Big data is not a trend or fad; it is a concept of gathering and analyzing information to reveal patterns, and it’s here to stay. Companies use big data to interpret performance trends and make strategic decisions. In particular, the maritime industry is using big data to revolutionize the industry. Understanding data optimization, and its risks, will enable users to apply big data in new ways.
The Value of Big Data
Though the maritime industry has steadily progressed with system innovations, comparatively it is decades behind digitally. To capitalize on the benefits of big data technology, maritime companies must preemptively define their goals.
Then, they can install sensors and instruments onboard to capture new data points and create interconnected data ecosystems to examine performance.
Finally, the data can be tailored to the company’s needs, with layers of information visible on one dashboard. This analysis can guide crew operation, identify efficiencies and abnormalities, and assist decision-making. Maritime companies can compile data from past voyages and then move into continuous-based monitoring and predictive analytics.
Cyber Risks and Concerns
Big data has many advantages, but there are risks in transmitting it. Without clear channel markers or buoys in the cyber world, navigating security and privacy concerns is hazardous. Maritime transportation companies are concerned with firewall protections to protect against hackers gaining control over a vessel. Vessel owners are troubled by data storage and competitors’ access to sensitive measurements, in addition to the costs of using the data.
Meanwhile, officers are already consumed with day-to-day operations, and crew members worry about additional work and stresses from the new sensors. In one instance, an ocean container carrier fell victim to a ransomware attack, which destroyed all end-user devices, costing the company nearly $300 million.
Cybersecurity Policy Measures
With the rise in supply chain cybersecurity attacks, incident response procedures and security standards are in focus. The United States has bolstered cybersecurity practices by requiring government-information-technology-service providers to notify government agencies of cyber incidents, while also amending the Federal Acquisition Regulation and the Defense Federal Acquisition Regulation Supplement.
Likewise, the Department of Commerce must evaluate transactions involving software applications that pose substantial risks.
Sailing Ahead: Maritime Cybersecurity Awareness
Maritime transportation companies should monitor privacy and security developments to ensure compliance with security standards to protect data and the vessel’s enterprise systems. Maritime cybersecurity is problematic with ocean transits exposing systems to unknown networks, across international lines and often with outdated legacy hardware onboard. Thus, vessel operators must make strategic security investments, make continuous updates, timely install technology patches, and train their crews.
The motivation of maritime companies in pushing big data is often misunderstood. Companies reluctantly share data that may expose legal liabilities to regulators or provide a competitive advantage to competitors. However, the EU unveiled new proposed rules to facilitate data sharing, allowing users to access their data and share it with third parties to provide aftermarket innovative services.
Nevertheless, companies should evaluate cybersecurity vulnerabilities and perform due diligence on service providers that provide sensors and automation programs. Maritime transportation companies should ensure that they (not their service providers) own the collected data for intellectual property purposes, so that the service provider cannot unilaterally use the data. Additionally, officers may view continuous monitoring as a “big brother” micromanaging them. However, vessel operators can address these misconceptions by explaining the benefits of improving performance and providing more in-depth trends to those serving afloat.
Final Thoughts
Overall, big data may prove incredibly useful to maritime companies if specific goals are created, data is captured correctly, safeguards are implemented, and utilization is optimized. Data privacy concerns should be addressed industry-wide to seek assistance from policy makers and regulatory bodies. Employing big data within the maritime industry can create jobs and opportunities for technology companies to market to the world fleet, enabling companies to propel the industry forward.
Data storage costs and transmission concerns should not stop the industry’s advancement or innovation. Big data will provide companies deeper insight into their assets and open doors to new companies, greater research, supply chain visibility, and collaboration. The data generated onboard vessels may inform decision-making onboard and ashore and aid decarbonization and autonomous shipping.
The full article in its original form can be found here.
Sharon R. Klein (LAW ’78) is a partner in the Corporate practice group and chair of the Privacy, Security & Data Protection practice at Blank Rome.
Vanessa C. DiDomenico is an associate in the Maritime practice group at Blank Rome.
Karen H. Shin is an associate in the Corporate practice group at Blank Rome.