Logistic Project Reports

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    TABLE OF CONTENT

    Particulars PAGE No.

    Preamble 02

    Objective 03

    Executive Summary 04

    Company Profile 05

    Organizational structure 12

    Methodology 13

    Kanban 14

    IUTN Dispatch 22

    Vehicle TAT 25

    3PL Inventory 31

    IUTN Vehicle transit time 32

    Critical Vehicle deployment 33

    Conclusion & Recommendations 34

    References 35

    PREAMBLE

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    Logistics MIS gives us a trend analysis of logistics activity. On basis of this analysis

    logistics department takes appropriate action and achieve good efficiency in operation. In this

    context logistics MIS plays very important role. To have a good logistics MIS we have to

    consider below points:

    1) Flow of information along with operations (Activity)

    2) Authenticity of information flow.

    3) Methodology of data capturing.

    4) Methodology of data consolidation.

    5) Methodology of data analysis

    6) Methodology of MIS presentation.

    Logistics is an essential to all companies. It includes freight transportation, materia

    handling, warehousing and order processing, packaging and data processing. It uses advanced

    information systems and expertise to reduce inventories, cut transportation costs, speed delivery

    and improve customer service.

    OBJECTIVE

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    The objective of this project is to study logistics reports of Thermax at Pune. The aim of

    the project is to study, analyze and recommend change in the repots. It includes following

    reports as follow

    Kanban efficiency

    IUTN Vehicle Deployment

    3PL Inventory Report

    IUTN Vehicle Transit Time

    Critical Vehicle Deployment

    This project helps to understand detailed activity included in each report and to analyze

    existing format of the report. The main objective of this project is to allocation of resource

    (time, cost, human resource), enhance visibility with information linkage, use common standard

    document and code, support interoperability with each organization system, and reduce usage of

    document paper, saving operating cost.

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    EXECUTIVE SUMMARY

    This project looks to evaluate and study logistics MIS at Thermax. This project will bring

    internal benefits to companies, creating wider benefits to subsidiary companies, leading to a

    reduction in external costs. Good logistics reports bring savings, increase efficiency , reduce

    waste, improve accountability ,meet the delivery dates more frequently, carry less inventory

    meet customer request dates 95% of the time and integrate supply chain commitment with

    product availability on time.

    The development of standardize logistics reports has helped companies. Standardize

    logistics repots is required to apply same format of report and analyze particular activity. As a

    consequence of this, it is necessary for companies to develop standardize logistics reports.

    Hence there is a focus on the standardization of logistics repots as companies recognize the

    potential synergies that exist between them.

    Company profile

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    Thermax Ltd. is an INR 4,935 crore (USD 1.11 Billion) company, providing a range of

    engineering solutions to the energy and environment sectors. They are headquartered in Pune,

    India and operate globally through 19 International offices, 12 Sales & Service offices and 4

    Manufacturing facilities - three of which are in India and one in China.

    Our presence spans 75 countries across Asia Pacific, Africa and the Middle East, CIS

    countries, Europe, USA and South America. Tuning to the needs of the day, all our solutions are

    innovative, energy-efficient, environment-friendly and easy to operate.

    Solutions Suite Innovative and Eco-friendly

    Our solutions specifically focus on:

    Heating equipment - using a variety of fuels, including biomass

    Absorption chillers - fired by waste heat or steam

    Power and captive cogeneration plants

    Waste heat recovery units

    Waste water management systems pre-treatment, waste water treatment

    and chemical conditioning of water, sewage effluent treatment and recycling

    Air pollution control systems

    Performance improving chemicals

    Product Range Diverse and Efficient

    From our experience of over three decades in the energy sector, we offer a range of

    boilers and thermal oil heaters, energy chillers and customized products like exhaust gas boilersThermax absorption chillers have found a niche in green energy systems in Europe and

    Australia. We also help industries reduce energy costs by shifting to abundantly available

    alternate energy such as biomass.

    Industry-specific Solutions Clean and Green

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    Thermax provides industries with clean technologies that recover pollutants; thereby

    reducing their hazardous impact on the environment. Today, many iron & steel, cement

    fertilizer and chemical industries reduce emissions using our air pollution control systems.

    Industries in the US and Japan consistently use our hi-grade ion exchange resins for

    specialised applications.

    Project Management Capabilities

    Our project management capabilities extend to setting up energy-environment projects for

    customers in several markets. This is backed by a robust and innovative R&D setup, involved

    in technology development and adaptation for various industrial applications.

    Technology Partnerships

    Over the years, Thermax has formed technology partnerships with global majors

    including: Babcock & Wilcox (USA), Kawasaki Thermal Engineering (Japan), Balcke Durr

    (Germany), Eco-Tech (Canada) and Georgia Pacific (USA).

    Thermax is committed to Conserving energy and preserving the environment', two areas

    vital for the world. We support industry and business establishments to be energy efficient and

    environment-friendly.

    The products and services we offer must be developed, sold and serviced through the eyes

    of the customer and measured by their voices. If we are obsessed with the quality of our

    products and services and our customer, growth and profit are bound to follow.

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    We are convinced that all businesses need to focus on growth and profit else, they cannot

    exist. However, we also realise that if business is run solely on growth and profit, it will die,

    since there is no purpose for its existence.

    Group at a Glance

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    Milestones:

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    1966

    Wanson India starts operations in Pune, manufacturing small coil-type packaged boilers

    (Vaporax), in collaboration with Wanson, Belgium.It was the first year of operations; the

    company employed 145 people and posted a turnover of INR 20.00 lakhs. A S Bhathena was

    appointed Managing Director.

    1973

    Wanson receives its first export order for 10 paint booths to the former USSR. Multitherm

    India's first packaged water tube boiler for Indian coal, is developed by Wanson R& D.

    1975

    Thermax gets into the water treatment business, to complement its boiler business.

    1976

    Thermax acquires Tulsi Fine Chemicals, which later became the Chemical division of the

    company.

    1979

    In a synergistic move, Thermax starts the Enviro division for Air Pollution Control equipment.

    1980

    Wanson India becomes Thermax Pvt Ltd. Conserving energy, preserving the environment

    was adopted as the corporate vision.

    1981

    R D Aga appointed Chairman and Managing Director of Thermax Pvt Ltd.

    1985

    Anu Aga begins her career in Thermax with the Human Resources department.

    1986

    The company launches the Thermax Service Franchise Scheme, a first of its kind in India.

    1987

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    Thermax introduces vapour absorption machines in collaboration with Sanyo, Japan.

    1989

    The company forms the joint venture Thermax Babcock & Wilcox Ltd.

    1992

    Combined Heating and Power Group (CHAP) is formed which later became the Cogen division

    1994

    Tata McGraw-Hill publishes R D Agas book Changing the Mindset - Reflections of a Chief

    Executive.

    1995

    On February 15, 1995 Thermax goes public with an issue (IPO) of 60,88,700 equity shares. The

    issue was over subscribed seven times.

    1996

    February 16 - R D Aga passes away after a heart attack in Mumbai.

    February 19 - Anu Aga is appointed as Executive Chairperson.

    August - Thermax bags the single largest contract for captive power, water treatment and

    absorption cooling from Arvind Mills. The order value - INR 136 crores.

    December - the Energy & Environment Research Centre is inaugurated.

    2000

    June - Thermax acquires boiler company, M E Engineering Ltd, in UK.

    July 21 - Prakash Kulkarni takes over as the Managing Director of the company.

    August 2000, the company forms its Executive Council.

    September - Thermax gets ISO 14001 certification for its manufacturing facility at Chinchwad.

    2001

    On January 15, 2001, the Thermax board is reconstituted with four independent directors, three

    non-executive promoter directors and one full-time director.

    In March 2001, Thermax starts subsidiary company, Thermax Inc, in the US.

    In June 2001, Thermax posts a net loss of INR 13.22 crores.

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    In August 2001, Thermax announces a VRS scheme as part of its restructuring exercise. In all,

    420 employees opted for the scheme.

    2002

    April - Thermax gets ISO 14001 certification for its chemical plant at Paudh. In the same

    month, Thermax announces turnaround results with a net profit of INR 24 crores.

    August 19 - Thermax declares 50% dividend, the highest since going public.

    2003

    February 13 - Dr. N D Joshi's Best innovator award Instituted.

    Shree Cement Project completed in a record time of 17 months. Thermax wins Performance

    bonus from the customer.

    March - Anu Aga honoured with Lifetime Achievement Award by Financia

    Express/Electrolux.

    2004

    Thermax registers highest ever profit after tax of INR 54 crores.

    Launches Project Evergreen to consolidate its leadership position in India and prepare for globa

    leadership in chosen fields. McKenzie appointed as consultants in this transformation exercise.

    Thermax buys out Babcock & Wilcox stake in Joint venture; opens office in China. Thermax

    ranked No.3 among the top ten places to work (Business Today/Mercer Survey).

    Anu Aga retires as Chairperson and Meher Pudumjee takes over.

    2005

    Thermax top line grows by 62% and achieves a Group turnover of INR.1281 crores.

    International business of Thermax grew by 70% to INR 352 crores.

    Thermax launches 14 new products and applications during the year.

    To achieve synergies in related business, the companys six core businesses are restructured into

    three groups Cooling & Heating, Chemicals & Water and Projects.

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    Thermax among the 20 Indian companies featured in the Forbes Asia List of Asias Best under

    a Billion companies. Thermax wins a performance bonus cheque of INR 1 crore from Madras

    Cement Ltd for fast track completion of its captive power plant.

    2006

    Thermax posts a record profit of INR 123 crores, up by 77% over the previous year.

    Thermax group turnover touches INR 1606 crores. The Thermax R&D team wins the national

    award for the most innovative product at ACREX 2006, the HVAC event. The Award was for

    designing Trigenie, the dual-heat input absorption chiller that works on exhaust gas and other

    heat sources like steam or hot water.

    Meher Pudumjee honoured with the Young Achiever award by Financial Express. Work

    begins on an additional manufacturing facility at Vadodara, Gujarat to cater to the growing

    business of the Boiler and Heating business.

    Incorporates wholly owned subsidiary in China (Thermax Zhajiang) to expand its China

    operations and begins work on a manufacturing plant for vapour absorption machines in

    Jaixing, near Shangai

    The FES organizational structure:

    12

    PRESIDENT

    HUMAN RESOURSES

    INTERNATIONAL

    MARKETING

    ACCOUNTING,

    FINANCE & IT

    PRODUCT DEVELOPMENT ANDRESEARCH SERVICES

    PRESIDENTS OFFICE

    BUSINESS PLANNING

    C.E.O.

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    METHODOLOGY OF PROJECT PLAN

    1. Process introduction:

    In first meeting the list of the project reports are collected and read about logistics

    activity.

    2. Logistics Activity List

    The list of activity involved in project is as follow:

    Kanban efficiency

    IUTN Vehicle Deployment

    3PL Inventory Report

    IUTN Vehicle Transit Time

    Critical Vehicle Deployment

    3. Source of Data:

    13

    SALES ANDMARKETING

    BUSINESS

    EXCELLENCE PRODUCT

    QUALITY

    ENGINE APPLICATION&

    BUSINESS POWEROL

    SHUBH LABH

    SERVICES

    COMPONANT

    DEVELOPMENT

    AND

    MFG & S.C.P.C

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    Sr. No Logistics Activity Source of Data

    1 Kanban Efficiency Supply Module

    2 IUTN Vehicle Deployment Thermax Logistic

    3 Critical Vehicle Deployment Thermax Logistic

    4 3PL Inventory Reports Thermax Logistic

    5 IUTN vehicle Transit Time Supply Module

    6 Vehicle Turn Around Time Dock manifest

    4. Actual Operating of Activity :

    Actual Operating of Activity along with their analysis and recommendation is as follow

    Kanban

    Kanban(in kanji also in katakana, where kan, /, means "visual," and

    ban, /, means "card" or "board") is a concept related to lean and just-in-time (JIT)

    production. The Japanese word kanban is a common term meaning "signboard" or

    "billboard". According to Taiichi Ohno, the man credited with developing JIT, kanban is a

    means through which JIT is achieved.

    Kanban is a signaling system to trigger action. As its name suggests, kanban historically uses

    cards to signal the need for an item. However, other devices such as plastic markers (kanban

    squares) or balls (often golf balls) or an empty part-transport trolley or floor location can also

    be used to trigger the movement, production, or supply of a unit in a factory.

    It was out of a need to maintain the level of improvements that the kanban system was

    devised by Toyota. Kanban became an effective tool to support the running of the production

    system as a whole. In addition, it proved to be an excellent way for promoting improvements

    because reducing the number of kanban in circulation highlighted problem areas.

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    The term kanban describes an embellished wooden or metal sign which has often been

    reduced to become a trade mark or seal. Since the 17th century, this expression in the

    Japanese mercantile system has been as important to the merchants of Japan as military

    banners have been to the samurai. Visual puns, calligraphy and ingenious shapes or

    kanban define the trade and class of a business or tradesman. Often produced within rigid

    Confucian restrictions on size and color, the signs and seals are masterpieces of logo and

    symbol design. For example, sumo wrestlers, a symbol of strength, may be used as kanban

    on a pharmacy's sign to advertise a treatment for anemia.

    In the late 1940s, Toyota was studying supermarkets with a view to applying some of their

    management techniques to their work. This interest came about because in a supermarket the

    customer can get what is needed at the time needed in the amount needed. The supermarket

    only stocks what it believes it will sell and the customer only takes what they need because

    future supply is assured. This led Toyota to view earlier processes, to that in focus, as a kind

    of store. The process goes to this store to get its needed components and the store then

    replenishes those components. It is the rate of this replenishment, which is controlled by

    kanban that gives the permission to produce. In 1953, Toyota applied this logic in their main

    plant machine shop.

    An important determinant of the success of production scheduling based on "pushing" the

    demand is the quality of the demand forecast which can receive such "push". Kanban, by

    contrast, is part of an approach of receiving the "pull" from the demand. Therefore the

    supply, or production is determined according to the actual demand of the customers. In

    contexts where supply time is lengthy and demand is difficult to forecast, the best one can do

    is to respond quickly to observed demand. This is exactly what a kanban system can help: it

    is used as a demand signal which immediately propagates through the supply chain. This can

    be used to ensure that intermediate stocks held in the supply chain are better managed,

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    usually smaller. Where the supply response cannot be quick enough to meet actual demand

    fluctuations, causing significant lost sales, then stock building may be deemed as appropriate

    which can be achieved by issuing more kanban. Taiichi Ohno states that in order to be

    effective kanban must follow strict rules of use[4] (Toyota, for example, has six simple rules,

    below) and that close monitoring of these rules is a never-ending problem to ensure that

    kanban does what is required. Toyota's Six Rules are:

    Do not send defective products to the subsequent process

    The subsequent process comes to withdraw only what is needed

    Produce only the exact quantity withdrawn by the subsequent process

    Equalize production

    Kanban is a means to fine tuning

    Stabilize and rationalize the process

    A simple example of the kanban system implementation might be a "three-bin system" for

    the supplied parts (where there is no in-house manufacturing) one bin on the factory floor

    (demand point), one bin in the factory store and one bin at the suppliers' store. The bins

    usually have a removable card that contains the product details and other relevant

    information the kanban card. When the bin on the factory floor becomes empty, i.e., there

    is demand for parts, the empty bin and kanban cards are returned to the factory store. The

    factory store then replaces the bin on the factory floor with a full bin, which also contains a

    kanban card. The factory store then contacts the suppliers store and returns the now empty

    bin with its kanban card. The supplier's inbound product bin with its kanban card is thendelivered into the factory store completing the final step to the system. Thus the process will

    never run out of product and could be described as a loop, providing the exact amount

    required, with only one spare so there will never be an issue of over-supply. This 'spare' bin

    allows for the uncertainty in supply, use and transport that are inherent in the system. The

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    secret to a good kanban system is to calculate how many kanban cards are required for each

    product. Most factories using kanban use the coloured board system (Heijunka Box). This

    consists of a board created especially for holding the kanban cards.

    TWO BIN SYSTEM IN FACTORY

    Bin 1 Bin 2

    Full FullUse

    started

    Trigger

    to vendor

    Use

    Started

    Trigger

    to vendor

    Use

    Started

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    Milk Run :

    Milk runs being deployed for local & outstation suppliers.

    Concept ensures pick up of vendor parts on a daily basis or at a set frequency matched to the

    vendor scheduling system ( two bin / ftvq / fqvt / schedule based)

    Consolidation godowns at both ends with defined stocks

    Minimum stocks at plant

    Material always in transit

    Even in cases of delays on the road, stocks in godown & in hand on-hand provide necessary

    buffer.

    Prevents stock outs

    Reduces inventory drastically.

    Implemented at Nasik plant for local suppliers and north based suppliers

    Trial runs started for local suppliers at Kandivali.

    Daily replenishment :-

    Concept

    Daily replenishment of Parts to stores

    Daily collection of parts from vendor by Milk run concept

    Importance is given to Transit lead time

    Daily replenishment + milk run methodology

    Buyer sends weekly pickup plan to vendor & transport

    This plan is divided on day wise basis based on PPC plan

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    As per plan, transport goes to vendor at pre-decided time & picks of supply

    After vehicle leaves transport informs buyer of pick up position by electronic

    mail in pre-decided concept.

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    Comparison of Milk run features with normal batch dispatch

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    21

    Normal batch Milk run

    1. Dispatch More than 1 vehicle

    from same location

    Common vehicle from

    same location

    2. Godown May be required Not required3. Frequency of

    dispatch

    Weekly/fortnightly

    Not fixed

    Daily, bi weekly -

    decided

    4. System

    implementation

    Independent Plant, transport & vendor

    together

    5. Inventory at

    vendors end

    Not decided Decided & agreed upon

    6. Transit lead time Not decided Decided & agreed upon

    7. Signal of nonconformance

    No signal Immediate signal bytransport

    8. Safety in case of

    Material

    not supplied

    Not known Safety stock is built in

    the system

    9. Inventory at plants

    end

    Fluctuating Steady within band

    10. Re-ordering Based on monthly

    schedule

    Based on daily usage /

    kanban signal11. Freight cost No control Reduce due to

    consolidation

    12. Possibility of

    Returnable

    crate introduction

    Less Can be built in the

    system

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    KANBAN EFFICIENCY

    RECOMMENDATIONS:

    Reasons for non delivery of kanban trigger should be display so that particular action can

    be easily taken. Also data should be presented according to module wise i.e. how much trigger given for

    engine, tractor, transmission and for component development and material management.

    The recommended format is as follow

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    DataF11

    MonthKanbanTriggerGiven

    KanbanTrigger

    FulfilledActual % Target %

    April 262 226 86% 98%

    May 774 687 89% 98%

    DataF10

    MonthKanbanTriggerGiven

    KanbanTrigger

    FulfilledActual % Target %

    May 1183 781 66% 98%

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    IUTN DIPATCH PROCEDURE:-

    Material movement from one plant to another plant is term as Inter Unit Transfer Note

    (IUTN) / Stock Transfer.

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    Supplymodule

    Trigger Given Trigger Delivered%

    Delivered

    Engine

    Tractor

    Transmission

    CDMM

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    IUTN Vehicle Deployment

    Data F11 IUTN Sheet Metal IUTN Transmission

    MonthVehicle

    RequiredVehiclePlaced

    %Vehicle

    RequiredVehiclePlaced

    %ActualTotal %

    Target

    April 292 284 97% 142 141 99% 98% 98%

    24

    Start

    IUTN dock sends their vehicle requirement to Thermax

    Logistic

    Thermax Logistic compiles vehicles requirement.

    Thermax Logistics ask Transporter to deploy

    vehicle.

    Transporter deploy vehicle as per MLs requirement.

    Thermax Logistic captures the vehicle deployment data

    End

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    May 312 265 85% 182 162 89% 86% 98%

    Data F10 IUTN Sheet Metal IUTN Transmission

    MonthVehicle

    RequiredVehiclePlaced

    %Vehicle

    RequiredVehiclePlaced

    %ActualTotal %

    Target

    May 216 201 93% 144 141 98% 95% 98%

    ANALYSIS:

    Vehicle deployment adherence is not 100% .Need to ensure 100% vehicle placement.

    Quality of vehicles not satisfactory.

    Placement of market vehicles is not suitable for our requirement.

    Time schedule adherence for placement is not satisfactory.

    Heavy market dependence.

    ACTION:

    Vehicle should be placed as per requirement of concern department on time.

    Time schedule adherence for placement to be improved & monitored

    Vehicle detention to be monitored closely at all plants.

    Reputed transporter required to be in circulation

    RECOMMENDATION:

    The data should be presented shift wise that will help to analyze the data and take

    corrective action. (Vehicle placed at 1st shift or 2nd shift or 3rd shift.)

    The format for above mention recommendation is as follow.

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    VEHICLE TURN AROUND TIME

    LOADING PROCEDURE:-

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    DataF11 IUTN Sheet Metal

    Month

    VehicleRequire

    d

    Vehicle

    Placed

    Required at 1st

    shift

    Placedat 1ndshift

    Required at 2nd

    shift

    Placedat 2ndshift

    Actualtotal % Target

    April 292 284

    May 312 265 85%

    DataF10 IUTN Sheet Metal

    Month

    VehicleRequire

    d

    Vehicle

    Placed

    Required at 1st

    shift

    placedat 1ndshift

    Required at 2nd

    shift

    placedat 2ndshift %

    May 216 201 93%

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    27

    Start

    Transporter comes at concern department for sign on gate

    pass by cell member.

    Vehicle come in and placed on dock (dock in time)

    Actual loading take place

    Preparation of challan.

    Checking of security copy and

    challan.

    Vehicle leave the dock.(dock out time)

    Transporter went to excise office to takeexcise challan.

    Checking of challan by cell member

    Preparation of gate pass.

    Vehicle reports at gate No. 3

    Stop

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    UNLOADING PROCEDURE:-

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    29

    Start

    Supplier vehicle reported at

    gate No. 3

    Preparation of gate pass.

    Conformation about material at concern

    department by driver.

    After getting conformation vehicle come at concern

    department.

    Driver report to receiving cell member to register vehicle

    dock in time.

    Material unload on dock

    Verification of physical material with challan andsign by cell member

    Preparation of G.R. (good receipt) at material receivingdock

    Vehicle leave the dock

    (Dock out time)

    End

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    VEHICLE TURN AROUND TIME

    Turn Around Time is the time difference between dock in time and dock out time.

    Data F11 Avg TAT in hrs

    Month Unloading Loading Total Target

    April 6.84 9.68 8.26 6.00

    May 7.63 9.02 8.33 6.00

    Data F10 Avg TAT in hrs

    Month Unloading Loading Total Target

    April 8.68 6.14 7.41 6.00

    May 8.91 12.23 10.57 6.00

    ANALYSIS:

    Pallet, space for loading and unloading not available.

    Sometime beans are not available on time. The beans coming after dispatch are not in

    good condition, so they can not be use for loading.

    More time is wasting in documentation like gate pass, challan. Good receipt etc.

    Decision on sending vehicle to godown is taken after detaining the vehicle the vehicle

    which.

    Rejection material remains pending on the dock which increases unloading time for

    vehicle coming after that.

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    Hoice (use for lifting the material) is covering 80% of vehicle so remaining loading is

    done by hands which increase loading time of Torous (big vehicle).

    ACTION:

    System to be designed and implement for pallet, space, beans optimum utilization.

    No vehicle to be send to Godown after detention.

    Supply module to ensure correct schedule of vehicle.

    Simple system to be installed for process of documentation.

    Create separate space for the rejection material.

    Increase the hoice capacity so that it can cover 100% vehicle in case of loading and

    unloading.

    RECOMMENDATION:

    Parato analysis chart should be included which would show the reasons

    Count of Reason fordetention

    Reason for detention forunloading

    Total

    Pallet Short 51 58% 58%

    Space Constraint 21 24% 82%

    Document Issue 4 5% 87%

    Late Reporting 4 5% 92%

    Mathadi Not Available 3 3% 94%

    Project Store Time 2 2% 97%

    ASN issue 1 1% 98%

    Babu not available 1 1% 99%

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    Vehicle Break down insidethe plant

    1 1% 100%

    Grand Total 88 100%

    32

    Parato delay at unloading

    0%

    20%

    40%

    60%

    80%

    100%

    120%

    Reasons

    %%

    Cumm %

    % 58% 24% 5% 5% 3% 2% 1% 1% 1%

    Cumm % 58% 82% 87% 92% 94% 97% 98% 99% 100%

    Pallet ShortSpace

    Constraint

    Document

    Issue

    Late

    Reporting

    Mathadi Not

    Available

    Project

    Store TimeASN issue

    Babu not

    available

    VehicleBreak down

    inside the

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    33

    Count of Reason for detention

    Reason for detention for loading Total

    Material not ready 12 46% 46%

    Doc. Not ready 10 38% 84%

    Documents delay at Transmission 1 4% 88%

    Pallet short 1 4% 92%

    TRACTOR NOT READY 1 4% 96%

    Vehicle placed at Engine dock for Loading Camshafts. Not loaded. 1 4% 100%

    Grand Total 26 100%

    Parato delay at loading

    0%

    20%

    40%

    60%

    80%

    100%

    120%

    Reasons

    %

    %

    Cumm %

    % 46% 38% 4% 4% 4% 4%

    Cumm % 46% 84% 88% 92% 96% 100%

    Material not

    readyDoc. Not ready

    Documents delay

    at TransmissionPallet short

    TRACTOR NOT

    READY

    Vehicle notplaced at

    Loading

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    3PL INVENTORY REPORT

    ANALYSIS:

    34

    Plant Month 0-30 31-60 61-90 91-120 > 120 TotalInventory %

    > 60 days Target

    DataF11

    FES Mar60

    03

    73

    47

    630

    71,05

    4 39.60% 0% after 60 days

    FES Apr52

    79

    11

    41

    726

    691

    4 32.45% 0% after 60 days

    FES May76

    09

    02

    7 523

    01,11

    1 23.54% 0% after 60 days

    DataF10

    Plant Month 0-30 31-60 61-90 91-120 > 120 TotalInventory %> 60 days Target

    FES Mar1,26

    844

    611

    96

    93

    61,93

    8 12% 0% after 60 days

    FES Apr1,34

    539

    617

    06

    23

    32,00

    5 13% 0% after 60 days

    FES May98

    931

    612

    86

    24

    71,54

    2 15% 0% after 60 days

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    Material is store for longer time due to change in production plan

    Shelf life for rubber item is deteriorated due to longer storage

    CD (component development) inventory is increasing due to less

    consumption &no place for storage at CD storage.

    ACTION:

    Response on Inventory liquidation from CD needs to improve.

    I UTN VEHICLE TRANSIT TIME :

    OBJECTIVES:

    Material movement from KND to other FES plants to fulfill production input requirement

    within standard Transit Time ensuring timely delivery of the material in good condition to other

    plants as per the requirement

    DataF11 IUTN Nagpur IUTN Rudrapur

    Month GDS Normal SGDS GDS Normal SGDS Total % Target

    April 46% 85% 0 77% 98% 23% 98%

    May NA NA NA 78% 95% 0% 98%

    RECOMMENDATION:

    To make the table more understandable for normal person, two columns must be added.

    1st Vehicle Placed

    35

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    2nd . Vehicle reached within Transit Time

    CRITICAL VEHICLE DEPLOYMENT

    Data F11

    MonthVehicle

    RequiredVehiclePlaced

    Actual % Target %

    April 141 141 100% 98%

    May 497 449 90% 98%

    Data F10

    MonthVehicle

    RequiredVehiclePlaced

    Actual % Target %

    April 98%

    May 273 273 100% 98%

    ACTION: Buyers to ensure that there is no detention at Suppliers end.

    ML to get geared up for timely placement.

    System for traceability of intransit vehicles to be put in place by ML.

    RECOMMENDATION:

    Format should be as follow

    SM Vehicle required Vehicle placed % deployment

    Engine

    36

    F 10

    IUTN Nagpur

    GDS Normal

    Month Vehicle Placed

    Vehicle reached

    within Transit

    Time Vehicle Placed

    Vehicle

    reached within

    Transit Time Total %

    Target

    %

    April 100 46 100 85 65 98

    May

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    Tractor

    Transmission

    CDMM

    CONCLUSION & RECOMMENDATION:

    Current MIS system is good. The data capturing in current system is manual and in such casesthere are chances of making human errors. It is advisable to have system base (IT Base)

    logistics information flow so as to have transparency, authenticity in data.

    System base information flow may help

    Transparency of Data

    Authenticity

    Improve accountability

    Logistics Efficiency

    Up to date status of Logistics operations

    Less fire fighting

    .

    37

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    REFERENCES

    www.google.com

    Thermax logistic manual.

    Thermax logistic reports.