4Origin Cargo order & vendor Management Introduction ByYusen Logistics (OCM)Origin Cargo order & vendor Management
5Introduction of NYK Group Largest Japanese Shipping Company with 120 years historyAnnual Turnover about USD 18.3 billion for year ended March 31, 2007Ranked 391th of World’s Largest Corporations by magazine’s 2007 Fortune Global 500 in terms of operating incomes for 2006Stock listed in stock exchanges in Tokyo, Osaka, Nagoya and Frankfurt.
6Overview of NYK Group Business Breakdown: Bulk and specialized Carrier 29%Container %Logistics %Others %Terminal Harbour Transportation 6%Tanker 5%Cruise 2%Real Estate 1%The NYK Group operates approximately 742 (as of March 31, 2007) major ocean vessels as well as planes, trains and trucking fleets.262 office locations, in 32 countries, warehouses in every continent and harbour operations in Asia, North America and Europe
7Yusen Logistics - Hong Kong Orient Consolidation Service (OCS) Inc. was foundedOCS (HK) Ltd was established as Asia Headquarters of OCS Inc.Taiping Cargo Service Limited was establishedName changed to New Wave Logistics (H.K.) Ltd.Established NYK Logistics (Hong Kong) Ltd. by joining 2 well established logistics companies:Orient Consolidation Service (HK) Ltd. INSDNew Wave Logistics (HK) Ltd. DSDName change to Yusen Logistics (Hong Kong) Ltd.
8Origin Cargo order & vendor Management Global Company covering 161 cities and ports in 66 countriesOCM was formerly named as INSD; OCM Hong Kong was established in 2011OCM Hong Kong being the OCM Global Headquarters3 Operation Hubs – HK, London, SecaucusSales & Customer Service Offices in Secaucus, NJ; London, UK
9OCM (Shenzhen) Establishment： APR 2005 Fund： US$ 1.4 Million, NYK100% General Manager ： Jackie Lin Staff： (July 01,2007)Address:25/F, Excellence Times Square,4068 Yitian Road, Futian District, Shenzhen, PRCOffice Tel No: (86)Office Fax No: (86) / 8413Warehouse : Futian Warehouse, Yantian WarehouseService Summary1. Using H/B of NYK Logistics2. Warehouse Service3. Transportation for Cross Border & Domestic,Haulage and Truck4. Import and Export Logistics Consulting Service5. Buyer’s Consolidation service
10OCM (Shenzhen) NYK LOGISTICS (SHEN ZHEN) LTD ServiceVolume (per month)RemarkHaulage3000 TEUEx Pearl Delta River to Yantian/Shekou/Chiwan CYTruck500 TruckInland TruckageX-b Haulage1000 TEUEx Pearl Delta River to HKG CYX-b TruckX-b Truckage to HKG1. NYK Logistics purchased 10 haulages in 2006.We have established cargo transportation andcontrol centre in order to supply professionallogistics solution.2．NYK Logistics cooperates with over 15subcontractors closely. We have owned powerfulcontrol network with 1000 haulages and 500trucks. Spread up more services scope to serveour customers better.3．NYK Logistics has established powerful deliverynetwork in order to serve our customer timelyeffectively with high quality.Here listed some of NL-Germany’s clients, TESCO, The home depot, SONY and many other renowned multinational companies.
11OCM HK – Dedicated Service Team for Academy Sports+Outdoors Local Contacts for Hong Kong, Shenzhen (I.e.Yantian, Shekou), Guangdong Province BookingsOperational Hub and Communication Window with Academy for Asia OriginsGlobal Service Quality Control Center for all Academy OriginsInternal transfer from current teams.Kevin has been with the company for 9 yearsChristine with the company for 8 yearsKaren with the company for 2 years.They only have to understand the specific customers requirement. So, the transition will be smooth.New hire to replace them in the current team.
12Hong Kong ShenZhen Guangzhou Zhuhai Jiangmen Contact List for Yusen Logistics in South ChinaPortsName :Phone :Fax :Internet Address :ResponsibilityHong Kong ShenZhen Guangzhou Zhuhai JiangmenMs. Irene TungEnquiry other than dailyMs. Wei TingMr. Perick ChanDaily Operation overviewMs. Joanne LunBooking processMs. Ling WongMr. Jacky ChanDocumentationMs. Jenny ChengMr. Rex ShenXiamenMs. Lydia ChenFuzhouMs. Tina GuoInternal transfer from current teams.Kevin has been with the company for 9 yearsChristine with the company for 8 yearsKaren with the company for 2 years.They only have to understand the specific customers requirement. So, the transition will be smooth.New hire to replace them in the current team.
13DISTRIBUTION CENTRE OF ACADEMY SPORTS+OUTDOORS JEFFERSONVILLE, GADISTRIBUTION CENTRE OF ACADEMY SPORTS+OUTDOORSKATY, TXCARROLLTON, TX
14Logistics Flow of Academy Sports+Outdoors Vendors/FactoriesNL/INSDconsolidationCFSCYDCStores
15Role and Responsibilities Yusen LogisticsRole and Responsibilities
16Role and Responsibilities OCMRole and ResponsibilitiesWe work according to the instructions of Academy.We book with Academy’s nominated carrier.We are Neutral.We measure performance of all parties in the Academy's supply chain, including ourselves.
17Role and Responsibilities OCMRole and ResponsibilitiesSupervision of vendor on time & accurate delivery.Coordination of FCL booking.Coordination of LCL cargo.Handling of all necessary documentation received from vendors.Preparation of documentation for Sea waybill / Bill of Lading.Collection of all local charges.Issuance of a Forwarder’s Cargo Receipt (FCR), to the vendors, after ALL documents and local charges have been received.
19Origin Consolidation Operations AcademyYusen Logistics/INSDVendorsIssue PO to the VendorsReceive POAcknowledgementReceive PO from AcademyManufacturingYL checks PO status with Vendors (14 days prior to Earliest Vessel Ship Date)Cargo StatusVendor advise PO status to YLBooking InfoYL checks booking against POPlace Booking to YLReceiving, Container and Vessel InfoYL places booking with Carrier and YL stuff the containerLCL delivered to NL & FCL delivered to CarriersCargo ShippedPrepare commercial documents and send to YLYL prepares and issues FCR to the vendorLoading InfoVendors receive the FCRYL prepares container manifest and provides document images to CHB for Customs Clearance.
20Booking Procedure and Control VENDORYusen LOGISTICS ORIGIN OFFICEACADEMYShipping OrderSubmit bookings toYL via eBookingsystem at least 14 daysprior to Early Ship DateShipping Order Informationdownloaded to Yusen LogisticsSystemYL System will verifyShipping Order Info againstAcademy PO fileDiscrepancy ?Obtain Shipment Approvalfrom AcademyApprovedBooking status available inYL ebooking systemAdvise Vendor to correct thediscrepancy and submitbooking againPO VerificationBooking ConfirmationYL S/O# for CFSdelivery and CarrierS/O # for CYdeliveryYN
21Definition of Academy Shipping Window ESD (Early ship date)=Academy Ship date in the POLSD (Last ship date)=Academy Cancel date in PO5 - 7 DAYSEarly Ship Date(Ship Date in PO)Last Ship Date(Cancel Date in PO)
22CY Flow Container Delivery CY) Start Cargo Production On-Time DefinitionCY — Container onboard the vessel within theship window.Max. 5 DaysCargo ProductionMax. 3 Days14 Days5 -7 Days2 Days3 Days2 DaysStart Cargo ProductionSubmit CLP to NYKLNYKL CLP Cut-off = NYKL S/I Cut-offCarrier S/I Cut-offContainer Delivery CY)CY Cut-offVessel Departure (On Board of the vessel)Vendor Doc. SubmissionDocument Dispatch by NYKLFCR IssuedPort Of DischargeRegional DC (RDC) ArrivalBook with NYKLEarly Ship Date (Ship Date)Last Ship Date (Cancel date)
23CFS Flow Container Delivery (CY) Start Cargo Production On-Time DefinitionCFS — container is onboard the vessel within theship window.Max. 5 DaysCargo ProductionMax. 3 Days14 Days5 – 7 Days2 Days3 Days2 DaysCargo Delivery from VendorsCargo Delivery from Vendors (on/before NYKL S/I Cut-off=CFS cut-off)Start Cargo ProductionCarrier S/I Cut-offCY Cut-offContainer Delivery (CY)Vendor Doc. SubmissionDocument Dispatch by NYKLFCR IssuedPort Of DischargeRegional DC (RDC) ArrivalBook with NYKLEarly Ship Date (Ship Date)Container stuffing = NYKL submit S/I to carrierVessel Departure (On Board of the vessel)Last Ship Date (Cancel Date)
24Purpose: ensure adequate space and equipment from carrier Booking RequirementsBooking Timeline:Vendors must submit bookings via YL eBooking system at least 14 days in advance of the Early Ship Date on the Academy’s Purchase Order (Ship Date).On time bookingLBDJUN 1614 daysShipping WindowESDJUN 30LSDJUL 07Purpose: ensure adequate space and equipment from carrierRemark :LBD = Latest Booking DateESD = Early Ship DateLSD = Last Ship Date
25On-time Shipment Container onboard the vessel within shipping window. Full Container Loaded CargoesContainer onboard the vessel withinshipping window.
26On-time Shipment Container onboard the vessel within shipping window. Less-than-container Loaded CargoesContainer onboard the vesselwithin shipping window.
27Booking Information Information required for bookings: Shipper Name / Address / Contact person / phone, address/ fax numberConsignee Name / AddressNotify PartyPort of LoadingDestinationAcademy PO Number & Academy Sku#Shipping Marks
28Booking Information Description of Merchandise Number of Cartons / Piece Count Quantities per Sku#Weight (kgs) and Volume (cbm) per Sku#Container size and number of container requested (Factory load cargo)Estimated Cargo Ready Date (CFS): cargo available to be delivered to YL warehouse or dedicated NVOCC facilityEstimated Cargo Ready date (CY) : laden container delivered to carrier CY1. Production completed2. Inspection passedCY : Container stuffing completed Laden container delivered to carrier CYCFS: Cargo can be delivered to NL warehouse or dedicated NVOCC facilityDefinition ofCargo Ready Date
29PO VerificationYL needs to make sure all bookings comply with Academy PO info :PO numberAcademy Sku #Onboard a vessel within Shipment WindowQuantities (except for Apparel which has +/-5% tolerance)FOB pointCan meet minimum load requirement (CY)All discrepancies must be approved by Academy
31Sample of Carrier Booking Confirmation Carrier booking numberYL CLP cut-off time
32Factory Load Requirements Academy Container Load Standard:20’ FT Min 21 cbm Max 13,000 kgs40’ Dry Min 52 cbm Max 20,400 kgs40‘ High Cube Min 59 cbm Max 20,400 kgs45‘ Dry Min 69 cbm Max 20,400 kgsIf vendor cannot provide SRA after delivering the laden container, vendor will be responsible for any charges incurred in holding the container at origin.Any loading measurement not meeting the container utilization requirements or any possibility of overweight must be report to Academy before empty container collection
33Factory Load Requirements Load Merchandise by PO number and by Sku number.A purchase order should never be split into two containers unless the volume exceeds one container.Must submit Container Loading Plan (CLP) to NL on/before YL CLP cut-off time after cargo stuffing with complete and accurate information.If vendor cannot provide SRA after delivering the laden container, vendor will be responsible for any charges incurred in holding the container at origin.
34Container Loading Plan (CLP) Requirements for Factory Load CLP Information:Container numberSeal NumberSize of ContainerPort of LoadingFinal DestinationContainer Arrival Date at TerminalVessel Name/Voyage NumberOcean CarrierCarrier Booking NumberPO & Academy Sku #Precise cargo description: generic description such as “General Cargo”, “Freight All Kind” is not allowedCarton & Piece Quantity (lowest visible packing)Weight & CBMIf vendor cannot provide SRA after delivering the laden container, vendor will be responsible for any charges incurred in holding the container at origin.
35Container Loading Plan Sample Submit to YL on/beforeYL CLP cut-off time
36CFS Cargo Delivery Requirement Vendors need to present YL Shipping Order for cargo deliveryCargo must be delivered to YL warehouse by the CFS cut-off stated on the booking confirmation sheetCargo must be sorted by P.O. and by Academy Sku in advanceCargo must be delivered to warehouse in sound condition
37Documentation Requirements Vendor should submit YL Complete and Accurate documents within 72 hrs or 3 business days after vessel sailing, 1 original copyThe required basic documents :Signed Commercial InvoicePacking ListAcademy Sports & Outdoors Document ChecklistManufacturer’s CertificateFinal Quality Audit Report/ Inspection CertificateCertificate of Origin (if applicable)Container Manifest
38Documentation Requirements Visa CargoTextile Export License (w/ visa stamp or visaed document)Textile Country Declaration (Single or multiple)Quota Charge StatementOther applicable requirements (if any)FootwearFootwear detail sheet IFI
39Documentation Requirements SunglassesImpact Resistance Certificate( FDA Listing #, Medical Device #)Rawhide Dog ChewsVeterinary CertificateProduction Process ListCertificate of IrradiationAmmunitionShipping specificationMultimodal Dangerous Good Declaration
40Documentation Requirements Forwarder Cargo Receipt (FCR) will be released to vendor upon YL receiving all required documents and local charges from vendors.If vendor fails to submit documents to YL within 72 hours or 3 business days after vessel sailing, YL will issue Document Delay Notice to vendor.
41Vendors Responsibilities Timely delivery of products and documentationAccuracy of informationCondition of cartonsProper packaging to avoid damages
43Booking 14 Days Before Early Ship Date Vendor must submit booking to NL at least14 Days BeforeEarly Ship DateTo get adequate Equipment and Space from shipping carrier
44Container Loading Plan YL CLP CutoffShipper must submitComplete & AccurateContainer Loading Planto NL before YL CLP CutoffYL has to submit information to Carrier before Carrier SI Cutoff. Otherwise, the container may be detained in loading port
45Shipping Instruction (SI) Carrier SI CutoffYL must submitShipping Instruction (SI)to Carrier before Carrier SI CutoffCarrier has to submit Advance Manifest Information to US Customs 24 hours prior to loading onto the Vessel.
46 Vessel Departure Complete and accurate information Containers can be loaded on vessel as booked
47Complete & Accurate Sets of Commercial Documents Commercial Document SubmissionShipper must submitComplete & AccurateSets of Commercial Documentsto NLwithin 3 business days after Vessel DepartureYL has to prepare and send all the necessary documents to Customs Broker for Customs Clearance. Otherwise, the container may not be delivered on time.
49Forwarders’ Cargo Receipt (FCR) Issuance FCR draft will be available in the eBooking for review or checking once full set of commercial documents with cargo is received whichever later.Forwarders’ Cargo Receipt (FCR) will be released to vendor upon receiving confirmed draft FCR copy, required sets of document and all local charges from vendor.FCR will be issued per booking, per vessel, per Academy’s destination and per origin.Commercial Document should be prepared per Sea Way Bill.
50Upper part of FCR SAMPLE NOTIFY PARTY: NYK Logisitics France Parc de Chesnes - Quatre routes7, rue des quatre routes-BP 3538291 St Quentin Fallavier CedexFranceREF:518486DESCRIPTIONK/DRECTANGLESHAPESTORAGE BOXW/LIDCPX NO.:31693C/O NYKC/NO.: OFCY-CYPO NO: 31693ITEM NO (HL6208BN)PRODUCT DESCRIPTIONS:K/D RECTANGLE SHAPE STORAGEBOX W/LID/PIECE125 CARTONSSAMPLE
53Key Performance Indicators for Vendors Booking TimelinessBooking and Container Loading Plan AccuracyContainer Loading Plan Submission TimelinessCommercial Documents Submission TimelinessVendor Scorecard will be prepared for Academy’s Reference
57eBooking Benefits for Vendors Avoid delay caused by inaccessible fax transmissionHigher visibility in booking status, e.g. booking approval status.Minimize typo errors as there is alert in ebooking systemReduce Paper UsageAvoid back and forth clarification for unclear or missing informationMinimize redundant input e.g. Cargo description can be downloaded from PO transmissionEnhanced Reporting Capabilities
58How to Apply for Login Go to NYK Logistics e-Booking web-site Download Registration Form and save to your own PC.Fill in the form and to :Login ID and password will be informed within 1 working day by .
59e-Booking Registration Form 1 administrative user and up to 3 operation user logins can be requested per vendor / factory.Administrative user has the right to maintain user profile (name, password etc) of all login ID and define template.
60First time Login:Vendors are required to double check whether the information of the Users is correct.
61e-Booking Functions On-line Booking by Academy PO No. Print out Shipping OrderFor you to keep copyFor cargo delivery to CFS warehouseLoad Plan SubmissionFor CY container onlyView Academy’s min loading requirement online.To provide Container and Loading information for S/I submission.Real-time TrackingView booking status, FCR draft content, B/L# and sailing information onlineTemplate DefineReduce time to enter Ship Marks & Merchandise DescriptionUseful InformationeBooking manualVendor GuidelineYantian warehouse map and customs declaration requirement
62On-line Booking More flexible to submit booking 7 days a week. Improve accuracy by real-time validation on PO and Sku #Allow booking to be made on Academy’s PO No.Save time to enter item details.Reduce processing time.
63Shipping Order Let you to keep your own copy. Shows Yuse Logistics Shipping Order No. if booking is confirmed.The printed copy of Shipping Order must carry “YL Shipping Order No.” for cargo delivery to CFS warehouse.PDF format
64Submit Load Plan View Academy min loading requirements. Container No. check digit validation.Eliminate redundant typing and speed up SI submission.
65Real Time Tracking Booking status. Shipment & Sailing info View FCR (draft) content
66Support On-line Help screen for all functions. Contact NYK Logistics local office
69Frequently Asked Questions Which login (administrative user login / operation login) should vendor used to create the eBookings ?Depends. The administrative user can see all the bookings created and a operation user can only see the bookings created by herself.How long will NYKL confirm the eBookings submitted ?CFS：1 working day if no discrepancy and no Academy’s approval is required.CY : Depends on when the nominated carrier by Academy release bookings to NYKL (YL will closely follow up with carriers and report carriers’ performance to Academy constantly.)
70Frequently Asked Questions 3. Is it allowed to submit 1 eBooking with many POs ?Yes, if the final destination & estimate cargo delivery for the POs are the same, they can be submitted under 1 eBooking.Note : No. of FCR = No. of commercial invoice = No. of eBookingIf vendor request more FCRs to be issued per PO basis,vendor should request by on or before submission of CLP.4. Is it possible to release FCR in Hong Kong for cargo out of Xiamen and how much does it cost ?Yes, vendor only need to declare the FCR release location at the time of booking, and pay “Offshore FCR release fee” USD30 per FCR for such arrangement.
71Frequently Asked Questions 5. Is it possible to print the Original FCR from the eBooking system ?No. Only non-negotiable copy of FCR can be printed for supplier checking. Original FCR will be released once draft FCR is confirmed, documents are submitted and local charges are paid.6. Will there be any Letter of Credit discrepancy during this transition period ?Academy will accept the Letter of Credit discrepancy caused by the change of Logistics company, as long as the Forwarder’s Cargo Receipt is issued by NYK Logistics (Hong Kong) Limited.
72Academy / NYK Logistics Vendors Seminar Thank you all for attending. We hope this meeting has been informative & beneficialThank you all for attending.This presentation materials can be available via the following FTP site for download :