CHAPTER I

INTRODUCTION

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WAREHOUSE AND LOGISTICS
The Warehouse and Logistics industry in India is a dynamic and rapidly growing sector that is
expected to play an increasingly important role in the country's economy. Despite some
challenges, the sector is well-positioned for long-term growth and presents exciting
opportunities for investors and businesses. With the government's focus on improving
infrastructure and the rise of e-commerce, the sector is expected to be a key driver of economic
growth in the country. Moreover, with the increasing adoption of technology and the
government's push for a digital economy, there is also significant potential for logistics players
to leverage data analytics, artificial intelligence, and machine learning to improve operational
efficiency and enhance customer experience. The warehousing, industrial, and logistics (WIL)
sectors are projected to be crucial for attaining India's vision of being a US$ 5 trillion economy
by FY25. The warehouse and logistics industry has benefited the most from the COVID-19
epidemic, increasing its share from 2% in 2020 to 20% in 2021. Because of the growing shift
from discretionary to essential internet buying during the COVID-19 epidemic, the e-
commerce industry became more appealing and attractive.

A Warehouse Management System (WMS) consists of software and processes that allow
organizations to control and administer warehouse operations from the time goods or materials
enter a warehouse until they move out. Warehouses sit at the center of manufacturing and
supply chain operations because they hold all the material used or produced in those processes,
from raw materials to finished goods. Warehouse managers are the primary users of a WMS,
but it can be integrated with enterprise resource planning (ERP), customer relationship
management (CRM), transportation management systems (TMS) and inventory management.

Manufacturing logistics in India involves planning, implementing, and controlling the

movement and storage of goods, services, and information. Key components include supply
chain management, which covers procurement, inventory management, and vendor
management. Efficient warehousing solutions are essential, often utilizing automation
technologies like automated storage and retrieval systems (AS/RS). Transportation is a critical
aspect, with road transport being predominant due to the extensive road network,
complemented by rail, air, and sea transport for broader reach and efficiency. Overall, the focus
is on optimizing logistics to ensure timely and cost-effective production and distribution.

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FUNCTIONS OF WAREHOUSE
Warehouses preserve goods on a large-scale in a systematic and orderly manner. They provide
protection to goods against heat, wind, storm, moisture, etc. and also cut down losses due to
spoilage, wastage etc. This is the basic function of every warehouse. In addition to this,
warehouses now a days also perform a variety of other functions. In this section let us learn
about the various functions of warehouses. Warehouses perform the following functions,

1. Receiving:
• Incoming raw materials, parts, and supplies are received, inspected for quality
and damage, and documented.
• This ensures that only usable materials enter the production process and that
accurate inventory records are maintained.

2. Storage:
• Received materials are stored in a safe, organized, and secure manner until
needed for production.
• Warehouses may use different storage methods depending on the product
characteristics, such as using shelving for small parts, pallet racking for bulkier
items, or cold storage for perishable goods.

3. Inventory Management:
• Inventory levels are tracked and maintained to ensure sufficient stock for
production while avoiding overstocking.
• Effective inventory management minimizes the risk of stockouts that can
disrupt production and lead to lost sales.

4. Order Fulfillment:
• In some manufacturing companies, the warehouse is also responsible for
picking, packing, and shipping finished products to customers based on sales
orders.
• This may involve close coordination with production planning to ensure
finished goods are available for fulfillment.

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 Fig 1.1 FISHBONE DIAGRAM

The tools used for the project is Root Cause Analysis. Finding the root of a problem is referred
to as root cause analysis. It serves as an umbrella term for a variety of methods used to address
the issue. It aims to locate the root of a problem utilising a particular set of processes and related
tools to discover the main cause of the issue so that you can:

1) Establish what transpired.

2) Establish the reason it occurred.

3) Determine what needs to be done to make it less likely that it will occur again.

Root cause analysis makes the assumption that events and systems are interconnected. The
effects of one action ripple out to affect others, and so on. You can determine the source of the
issue and how it evolved into the symptom you're currently experiencing by tracking back these
actions. This strategy is used in a variety of sectors, including healthcare, software, industry,
and the environment.

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 CHAPTER II

PART A - INDUSTRY PROFILE

PART B - COMPANY PROFILE

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PART A – INDUSTRY PROFILE
The Manufacturing Industry is a crucial pillar of the Indian economy, contributing significantly
to both GDP and Employment. Since the Service sector is currently larger, the manufacturing
holds a weight of around 16-17% of GDP (Mordor Intelligence). When it comes to
Employment, it’s a major job generator, employing nearly 20% of the workforce (Mordor
Intelligence).

Logistics is the backbone of any manufacturing operation. It's the intricate network of planning,
implementing, and managing the flow of goods and materials throughout the entire production
process. In simpler terms, it's all about getting the right things, to the right place, at the right
time, in manufacturing.

The Key Components in which the Logistics play a crucial role in manufacturing are:

1. Inbound Logistics:
This focuses on the movement of raw materials, components, and supplies from
suppliers to the manufacturing facility. Key activities include:
• Supplier management: Selecting, negotiating with, and maintaining
relationships with reliable suppliers.
• Procurement: Purchasing raw materials and components at the best price and
quality.
• Transportation: Organizing the efficient and timely transportation of materials
to the factory. This may involve using trucks, trains, ships, or airplanes
depending on the materials and distances involved.
• Customs clearance: If materials are sourced internationally, managing customs
clearance processes to ensure smooth import and delivery.
• Receiving and inspection: Verifying the quantity and quality of received
materials against purchase orders.

2. Warehousing and Storage:

This involves the efficient storage and management of raw materials, work-in-progress
(partially finished products), and finished goods within the manufacturing facility. Key
activities include:

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 • Warehouse layout and design: Optimizing the layout for efficient storage and
retrieval of materials, considering factors like product size, weight, and
frequency of access.
• Inventory management: Maintaining optimal inventory levels to avoid
stockouts or overstocking. This involves forecasting demand, planning stock
replenishment, and implementing inventory control systems.
• Material Handling: Using equipment like forklifts, conveyor belts, and
automated storage and retrieval systems (AS/RS) to efficiently move materials
within the warehouse.

3. Outbound Logistics:
This focuses on the movement of finished goods from the manufacturing facility to
customers or distributors. Key activities include:
• Order Fulfillment: Picking, packing, and shipping finished goods based on
customer orders. This may involve integrating with warehouse management
systems (WMS) for efficient order processing.
• Transportation: Choosing the appropriate transportation mode (trucks, trains,
ships) to deliver products to customers based on factors like cost, speed, and
delivery requirements.
• Distribution Center Management: If the company utilizes distribution centers
strategically located closer to customers, managing these facilities for efficient
order fulfillment to regional markets.

4. Transportation Management:
This involves planning, optimizing, and executing the transportation of goods
throughout the supply chain. Key activities include:
• Route planning: Developing the most efficient routes for delivery trucks to
minimize travel time and fuel costs.
• Carrier selection: Negotiating with and selecting reliable transportation
carriers to move goods at competitive rates.
• Fleet management: If the company maintains its own fleet of vehicles,
managing their maintenance, fuel efficiency, and driver performance.

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LOGISTICS SCENARIO IN INDIA
The growths in the manufacturing industry and development of SEZs have been key factors in
the growth of Indian logistics industry. Recent studies have indicated that the logistics industry
is expected to grow annually at the rate of 15 to 20 per cent. A number of infrastructural projects
involving warehouse and logistics parks are being undertaken are expected to be operational in
the next 2-3 years.

The Indian manufacturing sector is experiencing significant growth, driven by factors like a
large domestic market, rising disposable incomes, and government initiatives like "Make in
India." However, the logistics landscape in India presents both opportunities and challenges
for manufacturing companies.

Opportunities:

• Growing demand: The increasing demand for manufactured goods creates a larger
market for efficient logistics services.
• Technological advancements: Adoption of technologies like warehouse
management systems (WMS), transportation management systems (TMS), and real-
time tracking can significantly improve efficiency and visibility.
• Government initiatives: The Indian government is focusing on improving
infrastructure like roads, railways, and ports, which will benefit logistics operations.
• Skilled workforce: India has a large pool of skilled and relatively low-cost labor for
logistics operations.

Challenges:

• Fragmented infrastructure: India's infrastructure for transportation and

warehousing is still developing. This leads to issues like poor road conditions,
congestion, and limited cold storage facilities.
• Logistics costs: Logistics costs in India remain high compared to developed
economies due to inefficiencies and infrastructure limitations.
• Skill gap: While India has a large workforce, there can be a gap between the available
skills and the specific needs of modern logistics operations.

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PART B – COMPANY PROFILE
VISION

L&T shall be a professionally managed Indian multinational committed to total customer

satisfaction and enhancing shareholder value. L&T-ites shall be an innovative, entrepreneurial
and empowered team constantly creating value and attaining global benchmarks. L&T shall
foster a culture of caring, trust and continuous learning while meeting the expectations of
employees, stakeholders and society.

MISSION

To provide world-class product support to its customers, to ensure higher machine uptime, and
for a superior machine-owning experience.

QUALITY POLICY

Larsen & Toubro (L&T) Construction Equipment Limited's quality policy is to achieve and
maintain business excellence by providing customer-focused services:

• Designing and building projects, systems, and platforms

• Manufacturing products
• Meeting customer requirements within specified time schedules
• Benchmarking against industry best practices
• Delivering value to customers on time, on budget, and on quality

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Larsen & Toubro is an Indian multinational engaged in EPC Projects, Hi-Tech Manufacturing
and Services. It operates in over 50 countries worldwide. A strong, customer-focused approach
and the constant quest for top-class quality have enabled L&T to attain and sustain leadership
in its major lines of business for over eight decades.

At L&T Construction & Mining Machinery, it marks the 75 years of our business, we look
back with pride at the challenges associated with creating the engineering marvels of India –
Bahai Temple, Bombay Stock Exchange, Motera Stadium, Medigadda Barrage, Statue of Unity
and many others. With a wide range of equipment, L&T Construction & Mining Machinery
has been helping build the nation. Hydraulic Excavators, Wheel Loaders, Crawler Dozers,
Motor Graders, Dump Trucks, Heavy Tippers, Vibratory Compactors and Surface Miners–
from Komatsu and L&T – continue to create value by enabling our customers to execute
projects speedily and smoothly, setting new benchmarks in performance and productivity. In
addition to its focus on manufacturing excellence, LTCEL is dedicated to providing
comprehensive after-sales support, including maintenance services, spare parts supply, and
operator training programs. This holistic approach ensures that customers receive optimal value
from their investment in LTCEL equipment.

Starting in 1945 as distributors of Caterpillar (USA), L&T Construction & Mining Machinery
subsequently entered into collaborations with global majors – such as Poclain SA-France,
Albaret SA-France, JI Case-USA, Vibromax-Germany, Terex-USA and Detroit Diesel-USA,
which saw it assemble and promote a series of imported products such as Hydraulic Excavators,
Vibratory Compactors, Backhoe Loaders, Wheel Loaders, Dump Trucks and Generator Sets in
the local market. This reinforced L&T’s strengths as the foremost engineering organization.
The strategic alliances with Komatsu (Japan) have endured over time and enabled us to launch
world-class products in the Indian market, that have enabled L&T to expand its customer base
and achieve leadership position. Our own product line from LTCEL have made strong inroads
in road construction and highway development. Inspired by our legacy of 75 glorious years,
we will cross new milestones in our journey as a trusted partner in nation-building as well as
in fulfilling the mission of Atmanirbhar Bharat.

Overall, L&T Construction Equipment Limited plays a vital role in supporting infrastructure
development and industrial growth in India and beyond, leveraging its expertise, innovation,
and customer-centric approach to deliver superior construction solutions.

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 CHAPTER III

PROJECT DESIGN AND

METHODOLOGY

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STATEMENT OF THE PROBLEM
The problem faced by the company is :

“The current warehouse and logistics operations are hindered by several inefficiencies that lead
to increased costs, extended lead times, and reduced productivity. Specifically, non-value-
adding activities within warehouse processes are consuming time and resources without
contributing to operational efficiency. Additionally, logistics routes are not optimized,
resulting in longer travel distances, higher fuel consumption, and increased travel time.”

To address inefficiencies in warehouse and logistics operations, begin by identifying and

eliminating non-value-adding activities through process mapping and Lean principles,
incorporating automation for repetitive tasks.

OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE

• Optimize the routes taken by logistics to ensure the shortest and most efficient
paths are used, reducing fuel consumption and travel time.
• Identify and eliminate any non-value-adding activities within the warehouse
processes to improve efficiency and reduce costs.

SECONDARY OBJECTIVE

• To study about Optimized Warehouse Layout

• How to Enhance Inventory Management

PROJECT DESIGN
This project was done under the guidance of Corporate Mentor, Mr. Deekshith, who is the
Warehouse Engineer at Larsen & Toubro Constructions Equipment Limited. The project goal
was to understand about Warehouse Management and Logistics Optimisation. In Warehouse
Management, reducing lead time and elimination of waste was considered and worked on it.
When it comes to Logistics, Route Optimisation was studied and relevant solutions was
provided.

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NEED FOR STUDY
This project mainly focuses on Warehouse and Logistics Operations at L&T Constructions
Equipment Limited. It is essential for organizations seeking to optimize their operational
efficiency and reduce costs. By identifying and eliminating non-value-adding, such as
inefficient workflows and unnecessary inventory handling, companies can streamline
operations and allocate resources more effectively. Optimizing logistics routes ensures the
shortest and most efficient paths are used, minimizing fuel consumption, reducing travel times,
and enhancing overall fleet productivity. Decreasing the overall time required for logistics
operations through better scheduling, streamlined processes, and improved turnaround times at
stops not only improves operational efficiency but also boosts customer satisfaction by
ensuring timely deliveries.

TOOLS AND METHODS USED

1. 5S Methodology:
The 5S methodology is a systematic approach to workplace organization and
standardization, which aims to improve efficiency, safety, and productivity. The 5S
stands for five Japanese words: Seiri, Seiton, Seiso, Seiketsu, and Shitsuke.

2. Kaizen (Continuous Improvement):

Foster a culture of continuous improvement by encouraging employees to identify and
suggest ways to improve processes in the warehouse and logistics. This could involve
implementing new technologies, revising layouts, or streamlining procedures.

3. Just-in-Time (JIT) Inventory Management:

Just in Time (JIT) is a production and inventory management methodology aimed at
reducing waste and improving efficiency by receiving goods only as they are needed in
the production process.

4. PDCA (PLAN-DO-CHECK-ACT)
The PDCA cycle is a continuous improvement process used in quality management and
problem-solving. It consists of four iterative steps: Plan, Do, Check, and Act.

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MATERIAL HANDLING
Material handling involves short-distance movement within the confines of a building or
between a building and a transportation vehicle. It utilizes a wide range of manual, semi-
automated, and automated equipment and includes consideration of the protection, storage, and
control of materials throughout their manufacturing, warehousing, distribution, consumption,
and disposal. Material handling can be used to create time and place utility through the
handling, storage, and control of material, as distinct from manufacturing, which creates form
utility by changing the shape, form, and makeup of material.

ROLE OF MATERIAL HANDLING

Material handling plays an important role in manufacturing and logistics. Almost every item
of physical commerce, was transported on a conveyor or lift truck or other type of material
handling equipment in manufacturing plants, warehouses, and retail stores. While material
handling is usually required as part of every production worker's job, these operators use
material handling equipment to transport various goods in a variety of industrial settings
including moving construction materials around building sites or moving goods onto ships.

Fig 1.2 WAREHOUSE PROCESS

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MATERIAL HANDLING / MOVEMENT USED AT LTCEL

1. Pallets
Pallet is the structural foundation of a unit load which allows handling and storage
efficiencies. Goods or shipping containers are often placed on a pallet secured with
strapping, stretch wrap or shrink wrap and shipped.

2. Electric Stacker
An electric stacker, also known as a walkie stacker, is a power-propelled device that lifts
and loads pallets. It's often used in warehouses, factories, and supermarkets for low-level
stacking, storing pallets on high shelves, or lifting and moving heavy loads.

3. Racks
Warehouse racking systems consist of several warehouse racks, which are industrial
shelving units made of metal designed to store boxes or pallets in multiple levels of
horizontal rows, stacked on top of each other.

4. Hydraulic lift
A hydraulic lift is a device for moving objects using force created by pressure on a liquid
inside a cylinder that moves a piston upward. Incompressible oil is pumped into the
cylinder, which forces the piston upward.

5. Forklift
Forklifts are mainly used for loading and unloading trucks and for carrying goods. There
are extensive ranges of forklifts available which include pedestrian operated machines to
heavy duty driver operated trucks.

6. HOPT (Hydraulic Operated Pallet Truck)

A hydraulic pallet truck is a hand-operated industrial truck that uses hydraulics to move
heavy loads and transport goods horizontally. The hydraulic pump converts liquid pressure
energy into mechanical energy, which creates reciprocating and gyroscopic motion.

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Manufacturing Specific Considerations:
1. Just-in-Time (JIT) Inventory Management: In a manufacturing environment,
aiming to receive materials only when needed for production can reduce storage
requirements and handling costs. Material handling systems should be flexible to
accommodate JIT principles.

2. Work-in-Process (WIP) Management: Efficient handling of partially finished

products moving through the production process is crucial. This may involve
dedicated storage areas and designated handling procedures for WIP materials.

MATERIAL PICKLIST PLAN/ISSUED/ACHIEVED LIST

MONTHLY PRODUCTION PLAN (MAY 24’)

Sl.
Model Description Plan Issued Achieved
No
1 PC 71 BOOM 26 38 38
2 PC 71 ARM 23 30 23
PC 71 CYLINDERS
3 PC 71 BUCKET 40 40 41
4 PC 71 BLADE 50 28 36
5 PC 130 BOOM 103 90 38/47
6 PC 130 CYLINDERS PC 130 ARM 49 23 23
7 PC 130 BUCKET 36 24 24
8 PC 210-10 BOOM LH/RH 254 193 95/98
9 PC 210 CYLINDERS PC 210-10 ARM 131 120 109
10 PC 210-10 BUCKET 195 180 140
11 PC 300 BOOM L/R 30 17 10/11
12 PC 300 ARM STD 15 10 8
13 PC 300 CYLINDERS PC 350 ARM M/T 7 7 6
14 PC 300 M0 BUCKET SA 18 16 16
15 PC 350 BUCKET LA 7 6 6
16 WHEEL LOADER LIFT 40 40 40
17 WHEEL LOADER CYLINDERS WHEEL LOADER TILT 20 19 19
18 PTR 6 6 4

Fig 1.3 MONTHLY PRODUCTION PLAN

The "Monthly Production Plan" chart provides a detailed overview of the production status for
various models and their components in a warehouse or manufacturing setting.

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Analysis

The analysis of the Monthly Production Plan for L&T Construction Equipment Limited
highlights several key insights into the warehouse and logistics operations:

1. Discrepancies Between Plan and Issuance:

o Several components were issued in quantities either higher or lower than
initially planned. This indicates a need for more precise demand forecasting and
inventory planning to align issuance more closely with production
requirements.
2. Achievement Variations:
o The achieved numbers often fell short of the planned figures, suggesting
potential production challenges. Factors contributing to this could include
equipment malfunctions, supply chain disruptions, or workforce issues.
Addressing these factors is critical for improving production efficiency and
meeting targets.
3. Effective Resource Utilization:
o For some components, such as the PC 71 BOOM and WHEEL LOADER LIFT,
production met or exceeded the planned numbers, indicating effective resource
utilization and process efficiency in those areas. These practices can serve as
benchmarks for other components.
4. Areas for Improvement:
o The significant discrepancies between planned and achieved numbers for
components like the PC 210-10 BUCKET and PC 130 BOOM highlight areas
where process improvements and better coordination with suppliers are
necessary. Implementing Lean and Just in Time (JIT) methodologies could help
streamline operations and reduce waste.
5. Quality and Communication:
o Implementing stronger quality control measures and improving communication
between different departments (e.g., procurement, production, and logistics) can
help in addressing issues more proactively. Regular audits and feedback
mechanisms can ensure continuous improvement.

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 CHAPTER IV

DATA ANALYSIS &

INTERPRETATION

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 LOGISTICS ROUTING OPTIMISATION

Service Arrival Order Total

Stop Title Time Time Distance Size Size
1 L&T Const. Equipment 1:00 10:30 AM 0 2.91
2 PRAGATHI/ dispatch 1:00 12:31 PM 33.31 2.91
3 ** Lunch Break ** 1:00 2.91
4 PRAGATHI/ dispatch 1:00 2:31 PM 33.31 2.91
5 SAI SURYA / collection 1:00 3:37 PM 35.42 0.01 2.91
6 VINAYAKA PREC/ collection 1:00 4:53 PM 42.13 1.5 2.91
7 HITECH/ collection 1:00 6:15 PM 49.57 0.1 2.91
8 VAISHISTA/ collection 1:00 7:21 PM 51.51 1 2.91
9 EXPERTS CNC/ collection 1:00 8:40 PM 60.54 0.3 2.91
10 L&T Const. Equipment (end) 1:00 10:14 PM 82.14 2.91

1 L&T Const. Equipment 1:00 10:30 AM 0 2.22

2 SRINIVASA/ dispatch 1:00 12:37 PM 34.42 2.22
3 ** Lunch Break ** 1:00 2.22
4 SRI SHINE/ collection 1:00 2:52 PM 39.01 0.01 2.22
5 SRINIVASA/ collection 1:00 4:00 PM 41.72 0.5 2.22
6 ANURA METALS/ collection 1:00 5:00 PM 41.72 0.2 2.22
7 TECHNICKS/ collection 1:00 6:00 PM 41.72 0.01 2.22
8 JK INDUSTRIES/ collection 1:00 7:03 PM 42.62 1.5 2.22
9 L&T Const. Equipment (end) 1:00 9:08 PM 77.36 2.22

1 L&T Const. Equipment 1:00 10:30 AM 0 2.91

2 HITECH/ dipsatch 1:00 12:23 PM 27.86 2.5 2.91
3 ** Lunch Break ** 1:00 2.91
4 SAVI/ collection 1:00 2:53 PM 38.19 0.1 2.91
5 SAVI AUTO/ collection 1:00 3:53 PM 38.19 0.15 2.91
6 SYNCHRON/ collection 1:00 5:14 PM 44.41 0.16 2.91
7 SRIDEVI/ collection 1:00 7:00 PM 59.78 2.91
8 L&T Const. Equipment (end) 1:00 9:16 PM 101.06 2.91

1 L&T Const. Equipment 1:00 10:30 AM 0 1.16

2 VIPRA/ collection 1:00 12:49 PM 37.28 1 1.16
3 ** Lunch Break ** 1:00 1.16
SHREE RAGHAVENDRA/
4 collection 1:00 3:07 PM 42.48 0.01 1.16
5 FLEXO TECH/ collection 1:00 4:29 PM 49.65 0.15 1.16
6 L&T Const. Equipment (end) 1:00 6:45 PM 87.81 1.16

1 L&T Const. Equipment 1:00 10:30 AM 0 3

2 SRINIVASA/ collection 1:00 12:37 PM 34.42 3 3
3 ** Lunch Break ** 1:00 3
4 L&T Const. Equipment (end) 1:00 3:39 PM 68.47 3

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The table provided lists multiple logistics routes for a day. Each route starts and
ends at "L&T Const. Equipment" and includes stops at various locations for
dispatch or collection, with a lunch break in the middle. Let's break down how to
understand and derive each route from the table.

Structure of the Table

1. Stops: Numbered from 1 to 10 (or fewer, depending on the route).

2. Title: Indicates the name of the stop and whether it is for dispatch or
collection.
3. Service Time: Fixed at 1 hour for each stop, including lunch break.
4. Arrival Time: The time at which the vehicle arrives at each stop.
5. Distance: The cumulative distance traveled from the starting point (L&T
Const. Equipment).
6. Order Size: The quantity of items to be dispatched or collected at each
stop.

Understanding Each Route

The routes are separated by yellow-highlighted rows. Each yellow section

represents a single day's route.

Route 1 (First Yellow Section)

1. Start: L&T Const. Equipment at 10:30 AM.

2. Stops:
o PRAGATHI/dispatch at 12:31 PM (distance: 33.31 km)
o Lunch Break at 1:00 PM
o PRAGATHI/dispatch at 2:31 PM (distance: 33.31 km)
o SAI SURYA/collection at 3:37 PM (distance: 35.42 km)
o VINAYAKA PREC/collection at 4:53 PM (distance: 42.13 km)

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 o HITECH/collection at 6:05 PM (distance: 49.57 km)
o VAISHISTA/collection at 7:21 PM (distance: 51.51 km)
o EXPERTS CNC/collection at 8:40 PM (distance: 60.54 km)
3. End: L&T Const. Equipment at 10:14 PM (distance: 82.14 km)

Route 2 (Second Yellow Section)

1. Start: L&T Const. Equipment at 10:30 AM.

2. Stops:
o SRINIVASA/dispatch at 12:37 PM (distance: 34.42 km)
o Lunch Break at 1:00 PM
o SRI SHINE/collection at 2:52 PM (distance: 39.01 km)
o SRINIVASA/collection at 4:00 PM (distance: 41.72 km)
o ANURA METALS/collection at 5:00 PM (distance: 41.72 km)
o TECHNICKS/collection at 6:00 PM (distance: 41.72 km)
o JK INDUSTRIES/collection at 7:03 PM (distance: 42.62 km)
3. End: L&T Const. Equipment at 9:08 PM (distance: 77.36 km)

Route 3 (Third Yellow Section)

1. Start: L&T Const. Equipment at 10:30 AM.

2. Stops:
o HITECH/dispatch at 12:23 PM (distance: 27.86 km)
o Lunch Break at 1:00 PM
o SAVI/collection at 2:53 PM (distance: 38.19 km)
o SAVI AUTO/collection at 3:53 PM (distance: 38.19 km)
o SYNCHRON/collection at 5:14 PM (distance: 44.41 km)
o SRIDEVI/collection at 7:00 PM (distance: 59.78 km)
3. End: L&T Const. Equipment at 9:16 PM (distance: 101.06 km)

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Route 4 (Fourth Yellow Section)

1. Start: L&T Const. Equipment at 10:30 AM.

2. Stops:
o VIPRA/collection at 12:49 PM (distance: 37.28 km)
o Lunch Break at 1:00 PM
o SHREE RAGHAVENDRA/collection at 3:07 PM (distance: 42.48
km)
o FLEXO TECH/collection at 4:29 PM (distance: 49.65 km)
3. End: L&T Const. Equipment at 6:45 PM (distance: 87.81 km)

Route 5 (Fifth Yellow Section)

1. Start: L&T Const. Equipment at 10:30 AM.

2. Stops:
o SRINIVASA/collection at 12:37 PM (distance: 34.42 km)
o Lunch Break at 1:00 PM
3. End: L&T Const. Equipment at 3:39 PM (distance: 68.47 km)

Conclusion

Each route starts and ends at L&T Const. Equipment, with specific stops in
between for dispatching or collecting items. The service time at each stop is fixed
at 1 hour, including a mandatory lunch break. The distances are cumulative,
showing the total distance covered by the end of the route.

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 CHAPTER V

FINDINGS AND CONCLUSION

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Based on a comprehensive analysis of the warehouse operations, the
following key findings emerged:

• Warehouse Layout:

The current layout is disorganized, leading to excessive travel time for picking and
restocking activities. Storage methods are inefficient, resulting in underutilized space
and potential damage to goods.

• Inventory Management:

Inventory data is inaccurate due to manual processes and infrequent cycle counting.
This leads to picking errors, stockouts, and difficulty in planning for future production
needs.

• Picking and Packing:

Picking and packing processes are manual and time-consuming, contributing to slow
order fulfillment and potential errors.

• Logistics:

Delivery routes are not optimized, leading to increased transportation time and costs.
Lack of real-time tracking for drivers hinders visibility and efficient dispatching.

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CONCLUSION

The current state of the warehouse is hindering the overall efficiency of the manufacturing
company's supply chain. Inefficient processes, disorganized layout, and inaccurate inventory
data are leading to extended lead times, increased costs, and potential customer dissatisfaction.

RECOMMENDATIONS:

Based on the findings, the following recommendations are proposed to optimize warehouse
operations and achieve supply chain efficiency:

• Warehouse Layout Optimization: Redesign the warehouse layout to improve

workflow, minimize travel time for picking and restocking, and optimize storage space
utilization. This may involve implementing designated storage areas, implementing a
slotting strategy, and utilizing vertical space more effectively.
• Warehouse Management System (WMS) Implementation: Implement a WMS to
automate processes, track inventory levels in real-time, and improve picking accuracy.
Integrating barcode scanning technology with the WMS will further enhance data
accuracy and efficiency.
• Improved Inventory Management: Implement regular cycle counting to ensure
accurate inventory data. Utilize forecasting techniques to optimize inventory levels and
minimize stockouts or overstocking.
• Picking and Packing Automation: Explore automation options like pick-to- light
systems or automated storage and retrieval systems (AS/RS) to improve picking
efficiency and accuracy.
• Logistics Optimization: Utilize route planning software to create optimized delivery
routes that minimize travel time and fuel costs. Implement real-time driver tracking for
better visibility and dispatching efficiency. Explore alternative transportation options if
cost-effective.

By implementing these recommendations, the manufacturing company can

achieve significant benefits such as:

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 • Reduced Lead Times: Faster order fulfillment through improved efficiency will lead
to shorter lead times and enhanced customer satisfaction.
• Reduced Costs: Optimized picking, storage, and transportation will lead to cost
savings.
• Improved Inventory Control: Accurate real-time data will enable better inventory
management and planning.
• Enhanced Customer Satisfaction: Faster deliveries and fewer errors will lead to
higher customer satisfaction.
• Increased Competitiveness: Improved efficiency throughout the supply chain will
give the company a competitive edge.

It's crucial to develop a detailed implementation plan with timelines, budget allocation,
and resource allocation to bring these recommendations to fruition. Regularly
monitoring performance metrics and key performance indicators (KPIs) will be essential
to measure the success of the implemented changes and identify areas for further
improvement.

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REFERENCES

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(https://www.ibef.org/blogs/warehousing-and-logistics-sector-in-india)

(https://www.techtarget.com/searcherp/definition/warehouse-management-system-WMS)

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APPENDIX

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 APPENDIX I

Screenshot of Similarity Index Report

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 APPENDIX II

Feedback form from the corporate mentor

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 APPENDIX III

Feedback form from SBM mentor

SUMMER INTERNSHIP PROJECT – SBM Mentor Feedback

Name of student: JUGAL OOMMEN ZACHARIAH
Reg. No: 2327324
Title of SIP: Reducing Lead Time at Warehouse and Logistics Operations to minimize time
through Improved Routing Efficiency.
Constructive/Productive aspects of the internship project:

Areas of improvement:

Signature of mentor:

Name of Mentor:

Date:

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 APPENDIX IV

Feedback form from Viva Panel Member

SUMMER INTERNSHIP PROJECT – VIVA PANEL MEMBER

Feedback
Name of student: JUGAL OOMMEN ZACHARIAH
Reg. No: 2327324
Title of SIP: Reducing Lead Time at Warehouse and Logistics Operations to minimize time
through Improved Routing Efficiency.
Constructive/Productive aspects of the internship project:

Areas of improvement:

Signature of mentor:

Name of Mentor:

Date

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 APPENDIX V

List of online courses completed on topics related to SIP

1. Supply Chain Management

2. Inventory Management

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