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CTU Code cuts costs and boosts efficiency, says study
[ November 10, 2023 // Chris Lewis ]An independent study carried out on behalf of the Cargo Integrity Group by researchers at Italian University Politecnico di Torino into shipper and forwarder application of the CTU Code found benefits to including improved safety, reputation and supply chain coordination and decreased cargo damage, environmental impact and operational inefficiencies.
Those using the CTU Code incurred no extra costs in employees, contractors, or vehicles and any increase in loading and waiting times were typically offset by CTU Code related efficiencies overall. Annual costs and penalties reduced from €670,000 pre-implementation of the Code to €13,000 post-implementation while extra costs as a percentage of revenue reduced from 37% to 10%
Chief executive of ICHCA, one of the Group’s founding associations, Richard Steele said: “As far as we are aware, this is the first example of publicly available empirical evidence about the use of the CTU Code made by forwarders, shippers and others responsible for safe packing. Notwithstanding the regional focus of this particular survey, we believe the results to be genuinely encouraging. They show that good operational management, efficiency and safety are partners, not opposites.”
The Group has published a Quick Guide to the CTU Code, together with an editable and saveable Checklist of actions and responsibilities, now available in all six of the United Nations’ official languages, as well as Italian.
Full results of the Politecnico di Torino’s survey: https://www.sciencedirect.com/science/article/pii/S2590198223000738?via%3Dihub
Tags: Cargo Integrity group; CTU Code