View Logistics Industry with Standard

The interview to Mr. Chung Tam, Chief Representative of American Society of Transportation and Logistics, China Office.
On Mar.1st, 2008, guest Chung Tam, Chief Representative of American Society of Transportation and Logistics (ASTL)’ China Office, came to shippingchina.com and had a close and deep interaction with Mr. Kang Shucun, CEO of Shippingchina.com, on kinds of questions relating to the development of the logistics industry. During this visit, Mr. Chung Tam received shippingchina.com’ s interview and presented a specific explanation on the important effect, value and other benefits gained from all categories of cultivation projects and professional trainings.
Then what is the standard for ASTL to view logistics industry? Why it is said that the development of logistics industry can improve the global economic efficiency? What is the great value brought to Chinese logistics industry by the professional trainings?
Reporter: what kind of organization is ASTL? Why ASTL decides to establish a permanent office in China?
Chung Tam: ASTL is founded in 1946 as a career organization, aiming to ensure and promote the senior-standard & professional training in transportation, logistics and supply chain management fields.
To enlarge the functions of education and training in China and increase the cooperation chances between Chinese and American enterprises/colleges, ASTL established a permanent office in Beijing in Nov. of 2006. The found of this office means a promise from ASTL to China. The promise is that ASTL will carry out the cooperation on those programs of Chinese features with the government, enterprises and colleges to deepen the cooperation in logistics field between China and America. Our wish is to develop ASTL to a very influential int’l logistics association.
Reporter: What are the ASTL’s training projects in China?
Chung Tam: We’ve many projects, focus on education in China, but education can take many forms. It is not only about sitting in a room, reading a book then running an exam. I believe education comes in many forms, such as conference & seminars. There are the examples for our training program, which covers the topic supply chain risk management. We have expert in this area who is going to talk about how to manage the risk of your supply chain. This is an educational message we provided. At the same time by combining that method, we organize some people talking to each other and having dinner. That is our interaction educational methods to provide people training to satisfy their needs. We do also have our classroom for our training program, we run some seminars in Shanghai and hopefully we can run it in Dalian some time later. We also have our certification program, including CTL. It is the program we started in the United States. Since 1948, the purpose of the program is to satisfy the industry. Having CTL means has achieved the highest level in transportation management. We also have another project PLS, which is a certification on supply chain management. That is for senior management to understand how supply chain can be strategetic element to a business. Logistics is not only important to transportation companies but also important to every company; no matter you are manufacturers, service or IT. Let us take a look at Lenovo & DELL. There are not such big differences in their actual products. If DELL can improve the efficiency of its supply chain, it can increase 5% benefit which is a remarkable margin in PC industry. In addition, if DELL can deliver its project quicker to individual customers, it is also a competitive advantage of the business.
We also develop a new project, which we call Mid-Level management. Mid-Level management is the biggest gap in logistics industry in China. And this program is especially designed for China. ASTL enters in China in 2003 with training program.
At that time, we just use what we have in the United States. However what we have found is that the Chinese market is much different from Canadian market. So a mere translation will not be very suitable and successful in China. I believe it is a valid lesson for every foreign corporation that enters into China. You can not just sell the products as the same you do in your own countries, because the market is different. Through our marketing research and tasking the lots of people in the industry, we found that the training need for the mid-level management is not being met. As a result, we develop this new program is the industry involve. Many USA and Chinese corporations will put their real experiences into the program. They will be used as case study material. So the students is not only learning what is on the book, but also what is really happening, how the companies get things done very well, and learn what is the best practice in the world.
Reporter: What are the categories of logistics certification?
Chung Tam: That is actually something we are developing at this point. We have many broad USA-based certifications, we do not have specific for employment functions. However, I believe we need to do some investigations in Chinese market, and we still will not develop specific programs for certain job positions, like warehouse manager. I believe for some pacific industry, they would have distinct needs. For example, we are interested in developing like cold-chain logistics management.
It means the transportations of temperature-sensitive products, most likely food, because the industry requires special management process we will develop the certification for some categories like that but not for certain job functions.
Reporter: Is ASTL a non-profit org.?
Chung Tam: Yes it is.
Reporter: What is the focus of the training program?
Chung Tam: The high-level management program of ASTL as the time passes, we are going to develop more segments in China like the mid-level management we talked about before, and we may be going it for a bigger part of our program.
Reporter: What is development plan for ASTL in future?
Chung Tam: ASTL want to be the leading training provider and become the standard of the industry, training in logistics. And also want to be the association in China by offering the US experience and expertise in this area to help Chinese enterprises into a more mature industry the head office is planning to dominant the training industry worldwide. They are planning to expand more and more countries.
Reporter: What are the differences between ASTL and other training orgs in China?
Chung Tam: The most important difference of ASTL is our members. There are lots of certification in China and lots of training program in china however we are member-based and supported by our member orgs the certification is recognized by ASTL of our members like VSP&APL. They are all large companies. In addition, we also have training program supported by universities, from academic point of view. And we combine what we have in university and in the industry together. I believe we are providing the most practical and useful certification.
Reporter: What are the most remarkable words you would like to say to all the members of shippingchina.com?
Chung Tam: I think the most important message I want to say is that the economy is a global economy, Global economy cannot be maintained without logistics industry. In order to improve the efficiency of global economy it requires an international standard in logistics management. That is why we are existing.