With strong strategic advantages in its location, quality products, and government support, the Thai economy has organically grown over the decades to the point where it’s at today; regarded as one of the top manufacturing hubs for ASEAN. Behind the scenes driving all of these developments are logistics providers, whose services help keep the wheels turning.
To become a leading operator for the region, logistics providers need to be able to provide comprehensive services that meet international standards. Having a strong network of alliances builds support, but above all else, a leading logistics provider must have a solid team of experienced and skillful staff who have passion for exceeding their customers’ expectations. These are pillars that for 48 years Yusen Logistics’ has built upon and is what has led them to such success in Thailand.
In order to learn about Yusen Logistics’ success and their strengths, we recently spoke with Mr. Nobuki Kurosaka, Vice-president, and Chief Operating Officer; and Ms. Rinda Rosalda Junior, General Manager, Ocean Freight Forwarding Group (OFFG), Yusen Logistics (Thailand).
Potential Growth in the Market
Thailand’s manufacturing of key industrial products has been developing drastically over the years, but the automobile and electronics sectors still dominate. The growth of the manufacturing industry beyond these key sectors is being aided by the rise of domestic consumption within Thailand. Seeing an opportunity, Yusen Logistics have laid down a service foundation to better serve the Thai market, as Mr. Kurosaka said, “We have foreseen the growth capability of Thailand and have long been investing and developing our services to ensure a strong service foundation. Yusen Logistics has been servicing Thailand for 48 consecutive years. We have specialized teams of staff equipped with detailed knowledge in each type of product and cargo. We also have a solid corporate organization network that allows us to provide service and support for our customers globally.”
He continued, “Thailand is a country with high growth potential, especially after the recent government support for Eastern Economic Corridor (EEC) project that covers several port and terminal development plans. These include projects like the Map Ta Phut Port expansion program and Phase 3 expansion in Laem Chabang Port. The development of EEC will attract both domestic and foreign investment. The Thai Government has also promoted infrastructure development and investment into technological advancement for many sectors; including Automobile, Electronics, High-end and Medical Tourism, Agriculture and Biotechnology and Food Processing. There are also plans to support in the future industries including Robotics, Comprehensive Medicine, Aerial and Logistics, Bio Energy and Biochemistry and Digital Industries.”
“The container shipping industry is currently at the center of interest globally; major changes are going on across the sector. Many liners are forming alliances and such activity would and can affect freight charges and service capacities of the industry. However, Yusen Logistics’ customers can rest assured as we are monitoring the situation closely and always prepare for any changes that might occurred,” said Mr. Kurosaka.
All Services You Need
Leading logistics providers like Yusen Logistics are more than ready to respond to every need of the market. “Yusen Logistics has all the service answers for any transport or logistics need. We provide services for general transportation, temperature controlled and project cargo. We are also very able to scale and can service any size of business. We provide both FCL for regular scheduled shipments and LCL for irregular shipments or for customers with smaller volumes. No matter what type of service a customer needs, rest assured that your cargo is in good hands,” Ms. Rosalda Junior said.
Providing standardized services, Yusen Logistics has been growing steadily, as Ms. Rosalda Junior said: “We have had solid growth in the FCL market, especially in 2016. Yusen Logistics has served a total of 774,822 TEU in ocean freight only, a 22% increase from 2015. In Thailand, Yusen Logistics (Thailand) has achieved 45% growth year on year.”
Yusen Logistics’ LCL service has its strength and notability in speed and safety. The operator provides direct consolidation service, meaning that the container will only be opened by Yusen Logistics at its destination. They also provide more flexible and comprehensive services, including indoor storage to keep cargo safe and secure. Most importantly, Yusen Logistics’ freight charges are reasonable and provide good value. This allows customers the ability to better plan their expenses accordingly. Today, Yusen Logistics provides these consolidation services to 14 different destinations. The service coverage is planned to expand alongside the growth of more warehouses and loading facilities across EEC to serve the customers. Initially, Yusen Logistics are planning to start a new service in Laem Chabang Port.
Not only that, Yusen Logistics are adept in general cargo services, and also possess a high level of proficiency in other types of special cargo as Ms. Rosalda Junior explained. “Apart from general cargo services, we also provide temperature controlled services via our temperature controlled containers and warehouses. All our equipment and facilities are of international standard and can accommodate many types of cargo. We also provide solutions to suit any customers’ requirements. We can also transport oversized cargo that cannot fit into standard containers. We have the tools and equipment with a specialized operating staff to suit any kind of transportation and handling need around the word. Our experienced team in the specialized project cargo department have experience with almost every type of project, are adept in their local network, and are able to accommodate any kind of complicated procedures with high efficiency.”
One of the most important factors for Yusen Logistics success in becoming an effective and leading service provider, is their solid and specialized team of operating staff. In Thailand, Yusen Logistics has a team of over a hundred sea freight staff that can promptly take care of every customers’ needs. Starting with suggesting the most suitable servicing route, ensuring and optimizing cargo spaces, together with other value-added services.
Yusen Logistics also promotes intra-organization support across the network, ensuring all staff work and maneuver as one to achieve their goals. Moreover, Yusen Logistics has a long lasting and strong bond with shipping lines, as Mr. Kurosaka explained: “Yusen Logistics has long had partnerships with many ocean liners, which allows us to be more flexible and reliable in servicing our customers. Not only can we serve them port-to-port, but we also provide door-to-door service as an option as well.”
Ms. Rosalda Junior said, “Customers can rely on our global standardized freight forwarding service with over 42 countries of network coverage. We have a smooth and thorough communication and cooperation across the network; not only with shipping lines, but also other freight forwarders, intermodal operators and cross-border operators. We are expanding our services across 5 continents with over 500 servicing branches. In Thailand, Yusen Logistics is very strong in custom brokerage and is the first operator to acquire customs house broker license from the government, same as Authorized Economic Operator (AEO) license according to the World Customs Organization (WCO).”
A Long-term Vision Leading to Great Success
Yusen Logistics’ goal is to continually improve their services. Their recent ‘Transform 2025’ is a corporate wide campaign to step forward with this goal. “Yusen Logistics has a frame work of ‘Vision, Mission and Values’ which reflects our dedication in connecting our customers with businesses and society through our logistics services. We are ready to grow into a global operator in an organic way. We dedicate our work under our brand promise to ‘Create Better Connections,’ to push our services onto the global stage. The promise is what we believe in, which is to get our customers closer to their clients and service providers to our network. We have an operation goal of ‘Insight into Action’, which is to give more benefits back to our customers, to deliver service as promised and reflect our openness and willingness to understand our customers’ needs in detail. We want to ensure their satisfaction and are willing to grow alongside them,” said Mr. Kurosaka.