National

National Logistics
Logistics
Information
Information System
System

CONTENTS
1
2
3

BACKGROUND
SOLUTION DESCRIPTION
CASE STUDY

1. Company Profile

I.I. BACKGROUND
BACKGROUND

Who
-Net?
Who is
is KL
KL-Net?
KL-Net was established by the Ministry of Land, Transport and Maritime Affairs
(former Maritime Affairs and Fisheries) in 1994 to computerize Korea's logistics and
to enhance national competitiveness.

Business
Business Domain
Domain

e-Shipping & Transportation

Service

EE-Business
-Business

SI
SI &
& IT
IT Consulting
Consulting
Single Window
Maritime Logistics Business
Consulting & SI

Solution
Solution

E-Port Communication System

Port-MIS (Port Authority)
Terminal Operation System
RFID Middleware

IT
IT Outsourcing
Outsourcing

Data Center
Network Service

2. Milestones

I.I. BACKGROUND
BACKGROUND

2007 ~

Diversification of Service and Expansion to Overseas Markets

2003
~ 2006

03. Win the Industrial medal award from the Ministry of construction & Transportation

04. Launch Port Logistics Integrated System for maritime business (PLISM) service & Tax
Invoice solution service (Logisbill)

06. Change company name to KL-Net (Korea Logistics Network) Win a Prize from the chief


of Ministry of Commerce, Industry, and Energy

1998
~ 2002

99. Launch IT outsourcing service (Korea Container Terminal Authority, MOMAF)

00. Win the Presidents commendation for the contribution to Maritime transport and port
informatization Develop Container Terminal Operation System (ATOMS) / XML/EDI solution

01. Start "Electronic Document Collaboration Service for Export Shipment

02. List to KOSDAQ

1994
~ 1997

Establish Korea Logistics Network Co., Ltd.

Launch Import/Export logistics EDI service
Launch Port-MIS service (for The Ministry of Maritime Affairs and Fisheries, MOMAF)
Designate as exclusive operator for Integrated Logistics Information Network (for the
Ministry of Construction and Transportation)

97. Launch Rail cargo EDI service

94.
94.
96.
96.

3. Products & Services

B2G

I.I. BACKGROUND
BACKGROUND

KL-Net developed solutions which started from the government

sector and integrated logistics information Network for
unified approval gateway
Solutions : Port-MIS, SP-IDC, Single Window
Ministry of Land, Transport
and Maritime Affairs

3. Products & Services

B2B

I.I. BACKGROUND
BACKGROUND

Provides reliable and organized data of operational and

financial information to make commercially oriented
decisions on the basis of actual user needs.
Solutions : ATOMS, GTOMS, GTCS, ReXpis, USS, ULINKERS, U-GIS, RTLS

KL-Net has contributed to the enhancement of Port competitive strength and reduce
logistics cost through fast and accurate transferring, and sharing of information.

II SOLUTION DESCRIPTION

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

1. Global Trend
Environmental change in global logistics

Fast, Convenient, Safe logistics infrastructure

Global logistics competition

Increased concern about vessel/port security
Change of global
economy

Change of global
logistics industry

Change of needs from

port users

Increased trade volume

and globalization of trade

Rapid growth of logistics

industry in north-east Asia

Real-time cargo/truck/
vessel location tracking

Fast expansion of
e-commerce

Increase of throughput
related to the china trade

Efficient container operation

Risk of terrorism for

maritime trade and
increased needs of vessel
security/safety

Automated port operation

Compete for advanced

system technology among
ports

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

2. Development Goals
Meeting the needs of users

Trucker
Terminal
Operator
Shipping
Company
Shipper
 real-time cargo
tracking
 efficient cargo and
inventory management
 fast response to
cargo claim

 reduce cargo/truck
turnaround time

 stowage info. sharing

 avoid non-assignment
of vessel for cargo

 vessel location
management for
customer

 save cost of system

and resource

 real-time vessel
tracking

 real-time cargo/truck
tracking
 efficient management
of cargo transportation

Cargo
GCTS
ATOMS

Information
Port-MIS
SP-IDC
Single Window

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3. YES! U-Port
provides total logistics information infra to realize

SAFER, FASTER and EASIER!

Information
management

Cargo
Management

PortPort-MIS/ SPSP-IDC
/Single Window

ATOMS, GTOMS

Tracking, control,
and monitoring
management

GTCS

target
Improve productivity

One Stop
service

Enhance safety
Paperless
e-port
Business

Secure reliability
Real-time
Information
service

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3-1. PORT-MIS
Information
Port-MIS Port-Management Information System
To cover all port operation including management of vessel and cargo movement.

To implement paperless job process through wireless network linked with all ports.

Port-MIS

Port Authority

Shipping Line/Agent

Vessel Control

Vessel Operation

Decision Making
Support

Cargo Control

Vessel Control

Cargo Control

Billing

Facility Control

Cargo Operation

Payment

Billing

Facility Control

Facility Request

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3-2. SP-IDC
Information
SP-IDC Shipping & Port Internet Data Center

To integrate all the information related to port logistics network and provide one-stop service
To strengthen IT infrastructure of port logistics with web-based portal service

SP-IDC
2003

All maritime business entities and government

agencies share information under SINGLE SP-IDC

INCHEON
1996
PUSAN
1992
High Speed
Information Network

YEOSU
1997

Stage I : Implement Port MIS to each port in Korea

Stage II : System integration as 3 major regions
Stage II : Integration as SINGLE SP-IDC

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3-3. Single Window

Information
Single Window
Support common usage of information among maritime business entities on
processing Bay Plan or Transshipment business

Administration
(Domestic Office)

User

Single Window
Shipper/
Consignee

MKE

Forwarder
Internet Authentication

ICD

Transporter

Shipping Line
Terminal/Port/
Airport

EDI Message
System

XML
EDI

VAN

Declaration

Immigration

WEB Portal
User
Information

User Authentication
Check Permission

MLTM

Customs
XML Message
System

Approval
Notice
KORAIL

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3-4. ATOMS
Cargo
ATOMS Advanced Terminal Operation and Management System

ATOMS is the optimum integrated terminal information system which plans, allocated,
schedules, controls, and monitors all terminal operations to maximized their
productivity and efficiency.

Real-Time Operation System

Optimized Automatic Planning
Improved Vessel Operation Productivity
Maximized Yard Utilization

EDI, XML/EDI integration, IP Service

Real-time Job Ordering
Unmanned automated gate

Operation
system

Planning
0 System
Optimized
Expert System

Management
System

Billing System
Performance Analysis
Systemized Equipment Maintenance

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3-5. GCTS
Cargo
GCTS Global Container Tracking System
RFID/USN Infrastructure for real-time cargo/truck tracking

System tracks container and vehicles with RFID technology to provide movement
status of container/vehicle in real time

ICD

Visibility for the container/vehicle location

customer

trucking

Toll Gate
Container/Vehicle
information

Container tracking

Shipping
company

Vehicle tracking

Gate

operator
Yard

terminal
Quay

RFID
recognition

Non-stop LED & SMS

Gate
Vehicle RFID

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3-6. CLTS
Cargo
CLTS Container Location Tracking System

Import/export container location tracking, monitoring of door open and status

Real-time monitoring and response to emergency
CNTR : Container
IPI : Inland Point of Inter-modal
TMNL : Terminal

Facility
Railroad

enhanced security policy of U.S.A after 9/11 terror

published countermeasure of maritime container
security bound for U.S.A.

Trucking
CNTR location data
transmission

CNTR tracking data

transmission
CNTR TMNL

CNTR/Vehicle in-andout data

transmission

CNTR/Vehicle inCNTR TMNL

and-out data
transmission
CNTR/Vehicle in-andRailroad
out data
transmission

U-Linkers

(2006.10 approved by White House, 2010 mandatory

RFI(Request For Information) of CSD, detailed

spec of eSEAL issued by Ministry of Homeland
IPI

Trucking

u-Jack

- SAFE Port ACT activated

CNTR tracking
Rail car CY
data
transmission CNTR TMNL

Security on 12. 2007

Need to lead and pre-occupy standard of container
RTLS integrated with security technology

GCTS
Integrated
control
center

CNTR/Vehicle in-and-out data0

CNTR tracking data

Cargo Flow
Data Flow

Involvement of Korea-U.S.A.-EU automotive

material tracking project(08.11)
agreement with NIST, AIAG in USA
1st phase (2009) : Korea-China pilot project
2nd phase (2010) : Korea-China-America expansion

II.
II. SOLUTION
SOLUTION
DESCRIPTION
DESCRIPTION

3-7. USS
USS Ubiquitous Security System
Problem

Solution (USS)

Difficulty in efficient access control

Finger-printed smart card

User access in right time

Connection control through VPN tunneling

Error and collision between existing security systems

Server access control, job monitoring

Possibility of information leakage during data transaction

Integrity verification and inspection (Forensic)

Difficulty in integrity of electronic data and verification(Forensic)

Client accumulated information

Gate IN/OUT

Client PC

DMZ & Server

Embedded electric
circuit

VPN tunneling
Server security

Fingerprint
scanner

IC Chip
(information)
Fingerprint
scanner

Gate In/Put

Web server

Mail server

fingerfinger-print

Trucker Driver
Crain Driver

PKI authentication
access control
audit trail

external/internal user
PKI

Groupware

Management
server

Digital
Digital Forensic
Forensic Service
Service
Blackbox
Blackbox service
service

III CASE STUDY

1. Expansion of Yes! U-Port

III.
III. CASE
CASE STUDY
STUDY

Consortium of Ministry of Land, Transport and Maritime Affairs & KL-Net

has been conducting Feasibility Study and provide the best way to
implement Shipping & Port Operation system
Nation : Vietnam

Nation : Tanzania
Dar es salaam port (Port-MIS)

E-Government Port
Informatization project (2007)

Tanga port (F/S scheduled for

2009)

Nation : Philippines
Port : CPA (Cebu)
System : Port-MIS (2007)

QQ&&AA

Nation : Malaysia
Port : Bintulu
System : Port-MIS (2009)

Nation : Guatemala
Port : Santo Tomas
System : Port-MIS(2008)

2. Current stage of Port Informatization

Philippines

Vietnam

Malaysia

Guatemala

Tanzania

Transaction
Type

Manual

Manual

Semi

Manual

Manual

Standard
working
process

No

No

No

No

No

Standard
Date Format

No

No

No

No

No

Electronic
Form

No

No

EDI

No

No

User
environment

Paper

Paper

C/S

Paper

Paper

Interaction
with others

No

No

No

No

No

Single
Window

No

No

No

No

No

3. Critical Issues
Nonstandard
work process

Nonstandard
work process

Unstable
Infrastructure

All cargo in/out processes from vessel arrival to

departure are handled by handwork, causing
congestion in the port

50 kinds of document formats are currently

being used for processing port operation due
to duplicated formats

No information sharing or linkage between

major ports due to lack of port information
infrastructure

4. Yes! U-Port in Korea

III.
III. CASE
CASE STUDY
STUDY

Before Yes! U-Port

After Yes! U-Port

- Duplicated & high cost

- Gate-Way to entire related parties

with unified and easy to excess service

- Less accuracy of information

Shipper/
Consignee
Freight
Forwarder

Port
Authority

Shipper/
Consignee

Port
Authority

Customs

Freight
Forwarder

Customs

Shipping
Line/Agent

Shipping
Line/Agent
Immigration

Trucker
Inland
Depot

Quarantine

Immigration

Inland
Depot

Quarantine

Container
Terminal

Container
Terminal
General
Terminal
PHONE

Trucker

Yes!
Yes!
U-Port
U-Port

Other Bodies

FAX

VISIT

Internal
APP.

General
Terminal
EDI

Other Bodies

XML/EDI

ASP

ISP

5. Results

III.
III. CASE
CASE STUDY
STUDY

Abolishment of annually

Decrease of vessel standby time

2.5 millions paper submissions

and container handling time

(4 hours/per vessel)
(12 hours/per unit)

Saving total logistics cost, annually 102 million US$

(Unit : million US dollars)

Saved logistics cost

US million$
120
100
80

73.8

81.3

88.4

95.4

102

60
40
20
0
1999

2000

2001

2002

2003

Cost saving by abolishing paper

documents

22

Cost saving by decrease and close of

port authority office dealing with civil
applications

11

Manpower saving

27

Effect of automatic transfer system for

port use fee

12

Effect of integrated port & shipping DB

system

Cost saving by pooling PORTPORT-MIS

information between governmental
agencies (port authority, customs,
Sourced by statistics of the Ministry of Maritime Affairs and Fisheries (2002)
immigration office, quarantine station,
maritime police etc.
Year

15

5. Results

III.
III. CASE
CASE STUDY
STUDY

With Consolidated National Logistics Information Service, duplicated forms

have been standardized and related processes also simplified, establishing
an information sharing system.

Customs clearance process

Electronic processing of over 10 million items per month with an annual saving of USD 2.5 billion
Harbor entry and departure procedure
Electronic processing of 5 million items per month with an annual saving of USD 500 million
Decrease in approval forms for import/export
21 kinds (2003) 8 kinds (2005)
Reduction in time required for imported goods clearance
9.6 days (2003) 5.5 days (2004) 4.5 days (2005)
Sourced by statistics of the Ministry of Maritime Affairs and Fisheries (2002)

6. Benefits

III.
III. CASE
CASE STUDY
STUDY

Information Sharing between players can minimize costs, save time

and maximize efficiency for logistics industry.

Government Authorities can acquire Decision Making Data

Establish Information Infrastructure to become a logistics hub

Build Information System to Connect Sea-Air-Inland Logistics System

Make and execute Systematic policy through statistical analysis

Make Knowledge Based Decision by leveraging Information system

Private sector can reduce Logistic expenses using Information Technology

Obtain Information in-real time through EDI, XML

Minimize time to prepare operation and shorten Turn Around Time

Minimize vessel waiting time in port

Increase Terminal Productivity by using pre-information

Thank you
Kate MUN
E-mail : [email protected]
www.klnet.co.kr