BAT 06209.pptx

Log book
• Transportation log book
Refers a document that use to record of important events of
information in the management, operation, and navigation of a vehicle,
ship air plane, train etc.

What Must the Log Include?
• The regulations do not specify what the log must look like. However, it must include a 24
hour grid and the following information on each page:
• Date: You must write down the month, day, and year for the beginning of each 24 hour
period.
• Total driving miles: You must write down the total number of miles you drove during the
24 hour period.
• Truck or tractor and trailer number: You must write down either the vehicle number(s)
assigned by your company, or the license number and licensing state for each truck (and
trailer, if any) you drove during the 24 hour period.
• Name of carrier: You must write down the name of the motor carrier(s) you are working
for. If you work for more than one carrier in a 24 hour period, you must list the times you
started and finished work for each carrier.
• Main office address: You must write down your carrier’s main office address.
• Your signature: You must certify that all of your entries are true and correct by signing
your log with your legal name or name of record.
• Name of co-driver: You must write down the name of your co-driver, if you have one

What Must the Log Include?
• Time base to be used: You must use the time zone in effect at your home
terminal. Even if you cross other time zones, record time as it is at your terminal.
All drivers operating out of your home terminal must use the same starting time
for the 24 hour period, as designated by your employer.
• Remarks: This is the area where you must list the city, town, or village, and state
abbreviation when a change of duty status occurs. You should also explain any
unusual circumstances or log entries that may be unclear when reviewed later,
such as using the adverse driving conditions exception.
• Total hours: You must add and write down the total hours for each duty status at
the right side of the grid. The total of the entries must equal 24 hours.
• Shipping document number(s), or name of shipper and commodity: For each
shipment, you must write down a shipping document number (such as a
shipping manifest number) or the name of the shipper and what you are hauling.

Example of a completed daily log

A Few Things Before We Start
examples of the Federal hours of service rules in action. Each example includes:
 One or two completed grids from a driver's log. Where there are two consecutive logs, the labels “Day 1” and “Day 2” are used to tell
the two days apart;
 A brief description of any violations that may exist;
 An in depth explanation of the hours of service rules as they apply to the sample log(s); and
 For some of the examples, a discussion of what the driver could have done differently to avoid the violation(s).
Each blue horizontal line drawn within each log grid is labeled with a number of consecutive hours the driver spent in that duty status. A
violation will be labeled with a particular hours of service rule and is used to indicate the point at which the driver went into violation of
that rule. The violation continues until the driver stops driving a commercial motor vehicle (CMV). Here are what these labels will look
like

Examples o transportation log book

• Violations: There are no violations in this example.
• Explanation - 11 Hour Limit: After 10 consecutive hours off duty, the
driver had 11 hours of drive time available starting at 1:00 a.m. The
driver drove between the hours of 1:00 a.m. and 6:00 a.m. (5 hours),
then again between the hours of 7:00 a.m. to 10:00 a.m. (3 hours)
and finally between the hours of noon to 2:00 p.m. (2 hours). Since
the driver was allowed a total of 11 hours of drive time but only drove
10 hours (5 + 3 + 2) so no violation occurred

• here are no violations in this example.
• Explanation - 11 Hour Limit: After 10 consecutive hours off duty, the
driver had 11 available hours of driving and began driving at 11:00
a.m. on Day 1. The driver drove between the hours of 11:00 a.m. until
4:00 p.m. (5 hours), went off duty for 1 hour, then drove between
5:00 p.m. and 11:00 p.m. (6 hours). No more driving was completed
on Day 1 so the driver did not exceed the 11 hour driving limit (5 + 6).
Starting at Midnight going into Day 2, the driver may not drive
a CMV until he/she goes off duty for a minimum of 10 consecutive
hours, which is indicated on the log. On Day 2, the driver only
operated a CMV for 3 hours and so no violation occurred.

• Violations: There is an 11 hour rule violation from 6:00 a.m. to 7:00
a.m. on Day 2.
• Explanation - 11 Hour Limit: After 10 hours off duty, the driver had
11 hours of driving time available at 10:00 a.m. on Day 1. At the end
of Day 1, the driver had 3 hours remaining and, without a valid 10
hour break, the driver violated the 11 hour limit by driving an
additional 1 hour from 6:00 a.m. to 7:00 a.m. on Day 2. After taking
10 consecutive hours off duty from 7:00 a.m. to 5:00 p.m., the 11
hour limit reset and the new calculation point became 5:00 p.m. with
a full 11 hours available.

Transportation log sheet
• A transport log sheet allows a transport company to keep records of
where items in its care are being transported.
• This log also keeps track of which drivers are transporting these
goods, which in turn assist in determining the driver’s pay.
• A log sheet is simple to create and can include as much, or as little
information as you wish to include.

Logistics planning and strategies
• A strategic plan
 is a framework or series of guideposts that keeps an operating plan on the right
path to meeting objectives. It defines who you are, where you want to be and
how you’ll get there while addressing stakeholders’ concerns and expectations.
• Logistic planning
is gathering information and putting structures in place to make sure your
logistics function can achieve the three rights in the future, in an ongoing fashion.
More importantly, it seeks to make certain you have plans in place to deal with
disruptions to your supply and transport resources.
As ‘leaner’ logistics practices become the norm, fluctuations and disruptions are
becoming commonplace. A proper logistics plan will be responsive to disruptions
in order to keep production moving even in adverse conditions.

• Making effective logistics planning and strategy paramount to your
company’s success
• A comprehensive logistics strategy should encompass strategic,
operational and tactical levels of logistical planning as well as the four
main points in the supply chain, including facility locations, customer
service levels and inventory and transportation decision-making

What are the benefits of logistics planning?
• The primary objective of any logistics strategy is to deliver the right
products to the right customers at the right time and at the least
possible cost.
• An effective logistics strategy can help your company minimize
investments and other costs by defining the service levels at which
your organization is most cost-effective.
• The result is a win-win situation: your company benefits from cost
efficiency, and your customers get what they need, when they need
it, boosting customer satisfaction.
• Logistics planning minimizes risk by enabling companies to anticipate
change and develop strategies to adapt to those changes

Three major aspects of strategic logistics planning
• Long-term goals: Long-term goals include customer satisfaction, your
company’s competitive advantage and supply chain management.
• Means: The means for achieving your long-term goals include
delivering value and customer service.
• Process: The process for achieving your company’s long-term goals
includes how you’ll execute your logistics strategy, as well as
anticipating and managing change and relating each element of your
logistics strategy to the company’s overarching business objectives.
• A strategic logistics plan typically covers five or more years.

Element of logistics strategies plan
• It relates to other business functions.
• Logistics objectives and how each relates to cost and service for the product and the
customer.
• Descriptions of each strategy that will support the overall strategic logistics plan. These
strategies should include inventory and warehousing, order processing and fulfillment,
transportation and customer service.
• A breakdown of each logistic or operational plan including timing, costs for
implementation and their impact on other business functions and the business as a
whole.
• Forecasts of requirements for the workforce, capital and any other necessary assets.
• A financial statement that describes capital requirements, operating costs and cash flow
in detail to paint a clear financial picture for executives and stakeholders.
• A business impacts analysis that details anticipated impacts on profits, customer service
and other business functions

There are five elements of logistics:
• Storage, warehousing and materials handling
• Packaging and unitization
• Inventory
• Transport
• Information and control

Major logistics planning area
The design of a logistics system is based on four major planning areas
1.Customer service levels
Customer service in logistics includes product availability, lead time to
obtain the product, condition of the product when received and
accuracy of filling an order.
2.Location decisions
Location decisions relate to the placement of facilities such as
warehouses, terminals, stores and plants and the assignment of
demands to supply points

Major logistics planning area
3. Inventory planning
Inventory planning encompasses setting up inventory levels and
inventory replenishment schemes
4. transportation management.
Transportation management deals with transportation mode, fleet size,
route selection, vehicle scheduling and freight consolidation.
All four areas are economically interrelated and should be planned in
an integrated manner to achieve maximum benefit

• Various logistics strategies for maintaining a adequate level of
resources and efficiency operational planning
Outsourcing
Lean
Agile
 Just in time (JIT)
Distribution strategy
Route scheduling strategy
Etc.

• Lean strategy
Lean thinking has its origin in Japanese production operations but it
can be applied in any organizational type and can be applied across all
areas of the business.
This approach believes in quality, waste elimination and employee
involvement.
 Lamming define the lean supply as elimination of duplication effort
and capability in the supply chain or eliminating waste in the supply
chain (waste means any activities that does not add value in supply
chain.
Seven waste are; overproduction, transportation, waiting, motion,
over-processing, inventories and defects/corrections.

• Agile strategy
The concept of agility is an acknowledgement that business operates
in an ever changing word with constantly changing demands.
Agility primary is concerned with responsiveness.
It is about the ability to match supply and demand in turbulent and
unpredictable market.
It is demand driven rather than forecast-driven. It is related with
eliminating the barriers to quick response to the customer

• Distribution strategy
Exclusive
Limit the distribution to only one intermediary in the territory
Selective
Limited number of outlets in a given geographical area are used to sell
the product.
Intensive
 Producer/manufacturer use of all suitable outlets to sell a product.
Firm’s products in nearly every available outlet.
Requires cooperation of many intermediaries.

Outsourcing Decisions
Outsourcing refer to transfer of activities that
were previously conducted in-house, to a third party
(Van Weele, 2010)
Outsourcing refer to management strategy by
which major non core functions are transferred to
specialist, efficient and external provider (Lysons,
2006).
Logistics Outsourcing can be defined as the
strategic use of outside parties (business
independency) to perform activities traditionally
handled by internal staff and resources.

Levels of Logistics Outsourcing
1. In-house logistics
 Refer to outsourcing level in which the
company perform all logistics operations
inside the organization.
 It need a company which is good financially

2. Third Party Logistics (3’PL)
 A company specializing in performing
logistics-related services for its customers
include:
o Transportation
o Warehousing
o Distribution
o Financial services
 3PL target one function

3. Furth party logistics (4’PL)
Arrangement in which a firm contracts out
(outsources) its logistical operations to two or
more specialist firms (the third party logistics)
and hires another specialist firm (the fourth
party) to coordinate the activities of the third
parties.
4PLs manage and direct the activities of multiple
3PLs, serving as an integrator.
4PL manage the entire process

Key drivers of Outsourcing
•Quality
•Core business
1
•Finance
•Cost
2

Make or Buy Decisions
 Shall we outsource ( Third Party/Furth party) or own account (In
source )?
 Probert decision process model
 Terms contract logistics and outsourcing are sometimes used in
place of 3PL.
Is the component
core business?
YES
Own
NO
O/3PL
Have we design
capability?
YES
O/3PL
NO
3PL
Have we
manufacturing
capability?
YES
O/3PL
NO
3PL
Are we
competitive?
YES
OWN
NO
3PL

Important Tips for Effective Logistics
Management & Network Optimization
• Proper Planning
The first step to accomplishing a task is planning. Now, planning
encapsulates various factors. It involves procuring the goods, storage
facilities, and delivery of products to the exact location
The purpose of planning is to attain maximum work in the least
possible time. At the same time, the planning should aim at
maximizing the profits.
Proper planning is a wise plan, but an experienced manager will be
able to prepare for unforeseen circumstances as well

• Adopt Automation
In the age of automation, technology plays a major role in increasing
the efficiency of an organization. Automation has a vital role in
business process optimization. There is valuable software that can be
deployed in the logistics process.
For example, business process software can be integrated that
provides timely updates regarding the movement of goods
This saves a considerable amount of time because manual
interference is eliminated. Moreover, accurate tracking help in
improving overall process management

• Value Relations
The team is an essential aspect of an organization that is responsible for
growth. For this, you need to invest in the proper training of employees.
Regular training workshops keep the employees updated with the latest
trends in the logistics industry. This helps in increased efficiency and
satisfaction of the clients
A logistics manager with impeccable interpersonal skills is crucial for the
organization. There are times when things don’t work according to the
plan. In this situation, instead of panicking, you need a reliable person who
can sort out the issues with the utmost efficiency.

• Warehouse Management
Effective logistics management is incomplete without
proper warehouse management. Warehouse operations are
considerably dependent on the type of goods.
For example, perishable goods, such as dairy products, need
refrigeration facilities. Grains should be stored in a moisture-free
environment. Similarly, the specifications vary according to the
products. The logistics firm should aim at developing the warehouse
inventory so that there is minimum wastage of goods.

• Efficient Transportation
The transportation department can be analyzed to decrease the
expenses of the logistics firm and at the same time, it can be
revamped for faster delivery of the products. Following factors should
be considered for efficient transportation:
Determining the best delivery route. A logistics firm should opt for
the shortest yet safest route. This is beneficial for saving money as
well as time.
Cost-effective packaging that ensures low investment and safety of
goods as well. Optimize the packaging so that it occupies less volume
and it does not increase the weight of the package.

Important Tips for Effective Logistics Management
& Network Optimization
• Measure and Improvise
Logistics network optimization is incomplete without integrating
measurement, analysis, and feedback. When you deploy new strategies in
the system, you need to measure the output. This is important as it intimates
the success or failure of the strategy.
Measurement tools and software should be integrated that easily determines
and classifies the information as per the requirement. Your future planning
is heavily dependent on the measured information. Analyze the
metrics related to different operations. This includes:
Cycle time metrics
Cost metrics, and
Service metrics
Generous feedbacks help in improvising. The ideas and suggestions of the
employees should be recorded periodically. This ensures that you generate a
pool of ideas and at the same time, it reveals any flaws in the system.

Logistic Order Cycle
Stage 1
ORDER PLANNING
Stage 2
ORDER
TRASNMITTA
L
Stage 3
ORDER
HANDLING
Stage 4
ORDER
PICKING &
ASSEMBLY
Stage 5
ORDER
DELIVERY
LOGISTICS PROCESS used to deliver goods

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