A211 BPMG3133 WAREHOUSE MANAGEMENT INDIVIDUAL ASSIGNMENT 2: MNX GLOBAL LOGISTICS

PREPARED BY: CHEW YONG KIAT MATRIC NUMBER: 269782

TABLE OF CONTENT

TABLE OF CONTENT ........................................................................................................................ i Introduction ........................................................................................................................................... 1 What is the entrepreneurial opportunity that you observed from the company? .............................. 2 What is the entrepreneurial experience that you find in the company? ............................................ 4 How does the company respond to risk tolerant in their daily operation? ........................................ 5 Does the company have a clear direction on their internal locus of control? ................................... 6 Do the company set their target of achievement and perseverance? ................................................. 7 Reference ............................................................................................................................................... 8

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Introduction MNX Global Logistics, a leading global provider provides specialized and expedited transportation and logistics services. MNX Global Logistics have professional in the delivery the time, temperature and security sensitive products around the world. MNX Global Logistics provide the services up to 190 countries including Asia, South America, etc. The main customers of MNX Global Logistics including multinational corporations in the biopharmaceutical, medical device, life sciences, high technology, aviation, etc. MNX Global Logistics has provide a lot of service such as transportation services, storage and distribution services, and value added services. In 1983, Midnite Express (MNX) was established and they provide time emergency transportation services to media industries such as film, fashion, music, etc. MNX expanded the business to Europe, they established European office in London in 1986 (MNX Global Logistics, 2020). In the 1990s, MNX started to expand their business into aviation service such as time-critical aviation spare parts and Aircraft On Ground (AOG) recovery services. At the same time, MNX continue their business to Asia, and established the offices in Australia and Hong Kong. In the 2000s, Midnite Express has renamed as MNX Global Logistics and they began to get involved in the field of life sciences, provide the delivery service to the customers in the blood banking, international biopharmaceutical industries，and organ procurement. They reached their peak in the 2010s. In the 2010s, MNX has acquired Air Charter division and the Express division of AirNet, continued expanded the business to Western Europe and Asia and established Asia Pacific Headquarters in Singapore, as well as acquired Logical Freight Solutions (LFS), a specialty healthcare logistics provider. MNX acquired Network Global Logistics (NGL) to help MNX become the largest independent professional logistics provider to serving the customers and acquired Global First in the latest 2010s (MNX Global Logistics, 2019).

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What is the entrepreneurial opportunity that you observed from the company? MNX Global Logistics is a professional global provider provides specialized and expedited transportation and logistics services. Their customers are usually biopharmaceutical, medical device, life sciences, aviation, and entertainment industries. MNX Global Logistics have professional in the delivery the time, temperature and security sensitive products around the world. Since MNX Global Logistics has a clear service aim, the demand of MNX Global Logistics is quite specific. According to my observation, the strength of MNX Global Logistics is he can provide the specific distributions service according to the customers need. However, the weakness of MNX Global Logistics is the distribution service is not suitable for ordinary goods due to the costs of the distribution service is expensive. MNX Global Logistics could improve or increase the strengths and reduce the weakness. One of the entrepreneurial opportunity that I observed from MNX Global Logistics is approve cooperation with medical industries. MNX Global Logistics could cooperate with medical industries to ensure the demand of the distribution services are stable. For example, MNX Global Logistics make an agreement with medical industry, all of the distribution service in medical industry outsourcing to MNX Global Logistics. It is a win-win situation to outsource distribution services, MNX Global Logistics have stability of demand in market and the medical industry can focus the medical services to their customer due to not need to take the task of distribution services. MNX Global Logistics has make strategic partnerships before that with one of the world’s leading orthopedic and spinal medical equipment manufactures. A decentralized supply chain of the manufacturers influence the manufacturers faced a barrier to growth in United States (MNX Global Logistics, 2021). The manufacturers outsourcing all of the distribution services to MNX Global Logistics and help the manufacturers safe the total logistics cost by 15-20% (MNX Global Logistics, 2021). Therefore, MNX Global Logistics could build a partnership with the medical industry, allowing the medical industries to improve medical treatment while simultaneously the demand of distribution services for MNX are stable. Next, MNX Global Logistics could adopt Automated Guided Vehicles (AGVs) in the warehouse to ensure the safety of the goods, improve the efficient of operational activity, enhance speed, and increase the precision of the delivery of products. AGVs are material handling systems that can operate autonomously (Taglic, 2019). AGVs can finish the onboard and inboard activity in 2

warehouse without an onboard operator. MNX Global Logistics has not yet adopted AGVs. Therefore, there is still have a probability that the goods will be damaged during process storage. If MNX Global Logistics has using AGVs, the safety of products will be ensure and also the labor cost will be decrease. This could also increase customers trust when customers choose the company to distribute the products. However, MNX Global Logistics need to develop their market with develop the new customer targets. It is because the initially cost of AGVs is quite expensive. To increase the AGVs efficiency, it is necessary to make it more helpful. One of the way to increase usage is to increase the customer targets such as provide the distribution service to agriculture industries. The increasing of the customer targets will become one of the company’s challenges. MNX Global Logistics are main provide fast, temperature-controlled delivery services. For agriculture industries, the products are perishable and difficult to preserve. There need the logistics services which are suitable to deliver the agricultural goods to ensure the goods are in good conditions in the customers’ hand. MNX Global Logistics have cold chain management and they also provide unique distribution services according to the customer needs. The service such as cold chain management, custom clearance, and temperature-controlled storage provide by MNX Global Logistics is suitable to deliver the agriculture products. MNX Global Logistics could consider build the partnership with agriculture industries.

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What is the entrepreneurial experience that you find in the company? The entrepreneurial experience that I find in MNX Global Logistics are acquires company to expand the market, specifically provide services for medicine customers, and have a clear direction. MNX Global Logistics acquires a lot of company in 2010s. The companies there are Air Charter division and the Express division of AirNet, Logical Freight Solutions (LFS), Network Global Logistics (NGL), and Global First (MNX Global Logistics, 2019). MNX Global Logistics take acquisitions action aim to create the largest and independent logistics company. Next, MNX Global Logistics has specifically provide services for medicine customers. MNX Global Logistics advocate provide the specialized time, temperature and security sensitive transportation and logistics services. For medical industries, time and temperature are quite importance to ensure medical products are in good condition, as well as have time to save the patients. For example, one of the world’s leading orthopedic and spinal medical equipment manufactures decide to outsource all of the distribution services to MNX Global Logistics, it help manufacturers to save time and the manufacturers are able to focus to provide their medical services for patients. It also help the manufacturers safe the total logistics cost by 15 -20% (MNX Global Logistics, 2021). In additions, MNX Global Logistics have a clear direction. MNX Global Logistics core the values that are agility, innovation, integrity, partnership, and safety. MNX Global Logistics prefer provide the safety and secure shipments products, delivery the products in the short time, and integrity and transparency. Their declaration created the trust of customers in the company. Not only the declaration, MNX Global Logistics also obtained international certification such as ISO 9001:2015 Certified, Aviation Suppliers Association ASA-100 Accredited, and C-TPAT Certified. It also help to increase the customers trust with MNX Global Logistics.

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How does the company respond to risk tolerant in their daily operation?

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Does the company have a clear direction on their internal locus of control? MNX Global Logistics have a clear direction on their internal locus of control. MNX Global Logistics have provide a lot of the services that are transportation services, storage and distribution services, and value added services. In transportation services, MNX Global Logistics has provide a lot of services such as next flight out (NFO), air charter, on-board courier (OBC), same-day ground, parcel express and specialty freight. Before delivery the products to customers, the products will be check either the products is in good conditions. When the products on freight, the products will be secured to avoid the damaged products. In storage and distribution services, MNX Global Logistics has provide a lot of services such as warehousing, temperature controlled storage, cold-chain packaging, and forward stocking. In this part, MNX Global Logistics has using warehouse management system (WMS) to ensure the products safety and avoid the products pass off. For the products storage in cold-chain warehouse, the temperature will be checked regularly to ensure the products are storage in the specific temperature. For value added services, MNX Global Logistics has provide custom clearance and dangerous goods. For dangerous goods, MNX Global Logistics has provide a specific storage place to storage the dangerous goods, as well as have strict management such as periodic inspection, security management, record the movement of dangerous goods, etc. For custom clearance, MNX Global Logistics will ensure the products are comply with customs condition. Next, MNX Global Logistics will ensure the relevant document such as bill of lading, etc. is complete.

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Do the company set their target of achievement and perseverance? MNX Global Logistics has set their target of achievement and perseverance. MNX Global Logistics has core values that are agility, innovation, integrity, partnership, and safety. The values that MNX Global Logistics embraces to ensure the distribution services provide are fulfil the customer demands and exceeds their expectations. The agility is the speed of the delivery products. MNX Global Logistics provide unique distribution service according to the customer needs, as well as delivery the products in the short time. The innovation is MNX Global Logistics will provide the distribution services, according to the customer requirements to plan the routes for shipment products. The innovation aim to MNX Global Logistics has best solutions to distribution the products according to customers and encourage company to find the entrepreneurial opportunities.

For integrity, MNX Global Logistics prefer to provide the integrity and

transparency services to customers, such as provide tracking number to customers to track the products. MNX Global Logistics also committed to being a partner. The purpose of cooperating with other companies is to connecting the whole world, to provide logistics service in everywhere, as well as create the largest and independent logistics company in world. For safety, MNX Global Logistics prefer provide the safety distribution services. MNX Global Logistics put the safety first. The target their set is due to MNX Global Logistics is become well in the future and keep up the reputation of leading global provider provides specialized and expedited transportation and logistics services.

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Reference

Bartholdi, J. J. and Hackman, S. T. (2005). Retrieved from Warehouse & distribution science: http://www.tli.gatech.edu/whscience/ book/wh-sci.pdf MNX Global Logistics. (2019, May). Retrieved from MNX Global Logistics Acquires Global First: https://www.mnx.com/company/news/2019/05/mnx-global-logistics-acquires-globalfirst/ MNX Global Logistics. (2020). Retrieved from About: https://www.mnx.com/company/about/ MNX Global Logistics. (2021, June 6). Retrieved from Conquering the Chaos of a Decentralized Medical Device

Supply Chain: https://www.mnx.com/resources/case-studies/case-

study/conquering-the-chaos-of-a-decentralized-medical-device-supply-chain/ Taglic, N. (2019, October 23). 6 river system. Retrieved from What are automated guided vehicles?: https://6river.com/what-are-automated-guided-vehicles/

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