MARITIME LOGISTICS

Maritime logistics



Maritime logistics

Introduction

A large proportion of the world trade is carried out in the sea; hence, for the efficient maritime transportation, there must be confidence in the transportation by sea, while the ports that handle the products must be efficiently run so as to minimize delays and loss of cargo. For the efficient movement of goods, services and related products from one place to another, there must be a system that facilitates the flow. This report will concentrate on container transportation of CMA CGM between North of Europe to East cost of U.S and also will provide SWOT analysis of the company to understand its strategy to compete within the maritime sector.

Company

CMA CGM is a company which has its headquarters in Marseille. It is ranked as the third largest container shipping company of the world and offers a range of specialized services to suit the needs of the customers. CMA CGM has 352 vessels which operate on 170 shipping routes. The routes help in connecting 150 countries. CMA CGM logistics has many subsidiary companies. The company has consolidated its position by acquiring other companies in the maritime industry. The company acquired Delmas, a French maritime company, which was among its major competitors, hence moving from the fifth position to the third position (anon, 2005). The acquisitions usually elicit so many questions on the antitrust regulation regarding the creation of a conducive and competitive business environment (Liu, 2009, p 198) CMA CGM mainly deals with containerized cargo. However, the company has many other subsidiary companies which offer a wide range of services in the maritime industry. The services offered include tourism, logistics, leasing of containers and maritime shuttle services.

CMA CGM SWOT Analysis

Strengths

The company provides service to 11 ports between East Coast of U.S and North of Europe every week with 13 vessels. As a company, CMA CGM provides Competitive transit time from North Continent/UK to US East Coast and South Atlantic ports particularly from Le Havre to New York it takes only 8 days. Nowadays there are many companies providing such shipping service but unfortunately there are only few who can provide door to door service. As an expanding company CMA CGM is aiming to be a Pioneer and a leader of the sector therefore, the company is aware of how important to satisfy customers. The group has the third largest container fleet in the world. CMA CGM has acquired a number of diversified subsidiaries, catering for different markets across the globe. Its terminal operating business, Terminal Link, supports the growth of the shipping division and the group's subsidiaries. Its multi-modal divisions also bolster growth, providing the customer with an integrated 'door-to-door' service.

CMA CGM provides a full inter-modal coverage trough out North America inland via excellent rail connections to 26 main ramps and full Inter-modal coverage of North Europe via Excellent Inter-modal connections (train, barge, trucks). Providing those services makes CMA CGM more than just a shipping carrier but a fully logistic company and puts one step forward ...