RiSk FacToRS The nature of business of the Company which is logistics provider should take various factors into account to encourage The Company to achieve the set objectives and goals and maintain quality of service. To gain customer satisfaction in service quality, the assessment of risk factors that may affect the company to fail is important. The Company has analyzed the risks that may occur and affect the operations in the future as follows.
Risks in business The risk of fluctuations in freight rates Cost of freight / airfreight is the main cost for international logistics services. In 2012 - 2016, the cost accounted for approximately 83.69%, 78.59%, 78.77%, 77.79% and 77.79% respectively. 75.98 of the total cost, respectively. Thus, the volatility of the freight rate, which varies according to supply and demand in the market. The impact on service cost and net profit margin of the Group. If the case is the company. Can not adjust service prices increase with the freight costs have increased. The Group realizes the potential risks from the fluctuation of freight. It is important since the litter. The volume of customer demand and the volume of cargo are forecasted. To increase the bargaining power of freight. And the contract is made. In case of change in the price as specified in the agreement. Shipping must be made at least 30 days in advance. The company will closely monitor the freight rates. In order to forecast the situation and trend of freight rate, the Company and its subsidiaries can set the service price to have profit margin level to support the change of freight rate to a certain level. Normally, the contract with the shipping line (Thai-US route) will specify the minimum purchase volume. A service agreement with a shipping line (Thai-US route) states that if the company The Company will be fined (US $ 250) per FEU (Forty Foot Equipment Unit or 40-foot container). An estimate of the amount of work from the past will be used to estimate the expected job prospects before signing the contract. To ensure that the contract can be sold as agreed in the contract. In case of full vessel The Company will reduce the amount of MQC (Minmum Quantity Commitment). Never by such fines.
Risk of responsibility in the product. In case of damage
The Company The Company operates as a full-service international logistics service provider. There may be a risk of damage to the goods during transit. In case of damage to the customer’s goods, it can be proved that the transportation is under the responsibility of the company. In the beginning, the insurance company will be responsible for compensating the damages to the customers. The Company will investigate and compensate the damages to the customers. Including outbound operators to reduce the risk of damage to the product. And it is important to choose a standard and accepted insurance company. In the past 5 years, the Company and its subsidiaries have not yet paid compensation to customers in case of damage to the product which affects the operating results. Of the Company. And its subsidiaries.
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Total Logistics Service and Solution Provider