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Outsourcing

Rising Above Risks

26.08.2002
Von Ann Toh

Today, ASP services can be customised according to a company's needs.CrimsonLogic, for instance, offers two types of services. The first,TradePalette, is targeted at smaller-scale, more cost-consciouscustomers. But if, like Sony Logistics, a customer already has its ownautomated system, the ASP can package and customise its eTradeXchangeapplications to fit into the customer's operations, and to integratewith the customer's systems.

That was exactly what Sony Logistics needed. "Our challenge was tocommunicate our requirements [for integration], one of which wassecurity. When we outsource, we are actually getting our outsourcer tosupport and add value to our main system," says Foo Say Chyn, manager,Logistics Service Division, Trade Service Department, Sony LogisticsSingapore.

With the new application, Tanikawa says Sony Logistics is able todevote more of its internal resources to focusing on its core businessin logistics management as well as in soliciting newbusinesses.

Internal efficiency has also improved. As the system provides a singlerepository for logistics information, Sony Logistics staff can viewthe status of trade documentation processing real-time. They can alsocreate multiple documents at the same time without having to re-keydata, and the electronic documents generated can be sent automaticallyto customers, thus improving customer service.

Sony Logistics estimates that using the ASP service has allowed it toshave as much as 30 percent off its operational expenses, due toincreases in staff productivity, and decreases in paper and hardwaremaintenance costs.

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