Báo cáo thực tập tiếng anh GRADUATE INTERNSHIP REPORT FREIGHT FORWARDING ACTIVITIES

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VIETNAM NATIONAL UNIVERSITY, HANOI
INTERNATIONAL SCHOOL

***

GRADUATE INTERNSHIP REPORT

FREIGHT FORWARDING ACTIVITIES
ELS AIR & OCEAN C/O THE VY CO., LTD
SUITE 401, NO 131, BUI THI XUAN ST., HAI BA TRUNG DIST., HANOI, VIETNAM

Supervisor: Tran Hong Ngan, M.A
Student’s full name: Nguyen Kieu Oanh
Student’s ID: 11071275
Major: International Business
Class: IB2012B

Hanoi,March 2016


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ACKNOWLEDGEMENT
Having such an amazing and satisfying experience at The Vy Company over
these 6 weeks, I would like to express my gratitude and thanks towards the
following people for their support:
To the company perspective, if they had not made the decision to select me for
the internship, I would not have this opportunity to practice my learning, special
thanks to:

Mr. Nguyen Phi Hung – Director, also my supervisor
Mr. Cong Phuong Hiep – Deputy Director
I would also like to acknowledge Prof Tran Hong Ngan’s involvement and
supervision of my internship as well as her valuable advice during doing this report
Besides, I would like to thanks to Mrs. Nguyen Thi Le Van of Student training
and management Department for supporting me such up to date and informational
material to complete this report.
Last but not least, to my dear friends Ms. Dang Thanh Thao, Ms. Bui Hong
Cuc, Ms Le Thi Thuy Hong for their guiding, sharing and supporting.


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Table of Contents
Rationale...................................................................................................................................................................5
Purpose and Scope of study.....................................................................................................................................5
Structure of the report..............................................................................................................................................5
CHAPTER I: AN INTRODUCTION TO THE VY COMPANY, LIMITED..........................................................6
I Basic information.....................................................................................................................................................6
II Functions, Duties, Administration and Personal management structure ...............................................................7
a. Functions................................................................................................................................................................7
b. Company’s duties...................................................................................................................................................7
c. Human resources and Administrative structure ....................................................................................................8
CHAPTER II: THE COMPANY’S BUSINESS....................................................................................................10
I. General business activities ...................................................................................................................................10
1. The Vy business’s characteristics .......................................................................................................................10
2. Competitive position ...........................................................................................................................................10
II. Freight Forwarding Activities...........................................................................................................................11
1. Freight Forwarding Basic information.................................................................................................................11
2. Span of International Operation...........................................................................................................................13

3. Conference Lines.................................................................................................................................................14
4. Services Offered and Assets ...............................................................................................................................15
5. Freight forwarding clients:...................................................................................................................................22
CHAPTER III: INTERSHIP ACTIVITIES............................................................................................................25
I. Objectives.............................................................................................................................................................25
II. Content................................................................................................................................................................25
1. Scanning order email from the customer.............................................................................................................27
2. Bill of lading tracking .........................................................................................................................................28
3. Transshipment......................................................................................................................................................28
III. Methodology.....................................................................................................................................................28
CHAPTER IV: PERSONAL LEARNING AND REFLECTION..........................................................................30


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I. Knowledge improvement .....................................................................................................................................30
II. Social and communication skills.........................................................................................................................30
III. Time management .............................................................................................................................................31
IV. Positive working attitude...................................................................................................................................31
V. Observation and recommendation.......................................................................................................................32
1. Observation..........................................................................................................................................................32
2. Recommendations................................................................................................................................................33
CHAPTER V: SUMMARY AND CONCLUSION...............................................................................................35
REFERENCES..............................................................................................................................................................36
APPENDIX...................................................................................................................................................................37


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INTRODUCTION

Rationale

I had done the internship for about 2 month at The Vy Co., Ltd and I had
some experiences that I brought out here in this report. During the internship
period, I got used to with the real working environment, built new relationships
with the co-worker and studied work place communication manors. Moreover,
through the internship, I can bring what I studied at university program in the real
working world.
Purpose and Scope of study
The purpose of the report is to give an in-depth insight of my experiences as
an office intern at The Vy over this short but enriching 6 weeks.
This report is carried out by self-study and collecting materials from The Vy’s
stored documents as well as the Internet combining with materials collected from
current employees of The Vy.
Structure of the report
The first part of the reports offers an overview of the organization. The next
part is main logistic activities of The Vy Limited Company. This part will be the
main content of this report which shows out my understanding about the practical
logistic activities. The next part is about internship activities with some personal
learning and reflection of the internship to me. Finally, the report warp-up with a
few closing remark with summary and conclusion from the experiences.


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CHAPTER I: AN INTRODUCTION TO THE VY COMPANY, LIMITED
I

Basic information
The Vy Company Co., Ltd is the Hanoi representative office of ELS air &
Ocean Limited Company which located in Taipei, Taiwan. The Vy Company Co.,
Ltd was formally established and put into operation according to Business

registration certificate No. 0102025865 of Department of Planning and Investing
Hanoi on 17th April, 2006.
Official name: Công ty TNHH Thế Vỹ
English name: The Vy Company Limited
Name in short: The Vy Co., Ltd
Address: Suite 401, No 131, Bui Thi Xuan St.,Hai Ba Trung Dist., Hanoi,
Vietnam
Phone number: 043 9763 345 - 6
Fax: 043 9763 348
Tax code: 0101918117
Charter capital: 700.000.000 VND (Seven hundred million Vietnam Dong)
Capital
contributing

Mr. Nguyen Phi Hung

members:

Ms. Pham Thi Ngoc
Van

28.57%
28.57%


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II

Functions, Duties, Administration and Personal management structure

a. Functions
The company’s functions include international services in transportation,
logistic, exportation, importation, agency, consulting, etc. for domestic and
foreign companies in transportation, logistic, exportation and importation
sectors.
In detailed, The Vy’s functions include:
-

Logistics services import and export goods

-

Goods on consignment agent

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Customs brokerage services, warehousing

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Buying and selling personal belongings and family (except sporting

guns), metal products, electrical appliances, garments, fabrics, sports
equipment, cosmetics (except cosmetics are harmful to health), arts and
crafts products, electrical goods, electrical appliances, computers, office
machines (except for color printers), paper, plastic resins, fertilizers,
household goods, exterior decoration, aluminum products, plastics, food,
food, agricultural and fishery products, leather buffalo - cattle primary
processing ...
Besides, depending on client’s requirements, The Vy may take care of other

services arising in delivery and special services like collecting, relevant
services related to logistics activities.
b. Company’s duties
- Build plans and implement business services following recent regulations


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- Ensure preservation and addition capital based on self-financing,
reasonable and efficiency usage of capital; fulfill payment obligations of the
State Budget.
- Regularly promote, improve company’s facilities.
- Joint and associate venture to carrying out delivery, transportation goods by
modern vehicles in flows, transport routes rationally and safely; improve
transportation, transition, storage in warehouse and yard, delivery; and ensure
safe storage of cargoes within the responsibility of The Vy.
c. Human resources and Administrative structure
The company is being managed by a direct scheme in which Director
Nguyen Phi Hung is the most powerful person, have responsibilities in every
activity of The Vy. Under his business are 100% staffs having university
degrees who take charge of others positions.
The following diagram is the simple human resources structure of The Vy:


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In which:
- Director: Directly running the company, negotiating, signing contracts,
executing deal, resolving problems with clients and being legal representative
- Deputy Director: Helping the Director in personnel management,

recruitment, finding clients, resolving clients’ problems
- Accountant: Monitoring expenditures, accounting business through
documentary
- Specialist staff: Organizing and implementing professional works in
logistics. In charge of researching activities, find ding potential clients in both
air way and ocean.


Personal Evaluating: The simple personnel structure of the

company helps reduce cost and easily to manage


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CHAPTER II: THE COMPANY’S BUSINESS
I.

General business activities
1. The Vy business’s characteristics
Seasonal: it is a general characteristic of almost company, which works in
this logistic sector. Seasonal business activities depend on the seasonality of
export/import goods.
Having not own any ship or container: This is a disadvantage to compare
with others because this may cause passive situation for the company,
especially in Maritime season. Sometimes the company has to struggle to the
problem of competition between the vessel providing firms.
2. Competitive position
Nowadays, along with the open market policies of Vietnam government,
there are hundreds of state companies, joint stock companies, joint venture

companies, and private companies competing with The Vy in logistics sector.
Those companies are so variety in scale, type of ownership and functions…
This fact forces The Vy to have a clear plan, suitable develop policies to utilize
human resources effectively, and promote advantages to survive and develop.


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II.

Freight Forwarding Activities
1. Freight Forwarding Basic information
a. Definition
Freight forwarding is a service used by companies that deal in international
or multi-national import and export. While his freight forwarder does not
actually move the freight itself, it acts as an intermediary between the client
and various transportation services. Sending products from one international
destination to another can involve a multitude of carriers, requirements and
legalities. A freight forwarding service handles the considerable logistics of
this task for the client, relieving what would otherwise be a formidable
burden.
Freight forwarding services guarantee that products will get to the proper
destination

by

an

agreed

upon

date,

and

in

good

condition.

The freight forwarding service utilizes established relationships with carriers
of all kinds, from air freighters and trucking companies, to rail freighters and
ocean liners.
Freight forwarding services negotiate the best possible price to move the
product along the most economical route by working out various bids and
choosing the one that best balances speed, cost and reliability.
A freight forwarding service generally provides one or more estimates to
the client along with advisement, when necessary. Considerations that effect
price will range from origin and destination to special requirements, such as
refrigeration or, for example, transport of potentially hazardous materials.
Assuming the client accepts the forwarder’s bid, the freight is readied for
shipping. The freight forwarding service then undertakes the responsibility of
arranging the transport from point of origin to destination.
b. Functions of Freight Forwarder


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There is a lot that goes into arranging your international shipping. While
the freight forwarder handles the details of your international shipping, it is
important to know what a freight forwarder does not do in order to
understand what a freight forwarder actually does.
A freight forwarder does not actually move your freight itself.
The freight forwarder acts as an intermediary between a shipper and
various transportation services such as ocean shipping on cargo ships,
trucking, expedited shipping by air freight, and moving goods by rail.
A freight forwarding service utilizes established relationships with carriers,
from air freighters and trucking companies, to rail freighters and ocean liners,
in order to negotiate the best possible price to move shippers' goods along the
most economical route by working out various bids and choosing the one that
best balances speed, cost, and reliability.
Freight forwarders handle the considerable logistics of shipping goods from
one international destination to another, a task that would otherwise be a
formidable burden for their client.
To comply with export documentation and shipping requirements, many
exporters utilize a freight forwarder to act as their shipping agent. The
forwarder advises and assists clients on how to move goods most efficiently
from one destination to another. A forwarder’s extensive knowledge of
documentation requirements, regulations, transportation costs and banking
practices can ease the exporting process for many companies. ( Export.gov)
c. Reason for working with a Freight Forwarder


A good freight forwarding service can save you untold time and

potential headaches while providing reliable transportation of products at
competitive rates.

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

A freight forwarder is an asset to almost any company dealing in

international transportation of goods, and is especially helpful when inhouse resources are not versed in international shipping procedures.
There are many advantages to using a freight forwarder. Here are a few
listed:
•

A Freight Forwarder handles ancillary services that are part of the

international shipping business
Insurance
Customs Documentation
Etc...
•
A Freight Forwarder provides to consolidators as well as individual
shippers:
Non-Vessel Operating Common Carrier documentation
Bills of Lading
Warehousing
Risk Assessment and Management
Methods of International Payment
Etc...
•
A Freight Forwarder insists on personal communication and great
customer service.

Whether the firm is large or small, the weight of the cargo light or heavy,
the freight forwarder will take care of cargo from “dock to door” if
requested to do so. This can include the correct filing of export
documentation, all arrangements with carriers, packing, crating and storage
needs. So, the small and medium-size exporter need not deal with many of
the details involved with the logistics of exporting their goods. In addition,
freight forwarders typically charge modest rates for their services and have
access to shipping discounts. It may be a good investment. (Export.gov)
2. Span of International Operation
Once again, The Vy Co., Ltd was a brand representative of ELS air & Ocean
Limited Company.


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The company’s headquarter located in Taipei, Taiwan. As being a
multinational company, under the company line, they lay the individual
country that are their main customer destination market with their
representative branch offices. In some country, the company has an associated
company through which they provide their services.
3. Conference Lines
A shipping conference is a voluntary association of ocean carriers operating
on a particular trade route between two or more countries. These associations
were originally formed in the nineteenth century as a means to provide
transport services for trade between England and its colonies.
A shipping conference establishes uniform freight rates, and terms &
conditions that are adhered to by the member carriers. Although the sheer
nature of this organizational structure can be compared to that of a cartel, it is
seen as very beneficial in the growth of international trade through the
establishment of stable and predictable rate levels. This in turn, reduces the

threat of predatory price competition.
Although a conference serves as the association at large, member carriers are
divided into alliances, which provide the basis for a liner service. The carriers
share or lease out an agreed portion of their ships to other members, thus
providing more frequent services for each. At the benefit of countries and
customers, liner services provide sailings on a regular schedule to and from
specific ports along a trade route. This schedule is regularly updated for each
ship’s ETA and ETD. The intervals, upon which the sailing schedules are set,
are determined by the amount of cargo transported on that route. For large
routes from Asia-Europe, this is a weekly service. For smaller inter-regional
traffic, these may be on a two weeks basis.


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In order to keep conferences from unfairly discriminating against
independent carriers through particular membership requirements, the U.S. and
Germany require that all conferences that serve their ports must be open. This
means they must be willing to accept new carriers under fair and reasonable
terms and conditions.
The formation of modern alliances began in 1994 with the formation of the
Global Alliance between American President Lines, Mitsui OSK Line,
EXPOLANKA FREIGHT LIMITED LINES, and Nedlloyd Lines. The Grand
Alliance came next with the members: NYK, Hapag-Lloyd, Neptune Orient
Line, and P&O). The following shows the major alliances today:

New World Alliance

Independent Carriers

Alliance
APL

CMA/CGM

Hyundai

CSAV/Chilean Line

MOL

Hanjin Shipping
Montemar Maritime
Zim Israel Navigation

Co.
New Grand Alliance

CKYH Alliance

Hapag-Lloyd

COSCO ”·

NYK Line

“K” Line

Hanjin Shipping
MISC·

P & O Nedlloyd
4. Services Offered and Assets

Yang Ming Line


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a. Trade Routes
The following routes cover transport for Asia – North America, Asia – North
Europe. The Vy covers other important routes over the Pacific Ocean and
offers a significant number of routes for intra- Asia However another route not
mentioned here. To this perspective, The Vy focus on customers around North
America and North Europe as the following:
Trans-Atlantic Trade is TAT, whereas Asia-Europe Trade is AET.
Asia – North America: There is the Gateway Express consisting of three
services lines each running once a week between 5 European cities and
Montreal.
Asia – North Europe : In conjunction with the New Grand Alliance,
EXPOLANKA FREIGHT LIMITED LINES

offers six service loops

connecting 10 European cities to China, Japan, Singapore, Korea, Indonesia,
Sri Lanka, and the Middle East. Each loop covers a particular group of cities,
but the two main Asian cities covered are Singapore and Busan.


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( Top trade route in 2013)
b. Containers
The first and most popular sport is the general twenty and forty foot length
container. The exact dimensions are 20/40’ x 8’ x 8’6”. High Cube (HQ)
containers are also available which offer one-foot greater height, 9’6”. These
containers are made of steel or aluminum (which is lighter and can bear a
higher max gross weight).
Reefer containers are refrigerated containers for temperature sensitive goods
like food, chemicals, pharmaceuticals, and particular medical equipment.
Cooled air is delivered through the floor to allow thorough distribution. These
containers are made of steel with a stainless steel lining and are available in
20ft, 40ft and 40ft high cube sizes.
Open top containers allow bulk cargo like machinery to be loaded from
overhead. They come with a PVC tarp cover and attachable bows with cable


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sealing devices, in addition to removable container doors for easier cargo
stuffing. They are made of steel available in 20 and 40ft sizes. Flat racks are
standard 20-40ft containers designed for heavy cargo loaded from the sides or
top, for example lumber and pipes. These are available as collapsible or noncollapsible with or without walls, and are made of steel.
To suit the shipment needs of clothing manufacturers and distributors which
have either a string or bar system (or both) for hanging clothes, and offer the
client greater load internal capacity and lower handling costs.
As being a forwarder, The Vy received every order from the clients.
Therefore it is cannot deny that if the order will be on full container load (FCL)
or less container load (LCL).
c. Vessels
All of their ships which was used by The Vy as the vessels are registered and

come in different classes with respect to capacity and purpose. The S-class
with 10 ships carry within an average of 5,500 TEU. The E-class with 2 ships
carry 2,450 TEU. The F-class with 6 ships carry an average of 3,200 TEU. The
ICE class has 3 special ships with strong reinforced hulls for very cold weather
and ice conditions; two carry up to 3,100 TEU while the last one up to 4,400
TEU.
The need for larger ports:
Although ocean ships will only get bigger and have higher-capacities over
the next 20 years, an important issue for certain ports is the ability to
accommodate these massive vessels. At the present, it is the fact that there is
no eligibility port in Vietnam which can suite the international large shipping
vessels. Therefore all the shipment will be load on Hai Phong port then being
transferred to another vessel to meet the destination port.


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Some destination port of The Vy’s shipment is listed as following:
MON

UK

SHA

LAX

PHI

CXF

TOR

MIA

LBG

PTY

NYC

UEA

HKG

YYC
YUL

.
d. Bill of Lading
This official legal document issued by the carrier to the shipper is a contract
of carriage that represents the ownership of cargo, a negotiable document to
accept cargo, and the terms and conditions under this contract that identify the
responsibilities and liabilities of each party. Issued B/Ls come usually in a set
of three originals which are signed by the master of the ship or another
authorized person on behalf of the shipping company. On presentation of any
of the three originals (along with appropriate payment), the master or
authorized person has to turn over the goods to the consignee or delegated
party.

Types of B/Ls

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1. Straight – Here the consignment is made directly to the overseas
customer or other entrusted agent to further handle the goods.
2. Order –

This B/L is negotiable, meaning that it can be bought,

traded, or sold. There is no designated consignee, but rather an agent,
which is to be notified upon arrival of the goods. The agent is
responsible for properly identifying to the carrier the right to pay for
and pick up the goods. If the agent or overseas customer is unable to
pay, the carrier (after notifying the shipper and a certain amount of
time has expired) has the option to sell the B/L (and thus the goods) to
an interested party. The transfer of title is completed when the carrier
endorses the B/L to the respective agent or buyer.
3. Through – This B/L is issued by the freight forwarder or carrier, and
covers the contract of carriage for all primary and intermodal carriers
used in the shipment from point of origin to destination.
Terms and Conditions
The terms and conditions on the back of a B/L highlight the responsibilities
of the carrier and their liabilities. This section is very important. As carriers
would probably like to draw up their own limitations of the contract, all
affected parties in B/Ls are subject not only to national laws, but international
laws drawn under conventions signed by various nations. Under The Vy
standard Bill of Lading, the following sections are outlined:
1 – 2.

Definitions attributed to terms used, such as CARRIER,

MERCHANT,

GOODS,PORT OF RECEIPT, HAGUE-RULES, and

STATE.
3. Declaration of Carrier’s tariff to be further outlined. In areas of
inconsistency between the B/L and applicable tariffs, the B/L shall preside
except in the U.S. where the tariff provisions preside.


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4. Carrier’s Responsibility and Clause Paramount – This section details
EXPOLANKA FREIGHT LIMITED LINES ’liabilities and the parties
responsible under specific scenarios. Where limitations of liability are
unclear, they are further delegated to international/national laws where
applicable.
5 – 6. These sections outline the Merchant’s warrants for the authority to
ship the goods that are suitable for containerized transport, the various
merchant responsibilities, and the liabilities the merchant The Vy cannot
hold accountable for.
7. The Merchant is delegated the responsibility for complying with all
applicable regulations and paying all necessary dues that arise under
previously agreed terms and any fines/penalties that may arise. Further, the
carrier considers the cargo officially handed over to the consignee should the
carrier be obliged to hand over goods to customs or the port authority.
8. Here, the merchant is responsible for any damage to goods (under listed
conditions) that arise from containers that have been packed by the shipper.

9. In handling dangerous goods, the shipper is responsible for properly
notifying the carrier of the goods’ nature. If the goods become dangerous
during the course of voyage, they may be disposed of without financial
liability of the carrier so long as the merchant had made proper notification
to the carrier prior to loading. The Merchant further warrants that the goods
are lawful and legal to transport/export. Finally, the merchant cannot hold
the carrier liable for any loss or damage to the goods as long as proper
notification of the goods contents had been given to the carrier.
10. With respect to deck cargo and livestock, the carrier is absolved from
liability arising from seaworthiness, negligence, or any other cause. In cases
of transport to and from the United States however, the Merchant is
responsible for knowing inherent risks of such carriage and other conditions
will fall under the U.S. Carriage of Goods by Sea Act (COGSA).


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11. This section outlines the rights of the carrier to store particular goods on
or below deck, without notification to the merchant. Particular international
conventions apply.
12. The final section relates to the description of the goods and the carrier’s
limitations of liability thereof.
5.

Freight forwarding clients:
Mainly our clients are garments related but many people are included in this
sector like international buyer, local buyer, agent etc. Some clients’ lists are as
follows:
Clients List
Last update shipper name (during internship which I had scan

through) :

From Jan 18th to Mar 05th
Shipper Name

Address

HAIPHONG LEATHER PRODUCTS AND

276 HANG KENH STR. HAIPHONG CITY VIETNAM

FOOTWEAR ONE MEMBER LIMITED

C/O NOVI FOOTWEAR (FAR EAST) PTE LTD

COMPANY
YOUNGONE NAM DINH CO., LTD

HOA XA INDUSTRIAL PARK, NAM DINH CITY,
NAM DINH PROVINCE, VIETNAM

ALDO GROUP INTERNATIONAL

AS CHOCHENMUHLESTRASSE 6 C-H – 6340 BAAR
ZG, SWITZERLAND


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SEETHING VIETNAM CO., LTD

BLOCK L3,1 AND ½ L3,2, DOSON INDUSTRIAL
ZONE, HAI PHONG CITY, VIETNAM

TNG INVESTMENT AND TRADING JOIN

160 HOANG CAU STREET, THAI NGUYEN CITY,

STOCK COMPANY

THAI NGUYEN PROVINCE, VIETNAM

RIVAL VIETNAM CO., LTD

TAN QUANG INDUSTRIAL ZONE, HUNG YE
PROVINCE, VIETNAM

CHARLES KENDAL FREIGHT

SUITE 10, UNIT 3 ORWELL HOUSE, FERRY LANE
FELIXZTOWE SUFFOLK IP11 3QL

MICHELLE VIETNAM INTERNATIONAL

THANG LOI, AN HUNG, AN DUONG VUONG, HAI

SEWING CO., LTD

PHONG, VIETNAM

HK VINA CO., LTD

NGU HUNG COMMUNE, THANH NIEN DIST., HAI
DUONG CITY, VIETNAM

SILVERTEX HOSIERY INT’L CO., LTD

7,8TH FLOOR, 163 KEANGNAM – DAERO SEOCHO
– GU, SEOUL, KOREA

KAPS TEX CO., LTD

2F, 8 ACHASAN-RO, 51 GIL – GWANGJIN GU,
SEOUL, KOREA

GARVIHA CO., LTD

DAI DONG COMMUNE, KIEN THUY DISTRICT,
HAI PHONG CITY, VIETNAM


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GOLDEN STAR CO., LTD

NO 1166 NGUYEN BINH KHIEM, DONG HAI 2
WARD, HAI AN DISTRICT, HAIPHONG CITY,
VIETNAM

V.J ONE GARMENT CO., LTD

HONG CHAU COMMUNE, DONG HUNG DISTRICT,
THAI BINH PROVINCE, VIETNAM


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CHAPTER III: INTERSHIP ACTIVITIES
I.

Objectives
As a student of Bachelor of International business analyzing in today’s
business world is very crucial to observe this complex situation. It is the fact that
you need to go through all fields of knowledge both theoretical and practical. The
program that we study at university is enough for theoretical then now what we
need is the practical. I was sent to the practical knowledge as a part to finished
my study as an internship program. An internship program is what we use our
theoretical turn to practical and enhance personal capabilities. In this report I had
practices all of my knowledge to understand clearly what a logistic firm do and to
which factor it is suitable for me in the future or not.

II.

Content
As you can see the following table is my internship schedule:
Week Date

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Tasks performed

~

01/2016
1

23 -

Finding and understanding about company’s

background
- Marking photocopies, printing
- Reading the customer old email