1. AIR AND OCEAN FREIGHT OPERATIONS
Prepared By:
Abhijit Bhogate
MBA IB (Sem-III)
500035334
2. Introduction
A freight forwarder is a professional logistic provider.
Freight forwarders are third parties and objective is to dispatch shipment via asset based
carriers such as ship, airplanes or trucks.
Functions of Freight Forwarder Best routing, Packing, Customs Clearance, Transport,
Warehousing & Distribution, Rate and Contract Negotiations, Findings alternatives, Grouping &
Consolidation
3 important arms Air Freight, Ocean Freight, Logistics
This report is combined study of its freight forwarding operations both in Air and Ocean in
India as well as analysis of future opportunities and threats.
3. OPERATIONAL ANALYSIS
Book & Plan
Shipments
Pick up from Shipper
Receive freight at
forwarder branch
facility
Transfer to forwarder
Hub
Prepare
export
Shipment
Transfer
Shipment
to carrier
domain
Shipping of Consignment to
Overseas
Arrive
shipments at
destination
forwarder hub
Transfer
to forwarder
branch facility
Load delivery
vehicle
Deliver, obtain
POD & conclude
cycle
EXPORT
IMPORT
4. AIR FREIGHT
Air transportation is very much time efficient way to reach out consignee overseas.
Cost of transportation is more because of higher cost of fuel and limited capacity of Air
Carriers.
In Air Export department the consignment should be properly checked by grounds men staff
before passing it to custom. All duties n custom charges are paid according to the contract.
An Import department also checks for incoming cargo at port of landing itself and then it goes
to custom checking. All duties and charges are handled according to the contract.
Shipment doesn’t take more than 2 days to reach next port. All documents and clearance
process need to start quickly as time is very short between consignment dispatch and
consignment landing.
5. OCEAN FREIGHT
Ocean freight transportation takes usually a month or maximum two to reach final
destination. So its more time consuming but have larger capacity maximum size is 18000 TEU’s.
Need to book container for filling cargo, container check in has to be done on time, duties and
other charges are paid as per contract.
Import team need to trace ship’s status and its arriving timings, update consignee about all
the facts and current status of shipments
Once cargo arrives need to check for any miss happening, transfer the cargo to consignee after
settlement of all documents.
6. RECOMMENDATIONS
e-FREIGHT-“Comprehensive Solution For Freight Forwarding Industry”
Paperless freight Transport
Cheaper & more reliable electronic messaging
Higher level of flexibility
Document Flow Management
DFM file process step in the closing of the file
Improve the efficiency of the file approval and closing without any delay
CSD (Consignment Security Declaration)
Every carrier demands for particular format for CSD
To avoid more and more paper as well as more and more confusion to attached different CSD to every
consignment for carrier we can implement standard CSD format designed such a way that all necessary
content will be included in the same
7. SWOT ANALYSIS
STRENGTH
> 500 hundred branches all over the world
> Asset light company
> 15 branches all over the India
> E-Freight implementation
> More than 100 years of experience
> Strong financial position and brand
identity
WEAKNESS
> HR department in not in every branches.
> Employee Motivation is missing.
> Hurdle in the procedure of file closing.
> Inefficiency of the operations in the middle
east, Africa.
OPPORTUNITY
> Continuous growth and
expansion
> Able to gain new customer by
offering better rates
THREAT
> Strong price competition.
> Global price rises in the fuel.
> Emergence of new
competitors
> Big players entering in the Asia
market
> Small players offering low
prices
