©2010 Helveta Ltd 1 Traceability and control across the supply chain Commercial in Confidence...

©2010 Helveta Ltd 1

Traceability and control across the supply chain

Commercial in Confidence

Supply Chain Governance – Lessons Learned

World Bank, Friday 14th May, 2010




Helveta – World Bank Update Agenda

Project Development Process

Project Lifecycle

Stakeholder Landscape

Private Sector ICT based Governance Initiatives

Scaling from Local to National Deployment

REDD Readiness using ICT




About Helveta

Helveta is the UK-based provider of CI World™, supply chain intelligence software for forestry, food and extractive industries.

Chain of Custody monitoring

Asset Tracking

Performance Improvement

Document Control

Resource Mapping




About Helveta – Global Presence

GuatemalaHonduras

PeruBolivia

LiberiaCote d’IvoireGhanaNigeriaCameroonCARCongo South Africa

MalaysiaIndonesia

PNG

RussiaTurkeySpainPakistan




Project DevelopmentProcess




Project Development Process – Public Sector

Regulatory/Institutional Driver established, e.g.: Free Trade Agreement Forest Law Enforcement Governance and Trade REDD+

Terms of Reference defined

Expression of Interest/ Call for Proposals

Request for Proposal issued

Proposal Submitted

Technical and Financial Evaluation

Award Notification

Contract Negotiation

Contract Award

Commencement




Project Development Process – Private Sector

Corporate Driver established, e.g.: Brand Equity enhancement – sustainable procurement Revenue enhancement – price premium/access to market Inventory control – margin improvement

Business Initiative defined

Expression of Interest/ Call for Proposals

Request for Proposal issued

Proposal Submitted, ROI specified

Technical and Financial Evaluation

Award Notification

Contract Negotiation

Contract Award

Commencement




Project Lifecycle




Project Lifecycle

Pre-sales, proposal support, quotes

Initiation/Kick-off

Requirements gathering – functional specification

Technical output methodology

Quality Assurance Processes

Helpdesk

Continuous improvement

Pre-sales

Initiation

Specification

Build Beta

Release Beta

Optimise

Production

UAT

Support

Go-Live




Stakeholder Landscape




Private Sector ICT Governance Initiatives




Cocoa Traceability Pilot

Project Scope

10 District Offices (locations tbc) All have PC/Internet Connectivity

Secondary Evacuation Transport

Take-over point

Discrepant Shed

Shipping (Bill of laden)

Receipt in Europe (Hamburg)




Cocoa Supply Chain




District Depot

Storage

Discrepant Shed

Correction

Take-over Point

Cocobod Transfer

Receipt

Receipt in Europe (Hamburg)

Cocoa Supply Chain Critical Control Points

Secondary

Evacuation


Take-over Point

Cocobod Transfer

Shipping

Sea Transfer to Europe




District Depot

Receives cocoa from Society

Bags cocoa

Confirms weight

Seals bag and applies tag

Manages transport logistics in CI World

Monitors HHC usage

Provides data input as required





Scaling from local to national deployments




Liberia - Project Objectives

The provision of a technology system that will:

Manage a chain of custody providing traceability of forest products from stump

to export

Continuously monitor timber flows in Liberia including:

log/timber tracking system monitoring of regulatory documents monitoring of sampled field checks

Release timber exports on behalf of the Government of Liberia

Invoice and monitor payments by logging companies to the GoL




Liberia – Project Update

First wood flow from standing tree to export milestone reached 2009

UAT successfully completed February 2009.

Post implementation system change control project currently underway.

Current rainy season has suspended production.

+- 440k individual trees tagged and located

+- 180k trees verified in the system

9 contract areas

Sawmill being constructed in Monrovia for first processed timber production.




Liberia – Project Experiences

Project delays

Stringent due diligence processes for contract allocation excluded 100% of bidders at first round.

Conflict over land rights and ownership in legislation.

Speed at which Liberia could establish the industry was underestimated.

Technical Challenges

Lack of “as is” process meant system was built on a set of assumptions as to how the forestry process would be developed.

Insufficient attention to capacity building meant assumed forestry processes were not 100% as expected.

Lack of existing industry meant discovery of process changes could only be made as industry developed, very late in the day for changes to be made.

Delays to wood flows meant reduced funds for necessary system expansion following identification of changes to process.




Liberia - System web input forms




Liberia - System Map Report, Inventory




Liberia – System Verification Reports




Liberia – Gov Revenue Collection




Liberia – Pre Felling Compliance Check




Update

Project extended to end September 2010

Manufacturing defect detected with GPS chipset on handheld computers

18 HHC returned to manufacturer for repair.

Latest CI Mobile version upgrade delivered improved GPS accuracy and UTM conversion

Production process at the CIMAL plant reengineered, adding delays and requiring system changes.

Harvesting for 2010 pushed back 3 months due to extended unseasonal rains

System offers full support for Spanish

Bolivia




Bolivia – System Map Report, Inventory.




Bolivia – Commercial Census Report

Each row displays detailed information for a tree including the volume which was determined during the survey.




Bolivia – Traceability Report

On a single page, the user can check the history of a tree as it goes through the different stages in the Chain of Custody.




REDD Readiness Using CI World MRV Functionality




Combine remote sensing data with terrestrial data for ground truthing, to create a

REDD forest MRV multi-stakeholder, online platform

Integrate indigenous communities into the field data gathering process of REDD-relevant parameters, generating employment for communities and adding

validation capabilities of forest health parameters

Apply best practice carbon analysis methods to data sets and report forest carbon absorption capacity in and auditable, transparent online environment

Combine field MRV data with remote sensing data and make available to all stakeholders in the process.

REDD Project Objectives




www.helveta.com

Community Forest Monitoring




Gathering From The Ground

Mushrooms

Leaves

Good Drinking Water

Yams

Craft Materials





Size

Approximately 50cm

Approximately 80cm

Approximately 100cm

FLEGT





SizeType of sighting

Tracks

Logs

Planks

Stump





www.helveta.com





Thank You

©2010 Helveta Ltd 1 Traceability and control across the supply chain Commercial in Confidence...

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