HANOI UNIVERSITY OF SCIENCE AND TECHNOLOGY SCHOOL OF ECONOMICS AND MANAGEMENT ******** GRADUATION THESIS IMPROVING CUSTOMER SERVICE OF AIR FREIGHT FORWARDING ACTIVITIES AT VIVA CARGO HOANG DUC HUY Huy.vn Industrial Management (Logistics and Supply chain) Lecturer: Dr. Nguyen Thi Xuan Hoa Departure: Industrial Management School: School of Economic and Management Hanoi, March 2022 Instrctor’s Evaluation Student’s full name: Hoang Duc Huy Student ID: 20176326 Class: IEM16B Course: K62 Gradution Thesis Topic: “Improving customer service of air freight forwarding activities in Viva Cargo”. Contents of Evaluation 1. Implement Graduate Thesis Report 2.
Contents of Graduate Thesis Report • Theory: ……………………………………………………………………………. • Method and level of solving issues: ………………………………………………. Form of Graduate Thesis Report • Presenting method: ……………………………………………………………. • Structure of report: ………………….
Evaluation and scores • Progress of report: …. /20 • Content of report: …. /60 • Form of report: …. /100 Hanoi, … March 2022 Instructor Evaluation of Approver Student’s full name: Hoang Duc Huy Student ID: 20176326 Class: IEM16B Course: K62 Gradution Thesis Topic: “Improving customer service of air freight forwarding activities in Viva Cargo”.
Characteristic of topic: ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… I. Content of comment 1. Content of Graduate Thesis Report ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… 2. Form of Graduate Thesis Report ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… 3.
Other comments ……………………………………………………………………………………… ……………………………………………………………………………………… ……………………………………………………………………………………… II. Evaluation and scores • Content of report: …. /80 • Form of report: …. /100 Hanoi, …March 22 Approver School of Economic and Management Graduation Thesis ABSTRACT This graduation thesis reaches how to improve customer service of Air Freight Forwarding activities in Viva Cargo.
Nowadays, Air Freight Forwarding is an essential activity in our life because there is more and more demand for international trading between from many countries in the world. Although, Vietnam has many years' experiences on this field, but air freight service is a challenge that many forwarding companies must face. The most reason for that is air freight service is a kind of luxury service in logistics activities with high cost, but it is bringing speed and accuracy to optimize operation process of supply chain management. To have an approach closely on this fields, this graduation thesis would describe about current situation of Air Freight Forwarding and solution to improve the customer service.
Therefore, this graduation thesis could show overview about air freight forwarding activities, the advantages, and disadvantages in their activities then find the solution to help them improve the quality customer service of their activities. 1 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis TABLE OF CONTENT CHAPTER I: THEORETICAL FOUNDATION OF FREIGHT FORWARDING ACTIVITY. General introduction about Freight Forwarding activity. Definition of Freight Forwarding.
Activities of Freight Forwarder. The advantages of working with freight forwarder. General introduction about Air Freight Forwarding. Definition of Air Freight Forwarding.
The impact of Air Freight Forwarding. Aviation class rate. Some types of air freight. Customer service in Air Freight Forwarding.
Definition of customer service in Air Freight Forwarding. The important of customer service on Air Freight Forwarding. Elements affecting of customer service. Evaluation of customer service in Air Freight Forwarding.19 CHAPTER II: ANALYSIS SITUATION OF AIR FREIGHT FORWARDING ACTIVITIES IN VIVA CARGO.
Overview and development about the company. An overview about Viva Cargo. Vision and mission of VICI. Business achievements of VICI.
The management structures.27 2 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis 2. Air freight activities in Viva Cargo. An overview about air freight service in VICI. An overview about Ground Handling at Noi Bai Terminal Cargo.
Logistics flow of air export in Viva Cargo. The operation process of air export department. The information flow between department. Quality customer service in VICI.
Quality control by KPI for Air Export Department. Analysis the quality customer service in VICI. Evaluation of customer service.57 CHAPTER III: SOLUTION TO IMPROVE THE CUSTOMER SERVICE OF AIR FREIGHT FORWARDING ACTIVITIES IN VIVA CARGO.1 The objective to improve customer service. The solution to improve customer service of Air Freight Forwarding activities in Viva Cargo .71 3 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis LIST OF FIGURES Figure 2.
1: Logo of VICI. 2: Core value of VICI. 3: HR structure in VICI. 4: Air freight service in VICI.
5: Global service in VICI. 6: Cargo terminal at Noi Bai airport. 7: List of CSA's airlines in VICI. 8: Logistics flow of air export in VICI.
9: List one of main customers. 10: Diagram of information flow between departments. 11: Shipment information provided by Sales. 12: Process check price.
13: Main occupation of Pricing. 14: Booking processing of Cus team. 15: Process of check and stick to the cargo's plan. 16: Process of final checking documents.
17: Process of track and trace. 18: Trouble in air cargo. 19: Process of handle troubles. 20: Process of weighting.
21: Process of issue mawb. 22: Volume chart in 3 years. 23: Process quality customer service. 24: Appliances for work.
25: Software to manage the work. 26: Volume in 6 months. 27: Number of airlines and customer.54 4 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis LIST OF TABLES Table 2. 1: Volume from 2015 to 2020.
2: Main commodity in VICI. 3: Excel file to manage work. 4: Service of airlines. 5: Frequency of airlines.
6: KPI table to evaluate performance of team. 7: Score table to evaluate personal. 9: Percentage of used airlines. 10: Mistake of VICI.
11: Main market of airlines. 1: Tracing manage by Excel.67 5 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis ACONYMS VICI Viva Cargo International Logistics IATA International Air Transport Association GSSA General Sales and Service Agent CSA Cargo Sales Agent ULD Unit load devices POL Port of loading POD Port of discharge ETD Estimated time Departure ETA Estimated time Arrival MAWB Master airway bill HAWB House airway bill CUS Customer service department OPS Operation department 6 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis CHAPTER I: THEORETICAL FOUNDATION OF FREIGHT FORWARDING ACTIVITY 1. General introduction about Freight Forwarding activity 1. Definition of Freight Forwarding Freight forwarding consists of strategic logistics planning and execution for the international movement of goods, on behalf of shippers.
Specifically, a freight forwarder will carry out freight rate negotiations, container tracking, customs documentation, and freight consolidation, among other tasks. Importing and exporting creates lucrative opportunities for businesses with the wherewithal to execute strategic logistics plans. But the logistics of international shipping is complicated, it requires: • Expert knowledge of customs standards and protocols, which vary country to country and even port to port. • Agile problem-solving, for when the weather, technology or human nature fail to cater to timely travels, as they are all want to do.
• An instinct for network building, because in many ways, a supply chain is only as strong as the parties propelling it. Activities of Freight Forwarder The following is a brief breakdown of a day in the life of a forwarder: Shipment Tracking: Forwarders use a Transportation Management System (TMS) to maintain transparent visibility throughout each stage of a shipment’s voyage. Customs Brokerage: 7 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis This critical piece of forwarding requires special licensure - a customs brokerage license. Licensed brokers are the only people qualified to manage and submit the extensive documentation necessary to complete importing/exporting processes.
Warehousing: Some forwarders may have their own warehouses available to harbor shippers’ commodities (or parts of commodities), but for the most part, the service your forwarder will offer is to arrange storage at a warehouse owned and operated by a conveniently located affiliate. Negotiating: Bargaining with carriers for cost-efficient shipping rates is no easy task. The art of this deal entails appealing to carriers’ interests by balancing the pros and cons of your cargo type, time flexibility, credit status, space/tonnage requirements, and more. Cargo Space Scheduling: Savvy coordination and scheduling of cargo space are the more tangible parts of a forwarder’s skill set.
If you hire a freight forwarder to manage logistics, this is where they’ll have the opportunity to display their chops. It takes a thoughtful planner to determine whether it is profitable to consolidate a shipment, to secure timely sailings, and to weigh the feasibility of intermodal shipping options. Cargo scheduling is a part of the logistics flow of "Supply chain management." Consolidating Freight: Forwarders may have several customers who all need to transport shipments that do not necessitate the use of an entire container. Freight consolidation for less than 8 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis container load (LCL) shipping is a service forwarder provide wherein multiple smaller consignments are all booked aboard the same container.
In these instances, the shipping cost is spread amongst all participating customers based on the cargo’s space requirements. Supplying Cargo Insurance: Forwarders can provide you with a cargo insurance policy, also known as freight insurance. Cargo insurance is intended to reimburse the loss payee in the event that goods are damaged or stolen in transit. The advantages of working with freight forwarder • Freight forwarders act as an intermediary between the company who makes the shipment and the final destination for the goods.
Although they do not carry out the shipments themselves, they offer different transport modes such as sea/ocean freight, rail freight, road transport and air freight shipment. • Freight forwarders use their trusted contacts with carriers and partners from air transport specialists and trucking companies to transoceanic lines to negotiate the best possible price. This may be using established commercial routes with regular frequent departures, or by charter, valuing different offers and choosing the better route that optimizes speed, costs, and reliability, considering all the variables necessary for the analysis of each case. • Normally a freight forwarder handles a large volume of shipments, even from one international destination to another, so they are a key part in triangular operations.
At least three companies are involved in triangular operations (manufacturer, intermediary and final customer), each located in different countries, although there is a single delivery of goods and a single transport. This operation is complex from the point of view of the documentation and, above all, tributary with VAT settlement. 9 Reporter: Hoang Duc Huy School of Economic and Management Graduation Thesis • Most freight forwarders are Authorized Economic Operators, which enables them to take advantage of simplified customs clearance, especially deferred payment of import duties and charges which might otherwise need to be paid before goods are released. Value added services • Advice on optimizing transport costs: freight charges, special documentation costs, customs clearance expenses, customs duty.
• Cargo insurance: advantageous conditions at competitive premiums. • Advice for proper packaging, labeling, loading and stowage of merchandise. • Reports, custom performance reports and carbon footprint KPIs. • Tailored solutions for each project.
• Supply chain optimization advice on the best means of transport and the best route for a shipment according to origin, nature of the merchandise, destination, seasonality, danger, and urgency of the merchandise (air, sea, rail or road). • Customs advice, from the appropriate tariff item for your merchandise to the necessary documents for customs clearance, dedicated storage, and logistics services. General introduction about Air Freight Forwarding 1. Definition of Air Freight Forwarding Air freight logistics is the shipment of goods via a chartered or scheduled air carrier.
Air freight is a popular choice for many companies as it ensures passage for their goods to anywhere in the world that an aircraft can fly to and land. Goods transported by air have the advantage of being taken to their final destination at high speed which could prove advantageous if the shipment is time sensitive. For smaller and medium sized companies, it allows them to participate in international trade in as an effective manner as larger companies.