Transcript Consolidation concept
DSV’s Consolidation Concept
DSV India Consolidation
Definition of DSV’s Buyers Consolidation Concept in Asia
“Loading a container with multiple shipments from various suppliers for direct delivery to a single buyer overseas”
DSV India Consolidation
Traditional Shipping Concept from India
Common Challenges
Order purchase per container basis Insufficient supplier communication Poor timing of order arrivals Poor match between supply & demand Expensive cargo flow DSV India Consolidation Risk for leftovers Container utilization not optimized Higher number of containers than necessary Overflow shipped as LCL Too many resources
DSV’s Buyers Consolidation Concept
Order purchase per stock basis Better supplier control through DSV in Asia Significant transport cost savings Eliminate number of LCL shipments Multiple suppliers / one consignee Lower distribution costs at destination DSV India Consolidation Optimized container utilization Faster delivery at destination Visibility though DSV P.O. Management Reduced risk for damage and delay Reduced customs inspections Bonded and non-bonded CFS solution in Asia
DSV’s Buyer’s Consolidation concept
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Scenario
: A company is acting as a central purchase organization for several different brands.
Logistically they have various warehouses in Europe Currently 80 suppliers from India are shipping their shipments into to one of the EU warehouses. Upon arrival in EU, the warehouse will split up and distribute the cargo to various warehouses depending on end user location • • • •
DSV Proposal
: All suppliers send their cargo into DSV Warehouse in India. DSV monitor and arrange the shipments depending on end user location.
DSV plan according to total CBM to load FCL to the dedicated warehouse for the end user. DSV offer the client full visibility from the time cargo is received at our warehouse till it’s delivered at destination
Benefits
: Cost savings Better container utilization Lower Warehouse cost in China No/less distribution costs in Europe Supplier control Minimize cargo handling DSV India Consolidation
Optimized loading procedure
Breakeven program
< 27 CBM = 32 – 55 CBM = > 55 CBM = Direct loading at the supplier with a 20‘dc Move to DSV’s Consolidation Centre at origin Direct loading at the supplier with a 40‘dc or 40‘hc
Prioritize equipment
40‘hc as 1 st priority 40‘dc as 2 nd priority 20‘dc as 3 rd priority LCL as the last option
(through DSV own FAK Consolidation service)
DSV India Consolidation
The Milestones
GOODS PICK UP FROM ALL THE SUPPLIERS ARRANGED BY DSV GOODS DELIVERED INTO DSV CONSOLIDATION CENTER AND LOADED INTO THE CONTAINER (FCL) EXPORT CUSTOMS CLEARANCE ARRANGED BY DSV OCEAN TRANSPORT ARRANGED BY DSV IMPORT CUSTOMS CLEARANCE ARRANGED BY DSV FULL CONTAINER DELIVERY AT DESTINATION ARRANGED BY DSV DSV India Consolidation
Full control of the supply chain with DSV’s Buyer’s Consolidation Program
Vendor Management
DSV to perform as consignee’s representative at origin Vendor education to ensure good compliance
PO Management
Ensure shipment to be moved out within shipping window Exception alert/management
Reduce LCL ratio
More cost effective Less cargo damage
Full Visibility to Buyer
Information flow Physical flow
Container Utilization Improvement
Reduce overall cost on supply chain DSV India Consolidation
Value Added Services at DSV’s CFS in India
Quality Control Palletization Shrink wrapping Slip sheeting Pick and pack
(down to item level)
Repackaging Labeling Bar code printing and scanning Kitting Garment on Hangers (GOH) DSV India Consolidation
Contact Us at DSV India
DSV Air & Sea Pvt. Ltd.
The Qube B-201, B-204, M.V. Road, Off International Airport Approach Road, Marol, Andheri East, Mumbai – 400059 India +91 22 71 99 90 00 Tel.
+91 22 71 99 90 01 Fax www.dsv.com/in DSV India Consolidation