All systems go for a joint venture between Gothong Southern Shipping Lines, Inc. and Suzue Corporation with documents signed and sealed, formalities launched — operations revving.
The new team is Gothong-Suzue Philippines, Inc. to extend logistics service connecting the Philippine islands to an expanded transport network within East Asia (China and South Korea), Southeast Asia (Thailand, Indonesia, Malaysia, Myanmar, Vietnam and Singapore), South/West Asia (Bangladesh, India, UAE and Turkey), Africa (South Africa), North America (U.S.A.) and Central America (Mexico).
Fusion.
President Ma. Asuncion Labanen starts, “Critical for us right now … is for us to have the market know that we are already here – Suzue is here and Gothong Southern is going international.”
Labanen believes it is a fusion of excellence and competencies, the advanced technology of Suzue in operations and the operational expertise and care culture of Gothong Southern.
It carries seamless logistics with GLI, the sister company and logistics arm of Gothong Southern Group.
Suzue Corporation has already established global links with subsidiaries in China,Thailand, Malaysia, Singapore, Vietnam, Myanmar, Indonesia, and even Mexico and U.S.A., most of which are ASEAN economic community members. This is the focus of Gothong Southern, ply the wider blue waters of the region; then around the continents.
The joint venture is for international forwarding, warehousing — the whole logistics chain, expanding to a wider market.
Milestones.
The joint venture agreement was signed on February 23, 2016. A strategic meeting in Manila followed on July 25thattended by Suzue Chairman Takahiro Suzue and Gothong Southern CEO Bob D. Gothong.
The ceremonial signing was held in Makati last December 2016. The opening of business operations was announced February 24, 2017, at Shangri-La Hotel, Makati City.
VP and CFO Jennifer Bojos says it is a dream come true, talks rooting way back 2014 accelerated by the ASEAN integration. She admits GS has a lot to learn from the 100-year Suzue, with many alliances all over the world.
The grand opening ceremony was attended by special guests, senior management of Suzue Corporation and its global network, BoD of Gothong-Suzue Philippines, Inc. and Excom of the Gothong Southern Group.
Gothong shares, “This joint venture was in the making for I think over two years. We were able to visit both in Tokyo and Yokohama, We are very impressed with their operation there specially their automated rack warehouse in Suzue Odaiba Distribution Center.
So I would like to thank the Chairman for believing in us to be your partner here in the Philippines.”
Chairman Suzue responds, “We decided to advance to Philippines because it is very attractive country for us. As you know Philippines has kept driving its economic growth and I’m sure that it is best strategic of importance… I believe that developing business in this country with Gothong Southern Shipping Lines, our new partner is ready to succeed in our future plan.
Through our collaboration we will try our best to improve our services for the customers satisfaction and we look forward to your continuous support for us.”
Chairman Fumio Nakanishi, in proposing a toast, “Thank you very much for coming here, despite your busy schedule. Toast for prosperity, success and happiness for company development. I say in the Philippines, Mabuhay!”
The lady.
President Labanen was impassioned with a full business arsenal, “With the birth of space tourism and artificial intelligence coupled with the super powerful and ever innovating information technology everyday has become a battle.
All industries are innovating. Like in the logistics industry where logistics trends have shifted to a) sustainability b) real time inventory management 3) near shoring 4) use of 3 PLs. There is also the demand shift brought about by the rise of the middle class.
The shift in logistics trends gave rise to mergers and acquisitions, partnerships and collaborations, all in a battle for a share in the global flow of goods and services.
The game plan maybe complicated if we want to become complex but the battle cry in all industries currently is agility, speed, but excellence in quality and service must not be prejudiced.”
Labanen declares both Gothong Southern and Suzue believe in the power of its people to excel, to innovate, to reform. They are fueled by the philosophy that cares for life and gives value to inclusive growth.
She hopes the partnership will be strong and become even stronger. Labanen even earned a burst of applause from usually jaded executives when she spoke in fluent Japanese on sensible business.
Start-up.
In an interview with Marino World, Labanen said that profit is one issue to deal with and to start they must focus on letting the market know their presence.
The lady is aware the first challenge for the startup is how to let the market know the brand given that competition everywhere is very tight.
Next thing is the economic side, with pricing always a key. There is a need to develop the edge to differentiate it from the rest. Suzue may come from a Japanese culture but Filipinos are resilient, adapt easily.
Options.
As starter, Labanen is meeting with some companies to offer them options. She notes that building relationships with customers is crucial. And this must be patiently cared for.
She would not ploy around being a big name. Instead, Labanen defines “big names” as simply service. By that definition, G-S enters big time as service excellence is its other name.
The company will be different; like never accepting delays are normal to the industry. It will go beyond commitment to deliver. It fine tunes contingency measures to pre-empt vulnerability to infrastructure blimps.
Take traffic congestion as one problem. Even if goods arrive at the ports on time, released on time, no one can control traffic congestion. Hence, there must be thorough planning like delivery scheduling.
Here’s where Suzue excel with its highly automated system, backed by GPS: cargo arrival to delivery is traceable, in real time. Of course, time is needed to jell equipment with installation and user expertise.
Meantime, Gothong Southern Logistics under Gothong Southern Group umbrella shall be the local partner in domestic forwarding.
In the local archipelago, Gothong Southern Group is well-prepared with its GS Shipping Lines, Inc. and GS Transport whether Cebu, Manila or any region, by land or sea transport.
GS Properties has the warehouses for the cargo; clearly, a complement of facilities in one organization manned by people well-taken cared of by management to render quality service.
In essence, highly reliable service – accuracy, speed and quality.
Foundations.
Suzue Corporation was established in December, 1908, to pioneer in logistics strategy with stevedoring, warehousing and physical distribution. By March 31, 2016, it has 203 employees in warehousing, port transportation, freight transportation, real estate and allied ventures.
Suzue dates back to the Meiji Era (Meiji-jidai), a Japanese era which extended from October 23, 1868 through July 30, 1912. This period represents the first half of the Empire wherein Japanese society moved from an isolated feudal society to its modern form.
Suzue continues its success with today’s support, even of the Millennial generation.
Its inter-modal transportation system meets diversified customer demands with distribution bases from Keihin Port to Hokkaido in the north, Kyushu and Okinawa in the south. Warehouses are multi-functional, ensuring goods are stored in the best condition.
The IT infrastructure for inventory control ascertains total efficiency, controlling the flow of the goods at every stage, from product commercialization with pickup/processing up to delivery.
These are basics in its Domestic Network: Based on major cities in Japan, the logistics network extends nationwide, with advanced technology, in tandem with its group of companies.
These are replicated in its Global Network: with agents in Asia and major countries, extending rock-solid support for the global strategies of clients.
Gothong Southern.
Labanen reaffirms the mission statement, “We exist because we care”. This is not just for business imaging but a deeper culture of concern, in caring for the staff even with the ups-and-downs of business wherein they, in turn, share their best with the clients.
Labanen continues, “We must not veer away from our mission. It has made us through these years. Thus, at G-S, we must also carry the culture of caring.”
Core vision.
Gothong maintains close relationship with its employees. And Bob Gothong reiterates this corporate commitment, “A company may have many resources and assets, but don’t forget the most important one – your human resources. Treat them well, keep them happy and they will be here to stay.”
Gothong Southern Group operates nationwide with about 600 staff on sea and land-based ventures.
Another charter.
The Gothong Southern Group mantra: “We exist because we care for our Customers, People, Owners, Partners, Country and the Global Community.”
Compliments Suzue: “Providing customers with valuable comprehensive logistics and distribution services to create an affluent, comfortable society in the future.”
At first glance, one may question a merger of philanthropy and profit. But the operational re-structuring is bonded by a deeper philosophy; that of providing employees real and spiritual advancement. In turn, they reflect gratitude in satisfying customers, a win-win formula!
The joint venture of Gothong-Suzue Philippines, Inc. expands the range, “The vision is basically to move Asean. To move international. To scale up but the scaling up has to be powered as well of the culture we have.”