Logistic Sector

Download as pptx, pdf, or txt
Download as pptx, pdf, or txt
You are on page 1of 33

Freight Forwarders & Logistics

By : Ms. Vanessa Valadares


TABLE OF CONTENTs
Sr. No. TOPICS
1 INTRODUCTION
2 HISTORY
3 METHOD AND MODE
4 TYPES OF FREIGHT FORWARDING COMPANIES
5 FIELDS OF LOGISTICS
6 IMPORTANT ACRONYMS
7 CONCEPTS & PROCESSES
TRUCKLOAD SHIPPING
CUSTOM CLEARANCE
WAREHOUSING IN THE LOGISTICS SYSTEMS
INVENTORY MANAGEMENT & CONTROL
8 LOGISTICS MANAGEMENT
9 LOGISTICS OUTSOURCING
10 REFERENCES
INTRODUCTION
Denifition: A freight forwarder, forwarder, or forwarding agent,
also known as a non-vessel operating common carrier
(NVOCC), is a person or company that organizes shipments for
individuals or corporations to get goods from the
manufacturer or producer to a market, customer or final point
of distribution.
HISTORY

One of the earliest freight forwarders was Thomas Meadows


and Company Limited of London, England, established in 1836.

According to "Understanding the Freight Business," written


and published by the executive staff of Thomas Meadows and
Company in 1972, the advent of reliable rail transport and
steamships created demand for the fledgling freight
forwarding industry.
Trade developed between Europe and North America, creating
additional demand. The first international freight forwarders
were innkeepers in London who held and re-forwarded the
personal effects of their hotel guests.

The original function of the forwarder was to arrange for


carriage by contracting with various carriers. Forwarder
responsibilities included advice on documentation and
customs requirements in the country of destination.

His correspondent agent overseas looked after his customers'


goods and kept him informed about matters that would affect
movement of goods.
METHOD & MODE
Forwarders contract with a carrier to move the goods. A
forwarder does not move the goods but acts as an expert in
the logistics network.

A forwarder contracts with carriers to move cargo ranging


from raw agricultural products to manufactured goods.

Freight can be booked on a variety of shipping providers,


including ships, airplanes, trucks, and railroads.

A single shipment can move on multiple carrier types.


TYPES OF FREIGHT FORWARDING COMPANIES
1. International freight forwarders: transport between countries
Handle international shipments and have additional expertise in
preparing and processing customs and other documentation and
performing activities pertaining to international shipments.
DHL, Kuehne + Nagel, DB Schenker Logistics,Panalpina World
Transport

2. Domestic Freight Forwarders: transport within the country


Broekmans Logistics, Shree Pramukh Roadways, Integrated
Couriers & Logistics.
MAIN FIELDS OF LOGISTICS CAN BE BROKEN DOWN AS
FOLLOWS:

Reverse logistics denotes all those operations related to the reuse


of products and materials
The reverse logistics process includes the management and the
sale of surpluses, as well as products being returned to vendors
from buyers.
 Reverse logistics stands for all operations related to the reuse of
products and materials. It is "the process of planning,
implementing, and controlling the efficient, cost effective flow
of raw materials, in-process inventory, finished goods and
related information from the point of consumption to the point
of origin for the purpose of recapturing value or proper disposal.
More precisely, reverse logistics is the process of moving
goods from their typical final destination for the purpose of
capturing value, or proper disposal. The opposite of reverse
logistics is forward logistics.
Disposal logistics has as its main function to reduce logistics
cost(s) and enhance service(s) related to the disposal of waste
produced during the operation of a business.
Procurement logistics consists of activities such as market
research, requirements planning, make-or-buy decisions,
supplier management, ordering, and order controlling.

 The targets in procurement logistics might be contradictory:


maximizing efficiency by concentrating on core competences,
outsourcing while maintaining the autonomy of the company,
or minimizing procurement costs while maximizing security
within the supply process.
Emergency logistics is a term used by the logistics, supply chain,
and manufacturing industries to denote specific time-critical
modes of transport used to move goods or objects rapidly in
the event of an emergency.

The reason for enlisting emergency logistics services could be


a production delay or anticipated production delay, or an
urgent need for specialized equipment to prevent events such
as aircraft being grounded (also known as “ aircraft on ground”
—AOG), ships being delayed, or telecommunications failure.

 Emergency logistics services are typically sourced from a


specialist provider.
Distribution logistics has, as main tasks, the delivery of the
finished products to the customer.

It consists of order processing, warehousing, and


transportation.

 Distribution logistics is necessary because the time, place, and


quantity of production differs with the time, place, and
quantity of consumption.
Production logistics describes logistic processes within a value
adding system (ex: factory or a mine).
Production logistics aims to ensure that each machine and
workstation receives the right product in the right quantity
and quality at the right time.
The concern is not the transportation itself, but to streamline
and control the flow through value-adding processes and to
eliminate non–value-adding processes.
Track and tracing, which is an essential part of production
logistics due to product safety and reliability issues, is also
gaining importance, especially in the automotive and medical
industries.
Green Logistics describes all attempts to measure and minimize
the ecological impact of logistics activities.

This includes all activities of the forward and reverse flows.

This can be achieved through intermodal freight transport,


path optimization, vehicle saturation and city logistics.
RAM Logistics combines both business logistics and military
logistics since it is concerned with highly complicated
technological systems for which Reliability, Availability and
Maintainability are essential.

ex: weapon systems and military supercomputers.


Asset Control Logistics: companies in the retail channels, both
organized retailers and suppliers, often deploy assets required
for the display, preservation, promotion of their products.

Some examples are refrigerators, stands, display monitors,


seasonal equipment, poster stands & frames.
IMPORTANT ACRONYMNS:
Customs house agent (CHA) is a licensed to act as an agent for
transaction of any business relating to the entry /departure of
conveyances or the import/export of goods at a customs
station.

Multimodal Transport Operators (MTO): they carry goods by


more than one mode of transport between countries. This
does not confer a right on them to obtain an appointment as a
CHA’s unless they are otherwise qualified for the appointment.
CONCEPTS
Truckload shipping is the movement of large amounts of
homogeneous cargo, generally the amount necessary to fill an
entire semi-trailer or intermodal container.

 A truckload carrier is a trucking company that generally contracts


an entire trailer-load to a single customer.

Less – than truckload (LTL) company that generally mixes freight


from several customers in each trailer.

One advantage Full Truckload (FTL) carriers have over Less than
Truckload carriers is that the freight is never handled en route,
whereas an LTL shipment will typically be transported on several
different trailers.
Next day Express: this means that the package will be
delivered on the next business day.
In this context, ‘’overnight’’ means that the package will be in
transit overnight.
CUSTOM CLEARANCE

The documented permission to pass that a national customs


authority grant to imported goods so that they can enter the
country or to exported goods so that they can leave the
country.

The custom clearance is typically given to a shipping agent to


prove that all applicable customs duties have been paid and
the shipment has been approved.
WAREHOUSING IN THE LOGISTICS SYSTEM
Warehouse Management system (WMS): This is a key part of
the supply chain and mainly aims to control the movement
and storage of materials within a warehouse and process the
associated transactions, including shipping, receiving, putaway
& picking.

A warehouse provides a central location for receiving, storing


and distributing products.

Warehouses can serve as a part of a contigency plan to ensure


outbound orders are filled in full & on time.
INVENTORY MANAGEMENT
Inventory management in an emergency is more ‘project based’,
matching supply with demand in a rapidly changing
environment. This requires building a supply chain that has a
high level of flexibility and adaptability, with rapid identification
of need and rapid fulfilment of that need through the supply
chain.

In managing this sort of system,


1. Inventory should be considered in relatively small quantities
(inventory packages of associated relief items) that are
attached (pegged) to an identified need then moved (and
tracked) through from source to the identified need (the user).
2. Optimisation comes from having logistics systems that can
configure, procure and consolidate these packages quickly
and at least cost and a distribution chain that is flexible and
can adapt to changing requirements quickly and at least
cost.

3. Information systems that facilitate transparency of the


supply chains inventory levels and location + peg supply to
demand provide the visibility necessary to facilitate good
planning and decisions that maximise service and reduce
cost.
INVENTORY CONTROL

There are two methods of inventory control that are


applicable to emergency situations:

Reorder Level Policy


Reorder Cycle Policy
LOGISTICS MANAGEMENT

Logistics management is that part of the supply chain that


plans, implements, and controls the efficient, effective forward
and reverse flow and storage of goods, services, and related
information between the point of origin and the point of
consumption in order to meet customer requirements. A
professional working in the field of logistics management is
called a logistician.
Materials management
Channel management
Distribution (or physical distribution)
Supply-chain management
LOGISTICS OUTSOURCING

Logistics outsourcing involves a relationship between a company


and an LSP (logistic service provider), which, compared with basic
logistics services, has more customized offerings, encompasses a
broad number of service activities, is characterized by a long-term
orientation, and thus has a strategic nature.
Outsourcing does not have to be complete externalization to a LSP,
but can also be partial:
A single contract for supplying a specific service on occasion
Creation of a spin-off
Creation of a joint venture
 The outsourcing of resource management tasks to a third-party
company.
Contract Logistics:
Logistics management is an important component of many
companies' profitability and overall success. While some
companies manage their own logistics, others find it more
efficient to hire specialized contract logistics companies to
manage their logistics for them.
 Contract logistics companies handle activities such as
designing and planning supply chains, designing facilities,
warehousing, transporting and distributing goods, processing
orders and collecting payments, managing inventory and even
providing certain aspects of customer service.

Examples of major contracts logistics companies include


United Parcel Service, Kuehne + Nagel, Exel, Genco and DHL.
Third-party logistics (3PL) Third Party Logistic Provider (3PL).
This is a firm that provides service to its customers of
outsourced logistics services for part, or all of their supply
chain management functions
For example, if a company with its own warehousing facilities
decides to employ external transportation, this would be an
example of third-party logistics. Logistics is an emerging
business area in many countries.

Fourth party logistics(4PL)- the arrangement in which a firm


contracts out (outsources) its logistical operations to two or
more specialist firm (3PL) and hires another specialist firm (4 th
party) to coordinate the activities of the 3rd party
REFERENCES

http://em.m.wikipedia.org/Logistics
http://www.investopedia.com/terms/c/contract-logistics.asp
http://
www.businessdictionary.com/definition/custom-clearance.h
tml
http://www.m-w.com/dictionary/truckload
http://
www.bsl-log.fr/en/focus-on-e-commerce/logistics_and_eco
mmerce-50.php
https://
www.google.co.in/search?q=fields+of+logistics&safe=active
&hl=en-IN&gbv=2&prmd=ivns&source=lnms&tbm=isch&sa=
X&ei=Irb5VPO5IZG_uATU6oDIAw&ved=0CAUQ_AU
THANK

YOU !

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy