Major international business organizing the delivery of imported goods by sea at thd useful services co ,ltd

HO CHI MINH CITY UNIVERSITY OF FOREIGN LANGUAGES - INFORMATION TECHNOLOGY FACULTY OF INTERNATIONAL BUSINESS ADMINISTRATION -*** INTERNSHIP REPORT Major: International Business Organizing the delivery of imported goods by sea at THD Useful Services Co.,Ltd Student’s name: Nguyen Vu Lam ID Number: 18DH481022 Class: KQ1801 Course: K24 HCMC, 05/2022 0 PHỤ LỤC NHẬN XÉT CỦA CƠ QUAN THỰC TẬP Tên Doanh nghißp/ Cơng ty/ C¡ quan: Địa chỉ: Mã số thuế: (nếu có) Mã số đăng ký kinh doanh/Mã số doanh nghißp: (nếu có) Ngành nghề kinh doanh/ lĩnh vực hoạt động chính: Chúng xác nh¿n Sinh viên: thực t¿p Doanh nghißp/ Cơng ty/ C¡ quan từ ngày…… tháng… năm…… đến ngày… tháng…… năm…… Nội dung xác nh¿n: - Về vißc tiếp c¿n thực tế nghißp vụ, hoạt động Doanh nghißp/ Cơng ty/ C¡ quan: - Về tinh thần thái độ: - Nh¿n xét khác (nếu có): &&&, ngày && tháng && năm && Ký tên (Ghi rõ chức vụ, ký tên, đóng dấu) 0 0 Table of Contents INTRODUCTION Chapter 1: Introduction about THD Useful Services Co.,Ltd 1.1 The process of formation and development of THD Useful Services Co.,Ltd 1.1.1 General overview of the Company 1.1.2 The process of formation and development of the Company 1.2 The company's field of business 1.3 The organizational structure of the company 1.3.1 The chart of the company's structure 1.3.2 Functions of departments 1.4 Business situation and results of the company from 2019-2021 1.4.1 Customers and Markets 1.4.2 Competitors 1.4.3 Business performance of THD Company 1.5 Development direction of the company 1.5.1 Oriented development 1.5.2 Company's Vision Chapter 2: The process of shipping and receiving goods by sea at THD Useful Services Co.,Ltd 2.1 Delivery process at THD Useful Services Co.,Ltd 2.1.1 Flowchart of the delivery process 2.1.2 Implementation process 2.2 Process evaluation 20 2.2.1 Process strengths 20 2.2.2 Limitations of the process 20 0 Chapter 3: Solutions and recommendations to improve the delivery of imported goods by sea at THD Useful Services Co.,Ltd 21 3.1 Several solutions to improve the efficiency of freight forwarding activities by sea at THD Useful Services Co.,Ltd 21 3.1.1 Problem 1: Conducting electronic customs declaration 21 3.1.2 Problem 2: Customs declaration at the port 21 3.1.3 Problem 3: Pick up and deliver goods to the warehouse 21 3.2 Recommendations to improve the import and export business at THD Useful Services Co.,Ltd 22 3.2.1 Recommendation 1: Conducting electronic customs declaration 22 3.2.2 Recommendation 2: Customs declaration at the port 22 Conclusion 23 References 24 Appendix 25 0 List of Tables Table 1.1, Business performance of THD Useful Services Co.,Ltd in the period of 2018 - the first months of 2020 _ Table 2.1, Process of delivery and receipt of imported goods Table 2.2, Description of goods in commercial invoice 13 Table 2.3, Description of goods in the packing slip _ 13 Table 2.4, Container information of the shipment on B/L 14 0 List of Figures Figure 1.1, Company's logo Figure 1.2, Company structure Figure 2.1, Relationship between THD Company and related parties 10 Figure 2.2, Set up electronic customs declaration system information 15 Figure 2.3, VAT invoice 19 0 INTRODUCTION Topic background In the current global economy, trade activities between countries are taking place more and more strongly, the demand for import and export of goods between countries is vibrant, thus freight forwarding activities have become more critical and necessary than ever Freight forwarding contributes to promoting the process of moving goods from seller to buyer more quickly and efficiently, effectively implementing foreign trade contracts is an indispensable part of international trade and transport Vietnam has the advantage of having a long coastline, a seaport system with 114 large and small ports distributed along the coast from north to south, freight forwarding by sea in the Vietnamese market is taking place dynamic, constantly improving and developing due to fierce competition in the market Being aware of the importance and necessity of improving work efficiency in the forwarding field, combined with the specialized background knowledge available, during the internship at THD Useful Services Co.,Ltd, I has chosen the topic "Organizing the delivery of imported goods by sea at THD Useful Services Co.,Ltd" to have a more realistic and profound view of the business process, understand the nature, as a foundation to offer solutions to improve process efficiency Purpose of the topic Analyze and understand the current status of freight forwarding import goods by sea at the company, thereby drawing out the perfect points and imperfect points of the company Evaluation of the organization performing the import freight forwarding operation and the documentation procedures to highlight the import forwarding business at the company Proposing solutions and recommendations to improve the company's import freight forwarding by sea Subjects and scopre of research Research object: the process of importing goods by sea of THD Useful Services Co.,Ltd Research scope: at the THD Useful Services Co.,Ltd in the period of 2018 - the first months of 2020 Research Methods Use qualitative methods with the following tools: 0 • General analysis tool: analyze based on available data and the steps of freight forwarding operations as well as the current situation of the company, from which to find out the points of improvement and points of incompleteness • Interview tool: consult information and opinions from official employees in the company to assess the current situation and then propose necessary recommendations for the company Limitations of the topic Due to some inside information not being published, the data collection is limited and the analysis indicators are not complete However, the results of the study still ensure to achive the set objectives Thesis structure Chapter 1: Introduction to THD Useful Services Co.,Ltd Chapter 2: Reality of organization of freight forwarding by sea at THD Useful Services Co.,Ltd Chapter 3: Solutions and recommendations to improve the organization of freight forwarding by sea at THD Useful Services Co.,Ltd 0 Chapter 1: Introduction about THD Useful Services Co.,Ltd 1.1 The process of formation and development of THD Useful Services Co.,Ltd 1.1.1 General overview of the Company Transaction name in Vietnamese: : CƠNG TY TNHH THD LOGISTICS VIÞT NAM International transaction name: THD LOGISTICS VIET NAM COMPANY LIMITED License date - operation: September 6, 2017 Tax code: 0314611458 Charter capital: 1,000,000,000 VND Legal representative: DO VAN HOA Company director: PHAN THANH DANH Type of enterprise: Non-state limited company (Two member limited liability company) Address: 3rd floor, 42/2 Nguyen Dinh Khoi, Ward 4, Tan Binh District, Ho Chi Minh City Contact: + Tel: (028) 62 778009 + Fax: +84 343519079 + Website: thdlog.com + Mail: info@thdcompany.com Figure 0.1, Company's logo 1.1.2 The process of formation and development of the Company On September 6, 2017, THD Useful Services Co., Ltd was established with the main function of doing business in supporting services related to domestic and international transportation through many methods such as sea , by road and by air The director is Mr Phan Thanh Danh and the legal representative is Mr Do Van Hoa The company has always affirmed its position in the market with a dynamic and professional image By early 2020, THD Company had a team of well-trained leaders and employees with 0 • We enter the business code, declaration number, customs code, declaration date and click "Get information" to check the number of packages, containers, and vehicles that are eligible to pass through the Customs supervision area • Payment via Eport Figure 0.3, VAT invoice Source: Accounting Department Step 5.5: Get EIR • After the document officer pays the fee to get the EIR ticket online, find the payment receipt information and get the registration number for the forwarder • The forwarder holds a delivery order to port B to take a number and waits to submit it to the counter called to assist in finding business information of the sales office staff We write the registration number on the delivery order • The forwarder receives an EIR "Delivery of imported goods" and writes the THD company's tax code on the EIR slip for convenience in finalization and the Container Loan Certificate to a private warehouse and gives them to the driver to tow the goods out of the port Step 5.6: Customs liquidation: When taking goods out of the port, the driver will give the EIR slip to the port staff for inspection After delivering the goods to the customer, the driver pulls the container to the empty container return location according to the empty release paper There, the container will be inspected if there is no damage before it is allowed to empty Step 6: Pick up goods: Submit the delivery note to the warehouse supervisor and wait for the forklift to take out the goods, conduct a full count, then sign the delivery note The warehouse supervisor will keep the first copy of the delivery note and return the remaining copies Then proceed to put the goods on the means of transport 19 0 Step 7: Finalize and save documents: After completing all stages, the forwarder brings the invoice to the document department The accounting department will make a payment list, a payment slip with invoices related to the shipment: VAT invoice, D/O invoice And finally, the documents department staff will save all the documents related 2.2 Process evaluation 2.2.1 Process strengths • There are more than 30 companies that are familiar customers, always trust and recommend the company's services to their partners in deals • The document staff has a good background and experience to help speed up the preparation of documents, limit errors and mistakes, thereby saving time for editing • Using ECUS electronic customs declaration software of Thai Son Company, fast and convenient for electronic customs declaration to help the company save time and costs • Taking delivery orders is quite convenient because the place to take orders is quite close to the company • Experienced and professional forwarding staff • There is a combination between the forwarding department and the accounting department to facilitate settlement with the client company 2.2.2 Limitations of the process • Finding and signing contracts faced many difficulties due to the Covid 19 epidemic • Editing declarations takes a long time, affecting the working progress • Identification of HS codes in some new items has errors • The Internet of the Customs system has many problems, causing slow transmission of information • Increasingly changing processes require staff to be constantly updated • The number of people coming to the transaction is large, causing congestion at Customs offices and ports • High cost of petrol, road and other surcharges cause the cost of the order to go up • The difference in experience of the drivers affects the time it takes to bring the goods to the warehouse 20 0 Chapter 3: Solutions and recommendations to improve the delivery of imported goods by sea at THD Useful Services Co.,Ltd 3.1 Several solutions to improve the efficiency of freight forwarding activities by sea at THD Useful Services Co.,Ltd 3.1.1 Problem 1: Conducting electronic customs declaration It is complicated for items with complex structures such as electronic devices and components to determine the HS code, leading to the editing of declarations taking a long time Solution: Finalise the selection of the HS code There are many cases when the staff applies the HS code, but the Customs does not accept the code because of the difference in tax because the product has an overlapping HS code The company should often organize training courses to improve staff qualifications on HS code classification At the same time, cooperate with customers to understand the characteristics of products before declaring customs 3.1.2 Problem 2: Customs declaration at the port Staff must keep up with numerous changes in the present and future Customs procedures Solution: Fix the situation where there are a lot of changes in the procedure that need to be updated Continuously update new circulars from Vietnam Customs Department Actively cultivate knowledge at the place of delivery, at the Customs facility, with colleagues and related departmental staff Specialize in forwarding work to work more efficiently Should consider recruiting, training as well as arranging suitable schedules for forwarders to save time 3.1.3 Problem 3: Pick up and deliver goods to the warehouse Lack of means of transport when the volume of goods increases The drivers' experience is different, which sometimes makes goods slow to the warehouse Solution: Getting around the transportation shortage The short-term solution is that the company can outsource the car in an emergency However, in the long term, when the company has more customers, and the market is expanding, the investment in means of transport is inevitable Therefore, the company should establish a fund to invest in a system of warehouses and transport vehicles 21 0 3.2 Recommendations to improve the import and export business at THD Useful Services Co.,Ltd 3.2.1 Recommendation 1: Conducting electronic customs declaration The process of inspection and customs clearance of declarations in some branches, when implemented, overlaps, causing a lot of time According to the enterprise, Customs needs to have consistency between departments For example, an enterprise has signed and approved the approval of the Customs tax management team when applying the HS code, but the Customs professional team, when opening the declaration, requires the HS code to be changed and declared in more detail It takes a long time for businesses to complete the procedure It is necessary to have an agreement between the tax management team, the professional team and the inspection team on the registration of product codes, goods names and HS codes to avoid affecting the liquidity process later Therefore, the HS code should be regularly updated and clearly specified in the annual tax table 3.2.2 Recommendation 2: Customs declaration at the port Although there is an automatic Customs management system to reform administrative procedures, creating favourable conditions for businesses in the process of carrying out procedures But now, the slow down of the Customs network is a problem, causing the goods to be unretrievable and incurring a series of additional costs such as storage fees and wages for businesses To overcome this, the Customs should upgrade the information network connection to avoid network congestion of the Customs Sub-department 22 0 Conclusion Since the establishment of THD Useful Services Co.,Ltd until now, the company's business results have always met the set targets and always have good development prospects for the following years Profitability and profit maximization of invested capital are also high, demonstrating good business performance However, in order to become a regional enterprise, and first of all, to outperform Vietnam's major forwarding groups today, THD Useful Services Co.,Ltd needs to make a lot more efforts, overcome weaknesses to overcome challenges and embrace growth opportunities, as the opportunities are for all companies in the industry and the challenges are more significant for smaller companies During my internship at THD Company, I learned a lot of experience and got practical experience with import and export business Gives me inspiration and passion for this importexport industry And with the enthusiastic help from everyone in the company, it gave me the opportunity to apply the knowledge learned in school into practice Through this, I would also like to thank the dedicated guidance of everyone in the company who helped me complete the research project: "Organizing the delivery of imported goods by sea at THD Useful Services Co.,Ltd” And last words, I would like to sincerely thank and wish your company will always grow more and more and become a company worthy of international parity in import and export forwarding! 23 0 References Đỗ Hoàng, A T (2015) THễNG T 38/2015/TT-BTC TH TỵC HI QUAN THU XU¾T KH¾U NHÀP KH¾U QUẢN LÝ THUẾ HÀNG XU¾T NHÀP KHắU TH VIịN PHP LUắT https://thuvienphapluat.vn/van-ban/Xuat-nhap-khau/Thong-tu-38-2015-TT- BTC-thu-tuc-hai-quan-thue-xuat-khau-nhap-khau-quan-ly-thue-hang-xuat-nhap-khau269789.aspx Phũng KDTV Xut kh¿u, NhÁp kh¿u - Chi Cÿc KDTV vùng II (2021) Chi Cục Kiểm Dịch Thực V¿t Thái, S (2022) H°ớng d¿n sử dÿng - ECUS5VNACCS 2018 Công Ty TNHH Phát Triển Cơng Nghß Thái S¡n http://help.ecus.net.vn/ THD Company (2018a) GIÁ TRỊ CỐT LÕI https://thdcompany.110.vn/gia-tri-cot-loi/ THD Company (2018b) TÀM NHÌN - SỨ MỆNH https://thdcompany.110.vn/tam-nhin-sumenh/ 24 0 Appendix 25 0 (1) Sale contract 26 0 (2) Packing list 27 0 (3) Invoice 28 0 (4) Delivery order 29 0 (5) Bill of loading 30 0 (6) Arrival notice 31 0 (6) Arrival notice 32 0 (6) Arrival notice 33 0 ... of research Research object: the process of importing goods by sea of THD Useful Services Co. ,Ltd Research scope: at the THD Useful Services Co. ,Ltd in the period of 2018 - the first months of. .. during the internship at THD Useful Services Co. ,Ltd, I has chosen the topic "Organizing the delivery of imported goods by sea at THD Useful Services Co. ,Ltd" to have a more realistic and profound... Reality of organization of freight forwarding by sea at THD Useful Services Co. ,Ltd Chapter 3: Solutions and recommendations to improve the organization of freight forwarding by sea at THD Useful Services