Logistics Department

| 5 minutes

The purpose of this document is to describe the function of the Logistics Department inside AdvaCare Pharma organization and define the department members' roles and responsibilities within the team.

1. KPIs

  1. Shipping cost competitiveness
  2. Shipping time
  3. Average transportation cost per order
  4. Perfect Order Rate (amount of orders shipped and delivered without any incidents)
  5. Shipping Documentation accuracy

2. Organizational Structure

3. Department Role within Company

Goals of Procurement Dept.
  • Arrange the shipments of the order on time and according to the importers’ requirements.
  • Prepare and manage the documents needed for shipments of certain products to certain markets.
  • Prepare and manage the documents needed for customs clearance at the country of origin.
  • Assist Account Managers with providing the information required to successfully ship the products to certain markets.
  • Assist Business Development Dept. and Account Managers with sending samples and documents by courier.
  • Communicate with Freight Forwarders to get the required information or documentation to fulfil the shipping requirements in the most time effective way.
  • Contribute to shared knowledge of Procurement and Logistics Depts.
  • Maintain important information about Freight Forwarders in ERP, sign agreements with Freight Forwarders, keep the documents in the appropriate folders in the Server.
Interdepartmental Relationships
Logistics & Account Managers (Sales Dept.)

The main role of Account Managers is to manage every order production and delivery to satisfy the needs of the Customer, and to pass the requirements of every Customer to Logistics Dept.

Logistics Dept. is responsible to:

  • Reply to all tasks sent by Sales Dept., and every question asked via tasks within the least possible amount of time;
  • Arrange the shipments according to the requirements provided by Account Managers;
  • Prepare the shipping documents according to shipping requirements;
  • Make sure to provide the most cost effective shipment options;
  • Make sure to arrange the shipments in the most seamless way possible;
  • Provide maximum possible information and all options;
  • Not just copy/paste the information, but think what option will be best for the company and share opinion or advice when possible;
  • Facilitate inter-department communication.

Account Managers are responsible to:

  • Get all the details about the products and documents required for the shipment from the client and provide the information to Logistics Dept. in advance;
  • Be clear on the shipping requirements of the Customer;
  • Get the confirmation of the documents from the Customer on time;
  • Facilitate inter-department communication.
Logistics & Business Development Dept. (Sales Dept.)

The main role of BD Dept. is to develop new clients and handle registrations. BD Dept. identifies the needs of the Customers, gets the required documents and samples from Procurement and Registration Depts. and passes the shipping related information to Logistics Dept.

Logistics Dept. is responsible to:

  • Reply to all tasks sent by BD Dept., and every question asked via tasks within the least possible amount of time;
  • Provide maximum possible information and all options;
  • Arrange the shipments of documents and samples within the least possible amount of time and in the most cost effective way;
  • Not just copy/paste the information, but think what option will be best for the company and share opinion or advice when possible;
  • Facilitate inter-department communication.

BD Dept. is responsible to:

  • Get all the details about the shipping requirements from the client and provide the information to the Logistics Dept. in advance;
  • Facilitate inter-department communication.
Logistics & Procurement Dept.

The main role of Procurement Dept. is to place the orders and make sure production is finished on time. Sales Dept. instructs Procurement Dept. of the requirements and Procurement Dept. places the order, confirms the details and ensures the delivery time.

Procurement Dept. will inform Logistics Dept. when production of the order is finished, and will assist to get the goods sent out to the designated by Logistics Dept. warehouse.

Procurement Dept. is responsible to:

  • Inform Logistics Dept. of the CBM, weight details of each product of the order;
  • Coordinate with Logistics Dept. to arrange the goods to be sent to designated warehouse;
  • Assist Logistics Dept. with providing any other information, such as Fapiao details, currency, time of delivery to warehouse, etc.

Logistics Dept. is responsible to:

  • Communicate with the Procurement Dept. to get the details of every order on time;
  • Communicate with Procurement Dept. to get the required documents from Vendor on time;
  • Inform Procurement Dept. of any additional requirements of the shipment if it is related to Vendor.
Logistics & Marketing Dept.

The role of Marketing Dept. is to prepare the promotional materials and inform Logistics Dept. the details of each promotional product.

Marketing Dept. is responsible to:

  • Prepare promotional materials on time to include into the shipment;
  • Provide the necessary details about every promotional product to Logistics Dept. in advance.

Logistics Dept. is responsible to:

  • Make sure promotional materials are included in the shipment;
  • Arrange the shipment on time and in the most cost effective way;
  • Prepare customs clearance documents with promotional materials included.
Logistics & Accounting Dept.

The main role of Accounting Dept. is to arrange timely payments to Freight Forwarders.

Logistics Dept. is responsible to:

  • Inform Accounting Dept. in advance of all RMB payments to make for the previous month;
  • Inform Accounting Dept. in advance of all USD payments to make for the previous month;
  • Provide the tax invoices from Freight Forwarders to Accounting Dept. (fapiao);
  • Inform Accounting Dept. of any additional cost or any changes in the total amounts to Freight Forwarders before closing the order.

Accounting Dept. is responsible to:

  • Make timely payments to Freight Forwarders;
  • Keep the record of debits/credits per Freight Forwarder;
  • Record the refund amounts (if any) and make sure to deduct from next payment due;
  • Record outstanding amounts owed to the Freight Forwarders and add to the next payment due.

4. Roles and Responsibilities

Logistics Dept. Supervisor

General:

  • Arrange shipments according to the shipping requirements for every order;
  • Arrange booking of shipments in a most cost and time effective way;
  • Identify potential problems of shipping;
  • Communicate with Freight Forwarders to resolve any problem;
  • Prepare shipping documents for Customers;
  • Prepare customs clearance documents;
  • Find new Freight Forwarders and negotiate the terms;
  • Arrange shipments in the most seamless way possible;
  • Inform Account Managers and Business Development Dept. of any problems or details related to shipments;
  • Arrange shipping related inspections, such as SGS, Intertek, etc.;
  • Data maintenance in Odoo.

Deliverables:

  • Shipping documents for the Customer
  • Customs clearance documents
  • Freight Forwarder agreements
  • AdvaCare SOPs

Documents:

  • AdvaCare SOPs
  • Shipping instructions

Skills:

  • Decision-making
  • Problem-solving
  • Communication
  • Accuracy
  • Attention to detail
  • Knowledge of shipping documents
  • Understanding of the processes of shipping
  • English language
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