Table Of Content

i Principles of Global Supply Chain Management ii Anthem Studies in Supply Chain Management, Maritime Transport and Logistics explores the roles of maritime logistics, shipping and port connectivity, and supply chain system in promoting the globalised economy in tandem with free trade agreements, sustainability, AI and big data. The series touches upon policy, business implications, and contemporary and focal issues with empirical analysis. Titles in this series examine advanced theories, case studies, managerial implications and insights. Series Editor Paul Tae- Woo Lee—Z hejiang University, China Editorial Board Prem Chhetri— RMIT University, Australia Kevin Cullinane— University of Gothenburg, Sweden Paul Tae- Woo Le— Zhejiang University, China Kevin Li— Zhejiang University and Editor- in- Chief of Maritime Policy & Management, China Qiang Meng— National University of Singapore, Singapore Adolf K. Y. Ng— University of Manitoba, Canada Theo Notteboom— Shanghai Maritime University, China Kamonchanok Suthiwartnaureput— Chulalongkorn University, Thailand Koichiro Tezuka— Nippon University, Japan Grace Wang— Texas A&M University at Galveston, USA Zaili Yang— Liverpool John Moores University, UK iii Principles of Global Supply Chain Management Yui- yip Lau, Adolf K. Y. Ng and Jorge Acevedo Alarid iv Anthem Press An imprint of Wimbledon Publishing Company www.anthempress.com This edition first published in UK and USA 2019 by ANTHEM PRESS 75– 76 Blackfriars Road, London SE1 8HA, UK or PO Box 9779, London SW19 7ZG, UK and 244 Madison Ave #116, New York, NY 10016, USA © Yui-y ip Lau, Adolf K. Y. Ng and Jorge Acevedo Alarid 2019 The author asserts the moral right to be identified as the author of this work. All rights reserved. Without limiting the rights under copyright reserved above, no part of this publication may be reproduced, stored or introduced into a retrieval system, or transmitted, in any form or by any means (electronic, mechanical, photocopying, recording or otherwise), without the prior written permission of both the copyright owner and the above publisher of this book. British Library Cataloguing- in- Publication Data A catalogue record for this book is available from the British Library. ISBN- 13: 978- 1- 78308- 955- 0 (Hbk) ISBN- 10: 1- 78308- 955- 5 (Hbk) This title is also available as an e- book. v CONTENTS List of Figures xi List of Tables xiii Foreword xv Preface xvii About the Authors xxi 1. Introduction 1 1.1 Setting the Scene 1 1.2 Objectives and Contributions 3 1.3 Structure of the Book 5 Acknowledgment of Previous Publications 7 References 7 2. Managing Outbound Logistics and Distribution 9 2.1 Supply Chain Management 9 2.2 Supply Chain Strategy 11 2.2.1 Background of AAHK 11 2.2.2 Overview of Paper Consumables Used in HKIA 11 2.2.3 Current Operations of Paper Supply Chain 12 2.2.4 Potential Issues in AAHK Paper Consumables Supply Chain 13 2.2.5 Proposed Plan— Centralized Management 14 2.2.6 Optional Approaches 15 2.3 The Role of Distribution in SCM 16 2.4 Transport Management 18 2.4.1 Container Port 18 2.4.2 Midstream Operation 20 2.4.3 Dry Bulk Cargo Terminal 24 2.4.4 Liquid Bulk Cargo Terminal 24 2.4.5 Roll- On/ Roll- Off Terminal 26 2.4.6 Inland Port 27 2.4.7 Airfreight Industry 28 References 33 vi vi PRINCIPLES OF GLOBAL SUPPLY CHAIN MANAGEMENT 3. Supplier Selection and Procurement 37 3.1 The Role of Suppliers in the Supply Chain 37 3.1.1 The supporting roles of the Supply Chain Operations Reference Model 39 3.1.2 Early Supplier Involvement 39 3.1.3 Supply Chain Integration 39 3.1.4 Human Resources Practices of Suppliers 40 3.2 Supplier Selection Criteria 40 3.3 Supplier Selection Criteria: A Case Study of the Beer Industry 42 3.3.1 Single Sourcing vs. Multiple Sourcing 42 3.3.2 Item Procurement Importance Matrix 44 3.4 Understanding Globalization in Procurement Management 44 3.4.1 North American Free Trade Area 45 3.4.2 Procurement Management in the Automobile Industry 45 3.4.3 Advantages to the Automobile Industry Due to Global Sourcing under NAFTA 46 3.4.4 Problems 47 3.4.5 Possible Political Problem 47 3.4.6 Recommendations 48 3.4.7 Integrate with the Belt and Road Initiative 48 3.4.8 Upgrade the Level of Economic Integration 49 3.4.9 Sign a New Agreement to Protect the Automobile Industry 49 References 50 4. Warehouse Management 55 4.1 The Role of Warehouses in the Supply Chain 55 4.2 Warehouse Activities 56 4.2.1 Receiving 58 4.2.2 Put- Away 59 4.2.3 Order- Picking 59 4.2.4 Checking and Packing 59 4.2.5 Shipping 60 4.3 Warehouse Management 60 4.4 The Adoption of RFID Technology at Air Cargo Terminals 60 4.4.1 Case Study 62 4.5 Warehouse Management at Hong Kong Air Cargo Terminals 63 4.5.1 Hactl 63 4.5.2 CPCT 64 4.5.3 AAT 64 4.6 Bonded Warehouses 65 4.6.1 Case Study: Bonded Warehouse in Nigeria 65 4.6.2 Structures Suitable for Bonded Warehouses 66 4.6.3 Prohibitions Relating to Bonded Warehouses 66 4.6.4 Activities Permitted under the Bonded Warehouse Option 66 4.6.5 The Benefits of a Bonded Terminal 67 4.6.6 Problems of Bonded Warehouses 67 References 68 vii CONTENTS vii 5. Case Studies in Food Supply Chains 69 5.1 Principles of Halal Food 69 5.2 Global Market for Halal Food 70 5.3 Halal Food SCM 71 5.4 Strengthening Hong Kong Halal Food Supply Chain in the Asia-P acific Regions 73 5.5 Characteristics of Wine 75 5.6 Global Market for Wine 75 5.6.1 The Emergence of New Regions of Production and Consumption 75 5.6.2 The Drivers of Growth in Wine Trade 76 5.6.3 The Development of a New, Huge Market for Wine in China 77 5.7 Wine SCM 78 5.7.1 Information System Management 78 5.7.2 Transportation Management 79 5.7.3 Inventory Management 79 5.7.4 Warehousing 80 5.8 Strengthening the Hong Kong Wine Supply Chain in the Asia- Pacific Regions 82 5.9 Conclusion 84 References 84 6. Inland Ports in Global Supply Chains 87 6.1 Introduction 87 6.2 Software or Hardware? 88 6.3 The Hardware for Tending the Supply Chains: The Case of Success in Mexico— Guanajuato Puerto Interior 93 6.4 Infrastructure Development 98 6.5 Conclusion 99 References 99 7. Climate Change in a Global Environment 101 7.1 Introduction 101 7.2 Theoretical Framework 102 7.3 Case Study: Port of San Diego 103 7.4 Case Study: Port of Vancouver 108 7.5 Discussions and Conclusion 109 References 110 8. Sustainability in Infrastructure- Based Supply Chains 115 8.1 Introduction 115 8.2 Holistic Vision Model 118 8.2.1 Tractor Projects 121 8.2.2 Strategic Projects 122 8.3 An Example of Sustainability under the Hvm: Nuevo Laredo, Tamaulipas, Mexico 122 8.3.1 Creating a Holistic Strategy to Attract Investment 122 8.3.2 Stages and Processes That Are Developed 122 8.3.3 The New Business Destination— Nuevo Laredo 123 viii viii PRINCIPLES OF GLOBAL SUPPLY CHAIN MANAGEMENT 8.4 Methodology “Hvm” 123 8.4.1 How Does It Work? 123 8.4.2 Natural Attractor of Investments— Nuevo Laredo 123 8.4.3 How to Get It? 123 8.4.4 Offering a Business Destination 124 8.4.5 Nuevo Laredo “State Showroom” 125 8.4.6 Think Like a Mexican 125 8.5 Methodology “Hvm” 125 8.5.1 Mexico Needs to Regain Confidence and Empower the Streets 126 8.5.2 Nuevo Laredo— a Good Place to Live 126 8.6 Conclusion 126 References 126 9. Reverse Logistics 129 9.1 Introduction 129 9.2 Just in Time 130 9.3 Climate Change 132 9.4 Green Logistics 133 9.5 Concept, Objectives, Advantages and Disadvantages of Reverse Logistics 134 9.5.1 Concept of Reverse Logistics 135 9.5.2 Objectives of Reverse Logistics 138 9.5.3 Advantages of Reverse Logistics 140 9.5.4 Disadvantages of Reverse Logistics 140 9.6 Reverse Logistics Management Activities 140 9.6.1 Adhesion to an Integrated Management System 142 9.6.2 The Professionals or Logistics Operators 143 9.7 Typical Example of Reverse Logistics 143 9.7.1 Recycled Plastic with Discarded Post- Use Products 143 9.7.2 Recycling Methods 144 9.8 Conclusions 145 References 146 10. Logistics Associations 149 10.1 Introduction 149 10.1.1 Why Join a Logistics Association? 149 10.1.2 What Are the Top Challenges for Today’s Logistics Associations? 150 10.1.3 The Chartered Institute of Logistics and Transport in Hong Kong 150 10.1.4 Hong Kong Sea Transport and Logistics Association 152 10.1.5 Institute of Seatransport 152 10.1.6 Hong Kong Logistics Association 152 10.1.7 Canadian Institute of Traffic and Transportation 154 10.1.8 Fast Track— Certificate in Logistics Programme 155