facilitating logistics for improving supply chain javaid mansoor executive secretary national trade...
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Facilitating Logistics for Improving Facilitating Logistics for Improving
Supply ChainSupply Chain
Javaid MansoorJavaid MansoorExecutive SecretaryExecutive Secretary
National Trade and Transport Facilitation CommitteeNational Trade and Transport Facilitation Committee
International Conference International Conference on Logistics & Supply on Logistics & Supply
ChainChainLahore, 22Lahore, 22ndnd NovemberNovember 2011 2011
Supply Chain ManagementSupply Chain Management
Involves efficiently integrating:Involves efficiently integrating:
suppliers, manufacturers, warehouses, suppliers, manufacturers, warehouses, transporters and customerstransporters and customers
to distribute right product or serviceto distribute right product or service
in right quantities to right locations at the right in right quantities to right locations at the right timetime
in order to in order to
minimize system-wide costs and satisfying minimize system-wide costs and satisfying customer requirementscustomer requirements
to achieve sustainable competitive advantageto achieve sustainable competitive advantage
APTFF 2011
Business Environment of 21Business Environment of 21stst CenturyCentury
Globalization, multinational companies, joint ventures, strategic Globalization, multinational companies, joint ventures, strategic alliances and business partnershipsalliances and business partnerships
Standardized quality, minimum inventory, short lead time Standardized quality, minimum inventory, short lead time and and just-in-time delivery of goods and services for achieving just-in-time delivery of goods and services for achieving competitivenesscompetitiveness
Extensive use of information technologyExtensive use of information technology
Adoption of Enterprise Resource Planning (ERP) systemsAdoption of Enterprise Resource Planning (ERP) systems
Use of Collaborative Planning, Forecasting, and Replenishment Use of Collaborative Planning, Forecasting, and Replenishment (CPFR)(CPFR) techniques techniques
Outsourcing of materials and services Outsourcing of materials and services
Emphasis on reduction of transaction costsEmphasis on reduction of transaction costs
Dell, Wal-Mart Dell, Wal-Mart and Proctor & Gamble are examples of such and Proctor & Gamble are examples of such successful enterprises successful enterprises
APTFF 2011
APTFF 2011
APTFF 2011
Emergence of e-business and Emergence of e-business and Virtual IntegrationVirtual Integration
Developments in information and communication Developments in information and communication technology have enabled e-businesstechnology have enabled e-business
Traditional boundaries among them are getting Traditional boundaries among them are getting curtailedcurtailed
Suppliers, manufacturers, distributors, and end-Suppliers, manufacturers, distributors, and end-users in a supply chain are being virtually users in a supply chain are being virtually integratedintegrated
Suppliers and customer are trading over the Suppliers and customer are trading over the internet in real-time to create maximum value internet in real-time to create maximum value
Supply Chain in e-Business Supply Chain in e-Business EnvironmentEnvironment
Pakistan Example of e-business Pakistan Example of e-business and Virtual Supply Chainand Virtual Supply Chain
A manufacturer of eye glasses in KarachiA manufacturer of eye glasses in Karachi has facility for manufacturing lenses and maintains stock has facility for manufacturing lenses and maintains stock
of imported frames; andof imported frames; and
has developed online connectivity with opticians in USAhas developed online connectivity with opticians in USA
Patient visiting optician in USA selects, over Patient visiting optician in USA selects, over internet, frame from catalogue maintained by internet, frame from catalogue maintained by manufacturer in Pakistanmanufacturer in Pakistan
Optician sends prescription with catalogue Optician sends prescription with catalogue number of frame to manufacturer by emailnumber of frame to manufacturer by email
Glasses are couriered by manufacturer to opticianGlasses are couriered by manufacturer to optician or patient as instructedor patient as instructed
Payment is received by manufacturer Payment is received by manufacturer electronicallyelectronically
Modern Logistics PracticesModern Logistics Practices Logistics services are increasingly outsourced and Logistics services are increasingly outsourced and
subcontracted to specialists or logistics partners such subcontracted to specialists or logistics partners such as freight forwardersas freight forwarders
Modern freight forwarders provide comprehensive Modern freight forwarders provide comprehensive service from point of origin to destinationservice from point of origin to destination
These may include transport, warehousing, packaging, These may include transport, warehousing, packaging, inventory control and even securityinventory control and even security
Logistics has critical role in creating and maintaining Logistics has critical role in creating and maintaining competitive advantagecompetitive advantage
Cost and quality of service by the logistics service Cost and quality of service by the logistics service provider is extremely importantprovider is extremely important
Many products have a life cycleMany products have a life cycle or have to meet a or have to meet a production schedule deadlineproduction schedule deadline
Delay in delivery is not acceptableDelay in delivery is not acceptable
Provision of Logistics Services in Provision of Logistics Services in PakistanPakistan
Logistics services are mainly provided by freight Logistics services are mainly provided by freight forwardersforwarders
Many are not sufficiently well organized to Many are not sufficiently well organized to provide a comprehensive range of servicesprovide a comprehensive range of services
Qualifications and level of professional Qualifications and level of professional competence needs improvement to meet competence needs improvement to meet requirements of modern supply chainrequirements of modern supply chain
PIFFA is doing commendable work by conducting PIFFA is doing commendable work by conducting courses for training of freight forwarderscourses for training of freight forwarders
Some regulatory arrangement is required to Some regulatory arrangement is required to ensure satisfactory provision of logistics servicesensure satisfactory provision of logistics services
Liberalization of Trade Liberalization of Trade EnvironmentEnvironment
WTO Doha Development Agenda is stalledWTO Doha Development Agenda is stalled
This has resulted in proliferation of:This has resulted in proliferation of:
Regional Trade AgreementsRegional Trade Agreements
Free Trade AgreementsFree Trade Agreements
Preferential Trade AgreementsPreferential Trade Agreements
Pakistan is least connected through trade Pakistan is least connected through trade agreementsagreements
This imposes greater demand for competitiveness This imposes greater demand for competitiveness on Pakistani enterprises on Pakistani enterprises
Role of NTTFC to Facilitate Role of NTTFC to Facilitate Logistics and International TradeLogistics and International Trade
Supported PIFFA in conducting Freight Forwarders Training Supported PIFFA in conducting Freight Forwarders Training for Trainers workshops in Karachi and Lahorefor Trainers workshops in Karachi and Lahore
Coordinating with Pakistan Customs for implementation of Coordinating with Pakistan Customs for implementation of fully computerized Customs clearance systemfully computerized Customs clearance system
Produced UNLK harmonized formats of important Produced UNLK harmonized formats of important international trade documents for conversion to electronic international trade documents for conversion to electronic versionversion
Coordinated with ministries for negotiation of APTTA 2010Coordinated with ministries for negotiation of APTTA 2010
Pursuing with ministries for accession to international Pursuing with ministries for accession to international conventions to facilitate transit tradeconventions to facilitate transit trade
Pursuing with ministries to negotiate transit traffic Pursuing with ministries to negotiate transit traffic agreements with Central Asian Statesagreements with Central Asian States
Pursuing enactment of various legislations relating to Pursuing enactment of various legislations relating to carriage of goodscarriage of goods
Way ForwardWay Forward IndustryIndustry
Adequately train human resourceAdequately train human resource
Adopt modern management practices like ERP and Adopt modern management practices like ERP and CPFRCPFR
Adopt industry specific modern technology to improve Adopt industry specific modern technology to improve quality of products to meet international standardsquality of products to meet international standards
Reduce lead time and ensure timely delivery to remain Reduce lead time and ensure timely delivery to remain internationally competitiveinternationally competitive
Freight ForwardersFreight Forwarders Adequately train human resourceAdequately train human resource
Raise quality and scope of servicesRaise quality and scope of services
Ensure inbuilt capability to provide expected level of Ensure inbuilt capability to provide expected level of service satisfactionservice satisfaction
Take insurance to meet liabilities of contract of carriage Take insurance to meet liabilities of contract of carriage in case of damage, loss or delay in deliveryin case of damage, loss or delay in delivery
Thank youThank you
forfor
the attentionthe attention
[email protected]@nttfc.org
021 35242570021 35242570