DIGITAL SOLUTIONS FOR DRY PORTS OPERATIONS

CONTENTS
INTRODUCTION .............................................................................................................................................2
1. AN INVENTORY OF DIGITAL AND INNOVATIVE SOLUTIONS WHICH ARE OF PRACTICAL
USE FOR THE OPERATION OF DRY PORTS .........................................................................................3
A. Infrastructure .........................................................................................................................................3
B. Cargo Handling .....................................................................................................................................4
C. Intermodal Traffic and Transshipment ...........................................................................................4
D. Safety and Security ..............................................................................................................................4
E. Maintenance ...........................................................................................................................................4
F. Energy and the Environment .............................................................................................................5
G. Autonomous vehicles .........................................................................................................................5
H. Warehouse robots ................................................................................................................................5
I. Artificial intelligence..............................................................................................................................6
J. Digital copies of dry ports ..................................................................................................................6
2. PRACTICAL PROPOSALS OF IMPLEMENTATION OF DIGITAL SOLUTIONS BY THE
LOGISTICS INDUSTRY .................................................................................................................................6
A. Digital logistics platform ....................................................................................................................7
B. Digital container terminal ...................................................................................................................8
1. The concept of digital container terminal...................................................................................8
2. Dry port areas and zones to be digitalized.................................................................................9
(a) The loading/unloading railway zone ...........................................................................................9
(b) The loading/unloading automobile transport zone ...................................................................9
(c) The parking area ............................................................................................................................9
3. Elements of the terminal management system.........................................................................9
4. Dry port digitalization basic services ........................................................................................10
C. The limitations for digital solutions’ application .......................................................................11
3. RECOMMENDATIONS ON APPLICATION OF DIGITAL SOLUTIONS FOR DRY PORTS IN
THE ESCAP REGION ..................................................................................................................................11
A. Main dry port digitalization cornerstones....................................................................................11
B. Distributed control system (DCS) ..................................................................................................12
1. The DCS description ......................................................................................................................12
2. The DCS core principles of calculations and data processing ..........................................13
3. DCS services ....................................................................................................................................13
C. Logistics transparency .....................................................................................................................14
CONCLUSION ...............................................................................................................................................15
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INTRODUCTION

Development of modern logistical facilities calls for the application of up-to-date

information and communication technologies, digital solutions and innovative business
models, as it is aimed at increasing the attractiveness of intermodal and multimodal transport
operations, as well as to developing a region-wide strategic vision of digital transport
corridors. As for the well-known digital solutions, first of all it is the application of real-time
containers and other cargo tracking systems based on information technology that can
increase reliability and security of goods transport operations between dry ports and
seaports, thus allowing simplification of customs and other control formalities at dry ports.
Gradually, all the transport and logistical centers should undergo transformation into digital
cargo/container terminals in the near future.
The lack of accurate and timely information often results in additional effort, errors,
delays and time-consuming additional work. Tracks closed for maintenance reduce
throughput and production and can affect the entire transport chain. Furthermore,
appropriate documentation and authorizations must be deposited where the supervisory
authority has access to it any time. Especially in the operation of connecting track systems
with few tracks there is a significant effort on the part of the person responsible. Nowadays
a large number of different players are involved in the terminal and railway operations, which
must be informed and coordinated accordingly. So, for example, maintenance work must be
carefully coordinated with all the partners involved. Information about equipment failures
and their consequences, such as track unavailability, must be passed on to internal staff
and external partners immediately to minimize any negative impact and restore full
availability and performance as soon as possible. Today, important information is often still
and only available in the written form, hidden in office cabinets, hard to find and last not least
difficult to keep up to date, and available.
Digitalization of transport documents and various phytosanitary and veterinary
certificates and acceptance of such in dry ports are considered as the key challenges
to further logistical operationalization. In fact, over the past several years many studies by
the world leader consultant companies and research institutes were devoted to transport
and logistics digitalization It shows the importance of this kind of development.
Application of real-time container and other cargo tracking systems based on the
information technologies can increase reliability and security of goods’ transport operations
between dry ports and seaports, thus allowing simplification of customs and other control
formalities at dry ports. It will be essential that the containers and cargo entry, exit and
placement into storage can be tracked by a real-time computer system, so that it will
be possible to locate any container or cargo consignment since the time of its departure
from a seaport, or from a shipper’s premises, until its arrival at the dry port and placement
into storage there.
In addition, a computerized yard control system should be used to determine with
precision where a container is to be placed in the stack.
dry port planners or operators should consider deployment of IT systems identifying
location of containers or other consignments to be shipped to a dry port from a seaport
in real-time mode, as well as computerized container yard management systems.
The dry ports environments have become intricate partner networks that include the
authorities, terminals, shipping lines, trucking and logistics companies, and off-dock storage
providers. To stay effective, stakeholders have to do more than simply adopt these
technologies on their own. Instead, they must embrace platforms and services that make
it easier for stakeholders to work together to promote the efficiency of the overall ecosystem.
These same platforms and services let individual partners expand their businesses without
adding substantial new infrastructure or equipment. In some cases, the multi-stakeholder
platforms also create digital-based services that can be used as new revenue sources.
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In relation with transport and logistical systems, the focus unit in the logistics chain is
not the object (logistics operator) any more, but the integrated digital platform managing
transport and cargo flows, uniting all the stakeholders and providing a high degree of the
supply chain clearness and traceability.
Digitization is now the first step towards improving the situation with operating a dry
port by transforming all relevant information into digital form, making it available centralized
use and management and opening new opportunities.
In this case the main direction of the ESCAP region dry ports network digitalization is
the production and integration of the regional digital logistics platform as the system for all
the cargo transportation process stakeholders, that should be accompanied by the
standardized implementation of cargo marking.

1. AN INVENTORY OF DIGITAL AND INNOVATIVE SOLUTIONS WHICH ARE OF

PRACTICAL USE FOR THE OPERATION OF DRY PORTS

Modern digital technologies that can be applied at dry ports and other types of
transport and logistical terminals, including dry ports include systems that support basic
infrastructure, as well as tools for handling cargo, managing traffic, dealing with customs,
assuring safety, and monitoring energy use.
The existing solutions can be divided into several fields of application, notably:

• dry port infrastructure,

• cargo handling,
• intermodal traffic and trans-shipment,
• customs,
• security,
• maintenance,
• energy and the environment,
• autonomous vehicles,
• warehouse robots,
• artificial intelligence.

A. Infrastructure

Smart sensors are the key element of the dry port digital infrastructure. Such
a sensors are embedded in container yards, roads, railways, and can transmit real-time data
about operating conditions of berths and other infrastructure.

Figure 1. Smart sensors

Source: https://sitmag.ru/article/10566-put-k-prichalu-novye-tehnologii-v-portovyh-terminalah-mira
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Used in this way, sensors can reduce the need for annual inspections and provide
data that helps owners schedule preventive maintenance more precisely. Many sensor-
based structural-health-monitoring systems cost a fraction of the structures themselves, and
this can mean a relatively fast return on investment (ROI) in countries with the high labor
cost.

B. Cargo Handling

Every dry port needs its cranes and other cargo-handling gear operate at peak
efficiency and to be properly maintained, helping terminal operators handle increased
volumes and improving productivity. In this case the Reliable monitoring systems can ensure
that connected cargo-handling equipment does this work in real time. “Black boxes” that are
installed in one of the containers terminals on 200 cranes straddle carriers, trucks, and
forklifts in the terminal, collecting information on location, status of operations, and energy
consumption. The system analyzes the information in real time and shares it with terminal
staff to identify operating bottlenecks and initiate appropriate action. The prototype’s
developers estimate that it could shave up to 10% from operating costs by reducing
equipment idle time and minimizing energy use.

C. Intermodal Traffic and Transshipment

Modern dry ports need the effective options for directing trucks and trains through
frequently congested areas as quickly as possible. The solution is the adoption
of the Terminal appointment systems, that can let trucking carriers reserve specific times for
dropping off or picking up freight. By booking time slots in advance, appointment systems
help minimize turn times, reducing the time that truckers spend clogging port arterial roads
or sitting idle and contributing to poor air quality. Some of the terminal-logistics centers are
testing a GPS-based traffic-monitoring system that tracks truck movements, notifies
terminals when vehicles are approaching key facilities, and provides directions on how
to proceed. In another application, it is embedded traffic-monitoring sensors along major
port roads being tested.

D. Safety and Security

Dry ports are required to meet minimum safety and security levels for the facilities
and assets they manage. They are responsible for monitoring physical infrastructure and
ensuring that only personnel with proper authorization and clearance gain entrance
to restricted areas. Among the array of smart technologies that dry ports can adopt
to improve security: surveillance systems that use advanced video analytics to detect
intrusions on the basis of movement and pattern recognition and then alert security
personnel to potential threats. Many container terminals are upgrading from gate entry
systems, adding more protection by requiring employees, truck drivers, and visitors to log
in through systems that use networked biometric scanners. To address worker safety
concerns, ports are installing sensor-based systems that enforce safe working procedures.
For example, they use sensor networks that alert truck drivers traveling on dry port property
to remain within road lines. Similar networks can keep cranes properly aligned during
loading and unloading.

E. Maintenance

Maintaining of the track facilities is central to ensuring availability and proper dry port
functioning. Maintenance can be assigned to any object in the existing digital tools. Planning
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and monitoring are centralized and visible in tables and on the site's graphical map. Rail and
truck partners can be granted selective direct access and thus overview of the (non-
availability) of tracks. Pickup trips can be adopted to the current situation and being
performed more efficiently than before. Last but not least, maintenance work for several
locations can be summarized in a "maintenance calendar" and maintenance partners can
be informed electronically or have insight via the web interface. The approval and
confirmation of the work carried out is available immediately after being entered in the
system and is immediately available to the employees and partners. This minimizes
maintenance and downtime.

F. Energy and the Environment

Connected technologies help terminals reduce energy consumption and waste. One
option is a motion-based terminal illumination system that lights up only when vehicles are
in the vicinity. A prototype motion-sensitive lighting system installed at one of the terminals
cut energy consumption by 80%, paying for itself in less than two years. The others are
deploying similar smart lighting on port roads to minimize energy use. Some dry ports use
drones as a low-cost option for inspecting equipment, patrolling waterways for oil spills, and
checking on cleanup efforts.

G. Autonomous vehicles

Driverless trucks, cranes and other terminal equipment are now being tested.
Combined with the type of control systems that transport and logistical companies have
introduced, a clear picture is emerging of how cargo will increasingly be moved inside the
container terminal without human intervention.

H. Warehouse robots

There are also examples of companies using small robots for the dry port processes.
This field is rapidly developing. The testing of robotics on the warehouses is increasing 18%
per year. The mobile warehouse robots are operating on the entirely autonomous compact
devices that get an access to all the tight places possessing the expanded viewing area.
Such a robots are able to provide quick cargo overload from trucks, wagons, handle the
pallets and move the containers and boxes all over the warehouse.

Figure 2. Warehouse robot

Source: https://sitmag.ru/article/10566-put-k-prichalu-novye-tehnologii-v-portovyh-terminalah-mira
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Moreover, the effectiveness and speed of the warehouse operations can

be increased both by device technologies and pilotless vehicles and multifunctional robots.
Due to the machinery learning technologies and sensors, providing the extreme accuracy
and simplicity of traceability, a large amount of autonomous robot will be implemented into
the warehouse’s operations all over the world.

I. Artificial intelligence

The artificial intelligence systems enable the cargo handling market participants
to handle unprecedented amounts of logistical information.
Inevitably, this will impact on the traditional 3PL (third party logistics) transport
operators – the operators offering outsourced logistics services, which encompass anything
that involves management of one or more facets of procurement and fulfillment activities.
The companies have already started to take back much of the work traditionally outsourced
to large 3PLs because these new systems are now doing it for them. So, the contemporary
transport and logistics market requires the appearance of 5PL (fifth party logistics - a virtual
logistics – the modified and automated forth party logistics logistics) market players.
The contemporary digital solutions for transport and logistical centers focus on
efficiency improvements like traffic management systems, improving flow throughout the
terminal area, automation, reducing costs or digital invoicing (customs) by improving lead
time. However, the need for internet of things and digital platforms is driven not only from
business perspective, but also from the perspective of dry ports shaping their environment
instead of reacting to market fluctuations.
Moving towards a true digital dry port, using the full potential of an internet of things
network and smart data solutions, it will be able to identify and take advantage of new
business models within the larger ecosystem. The nature of the business makes this
challenging, since it requires integration between the supply and demand side, assimilating
not only logistics firms and suppliers and distributors but also their clients like industrial
producers.

J. Digital copies of dry ports

One more aspect of the dry ports’ digitalization is the unification of physical and digital
worlds. This makes it possible for the client to cooperate with the physical object’s digital
copy in the way it was done traditionally.
The potential possibilities for the digital duplicate in logistics and endless for data
collection and weak points investigation.
Warehouses and the enterprises use this technology to make the exact 3D-models
of its centers and experiment with the changes in the configuration, or the implementation
of new technical equipment in order to see its cooperation. Moreover, the logistics centers
are able to create a digital twin and use it for the goals of testing different scenarios and
effectiveness rise.

2. PRACTICAL PROPOSALS OF IMPLEMENTATION OF DIGITAL SOLUTIONS BY

THE LOGISTICS INDUSTRY

Modern logistics sector lags in the point of digitalization behind the

telecommunication, mass media, bank and retail business sectors. The majority of traditional
transport and logistical centers still use a lot of “handmade” work, and their assets are not
used effectively (in average, half of all the trucks are going back empty after the cargo
delivery). The lack of flexibility and clearness of the operations is an obstacle for the logistics
processes integration.
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At present, there is a tangible trend in optimization of handling and logistics operation

costs, that comes along with the other things, formed by finding a successful compromise
between speed and reliability on one hand, and the cost on the other.
A lot of standard logistics operations are already taken into account by the digital
systems of large transport and logistical companies in digital solutions of the Russian
Railways, if we speak about the Russian transport logistics system. But still, each of these
existing informational systems deals with the specific list of separate operations and not
aimed to the integration with the other digital products. The current fragmentary transport
and logistical market digitalization led to the disunity of standards and data structure. There
also no united documentarized interfaces of digital systems interaction.
Moving to practical proposals of digital solutions implementation by the logistics
industry, all these solutions, described in the first chapter, can be most effectively integrated
in the joint transport logistics digital platform of the region, as it can form online the best
market proposal for the customer, based on the accumulated data, to achieve the
optimization of the purchases, assets, production processes, logistic chains and financial
calculations for the key trade operations and supply schemes, should cardinally change the
approach of finding logistics solutions and transform the logistics market structure. Such
platforms can also solve the problems of operational management, optimize the transport
assets usage and financial calculations for the cargo holders, carriers and the forwarders.
The expected innovativeness and value of the digital logistics platform is consisting
in the fundamentally new approach to the algorithms of multi-modal logistics chains
modelling, taking into account the unique characteristics of each of its elements.

A. Digital logistics platform

This digital instrument is able to:

▪ automate the business processes, analyze the consumers behavior and offer
the optimal solutions to organize the transport flows;
▪ take into account the specifics of railway, auto, water and air transport;
▪ simplify the agreement work between the logistics processes participants;
▪ accumulate, structure and analyze a large volume of data, predict events and
minimize risks for participants in logistics processes;
▪ optimize transport and terminal assets utilization, improve its profitability and
decrease the logistics expenditures.
▪
The digital logistics platform is able to provide the optimal logistics and manage the
distributive warehouses with the minimum amount of staff (the digital terminal).

While managing transport operations the digital logistics platform:

▪ searches the optimal routes using the technologies of machine learning;

▪ uses the comfortable interfaces for the forwarders and the clients;
▪ provides the integration with the governmental informational and clients supply chain
systems, organizes the digital document circulation and cooperation with the customs.
▪ While managing the digital warehouse the digital logistics platform:
▪ minimizes the terminals infrastructure and staff expenditures by creating smart loaders
using the computer vision technologies;
▪ manages the inner warehouse flows;
▪ form the digital warehouse – a virtual twin (copy) of the warehouse with more than 40
technical parameters of the condition.
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Figure 3. Digital logistics platform.

Source: Alexander Oleynikov, consultant

B. Digital container terminal

In context of the digital/smart container terminal it is worth describing this concept

in detail, as it is a perspective practical instrument to be implemented in the dry ports network
operation and increase the effectiveness of the whole ESCAP region logistics industry.

1. The concept of digital container terminal

The digital/smart container terminal is the concept that is based on IT-solutions and
can manage the terminal’s business processes, its technical and technological cooperation
with all the cargo logistics process participants:
▪ The approach to the terminal services on the principle of “singe window” and the
possibility of terminal services reservation as a part of complex logistics door-to-door
service;
▪ Monitoring of the actual and documentary cargo condition and the equipment on the
terminal;
▪ Centralized/distributed electronic document circulation;
▪ Containers/wagons transfer;
▪ Cargo presentation for customs registration and monitoring of the customs clearance
process;
▪ Centralized control of the powers of attorney;
▪ Formalization of the transportation and accompanying documents (railway and
transport consignments).
The elements of the digital/smart container terminal structure are divided into services
of management and services of cooperation.
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The areas to be managed include container yard, railway front, automobile transport
operations, customs zone. The services of cooperation are aimed to cargo owners, railway
administration, railway operators, port operators, customs authorities, auto transport
enterprises, forwarders, control authorities and others. And the links between the mentioned
elements are over-crossed.
All these functions are directed to the multipurposed support of any configuration.
While applying digital workflows at terminals, their specific roles (the terminal for sea
cargo handling operations, the terminal at the boundary station, the terminal of the industrial
enterprise, or the container terminal for the general access inside the country) and
respective features should be taken into account.
At the same time, most of the processes on such terminals coincide with each other,
but still the specialization calls for supplementary requirements to legislation acts and the
peculiarities of the certain type of cargo handling.
Usually, the transport and logistical centers are being constructed gradually: railway
infrastructure accesses network is being spread, additional areas for automobile transport
operations and being equipped, loading machinery and equipment is being modernized,
new warehouses are being built. Due to these processes the cargo handling processes at
the terminal are also being changed in its digital model. Like a toy brick construction set, the
digital system has to be adjustable in correlation with the physical changes at the terminal,
visually depicting the current actual role of the terminal, its functions and capacities.

2. Dry port areas and zones to be digitalized

(a) The loading/unloading railway zone

The terminal operations at the railway front should be planned, brought to the
executors and be real-time controlled. The railway front peculiarity is operation with groups
of wagons, containers and integration with the railway carrier automation systems, which
are planning and managing the railway station.

(b) The loading/unloading truck zone

Same as the railway zone, all the terminal truck front area operations must be planned
and digitalized. The automobile transport peculiarity is the required time-slotting
of the trucks’ terminal entry and exit for the aim of avoiding traffic jams and peaks of the
loading machineries throughout the day.

(c) The parking area

As the result of the requirement to manage the truck loading area with a strict
schedule of entry-exit at the terminal, the entry gates have to be managed automatically,
forwarding the trucks either to the loading area, or to the waiting list at the parking, if the
truck had arrived outside its time slot. The automobile parking should be equipped with
electronic queue system to regularize the process.

Besides the management of dry port’s areas and objects, digitalization has
to provide the correct information to all the logistics process stakeholders, that cross at the
terminal.

3. Elements of the terminal management system

The important elements of the terminal management system are:

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▪ Cooperation with the clients and its digitalized systems while collecting the
orders for handling and monitoring;
▪ Cooperation with the railway infrastructure (railway carrier and its
management systems), port infrastructure (seaport administration and its
management systems);
▪ Cooperation with government authorities (customs, phytosanitary, border
controls) and their systems of control and accounting;
▪ Digital legislative document circulation with the truck companies, forwarders,
railway operators, stevedore and other companies;
▪ Preparation of the accounting and tax statements of the dry port operation,
cooperation with tax authorities.

Nowadays a large number of digitalization programs and a pool of IT-projects is being

realized by railway administrations all over the world and the ESCAP region is not an
exception. Such projects are uniting digital services of transportations and infrastructure
management with mobile devices for coordination with the customers.

4. Dry port digitalization basic services

The dry port digitalization processes can be divided into the following basic services:

▪ loading equipment management;

▪ truck handling;
▪ train handling;
▪ warehouse (including temporary storage warehouse - TWS) management
▪ and client services of cooperation with:
✓ cargo owners;
✓ forwarders;
✓ truck operators.

At the same time the basic services of the digital railway and the terminal can’t exist
separately, as the multimodal transportation that is often started and ended by the
automobile leg is dealing with not less than two terminals for handling and includes railway
and sea legs. This is the joint logistics process and its digitalization has to be complexed.
The client services of the transportation legs of the multimodal logistics chain are also
interesting for the client of the transportation (cargo owner or cargo forwarder) not
separately, but as a single window for order and control of the transportation fulfillment
on the whole multimodal route: the load terminal, railway, port, unload terminal, truck leg.
That is why, it is the fact that not dry port digitalization can exist separately from the
railway, auto roads and other infrastructure elements digitalization processes.
The digital/smart container terminal paves the way for a complete digital
transformation of important processes and workflows in the management and operation
of access lanes and dry ports. The connecting track / terminal is provided in a digital track
model with all relevant facilities for operation as a central data model. All the processes and
actions necessary for operation are based on this data structure. All relevant information is
stored in real time and made available to the affected stakeholders up-to-date and
accurately. The access and exchange of information can take place both via mobile
applications and via standard web browsers and, if necessary, by means of automated
secure data interfaces. Collaboration among the actors involved in the overall process is
maximized to a digital level, minimizing the burden of sharing information and maximizing
reliability and efficiency. The application can be used for both low-track access lanes and
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highly complex loading / unloading / transfer terminals. The application can be expanded at
any time and adapted to growing requirements as well as customized.

C. The limitations for digital solutions’ application

Although there is a plenty of modern technical solutions, there are factors limiting their
application. In particular, the following matters should be addressed in order to ensure
efficient and full-scale operations in digital format:

▪ elaboration of common approaches and clear definitions of transport services, both

by the market actors and regulatory authorities;

✓ Formal definition of every process in the logistical chain is required (cargo

transshipment, providing wagon for loading, providing the container for
loading) with the exact frames of the process, the formalization of the transfer
of liability for cargo being transported. The latter is especially important for
smooth connection of “links” in the “chain” of an intermodal operation
involving several operators

▪ unification of documents accompanying cargo and confirming the provision of a

transport/logistical service;

▪ providing for compatible cargo nomenclature guidebooks and coherent systems

identifying locations of transported cargo points of origin and destination; and.

▪ development of unified legal frameworks covering relationships of the actors of

digitalized transportation, both at international and domestic levels.

In this connection, the matter of potential establishment of an international certifying

centre for digital transportation and logistics, as well as development of an international legal
instrument on digital signature which could provide for mutual acceptance of electronic
documents confirming the provision of transport/logistical services, may become crucially
important in the near future for efficient digital transformation of transport and logistical
industry (including dry pots).

3. RECOMMENDATIONS ON APPLICATION OF DIGITAL SOLUTIONS FOR DRY

PORTS IN THE ESCAP REGION

A. Main dry port digitalization cornerstones

The recommendations on digital solutions’ implementation into the operations of dry

ports are based on 3 main cornerstones:

• Dry ports usually specialize on handling particular types of goods and have certain
geographic and logistic peculiarities, which have to be taken into account while creating
the terminals processes digitalization systems.
• Dry port are points of interaction of different material and information flows
of several actors of logistical processes (cargo owners, forwarders, linear operators,
carriers, state authorities, etc.).
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At the same time there are both directly terminal processes and the processes
of all the other participants. That is why the dry port processes digitalization system
should have its own management service (terminal and temporary storage warehouse
work load, the work of automobile and railway fronts, handling equipment) as well as to
perform on behalf of the multipurposed tool of the other participants and state authorities’
processes integration.
• In perspective, the multipurposed systems that will be integrated with the other logistics
chain participants IT-systems will be the winners of the dry ports digitalization market –
not the IT-systems of the separate terminals.
Such an integration with many communicating systems will provide the support and
establishment of the industrial standards of data exchange and cooperation.

B. Distributed control system (DCS)

The most effective way to apply digital solutions, described in Chapter 2. is to base it
on the special distributed control system. Also, it is worth taking into the mentioned above
cornerstones and factors. The DCS can become a key system of the dry port technological
infrastructure network.

1. The DCS description

The dry port’s DCS is aimed to provide all the basic functions of the logistics services
delivery as well, as a set of additional functions, connected with the transportation process,
control requirements and the optimization of inner processes of the dry port or the network
of dry ports. The basement of the dry port’s DCS is an architecture of the system that
is meeting the following requirements:

▪ availability of a wide list of potential stakeholders’ categories (inner and external), the
possibility of users’ categories list expansion (independent designers, system
integrators), the potentially large number of external users;
▪ separateness and independence of dry port’s DCS from the status of external
IT systems, security and cyber-attacks sustainability;
▪ the availability of a variety of integral services and the increase of its amount
as far as the dry ports network and logistics services market develops;
▪ the requirement for integration with the internal management systems, providing the
commercial activity of dry ports, its financial processes and operation functions;
▪ the exposure of architecture for further integration with the existing and perspective
analytics platforms;
▪ the availability of interfaces for the establishing of cooperation with the state and
private analytical platforms of the potential foreign partners.
▪ The determination of the IT-platform perspectivity is based on the following
requirements and factors:
▪ the possibility of flippy customizing the parameters of business analytics, scenarios
modeling and transport and logistical processes planning;
▪ the possibility of scaling the territory borders of the system, its guidebooks, the
widespread sub allocating of the dry port’s infrastructure and the possibility of the
distributed data storage.
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Upon deciding on the architecture of the system and the choice of the platform it is
possible to turn to the hardware stage realization of the DCS.

2. The DCS core principles of calculations and data processing

The technological and commercial solutions of the dry ports network are realized
in DCS. The core principle of calculations and data processing inside DCS are classifiers.
To provide the sustainable dry ports network operation the DCS should include and look
ahead the following:
▪ classification and scaling of the service types, including the dry port’s operators’
services, the dynamic pricing system for different services, classification and
scaling of the list of system stakeholders;
▪ classification of the transported cargo types (including perishables and cargo,
requiring special transportation conditions and temperature regime) and the
reconcilability of these cargo types;
▪ classification of the transport vehicles due to its variety while doing multimodal
cargo transport operations;
▪ classifications of the customs regimes of the transportation (including export,
import, transit).
Classification of each of the types mentioned above is the basement for creation the
systems of guidebooks to become the intellectual technologic core for the data processing
in order to provide the effective procedural and commercial processes, dispatching of the
transport and cargo flows with the lowest level of mistakes.
It is worth mentioning that DCS provides the data processing and analyzing the whole
range of dry ports network basic services, including the diversified dry ports operators’
services.

3. DCS services

The types of the services for the external consumers consist of:

▪ transport and logistics services in the frames of regional inner routes and
international transport corridors cargo flows (in addition to the basic logistics
services, such as cargo tracking, cargo searching, monitoring of transportation
temperature regime and others);
▪ accompanying services for the cargo transportation customers (the cargo
insurance, crediting, payment holiday and other financial facilities, customs
formalities and procedures);
▪ IT services: operators check in order to reveal and to exclude the unreliable ones,
the providing of maintaining the register and an electronic document turnover;
▪ the proving of the secured information exchange;
▪ informational-technological services, including the real-time authorized access to
the data in the frames of standard request correlating with the security
requirements.

It is perceived that dry ports are expected to provide a wide range

of customer services. Thus, the dry ports operators’ IT systems integration is highly
requested to form a region-wide platform. This issue is the only way for the dry ports
operators to be able to provide services, supposed by the DCS and for the carriers to be
liable for cargo owners and counterparties (infrastructure, wagons and container owners).
Of course, pilotless technique and equipment should be used for the load-unload
operations (terminal truck-tractors, loaders) in combination with intellectual algorithms
 14

of cargo flows management in order to increase the security and reliability level
of technological processes.
DCS has to be aimed at providing the customers the information regarding the
standard services and the conditions of its disposal, the information about tariffs, traffic
schedule and the availability of the empty spaces on the routes. Based on this information
cargo shippers will get the possibility to book this or that transport and logistical services or
a suite of services with the help of dry port’s DCS, to form the order for cargo transportation
and to sign an electronic agreement with the further possibility of providing digital payment
in the frame of this agreement.
While establishing the orders and agreements and the calculations, connected with
the railway transport services the dry port’s DCS has to provide the cooperation with the
digital systems of the railways to form and fulfil all the required documental and financial
operations through these systems. DCS is supposed to be the concentrator of the payments
in the logistics chain.
And after all the orders and the signed agreements are launched, the DCS main
function is to get the multimodal transport and logistical chains cargo flows planned. While
fulfilling the orders DCS provides the monitoring of the cargo shipping depicting all the basic
transport and logistical operations and provides the authorized users the information in the
frames of their access rights.
Thus, the synergy of dry port’s DCS cooperation with different existing IT-systems
is really able to provide a new quality kind of digital service – transparent extensible of the
high-speed cargo transportations and this will lead to the appearance of the digital
multimodal cargo marketplace both on the inner ESCAP routes and world-wide routes,
including the international transport corridors.
As the result of design, creation and development of the DCS of the dry ports,
integrated into the railway digital systems, road traffic IT-systems and others, the majority of
cargo transport market participants unite in one reliable informational space. At the same
time, it will be accompanied with the decrease of time and financial expenditures for cargo
transportations organization.

C. Logistics transparency

Cargo transportations intend to become more effective due to the personified digital
services and facilities, transparency of the cargo flows and in combination with the grown-
up effectiveness will reduce the market share of the uncontrolled transportations in the full
volume of the cargo turnover.
It is quite difficult to get a high level of transparency, because it does require both
technical difficulty and a limited human intervention. Still at that very moment it is achieved,
the benefits appear to be significant and are not limited by saving inventory and planning
improving.
The sources for the logistics transparency structure are:
• data from internal and external sources, such as transport tracking devices and social
interception, are being transferred to the single platform;
• data is consolidated and enriched by cross links, such as supply chains influencing the
deliveries. This information is formed by weather, traffic and news analysis. Even social
networks are being monitored – for example the companies that pay attention to the
activity in Twitter, Facebook, Instagram can predict the social tensions, financial
turbulence, political changes in advance;
• this information applies to the digital platform and is being tested additionally
in analytical and simulation modes, that makes it possible to hold different levels of
strategic optimization, routes network improving and operators’ productivity analysis.
The information has to be sent to the management center that is monitoring and
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managing the logistics operations and implement the latest analytical and regulation
algorithms of equation to make it useful;
• the single “source of truth” helps the companies to optimize its choice according to
different conditions, using the information to aware the factories, warehouses and the
customers regarding the arrival time and to take part in warning actions. Such an
information about the transport condition, the expected external impacts and the
possibility to become flexible in connection with the plans will be useful for the
companies, that are aimed to use its supply chains to get competitive advantages and to
manage risks effectively.

CONCLUSION

The complete digital transformation of the dry port terminal management

is accompanied by the digitized information that can be centrally available in digital platform,
paving the way for true digital collaboration between all concerned players. Workflows and
communication can be optimized, costs can be reduced, errors can be minimized / avoided
and thus the efficiency and reliability of the connecting track resp. the terminal can be
secured and increased. Management, update, backup and provision now take place
centrally from one point via clearly defined and secure access. Time consuming searching
and comparison of information should be eliminated. Each piece of information must be
available digitally to any interested party at any time in the most appropriate form.
Reviewing all the mentioned above, digital solutions and smart technologies for dry
ports operations have to be based on the systems that support basic infrastructure, as well
as, for example, tools for handling cargo, managing traffic, dealing with customs, assuring
safety, and monitoring energy use. Some benefit the gamut of dry port partners while others
support specific partnerships between, for example, a port authority and terminal operators.
To be the leader on the transport and logistical centers market the operator must tie
multiple individual systems into a single interconnected region-wide platform. This type
of platform integrates data from such sources as sensors, mobile devices, and various
stakeholders’ databases. Platforms with geolocation functions can pinpoint incoming
containers, trains, trucks and optimize planning for traffic volumes.
The vision of a digital dry port is, so far, not formed practically. As a target image,
a digital platform would cover all activities in both the spot and contracted business
segments and make intelligent decisions in an automated, optimal and fast way – either
based on real-time data or with the help of refined analytics. Furthermore, this provider
would have global reach and access to all transport modes. It would support shippers and
other stakeholders of the process in strategic logistics questions and continuous
improvement to the same extent and quality as it would execute the day-to-day operations.
Even though progress has been made in recent years, there are still some functional gaps
to be covered and technical limitations to overcome.