THE CHALLENGES CURRENTLY FACED BY PASIR GUDANG FORWARDING SDN.BHD ON REGARDS TO OPERATION AND TECHNOLOGY

    Shipping operations refer to the processes involved in transporting merchandise from one place to another. Most shipping operations can be classified as one of two types that are freight shipping and small parcel shipping in order to procure inventory form foreign suppliers and many ecommerce businesses rely on freight shipping. This is because air freight is typically quite expensive but maritime transport of freight is the fallback for many brands. There are many types of shipping in the maritime industry including dry bulk shipping, short sea shipping, and also tramp shipping. The shipping actual ecommerce orders on the other hand is a form of small parcel shipping. In the company of Pasir Gudang Forwarding Sdn.Bhd, they are also providing domestic and international air and sea freighting services that covering Full Container Load (FCL) and Less than Container Load (LCL) by over 30 years of experience located company at Kawasan Perindustrian Tebrau, Johor Bahru. 

    In the company of Pasir Gudang Forwarding Sdn.Bhd, there are several challenges faced by them on regards to operation and technology that is high possibility human error in the operation without used new technology. The shipping company is facing high administrative burdens of managing and writing claims with a lot of paperwork requiring signatures multiple times during operation. These challenges give a big impact to this company in order to provide a faster service to their customer to reach customer satisfaction. This is because using technology can greatly improve the efficiency of maritime operations that provided to their customer without human error during the operation. Currently, shipping goods from a manufacturer to a consumer involves many stakeholders such as transporters, ports, and also customs. When using the technology in the operation, the process that are involved can automatically become faster and efficiently that can help to minimize the process lead time and also reduce cost of operation. 

    In addition, other challenges that faced by company of Pasir Gudang Forwarding Sdn.Bhd on regards to operation and technology is geo – political tensions. This is because rising geopolitical tensions in different parts of the world impact the security of the shipping industry. These conflicts cause disruptions in ocean trade routes and port activity. The shipping company also have to facing an increasing number of restrictions in particular with regard to the environment. The shipping company are not only issued by International Maritime Organization (IMO) but also by many countries which imposed their own directives. The national rules can sometimes be more restrives than the one implemented by International Maritime Organization (IMO). This may result in additional costs for this shipping company and operators because heightened geopolitical tension can lead to higher insurance premium and also increased costs associated with navigating riskier routes. The shipping company may need to invest in additional security measures that can resulting in higher operational expenses. The geopolitical tension is very giving a big impact to shipping company that have far-reaching implications for shipping company, affecting their economics, operations and strategic decisions.

    Besides that, the challenges that usually faced by company of Pasir Gudang Forwarding Sdn.Bhd on regards to operation and technology is rising costs in ocean freight rates. This is because the transport of goods to the other side of the world is the highest cost in logistics. With the increase in fuel prices, the rate of ocean freight has been re-evaluated upwards. This has a significant impact on the final price of goods for consumers. The rising ocean freight rates have significant ramifications for businesses, consumers, and also the global economy. The business that relies on the timely arrival of goods are grappling with ballooning operational costs, which in turn that may lead to higher prices for consumers. The ripple effect of these rate hikes is felt throughout the global supply chain that posing challenges to inventory management, production planning and ultimately the competitiveness of businesses. Additionally, the uncertainties surrounding ocean freight costs have forced the shipping company to reevaluate their long-term supply chain strategies and weighing the benefits of reshoring or nearshoring production facilities to mitigate supply chain risks.