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Certified Cargo Screening Program - Review. Health & Personal Care Logistics Conference. Philadelphia, PA April 1, 2009. 100% Screening Requirement. 100% Screening Requirement. Future Air Cargo Supply Chain. UTi applies to become a certified Cargo Screening Facility in 4 major sites.
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Certified Cargo Screening Program - Review Health & Personal Care Logistics Conference Philadelphia, PAApril 1, 2009
UTi applies to become a certified Cargo Screening Facility in 4 major sites Facility Security Plans created and submitted to TSA for approval Cargo Characterization studies done May 2008 June 2008 July 2008 Aug 2008 May 2008 Screening equipment proposals submitted to TSA UTi accepted into CCSP Technology Screening pilot Facility Security Coordinators identified Received Alternative Procedures from TSA Sep 2008 Training developed and administered Equipment installed, employees trained Nov 2008 Oct 2008 Jan 2009 Dec 2008 Facility Security Plans and Screening Equipment proposals approved TSA agreement received and signed Site certification visits begun 4 sites receive certification Screening begins Feb 2009 Q2 2009 Additional sites rolled out UTi Technology Screening Pilot Project Status
CCSP Progress A matter of perspective
13 March 2009 17 March 2009 CCSP Progress A matter of perspective
CCSP Progress UTi Feb 1, 2009 • Screening using technology • First ULDs screened and tendered to carriers Feb 3, 2009 • >50% MAWBs tendered to carriers are screened • Applying “Alternative methods” to screen qualified Pharma shipments March 13, 2009 • Reported screening numbers to TSA • Passed TSA inspections of CCSFs
CCSP Progress UTi Today • We continue to tender > 50% of or consolidation to carriers without incurring delays • We remain committed to piloting the use of ETD and AT X-Ray technologies for screening • We continue to assist clients interested in becoming CCSFs • We have the ability to flex our workforce to meet demand • Our carrier partners appear to be meeting or exceeding their 50% goal on domestic and outbound PAX flights
Ability to shape the future of the program • Alternative methods • Training requirements Set the tone with carriers and other service providers / establish ourselves as “advisors” among partners and clients Forced us to plan early and include contingencies Lessons learned • Be a pilot leader rather than a fast-follower Challenges Benefits Program changes occur as the program is being implemented Service providers uncertain how to support the program (Insurers, Equipment Manufacturers) Technologies not readily available
Lessons learned • Utilize a cross-functional project team within your enterprise (operations, I.T., risk management, finance, H.R., and sales) • Adopt a collaborative approach with TSA • Engage all stakeholders early to understand how all processes may be affected • Don’t assume that carriers are familiar with the IAC program or that IACs are familiar with the carrier’s program(Carrier and IAC Programs vary slightly) • Don’t wait • Engage clients early and never stop listening
*Alternative methods for screening will no longer be valid for: • Sealed pharmaceuticals that would be unusable of the seal is broken • Cargo accepted in a ULD container that has a power supply and is capable of maintaining a set temperature range *IACSSP Change 3 - Section 3.4.C A look into the future Aug 3, 2010 Sep 1, 2009 Apr 1, 2009 100% screening of all cargo loaded on PAX aircraft – Import/Export/Domestic
Final recommendations • Prepare for more pressure on origins to screen inbound shipments • Partner with someone who has dedicated resources to security and compliance • Work with someone who has been engaged in the program as it has evolved • Consider security requirements in any supply chain optimization or process improvement initiatives
Thank you Certified Cargo Screening Program - Review Health & Personal Care Logistics Conference Philadelphia, PAApril 1, 2009