A PROJECT REPORT

ON
“A STUDY ON LOGISTIC (SUPPLY CHAIN).”
PROJECT WORK SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR
THE AWARD OFTHE DEGREE OF
MASTER OF MANAGEMENT STUDIES IN
OPERATION

SUBMITTED BY
SURAJ SURESH PATIL
PIN: ARMIET/MMS17/PS020

UNDER THE GUIDANCE OF

PROF.MR. PRATHMESH PATIL

Alamuri Ratnamala Institute of Engineering and Technology (ARMIET),

Affiliated to
UNIVERSITY OF MUMBAI

Department of Management Studies

ACADEMIC YEAR
2018

1
 CERTIFICATE

This is to certify that the dissertation/project entitled “A STUDY ON

LOGISTIC (SUPPLY CHAIN)” submitted by MR.SURAJ SURESH
PATIL bearing PIN ARMIET/MMS17/PS020on ___th day of October 2017
in partial fulfillment of the requirement for the award of the Degree of
Master of Management Studies of University of Mumbai, is a bonafide to
work to the best of my knowledge and may be placed before the
Examination Board for their consideration.

________________ __________________

MR.PRATHMESH PATIL EXTERNAL EXAMINAR

INTERNAL EXAMINAR

2
 DECLARATION

I, SURAJ SURESH PATIL, studying in second year semester III of Master of

Management Studies Course at Alamuri Ratnamala Institute of Engineering and
technology, Asangaon, hereby declare that I have completed the project titled
SUMMER INTERNSHIP AT A STUDY ON LOGISTIC ( SUPPLY CHAIN) as a
part of course requirement for MMS programme.

I further declare that the information presented in this project is true and original to the
best of my knowledge.

Date : signature
Place: SURAJ SURESH PATIL.
Roll No. ARMIET/MMS17/PS020

3
 ACKNOWLEDGEMENT

It gives me great pleasure to submit this project to UNIVERSITY OF MUMBAI as a part of MMS
course.

With deepest gratitude, I take this opportunity to acknowledge the co-operation, support and valuable
guidance extended by college faculty and from various departments of DEVOTION AND
DEDICATED CONSULTANCY PVT LTD.

I would like to specially mention and honestly appreciate the co-operation and support provided by my
industry guide Mr. ADNAN NAIK (OPERATION HEAD – DAD CONSULTANCY PVT. LTD)
without their support this project could not have been completed.

I also sincerely acknowledge the support & insight extended by Ms. JAYESH PATIL ( MARKETING
HEAD )

Finally, sincere thanks to Prof. PRATHMESH PATIL for his encouragement & inputs throughout
the Summer Internship.

Thank you.
SURAJ SURESH PATIL.
MMS (2017-19)
Alamuri Ratnamala Institute of Engineering and technology, Asangaon.

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Table of contents

1 INTRODUCTIONTOLOGISTICS ..................................... 1
1.1 Meaningoflogistics……………………………………… 1
1.2 Origin and DefinitionofLogistics……………………….. 3
1.3 Importance oflogisticmanagement……………………… 4
1.4 Logistics Management and Supplychain……………….. 6

2 BACKGROUNDOFDEVOTION AND DEDICATED ...... 9

2.1 HistoryofDEVOTION AND DEDICATED ........................... 10
2.2 The world's largest express andlogisticsNetwork ..................... 11
2.3 The DEVOTION AND DEDICATEDIndianProfile ............... 12
2.4 Product and servicesofDEVOTION AND DEDICATED ....... 14

3. INTEGATEDLOGISTICSSYSTEM .................................... 16
3.1 InventoryFlow .......................................................................... 17
3.2 InformationFlow ...................................................................... 18
CoordinationFlow ................................................................... 18
Operatingflow ......................................................................... 20

4. SUPPLYCHAINMANAGEMENT ......................................... 21
4.1 DEVOTION AND DEDICATED
InternationalSupplychain……………………………. 23
ReverseLogistics………………………………………………… 24
ServicesLogistics………………………………………………… 25
InboundtoManufacturing……………………………………… 26
MedicaldeviceDistribution………………………………........ 27
Distribution to storeManagement…………………………..... 27
Engineeringresponse………………...................................... 27
5
4.2 Extended Supply ChainServices……………………………

6
 28
4.3 Implementation Services …………………………………..
29
4.4 PerformanceManagement………………………………… 30
4.5 Outsourcing Projects ……………………………………….
30
4.6 Innovation of SupplyChaindevelopment .................................. 31
4.7 SolutionforCustomizeendtoendlogisticworldwide……. 33

5 TRANSPORTATION………………………………... 36
5.1 Transportationfunctionality………………………………. 37
5.2Principles………………………………………………….. 38
5.3 TransportationInfrastructure……………………………… 40
5.4 OPTIMIZATION OF LOGISTICS WITH DEVOTION AND
DEDICATEDROAD AND RAIL. SOLUTIONS ............................. 44
5.5 Air and oceanfreightsolutions ................................................... 45

6 INVENTORY MANAGEMENT&WAREHOUSING. 47
6.1 WarehouseInfrastructureNetwork…………………………. 48
➢ Multi UserCenters…………………………………………….. 48
➢ StrategicPartCenters(SPC)………………………………… 49
➢ ExpressLogisticsCenters(ELC)……………………………. 49
6.2 Warehouse ManagementSolution…………………………. 50
➢ WarehouseManagementSystems……………………………. 50
➢ Strategic InventoryManagement………............................. 50
➢ Direct ExpressInventoryManagement…………………... 50
➢ RepairReturnInventoryManagement……………………... 51
➢ CrossDocking…………………………………………………. 51
6.3 InventoryOptimization……………………………………. 52

7
6.4 Special Warehousesolution……………………………….. 54
6.5 OutsourcingProjects.…………………………………….... 55

7 VALUE-ADDEDSERVICES ................................................. 56
7.1 Co-Packaging ........................................................................... 56
7.2 ProductAssembly ..................................................................... 58
7.3 Other-Value addedService………………………………... 59
7.4 ExternalPerformanceMeasurement .......................................... 60
7.5 CustomerPerceptionMeasurement ............................................ 60

8 Worldwide ParcelExpress…………………………………. 61

9. Recommendation…………………………………………... 63

10Conclusions ................................................................................. 64

11Bibliographies……………………………………………… 65

8
INTRODUCTION
MEANING OF LOGISTICS:
Logistics is concerned with getting the products and services where they
are needed and when they are desired. It is difficult to accomplish any
marketing or manufacturing without logistical support. It involves the
integration of information, transportation, inve ntory, warehousing,
material handling, and packaging.

The operating responsibility of logistics is the

geographical repositioning of raw materials, work in
process, and finished inventories where required at
the lowest cost possible.Logistics is practiced for ages
since organized activity began. Without logistics
support no activity can be performed to meet defined
goal. The current challenge is to performlogistics
scientifically in order to optimize benefits to the organization. Logistics
is a planning function of management. Logistics function is concerned
with taking products and services where they are needed and when they
are needed.

10
LOGISTICS MANAGEMENTS:
Logistics management is that part of the supply chain which plans,
implements and controls the efficient, effective, forward and backward
(reverse) flow and storage of goods, services and information between
the point of origin and the point of consumption in order to meet
customers' requirements rather to the customers’ delight. A professiona l
working in the field of logistics management is called alogistician.

Logistics, as a business concept, evolved only in the 1950s. This was

mainly due to the increasing complexity of supplying one's business
with materials, and shipping out products in an increasingly globalize
supply chain, calling for experts in the field who are called Supply
Chain Logisticians. This can be defined as having the right item in the
right quantity at the right time at the right place for the right price and to
the right target customers (consumer);and it is the science of process
having its presence in all sectors of the industry. The goal of logistics
work is to manage the fruition of project life cycles, supply chains and
resultant efficiencies. Logistics is Concerned with getting (or
transmitting) the products and services where they are needed or when
they are desired. Itis difficult to accomplish any marketing or
manufacturing without logistical support. It involves the integration of
information, transportation, inventory, warehousing, material handling,
and packaging. The operating responsibility of logistics is the
geographical repositioning of raw materials, work in process, and
finished inventories where required at the lowest costpossible.

11
ORIGIN & DEFINITION OF LOGISTICS:
The term "logistics" originates from the ancient Greek "Zóyoç"
("logos"—"ratio, word, calculation, reason, speech, oration"). Logistics
is considered to have originated in the military's need to supply
themselves with arms, ammunition and rations as they moved from their
base to a forward position. In ancient Greek, Roman and Byzantine
empires, there were military officers with the title ‘Logistikas’ who were
responsible for financial and distribution ofsupplies.

The Oxford English dictionary defines logistics as: “The branch of

military science having to do with procuring, maintaining and
transporting material, personnel and facilities.”

The American Council of Logistics Management defines logistics as”

the process of planning, implementing a nd controlling the efficient and
effective flow, and storage of goods, services and related information
from the point of origin to the point of consumption for the Purpose of
conforming to customer requirements.”

12
 Importance of logistics managements:

1. Logistics is the bed rock of trade andbusiness.

• Without selling and or buying there can be no trade and business.

Buying and or selling takes place only when goods are physically
moved into and or away from the market.

• Take away logistical support trade and business willcollapse

2. Integrates logisticalactivities

In conventional management environment, various activities of logistics

work in isolation under different management functions. Each pocket
trying to sub optimizes its objectives at the cost of overall organizational
objectives. Purchasing trying to purchase at minimum price at the cost
of what is needed by operations. Operations produce large quantities at
minimum production cost ignoring demand leading to doom inventory.
Logistics function of management brings all such functions under one
umbrella pulling down inter departmentalbarriers.

3. Competitiveedge:

In the fiercely competitive environment logistics provides the edge. Due

to technological revolution most of the products are moving into
commodity markets. In a commodity market where price is controlled
by competition, where there is no product differentiation in terms of
quality parameters like performance &reliability, where brands are
almost irrelevant, competitive edge is tha t of availability of product and
service in terms of time, place andquantity.

13
4. Leads to customer satisfaction

Through superior customer service. Organizational objectives of P

[Productivity],Q [Quality],C [Cost],D [Delivery],E [Employee
Morale],F [Flexibility],S [Safety],H [Health],E [Environment] are set to
meet customerexpectations.

5. Supports critical functions like operations andmarketing

Strong logistics support enables a company to move towards JUST IN

TIME production system for survival in a highly competitive market

6. Logistics wins or loseswars

• British lost American war of independence due topoor logistics

• Rommel was beaten in the desert by superior logistics ofAllies

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Logistics Managements and Supply Chain:
SCM and logistics management, the definitions made by the Council of
Supply Chain Management Professionals, CSCMP (former Council of
Logistics Management, CLM) SCM is defined as “Supply chain
management encompasses the planning and management of all
activities involved in sourcing and procurement, conversion, and all
Logistics Management activities. Importantly, it also included
coordination and collaboration with channel partners, which can be
suppliers, intermediaries, third-party service providers, and customers.
In essence, Supply Chain Management integrates supply and demand
management within and across companies “Supply chains encompass
the companies and the business activities needed to design RFDn, make,
deliver, and use a product or service. Businesses depend on their sup ply
chains to provide them with what they need to survive and thrive. Every
business fits into one or more supply chains and has a role to play in
each of them. The pace of change and the uncertainty about how
markets will evolve has made it increasingly i mportant for companies to
be aware of the supply chains they participate in and to understand the
roles that they play. Those companies that learn how to build and
participate in strong supply chains will have a substantial competitive
advantage in their markets. Supply chain management is the
coordination of production, inventory, location, andtransportation among
the participants in a supply chain to achieve the best mix of
responsiveness and efficiency for the market being served. There is a
difference between the concept of supply chain management and the
traditional concept of logistics. Logistics typically refers to activities
that occur within the boundaries of a single organization and supply
chains refer to networks of companies that work togetherand coordinate

15
their actions to deliver a product to market. Also traditional logistics
focuses its attention on activities such as procurement, distribution,
maintenance, and inventory management. Supplychain management
acknowledges all of traditional lo gistics and also includes activities such
as marketing, new product development, finance, and customer service.
In the wider view of supply chain thinking, these additional activities
are now seen as part of the work needed to fulfill customer requests.
Effective supply chain management requires simultaneous
improvements in both customer service levels and the internal operating
efficiencies of the companies in the supply chain. Customer service at
its most basic level means consistently high order fill rat es, high on-time
delivery rates, and a very low rate of products returned by customers for
whatever reason. Internal efficiency for organizations in a supply chain
means that these organizations get an attractive rate of return on their
investments in inventory and other assets and those they find ways to
lower their operating and salesexpenses.

16
Company Profile

17
INFORMATION

DEVOTION AND DEDICATEDis the global leader in logistics - with

more highly experienced professionals at more locations in more count ries
than any other provider. His goal is to build strong, long-term partnerships
with customers by providing world class services, across all
ouroperations.In India, they have formed a new joint venture - DEVOTION
AND DEDICATEDLemuir Logistics, which consolidates their position as
the leader in International Freight Forwarding, Supply Chain Management,
Project Transport and Customs Brokerage. They are the first choice
for companies looking for end to end logistics solutions and high quality
servicing capabilities. Aft er joining forces with Excel in 2005, they are
now also the sector's leading innovator - providing the extraordinary range
of cutting-edge solutions. His logistics customers include over 75% of the
worlds largest quoted non-financial enterprises. These organizations trust
us with their brands and reputations not simply because they are the
worldwide market leader, but because they strive to deliver globally
consistent services of the highest quality,

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 History and background of DEVOTION AND
DEDICATED
➢ DEVOTION AND DEDICATEDare the first letters of the last names of
the three company founders, Adrian Dalsey, Larry Hillblom and
RobertLynn.

➢ In 1969, just months after the world had marveled at Neil Armstrong's
first steps on the moon, the three partners took another small step that
would have a profound impact on the way the world doesbusiness.

➢ The founders began to personally ship papers by airplane from San

Francisco to Honolulu, beginning customs clearance of the ship's cargo
before the actual arrival of the ship and dramatically r educing waiting
time in the harbour. Customers stood to save a fortune. With this
concept, a new industry was born: international air express, the rapid
delivery of documents and shipments byairplane.

➢ The DEVOTION AND DEDICATEDNetwork continued to grow at an

incredible pac e. The company expanded westward from Hawaii into the
Far East and Pacific Rim, then the Middle East, Africa and Europe. By
1988, DEVOTION AND DEDICATEDwas already present in 170 coun
tries and had 16,000employees.

➢ At the beginning of 2002, Deutsche Post World Net became the major
shareholder in DEVOTION AND DEDICATED. By the end of 2002,
DEVOTION AND DEDICATEDwas 100% owned by Deutsche Post
World Net. In 2003, Deutsche Post World Net consolidated all of its
express and logistics activities into one single brand,DEVOTION AND
DEDICATED

19
The world's largest express and logistics Network

DEVOTION AND DEDICATEDis a global expertise in express, air and

ocean freight, overland transport and logistics solutions; DEVOTION
AND DEDICATEDcombines worldwide coverage with an in-depth
understanding of localmarkets.

Below are the global facts and figures that show you the scale of the
world's largest express and logistics network.

DEVOTION AND
DEDICATED Express
worldwide
Employees more than 124,000
Countries and territories more than 220
Hubs 36
Bases 4700
Vehicles 72,000
Aircraft 350
Pack stations (only Germany) 900

DEVOTION AND
DEDICATED Logistics in
figures
DEVOTION AND DEDICATED logistics
worldwide more than 162,500
Employees *
DEVOTION AND DEDICATED Global
Forwarding
Countries and territories 150
Terminals, warehouses, offices 813
Air freight volume 4,409,000 tones
Ocean freight volume TEU ** 2,764,000
DEVOTION AND DEDICATED Excel Supply
Chain
Countries and territories 59
Centers, warehouses, terminals 2500
Storage area sqm 23,000,000

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DEVOTION AND DEDICATED Freight
Countries and territories more than 30
Full truckload movements p.a. 2,000,000
Terminals more than 160

21
DEVOTION AND DEDICATED INDIA CORPORATE PROFILE
DEVOTION AND DEDICATEDWorldwide Express (India) Pvt Ltd is
the No.1 international air express services provider in India, a position it
has held since it began its India operations in 1979. Today, DEVOTION
AND DEDICATEDoffers its customers the entire spectrum of express
services from international air express to high end logistics solutions
including repair and return, strategic inventory management and direct
express inventory. DEVOTION AND DEDICATEDIndia has over
50,000 customers serviced through DEVOTION AND DEDICATED's
national network with i ts 1,000 strong ground staff, fleet of 400 vehicles
and dedicated service centers in Ahmadabad, Bangalore, Chennai,
Cochin, Jaipur, Hyderabad, Kolkata, Mumbai, New Delhi, Pune and
Tripura. Acknowledged for its innovative solutions and pioneering
initiative s, DEVOTION AND DEDICATEDIndia has many firsts to its
credit including India's first and only 24 -hour customer service call
center, the first to introduce customized solutions such as Jumbo Box,
Junior Jumbo, Import Express and Fashion First for customers in the air
express industry, as well as the first to provide track and trace services in
India via email, via SMS or via the Internet and WAPphones.

22
Facilities:

DEVOTION AND DEDICATED India has an outstanding reputation in

the market for providing a reliable, fast and easy-to-use service.
DEVOTION AND DEDICATED offers-

Highly trained and professional staff, committed to being responsive to

all customers’ needs

➢ Customer Service Agents, available round-the-clock, 365 days of the

year, to serve customers whenever and wherever they needthem

➢ Electronic pre-clearance of shipments throughCustoms

➢ Five international gateways providing direct-to-air networks and
faster sorting of inbound and outboundshipments

DEVOTION AND DEDICATEDIndia is a proven facilitator of trade,

across the globe. His strength lies in our global network and the know-
how of our people. Backed by strategic alliances with world-class
partners and the innovative use of technology, they strive to continuously
improve the quality of our service. Our services range from fast,
responsive and cost effective express deliveries toe-commerce fulfillment
and intelligent logistics solutions. DEVOTION AND DEDICATED Core
Services consist of door-to-door air express delivery of documents and
parcels of all sizes (and weight), both into and out of thecountry.

23
Products and services of DEVOTION AND DEDICATED:

DEVOTION AND DEDICATED Document Express (DOX):

This service is ideal for shipments that are not subjected to Customs
declaration at destinations, or have no commercial value or do not
require alicense.

DEVOTION AND DEDICATED Express Worldwide Package (WPX)

This service is used for shipments with commercial value or those,
which must be declared for Customs evaluation. They may be subjected
to Customs inspection at destinations and may be taxable ordutiable.

Jumbo Pack and Jumbo Junior:

This service makes exporting easy. One box dispatched for on e flat fee,
anywhere in the world. DEVOTION AND DEDICATEDJumbo Box is
for shipments under 25kg and Jumbo Junior for shipments less than10kg.

Import Express:
This service is a single window solution for all importing needs.
DEVOTION AND DEDICATED Import Express is a one window, one
rate, and one account, one currency service that enables a shipment
picked up from the supplier's doorstep overseas and delivered directly to
the customer anywhere in the world. And what's more, it allows the
customer to maintain total control of your importing costs.

24
Fashion First:
Fast Forward is the revolutionary new service of DEVOTION AND
DEDICATEDfor moving heavy goods that brings increased efficiency
and delivers greater cost savings for Indian importers and exporters. It
facilitates the import and export of shipments weighing 20kg and above
by providing significant savings with a wide range of innovative and
flexible door -to-door solutions. Another feature of Fast Forward is Trade
Automated Services (TAS), an online platform that provides
comprehensive trade and customs information in 50 key countries
worldwide, calculates total landed costs of a shipment (including duty,
tax and other customs related charges), generates import and export
documentation, screens senders and receivers against government lists
pertaining to emb argoes and sanctions, and compares an item's export
and import clearance costs and regulations to enable qualifying sourcing
decision. Fast Forward is specially developed after extensive research and
designed to meet the unique needs of industries such as Automobiles,
Electronics, Heavy Engineering, Publishing andTextiles.

25
INTEGRATED LOGISTICS
Logistics is viewed as the competency that links an enterprise with its
customers and suppliers. Information from and about customer’s flows
through the enterprise in the form of sales activity, forecasts and orders.
As products and materials are procured, a value added inventory flow is
initiated that ultimately results in ownership transfer of finished
products to customers. Thus the process is viewed in terms of two inter-
related efforts, inventory flow and informationflow.

Inventory flow

Suppliers Physical Manufacturing

distribution support

Customers

Information flow

26
Inventory Flow
The managementof logistics is concerned with the movementand storage
of materials and finished product s. From the initial purchase of a
material or component, the logistical process adds value. By moving
inventory when and where needed. Thus the material gains value at each
step. For a large manufacturer, logistical operations mayconsist of
thousands of movements, which ultimately culminate in the delivery of
the product to an industrial user, wholesaler, dealer orcustomer.

In order to understand logistics it is useful to divide it into three areas:

➢ Physical distribution

➢ Manufacturingsupport

➢ Procurement
For DEVOTION AND DEDICATED:

DEVOTION AND DEDICATEDis completely service oriented therefore

it does not have its own material movement but that of the customers the
sender, the receiver and also the intermediateries. That means it only
involves physical distribution and procurement. Procure ment also
includes the material needed for packaging such as paper, moulded trays
and boxes, wooden crates, standard containers wraps, plastic inlays etc.
The materials or the goods collected from the senders (including
papers, documents, physical goods like clothing, household good,
chemicals, exotic animals etc) are weighed, checked for condition, and
depending upon its various characteristics it is packed. The goods are
then dispatched to their destinations. There is no value addition to the
material it self but it is done to the service which is provided (e.g. if there
has to be a certain package delivered from India to UK the normal
services wouldtake

27
 about 2 days whereas as a super fast delivery would be done in about 9
hours)

Information flow
Information flow identifies specific locations within a logistical system
that have requirements. Information also integrates the three operating
areas. The primary objective of developing and specifying requirements
is to plan and execute integrated logistical operations.

Logistical information involves two major types of flows:

1. Coordinationflows

2. Operationflows

1. Planning and coordinationflows

Coordination is the backbone of the overall information system.

Strategic objectives:
Strategic objectives detail the nature and location of customers, which
are matched to the required products and services to be performed.

For DEVOTION AND DEDICATED

It implies estimating the time requires for collecting the goods from the
door step of the sender and then estimating the time for the goods to
reach the finalcustomer.

28
Forecasting
Forecasting utilizes historical data, current activity levels, and planning
assumptions to predict future activity levels. Logistical forecasting is
generally concerned with relatively short –term predictions.

The overall purpose of information planning/coordination flow is to

integrate specific activities within a firm and to facilitate overall
integrated performance.

For DEVOTION AND DEDICATED

DEVOTION AND DEDICATED’s whole business is dependent on

the vital point of timely delivery. Based on the distance to the final
receiver, the accessibility, the documentations and procedures that need
to be handled etc they have fine tuned the process of delivery. They can
accurately gauge how much time it will take for the goods to reach its end
destination.

29
2. . Operational flows
The second aspect of information requirements is concerned with
directing operations to receive, process, and ship inventory as required
supporting customer and purchasing orders. Operational requirements
deal with

➢ Ordermanagement
➢ Order processing
➢ Distributionoperations
➢ Inventorymanagement
➢ Transportation andshipping
➢ Procurement

For DEVOTION AND DEDICATED:

DEVOTION AND DEDICATEDowns its success for the efficiency with
which the operations are carried out. Here not only the company but the
sender and sometimes the receiver can track the goods through their
information center. They are given a certain password which they can use
to trace via online or their customer servicehelpline.

30
Supply Chain Management
Definition for supply chain management

“Supply chain managementis the managementof upstream and

downstream relationships with suppliers and customers to deliver
superior customer value at less cost to the supply chain as a whole.”
Explanation:
The supply chain is the network of organizations that are inv olved
through upstream and downstream linkages, in the different processes
and activities that produce value in the form of products and services in
the hands of ultimate consumer.( in detail mentionabove)
For DEVOTION AND DEDICATED:
Supply chain Optimization

30
Good design is at the heart of an effective supply chain solution.
DEVOTION AND DEDICATED has developed a reputation for
consistently developing innovative solutions that streamline operations
and improve control. T heir in-house teams have contributed to the
solutions design of some of the world's leading brands and enabled to win
keycontacts.

DEVOTION AND DEDICATEDsolutions design team offers a wide

portfolio of expertise and services, from logistics network strategy,
transport des ign, warehouse design and simulation, through to
operational improvement and inventoryanalysis

International Supply Chain

Extended Supply Chain Services
Implementation Services

Outsourcing Projects

31
1. International Supply Chain:

DEVOTION AND DEDICATED’s international supply chain

management solutions are focused on helping customers take increased
control of international inbound supply chain to maximize the value of
international and globalsourcing.

DEVOTION AND DEDICATED helps customers:

➢ Give visibility of the upstream supply chain, and enable earlier decision
making

➢ Create a more agile supply chain, better able to respond to changes in

consumerdemand

➢ Reduce lead times, inventories, and associated storagecosts

Customer-focused solutions are built up from the following core

services:

➢ Origin management, including: vendor management; supplier

collections; customs brokerage; consolidation services and value -added
services

➢ Global forwarding, including: air/ocean/road/ra il freight forwarding and

management; European managedtransport

➢ Destination management, including: port and demurrage management;

customs brokerage; de-consolidation and pre-retail services; port to
distribution centre transportation; direct store delive ry (USonly)

➢ Supply chain visibility and management, including: purchase order

management; RFID product tracking; exception management; planning
and forecasting; inventorymanagement.

➢ Global forwarding services are provided across all majorroutes.

32
 Logistical services that are offered.

➢ ReverseLogistics

➢ ServicesLogistics

➢ Inbound toManufacturing

➢ Medical devicedistribution

➢ Distribution to storesManagement

➢ EngineeringResponse

a.)Reverse Logistics
DEVOTION AND DEDICATED’s reverse logistics solutions help
customers plan, implement and control flow of materials and manage
related information, back up the supply chain to recapture values and
ensure the safe disposal of goods. Items include the recovery of obsolete or
non -operational white goods such as refrigerators, plus the removal of old
furniture on delivery of new or replacement products.

Services include:

➢ Roll in Management: de-installation of finished goods at the customer's

site

➢ Returns Management: receiving, sorting, verifying and managing

returnedproducts

➢ Express Delivery: Exchange of Dead On Arrivalproduct

33
b.) Service logistics

Service and replacement parts DEVOTION AND DEDICATED’s

service and replacement parts service involves the management of
manufacturers' replacement parts delivered to and from customers
according to pre -defined service levels or warranty agreements on a one,
two, four or eight-hour and next-day basis, 24 hours a day, seven days a
week.

DEVOTION AND DEDICATED works closely with customers to

overcome common issues such as:

➢ Poor partsavailability

➢ High inventoryinvestment

➢ Long lead times, accentuated by globalsourcing

➢ High levels of customerreturns

➢ Poor visibility, reporting andcontrol

➢ Cost control of the demandchain

Key services include:

➢ International freight forwarding

➢ Domestic and regional inbounddeliveries

➢ Inventory planning, forecasting, procurement andanalysis

➢ Distribution centreoperations

➢ Outbounddelivery

The entire process is underpinned by a web-enabled electronic order

processing and order monitoring tool.

34
c.) Inbound to Manufacturing
Inbound to manufacturing is the complete end -to-end logistics
management of inventories, facilities and labour associated with the
inbound flow of materials from vendors and supplier origins to
consumption points in manufacturers production lines.

The service encompasses:

➢ Network, transportation and facility design

➢ Inventoryoptimization

➢ Suppliermanagement

➢ Transportationmanagement

➢ In-plant services

Key to the service is integrating manufacturers' forecasting, order

management and supply chain execution processes with their component
suppliers. DEVOTION AND DEDICATEDimplements warehouse
management and supply chain event management systems to manage just-
in-time deliveries and allow supply chain participants to exchange forecast
requirements in realtime

Value is created for manufacturers and component suppliers

throughout the worldby:

➢ Enabling a robust and cost-effective supply chain

➢ Providing the necessary visibility so tha t the location of all
components within the supply chain is known to all supply chain
participants
➢ Reduce inventory and investmentcosts
➢ Improve delivery times
➢ Co-ordinate multiple components moreefficiently

35
d.) Medical Device Distribution

DEVOTION AND DEDICATEDcountry-based warehouses for a number

of manufacturers to service a local customer base. This includes the receipt
of product from local or global manufacturing sites and downstream
distribution tohospitals.

e.) Distribution to stores management

DEVOTION AND DEDICATEDdistributions to store services are focused

on helping retailers create efficient and flexible supply chains to deliver
product to retail outl ets at high levels of service. These solutions are built
from several core services: reverse logistics collections; sortation; proces
sing; repair/refurbishment; value recovery; disposal andcompliance.

f.) Engineering Response

Through our Engineering Response services, we manage the materials

supply chain from works planning and inbound goods through to on -site
works, delivering stock out to engineers, builders and construction
workers in thefield.

36
2. Extended supply chainservices

DEVOTION AND DEDICATEDnot only provides physical logistics

services but also manages other enhanced supply chain services,
improving efficiencies and reducingcosts.

a.)Order Management
Receipt, management, execution, sequencing and dispatch of orders in a
timely manner.

b.)Call Center Management

A Call Centre managesorders, monitors sales activities, provides
customer services and functions as a Help -desk.

c.)Global Inventory Management

DEVOTION AND DEDICATED gives the customer a global view of
inventory, thus enabling informed decisions regarding the disposition of
stock.

d.)Consolidated Billing Services

The creation of a consolidated and categorized invoice, based on all
services performed in a specific time-period by more than one service
provider, made available in an agreed format.

e) Freight & Customs Solutions

DEVOTION AND DEDICATED's many years of experience with
international trade requirements and formalities, combined with the
European Competence Centre and country expertise, gives customers the
leading edge in service, quality and management in cross
bordertransactions.

37
2. ImplementationServices:
a. Implementation and ProjectManagement
Implementation starts by defining project aims, setting the targets and
describing the deliverables in detail. The major topics in implementation
include business processes, engineering, real estate, IT systems,
migration, HR, finance and legal considerations.

b. QualityManagement

Total Quality Management is a management strategy that integrates

quality orientation into the whole structure and workflow of a company
by using methods and techniques of quality management

Corporate Policy for Quality, Environment, Health and Safety

(QEHS) is based on five corporate values:

➢ Customer satisfaction: Providing our customers and their customers

with excellent, high value logisticssolutions

➢ Employee motivation: Building on the know-how and stimulation of

individual potential in multi-culturalteams

➢ Operational excellence : Continuous improvement of processes and

services to fulfill or exceedexpectations

➢ Corporate citizenship: Acting as a responsible corporate citizen in all

countries

➢ Shareholder reward: Developing a sustainable business to provide

increasing shareholder value

Globally, DEVOTION AND DEDICATED management systems are certified

according to the international standard for quality management systems ISO 9000
in almost every operating unit.

38
Performance Management:
Performance management is a key part of the supply chain. Measured
elements are reviewed as a system, as each component interacts with all
the other parts around it. Performance measuring not only records
historical performance but also provides early indication of any service
slippage. In this second role, the measures provide a valuab le
contribution to DEVOTION AND DEDICATED's Continuous
ImprovementProgramme.

Outsourcing Projects
Outsourcing involves DEVOTION AND DEDICATED taking over and
managing previous in-house logistics operations, including:

➢ Distributioncenters
➢ Transport operations
➢ Back-office functions
➢ Supply chain managementfunctions
➢ After sales services

39
Innovative Supply Chain Development
Supply Chain Management services are delivered across industry
sectors and provide expertise, knowledge and resources in terms of
personnel and supply chain tools. All services are targeted at optimizing
logistical operations in both process and strategy, and are aligned to the
client's commercial expectations.

The services are as follows:

➢ Strategic LogisticsConsulting

➢ Lead LogisticsProvider

➢ Consulting and providing Transport optimization: Route-Pro and

Trans-Pro

➢ Consulting and providing Supply ChainDesign

➢ Consulting and providingTransportation

➢ Engineering, optimization andre-engineering

➢ Implementation and ProjectManagement

➢ ProcessManagement

➢ Outsourcing

DEVOTION AND DEDICATED’s consulting services also offer re-

organization of customer facilities, project management for customers,
impleme ntation of new IT Systems, creation of tender documents and
tender processing.

40
Supply Chain Re-engineering

DEVOTION AND DEDICATEDworks with customers to review supply

chain efficiencies. One of the main tasks is to evaluate cost efficiency to
ensure that costs are being driven down throughout the contract duration.
Data analysis allows DEVOTION AND DEDICATEDto provide
customers with 'what if modeling' or the impact of changing the
businessrules.

After Sales Optimization

Optimizing return logistics and spare parts logistics as well as

maintenance and repair services.

Vehicle Management Services

Our vehicle management services focus on the management of sales and

marketing support programmes for automotive manufacturers.
Combining a range of services and systems to deliver a global response,
they help you overcome challenges at the end of the automotive supply
chain.

Distribution to Stores Management

DEVOTION AND DEDICATED’s distribution to store solutions are

focused on helping retailers create efficient and flexible supply
chains to deliver product to retail outlets at high levels of services

These solutions are built from several core services including reverse
logistics:

➢ logistics networkstrategy

➢ warehouse design andsimulation

➢ Transportmodeling.

41
 DEVOTION AND
DEDICATED
Solution

Solution for customized

End-to-end logistics
worldwide.

42
Best-in-class solutions that deliver
Value to your supplychain.
DAD So/utions offers customized /ogistics so/utions for your
entire supp/y chain. Our comp/ete overview – from
manufacturer/supp/ier to retai/er to consumer – enab/es you
to achieve operationa/ exce//ence at every stage. Services
range from consu/ting and design to management and
execution. They provide industry-specific expertise and /ong-
term experience that add va/ue to your business. DAD
So/utions sets the pace in Supp/y Chain Management with
state-of-the-art techno/ogies, de/ivering customized business
so/utions. Leading edge /T systems ensure seam/ess
integration and guarantee fu// transparency and contro/
throughout the entire supp/ychain.

Customized Logistics Solutions.

Supply Chain Analysis, design and engineering.

Management Lead Logistics Provider (LLP) and
Lead Service Provider (LSP)services.

Warehousing Engineering, design and management.

Vendor management, just in time.

Value Added Order management, quality control,

Services outbound fulfillment, reverse and
return logistics and other services.

Outsourcing Industry-specific local and

transnational. Network and fleet
planning andoptimization

Distribution Take-over and management of in-

house logistics including distribution,
transport, back-office, supply chain
and after sales.

43
DAD Supply Chain, Corporate Information Solutions
This division consists of contract logistics services
and Corporate Information Solutions (Williams Lea).
Both business units focus on tailor-made customer
solutions.
The business unit Supply Chain provides
warehousing and transportation services as well as
value-added

solutions along the entire supply chain for customers from various sectors
of industry, including the key automotive, life sciences, technology, fast -
moving consumer goods, retail, and fashion sectors. The subsidiary
Williams Lea is the heart of the business unit Corporate Information
Solutions. The expert for document-based outsourcing solutions gathers,
digitalizes, prints, stores, sorts, addresses, envelops, dispatches and
archives documents of all types. Williams Lea is also the right point of
call for electronic invoicing and marketingservices.

44
TRANSPORTATION

Transportation is the most visible of all functions of logistics and high

contributor to logistics cost. We can see trucks, containers and
wagonloads of material being moved from place to place as an activity
directly associated with trade and business. We should also appreciate
that this is an activity that adds highest amount of cost to the activity of
making inputs and outputs available to consumers. Transportation
function moves the products to meet customer expectations at minimum
cost. Transportation is one of the most visible elements of logistics
operations. Transportation provides 2 major functions:
productmovement&product storage.

Product Movement
Whether the product is in the form of materials, components,
assemblies, work-in-process, or finished goods, transportation is
necessary to move it to the next stage of the manufacturing process or
physically closer to the ultimate consumer. A primary transportation
function of product movement is moving up and down the value chain.
Since transportation utilizes temporal, financial, and environmental
resources, it is important that items be movedonly when it truly enhances
the product value. Transportation involves the use of temporal resources
because product is inaccessible during the transportation process. Such
product, commonly referred to as in-transit inventory, is becoming a
significant consideration as a variety of supply chain strategies such as
just – in – time and quick response practices reduce manufacturing and
distribution centerinventories.

45
Transportation uses financial resources because internal expenditures
are necessary for private fleets or external expenditures are required for
commercial or publictransportation.

The major objective is to move product from an origin location to a

prescribed destination while minimizing temporal, financial and
environmental resource costs. Loss and damage expenses must also be
minimized. At the same time the movement must take place in such a
manner that meets customer demands regarding delivery performance
and shipment informationavailability.

Product Storage:
Temporary storage in stationary vehicles or Vehicles kept moving
on a circuitous route - Product storage is expensive in a transport
vehicle. But sometimeskeeping overall cost in mind this is adopted.

A. When unloading and loading is more expensive thanstorage

B. When storage space is limited. [Situation when inventory levels are

veryhigh]

46
Principles
There are two fundamental principles guiding transportation
management and operations. They are economy of scale and economy
of distance.

Economy of scalerefers to the characteristic that transportation cost

per unit of weight decreases when the size of the shipmentincreases.

E.g. truckload shipments cost less per pound than less -than-truckload
shipments. It is also generally true that larger capacity transportation
vehicles such as rail or water are less expensive per unit of weight than
smaller capacity vehicles like motor or air. Transportation economies of
scale exist because fixed expens es associated with moving a load can be
spread over the load’s weight. The fixed expenses include
administrative costs of taking the order; time to position the vehicle for
loading or unloading, invoicing and equipment cost. These costs are
fixed because they do not vary with shipmentvolume.

E.g.supposethecosttoadministerashipmentis$l0.00.Thenthel-
poundshipmenthasaperunitofweightcostof$l0.00,whilethel,000
poundshipmenthasaperunitofweightcostof$0.0l.Thus,itcanbe
saidthataneconomyofscaleexistsforthel000-poundshipment.

47
Economy of distancerefers to the characteristic that transportation
cost per unit of distance decreases as distance increases.

E.g. a shipment of 800 miles will cost less than two shipments (of the
same combined weight) of 400 miles. Transportation economy of
distance is also referred to a se tapering principle since rates or charges
taper with distance. The rationale of distance economies is similar to
that for economies ofscale.

Longer distances allow the fixed expenses to be spread over more miles,
resulting in lower overall per milecharge. These principles are important
considerations when evaluating alternative transportation strategies or
operating practices. The objective is to ma ximize the size of the load
and the distance that is shipped while still meeting customer
serviceexpectations.

48
Transport Infrastructure
Transportation infrastructure consists of the rights-of-ways, vehicles,
and carrier organizations that offer transportation services on a for-hire
or internal basis. The nature of the infrastructure also determines a
variety of legal and economic characteristics for each mode or
multimodal system. A mode identifies the basic transportation method
or form.

RAIL NETWORK
Since olden times, railroads have handled the largest number of ton -
miles. As a result of the early establishment of a comprehensive rail
network connecting almost all the cities and towns, railways dominated
the intercity freight tonnage till World War II and in some cases of
Europe, Asia and Africa they even connected the countries. This early
superiority enabled railways to transport large shipments very
economically.

MOTOR CARRIERS
Highway transportation has increased rapidly since the end of Wor ld
War II. This is because Motor carrier industry results from door-to-door
operating flexibility and speed of intercity movement. They are even
flexible because they can operate on each and every kind of roadways.
In comparison to railroads, motor carrie rs have relatively small fixed
investments in terminal facilities and operate on publicly maintained
highways. Although the cost of license fees, user fees, and tolls are
considerable, these expenses are directly related to the number of over -
the-road units and miles operated. The variable cost per mile for motor
carriers is high because a separate power unit and driver are required for
each trailer or combination of tandem trailers. Labor requirementsare

49
also high because of driver safety restrictions and the need for
substantial dock labor. Motor carriers are best suited to handle small
shipments moving shortdistances.

WATER TRANSPORT

It is the oldest mode of transportation. First it was the sailing vessels,

which was replaced by steamboats in early 1800’s and by diesel power
in the 1920’s. Domestic water transportation – involves the Great
Lakes, canals, and navigable rivers. In every country, fewer system
miles exist for inland water than any other transportationmode.

The main advantage of water tr ansportation is the capacity to move

extremely large shipments. Water transport employs 2 types of vessels.
Deep-water vessels, which are generally designed for Ocean and Great
Lakes use, & are restricted to deep-water ports for access. In contrast,
diesel-towed barges, which generally operate on rivers and canals, have
considerably more flexibility. Water transport ranks between rail and
motor carrier in the fixed cost aspect. Although water carriers must
develop and operate their own terminals, the right -of-way is developed
and maintained by the government and results in moderate fixed costs as
compared to railways and highways.

The maindisadvantage of water transport is the limited range of operation

and speed. Unless the origin and destination are adjac ent, supplement
haul by rail or truck is required. The capability to carry very high cargo at
an extremely low variable cost places this modeof transport in demand
when low freight rates are desired and speed of transit is a
secondaryconsideration.

50
AIR TRANSPORT

Air transport is the newest and the least utilized mode of transport. Its
major advantage being its speed, which is accompanied by high costs. A
coast-to-coast shipment via air requires only a few hours contrast to
days taken by other mean of transportation. The high cost of transport
can be traded off for high speed, which allows other elements of
logistical design, such as warehousing, inventory to be reduced or
eliminated. But still air transport remains more of a potential
opportunity than a reality because it is very muchunderutilized.

The high cost of jet aircraft, coupled with erratic nature of freight
demand, has limited the assignment of dedicated planes to all -freight
operations. However premium carriers provide planes dedicated for
freight operations. This premium service started off with documents and
has moved onto large parcels, which is an ideal service for firms with a
large number of high-value products and time-sensitive service
requirements.

51
FOR DEVOTION AND DEDICATED:

DEVOTION AND DEDICATED uses all the modes of transportations that is

➢ Airways

➢ roadways

➢ waterways

➢ rail freight

DEVOTION AND DEDICATEDhas its own fleet of airplanes and motor

vans. Depending upon the final destination where the goods have to
finally reach and the type of package the customer has paid for,
DEVOTION AND DEDICATEDuses the individual modes of transport or
a combination of either of these or all. Once again the geographical
location and how fast the goods have to be delivered are the factors for
the final selection of modes of transportation. The concept of economies
of scale and economies of distance are both taken into consideration in
case of larger consignments where DEVOTION AND
DEDICATEDprovides an appropriate logistical solution which helps in
reducing the overall cost for the customers.

52
OPTIMIZATION OF LOGISTICS WITH DEVOTION AND
DEDICATEDROAD AND RAIL SOLUTIONS.
DEVOTION AND DEDICATEDFreight is a leader in European overland
transport. Our continent- wide network and comprehensive range of
products and services guarantee reliable transport. DEVOTION AND
DEDICATEDFreight offers you regular services for group age and a full
range of transport services for part- and full-load shipments by road, rail
and inter modal transportation. They provide special handling and
transportation for perishables, furniture, trade fair or event equipment, as
well as tailored customs clearance services in more than 350 offices
across Europe. State-of-the-art IT systems give you totals shipment
visibility and higher delivery efficiency. Our industry-specific expertise
and long-term experience can improve your productivity and streamline
your operations. A successful, high -caliber partnership with DEVOTION
AND DEDICATEDFreight gives you all the advant ages you need to
optimize yourlogistics.

53
Air and ocean freight solutions for a
competitive advantage

Whether you need to forward door-to-door,

airport-to-airport or port-to-port freight, DAD
Danzas Air & Ocean offers a comprehensive
range of services no matter the size, weight or
dimensions of your goods.
Combined with an extensive tool kit of
information management systems and a global
network of dedicated control towers, our
experienced teams around the world can create
the right logistics solution for your business.
DAD Danzas Air & Ocean is in pole position
to lead the future of air and ocean freight
logistics and sets high standards in quality and
security

54
Air Freight
DEVOTION AND DEDICATEDDanzas Air & Ocean offers a range of
fast and cost -effective airfreight services for your most time-sensitive
freight with door-to-door or airport-to-airport services, fixed schedules on
all main routes and reliable connections to all otherdestinations.

DEVOTION AND DEDICATED Air Freight

products include:
Air First Whether door-to-door or airport-to-airport,
Air First guarantees priority on the first flight
out and forwarding within two days – 24-
hours a day, 7-days a week, and 365-daysa
Air Premier Combines price and time considerations for
both door-to-door and airport-to-airport
service. Your shipment will arrive at the
airport of any major marketplace around the
world within only three days.
Air Value Creative routing solutions via major gateways
can save you even more money while adding
only 1-2 days over our Air Premier Service.

Chartering additional airfreight capacity is

SealAir part of everyday business – especially if there
is limited commercial lift, for new product
launches, during peak seasons or for
oversized cargo. Our specialists create
solutions to get your goods through ontime.

Combine the speed of airfreight and the lower

Part and Full cost of ocean freight – and you’ll benefit from
Charter our strength and experience in both. Plus, real-
time tracking at every step of the way.

55
Inventory Management and Warehousing.
Inventory is an unused asset, which lies in stock without participating in
value adding process. Unused equipment, raw material, WIP and
Finished goods, consumables, spare parts, bought out parts, tools and
tackles, gauge and fixtures etc. In India 9 to 12 months of sales quantity
lies in the form of Inventory [R/M, WIP, Bought out parts and Finished
goods] as against a few days in Japan and a month in the US and
Europe. In our country inventory is always viewed as asset [working
capital], in fact, though it is called an asset, it is a big liability
Warehousing was a customer’s function conventionally anywhere in the
world. Customer to protect himself from shortages at the time of
inclement weather always used to store provisions and other utilities in
his house. Consumer’s own stores were underground cellars, smoke
houses to store variety of items. Poor communication infrastructure was
mainly the cause for this storage by customer. Producers and tradesmen
conveniently shrugged off their responsibility for storage and passed it
on to the customer who was left with no option. Traditional concept of
warehouse as store or godown has undergone majorchange now.
Warehouse is considered a value adding facility now, playing a
remarkable role as a function of logisticalmanagement.

➢ Warehouse InfrastructureNetwork
➢ Warehouse ManagementSolution
➢ InventoryOptimization
➢ Special warehouse solution
➢ OutsourcingProjects

56
1. Warehouse InfrastructureNetworks
DEVOTION AND DEDICATED warehouse service supports inbound
logistics, distribution and aftermarket services in a way that improves
inventory management, reduces total operating costs and improves cycle
times.

DEVOTION AND DEDICATEDfacilities offer our customers

warehousing that is fully integrated into the wider supply chain and
meets demanding service levels. This encompasses the design
implementation and operation for both dedicated and multi user sites.

Benefits include improvements in:

➢ Customer service levels

➢ Stockaccuracy

➢ Leadtimes

➢ Redundant stockcosts

➢ Productivity responsiveness to a company's strategicneeds

a. Multi UserCenters
We provide a network of multi -user warehouses, enabling
manufacturers to hold inventory at local level, whilst avoiding
expensive, dedicated storage solutions. These fa cilities can receive
products from both local and global manufacturing sites, providing
downstreamdistribution.

57
b. Strategic Part Centers(SPC)
Our Strategic Part Centers (SPCs) are in-country facilities offering:

➢ 1, 2 and 4 hour orderfulfillment

➢ Stock optimization across the complete network ofSPCs
➢ Guaranteed performance against agreed businessrules

c. Express Logistics Centers(ELC)

Our Express Logistics Centers (ELCs) are regional centralized facilities
offering:

➢ order processing

➢ outsourced repairfacilities

➢ custom finalassembly

➢ kittingservices

58
 2. Warehouse ManagementSolutions:

a) Warehouse ManagementSystems

The Warehouse Management System (WMS) records all events and

actions in the receipt, handling and storage of products and orders in a
warehouse environment. The WMS also accurately records the location
of inventory whilst stored in the warehouse.
Our Prologs WMS manages all critical processes in the warehouse, and is
also an important support for varied transport and distribution concepts
(planning, time controlling, booking of transport capacity,
communication with customs and otherauthorities).

b) Strategic InventoryManagement
Strategic Inventory Management (SIM) has been created to deliver
urgent shipments to main business areas within a 2 to 4 hour time frame,
usually time critical spare parts with a high value and high impact on
business.

c) Direct Express Inventory Management

Direct Express Inventory (DEI) allows customers to centralize stock in
one warehouse and use express distribution to deliver components the
next day. Entire management is done by DEVOTION AND
DEDICATED.

59
d) Repair Return Inventory Management
Return & Repair Inventory (RRI) manages the physical flows for Return
material authorization. In this case, DEVOTION AND DEDICATEDwill
be responsible for picking up the broken part, sending a new one,
bringing the broken part to a repair centre and moving repaired parts
back int ostock.

e) CrossDocking
Cross-dock operations are facilities where shipments are received from
one mode of transport and transferred to another mode, or where
shipments complete one leg of a journey prior to commencement of
another journey. Shipments are consolidated or deconsolidated. Product
received into the facility is not taken into inventory.

60
3. InventoryOptimization:
Through effective inventory management, inefficiencies can be driven
out of the supply chain, overall costs reduced and high service levels
achieved. They optimize inventory at a line-item level at every stage of
the supplychain.

DEVOTION AND DEDICATED focuses on driving results in:

➢ Suppliermanagement

➢ Expediting

➢ Orderreplenishment

➢ Demandforecasting
➢ Safety stocksetting

➢ Order pipelinemonitoring

➢ Excess stockmanagement

Inventory optimization is supported by inventory management

software that calculates 'line item risk profiles' that measure the
variability of demand and supply for each line item within a customer’s
inventory.

DEVOTION AND DEDICATED offers:

Average of 20% inventory reduction and 8% improvement in product

availability

➢ Reduced inventory and overhead costs

➢ Improved sales, profitability and return oninvestment
➢ High servicestandards
➢ Better matching of supply withdemand
➢ More streamlined and responsive supplychain

61
□ Shared-userWarehousing

Our shared-user facilities are designed to meet the needs of

organizations of any size. Currently, we provide shared-user services to
leading manufacturers and retailers of medical supplies, con sumer
products, industrial equipment, chemicals and technology.
Through sharing of DEVOTION AND DEDICATED's resources, such as
space, labour, equipment and transportation, customers benefit from
synergies that considerably reduce supply chain costs. This environment
returns significant value to a small business requiring distribution
operations without long term lease or capital commitments, or a large
enterprise handling a new acquisition, product launches or
seasonaloverflow.

□ CampusSolutions

We pioneered the campus mode l to provide regional customers with a

flexible solution designed to capitalize on similar distribution channels,
minimize labour costs, and increase specialized equipment utilization.
Campuses are strategically located at key distribution points in North
and South America, Europe and select locations in Asia, allowing for
expedited transit times to large concentrations ofconsumers.

62
2. Special Warehouse Solutions
□ Vendor Hubs
warehousing and delivery of service parts, based on demand pull.
Vendor hubs are usually located in close proximity to the manufacturing
facility.

□ ReverseCenters
specially designated facilities for the receipt and handling of returned
parts for repair, recycling or disposal.

□ BondedWarehousing

Bonded warehouses provide secure environments in which customers'

products can be held without immediate payment of local duties and
taxes.

□ Shared-userWarehousing

Our shared-user facilities are designed to meet the needs of

organizations of any size. Currently, we provide shared-user services to
leading manufacturers and retailers of medical supplies, consumer
products, industrial equipment, chemicals and technology.
Through sharing of DEVOTION AND DEDICATED's resources, such as
space, labour, equipment and transportation, customers benefit from
synergies that considerably reduce supply chain costs. Consequently, the
customer can increase efficiencies throughout their distribution network
and maintain a higher level of service to theircustomers.

63
Outsourcing Projects
Outsourcing involves DEVOTION AND DEDICATED taking over and
managing previous in -house logistics operations, including:

➢ Distributioncenters
➢ Transport operations
➢ Back-office functions
➢ Supply chain managementfunctions
➢ After sales services

64
 Value Added Services
➢ Copacking

➢ Product assembly

➢ Other value addedservices

1. Co-packing
We offer a comprehensive selection of manufacturing and packaging
services through Power Packaging a DEVOTION AND DEDICATED
Company.

By integrating manufacturing and packaging operations within their

supply chains, our customers can:

➢ Addflexibility
➢ Improve servicelevels
➢ Reduce costs
➢ Accelerate time tomark
➢ Increase assetutilization
In addition to these core packaging services, Power Packaging brings a
unique set of services and capabilities for customersthat include:

65
a. Beveragemanufacturing:
Blending, mixing and filling of hot and cold fill beverages and
concentrates in the following types ofcontainers:

▪ Plastic bottles (PET) and glass containers (10 oz up to 128 oz)

▪ Shelf-stable containers (paperboard, plastic cup a ndbag-in-a-box)

b. Dedicated facilityservices:
Turnkey manufacturing solutions including:

➢ Site selection/development
➢ Facility and systemsdesign
➢ New facility start-up and operation

c. Other services:

➢ Packaging and raw material sourcing, procurement and assembly

➢ Batch/quality control tracking via digital easy -to-trace codingsystem
➢ Full range of secondary packagingservices

66
 2.Product Assembly
Postponement, quick response and mass customization are breakthrough
business strategies enabled via packaging services. Integrating
packaging operations into distribution centers streamlines fulfillment
reducing cost, enhancing product visibility and control, and improving
speed-to-market and flexibility in the supply chain.
Packaging servicesinclude:

➢ Postponement packaging - primary, secondary and specialty

components

➢ Co-packing, kitting, assembly andrepackaging

➢ Retail-ready, point-of-purchasedisplays
➢ Lot control via variable digital and laserprinting
➢ Machinery system engineering - labeling, bagging, carton filling, club
store packs, clamshells and printed and unprinted film over-wraps

➢ Make-to-order pallets
➢ Product rework/redress

67
 3.Other Value AddedServices
a. Kitting/Pre-Assembling
Kitting is the addition of items such as accessories and batteries to the
product pack. Pre-assembling is completion of a finished product from
component parts or pre-programming of products.

b. Re-Working/Re-Packing

Repacking for a specific customer can include repalletisation.

Reworking is the modification of products to suit a localmarket.

c. Packaging/Bundling

Packaging includes packing of products into suitable mediafor

transportation and retail display. Bundling is the assembly of a number
of pre-packaged products to make up an integrated productoffering.

d. QAControl

Quality control ensures that product is received into and dispatched

fromthewarehouseinasuitablecondition,freefromfaultsanddefects.

e. Labeling/Merchandising

The application of labels either to the product or to the packaging.

Merchandising can include the addition of price stickers or promotional
items ready for retail display.

68
External Performance Measurement
While internal measures are important for detailed organizational
monitoring, external performance measures are also necessary to
monitor, understand and maintain a focused customer perspective and to
gain innovative insights from other industries. The topics of customer
perception measurement and best practice benchmarking, which address
these requirements, are discussed and illustrate dbelow.

Customer Perception Measurement

To succeed in any activities of business one has to always cater to and
satisfy the needs of the customer. To do so, it is essential for one to
know how the customer thinks in order to meet his needs in a more
satisfying manner. Therefore, an important component of leading edge
logistical performance is the regular measurement of customer
perceptions. Suchmeasures can be obtained through surveys or by
systematicorderfollowup.Thesesurveyscanbecompany-orindustry
– sponsored. Such surveys ask questions regarding the firm’s and the
competitor’s performance in general or for a specific order in particular.
Most of the surveys incorporates measurement of customer perceptions
regarding availability, performance -cycle time, information availability,
problem resolution and product support. The survey may be developed
and administered by the firm itself or by consultants, delivery agents or
industry organizations.

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Worldwide Parcel Express.

International express door-to-door delivery overnight or by the

end of the next possible business day for goods subject to

Customs clearance.

One, reliable company makes international shipping easy .

Need to get products, samples, or spares to someone fast? Then trust

DEVOTION AND DEDICATED’s Worldwide Parcel Express to
expedite urgent shipments from your door, through customs direct to the
receiver - virtually anywhere in the world. One company means you
eliminate all the hassles of international shipping. You never lose sight of
your shipments. And with DEVOTION AND DEDICATED’s customs
expertise, you get instant advice regarding local regulations and customs
documentation, ensuring the smooth clearance of your goods. When it
comes to delivering your company’s time - critical shipments – and your
reputation, rely on DEVOTION AND DEDICATED’s Worldwide Parcel
Express.

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71
RECOMMENDATION

1. ENHANCE THE SMART-TRUCKPROJECT

Because of the stage of recession and high competi tion, the
companies need to makedifference to havenew customers and increase
their market share. To invent completely new product can be very
expensive and take very much time. So, making little difference on the
current product or service can be better. At this time, we need to talk
aboutinnovation.
As a CEO of DEVOTION AND DEDICATEDLogistics,
enhancing the Smart-Truck Project is going to be my first strategy.
This project will allow our company to deliver faster and cut cost by
using less fuel.To achieve this goal, we will follow somesteps:
a. Increase the budget of R&D10%.
b. Prepare an office for a new innovation team and assign a leader to
work on thisproject.
c. Also pay premium for new and creative ideas whoever gives it
(even juniors). So this will provide us innovativ e atmosphere

2. AQUIRE SMALL - SIZE LOGISTICSCOMPANIES:

By acquiring small local companies in different countries like China,
India, USA,will giveus precense in that countries. Also, this will decrease
the threat of restrictions in those companie . Even they are small
companies, they can have creative solutions to different problems. So we
are acquiring new brains at the same time. We can get some ideas from
them to improve our skills. I mean we are not firing people who were
working there actually, we are hiring them to work withus.

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 Conclusion
Logistics is one the most important and integral part of any organisations
strategy and function. When the logistical process is carried out
accurately then not only the company reduces the production cost but a lso
improves the efficiency and customer satisfaction. Overall logistics
management is very important for today’s highly competitive and cut -
throat corporateworld.
DEVOTION AND DEDICATEDhas the world’s largest express and
logistics Network. Over the past decades it had turned delivering goods
into a finely oiled process. Be it a book, pen, WIP material, drugs,
hazardous chemicals, clothes, documents, wild animals and any other thing
under the sun DEVOTION AND DEDICATEDdelivers it. With a network
spanning 200 countries and with its private fleet of airplanes, mobile vans,
cargo ship carriers &even rail way automotives in some countries
DEVOTION AND DEDICATEDcan handle any type of goods. Not only
has that with international network there come the hassle of documentation
and paperwork, standard packaging and other formalities to adhere to. But
DEVOTION AND DEDICATEDhas its own department which looks into
the international laws and other formalities. In the end what matters is
delivering well in good condition at the door step of the customer. A happy
and satisfied customer makes the business grow. Competitors have come
and gone but DEVOTION AND DEDICATEDhas been able to keep its No
1 position intact. This is because of its dynamic nature and attitude of
maintaining good customer relations. Logistics management is important
for every organization but more so DEVOTION AND DEDICATED.
We have tried to incorporate all the facets of logistics which
propel DEVOTION AND DEDICATEDto be the best delievery and
carriage -service around the world. No wonder that DEVOTION AND

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DEDICATEDis head and shoulders above all of its competitors!

74
 bub=uOKfibº?F

a) Logistics and Supply Chain Management - Written by MartinChristopher

b) Indian Logistics Industry” (2008) published by Cushman &Wakefield
c) BUSINESS LOGISTICS –BARDI
d) Elements of Logistics Management-S.D.APHALE

Websites:
1. www.google.com
2. www.logisticmanagement.com
3. www.about.com
4. www.DEVOTION AND DEDICATED.com

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