Logistics Solutions Services Collage of Business Administration BUSI 4261: Entrepreneurship Section 202 Logistics Solutions Services Assignment #1: INDIVIDUAL CASE STUDY PRESENTATION (15% of grade) Presented by: Miznah AlMansour ID#200900258 Sara AlZamil ID#200800118 Instructor: Dr. Annie Viets Due Date: October 17, 2012

Outline The Background of LSS LSS Services Visions and Mission Objectives SWOT Analysis Background of the Industry Target Markets Assessment of LSS Potential for Sustained Success

The Background of LSS Mr. Naif AlQahtani was working in DHL when he discovered that he could do something similar locally. Foreign investors. Many new entrants. LSS was established in 2009.

LSS Services Storage Warehouse management Distribution Logistics

Major Clients Saudi Aramco General Electric Honeywell

Vision and Mission Vision: “Logistics solution services are all about trust and professionalism. We are in the process of developing in the industry of warehousing and supply chain management.” Mission: “We are on a journey to bring total satisfaction to our customers.”

Objectives Their aim is to be a leading logistics company that will also contain customer satisfaction, risk free, and cost control. They employ highly skilled and motivated staff that will help in achieving that goal. The company also applies advanced technology to help ease their service.

SWOT Analysis Strengths Weaknesses Opportunities Threats Strong market position Strong revenue growth Large-scale operations Total solution under one roof Highly controlled distribution system Temperature controlled storage and warehouses Best promising facility in 2010 LSS has its own trucks New to the logistics industry No overseas offices/operations Opportunities Threats Geographical expansion Creating new market segment Technological and economic trends Transport infrastructure Web-enabled logistics operations Entrance of a new competitors Competitors copying LSS strategies Economic conditions Fuel prices Low quality and inefficiency of roads infrastructure

Background of the Industry Amongst the huge investments in infrastructure, the country is being prepared for the growth of its logistics and warehousing sectors The biggest opportunities in Saudi revolve around warehousing, where this sector shows a rapid growth According to a research of DataMonitor, the logistics sector in Saudi Arabia has grown 4% from 2006 to 2012, and it is expected to grow 6.8% by 2014. (Data Monitor, 2011) However, there are very poor inland road and sea connectivity, and that resulted in high transportation costs for logistics industry

Target Markets The target market of LSS are mainly well-known corporations, where they need logistics and supply chain service to facilitate their operations

Assessment of LSS Potential for Sustained Success The impact of services sectors on the economy is so high LSS provides services that are hard to copy, innovative, attractive for the industry, and offers a competitive advantage A long-term relationship and the loyalty of clients is very important. Because when big clients develop confidence in a logistic company, this can lead to a business partnership As a support of the government for the national industries, it is intending to provide additional modern industrial cities to be constructed in various regions of Saudi. In fact, LSS has won a contract and signed with King Abdullah economic city in Riyadh, along with additional industrial cities in Dammam and Jeddah, to be the logistics service provider for those industrial cities, and that would be a sustained success and a huge growth opportunity

Assessment of LSS Potential for Sustained Success (cont’d) There are constant, endless and unpredictable technology advances, and in each of these improvements simply a growth potential As there is are rapid industrial developments and growth boom going on here in Saudi, the available spaces of the lands are decreasing, so accordingly the costs are rising dramatically. That would be a definite growth opportunity for LSS

References AME info. (2008, 11). Rapid Growth in Logistics Industry In Saudi Arabia. Retrieved 10 2012, from AME info: http:// www.ameinfo.com/176479.html Data Monitor. (2011, 1). Logistics and Express Industry in Saudi Arabia Forecasts to 2014. Retrieved 10 2012, from Data Monitor: http://www.datamonitor.com/store/Product logistics_and_express_industry_in_saudi_arabia_forecasts_to_2014?productid=DBAU0727 LSS. (2012). About us. Retrieved 10 2012, from Logistics Solution Services: http://www.lss.com.sa/index.php