Presentation on theme: "Samsung Electronics in Romania Samsung Electronics in Romania 15-09-2011, Rotterdam."— Presentation transcript:
Samsung Electronics in Romania Samsung Electronics in Romania 15-09-2011, Rotterdam
Content 2/8 Short introduction to Samsung Electronics Short introduction to Samsung Electronics Logistics Services Samsung in Romania Romania, issues, observations, expectations. Questions / comments
Introduction to Samsung Electronics 3/8
Introduction to Samsung Electronics 4/8
Introduction to Samsung Electronics, continued 5/8 Samsung is a market leader:
Introduction to Samsung Electronics Logistics Services Samsung Electronics Logistics Services (SELS) Internal 4PL to Samsung Electronics Europe Responsible for all logistics activities within Europe Inland transportation Customs clearances 25 local warehouses 1 European Spare Parts operation 2 centralised warehouses Factory distribution (mainly) asset free
Samsung in Romania Manufacturing Assembly of LCD computer monitors and Colour TV 3 sites, operated by 3 rd party A Korean contract manufacturer for Samsung Electronics Raw materials supplied via Constanta Sales Subsidiary SEROM Sales office for Romania and Bulgaria Constanta used as port of entry for all finished goods for Home Appliances Division Local logistics operations, with Wim Bosman Factory distribution Supply to all Sales Subsidiaries of Europe and Centralized DCs Sub contracted to Waberers, LKW Walter, K+N etc.
Romania; issues, observations and expectations, 1 Romania benchmarked: In general, like all listed companies, Samsung needs: Reliability and predictability From a Korean corporate point of view Romania is a European province Romania is not benchmarked against Bulgaria or Slovakia but against all European markets. Constanta Port competes with Hamburg, Le Havre, Rotterdam, Gdansk etc Romania as a gateway competes with Nederland DistributieLand In our business tenders we ask the same questions throughout Europe Romania is expected to give same answers as France, UK, Germany
Romania; issues, observations and expectations, 2 Port of Constanta: Samsung recognises opportunities and benefits of Constanta Flows rerouted from Port of Koper to Constanta in 2010 / 2011. Observations and improvement points Cost level for Handling and Inland Distribution is high Compared to other ports of entry in EU Not enough competition among operators Lead times are not reliable enough Current congestion in Koper port can be an opportunity for Constanta
Romania; issues, observations and expectations, 3 Gateway to Europe: High volumes from factory into Europe Cost level per truck considerable higher than Slovakia / Hungary into EU In-balance in outbound and inbound freight Always empty leg to factories for all carriers No local carriers (yet) in Samsungs portfolio Improvements to infrastructure to reduce lead timeVAT Korea officially requested to Romania to make VAT deferment possible Huge impact on financial supply chain when using Romania as EU gateway (importing raw materials and finished goods)
Romania; issues, observations and expectations, 4 Customs: From controlling to cooperation AEO-like methods of working (comparable to Netherlands) Avoid bottlenecks per clearance Lean supply chains are disrupted by unexpected delays.