©2010 Helveta Ltd 1
Traceability and control across the supply chain
Commercial in Confidence
Supply Chain Governance – Lessons Learned
World Bank, Friday 14th May, 2010
©2010 Helveta Ltd 2
Traceability and control across the supply chain
Commercial in Confidence
Helveta – World Bank Update Agenda
Project Development Process
Project Lifecycle
Stakeholder Landscape
Private Sector ICT based Governance Initiatives
Scaling from Local to National Deployment
REDD Readiness using ICT
©2010 Helveta Ltd 3
Traceability and control across the supply chain
Commercial in Confidence
About Helveta
Helveta is the UK-based provider of CI World™, supply chain intelligence software for forestry, food and extractive industries.
Chain of Custody monitoring
Asset Tracking
Performance Improvement
Document Control
Resource Mapping
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Traceability and control across the supply chain
Commercial in Confidence
About Helveta – Global Presence
GuatemalaHonduras
PeruBolivia
LiberiaCote d’IvoireGhanaNigeriaCameroonCARCongo South Africa
MalaysiaIndonesia
PNG
RussiaTurkeySpainPakistan
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Traceability and control across the supply chain
Commercial in Confidence
Project DevelopmentProcess
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Traceability and control across the supply chain
Commercial in Confidence
Project Development Process – Public Sector
Regulatory/Institutional Driver established, e.g.: Free Trade Agreement Forest Law Enforcement Governance and Trade REDD+
Terms of Reference defined
Expression of Interest/ Call for Proposals
Request for Proposal issued
Proposal Submitted
Technical and Financial Evaluation
Award Notification
Contract Negotiation
Contract Award
Commencement
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Traceability and control across the supply chain
Commercial in Confidence
Project Development Process – Private Sector
Corporate Driver established, e.g.: Brand Equity enhancement – sustainable procurement Revenue enhancement – price premium/access to market Inventory control – margin improvement
Business Initiative defined
Expression of Interest/ Call for Proposals
Request for Proposal issued
Proposal Submitted, ROI specified
Technical and Financial Evaluation
Award Notification
Contract Negotiation
Contract Award
Commencement
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Traceability and control across the supply chain
Commercial in Confidence
Project Lifecycle
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Traceability and control across the supply chain
Commercial in Confidence
Project Lifecycle
Pre-sales, proposal support, quotes
Initiation/Kick-off
Requirements gathering – functional specification
Technical output methodology
Quality Assurance Processes
Helpdesk
Continuous improvement
Pre-sales
Initiation
Specification
Build Beta
Release Beta
Optimise
Production
UAT
Support
Go-Live
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Traceability and control across the supply chain
Commercial in Confidence
Stakeholder Landscape
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Traceability and control across the supply chain
Commercial in Confidence
Private Sector ICT Governance Initiatives
©2010 Helveta Ltd 12
Traceability and control across the supply chain
Commercial in Confidence
Cocoa Traceability Pilot
Project Scope
10 District Offices (locations tbc) All have PC/Internet Connectivity
Secondary Evacuation Transport
Take-over point
Discrepant Shed
Shipping (Bill of laden)
Receipt in Europe (Hamburg)
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Traceability and control across the supply chain
Commercial in Confidence
Cocoa Supply Chain
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Traceability and control across the supply chain
Commercial in Confidence
District Depot
Storage
Discrepant Shed
Correction
Take-over Point
Cocobod Transfer
Receipt
Receipt in Europe (Hamburg)
Cocoa Supply Chain Critical Control Points
Secondary
Evacuation
Cocoa Traceability Pilot
Take-over Point
Cocobod Transfer
Shipping
Sea Transfer to Europe
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Traceability and control across the supply chain
Commercial in Confidence
District Depot
Receives cocoa from Society
Bags cocoa
Confirms weight
Seals bag and applies tag
Manages transport logistics in CI World
Monitors HHC usage
Provides data input as required
Cocoa Traceability Pilot
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Traceability and control across the supply chain
Commercial in Confidence
Scaling from local to national deployments
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Traceability and control across the supply chain
Commercial in Confidence
Liberia - Project Objectives
The provision of a technology system that will:
Manage a chain of custody providing traceability of forest products from stump
to export
Continuously monitor timber flows in Liberia including:
log/timber tracking system monitoring of regulatory documents monitoring of sampled field checks
Release timber exports on behalf of the Government of Liberia
Invoice and monitor payments by logging companies to the GoL
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Traceability and control across the supply chain
Commercial in Confidence
Liberia – Project Update
First wood flow from standing tree to export milestone reached 2009
UAT successfully completed February 2009.
Post implementation system change control project currently underway.
Current rainy season has suspended production.
+- 440k individual trees tagged and located
+- 180k trees verified in the system
9 contract areas
Sawmill being constructed in Monrovia for first processed timber production.
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Traceability and control across the supply chain
Commercial in Confidence
Liberia – Project Experiences
Project delays
Stringent due diligence processes for contract allocation excluded 100% of bidders at first round.
Conflict over land rights and ownership in legislation.
Speed at which Liberia could establish the industry was underestimated.
Technical Challenges
Lack of “as is” process meant system was built on a set of assumptions as to how the forestry process would be developed.
Insufficient attention to capacity building meant assumed forestry processes were not 100% as expected.
Lack of existing industry meant discovery of process changes could only be made as industry developed, very late in the day for changes to be made.
Delays to wood flows meant reduced funds for necessary system expansion following identification of changes to process.
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Traceability and control across the supply chain
Commercial in Confidence
Liberia - System web input forms
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Traceability and control across the supply chain
Commercial in Confidence
Liberia - System Map Report, Inventory
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Traceability and control across the supply chain
Commercial in Confidence
Liberia – System Verification Reports
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Traceability and control across the supply chain
Commercial in Confidence
Liberia – Gov Revenue Collection
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Traceability and control across the supply chain
Commercial in Confidence
Liberia – Pre Felling Compliance Check
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Traceability and control across the supply chain
Commercial in Confidence
Update
Project extended to end September 2010
Manufacturing defect detected with GPS chipset on handheld computers
18 HHC returned to manufacturer for repair.
Latest CI Mobile version upgrade delivered improved GPS accuracy and UTM conversion
Production process at the CIMAL plant reengineered, adding delays and requiring system changes.
Harvesting for 2010 pushed back 3 months due to extended unseasonal rains
System offers full support for Spanish
Bolivia
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Traceability and control across the supply chain
Commercial in Confidence
Bolivia – System Map Report, Inventory.
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Traceability and control across the supply chain
Commercial in Confidence
Bolivia – Commercial Census Report
Each row displays detailed information for a tree including the volume which was determined during the survey.
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Traceability and control across the supply chain
Commercial in Confidence
Bolivia – Traceability Report
On a single page, the user can check the history of a tree as it goes through the different stages in the Chain of Custody.
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Traceability and control across the supply chain
Commercial in Confidence
REDD Readiness Using CI World MRV Functionality
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Traceability and control across the supply chain
Commercial in Confidence
Combine remote sensing data with terrestrial data for ground truthing, to create a
REDD forest MRV multi-stakeholder, online platform
Integrate indigenous communities into the field data gathering process of REDD-relevant parameters, generating employment for communities and adding
validation capabilities of forest health parameters
Apply best practice carbon analysis methods to data sets and report forest carbon absorption capacity in and auditable, transparent online environment
Combine field MRV data with remote sensing data and make available to all stakeholders in the process.
REDD Project Objectives
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Traceability and control across the supply chain
Commercial in Confidence
www.helveta.com
Community Forest Monitoring
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Traceability and control across the supply chain
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Gathering From The Ground
Mushrooms
Leaves
Good Drinking Water
Yams
Craft Materials
Community Forest Monitoring
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Traceability and control across the supply chain
Commercial in Confidence
Size
Approximately 50cm
Approximately 80cm
Approximately 100cm
FLEGT
Community Forest Monitoring
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Traceability and control across the supply chain
Commercial in Confidence
SizeType of sighting
Tracks
Logs
Planks
Stump
Community Forest Monitoring
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Traceability and control across the supply chain
Commercial in Confidence
www.helveta.com
Community Forest Monitoring