RECOMMENDATIONS TO IMPROVE CFS WAREHOUSE OPERATION AT VIETNAM CONTAINER SHIPPING JOINT STOCK COMPANY GREEN PORT

VIETNAM MARITIME UNIVERSITYSTUDENT NAME: PHAM THI THUY ANH DISSERTATION GLOBAL STUDIES AND MARITIME AFFAIRS RECOMMENDATIONS TO IMPROVE CFS WAREHOUSE OPERATION AT VIETNAM CONTAINER SHIPPI

VIETNAM MARITIME UNIVERSITY

STUDENT NAME: PHAM THI THUY ANH

DISSERTATION GLOBAL STUDIES AND MARITIME AFFAIRS

RECOMMENDATIONS TO IMPROVE CFS WAREHOUSE OPERATION AT VIETNAM CONTAINER SHIPPING JOINT

STOCK COMPANY - GREEN PORT

VIETNAM MARITIME UNIVERSITY

DISSERTATION GLOBAL STUDIES AND MARITIME AFFAIRS

RECOMMENDATIONS TO IMPROVE CFS WAREHOUSE OPERATION AT VIETNAM CONTAINER SHIPPING JOINT

STOCK COMPANY - GREEN PORT

Superviser : Doan Trong Hieu

Division : International Economics

HAI PHONG – 2015

I declare that this report is my own unaided work It has not been submitted before

If violated, I am solely responsible for and bear the punishments of the Institution andUniversity

Student Name and Signature

Pham Thi Thuy Anh

Firstly, I would like to express my sincere gratitude to my advisor M.S Doan TrongHieu for the continuous support of my dissertation and related research, for hispatience, motivation, and immense knowledge His guidance helped me in all the time

of research and writing of this thesis I could not have imagined having a betteradvisor and mentor for my study

TABLE OF CONTENTS

PREFACE i

ACKNOWLEGEMENT ii

TABLE OF CONTENTS iii

LIST OF ABBREVIATIONS v

LIST OF TABLES vi

LIST OF FIGURES vii

INTRODUCTION 1

CHAPTER I: LITERATURE REVIEW 3

1.1 Introduction about CFS 3

1.1.1 Definition 3

1.1.2 Role of CFS 3

1.1.3 Types of goods at the CFS 5

1.1.4 Services provided in the CFS 5

1.2 Regulations related to CFS 6

1.2.1 Conditions to establish a CFS 6

1.2.2 Rights and responsibilities of CFS owners 7

1.2.3 Responsibilities of customs authorities 8

1.3 CFS performance measurement 9

CHAPTER II: SITUATION OF CFS WAREHOUSE AT GREEN PORT 12

2.1 Introduction about Green Port 12

2.1.1 History 13

2.1.2 Functions 13

2.1.3 Terminal Layout 14

2.1.4 Organizational structure 15

2.2 Introduction about CFS warehouse at Greenport 17

2.2.1 CFS Area 17

2.2.2 Equipment and Facility 18

2.2.3 Organizational Chart 18

2.3 CFS warehouse operating activities 20

2.3.1 Export consolidation operation 20

2.3.2 Import consolidation operation 26

2.3.3 Performance indicators of Green Port’s CFS 31

CHAPTER III: RECOMMENDATIONS TO IMPROVE CFS WAREHOUSE OPERATION AT GREENPORT 34

3.1 Evaluation on the Green Port’s CFS 34

3.1.1 Evaluation the mathematical indicators 34

3.1.2 Evaluation the non-mathematical indicators 35

3.2 Recommendation to company 38

3.2.1 Recommendation on increase storage and handling capacity 38

3.2.2 Recommendation on the infrastructure and equipment 41

3.2.3 Recommendation on human factor 42

3.2.4 Recommendations on service 43

CONCLUSION 45

REFERENCES 46

APPENDICES 48

LIST OF ABBREVIATIONS

CFS Container Freight Station

LCL Less Than Container Load

FCL Full Container Load

CY Container Yard

B/L Bill of Lading

D/O Delivery Order

CPL Container Packing Plan

THC Terminal Handling Charge

ECUSS Electronic Custom Software

WMS Warehouse Management System

LIST OF TABLES

Table 1: Green Port Terminal Layout 14Table 2: Equipment at the CFS 18Table 3: The Number and Qualitification of CSF Employees 19

LIST OF FIGURES

Figure 1: CFS Activies According to the Flow of Goods 5

Figure 2: Map of Green Port Location 13

Figure 3: General Terminal Layout of Green Port 14

Figure 4: Green Port’s Organizational Structure 15

Figure 5: Warehouse Organizational Chart 19

Figure 6: Export Consolidation Operation Process 20

Figure 7: The Illustration of Stacking Pallet Racking System at the CFS 23

Figure 8: Import Consolidation Operation Process 26

Figure 9: Cargo Volume through CFS at Green Port from 2011 to Sep.2015 31

Figure 10: Comparing Selective Pallet Racking with Double Pallet Racking 39

Figure 11: Requirements of Using Handling Equipments at the CFS 40

Thanks to the helpful location, Vietnam has a long sea border line Under theglobalization, Vietnam maritime industry has been developed rapidly According tothe data of Vietnam Marine Administration (Vinamarine) in 2014, Vietnam has 44seaports with the cargo throughput of 370.3 million tons in 2014 The cargo volumehas grown by 8.1 percent from 2009 to 2014 of 8.1 percent In which the containervolume increased by 16.7 percent to achieve 10.2 million TEUs in 2014 Thecontainer throughput is estimated to increase with the rate of 8 to 9 percent annuallyuntil 2020

With the development of the national economy, Vietnam ports in general andNorthern ports in particular are expected to have many potentials to develop shippingindustry One of the important ports contributing to the growth of this industry isGreen Port

Green Port is the subsidiary of Vietnam Container Shipping Cooperation (Viconship).Green Port is operated from Sept 2004, mainly exploit containerized cargo GreenPort provides a variety of services, from ocean shipping services to inland transport.One of such is CFS services that I researched in this paper

Necessity

CFS is customs area for loading and unloading containerized cargo CFS plays anessential part in the flow of exporting and importing goods In the growing trend ofcontainerized service, CFS is estimated to be an important factor in the development

of maritime industry in the next years

So, in two months of internship, with a wish to study the CFS operation activities, I

have chosen this topic: "Recommendations to improve CFS operation at Green Port" This research will give an insight to the CFS activities at Green Port And from

that, give proper solutions to increase the development of company

Research Object

This study is conducted to study the CFS warehouse operation at Green Port and fromthat evaluate the situation as well as find the possible ways to improve the operation inthe CFS at Green Port

Research Scope

This dissertation is the study of the CFS warehouse operation at Green Port which Ihad witnessed during my internship from August to Octorber 2015

Methodology of the research

For study, this dissertation is gathered information from both primary and secondarysources From primary source, information is gathered by: visiting CFS warehouse atGreen Port and learn information about the CFS operation at Green Port; observingthe activities in managing CFS warehouse From secondary source, information isfound and gathered in documents related to CFS warehouse operation, especially theexported and imported goods process; dissertations, journals, books related to CFSwarehouse operation, services and activities in CFS warehouse

Limitation of the research

During the process of studying this topic, there are some limitations and hinderances

in conducting the paper Firstly, studying and evaluating the CFS operation of aparticular company need an amount of time Due to the time limitation, this report isconducted with the urgency Information is gathered mostly by the process ofobservation and studying in the appointed time Therefore, it may lack someinformation Secondly, there are some problems in observing the real process ofoperating CFS warehouse at Green Port Because this report is conducted in the busytime of the company, it is not easy to supervise CFS activities and collect data.Besides, some information about the company is kept in secret for security

Research Findings

This dissertation provides the understanding of CFS operation, studying the servicesand activities at CFS warehouse, especially export and import activities and giving outsome recommendations to improve the CFS warehouse operation

Structure of the research

Chapter I: Literature Review

Chapter II: Situation of CFS warehouse operation at Green Port

Chapter III: Recommendations to improve CFS warehouse operation at Green Port

CHAPTER I: LITERATURE REVIEW1.1 Introduction about CFS

1.1.1 Definition

CFS is the abbreviations for Container Freight Station According to BusinessDictionary, CFS is a port facility for loading and unloading cargo containers fromships and to ships

Another definition of CFS is that CFS is a designated facility to consolidate orconsolidate freight shipments and such shipments are staged between “transport legs”.CFS is used to transport containerized cargo, so it usually located to near an ocean,port, or airport where such cargo is transported to and from

According to Article 51, Circular 128/2013/TT-BTC, goods put into the CFS includes:Imported goods which put into the CFS are goods that have been not completedcustoms procedure And they are still under the supervision and management of thecustoms authority

Exported goods which put into the CFS are goods that have been completed customsprocedure or registered the customs declaration at the sub-department of customsoutside the checkpoint area However, the real verification is carried out at the CFS.Goods in the CFS shall be kept no more than 90 days from the day they are put intoCFS After 90 days, sub-departments of customs shall ask the CFS owner to movesuch goods out of CFS, or treat them as abandoned, lost, mistaken, overdue goodsaccording to Article 45 of Law on Customs

1.1.2 Role of CFS

Firstly, CFS helps good owners through LCL shipping method, reduce cost and utilizethe capacity of containers Transporting cargo through container by sea, althoughconvent, needs a lot of fees For the best choice of moving goods through the sea,many shippers strive for loading full containers (FCL - full container loads) But, forthe shippers or goods owners whose goods are not able to stuff full container, to savemoney and to utilize the capacity of containers, they have chosen to merge theirshipments and loaded together into containers Such options are called LCL container

LCL shipping is the best options for delivering cargo that below the typical weight atwhich are able to be fully stuffed into containers Nowadays, LCL is often chosenamong the small cargo owners This raised a matter It needs a place to helps goodsowners bring their shipments, merge and then stuff into container to send to thedelivering destination Also at the receiving destination, it needs a place at whichcontainers is de-stuffed, retail shipments are stored and then separated shipments issent to the separated consignees Such types of place to perform two aforementionedacts is CFS CFS is operated under the supervision of customs officers

Thus, CFS is a warehouse at which the shipping company deal with export and importcargo Export cargo is received and stored at the Where they are sorted, consolidatedstuffed into export containers and delivered to destination Meanwhile, importcontainer which arrive from ships to CFS is de-stuffed Import cargoes is take out ofthe containers for sorting and delivery to consignees later

CFS performs two main functions which are to collect and stuff LCL exported cargoesinto containers for exporting to ships and to store LCL imported cargoes which areunloaded from multiple-owner containers and then delivery to different consignees.CFS has also an important role in the ocean containerized freight, warehousingservices and port operation CFS is an indispensable part of a modern container port Ithelps shippers utilize capacity of the container therefore reducing transport costs Eachshipper is not needed to bear full container fees Container delivering free is sharedamong shippers Moreover, CFS also helps cargo delivery and receiving process saferand more comfortable

Secondly, CFS helps shipping company quickly free goods at port, reduce portcongestion and promote export and import goods transportation CFS is an extendedarm of the port When containers are transported from ships into CY of the port,import and export goods are kept until completed their examination and clearance Forbetter utilize space and existing infrastructure, cargoes at port are needed to beevacuated as soon as possible Imported goods shifted from the CY of the port to theCFS can help reduce port congestion CFS is in charge of clearing goods, warehousingand transporting cargoes from port to the shipper’s destination CFS is an importantpoint in the trading export and import cargo process and helps CY of the port reducingtime of storing

1.1.3 Types of goods at the CFS

All LCL goods which are not prohibited from exporting or importing, does not affectthe environmental sanitation and fire protecting regulation are allowed to be carriedout export/import procedure at the CFS

All foreign goods that are qualified to be carried out exporting procedure and puttedinto CFS must be inspected Good owners register at the office or border gate of theprovincial customs departments and such office, border gate will appoint theirinspectors to check cargo at the CFS Imported goods in the CFS are inspected, talliedand confirmed by the customs inspectors before taking out of CFS Exported goodsare supervised by the customs authorities when loading to the ships

1.1.4 Services provided in the CFS

CFS operation is the process of exploitation imported and exported goods from theport to the CFS warehouse and from the CFS warehouse to the customer destination,ensuring the integrity of goods in quantity and quality during the operation, storageand preserving cargo which is stacked at the CFS

Warehouse operation activities is divided into two main services, which are importgoods operation and export goods operation

For exported goods, the activities inside CFS are: receiving, storing, packaging.Sometimes, goods in transit can be divide or combine with exported containers orVietnam’s exported goods in the CFS

For imported goods, imported goods are either be repacked and divided according toimport procedure or be combined with other shipments to be exported to a thirdcountry (Article 51, Circular 128/2013/TT-BTC)

Classified in the flow of goods in the CFS, CFS activities includes:

FIGURE 1: CFS Activies According to the Flow of Goods

Beside the main services, in the process of exploiting goods, some CFS also havevalue add services, such as:

+ Checking label code;

1.2.1 Conditions to establish a CFS

To set up CFS, company must adhere to the following conditions:

- CFS is established in the following areas:

+ Seaports, international civil airport, domestic port of export and import goods,road gate border, international railway station

+ Industrial zone, hi-tech industrial zone, non-tariff zone, and other areas asprescribed by law

- CFS warehouse must has an area of at least 1000m2, not include externalground and auxiliary facilities

- Ensuring the working conditions for customs authorities such as having anoffice building, having place for goods inspecting, etc

- CFS must have fences separated to surrounding area, equipped with CCTVsystems

- Goods going in and going out CFS must be managed by the computer systemsand be connected with the monitoring system of customs officers

- Having decision to establish CFS

Companies or enterprises established under the rules of law, had warehousing licenseimport and export licenses, had experience, capacity and reliability in the field oflogistics, had permission to use the planned warehousing areas, had storage systemswhich separating from the surrounding area, had separated entrance gate, had enoughequipment, vehicles and other necessary conditions to make sure safety for goods andhuman at the CFS and convenience for the inspection and supervision by customsauthorities are able to establish and run CFS warehouse.

General Department of Customs give CFS license by receiving document, checkingand reviewing the place want to get CFS license Documents needed to submit whenapplying CFS license are:

- An application for establishing CFS

- Decision to establish CFS

- Specialized license for operating warehouse and trading export/import goods

- Permission to use CFS location

- CFS site plan

- Fire Safety Certificate

1.2.2 Rights and responsibilities of CFS owners

a) Rights of CFS owners

- Goods owner transfers ownership of goods for CFS operators to pack, repack,

repair, store goods

- CFS operators have the right to consolidate, deconsolidate multiple-owner’sshipments in one container, arrange and store shipments in the warehouse

b) Responsibilities of CFS owners

- Fully implementing the provisions of the government about export/importgoods through CFS, ensuring cargo safety during the process of handling andstoring, following regulations of environmental sanitation and fire prevention

- Import and export goods at the CFS needs to be carried out export/importprocedures Export and import cargoes should be classified in two separatezones and have site plans to examine Especially area for export cargoes must

be fenced into two areas for distinguishing goods that are finished customsprocedures and goods customs that are not finished procedures On each

shipment must have the name of the ship, voyage, day in CFS or day out CFS,name of consignees, marks of goods.

- CFS must have sufficient equipment for handling and packing cargoes, haveadequate lighting and office for relevant authorities to work CFS owners areresponsible for proving areas and facilities for customs authorities to inspectcargoes and supervise the management of CFS

- CFS must have experienced staff that specialize in freight forwarding businessand have IT knowledge to manage CFS and ensure the relations among ship -ship agent - freight forwarder - port and other agencies

- CFS must have bookkeeping system to check and track goods out/in the CFS

- Staff replacement or staff changes must be notified to the customs authorities

by documents

- Time allows to work at CFS is 8 hours per day and it must be publicized at theCFS In case, CFS want to work overtime, it must have the consent of thecustoms authorities

- CFS owner has responsibility to sum up and report to customs authorities aboutthe inventory situation and the details of each inventory shipment Each 3months, CFS operators must report to the customs officers about the situation

of goods inside the CFS and the business activities of company Each 6months, CFS must prepare a reports to liquidate unwanted goods

1.2.3 Responsibilities of customs authorities

Each CFS that is given operating licenses is monitored by customs authorities Inkeeping with the pattern of each port, each warehouse, customs authorities in charge

of CFS is often arranged into a team under the customs border gate, under thesupervision of warehousing Each CFS often has from one to two customs officersdepending on the performance of each CFS and requirements, conditions at the certainperiod Main responsibilities of customs authorities in charge of CFS include:

- Supervising the process of receiving, delivering or storing export/import goods

at CFS and other related activities at the CFS

- Organizing goods inspection, sealing containers even when warehouse hasnone cargo

- Escorting import containers from the border gate to the CFS and exportcontainer from the warehouse to the border gate to load to the ship, supervising

the process of packing goods into container and repacking container,monitoring the process of putting cargo in to the CFS.

- Examining closely receiving and delivering cargo process, through whichdetect and prevent the wrong actions, smuggling attempts and trade fraud

- Supervising the delivery and receive goods process between CFS andconsignees

- Summing up about data of import and export goods and reporting dataperiodically to customs department

- Building the good relationships with CFS owners and good owners

- Following customs requirements and completing works well

1.3 CFS performance measurement

Warehouse performance is the state of operating warehouse And the way ofevaluating the warehouse performance is warehouse performance measurement According to Neely, performance measurement is the process of quantifying theefficiency and effectiveness of an activity Performance measurement is taken to findwhether the warehouse is operated efficiently If not, it helps to show the causesbringing to poor performance and find proper solutions

Warehouse operation do well or worst depend on a variety of factors or also calledperformance indicators Indicators is found to calculate and compare with theexpected values If the results are worst, poor performance is shown

There are several theories to decide the warehouse performance indicators In theresearch “proposed solutions to impove the efficency of production and business inCFS warehouse at Chua Ve terminal” of Nguyen Duc Trung, there are some oftenused factors in evaluating the warehouse operating activities:

a Cargo throughput : is the total volume of goods going through warehouse in aperiod (usually a year) For CFS warehouse, cargo throughput can becalculated by total import and export cargo that CFS operators handled in acertain time

This indicator reflects the total number of cargo going through warehouse, if theoutput of goods is going higher by years, it will show the development of thewarehouse, and vice versa

b Warehouse capacity : is the total volume of goods can be stored in thewarehouse.

This indicator shows the warehouse capacity, or the maximum number of cargo stored

in warehouse The higher the capacity index, the higher capacity of storage, and viceversa However, capacity depends on many other factors such as the way of arranging

of goods, the choice of pallet racking

c Warehouse storage rate : is the ratio between the volume of goods throughwarehouse and the total volume of goods through port

∝=∑Q w

∑Q p

In which: Q w is the volume of goods through warehouse

Q p is the volume of goods through port

This indicator shows relationship between warehouse and port

d Warehouse turnover time : is the ratio between total warehouse volume ofgoods going through warehouse and the warehouse capacity in a specific time(usually in one year)

n=∑Q w

C

In which: Q w is the volume of goods through warehouse

C: is the capacity of warehouseThis indicator reflects the number of times the warehouse reaches it maximum storagecapacity The higher indicator, the higher warehouse productivity using higher and vice versa

e Average volume of goods through warehouse per day:

q w=∑Q w

t

In which: Q w is the volume of goods through warehouse

t is the time warehouse run in a year

t=T w−T s

In which: T w is the number of days in a year (365 days)

T s is the number of days that stop working due to weatherBesides, Colson and Dorigo in their report also offer a list of decision criteria toevaluate warehouse performance Their chosen indicators consist of a variety factorsthat can be grouped into the following categories:

- Location: geographical distance to highway connection, train, waterways

- Infrastructure and facilities: storage surface and volume, separation of storageareas, possibility for temperature control, control for temperature humidity,ventilation, offices on site, use of technology (RFID/Bar-coding), modemconnection, handling equipment

- Service: quality of service, cost of service, customer services, certification (ISO9001/9002, SQAS, HACCP), assistance with customs

Also, in the research of Autry and Daugherty, efficiency of warehouse operation hasrelation with the personnel of warehouse The management of human resources, theworking environment and worker satisfaction is also one of value to evaluate theperformance of warehouse

In conclusion, warehouse operation can be evaluated by the factors of quality,location, infrastructure, service, human resources

CHAPTER II: SITUATION OF CFS WAREHOUSE AT GREEN

PORT2.1 Introduction about Green Port

Introduction about Viconship

Vietnam Container Shipping Corporation (VICONSHIP) is one of the leading shipagents and freight forwarding services in Vietnam Formerly known as VietnamContainer Company, Viconship officially established on July 27, 1985 by Decision

No 1310 / QD-BGTVT of the Minister of Transport Initial capital which wasallocated from government at the time of establishment was 7.2 million VND

Viconship has its own terminal, warehouse and trucking lines for transportingcontainerized and general cargoes from the North to the Central and the South ofVietnam It provides sufficient facilities for all modes of transportation, operates inboth freight, ocean transportation and road transportation In which, freight and portservices accounted for 60 percentages of company’s activities (including loading andunloading and storing containerized cargo) and road transportation services accountedfor 40 percentages of company’s activities (viconship has vehicle fleets consisting 110container trucks)

Introduction about Green Port

Viconship have many branches, operating from the north, the central to the southofVietnam One of such branches is Green Port Green Port located in No 1, NgoQuyen, Hai An, Hai Phong It is also the most important subsidiary in Viconship.GREENPORT Terminal is one of the ports which have the largest cargo throughput inthe North of Viet nam Green Port is equipped with modern facilities and equipmentsalong with sufficient infrastructure which meets all international standard of tradingand transportation

FIGURE 2: Map of Green Port Location

2.1.1 History

GREENPORT Terminal was opened on 24th September, 2004 It located at 20o51’ Lat

N, 106o43’ Long E

- Berth No.1 was putted into operation in Sept, 2004

- Berth No.2 was putted into operation in Mar, 2006

Over 11 years of existence and development, GREENPORT terminal has alwaysplayed the important role on the “Border gate” in the North of the country Cargoesfrom Green Port are transported from 17 northern provinces to North of Laos andsouth of China and other markets of many countries and vice versa

2.1.2 Functions

Green Port provides a variety of logistics services from ocean transportation to inlandtransportation and is divided into four main services:

- Port operation 

- Container yard operation

- Container freight storage

- Others services including inland transportation via trucking, customsbrokerage, shipping agencies and container repairing services

2.1.4 Organizational structure

FIGURE 4: Green Port’s Organizational Structure

Role of each department:

 Board of Directors

As seen from the chart, Green Port is ruled by Board of Directors Board of Directors

is the governing body of the company Board of Directors have full authority to:

- give decision on behalf of the company

- exercise the rights and obligations of the company

- appoint and dismiss management positions under the company

Board of Directors

Account and Financial Dept

Commercial Depart

Berth Operation Depart

Office Team

Crane Team

CY Operation Depart

Office Team

Log Office

Tally Team

CFS Operation Depart

Office Team

Warehouse Team

Unloading and Loading Depart

Office Team

Driving TeamTechnical Depart

 Account and Financial Department:

- advice board of directors on the fields of finance and accounting

- carry out centralized management

- use effectively financial resource according to the legal rule issued

 Commercial and Customer Service Department

- marketing, promote companies

- keep the good relationship with customer and partners of companies

 Wharf operation department

Wharf operation department has responsibility to manage wharf operation, has duty toreceive ships arrive at ports and do all the necessary activities to handle goods fromships to berth side Specifically, it:

- make plans to receive ships

- make plans to unload and load cargo from and to ships

- direct driving and stevedore teams to handling cargo from ships to ports

- make relevant documents, sum up and save data

 CY operation department

CY operation department is in charge of operating and managing container yard CYoperation department has duty to:

- receive containers from berth side to CY and from CY to the gate

- direct driving team and stevedore teams to handling containers

- make relevant documents according to legal rule

 CFS operation department

CFS operation department is in charge of operating and managing CFS warehouse.CFS departments has duty to:

- receive or delivery cargo, store cargo, pack, unpack cargo into containers

- make relevant documents about receive or delivery cargo in warehouse

- make sure safety for staff and goods in the warehouse

 Unloading and loading department

- Directly delivering and receiving goods to the ships

- Directly managing motorized vehicles, facilities and equipment at the port

- Arranging goods at the port as under regulation of cargo handling

 Technical Department

- Advising director on the technical management of equipment, wharf, and berth

- Building and establishing technological process of loading and unloadingcargoes

- Having plans of flood control, fire prevention

- Applying scientific advances

2.2 Introduction about CFS warehouse at Greenport

2.2.1 CFS Area

The total area inside the CFS is 3500m2 CFS at Green Port is built in modernstandards and have the ability to store many kind of cargoes It is equipped with fireprevention system, flood prevention system, modern lighting system to protectcargoes, prevent accidents as well as ensure the safety of staff inside CFS

CFS system at Green Port consists of two warehouses called respectively aswarehouse no.1 and warehouse no.2 CFS area is divided into two main areas: the areafor imported cargo and area for exported cargo

Area for imported cargo covers a large area of CFS Green Port (about ¾ CFS area)including warehouse no.1 and a half area of warehouse no.2 This area is used to storeand handle imported cargoes In which, cargoes are repacked from containers, sorted,stored and delivered to different cargo owners

Area for exported cargo covers a small area of CFS Green Port This area is smallerthan import area because the exported cargo volume in here is usually less than thevolume of imported cargo Export area lies inside warehouse no.2 and is separatedfrom the import area in warehouse no.2

A part of fixed area inside CFS warehouse, CFS at Green Port can use the ground infront of and beside CFS warehouses to load and unload cargo This area can be the

ground for cargo owner’s trucks park and wait for delivering goods from warehouses.When necessary it will become the temporary ground for storing cargoes (especiallyover dimensional cargo, bulky cargo)

2.2.2 Equipment and Facility

- Racking pallet system helps, with 3-storey shelving to optimize space and improvecargo management

- Fire protection systems ensure the safety of staff and goods

- Office work (equipped with 3 computers to monitoring and managing cargo insidewarehouse)

- Warehousing management system (WMS) to update information and manage thecargo go in and go out through warehouse

- Transferring and handling goods equipment to handle goods

TABLE 2: Equipment at the CFS

FIGURE 5: Warehouse Organizational ChartTABLE 3: The Number and Qualitification of CSF Employees

1 Head warehouse-keeper 1 College Degree

2 Warehouse keepers 9 College Degree

3 Warehouse workers 35 High school degree

4 Forklift drivers 20 High school degree,

- Office staff in charge of sum up financial data from the warehouse activities, makestatistics, checking inventory management, contact with customers and solveproblems related to CFS warehouse activities

Head Warehousekeeper

Depart.

Warehouse keepers

Unloading/loading