Net Gain for Dagang Net

Published by New Straits Times (Business Times)

Dagang Net Technologies will add an electronic logistic fulfillment capability to its import/ export electronic data interchange (EDI) infrastructure. MALCOLM ROSARIO writes.

DAGANG Net Technologies Sdn Bhd, the operator of Malaysia's e-trade facilitation service, plans to add an electronic logistic fulfillment capability to its import/export electronic data interchange (EDI) infrastructure.

If everything goes according to plan, by the second half of next year, the firm will roll out a logistic fulfilment service which should result in logistic companies increasing their competitiveness.

"Logistic fulfillment is one of the key differentiators between successful and unsuccessful companies in a retail environment. We are developing a system to ensure that this segment of the fulfillment process is made simpler and more cost effective," said chief executive officer Saifol Shamlan.

Dagang Net operates an exclusive electronic linkage to the Royal Malaysian Customs Department on matters involving import and export declaration and clearance.

The e-trade facilitation service known as "Sistem Maklumat Kastam-Dagang Net" (SMK-Dagang Net) is used by Malaysia's Customs Department and eases electronic submissions of Customs documents for cargo clearance.

Dagang Net's e-commerce system has brought a heightened level of focus to customer satisfaction and delivery fulfillment.

However, there is a need for basic fundamentals to be properly designed and managed. In this respect, the day-to-day job of superior supply chain logistics execution is just as important as ever.

"The logistic e-fulfillment system is being developed with the feedback provided by the haulers. When it is operational, haulers can function faster and more efficiency,” Saifol said.

He said the information contained in production, logistics, finance, clearing and shipping documents was about the same, and so, by re-using the documents, companies along the supply chain could function much effectively.
He said haulers could expect significant cost savings from the use of its e-fulfillment system, but he declined to say just how much savings could be expected.

"All I can say is that from our previous experience dealing with Customs declaration procedures, the time and efficiency which our system facilitates results in a significant cost savings," he said.

Its logistic fulfillment system is part of phase three of its technology upgrade plan.

The second phase technology upgrade plan involved the development of a world-class, reliable and efficient nationwide network to expedite commerce through all major airports and seaports in Malaysia.

Where the first technology focused on hardware, networked infrastructure and managed services, the second phase involved the upgrading of software platforms that include the messaging and database engines.

The new software technology is mainly provided by Axway, a global supplier of enterprise application and business-to-business integration (EAI and B2Bi) software solutions.

Through this collaborative effort with Axway, Dagang Net, expects to further boost its service reliability and efficiency of its EDI system.

The network handles RM1.8 billion worth of electronic Customs duty payments and 40 million electronic document transactions annually.

Set to go live by end December, its new messaging and document exchange engine will be powered by Axway's best-of-breed products: Axway Integration Broker (XIB), Axway File Broker (XFB) and Axway Sentinel.

Known for its powerful integration and synchronisation technology, XIB will provide real-time, scalable and powerful information transformation to help SMK-Dagang Net evolve into a 24/7, fail-safe, fault-tolerant network.

It allows the entire network information system to remain seamless and enables smooth and continuous inter-communication between customers and government agencies.

Equipped with advanced file transfer and exchange management features, XFB allows the secure transmission of data across the Internet and provides automated and inter-application dataflow management allowing end-to-end acknowledgements from every partner in Dagang Net's trading community.

Axway's Business Activity Monitoring system, the Sentinel, will monitor, supervise and track data flows from end-to-end can provide advanced alerts with options for standby management and automatic calls to phones, faxes or SMS.

It serves as an IT surveillance solution that tracks both technical and business processes circuits providing that "double vision" essential to enable Dagang Net to monitor and measure the broad scope of company transactions continuously, so that critical business decisions can be rapidly taken.

The deployment of these world -class monitoring and control tools will enable Dagang Net to deliver more reliable, efficient, fast and secure document exchange services. Axway's software engines will also enable Dagang Net to store Malaysia's trade-related information and deliver these critical business and statistical information to the trade industry.