*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
11
Applying ISO 9001-28000 Management System into
the Supply Chain Security for Cut Flowers
and Perishables
DistributionCenter
Port Authority “A”
Custom
Port Authority “B”
Custom
Ocean CarrierTrasportetion/
Distributor
FreightForwarder
Whether shipping fruit, seafood, flowers, or any other perishable goods, transportation must be fresh, fast, and error-free
AfrICANDO 2016 - A US - Africa Trade &
Investment Conference & Trade Show
*Christine Boldt, Executive Vice President, Association of Floral Importers of Florida/South Florida Perishable Association.*Finn Holm-Olsen, Director, Trade Promotion and
AGOA, East Africa Trade & Investment Hub / Margaret Waithaka – Trade Promotion and AGOA,East Africa Trade &Investment Hub.
*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Cut Flowers&
perishables
producer
2*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Applying ISO 9001-28000 Management System into the Supply
Chain Security for Cut Flowers and Perishables
I. MAJOR DISTRIBUTION
CHANNELS FOR FRESH
CUT AND PRESERVED
FLOWERSI. One of the african countries
with good improvements .
II. QUALITY LOSS IN
ORNAMENTALS a) Major distribution channels for
fresh cut and preserved flowers
III.FACTORS AFFECTING
POSTHARVEST QUALITYa) Flower maturity,Temperature,
Food supply light. Water
supply.Water quality
b) Ethylene, Growth tropisms.
Mechanical damage,Disease
3*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Applying ISO 9001-28000 Management System into the Supply
Chain Security for Cut Flowers and Perishables
IV. POSTHARVEST
MANAGEMENT TECHNIQUES HARVESTING, GRADING, BUNCHING
CHEMICAL SOLUTIONS. Rehydration, Pulsing, Bud Opening
PACKINGBox design and construction, Packing systems
COOLINGCooling Time Calculations, Fans, Tropical flowers,
Cooling for aquapacks, Vacuum cooling, IRRADIATION
V. QUALITY ASSURANCE “RISK
BASE ON THINKING”
0.5 inch 1.0 inch
Flower type* Airflow 7/8 cooling time
Airflow 7/8 cooling time
Cfm/box Minutes Cfm/box Minutes
Carnations 70 48 90 40
Chrysanthemums 80 62 130 58
Gypsophila 170 10 260 8 -
Roses 140 34 200 25
Statice 150 40 210 18
VI. QUALITY NONCONFORMITIES
DETECTED FROM THE BEGINNING
OF THE CROP PROCESSES TO
SHIPING PRCESESSTEMPERATURE MANAGEMENT BEFORE
LOADING
PALLET CONSTRUCTION
4*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
I. Major distribution channels for fresh cut and
preserved flowers.
5*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
The listed 15 countries shipped 93.4% of all flower
bouquet exports in 2015 (by value).
I. Perishable nature of cut flowers
II. Logistics and distribution
III. Price competition aim conflicts with aim of maintaining product quality and freshness
IV. High cost of freight
V. Cultural aspects against ISO methods of prevention in order to reduce the Risk of losing sales
Challenges
Flower Bouquet Exports by CountryMAY 15, 2016 BY DANIEL WORKMAN
Dutch tulip bouquet
Flower bouquet exports by country totaled US$7.9 billion in 2015 down by an average -6.5% for all flower bouquet shippers over the five-year period starting in 2011 when flower bouquets shipments were valued at
$8.4 billion. Year over year, the value of global flower bouquet exports
depreciated by -12.8% from 2014 to 2015
Below are the 15 countries that exported the highest dollar value worth of flower bouquet during 2015:1.Netherlands: US$3.2 billion (40.3% of total flower bouquets exports)2.Colombia: $1.3 billion (16.5%)3.Ecuador: $819.9 million (10.4%)4.Ethiopia: $662.4 million (8.4%)5.Kenya: $661.9 million (8.4%)6.Malaysia: $98.1 million (1.2%)7.China: $87.2 million (1.1%)8.Belgium: $85 million (1.1%)9.Italy: $84.2 million (1.1%)10.Germany: $82.9 million (1.1%)11.Lithuania: $80.2 million (1%)12.Israel: $68.8 million (0.9%)13.Thailand: $67.2 million (0.9%)14.Canada: $44.3 million (0.6%)15.Spain: $38.2 million (0.5%)
Among the above countries, the fastest-growing flower bouquets exporters since 2011 were: Lithuania (up 552.1%), Ethiopia (up 292.1%), Kenya (up 45.7%) and China (up 21.9%).
Those countries that posted declines in their exported flower bouquets sales were led by: Belgium (down -67.1%), Israel (down -26.3%), Netherlands (down -26.1%) and Thailand (down -17.2%).
http://www.worldstopexports.com/flower-
bouquet-exports-country/
The listed 15 countries shipped 93.4% of all flower bouquet exports in 2015 (by value).
6*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Groceries logistics market expected to grow at CAGR
of 5.5% in same period
Retail turnover expected to grow at CAGR of 6.0% between 2015 and 2020
Almost 70% of absolute growth is expected to be
realized in developing countries
Retail turnover in top-15 countries (trillion US$)
World’s largest food retailers keep growing, which
provides them with scale for global sourcing of PER
7*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
The challenges for African flower producers
face are:
http://www.ascfg.org/index.php?option=com_content&task=view&id=513&Itemid=1025
Question 1 :
Is the need to ensure that the products reach the final
consumers in good quality.
Must they then produce and market their own products
that are more tolerant to the stresses of long shipping,
or continue to produce traditional European flowers,
which are difficult and expensive to transport?
What about the other markets? America ?
8*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Flowers Strategies between European and African
producers:
European Flowers:
Strategies
Implement pull-model supply
chain (distributors place orders and producers determine
export quantities) (Xiao and Chen, 2012, p.812)
Right products to right
customers at the right time
Minimize wastage by being
timely
Refrigeration throughout
distribution (Fitzgerald et al, 2012, p.1885).
– minimize spoilage
Reusable sustainable packaging (Drezner and Scott, 2013, p.301)
Single distribution center (Drezner and
Scott, 2013, p.301).
– Keeps flowers refrigerated in
the interim
African Flowers: Strategies
Research and develop local species
– innovation (Mathee et al, 2006, p.519)
Crop resilience focus
– lowering long term shipping costs
Less water intensive focus – reduce
usage
of clean water on flowers (Mekonnen et al, 2012,
p.3725).
– approximately 7-13 liters per rose
– 90% of a flower is water
– Government increasing water costs to
deter
Pricing and Recommendations
Scarcity of Water and Increasing African
Populations.
The Floriculture Industry: Benefits and Dangers
Household and Farm Solutions
Government and Consumer Solutions
9*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Due to factors such as urbanization, changing climate patterns and
population growth
Estimated in the next 40 years that Africa's population will more than
double.
By the year 2030 agricultural production will increase by 49%
Are you going to be prepared ?......as a Producer of raw material or as
producer and processor of products!!!!!!!
The future started……………………………… Yesterday !!!!!!!!!! In order
to get the coming…… Benefits:
- Employment
- Income
- Infrastructure e.g. Schools and Hospitals
Dangers:
- Utilize a majority of water bodies
- Biodiversity Issue such as contamination and pollution
(Jansen et al, 2006: 593), (Cleland, 2013: 543), (Monteiro et al, 2010: 2218) (Mekonnen et al, 2010: 7)
The African future started……………
10*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Solution to be more competitive Joint us at Africa
Trade Development Center Team!
(Mekonnen et al, 2014: 463), (Egboka et al, 1989: 63),
i. Conventional Treatment Plants
ii. Distribute clean water into households
i. 4 methods: Thermal, Photolytic,
chemical and filtration
iii. Solar Water Distillers
i. Estimated to reduce 96.3% of
contamination
iii. Large Scale water recycling systems
iii. low environmental impact
iv. economic benefits to farmers
v. utilizes existing resources
iv. Introduction of legislation that:
iii. Monitors
iv. Regulates
v. Assesses
v. Implement Multiple ISO Management Systems
and processes improvement methodologies to
assure be ready for 2040 African developments
continent as:
i. Quality Management Systems ISO 9001:2015
ii. Environmental Management System ISO
14001`:2015
iii. Supplier Changes Security Management ISO
28001Cambio de acciones de consumo clase media global
11*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
(Mekonnen et al, 2014: 463), (Egboka et al, 1989: 63),
i. Implement C-TPAT: Customs-Trade
Partnership Against Terrorism | U.S.
Customs Certification
ii. Request Product certified Label for
foreign Consumers
iii. Apply Lean Six Sigma Processes
improvement project
i. Making Lean-6 Sigma projects with
airline cargo companies
iv.Changing shares in global middle class
consumptionCambio de acciones de consumo clase media global
Solution to be more competitive Joint us at Africa
Trade Development Center Team!
v. Implement Multiple ISO Management Systems and
processes improvement methodologies to assure be ready
for 2040 African developments continent as:
12*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
With ISO 28000 you can be able to assure the C-TPAT compliance and
be eligible for a Tier III -green line at port-airport of destiny:
(Mekonnen et al, 2014: 463), (Egboka et al, 1989: 63),
C-TPAT security criteria the criteria or guidelines on the
CBP website, cover the following areas:
Business Partner Requirements
Container and Trailer Security
Container and Trailer Seals
Physical Access Controls
Procedural Security
Documentation Processing
Physical Security
Information Technology Security Training and Threat
Awareness
Type of C-TPAT BenefitsC-TPAT Partners enjoy a variety of benefits, including taking an active role in working closer with the U.S. Government in its war against terrorism. As they do this, Partners are able to better identify their own security vulnerabilities and take corrective actions to mitigate risks.
Some of the benefits of the program include: Reduced number of CBP examinations Front of the line inspections Possible exemption from Stratified Exams Shorter wait times at the border Assignment of a Supply Chain Security Specialist to the
company Access to the Free and Secure Trade (FAST) Lanes at the
land borders Access to the C-TPAT web-based Portal system and a
library of training materials Possibility of enjoying additional benefits by being
recognized as a trusted trade Partner by foreign Customs administrations that have signed Mutual Recognition with the United States
Eligibility for other U.S. Government pilot programs, such as the Food and Drug Administration’s Secure Supply Chain program
Business resumption priority following a natural disaster or terrorist attack
Importer eligibility to participate in the Importer Self-Assessment Program (ISA)
Priority consideration at CBP’s industry-focused Centers of Excellence and Expertise
https://www.cbp.gov/border-security/ports-entry/cargo-security/c-tpat-
customs-trade-partnership-against-terrorism
13*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Although some Industry Priorities defined by the IATA Cargo
Committee aim to support the perishable supply chain
#6 Modernizing Air CargoWork on migrating to XML standards to support and optimize EDI capabilities between shippers, agents and consignees’ systems improving message interchange to offer real time status notifications including temperature controls
#7 Improving QualitySupport end-to-end quality standards initiatives like Supply Chain Security to improve reliability of services and information visibility, special focus on efficient connections to reduce transit times
#10 Building SustainabilityCargo airlines should maintain their leadership in shipping Perishables and Pharma, which are solid, growing industries with high profit margin expectations
#7 Improving QualitySupport end-to-end quality standards initiatives like Supply Chain Security to improve reliability of services and information visibility, special focus on efficient connections to reduce transit times
#10 Building SustainabilityCargo airlines should maintain their leadership in shipping Perishables and Pharma, which are solid, growing industries with high profit margin expectations
14*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Changing shares in global middle class consumptionCambio de acciones de consumo clase media global
Shares of global middle class
consumption (2000 to 2050)
Middle class = households with USD10-100 daily expenditure p.p. in purchasing power parity terms
Source: OECD Development Center
15*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Key markets perishables-by-air (top-3 flows per
sub-category)
16*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Key markets perishables-by-air (top-3 flows per
sub-category)
http://www.worldacd.com/previews
17*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
How to avoided and be in compline with legal regulation by CBP
in USA, just …. Implement C-TPAT and be a member !
http://www.worldacd.com/previews
CBP in Miami Seizes Heroin Concealed Within Flowers
Release Date:August 29, 2014MIAMI - On August 29, U.S. Customs and Border Protection (CBP) officers at Miami International Airport (MIA) seized more than three pounds of heroin with an estimated street value of $150,000.
2008 justice department report found Mexican traffickers were the biggest organized crime threat to the US.
18*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
http://www.worldacd.com/previews
PoppyA poppy is a flowering plant in the subfamily Papaveroideae of the family Papaveraceae. Poppies are herbaceous plants, often grown for their colorful flowers.
2008 justice department report found Mexican traffickers were the biggest organized crime threat to the US.
These drugs are ordered through the Internet and typically arrive from
China manifested as "bath salts" or "plant food," because they look like
Epsom salts or the white powdery plant food that help make cut
flowers last longer. Street names for "bath salts" are Plant Food, Ivory
Wave, Purple Wave, Vanilla Sky, Zoom, and White Dove. They are
sold clandestinely under the counter at gas stations, convenience stores
and head shops in small foil packets or plastic baggies for $10-$75 per
50-milligram packet.
How to avoided and be in compline with legal regulation by CBP
in USA, just …. Implement C-TPAT and be a member !
19*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
II. HOW AVOIDED QUALITY LOSS IN
ORNAMENTALS
Whether cut or intact, ornamentals are complex plant organs, in which loss of quality of stems, leaves, or flower parts may result in rejection in the marketplace
In thinking about factors that affect the life of ornamentals and how to extend that life, it's important first to understand the diverse causes of quality loss.
a. Growth, development, and agingb. Flower senescencec. Wiltingd. Leaf yellowing and senescencee. Shattering
20*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
II. HOW AVOIDED QUALITY LOSS IN
ORNAMENTALSWhether cut or intact, ornamentals are complex plant organs, in which loss of quality of stems, leaves, or flower parts may result in rejection in the marketplace
• Growth, development, and aging• Flower senescence• Wilting
• Leaf yellowing and senescence• Shattering
21*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
III. FACTORS AFFECTING POSTHARVEST QUALITY
Maintaining quality in air-freighted cut flowers depends on an understanding the factors that lead to deterioration. Understanding these factors allows the grower and shipper to develop and implement optimum postharvest handling technologies
Minimum harvest maturity for a cut-flower crop is the stage at which harvested buds can be opened fully and have satisfactory display life after distribution.
a. Flower Maturity.b. Temperature.c. Food Supply.d. Light.e. Water Supply.
• Air embolism. • Bacterial plugging.
f. Bacterial plugging. g. Water Quality.h. Ethylene.i. Growth Tropisms.j. Mechanical Damage.k. Disease.
22*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
IV. POSTHARVEST MANAGEMENT TECHNIQUES
Systems for harvesting and marketing cut flowers vary according to individual crops, growers, production areas, and marketing systemsAll involve a series of steps - harvesting, grading, bunching, sleeving, packing, pre-cooling and transportation - not necessarily in that order
Management systems should be selected so as to maximize postharvest life of the flowers, a goal which usually requires prompt pre-cooling and proper temperature management throughout the harvesting chain.
Increasingly, producers are trying to reduce the number of separate steps in the marketing chain.
a. Harvesting.b. Grading.c. Bunching.d. Chemical Solutions.e. Rehydrationf. Pulsing.g. Bud Opening.h. Packing
Outer
Inner
flow
ers are co
oled
with
a h
alf-co
olin
g tim
e of o
nly
a few
min
utes.
a. Box design and construction
b. Packing systemsc. Cooling Time
Calculationsd. Fanse. Tropical flowersf. Cooling for aquapacksg. Vacuum coolingh. Irradiation
23*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
V. QUALITY ASSURANCE “RISK BASE ON THINKING”
The most important quality parameter is "freshness" or vase life. This parameter is difficult to assess visually, but because of its importance, producers and receivers should set up a “Quality Assurance Program" that would involve evaluation of the vase life of representative flowers on a continuing basis applying the processes model approach (PDCA)
Such a program would answer questions such as:• Have these flowers been properly treated with STS or 1-MCP?• Will these flowers have a reasonable vase life?• Are credit claims justified?• Does the pulse pretreatment improve flower qualityPretreatment for 6 h with low concentrations of I-MCP (1-Methylcyclopropene, formerly designated as SIS-X), acyclic ethylene analog, inhibits the normal wilting response of cut carnations exposed continuously to 0.4 ~1.1~’ethylene.
0.5 inch 1.0 inch
Flower type* Airflow 7/8 cooling time
Airflow 7/8 cooling time
Cfm/box Minutes Cfm/box Minutes
Carnations 70 48 90 40
Chrysanthemums 80 62 130 58
Gypsophila 170 10 260 8 -
Roses 140 34 200 25
Statice 150 40 210 18
Over packing boxes results in crushing of petals, misalignment of pre-cooling vents, ineffective precooling, and poor stacking. Note that
the bunches should be placed at least 5 cm from he end of the box to allow cool air to flow through all the flowers
24*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
VI. QUALITY NONCONFORMITIES DETECTED FROM THE BEGINNING
OF THE CROP PROCESSES TO SHIPING PRCESESS
Main objectives to reduce the NC implemented a processes improvement Management System in real time
• Internal responsibilities for every African CEO
– Identify and interpret regulations
– Establish policies
– Assess internal compliance
– Educate import network
– Develop government relationships
– Implemented:• Supply Chain Security System
• ISO 9001:2015
• Assure global Import Compliance (C-TPAT, USA) Daily Scope
– 2500 Customs Declarations
– $68M in value
– 5.5M pounds shipped
25*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Because of the dramatic effects of transport temperatures on subsequent vase life and the propensity for overheating of packed flowers, they should be transported at close to the optimal temperature (0°C for most species).
Envirotainers™,provide a dry-ice refrigeration system that could provide controlled temperatures suitable for use with cut flowers and would allow
transport for a considerable distance at costs that would be more than recompensed by the improved quality of the flowers on arrival
If product is properly cooled before being palletized or packed in an LD-3 container, insulation alone certainly will improve temperature management during the transportation chain. 0.5 inch 1.0 inch
Flower type* Airflow 7/8 cooling time
Airflow 7/8 cooling time
Cfm/box Minutes Cfm/box Minutes
Carnations 70 48 90 40
Chrysanthemums 80 62 130 58
Gypsophila 170 10 260 8 -
Roses 140 34 200 25
Statice 150 40 210 18
flow
ers are co
oled
with
a h
alf-co
olin
g tim
e of o
nly
a few
min
utes.
a. the logistics for air transport of cut flowers must focus on doing everything possible to maintain the cold chain
b. Perhaps the weakest link in the flower postharvest chain is at the airport. Freight forwarders may be inundated with late arrivals just
prior to aircraft leaving
Temperature management before loadingPallet construction• standard LD-9 and LD-3
footprint would help a good deal
To be in compliance with legal requirements in USA will be CBP- (C-TPAT)
VI. QUALITY NONCONFORMITIES DETECTED FROM THE BEGINNING
OF THE CROP PROCESSES TO SHIPING PRCESESS
26*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
flow
ers are co
oled
with
a h
alf-co
olin
g tim
e of o
nly
a few
min
utes.
FACTORS AFFECTING POSTHARVEST QUALITYa) FLOWER MATURITY
b) TEMPERATURE
c) FOOD SUPPLY LIGHT.
d) WATER SUPPLY
e) WATER QUALITY
f) ETHYLENE
g) GROWTH TROPISMS
h) MECHANICAL DAMAGE
i) DISEASE
VI. QUALITY NONCONFORMITIES DETECTED FROM THE BEGINNING
OF THE CROP PROCESSES TO SHIPING PRCESESS
27*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
If you are interested in reaching
the objectives described during
this presentation …please be in
contact with us:
Africa Trade Development
Center-GSProgress Inc.
The Foundation for Democracy in
Africa,
Thanks for you attention Att.
Marco ParDave MS.
Africa Trade Development Center-GSProgress [email protected]
www.gsprogress.us
Appling ISO 9001-28000 Management System into the
Supply Chain Security for Cut Flowers and Perishables
28*Marco Pardave-VP. Operations- GS Progress Inc.- ISO 9001 Quality Management System and ISO 28000- Supply Chain Security for Cut Flowers and Perishables
Thanks for you attention Att.
Marco ParDave MS.
Africa Trade Development Center-GSProgress [email protected]
www.gsprogress.us
Thanks for you attention
AfrICANDO 2016 - A US - Africa Trade &
Investment Conference & Trade Show