PHILIPPINE NATIONAL

STANDARD PNS 2135:2018

ICS 49.140

Road Freight Transport

BUREAU OF PHILIPPINE STANDARDS (BPS)

Member to the
 International Organization for Standardization (ISO)
 International Electrotechnical Commission (IEC)
Standards and Conformance Portal: www.bps.dti.gov.ph
 PHILIPPINE NATIONAL STANDARD PNS 2135:2018

Foreword

This Philippine National Standard on Road Freight Transport has been developed
by the Technical Committee on Logistics (BPS/TC 84) and approved by the Bureau
of Philippine Standards.

This document provides guidelines and recommendations to fleet operators and/or

freight forwarders for reliable, safe, cost-efficient and environmentally sustainable
road freight transport.

In the process of developing this standard, the technical committee made referenced
to SIRIM 10:2017, Green Logistics – Road freight transport – Recommended best
practices and ISO 16091:2018, Space System – Integrated Logistic Support.

Preparation of this standard is through the proposal of the Competitiveness Bureau

of the Department of Trade and Industry (DTI) in support to the National Logistics
Masterplan Program (NLMP)

Published by the Bureau of Philippine Standards

December 2018

All rights reserved. Unless otherwise specified, no part of this publication may be
reproduced or utilized in any form or by any means, electronic or mechanical, including
photocopying and microfilm, without permission in writing from the publisher.
PHILIPPINE NATIONAL STANDARD PNS 2135:2018
Road Freight Transport

Introduction

Freight transport plays a major role in business and in national competitiveness. Along with
the steady growth of the Philippine economy, the freight and logistics sector of the country
has been expanding due to more commercial and business activities (Romero & Agatep,
2018). However, the overall logistics performance of the country has been deteriorating as its
Logistics Performance Index (LPI) ranking has dropped from 57 th in 2014 to 71st in 2016
(World Bank, 2016). This signals a need for significant improvement in the sector to increase
overall reliability and efficiency, including cost and energy efficiency. This can be done
stepwise, targeting first the major mode of moving cargo in the Philippines, which is land
transport. Road-based freight transport comprises 58% of cargo traffic, while water and air
transport carry 41.95% and 0.05% of goods, respectively (Asian Development Bank, 2012).

Logistics reliability is one of the main concerns of various business sectors. Low reliability is
intensified by the delays in delivery and slow turn-around time of trucks. As more delays
occur, companies are forced to raise the level of inventory so that their businesses would not
be affected. However, in doing so, companies are incurring additional logistics cost. In 2017,
it was estimated that the average logistics costs of companies in the Philippines comprise
27.16% of the total cost, which is higher than in neighboring countries Thailand (11.11%),
Viet Nam (16.30%) and Indonesia (21.40%) (Banomyong, 2017).

Truck companies also incur major costs from their trucks’ energy consumption and
maintenance activities. According to a 2018 survey by GIZ, truck companies spend around a
third of total operating costs for fuel costs and up to 20% on maintenance costs of their fleets
(Romero & Agatep, 2018). High costs for energy consumption and maintenance can be
attributed to the use of old and secondhand trucks. The 2017 National Logistics Masterplan
(NLMP) estimates that as high as 80 to 90 percent of the current truck population of the
Philippines is more than 15 years in age. Truck operators prefer secondhand imported trucks
because they are less costly to acquire. Not only are old, poorly-maintained trucks more
expensive to use over time but they are also less reliable, prone to accident, and cause more
air pollution. Another issue contributing to lower energy efficiency is overloading. In 2010, the
“Study on Master Plan of High Standard Highway” revealed that about 16% of trucks are
overloaded, which also causes early deterioration of roads (JICA & DPWH, 2010).

The effects of the abovementioned problems are not only confined to higher costs as they
also have environmental considerations. Aside from causing air pollution, the emissions from
trucks include greenhouse gases (GHGs) which cause global warming. More GHGs are
emitted with higher energy consumption which could be from use of old and dilapidated
trucks, inefficiently planned trips and empty backhauls, truck overloading, and other causes.
If the country will not improve its truck efficiency, by 2050, the projected annual emissions
from road transport is expected to increase seven-fold, bringing the total to 139.9 MtCO2e.
Of this, trucks account for 19% of total emissions (Asian Development Bank, 2017).

As business and trade improve, the freight transport industry has a good potential to further
expand but it needs to level up its operations to be truly competitive and efficient. The
cooperation of each player involved is a must to reduce greenhouse gas (GHG) emissions,
fuel consumption, road deterioration, and accidents. The Department of Trade and Industry
intend to support the trucking sector by spearheading the creation of standards that will
define efficiency in the road freight sector and uphold green logistics across all individual
players as an approach to improve overall efficiency.

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PHILIPPINE NATIONAL STANDARD PNS 2135:2018
Road Freight Transport

1 Scope

This Philippine National Standard gives guidelines and recommendations to fleet operators
and/or freight forwarders for reliable, safe, cost-efficient and environmentally sustainable road
freight transport.

This Philippine National Standard aims to enhance overall operations in the road freight
transport. This standard does not cover services related to the movement of people.

This Philippine National Standard is applicable to all types of fleet operators and/or freight
forwarders regardless of their size, type and activities. These requirements also aim,
throughout the product life cycle, at implementing everything pertinent to the control of the
risks considered as critical regarding the operational objectives.

2 Normative References

There are no normative references in this document.

The titles of the standard publications and other references of this standard are listed on the
inside back cover.

3 Terms, definitions and abbreviated terms

For the purposes of this standard, the following terms, definitions and abbreviations apply.

3.1 Terms and definitions

3.1.1
business entity
a person or group of people that has its own functions with authorities, legal responsibilities
and relationships to achieve its objectives and operate for commercial purposes. Includes
but not limited to sole proprietor, company, corporation, cooperative, firm, enterprise,
authority, partnership, institute or part or combination thereof whether incorporated or not,
public or private.

3.1.2
cargo
freight
goods or produce transported, generally for commercial gain, by ship, aircraft, train, van or
truck

3.1.3
driver
any staff of a business entity who is a holder of a valid professional license and drives any
vehicle for work purposes and whose primary task is driving.

3.1.4
eco-driving
the practice of driving in a way that minimizes fuel consumption by the vehicle and reduces
its emission of greenhouse gases.

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3.1.5
fleet operators
freight forwarders
business entities that own, lease, or hire vehicles that are involved in the movement of
goods.

3.1.6
goods
any commodity transported.

3.1.7
logistics
the process of planning, implementing, and controlling procedures for the efficient and
effective transportation and storage of goods including services, and related information from
the point of origin to the point of consumption for the purpose of conforming to customer
requirements.

3.1.8
payload
maximum load a conveyance is designed to carry during normal use.

3.1.9
performance indicators
specific factors that are measured to indicate progress toward goals.

3.1.10
tachograph
sender unit mounted to a vehicle gearbox, a tachograph head and a digital driver card, which
records the regulated vehicle speed and the times at which it was driven and aspects of the
driver’s activity selected from a choice of modes.

SOURCE. ISO 15638:2014

3.1.11
top management
person or group of people who directs and controls an organization at the highest level and
has the mandate to delegate authority and provide resources within the organization.

3.2 Abbreviated terms

The following abbreviated terms are defined and used within this document:

Abbreviation Meaning

LPI Logistics Performance Index

NLMP National Logistics Masterplan

GHGs greenhouse gases

ILS Integrated Logistic Support

WBLPI World Bank Logistics Performance Index

NLMP National Logistics Master Plan

PDP Philippine Development Plan

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CCC Cash Conversion Cycle

DIFOT Delivery In Full & On Time

DOLE Department of Labor and Employment

ICT Information and Communication Technology

DTI Department of Trade and Industry

TESDA Technical Education and Skills Development Authority

KPIs Key Performance Indicators

LTO Land Transportation Office

4 Fundamentals of Integrated Logistics System

4.1 Principles

4.1.1 Safety

Freedom from unacceptable risk of goods, humans, property, equipment and environment
during road transport of commodities.

4.1.2 Reliability

Ability to perform a required function under given conditions for a given time interval e.g. on
time delivery, no damaged goods, preserved quality, no pilferage etc.

4.1.3 Cost efficiency

Ability to perform a required function at a minimum possible cost.

4.1.4 Environmentally sustainable

Ability to perform a required function with minimal negative impact to the environment.

4.2 Compliance to existing regulations

The business entity shall comply with all relevant national and local regulations, and have
access to current and emerging legal and other requirements, to which the business entity
subscribes, which are applicable to its activities and services.

5 Organizational Management

5.1 Top management

Top management shall demonstrate leadership and commitment by:

a) taking accountability for:

- safety;
- reliability;
- cost-effectiveness; and
- environmentally sustainable business entity.
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 b) establishing road freight transportation management objectives and initiatives on:
- safety;
- reliability;
- cost-effectiveness; and
- environmentally sustainable business entity.

c) ensuring the integration of

- safety;
- reliability;
- cost-effectiveness; and
- environmentally sustainable business entity.

d) ensuring that the resources needed are available (see Clause 5);

e) ensuring that the plan of activities, timescale and roles are understood by
everyone through good internal communication channels;

f) establishing collaboration with stakeholders in order to gain insight and

understanding of customers’ needs and how improvements can be made;

g) engaging, directing and supporting persons to achieve desired results; and

h) promoting continual improvement.

5.2 Roles and responsibilities

Top management shall ensure that the responsibilities and authorities for relevant roles are
assigned, communicated and understood within the business entity.

The responsibility shall be assigned to a person or entity to coordinate and report to top
management or superior the issues on four (4) principles on the transportation performance.
This is to ensure that changes to the business operation and subsequent information can be
adequately communicated, acted on, and reviewed.

5.3 Policy

5.3.1 Policy Formulation

Top management shall establish and define policies to clarify their direction and support for
the four (4) principles on the Integrated Logistics System – Road Freight Transport. The
policy should:

a) be appropriate to the purpose of the business entity with the least possible
negative impact on the environment;
b) include a commitment to make necessary human and financial resources to
achieve strategic and operational objectives;
c) include a commitment to achieve abovementioned objectives that are measurable
(see Clause 9); and
d) include a commitment to continual improvement of abovementioned objectives in
their operation.

5.3.2 Policy Dissemination

5.3.2.1 The policy should be:

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 a) available as documented information;
b) communicated, understood and applied within the business entity;
c) available to interested parties, as appropriate; and
d) reviewed periodically or whenever necessary for continuing suitability and
continuous improvement.

5.3.2.2 Personnel doing work under the business entity’s control shall be aware of:

a) the business entity’s policies, especially those pertaining to safety, reliability, cost
efficiency and energy efficiency;
b) their contributions and roles to the effectiveness of these policies, including the
benefits of improved business operation and performance; and
c) the implications of not conforming with the policies.

5.3.3 Identifying and engaging stakeholders

5.3.3.1 The involvement of stakeholders is crucial at any step in which they may be relevant.
The business entity shall identify and make reasonable efforts to engage them, taking into
account:

a) the entitlement of particular interested parties to consultation; and

b) the precise form of interested party identification and engagement, which depends
on the size, complexity and context at a particular time.

5.3.3.2 The business entity shall identify stakeholders:

a) that have a particular stake interest;

b) whose decisions will have a significant impact;
c) that have crucial information or necessary expertise; and
d) that are entrusted with, or may contribute to, awareness-raising or communication.

5.3.3.3 Effective involvement does not imply involving all the interested parties in all phases
of the engagement.

5.3.4 Data management

5.3.4.1 Logistics data (operations, etc.) related to safety, reliability, and cost-efficiency and
environmentally sustainable shall be collected and used for analysis and measurement of
performance (see Clause 9).

5.3.4.2 Data will be the basis for monitoring, evaluation and decision-making with the main
purpose of improving overall business entity performance. Data can be used also for
knowledge management and communication.

5.3.4.3 Data that will be collected, stored, reported and shared by the business entity shall
be used in accordance to the existing national and international regulations pertaining to
data privacy and protection.

5.3.5 Support and Resources

The business entity shall determine and provide the resources needed for the establishment,
implementation, maintenance and continual improvement of efficient road freight transport
operation. Resources shall include personnel, training, infrastructure, technology and
finance.

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5.4 Communication and awareness

5.4.1 The business entity shall determine the internal and external communications strategy
relevant to its objectives and initiatives on the following:

a) on what it will communicate;

b) when to communicate;
c) with whom to communicate; and
d) how to communicate.

5.4.1.1 Internal communication: Information should be disseminated to internal staff in a way

that makes it understandable to them such as via verbal briefings, letters, and notices.

5.4.1.2 External communication: Transparency in operations can boost the company’s

reputation - in terms of punctuality in delivery, green/environmental-friendly practices,
efficient operations, quality and safety of goods. External communications can also be
targeted towards not only clients but also end-consumers. External communication depends
on the management prerogative.

6 Personnel Management

6.1 Administrative requirements

6.1.1 The business entity shall ensure that personnel meet the minimum qualification
requirements set by the companies for each position supported by relevant
documents.

6.1.1.1 Specifically, hired drivers shall have valid licenses issued by the appropriate
regulatory body for the vehicle or group(s) of vehicle they drive and qualified to operate
equipment, where required with appropriate restriction code and professional certifications.

6.1.1.2 The business entity shall require all personnel to provide government clearances,
medical certificate and undergo mandatory drug testing.

NOTE Hired drivers should possess a Land Transportation Office (LTO) valid license with
corresponding restriction codes that will match the vehicle or group(s) of vehicle
they drive.

6.1.1.3 The business entity shall require all personnel be identified through a company ID
and/or uniform or shirt with company logo.

6.2 Qualifications and Competency Requirements for personnel

The business entity shall:

a) determine the necessary competence of the personnel, in particular the driver(s)

doing work under its control that affects its transport delivery service, which shall
include basic literacy in reading and writing in English;
b) ensure that the personnel are competent and technically equipped on the basis of
appropriate education, training and work experience;
c) where applicable, take actions to acquire the necessary competence, and evaluate
the effectiveness of the actions taken; and
d) retain appropriate documented information as evidence of competence.

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6.2.1 Trainings and seminars

With proper personnel education and training, savings in the form of better performance,
less accident and incidents, less energy (or fuel) consumption, lower maintenance costs and
better use of resources will be achieved.

6.2.1.1 The business entity shall provide relevant trainings/seminars to its employees. This
may include training on traffic rules, regulation and road safety, training on cost accounting,
training on eco-driving, training on anger management, among others.

6.2.1.2 The business entity should also focus on the driver’s wellbeing and behavioral
pattern such as driving style, correct use of gears and making them aware of fuel-efficient
driving and generally understanding the relationship between the vehicle (road worthiness)
and the environment (road safety).

6.3 Support to personnel

6.3.1 The business entity shall have procedures to manage both drivers’ hours and total
working time for all. Due consideration should be given to these rules when planning
journeys and scheduling drivers’ work.

6.3.1.1 Additionally, for safety reasons, drivers should also be provided with emergency
contact number and GPS tracking device.

6.3.1.2 The business entity shall provide evidence of recording and examining drivers’ hours
and evidence of addressing incidents where drivers’ hours exceed the allowable duration.
The business entity shall conduct random and periodic testing for prohibited substances e.g.
alcohol, drugs.

6.3 Benefits and Incentives

6.3.1 The business entity shall ensure benefits to personnel in accordance with the statutory
requirements.

6.3.2 Performance incentives and rewards may be awarded to personnel.

7 Fleet Management

7.1 Maximum Allowable Load

The business entity shall ensure that vehicles shall conform with the existing rules and
regulation in regard to the maximum allowable load of vehicles.

NOTE The business entity shall consider the international standard and comply with
the following regulations: Article VII, Section 6 (c) of the Implementing Rules
and Regulation of the Republic Act No. 8794 (Maximum Allowable Gross
Vehicle Weight); Chapter III, Article III of Republic Act No. 4136 (Land
Transportation and Traffic Code Act of the Philippines); ISO 668:1995 Series
1 Freight Containers – Classification, dimensions and ratings; and SOLAS
regulation VI/5 (see Annex A).

7.2 Safe loading

7.2.1 The business entity shall implement safe loading by:

a) carrying out risk assessment of the type of load carried by each vehicle
(dimensions, weight and movement);
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 b) ensuring that the vehicles be equipped with in-cab height indicator or warning
notice to alert drivers and/or workers when the vehicle loads exceed 3 m in
height;
c) providing proper equipment to secure goods during transport;
d) enforcing vehicle loading practices through personnel training via a regularly
reviewed policy so that loads can be carried safely; and
e) choosing the right type of vehicle to be used.

7.2.1.1 The business entity shall have a safe and efficient system of loading/unloading of
cargo to address the provisions in c) and d), such as palletizing (if applicable) and use of
appropriate material handling equipment.

7.3 Load optimization

Load optimization helps to ensure that a vehicle can carry more freight, reduce empty or
partially loaded vehicle, hence leading to reduced number of trips and reduction in
emissions.

The business entity should:

a) establish a system to ensure that vehicles leaving from any point of origin are
loaded optimally, and that pallets and containers are holding the maximum amount
of goods while adhering to specific requirements (business entity and government)
on product placement within the vehicle and overall weight; and
b) ensure that the load are arranged in a manner that the aerodynamic drag is kept to
a minimum. Varying the load on each axle can influence fuel consumption,
however care should be taken not to overload any axles on the vehicle.

NOTE The use of weighbridges is recommended to account for the load carried by the
vehicle.

7.4 Vehicle maintenance and inspection

Fleet vehicles are more efficient if they are properly maintained and operational. Vehicles
are valuable assets and critical for business continuity and operation. They facilitate the
movement of goods and have to be regularly inspected, maintained and tested for optimum
performance, including roadworthiness, and kept in good repair.

Fleet management when properly observed will ensure the availability of vehicles as and
when required, cost efficiency, program or response continuity, staff and vehicle safety,
safety on the roads, vehicle security and performance management.

7.4.1 The business entity shall keep the vehicle in good condition through proper vehicle
maintenance schedules or vehicle replacement in order to prevent breakdown or minimize
downtime.

7.4.2 The business entity shall have an inspection and preventive maintenance programs
that shall be led and implemented by competent personnel or outsourced to accredited
service and repair enterprises.

NOTE 1 Maintenance personnel shall be certified by the Technical Education and Skills
Development Authority (TESDA), while service and repair enterprises shall be
duly accredited by the Department of Trade and Industry (DTI).

7.4.3 The business entity should put in place a process to streamline fleet management,
which may include in-house or outsourced maintenance. In the event where maintenance is
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conducted in-house, there should be evidence on the suitability of resources to undertake
the work. Should maintenance be outsourced, evidence of a formal agreement should exist.

7.4.4 Upon completion of preventive maintenance, all vehicles should be tested in

accordance with relevant regulations.

7.4.5 In either situation, the business entity shall ensure that in-house or outsourced
maintenance adheres to the environmental regulations for the storage, labelling,
transportation and disposal of hazardous waste, wherever applicable.

NOTE 1 Hazardous waste may include batteries, engine oils, coolant, gearbox oils, etc.

NOTE 2 The business entity shall comply with the following regulations: Republic Act No.
4136 (Land Transportation and Traffic Code Act of the Philippines); Republic Act
No. 8749 (Philippine Clean Air Act of 1999); Republic Act No. 8750 (Seat Belt
Use Act); Republic Act No. 10916 (Road Speed Limiter Act of 2016); and LTO
Administrative Order ACL-2009-018 (Revised Administrative Order on the New
Motor Vehicle System and Promulgating Rules and Regulations in the
Implementation Thereof). (see Annex B).

7.5 Vehicle replacement

The business entity shall have procedures on vehicle replacement or disposal based on
existing rules and regulations. In addition, the business entity shall consider the following
reasons for vehicle replacement or disposal:

- as a result of extensive unrepairable damage, or cost-prohibitive repairs;

- when the vehicle attains the stipulated mileage or years for disposal;
- when the vehicle is no longer economical to operate;
- when the vehicle is no longer required;
- when there is a program to downscale or shut down; or
- when the vehicle does not conform with government rules and regulations.

7.6 Security and safety measures

7.6.1 The business entity shall establish a tracking and documentation system for proper
control and supervision, and institute the necessary procedures to have better control on
loss prevention for vehicle fleet, by analyzing in depth all the data from the processes,
procedures and risks such as in office management; material planning processes; route
planning; loading risks; vehicle safety equipment; number and type of accidents; time and
location of accidents.

7.6.2 The business entity shall provide security and safety trainings, and Personal Protective
Equipment (PPE).

7.6.3 In addition, the business entity shall also look into areas such as driver recruitment,
driver’s training and accident analysis that have direct economic impact to the business
entity.

7.6.4 The business entity shall have its own parking lot that can accommodate its entire fleet
and have a system of ingress and egress to prevent traffic build-up/obstruction of
thoroughfares.

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8 Transport Operation

8.1 Transportation planning, optimization and monitoring

The business entity shall implement reliable transport management system to help analyze
and identify profitable, safe and optimized routes. This type of system shall ensure the
efficient use of existing transportation assets and management to lessen amount of waste,
and reduce carbon footprints and GHG emissions.

The business entity shall consider the following methods to enhance transportation planning:

a) optimize route identification and scheduling, tracking system;

b) maximize payload;
c) use appropriate vehicle specification;
d) establish risk control plan; and
e) review and update contingency plan.

8.1.1 Optimize route identification, scheduling and tracking system

The purpose of route optimization and scheduling is to reduce travel time during operation
and assignment of schedule for both arrivals (incoming) and departures (outgoing), in order
to minimize operating costs, congestion at depots and vehicle downtime.

The business entity shall establish procedures to improve and enhance route optimization:

a) route mapping in conjunction with real time location data (e.g. GPS);
b) ensure proper documentation;
c) comply to government regulations i.e. booking system, tachograph; and
d) use up-to-date relevant tools i.e. apps, communication facilities and equipment

8.1.2 Maximize payload

Whenever feasible, the business entity shall optimize freight carrying capacity through but
not limited to the following:

a) enhancement of the Information and Communication Technology (ICT) system

application and integration;
b) consolidation of load; and
c) identify strategic locations of depots.

Maximization of payload shall be in compliance to the existing regulations on overloading in

order to address the safety of trucks, personnel and goods as well as preservation of roads,
bridges and structures.

8.1.3 Use appropriate vehicle specification

Larger vehicles generally equate to better performance in terms of efficiency and

sustainability in all modes of transport.

The business entity shall choose the appropriate vehicle size or type depending on the type
of goods/cargoes, amount of payload and point of delivery.

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8.1.4 Establish risk control plan

The business entity shall utilize data analytics from existing database to mitigate risk.

8.1.5 Review and update contingency plan

The business entity shall periodically review and update contingency plan for unforeseen
circumstances during operation or deliveries with provision for future flexibility.

8.2 Occupational health and safety

The business entity shall conform to existing regulations for occupational health and safety
for its employees.

NOTE The business entity shall conform to the Occupational Safety and Health Standards
of the Department of Labor and Employment (DOLE).

8.3 Collaboration and consolidation

Advantages in collaboration and consolidation include less freight traffic, less environmental
damages, better utilization of vehicle fleet, less space occupancy, etc.

External collaboration and consolidation of goods is one of the best techniques to cut costs
and emissions, and provides environmental advantages. These techniques work in both
transit (groupage services/co-loading) and when goods are standing still (third party
warehouses), and can take place within business entities or with other companies, e.g.
suppliers, customers, vendors, even competitors.

The business entity shall endeavor to work towards enhancing multi-stop delivery
capabilities, coordinated and consolidated delivery and an integrated network to minimize
total vehicle trips.

8.3.1 Reduce empty backload

Backloads could involve bringing in goods from suppliers (e.g. combining primary and
secondary distribution functions); bringing back waste or equipment (e.g. pallets); organizing
routes such that trips are circular rather than unidirectional so that vehicles are continuously
laden.

Maximizing backloads could also involve collaboration or consolidation with other service
providers or load matching companies or services. However, backload goods have to be
compatible with the main product being carried (e.g. if the vehicle interior needs to be
washed down in between journeys, it may for instance, negate the benefits).

The business entity shall consider the following services, systems and mechanisms for
obtaining backloads:

a) load matching services (internal or through a third party); and

b) partnerships or collaboration, consolidation and sub-contracting.

8.3.2 Centralized transportation

Once logistics hubs are established, business entities are encouraged to utilize and
maximize opportunities, drive business value and create more efficient delivery of the final
product to consumers.
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The business entity shall consider implementing one or more of the following actions:

a) Centralize transportation network design to identify the routes, pool points, drop
yards, dedicated fleet sizes, and other distribution elements that can be
leveraged across the business entity;
b) Centralize transportation planning across divisions, including outbound, intra-
company, and inbound moves across for-hire fleets and dedicated fleets;
c) Create a ‘load control (freight matching) center’ or ‘shared services’ that may be
powered with modern technology that would improve load consolidation and
carrier/fleet interactions.

8.4 Modes of transport

Adopting transportation mode shifts with better performance metrics allow business entity to
reduce carbon emissions while maintaining or improving service levels.

The business entities shall consider various modes of transportation combining the best of
various modes of transport by switching to safe, energy saving, cost efficient system the
greener option, e.g. air and road to rail and water to improve the overall performance.

Changing the modes of transport depends on the type of goods, available transportation
infrastructure, handling equipment and other network systems that have to be standardized
across the modes.

9 Performance Measurement and Evaluation

The business entity shall measure the performance of its activities and initiatives, based on
this standard, to enhance its road freight transport operations. Recommended indicators and
targets are given in table 1.

Table 1 – Recommended indicators and target

Objectives Indicators Description Improvement Targets

Safety Damage Rate No. of damaged units at Reduction in damage rate
(optional) the point of delivery per
total delivery
Pilferage No. of pilfered units at the
point of delivery per total
delivery
Number of No. of vehicle
breakdowns breakdowns per vehicle
No. of lost time
Incidents Total incident and Percent reduction of road
collision data and costs accident fatality or
and number involving vehicle/property damage
personal injury, vehicle or or personal injury
property damage
Apprehensions Total number of citation Percent reduction in
citation tickets and
Tickets and transport
related fines and charges
Related fines and
charges
Reliability Delivery In Full & Ratio of in full and on
On Time (DIFOT) time over total delivery
Damage Rate No. of damaged units at
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 (optional) the point of delivery per
total delivery
Pilferage No. of pilfered units at the
point of delivery per total
delivery
Customer No. of reports received
Complaint Rate
Cost efficiency Forecast Percentage/mean
Accuracy (Cost absolute deviation over
efficiency) actual average
(optional)
Cash Conversion No of days from delivery
Cycle (CCC) to payment or vice versa
(optional)
Utilization rates No. of vehicles used over
total number of vehicles
Number of
vehicles per fuel
type
Empty kilometers Percent reduction of
(load factor) empty trips
Environmentally CO2 emission CO2 emitted by distance Percent reduction of CO2
sustainable travelled emissions in metric tons
per kilometer
Fuel consumption Fuel usage by ton- Percent reduction of fuel
kilometer consumption in liters per
tons per kilometer in x
years
Energy Electricity consumption Percent reduction of
consumption in by kilowatt hours electricity consumption
non-transport
operation

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 Annex A
(normative)
Maximum Gross Weight

A.1. Philippine Ports Authority (PPA) Administrative Order No. 04-2016

(Supplemental Policy on Mandatory Weighing of Containers and RORO Vehicles)

Sections 7 and 8

SOLAS Regulation VI/5 requires that a container should be loaded not more than the
maximum gross mass indicated on the Safety Approval Plate under the International
Convention for Safe Containers (CSC), as amended.

The Terminal Operator or Cargo Handling Operator shall not load onto a vessel an
overloaded container. A container is considered overloaded if the gross mass exceeds the
maximum allowable weight embossed on the CSC plate of the container including the tare
weight of the container. If the CSC plate is no longer readable, the Terminal Operator shall
refer to the ISO standards for maximum weights of containers according to size as indicated
in PPA Administrative Order No. 02-2012, “Guidelines on the Operations of Weighbridge
Facilities and Services at PPA Ports”.

CONTAINER SIZE MAXIMUM GROSS WEIGHT

40 Footer 30, 480 kilograms
30 Footer 25, 400 kilograms
20 Footer 24, 000 kilograms
10 Footer 10,160 kilograms

A.2. Republic Act No. 4136

An Act to Compile the Laws Relative to Land Transportation and Traffic Rules, to
create a Land Transportation Commission and for other purposes

Section 9. Permissible weights and dimensions of vehicles in highways traffic.

(a) The maximum gross weight and measurement of motor vehicles, unladen or with
load, permissible on public highways shall be as specified hereunder, subject to such
regulations as the Commissioner with the approval of the Secretary of Public Works
and Communications, may promulgate, from time to time, as the conditions of the
public highways may warrant and the needs of the service may require.

Permissible maximum weights:

1. Per most heavily loaded wheel three thousand six hundred kilograms;
2. Per most heavily loaded axle eight thousand kilograms;

3. Per most heavily loaded axle group fourteen thousand five hundred
(the two axles of the group being at kilograms.
least one meter and less than two
meters apart)

An axle weight shall be the total weight transmitted to the road by all the wheels the
centers of which can be included between the parallel transverse vertical planes one
meter apart extending across the full width of the vehicles.

14
 No provincial, city or municipal authority shall enact or enforce any ordinance or
resolution regulating or prescribing the maximum gross weight of any motor vehicle.

(b) No motor vehicle operating as a single unit shall exceed the following dimensions:
Overall width two and five-tenths meters
Overall height four meters

Overall length:
Freight vehicles with two axles ten meters
Passenger vehicles with two axles eleven meters
Vehicles with three or more axles fourteen meters

(c) No motor vehicle and/or trailer combination shall exceed eighteen meters in
overall projected length, including any load carried on such vehicle and trailer.

(d) No articulated vehicles shall be allowed to draw or pull a trailer and no vehicle
already drawing a trailer shall draw another.

Section 32. Exceeding registered capacity. - No person operating any vehicle shall allow
more passenger or more freight or cargo in his vehicle than its registered carrying capacity.
In the case of public utility trucks or buses, the conductor shall be exclusively liable for
violations of this section or of Section thirty-two, letter (c) hereof: Provided, That the
conductor, before being employed by any public service operator, shall get a permit or
license from the Commission and pay five pesos annually for said license or permit issued in
his favor, and the same is renewable on or before the last working day of the month of his
birth, attaching a readily recognizable photograph and after presentation of a medical
certificate of fitness of applicant.
Passenger trucks may be allowed to construct any cargo carrying device at the rear
or at the side of the truck, subject to the approval of the Commissioner: Provided,
however, That the total weight of the device, including the cargo, shall not exceed
one hundred kilos.
(b) Carrying of passengers and freight on top of vehicles. - No person operating a
motor vehicle shall allow any passenger to ride on the cover or top of such vehicles:
Provided, however, That subject to such conditions as may be contained in permits
that may be issued by the Commissioner, baggage or freight may be carried on the
top of a truck provided the weight thereof does not exceed twenty kilos per square
meter and is distributed in such a manner as not to endanger the passengers or
stability of the truck.
(c) Riding on running boards. - No driver shall permit any person to ride on the
running board, step board, or mudguard of his motor vehicle for any purpose except
to make repair or adjustment in the motor or to collect fares.

Section 33. Passenger or freight capacity marked on vehicle. - All passengers automobiles
for hire shall have the registered passenger capacity plainly and conspicuously marked on
both sides thereof, in letters and numerals not less than five centimeters in height.

All motor trucks, whether for passenger or freight, private, or for hire, shall have the
registered passenger gross and net weight capacities plainly and conspicuously marked on
both sides thereof, in letters and numerals not less than five centimeters in height.

15
A.3. Republic Act No. 8794

An Act Imposing a Motor Vehicle User’s Charge on Owners of all Types of Motor
Vehicles and for other Purposes

Section 6. Penalty for Overloading –

An amount equivalent to twenty-five percent (25%) of the MVUC shall be imposed on
trucks and trailers for loading beyond their prescribed gross vehicle
weight: provided, that no axle load shall exceed thirteen thousand five hundred
kilograms(13,5000kgs).

Implementing Rules and Regulation of RA No. 8794

Section 7. Collection of Revenues from Road Users

(c) Penalty for Overloading: The Land Transportation Office (LTO) or its deputized
officer shall require the owner of a truck or trailer which is loaded in excess of the
maximum allowable gross vehicle weight (GVW) to pay a penalty in the amount
equivalent to twenty-five percent (25%) of the MVUC applicable to the vehicle at the
time of infringement, provided that the penalty shall be waived for loadings exceeding
the GVW by a tolerance of less than five percent (5%), and that no vehicle shall be
permitted to proceed on the roadway if either a dual-wheel axle load exceeds 13,500
kgs or the vehicle load exceeds one hundred fifty percent (150%) of the maximum
allowable GVW.

16
 Annex B
(normative)
Regulations

Related Clause/ Relevant Legal Basis

Sub-clause
Republic Act No. 10930
6.1 (An Act Rationalizing and Strengthening the Policy
Administrative Regarding Driver's License by Extending the Validity Period
Requirements of Drivers' Licenses, and Penalizing Acts in Violation of its
Issuance and Application Amending for those Purposes
Section 23 of Republic Act No. 4136, as amended by Batas
Pambansa Blg. 398 and Executive Order No. 1011,
otherwise known as the Land Transportation and Traffic
Code.)
Republic Act No. 8794
7.1 (An Act Imposing a Motor Vehicle User’s Charge on Owners
Maximum Allowable Load of all Types of Motor Vehicles and for other Purposes)
Section 6. Penalty for Overloading

Implementing Rules and Regulation of RA No. 8794

Section 7. Collection of Revenues from Road Users

Republic Act No. 4136

(An Act to Compile the Laws Relative to Land Transportation
and Traffic Rules, to create a Land Transportation
Commission and for other Purposes/Land Transportation
and Traffic Code Act of the Philippines)

Section 9. Permissible weights and dimensions of vehicles in

highways traffic.
Section 32. Exceeding registered capacity.
Section 33. Passenger or freight capacity marked on
vehicle.

Philippine Ports Authority

Administrative Order No. 02-2012
(Guidelines on the Operation of Weighbridge Facilities and
Services at PPA Ports)
Section 5.3 Prescribed Gross Weight
Presidential Decree 1572
7.4 (Empowering the Secretary of Trade to Regulate and Control
Vehicle Maintenance and the Operation of Service and Repair Enterprises for Motor
Inspection Vehicles, Heavy Equipment and Engines and Engineering
Works; Electronics, Electrical, Air-conditioning and
Refrigeration; Office Equipment; Medical and Dental
Equipment; and Other Consumer Mechanical and Industrial
Equipment, Appliances or Devices, Including the Technical
Personnel Employed therein)
Section 1 – Accreditation

Republic Act No. 4136

(An Act to Compile the Laws Relative to Land Transportation
and Traffic Rules, to create a Land Transportation
17
 Commission and for other Purposes/Land Transportation
and Traffic Code Act of the Philippines)

Republic Act No. 8749

(Philippine Clean Air Act of 1999)

Republic Act No. 8750

(Seat Belt Use Act)

Republic Act No. 10916

(Road Speed Limiter Act of 2016)

LTO Administrative Order ACL-2009-018

(Revised Administrative Order on the New Motor Vehicle
System and Promulgating Rules and Regulations in the
Implementation Thereof)

Presidential Decree No. 422

8.2 Labor Code of the Philippines
Occupational Health and Book IV – Health, Safety and Social Welfare Benefits
Safety
Department of Labor and Employment
Occupational Safety and Health Standards

18
 Annex C
(informative)
Sample Performance Evaluation Surveys

1. Freight Forwarder and Logistics Service Provider Survey in the Philippines

Dear Respondent,

The World Bank is currently assessing logistics performance and costs in the
Philippines. The purpose of this survey is to obtain an overview of freight
forwarders and logistics service providers’ logistics performance and costs. Data
provided will be treated as confidential.

L.1. Background information

Name of company/institution: _

Type of establishment: (i) corporation (limited liability), (ii) limited partnership, (iii) others

Email address (if you wish to get finding report for your company):

L.2. Respondent position in the firm: _

L.3. Are you currently in any long term contractual relationship to provide
your services? (can tick more than one box)
(1) Part of a Network (2) International (3) Domestic Shipping line
Shipping line
(4) Domestic (5) International (6) Truck operators
Freight Forwarder Freight Forwarder
(7) Domestic 3PL (8) International 3PL (9) Airlines
(10) Custom Broker (11) Other:

L4. Please indicate the activity your firm outsource the most (tick box, multiple choices
possible)

(1) Customs Brokerage (2) Warehousing (3) Domestic Trucking

(4) International Trucking (5) Packaging (6) International Air freight
(7) Domestic Air freight (8) Domestic Ocean freight (9) International
Ocean freight
(10) Other:

L.5. Please indicate your main load type (tick box, multiple answers possible)
Domestic Internation
a) Unitised cargo (containers, trailers), Less than Container al
Load
b) (LCL) and/or
Unitised Less
cargo than Truck
(containers, Load (LTL)
trailers), Full Container Load
(FCL) and/or Full Truck Load (FTL)
c) Break Bulk (pallets, roller cages, packages, etc.)
d) Air freight
e) Dry bulk
f) Liquid bulk
g) Express freight
h) mail shipping
i) Other:

19
L.6. Please indicate the main commodities your firm handles (by importance to your
firm):
Inbound: Main mode of transport

Outbound: Main mode of transport

L.7. Please indicate the main origin and destination of the main commodity
handled by your firm (please report main transit points):
Domestic
Origin
Transit 1
Transit 2
Destination

International
Origin
Transit 1
Transit 2
Destination

L.8. For a typical situation, please assess the following performance figures in your
company operations in 2016 for your main customer*
* Main Customer means most important by sales generation (alternatively by weight or
volume of cargo, number of truck loads/trucks, or others).

a) What is the average lead-time from the moment your company gets the order to the
delivery of your service (for export/import, please use lead-time to/from main
port/airport): days
b) What is your average lead-time when transporting products to your main
customer (for export/import, please use lead time to/from main port/airport):
Origin Destination_ Days
c) What is the total number of shipments per month made for your main customer?
d) What is the percentage of shipments per month that arrives on time to your main
customer?
e) What is the percentages of shipments per month that arrives in full to your main
customer?
f) What is the percentage of shipments per month that arrives damaged to your main
customer?
g) What is the average number of days between customer order delivery to receipt
of customer payment: days
h) What was the average number of days between supplier order receipt to order
payment by your firm): _days

i) What are the main reasons you were not able to fulfil your orders (multiple answers
possible)?

(1) Delays in receiving cargo

(2) Additional costs
(3) Delays in Customs process
(4) Inspection delays (other than customs-related)
(5) Availability of logistics services/problems
coordinating transport
(6) Damage of cargo
20
 (7) Congestion
(8) Accidents
(9) Weather
(10) Checkpoints
(11) Other (please expand)

L9. Please indicate the relative importance of time, cost, and reliability:

 If reliability is not an issue, what is more important?

Very Important Moderate Equal Moderate Important Very
Important Important
Cost 4 3 2 1 2 3 4 Time
 If cost is not an issue, what is more important?
Very Important Moderate Equal Moderate Important Very
Important Important
Reliability 4 3 2 1 2 3 4 Time
 If time is not an issue, what is more important?
Very Important Moderate Equal Moderate Important Very
Important Important
Reliability 4 3 2 1 2 3 4 Cost

L10. Please estimate how many per cent of your firm’s sales was generated in
2016 from
(1) Customs Brokerage %
(2) Warehousing %
(3) Domestic trucking %
(4) International trucking %
(5) International Ocean freight %
(6) Domestic Ocean freight %
(7) International Air freight %
(8) Domestic Air freight %
(9) Packaging %
(10) Other: %
TOTAL 100%

L.11. For the types of services you offer, when did you introduce them (please
provide the year for all that apply for your firm):

Service Year Introduced Service Year introduced

(1) Bonded storage (10) Distribution
(2) Cargo agent for (11) Domestic Freight
air transport Forwarding
(3) Cargo agent for (12) International Freight
rail transport Forwarding
(4) Cargo agent for (13) Inventory
road transport management
(5) Cargo agent for (14) Order processing
sea transport
(6) Cold chain (15) Packing, labeling
(7) Consolidation (16) Quality control, testing

21
 (8) Courier and (17) Warehousing
express delivery
(9) Customs clearance (18) Trucking

L.12. What service improvements has your firm recently introduced

(please tick box for all that apply):

Year
(1) Introduction of IT in the firm
(2) Entered new cooperation to increase domestic network
(3) Entered new cooperation to increase international network
(4) Training of employees and management staff
(5) Get international quality certifications, e.g. ISO 9001
(6) Using Standard Trading Conditions (STC)
(7) Other:
(8) Other:

L.13. Please estimate the functioning of international logistis in the

Philippines (tick box):

Very Poor Neither Good Very No Degree of

Poor Poor nor Good Answer Importance
Good *
a) The effectiveness of Customs
and other authorities in customs
b) The quality of transport and
services
telecommunications
c) The quality of port infrastructure
infrastructure
d) The quality of airport infrastructure
e) The quality of road infrastructure
f) The availability of logistics
infrastructure (i.e. warehouse,
g) The availability
distribution centres,ofetc.)
reliable
transport services
h) The quality of logistics services
and competence of service
i) Possibility
providers to track and trace
shipments
j) The probability of shipments
arriving at the promised time
*Degree of importance: please provide scale of 1 to 5 with 1 being the
minimum (lowest importance) and 5 being the maximum (highest importance)

L.14. Please estimate the functioning of domestic logistics in the

Philippines for the following (tick box):

Very Poor Neither Good Very No Degree of

Poor Poor nor Good Answer Importance
Good *
a) The quality of transport and
telecommunications
infrastructure 22
 b) The quality of port infrastructure
c) The quality of airport infrastructure
d) The quality of road infrastructure
e) The availability of
logistics infrastructure
(i.e. warehouse, distribution centres,
f) The availability of domestic
etc.)
shipping services
g) The availability of reliable
transport services
h) The quality of domestic
shipping services
i) The Quality of logistics services
and competence of service
j) Possibility
providers to track and trace
shipments
k) The probability of shipments
arriving at the promised time
*Degree of importance: please provide scale of 1 to 5 with 1 being the
minimum (lowest importance) and 5 being the maximum (highest importance)

L.15. Please describe the availability of skilled logistics related staffs in

the Philippines

Not Somewhat Available Easily Over- Degree of

Available Available Available Availability Importance*
Truck drivers
Forklift operators
Warehouse operatives
Customs brokerage
Logistics planner
Forecast planner
Inventory planner
Traffic planner
Load planner
Logistics/supply chain analyst
Packing/packaging operatives
Operations manager
Warehouse manager
Procurement & Supply manager
Customers service manager
Customer service assistant
Business Development
manager
Logistics/Supply chain manager
*Degree of importance: please provide scale of 1 to 5 with 1 being the
minimum (lowest importance) and 5 being the maximum (highest importance)

On average how long does operational level staffs stay in your firm?
days/months/year

On average how long do management level staffs stay in your firm?

days/months/year

23
L.16. Please describe your firm’s human resource policy related to logistics skills
development (Please tick all that apply)

(1) On the job training

(2) Internal development programme with internal trainers
(3) Internal development programme with external trainers
(4) External development programme (i.e. outside seminars or workshops)
(5) Continuing professional development (i.e. external certificate or diploma courses)
(6) None, or not relevant
(7) Other (please detail):

L.17. Please indicate if there are any other logistics issues that are of concern to
your organization in your specific location that has not been reflected in the
questionnaire or if existing logistics issues needs to be further expanded.

You may provide a “wish” list of what is needed to be done to improve logistics in the
Philippines:

________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
_

24
2. Manufacturing Logistics Survey in Philippines 2017

Dear Respondent,
The World Bank is currently assessing logistics performance and costs in the
Philippines. This logistics performance assessment tool (LPAT) was developed based
on an extensive literature review. The data required is simple and objective. The purpose
of this survey is to obtain an overview of manufacturing firms’ logistics performance and
costs. Data provided will be treated as confidential.

M.1. Background information

Name of company/institution: _
Email address (if you wish to get finding report for your company):
Year established: _
Type of establishment: (i) corporation (limited liability), (ii) limited
partnership, (iii) others Foreign equity participation (i) none, (ii) less than
50 percent, (iii) 50 percent and more Number of full time employees in the
firm:

M.2a. Please select in which district/city your main activity is located:

M.2b. Respondent position in the firm: _

M.3. Please indicate the yearly revenue of your firm for 2016 (in Peso): _
M.4. Please indicate the main sector of your firm: (2 Digit PSIC Code: )
M.5. Please indicate the main products manufactured by your firm:
M.6. Please indicate your main market
Domestic % International % 100%

Please indicate, for both domestic and international, the markets you serve (tick all
that apply):
1. Greater Manila area 2. North East Asia (China, South
Korea, Japan)
3. Rest of Luzon 4. North America (USA, Canada, Mexico)
5. Visayas 6. ASEAN
7. Mindanao 8. Europe
9. Other domestic: 10. Others:

M7. Please provide an overview of the customer channels used by volume of product
distributed. Please indicate percentage of volume distributed by channel
Direct to customer site or store
To retailers or wholesalers DC
Industrial customers
Export
Other:
TOTAL 100%

M.8. Please indicate the primary origin location and destination of your firm’s main
product
Domestic Most utilised mode of
transport
25
 Supplier Location
Client Destination
International
Supplier Location
Client Destination

M.9. Please indicate your main load type (tick box)

Domestic International
a) Unitized cargo (containers, trailers), Less than
Container Load (LCL) and/or Less than Truck Load
b) (LTL) cargo (containers, trailers), Full Container Load
Unitized
(FCL) and/or Full Truck Load (FTL)
c) Break Bulk (pallets, roller cages, packages, etc.)
d) Air freight
e) Dry bulk
f) Liquid bulk
g) Express freight
h) mail shipping
i) Other:

M10. Please indicate the relative importance of time, cost, and

reliability: Please choose one preference for each question
 If reliability is not an issue, what is more important?
Very Important Moderate Equal Moderate Important Very
Important Important
Cost Time

 If cost is not an issue, what is more important?

Very Important Moderate Equal Moderate Important Very
Important Important
Reliabilit Time
y

 If time is not an issue, what is more important?

Very Important Moderate Equal Moderate Important Very
Important Important
Reliabilit Cost
y

M.11. Please indicate the logistics activities that are outsourced compared to in-
house
In-house % Outsource % 100%

M12. Please estimate how many percent of the following logistics operations are
managed by an external service provider in your firm

0% 1 to 26 to 51 to 76 to
25% 50% 75% 100%
a) Domestic transportation
b) Domestic freight forwarding
c) International transportation (including
international freight forwarding)
d) Warehouse and inventory management

26
 e) Value added services, such as product
finishing and customization
f) Logistics IT systems
g) Customs brokerage

M13. Do you have service level agreements with third party service providers? This
includes KPIs that are reviewed with provider (please tick box).
1.Yes, all providers 2.Yes, some providers 3.None

M.14. Please assess the following performance figures for your main customer* in
your company operations in 2016
* Main Customer means most important by sales generation (alternatively by weight or
volume of cargo, number of truck loads/trucks, or others).
a) What is your average lead time1 from the moment your company gets the order from
your main customer to the delivery of your service:
days
b) What is your average lead time when transporting products to your main customer:
____ days
c) What is the total number of shipment per month made to your main customer?
d) What is the percentage of products shipped complete 2 per month to your main
customer? __ %
e) What is the percentage of products shipped on time per month to your main
customer?___%
f) What is the percentage of shipments per month that arrives damaged to your main
customer?
g) What was the average number of days of sales outstanding in your firm (i.e. average
number of days between customer order delivery to receipt of customer payment?
_____________________________days
h) What was the average number of days of payables outstanding in your firm (i.e. average
number of days between supplier order receipt to order payment): _____days?
i) What is the average number of days your firm holds its inventory before selling it?
___________________________ _days
j) What is your customer complaint rate? __%
k) What is the accuracy of forecasts made regarding customer demand for your main
product?
l) What is the ratio of returns for your main product? _ %

M.15. Please estimate the following logistics costs in your firm expressed as
PERCENTAGES OF FIRM’S ANNUAL SALES in 2016
a) Transport and cargo handling cost (incl. transport packaging) _%
b) Warehousing (cost of running own warehouse or buying the service): %
c) Inventory carrying cost (incl. cost of capital tied in inventory): _%
d) Logistics administration (cost from functions indirectly related to
logistics): _%
e) Other logistics costs: %
f)
1 The order lead time is the period between placing an order and receiving the ordered item
2 Complete means that all shipments ordered by main customer are delivered to main
customer

M16. Do you have documented logistics plan that is a subset of the corporate
plan and that details objectives and performance targets? (Please tick)
a) Yes, updated in past 12 months
27
 b) Yes, needs updating
c) No, but will in next 12 months
d) No but have logistics plan not linked to corporate plan
e) No

M.17. What activities occur in the development and deployment of your

strategic logistics plan (Please tick all that are relevant)
a. Operational workshops involving workforce
b. Alignment of logistics and corporate plans
c. people set targets as part of planning process
d. Operational Key Performance Indicators (KPIs) aligned with individual’s objectives
e. Performance Appraisal
f. Plans not linked to operations
g. None, or not relevant
h. Other (please detail):

M. 18. Please describe the availability of skilled logistics related staffs in

the Philippines
Not Somewhat Available Easily Over- Degree of
Availabl Available Available Availability Importance*
a. Truck drivers e
b. Forklift operators
c. Warehouse operatives
d. Customs brokerage
e. Logistics planner
f. Forecast planner
g. Inventory planner
h. Traffic planner
i. Load planner
j. Logistics/supply chain analyst
k. Packing/packaging
operatives
l. Operations manager
m. Facility manager
n. Procurement &
Supply manager
o. Business
Development manager
p. Logistics/Supply
chain manager
* Degree of importance: please provide scale of 1 to 5 with 1 being the minimum (lowest
importance) and 5 being the maximum (highest importance)

On average how long does operational level staffs stay in your firm?
___days/months/year
On average how long do management level staffs stay in your firm?
___days/months/year

M.19. Please describe your firm’s human resource policy related to

logistics skills development (Please tick 1 box that best describe your
situation)
a. On the job training
b. Internal development programme with internal trainers
c. Internal development programme with external trainers
d. External development programme (i.e. outside seminars or workshops)
e. Continuing professional development (i.e. external certificate or diploma courses)
28
 f. None, or not relevant
g. Other (please detail):

M. 20. Please estimate the functioning of international logistics in the

Philippines (tick box):
Very Poor Neither Good Very No Degre
Poor Poor Good Answer e of
nor Importa
Good nce*

a) The effectiveness of
Customs and other
b) The quality in
authorities of customs
transport
services and
c) The quality of port
telecommunications
infrastructure
d) The quality of airport
infrastructure
infrastructure
e) The quality of road
infrastructure
f) The availability of logistics
infrastructure (i.e.
g) The availability
warehouse, of reliable
distribution
transport
h) services
The quality
centers, etc.) of
logistics services and
i) Possibility
competence to track
of and trace
shipments
j) The probability
service providersof shipments
arriving at the promised
* Degree
time of importance: please provide scale of 1 to 5 with 1 being the minimum
(lowest importance) and 5 being the maximum (highest importance)

M.21. Please estimate the functioning of domestic logistics in the

Philippines for the following (tick box):
Very Poor Neithe Good Ver No Degr
Poor r y Answ ee of
Poor Goo er Import
a) The quality of nor d ance*
transport and Goo
b) The quality of port
telecommunications d
infrastructure
c) The quality of airport
infrastructure
infrastructure
d) The quality of road
infrastructure
e) The availability of logistics
infrastructure (i.e.
f) The availability
warehouse, of
distribution
domestic
centers, etc.) shipping
g) The availability of reliable
services
transport services
h) The quality of domestic
shipping services
i) The Quality of logistics
services and
j) Possibility
competence to track
of and trace
shipments
service providers
k) The probability of shipments
arriving at the promised
* Degree
time of importance: please provide scale of 1 to 5 with 1 being the minimum (lowest
importance) and 5 being the maximum (highest importance)

M.22. Please consider the future of your firm in 2025 (10 years after the
establishment of the AEC)

29
 a) By 2025, Logistics cost in your firm will... 1: significantly decrease
2: somewhat decrease
3: not change
4: somewhat increase
5: significantly increase
6: no opinion
b) By 2025, the time taken to deliver your goods to your 1: significantly decrease
main customer will… 2: somewhat decrease
3: not change
4: somewhat increase
5: significantly increase
6: no opinion
c) By 2025, the performance of your firm’s logistics system 1: significantly decrease
will… 2: somewhat decrease
3: not change
4: somewhat increase
5: significantly increase
6: no opinion

M.23. Please indicate if there are any other logistics issues that are of concern to your
organization in your specific location that has not been reflected in the
questionnaire or if existing logistics issues needs to be further expanded.

You may provide a “wish” list of what is needed to be done to improve logistics in the
Philippines:

________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
________________________________________________________________________
_

30
Bibliography

ISO 16091:2018, Space System – Integrated Logistic Support

SIRIM 10:2017, Green Logistics – Road freight transport – Recommended best practices

Green Freight and Logistics Policy Development in the Philippines: Assessing Freight
Transportation in Support of a National Green Freight Program

World Bank Logistics Performance Index

Philippine National Logistics Master Plan (NLMP 2017-2022)

Philippine Development Plan (PDP 2017-2022)

31
 BUREAU OF PHILIPPINE STANDARDS
Department of Trade and Industry

Technical Committee 84
Logistics

Chairman: Vice Chairman:

1 Mary Jean T. Pacheco 2 Pepito P. Dino
DTI Competitiveness Bureau Confederation of Truckers
Association of the Philippines
Members

Government Agencies Industry

3 Jonathan G. Cabaltera* 12 Rodolfo T. De Ocampo
Maria Dalisay E. Alba* Bienvenido P. Basco*
DTI Competitiveness Bureau Port Users Confederation of the Philippines

4 Lucila C. Salili 13 Edward Tyrel R. Tan

DTI Fair Trade and Enforcement Bureau Philippine Exporters Confederation

5 Emma A. Panopio Academe

DTI Consumer Protection and Advocacy Bureau 14 Aileen U. Mappala
UP National Center for Transportation Studies
6 Remedios F. Lim
Kristian G. Favor* 15 Samuel C. Bautista
DTI Board of Investments Academy of Developmental Logistics

7 Maria Teresa S. Loring Professional Association

Antonie Lyka C. Manaloto* 16 Marilyn C. Alberto
DTI Export Marketing Bureau Dorris P. Torres*
Philippine Multimodal Transport
8 Joel D. Bolano and Logistics Association, Inc.
DOTr Land Transportation Franchising
and Regulatory Board Non-Government Organization
17 Maureen Grace V. Lebria
9 Luz P. Dela Cruz Philippine Center for Environmental
Evangeline S. Salonga and Sustainable Development, Inc.
DOTr Land Transportation Office
Technical Expert
10 John Paul Corpus 18 Hannah Fatima P. Ebro
NEDA Philippine Institute for Development Studies Deutsche Gesellschaft für International
Zusammenarbeit GmbH
11 Hazel Ann V. Capinpin (GIZ Philippines)
Rey T. Del Moro Jr.*
Philippine Ports Authority

Technical Officers:
19 Ann M. Fernando
Sarah Mae G. Galvez
Bureau of Philippine Standards * Alternate

your partner in product quality and safety

BUREAU OF PHILIPPINE STANDARDS

3F Trade and Industry Building

361 Sen. Gil J. Puyat Avenue, Makati City 1200, Metro Manila, Philippines
T/ (632) 751.3127 / 751.4730 / 751.4735
F/ (632) 751.4706
E-mail : bps@dti.gov.ph
www.dti.gov.ph