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Why Malaysian Forwarders Are Losing Big Logistics Deals — And How ASN Can Change That

  • 3 days ago
  • 3 min read

Malaysia’s logistics sector is growing rapidly — driven by:

  • eCommerce expansion

  • Regional distribution hubs (Port Klang, Johor, Penang)

  • Increasing demand for 3PL services

Yet, many small and mid-sized forwarders in Malaysia are struggling to scale.

Not because they lack:

  • Warehouse space

  • Trucks

  • Customers

But because they lack digital operational capability.

One critical gap?

Advanced Shipping Notice (ASN)

Eye-level view of a logistics warehouse with digital screens showing shipment data
Logistics warehouse with digital shipment tracking

The Hidden Problem Holding Back Malaysian Forwarders


In today’s logistics environment, especially when dealing with:

  • FMCG distributors

  • Retail chains (hypermarkets, eCommerce)

  • Manufacturing companies (JIT operations)

A simple question can determine whether you win or lose the deal:

“Can you support ASN or inbound integration?”

If the answer is no, you are often disqualified immediately.

👉 Not because your pricing is wrong

👉 Not because your service is poor

But because:

You cannot integrate into their supply chain ecosystem

What Malaysian Enterprise Customers Expect Today


Large customers in Malaysia want logistics partners who can provide:


  • Data-driven operations that improve accuracy and efficiency

  • Real-time shipment visibility to track goods at every stage

  • System integration with Warehouse Management Systems (WMS) and Enterprise Resource Planning (ERP) software


They no longer accept:


  • Manual receiving processes

  • Blind shipments without prior information

  • Paper-based verification that slows down operations


Instead, they expect pre-arrival shipment data that allows them to prepare inbound workflows and manage inventory more effectively.


What Is an Advanced Shipping Notice?


An Advanced Shipping Notice (ASN) is a digital document sent by the shipper to the receiver before the goods arrive. It contains detailed information about the shipment, such as:


  • Contents of the shipment

  • Quantity and packaging details

  • Expected arrival time

  • Carrier and transport details


This notice allows the receiver to plan for the shipment’s arrival, allocate resources, and speed up the receiving process. It reduces errors, prevents delays, and improves overall supply chain transparency.


💰 The real advantage: Winning bigger logistics customers

This is where ASN becomes a game changer for Malaysian forwarders and 3PLs.

🎯 1. Qualify for enterprise customers

Large customers often require:

  • System integration

  • Structured inbound processing

  • Data visibility

👉 ASN is often the entry ticket

Without ASN:

  • You are seen as a small operator

With ASN:

  • You are seen as a professional 3PL provider


🔗 2. Integrate into customer supply chains

ASN allows you to:

  • Connect with customer systems (WMS / ERP)

  • Share real-time inbound data

  • Align with their workflows

👉 This transforms your role from:

Vendor → Supply chain partner

📊 3. Reduce risk for your customers

From a customer perspective:

Without ASN:

  • No visibility

  • Higher uncertainty

  • Higher risk

With ASN:

  • Predictability

  • Planned receiving

  • Fewer errors

👉 Result:

Customers trust you as a reliable logistics partner

💎 4. Move beyond price competition

Many Malaysian forwarders compete on:

  • Low pricing

  • Speed

But this is not sustainable.

With ASN, you can:

  • Offer value-added services

  • Guarantee better SLAs

  • Improve service reliability

👉 Shift from:

Price → Value

Why ASN is critical for growing Malaysian 3PLs

Many companies think:

“We are still small, ASN is for big companies only.”

But in reality:

ASN is what helps you become a big player.

How ASN Changes the Game for Malaysian Forwarders


Forwarders who adopt ASN can:


  • Improve customer trust by providing accurate, timely shipment information

  • Reduce manual errors in receiving and inventory management

  • Enhance operational efficiency by aligning inbound processes with shipment schedules

  • Integrate seamlessly with customers’ WMS and ERP systems, meeting their digital requirements


For example, a 3PL company working with a major retailer in Malaysia used ASN to reduce receiving time by 30% and cut inventory discrepancies by half. This improvement helped the forwarder secure a multi-year contract and expand its business.


Overcoming Challenges to Implement ASN


Many forwarders hesitate to adopt ASN due to concerns about cost, technology complexity, or lack of expertise. However, solutions exist that make implementation straightforward:


  • Cloud-based platforms that connect with existing systems

  • Step-by-step onboarding support from technology providers

  • Training programs for staff to manage digital workflows


TheScanHub offers tools and services that help Malaysian forwarders integrate ASN into their operations smoothly. By partnering with technology providers, forwarders can upgrade their capabilities without heavy upfront investment.


🧩 The role of digital solutions (TheScanHub positioning)

To fully unlock ASN benefits, it needs to be integrated into a Warehouse Management System (WMS).

This is where platforms like TheScanHub come in.

With an integrated solution, ASN becomes:

  • Automatically captured

  • Linked to inbound shipments

  • Pre-loaded into warehouse workflows

👉 This enables:

  • Faster receiving (scan-based)

  • Automated putaway

  • Better inventory tracking

🔗 Combined with technologies like:

  • Barcode scanning

  • BLE tracking (real-time visibility)

  • Cloud-based dashboards

👉 You create a fully digital inbound ecosystem


The Future of Malaysian Logistics Depends on Digital Integration


For Malaysian forwarders and 3PL providers, Advanced Shipping Notice (ASN) is no longer optional — it is a key requirement to win enterprise logistics contracts, improve operational efficiency, and compete in a digital supply chain ecosystem.


Those who delay risk losing out to competitors who can provide the transparency and efficiency that today’s supply chains demand.



 
 
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