III. Logistics Mode Selection

Based on order volume, delivery time, and cost.

1. Less than Truckload / Full Truckload (LTL/FTL):

Applicable for: Large-volume domestic orders with significant weight/volume.

Key Points: Palletization (standard 1-1.2m pallets) and stretch wrapping are necessary for forklift handling. Accurate calculation of volume and weight is crucial for optimal freight rates.

2.  Express / Courier Services (e.g., SF Express, Deppon):

Applicable for: Small/medium batches, samples, urgent replenishment.

Key Points: Compare prices and services, negotiate corporate rates. Be mindful of weight and size limits per parcel.

3. International Logistics:

Sea Freight: Most economical for import/export, suitable for bulk cargo. Pay special attention to container load planning (to prevent wasted space) and moisture protection (container rain).

Air Freight: Suitable for high-value, urgent orders. Packaging must strictly comply with airline regulations, controlling weight and volume.

International Express: DHL, FedEx, UPS, etc. Suitable for samples and small import/export batches; door-to-door convenience comes at a higher cost.

Key Documents: Commercial Invoice, Packing List, Bill of Lading/Air Waybill, Certificate of Origin must be complete and accurate.

IV. Process Management & Optimization

1. Order Processing & Picking:

Use ERP/WMS systems to manage orders and generate picking lists to improve accuracy.

Adopt discrete picking or batch picking methods. Implementing location codes and product barcodes can greatly enhance efficiency.

2. Weighing & Measuring:

Weigh and measure each carton before shipping. The data is used for freight calculation and updating system records.

3. Outbound Verification:

Establish a dedicated checkpoint to verify product model, quantity, packaging, shipping marks, and destination, ensuring 100% accuracy. This is the last line of defense against shipping errors or omissions.

4. Information Synchronization & Tracking:

After dispatch, promptly inform the customer of the logistics carrier, tracking number, and estimated time of arrival.

Proactively track in-transit goods. Address and alert the customer to any anomalies (e.g., delays) promptly.

5. Returns & Reverse Logistics:

Establish a clear Return Merchandise Authorization (RMA) process specifying return packaging, inspection criteria, and handling methods (replacement, repair, refund).

V. Key Points for Cost Control

1. Packaging Material Costs: Optimize packaging design to use lightweight or recyclable materials without compromising protection.

2. Freight Costs: Consolidate orders, optimize container/truck loading plans, negotiate long-term contract rates with multiple carriers, compare cost-effectiveness of different transport modes.

3. Damage/Loss Costs: Minimize in-transit damage rates by improving packaging and processes, leading to significant hidden cost savings.

Pre-Shipment Quality Control and Inspection Process

1. Inspection Objectives:

Ensure 100% accuracy of product quantity and model against the order.

Ensure product quality meets technical specifications and customer standards.

Ensure packaging and labeling comply with requirements.

2. Core Inspection Process (The "Shipping Trilogy"):

A. Final Line Inspection & OQC (Outgoing Quality Control):

Content: Before packaging, QC inspectors randomly sample products from the batch according to AQL (Acceptable Quality Level) standards.

Hardware Items: Check dimensions (critical dimensions with calipers, projectors), thread accuracy, surface treatment (plating, paint thickness, adhesion, verification of salt spray test reports), for burrs, rust, or scratches.

Plastic Items: Check appearance (sink marks, weld lines, flash, stains), color (match to color swatch), dimensions (especially assembly points), structural integrity (no cracks), material confirmation (can verify raw material batch numbers).

Result: Record inspection data and determine if the batch passes. Only passed batches can proceed to packaging.

B. Packaging Process Inspection:

Content: Conducted on the packaging line or in the packaging area.

Checkpoints: Correct use of inner packaging materials (e.g., bubble wrap where required), accurate counts (e.g., 100 pieces per bag), proper anti-rust/anti-static measures, accuracy of carton or label content.

Purpose: Prevent "good products from being damaged by poor packaging" and avoid packaging errors.

C. Final Pre-Dispatch Verification (Picking Verification):

Content: The last checkpoint for goods in the shipping area before loading.

Checkpoints: This is the ultimate verification of "goods" against "documents."

Document Verification: Cross-check the delivery note/packing list against the customer order.

Physical Verification: Spot-check outer carton marks (destination, number of pieces, weight) against documents; randomly open cartons to check if contents match the quality and packaging state approved by OQC.

Logistics Verification: Confirm the carrier and vehicle arrangement.

Execution: Typically performed by warehouse supervisors or an independent shipping team, requiring sign-off confirmation.

3. Inspections for Special Circumstances:

Client-Appointed Third-Party Inspection (e.g., SGS, BV, Intertek): Requires advance booking, providing all necessary documents (order, specifications, test reports, etc.), and cooperation with the inspector for on-site sampling.

First Shipment for Annual or Major Projects: Inspection standards are stricter, potentially requiring 100% inspection.

Detailed Overview of International Logistics, Express, and Sea Freight

1. Comparison and Selection of Major International Logistics Methods

1.1 International Express (DHL, FedEx, UPS)

Key Characteristics: Door-to-door, fastest transit (3-7 days), excellent tracking, relatively simple procedures, but highest cost per unit.

Ideal Use Case: Samples, urgent replenishment, small batches of high-value orders, documents.

Critical Considerations:

1. Charging Method: Charged based on Actual Weight or Volumetric Weight, whichever is greater. Critical for low-density goods (common for plastic parts).

2. Customs Clearance: Usually handled by the courier, but the shipper must provide accurate commercial invoice and packing list. Declared value affects duties and clearance speed.

3. Restrictions: Strict rules for batteries, magnetic items, liquids, etc.

1.2 International Express (DHL, FedEx, UPS)

Key Characteristics: Airport-to-airport, fast transit (5-10 days), lower cost per unit than express, suitable for larger volumes. The consignee or their agent handles destination customs clearance and pickup.

Ideal Use Case: Medium to large orders with time sensitivity, higher value goods.

Critical Considerations:

1. Process: Booking → Delivery to airport cargo terminal → Customs declaration → Loading & transport.

2. Key Documents: Master Air Waybill (MAWB), House Air Waybill (HAWB), accompanying documents.

3. Costs: Includes air freight, customs declaration fees, handling charges, fuel surcharges, etc.

1.3 International Sea Freight

Key Characteristics: Lowest cost, largest capacity, slowest transit (20-45 days varies). Divided into FCL and LCL.

Detailed Focus on International Sea Freight (Most Common for Hardware/Plastic Products)

A. Container Type Selection:

Dry Container (Standard): Most common. 20ft (approx. 28 CBM), 40ft (approx. 58 CBM), 40ft High Cube (approx. 68 CBM).

High Cube (HQ): Ideal for low-density plastic products, maximizes volume utilization.

Flat Rack / Open Top Container: For overweight, over-height, or irregularly shaped hardware (e.g., large structural parts).

B. Loading Methods:

Full Container Load (FCL): Used when cargo volume fills one or more containers. The shipper is responsible for loading, having full control over the loading plan.

Less than Container Load (LCL): Used when cargo volume is less than a full container. Consolidated with other shippers’ goods by the freight forwarder. Cost is shared based on volume/weight. More suitable for small to medium batches.

C. Key Operational Process & Points:

1. Booking: Provide the Shipping Instruction (SI) to the freight forwarder, including cargo details, container type, port of loading/discharge, etc.

Stuffing (Container Loading):

2. Factory Loading: Most ideal. Requires pre-planning a container load plan to ensure even weight distribution, maximize space utilization, and secure cargo properly (using air bags, wooden frames to prevent tipping). Heavy hardware typically goes on the bottom; lighter plastic parts on top.

Forwarder’s Warehouse Loading (CFS): For LCL or loose cargo delivery.

3. Customs Declaration:

Engage a customs broker. Prepare the "Triad of Customs Documents": Packing List, Commercial Invoice, and Contract/Sales Confirmation. Information must be perfectly consistent.

Accurately declare the HS Code, which directly impacts export rebate rates and import duties.

Products subject to legal inspection (e.g., certain pressure valves) require an "Exit Goods Clearance Notice" in advance.

4. Ocean Transport & Documentation:

Obtain the Bill of Lading (B/L), the document of title. Carefully review the draft B/L to ensure all information (piece count, gross weight, volume, consignor/consignee) is correct.

Clarify B/L type: Telex Release (Surrendered) or Original.

Purchase Marine Cargo Insurance, especially for high-value goods.

5. Destination Clearance & Delivery:

Send the full set of clearance documents (including B/L) to the consignee.

The consignee uses these documents for import customs clearance, duty payment (if applicable), and cargo pickup at the destination port.