References

Audit Logistics Development Opportunities

MMC Corporation Berhad (MMC) is a leading utilities and infrastructure Group with diversified businesses (MMC Group) under four divisions namely Ports & Logistics, Energy & Utilities, Engineering and Industrial Development. Under Ports & Logistics (“PLD”), MMC Group operates several ports, one airport and several logistics facilities in Peninsular Malaysia.
 
Further, KTMB MMC Cargo Sdn Bhd, a collaboration between MMC Group and Keretapi Tanah Melayu Berhad (KTMB) is responsible for developing rail freight traffic between the ports and the hinterland.

Audit of MMC Group’s transport, logistics and handling sector

MMC Group plans to audit and evaluate business development opportunities in the transport, logistics and handling sector for the existing ports, the port-hinterland rail traffic and regarding container and conventional cargo business.
 
Targets of the project are a status quo analysis of MMC’s port, airport and railroad activities, the analysis PLD’s subsidiaries performance, recommendations to improve the performance on entity level and the identification of synergies between the entities.

Potential to become a lead logistics service provider in Malaysia

TransCare’s audit of MMC Group’s PLD was completed in two months. The findings resulted in an evaluation and benchmarking of all ports’ activities of the Group, overall and targeted recommendations for each handling facility. Besides the implementation of activity-based-costing for all ports, TransCare recommended individual measures to improve the operations and the expansion of the ports’ overall layouts. The role of the state railway and the potential extension of hinterland railway connections in relation to the container business were analyzed. TransCare furthermore drew a plan how to develop Senai airport to consolidate its position within South-East Asia and in close proximity to Singapore.
 
The recommendations are intended to serve as a basis for a future long-term strategy development and implementation project.