CHAPTER 1 INTRODUCTION As part of curriculum of the Graduate Degree in Foreign Trade course at Sinhagad College of Science & Commerce,

students are required to do a project in any reputed organization. For thisreason, I did my project research in Lintas Freight & Logistics LLC, Mumbai. The project work was titled Effectiveness of Logistics Management in Mumbai and to suggest ways and meansto improve the management strategic decisions. 1.1 OBJECTIVE OF THE STUDY The objectives of the Project are: To know about Logistics Industries To compare the effectiveness of logistics management at Lintas Freight and Logistics andto benchmark the organization with respect to the industry. To have a thorough understanding of how logistics and freight industries work. To know whether the customers are satisfied with the existing range of service pattern. 1.2 METHODOLOGY OF THE STUDY The data used for the study had primary and secondary character to it. The primary data wasc o l l e c t e d t h r ou g h q u e s t i o n n a i r e me t h o d . Th e s e c o n d a r y d a t a w e r e c o mp o s e d t h r o u g h t h e reference of books, websites, and interviews with various executives in different organizations of the sample. The procured data was analyzed by a simple percentage method and the results aresupported with graphs and charts. 1.3 SCOPE OF THE STUDY: The scope of the study is confined to Dubai Ports (Al Hamriya Port) and nearby organizations of Lintas Freight & Logistics LLC, which are into the concerned industry. The study is done onlyon industries dealing with Freight and Logistics in Dubai area. a.Introduction to Logistics Management Logistics management is that part of the supply chain which plans, implements and controls theefficient, effective forward and reverse flow and storage of goods, services and information b e t w e e n t h e p o i n t o f o r i g i n a n d t h e p o i n t o f c o n s u m p t i o n i n o r d e r t o m e e t c u s t o m e r s ' requirements. A professional working in the field of logistics management is called a logistician.Logistics as a business concept evolved only in the 1950s. This was

mainly due to the increasingc o m p l e x i t y o f s u p p l y i n g o n e ' s b u s i n e s s w i t h m a t e r i a l s a n d s h i p p i n g o u t p r o d u c t s i n a n increasingly globalized supply chain, calling for experts in the field who are called Supply ChainLogisticians. This can be defined as having the right item in the right quantity at the right time atthe right place for the right price and it is the science of process having its presence in all sectorsof the industry. The goal of logistics work is to manage the fruition of project life cycles, supplychains and resultant efficiencies.

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In turn, 3PL providers are continually looking to provide innovative supply chain solutions toc u s t o me r s b y f o c u s i n g o n v a l u e a d d e d c a p a b i l i t i e s , d i f f e r e n t i a t i n g t h e ms e l v e s f r o m t h e competiti on. They focus on key objectives, such as implementing information technologies,instituting effective m anagement processes, integrating services and technologies globally, anddelivering comprehensive solutions that create value for 3PL users and their supply chains. Thisneed to partner with customers and become more integrated into their supply chain processes hascreated the ancillary need to locate close to these customers.T h a t i s n ' t t o s a y t h e n e e d f o r e a s y a c c e s s t o t r a n s p o r t a t i o n h u b s a n d d i f f e r e n t m o d e s o f transportation won't continue to be important. But the above shift in business strategy, along withthe advances in technology and enhanced communication, has opened the door for logisticsfacilities to operate effortlessly in a myriad of locations.Profit warnings, share price pressures, mergers, reorganizations, relocations, disposals, painfull a yo f f s a n d g r e a t g e o p o l i t ic a l u n c e r t a i n t i e s c a n s we e p a w a y e v e n t h e mo s t c o mp r e h e n s i v e logistics strategies and thats despite outstanding management over many years. These areexceptionally difficult times and it has never been more important to connect logistics and freight planning to executive board thinking than now. Its easy to lose sight of the bigger picture in therush to cut infrastructure cost and conserve cash. Hopefully organization succeed in protecting the business, satisfying shareholders and analysts, but what about capacity and

flexibility, moraleand momentum?To be a logistics winner in the coming years organizations need to use the downturn to reshapefor growth, propelled by an unshakeable conviction that the mission is still important, that more prosperous times lie ahead, and that in some way the company infrastructure is helping to build a better kind of world.Logistics is inevitable in the future and essentially the management policy also has a significantrole in the future of world. Generally the study is being featured with all aspects of managementin Logistics and Freight areas. (Logistics include Transportation, Warehousing, Network Design,Crossdocking, and Value Adding)

d. General Import / Export Marketa.) Market AnalysisUAE sea freight exports rose in volume and value during recent years. UAEs largest exportingstate, Dubai, led these increases with substantial increases in volume and value of exports. Allstates showed an increase in export value and many states having an increase in export volume.Abudhabi, Rasalkhaimah, and other states showed small decreases in export volume compared toDubai.Total freight import values increased 16.3% in 2006/07. China remains largest import market.Exports to other largest sea freight export markets showed substantial growth, namely Africa(25.8%), India (28.4%) and other Asian Markets (28.4%). Over the last 6 years, import volumesa n d v a l u e t o C h in a a n d I n d i a h a v e c o n s i s t e n t l y g r o w n , wh i l e i mp o r ts f r o m J a p a n i n c r e a s e d following three consecutive years of decline. Most of this increase can be attributed to a largei n c r e a s e i n s e a f r e i g h t i mp o r t s f r o m C h i n a , wh i c h r o s e 8 6 ,6 2 9 ,2 3 0 t o n e s o r 2 1 8 .5 % . O t h e r substantial increases in import volume were seen from Taiwan (23.7%), India (22.2%), Italy( 1 4 .9 % ) , Ne w Ze a l a n d ( 1 4 .9 %) a n d M e x i c o ( 7 0 .4 % ) , w h i l e n o t e wo r t h y d e c r e a s e s i n e x p o r t volume were seen to Netherlands (-14.0%) and USA (-25.2%).2006/07 saw a mixed result for Chinese and other Asian sea freight exports. Increasing import value was led by Base Metals (principally Copper Cathodes and Lead), despite recordinga small decrease in import volume in the group. Mineral Products (mainly Liquid Gas and Iron p r o d u c t s ) a n d P r e p a r e d F o o d s t u f f s ( ma i n l y p a c k e d F M C G p r o d u c t s ) we r e t h e o t h e r ma jo r commodity groups showing an increase in value, also backed by increasing commodity prices for these groups. Prepared Foodstuffs have shown a continual increase in import value over the last 6years. The 2006/07 increase in Mineral Products and Base Metal Products imports follows 3years of import value decline in these products. (Base metals used mainly for Automobiles, Batteries etc.)The

most substantial decrease in export volume was seen in Vegetable Products (grains andother plant products), with an associated drop in export value. Transport Equipment also saw alarge drop in export value and volume. A decrease in export value continues 3 consecutive yearsof decreases in export value in these groups. The most constant export is for dates to neighboringnations. Dates are of very less demand in Western regions of the globe. b.) Perishable Items- Animal Products: Meat, Dairy & SeafoodUAE import products in the Animal Products category include meat, seafood and dairy. Chickenand lamb meat imports are UAEs largest sea freight imp orts in this category. Both Chicken( 1 1 0 %) a n d La mb ( 2 2 .6 % ) s a w i n c r e a s e s i n s e a f r e i g h t i mp o r t v a l u e d u r i n g 2 0 0 6 / 07 , w i t h smaller increases in total volume, reflecting the increased price for these commodities during the period. Lamb imports by air also rose in 2006/07, but imports by air account for only 3.7% of thetotal chicken and lamb exports. Over the last 5 years, sea freight lamb imports have been quiteconsistent and at a high level. The dramatic growth in chicken imports during 2006/07 comes ontop of steady growth since 2000/01.The other single largest Animal product commodity is Tuna, with 2006/07 sea freight importstotaling $65,134,998 and 5,178 tonnes. This is well below the 2002/03 peak of $201,066,102,wi t h d e c r e a s e s i n e x p o r t v a l u e s e e n d u r i n g t h e p r e v i o u s ye a r s . I n a d d i ti o n t o t h e s e a f r e i g h t i mp o r t s , Tu n a i s a l s o i mp o r t e d b y a i r f r e i g h t . S i mi l a r d e c r e a s e s w e r e s e e n i n b o t h s e a a n d airfreight imports.Frozen Prawns, increased in volume and value (7.0%) during 2006/07. Grated Cheese (includingCheddar) remains an important dairy import by sea with yearly exports fluctuating between $36a n d $ 4 9 mi l l i o n o v e r t h e l a s t 6 ye a r s . C h e e s e c u r d e x p o r t s i n c r e a s e d s u b s t an t i a l l y d u r i n g 2006/07. Imports are mainly from Denmark, Switzerland.Grain: Wheat, Rice is UAEs single largest volume import commodity. Import volume and valuedropped across most major commodities in the grain category. Actually had an increase in importvolume for Rice and Wheat for the year 2006-07. CHAPTER 2] Industry Profile

2. Logistics Industry 2.1 LOGISTICS (UAE - Middle East) Logistics is the management of the flow of goods, information and other resources, includingenergy and people, between the point of origin and

the point of consumption in order to meet therequirements of consumers. Logistics involve the integration of info rmation, transportation,inventory, warehousing, material -handling and packaging. In terms of value, global logisticsindustry has been estimated to be more than USD 235 billion and make up significant part of theG DP w i t h r e g a r d t o I n d i a . Th e M i d d l e E a s t i s c u r r e n t l y I n d i a ' s t o p e x p o r t d e s t i n a t i o n f o r a burgeoning consumer electronics sector. Exports reached $175 million in 2005-06, an increase of 96 percent over the previous year, according to the Electronics and Computer Software Export Promotion Council (ESC). The growing trade reciprocity with China, 63 percent of respondentsto a recent China supplier survey, Middle East Export / Import Opportunities, cited the MiddleEast as the next "hot" import market for Chinese-manufactured goods.UAE is now in a stage of transition from an import substitution closed economy model to anoutward oriented trade regime. The importance of logistics as an enabler of trade and economicgrowth is worth mentioning. Massive improvement in infrastructure for transportation leads to present and future development in trade, resulting in the economic growth of the nation. While a r o u n d Dh .2 0 0 , b i l l i o n o f i n v e s tme n t s h a v e b e e n ma d e d u r i n g l a s t 5 y e a r s t o a u g me n t p o r t f a c i l i t i e s i n t h e c o u nt r y ( U AE ) , e q u a l l y ma s s i v e i n v e s t me n t s h a v e a l s o b e e n ma d e in r o a d networks. The logistics/shipping/freight sector has received keen attention from both investorsand government.On the positive point of view, new opportunities are opening up for the sector. Trade volumes both overseas and inland are growing very fast. The pace of growth in the specialized sectors likeLiquid Natural Gas (LNG), Containers, Goods, Electronic Equipments etc. are comparativelymuch higher. Integrated logistics and multimode transportation are opening up new business for logistics/ shipping companies. [ 2.2 Logistics Management and Logistics Management Software Logistics management is that part of the supply chain which plans, implements and controls thee f f i c i e n t , e f f e c t i v e f o r w a r d a n d r e v e r s e f l o w a n d s t o r a g e o f g o o d s , s e r v i c e s a n d r e l a t e d information between the point of origin and the point of consumption in order to meet customers'requirements. A professional working in the field of logistics management is called a logistician.Software is used for automating logistics activities which helps the supply chain industry inautomating the work flow as well as management of the system. Very few generalized softwareare only available

in the new market in the said topology. This is because there is no commonrule to generalize the system as well as work flow even though the practice is more or less thesame. Most of the commercial companies do use one or the other custom solution. There are various software that are being used within the departments of logistics mainly in ConventionalDepartments and for Container Trucking. a. Business Logistics Logistics as a business concept evolved only in the 1950s. This was mainly due to the increasingc o m p l e x i t y o f s u p p l y i n g o n e ' s b u s i n e s s w i t h m a t e r i a l s a n d s h i p p i n g o u t p r o d u c t s i n a n increasingly globalized supply chain, calling for experts in the field who are called Supply ChainLogisticians. This can be defined as having the right item in the right quantity at the right time atthe right place for the right price and it is the science of process having its presence in all sectorsof the industry. The goal of logistics work is to manage the fruition of project life cycles, supplychains and resultant efficiencies.I n b u s in e s s , l o g i s t i c s m a y h a v e e i t h e r i n t e r n a l f o c u s ( i n b o u n d l o g i s t i c s) , o r e x t e r n a l f o c u s (outbound logistics) covering the flow and storage of materials from point of origin to point of c o n s u mp t i o n . T h e ma i n f u n c t i o n s o f a q u a l i f i e d l o g i s t i c i a n i n c l u d e i n v e n t o r y ma n a g e me n t , purchasing, transportation, warehousing, consultation and the organizing and planning of theseactivities. Logisticians combine the professional knowledge of each of these functions so that there is a coordination of resources in an organization. There are two fundamentally differentforms of logistics. One optimizes a steady flow of material through a network of transport linksand storage nodes. The other coordinates a sequence of resources to carry out some project. b. Production Logistics The term is used for describing logistic processes within an industry. The purpose of productionlogistics is to ensure that each machine and workstation is being fed with the right product in theright quantity and quality at the right point in time.The issue is not the transportation itself, but to streamline and control the flow through the valueadding processes and eliminate non-value adding ones. Production logistics can be applied ine x i s t i n g a s we l l as new plants. Manufacturing in an existing plant is a c o n s t a n t l y c h a n gi n g process. Machines are exchanged and new ones added, which gives the opportunity to improvethe production logistics system accordingly. Production logistics provides the means to achievec u s t o me r r e s p o n s e a n d c a p i t a l e f f i c i e n c y. P r o d u c t i o n l o g i s t i c s i s g e t t i n g m o r e a n d mo r e important with the decreasing batch sizes. Even a single customer demand can be fulfilled in ane f f i c i e n t w a y. Tr a c k

a n d t r a c i n g , wh i c h i s a n e s s e n t i a l p a r t o f p r o d u c t i o n l o g i s t i c s due to product safety and product reliability issues i s a l s o g a i n i n g i mp o r t a n c e e s p e c i a l l y i n t h e automotive and the medical industry.

CHAPTER 3] Company Profile 11 When it comes to supply chain management, the answer is: Leadership, Innovation and Quality Solutions What Lintas Freight and Logistics does: Freight Movement Cargo/ Freight Management Solutions Full Truckload & Solution Providers Contract Packaging & Other Services Warehouse Operations (Outsourced) and Management Logistics 3PL 3. Lintas Freight & Logistics LLC Overall View: 3.1 Vision and MissionLintas Freight and Logistics: Best People. Best Processes. Best Value. a . V i s i o n T o b e c o me a l e a d i n g f r e i g h t , t r a ns p o r t a t i o n , c l e a r i n g a n d l o g i s t i c s c o mp a n y i n t h e M i d d l e East. To be the recognized industry leader, through total commitment to customer service, byma i n t a i n i n g o ur u n c o mp r o mi s i n g i n t e g r i t y, i n t h e s u p p o r t a n d d e v e l o p me n t o f o u r P e o p l e , Communications and Systems in sustained growth and profitability. b.Mission To set the standard for excellence in global logistics through total commitment to quality in people and customer service, with superior financial results. To solve reliable transportation andlogistics services to the needs of the business community. Reliable services means on timed e l i v e r y, u n d a ma g e d g o o d s , a n d c o r r e c t d o c u me n t a t i o n i n c

a s e o f d e v i a t i o n s . To p e r f o r m continuous business improvement in order to meet and exceed customer expectation, To creates u s t a i n a b l e b u s i n e s s g r o w t h i n o r d e r t o e n h a n c e t h e p r o s p e r i t y o f e mp l o ye e a n d b e n e f i t shareholders.Decisions can impact the success of the company as much as the performance of the supplychain. No matter what industry or region of the world other organization do business in, thesupply chain is an integral part to the success as same as the products, the services, and the people. In 2002, Lintas Freight and Logistics Services, LLC was formed to build on the globald i s t r i b u t i o n e x p e r i e n c e t o h e l p o t h e r c o mp a n i e s l o we r d i s t r i b u t i o n c o s t s wh i l e i mp r o v i n g customer service and brand loyalty.Lintas Freight and Logistics is a technology-based company providing customized solutions thattransform distribution to a source of competitive advantage. Main motive is to provide integratedsolutions from managing transportation, inventory, and distribution centers to sophisti catedforecasting, information management, and network consulting services. Today, Lintas Logisticsserves more than 35 client companies, globally, in an array of different market sectors.

The organization mission is to provide best value, integrated freight and logistics solutions toc l i e n t s i n t i me - s e n s i t i v e , s e r v i c e c r i t i c a l b u s i n e s se s . O r g a n i z a t i o n t r i e s t o l e v e r a g e a n d continuous ly improve the capabilities. Our clients trust us and depend on our Best People andBest Processes to help them succeed. 3.2 Lintas Freight and Logistics Service Today, Lintas employ many professionals in their branch offices and in fields (Ports), dedicatedto helping freight, transportation, clearing, forwarding and logistics needs. Young, energetic, professional, and passionate: their humble beginnings, satisfying customer needs has been thedriving force behind every Lintas Freight & Logistics employee. Lintas provide these services around globally and main focus to UAE and Indian marketsLintas Freight and Logistics, focus on main areas they are:a. Customer service to a higher level. b. Partnering to seeking the right answers.c. Finding solutions that optimize cost and service.d. And always asking, how can we serve you better?e. Analyzing every opportunity, every challenge to provide a custom solution that works best for customer.

3.3 Continuous Improvement in the Organization Lintas Logistics employees and other contracting people and other exceptional people are thecornerstone of organizations service, they are experts in their fields. Energetic, always lookingfor ways to drive

cost out of the supply chain and all the while working to improve the service.I n i t i a l l y f r o m t h e b e g i n n i ng , o r g a n i z a t i o n h a s h i r e d o n l y t h e b e s t a n d b r i g h t e s t . Th e mo s t committed. Every member of the team is empowered to create and implement client -centeredsolutions. Deploying the management team regionally means decision-making and is kept local,o n - t h e - s c e n e . T h e t e a m s t r u c t u r e me a n s g o o d i de a s c a n c o me f r o m a n ywh e r e w i t h i n t h e company. a. C u s t o me r s n e e d s o l u t i o n s n ow . L i n t a s Fr e i g h t a n d L o g i s t i c s g e t t h e m o n t h a t moment. With world-class technology as the backbone of the solutions and service. Integratingsystems and providing real-time information to help reduce cost by moving the productsof customers to market as efficiently as possible. Organizations Can Do culture isrooted in customer service, flexibility and innovation. Its been that way since the LintasFreight and Logistics organization was launched over 5 years ago. Organization has got arich tradition of redefining service for the supply chain management, freight managementand logistics industry. This commitment to quality customer service led Lintas Freightand Logistics to become the third-party logistics provider to be certified by UAE as bests ys t e m s t a n d a r d s . To d a y, t h e Q u a l i t y M a n a g e me n t S ys t e m n o t o n l y s e r v e s a s t h e foundation of the ongoing Continuous Improvement in day-to-day procedures, it alsoserves as the cornerstone of the Lintas Freight and Logistics. The process driven approacht o p r o b l e m s o l v i n g h e l p s t h e o r g a n i z a t i o n e x c e e d c u s t o me r s ' e x p e c t a t i o n s , a s t h e organization helps tackle service and cost issues within their supply chains.

3.4 Organization Functions:a. Freight Forwarding Departments typically arrange cargo movements to an international destination. This departmenthas the expertise that allows them to prepare and process the documentation and perform relatedactivities pertaining to international shipments. A freight forwarder organizes the safe efficientmovement of goods on behalf of an exporter, importer or another company or person, sometimesi n c l u d i ng d e a l i n g wi t h p a c k i n g a n d s t o r a g e . T a k i n g i n t o a c c o u n t t h e t yp e o f g o o d s a nd t h e customers delivery requirements, freight forwarder array, the best means of transport, using theservices of shipping lines, airlines or road and rail freight (Indian Markets) operators.Functions:i . R e s e a r c h i n g a n d p l a n n i n g t h e mo s t a p p r o p r i a t e r o u t e f o r a s h i p me n t . T a k i n g a c c o u n t o f the perishable

or hazardous nature of the goods, cost transit time and security.i i . A r r a n g i n g a p p r o p r i a t e p a c k i n g . Ta k i n g a c c o u n t o f c l i ma t e , c l i ma t e , t e r r a i n , we i g h t , nature of goods and cost, delivery or warehousing of goods at their final destination. iii. Obtaining, checking and preparing documentation to meet customs, excise and insurancerequirements, packing specifications and compliance with overseas countries regulations andfiscal regimes.iv.Offering consolidation services by air, sea, and road. o Ensuring cost effective and secure solutions to small shippers with sufficient cargo toutilize their own dedicated units. o L i a i s i n g wi t h t h i r d p a r t i e s t o mo v e g o o d s b y r o a d , a i r o r s e a i n a c c o r d a n c e wi t h customer requirements. o Arranging insurance and assisting the client in the event of a claim. o Arranging payment of freight and other charges or collection of payment on behalf of the client. o Transmitting data by internet and satellite systems, enabling real time tracking andtracing of goods. o Arranging charters for large volumes out of gauge or project movements by air andsea.

Acting as broker in customs negotiations worldwide to guide the freight efficientlythrough complex procedures o Arranging courier and specialist hand carry services o Maintaining visibility and control through all phases of the journey, including the production of management reports and statistical and unit cost analysis o Acting as consultant in customs o Maintaining current knowledge of relevant legislation, political situations and other factors that could affect the movement of freight o

A t mo r e s e n i o r le v e l , t h e r o l e ma y a l s o i n v o l v e ma n a g i n g s t a f f a n d ov e r s e e i n g activities within a department or specializing in a particular area, such as sea freightor air freight. b. Logistics Field: Bulk Operations T h e ma i n f u n c t i o n i n t h i s d e p a r t me n t i n c l u d e s i d e n t i f yi n g t h e c u s t o me r s a n d c o l l e c t i n g i n f o r ma t i o n a b o u t t h e a mo u n t o f ma t e r i a l t o b e e x p o r t e d , t h e p r o d u c t , p l a c e o f e x p or t s . T h e department also undertakes cargo booking, provides information on the rates, the schedules, thearrival, departure time, name of the ship, transshipment details and does the follow up.Functions i. Identifying the customers by the marketing person of this department.ii.Convincing the shipper of the services that company provides to be better than the other shipping service providers. iii. Enquire about the place or commonly referred to as the destination port to which theshipper would like to export the cargo. iv. Enquire about the type and quantity of the cargo, that he would like to export. v. The type of container and the number of containers that the shipper would like to take. vi. Analyzing the rate the shipper expects from his cargo movement . vii. Informing the shipper the rate and negotiating with him.viii.Scheduling the arrival and department time of the vessel ix. Listing out the transshipment details and do the follow up. c. Clearing and Forwarding (C & F) The main function of C&F department is to undertake the customs formalities on behalf of thee x p o r t e r s o r i mp o r t e r s . The d o c u me n t a t i o n p r o c e s s a n d c l e a r i ng a c t i v i t i e s a r e d o n e b y t h i s department.Functions i. Preparation of various kinds of bill of entry and shipping bill. ii. Arrival and clearance of vessels. iii. Determination of value for assessment. iv. Conversion of currency.

v. Nature and description of documents to be filed with kinds of bills of entry & shipping bill. vi. Procedures for assessment and payment of duties. vii. Examination of merchandize at the customs stations. viii. Prohibitions on imports and exports items. ix. Re-importation and conditions for free re-entry.x . C h e c k offences under the act xi. Refund procedures, appeals and revision petitions. d. Network Design A Logistics Network Design initiative is a strategic analysis of entire supply chain.Some of the strategic questions are: To ensure enough facilities to meet future capacity requirements? Which facilities should be closed and/or consolidated? Is there an opportunity to make changes to the network to reduce logistics costs?Develop the Current Financial Model:

Before making sensible decisions on what changes to make the network, a base case financialmo d e l n e e d s t o b e d e v e l o p e d . I t should include the costs of all logistical activities such a s Warehouse costs, Transportation costs, Inventory costs and Order Processing costs.Software Selection:Due to the complexity of this analysis, a network optimization software package is in order. Thesoftware selectionphase may be completed concurrently with the financial model-building phaseabove. One person on the project team should be responsible for sourcing the right software tomeet the projects modeling needs.Data Gathering & Validation:This is one of the key drivers to a successful project. It is imperative that the data from your current data warehouse (transactional data) be accurate. For example, when an item is receivedi n t o t h e w a r e h o u s e , a r e t h e c o r r e c t p r o d u c t c h a r a c t e r i s t i c s c a p t u r e d a c c u r a t e l y ? S o m e characteristics of interest would be cube, weight, carton dimension, hazardous materials, etc. Oneof the activities further into the project will be to create a summary of the product flows. This isaccomplished by creating family groupings of products. If the data is not

clean the flows will be misrepresented and this will affect the accuracy of the model.Analyze Current State of Operations:A throughput and capacity analysis should be completed for the existing operations. This will help determine if there is additional capacity in the existing facilities or if there is excess capacityavailable. This will help develop the scenarios later on. The impact to the other logisticaloperations may then be identified. e. Warehousing A warehouse is a commercial buildingfor storageof goods. Warehouses are commonly used bymanufacturers,importers,exporters,wholesalers,transportbusinesses,customs, e t c . Th e y a r e usually large plain buildings in industrial areas of cities and towns. They come equipped withloading dockst o l o a d a n d u n l o a d t r u c k s ; o r s o me t i me s a r e lo a d e d d i r e c t l y f r o m railways, airports,or seaports. T h e y a l s o o f t e n h a v e cranesandforkliftsfor moving goods, which are

usually placed on ISO standardpalletsloaded intopallet racks.Most warehouses are completelyautomated, with no workers working inside. The pallets and product are moved with a system of automatedconveyorsandautomated storage and retrieval machinescoordin ated by programmable logic controllersandcomputersrunninglogistics auto mations o f t wa r e . Th e s e s ys t e ms a r e o f t e n i n s t a l l e d i n refrigeratedwar ehouses wheret e mp e r a t u r e s a r e k e p t v e r y c o l d t o k e e p t h e p r o d u c t f r o m s p o i l i n g , a n d a l s o wh e r e l a n d i s e x p e n s i v e , a s a u t o ma t e d s t o r a g e s ys t e ms c a n u s e v e r t i c a l s p a c e e f f i c i e n t l y. Th e s e h i g h - b a ystorage areas are often more than 10 meters high, with some over 20 meters high.Th e d i r e c t i o n a n d t r a c k i n g o f ma t e r i a ls i n t h e warehouse is coordinated by t h e WM S , o r Warehouse Management System,a database driven computer program. The WMS is used bylogisticspersonnel to improve the efficiency of the warehouse by directing putaways and tomaintain accurateinventoryby recording warehouse transactions.Modern warehouses are also used at large by exporters/manufacturers as a point of developingretail outlets in a particular region or country. This concept reduces the end cost of the product tothe consumer and thus enhance the production sale ratio. Warehousing is an age old conceptwhich can be used as sharp tool by original manufacturers to reach out directly to consumersleaving aside or bypassing importers or any other middle agencies or person.The Warehouse are to be well guarded with safety provisions to counter pilferage, fire, floods &other calamities. The Warehouses are in

convenient locations & well connected by roads tofacilitate on time delivery to customers f. Crossdocking Containerization Crossdocking is a practice of logistics of unloading materials from an incoming semi trailer truck and loading these materials to outbound trailers or rail cars, with little or no storage in between.Th i s ma y b e d o n e t o c h a n g e t yp e o f c o n v e ya n c e , o r t o s o r t ma t e r i a l s i n t e n d e d f o r d i f f e r e n t destinations or to combine material from different origin.An increasing popular method of shipment is containerization. A container is a large box made of durable material such as steel, aluminum, plywood and reinforced plastics. A container varies insize material and construction. Its dimension is typically 8 foot high and 8 foot wide lengthsusually varying. A container can accommodate most cargo but is most suitable to packages of standard size and shape. Containers can take case of most of 4 main packing problems. Becauseof container construction, a product does not have to have heavy packaging, it gives protectionagainst:i . B r e a k a g e i i . M o i s t u r e iii.Temperatur e controlledi v . P i l f e r a g e a n d Th e f t There are mainly 2 types of containersv . D r y C o n t a i n e r s v i .S p e c i a l P u r p o s e C o n t a i n e r s Types / Size 20 Foot Dry

40 Foot Dry 45 Foot Dryvii.Open top containersviii.Flat rack for over sized cargoix.40 foot refrigerated containers/ reefersx . Hi g h c u b e containers (40 foot, 45 foot & Reefers) 3.5 Organization Structure Organization is headed by Organization Head, and all other e mp l o ye e s r e p o r t t o h i m. F i r m comprises of 12 employees for internal works and other team for activities including freightforwarding, logistics, clearing and forwarding. Organization acts as a 3PL for other firms on b e h a l f o f c a r r y/ f o r wa r d , l o g i st i c s . Wa r e h o u s e a c t i v i t i e s a r e b e i n g o u t s o u r c e d b a s e d o n t h e d e ma n d s i t u a t i o n s , a s g o o d s a r e b e i n g s t o c k e d i n d i f f e r e n t wa r e h ou s e s , a n d i s b a s e d o n

t h e customer requirements.

3.6 Business Drivers The following are the business drivers in logistical operation: a) Cost Drivers: The average materials moved by manufacturers to export market is low, butwhere as to import market is high in figure. The high technology portion reaches to 60%t o 7 2 % o f i mp or t s . Nu mb e r o f l a b o u r h o u r s

i s a f a c t o r , t o n n a g e o f i mp o r t s ; s i z e o f inventory, number of suppliers, number of batches, number of employees etc. are allmajor concern in cost. Lintas Freight and Logistics keep a major favourable concern onthe above, as from the basic get-together of employees during the off peak hours in work.I was able to figure out, employees were not happy with their present situations in officeand in the working hours. The situation has a major impact in operational stability. Thes i t u a t i o n l e a d s t o l e n g t h e n i n g / o f d e l i v e r y b i l l s a n d o t h e r ma jo r i n v o i c e f o r ms . As t o managers words, it is deciphered that situations are improving day by day. By usingA c t i v i t y B a s e d C o s t i n g ( A B C ) m e t h o d o f c o s t i n g t h e o r g a n i z a t i o n c a n i d e n t i f y unprofitable warehouse practices, other cost measures in logistics. If Lintas Freight andLogistics implement cost based on ABC, the firm can improve and eliminate unprofitablesituations, improve and implement new facilities with much broader focus on future. Toany organization cost reduction is the ultimate method to get a much wider profit. As with [CHAPTER 4] Review of Literature

t h e h e l p o f q u e s t i o n n a i r e s a n d t h r o u g h f o r ma l i n t e r v i e ws wi t h o f f i c i a l s n o t ma n y organizations have this generally. All organizations will be implementing the cost methodwithin the near future. 4. Review of Literature a. Demand Chain Management Understanding demand requires a comprehensive knowledge of your customers, You shouldk n o w wh a t p r o d u c t s / s e r v i c e s a r e d e ma n d e d b y yo u r c u s t o me r s ; h o w d o t h e y ma k e t h e i r purchases, how often they order and what constraints they face on the purchasing process. Veryfew companies have mastered this concept. Lintas Freight and Logistics was able to know all theabove concepts through considerable focus into customer needs and grievances. b. Achieving Competitiveness in Logistics, Freight, Supply Chain

R e d u c e d l e a d t i me , i n v e n t o r i e s , l o w e r o p e r a t i n g c o s t s , p r o d u c t a v a i l a b i l i t y a n d c u s t o me r satisfaction are the benefits which grow out of effective logistics and supply chain management.The decisions usually carried on by Lintas Freight and Logistics (3PL), cover both the long termand short term. Strategic decisions deal with the corporate poli cies, and look at overall designand logistic chain structure. Tactical, Operational decisions are those dealing with everydayactivities and problems of the organization. Change is the inevitable factor for each and everyday situation within and outside the organization. The decisions must take into account thestrategic decisions already in place. Therefore organization must structure the logistics ideasthrough long term analysis and at the same time focus on every time situations. Furthermore,market demands, customer needs, transport considerations and pricing constraints are the factorsin order to structure the logistics, freight. Lintas Freight and Logistics realized the fact and are prepared to face

any unexpected situations like inflation/ deflation in the economy, price factors,climatic problems etc. c. Operational Fleet Routing & Loading The organization derives routes in transportation are mainly long-haul (Optimization). For shorthaul deliveries, there are ready solutions that are tightly integrated to warehouse managementsystems (outsourced facility), to efficiently route fleets of vehicles and vessels and plan pickinga n d l o a d i n g . S t i p u l a t e d t i me wi n d o ws f o r p i c k - u p s a n d d e l i v e r i e s a n d v e h i c u l a r we i g h t a n d spatial capacities would be used, as will constraints such as delivery within specified period minutes upon pickup (useful for perishable goods). Time required at various stops - in terms of fixed time to park and variable time dependent on amount to be loaded or off-loaded - can bes p e c i f i e d . T r a v e l s p e e d s a l o n g v a r i o u s t yp e s / z o ne s o f r o a d s c a n b e s t i p u l a t e d b y t r a f f i c information services. The organization schedules arrival and departure times for each stop canthus be worked out quite accurately. Routes can be generated dynamically and ad hoc backhaulo r o t h e r o p p o r t u n i t i e s c a n a l s o b e a s s i g n e d t o t h e mo s t s u i t a b l e v e h i c l e . Th e b e n e f i t s o f operational fleet routing include considerable reduction in fleet operating cost and improvedcustomer service with better estimated arrival time. d . Vendor Managed Inventory Vendor managed inventory, coordinated by an integrated logistics system, allows inventory to beoptimized together with transportation. Lintas Freight and Logistics try to know the productvalue as well as storage capacity (mainly warehouse how much to outsource). As a routine jobthe company collects information on consumption rate, current inventory levels, forecastedd e m a n d a n d s t a t u s o f s h i pments. Thus the system can optimize the right quantities o f replenishments to be sent at the right time to ensure that service levels are maintained whileminimizing cost of inventory and transportation. e . Mode of Transportation Transportation generally is movement of product, goods, raw materials to different stages insupply chain. Essentially in supply chain logistics plays a major role, the manner in which product is moved from one location to another is through road, rail, truck, air, sea.Lintas Freight and Logistics essentially uses only 2 modes for their operation they are air ands e a . The g o o d s b e i n g d e l i v e r e d t o e n d c u s t o me r i s

b r o u g h t t o p o r t o r t o t h e p l a c e t h r o u g h containers or other methods like wagons, or cold enclosures like frozen storage. As in UAE railtransport does not exist, so it has got a relevant drawback fo r the company, as company has tostick on road for short routes and even routes between states of UAE and which is very muchexpensive and increases the operational cost. Lintas Freight and Logistics strategically managethe procurement, movement, and storage of materials, parts and finished inventory through theo r g a n i z a t i o n a n d i t s ma r k e t i n g c h a n n e l s . Es s e n t i a l l y f r o m c o mp a n i e s a n g l e , t h e r e a r e t wo categories, initially inbound logistics, i.e., handling goods that are brought into the company, t h r o u g h r o a d t r a n s p o r t a n d s t o r i n g a n d ma k i n g t h e m a v a i l a b l e . An o t h e r ma i n p h a s e i s t h e

o u t b o u n d l o g i s t ic s , t a k i n g t h e c a r g o o r t h e g o o d s t h r o u g h c h a n n e l s , a n d i s b e i n g d o n e wi t h considerable effort to various parts of the world as per the customer requirements.i . I n t e r m o d a l T r a n s p o r t a t i o n S y s t e m U s e d This is the use of one or more than one mode of transport to move a shipment toits destination. Lintas F&L use this in an efficient way. Variety used is road andsea in the case of organization. Referring to Global trade, this is the only option asfactories and markets may not be next to ports. It helps reduce cost in operation.Helps reduce cost that cannot be matched by single mode. Essentially it is veryconvenient for shippers as well as consignee.i i . A t t r i b u t e s : T h e p r i c e c h a r g e d i s r e a s o n a b l e w i t h r e g a r d t o t h e c o n s i g n e e , a s organization has got a long term relation with all the customers. Usually goods being transported are electronics and frozen stocks from warehouse. The relevantfocus is on warehouse, transportations services offered. Service is another aspectwhich focuses the advanced need of the customer, initially with proper timingmaintenance, order management. As the consignee is offered service by 3PL likeLi n t a s F & L wi t h f a v o r a b l e o r d e r ma n a g e me n t , a n d e a s e o f d o i ng b u s i n e s s i s attained by logistics organization like Lintas Freight and Logistics. f. The Challenge Faced by Organizations In todays world, competence is taking on new dimensions. The ability to compete is beingdetermined by the degree of responsiveness to customers and key issues handling. How fast youdeliver the goods/ products, what the price paid by customers and what value customer is gettingt h r o u g h o u t t h e s e r v i c e i s c o n s i d e r e d i n a s c h e ma t i c a n d o r d e r e d wa y. M a r k e t s a r e q u ic k demanding and customization of

each logistics activities is essential for each customer, and has become the essential factor in logistics management.Lintas Freight and Logistics faces lot of ups and downs in each operation and improves operationo n e a c h s i t u a t i o n w h i l e d e a l i n g wi t h e a c h c u s t o me r . Li n t a s f r e i g h t a n d Lo g i s t i c s d o mi n a n t improvement methods used are:i . W h a t a r e t h e c u s t o m e r e x p e c t a t i o n s ? ii.How are your competitors performing in each aspect of operations?iii.Determining the gaps in each p hase and try to fill it. g. Economic Ordering Quantity (EOQ) Efficient order quantities consider the Purchase Order Cost (POC), the Annual Demand rate( A D) , t h e I n v e n t o r y C a r r yi n g R a t e ( I C R ) , a n d Un i t I n v e n t o r y Vo l u me ( UI V) . La r g e O r d e r Quantities yield high inventory levels and high inventory carrying costs but fewer orders andlower ordering costs. High ordering costs and demand rates suggest large order quantities. HighICRs and high unit inventory values suggest small order quantities.Ge n e r a l ly d u r i n g r e s e a r c h t h e a n a l ys i s s h o w s , f e w o r g a n i z a t i o n s b e l i e v e E O Q a n a l ys i s i s outdated and quite few with enhanced focus on it. There is relevant need for EOQ in this era.EOQ analysis should be completed as a part of any inventory strategy. The analysis suggestsappropriate reordering intervals for all items each organization is handling. Competitors focus onr e d u c i n g t h e c o s t s o f p l a c i n g p u r c h a s e o r d e r s . Th e l o we r t h e p u r c h a s e o r d e r c o s t , t h e mo r e economical it becomes to order in small increments and the less inventory will be there in thesystem. The purchase order costs is typically dominated by the labour and paperwork costs of planning, negotiating, executing and tracking purchase orders. Large number of organizationextent to which these functions can be automated v ia automated purchase order planning, ep r o c u r e me n t , o n l i n e c a t a l o g s , o n l i n e b i d d i n g a n d o n l i n e e x c h a n g e s , i s t h e e x t e n t t o wh i c h i n v e nt o r y l e v e l s a n d l o s t s a l e s c o s t s ma y b e r e d u c e d i n t h e s u p p l y c h a i n a n d t h e r e t o t h e efficiency of logistic operations. Lintas Freight and Logistics has a considerable drawback in thisscenario comparing to the other firms. Cost is high in this situation for ordering costs to the firm. 4.2 Studies on Inventory, Back Order, Lost Sales, Stock Outs, Packaging and PackagingMaterials, Documentation from Lintas Freight & Logistics a. InventoryI n v e n t o r y i s a l i s t f o r g o o d s a n d ma t e r i a l s , o r t h o s e g o o d s a n d ma t e r i a l s t h e ms e l v e s , he l d a v a i l a b l e i n s t o c k b y a b u s i n e s s . I n v e n t o r y a r e h e l d i n o r d e r t o ma n a g e a n d h i d e f r o m t h e customer the fact that manufacture/supply delay is longer than delivery delay, and also to easethe effect of imperfections in the

manufacturing process that lower production efficiencies if production capacity stands idle for lack of materials.There are three basic reasons for keeping an inventory: Time - The time lags present in the supply chain, from supplier to user at every stage,requires that you maintain certain amount of inventory to use in this "lead time"i i . U n c e r t a i n t y Inventories are maintained as buffers to meet u n c e r t a i n t i e s i n d e m a n d , supply and movements of goods.i i i . Ec o n o mi e s o f s c a l e - I d e a l c o n d i t i o n o f " o n e u n i t a t a t i me a t a p l a c e wh e r e u s e r n e e d s i t , when he needs it" principle tends to incur lots of costs in terms of logistics. So Bulk buying, movement and storing brings in economies of scale, thus inventory. [The Management of Business Logistics, Coyle, Bardi, Langley] b. Back Order A company having to back order an item that is out of stock will incur expenses for special order processing and transportation. The extra order processing traces the back orders movement, in addition to the normal processing for regular replenishments. The customer usually incurs extratransportation charges because a back order is typically a smaller shipment and often incurshigher rates. The seller may need to ship the back ordered item a longer distance. The seller mayneed to ship the back order by a faster and more expensive means of transportation. We coulde s t i ma t e t h e b a c k o r d e r c o s t b y a n a l yz i n g t h e a d d i t i o n a l o r d e r p r o c e s s i n g a n d a d d i t i o n a l transportation expense. If customers always back ordered out of stock items, the seller could usethis analysis to estimate the cost of stockouts. The seller could then compare this cost with thecost of carrying excess inventory. [The Management of Business Logistics, Coyle, Bardi, Langley] c. Lost SalesMost companies have competitors who produce substitute products, and when one source doesnot have an item available, the customer will order from another source. In such cases the stock o u t h a s c a u s e d a l o s t s a le . Th e s e l l e r s d i r e c t l o s s i s t h e l o s s o f p r o f i t o n t h e i t e m t h a t w a s u n a v a i l a b l e w h e n t h e c u s t o me r wa n t e d i t . Th u s , a s e l l e r c a n d e t e r mi n e t he d i r e c t l o s s b ycalculating profit on one item and multiplying it by the number the customer ordered.E.g.: If the order was 100 units and the profit is 10$, the loss is 1000$.

If the effort is made by a sales man and if the effort is wasted and in that sense it is a n o p p o r t u n i t y l o s s . Wh e t h e r i n c l u d i n g s u c h a c o s t i s v a l i d wo u l d d e p e n d u p o n w h e t h e r t h e company uses sales people in its marketing effort.Another aspect is determining the amount of a lost sale may be different

and difficult in certaincircumstances. Numerous companies customarily take orders by telephone. A customer mayinitially just enquire about items availability without specifying how much is desired. If an itemi s o u t o f s t o c k , t h e c u s t o me r ma y n e v e r i n d i c a t e a q u a n t i t y a n d t h e s e l l e r wi l l n o t k no w t h e amount of the loss.d. StockoutCost incurred to a firm when current inventory is exhausted for one or more items. Lost salesrevenue costs are incurred when the firm is unable to meet current orders because of a stockoutcondition.e. Packaging and Packaging MaterialsMainly this is a main division in warehouses. Packaging interacts with the logistics system innumber of different and important ways. The size of and protection afforded by the packageaffect the type of materials handling equipment used and the level of product damage incurred.The package has an impact on the stacking height of the product in the warehouse and thereby onthe utilization and cost of the warehouse. Packaging is quite important for effective damage protection, not only in the warehouse but also during transportation. Packaging may contributenothing to a products value but its influence on logistics costs is considerable.Packaging size may affect a companys ability to use pallets or shelving or different types of materials handling equipment. Many companies design packages that are too wide or too high for efficient use of either a warehouse or transportation carrier. So, coordinating packaging withwarehousing and with transportation is quite important. We need to note, poor packaging canc o n t r i b u t e t o h i g h e r h a n d l i n g c h a r g e s a n d r e s u lt i n l o we r f u t u r e s a l e s i f t h e g o o d s a r r i v e d damaged. [CHAPTER 5] Research Methodology

Two types of packing exist: consumer packaging and industrial packaging. Consumer packaging provides information important in selling the product. i.e. giving the product most visibility when it comes with others on the retail shelf. On the other hand industrial packaging isof primary concern to the logistics. The packaging protects goods that a company will move tostore in the warehouse and also permits the company the effective use of transportation vehiclespace.Materials generally used in previous years was wood and other harder materials for no breakage, but it added considerable shipping weight to the transport and it further increasedt r a n s p o r t a t i o n c o s t . G e n e r a l l y n e w e r a h a s c o m e u p w i t h e f f i c i e n t p a c k a g i n g m a t e r i a l s , organization nowadays use most cost effective packaging with focus on security and minimizingcost.

Cushioning materials protect the product from shock, vibration, and surface damage duringhandling. Cushioning materials include shrink wrap, air bubble cushioning, cellulose wadding,and plastics. Companies often use shrink wrap for consumer packaged goods. Packaging alsohelped reduce pilferage and product tampering in warehouse and during transport. Air bubblec u s h i o n in g i s m a d e o f p l a s t i c s h e e t s t h a t c o n t a i n a i r p o c k e t s . Th e r e a r e o t h e r f a c t o r s w h i l e considering packaging they are environmental protection. They are considered in situations of perishable items like food and drugs. 5.1 Objective of the Study: To compare the effectiveness of logistics management at Lintas Freight and Logistics andto bench mark the organization with respect to the industry. To have a thorough understanding of how logistics and freight industries work. To identify the drivers behind Logistics and Freight. 5.2 Research Problem: The need for the study was to assess the effectiveness of Logistics Management in the LintasF r e i g h t & L o g i s t i c s L L C , c o m p a r e d w i t h o t h e r o r g a n ization in the same industry. The

organization also needs relevant data as to how it can improve its management policies in order to gain future market share. 5.3 Research Methodology: The type of research is analytical. Data regarding the division of logistics management such asFreight, Warehousing, Crossdocking, Network Design etc. in which Lintas Freight and Logisticsare at present in business were collected from other similar firms in the industry. The indicatorsselected are ease of service, client handling, customer service, website information, employeeefficiency in general. Other indicators for the freight and warehouse divisions are lead-time,inventory management, product availability; time elapsed in transit, operating cost and customer satisfaction. The collected data was analyzed and performance of Lintas Freight & Logistics LLCwa s e v a l u a t e d . As t o my s t u d y I b e l i e v e I h a v e s e l e c t e d t h e r i g h t mi x o f t e c h n i q u e s f o r t h e comprehensive approach, which can be suited well for the organization. 5.4 Sample Selection: C o n v e n i e n c e s a m p l i n g i s u s e d f o r s t u d y, a s I a m i n t e r e s t e d here in getting an inexpensivea p p r o x i m a t i o n o f t h e t r u t h . O p e r a t i o n s o f L i n t

a s F r e i g h t & L o g i s t i c s L L C a r e m a i n l y concentrated at large scale AL-Hamriya Port, Dubai and having its branch office in Mumbai. Thet o t a l n u mb e r s o f l o g i st i c s o r g a n i z a t i o n s i n a n d a r o u n d t h i s p o r t a r e 6 0 0 0 i n n u mb e r , w h i c h constitutes the population. Similar, 100 organizations having major operations in the Freight andLogistics have been selected as sample for the survey. The selection was based on the samplingsaid above. 5.5 Method of Data Collection: Primary Data: The major tool used was interview with managers and staff of the branch office,questionnaire was developed focusing various aspect. [CHAPTER 6] Data Analysis and Interpretation

Secondary Data: Books of Logistics Management for literature reference, Internet Web Portals,Websites of each firm, Company Brochures. 5.6 Statistical Tools: Percentage Analysis Bar Diagrams Pie Charts 5.7 Limitations of Study: A few organizations did not publish the exact values for each question especially in salesturnover and other similar figures. The study was conducted in the Mumbai area only aiming at the main Dubai Centre andconfined to the freight division of the logistics management. Certain monetary values were not being filled by organizations. Due to organizations security reasons documents like Bills, Warehouse Bills, etc couldnot be gained. M o s t o f t h e q u e s t i o n n a i r e a n s we r s w e r e f i l l e d o v e r i n t e r n e t e m a i l f a c i l i t y; t h e r e f o r e contact was through phone and emails. 6. Data Analysis and Interpretation

T h e d a t a c o l l e c t e d t h r o u g h t h e q u e s t i o n n a i r e a r e a n a l yz e d t o k n o w a b o u t t h e r e s p o n d e n t s o p i n io n s a b o u t v a r i o u s p a r t i c u l a r s a s k e d i n t h e q u e s t i on n a i r e . Th e d a t a c o l l e c t e d f r o m t he

questionnaire was entered into spread sheet and the data has been interpreted. The questionnairecomprises of fourteen questions with subparts for each.The topics covered are with decisions of each operational area, employee numbers of each firm, profitable area in operation, catering location, service offering, or ganizational effectiveness,inventory, location, product availability and customer satisfaction. a) Which are the logistics services organizations offers?

Chart-1 Service Offe

The pie chart above shows the service offer of each organization. The chart shows that 100%o f t h e r e s p o n d e n t s p r o v i d e f r e i g h t s e r v i c e a n d a l mo s t 9 0 %

p r o v i d e Wa r e h o u s i n g a n d Crossdocking. Only 66% were providing service of Network Design. Other service includesvalue adding, which represents 98% of the sample. It includes packaging, labeling etc. b) Operating with other logistical providers and reasons for decisions.Table -2 Operate With Logistical Providers S r . N o . D e c i s i o n s P e r c e n t a g e 1 O p e r a t i o n a l S t a b i l i t y 1 1 2 C o s t E f f e c t i v e n e s s 1 0 3 C u s t o m e r N e e d s 3 6 4 O t h e r 9 6 Chart-2 Operate With Logistical Providers

The pie chart above shows the mode of decisions regarding the operations. The pie chart shows88% of organizations take tactical decisions followed by 63% with operational decisions and37% strategic decisions. Most of the

organizations have a mixture of all the decisions in their dayto day as well as in long and short term plans. d) Which is the area of the activity, that organizations feel best in their service?Table-4 Best Activity S l . N o . S e r v i c e P e r c e n t a g e 1 F r e i g h t 9 8 2 W a r e h o u s i n g 8 6 3 C r o s s d o c k i n g 8 7 4 N e t w o r k D e s i g n 4 5 V a l u e A d d i n g 9 7 Chart -4 Best Activity

The pie chart above shows the best activity which organization feels in their operations. The piechart shows 98% of organizations have freight in the predominant area, followed by 86% of warehousing. Another significant

area is Crossdocking with 87% as best activity. There is only aminor activity based on network design with 4% in pie graph. Most of the organizations have amixture of all the activities in their day to day and 97% of organization says other activities bringin more revenue and the best of their activities, which includes packaging, labeling etc. e) Number of employees in each type of the service rendered of the organizationsTable-5i Employees Sl.No.D e p a r t m e n t s I n O r g a n i z a t i o n s N u m b e r o f People in EachPercentage 1 T o p M a n a g e m e n t 4 5 2 1 1 2 O p e r a t i o n s 4 6 8 1 1 3 A c c o u n t s / F i n a n c e 4 5 1 1 1 4 M a r k e t i n g 5 1 7 1 3 5 H u m a n R e s o u r c e 3 7 1 0 9 6 D o c u m e n t a t i o n / O t h e r s 1 8 4 7 4 5 Table- 5ii Employees in Lintas F&L S l . L i n t a s F & L : D e p a r t m e n t s N u m b e r o f P e r c e n t a g e

N . e p e 1

o P o l T M g n 4 o a e t 2 p n m 3

a e 1 O p e r a t i o n s 4 1 8 3 A c c o u n t s / F i n a n c e 4 1 8 4 M a r k e t i n g 3 1 4 5 H u m a n R e s o u r c e 0 0 6 D o c u m e n t a t i o n / O t h e r s 8 3 6 Table-5iii Employees % of both. TopManagementOperationsAcc./FinanceMarketingHR Documentation/Others Lintas F&LEmployeesP e r c e n t a g e 1 4 1 8 1 8 1 4 036Other OrganizationE m p l o y e e s % 1 1

1 1 Chart-5i Employees

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