Streamlining Logistics with Pre-Receival Advice

In the world of logistics and supply chain management, efficiency is key. One crucial tool that plays a pivotal role in optimizing the flow of goods is the “Pre-Receival Advice.” In this article, we will explore what pre-receival advice is, its significance, and how it can streamline your logistics operations.

What is Pre-Receival Advice?

Pre-receival advice, often abbreviated as PRA, is a document or notification sent by a supplier or shipper to a recipient or consignee before the arrival of goods at a designated location, such as a warehouse, distribution center, or port. This notification provides essential information about the incoming shipment, allowing the recipient to prepare for its arrival efficiently.

Key components of pre-receival advice typically include:

1. Shipment Details: Information about the shipment, including the consignment’s origin, destination, and estimated time of arrival.
2. Product Information: Details about the products being shipped, including quantity, weight, dimensions, and any special handling requirements.
3. Transportation Details: Information about the mode of transportation, carrier details, and tracking information.
4. Documentation: Any required documentation, such as invoices, packing lists, or certificates of origin, which might accompany the shipment.

The Significance of Pre-Receival Advice

Pre-receival advice serves as a crucial link in the logistics chain for several reasons:

1. Improved Planning:

Knowing what is inbound and when it will arrive allows the recipient to plan their operations more effectively. They can allocate resources, such as manpower and storage space, efficiently, preventing congestion and delays.

2. Enhanced Visibility:

PRA provides real-time visibility into the status of incoming shipments. This visibility enables better decision-making, as any potential issues can be addressed proactively.

3. Reduced Errors:

With detailed information about the incoming goods, the risk of errors, such as accepting the wrong shipment or quantity discrepancies, is significantly reduced.

4. Regulatory Compliance:

Certain industries and regions have strict regulatory requirements for the handling and documentation of goods. Pre-receival advice helps ensure compliance with these regulations.

Streamlining Operations with Pre-Receival Advice

Implementing a pre-receival advice system into your logistics operations can yield several advantages:

1. Time Savings:

By receiving advanced notice of incoming shipments, you can reduce wait times and expedite the unloading and processing of goods.

2. Cost Efficiency:

Efficient resource allocation and reduced errors lead to cost savings. You can optimize labor costs, storage costs, and minimize potential fines for non-compliance.

3. Customer Satisfaction:

With improved planning and reduced errors, you can meet delivery commitments more reliably, enhancing customer satisfaction and loyalty.

4. Scalability:

As your business grows, pre-receival advice can adapt to handle larger volumes of incoming shipments, ensuring your operations remain efficient.

Conclusion

In the complex world of logistics, where time is money and accuracy is paramount, pre-receival advice emerges as a valuable tool. It empowers businesses to streamline their operations, enhance visibility, reduce errors, and ultimately improve their bottom line. Whether you’re a manufacturer, distributor, or logistics provider, integrating pre-receival advice into your supply chain processes can be a game-changer, paving the way for a more efficient and agile operation. Embrace this powerful tool and unlock the potential for greater success in your logistics endeavors.

The Importance of Export Receival Advice in the Digital Age

In the past, Export Receival Advice (PRA) was a crucial document in the global trade process. It provided shipping carriers with a detailed overview of the expected cargo, including the type of goods, quantity, and other important information. The PRAs were then compared with the actual cargo at the port of discharge to ensure that everything was in order.

However, with the advent of technology and digitalization, the use of PRAs has become less relevant. Today, most shipping carriers and logistics providers have access to real-time tracking systems that allow them to monitor the shipment from start to finish. This information is often more accurate and up-to-date than what was previously available through PRAs.

Additionally, the use of electronic documentation has made the process of exchanging trade-related information much easier and more efficient. Carriers and logistics providers can now access all the necessary information, including PRAs, online through secure portals, reducing the need for physical copies of these documents.

Another factor contributing to the decline in the use of PRAs is the trend towards just-in-time delivery. This method of delivery requires real-time information about the shipment, which is now readily available through digital tracking systems. The ability to track a shipment in real-time reduces the need for PRAs, which were often used as a safety net in case something went wrong with the shipment.

In conclusion, the shift towards digitalization and technology has rendered Export Receival Advice less relevant in the global trade process. While PRAs still play a role in ensuring that shipments are accurate and compliant with regulations, they are no longer the only source of information for carriers and logistics providers. The use of electronic documentation and real-time tracking systems has made the exchange of trade-related information faster, easier, and more efficient, reducing the need for PRAs.

PRA-Communicating Effectively with Stevedores

Pre-Receival Advice (PRA) is an informal communication between exporters and stevedores in which the former provides details about the containers to be shipped and the latter responds with cargo acceptance. The PRA can take place either online or offline, depending on the logistics company’s preference. In some cases, the PRA may be conducted via email or phone call.

The PRA is an important part of the container shipping process because it allows both parties to learn more about each other and clarify their expectations before shipping starts. It also helps prevent misunderstandings that can lead to problems during shipping. It has been suggested that pre-receival advice as a system of communication is less efficient than other communication systems, but it is still important as it can help ensure that all parties are aware of established commitment deadlines, penalties for late arrival and losses, etc.

Transporting goods by the sea makes it essential to co-ordinate with all parties involved in the supply chain. The information supplied by the exporter – via a PRA – helps a stevedore to allocate the required equipment, equipment providers, and delivery transport, as well as to complete documentation for risk management and customs purposes.

PRA forms can be submitted online, making it easier for exporters and stevedores to exchange information. It does not replace any shipping advice given by an exporter or accept cargo for loading onto a vessel. A PRA should include general container information such as the name of vessel; vessel ETA; quantity of containers; goods description; the weight of goods; packing details; special requirements such as reefer, flaptrack or tank container.

It is a good idea to get ready for the process by reading all the information available on Exporter Supply Chain Assurance System (ESCAS) website so that you understand what to expect and what information needs to be provided by you. ESCAS is a voluntary system, but Australia expects all exporters to comply with it. It does not matter if you are an established or new business; as an exporter, it is your responsibility to ensure that any ESCAS requirements are met before sending goods offshore.

A pre-receival advice form should be filled out completely. The form should include:

1. Name and contact information of the exporter
2. Details about the container including the type of container and size of container, weight, dimensions (length, width and height), contents, country of origin and destination country
3. Information about the consignee such as: contact information, address, phone number, email address and details about how the consignee will receive shipment
4. Information about what kind of insurance coverage is required for this shipment (if any)
5. Information about how customs clearance will be handled
6. Any other important details for example, if you’re shipping a container full of electronics, you should specify that all items are brand new and have never been used before. This may help reduce the risk of customs duties being charged on your shipment.

Here are some tips for establishing PRA with your stevedores:

1. Have a clear understanding of the cargo you’re shipping and what it needs to be shipped in. If you don’t know, ask us!
2. Do your research on the best practices for container shipping and how to handle different types of cargo. We’ll help you make informed decisions about how to ship your goods.
3. Make sure that you understand what customs clearance procedures will be required when you arrive at your destination port.
4. Make sure that your documents are in order and all required signatures are present before you load your goods into a container.
5. Ensure that the stevedores have access to the correct documentation for the cargo and that they understand how to properly handle it if there is any doubt about its suitability for shipping in a container (e.g., dangerous goods, handling instructions).
6. Make sure that your stevedores are aware of all necessary procedures related to ESCAS requirements (if applicable).

Once you have established contact with your stevedore’s representative, it is important that you keep them informed about progress made on your shipment throughout every step of its journey from port to port; this helps ensure that all parties are working towards shared goals and deadlines across all involved parties.

The PRA process is an important tool for ensuring that all stakeholders have a full understanding of what will be shipped, where it will go, how it will be loaded and unloaded, and any other information that may impact their ability to safely ship cargo on-time or at all.

In the end, a solid PRA system can save both sides time, money, and additional costs by minimizing cargo damage. But don’t forget the most important conclusion of all: communicate with your freight forwarder about your PRA procedures and requirements as early in the process as possible. This makes it easier for your freight forwarder to prepare for export shipments and make any necessary changes to their processes. This, in turn, will minimize problems that could potentially arise later on in the process.

The key takeaway from this article is to be sure that you’re communicating effectively with your stevedores. If something seems off, it’s important to investigate and understand the cause before it becomes a bigger problem. Also, stevedores are also just normal people doing a job—treat them kindly and they’ll be more inclined to help you when you need it.

To bring it all back to the language of business, PRA is beneficial because it leads to efficient cargo operations in the port. Massively increased communication has been shown to reduce demurrage and detainment costs, and a reduction in these costs means more money in the pockets of exporters and shipping lines alike. Plus, there’s seemingly no limit to how much information can be exchanged through this two-way communication—and that is where its true power lies. PRA is a useful tool for any business that deals with logistics. It’s a powerful way to boost efficiency and reduce costs, both of which are important factors in any company’s success.

How to Communicate Effectively with Stevedores?

After booking freight space on a vessel, what’s the next big thing an export should be worried about? One of the common answers is to ensure that the consignment arrives on time at the cargo terminal for loading. For this, it is important that there is sound communication between exporters and stevedores. Unfortunately, many exporters tend to ignore this small but significant aspect of hassle-free shipping.

So, is it indeed a humungous task to obtain cargo clearance from a terminal operator? What can possibly go wrong and how to avoid it from happening? Here’s a discussion to help you understand.

Importance of Pre-receival Advice

The exchange of messages between an exporter and a stevedore is called pre-receival advice (PRA). As soon as a consignment is ready for dispatch to the port, the exporter would send PRA to the stevedore, requesting cargo clearance. The PRA contains vital information about the consignment, including details about goods, containers, freight booking, and so on.

At the same time, the shipping company with which the exporter books freight space also sends details about the consignment to the stevedore. So, the stevedore compares both documents to ensure that there is no information mismatch.  Once he/she finds the whole information correct, the stevedore sends the cargo acceptance message to the exporter. It is then that the exporter transports the consignment to the terminal.

In case some error surfaces in the information shared, the stevedore sends the message to the exporter, requesting an explanation, rectification or additional information. Clearly, the effective communication of the PRA is important to:

• Ensure that the consignment doesn’t miss the terminal slot
• Avoid additional costs and penalties occurring due to delays or errors
• Quickly react to any message from the stevedore
• Track the PRA status in realtime
• Most importantly, to prevent any shipping delays or losses

What Might Go Wrong?

Sending and receiving PRA seems to be a simple communication process with few chances of any slip-up. However, there are common issues that frequently hinder the process, often leading to unpleasant consequences. Here are some examples:

• The exporter completely forgets to begin the process of sending PRA in the right time
• The exporter’s documentation team might not come up with the required documents on time
• Due to manual processing, there is a high probability of human errors occurring while compiling the PRA details
• Also, the exporter might fail to provide additional information for storing special goods (like perishable items) during transit
• Because of no arrangement for remote PRA tracking, the exporter might take time in responding to the queries from the stevedore

How to Make the Communication Infallible?

The Australia Government long ago replaced the traditional method of sending consignment details to stevedores with the electronic PRA. However, it is important that every exporter must invest in the best electronic systems to enjoy the intended benefits of going paperless. Here are some tips to help you in this direction:

• Make it fully automated. The process should not involve any paper-based files and databases. Moreover, human intervention should be the minimum to reduce the possibility of errors.
• Invest in a cloud-based solution and not a desktop-based one. Apart from adding speed to the process of sending PRA, it would also reduce the overall costs and make remote processing possible.
• Choose a solution that allows bulk message sharing with every terminal operator in the region. If there are multiple containers in a consignment, make sure you send details about each in the same PRA.
• Make sure there is no disparity in the information you share with the shipping company and with the stevedore. For instance, the container number should be the same in both documents.
• Be attentive to any message you receive from the stevedore. Keep all important documents ready and make sure you have quick access to the databases that store all details about the consignment.

These small but significant steps and arrangements can bring a huge difference during this last stage of consignment shipping. Make it a habit to generate reports after every PRA submission to take note of any change required to improve the process.

How Poor Communication May Cost Your Export Business Heavily?

The success of an export consignment depends on a lot of factors. Firstly, there should be a strong internal management system that brings all employees of an export business on the same platform. Secondly, there should be infallible means and mediums to reach each and every party participating in the supply chain. Thirdly, there should be a centralized control over every critical export activity and process governing the transition of the consignment.

What’s common in each of these things is communication. Without an efficient communication system in place, the journey of your consignment can be a bumpy ride. On the other hand, you can expect everything to go as per your expectation from start to the end. Find out what can be the consequences in the absence of communication and how to avoid them.

The Example of PRA

One of the most common situations in which there are chances of miscommunication is that of submitting pre-receival advice (PRA) to the stevedores. Any delay in PRA clearance for cargo acceptance can be extremely damaging. Here are some of the possible scenarios:

• You take a lot of time to prepare PRA and then, more time gets wasted in sending it to the cargo terminal operators.
• The submitted PRA has some errors and the operator wants you to fix them. However, a delay in tracking the whole process can deprive you of a much-needed terminal slot.
• There are multiple containers and sending PRA for one container at a time consumes a lot of valuable time.
• Your consignment contains perishable commodities that are prone to damage, in case there is any delay in loading them to the vessel.

So, what are the consequences? Because of delays due to any of the above reasons, you may have to face penalties, businesses losses and loss of reputation as well. Due to the lack of proper communication, the incidents may become repetitive.

Now, what are the possible reasons? Among the top reasons that you are not able to communicate well with the stevedores is the use of outdated channels. If you still rely on telephones, faxes and manual communications means, the aforementioned outcomes are inevitable.

Another Example of Freight Booking

In addition to PRA clearance, freight booking is another export-related activity where communication plays a vital role. Here are some of the situations your business might be facing at present:

• You use the traditional channels to know the vessel schedules and transit times and take a lot of time to compare them.
• Your employees manually call the freight forwarders to receive quotes and spend a lot of time comparing them.
• You send booking requests to various service providers manually and experience delays in receiving confirmations.

Again, the main culprit here is too much reliance on conventional communication methods. And, the consequences include missing out on the best rates and paying high shipping prices.

Other Communication Issues

Needless to say, an export documentation team needs to communicate with dozens of departments and authorities to obtain important documents and certificates. For example, they contact:

• The Department of Agriculture Water and Environment for export permits
• The Customs for export declaration number
• The Chambers of Commerce for a certificate of origin and so on

The processes involve filling and submitting forms, tracking statuses and responding to any queries. Without establishing a concrete interface with each of these bodies, it is just not possible to bring in efficiency. So, what could be the solution?

One of the top solutions is to switch to the cloud for faster communication. How does it help?

• It helps eliminate the traditional communication channels and establish the modern ones
• You can expect everything happening in real-time, from confirmations to status tracking
• With the flexibility to contact any party from anywhere and during any hour of the day, you can expect the advantages like remote form filling
• In addition, you can contact several parties simultaneously to save a lot of time
• Finally, it allows faster document sharing which indeed improves the whole export supply chain performance

Moreover, a good cloud-based communication system binds together various employees and encourages them to work as a team. So, there are reduced chances of miscommunication and information sharing issues.

Getting a PRA Using a Software for the First Time

As an exporter, you must inform a cargo terminal operator in advance about the containers you wish to send for loading. The stevedores respond back confirming the clearance and cargo acceptance. That’s how a pre-receival advice is completed. In order to do it timely, error-freely and cost-effectively, you can rely on a good software tool.

Before you start searching for the right kind of software, it makes sense to learn how it would be used to make this task simpler. Doing so can also help you choose the software which precisely meets the process’s requirements. Let’s begin.

Integrate the Software

To begin with, you must integrate the new software with your existing IT infrastructure. In other words, you need to bring it in sync with the overall export documentation process which in turn is a part of the whole supply chain. For this, you need to look for a software which offers compatibility as well as performance, flexibility and customization.

Load It with Basic Information

While lodging a PRA electronically for every new consignment, you would notice that a lot of information is repetitive. If you have been doing it manually for years, you can definitely recall the extensive labour required to fill the same information again and again. A software can easily address this issue by offering centralized data storing. You simply need to input the basic information once and auto-fill the associated fields every single time.

Refer to a Sample PRA

In order to avoid any inconvenience or unnecessary time wastage, you can refer to sample PRA forms in advance. For example, you can have an idea about what information you need to fill and in what format for each container in the consignment. Furthermore, you can understand what additional information you would need in case of special goods like fruits that are perishable in nature.

Submitting the First PRA

So, how to get a PRA electronically for the first time? Because you synched the software with your existing system, you can easily and accurately fill the container number, container weight and other such fields without doing it manually again and again. In addition, you can take advantage of the software by:

• Preparing the PRA from anywhere. To make it possible, it would be a good idea to choose a cloud-based solution. It allows accessing the software from any device and not just your office computer.
• Putting the PRA preparation on a hold, saving the work done so far and starting again from where you left. In case you face an interruption, you don’t need to restart the whole process. The software may allow you to restart without losing the track.
• Submitting the PRA to different stevedores. Needless to say, the software you select must offer communication with various cargo terminal operators across Australia.
• Sending more than one message in one go if your consignment contains multiple containers. It not only saves time, but also allows better tracking.

Tracking the PRA

Once you send the PRA to the right stevedore, you may wait impatiently for the response. Using the software, you can also track the status of your PRA which also makes it fast to respond back to any queries. You may receive the status whether your PRA has been approved, rejected or still pending in real time.

Finally, if your first PRA is accepted without any hiccup, you can use the software to prepare the final report. Even if you face some issues, you can refer to the report in the future to avoid them. Because of electronic PRA submission, your consignments may experience successful export without any delays or penalties.

Steps Involved in Electronic Pre-Receival Advice Process

Pre-Receival Advice (PRA) is what an exporter sends to a container terminal operator CTO), informing them latter about an export consignment ready for dispatch to the terminal. It may sound a simple communication, but involves a definite process that must be followed carefully. Any error or anomaly in it may cause loss of time and efforts to the exporter. Here in an overview of all the steps involved that you must understand if you are a first time exporter.

Before beginning, it is important to mention that electronic PRA is what most of the exporters use these days. The traditional process of manual PRA consumes a lot of time which may ultimately cause unnecessary delays and frustration.

CTO Receives Booking Message from Shipping Line

Once an exporter books a shipping line service to export his or her consignments, the shipping line sends what can be called the booking message to the container terminal operator. The message provides important details about the consignment/containers, including:

• Shipping line
• Vessel number
• Booking reference number
• Lloyd’s number
• Voyage number
• Port of discharge
• Final destination
• Number of containers
• Type of containers
• Type of commodity
• Out of Gauge (OOG) for oversized containers/commodities
• Dangerous Goods (DG) information
• Reefer (refrigerated) container information

Stevedore Receives PRA from Exporter

The exporter sends PRA to the stevedore using one of the prescribed modes/methods. If the exporter has assigned the task to an agent, the latter is responsible to send PRA to stevedore. The PRA contains all important details about the consignment and/or containers that serve many purposes, including:

• Validating the information against that provided by the shipping line booking messages
• Confirming that the data meets the system requirements of the stevedore

Some of the mandatory details that the exporter or agent must include in the PRA are:

• Shippers reference number
• Booking reference number
• Lloyd’s number
• Voyage number
• Shipping line
• Port of loading
• Loading terminal
• Port of discharge
• Container number
• Commodity
• Gross weight
• Container ISO code
• Arrival mode of transport

In addition, the following details are optional:

• Origin
• Vessel name
• Final discharge port
• Vent setting in case of goods that need to be in reefer containers

Also, there are some details which must be provided in case the containers contain specific types of goods. These include:

• Seal number and seal identifier
• Dangerous goods UN number
• Dangerous goods class
• Control temperature in case of reefer containers etc.

Response from CTO

• In case all the details are validated successfully, an acceptance message is sent to the exporter or agent.
• In case there are some errors, the export or the agent is asked to resubmit the PRA. In some cases, there are minor mistakes that can be easily rectified, while in others, the exporter or agent might need to update the booking data with the shipping line.

After the acceptance message is received by the exporter or agent, the cargo is sent to the wharf.