Logistics and its process explained with flowchart.

Process of Logistics.

1.    Export documentation process

2.    Logistics transport process

3.    Optimizing the logistics process.



Export documentation process

Export documents are required at origin and Destination port. Officer will check below document at origin port of origin and release the permission for loading on vessel. The officer will generate the export document and it is called shipping bill. Once done the shipping bill, we can load the goods on planned vessel.

Origin documents:

Export License (IEC)

AD Code Port Registration

Commercial Invoice

Packing list

Self-Declaration form

Export Value declaration

Drawback Declaration (if you are claiming Incentives)

Suppler tax Invoice (If you are third party exporter/ Merchant exporter)

 

Destination:

Transport documents (Bill of Lading)

Commercial Invoice

Packing list

Certificate of origin

Inspections certificate (from SGS/ Bauru VERITAS)

Insurance Certificate (If it is CIF term)

 

Some countries asking some additional documents like import permission and this will be depends on goods.

 

Transportation Process

 

Once the goods are manufactured and the pre-shipment inspection and quality checks are done by third party service suppliers like. SGS, Bureau Veritas and Intertek.  These suppliers are checking quality of the goods and supplier fulfilled the specifications of the buyer.  The exporter or the customs house agent packages, labels, and marks the goods to adhere to the standard shipping practices.

They then arrange for intermodal transportation, which will carry the goods from the exporter’s premises to the point of loading.

• Once the goods arrive at the port, the exporter or their agent arranges for the customs clearance, documentation and physical verification; and also pays any port dues.

• The documents and mate’s receipts are handed to the shipping line, which then provides a bill of lading to the exporter. The exporter has to send the original bill of lading and other documents to the buyer or their consignee/agent. These documents are later required by the buyer or their agent to take custody of the goods and for getting import clearance at the port of destination.

 

Optimizing the Export Logistics Process:

  • As with almost every endeavor, one best practice that is applicable everywhere is proper planning. It is no different with export logistics. Proper planning is required to ensure that the product is made available on time, there are no internal issues that may lead to stoppage of production, the preferred transportation option is available, and the correct shipping option has been selected after careful consideration.

 

  • The export logistics process is labour intensive, with multiple people involved in the production, packaging, loading, and intermodal transportation - both at the docks and the carrier. So, efficient people management can make a significant difference here. Good interpersonal skills on your part can boost the efficiency of the people involved in the logistics process, thereby enhancing the product cycle.

 

  • Along with movement, proper storage of the export goods is of paramount importance. Perishability and fragility of the goods must be considered while warehousing the export product. Maximizing the storage capacity of warehouses through efficient storage practices should also be implemented.
  • As for the actual transportation process, the mode of transportation is key to the profitability and efficiency of the exporter. Speed and cost of delivery are directly proportional, so the choice of transportation must be made after keeping the cost-benefit factor in mind.
  • In today’s business world, implementing automation is crucial to business process optimization. These days, the movement of goods can be tracked and updated automatically through the use of the software. This practice can improve efficiency significantly by reducing manual intervention and enabling more accurate tracking of the movement of the goods.

 

 

 

 

 

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  Logistics and its process explained with flowchart. Process of Logistics. 1.     Export documentation process 2.     Logistics trans...