This study assesses the cost and benefits of applying GDS in supply chains through the tracking of two GDS pilot projects that were conducted in phase 1. The two pilots covered cross-border shipments of: (1) wine from Australia to Hong Kong, China; and (2) beef from Australia to USA.
The pilots in this study demonstrated the time, resources and commitment required by businesses to progress the adoption of GDS. Firms will want to ensure that the expected benefits of adopting standards and building connectivity outweigh the costs. This will require accurate data and information to support the required cost-effectiveness assessments but as this study has illustrated, there are several challenges to collecting relevant and accurate information to undertake such assessments, particularly within a brief time period. It is important to recognize these challenges while helping firms to understand the potential benefits and opportunities of adopting GDS. The pilots also demonstrated that firm-level benefits vary significantly and, depending on the existing capability and scale of trade, the business case will vary.