Benefits of eFTI | Traficom
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Transport and Communications Agency

Benefits of eFTI

The EU logistics industry is committed to making a seamless digital transition. The goal is for all parties in the transport chain to produce, process, and exchange data in a secure and reliable electronic environment. This ensures that the benefits are shared by everyone involved.

What is Electronic Freight Transport Information (eFTI)?

Electronic Freight Transport Information (eFTI) refers to the digital information traditionally found in paper freight documents. Although it represents only a small part of the total supply chain information, it is crucial for the digital shift and offers significant benefits for transport companies.

The Role of Transport Companies

Transport companies play a pivotal role in this digital transformation. They link different parties in the supply chain and integrate information on goods transport. This integration brings substantial benefits to all stakeholders in the electronic transport chain and to society as a whole. Some of the advantages include:

  • Better targeting of control and transport measures
  • More efficient transport operations
  • Reduction of the grey economy
  • Combatting illegal cabotage

EU Legislation and Implementation

The EU is driving the digital transition through legislation, initially by enabling and eventually potentially mandating the use of eFTI. The first step is to make the use of electronic transport data mandatory for goods transport authorities by 2027. By this date, authorities will be required to accept electronic transport data during inspections. It is also possible that companies conducting certain types of transport may be required to operate electronically.

What This Means for Supply Chain Companies

Pioneering companies that decide to adopt electronic operations and logistics chain management from the outset will fully reap the benefits of digitalization. The market is expected to see the emergence of platform service providers for electronic freight information, similar to those in financial management (e.g., ukko.fi, procountor.fi). eFTI compatibility would be a significant selling point for such platforms. These platforms play a crucial role in supporting small-volume transport companies in their digital transition.

  • Automation: Transitioning to electronic freight information enables process automation, such as data entry and document handling. This reduces human errors, speeds up operations, and improves reliability.
  • Real-time Tracking: Real-time information flow accelerates processes, reduces delays, and enhances customer service.
  • Optimization: The digital shift offers benefits for optimizing transport and capacity. Electronic freight information can be analyzed alongside real-time traffic data, weather conditions, and other factors, reducing delivery times and fuel consumption.

  • Supply Chain Visibility: Digital platforms provide end-to-end visibility of the supply chain, allowing all stakeholders to track goods at every stage of transport.
  • Data Sharing: Seamless data exchange between different parties (shippers, carriers, and receivers) ensures that everyone has access to the same information, reducing misunderstandings and improving collaboration.

  • Reduced Paperwork: Electronic data handling reduces the need for paperwork and associated costs (e.g., printing, delivery, scanning).
  • Lower Operating Costs: The Real Time Economy project found that digitalization reduces document costs from 15-20 euros to 5-7 euros when moving to structured electronic data. If the data is automatically transferred from one document to another, utilizing all automation and electronic management benefits, the cost per document drops to 1-2 euros. The Open Logistics Foundation found that a paper CMR costs 22.83 euros, while an eCMR costs only 9.72 euros.

  • Real-Time Operations Management: Real-time data on own transports and analytics help companies make quicker and more accurate decisions.
  • Data Analytics: Access to data enables the development of advanced analytics, leading to better forecasting, inventory management, and decision-making.

  • Improved Communication: Digital platforms enhance communication with customers, providing them with precise and up-to-date shipment updates. Better transparency and tracking increase customer trust and satisfaction.
  • Faster Delivery: Improved efficiency and real-time tracking enable faster and more reliable delivery services.
  • Sustainable Supply Chains: The transport chain can meet the growing demand for greener supply chains.

  • Reduced Emissions: Improved efficiency leads to lower fuel consumption, reducing the carbon footprint of freight transport. Reducing paper usage also minimizes the environmental impact of logistics companies.
  • Sustainability Practices: Digitalization supports sustainable logistics practices, such as emissions calculation and reporting.

  • Regulatory Compliance: The eFTI data model ensures automatic compliance with local and EU regulations across the EU.
  • Improved Security: The EU’s common data exchange system securely transmits transport information from companies to authorities.
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