Professional Documents
Culture Documents
0: EXECUTIVE SUMMARY
For many years Logistics business has been a link between
supplier and buyer activities. It facilitates trade for both
importer, exporter and local purchases especially on areas
concerning customs clearance, warehousing, distributions,
transportation and Packaging.
Tanzania is highly favored on this industry due to its
geographical location, it is bordered with Indian ocean on the
east thus provide sea transport with the port that is available at
Dar es Salaam being a major source for export and import of
goods. The port also serve the landlocked countries like
Uganda, Rwanda, Burundi, Malawi, Zambia, Zimbabwe etc.
Apart from that Tanzania has tarmac roads, political stability
and peace among the society as this strongly support the
development of the Logistics Industry for both transit and in-
transit goods.
Skills, trust and timely service has been a major problem in
Clearing and Forwarding industry leading many agency
companies to be suspended or closed.
SUMAJKT Logistics Co. Ltd is trusted worthy company for this
business due to strong management team with skilled and
experienced staffs. Combination of skilled military and civilian
staff increases performance, efficiency services and good
customer care for both governmental and private sectors.
The company will be engaged on Customs Clearance for both
Export and Imports, Transportations of local and in-transit
goods, warehousing, distribution and tariff consultation. The
company will play the role of customs clearance, assisting tax
and duty payments, as well as to arrange transport for
exported or imported goods to or from client’s premises.
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The company is dedicated to provide the highest quality
customer services, meeting the agreed delivery duties and
keeping the sales prices controlled in accordance with ongoing
market trends.
The focus of this business plan is to classify targeted market,
marketing strategies and improve internal procedures so as to
increase profit and obtain fund required to expand the
business. On other hand, the plan helps us to address
challenges faced by our clients during importing and exporting
of goods. It also explains company’s intentions to exploit
market opportunities available as well as to implement
government policy.
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government institution, private companies and other
organizations.
SUMAJKT Logistics Company Limited was officially registered as
a Limited Company on December 2021 and its headquarters is
located at Mgulani JKT Area in Temeke - Dar es Salaam.
Tanzania has a lot of organizations and individuals who imports
and exports their goods in and outside the country. This
opportunity is due to a good tarmac road network, prospective
standard gauge railway and peace and tranquility making the
business attractive for cross boarder traders to use Dar es
Salaam port as their gate to access International Market.
SUMAJKT Logistics Co. Ltd intend to act as the role model in
the clearing and forwarding industry in its role of influencing
appropriate adherence to legislation, policy, practices and
procedures.
VISION
To be the best and most reliable logistics company in East
Africa.
MISSION
To provide secure, reliable, affordable and high-quality
solutions by creating exceptional value and opportunity to
our customers and community where we do business.
OBJECTIVES
The success of SUMAJKT Logistics Company Limited is
generated to achieve the following objectives: -
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a. To maintain 100% of existing customer base by
consistent customer service.
b. To diversify and increase the income of the company
and National services Corporation Sole as whole.
c. To stimulate and increase the quality of clearing and
forwarding services.
d. To create job opportunities
e. To implement government policy on increase national
income.
CORE VALUE
We take cognizance of the need to be guided by a code of
conduct which puts emphasis on:
Good governance;
Integrity and Trust;
Reliability;
Customer care; and,
Team Work as we strive to become: “stable
systematic caring organization”
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All these services will be offered in high quality and efficiency.
Also, SUMAJKT LOGISTIC COMPANY LTD is expected to serve
for various customers that include but not limited to:
a) Different organizations in and outside the country.
b) Different individual customers in and outside the country.
3.1 PRICE
A survey of prices for services of similar nature will depend on
the agreement between SUMAJKT Logistics Co. Ltd leaders and
the market itself. A competitive edge in price is expected from
the low operating cost as some employees won`t cost
SUMAJKT Logistic Co. Ltd in terms of payroll expenses as they
are employed by TPDF.
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Furthermore, NBS provides the statistics of import of good with
an increase of 27% from the year 2020 with 7,889.2 USD
Million to 10,018.7 USD Million on the year 2021.
The increase of import and export is an opportunity for the
growth of this industry and expansion of SUMAJKT Logistic Co.
Ltd
4.1 PEST ANALYSIS
In order to assess well the external environment of the industry
we conducted the PEST analysis to study Political, Economic,
Social and Technological Environment Changes.
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consistently growing at an average of 7% per annum for the
last ten years. This is a result of economic reforms and sound
economic policies that were introduced since the second half of
the 1990s. Over the past two decades, it has been transformed
from a centrally planned economy to a market-oriented system
through successful implementation of free-market orientated
reforms. The Government has encouraged private sector-led
growth through the restoration of market forces and less
Government intervention in commercial activities. Overall the
reforms have resulted in positive growth trends and impressive
macro-economic indicators with inflation rates falling from
27.4% in 1995 to about 3.4% in 2019.
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agricultural tools and machinery. The same applies to other
industries like manufacturing, construction, mining and trade.
The increase of economy positively impacts on the logistic
industry as they give more opportunities for the industry
growth.
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Currently Tanzania is improving on the technology sector by
innovating various technological methods such as;
TANCIS (Tanzania Customs and Integrated Systems) is built on
hi-tech principles with a view to increasing effectiveness,
efficiency, transparency, and reliability in the Customs
administration. Being a web based system TANCIS
progressively facilitates paperless operations leading to a
significant reduction in costs of doing business. TANCIS has
replaced the previous customs management system –
ASYCUDA++ that has been in use in Tanzania since 2005.
TANCIS integrates several systems such as:
Pre- Arrival Declaration (PAD)
Customs Licensing Application Management
(CULAS/CULAMS)
Oil Monitoring system
ASYSCAN
ASY-BANK
Exemption Tracking system (ETS)
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Internet banking
E-commerce
Sim banking
Mobile payments
Control Number Payment system
The improvement of technology gives opportunity for logistic
industry to do well and grow.
As we have analyzed the industry using the PEST analysis we
have seen a conducive environment for the logistic industry in
every aspect of Political, Economic, Social and Technological
environments which promise the growth of logistic industry.
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SUMAJKT Logistics Co. Ltd has an upper-hand on military and
public procurement as compared to other logistic companies.
In procurement of public goods, Government Procurement
Services Agency (GPSA) is the main competitor as they are
authorized for government goods. But, in military procurement,
SUMAJKT Logistic Co. Ltd has an upper-hand compared to
GPSA because of its military experience and knowledge
therefore, it can be more trusted to procure ammunition,
military vehicles, and other military supplies.
For the logistic and shipping of goods for private companies
and individuals there are more than 1000 CFAs on which the
competition is stiff because each one is trying to get the bigger
piece of the cake. But, SUMAJKT Logistics Co. Ltd has
positioned itself as the most affordable and trusted agent by
cutting most of its operational cost such as staff recruitment
with a strong management team of skilled and experienced
staffs. This combination of skilled military and civilian staff
increases performance, efficiency services and good customer
care for both governmental and private sectors.
6.1 Strength
The following are the strength of SUMAJKT Logistic Co. Ltd
which gives the company the competitive edge over their
competitors.
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Experience on military knowledge
When it comes to purchasing military goods, SUMAJKT
Logistic Company is well oriented for military supplies.
Skilled staff
SUMAJKT Logistic Co. Ltd plans to utilize TPDF staffs who
are skilled for logistic and shipping.
6.2 Weakness
Analysis of the company is to find out areas of improvement in
which otherwise the company is disadvantaged compared to
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the competitors. Therefore, SUMAJKT Logistics Co. Ltd has the
following weaknesses which need to be addressed.
Insufficient fund for expansion
The company needs funds to expand its services in more
regions as well as to increase its line of services.
Insufficient staffs
The company needs to recruit more staffs, both military
and non-military staffs so as to meet the growing
demands of the industry.
6.3 Opportunities
SUMAJKT Logistics Co. Ltd can take the advantage of the
following opportunities to expand its services and grow the
company.
Military procurements
There is no CFAs that have military expertise than
SUMAJKT Co. Ltd in delivering and procurement of military
goods.
Public procurements
Because of its cost affordability and combination of both
military and non-military staffs, SUMAJKT Logistic Co. Ltd
can win trust of customers such as private companies and
individuals because of its affordability, trust and security.
6.4 Threats
SUMAJKT Logistics Co. Ltd foresee the following hindrances
that act as a threat towards the company.
Competition from neighboring countries with ports.
Example Mombasa port
Mombasa port can also serve the landlocked countries like
Rwanda, Uganda, DRC and Burundi, if we do not perform
well or improve the policies in our country there will be a
major shift from our port to other ports.
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Unfavorable policies
Implementation of new policies that are not favorable
within the country and neighboring countries may impede
the business.
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include minerals, industrial goods, fish and fishery products,
horticultural products and flowers.
There is an increase of import goods of 27% from 7,889.1
million USD on 2020 to 10,018.7 million USD on 2021.
Import goods that were mainly imported are transport goods,
machinery, constructional goods, pharmaceuticals, oil,
fertilizers, and agricultural goods such as wheat.
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8.0 MARKETING STRATEGY
By analyzing the marketing strategy we will describe the 4P’s of
marketing that are Product, People, Place and Promotion as
strategies within the SUMAJKT Logistic Co. Ltd.
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While there are more than 1000 CFAs registered in the country,
the main competitor is Government Procurement Services
Agency (GPSA) who deals with clearing and forwarding
operations of the government and public institutions.
SUMAJKT Logistic Co. Ltd is different from other CFAs because
we deal with government, military, public institutions, private
institutions and individuals. We will build a strong customer
foundation through proficient staffs.
One of the innovative strategies of our services is to improve
customer services, delivery of information, goods and time
taken in processing of goods. This can be improved through
improvement of technology such as; management systems,
communication systems, marketing systems. Improvement of
logistic infrastructures such as; warehouses, packaging,
transportation of vehicles.
SUMAJKT Logistic Co. Ltd will portray itself as a trustworthy
and affordable logistic company in offering its services.
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Strategically SUMAJKT Logistic Co. Ltd determines to approach
the customers with a low cost strategy that offers the services
efficiently.
To improve our customer services, SUMAJKT Logistic Co. Ltd
will constantly seek feedback from our customers through
customer follow ups, filing of satisfaction form, collecting
suggestion and opinions from customers through mobile
phones, website, email and physical visitation.
8.3 Place
SUMAJKT Logistic Co. Ltd is located at Mgulani JKT Area in
Temeke - Dar es Salaam.
Customers will seek our services from our head office, branch
offices, website, emails and direct call. We will also provide
company profiles, brochures and business card to facilitate
sales.
To bring our services to the market SUMAJKT Logistic Co. Ltd
will have sales and marketing team who will be full time
employees.
8.4 Promotion
SUMAJKT Logistics Co. Ltd aims to advertise its services
through;
Website
Online directories
Logistic directories
Logistic publications
Newspapers and Magazines
Email Campaigns
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Promotional materials such as; business card, profiles,
flyers, brochures, diaries, calendars, mugs, key chains etc.
The most effective method of advertisement is through email
campaign, promotional materials and website.
Email Campaign
Most of the companies conduct business though emails and
may serve as a method to supply them with the company
profile, brochures, flyers etc. this method is affordable and is
especially good for acquiring new customers.
Promotional Materials
This method can acquire new customers but it is especially
good for retaining existing customers. When you give
promotional items such as diaries, calendars, mugs, pens, key
chain etc to the existing customers it helps to increase the
customer trust, loyalty and brings a sense of recognition of the
customer.
Website
This is an online presence of the company that enables
SUMAJKT Logistic Co. Ltd to provide official information of the
company when searched online from the internet. It is also
used to serve the customers in terms of customer services or
support and also can be used to automate business processes
and marketing.
Most of the competitors use the same method to advertise their
services but the difference is the commitment to provide the
updated information and improvement of their systems.
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In terms of pricing, our strategy will be to provide affordable
prices for our services by cutting down our cost of operations.
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ORGANIZATIONAL CHART OF COMPANY
BOARD OF
DIRECTORS
MANAGING
DIRECTOR
SECRETARY
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c) Establish a policy-based governance system.
The board has the responsibility of developing a
governance system for the business. The articles of
governance provide a framework but the board develops a
series of policies.
2: MANAGING DIRECTOR
Develop and execute the company’s business strategies
in order to attain the goals of the board and
shareholders
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Provide strategic advice to the board and Chairperson
so that they will have accurate view of the market and
the company’s future
Prepare and implement comprehensive business plans
to facilitate achievement by planning cost-effective
operations and market development activities
Ensure company policies and legal guidelines are
communicated all the way from the top down in the
company and that they are followed at all times
Communicate and maintain trust relationships with
shareholders, business partners and authorities
Oversee the company’s financial performance,
investments and other business ventures
Delegate responsibilities and supervise the work of
executives providing guidance and motivation to drive
maximum performance
Read all submitted reports by lower rank managers to
reward performance, prevent issues and resolve
problems
Act as the public speaker and public relations
representative of the company in ways that strengthen
its profile
Analyze problematic situations and occurrences and
provide solutions to ensure company survival and
growth
Developing and executing the company’s business
strategies
Provide strategic advice to the board and chairperson
Preparing and implementing comprehensive business
plans to facilitate achievement
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They conduct internal audits and reviews at regular
intervals to ensure that compliance procedures are
regularly followed
They conduct environmental audits adhering to
environmental standards
The compliance risk manager role involves the safety of
employees and businesses as well. So, it’s their part of
the duty to ensure all the tasks are done with higher
accuracy. This job role is apt for the individual who
gives attention to all the minute details within the
organization
They have to ensure that all the employees are
thoroughly updated about the organization’s policies,
regulations, and processes
Resolve employee issues about the legal risk
compliances
They should suggest/advise the management regarding
the implementation of compliance programs
They must adhere to the training and supervise the
staff that needs attention to rules and regulations
Revise rules, reports, and procedures at regular
intervals to recognize the risks
4: FINANCE MANAGER
a)Raising Funds
In order to meet the obligation of the business it is
important to have enough cash and liquidity. A firm can
raise funds by the way of equity and debt. It is the
responsibility of a financial manager to decide the ratio
between debt and equity. It is important to maintain a
good balance between equity and debt.
b) Allocation of Funds
c) Profit Planning
Profit earning is one of the prime functions of any
business organization. Profit earning is important for
survival and sustenance of any organization.
5: MARKETING MANAGER
Carrying out of marketing Research
Develop marketing strategies and plan
Capturing Marketing insights. To understand what is
happening inside and outside the company. The
marketing manager need a reliable marketing
information system.
Connecting with customers
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Building strong Brands
Shaping the marketing offerings
Delivering value
Creating long term growth
6: OPERATIONS MANAGER
Manage and direct operations team to achieve business
targets.
Assist in developing or updating standard operating
procedures for all business operational activities.
Build strong relationship by addressing customer issues
and complaints in a timely manner.
Assist in employee appraisals, promotions,
compensation and termination based on the
performance review.
Provide operational support and guidance to staff.
Assist in developing operating and capital budgets.
Monitor and control expense according to allotted
budget.
Assist in interviewing, recruiting and training
candidates.
Manage work assignment and allocation for staff.
Conduct performance review and provide performance
feedback to staff.
Maintain accurate and clear documentation for
operational procedures and activities.
Work in compliance with company policies and
procedures.
Ensure team follows standard operating procedures for
all operational functions.
Conduct regular meetings with team to discuss about
issues, concerns, updates etc.
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Support operational risk and audit process for the
purpose of preventive maintenance.
7: ICT MANAGER
8: TRANSPORT OFFICER
Making and implementing transportation strategies.
Transporting goods
Directing vehicles.
9: DECLARATION OFFICER
Ensure knowledge of Customs Tariffs and all the
procedure pertaining to customs clearance
Ensure all documents required for declaration are in
order for lodgment to customs TANCIS platform
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Ensure declaration is correctly done and in time
upon receipt of all clearing documents from the
client.
Ensure assessment is obtained timely.
Ensure customs queries if any are replied in time for
current shipments on clearance and for those on
customs audit queries basically by coordinating with
the clients.
Ensure photocopies of clearing documents are
enough for Customs and properly filed.
Ensure all documents required by customs are
properly attached before sent to Customs
Maintain excellent relationship with customs to
make sure that our documents are received and
processed in time.
Should have an experience lodging import-export
document to GCLA online application platform.
Should have an experience lodging import-export
document to TMDA online application platform.
Should ensure the clearing of goods from the
Customs within the shortest possible time.
To ensure that Annual Customs Duty Exemption is
obtained and applied for all applicable items
Oversee the overall assignments of the Sea freight
Customs Clearance Officers.
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11: SHIPPING LINE OFFICER
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12: SECRETARY
Answering calls, taking messages and handling
correspondence.
Maintaining diaries and arranging appointments.
Typing, preparing and collating reports.
Filing.
Organizing and servicing meetings (producing agendas
and taking minutes)
Managing databases.
Prioritizing workloads.
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We ensure that our company will create jobs opportunity
to the community. Also, we add value to private sector
company and individual company by provide good and
quality product to them.
b) Competitive Risks
This refers to the risk which occurs when the business faces
the stiff competition from existing business which offers the
services. The best way for mitigated this risk is through
provision of best quality services.
c) Financial Risk
This refers to the risk which is caused by fluctuation of
operating cost due to change in government policies and
regulations, thus resulting in revenue fluctuation from one year
to another.
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d) Contingency Plan
This is the plan for unexpected cost which will happen to the
business. These may cause by calamities which happens
unexpectedly such as floods, theft, diseases like corona.
Example The business has prepared 1million TZS as initial
covering cost for unexpected situations but as the business
proceeds the budget will increase by 2% of the net profit.
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