Index1. Overview of BASF's logistics operations in Southeast Asia1.1 Business context1.2 The company's supply chain and logistics operations in Southeast Asia2. Identification of the company's problem2.1 Lack of qualified personnel in logistics2.2 Lack of adequate logistics strategy2.3 Overlapping organizational structure2.4 Weak information system in the entire region3. Recommendations3.1 Changes in logistics personnel3.2 Implementation of a single logistics strategy within the regional company3.3 Restructuring of the organizational structure3.4 Creation of a coordinated information system4. Cost and benefit of recommendations4.1 Cost of recommendations4.2 Benefit of recommendations5. Reference list BASF report1. Overview of BASF's logistics operations in Southeast Asia1.1 Corporate backgroundBASF is one of the largest chemical companies in the world. It was founded in 1865 with the main product being a coal tar based dye. It has six main product categories: oil and gas, chemicals, agricultural products, plastics and fibers, dyes and finishing products, and consumer products. The company structure is presented by a three-dimensional matrix composed of operational, regional and functional divisions. Since 1960, the company began to expand its business globally through acquisitions. In Southeast Asia the company has more than 30 companies in 16 countries in the region, of which 12 have production facilities. The region's headquarters is located in Singapore.1.2 The company's supply chain and logistics operations in Southeast Asia In terms of the flow of goods in the region, each group company can directly order the material, produce the goods and sell them within the market region. They build their own physical flow of goods, being relatively independent from the physical flow of goods of the parent company. However, due to the limited production capacity of the group companies, only one third of the total turnover in Southeast Asia is produced in the region, the remaining two thirds still mainly come from the company's main production site in Germany. Regarding information management, the flow of information within the region is limited as the group companies are located in different countries. Furthermore, each company in the group has developed its own information system, so it is difficult to communicate and share information between them. Within the regional company there is almost no systematic information due to the lack of IT support. In the organization and management of the facility, the headquarters in Singapore is responsible for the performance in the region, however, each group company is also responsible for one or more of the BASF production line and thus be responsible to the BASF operating division.