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DIGP - Shanghai Cambodia Ocean Tradelane - Final

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Jerry Chen

on 5 May 2013

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Transcript of DIGP - Shanghai Cambodia Ocean Tradelane - Final

Shanghai Cambodia Go 2 MKT Road Map Damco Cambodia Suppliers of Raw Materials of Garment
in Shanghai Using 3PL to manage logistical needs;
Referrals play an important role;
The smooth operation is key factor;
Rate is an important filter, if it's not the most important one. The Garment Factories in Cambodia Garment Industry in Cambodia Ocean Tradelane Resources
Jerry Chen
Ya Nan Liu 95% of country's total exports;
45% of Cambodia manufacturing workforce;
16% of the country's gross domestic products(GDP);
"...everything is imported — even the sewing needles and thread" Logistic needs of Garment Factory Financial Fact The industry has LOW net profit margin (around 5%);
The logistics expenditure is around 3% to the total cost of good sold;
The freight rate is a key element to consider before choosing 3PL; "Shipper's feedback" DIGP - Research Project Shanghai Cambodia 9.4% - Developing Asia expect to have strong growth
7% - Cambodia is a rapidly developing economy
16% of GDP - Garment industry in Cambodia's pillar industry
66% - China is the major supplier for raw materials to the Garment industry Raw Material of Garment Competitive Advantage I Operations in Cambodia, with combined capacity of 16,000 square – meters with over 40 loading bays and an advanced CCTV system. Strategical partnership with sub-contractor of trucks;
Advanced Anti Pilfering Process - Trucks equipped with GPS, Containers with additional security, 24X7 CCTV in CFS facilities;
More skillful commercial and operation organization; Competitive Advantage II How to build up Damco product? Market Research 1 3 Pricing Strategy Management Sign off 2 Product Promotion 4 Pulse survey 5 Review and revise the product 6 Evaluate existing / potential average weekly volume
Estimate the cost to service Set up a pricing calculation sheet for sales easy reference
Set up IOPs for financial related issues; Set up communication metrics Set up a marketing strategy(e.g. pricing) to achieve the targeted growth
Get sign-off for the marketing strategy and the sponsorship for the initial investments Design commercial Materials to promote new product
Communicate the new product with internal stake holders
Set up sales campaign in CRM and monitor the progress weekly Review the pipeline development with local sales
Review operation and charges
Share project status with management Review the performance during the initial stage; Adjust the marketing strategy; Decide the next step;
Periodic review of the product Local Player's Strength Damco's Strength III Damco's Strength I Damco's Strength II How Damco could Compete
with Local Player Relationship (e.g. referrals);
Credit Terms;
Key Competition in the region:
b.King’s Freight
f.Small local forwarder as agent office Tradelane Management "Sell" the product to the Global Network KAM of lifestyle Vertical could persuade vendors of H&M, Adidas, Target... to consider using Damco for an integrated solution for inbound / outbound. Willing to investment for the future growth: New CFS Facilities - Apr 2013;
Strategic DCC investments: support the strongest DCC initiatives with 50% of Base Ocean Freight during cargo build up - 10 weeks; PU Leather
PVC Leather
Semi-PU Leather
... Carrier Research Service Details:

ETD from Shanghai: Thursday
Terminal:Shanghai Waigaoqiao
ETA at Sihanoukville: Wednesday
Terminal: Sihanoukville Terminal
TT: 6 days Product Supply Chain Management Damco Competitors Raw Material Import Finished Goods Export Competitor Research
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