Question : MT435-01: Global Supply Chain Management
Research the impact of global shipping and receiving at ports around the world since September 11, 2001. What policy has been added to this field? What laws have been changed? Describe best practices in global shipping and receiving at ports in your own words, supported by your research online
Global supply Chain Management
The impact of global shipping and receiving at ports have undergone radical changes since September 11, 2001. New approaches, technologies, and mandates were adopted in an effort to improve the global supply chain security. Prior to September 11, 2001, security was among the least concern when moving goods from one place to another. The major priorities rested on delivering goods at the right place and time. Prior to September 11, custom authorities were mandated with the legal authority to clear imported goods. Currently, exporters are required to furnish custom officers with relevant documentation to proof origin of goods. The events of September 11 precipitated the World Customs Organization (WCO) to ratify custom procedures outlined during the Kyoto Convention (Peterson & Treat, 2008). New protocols dubbed the Framework of Standards to Secure and Facilitate Trade (SAFE) were also introduced.
The customs-to-customs network was introduced under the WCO Framework to facilitate screening of high-risk cargo using automated techniques. The customs-to-business partnership was also introduced under the WCO Framework to pre-certify those involved in shipping via a unique shipping program. The network and partnership are fundamental in four major areas: application of risk management techniques, harmonization of the import/export procedures, easy inspections for outbound cargo, and new programs that improved customs processing (Peterson & Treat, 2008).
The best practices in global shipping and receiving at ports involves enhanced security measures to counter the ever growing threat of terrorism. In order to achieve this, global shipping and receiving at ports must increasingly rely on electronic-based systems. Electronic-based systems have greater potential for improving security. Additionally, there should be strict adherence to global shipping and receiving laws and regulations in order to improve security and service delivery.
Peterson, J., & Treat, A. (2008). The post-9/11 global framework for cargo security. Journal of International Commerce and Economics.