Application of technology to management and operation of logistics activities of smartlog supply chain solutions corporation

FOREIGN TRADE UNIVERSITYHO CHI MINH CITY CAMPUS ---***---MID-COURSE INTERSHIP REPORT Major: International Business Economics APPLICATION OF TECHNOLOGY TO MANAGEMENT AND OPERATION OF LOG

FOREIGN TRADE UNIVERSITY

HO CHI MINH CITY CAMPUS

-*** -MID-COURSE INTERSHIP REPORT

Major: International Business Economics

APPLICATION OF TECHNOLOGY TO

MANAGEMENT AND OPERATION OF

LOGISTICS ACTIVITIES OF SMARTLOG SUPPLY CHAIN SOLUTIONS CORPORATION

Student: Nguyễn Thị Minh Hà Student ID: 1911155026

Class: K58CLC4 Intake: 58

Supervisor: PhD Lê Giang Nam

Ho Chi Minh City, August 2022

SUPERVISOR ‘S COMMENTS

Ho Chi Minh City, August 2022

STATEMENT OF AUTHORSHIP

I hereby declare that this is my own research work The data and results stated in this term internship report are honest and have never been published in any other authors’research work

mid-Ho Chi Minh City, August 2022

Nguyễn Thị Minh Hà

During the internship period at the Solution and Implementation Department of

Smartlog Supply Chain Solutions Corporation, the author has received the enthusiastic

support and guidance of the employees in the company That helps the author tounderstand more about the logistics industry in particular and the supply chain in general,

as well as the practical experience in the young and dynamic start-up companyenvironment, and accumulate many valuable lessons related to future work

In order to complete this topic, first of all, the author would like to thank the Board

of Directors and the Solution and Implementation Department of Smartlog Supply

Chain Solutions Corporation for creating favorable conditions for the author to intern at

the company In particular, the author would like to thank Pham Gia Dat, Nguyen Thi

Hoang Anh and Vo Tan Phat for devotedly guiding and sharing valuable opinions as

well as experience during the author's internship at the company

The author would also like to express deep gratitude to the supervisors at Foreign

Trade University, Ho Chi Minh City campus, especially PhD Lê Giang Nam for

enthusiastically guiding the author from choosing the topic, developing the outline tosolving difficulties and problems during the internship for the author to successfullycomplete this internship report

Ho Chi Minh City, August 2022

Nguyễn Thị Minh Hà

TABLE OF CONTENTS PREFACE 1

CHAPTER 1: INTRODUCTION ABOUT SMARTLOG SUPPLY CHAIN

SOLUTIONS CORPORATION 3

1 General information about Smartlog Supply Chain Solutions Corporation 3

1.1 Formation and development process 3

1.2 Field of activities 4

1.2.1 Warehouse management 4

1.2.2 Transportation management 5

1.2.3 Transportation Exchange System 6

1.2.4 Container Optimization 6

1.2.5 Consultation on transportation and warehouse management for businesses 7

1.3 Organization structure 7

1.3.1 Human resources management 7

1.3.2 Duties and functions of departments 8

1.3.3 Business performance during the period of 2 years from 2020 to 2021 9

2 Summary of the internship 10

2.1 Introduction of intern department structure 10

2.2 Intern position and duties 10

Sub-conclusion 11

CHAPTER 2: THE PROCESS OF APPLYING TMS AND WMS SOFTWARE TO MANAGE AND OPERATE LOGISTICS ACTIVITIES FOR CUSTOMERS 12

1 Transportation Management System (TMS) 12

1.1 Order management 13

1.2 Coordination operation 14

1.3 Monitor operation 15

1.4 Billing management 16

1.5 Reports 17

2 Warehouse Management System (WMS) 18

2.1 Inbound process 19

2.1.1 Create PO/ ASN 19

2.1.2 Putaway process 20

2.1.3 Printing Pallet label 21

2.2 Outbound process 22

2.2.1 Create Shipment Order (SO) 22

2.2.2 Picking process 22

2.2.3 Shipping 23

2.3 Inventory management 23

CHAPTER 3: COMMENTS ON THE INTERNSHIP PERIOD AT SMARTLOG SUPPLY CHAIN SOLUTIONS CORPORATION 24

3.1 Profession expertise 24

3.2 Soft-skills 24

3.3 Suggestions for internship company 24

CONCLUSION 25

LIST OF ABBREVIATIONS

LIST OF FIGURES

PREFACE

The globalization of the economy, and the promotion of trade between countriesand regions worldwide, is the unavoidable trend of the times In that context, the foreigntrade sector in general and the import-export sector in particular have reinforced andreaffirmed their roles as the drivers that accelerate the economy's growth in a positivedirection In order to meet these needs, the logistics sector must continually innovate anddevelop to fulfil the management of transportation, warehouse operations, and ancillaryservices

In response to attempts to increase the logistics sector's level of competitivenessand the rapid development of electronic logistics, or the use of digitalization in logisticsmanagement and operation to minimize paper and document cost as much as possible,companies should concentrate on enhancing the logistics infrastructure associatedwith digital technology, merging logistics and e-commerce in accordance with the currentdevelopment trend in the world, and implementing digital supply chain managementmodels in the business and production processes in order to reduce costs related to boththe flow of goods and the use of human resources The first step that each organizationshould take to adapt is the implementation of logistics activities based on informationtechnology

Realizing this, the author applied for an internship at Smartlog Supply Chain

Solutions Corporation following a period of studying professional courses and at the

university's request for the mid-term internship The author would like to choose the topic

"Application of technology to management and operation of logistics activities of

Smartlog Supply Chain Solutions Corporation" using the knowledge gained in class and

valuable information gathered during the internship, to learn more about and put intopractice how the management and operation of logistics activities based on digitaltechnology occured in one of the top consulting firms in Vietnam offering informationtechnology-based logistics solutions

The report structure:

 Chapter 1: Introduction about Smartlog Supply Chain Solutions Corporation

 Chapter 2: The process of applying TMS and WMS software to manage and

operate logistics activities for customers

 Chapter 3: Comments on the internship period at Smartlog Supply Chain

Solutions Corporation

Despite my efforts, this internship report cannot avoid errors because of the briefinternship duration and my insufficient knowledge of the subject I hope that teachers willprovide me with more opinions so I can improve my report of internship

1 General information about Smartlog Supply Chain Solutions Corporation

- Company name: Smartlog Supply Chain Solutions Corporation

- Founded year: 2015

- Personnel: 135 employees

- Head office address: AC03-04 Alley 9, Street 66, Thao Dien Ward, Thu Duc City,

Ho Chi Minh City

- Hanoi office address: BT16-262 Nguyen Huy Tuong, Thanh Xuan District, HanoiCity

- Founder & CEO: Do Huy Binh (Kurt Binh)

- Website: https://gosmartlog.com/

- Email: info@gosmartlog.com

1.1 Formation and development process

Smartlog is a startup company founded by Mr Do Huy Binh, an alumnus ofForeign Trade University in Hanoi campus He studied Logistics, Materials and SupplyChain Management at the Massachusetts Institute of Technology in the US together withthe Malaysian Institute of Supply Chain Management

Smartlog is a LaaS enterprise that deeply understands customers, with a flexiblecustomization system suitable for all sizes It is gradually altering the way that logisticsoperations are conducted in accordance with the trend of the industrial revolution4.0, thanks to a team of committed individuals who are extremely knowledgeable aboutsupply chain management, thereby assisting customers to increase operationaleffectiveness and the standard of logistics services

With the goal of creating an environment where businesses can collaborate,optimize resources, and boost competitiveness, Smartlog works with Vietnameseenterprises to establish their logistics networks, to help Vietnamese companies compete atthe regional level, first and foremost in their "home market" of Vietnam

Founded in January 2015, with a team of less than 20 people In the first 9 months,Smartlog focused on building the necessary basic features, based on actual operations at

Vietnamese companies, and launched the first product, TMS system By the beginning ofthe first quarter of 2017, there were 20 customers deploying the TMS system, a very solidmomentum in the early years of the company's establishment At the end of the firstquarter of 2017, WMS system was officially launched, marking an important milestone inbuilding the foundation for the future Smartlog ecosystem As a result, in June 2018,Smartlog officially launched the leading Artificial Intelligence technology in Industry 4.0and gradually developed Machine Learning Besides AI technology, with a clearorientation, the company has also invested in researching and building a transportexchange for the Vietnamese market Near the end of 2018, Smartlog succeeded andlaunched the first Transportation Exchange in Vietnam market, and firmly affirmed itsleading position in the market in the field of technology application to revolutionize theLogistics industry in Vietnam In 2019, Smartlog became the only Logtech Vietnamcompany to be honored with Sao Khue Award and once again became the only LogtechVietnam company to be honored with Sao Khue Award 2020 with WMS product

1.2 Field of activities

1.2.1 Warehouse management

The warehouse management system of Smartlog (WMS) is a software that appliesintelligent algorithms to optimize the operation process of warehouses and distributioncenters to monitor and operate more easily with errors minimization

Warehouse management solution is an ideal choice for logistics managementbusinesses, using for fast moving consumer goods (FMCGs), food (F&B),pharmaceuticals (Pharmacy), chemicals (chemicals), electronics (Electronic), textiles(Garment)…

Figure 2 TMS ‘s functions

1.2.3 Transportation Exchange System

The Smartlog Transport Exchange System (STX) is a service platform thatconnects between carriers and owners Understandably, the system will help carriers withempty vehicles to connect with owners who own goods to carry In the future, the systemaims to reduce freight costs, avoid empty vehicles, and all cases that the owners cannotfind the carriers, which ensure the constant circulation of the goods

Figure 3 STX ‘s procedure

1.2.4 Container Optimization

The Smartlog Container Optimization System (COS) is the company's latestproduct, COS is an information platform that provides for shipping lines to offer containeroptimization solutions for 3PLs, shippers and vehicle owners Currently, the company is

in the contract period of developing products exclusively with CMA CGM The values that the system brings are:

- MT RE-USE: Save on empty lifting costs and cut travel time to the depot by

reusing containers

- MT MOVE: Increases the ability to transport goods with empty containers before

reaching the empty receiving/returning location

1.3 Organization structure

Figure 4 Smartlog Organization structure

1.3.1 Human resources management

As of 2021, Smartlog has a total of 135 members, including full-time staff andtrainees With the company's product being a high-tech product, which requiresconsultation and implementation support at customers’ demand, the company operates inthe form of a project matrix: each project is assigned for each team and deputy managerwill manage as the whole, helping the company to make the best use of its humanresources while ensuring discipline and motivation for employees

Smartlog 's human resources are divided into two main areas:

- Field of information technology: A team of Developers responsible for buildingTMS and WMS systems

- Implementation of two systems TMS and WMS: A team of Consultants andPlanners to form solutions and support customers

1.3.2 Duties and functions of departments

 Marketing department:

- Brand, website and fanpage management of the company

- Statistical and interactive analysis of approaching target customers

 Sales Department:

- Research customer database and retent customer information

- Contact to introduce about products as well as discuss and suggest availablesolutions for each suitable case

- Close contracts and price quotation for customers

 Product and Solution Development (PSD) Department:

- Investigate and identify customer problems

- Propose and present final solutions to customers

- Research and develop WMS, TMS, OMS products

- Work with other departments to improve products for the company

 Technology Department:

- Offer developed products in accordance with specific requirements in eachproject with customers

- Quality assurance for all products before handing over to customers

- Check and supervise the process implementation work of the departments in theproduct development team to follow the right process

- Consulting to link solutions to equipment, computers and technology

 Solution and Implementation Department:

- Set up and manage system deployment projects for customers

- Make sure the right application response according to the customer's request

- Control the process of transferring assets and capital.

- Develop financial plan and financial balance

 Platform Department:

- Proposing the company's development direction and connecting products into acomplete ecological system

 HR Department:

- C&B management for employees

- Recruiting personnel to meet the human resource requirements of thedepartments

- Organize activities to connect members in the company

1.3.3 Business performance during the period of 2 years from 2020 to 2021

No Item Year 2020 Year 2021

Difference Absolute

Profit

Source: Finance Department

Figure 5 Business performance of Smartlog Supply Chain Solutions Corporation 2020 – 2021

2 Summary of the internship

2.1 Introduction of intern department structure

Currently, Department of Solution and Implementation of Smartlog consists of 1

Head of Operations and 4 teams responsible for 4 different activities: WarehousingSolution (Project); Customer service and operational support for warehouse (WarehouseTechnical support); Transportation Solution (Project); and Customer service andoperational support for transportation (Transportation Technical support) Each team willconsist of more than 10 people, managed by a separate leader under that department Withthe characteristics of working on a project basis, and with a high degree of specializationand high workload, it is necessary to strictly adhere to the timeline and exact workingregulations

2.2 Intern position and duties

During the internship period at Smartlog in the position of Solution and

Implementation Intern at the Warehousing Solution (Project) department from July 4,

2022 to August 7, 2022, the author had the chance to interact with an actual working

environment, learn about the structure, functions, and operational procedures of the entirecompany, especially in the Warehousing Solution team and a small part in theTransportation Solution team In the first two weeks, the Deputy Manager of Solution andImplementation and Leader of Warehousing Solution team provided the author withdocuments and records associated with logistics industry as well as operation guide forWMS system and a small part of the TMS system At that time, the author wasapproached and given direct instructions for the responsibilities listed below:

At that time, the author was approached and given direct instructions for theresponsibilities listed below:

- Become familiar with the composition and duties of the company'sdepartments, particularly the Solution and Implementation Department,which is crucial to the provision of the company's services and goods tocustomers