the process of import in containers at cong thanh logistics services and trade co., ltd

In parallel with domestic and international transportation, Export and Import Logistics Operation has become an essentially important link in goods transportation line.. For the importan

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MINISTRY OF INDUSTRY AND TRADE

COLLEGE OF FOREIGN ECONOMIC RELATIONS

FACULTY OF INTERNATIONAL TRADE

INTERNSHIP REPORT

Subject: The process of import in containers

at Cong Thanh Co., Ltd

Instructor: Le Tuyet Van (MA) Student’s name: Thai Thi Tuong Vi Class: TA13A

Course: 2009 – 2012

Ho Chi Minh City, 2012

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TABLE OF CONTENTS

Chapter 1 The profile of Cong Thanh Co., Ltd Page 1 1.1 General information Page 1

1.2 Formation & Development history Page 1

1.2.1 Formation history Page 1 1.2.2 Development history Page 2

1.3 Duties and functions of Cong Thanh Co., Ltd Page 3

1.3.1 Duties Page 3 1.3.2 Functions Page 3

1.4 Organizational structure Page 5

1.4.1 Organizational chart Page 5 1.4.2 Duties and functions of each Department and each Section Page 6

1.5 The business situation of Cong Thanh Co., Ltd in the recent years Page 10

1.5.1 Table 1: Some business results (2008-2010) Page 10 1.5.2 Table 2: Export and Import Logistics Revenue Page 10

1.6 Comment on the business situation of the company Page 12 Chapter 2 The process of import in containers at Cong Thanh Co., Ltd Page 13 2.1 The process in detail Page 13

2.1.1 Process chart Page 13 2.1.2 Conclude contracts with customers Page 13 2.1.3 Receive and check portfolios from customers Page 14 2.1.4 Deal with customs formalities Page 18 2.1.5 Receive goods at ports Page 23

2.2 Comment on this Logistics process Page 25

2.2.1 Strongpoints Page 25 2.2.2 Weaknesses Page 26

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Chapter 3 Experience and proposals Page 27 3.1 Development prospects and targets of the company Page 27

3.2 Some proposals Page 27

3.3 My practical experience Page 29

CONCLUSION Page 31 REFERENCES Page 32

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ACKNOWLEDGEMENT

I would like to thank all those who have helped me to complete my internship report First of all, I owe a great debt to my parents who born and have brought me up so that I can reach what I am having today Throughout the years while sitting in schools, the parents have been a strong spiritual prop and a great encouragement having supported me

to keep my foothold in the path of education Secondly, I am grateful to Mr Manh and

Ms Hanh for creating conditions for me to practice at Cong Thanh Co., Ltd Thirdly, my many thanks to Ms Le Tuyet Van who has helped and given valuable advice on my internship report so that I can fulfill the report on time

Once again I gratefully thank my parents, Mr Manh, Ms Hanh and Ms Le Tuyet

Van for their sacrifices Wish them health and success

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COMPANY’S COMMENTS

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INSTRUCTOR’S COMMENTS

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PREFACE Our country’s Export and Import Business Operation has been on a strong increase and brought about encouraging steps in the economy Specifically, Export Turnover got approximately 75 billion USD while Import Turnover 89 billion USD in 2011 Development in Foreign Trade Industries has posed a lot of new issues of goods transportation, especially international transport In parallel with domestic and international transportation, Export and Import Logistics Operation has become an essentially important link in goods transportation line Not only has it created conditions

to promote and expand trading but made a contribution to the long-lasting business relationship between us and other countries

Before more and more urgent demands in practice, Logistics Operation in Vietnam has been existing positive self-advocacy in the path of completion and development To meet higher and higher demand for the Logistics Operation, Freight Forwarders must always complete knowledge, master expertise, effectively apply the rules of law and thoroughly understand concerning international practice to make sure that goods are rotated most safely, quickly and least costly This can not only help fulfill goods transportation link, get high profit in business but also raise the prestige for Vietnam’s companies in particular and for the whole country in general in the international market

For the importance of the Logistics Operation and because Vietnam is a deficit country, the writer has selected the subject for the internship report to be: “The process of Import

in containers at Cong Thanh Logistics Services and Trade Co., Ltd” Due to limitations of knowledge and time, the writer’s researching may be not comprehensive Expectantly, the writer can receive sincere comments and advice from teachers as well as Cong Thanh Co., Ltd so that the writer will be able to complete knowledge and become aware of the practical subject more rightly

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Chapter 1 The profile of Cong Thanh Co., Ltd

1.1 General information

 Full name: Cong Thanh Logistics Services and Trade Co., Ltd

 Short name: Cong Thanh Co., Ltd

 Trademark: “Moving with the name you know”

 Address: 4th Street, Truong Son Street, Linh Trung Ward, Thu Duc District, Ho Chi Minh City

 Telephone: 08 3896 5402

 Fax: 08 3896 4341

 Email: Info@congthanh.com

Field of business:

 Inland Transportation of Exports and Imports

 Inland Transportation of Types of containers

 Customs formalities

 Process and production of lure for fishing

 Warehouses, container yards and factories for lease

is this demand that has urgedthe operation of the domestic Logistics to grow quickly and that’s also the reason why Cong Thanh Logistics Services and Trade Co., Ltd was born

At the initial time of operation, the company’s charter capital was 5.4 billion dongs After more than 10 years of operation and development, the company now accumulates more than 135 tractors, 25 trucks, 800 trailers and 450 containers These themselves make a contribution to an increase in the total fixed and circulating capital of the company up to

15 billion dongs

The area of the company is 20,000 m2 and warehouse area is 1,200 m2 and there are more than 400 staff having worked here At present, Cong Thanh Co., Ltd is one of the domestic companies leading in the Freight Forwarding Service particularly in Ho Chi Minh City and generally in Southeast Vietnam Cong Thanh Co., Ltd is fifteen kilometers far from the downtown and one kilometer far from the 1A national highway This is the most advantageous location for transporting Exports and Imports for such industrial zones as Song Than, Linh Trung, Dong Nai, Binh Duong and Tay Ninh to most of the ports in Ho Chi Minh City

1.3 Duties and functions of Cong Thanh Co., Ltd:

1.3.1 Duties:

Cong Thanh Co., Ltd is a service company so its main role is to bring about a service quality up to their customers’ satisfaction The company always assures the business account They amortize debt themselves and unfailingly fulfill their obligations to the State They administrate the capital usage reasonably and effectively in order to vouch for their business operation; protect and develop capital; enhance the effect of capital usage ; increase and maintain the investment in material base for the purpose of making a long-lasting and sustainable development foundation for the company itself

Moreover, Cong Thanh Co., Ltd has always tried to build and hold business and service plans as well as other concerning plans so as to meet the company’s operational functions The company has also concentrated on fostering and enhancing levels of education and expertise for staff by quickly approaching the fluctuation of the domestic and foreign logistics service market The company, in addition, frequently makes staff opportunities to grow by rewarding, increasing salaries and wages and always being interested in solving problems concerning the working environment of the employees

1.3.2 Functions:

o Inland Transportation of Exports and Imports: A combination of a large separate vehicle force plus a driver fleet and numerous workers has helped Cong Thanh build its advantage of transporting goods for domestic customers from Ho Chi Minh City to most

of the western provinces

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o Inland Transportation of types of containers: Thanks to a large number of tractors equipped with the modern radio system and the transport capacity of 100 containers per day, Cong Thanh Co can take initiative in transporting goods and best serve customers’ requirements

- Register Customs Declarations

- Inspect goods at ports and airports

- Receive Delivery Orders (D/O) from shipping agents

- Receive goods at ports and airports

o Declare Customs Duty: Thanks to a professional staff line-up and an effective mechanism of operation, Cong Thanh Company can completely meet customers’ most selective requirements of all the current forms of Export and Import

o Liquidate and refund imported material tax: these are basic differences between Cong Thanh and most of the other forwarding companies Cong Thanh Logistics Services and Trade Co., Ltd is one of few forwarding companies responsible for the balance of imported materials to customers

o Process and production of lure for fishing: Cong Thanh Co has a production workshop basing on automatic lines, which assists the goods processing and production

of lure to be smoothly run

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o Warehouses, container yards and factories for lease: Cong Thanh Co., Ltd has a storage area of up to 21,200 m2 which is able to meet all the needs of production, storage and preservation of goods

1.4 Organizational structure:

1.4.1 Organizational chart:

Picture 1 The organizational chart of the company

Board of Directors Board of Control

Managing Director

Sales

Department

IT Department

Deputy Managing Director

Vehicle management Department

Administra-tion

Department

Accounts Department

Dispatch Department

Transport Department

Trailer Workshop

Repairs Workshop Production

Workshop

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1.4.2 Duties and functions of each Department and each Section:

1.4.2.1 The Managing Director: monitors and manages all activities of the company, has

the duty to relate to business partners Simultaneously, he is the person responsible for the whole operation of the company before the court and all of the staff

Rights and duties of the Managing Director:

 Organize the implementation of the Board of Directors’ decisions

 Decide issues concerning the daily business activities of the company

 Organize the implementation of the company’s business plans and investment projects

 Conclude contracts on behalf of the company except cases under the authority of the Board of Directors

 Petition approaches in regard to the company’s organizational structure

 Submit yearly financial reports to the Board of Directors

 Suggest plans for use of profits or loss treatment in business process

 Promulgate regulations to manage the company

 Appoint, dismiss, demote managing titles in the company except the titles under the authority of the Board of Directors

 Recruit new employees

 Other rights and duties stated in the labor contract the Managing Director signs with the company subject to the Board of Directors’ decisions

1.4.2.2 Deputy Managing Director: manages the Export and Import Section, Forwarding

and Marketing Section and directly reports to the Managing Director on the operational situation of the aforementioned Sections Besides, the Deputy Managing Director also looks for customers to exchange, discuss and then come to the signing of the Logistics Contracts Simultaneously, he also follows and assists the Managing Director to form the business strategies of the company in conformity with each stage

1.4.2.3 Sales Department:

 Make business and management plans and conduct subordinate employees to carry out given plans

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 Be responsible to the Board of Directors for the whole plans and results of the business operation

 Expand market and look for new customers

 Report to the Managing Director on signing the contracts with new customers

1.4.2.4 Human Resources Department:

Functions

 Organize staff management in each Section

 Build plans of using Personnel in the whole company

 Maintain labor rules

 Implement policies and regimes towards employees in accordance with provisions

of the company

 Pay salaries and wages for all staff

 Be responsible for saving data, official documents and data security

Duties

 Organize recruitment work

 Supervise, recommend and carry out such policies and regimes with regard to employees as salaries, wages, bonuses, holidays, insurance, etc

 Manage personal profile

 Supervise the training process and update on the changes in Human Resources

 Be entitled to sign Documents concerning finance and require other Departments

to supply with economic contracts fully, accurately and timely

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Duties

 Submit monthly reports on the financial situation and sales results to the Managing Director

 Supervise, manage and urge other Departments to use capital effectively

 Create capital resources to meet requirements of capital for the business

 Synthetize the financial situation to build business strategies and also estimate costs and pay the accounts payable of the company

1.4.2.6 Dispatch Department

Functions

 On behalf of the shipper, deal with customs formalities for Exports and Imports

 Organize the loading and unloading of the goods from the origin of production to the Export/Import border gates and vice versa

 Solve complaints about goods during forwarding process and pay costs concerning delivery

 Together with the Board of Directors, treat information and give out marketing and cost price strategies in conformity with each customer

1.4.2.7 Transport Department

Functions

 Transfer trucks to execute the transportation according to customers’ requirements

or the Dispatch Department

 Conduct groups of machinists to have vehicle service and maintenance plans in order to ensure transporting plans

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 The truck fleet consists of drivers and assistant drivers This is a Section directly executing transportation, loading and unloading, arrangements and protection of goods in transit

Duties

 Take care of goods by supervising the loading and unloading of goods

 Take preventable measures in case of perishable goods

1.4.2.8 Vehicle management Department

 Take on the handover of tractors

 Suggest repairing and buying materials

 Inspect oil norm for all of the vehicles and supervise the amount of oil inputted and outputted in each stage

 List schedules of servicing and replacing viscosity periodically

1.4.2.9 Production workshop: this workshop majors in producing lure for fishing by

Silicon Staff always improve and enhance the operational procedures of the workshop to get high results

1.4.2.10 Repairs workshop: majors in servicing and repairing vehicles periodically 1.4.2.11 Trailer workshop: majors in servicing all of the trailers in the company

periodically

1.4.2.12 IT Department: manages the intranet computer and telephone network; repairs

and maintains all of the computers, printers and telephones in all Departments

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1.5 The business situation of Cong Thanh Co., Ltd in the recent years

1.5.1 Table 1: Some business results of the company (2008-2010)

Unit: million dongs Source: Sales Department

According to table 1, the business situation of the company from 2008 to 2010 was quite stable Specifically, revenue in 2009 compared to the one in 2008 rose by 31.34% or 1,625,820,000 dongs and revenue in 2010 compared to the one in 2009 rose 35.304% or 2,405,750,000 dongs Sales increase made a contribution to the profit increase; however, the profit increase was only at a relative degree because apart from sales increase, there was costs increase In short, from 2008 to 2009, the profit increased 217,342,500 dongs and from 2009 to 2010 it rose 382,612,500 dongs

1.5.2 Table 2: Imports and Exports Logistics Revenue of the company

Table 2.1: Export markets Unit: million dongs

Export

markets

Export turnover

Source: Sales Department

From two data sheets, the USA is the main Export and Import market of the company The Export and Import turnover in the USA market considerably increased from 2008 to

2010 Specifically, from 2008 to 2010, the Export turnover in the USA rose by 234,190,000 dongs and the Import turnover rose 145,800,000 dongs while the Export density in 2009 was 45.57% and the Import density in 2010 was 25.82%

Apart from America, other markets also played an important role Potential markets like Canada, China, etc have been gradually exploited Notably, German market had a remarkable Export and Import turnover increase Specifically, the Export turnover in Germany increased 444,020,000 dongs (from 2008 to 2010) and the Import turnover in this market rose by 419,930,000 dongs (from 2008 to 2010) These show that the company has had a structural adjustment in agreement with the market economy

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1.6 Comments on the business situation of the company

That sale from the above-noted services has soared over years proves that the company has done business more and more effectively This existed because the company has always kept old customers and tried to look for new customers Through two data sheets,

it is possible to see that the company’s business activities has succeeded and brought about a lot of profit

The objective reason for the company’s success is that the integration path and the need

of Exporting and Importing goods must have steadily increased, which contributed to the increase in the number of customers and goods

The subjective reason is that the company must have operated effectively and been credited by customers Thanks to the experienced and professional employees line-up together with the Marketing line-up’s assistance in searching for customers, Cong Thanh Co., Ltd has increasingly enhanced its prestige on the international market

 List of Typical clients of Cong Thanh Co., Ltd:

 Taewang Vina Co., Ltd (manufactures sneakers)

 Vietnam Changshin Co., Ltd (manufactures sneakers – Nike)

 Viet Vinh – Dona Victor Co., Ltd (manufactures trainers – Nike)

 Dona Pacific Co., Ltd (manufactures trainers – Nike)

 Dong Phuong – Dona Orient Co., Ltd (majors in trainers – Reebook, Adidas)

 Hoa Sen Garments Co – Trang Bang Industrial zone (manufactures Garments)

 Vietnam Tapioca Co., Ltd (majors in wheat)

 Vietnam Kenda Co., Ltd

 All Super Co., Ltd (majors in Garments)

 ShingMark Co., Ltd (manufactures wooden cabinets and beds)

 Vietnam Tiger Drylac Co., Ltd (majors in polyester powder)

Etc