Industry Clinic

Seminar Standard Malaysia MS 2400: Logistik dan

Rantaian Bekalan Halal – Perspektif Standard

Renaissance Hotel, Kuala Lumpur

Thursday, 16th June 2011

Introduction to Kontena Nasional Berhad

Overview

TODAY Kontena Nasional is one of the largest one stop logistics company providing comprehensive solutions with multiple ranges of services. Halal transportation service provider and six (6) distribution centers Nationwide are certified as ‘Halal’ by Jabatan Kemajuan Islam Malaysia (JAKIM)

2004 Acquired Sime Integrated Logistics to expand market share and expertise in industry focus.

2000 Formation of NCB Holding Bhd and KN become a wholly-owned subsidiary of NCB Holdings.

1997 Awarded the MS ISO 9002

1996 Formed PT Ritra Konnas in Jakarta to expand businesses in Indonesia.

1992 Acquired Klang Port Management (KPM) expanding the service offerings in port management operations.

1986 Acquired Klang Container Terminal (KCT) expanding the services offerings in port management operations.

1971 Started as the first Container Haulage Company in Malaysia.

MEH SDN. BHD.

15.8 %

OTHERS

22.0 %

55.9 %

5.3 %

100 %

100 %

Shareholders

Subsidiaries & Associate Company

KONTENA NASIONAL GLOBAL LOGISTICS

International Freight Forwarding, & Customs

Clearance

KONNAS PROLINK SDN BHD

Warehousing & Distribution

KN SIME LOGISTICS

Customs Clearance, Warehousing & Distribution

PT RITRA

KONNAS FREIGHT CENTRE

Container Depot & Warehousing

KONTENA NASIONAL BERHAD

Facilities Coverage in Malaysia

Global Networking

• Singapore

• Jakarta

• Thailand

• Hong Kong

• Taiwan

• Philippines

• India

• Japan

• Korea

• Australia

• New Zealand

• South Africa

• Spain

• Sweden

• Denmark

• Netherlands

• Belgium

• France

• London

• Poland

• Hungary

• Italy

• Austria

• Switzerland

• Portugal

• Germany

• USA

• South America

• Canada

... and more

IT Portfolio

Haulage ME system

Roadnet Optimization Engine System

Digital Communication

Fleet Tracking System

Automated Vehicle Location System

Global Positioning System

Warehouse Management System

Delivery Tracking and Tracing

Electronic Proof of Delivery

Your Preferred Provider

One of Malaysia’s largest logistics player

New fleet of prime movers and conventional vehicle

State-of-the-art technology driven

Productivity driven

Experienced and skilled logistics practitioners

Proven track record in various industry focus

Dedicated resources

Strong multimodal transportation capability

Clear value proposition

Quality Management and continuous improvement culture

JAKIM’s Halal certified logistics provider

Regional presence and expanding

Total Logistics Solutions

• SOP DRIVEN

• KPI DRIVEN

- Inventory Record Accuracy (IRA)

- On-time Delivery

- Order lead time

- Proof of delivery Returns

- Picking Accuracy

- Direct productivity

- Lost time injury rate

• STRONG LOCAL 2PL NETWORK

• VALUE ADDED SERVICES

- Co-packing service

- Re-work / Re-packing

- Labeling & Tagging

- Seamless WMS

• SYSTEM DRIVEN

• INFRASTRUCTURE

- KN has 16 existing warehouse locations domestically comprises into 87,889

sq.m / 946,029 sq ft.

Competitive Advantage

Business Intelligence – WMS / ILS

Support System

The ILS system has strengths in key areas such as: • Cross-dock and flow through • Multi-site, multi-client and multi-language capability • Handles All industry standard bar codes • Load planning and consignment consolidation • Picking discrete, full pallet, crate, case, carton, kg, item, batch, wave, tote & etc. • Stock take and cycle counting

“Dashboard” functionality that provides insight to: • Key Performance indicators (KPI’s)

• Warehouse Alerts

• Warehouse Analytics

• Production Alerts

• Faster Decision Making

• Identification of Negative Trends

Business Intelligence – Reporting & Monitoring

• Regular audits will be performed by Regional & Country Risk Management Teams

• SOP’s strictly enforced

• 100% Checking – all inbound and outbound movements

• Daily aisle audit

• Regular inventory reconciliation

• Static guards (24/7)

• CCTV monitoring

• Stop and search policy strictly enforced

• 24 hours Command Centre

Security Management Approach

Halal Logistics & Cold Chain Services

Overview

Expertise in cold-chain and Halal logistics focusing on handling and compliance of temperature-sensitive and perishable

Total Halal and cold chain solutions through continuous temperature handling and monitoring.

KN can assist consumers through technical ability via real time status, generate web-based export documentation and electronic tracking.

The use of refrigerated trucks and equipment, reefer containers and frozen and chilled storage warehouses.

Reduce cost through customized cost strategies and benchmarking

Warehousing & distribution

Containerize & conventional transportation Transshipment & cross-docking

Shipping

Bonded storage

Container ‘Samak’

Value-added services – consolidation, break

bulking, re-packaging, re-labeling, reverse logistics, etc.

Track & trace

Monitoring and control via up-to-date inventory system

Advisory services for Halal certification

Scope of Services

Halal & Cold Chain Facilities Location

Branch

Depot

Warehouse

Open Yard

Prai & Penang

Ipoh

HQ

Pandamaran

Melaka Pasir

Gudang

Kuantan

PJ

Port Klang

Senawang

PTP

KN Cold Chain Capabilities

All the way fresh and hygiene

Climate and temperature-controlled capability from 15ºC to sub-zero temperature

Refrigerated trucks and equipment ranging from 3-tonner up to 20-tonner

Specialized and customized equipment and storage areas for perishable products requiring sub-zero temperature

Complete perishable care within the product life-cycle

Comprehensive cold-chain and Halal network in the Country

Integration of Halal and Cold Chain Processes

FARM/PRODUCERS

Pre-cooling storage

facilities

Cold storage warehouse

PROCESSING PLANT

Processing

Packaging

Labeling

Halal Certification

Cold Storage Facilities

HALAL & COLD

CHAIN

DISTRIBUTION

Reefer Trucks

Reefer Containers

Cold Storage

Warehouse

END CONSUMER

Hypermarkets

Wholesalers

Retailers

Food Service Outlets

INFORMATION TECHNOLOGY & COMPLIANCE OF STANDARDS

KN COLD CHAIN AND HALAL LOGISTICS

Competitive Advantage

Clear hygiene and goods safety procedures through tighter process supervision, monitoring and control via Halalan-Toyyiba Assurance Pipeline (HTAP);

Traceability of products through Halal Track and Trace;

Consistent with Good Manufacturing Practice (GMP) and Hazard Analysis and Critical Control Points (HACCP) which ensures products safety and cleanliness;

Worldwide acceptance of Halal lifestyle of personal hygiene and health standards

Value-Added Services in Logistics

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Overview

• Value-added services are those which complement and enhance warehousing,

transportation, and logistics offerings. Using value-added logistics services enables

companies to lower inventory footprints of finished goods by delaying the labeling

and final assembly of products until customer orders are received. This is a cost

effective supply chain strategy that gives companies more flexibility over their

inventory.

• Kontena Nasional Berhad value added services provide solutions that go beyond the

basic warehousing and transportation services that come to mind when companies

look to outsource logistics. Kontena Nasional Berhad value added logistics services

include:

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Kitting & Final Assembly

KNB can provide a variety of kitting & assembly services aimed at improving timeliness,

production costs, and order processing. KNB has experience with both stock kitting

services(off the shelf) where kits are assembled from mass produced items kept in

inventory and on demand kitting services where kits are assembled as orders are

presented.

Polybagging & Shrink Wrapping

Other value added services KNB provides are bundle pack shrink wrapping and onsite

product polybagging. This allows for mass customization of orders as well as the ability

to produce and fulfill customer orders on demand. Typically this process is called "co-

packing" which consists of wrapping different products together (for example to bundle

a sample of a new product with an existing product line) or identical products (in the

case of promotional offers ex. "buy one, get one free.")

List of Value Added Services

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Pick/Pack

KNB currently provides Pick & Pack operations for customers at every

KNB warehouse. Pick & Pack service entails breaking a pallet of cases and shipping

individual cases to fulfill individual orders. This can also entail picking individual items

(packs or inner packs) from cases for orders and build new cartons, packs, or pallets

to meet Customer requirements.

Labeling

KNB offers mass application services for customer supplied or KNB generated

labels in addition to or separate from our other value added offerings.

We’re able to apply labels, either to the product or its packaging. This includes swing

tags, security tags, RFID tags, price stickers and other promotional labeling.

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List of Value Added Services

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Re-work / Re-pack

Re-work or redress is the customization or modification of products, often to suit a

local market. It covers the re-packing of finished products to support product launches

and promotions, and can also include re-palletization.

QA / QC Control

At KNB, our quality assurance (QA) and quality control (QC) services ensure that

products entering and leaving our warehouses or consolidation centers are free from

defects and in a suitable condition.

Supply Chain Solutions

From planning, sourcing, production, storage, configuration and delivery to after-sales,

our customers can rely on us to provide robust solutions that work for any industry, in

any environment, no matter how demanding.

List of Value Added Services

VAS for FMCG Industry

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For The FMCG Industry

Repacking Of Various Kinds Of Commodities Into Gift Sets.

Kitting For Electronic Items And Appliances.

Shrink Wrapping Of Gift / Presentation Boxes.

Labelling / Re-Labelling Of Cartons.

Reverse Logistics (Repacking, Re-Labelling, Etc.).

Upsizing / Downsizing Of Pallets.

Packaging, Gift Sets And Promotional Materials Design And Production.

EDI labelling 856 (ANS) etc. And UPC Barcodes Set Up Assistance For Buyer Consolidation Operations.

E-Ordering And Systems Integration.

E-Commerce Integration.

Daily Replenishment And Order Fulfillment.

Barcode Scanning For Inventory Management.

Cross Docking For Regional Distribution Centre Order Fulfillment.

Home Delivery Service Arrangement.

Re-Palleting And Stretch Wrapping.

Logistics Support For Manufacturing Plants.

Slip Sheet Unloading Of Containers.

Full Import And Export Documentation Handling.

VAS for Fashion & Cosmetics Industry

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For The Fashion & Cosmetics Industry

Price Tagging Of Garments.

Barcode Labelling Of Garments.

Quantity And Style Checking.

Garment Or Soft Toy Quality Checking.

Hanging Of Garments And Repacking.

Reverse Logistics (Repacking, Re-Labelling, Re-Bagging, etc.).

Climate Controlled Storage.

Hanging Tag Sourcing.

Spare Parts And Components Replacement Centre.

Cross Docking And Consolidation.

Home Deliveries Arrangement.

Re-Palleting And Stretch Wrapping Deliveries.

GSP1 Registration, Ean-13 And UPC Barcodes Set Up Assistance.

E-Ordering And Systems Integration.

E-Commerce Integration.

Daily Replenishment And Order Fulfillment.

Barcode Scanning For Inventory Management.

Full Import And Export Documentation Handling.

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VAS for Chemical & Industrial Logistics

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For The Chemical Logistics And Industrial Logistics

Professional Advice For Dangerous Cargo Storage For Inflammable, Corrosive, And Toxic Substances Storage.

Decanting From Bulk Containers To Pails Or Small Containers.

Sampling / Re-Bagging Of Chemicals.

24-Hour Emergency Order Support.

Light Processing / Assembly Work.

Cross Docking Of Chemicals.

Special Size Cargo Handling.

Customer Service And Delivery Arrangement Dangerous Cargoes Storage For Various Categories.

Steel Drum Pickers For 250 KG Drums.

DG Declaration And Import / Export Document Handling.

Temperature Controlled Warehousing Compartments For Chemicals.

FCL And LCL Inter-Modal Shipments Of DG And Non DG Chemicals.

Re-Palleting And Stretch Wrapping.

Fumigation Services Available.

ISPM 15 Compliant Wooden Packaging And Plastic Pallets

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Contact us

Thank you for your attention

www.kn.com.my

1-300-88-1971