logistics

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INTRODUCTION
Transportation takes a crucial part in the supply chain management. The operation of transportation
determines the efficiency of moving products. Managing transportation from different suppliers and
constant coordination is essential to ensure that there are no delays in the production line.
As the automotive industry continues to navigate challenges related to cost optimization, sustainability, and
customer satisfaction, efficient transportation and delivery play a pivotal role. This study on re-routing
delivery routes aims to shed light on the opportunities for manufacturers to enhance their logistics
processes, reduce costs, and contribute to a more environmentally friendly operation.

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Vel Tech
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COMPANY PROFILE
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Founded January 2006
2 Business Units
Unit #1: Comfort Products Unit #2: Mechanical Cables
Location
Located in Ambattur in Chennai, India, 25 km from theairport
Products
Seating Cables, Door Cables, Hood Cables, Light AdjustCables, Window Regulator
Cushion Over-mold, Lumbar Support and Motors.
Customers
Ford, FCA, Mahindra and Mahindra, TATA; Renault-Nissan, Honda, Suzuki.
Lear; Faurecia, Aiden; Magna, TM Seating; TS-Tech,Brose; Grupo Antolin, Johnson

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OBJECTIVES
OBJECTIVES
PRIMARY OBJECTIVE:
A Study on reducing transportation costs by re-routing delivery routes with the reference of Legget and
Platt automotives.
SECONDARY OBJECTIVES :
•To examine the current transportation cost practice in the company.
•To analyze the Utilize route planning software to optimize delivery routes, reducing mileage and fuel
costs.
•To find the suggestion to reduce expenses associated to transportation

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SCOPE OF THE STUDY
 Transportation and delivery rerouting plays a crucial role in the overall
efficiency in the automotive industry.
 The scope of the study is that it helps to understand the transportation
practice and facing problem associated with transportation. This study
helps to identifying the challenges in significant delivery and helps to
support route optimization.
 This study seeks to offer suggestion for improving the overall efficiency
and cost –effectiveness of the delivery process.

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REVIEW OF LITERATURE
Emily Johnson (2018) "Managing Inbound Logistics: Key Challenges and Best Practices" Summary: This literature
review explores challenges in inbound logistics, including long lead times, poor visibility, and inefficient transportation.
It highlights bestpractices such as demand forecasting, vendor-managed inventory, and data sharing to overcome these
challenges.
Robert Thompson (2017) "Global Inbound Logistics Challenges in a Multinational Supply Chain" Summary: This
literature review discusses challenges specific to global inbound logistics, such as customs regulations, language
barriers, and cultural differences.It suggests strategies like centralized control, global trade compliance, and localization
toaddress these challenges.
Dino Knoll (2016) “Predicting Future Inbound Logistics Processes using MachineLearning”. This paper presents an
approach for predictive inbound logistics planning. Using machine learning, generic knowledge of logistics processes
can be extracted and used to predict future scenarios.

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RESEARCH METHODOLOGY
RESEARCH MODELAND HYPOTHESIS
•Environmental factors
•Delivery route
•Optimization of Techonolgy
•Transportation cost
INDEPENDENT VARIABLES
•Customer satisfaction
•Vehicle Utilization
DEPENDENT VARIABLES
SAMPLING METHODS
A non-probability convenience sampling
technique.
SAMPLING SIZE : 100

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HYPOTHESIS:
Null Hypothesis (H0):
There is no statistically significant difference in transport costs between
deliveries using optimized routes and those using traditional routes; any observed
variations are due to random chance.
Alternative Hypothesis (H1):
There is Strategically re-routing delivery routes based on data-driven analysis
and optimization algorithms will result in a statistically significant reduction in
transport costs compared to traditional routes.

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STATISITICAL TOOLS
CORRELATION AND ANOVA
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DATA ANALYSIS AND INTERPRETATION
CORRELATION:
To analyze the transportation rerouting efficiency in the company
HYPOTHESIS: Null Hypothesis (H0): There is no relationship between the transportation rerouting efficiency in the company .
Alternate Hypothesis (H1): There is relationship between the transportation reroutingefficiency in the company.
Environmental
Factors
Delivery
Roots
Optimizatio
Of
Technology
Environmental Factors Pearson
Correlation
1 .546** .359**
Sig. (2-tailed) .000 .010
N 51 51 51
Delivery Routes Pearson
Correlation
.546** 1 .422**
Sig. (2-tailed) .000 .002
N 51 53 53
Optimization
Technology
Pearson
Correlation
.359** .422** 1
Sig. (2-tailed) .010 .002
N 51 53 53
INTERPRETATION:
Here p-value is less than 0.05 accept alternate hypothesis
which means there is a relationship between the factors
of Deliver Routes facilities provided in the organization
to employees. As there is a relationship, we should check
for the type of correlation.As the signs are positive here,
we conclude that there is positive correlation between the
factors of Delivery Routes

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FINDINGS
 There is a relationship between the factors of Deliver Routes facilities provided in the organization to
employees. As there is a relationship, we should check for the type of correlation. As the signs are positive
here, we conclude that there is positive correlation between the factors of Delivery Routes.
 Transport activities and performance related is less than 0.05, there exists a difference among age group with
respect to welfare and perception related factors where in the significant value of loyalty towards the work and
increases the satisfaction level is greater than 0.05 which means there is no difference among different age
groups with respect to welfare activities and performance of employees

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SUGGESTIONS
 The study views on the challenges on transport is effectiveness in the company. Challenges faced by organizations in
transporting and their impact on supply chain performance. The proposed strategies and framework will offer
practical insights for practitioners to address these challenges effectively and enhance the efficiency and resilience
of their reducing transportation. Furthermore, the research outcomes will serve as a valuable resource for
organizations seeking to optimize their transportation processes and improve their overall supply chain performance.
The proposed recommendations and solutions assist practitioners in addressing these challenges effectively,
optimizing their transportation, and improving customer satisfaction levels. Improving the supplier collaboration,
transportation optimization,Technology, and information sharing practices, leading to improved transport.

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CONCLUSION
The strategic re-routing of transportation holds significant potential for reducing costs and optimizing overall
efficiency in supply chain management. By leveraging advanced technologies, data analytics, and real-time
monitoring, businesses can identify opportunities to streamline routes, minimize fuel consumption, and enhance
delivery timelines. This not only leads to direct cost savings but also contributes to a more sustainable and
environmentally friendly transportation system. The adoption of re-routing techniques, companies can minimize
fuel consumption, decrease emissions, and contribute to an eco-friendlier transportation system. Additionally, the
optimization of routes leads to reduced transit times, lowering the risk of delays and improving overall service
reliability. This not only enhances customer satisfaction but also contributes to a more competitive and agile
business operation

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QUESTIONNAIRE
7. In your opinion, can rate optimization contribute to reducing the environmental Impact of
transportation activities?
8. .Rate optimization in transportation logistics is essential for cost-efficient operations?
9.Integrating rate optimization practices is crucial for minimizing the carbon footprint of
transportation operations
10.Organizations should carefully consider the ethical implications of rate optimization in
transportation, especially concerning the environment
11. Geographical constraints, such as narrow roads and steep inclines, significantly impact the
feasibility of re-routing delivery routes?
2. AGE:
3. EDUCATIONAL QUALIFICATION
4. DEPARTMENT
5. How long have you been in current roll?
6. From your experience, do you believe that rate optimization can lead to cost
savings intransportation operations?
1.GENDER:

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12. Re-routing delivery routes can be challenging in areas with limited access due to geographicalfeatures?
13. Traffic congestion has a notable effect on the efficiency of delivery route re-routing.
14. Aligning re-routed delivery routes with customer time preferences enhances customersatisfaction?
15. Customer-specific requirements can complicate delivery route re-routing and impact overallefficiency?
16. Re-routing can lead to more accurate delivery time estimates, enhancing customersatisfaction?
17. Frequent re-routing may cause delays, negatively impacting delivery times and customersatisfaction
18. Rapid re-routing decisions may lead to mistakes in order fulfilment, affecting order accuracyand customer
satisfaction.
19. Effective re-routing positively impacts overall service quality by ensuring timely and accuratedeliveries.

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