BAX Global now sole 3PL for Samsung's semiconductor division
Singapore — November 29, 2004 — Samsung Electronics Co. Ltd., a division of Samsung Corp., has awarded BAX Global a contract to handle logistics and transportation services in both North and South East Asia, it was announced today.
The contract win, part of a series awarded to BAX Global by the South Korean electronics giant, was part of Samsung's new global streamlining program called 1C1B, which stands for one contact, one bill. The program has already been rolled out in North America and Europe, consolidating the business of 14 and six of its third-party logistics suppliers (3PLs) into two and one respectively.
The 1C1B contract awards BAX as the sole 3PL for Samsung's semiconductor business unit until 2005 in Asia. To accomplish one contact, one bill, Samsung combined the business previously handled by nine 3PLs in North Asia and at least two major 3PLs in South East Asia.
The benefits Samsung said it sees through its 1C1B program include shorter logistics lead times, standardized transportation units, simplified billing, seamless delivery from headquarters to destination, reduced cost, and more thorough and accurate inventory tracking.
Samsung said that critical to BAX's selection were its ability to meet and exceed the company's requirements for security, warehousing, logistics infrastructure and IT capabilities. According to Samsung, BAX demonstrated superiority in providing integrated IT systems to manage Samsung's complex logistics requirements, an intimate understanding of its operations throughout the Asia Pacific region, and experience dealing with some of its top-20 global accounts.