minutes*

6 weeks to 2.5 weeks*

6 weeks to 12 days*

6 weeks to 11 days*

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Since Phase I of the system went live in February 2012, the international ranking of Trinidad & Tobago (based on the World Bank Ease of Doing Business Index), has improved from 81 in year 2010 to 66 in 2014 globally.

With this Phase II launch, TTBizLink now integrates 8 Ministries and 18 government agencies (please refer to table) and involves paperless documentation and automated approvals for a multitude of areas such as Import and Export licenses, Fiscal Incentives, Work Permits, Company Registration, Certificates of Origin, Tax ID registration, etc.

The Honourable Senator Vasant Bharath, Minister of Trade, Industry, Investment and Communications said: “Through TTBizLink, the Government of Trinidad & Tobago has been able to demonstrate the enabling role of ICT in significantly improving the country’s ease of doing business.”

In 2013, TTBizLink won first place in the prestigious United Nations Public Service Awards for the category of ‘Promoting Whole-Of-Government Approaches in the Information Age’.

“As a Singapore company, TTBizLink is our most comprehensive Single Electronic Window system in the whole of Latin America and the Caribbean,” said Saw Ken Wye, CEO of CrimsonLogic. “We are extremely honoured to have shared our expertise and experience to support this project. We are also proud to be a key partner to Trinidad & Tobago’s eGovernment journey to transform the country’s economy and trade.

“We continue see the Caribbean region as an important part of our growth strategy. Various emerging markets have shown strong demands for trade facilitation and eGovernment solutions. We hope to leverage on the opportunities to support these governments and their citizens’ needs to progress their countries to the next level of growth and prosperity.”

(From left to right): Senator the Honourable Vasant Bharath, Minister of Trade, Industry, Investment and Communications, Trinidad & Tobago, Mr Saw Ken Wye, CEO of CrimsonLogic, the Honourable Stephen Cadiz, Minister of Transport, Trinidad & Tobago and Mr Ammar Samaroo, Acting Comptroller of Customs, Customs & Excise Division, Trinidad & Tobago.

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RISE OF MOBILE-BASED BILL MANAGEMENT &

PAYMENTMr Anand Singh

Founder CEOGreenBills Pte Ltd

Marc Andreeson has said that technology is eating the world. To be more accurate, Mobile is eating the world. According to Cisco, there were more mobile devices on Earth than people by the end of 2013. As apparent from the growth in mobile phones across the globe, it is the most ubiquitous and intimate computing object today.

The enhancements in the computing power and the ubiquitous nature of mobile phone have made it an indispensable tool to consumers worldwide. With users increasingly on the move, there is need for more and more utility and productivity apps. According to Flurry Analytics, the overall app use in 2013 posted a 115% year-over-year growth whereas the utility and productivity apps posted a growth of 150%.

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The Boom in Payment-on-the-Go Features

Trends are pointing to the growing transactions via mobile devices, as shown in the mobile e-commerce world. A recent study by the Business Today showed that mobile commerce accounted for 20% of e-commerce sales during the Black Friday weekend in 2013. The predictions from the study indicate that one in every three dollars spent on online retail purchases next year will come through mobile devices.

The growth in mobile payments is driven by e-commerce as well as aggregated apps that integrate consumer’s shopping and finance needs into one place. There is a huge potential for growth in bills and payments, rewards and loyalty programs, tickets and boarding passes, wish lists, spending trackers, personal budgeting programme, etc.

Bill Aggregation and Management

Traditionally, bill management has been distributed across different sites. The technology to combine all the bill data across all the billers is also not widely available. The few companies that have managed to bring in account aggregation for payments have been large successes - Yodlee, Mint, and Manilla.

The Singapore government has taken a lead in this field by offering the One-In-Box-solution which aggregates all important government correspondence in one mobile app and website.

The solution aims to increase the productivity of the citizens and simplify access to all important documents.

This solution involved the system integration capabilities of CrimsonLogic and as well as the technology capability of GreenPost in domains of EBPP and mobile app development.

Traditionally, ‘portal aggregation’ model of bringing all the bills together has not taken off due to the challenge of connecting with individual biller directly. In this context, GreenPost has worked on

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different invoice aggregating technologies and created a golden technological path which enables any billing organisation to rapidly aggregate their bills with GreenPost app. GreenPost is a technology leader in the EBPP domain, driving a paradigm shift by porting this experience onto a mobile channel.

In today’s times, every smart phone user can enjoy the convenience of paying invoices on the go, without the hassle of paper invoices or subscription notice. A lot of the personal organisation and payments are coming onto the mobile. The advantages of having a bill aggregation tool include the following:

• Convenience for users on the go - all bills and payments are consolidated in a single place. This doubles up as a great advantage for the billing providers as it reduces their customer service costs and enables better payment experience for their users.

• Reminder service - users get timely reminders of the payment amount that needs to be made. Data shows improvement in on-time payment; users achieve cost savings through the avoidance of late payments.

• Reduce paper wastage - billions of pages are wasted in the process of issuing invoices and collecting payments. In Asia alone, this will cross the 5 billion pages mark soon.

Lowest in Industry Payment Option

In line with the paradigm shift to mobile-based payments, GreenPost has incorporated the lowest cost models of payment collection to align with the bill payment behaviour. Payment from Greenpost comes in two models – flat pay model which is fixed per transaction, leveraging bank debit and a commission model which is based on credit cards. The flat payment model provides the lowest payment option in the industry.

GreenPost is now tying up with key billers in each country to provide very cost-effective payment collection models on the mobile, championing the cause of ubiquitous bill management.

The trends indicate that within 5 years, most organisations will have to adopt the paperless practice of sending invoices and leveraging the mobile delivery platform. Given the high cost of developing and marketing their individual mobile applications, they will increasingly turn to aggregators like GreenPost to ensure their presence on the users’ phones.

This shift will result in billions of pages saved and billions of mobile payment collections.

Mr Anand SinghFounder CEO, GreenBills Pte Ltd (tradename: GreenPost)

Anand is the Founder CEO of GreenPost. GreenPost, the market leader in Asia loves e-bills and is driving the mass adoption of paperless lifestyle in Asia. It is changing the way people manage their bills on the go across Asia. The company has won “Solution of the Year” and “Red Herring Asia” awards for its patented EBPP engine on mobile.

Anand had been a serial entrepreneur and has spent 17 years as internet & mobile strategist, innovator and product creator. He had been part of technology groups which won “Solution of the Year” and many awards in the American and Asian technology circles.

Anand holds a Bachelor of Technology degree in Electronics Engineering from IIT-BHU and MBA from Indian Institute of Management (Lucknow).

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Our Perspective

OUR PERSPECTIVE

11

DATA HARMONIZATION FOR SINGLE WINDOWS:

A CASE STUDY FROM OMANA crucial success factor to

build paperless supply chains

Ian HoggManager

Trade Facilitation Centre of Excellence, CrimsonLogic

The article was first published in WCO News No73February 2014

Twenty years ago, the idea of a standardized Customs data set was almost unheard of. For those of us who were around at the time, being compliant with international standards simply meant implementing UN/EDIFACT messages such as the Customs Declaration (CUSDEC), the Customs Cargo Report (CUSCAR) and the Customs Response (CUSRES). These were common terms within the Customs world – even those who knew very little about information and communications technology (ICT) had a basic understanding of what CUSDEC, CUSCAR and CUSRES were. In those days, a lot of people believed that implementing international standards would somehow make them ‘interoperable’ with other Customs authorities.

The world moved on. Along came the WCO Data Model, and everyone was talking about it. There were those who believed that if you had already implemented CUSDEC, CUSCAR, CUSRES, etc., you were compliant with the WCO Data Model. Others believed that to be compliant with the WCO Data Model, you had to at least ‘map’ your data elements to it or better still, use the code lists recommended by the WCO. In reality, few people understood how to be compliant with the WCO Data Model, although they still believed that being compliant with it would make them more interoperable with other Customs authorities. Then in July 2005, the United Nations Economic Commission for Europe (UNECE) publishedRecommendation No. 33 – “Recommendation and Guidelines on establishing Single Window”, and suddenly the WCO Data Model seemed to have a more practical use.

While all of this was happening, CrimsonLogic was quietly working behind the scenes, developing and implementing Single Window systems around the world: Singapore (1989), Mauritius (1994), Ghana (2002), Saudi Arabia (2002), Madagascar (2007), Ivory Coast (2008), Qatar (2008), Trinidad and Tobago (2010), Mozambique (2010), Chile (2012), Brunei Darussalam (2012), Kenya (2012), Oman (2013) and, most recently, Panama (2013). All of these systems have made use of international standards in one way or another, and perhaps most notably, the systems in Singapore and Mauritius were used as case studies for UNECE Recommendation No. 33.

We already have the know-how to implement Single Windows at CrimsonLogic, which makes it easier for us to see the benefits in complying with international standards, particularly the WCO Data Model. At the same time, as the focus of Single Windows is on ‘trade facilitation’, not only are we interested in the data required by Customs, we must also understand the data required by other border control agencies such as the Ministries of Commerce, Trade and Industry, Health, and Agriculture. In Singapore for example, our Single Window system integrates all border control agencies involved in cargo clearance, including Customs.

Nevertheless, version 3.3 of the WCO Data Model has already proven to be a very useful tool for us. More recently, as part of Oman’s new Integrated Customs Management System (ICMS) and Electronic Single Window (ESW), we have developed our own ‘Data Harmonization’ methodology. It is based on another

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UNECE Recommendation, No. 34 – “Data Simplification and Standardization for International Trade”. This Recommendation describes the process and objectives of data harmonization as follows:

“Following the simplification and standardization process described in the Recommendation guidelines, a government should be able to reduce the regulatory and official information requirements through the elimination or duplication of submissions and the removal of redundant data elements. The outcome of the process should be a more efficient and effective exchange of information between Trade and Government.”

Our methodology recognises that every country is different and you cannot simply implement the WCO Data Model without customisation. As outlined in UNECE Recommendation No. 34, we need to capture, define, analyse and reconcile every document and every data element used during the cargo clearance process. For example in Oman, we captured 110 key documents where we defined 3,783 data elements and produced our first draft of a standardized data set, which included exactly 200 data elements. Of these, we were able to map 190 data elements to WCO Data Model v3.3, and for the remainder we are helping the Directorate General of Customs, which falls under the jurisdiction of the Royal Oman Police, to submit them to the WCO as Data Maintenance Requests (DMRs). In fact, some of our DMRs were approved at the recent Data Model Project Team (DMPT) meeting, and we are looking forward to making further contributions to the development of the WCO Data Model this year.

But it does not end there. We still need to understand the structure of and relationships between the data elements within our standardized data set. In order to do this, we use a third party software product called GEFEG.FX. The software leverages on a new concept within WCO Data Model v3.3, known as ‘Information Packages’. By mapping our standardized data set to these information packages using GEFEG.FX, we can easily define the relationships between our data elements; this, together with the data types, sizes, formats and recommended code lists (where applicable), forms the basis for our Single Window design.

Of course, this all sounds too easy. It helps when you have years of experience behind you, whether it is working in Customs, having an information technology (IT) background or, better still, both. In terms of Customs data, it does not take long to develop information packages for the ‘Declaration’ and ‘Response’, provided you have the right expertise to do so. Once you have a standardized data set, by using GEFEG.FX you can develop your reports, Customs cargo reports, and so on. One of

the main challenges is the non-Customs data, i.e., the data required by other border control agencies. In addition to the ‘Declaration’ and ‘Response’, WCO Data Model v3.3 also includes an information package called ‘LPCO’, which is an abbreviation for Licences, Permits, Certificates and Others. We believe that these are essential for Single Windows, or at least those that aim to provide a ‘one-stop-shop’ for import/export cargo clearance.

In conclusion, based on our experience, the WCO Data Model provides a very rich Customs data set as a result of years of data analysis work done by WCO Members. Moreover, the LPCO package, which has only just become available in recent versions of the WCO Data Model, looks set to become a useful tool for administrations seeking to facilitate cross-border regulatory functions through IT. When you look at the World Bank’s latest ‘Doing Business Report 2014’, as many as 73 countries claim to have implemented a Single Window, yet only 18 have integrated all of the border control agencies. This represents a golden opportunity for governments to further enhance their border regulatory procedures by bringing more WCO Data Model, looks set to become a useful tool for administrations seeking to facilitate cross-border regulatory functions through IT. When you look at the World Bank’s latest ‘Doing Business Report 2014’, as many as 73 countries claim to have implemented a Single Window, yet only 18 have integrated all of the border control agencies. This represents a golden opportunity for governments to further enhance their border regulatory procedures by bringing more border control agencies into existing and emerging Single Window systems. Hopefully, as more governments move towards trade facilitation, they will contribute to the WCO Data Model so that it becomes an even more useful data harmonization tool for Single Windows in the future.

More [email protected]

“The Directorate General of Customs of the Royal Oman Police in the Sultanate of Oman is in the process of developing a new Customs system and Single Window based on international best practices, and using WCO Data Model version 3.3 as the basis for the messaging and data components. CrimsonLogic is providing valuable assistance and expertise as we engage with our partner government agencies to capture and document their requirements and in developing a standardized data set for Oman. The challenge lies in capturing all of the requirements and accurately documenting the processes and data involved in their ‘business-to-government’ (B2G) processes.”

Colonel Yahya Al-MaimaniCustoms Project DirectorDirectorate General of Customs Royal Oman Police

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PORT COMMUNITY SYSTEM

PORT COMMUNITY SYSTEM:UNIFYING DIVERSITY

BENEFITS

Privatisation of portsin India

Every port had diverse operations,IT systems and processes

7 billion rupeesworth of financialtransactions monthlyImplemented in

16 ports across India

Vessel Profile Submission and Approval 48 hours

48 hours

5-6 hours Within 1 hour

PhysicalSubmission

Average 1-2 hours (in many cases, it is immediate)

Average 1-2 hours (in many cases, it is immediate)

Next day Immediate

Online Submission

Voyage Registration and VCN Allocation

Berth Request and Allocation

Container Related Messages

Cargo Related Messages – Delivery Orders

An average of10,000 messagesexchanged daily

CrimsonLogic Port Community SystemSingle electronic window for all port community

stakeholders to access critical information readily and securely

Lack of standards during port-to-port interactions

High error rates

SOLU

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MESSAGESBEFOREIMPLEMENTATION

AFTERIMPLEMENTATION

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Date 27 - 28 Aug 2014

Event Africa Singapore Business Forum

Location Grand Copthorne Waterfront Hotel, Singapore

Activity International Enterprise (IE) Singapore’s Africa Singapore Business Forum (ASBF) is the premier platform for fostering investment, trade and thought leadership between Africa and Asia. Hosted in Singapore since 2010, the forum has since brought together close to 1,000 business and government leaders from 30 countries to develop opportunities and partnerships between these two dynamic regions. ASBF 2014 will address critical issues and identify opportunities for the strategic growth of both regions through presentations and panel discussion. Our CEO, Mr Saw Ken Wye will be a panellist on the “Transport & Logistics in Africa: Connecting a Continent” panel.

Date 22 - 25 Sep 2014

Event World e-ID Congress 2014

Location The Pharo Palace, Marseille Provence, France

Activity Since 2004, the World e-ID Congress gathers e-ID programme managers, government representatives and technology experts from the world’s most inspiring projects to foster exchanges on approaches, initiatives and results. With 382 participants and 80 speakers in 2013, the Congress is one of the most important events for e-ID services providers and implementers. Our Chief Technology Officer, Mr Tan Sian Lip will be speaking on “A Strong National Identity Scheme as an Enduring eGovernment Foundation – the Experiences of Mauritius and Singapore”. He will be covering these key areas:

- Extracting value from e-ID programme- Reliable and accessible people data as a basis for multi-use e-ID Card- eCitizen data management- Building central population database around residents’ life events- National eGovernment Trust Framework – Mauritius and Singapore’s respective experiences with Central Authentication eServices

WATCH OUT FOR THESE EVENTS!

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