E216: FAST Logistics is a Third-Party Logistics Provider Servicing Various Manufacturers and Retailers in the Asia: Distribution and Transportation Assignment, RP, Singapore

Assignment Brief:

FAST Logistics is a third-party logistics provider servicing various manufacturers and retailers in the Asia Pacific region. Recently, a new manufacturer customer, Dexter Technology, approached them to outsource some of their logistics function.

Dexter Technology mainly produces telecommunication and network system products. They have various electronic component suppliers in Guangzhou and Suzhou, China. They also have suppliers in Malaysia to supply the other components like casing and plastic parts. The Assembly of their products is done in Singapore. The finished products are then distributed to their customers in the Asia Pacific region. Sometimes they may need to expedite shipments for rush orders.

As the account manager, you are tasked to come out with a proposal of what FAST logistic can offer to Dexter Technology.

You may include the followings in your proposal:

1. Suggest the mode of transports for the various movement of raw materials and products and negotiate for a higher volume of cargo from the customer. Where suitable, you may make use of the excel files embedded below together with some logical assumptions to illustrate with some sample calculations.

2. Suggest some consolidation solutions for the small volume shipments of components using the various distribution centers FAST Logistics has access to in the different countries. You may make use of the information sheet embedded below together with some assumptions to illustrate with some sample calculations where suitable, to determine a suitable location for the distribution center. Justify your solution.

3. Offer some quotations for the freight cost of full container load shipments and less than container load shipments. You may use of the information sheet embedded below together with some assumptions to illustrate with some sample calculations where suitable.

4. Explain the export process for their finished products and what FAST Logistics can do in this process. You may make your own assumptions based on Dexter Technology product areas and illustrate with some sample process of exporting a certain product

5Explain the import process for their raw materials and what FAST Logistics can do in this process. You may make your own assumptions based on Dexter Technology product areas and illustrate with some sample process of importing certain components.

6If Dexter Technology usually uses FOB, CIF, or DAT for their sale contract with their suppliers, explain how FAST Logistics can get involved in the transportation of the materials and offer some quotations for the transportation cost under different terms. You may make your own assumptions and illustrate with some sample calculations where suitable.

7. For their overseas customers, Dexter Technology completes the transactions through the banks. Explain the different payment processes available and how FAST Logistics can be involved in the processes