Post on 07-Sep-2018
Senior Vice President
Passenger Vehicle Logistics Industry Opportunities & Challenges
RAJU KETKALE
Toyota Kirloskar Motor Pvt. Ltd, Bangalore 1/28
Co - Chairman SIAM , Logistic Group
&
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
3/28
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
4/28
(Sales Trend( ‘ 000
unit/year))
824 848 826 890 1,094 1,367 1,464
1,776 2,021 1,989
2,274
3,042 3,283
3,570 3,360 3,528
3,794
6,000
-
1,500
3,000
4,500
6,000
19
99
20
00
20
01
20
02
20
03
20
04
20
05
20
06
20
07
20
08
20
09
20
10
20
11
20
12
20
13
20
14
20
15
. ..
20
20
Global / Asia
Indian
Market
Global / Asia
Indian
Market
Indian
Market
Global / Asia
Global Recession
X 1000
Units /
Ye
ar
Promising Future > Global TOP 3 (Manufacturing)
In the Right Place…
…at the Right Time
INDIAN AUTOMOBILE MARKET
5/28
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
6/28
“Smart Toll Booths”
“ Smart Rest-Points”
MANUAL AUTOMATED
Benefits :
Reduce Traffic Congestion & Optimize Transit L /T
Reduce paper & contribute to “Swachh Bharat”
Environment Friendly
Need / Request :
Service Providers to provide Cost-Effective Solutions
Government to support Pan-India Coverage
CURRENT FUTURE
Need / Request :
Provide facilities at REGULAR Intervals, PAN-INDIA
Facility to contain
- Safe Parking Place
- Resting Facility
- Sanitation Facility
ROAD INFRA DEVELOPMENT
Benefits :
Safe & Hygienic environment
Dignity in the Driver’s profession
a) Efficiency Improvement :
( Resource Wastage : Fuel – 750 Litres /Truck /Yr, Time – 500 Hours /Truck /Yr )
7/28
“ Well Maintained ”
Express
highways (23%)
Single lane
(26%)
Double lane
(51%)
Need / Request :
Benchmark Global Standards for Road Quality
Conversion of Single Roads to 4-Lane Express Highways
* NH Ratio
79% of highways are still
Single & Double Lane roads
P
Need / Request :
To have shortest route between two locations
Avoid any obstruction to truck movement
(eg : Railway height gauges etc )
ROAD INFRA DEVELOPMENT
“ Well Planned ”
* Source : NHAI Website
b) Road Network Improvement :
8/28
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
9/28
RAILWAYS for PV LOGISTICS
Govt. Vision 2020 Current Issues :
Successful Pilot Run :
North < > South
Next Step :
Usage Improvement by all OEMs
Biggest development in
Railway policy
Automotive Freight Train Operator (AFTO)
• Enabling Private Train Operators
• Improved Efficiency (Low TAT)
• Cost effective (High Load Capacity)
ISSUES
GOVT.
PROJECTS
2%
20% ~ 25%
a. AFTO Scheme
10/28
RAILWAYS for PV LOGISTICS
Benefits : - Increased Height & Width Availability
- Higher Loading Capacity
- Higher Avg. Speed (upto 100 kmph)
- Longer Trains
Need for Sustenance & Growth :
Port Connectivity Cost Competitiveness Increase DFCs
Under
Construction
Proposal
* Source : DFCCI Website
b. Dedicated Freight Corridors :
11/28
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
12/28
0
2
4
6
8
10
2014-15 15-16 16-17 17-18 18-19 19-20
% S
hare
Govt Plan to Improve Waterway
WATERWAYS for PV LOGISTICS
Encouraging Efforts by Govt. to
Increase Inland Waterway Logistics
Possible Sea Routes
Traffic
Fuel
CO2
Benefit : Challenges :
• Geographical Constraints may limit usage
• Beneficiary OEMs to Drive Activity
Cost Competitiveness
Infrastructure
13/28
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
14/28
FLEET DIMENSION REGULATION
?
?
• Retain Smooth Logistics
• Minimum Impact to All
Current Fleet in India :
Future ?
• External Dimensions
• Internal Quality
Major Challenge :
• Trucks with different
dimensions
• No standard fabrication
OEMs
LSPs
Government
External Dimension:
Way Forward :
15/28
• No Standard / Approved Design
• Depends on Transporter’s Investment
Impact to SAFETY & Delivery Productivity :
Absence of Walking Path Weld Joint Failure No GPS – Rely on Phone Call
GAP
Standard
fabricators
INTERNAL FLEET QUALITY
• Lack of focus on Safety Requirements
• Fabrication lacking quality assurance
Design Issue : Quality Issue :
* Leg Injury
16/28
Step 1 : Select Best Quality Fleet for usage
Rectify
Rectify
17/28
FLEET QUALITY – How to Tackle ?..
Criteria :
a) Quality of Present Fleet
b) History of Issues
a) Safety features requirement
b) Quality features requirement
a) Confirm Quality
b) Standardize Design
Approved
FLEET
Fabricator Selection Design Standardization Audit
Step 2 : Control Quality at Fabrication Stage
18/28
FLEET QUALITY – How to Tackle ?..
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
19/28
CREW SHORTAGE :
IDLE FLEET :
DEMAND
AVAILABILITY
Anticipate Shortage in near Future
20/28
DRIVER DEVELOPMENT
.
. .
Low Skilled Drivers
No Formal
Training
Poor Education
Current Issue:
Inadequate safety
awareness
21/28
DRIVER DEVELOPMENT
Mind : “Teach” What is Correct
6 Step
Approach
1. Identify
Required Skill
2. Assess
Present Level
3. Perform
Gap analysis
4. Establish
Training
Schedule
5. Conduct
Training
6. Check
Effectiveness
MIND
22/28
DRIVER DEVELOPMENT – How to enhance ?..
HEART
Practical simulation Impactful Training
(“Sathyamev Jayate” Safety Episode)
Heart : “Follow” what is correct ( Learn through Fun )
Skits for drivers Roadside awareness campaign
23/28
DRIVER DEVELOPMENT – How to enhance ?..
Rest Point - Enroute
• Rest Points every 300kms
( Eliminate Night Driving )
Facility at LSP Yard
• Cooking / Entertainment points
Environment : Care and Motivate ( Your Safety First )
Ensure Proper Rest / Sanitation place
Driver’s Cooking place (TLKI) Entertainment point (TIL)
24/28
DRIVER DEVELOPMENT – How to enhance ?..
Environment : Care and Motivate ( Your Safety First )
• Rewards for Best Drivers
• No incentive cut, even for damages
• Skit / Drama demonstration
Enhance Motivation
• Enroute simulation area setup
• Defensive Driving Technique
• Risk anticipation training through
personal actual videos
DOUJO / SafetyTraining
25/28
DRIVER DEVELOPMENT – How to enhance ?..
AGENDA
• Indian Automobile Market
• Opportunities - Roadways
- Railways
- Waterways
• Challenges - Fleet
- Manpower
• Summary & Request
26/28
OEM
OEM
OEM
LSP OEM
* OEMs to join hands in
making Logistics more safe ,
efficient and cost effective
for customer delight.
* LSPs to induce
quality trucks and
make Driver feel the
Importance by
* Educate
* Counsel
* Reward
* Government to support by
* Infra development
* Uniformity in regulation
* Appropriate Lead time
for Rule Enforcement
Request
HAPPY
CUSTOMER
Safe operation
Best Quality
Timely delivery
Optimum cost
SUMMARY & REQUEST
27/28