Role Of Global Logistics

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Role of global logistics a 25 slide ultimate overlook to understand its features,advantages.disadvantages..etc.. enjoy..!!

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Role Of Global Logistics

  1. 1. MANAGING GLOBAL LOGISTICS.<br />
  2. 2. ROLE OF GLOBAL LOGISTICS<br />GLOBALIZATION HELPED IN DOING BUSINESS BEYOND THE NATIONAL BOUNDARIES.<br />THE WORLD HAS BECOME A GLOBAL VILLAGE IN A REAL SENSE.<br />INTERNET HAS MADE EASIER TO DO BUSINESS ACROSS THE GLOBE.<br />CARGO MOVEMENTS NEEDS TO BE DONE PHYSICALLY.USING AVAILABLE MEANS OF TRANSPORT.<br />SPEED & EFFICIENCY IN THE MOVEMENT OF GOODS IS FOCUSED MORE.<br />PHYSICAL MOVEMENT OF CARGO, INTERMEDIARIES,FREIGHT FORWARDERS,CUSTOM HOUSE IS INDESPENSIBLE.<br />
  3. 3. ROLE OF GLOBAL LOGISTICS <br />DOMAIN KNOWLEDGE , CONNECTIVITY , DOCUMENTATION ARE THREE CRUCIAL AREAS.<br />GLOBAL OPERATIONS OF BUSINESS INCREASES THE COMPLEXITY OF LOGISTICS.<br />EFFECTS ON THE COST OF MOVING THE GOODS & SERVICING CUSTOMERS.<br />DECREASE IN THE CONTROL OVER MOVEMENT OF GOODS IS BASICALLY A CHALLENGE IN GLOBAL LOGISTICAL OPERATIONS.<br />
  4. 4. TRANSPORTATION<br />THREE MODES OF TRANSPORT AVAILABLE.<br />THEY ARE ROAD , SEA AND AIR.<br />IT IS DEPENDING ON THE COST , URGENCY AND DESTINATION.<br />MOST PREFERRED MODES OF TRANSPORT ARE “SEA” AND “AIR”.<br />IN THE INDIAN SUB-CONTINENT ROADS ARE IMPORTANT MODE.<br />IN EUROPE,RAILWAYS ARE THE IMPORTANT MODE BECAUSE OF THE AVAILABILITY OF A MODERN AND EFFICIENT TRAIN NETWORK.<br />
  5. 5. HOW TO SELECT A PROPER TRANSPORTATION MODES.<br />
  6. 6. BASICS PROPER MODES OF SELECTION<br />LOCATION OF MARKET IS THE MOST IMPORTANT MODE OF TRANSPORTATION.<br />IN MIDDLE AND EAST INDIAN COUNTRIES IT IS THE MOST IMPORTANT MODE OF TRANSPORTATION.<br />IT IS THE MOST CONVENIENT MODES FOR SHIPS , AND FOR BULK CARGO AND AIRPLANES , FOR HIGH VALUE CARGO<br />EXAMPLES OF BULK CARGO ARE STEEL, FOODGRAINS, ORES, MINERALS.<br />EXAMPLES OF HIGH VALUE CARGO ARE JEWELLERY, ELECTRONIC GOODS.<br />
  7. 7. THE SPEED FACTOR<br />IT REFERS TO DELIVERY OF CARGO INI SHORTEST POSSIBLE TIME.<br />FASTEST MODE IS AIR, BUT THE COST OF AIR MODE IS VERY HIGH.<br />EXAMPLES OF AIR TRANSPORTATION MODE ARE FLORICULTURAL AND HORTICULTURAL PRODUCTS.<br />PERISHABLE GOODS NEED AIR TRANSPORTATION TO REDUCE SPOILAGE.<br />THE NEED IN TERMS OF TIME AND AVAILABILITY OF OPPORTUNITY COST. <br />
  8. 8. COST OF TRANSPORTATION.<br />THE COST OF TRAVEL IS DIRECTLY PROPORTIONAL TO THE SPEED OF TRAVEL.<br />AIR TRANSPORTATION IS THE COSTLIEST.<br />AIR TRANSPORTATION NEEDS LESS PACKAGING.<br />SEA TRANSPORTATION NEEDS ACCURATE AND RIGID PACKAGIING.<br />DUE TO SPEED , INVENTORY TRANSIT IS LESS AND THAT TO FOR A SHORTER PERIOD OF TIME.<br />
  9. 9. FACTORS IN AIR AND SEA TRANSPORTATION.<br />AIR CARGO NEEDS LESS PACKAGING AND LESS HANDLING.<br />HANDLING COST IS LESS DUE TO AIR TRANSPORT.<br />AIR TRANSPORT HAS SHORT JOURNEY PERIOD VIA AIR.<br />SEA CARGO NEEDS GOOD AND EFFICIENT PACKAGING.<br />LONG JOURNEY VIA..SEA, SO TRAVELLING AND HANDLING IS MORE.<br />PACKAGING COST OF SEA CARGO IS VERY HIGH.<br />
  10. 10. TOTAL COST INVOLVED IN MODES OF TRANSPORTATION.<br />IN INDIA, GLOBAL TRANSPORTATION TAKES PLACE ON A LARGER ACCOUNT..<br />AIR CARGO ACCOUNTS LESS THAN 1% OF THE TOTAL CARGO MOVEMENT.<br />RAILWAYS CONTRIBUTE 35% OF THE TOTAL CARGO MOVEMENT.<br />ROADS CONTRIBUTE 39% THE TOTAL CARGO MOVEMENT.<br />SEA CONTRIBUTE 24% OF THE TOTAL CARGO MOVEMENT.<br />THE CHOICE DEPENDS ON URGENCY ON THE CUSTOMERS END.<br />
  11. 11. COMPARATIVE HAZARDS OF TRANSPORTATION MODES.<br />AIR HAZARDS ARE VARIATION IN CHANGES OF TEMPERATURE AND PRESURRE.<br />SEA HAZARDS ARE WATER DAMAGE, CORROSIVE ATMOSPHERE, WAVE IMPACTS, HOSTILE STORAGE CONDITION.<br />ROAD/RAIL HAZARDS ARE SHOCKS, VIBRATION, CARELESS HANDLING, IMPACT DUE BREAKING, TRANS-SHIPMENTS.<br />
  12. 12. OPPORTUNITIES IN GLOBAL LOGISTICS.<br />MARKET DIFFERENTIATION.<br />INCREASE MARKET SHARE.<br />FIRMER CUSTOMER PENETRATION.<br />HIGHER PRIFITS.<br />MEET REAL CUSTOMER NEEDS.<br />MOVE AWAY FROM PRICE PRESSURES<br />
  13. 13. GLOBAL LOGISTICS CHALLENGES.<br />
  14. 14. GLOBAL LOGISTICS CHALLENGES.<br />
  15. 15. GLOBAL LOGISTICS CHALLENGES.<br />
  16. 16. GLOBAL LOGISTICS CHALLENGES.<br />
  17. 17. SOME COMMON CHALLENGES FACED.<br />
  18. 18. SECURITY IN TRANSPORTATION MODE VIA SEA. <br />
  19. 19. HEART OF GLOBAL LOGISTICS.<br />
  20. 20. ROLE OF INTERMEDIARIES.<br />THE ROLE OF INTERMEDIARIES IS CRUCIAL AND PERVASIVE IN CROSS-BORDER TRADE.<br />THEY ARE BASICALLY LOGISTICAL SERVICE PROVIDERS.<br />THEY ARE EXPERTS IN CUSTOM CLEARANCE, EXPORT/IMPORT DOCUMENTAION.<br />CARGO MOVEMENT IN THE COUNTRY OF DESTINATION IS CO-ORDINATED BY THEIR BUSINESS ASSOCIATES IN THAT COUNTRY.<br />DOCUMENTATION PLAYS A VERY IMPORTANT ROLE IN INTERNATIONAL TRADE.<br />
  21. 21. ROLE OF FREIGHT FORWARDER.<br />ROLE OF FREIGHT FORWARDER IS TO FORWARD FREIGHT LOCALLY OR INTERNATIONALLY.<br />TRAFFIC OPERATIONS, THAT IS, CHOOSING THE RIGHT MODE AND CARRIER FOR A GIVEN DESTINATION.<br />CUSTOM CLEARANCE OF CARGO AS PER THE REGULATIONS AT THE PORT OF SHIPMENT.<br />CUSTOM CLEARANCE AND DOCUMENTATION AT THE PORT OF DESTINATION.<br />CARGO MOVEMENT AND HANDLING AT THE PORT OF ENTRY AND DESTINATION.<br />
  22. 22. ASSITANCE PROVIDED BY FREIGHT FORWARDERS.<br />
  23. 23. DOCUMENTATION REQUIRED<br />
  24. 24. FREE TRADE ZONES<br />FREE TRADE ZONES FACILITATE TRANSACTIONS AND SMOOTH PHYSICAL FLOW OF GOODS.<br />THESE ZONES DO NOT REQUIRE CUSTOMS FORMALITIES FOR INWARD AND OUTWARD MOVEMENT OF GOODS.<br />THEY ARE WEARHOUSING HUBS FOR MNCs FOR DISTRIBUTION ACROSS WORLD MARKETS.<br />EXAMPLES:- JUBEL ALI IN SAUDI ARABIA AND HONG-KONG ON THE SOUTH EAST COAST.<br />THESE ARE TWO MAIN FREE TRADE ZONES IN ASIA FOR INTERNATIONAL TRADE.<br />
  25. 25. JEBEL ALI – SAUDI ARABIA FREE TRADE ZONE.<br />

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