australian cio summit 2012: modernising new zealand’s border clearance by channa jayasinha
TRANSCRIPT
Channa Jayasinha
Modernising New Zealand’s Border
Clearance“The Joint Border Management System (JBMS)”
www.mpi.govt.nz
Channa JayasinhaDirector, Border Change Programme & Joint Border Management System
Ministry for Primary Industries
A modern global border systemA modern global border system
Border sector principlesBorder sector principles
• Risks are managed as early as practicable, ideally before arrival into or exit from New Zealand
• Resources are targeted to areas of greatest risk and collective importance
• Decision making is driven by accurate and timely intelligence and information, leveraged across government, drawn from domestic and international sources
• Partnerships (between New Zealand agencies, with overseas governments and with our stakeholders) enable those best placed to manage risk to do so
• Travellers and traders understand their obligations to make it easy for them to
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• Travellers and traders understand their obligations to make it easy for them to comply
• Efficiency and effectiveness in border management enabled through collaboration across government and use of technology
• Service delivery is designed to streamline trade and travel, and to present a single face of government to travellers and traders wherever practicable
• Border systems maintain and enhance government’s assurance programmes
Ministry For Primary Industries (MPI) role
in border management - Biosecurity
Ministry For Primary Industries (MPI) role
in border management - Biosecurity
• MPI focuses on managing Trade & Biosecurity risks
at the border
• NZ border management pathways ~ Passengers,
Mail, Cargo & Vessels
• MPI manages 70% of NZ’s exports
• Biosecurity incursions can damage reputation and
incur significant costs
Biosecurity Incursions in the pastBiosecurity Incursions in the past
Incursion Response Year Started Estimated YTD Costs to Crown
White Spotted Tussock Moth 1996 $12,400,000
Painted Apple Moth (PAM) 1999 $66,995,000Painted Apple Moth (PAM) 1999 $66,995,000
Varroa Bee Mite 2000 $10,752,000
Asian Gypsy Moth 2003 $5,400,000
Didymosphenia Freshwater Algae (Didymo) 2004 $15,619,000
Sea Squirt marine fouling pest (Styela) 2005 $4,412,000
Nelson Varrao 2005 $10,096,000
Southern Saltmarsh Mosquito 2006 $23,606,000
Rena 2010 $42,000,000
More recent
incursions
More recent
incursions
Queensland Fruit Fly
• Recent find of a lone male fruit fly
in Auckland
•Caught in one of 7,500 surveillance
traps around Auckland
•Threat to $3 Billion Horticultural
export sector
• Response lasted just over 2 weeks
at a cost of $2M
Psa Kiwifruit virus
• $1 Billion export-earner
•37% of Kiwifruit orchards infected
• It will cost the industry $885M over
the next 15 years
• Reputational damage to NZ
Horticulture industry
What Customs and MPI do at the BorderWhat Customs and MPI do at the Border
JBMS VisionJBMS Vision
“Government border sector agencies and industry working
together using highly effective, agile and integrated
processes, systems and technologies to keep New
Zealand’s border safe and secure, assure government Zealand’s border safe and secure, assure government
revenue collection and enhance New Zealand’s
international reputation as a highly desirable trading
partner and tourist destination”
Why NZ needs JBMSWhy NZ needs JBMS
• Existing aging technology presents an increasing risk of failure
• Inflexible systems that will not be able to meet evolving expectations for border management and international facilitation initiatives
• Current resource-intensive agency processing will struggle to cope with volumes and complexity over timecope with volumes and complexity over time
• Current cargo and craft clearance messages not international standard-compliant and insufficient for border agency needs
• Duplicated processes across Customs and MPI and different approaches for managing border risks
What did the Industry want from JBMSWhat did the Industry want from JBMS
• Joined up agency requirements and channels
• Greater electronic interface to MPI
• Less cost and effort in providing information to agencies
• System connection options
• XML messaging
• Online client code applications with faster responses 24/7
• Recognition of clients who consistently comply
• Certainty of clearance requirements – before cargo arrival
• International trade facilitation opportunities
The solutionThe solution
JBMS Tranche 1JBMS Tranche 1
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What is TSW?What is TSW?
UN/CEFACT Recommendation 33 – definition of a single window
- A facility that allows parties involved in trade and transport to lodge standardised information and documents with a single entry information and documents with a single entry point to fulfil all import, export, and transit-related regulatory requirements.
- If information is electronic, then individual elements should only be submitted once.
NZ Border Sector System InterfacesNZ Border Sector System Interfaces
What are we building? – A Trade Single Window What are we building? – A Trade Single Window
MPI:
NZCS
Tranche 2
MPI:Biosecurity
Food
JBMS Tranche 1JBMS Tranche 1JB
MS
Messaging and Web Gateway
Entity Resolution and Mining
Risk Identification and ManagementRegistration
Data Mining
Intelligence Processing
TSW Risk and Intelligence
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CU
SM
OD
Passenger Processing
Goods Processing
Seized/Detained Goods Tracking
Quantu
m
Workflow
Goods Processing
Craft Processing
JBMS Solution LayersJBMS Solution Layers
Security
Presentation Layer (Channels)
Application Layer
Service Layer
Craft
Processing
Craft
ProcessingGoods
Processing
Goods
ProcessingPassenger
Processing
Passenger
Processing IntelligenceIntelligence
Goods & Evidence
Management
Goods & Evidence
Management
Resource Scheduling
& Management
Resource Scheduling
& ManagementEnterprise SearchEnterprise Search
System Identity
Management
Auditing &
Monitoring
Auditing &
Monitoring
Access Management
Trade Single WindowTrade Single Window
MobileMobile Electronic GateElectronic GateKioskKiosk WebWebDesktopDesktop
Pattern AnalysisPattern Analysis
Event Monitoring
Integration Layer
Risk Profiling &
Rating
Risk Profiling &
Rating
Management
Business IntelligenceBusiness Intelligence
& Management
Content & Document
Management
Content & Document
Management
WorkflowWorkflow
Event BusEvent Bus GatewayGateway
Customer
Relationship
Management
Customer
Relationship
Management
PortalPortal
Entity ManagementEntity Management
Monitoring
Business Rules
Engine
Business Rules
Engine
Action PlansAction PlansEntity MiningEntity Mining
iGovt Integration
KEY: Tranche 1 deliverable Tranche 2 deliverableTranche 1 partial deliverable Existing System requiring integration
ArchitectureArchitecture
• End to end architecture
– Commercial-off-the-shelf packages
– Bespoke software (TSW)
– Integration with CusMod, Nexus (warehouse), Quantum
– Based on end-to-end process
• Solution set
− Sterling B2B gateway− Sterling B2B gateway
− SPSS - pattern analysis
− Initiate - Master Data Management
− FileNet - content management
− ArcticFast – Action Plans
− DB2 - database
− WebSphere Process Server - orchestration
− Tivoli - security
− Java - bespoke development
JBMS Tranche 1 BenefitsJBMS Tranche 1 BenefitsTotal Benefits over 10 year life estimated at $533m
Safeguard Border systems services Decreased CusMod failure risk: $99m – 18%
Secure existing Government revenue base: qualitative
Agency efficiency and value for moneyFTE savings $41m - 7%
Future staff growth containment: Qualitative
Ag
ilit
y t
o h
an
dle
fu
ture
ch
an
ge
Advanced Management of border risk – 49%
Biosecurity harm avoidance $199m – 38%
Drug harm avoidance $56m – 11%
Passenger experience: Qualitative
Industry supply chain efficiency and effectivenessIncreased supply chain efficiencies for imports and exports: $137m – 26%
Improved trust and mutual recognition: Qualitative
Ag
ilit
y t
o h
an
dle
fu
ture
ch
an
ge
Cost RecoveryCost Recovery
• Net operating costs over the 11-year life of the system is $204M
• Cabinet agreed to recover 50% of costs from Industry by increasing fees
• $46M over 3.25 year initial cost recovery period and then the remainder
over a further 4.75 years
• Fees will be first adjusted to reflect changes in transaction volumes
• Industry consultations in progress with report back to cabinet in October • Industry consultations in progress with report back to cabinet in October
2012.
• Cost recovery to start on 1 April 2013 when the Trade Single Window is
launched.
Business TransitionMay JulJune Aug Sept Oct Nov Dec Jan 2013 Feb
System delivery
milestones Release ASPSS Tool Available Release B
Mar Apr
Go Live
Business Impact Assessment
Business Transition Plan
Operational Procedures
Communications Plan
Operational Procedures
People Readiness (PRA) Plan
People Transition Plan
Training Release A
Training Needs Analysis/Plan
Training Strategy
Early Life Support
Training Release B
Release B CommsRelease A Comms
Stakeholder TransitionMay JulJune Aug Sept Oct Nov Dec Jan 2013 Feb
System delivery
milestones Release ASPSS Tool Available Release B
Mar Apr
Go Live
ECN contingency
plan agreedRelease A
pilot review
Release B
pilot review
Repeat client
Intentions
survey
Pilot partner
agreements signed
Client registration
records migrated
and validated
Stakeholder
agencies updated
Direct connect & WCO3
marketing material published
TSW fact sheets published
On-boarding
docs revisedMay 2011 – May 2012
• Industry workshops
• High Level procedures
consultation
• Detailed procedures
consultation
• Online information
• Pilot partner engagement
• CBAFF conference
• Tomorrow Cargo Logistics
meetings
• Items in internal and
external publications
JBMS Tranche 2 VisionJBMS Tranche 2 Vision
Messaging and Web Gateway
Registration
TSW
Reference
Entity Resolution & Mining
Risk Identification and Management
Data Mining
Intelligence Analysis
Risk and Intelligence
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Workflow
Passengers
Goods Craft
Transaction Processing
Knowledge Management
Customer Relationship Management
Content Management
Reference Library
InformationServices
Enterprise Search
Evidence Management
Case Management
Prosecutions & Investigations
Key learning's from programmeKey learning's from programme
• Governance: Strong and active cross agency governance has driven what we have
achieved so far
• Consultation: It’s important to consult with Industry early on benefits and cost
recovery options
• Resourcing: The level of resources needed for the programme from both agencies
exceeded initial projections, hence had an impact on BAU work.
• Monitoring: The level of external monitoring and auditing imposed on the
programme was underestimated and also required more effort than initially
anticipated.
• Communication: When communicating progress to key stakeholders, the industry
and internal staff , we underestimated the time involved in customising the story.
• Benefit Realisation: It’s important to develop (early) a benefit realisation
framework over the life of the programme (10 years) and have persons
accountable for capturing and reporting on the benefits. E.g. Chief Executive KPI.
