09.01.2013 Views

chapter 6 - Malaysia Productivity Corporation ( MPC)

chapter 6 - Malaysia Productivity Corporation ( MPC)

chapter 6 - Malaysia Productivity Corporation ( MPC)

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

PRODUCTIVITY PERFORMANCE OF THE SERVICES SECTOR<br />

and exit including reviewing the processes and<br />

procedures, laws and policies.<br />

The transportation infrastructure should be further<br />

improved so that there is an integration of the<br />

various transport modes by the different services<br />

providers in order to provide seamless supply chain<br />

operations. Good quality roads, railways, ports and<br />

airports are essential for the smooth running of<br />

many key economic sectors including agriculture,<br />

manufacturing, mining and tourism. There is no<br />

doubt that improved transport infrastructure will<br />

also help <strong>Malaysia</strong> to integrate into the global<br />

economy.<br />

Operational efficiency and service responsiveness<br />

are also factors for achieving competitive<br />

advantage. In <strong>Malaysia</strong>, the lack of skilled logistic<br />

professionals has been one of the constraints<br />

in achieving operational efficiency and service<br />

responsiveness. The logistics services should<br />

foster human capital development and capacity<br />

building. Gaps in human resources related to<br />

logistics knowledge should be identified and the<br />

Government should support programmes to fill<br />

the gaps including the facilitation of regional<br />

centres of excellence for training.<br />

The services providers must also leverage on<br />

on-going liberalisation initiatives in the various<br />

regional and multilateral initiatives such as the<br />

ASEAN Cooperation on Transport Facilitation and<br />

Logistics, and integrate into regional and global<br />

logistics network.<br />

The local logistics services providers should be<br />

incentivised to provide integrated logistics services<br />

by consolidating or integrating their activities<br />

to Form Third or Fourth Party Logistics Services<br />

108<br />

Providers (3PL, 4PL). In this way, third/fourth<br />

party logistics providers can provide service to its<br />

customers all their supply chain needs offering endto-end<br />

distribution services from inbound material<br />

flow to finished goods warehousing, inventory<br />

management, inspection, returns handling and<br />

nationwide delivery.<br />

Logistics services providers need to work towards<br />

more value-added services while strengthening<br />

the intermediate services. Value-added services<br />

are those which complement and enhance<br />

warehousing, transportation, and logistics offerings<br />

such as packing and labelling, reverse logistics,<br />

quality assurance and information management.<br />

Green logistics practices are likely to help<br />

<strong>Malaysia</strong> transform itself into a regional logistics<br />

hub in the future. Logistics services providers<br />

should continue investing in building green<br />

warehouses, and co-ordinating sustainable<br />

logistics practice in a way that meets customer<br />

requirements at minimum cost.<br />

Logistics service providers in <strong>Malaysia</strong> should<br />

focus on specialised logistics solutions for specific<br />

industries such as health-care and pharmaceutical<br />

segment in the future compared to the current<br />

generic logistics services.<br />

The Government should implement a national<br />

freight logistics strategy that will ensure smooth<br />

trade flows to competitive global markets. The<br />

Government should also integrate transportation<br />

hubs namely, seaports, airports, terminals and<br />

distribution centers with the transport network and<br />

develop state-of-the art logistics infrastructure for<br />

efficient distribution. Furthermore, the Government<br />

should encourage local logistics companies to

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!