QUESTION 4 (2e)

 Question:

The Challenges Currently Faced By Them On Regards To Operation And Technology.



Answer:

Operation challenge

·      1.  Rising fuel costs

One of the most significant challenges faced by Mysealine is the volatility of fuel prices. The cost of fuel represents a substantial portion of their expenses, and fluctuations greatly impact their profitability. When fuel prices are high, Mysealine face increased costs, which can lead to reduces profit margins or even losses. Mysealine constantly strike a fine balance between keeping their service prices competitive and minimizing the effects of increased fuel prices on their operations. When fuel prices rise, they need to increase their freight rates to compensate for the higher operating expenses. This, in turn, can impact the competitiveness of them and its ability to attract customers. Other than that, because of the rising fuel cost, Mysealine’s market demand also influenced. Fuel costs influence market demand for shipping services. When fuel prices are high, customers reduce their shipping volumes or choose for alternative transportation modes, such as rail or air, which can be more expensive but offer faster delivery times. This can impact the overall demand for shipping services and affect the revenue of Mysealine.

·      2. Miscommunication

Usually, Mysealine use email to interact with customer. Beside using Whatsapp, Mysealine usually use email to interact and communicate with their customer to book their service. Sometime some of customer are slow reply to their email, that is why they have a miscommunication with customer. Miscommunication can also due to human mistake. Other than that, miscommunication between shipping companies, and customers lead to delays in the shipment process. For example, if there is confusion about the pickup or delivery location, the wrong goods transported or delivered to the wrong destination, resulting in delays and additional costs. Moreover, miscommunication led to additional costs for shipping companies. For instance, if there is a lack of clarity regarding the terms of a shipment, such as the agreed-upon freight rates or responsibilities for insurance coverage, disputes arise that require legal intervention or compensation.

Technology challenge

·     1. Cybersecurity

With the increasing reliance on technology, Mysealine faces a growing threat from cybercrime. Human error remains a significant factor contributing to cybersecurity breaches.  Mysealine's operations affected by cyberattacks, sensitive data compromised, and consumer confidence can be affected. Mysealine deals with vast amounts of sensitive data, including customer information, financial records, and operational data. A cybersecurity breach can result in unauthorized access to this data, leading to financial loss, reputational damage, and potential legal consequences to them. Therefore, to safeguard their systems, networks, and intellectual property, Mysealine prioritize cybersecurity measures. To properly manage these threats, regular system audits, employee awareness training, and strong data encryption procedures are essential.