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First and foremost I would like to thank the International School, Vietnam National University, Hanoi for facilitate me to have this internship program so I can accumulate valuable pract

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First and foremost I would like to thank the International School, Vietnam National University, Hanoi for facilitate me to have this internship program so I can accumulate valuable practice experiences, get the very first concept of an export and import staff professional career in Konet Express Company Ltd Those experiences with the knowledge I learned during the time at school would be not only a platform for the thesis but also the beneficial package I can prepare for my future job Especially, I would like to express my deepest thank to Mr.Chu Van Hung – instructing lecturer who has instructed me and guided me to complete this report

Besides, I want to express my warm gratitude toward all staffs, seniors, managers and partners of Konet Express Company who helpful supported me during six – week of internship I would like to take this opportunity to say thank for their coaching, training and leading throughout the internship program Finally, I want to give my wishes for all teachers, hopefully they have good health and gain more successful in career Again, sincerely thanks

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LIST OF TABLES

Table 1: Organizational structure of Konet Express Co

Table 2: Business Results of Konet 2013 – 2015

Table 3: The output of freight forwarding by air 2013 – 2015 Table 4: The output of freight forwarding by sea 2013 – 2015 Table 5: The output of goods from logistics services 2013 – 2015 Figure 1: Business Results of Konet from 2013 to 2015

C/O: Certificate of Origin

FCL: Full Container Load

LCL: Less than Container Load

CDs: Customs Declaration sheet

MSDS: Material Safety Data Sheet

D/O: Delivery Order fee

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PART 1: INTERNSHIP REPORT

CHAPTER 1: OVERVIEW OF KONET EXPRESS COMPANY LTD

1.1 The general introduction about Konet Express Co.Ltd

Vietnamese name: Cong ty trach nhiem huu han mot thanh vien giao nhan Konet

International transaction name: Konet Express Co.Ltd

Date of establishment: 25 th Sep, 2009

Type of business: Limited Liability Company one member with 100% foreigner owner of Korea

Legal representation: Mr CHO SEUNG HWAN

Address: 17 th floor, 106 Hoang Quoc Viet street, Cau Giay District, Hanoi

Tax code: 0104184295

Phone number: 04 37876265

Email: manager.han@konetexpress.com

The branches of the company:

Branch 1: Floor 3, building Khanh Hoi, No 2 / 3C Le Hong Phong Street, Ngo Quyen District, Hai Phong City, Vietnam

Branch 2: 3F, Falcon T & T Building, 338 Ben Van Don, Ward 01, District 01, Ho Chi Minh City, Vietnam

Branch 3: Lot F1, Que Vo Industrial Park, Que Vo, Bac Ninh, Vietnam

The main areas of activities of the company are logistics and international transportation

“Management by objectives” is dominant method of management of the company.

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1.2 Company’s milestone:

20 th June 2007: Established with the name is “Konet Vietnam Forwarding

& Transport Trading Co.Ltd” and is subsidiary company of Korea in Vietnam.

25 th September 2009: Konet Vietnam completely separated from Mother

Company in Korea and renamed to “Konet Express Co.Ltd”.

March 2010: The first branch is established in Ho Chi Minh City.

July 2010: The second branch is established in Hai Phong City.

October 2010: The third branch is established in Bac Ninh province.

June 2011: Started the construction of Konet 1 Bonded Warehouse with

total floor area of 15,000 square meters.

December 2012: Commenced the operation of Konet 1 Bonded

Warehouse with total floor area of 15,000 square meters.

1.3 Mission, Vision and Core Value:

Mission: With the motto “Client’s Interests First”, Konet always believes

that offering the most comfortable services with the best quality to customers is the most important decisive element for their success and reputation.

Vision: Customers trust Konet as the preferred global express and logistics

partner, leading the industry in terms of quality and profitability.

Core Value:

1. To deliver excellent quality

Our core business is to deliver excellent service – for any product, at any time, at any place.

They provide their services based upon the demands of their customers in their national and international markets.

2. To make their customers successful

Customer satisfaction is the No.1 factor

Our customer’s success is their success They strive to establish long –term business partnership with their customers.

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1.4 Organizational structure of Konet Express:

Table 1: Organizational structure of Konet Express

Director

General Management

Import - Export operational department

Administration

Department

Business Department

Branches

Personnel

Administration

Financial Accountant

Air Line

Sea Line

Air - Export

Air - Import

Sea - Export

Sea - Import

Customs staffs

Branch in Hai Phong

Branch in Bac Ninh

Branch in

Ho Chi Minh

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1.5 Business Sectors:

Konet Express Co does business in many areas in which it focus on following services:

Sea transport services: As one of leading freight forwarding, Konet

committed to providing forwarding services for sea transport variety with the best quality With the strong agent network, services forwarding of sea freight at Konet constantly evolving and improving Branding of the company has been widely disseminated

Air transport services: Air services of Konet supply best booking offer,

ensuring exactly on time and closely monitor the journey of goods Based on the good relationship with the airlines and closely coordination, Konet always try to bring our customers peace of mind and safety of its goods

Logistics services: supply professional logistics services including Freight

Forwarder, Customs Services, and Logistics & Distribution merchandise Konet is the trusted partner of major companies operating in the electronics industry, consumables, fresh fruit, textiles, frozen seafood,

1.6 Business Culture:

“People, People, People” is the first core value - KONET EXPRESS is

people-oriented

• They respect their people

• They invest in their people

“Customer Focus” - KONET EXPRESS prides itself on its focus on the

customer – our partner

• They see things from the customer’s perspective

• They Take It Personally for our customers

“Excellence through Quality” - KONET EXPRESS is committed to quality

in everything

• They expect high standards

• They embrace continual improvement

• They strive for innovation

“Community Responsibility” - Aware that their communities contribute to

their success

• They maintain high safety standards and demonstrate their concern for the environment

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• They embrace an ethically-sound code of conduct.

• They understand that their communities contribute to their success

• They focus their community efforts on education for young people.1.7 The facilities of the company:

Undergo 7 years of development; the company has built a system of the facilities, infrastructure sufficient to meet the needs of production and its development The company is headquartered is located in the city of Hanoi with three other branches with other departments and functional rooms are equipped with computers and specialized software, specialized container fleet with more tangible assets and other intangible

1.8 Finance of the company:

Initial charter capital of the company is 2.36 billion VND (three billion, three hundred and sixty million) by Mr Cho Seung Hwan are investors

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Chapter 2: Services activities of Konet Express CO.Ltd 2.1 General introduction about services activities of Konet Express Co.Ltd

Services of multimodal transportation (logistics activities):

Konet currently provides services for multi-modal transportation of goods and commodities typically particularly by road, rail, river and sea The company has partnered with the ocean carriers and rail transport company to provide transport services multimodal from warehouse to warehouse, ensuring convenience and low cost.

Services of customs clearance and import - export of goods: Up to

the present time, there are 2 points Konet Inland Customs located in Hanoi and Bac Ninh In these two logistics centers, the company provides customers with the following services: customs brokerage, international freight forwarding, import and export entrustment of goods by sea, road, rail and air via the gate in the domestic and national borders; goods inspection service conducted at the point of customs clearance.

Freight forwarding services ( sea, air, road)

Consultation document import / export

Cargo storage system

Recovery of agency

Stevedoring, warehousing, inventory

Inspection outpost

Transportation services and daily catch

Packaging and labeling

Transportation service vouchers

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2.2 Business Operations Results of Konet Express Co.Ltd

2.2.1 Operating Financial Results:

To achieve business goals, the entire company has been tried to work and achieve positive results as follows:

• Revenue of 2013 reached 65,834,477,452 VND

• Revenue of 2014 reached 70,287,094,145 VND

• Revenue of 2015 reached 75,749,710,939 VND

(Results from the business reports from 2013 to 2015)

The company’s operating financial results, as compared to the previous year, are summarized hereunder:

Table 2: Business results of Konet 2013 - 2015 (Unit: VND)

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Figure 1: Graph of business results of Konet from 2013 to 2015

From 2013 to 2015, both of revenues and profits of the company increase dramatically Namely, in 2013-2014, revenue raises 4,452,616,693 VND (~6.7%) and profit increases 173,155,547 (~ 19.42%) Besides, in 2014-2015, revenue increases 5,462,616,794 (~7.77%) and profit is 184,145,557(~17.29%) Although,

in the difficult period of economic development, the revenue and profit of Konet also increase, it proves that the company operates and manages the business

effectively and efficiently.

2.2.2 Potential Customers, Partners and Markets

 The target market for forwarding and logistics activities of Konet concentrated in South East Asia, Japan, China, Korea, EU and USA

 Konet cooperated with many big and extensive partners to serve the most adequate and professional services for customers

• For air services, Konet’s partners are airlines such as: Singapore Airlines, Thai Airways, Malaysia Airlines, Japan Airlines, China Airlines, Eva Air, Korean Airlines, Asian Airlines, United Airlines, Lufthansa Airlines, Air France, Cargolux, Vietnam Airlines…

• For sea services, Konet partners are shipping lines such as: MAERSK, CMA, MOL, NYK, Wanhai, ZIM, KMTC

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 Main customers of Konet: Komatsu Viet Nam, Inoue Rubber Viet Nam, SATO Viet Nam, Ogino Viet Nam Co.Ltd., HOEV Co.Ltd., Santomas Viet Nam Co.Ltd., Volex Cable Viet Nam Co.Ltd., Kein Hing Muramoto Co.Ltd., Goshu Kohsan Viet Nam Co.Ltd., Showa Auto Parts Co.Ltd., Open Asia Viet Nam Co.Ltd, Kjear & Kjear Group, IHI Japan, VEAM

2.2.3 Marketing activities of Konet Express Co.Ltd

Marketing activities of Konet Express Co are not strong enough to attract customers

The provision of logistics services not only needs adequate investments of company

in equipment, but also depends in large part on the willingness of cooperation from clients The current majority of Konet customers are patrons, usually use only one

or a few single service in the logistics chain of company The reason why the number of customers has less so as the company’s marketing activities are still too weak, almost Konet has no investment The problem of finding customers as well as customer care services is the one of the current weaknesses of the company At present, Konet has no staffs or departments for caring customers Because of these reasons that make Konet has not achieved the desired results

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2.3 Freight Forwarding Services of Konet:

Konet is a company that makes the functions of shipping, logistics, import and export of goods, agents, consultants for domestic and foreign enterprises in the fields of transport, forwarding and import and export of goods

2.3.1 Freight Forwarding Services by Air

 Agent freight and transportation contracts with many major airlines in the world with high flight frequency, large loads and fly to almost anywhere in the world as airlines: Singapore Airlines, Thai Airways, Malaysia Airlines, Japan Airlines, China Airlines, Eva Air, Korean Airlines, Asian Airlines, United Airlines, Lufthansa Airlines, Air France, Cargolux, Vietnam Airlines…

 For customers with more choices than only normal freight by air, Konet also perform transport services multimodal combined sea and air freight, air and airfreight, merely passing through Singapore and Dubai; helping customers reduce costs has had to be the best transit service and the most efficient

 On forwarding, Konet undertake diverse services from goods owners warehouse to airport or warehouse of the recipient (airport to airport, door to airport, airport to door, door to door):

 Consolidation of exports and division of import

 Full services for exported and imported goods includes: packaging, handling, inland transportation, customs clearance, international shipping and home delivery

 Support services: customs agents, cargo insurance, providing CO, phytosanitary paper, baled timber, fumigation…

 The items that are shipped Konet current customers are very diverse: from the ordinary goods (general cargo) to the frozen seafood, fresh (perishable cargo) and dangerous goods (dangerous Goods) Specials are shipping textiles and shoes to America and Europe, shipping frozen samples to Japan, America and Europe, each individual of the consulate, the type of aircraft engine parts spare aircraft, ships and all kinds of other construction (project cargo) Regarding imports, machinery and spare parts for agricultural and fishery industry,

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chemicals, medical devices, cosmetics imported from Europe and the US; computer components and notebooks imported from the US market; the garment raw materials from Asian countries, customers attending international fairs and exhibitions held in the country

Table 3: The output of freight forwarding by air

2013 However, Thanks to the efforts and timely reform, which is the change in recruitment policy, along with the expansion of relationships with many customers, continuously raise the level of training of officials and employees thus in 2015, Konet achieved very promising results This was clearly shown in the table above

2.3.2 Freight Forwarding Services by Sea

 As one of the leading freight forwarding, Konet committed to providing freight forwarding services varied sea with the best quality For Konet, no other place is not to be

 Konet is loyal and respect standard business conditions correctly And, with

a team of dynamic, enthusiastic and highly professional, it will deliver to customers the optimal mode of transportation is based on the business

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relationship sustainable with the vessel company and Systems professional Agents worldwide: MAERSK, CMA, MOL, NYK, Wanhai, ZIM, KMTC

 The major products and services:

• Providing for customer shipping services exports and imports by sea from Vietnam to anywhere in the world and back again ( FCL and LCL)

• The strong markets consist of: USA, EUs, JAPAN, and ASIA

• Quality of service is guaranteed by the direct route through a network

of agents and reputable perennial

• Competitive pricing and the fastest transit times always associated with liability insurance carrier

• Services LCL import division

• Provide services imports from the world of Vietnam (especially from the Chinese market)

• Natural products Container Services (FCL / FCL) at competitive prices

• Service delivery (door to door services)

• Cargo insurance brokerage

• Works and Services Exhibition goods in Vietnam and regional countries such as Laos, Cambodia (Project & Exhibition)

• Add – services:

 Delivery of the conditions EXW or DDU / DDP

 Delivery Door / Door and Services House / Office removed

 Quick Delivery voucher system samples through DHL

 Consultation on cargo insurance

 EXPORT entrusted with reasonable charge

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Table 4: The output of freight forwarding by sea

To remedy this, the company has been looking for the best solutions to improve business performance in the coming year

2.4 Logistics services of Konet Express Co.Ltd

Logistics is the one important function in business today No marketing, manufacturing or project execution can succeed without logistics support Due to competition, globalization and information availability, logistics has gained extra important So that logistics is one of the most important services and related across all other service activities of Konet Express Co Despite facing many difficulties, logistics operations of Konet have gained some achievements Namely, sea services has grown with high speed, accounted for 70% total quantity of goods and more than 60% total value of goods that contributed significantly to the company results

2.4.1 The output of logistics services

Every year, the volume of goods that logistics activities of Konet conducted

at about 40000 – 50000 tons and that is shown in detail below:

Table 5: The output of goods from logistics services (Unit: tons)

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2013 2014 2015 Quantity

Through the figure above, we can see:

The proportion of output from logistics services of Konet increased from 40.24% in 2013 to 50.56% in 2015 Besides, the quantity of goods also rose 6,215 tons from 44,591 tons in 2013 to 50,806 tons in 2015

On the other hands, the total output of goods of Konet Express Co significantly reduced 10,335 tons from 2013 to 2015 because of fluctuations with logistics sector that is affected by economic downturn

Although, total output of goods of Konet decreased from 2013 to 2015, the quantity of logistics services also increased This clearly proved for the company’s effort in looking for the stable sources

2.4.2 Air services:

 Air services of Konet include: analyzing and quoting, choosing the airline, packaging, consolidation, vouchers, transportation exports to countries around the world and imports export of Vietnam

 Konet provides the best service and guarantee booking for your goods that are closely monitored on each path, ensuring accurate in time

 Logistic diverse goods (apparel, electronics ), combined transportation by sea and air freight, express courier services, freight sales agent for many airlines around the world and Vietnam

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