Digital transformation at Gemadept: Evolving for a Head Start

13.06.2024

In the 4.0 era, applying technology to Port operation and Logistics is not only a trend but also a vital factor for businesses to develop sustainably. Digitalization and automation play a key role, bringing out outstanding efficiency in optimizing processes, reducing costs, improving service quality, and contributing to environmental protection.

However, for a successful digital transformation, businesses need to build a long-term strategy, with clear goals and commit to continuous investment. Applying technology is not only equipping new tools but also requiring changes in the thinking process, procedures and working culture. Businesses need to clearly define digitalization goals, choose appropriate technology and build a specific implementation roadmap. In addition, training and improving employee skills are also important factors to ensure the success of digital transformation.

Gemadept and the Digital Transformation Process

The years 2023-2025 is a new chapter in Gemadept's digital transformation journey, with a focus on digitizing data and processes, automating port operations and connecting information in the ecosystem.

Gemadept has achieved significant achievements in applying technology to port operations. Most notably, the two applications, SmartPort & SmartGate, are not only tools to digitize transactions and automate the gate-in/out process, but also demonstrate the Company's continuous efforts in improving customer experience, and products and optimising operations.

Another highlight in Gemadept’s digital transformation process is RiverGate, a pioneering application that creates an effective communication channel between barges, vessels, and port operators, contributing to improving logistics and water transport performance. The updated version of RiverGate provides real-time operational data to stakeholders in the supply chain, including major shipping lines such as CMA CGM, COSCO-OOCL, Maersk Line, and MSC. By providing direct data, River Gate helps shipping lines and related parties come up with the most appropriate, efficient and fuel-efficient shipping plans.

Gemadept's SmartPort application has been deployed throughout the company's port system, adapting and maximizing the features of a digital port. SmartPort allows customers to perform delivery, loading and unloading, and other port services quickly and accurately. It only takes 10 minutes for customers using Gemadept's SmartPort to deploy a set of commands, compared to the 3 to 4 hours before. During the first 2 months of SmartPort’s implementation, when the COVID pandemic was still dangerous, Gemadept recorded 15,000 transaction orders and 45,000 TEU were processed through the system. Not only did it save time and costs, but also protected the health of customers by lessening face-to-face interactions. As proof of customers' trust in the SmartPort platform, since the end of 2023 until now, the number of newly registered accounts on the platform has increased by approximately 400%.

The upgraded version of SmartGate, launched on October 20, 2023, uses artificial intelligence (AI) to automatically identify information such as container numbers, vehicle license plates, trailer license plates, seal numbers, driver's licenses, citizen identification cards, weight inspection certificates, etc. and cross-checks them with previously declared data. The entire process of verification and gate barrier operation takes place automatically within just 5-7 seconds, compared to the previous manual operation time of 5-7 minutes. This also ensures high accuracy, with an automatic recognition rate of 95-97% success even during the trial phase. SmartGate automates the procedures for receiving, dispatching, and handling at the port while connecting stakeholders in the logistics supply chain, thereby optimizing container transport operations and reducing waste and costs.

Contributing to Vietnam’s Shipping Industry

These achievements not only bring benefits to Gemadept, the Company's partners and customers but also contribute positively to the development of Vietnam's maritime industry. Digital transformation and automation are gradually helping to improve the competitiveness of Vietnamese ports, elevating Vietnamese port and logistics services on world rankings.

Vietnam's Cai Mep Port Cluster entered the top 10 most efficient container ports in the world for the first time, ranking 7th in the list, the 5th highest in Asia.

Vision and Future

Gemadept does not stop at current successes but always looks to  the future with the vision of becoming a leading company in the port and logistics ecosystem in Vietnam. Digital transformation is not only a business strategy but also an indispensable part of Gemadept's corporate culture.

Continuous investment in technology, combined with developing high-quality human resources and building a creative working environment, will be a solid foundation for the Company to continue to innovate and develop.

With steady progress in digital transformation, Gemadept has been affirming its position as not only a pioneering enterprise but also an important factor contributing to the development of Vietnam's maritime industry in the modern era.

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