1 What does a DESADV include? 2 What do the terms cross-docking and drop-shipping mean? Depending on the type of contract, the goods can be collected at the supplier’s premises or they are handed over to a carrier or forwarding agent. Such issues are specified in the Incoterms. In pairs, work out what these Incoterms mean for the supplier and the buyer. 1 CIF (cost, insurance, freight) 4 FAS (free alongside ship) 7 EXW (ex works) 2 DAP (delivered at place) 5 CPT (carriage paid to) 8 FOB (free on board) 3 DDP (delivered duty paid) 6 DAT (delivered at terminal) The following documents can be enclosed in the dispatch advice or accompany the consignment. Talk together. Do you know what the different documents are, and what they are needed for? 1 commercial invoice 3 certificate of origin 5 waybill 7 export/ import licence 2 consular invoice 4 bill of lading 6 insurance policy 8 delivery note Read the role card and write the dispatch note. Use the expressions on the next page to help you. 5 a DESADV is the abbreviation for despatch advice. A despatch (or dispatch) advice is a type of document that is exchanged in the course of procurement and distribution processes. The term ASN (advance shipping notice) is often used in the automotive industry, instead of DESADV. Both terms, however, mean the same. During the procurement process, a buyer uses an order message to place an order with a supplier. The supplier sends an order confirmation message to confirm the order. The supplier will then send a dispatch advice to the buyer before shipping the actual goods. This will inform buyers about the nature of the goods, the quantity and the time of delivery, allowing them to prepare their inbound logistics. The goods will then be dispatched. The buyer may optionally acknowledge the receipt of goods with a receipt confirmation message. The last step is the submission of an invoice message. Different types of documents may be used, depending on participating partners and the industry. Huge commercial enterprises such as Tesco face enormous logistic challenges every day. Goods are ordered from many different suppliers for delivery either to warehouse locations (cross-docking) or to individual branches directly (drop-shipping). Overviews of pending deliveries must be available at all times to ensure that cross-docking and drop-shipping logistics remain efficient. Using the dispatch information the retail stores may plan and optimise their inbound logistics. Incoming goods must be offloaded and stored in their designated place as quickly as possible. In the case of refrigerated and deep-frozen goods, adequate storage capacities must be ready, to avoid interruption of the cold chain. To ensure efficient warehouse administration all suppliers must transmit electronic dispatch advice messages to announce upcoming deliveries. The dispatch advice will contain date and time of the delivery and details of the delivered goods. Often an itemised list is included specifying the items’ hierarchy on a pallet. Gross and net weights may also be given. b 6 You work for Antonio Acuna Ltd in San Jose, Costa Rica, and have to send a dispatch note to J. Masarik, a Slovakian business client. Include the following information: ■■ reference to order of 20 March 20__ ■■ consignment completed and packed ■■ handed over to carrier for shipping ■■ departure: 25 April 20__ , San Jose, Costa Rica 167 B Business communication Nur zu Prüfzwecken – Eigentum des Verlags öbv
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