chapter 4 mrs vicky freight forwarding

ORGANISATION OF THE COMPANY Learning Objective:  The learners should be able to identify international organizations related to trade and transport and their functions The student can

CHAPTER 4 ORGANISATION OF

THE COMPANY

Learning Objective:

 The learners should be able to identify international organizations related to trade and

transport and their functions The student can list and describe different types of forwarders The students can list and design the principles of a quality management system

Contents

Organisation of a forwarding

companyGeneral Procedure

Quality Management System

ISO 9001:2015Environmental Management

System ISO 14001:2015

ORGANIZATION OF A FORWARDING

COMPANY

Different types of forwarders

Type of companyDetail

System providerNetwork provider for courier, parcel and express servicesInternational Universal

Forwarder

Air freightSea freight

Rail wayInternational Road Haulage

https://www.youtube.com/watch?v=WZaKra83fGo

Different types of forwarders

Type of companyDetail

Specialized ForwarderSpecialised on Modes or Goods:e.g Railway, Tank, Road etc.

Customs AgentCustoms ClearanceWarehousingRefrigerated Warehouses etc.General Cargo Warehouse, Logistics ServicesCustomers/Supply chainsSpecialization on

TYPICAL COMPANY STRUCTURE

Managing Director

Business Process

Advisor

Sales DepartmentDepartmentOperations

Admin/FinancialDepartment

Customer Service Department

GENERAL PROCEDURES

The freight forwarder has two principal

choices

The means of transport to be used in the

transport operation which they are to organize

Competent and reliable transport providers

GENERAL PROCEDURES

The typical procedure

of order processing

within a freight forwarding

company

Inquiry/OfferBooking/FF ContactSelection of Route and Modes

Contracting of CarriersIssuing DocumentsMonitoring of goods and documents

Invoicing

THE FACTORS TO BE CONSIDERED CONCERNING THE MEAN OF TRANSPORTATION

Factors linked to the efficiency of the method of

transport: the nature of the goods, the size of the

shipment, the capacity of the mean of transport etc.

Factors linked to cost: cost of the packing to be used,

cost of transshipment, handling costs, transportation costs, insurance costs etc.

Factors linked to the quality of service: delivery times,

speed, regularity, security, etc.

ASSETS AND DRAWBACKS OF DIFFERENT

METHODS OF TRANSPORTATION

Method of transportation

Road

Door-to-door transportationWithout more cost

Flexible pricesLow cost per cage of not bulky goods

Arrival may varyFreight costs of bulky goods are

progressiveUsing of public roads

Rail

Fixed tariffsLow transportation timeCargo compatible wagons

Discharge of public roads

Energy savingEnvironment friendly

Limited rail networkLow flexibility in pricingPrepayment from the customer before

the (un) loading

ASSETS AND DRAWBACKS OF DIFFERENT

METHODS OF TRANSPORTATION

Method of transportation

Sea Fixed arrival and departureFixed timetable worldwide

Worldwide network

Long transportation timeNeeds of solid packingNormally many handlings

Low maximum dimension of packages by transportation with

passenger machines

QUALITY MANAGEMENT SYSTEMS ISO

Quality Management is a part of business management that fixes the quality policy and the quality-relevant functions, responsibilities

and competences in the company and realizes them by:

Quality planning, i.e planning of quality parameters of the

forwarding services (e.g punctuality, availability etc.) and

necessary means and procedures

Quality control, i.e managing the forwarding process

(disposition etc.)

QUALITY MANAGEMENT SYSTEMS ISO

Quality Management is a part of business management that fixes the quality policy and the quality-relevant functions, responsibilities and competences in the company and realizes them by:

Quality inspection, i.e checking the quality at relevant

interfaces and points in the process (damage free etc.)

Quality improvement; i.e systematic analysis of failures and

development of improvement measures, within the scope of a Quality Management System

ENVIRONMENTAL MANAGEMENT

SYSTEM ISO 14001:2015

humankind's interaction with and impact upon the environment The need for environmental management can be viewed from a variety of perspectives

of the bio-physical environment, both living (biotic) and non-living (abiotic) This is due to the interconnected and network of relationships amongst all living species and their habitats The environment also involves the relationships of the human environment, such as the social, cultural and economic environment with the bio-physical environment

environmental risk management and is closely aligned to the European Eco Management & Audit Scheme (EMAS) As a common auditing standard, the ISO 19011 standard explains how to combine this with quality management

End of CHAPTER 4