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PROBLEM STATEMENT –
TO MANAGE THE LOGISTICS OF PRODUCTS EFFECTIVELY - ROUTE
PL ANNING SYSTEM, WAREHOUSE/ I NVENTORY MANAGEMENT AND
DISTRIBUTION
ANALYSED BY :-
ADITYA P. PATIL
+91 81492 30354
ADITYA.PATIL239@GMAIL.COM
OBSERVATIONS
• Based on the data provided in the excel sheet, there are details mentioned about the
distribution process of products i.e. the transportation of finished products from plants to a
network of stocking locations (warehouses) and from there to end users.
• Provided the data, we need to consider multiple costs which will be implied in the process of
distribution of products.
transportation costs from plants to warehouses
inventory or storage costs at warehouses
transportation costs from warehouses to end users
Please consider the highlighted area in the next diagram which will be the required details for the
assignment.
CONSIDER THE GIVEN FACTORS
Role of transportation
Time is money, and a route planning system can drastically reduce the time it takes to plan your transportation schedule.
Not only do route planning systems lower mileage, they also help cut fuel usage, decrease carbon emissions, improve
asset utilization, and increase customer service.
Importance of route planning
All in all, route plan cut transportation costs, which will help with a more flexible budget, help get to the customers more
efficiently and on time, and increase the number of destinations that can be reached in a day, effectively saving the
business time and money on the road.
Considering the above details we can minimize the budget of the shipment flow and optimize the time for delivery which
will in turn create a positive impact on the end users.
RECOMMENDATIONS
Identify the end user – wholesaler, retailer, customer, etc.
Build a Plan considering 3 main pieces – People, Process and Inventory.
Defining the order profiles – different order styles may need different style of picking orders
depending upon the end users. This will help analyze the pattern in which we are dealing with the
delivery.
Finding the right picking method based on the above analysis – minimizing product touches,
minimizing travel based on the optimized routing plan according to the orders. Apply batch picking
wherever applicable.
Define zones – In zone picking the warehouses are broken down into individual pick up zones, the
positive point is that if there is issue in one zone, it will not affect the orders in other zones.
Labelling the shipping carton when out for delivery, this will help in more optimization of the delivery.
Use technology to maintain the statuses of the delivery and order.
These are the zonal pickup mechanisms which can
be followed based on the delivery and order
requirements