Improving the process of forwarding and receiving imported fcl cargoes by the sea of khai minh global co , ltd – danang branch

DUY TAN UNIVERSITY FACULTY OF ECONOMICS & FINANCE MAJOR: LOGISTICS AND SUPPLY CHAIN MANAGEMENT  - GRADUATION PROJECT IMPROVING THE PROCESS OF FORWARDING AND RECEIVING IMPORTED FCL CARGOES BY THE SEA OF KHAI MINH GLOBAL CO., LTD – DANANG BRANCH Supervisor : Dr Joan Serafica Gorospe Student : Trương Thị Hợp Class : K25HP-QLC1 ID : 25204717351 Da Nang, Apirl, 2023 ACKNOWLEDGEMENT First, I would like to express my sincere thanks to the teachers of Duy Tan University, especially the teachers of the school's Faculty of Economics - Finance And I would also like to express my sincere gratitude to Dr Joan Serafica Gorospe – who directly guided and supported me throughout the process for me to complete this graduation thesis For this graduation project, I would like to express my sincere gratitude to Mrs Le Thi Lan Huong - Director of Khai Minh Global Co., Ltd., Mrs Le Thi Ngoc Lan Sales Logistics Team Leader, and other staff in Khai Minh Global Co., Ltd has directly guided, mentored and helped me with instructions during the process of internship, implementation, research, and completion of the graduation thesis During the internship process and the process of making the report, it is certainly difficult for me to avoid worthy or unnecessary mistakes, because my theoretical level and practical experience are limited, I hope the teachers can ignore them I would like to express my sincere thanks to my teachers and my dear Khai Minh Global Co., Ltd.! Danang, April, 1st, 2023 Truong Thi Hop i STATUTORY DECLARATION With the topic "Improving the process of importing FCL cargoes by the sea at Khai Minh Global Co., Ltd – Da Nang Branch", I hereby declare that I have written the submitted this report I did not use any outside support except for the quoted literature and other sources mentioned in this report The data in the tables for analysis, comments, and evaluation are clearly stated in the reference section All references used in the topic are clearly and honestly cited with the author's name, work title, time, and place of publication I am aware that the violation of the plagiarism will lead to failure of the report Danang, April, 1st, 2023 Student (Signature and full name) Truong Thi Hop ii TABLE OF CONTENT ACKNOWLEDGEMENT i STATUTORY DECLARATION ii TABLE OF CONTENT iii ABBREVIATIONS v LIST OF FIGURES vi LIST OF TABLES vii THE PREAMBLE .1 Reasons for choosing the topic .1 Related previous literature Research objectives Object and scope of research .3 Research Methods CHAPTER 1: LITERATURE REVIEW AND THEORETICAL BACKGROUND 1.1 Forwarding service .5 1.1.1 Concept of forwarding service 1.1.2 Characteristics of forwarding service 1.1.3 Roles of the forwarding service 1.1.4 Classification of forwarding service 1.2 Forwarders 1.2.1 Concept of Forwarders .7 1.2.2 Roles of the forwarders 1.2.3 Forwarders organizations 1.3 Importing FCL cargoes by sea 1.3.1 Legal basis of importing FCL cargoes by sea .9 1.3.2 Principles of importing FCL cargoes by sea .11 1.3.3 Characteristics of importing FCL cargoes by sea .11 1.3.4 Roles of importing FCL cargoes by sea 12 1.3.5 Classification of importing FCL cargoes by sea .12 1.4 Process of importing FCL cargoes by sea 13 1.4.1 Players of importing FCL cargoes by sea 13 1.4.2 Detailed steps of importing FCL cargoes by sea 14 1.5 Relevant documents in importing FCL cargoes by sea 18 iii CHAPTER 2: COMPANY’S BUSINESS SITUATION AND COMPANY’S FCL IMPORT PROCESS BY SEA 20 2.1 Brief introduction of Khai Minh Global Co., Ltd .20 2.1.1 Company’s vision and mission 21 2.1.2 Company’s services 21 2.1.3 SWOT analysis 22 2.1.4 Company’s organizational structure 24 2.1.5 Company's business results 25 2.1.6 Business results in terms of services 28 2.2 Company’s process of importing FCL cargoes by sea 29 2.3 Evaluation of company’s process of importing FCL cargoes by sea 39 2.3.1 Advantages .39 2.3.2 Problems 39 CHAPTER 3: SOLUTIONS TO COMPLETE FCL IMPORT PROCESS BY SEA AT KHAI MINH GLOBAL COMPANY 41 3.1 Development orientation 41 3.2 Proposed solutions to complete company's FCL import process by sea 42 CONCLUSION 51 REFERENCES 52 iv ABBREVIATIONS D/O: Delivery of Order B/L: Bill of lading AN: Arrival Notice C/O: Certificate of Origin EIO: Equipment Interchange Order PL: Packing list ICD: Inland clearance deport FCL: Full container Load LCL: Less than a container Load EIR: Equipment Interchange Receipt CFS: Container Freight Station N/A: Notice of Arrival CONT: Container P/O: Purchase Order COC: Certificate of Origin COA: Certificate of Analys L/C: Letter of Credit WTO: World Trade Organization CY: Container Yard v LIST OF FIGURES Figure 1.1: An application for foreign vessels to arrive at the port .9 Figure1.2: Minutes of delivery according to the Commercial Law of Vietnam 2005 10 Figure 1.3: Diagram of the detailed steps of importing FCL cargoes by sea .14 Figure 2.1: Logo of Khai Minh Global Co., Ltd - Da Nang .20 Figure 2.2: Diagram of the organization chart of Khai Minh Global Co., Ltd - Da Nang 24 Figure 2.3: Diagram of the company’s business results in the period of 2020 – 2022 26 Figure 2.4: Chart of the percentage of KMG Services in 2022 28 Figure 2.5: Diagram of the process of forwarding FCL goods imported by Khai Minh Global Co., Ltd 29 Figure 2.6: Registration from on Eport .35 Figure 2.7: Login from on Eport .36 Figure 2.8: Interface after selecting forwarding method 36 Figure 2.9: Fill in and save the information on the Eport to export the EIR .37 Figure 2.10: Payment on Eport 37 vi LIST OF TABLES Table 2.1: SWOT of Khai Minh Global Co., Ltd – Da Nang branch 22 Table 2.2: The company’s business result of Khai Minh Global Co., Ltd – Da Nang branch (2020-2022) 26 vii THE PREAMBLE Reasons for choosing the topic For many years, countries with the sea have always had great advantages in the competition for economic development and international integration Vietnam is one of those countries Currently, Vietnam is in a period of transformation to rising strongly in many different fields, especially the economic field, one of the important milestones marking the rise is the event Vietnam officially became the 150th member of the World Trade Organization (WTO) With participation in WTO, Vietnam will have the opportunity to participate more deeply and strongly in international trade and integration The fact that Vietnam's economy has continuously grown at a high and stable rate in recent years and export turnover has also increased sharply, is a very good signal for the already developed transportation industry, which will develop further Since Vietnam carried out the renovation and transformation from a subsidized economy to a market economy, the freight forwarding industry in general, and the shipping industry, in particular, have played an increasingly important role in the economic development process of the country Vietnam is also a country with much potential for a marine economy, one of which is sea freight forwarding by the container Today, this method of delivery has become frequent and popular because it brings very positive economic effects, fast, safe, economical, and convenient Recognizing the importance of Logistics services being increasingly developed and popular today, Khai Minh Global Co., Ltd has constantly strived, to develop and built a company with Global logistics services such as trucking, freight by sea, road, and air at home and abroad with two shipping methods are LCL and FCL Especially the strength in handling and transporting FCL goods in import However, the impact of a number of factors such as: internal and external whether it affects the import process of FCL goods of logistics service companies To solve this problem, I studied the topic: "Improving the process of importing FCL cargoes by sea at Khai Minh Global Co., Ltd", in order to detect and improve the FCL import process of Khai Minh Global Co., Ltd bridge in particular and Logistics service companies in general Related previous literature The research of " Solutions to improve logistics activities at TBC-Ball Vietnam Co., Ltd"by a research students group of the Ho Chi Minh City University of Technology This is a study on the importance and status of the Logistics services of TBC - Ball Vietnam Co., Ltd in the role of coordinating the export-import and distribution of raw materials and finished products Although the company has been in operation for a long time, it still mainly uses Logistics services from external partners, but the company does not build its own strong logistics team, moreover, the management of supply service level is still not very strict From those problems, the team has researched, researched, and given solutions to complete the logistics activities for the company The solutions that the student group researched and came up with include (1) Developing a team of professional logistics staff, (2) Reorganizing logistics activities to improve operational capabilities and become more professional in operations, (3) Strengthening logistics training activities for employees, (4) Unifying the logistics management mechanism, (5) Solving logistics service needs in the short term to meet the logistics activities of the company The Master's thesis on I"mproving the efficiency of international freight forwarding process at Jet delivery Logistics Vietnam Co., Ltd"by students of Hai Phong Private University This is a topic to study the development and business situation of the company's business activities, professionalism, and quality of freight forwarding services of Jet delivery Logistics Vietnam Co., Ltd After analyzing the current situation at the company, the author has proposed solutions including (1) Solutions for organization and management, (2) Solutions for Marketing, (3) Solutions for human resources, (4) Solutions for technical facilities The research on" Development of logistics system in the southern key economic region"by students of Ho Chi Minh University of Economics This is a research topic to establish a layout map of superior Logistics centers to ensure the reduction of transportation costs for businesses in the region Simultaneously, forming reasonable transport routes, linking within and outside the region to ensure increased throughput of goods and reduce social costs, in line with the planning of the transportation system,