Lo gic om Holdings

FBESPOK E I NTERNATIONAL LOGISTIC S SERVICES

or global businesses expanding
into Asia-Pacific (APAC), Japan’s
exceptional trade infrastructureand extensive catalogue of free
trade agreements (FTAs) makeit the ideal choice. From KansaiInternational Airport, locatedin Osaka, businesses can easily access major
Asian markets, including Seoul in under twohours and Shanghai in under three. Japan’sFTAs also cover key markets like the USA andthe EU, and the country is the world’s fifthlargest exporter and the fourth-largest importerof goods, according to the World Bank, withforeign trade accounting for 37% of its GDP.
Boasting automotive giants like Toyota andHonda, Japan is currently the world’s thirdlargest producer of cars. Behind the scenes,Japanese carmakers are supported by an armyof world-class logistics providers who work
tirelessly to ensure the entire supply chain runs
like clockwork. In FY22, sales across Japan’slogistics industry totalled a staggering JPY 24.6 trillion, according to
Statista, with most business conducted via truck transportation andcoastwise shipping.
Drawing on 65 years of experience in the logistics industry,
Logicom Holdings is the trusted logistics firm of Japan’s top automobile
manufacturers, enjoying strong relationships with the likes of Toyota,
Suzuki, Honda, Mitsubishi, and Nissan.
Logicom’s ability to consistently deliver a superior service to its
customers has cemented its reputation in a fiercely competitiveindustry, enabling it to rise through the ranks and carve out a niche
for itself. “We bridge the gap between parts manufacturers andautomakers,” says Logicom’s president, Masato Oue. “We’re primarilya logistics and warehousing company, but specialising in automotiveparts. We deliver a range of components, from tyres and wheels
to steering, windows, and headlights - essentially everything a carrequires.”
The lifeblood of Logicom’s business is its unique transportation
system. Oue says Logicom can have up to 600 truck drivers on theroads on any given day, but where the company truly excels is throughits use of fine-tuned distribution models. One example is cross-docking,where goods are sorted upon reception and then immediately loaded
onto outgoing trucks – removing the need to store goods in warehouses
for long periods. Logicom also utilises the milk-run logistics model –instead of sending an individual truck, it transports mixed loads andvisits multiple customers on a single run. Both methods enable efficient
just-in-time (JIT) delivery to customers, and the company even goes
one step further in offering to pick up products and deliver on a Doorto-Door (D2D) basis.
To coordinate everything, Logicom relies on a highly sophisticatedWarehouse Management System (WMS), which encompasses theentire process from receiving goods to transportation, warehousestorage, distribution, processing, and finally, delivery. Logicom
developed its WMS as early as 1976, and today, it forms an integral partof the company’s bespoke logistics service. Through its WMS, Logicom

can offer its customers unrivalled customisation
options, including sequential delivery matchedto their production chain, perfected with realtime demand forecasting and live inventory
data.
Constantly seeking new ways to add value
to its customers’ businesses, Logicom prides
itself on being much more than just a logistics
provider. “We always strive to go beyond
traditional logistics, offering superior solutions
that exceed our customers’ expectations,”
says Oue. For example, since 1965, Logicom
has manufactured its own automobile parts,
offering customers unrivalled customisationand flexibility. From high-precision prototypes
based on customer drawings to secure deliveryof the finished goods, Logicom takes control of
the whole process. The company’s capabilities
even extend to assembling and performing
in-depth quality control on all parts before
Masato Ouedelivery.
CEOWith such a diverse skill set, Logicom hasforged an enviable financial position over recent years. “We recovered
quickly from the COVID-19 pandemic, and in the final half of our last
fiscal year, we registered our highest-ever sales and profit figures,”explains Oue. “We’re continuing to increase our market share andanticipate a strong performance this fiscal year, with sales forecast
to reach JPY 33 billion. In comparison, our pre-COVID turnover wasroughly JPY 25 billion.”
As Logicom pilots its course towards future success, the company
aims to channel new growth through its international business. Sofar, Logicom has established local subsidiaries in China, Thailand,
India, and Indonesia, with capabilities for D2D worldwide shipping
backed by a wealth of experience in international air and ocean freightshipping. Plus, as an AEO-certified customs broker, Logicom ensures its
customers have access to the best routes and the fastest delivery times.
Logicom also provides an invaluable service to foreign firms looking
to do business in Japan, something Oue is keen to expand through jointventures. “We can handle all the administrative aspects and inventory
management. Currently, we’re doing this with a Chinese company,
importing wheels from China and then selling them to Japanesecarmakers in Thailand.” Logicom has also agreed to form a joint venturewith the same Chinese company and will begin working together thisyear in Mexico.
To celebrate its 65 years anniversary this year, Logicom remains
guided by the same core values that proved foundational to its success,a business philosophy embodied in its motto, ‘Trust and Contribution.’
Chosen to represent the company’s overarching vision, Logicom’s
motto is also synonymous with the unwavering care and attention
Japanese firms of all stripes offer their customers. Whether at home oroverseas, companies like Logicom define what it means to do businessthe Japanese way.