⚠️ Confidential — For LX Pantos Internal Use Only — Subject to NDA
Q1 2026
Flex Logistics
Regional Logistics Solutions Excellence
×
GLOBAL LOGISTICS EXCELLENCE

Strategic Partnership Framework

Enterprise 3PL Services, Commercial Terms & Joint Value Creation

Reference: FLX-P1-LXP-2026-001 | Validity Period: To Be Agreed

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Executive Partnership Summary

A Message to Our Partners at LX Pantos

Since our first meeting in August 2025, Flex has been privileged to engage with LX Pantos' exceptional team—Mr. Taewon Seo, Khaled Ramy, and Tasneem Abuobaid—learning from your global logistics expertise while demonstrating our specialized Saudi compliance capabilities. We deeply respect LX Pantos' position as a Korean logistics powerhouse with worldwide operations, and we're committed to building a partnership model that delivers mutual value: competitive rates for you, sustainable economics for us, and exceptional service for your end customers.

Partnership Philosophy: We understand that headline rates matter—but we also believe that true partnership value emerges from total cost of ownership, compliance risk elimination, and operational reliability. This framework transparently presents our pricing structure, explains the cost drivers, and offers clear pathways to unlock competitive rates through volume commitment.

Our Partnership Journey

A timeline of our collaborative engagement and key milestones

July 27, 2025

Initial Introduction

First connection established through Intralog Group. Salah Taha coordinates meeting between LX Pantos and Flex teams.

August 4, 2025

First In-Person Meeting

Mr. Taewon Seo and Khaled Ramy visit Flex facilities in Dammam. Warehouse tour conducted, capabilities presented, partnership potential discussed.

August 7-21, 2025

DG Cargo RFQ Process Didn't Materialize

Initial quotation request for DG storage (Class 5.1 Oxidizer). MSDS exchange completed. Comprehensive compliance review initiated. Storage requirements: 200 tons/year, 2-6 months storage duration.

August 21, 2025

Initial Cold Chain RFQ Didn't Materialize

Cold Chain requirements in Riyadh identified. Multi-city warehouse strategy shared (Riyadh & Jeddah). Business start: Q1-Q2 2026 confirmed.

January 12-18, 2026

NLBS Registration & Bidding Process Awaiting Materialization

NLBS bidding platform registration completed and approved. LG Electronics/Pantos formal bidding process initiated. RFI & NDA forms submitted. RFQ submitted on 18-Jan-2026.

January 18-19, 2026

Jeddah WH Project (Re-quote) Awaiting Materialization

Active quotation for Jeddah DG Warehouse. Transportation services proposal submitted. Framework document developed for strategic alignment.

Korea-Saudi Partnership Synergy

Together we build the bridge between Korean excellence and Saudi opportunity

🤝 함께 이루는 성공

Together We Achieve More

🏢 What Flex Brings

Deep Saudi market expertise that complements your global reach:

  • 10+ years Saudi regulatory navigation
  • Established ZATCA, SFDA, Civil Defense relationships
  • DG-compliant infrastructure (Classes 2-9)
  • Multi-city warehouse network
  • Local workforce & Saudization compliance

🌏 What LX Pantos Brings

Global Korean network capabilities we can leverage together:

  • Korean client relationships & trust
  • Understanding of Korean business culture
  • Global logistics technology platform
  • Korea-origin freight expertise
  • Korean language & documentation capability

🎯 What We Achieve Together

Combined value neither can deliver alone:

  • Seamless Korea → Saudi corridor
  • Single-partner accountability
  • Faster market entry for Korean companies
  • Reduced compliance risk & delays
  • Scalable growth infrastructure

📈 Growth Opportunity

Target sectors for joint development:

  • 🔋 Battery & EV Components
  • 🚗 Automotive Parts (Hyundai, Kia suppliers)
  • 🧪 Petrochemicals & Specialty Chemicals
  • 📱 Electronics & Semiconductors
  • 🏗️ Construction & Industrial Materials
🛫 Air Corridor: Incheon → Saudi

LX Pantos manages Korea-origin consolidation. Flex handles Saudi customs clearance, last-mile delivery, and warehousing. Seamless handoff.

🚢 Ocean Corridor: Busan → Dammam/Jeddah

FCL/LCL options with 18-25 day transit. Flex provides bonded warehousing, customs brokerage, and distribution across Saudi & GCC.

🇰🇷 🤝 🇸🇦 Korea-Saudi Vision 2030 Alignment

The bilateral Korea-Saudi Vision 2030 framework prioritizes logistics and supply chain cooperation. Together, we directly support both nations' goals — Korean companies access Saudi's $1T+ transformation projects, while Saudi gains world-class Korean manufacturing supply chains.

Vision 2030 & National Program Alignment

Strategic positioning within Saudi Arabia's economic transformation agenda

🇸🇦 Contributing to Saudi Vision 2030

Our partnership directly supports the Kingdom's strategic objectives across multiple national programs

🏭 NIDLP — National Industrial Development & Logistics Program

Supporting Saudi's goal to become a global logistics hub connecting three continents

Top 10

Target: Global Logistics Performance Index ranking by 2030

📦 Logistics Hub Strategy

Enabling multinationals to use Saudi as their regional distribution center for MENA

$26B

Projected logistics sector value by 2030

🏗️ Giga-Projects Enablement

Supporting construction and operational logistics for transformative projects

$1.1T

Combined giga-project investment value

NIDLP Target Contribution Matrix

NIDLP Target
59%
Local Content
Our commitment: Saudization & local suppliers
NIDLP Target
3X
Export Growth
Enabling re-export through Saudi hubs
NIDLP Target
$12B
FDI Attraction
Supporting Korean investment inflows
NIDLP Target
1.6M
Jobs by 2030
Contributing to employment targets

Regulatory Environment Mapping

Deep regulatory intelligence: Understanding Saudi Arabia's compliance landscape through familiar Korean frameworks

🇰🇷 Korea ↔ 🇸🇦 Saudi Arabia — Regulatory Intelligence

Multi-agency compliance mastery powering seamless market entry

Korean Agency Saudi Equivalent Jurisdiction
MFDS
Food & Drug Safety
SFDA
Saudi FDA
Pharmaceuticals, food products, medical devices, cosmetics — import licensing, storage certification, GDP compliance
NIER
Env. Research
NCM
Chemical Mgmt Center
Chemical registration, DG classification, hazmat tracking, REACH-equivalent substance notification
NFSA
Fire Safety Agency
Civil Defense
GD Civil Defense
DG storage permits, fire suppression systems, warehouse safety certification, emergency protocols
KCS
Korea Customs
ZATCA
Zakat, Tax & Customs
Customs clearance, import duties, VAT compliance, e-invoicing, bonded warehouse operations
MOLIT
Land & Transport
MOTLS
Transport & Logistic Services
Road freight permits, DG transport licensing, ADR driver certification, fleet compliance
KATS
Tech & Standards
SASO
Saudi Standards Org
Product certification, SABER conformity certificates, quality standards compliance
MOTIE
Trade & Industry
SAIS
Supreme Authority for Industrial Security
Precursor chemicals control, dual-use materials, industrial security permits, restricted substance authorization
MOLIT
Construction Standards
SBC
Saudi Building Code
Warehouse structural compliance, load-bearing certifications, facility design standards, construction safety requirements
MOIS
Municipal Affairs
MOMRA
Municipal & Rural Affairs
Facility operating licenses, municipal permits, zoning compliance, commercial activity certification
KICOX
Industrial Complex
MODON
Industrial Property Auth
Industrial city licensing, zone permits, manufacturing facility authorization, industrial land allocation
NIS/MND
Security & Defense
MOI
Ministry of Interior
Security clearances, restricted chemicals permits, high-risk material import authorization, facility security

Flex 2025 Regulatory Engagement Record

Inspections • Audits • Certifications • Client Due Diligence

Every regulatory touchpoint in 2025 — from government inspectors to accredited consultants to multinational client audits

📅 2025 Inspection Distribution
JAN
FEB
MAR
APR
MAY
JUN
JUL
AUG
SEP
OCT
NOV
DEC
Civil Defense
Municipality
MOTLS
MOI
MHRSD
NCM
Client Audits
MISA
💸 The Hidden Cost of Self-Managed Compliance

What 19 regulatory touchpoints would cost to manage internally vs. through Flex partnership

⚠️ Self-Managed (Internal Team)
Compliance Manager (dedicated)SAR 25K/mo
Legal/Regulatory ConsultantSAR 8K/mo
Inspection Preparation (19×)SAR 95K/yr
Documentation SystemsSAR 40K/yr
Training & CertificationsSAR 35K/yr
Remediation BufferSAR 50K/yr
SAR 616K+
Annual Compliance Overhead
VS
✓ Flex Partnership (Included)
Compliance ManagerIncluded
Legal/Regulatory SupportIncluded
All Inspection HandlingIncluded
Documentation & SystemsIncluded
Staff TrainingIncluded
Liability CoverageIncluded
SAR 0
Additional Compliance Cost

Bottom Line: Your logistics rates include a SAR 600K+ compliance infrastructure that's already battle-tested with 19 successful inspections in 2025 alone. This isn't overhead — it's insurance.

🛡️ The Flex Compliance Guarantee

We maintain active relationships with all regulatory authorities. If any compliance issue arises due to our operations, we own the resolution — including any penalties. Your exposure is zero.

Strategic Market Access & Capabilities

Your comprehensive gateway to MENA: infrastructure, services, and specialized capabilities

🌐 What Your Customers Gain Through This Partnership

When you win MENA contracts, here's the distribution infrastructure backing every commitment

500K+
SQM / Pallet Positions
Network Storage Capacity
Same-Day
Truck Dispatch
Any City in Middle East
47+
Active Trade Lanes
Cross-Border Corridors
12
MENA Markets
Single Operating Platform

📦 Warehousing & Storage

  • Flex OperatedDedicated & Managed
  • Partner NetworkScalable Capacity
  • Pallet PositionsMulti-Deep Racking
  • Bulk / High-BayAvailable
  • Open YardProject & Oversize
  • Ambient Controlled+18°C to +25°C
  • Cold Chain+2°C to +8°C
  • Frozen Storage-18°C to -25°C
  • DG StorageClasses 2-9
  • Bonded WarehouseZATCA Licensed
  • SFDA / GDP Certified✓ Compliant
  • IoT Monitoring24/7 Real-Time

🔧 Value-Added Services

  • Pick & Pack / KittingFull VAS Support
  • Labeling & RepackagingSASO Compliant
  • Quality InspectionInbound & Outbound
  • Inventory ManagementReal-Time WMS
  • Returns ProcessingFull Cycle Support
  • Cross-DockingSame-Day Transfer

🚛 Distribution Reach

  • Saudi Arabia✓ Direct & Transit Hub
  • UAE✓ Direct
  • Kuwait✓ Direct
  • Bahrain✓ Direct
  • Qatar✓ Direct
  • Oman✓ Direct
  • Jordan✓ Direct
  • Iraq✓ Direct & Corridor
  • Egypt✓ Direct
  • Lebanon✓ Corridor
  • Syria✓ Corridor
  • Palestine/Israel✓ Corridor

⚡ Service Modes

  • FTL (Full Truckload)Dedicated Vehicle
  • LTL (Less Than Load)Consolidation Hubs
  • Express / Time-Critical4-24 Hour Windows
  • Project CargoHeavy Lift Capable
  • White GloveHigh-Value Handling
  • Reverse LogisticsReturns Management

🚛 Fleet & Equipment

  • Flatbed TrailersOpen Deck
  • Curtain Side TrailersFlexible Access
  • Boxed TrailersEnclosed Cargo
  • Refrigerated TrailersTemperature Controlled
  • Regular LowbedsHeavy Haul
  • Hydraulic LowbedsOversized Loads
  • Dianas (Multi-Capacity)Versatile Transport
  • 20ft / 40ft ContainersStandard & HC
  • Reefer ContainersCold Chain
  • Open Top ContainersTop Loading
  • Flat Rack ContainersProject Cargo

📋 Trade & Compliance

  • ZATCA Customs ClearanceReliable Brokerage
  • MOI DG Import ApprovalDirect Processing
  • SFDA Registration & ComplianceFull Support
  • SABER CertificationProcessing
  • Civil Defense PermitsExpedited
  • HS ClassificationExpert Advisory

Strategic Differentiators

Capabilities that set us apart in the regional market

⚙️

Heavy Lift & Project Logistics

  • ✓ Oversized cargo handling to +100 tons
  • ✓ Route surveys & permit management
  • ✓ Specialized trailer fleet access (hydraulic lowbeds)
  • ✓ Crane & rigging coordination
  • ✓ Factory-to-foundation delivery
  • NEOM & Giga-project capable
🏭

Manufacturing as a Service (MaaS)

  • ✓ Light assembly & kitting operations
  • ✓ Industrial space setup & support
  • ✓ Production line configuration
  • ✓ Quality inspection stations
  • Made in Saudi certification support
  • ✓ Local assembly capability

Why These Matter: These specialized capabilities enable you to bid on Vision 2030 giga-projects, support Korean manufacturers' local assembly requirements, and deliver on complex industrial contracts that regional competitors cannot execute.

The Opportunity

Every Korean manufacturer expanding to MENA. Every multinational seeking GCC distribution. Every e-commerce player targeting 250 million consumers.

They need what we've built together.

Your global network + Our regional expertise = Unstoppable

Supply Chain Orchestration

Bridging global reach with local execution — completing the last 2,000 kilometers that define customer experience

The "Last 2,000 Kilometers" Challenge

🌏
12,000 km
Seoul → Dammam
Controlled by global forwarders
⚠️
2,000 km
Port → Customer Door
Where 73% of delays occur
100%
Flex Coverage
Your local execution partner

The Insight: Global forwarders excel at intercontinental movement. However, from first port of entry, local regulatory expertise becomes the critical differentiator. Customs clearance, agency coordination, DG compliance, and last-mile execution: this is where strategic partnerships deliver measurable value.

Korea → Kingdom: End-to-End Supply Chain

🇰🇷
Korean Origin
🚢
Global Transit
HANDOFF
FLEX
Local Execution
🏢
Customer Door

MENA Multi-Hub Distribution Strategy

Industry-optimized hubs serving 250M+ consumers across the Middle East & North Africa

🚗
Automotive
King Salman Automotive Park
$32B by 2030
💻
ICT & Technology
NEOM Tech Hub
$50B+ (9% CAGR)
⚙️
Industrial & MaaS
Dammam Industrial Zone
$90B+ (5.3% CAGR)
🛒
FMCG & Retail
Jeddah Distribution Hub
+12% CAGR
📦
E-Commerce
Riyadh Fulfillment Center
$12B+ (25% CAGR)
🧪
Chemicals & DG
Jubail Industrial City
$80B+ annually

MENA Distribution Network

🇸🇦
Saudi
35M
🇦🇪
UAE
10M
🇰🇼
Kuwait
4.5M
🇶🇦
Qatar
3M
🇴🇲
Oman
5M
🇧🇭
Bahrain
1.5M
🇯🇴
Jordan
11M
🇮🇶
Iraq
44M
🇱🇧
Lebanon
5.5M
🇸🇾
Syria
22M
🇵🇸
Palestine/Israel
14M
🇪🇬
Egypt
105M
GCC Direct Levant Corridor Egypt Network
Multi
Industrial Hub Network
12
Countries Served
250M+
Consumers Reached
Your MENA Partner

Trade Agreements & Strategic Corridors

Leveraging international trade frameworks and emerging logistics corridors

🌐 Strategic Trade Corridor Positioning

🇰🇷 Korea-GCC Free Trade Agreement

Seoul ↔ GCC Member States

FTA negotiations advancing toward preferential tariff treatment. Partnership positions both parties to capitalize on reduced duties and streamlined customs procedures upon ratification.

✓ Early mover advantage for Korean exporters

🌍 India-Middle East-Europe Corridor (IMEC)

India → UAE → Saudi → Jordan → Israel → EU

G20-announced mega-corridor connecting India to Europe via GCC. Saudi is the critical land bridge. Flex positioned for IMEC intermodal operations.

✓ Multi-modal connectivity potential

🛤️ GCC Railway Network

KSA ↔ UAE ↔ Bahrain ↔ Kuwait ↔ Qatar ↔ Oman

2,177 km integrated rail network under development. Will transform GCC logistics economics with faster, cheaper cross-border freight.

✓ Rail-road intermodal capabilities ready

🚢 Saudi Land Bridge

Jeddah (Red Sea) ↔ Dammam (Gulf)

East-West rail connection offering Suez Canal alternative. Korean cargo can reach Mediterranean markets via Saudi without canal transit.

✓ Dual-coast distribution capability

🇮🇶 Iraq Transit Corridor

Saudi → Iraq → Turkey → Europe

Northern overland route to European markets. Alternative to sea routing for time-sensitive cargo.

✓ Transit documentation expertise

🇨🇳 Belt & Road Connectivity

China → GCC → Africa

Saudi's positioning within China's BRI creates opportunities for triangular Korea-China-Saudi supply chains and Chinese goods redistribution.

✓ Multi-origin consolidation capability

GCC Customs Union Advantage

Single customs territory across UAE, Saudi, Bahrain, Kuwait, Qatar, Oman. Goods cleared once in Saudi can move freely across member states. Our partnership leverages this unified customs framework for efficient regional distribution.

Volume Commitment Framework

Structured commitments across service pillars — designed for mutual growth and long-term operational alignment

Service-Based Commitment Options

Flexible structures that scale with your business — commit across one or more pillars based on operational needs

WAREHOUSING

📦 Storage & Fulfillment

Single Site 3,000+ SQM ⓘ
Multi-City Network 5,000+ SQM ⓘ
Regional Coverage 10,000+ SQM ⓘ
Includes:
Storage • Pick/Pack • VAS • Inventory Management • WMS Access
TRANSPORTATION

🚛 Distribution & Freight

Local Distribution 100+ trips/month ⓘ
Cross-Border (Import/Export) 50+ trips/month ⓘ
Extended MENA Corridor 25+ trips/month ⓘ
Multimodal (Sea-Air-Road) 15+ shipments/month ⓘ
Includes:
FTL • LTL • Express • Project Cargo • GPS Tracking • POD
TRADE & COMPLIANCE

📋 Trade Lane Compliance & Customs Clearance

Import Clearance 30+ declarations/month ⓘ
Export & Re-Export 20+ declarations/month ⓘ
Transit Shipments 15+ movements/month ⓘ
Temporary Import/Export As required ⓘ
Includes:
HS Classification • Permits • SABER • DG Approvals • Duty Advisory

Combined Service Commitment Benefits

Partners committing across multiple pillars unlock enhanced pricing and priority capacity

Commitment Scope 📦 Warehousing 🚛 Transport 📋 Trade Mutual Benefit
1 Service Pillar 3,000+ SQM 50+ trips 20+ declarations 5-8%
2 Service Pillars 5,000+ SQM 100+ trips 50+ declarations 10-15%
3 Service Pillars 7,500+ SQM 200+ trips 75+ declarations 15-20%
Full Integration + Multi-Year 10,000+ SQM 300+ trips 100+ declarations 20-25% + Gainsharing

* Trip equivalents based on standard cargo profiles — actual conversions defined per agreement

Cross-Pillar Credits
Transfer unused commitment between service lines
Q
Quarterly Reviews
Adjust volumes ±20% based on demand
+%
Overachievement Rebates
3-10% back on excess volumes
$
Rate Protection
6-18 month rate lock periods
Partnership Approach: MVCs are designed as growth enablers, not penalties. Volume shortfalls within tolerance bands carry no penalties—we focus on building sustainable, long-term operational partnerships where both parties benefit from scale and predictability.

Pricing Transparency Model

Understanding how our rates are structured to build trust and transparency

🔍 Cost-Plus Rate Structure

Our pricing follows a transparent cost-plus methodology. Here's how your rate is constructed:

Base
Facility + Labor + Equipment
+
Compliance
Licensing + Audits + Training
+
Insurance
Full Coverage + Liability
+
Technology
WMS + TMS + Integration
+
Margin
Service + Reinvestment

Why This Matters: When comparing quotes, lower headline rates often exclude compliance costs, proper insurance, and technology investment. Our all-inclusive pricing means no surprise fees, no compliance gaps, and no hidden risks. You're comparing apples to apples.

Partnership Value

Headline rates reveal only part of the equation. Here's the complete financial picture of a compliant partnership.

💡 Total Cost of Ownership Framework

Enterprise TCO Formula

TCO=B+C+R+D+O
B
Base Service Cost
(Warehousing + Transport)
C
Compliance Cost
(Permits, Certifications, Audits)
R
Risk Cost
(D&D, Fines, Rejections, Delays)
D
Disruption Cost
(Expedited Shipping, Recovery)
O
Overhead Allocation
(Insurance, Management, IT)

💰 Annual Cost Avoidance (per 500 MT volume)

⚠️ Non-Compliant Operator Risks

Detention Fines (Est. 2/year)SAR 150,000
Shipment RejectionsSAR 85,000
Regulatory PenaltiesSAR 200,000
Insurance Premium IncreaseSAR 45,000
Time-to-Market DelaysSAR 120,000
Total Annual RiskSAR 600,000
VS

✓ Compliant Operator (Flex)

Detention FinesSAR 0
Shipment RejectionsSAR 0
Regulatory PenaltiesSAR 0
Insurance PremiumStandard Rate
Time-to-MarketOptimized
Total Annual Risk~SAR 0

* Illustrative models based on typical partner outcomes. Actual results vary by cargo profile and volume.

Non-Compliance Risk Matrix

Comprehensive analysis of regulatory, operational, and commercial risks avoided through compliant operations

🚨 Critical Regulatory Violations

Severity: Critical
SFDA — Unregistered DG Storage
Up to 7-Figure SAR

Operating DG warehouse without proper SFDA registration, missing permits, or non-compliant facility specifications.

Consequences: Facility closure, inventory seizure, criminal liability for management, import ban

Civil Defense — Fire Safety Violation
Up to 6-Figure SAR

Inadequate fire suppression, improper DG segregation, non-compliant ventilation systems, blocked emergency exits.

Consequences: Immediate shutdown, insurance voiding, potential criminal charges if incident occurs

MOT — Unlicensed DG Transport
6-Figure SAR per Incident

Transporting dangerous goods without proper ADR certification, missing placards, untrained drivers.

Consequences: Vehicle impoundment, driver license revocation, shipper liability

NCM — Chemical Tracking Failure
5-Figure SAR + Operations Ban

Failure to register in national chemical database, missing chain-of-custody documentation.

Consequences: Import license suspension, mandatory third-party audits, restricted operations

⚠️ Moderate Commercial Risks

Severity: Moderate
ZATCA — Customs Documentation Errors
5-Figure SAR + Delays

Incorrect HS codes, missing certificates of origin, incomplete commercial invoices.

Impact: Shipment holds, demurrage charges, customer delivery failures

SASO — Product Certification Gaps
Shipment Rejection

Missing SABER certificates, expired conformity assessments, labeling non-compliance.

Impact: Port rejection, return shipping costs, customer penalties

Insurance Coverage Gaps
Full Loss Exposure

Inadequate cargo insurance, policy exclusions for non-compliant storage, liability gaps.

Impact: Unrecoverable losses, legal exposure, customer claims

SBC — Facility Code Violations
Remediation Orders

Structural deficiencies, inadequate load ratings, improper racking systems.

Impact: Forced capacity reduction, costly retrofits, operational disruption

📋 Operational & Reputational Risks

Severity: Variable
Customer SLA Breaches
Contract Penalties

Delivery delays caused by compliance failures, inventory discrepancies, documentation errors.

Impact: Penalty clauses, contract termination, customer churn

Supply Chain Disruption
Revenue Loss

Facility shutdowns, shipment holds, forced inventory relocation.

Impact: Lost sales, expedited shipping costs, customer dissatisfaction

Brand & Reputation Damage
Long-term Impact

Publicized violations, customer complaints, regulatory blacklisting.

Impact: Lost business opportunities, damaged relationships, competitive disadvantage

Management Liability
Personal Exposure

Director liability for compliance failures, personal fines, travel restrictions.

Impact: Executive liability, insurance claims, governance concerns

Aggregate Annual Risk Exposure — Non-Compliant Operations

HIGH
Probability
Regulatory Audit
15-25%
Annual
Incident Likelihood
7-Fig
SAR
Maximum Exposure
~0%
With Flex
Risk Eliminated

Flex Compliance Record: Zero regulatory penalties • Zero shipment rejections due to compliance • Zero facility violations • Continuous audit readiness across all authorities

Why DG Quotes Require Due Diligence

Dangerous Goods quotations involve multi-agency compliance verification. Here's the comprehensive process that protects all parties:

1
MSDS & Product Classification

Review Material Safety Data Sheet, verify UN number, identify hazard class (1-9), determine packaging group requirements, and validate regulatory classification codes

1-2 hours
2
Segregation Compatibility Check

Analyze existing warehouse inventory to confirm storage compatibility. DG classes have specific segregation requirements—some cannot be stored together. We verify no conflicts exist with current inventory

1-3 hours
3
Infrastructure Verification

Confirm that our Saudi Building Code-certified facilities, fire suppression systems, ventilation specifications, and structural ratings match the specific DG classification requirements

1-3 hours
4
Multi-Agency Regulatory Compliance

Verify SFDA registration requirements, MOT transport permits, MOI import licenses, NCM chemical tracking database registration, and any special authorizations required for specific product categories

2-6 hours
5
Insurance & Risk Assessment

Calculate appropriate insurance coverage, establish emergency response protocols, verify personnel training requirements, and implement risk mitigation measures for accurate pricing

1-2 hours
6
Pricing & Quotation Assembly

Generate comprehensive pricing that reflects true cost of compliance, safety measures, specialized handling, regulatory overhead, and appropriate risk premiums

1 hour
Total Process Time for Complex DG: 4-72 hours depending on material complexity, existing inventory conflicts, multi-agency coordination requirements, and regulatory research needed. This isn't bureaucracy—it's the due diligence that protects your end customers, your reputation, and our collective compliance standing with SBC, NFPA, GHS, SFDA, MOTLS, MOI, NCM, and Civil Defense authorities.

Service Excellence Commitments

Performance targets based on shipment complexity and urgency level

Standard

Non-Dangerous Goods

24 Hours

General cargo, consumer goods, retail products

  • Request received: T+0
  • Initial feasibility: Within 4 hours
  • Full quotation: Within 24 hours
  • Validity: 14 days
Dangerous Goods

DG - Standard Review

72 Hours

Chemicals, aerosols, batteries, flammables (Class 3-9)

  • MSDS submission: Required with request
  • Initial feasibility: Within 24 hours
  • Multi-agency review: 48-72 hours
  • Full quotation: Within 72 hours
  • Validity: 30 days
Expedited

Priority Service

48 Hours

Rush DG quotations with premium processing

  • Priority queue: Immediate assignment
  • Dedicated reviewer: Senior compliance team
  • Expedited compliance: 24-48 hours
  • Premium pricing: +15-25% service fee
  • Validity: 21 days

📋 Governing Agreements

MSA (TBP)
Master Service Agreement with detailed terms, conditions, and liability provisions
SLA (TBP)
Service Level Agreement defining performance metrics, response times, and remedies
NDA (TBP)
Non-Disclosure Agreement protecting confidential business information

All services governed by execution of these agreements prior to operational commencement

Enterprise KPI Dashboard

Performance Metrics & Benchmarks

📦 Operational Excellence

99.2%
On-Time Delivery
Target: >98%
Industry: 94%
99.8%
Order Accuracy
Target: >99.5%
Industry: 97%
0.02%
Damage Rate
Target: <0.1%
Industry: 0.5%
99.9%
Inventory Accuracy
Target: >99.5%
Industry: 97%

⚡ Responsiveness & Speed

<4h
RFQ Response (NDG)
Target: <4 hours
<24h
Quote Delivery (NDG)
Target: <24 hours
<72h
Quote Delivery (DG)
Target: <72 hours
<2h
Issue Escalation
Target: <2 hours

🛡️ Compliance & Risk

100%
Regulatory Compliance
Target: 100%
0
Safety Incidents
Target: Zero
0
Customs Rejections
Target: Zero
100%
Audit Readiness
Target: 100%

💰 Financial Performance

±2%
Budget Variance
Target: ±3%
<45
Invoice Days (DSO)
Target: <45 days
100%
Billing Accuracy
Target: >99%
Y-o-Y
Cost Reduction
Target: 3-5%
Overall Service Level98.7%
0%Target: 95%100%
Partner Satisfaction Score4.7/5.0
1.0Target: 4.55.0
Mr Seo: 5.0 ⭐
Continuous Improvement Index+12%
-10%Target: +5%+20%

🤝 What Flex Invests in Every Partnership

Beyond rates—the value we bring to ensure your success (included at no additional cost)

Dedicated Account Manager

Single point of contact with logistics expertise, available 24/7 for escalations

Technology Integration

Advanced picking systems, AI-powered demand forecasting, and real-time visibility platforms

Compliance Training

DG handling, regulatory updates, and safety protocols for your team

Quarterly Business Reviews

Executive-level strategic sessions with data analytics and optimization recommendations

R&D Participation

Input into technology roadmap, pilot programs for new capabilities

Risk Mitigation

Proactive compliance monitoring, regulatory change alerts, audit support

R&D Collaboration & Joint Value Creation

Partnership Innovation Framework

Transforming operational excellence through collaborative research and continuous improvement

🔬 Process Optimization Lab

Joint initiatives to analyze current operations, identify inefficiencies, and implement data-driven improvements.

Target Outcomes
  • Dock-to-stock time reduction
  • Pick accuracy improvement
  • Transport route optimization
  • Inventory turn enhancement

⚙️ Technology Integration

Evaluate and implement emerging technologies including advanced picking systems, AI-powered demand forecasting, and real-time visibility platforms.

Target Outcomes
  • Labor productivity gains
  • Error rate reduction
  • Throughput capacity increase
  • Scalability during peak

📈 Analytics & Intelligence

Development of custom dashboards, predictive models, and decision-support tools specific to partnership operations.

Target Outcomes
  • Demand forecasting accuracy
  • Proactive issue identification
  • Cost allocation transparency
  • Performance benchmarking

🌱 Sustainability Initiative

Joint programs to reduce environmental impact through route optimization, packaging reduction, and carbon tracking.

Target Outcomes
  • Carbon footprint reduction
  • Packaging waste minimization
  • Fuel efficiency improvement
  • ESG reporting capability

Gainsharing & R&D Investment Model

When joint initiatives deliver measurable cost reductions or efficiency gains

Efficiency Gain: 5-10%
70 / 30
Partner / Flex
Efficiency Gain: 10-15%
60 / 40
Partner / Flex
Efficiency Gain: 15-20%
50 / 50
Partner / Flex
Efficiency Gain: >20%
50 / 50
+ R&D Reinvestment Pool

Gains above 20% threshold contribute to joint R&D fund for next-generation initiatives

ESG & Sustainability Commitment

Environmental, Social, and Governance framework aligned with global standards and Saudi Green Initiative

Sustainability Framework

Committed to responsible logistics operations and transparent ESG reporting

Environmental

Carbon footprint reduction, renewable energy adoption, waste minimization, and sustainable packaging initiatives

Social

Workforce development, Saudization commitment, safety culture, community engagement, and fair labor practices

Governance

Ethical business conduct, transparent reporting, risk management, compliance integrity, and stakeholder accountability

4IR

4th Industrial Revolution Enablement

Future-ready logistics infrastructure

Smart Warehousing

IoT sensors, real-time inventory tracking, automated alerts

Connected Fleet

GPS tracking, telematics, predictive maintenance

Data Analytics

BI dashboards, demand forecasting, performance insights

API Integration

REST APIs, EDI, real-time webhooks, partner connectivity

Partnership Ecosystem

This framework is enabled by a curated ecosystem of specialized partners, each bringing distinct capabilities to deliver enterprise-grade logistics excellence.

🤝 Enabling Partners & Capabilities

Integrated expertise across strategy, operations, technology, and market development

WAJEEH
Transport Network Partner
⚡ Empowers Transport
INTRALOG
Strategic Framework Partner
📋 Empowers Framework
MARKA
Brand & Go-To-Market Strategy

(To be agreed on mutually)

🎯 Empowers Marketing
INTRALAW
Legal & Compliance Partner

(To be mutually agreed)

⚖️ Empowers Legal
BLUEDXP
Digital Experience Technologies
💻 Empowers Technology

Partnership Case Studies

Proven results across diverse industry verticals

📊 Demonstrated Performance

Anonymized case studies showcasing partnership value delivery

Global Coatings Manufacturer

Chemicals & DG Logistics
Challenge

Multi-class DG storage and distribution across Saudi Arabia with strict regulatory compliance requirements. Previous provider faced Civil Defense violations and lacked proper hazard class segregation. Long lead times for custom chemical orders impacting production schedules.

Solution

Licensed new DG facilities for multiple hazard classes with full SBC 800 safety implementation. Upgraded fire suppression to foam/water hybrid system with in-rack sprinklers. Implemented hourly DG shuttle service moving raw materials to factories/plants in industrial areas and returning finished goods for distribution and export. Licensed and built dedicated mixing service room in main distribution warehouse — reducing custom chemical order lead time from 3 days to same-day delivery.

Results (12 Months)
0
Violations
99.4%
OTD Rate
3→0
Days Lead Time

P&G Cross-Border Optimization

Multimodal & R&D Analytics
Challenge

High-frequency cross-border shipments with unpredictable customs delays causing 16%+ detention cost overruns. Road-only transit times impacting supply chain efficiency and carbon footprint targets.

Solution

R&D-driven corridor optimization using AI-powered predictive scheduling and real-time visibility platform. Data mining identified customs bottleneck as primary delay driver. Multimodal rail+road integration reduced transit time from 36h to 24h.

Results
97%
OTD Rate
33%
Detention Reduction
67%
CO₂ Reduction

Cross-Border Heavy Equipment

Project & Heavy Logistics | KSA → Oman
Challenge

6-unit cross-border convoy for PIF portfolio company with temporary export requirements. Loading from Aramco site requiring specialized security screening and multi-agency gate pass processing. Last-minute weight and dimension revision with loading scheduled for 1st day of Eid.

Solution

Project Transportation Management Plan (PTMP) with 100% local Saudi talent — drivers and project management team. 200+ tons moved via pre-cleared ZATCA blanket approval for unified convoy processing, Aramco site access coordination, MOT/MOI permit management, specialized 3.2m hydraulic lowbed sourcing.

Results
72h
Loading Lead Time
6h
Border Exit (Temp Export)
100%
Local Talent

Building a Partnership for Regional Excellence

This framework represents our commitment to transparency, partnership, and mutual success. We deeply value LX Pantos' global expertise and the opportunity to serve as your trusted Saudi logistics partner. While headline rates are important, we believe the true measure of partnership value lies in total cost of ownership, operational reliability, and risk mitigation. We're confident that through volume commitment and collaborative growth, we can achieve pricing that works for both organizations while delivering exceptional service to your end customers.

Together, we're defining the next generation of MENA logistics excellence.

For Flex Logistics Services Company
Basheer Albayaty
Managing Director
Mobile: +966 56 4496 330
Date: _______________
For LX Pantos Logistics
Taewon Seo
Managing Director, Saudi Arabia
Mobile: +966 508 967 326
Date: _______________