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5TH
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DepartmentofLogisticsandTransport
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DepartmentofLogisticsandTransport
Students of
Logistics & Transportation batch 03 &
International Transport Management
& Logistics batch 11 of Faculty of
Management, Humanities and Social
Sciences, Department of Logistics and
Transport Proudly Presents
Logistics Day 2017
on 19th of October
From 9.00 a.m onwards
At the
KLAUS E. OLDENDROFF AUDITORIUM
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DepartmentofLogisticsandTransport
Content
CINEC CAMPUS
PARTNER AND AWARDING INSTITUTIONS UNI-
VERSITY
MESSAGE FROM THE PRESIDENT
MESSAGE FROM THE JOINT MANAGING DI-
RECTOR
MESSAGE FROM THE VICE PRESIDENT
MESSAGE FR0M THE DEAN
MESSAGE FROM THE ASSOCIATE DEAN
MESSAGE FROM THE PRESIDENT -
A Contemporary Appraisal of Logistics
Performance in Sri Lanka
“When there is a battle going on you need to
have the right equipment at the right time and
you have no cushioning time”
Evolution of Logistics and Transportation
Military Logistics Pave the Way for Vision of
Business Logistics
Revolution in Military logistics (RML)
THE INTEGRATION OF FINANCE IN LOGISTICS
AND SUPPLY CHAIN INDUSTRY
Urban Transport Structure and Mental Well Being
of the Passengers and Residence
The Importance of Drafting Proper Patent Claims
for New Inventors in Sri Lanka
Interunivesity Article Compition
“Work is life and Life is work”
“The world we live in is a VUCA World”
Inter School Quiz Competition 2017
Organizing Committee of the Logistics Day
Acknowedgement
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DepartmentofLogisticsandTransport
Thisun kalana
Pasana Ahiru
Dunith Dulshan
Kamal Sithumina
Shashika Lakshani
Radisha Gihara
Serasa Rathnasiri
OTHER EDITORS
“A flower makes no garland”- Thus this magazine is not the outcome of the efforts put in by one person but is the immense effort put
forward by first and foremost of magazine committee members, all authors and Logistics day advisory board. Logistics Today 2017
edition is comprised interviews conducted with prominent specialists in the military field and professionals in the field of logistics and
transport. It’s also included the articles written by academics and undergraduates on different topics related to Empowering Logistics;
A Contemporary Appraisal of Military Strategy. The magazine also encompasses the advices from professionals to shape up the career
path of the young undergraduates who are newly stepping in to the industry.
We hope that we have accomplished our objective of escalating awareness relevant to the field of logistics and transport through our
articles and hope that all the insights provided will be useful for the readers to mould their lives and also, I would like to extend my
heartfelt gratitude to everyone who supported in different ways in order to succeed this task. Specially to everyone from the corporate
sector for giving us time, amidst their busy schedules.
I also convey my sincere gratitude to the designers who fostered artistic creativity to the magazine, the editorial board, all the writers,
everyone from the Department of Management, Humanities and Social Sciences, all the lectures, the students of LT Batch 4 and ITML
Batch 11, all students of the Department of Management, Humanities and Social Sciences and finally those whose names are not
mentioned. This would not have been a reality if not for your great assistance.
Ishan Dissanayake
Chief editor
Logistics Today
Magazine
Committee
Logistics
Today
Udari Yashodha
Journalist reporter
Logistics Today
Ravindi Himsari
Journalist reporter
Logistics Today
Akith Hiranya
Official photographer
Logistics Today
Pasindu Pinsara
External Coordinator
Logistics Today
Unnathi Mallawarachchi
Internal Coordinator
Logistics Today
Dhananjani Senevirathne
Lecturer
Logistics Today
“Success does not lie in results, But in efforts. Being the best is not so important,
Doing the best is all that matters”
-Kevin Hennessey-
By following the footsteps of our senior batchmates, we decided to succeed in the
great dream of launching a magazine for the Logistics Day 2017. Logistics Today 2017
is not just a magazine but a compilation of the immense efforts, commitment and
dedication put forward by us and is also a specimen of our creativity.
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DepartmentofLogisticsandTransport
The
Colombo
I n t e r n a t i o n a l
Nautical and Engineering
College (CINEC) is one of
Sri Lanka’s largest non-state sector
higher education institutions situated in the
picturesque suburbs of Malabe, in close proximity to
Sri Jayawardanapura, the administrative capital of
Sri Lanka.
CINEC campus was established in 1990 with the
vision of building close working partnership with
the industry, the professional organizations and
other stakeholders to serve in the best interest of its
clients and customers. It has branches in Nugegoda,
Trincomalee and Jaffna, and caters for over 20,000
students, annually, who follow a range of over 185
study and training programmes on offer, all leading
to highly sought-after opportunities of employment
in the fields of Maritime, Engineering, Information
Technology, Logistics and Transportation, Aviation,
Law, English, Hospitality & Vocational Training.
The institute is one of the most modern and
sophisticated learning campuses in the Asia-
Pacific region. It is fully equipped with modern
classroom facilities, advanced laboratory facilities,
technical workshops and state-of-the-art simulators.
The campus is also equipped with residential facilities,
cafeteria, swimming pool, gymnasium and other allied
facilities for the use of students and guests and as such
is considered a high ranking educational institution in
Sri Lanka.
The courses are taught by lecturers who are well qualified
with postgraduate degrees and with several years of
industrial experience. The students will be exposed
to a sound theoretical base coupled with numerous
practical exercises fully supported by our experienced
academic staff. All practical exercises
are conducted in our well equipped
laboratories. Facilities are also provided
for final year student projects to be carried out in research
organizations under expert supervision.
Enriched with ISO 9001:2008 Quality Management System
Certification, the organization has been bestowed with the
prestigious National Quality Award (NQA) for excellence
in education services in four consecutive five-year terms
in 1999, 2004, 2009, and 2014, won the Asia Pacific
Quality Award for best-in-class in education in 2010, and
in 2012 was awarded ‘World Class’ – Global Performance
Excellence Award – Education Organization.
CINEC CAMPUS
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DepartmentofLogisticsandTransport
DALIAN MARITIME
UNIVERSITY
PARTNER AND AWARDING INSTITUTIONS
T
he Dalian Maritime University (DMU) is one of the
largest and best-recognized maritime universities and
is the only key maritime institution under the Ministry of
Transport of the People’s public of China.
DMU has over 100-year tradition in learning and research. It
has been recognized by the Intentional Maritime Organization
(IMO) as one of the excellent centres for maritime education
and training.
The University consist of 13 colleges, three other divisions
that serve as support bodies for the University. Presently,
DMU has one post-doctoral programme (R&D base), 16
doctoral programmes, 57 master’s degree programmes, and
42 undergraduate degree programmes.
The current student population has risen to approximately
17,000. Additionally, the university enrolls overseas students
for Bachelor’s, Master’s and Doctoral degree programmes.
More than 4,000 overseas students and advanced
professionals from over 30 countries and regions have
so far been receiving education and training at DMU.
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DepartmentofLogisticsandTransport
Logistics Day 2017
The concept of Logistics is, an inevitable component for
organizations in prospering their businesses, regardless
of its size, business status, industrial capabilities, market
opportunities and many other characteristics. Similarly,
the concept of Logistics is applied in international Trade,
construction, engineering, services, and the list goes on.
However, this specific concept has its roots in the military
and not in the business world although it has become
a buzz word in commercial world today. Logistics was
originated as a science of computing and calculating,
which represented with the Greek word ‘Logistikos’ and
the Latin word ‘Logisticus’ and was evolved throughout the
decades, with several important milestones such as material
handling technology in pyramid construction in Egypt,
intercontinental trade initiated from Greek rowing vessels,
and supplies of food and armaments to the moving armies
and war front during World War I and II. It has now acquired
a wider meaning and is used in the business environment for
effective and efficient movement of material from suppliers
to the manufacturers, and finally, the finished goods to the
customers. With this understanding, it would be beneficial to
look-upon the logistics practices, concepts, and disciplines
that facilitate successful military operations and ultimately
contribute towards winning the battle.
“Clearly, Logistics is the hard part of fighting a war”
-Lt. Gen. E. T. Cook, USMC, November 1990
It is distinctly evident that the logistics approach has become
the heart of winning the war with the better operations,
planning and processes. Degenerating to the situation in Sri
Lanka, the civil war that had prevailed for three consecutive
decades, was ultimately abolished with great planning,
organizing and leading in combination of good logistics
services.
“Logistic considerations belong not only in the highest
echelons of military planning during the process of
preparation for war and for specific wartime operations, but
may well become the controlling element with relation to
timing and successful operation.”
- VADM Oscar C. Badger, USN
According to the global ratings Logistics Performance
Indicator-LPI) of the World Bank with respect to logistics
performance, Sri Lanka is categorized as a partial performer
with a LPI score of 2.68. The big picture based on LPI
results across four editions (i.e.2010, 2012, 2014, and 2016)
positions Sri Lanka in the 86th place out of 167 countries.
Given the high attention to convert the country into a logistics
hub. The stakeholders in logistics have a big responsibility to
move the country forward. There are greater opportunities
awaits in the logistics industry for young generation and the
gap is ever increasing. The awareness in the society with
respect to these opportunities and the availability of high
quality education and training in the field of logistics is the
key in achieving improved LPI results.
CINEC Logistics day is an annual event organized by the
undergraduates in Transport and Logistics degree
programs and the CINEC Logistics day 2017 will be
held on the 19th
October 2017 at Clause E. Oldendorff
auditorium in CINEC Campus Malabe.
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DepartmentofLogisticsandTransport
“It is with great pleasure that I write this message for the Logistics Day
2017 of CINEC Campus.”
This year too, I see a lot of enthusiasm among the students from the
Department of Logistics and Transport of the Faculty of Management to
make this event a great success, surpassing last year’s achievements.
The theme they have selected this year ‘’Empowering Logistics: A
contemporary Appraisal for Military Strategy’’ is an eye opener for all
those who are not conversant with the subject of logistics and a good
start up point for all those who are hoping to embark on a career related
to logistics.
Sri Lanka being an Island nation needs an efficient logistic chain mainly
connecting sea and air routes to support its economy.
Since the Government of Sri Lanka’s aim is to make our country a Maritime
and Logistics hub in the region; a great deal of awareness on Maritime
and Logistics among the young and future generations is needed. The
MESSAGE FROM THE
PRESIDENT
CINEC Campus
Capt. Ajith Peiris
project which the Department of Logistics and
Transport has embarked on to educate the school
children on the subject is very laudable.
I congratulate them for their initiative on this timely
project.
Finally, I wish all the participants and the organizers
an enjoyable and a very successful LOGISTICS Day
2017.
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DepartmentofLogisticsandTransport
Ms.N.Sivapragasam
MESSAGE FROM THE JOINT
MANAGING DIRECTOR
CINEC Campus
It is with great pleasure that I write this message for the
Logistics Day 2017 of CINEC Campus. I am indeed happy
to see the undergraduate students of CINEC selecting
a timely and creative theme such as “Empowering
Logistics: A Contemporary Appraisal of Military Strategy”
for the event. The concept of logistics in the real battlefield
for successful military operation is an appropriate topic
for the students of CINEC to obtain an insight into the
theories and strategies with respect to military logistics,
especially about the “lessons learnt’’ and to understand
how best these experiences can be used in the context
of the commercial and corporate environment. Therefore,
the CINEC Logistics Day 2017 is an eye opener for
policymakers since the objective of creating awareness
in the society; particularly within the school system, as
the contribution of logistics to the military industry is very
important. It is clear that the logistics education has a
greater role in Sri Lanka today.
Therefore, the initiative taken by the undergraduates of
CINEC in the endeavor to educate and guide the next
generation of students is commendable. I wish them all
the very best for Logistics Day 2017.
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DepartmentofLogisticsandTransport
MESSAGE FROM THE VICE
PRESIDENT
CINEC Campus
	 It is with immense pleasure that I write this message for the Logistics
Day 2017 of CINEC Campus. CINEC Logistics day is an annual event fully
oraganized and conducted by second year undergraduate students of the
Department of Logistics and Transport Management. I believe that it is a good
opportunity for all students to familiarize with industry practices and various
other norms, disciplines, and protocols.
It is encouraging to note that the theme for this year “Empowering Logistics: A
Contemporary Appraisal of Military strategy”, is very innovative and meaningful.
By selecting this topic, you have been able to explore an untouched novel area to
deliver very attractive presentations by experts in relevant fields. The mission of
CINEC Logistics day is “To build a strong platform that empower students apply
their acquired skills and knowledge, and to rely upon their personal attributes to
lead productive lives and to become contributing members thus help improve
global performance in the field of logistics”. This gives a clear indication that
the objectives set by the advisory board of the faculty will be delivered on the
Logistics day. Therefore, I am extremely glad and proud of your initiatives which
Prof. (Capt.) Nalaka Jayakody
I am sure will help in producing highly
innovative knowledge sharing platform
for the logistics industry
I thank everyone who worked hard in
making the CINEC 2017-Logistics day
a remarkable success.
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DepartmentofLogisticsandTransport
MESSAGE FR0M THE DEAN
At this very important occasion where
the Department of Logistics and
Transport organizes another Logistics’
DayatCINECCampus,itgivesmegreat
pleasure in extending my sentiments
towards its success. As a signature
event in CINEC’s calendar, this
brings into limelight the outstanding
performance of the students
undergoing various programmes
from Foundation to Doctoral level
studies relating to logistics and
transportation management. Likewise
in previous years, the organizers of
this year’s Logistics’ Day have come
out with a theme that suits present-
day challenges faced by the industry.
Although it is titled “Empowering
Logistics: A Contemporary Appraisal
of Military Strategy”, its sphere of
application doesn’t limit to military
interests in a much narrow scope but
to a wider market environment where
the private sector logistics market
have a role to play in a common pool.
Until quite recently, the term
‘logistics’ wasn’t a common word
of usage in considerable quarters
of the commercial world due to its
origination and usage in a more military
context. However, the expansion of
international trade has brought into
being an association of this term
with the process of organizing and
supply of goods and services of a
more commercial nature. At present,
this is widely used and refereed in
many corners inferring that ‘nothing
can succeed without proper logistics
in place’. This has not only turned
out to be an integral part of business
processes of any kind whatsoever, but
an element that affects the integrity
of a business indeed. When the
Department of Logistics & Transport
unveiled this year’s theme, I was
dubious whether it would serve any
purpose within the context of studies
that the students undergo in a non-
military environment. However, it
turned out in my own conscience
that modern military activities widely
associate with the commercial world
in terms of organizing and supplying
of matter that are necessary in both
their military and civil conducts. In
my own words; let me say that this
year’s Logistics Day would certainly
turn the pages of this highly respect
field as “game-changer for forward
thinking”. My findings could be well justified within the modern day trends in the
organizing and supplying of weapons and security personnel on board civilian
ships to protect and combat against piracy; supplying and organizing weapons,
personnel, and high technological apparatus on board civilian aircrafts against
terrorism; detecting and remedying dangerous nature of cargo, supplies, and
other substances on board ships, aircrafts, and land vehicles for the protection
of States against coordinated attacks; sharing of research outcomes between
military and non-military entities for the benefit of security and protection of
each other’s interests; and extending mutual cooperation for the benefit of geo-
political and economic wellbeing of States, its individuals, and their commercial
interests to name a few.
Looking back at the past events, I witness that CINEC’s Logistics’ Day caters
some great essence to knowledge thirsty individuals sphere heading for a career
in logistics. It has certainly turned out to serve as a case study for those who
are eager to expand their skills in a pure academic exercise they are involved
in various institutions. In view of gaining academic excellence, a workshop in
this nature is an essential part of a student’s life. May I take this opportunity to
wish the organizers of CINEC Logistics’ Day 2017, all the success and courage
in staging a memorable event.
FACULTY OF MANAGEMENT, HUMANITIES
& SOCIAL SCIENCES
Dr. Dan Malika Gunasekera
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DepartmentofLogisticsandTransport
MESSAGE FROM THE
ASSOCIATE DEAN
I am indeed happy about the novel theme selected by
CINEC undergraduate students for the Logistics Day
2017.
“Empowering Logistics: A Contemporary Appraisal of
Military strategy”, to me, is a timely and logical theme
to peruse in the current scenario in Sri Lanka. The
concept of Logistics has its roots in the military well
before it became a buzz word in the commercial world.
The three military forces have proved to the world
beyond any doubt about their logistics competence by
successfully combating the 30 years’ war in Sri Lanka.
Therefore, it is vital and meaningful to invite logistics
experts in the military to present papers on this special
day.
In addition, the students will reach another milestone
by taking the term “Logistics” to schools for the
second consecutive year. It is the bitter truth that
many youngsters (or even their parents) are not aware
of the tremendous benefits of the transport and logistics
sector. Even though Sri Lanka is aiming to be the most
efficient Hub in the Asia the World Bank did not even rank Sri
Lanka in the Connecting to Compete- 2016 report claiming
that the exclusion is due to “inadequate responses” from
the sample. That itself is a clear indication about the need
for improvements in logistics education and training in Sri
Lanka. Therefore, the efforts of CINEC undergraduates are
highly commendable.
I wish them all the success.
Dr. Lalith Edirisinghe
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DepartmentofLogisticsandTransport
The 2nd year students of the
Department of Logistics and Transport
of the faculty of Management,
Humanities and Social Sciences
organize the annual logistics day
with the aim of inspiring minds of
the future of the logistic industry.
Undergraduates and school students
must be encouraged to learn and
understand the broad concept of
logistics. Even though logistics is
a process that was prevailing from
a long time, in Sri Lanka the public
have not yet identified the purpose
and importance of logistics for the
development of an economy.
This year’s logistics day is based on
the theme “Empowering Logistics: A
Contemporary Appraisal of Military
Strategy”. The strategies used in
the field of military logistics are very
important for the development of
business or commercial logistics as
such strategies focus on perfection
and smoothness of the process
with proper planning and estimates.
Accuracy and punctuality are also
facts focused in Military Logistics.
The students of the LT Batch 03 &
ITML Batch 11 who are the 2nd year
studentsofthefacultyofManagement,
Humanities and Social Sciences
conduct the logistics day 2017 as a
joint project to improve the logistics
knowledge of school students as well
as university students. Hence the
inter-school quiz competition along
with the inter-university essay and
article competition were conducted
as pre events to the annual logistics
day. Empowering Logistics through
military strategy will help to enrich the
knowledge and experience for them
to build a strong skill base from which
they can launch successful careers.
Logisticians must understand that
they hold a vital responsibility in
the development of the countries’
economy.
Finally I am honored to have the
privilege of being the president of the
logistics day organizing committee. It
is also a great pleasure and privilege
MESSAGE
FROM THE PRESIDENT -
Organizing Committee
to be accompanied with such a co-operative team who accomplish
their tasks at the best level to make the event successful. I would like
to extend my sincere gratitude to Dr. Lalith Edirisinghe - Associate Dean
of the Faculty of Management, Humanities and Social Sciences along
with the Head of the Department and all the lecturers and staff members
who guided us towards success providing their maximum support and
dedication. I specially thank them for their valuable advices and for
dedicating their time. A special mention should be made to the South
Asia Gateway Terminal (PVT) Ltd. for being the exclusive sponsor of the
event.
Let us enhance and expand the logistics industry with the help of military
strategies for better productivity and for a better future.
Thisun Perera
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DepartmentofLogisticsandTransport
CINEC Logistics Day - 2017
Empowering Logistics: A contemporary Appraisal
of Military Strategy
19th October 2017 2.45PM - 3.45 PM
Panel Discussion
Panelist
Resource person A rea for
clarification/comments
Mr. Diren Hallock
Chairman -DRH Logistics International,
Former Chair of CILT, SLFFA, FAPAA and
SAFFFA (to name a few local and global
industry bodies)
Session Moderator
Commercial aspects/
opportunities/ challenges
applying military strategies in
commercial logistics problems
Prof. Capt. Nalaka Jayakody
Vice President CINEC Campus
Academic & Marchant Navy
perspective in commercial
logistics
Logistics Head of Army
Major General Shantha
Liyanage
Deriving solutions through
Military strategies to the
problems in commercial
logistics
Logistics Head of Airforce
Vice Marshal Sagara
Kotakadeniya
Admiral Thisara Samarasinghe
Consultant CINEC campus
Former Commander of Sri Lanka Navy
and Sri Lanka High Commissioner to
Australia
Dr. Dan Gunasekara
Dean Faculty of Management Humanities
and Social Sciences- CINEC Campus
Legal implications in applying
military strategies in
Commercial logistics
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DepartmentofLogisticsandTransport
INTRODUCTION
The paradigm of interconnectedness continues to hold
command in today’s global community. However, countries
face many challenges in making it happen competitively
given inherent geographic factors as well as internal
resource constraints. Sri Lanka is enriched with multiple
comparative advantages in the areas of naval, aviation
and commercial logistics. However, to derive the real
benefits of the benevolence the country should enhance
its performance in trading across borders. Interestingly,
challenges generate opportunities for innovation and
problems create new business opportunities. The three
areas of naval, aviation and commerce directly relate to
international trade and this study examines internationally
published reports that contain different indexes and
A Contemporary Appraisal of
Logistics Performance in
Sri Lanka
ARTICLES
Dr. Lalith Edirisinghe
Abstract
This paper attempts to appraise
the logistics performance in Sri
Lanka through multiple indexes
and discusses insights and
provides recommendations
for the way forward. Given the
geographic advantages and
other comparative advantages,
Sri Lanka cannot be pleased with
its current ranking. Irrespective
of different opinions about the
validity of these indexes the
business world usually considers
these rankings in their investment
decisions. Therefore, improving
the logistics and transport
performance is a must.
rakings in relation to the logistics performances in Sri
Lanka. Logistics Performance Index published by the
world Bank across four editions namely, 2010, 2012,
2014, and 2016 reveals that Sri Lanka is placed in the
86th position globally, and ranked in the third place, way
behind India and Pakistan, in the South Asian region.
According to the Global Competitiveness Index published
by World Economic Forum the transport related factors
such as quality of roads, railroad infrastructure, port
infrastructure air transport infrastructure also sees a
declining trend. Logistics and transport play a key role
in business facilitation. The Doing Business reports
published by International Bank for Reconstruction and
Development reveals that Sri Lanka has declined to a three
digit rank out of 160 countries since 2016 with respect to
ease of doing business.
Firstly, Logistics plays a crucial role in terms of sequential
impact to investment promotion of a country, thus Sri Lanka
is no exception to this phenomenon. This is a common
challenge to maximize FDIs particularly for developing
countries. Secondly, the investments in a country decides
the progress or the decline of its economy. In 1990 the
regulations in international shipping was liberalized to
great extent paving the way for international carriers to
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DepartmentofLogisticsandTransport
operate their services freely in Sri Lanka. This was well backed up by the comparative advantages of strategic geographic
location of Sri Lanka.
LOGISTICS PERFORMANCE
Logistics commonly refers to a series of services and activities, such as transportation, warehousing, and brokerage,
that help to move goods and establish supply chains across and within borders. The Logistics environment is primarily
influenced by the international trading patterns. In most countries, regulatory measures for trade in goods and services
raise new and pressing challenges for efficient cross border movement of goods and services in the 21st century. Logistics
make a major impact on economic activity in any country.
The history reveals that the location advantage alone can do very little in the country’s overall progress. The process
of export shipment should be made very efficient and customer friendly by removing other bottlenecks in border
management and external logistics. Sri Lanka too is not an exception to this reality. The Board of Investment of Sri Lanka
(Then greater Colombo Economic Commission) implemented investor focussed approach on the common bottlenecks in
Customs and border management process soon after the introduction of Free Trade Zone concept in the country. After
1990 the involvement of Central Freight Bureau in exports freight booking was made inactive and shipping industry has
been liberalized. Accordingly, it is crucial to analyse the current trends, rankings, scores, and status of various logistics
and transport related components and bridge the gaps in the respective areas.
Connecting to Compete report
It is vital to make a regional comparison of logistics performance index (LPI) results published by the World Bank. However,
the latest publication of Connecting to Compete -2016 report does not provide LPI results in Sri Lanka. Therefore, LPI
results across four editions namely, 2010, 2012, 2014, and 2016 have been considered (No. of countries evaluated 167)
to derive the analysis illustrated in table 1.
Indicator
India
Pakistan
SriLanka
Bangladesh
Maldives
Nepal
Bhutan
Afghanistan
Customs 46 66 79 104 83 1 1 134 146
Infrastructure 4 70 1 3 10 8 133 1 3 163
International Shipments 38 6 103 77 118 1 9 1 1
Logistics ualit Competence 38 73 67 93 98 147 1 4 1 6
racking and racing 4 74 8 99 10 116 141 16
imeliness 4 7 87 86 130 119 1 0 1 4
Logistics Performance Indicator LPI 4 69 86 91 100 136 140 160
Table 1: South Asia’s world rank in the Logistics Performance Indicator (LPI)
This comparison provides insights to key impediments in logistics performance in the country that may cause serious
impact to Sri Lanka. Accordingly. infrastructure and international shipments show a lagging compared with other regional
economies which is alarming.
Table 2 provides LPI scores of six LPI pillars in addition to their ranks of respective countries. Therefore, a qualitative
comparison could be derived from the LPI score. For example, Singapore ranks No.1 with a score of 4.11 in the Customs
in comparison to No.2 (Germany) with a score of 4.07. Similarly, Germany and Singapore are placed in No.1 and 3
respectively with corresponding scores of 4.38 and 4.22 respectively.
Global Competitiveness Index
Global Competitiveness Index (GCI) published by the World Economic Forum is another source used in this research.
As reported in the GCI 2016/17, Sri Lanka was ranked 71 out of 138 economies with a score of 4.19. this is a decline
from 68 with 4.21 in the previous report of 2015/16. The overall GCI rank and key components of two key pillars of global
competitiveness namely, infrastructure, and goods and market efficiency are analysed below. The analysis consists data
Table 2: The LPI ranks and scores of selected countries
Germany Sri Lanka Singapore United Arab
Emirates
Somalia
Rank Score Rank Score Rank Score Rank Score Rank Score
Customs 2 4.07 79 2.52 1 4.11 18 3.67 167 1.49
Infrastructure 1 4.38 123 2.24 3 4.22 16 3.92 167 1.54
International
S ipments
7 3.79 103 2.62 4 3.89 13 3.64 167 1.72
Logistics uality
Competence
1 4.20 67 2.84 5 4.06 23 3.71 167 1.72
racking and racing 1 4.21 82 2.71 9 4.02 19 3.78 167 1.51
imeliness 2 4.41 87 3.08 6 4.35 18 4.06 167 2.03
Logistics erformance
Indicator L I
1 4.17 86 2.68 3 4.10 19 3.79 167 1.67
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GCI Rank (out of 138 countries) Sri Lanka
71
Switzerland
1
Remarks
6th pillar: Goods market efficiency 2015/16 2016/17 2016/17
No. of procedures to start a business* 1 04 9 4 54
No. of days to start a business* 59 5 6 56
Prevalence of non-tariff barriers 9 2 73 5 8 Singapore ranks 1
Trade tariffs, % duty* 138 136 57
Prevalence of foreign ownership 61 7 9 19 United Kingdom
ranks 1
Business impact of rules on FDI 38 6 8 12
Burden of customs procedures 59 6 3 14 Hong Kong ranks 1
Imports as a percentage of GDP* 9 8 107 48 Hong Kong ranks 1
Degree of customer orientation 30 3 8 3 Japan ranks 1
Buyer sophistication 33 45 3
Doing Business Report
Doing Business Report of International Bank for Reconstruction and Development (IBRD) under the World Bank provides
various data that are commonly considered in investment decisions. Table 5 refers to New Zealand and Netherlands and
Sri Lanka. New Zealand is chosen its rank in “starting a business” and Netherlands is the best performer in trading across
borders.
Indicator Year: 2017 Sri
Lanka
New Zealand Netherlands
No of countries considered No. of Countries: 190
Starting a business 74 1 28
Trading across borders 90 55 1
Time to Export(days) Documentary compliance(hours) 76 3 1
order compliance(hours) 43 38 0
Cost to export ( SD per
container)
Documentary compliance( S ) 58 67 0
order compliance( S ) 366 337 0
Time to import(days) Documentary compliance(hours) 58 1 1
order compliance(hours) 72 25 0
Cost to import ( SD per
container)
Documentary compliance( S ) 283 80 0
order compliance( S ) 300 367 0
Ease of Doing usiness 110 1 28
For example, the quality of roads, railroad infrastructure, quality of air transport infrastructure, degree of customer
orientation, and buyer sophistication would have primarily helped Switzerland to achieve these superior performances.
Table 3: Analysis of selected components in “Infrastructure”
Table 4: Analysis of selected components in “Goods and Market Efficiency”
Table 5: Comparison of Doing Business Report of IBRD -The World Bank
GCI Rank i n 2016/17 (out o f 138
countries)
Sri Lanka
71
Switzerland
1
Remarks
2nd pillar: Infrastructure 2015/16 2016/17 2016/17
Quality of roads 27 4 3 7
Quality of railroad infrastructure 37 4 3 2
Quality of port infrastructure 58 6 0 55 Netherlands ranks 1;
New Zealand ranks 2
Quality of air transport infrastructure 45 58 8 Singapore ranks 1
of Sri Lanka and Switzerland that ranks no. 1 in 2016/17 report. It is clear from the comparisons in table 3 and 4 that even
the best performing country has performed lower in certain factors. On the other hand, it provides some insights as to
what factors may critically important in making the Sri Lanka’s rank better.
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CONCLUSIONS AND RECOMMENDATIONS
Innovations in logistics would play a key role to improve the
logistics performance. If the transport cost is brought down
the price of goods and services are expected to reduce. This
would help a country to bring down its inflation. Similarly, the
country’sexportswillbemorecompetitiveintheglobalmarket
due to lower transport cost. However, logistics industry (the
shipping businesses in particular) are faced with serious
challenges today. More shipping alliances, acquisitions
and mergers taking place which makes the industry heavily
volatile. There are various security threats caused by sea
piracy. Environmental regulations are getting tougher every
day which is inevitable. Maritime transport emits around
1000m tonnes of CO2 annually and this accounts 2.5% of
global greenhouse gas emissions. Therefore, it is imperative
that regulators need apply pressure on green logistics.
The container inventory imbalance costs USD 15 Billion
a year globally. It is estimated that 20% of containers
transported by sea and 40% by land are empty. Container
exchange is identified as an effective solution to the container
inventory imbalance. Carriers exchange slots for more than
two decades now although they still failed to implement
the same method for containers although many service
agreements already provide provisions to do so. There is a
lack of interest by carriers find solutions as the additional
cost can be simply transferred to exporters as empty
container surcharge. Boarder management is one strong
pillar in effective maritime logistics. It was hypothesised that
there should be a transparency in the present regulatory
system with respect to Logistics and Transport. As revealed
in previous literature neighbouring countries are said to have
a better regulatory system than Sri Lanka; bureaucratic
discretion by certain border management officials obstruct
the free international trading rather than facilitating the trade.
Global shortfall of competent workforce in maritime sector
and declining demand for freshers are among them. Training
new employees to prepare them for the jobs of the future isn’t
the only issue. Logistics professionals need strong analytical
skills and understanding of innovative technologies. Skills
in information technology, RFID and automation etc. is now
a prerequisite for a job in maritime, logistics, and supply
chain management. Logistics should be introduced in the
school curriculum at the secondary education level.
The clear understating about countless benefits of the
industry may help attract students to peruse higher
education in the logistics sector. Schools can introduce
students’ societies such as ‘Logistics society’, Future
Logisticians’ club’ because logistics companies and
training institutes may conduct knowledge sharing
training programs through these clubs. This is a
highly effective way to take the message to the public
because the parents usually are inquisitive about the
activities taking place in such societies in schools. If
the education authorities do necessary initiatives at
policy level, there are many private education institutes
who can assist schools by providing various resources
including training and development as a means of
corporate social responsibility. Also, professional
institutes such as Chartered Institute of Logistics and
Transport, Institute of Chartered Shipbrokers should
take leadership in these projects.
About the author
Dr. Lalith Edirisinghe is a past student of Ananda college. He commenced
his carrier in 1981 as a Cadet Officer in Merchant Navy. He counts 36
years’ work experience in the fields of maritime; Marketing, supply chain
management, Border management in both government and private sector
organizations. He has a PhD, in Transportation planning and Logistics
Management from the Dalian Maritime University affiliated to World
Maritime University, Sweden. He is a Chartered Marketer, Chartered
member of Institute of Logistics and Transport (CILT) and a member of
Sri Lanka Institute of Marketing. He is an author, editor, reviewer, session
chair, and presenter in many international publication and conferences.
Dr. Edirisinghe is a researcher in Supply chain management and his
innovations include, Container Inventory Management (CIM) Concept
Model; Multidimensional CIM Evaluation Country Index; Carriers’ CIM
Competence Index; 3F CIM Matrix; 6R container Supply Management
Model; Harmonized System Code Process Flowchart and Virtual
Container Pool©.
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INTERVIEW
1)	 A crucial factor in determining the outcome of a war
is its supply and distribution strategy. How do you illustrate
military logistics?
Military logistics is a very complex and a diversified discipline
because of the nature of the its operation. It is critical because
it deals with life and death and destruction and existence. So
getting the right logistics to the right place in right quantity at
the right time is critical. In commercial field if these operations
are delayed it will either be a profit loss or a delay. But in
military logistics, how it is differed is that, if these operations
are not carried on well the consequences will be disastrous.
Since the military is the considered as the guardians of the
nation and the national security depends on them, any failure
of these support and logistics is directlyis directly make an
impact to the national existence. . Keeping a ship afloat,
running, functioning, and fighting needs an efficient support
system. So that way military logistics is considered as one of
the most important factors within the military next to military
training.
2)	 How did Military logistics evolved in Sri Lanka over
the years?
I can speak of it since 1974 because I was naval officer
at that era. All aspects of logistics support evolvesevolve
around the necessity. SoSo, during the time that I joined,
requirements of logistics was to maintain a military capability.
Our military capability in the past before the conflict was
a general requirement of law and order, support. But it
evolved in a different way after the conflict. The 1971
conflict was not a sophisticated one so we managed most
of it within our resources. But from 1983 onwards the LTTE
terrorist conflict started small, but it developed to greater
proportions, intensity and vulnerability over the years. So the
requirement of military being strengthened and well trained
and well supplied was a requirement that the government
had to fulfill. Our enemies kept on improving their military
capabilities with outside support. They had certain support
to a certain extent with military hardware. And that support
was supported by foreign logistics support systems
and they became stronger and stronger. They acquired
sophisticated equipment to be used in military activities and
they had a good logistics network too. So we also needed
more man power, needed more equipment, support
systems such as uniforms and certain things that had to
be imported from abroad. And all our military hardware
came from overseas. SoSo, this demand of a high intensity
military conflict evolved a logistics strategies.
3)	 Sir, are there any specific measurements to
evaluate whether the military logistics systems are efficient
and effective?
Yes, we have measurements. Our measurement is whether
we kept to a strict discipline of where we bought the items,
whether we bought it at the right price and evaluate if the
delivery is correct. So these are activities that should be
planned and executed well. So my answer is, yesis, yes
we had measurements of success that is, we played within
a budget to acquire the right item. UltimatlyUltimately the
measurement was that we used the items for a just and
rewarding cause and the end results were seen. And the
efficiency was immense. With the navy we had to overhaul
engines. Every 5000 hours there is a major engineering
effort that had to be put which takes a lot of time and
money. In the navy we trained our people, and we did an
overhaul blind 24 hours. We trained them, we invested on
training, we got the items ready so that the efficiency of our
logistics system ensured that we could do this. The end
Admiral Thisara Samarasingha
Former Navy commander Sri Lanka Navy
“When there is a battle going
on you need to have the right
equipment at the right time and
you have no cushioning time”
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result is that the ships were available to go to sea.
4)	 There was the 30 years civil war period in Sri
Lanka, how did logistics strategies helped in overcoming
challenges and gaining victory?
We had a hierarchical system. Commander gives the
instructions and the rest follows. At each level, the integrity,
honesty and the commitment came into play. Integrity is not
in the sense of money. It is doing the job right and you take
the responsibility until it is completed. The government’s
hierarchy also played a major role. Lot of countries did not
give military hardware to our armed forces. We had to pay
very high prices from certain countries, some countries gave
us items on credit and some countries gave us items free.
SoSo, all these happened due to our country’s diplomatic
relations. During this period in our country, a large number
of civilians and military in the North were cut off from the
land route. So we had to supply neccesitiesnecessities by
sea using ships, since there was no land transport. The
ships became a target for the terrorists and many ships
were attacked and sunk. But the military didn’t stop taking
the items. There was an efficient replacing network in the
military. With certain trials and errors we reached a very
efficient system to enrich our armed forces so that they
could meet the challenge and finally defeat the
terrorists militarily on ground but mainly because
we stopped their logistics.
5)	 The world is rapidly changing with
technology, how did the Sri Lankan army derive
modern technology in military logistics?
Integrated logistics support systems were
computerize since it was getting too big to
handle and our armed
forces numbers were
increasing so we had to
rely on the technology.
And when we were
placed all around the
country we could not
stock every item in the
same way. Since we
were a developing
country fighting a
sophisticated conflict
we needed to share items.
Also when all the items
are purchased they are
straightaway entered
in to a computerized
system. Within the
press of a button we
could know precisely
where the correct
item was available.
Automated Stock
management and the
purchase systems
were available. Modern
technology helped us
in making our Logistics
network efficient and
productive.
6)	 Is there a
void between the
technology of military
logistics in Sri Lanka
when compared with global level?
If I say no, it will be wrong. There are gaps, but for our
requirement we are very efficient at the moment. But the other
military units in the world are much bigger (if you compare the
bigger countries) and there are certain military units where
they manufacture their lethal weapons themselves without
depending on the others. For example recently two large
vessels were built in India for a design given by the Sri Lankan
Navy. That ship is a state of the art ship. So our logistics and
supply chain systems should be capable of maintaining that
ship. In future we will fill the gap of manufacturing our own
vessels but we are capable of doing what is required at the
moment. Finally I would like to say that there is no defined gap.
Gap comes with the demand and what you have.
7)	 How does military logistics differ from commercial
logistics?
Logistics in commercial world I would say is profit oriented. They
survive from the profit they make. In military logistics, our budgets
are limited and if we don’t get the right items the repercussions are
disastrous. Military depends on the tax paid by the public. When
the private sector was functioning the military
was functioning as well, it a combined
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DepartmentofLogisticsandTransport
effort I would say.
8)	 Can we implement these military logistics concepts
into the commercial world?
Yes of course you can. I would say if the training is right
and of course you can take the good part of certain military
systems in having very strict control of store’s management
and also quality control tactics since aircrafts and ships
depends on the high quality spare parts. But a single thing
thatthing that comes out of the military logistics concepts
is the efficiency. Reducing the lead time. When there is a
battle going on you need to have the right equipment at the
right time and you have no cushioning time. This can be
incorporated to the commercial world.
9)	 What are your suggestions for the young
generations aspiring to step in to the field of logistics?
This is a field that was not popular even during our time.
In our time supply officers came out with a non science
background they cannot go to the other fields. Today
the situation has changed. LetsLet’s say you are in a
big factory and you have to order a massive number of
spare parts and equipment knowledge of engineering,
science, physics will help if you are controlling a big
network of logistics. ItsIt’s not a mandatory but it is indeed
a supportive factor. The young generation must realize
the critical importance of logistics. A logistician plays a
supportive role even in a sophisticated program because
each major program has a logistician attached to that. So
for the younger generation I would say it’s fairly a new field,
learn how your food comes to the table. Finally I would
like to say choose your passion and then the aptitude and
pursue that.
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DepartmentofLogisticsandTransport
ARTICLES
The above quotations exactly gives the insight knowledge to Military logistis. Logistics are the center point of
winning battles. Therefore, employment of knowledgeable and experienced logisticians are vital to wage wars,
in otherway this core competency should be embedded in the soldiers of all levels. The fighting of arms has no
bearing in logistic but logistic battle is a soldier’s individual skill which decides winning.
Lieutenant Colonel Chandana J.S Weerakoon
		“Leaders win through logistics. Vision, sure. Strategy, yes. But when you go to war, you
need to have both toilet paper and bullets at the right place at the right time. In other words, you must
win through superior logistics.”
- Tom Peters -
	“The line between disorder and order lies in logistics…”
- Sun Tzu -
	 “My logisticians are a humorless lot ... they know if my campaign fails, they are the first ones I
will slay.”
- Alexander the great -
Evolution of Logistics and
Transportation
Evolution of logistics has gone back to the days of Great
Alexander, King Ashoka and to the eras of Julius and Augustus
Ceasure. Basically, logistics started with a military campaigns.
There were many phrases given by prominent military strategists
about the logistic importance of battles. There was a famous
saying that “all the historic battles won by logisticians”. That
particular phrase shows the importance of logistics in military.
Subsequently, this word and concept moved towards the civilian
administrative/management systems at the end of Seventies.
The particular word basically used for administration in maritime
sector. Further, it moved through to land transportation and air
transportation. Now word “logistics” is more prominent with
three dimensional transportation system with the introduction
of intermodal transportation.
Military component
Military has different ways of logistics, specially,
talks about forward logistics and backward logistics.
Forward considers as movement of consignments
to the theatres and the backward is from the theatre
to the rear areas of battle. This system works as a
cycle. There are many subjects taught in the army in
terms of two segments, i.e. peace time logistics and
theatre logistics. In Sri Lanka, these two words used
as peace time administration and administration in
the field and the procedures for both are extremely
different. The most Importance factor is all military
logistics has three dimensional effect. Because
theatre has many restrictions for logistics. Mainly
due to enemy interferences. Therefore, the logistics
chain is going through different modes in order to
find the final target/destination. Hence, planning
of military logistics has quite different from civillian
logistics because factor of enemy threat is one of the
important areas to evaluate the system. Therefore,
the military logistics are comes under the system of
combined warfare which is in combination with Army,
Navy and Air forces.
There are many logistics jobs/emplyments comes
under the purview of military establishments. In order
to conduct these functions, separate directorates are
established under the military organizations. Some
of them are directorate of ordinance, directorate of
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supply and transportation, directorate of movement
control and the logistics command. Further more,
Following are some of the functions conducted by the
above directorates and commands.
•Purchasing of equipments
•Inventory management
•Logistics movements
•Troops movements
•Transportation managements
•Construction
•Medical/ casuality management etc.
All these functions are practising in different levels in different
sectors from sub units upto a brigades and divisions. The
Brigade Commander is responsible for movement of troops,
movement of weapons and ammunitions, movement of
rations, movement of equipment, management of salaries,
inventory and other related areas. This is a meticulasliy
planned job because Brigade Commander is commanding
around 3,000 troops, equipment, transportation and
weapons which needs to wage the battle.
All officers and the soldiers are moving through this system
from the enlistment to the retirement at various levels from
peace situations to battle field administrations, immaterial
of the role of individual regiments. Also, three dimentianal
aspect is the most exclusive part that embedded in the
system unlike the civillian logisticians. Espesially, the
conversion knowledge and the current situations of the
present logistic scenario and the new concepts like third
party and fourth party logistics systems should be enhaced
inorder to get a better output from the HR.
	 As a conclusion, what envisage is that though the
core function of military is fighting with the enemy but there
is a great deal of logistics in order to win the battle and keep
the momentum of fighting. Due to that the ratio of military
has been segregated from three to one, i.e. to support three
fighting soldiers, one administrative soldier is appointed
in the system. Basically, in international military
language it is “teeth to tail ratio”. Therefore, every
level in the armies are trained in logistics in different
scales in order to achieve the concept.
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DepartmentofLogisticsandTransport
Logistics evolved from Roman and Byzantine times when
there was a military administrative official with the title
Logista. In this time the word of “logistics” is implied a
skill involved in numerical computations. Military logistics
involve in planning and carrying out the movement and
maintenance of military forces. The main aspects of
military logistics are design, development, acquisition,
storage, distribution, maintenance, evacuation, and
disposition of materiel, transport of personnel, acquisition
or construction, maintenance, operation, and disposition of
facilities, acquisition or furnishing of services, and medical
and health service support.
According to Creveld (1977), the history of modern
European military logistics has been divided into periods
based on two criterions. The first criterion, based on supply
Military Logistics
Pave the Way for Vision of
Business Logistics
systems used, divides military logistics into the age of
standing armies (where magazines were used), the age
of predatory warfare where supply trains served as
mobile magazines and where food for men and animals
was foraged and continuous supply of food, ammunition
from the army’s agricultural/industrial base.
The second criterion, based on the means of transport,
divides military logistics into the age of horse-drawn
wagons, the age of the railroad and the age of the motor
truck. Creveld (1977) argues that the major change in
military logistics occurred during First World War when
the enormous increase in consumption of material
supplies (ammunition in particular) created demands
that could only be continuously supplied from an
industrial base.
Mrs. Dilrukshi Nadeesha
Lecturer, Colombo University
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DepartmentofLogisticsandTransport
Prior to the Second World War the military
logistics literatures more focused on the
management and execution of warfare.
Swiss Baron Antoine Henry Jomini (1862)
defined that logistics as the “art of moving
armies”. Logistics was considered to be
one of five principles of war, the others
being Strategy, Grand Tactics, Engineering
and Tactics. Moreover, the early military
logistics literature established a fundamental
concept that appears applicable to business
logistics management. This concept defines
the interdependence of strategy, tactics,
and logistics. This top-down approach in
decision making has supported to clarify
the role of logistics relative to other issues
that defense planners deal with. The similar
perspective in business logistics would be to
view logistics as a component of the firm’s
overall strategy. This concept approaches
military logistics from the generalist’s
perspective (Micheal et al, 1992).
Micheal et al (1992) identifies and discusses
seven principles of military logistics that may
be applicable to business logistics.
Principle Description
The
interdependence
of logistics with
strategy and
tactics
strategy, tactics and
logistics are considered
as t hree e ssential
interdependent c omponents
of welfare
Overlap Logistics activities i nvolve
intra-firm and i nter-firm
information sharing,
overlapping
responsibilities a nd s hared
facilities. This o verlap m ust
be constantly managed
and co-ordinated if
organizational and
partnership goals a re t o be
achieved
Limitation and
balance of
resources
Resources are always
limited. Therefore, t he f irm
must constantly (a) balance
resources between logistics
and o ther a ctivities of t he
firm and (b) balance
resources among the
various logistics activities
Priorities and
allocations
When resources are limited,
priorities (the setting of
precedence in time, order,
importance) and allocations
(apportionment of
resources) are necessary to
ensure t hat available
resources maximize
organizational objectives
Information Timely and r elevant
information is n eeded for
logistics system
development and
logistics operations. A
constant b alance m ust be
sought b etween e xcessive
Source: Micheal et al (1992)
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DepartmentofLogisticsandTransport
These principles provide insight to build future path to
business logistics. In this scenario, Michael Porter’s
Competitive Advantage focus on the value chain paradigm to
examine an array of issues in logistics and supply chain that
affect competitive advantage including cost, differentiation
and technology.
What insights does military logistics offer to business
logisticians?	
Military logistics use simultaneous blending of strategy,
tactics and logistics together with the co-ordination of
civilian producing and military using activities and the
complexity of managing cycles of mobilization, warfare,
and demobilization which are equivalents to the challenges
facing by business logistics managers. For example,
business logisticians can blend organizational and logistics
strategies for the co-ordination of development, production,
movement, assembly, storage, and delivery among an array
of channel members.
In the context of military logistics, business logisticians can
apply rebranding Rousseau’s EbMgt model which use as
a “military logistics intelligence” framework with the same
purpose of improving organizational learning and decision-
making. (See figure 1.)
The above framework provides a vision for the
development of data analytical model for business
logistics. Development of logistics intelligence units
in businesses becomes important due to the dynamic
nature of business environment. Business world is
competitive and grow with information based economy.
We believe that the concept of military logistics
intelligence model will become a major part of a
larger learning and decision- making strategy for
business logisticians and is designed to enhance their
connections among stakeholders.
Reference
Van Creveld, M., Supplying War: Logistics from
Wallenstein to Pattoti, Cambridge University Press,
1977, especially Chapter 8.
Michael A. McGinnis, (1992) “Military Logistics:
Insights for Business Logistics”, International
Journal of Physical Distribution & Logistics
Management, Vol. 22 Issue: 2, pp.22-32, https://doi.
org/10.1108/09600039210015356
dejomini, Baron, The Art of War, trans. G.H. Mendell
and Craighill, W.P., Greenwood Press, West Port,
Connecticut, 1971, p. 69. Originally published by J.B.
Lippincott & Co., 1862.
Figure 01: Military logistics Intelligetnce Model
Source: https://www.army.mil/
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DepartmentofLogisticsandTransport
Revolution in
Military logistics (RML)
ARTICLES
From the past eras of Alexandar the Great, logistics has
been the lifeblood of any military in the world. With the
change of times, the technologies developed for warfare
has changed and the methods of fighting has evolved
greatly in different dimensions. As an example armory
used in warfare was evolved from horses to high tech
drones. Therefore as the US military has stated “Changing
how we fight influences changes in how we support”,
which means that the logistics requirements also have to
evolve accordingly.
Revolution in Military Logistics is a vision adapted by the
US Army in order to evolve their logistics operations to
support their military (army) requirements. The Revolution
in Military Logistics represents a revolution in the operation
and concept of logistics based on distribution.
It is a continuing system of seamless logistics which
consists of advanced connectivity through highly
sophisticated network of communications which links
related organizations and procedures which in turn
coordinates all aspects of the logistics community into
one single network of shared information. This in turn
enhances the awareness of all connected parties and
leads to more unified action and cohesiveness. This
dynamic approach to logistics will support the army’s
strategic goals and at the same time to be more effective,
efficient and responsive.
As a result there will be an increased sustainment of
capability quite distinct from anything the world has
experienced before; in other words an uprising of the total
quality in military logistics.
The Revolutionary Military Logistics is not only
fundamental in preparing for forthcoming military
operations but it is also the pivot of the effort of the army
to achieve modernization and readiness simultaneously.
A transformation in the army is about changing the way
that fighting is done and it needs to go beyond technology
to include its doctrine, leadership, organization, material
readiness, soldiers and training.
Material availability and readiness is a vital part of military
forces, particularly in the army as it may constrain their
operation by the necessity to carry the materials needed
for fighting or to have them supplied to them. With RML
the opportunity to break loose of these restrictions occurs.
By applying modern technology to both the supply and
demand sides of the logistical equation this new concept
will permit militaries to move with deftness to distant
battlegrounds, conduct crucial combats and return to
the base once more with better safety and security to
fight once more with more preparedness with updated
information. The supply side is enriched through almost
perfect logistical situational awareness, real time visibility
over situations and down the pipeline and having more
control over logistical assets and operations and increased
efficiency of physical delivery of required provisions and
services. The demand side focuses on the developments
made through the innovations of new weapons systems,
enriched resource efficiency, higher transportability and
better supportability.
RML categorizes six initiatives which are expressed
as goals within the Army Strategic Logistics Plan as
mentioned below.
Create a sole information and decision support system
(single log system)
Convert the current logistics system into a system which
is focused on distribution
Upholding of an agile infrastructure system
Maintain total asset visibility
Achievement of rapid projection capability
Sustain an adequate logistics footprint
The importance of creating a single information and
decision support system is that RML is dependent on
precision logistics command and control which in turn
Dilani Ransrini Ratnajeewa
Lecturer (probationary)
Department of Management and Finance
General Sir John Kotelawala Defence University
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relies on modern information systems and networks.
There are several key processes in the above mentioned
seamless logistics system. The first out of it is readiness
management which requires expert logisticians to monitor
and integrate war plans with indications of future activities
from the field to the relevant forecast units’ status and
determine methods to provide best provisions to better
accomplish a mission. Next is logistics interventions which
are packages of equipment, labor, materiel and skills
that produce an explicit enhancement in readiness of a
specific unit especially for a specific focus. Shortened or
reduced deployment timelines have a direct impact on the
acceptable levels of readiness. Resources are put together
and interconnected to allow efficient use and reuse of both
supplies and platforms in this logistics network which is
based on distribution. Next is distribution management,
and this utilizes the unified logistics system to propel the
distribution system to provide supplies to the correct
location of need. Finally is asset management, and this is
supposed to match the available assets with the identified
or communicated needs. It also identifies lack of assets
and then coordinates with the respective public and private
suppliers to obtain the necessary additional assets. The total
acquirement cycle which commences from the requirements
determination up to disposal has to be supported.
In an environment where the logistics system is based
on distribution, the extent of inventory and the demand
quantities are extremely dynamic. Therefore the role of the
material handler in RML is also extremely challenging. He/
she needs to have the ability to anticipate the future demand,
make judgments about the arrival of required assets and
make suitable adjustments as and when needed to the
supply system in real time. On the other hand, there are
two time constraints that will restrict the material manager’s
flexibility. That is the speed of surface transportation which is
at twenty to twenty five miles per hour and air transportation
speed which is between hundred to four hundred miles
per hour. Therefore this has to be taken into consideration
when anticipation of supply demand. In order to operate
in this manner materiel managers may have to rely on
predictive data obtained from digitized weapon systems,
real-time information about situational awareness of current
and planned operations from two main parties. These two
main parties are the Global Combat Support System and
Global Command and Control System and other than that
uninterrupted coordination with the operational planners.
Another important aspect of RML is the need for agile
infrastructure. Army logistics has to move towards increased
agility in order to cope with the demands of dynamic RML.
When looking into the party responsible for the
implementation of RML, it is the Army Materiel Command
(AMC) that is predominantly responsible for this concept
of Revolutionary Military Logistics. Their responsibilities
include sustaining the main force, management of weapon
systems, power projection and integration of technology.
Nevertheless, the utmost challenge is whether AMC will be
able to effectively change its culture to maximize the effect
of the transformation. AMC must change over from being the
“owner” of the army logistic systems and materiel/supplies
to being the integrator of the army with respect to logistics.
In conclusion it can be stated that RML is a long term vision
which is in the process of being realized. There are several
reasons which hinder AMC in accomplishing this, which
includes army personnel reductions, restricted budgets for
research and development and at times for procurement and
extremely slow acquisition processes. Additionally a
significant adverse impact on AMC’s own administrative
structure has been made by several reviews done by
the authorities, by significantly reducing its force
structure. The positive side is that with RML the US
army has transitioned and further will be transitioning
from a threat-based military force to a military which is
capabilities-based.
Figure 1: Moving of supplies across oceans
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P.W.G Madhushani
Lecturer in Finance and Accounting
B.Sc. Finance (Special) USJP.
CIMA passed Finalist
Introduction
ARTICLES
THE INTEGRATION OF FINANCE IN
LOGISTICS AND SUPPLY CHAIN
INDUSTRY
The term” logistics” and its actions originated with the military, in the war theater,
logistics applied to the process of supplying equipment and supplies to troops.
Logistics as a business concept evolved in the 1950 s with the increasing
complexity of supplying businesses with material and shipping out products
in an increasingly globalized supply chain. Today, the business sector uses this
term to describe the efficient flow and storage of goods from point of origin to
the point of consumption. The supply chain is an important part of this process,
including transportation, shipping, receiving, storage and management of all
these areas. Within the business sector logistics can be applied to information,
transportation, inventory, warehousing, material handling, packaging, disposal
and security. (Robert, J. 2013)
The traditional view of logistics focused on carefully managing and optimizing
functional areas such as warehousing, inventory, order fulfillment and
transportation using mathematical optimization tools. But this new world of
externally focused supply chain management presents significant financial
opportunities.
Companies are realizing the financial benefits of integrating more with customers
and suppliers. Perry A. T. (2011) said that “The few, who do it well, are making a
fortune, even in this tough economy”.
Firms with good links between their financial and supply chain teams are more
likely to report strong growth. (Green W. 2013)
What fewer companies understand or do well in recognizing the impact of supply
chain can have on the customer value proposition. Supply chain management
can have a massive impact on cost, profitability, cash flow and risk. Perry A. T.
(2011) identified that for many companies it’s the leading untapped factor in not
only tightening the cost, but in increasing financial performance”.
The author is trying to give an idea about, how finance is integrated with the
supply chain management process to move the organizations towards success
based on literature review.
content
The old approach of looking inward doesn’t provide logistics and supply chain
managers’ visibility to where the financial performance could be enhanced,
such as profitability and reduction of
cost while minimizing risk. (Stemmler
L. 2002). A close cooperation between
supply chain management sales and
marketing will take the company
towards success. Sales and marketing
can identify customers with potential
but supply chain management can
determine which customers have the
willingness and the ability to manage
change and become true partners
The benefits of closer supply chain
relationship include smoothing the
order cycle and increasing profitability
for both customer and supplier.
(Byrnes J. 2000). These concepts
cross from the customer relationship
to managing the supplier relationship.
When customers are opened to form
a close relationship with key suppliers
they can work together to improve
service and the profitability.
This is how the different authors
are perceiving on the relationship
between supplier and the customer
may improve the profitability of the
organizations.
How the process of
finance hedges the
risk of supply chain
management
Hedging involves the simultaneous
purchase and sale of currency
contracts in two markets. The
expected result is that a gain realized
on one contract will be offset by a loss
on other
Political risk is certainly a factor in
any sourcing / supply chain decisions
but currency, taxes duties and other
factors come in to play (Perry A.T,
2011). Therefore, hedging will really
be beneficial in the process of supply
chain management
EX: forward contracts for raw
materials can help guarantee supply
and prices. This is one way to take
some control over a risk and avoid a
sudden increase in supplier costs if
the raw materials price rise.
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DepartmentofLogisticsandTransport
conclusion
The traditional supply chain management focuses
on both materials and information flow. Integrating
three flows in supply chain management will really
be a strength rather than just concerning about
integrated management of both the physical flow
of material and information along the chain but by
properly designing financial flows associated with the
physical movement of goods, such as savings due
to minimized stock levels may easily be offset by the
cost to finance the remaining inventory. Therefore,
it is the scope of supply chain management to
integrate: product, information as well as the Finance.
Integrating financial services will not create a new
product, but it will realize the unused opportunities
for cost reductions and enhancing profitability while
integrating with the customer and the supplier
Financial cost drivers in supply
chain
While enhancing the profitability through having a
good relationship among the parties in supply chain
process, engaging with the costs is also critical. So,
Understanding the cost drivers in supply chain is
critical to manage effectively the relationship between
service and costs.
For example, the number of order lines drive the
cost of order management and administration. The
cube, routing and frequency of delivery drive the
transportation costs.
The financial performance of a company can be
measured by using Return on Investments. It is
considered as a product of two ratios margin and
turnover. So, ROI can be increased by reducing
the costs elements in supply chain. selling and
administrative expenses such as order processing,
transportation and warehousing costs. Additionally,
inventory carrying costs (interest expenses)
The other element of ROI is revenue. It is related
to the liquidity of the organization. because supply
chain management is managing cash cycle of the
organization, cash flow becomes a backbone of it
Gary A.S (2016), exploring supply chain cost drivers.
http://www.apics.org/apics-for-individuals/apics-
magazine-home/magazine-detail-page/2016/07/28/
exploring-supply-chain-cost-drivers
Green, w. (2013), collaboration between finance and supply
chain teams boosts growth.
https://www.cips.org/supply-management/news/2013/
october/collaboration-between-finance-and-supply-chain-
teams-boosts-growth/
LogisticsDegree.net. [online] Logisticsdegree.net. Available
at: https://logisticsdegree.net/2012/logistics-what-it-is-
and-why-its-important-to-your-company/ [Accessed 29
Sep. 2017].
Perry, A.T (2011), finance and supply chain.
http://www.inboundlogistics.com/cms/article/finance-and-
the-supply-chain-show-me-the-money/
Seuring, S. and Goldbach, M. (2002). Cost management in
supply chains. 1st ed. Heidelberg: Physica-Verlag, p.166.
Tan, K. (2002). Supply Chain Management: Practices,
Concerns, and Performance Issues. The Journal of Supply
Chain Management, 38(1), pp.42-53.
References
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DepartmentofLogisticsandTransport
Transportation is the means to carry people, goods
and information from one place to another over
time/space and is credited with the development of
human civilization. Transportation has influenced
the economic, social and environmental factors
of the urban structure. The process of shaping
the form of the city with the time could be taken
as the simplest definition of the urban design.
Peter Batchelor and David Lewis has defined
urban design as ‘design in an urban context’.
They have further explained the term design in
terms of economic projections, packaging new
developments, negotiating with public/private
financial partnerships, guidelines and standards
regeneration and forming non-profit corporations
with public/ private sector financial resources
(Batchelor & Lewis, 1986). When we consider
factors that influence the satisfaction of the
transport user is mainly affected by reliability,
information availability (Korale, Mandari, & Suh,
2015), Empathy, comfortability and security of
the service mode (Ranawana & Hewage, 2015).
The studies on the urban environment have
mainly clustered around the impression of their
surroundings and
As a developing country, health sector of
Sri Lanka has a good reputation. The Mental
health is considered as one of the most responsive
health targets of a country.
Though the statistics signify the development
in health sector practices, mental health in
Sri Lankans denotes high rates of depression,
alcoholism, substance abuse and suicides
(Indatissa, 2000). The European International
Transport Forum has studied transport needs of
physically and mentally disabled and older people
at the political level ( Stanl & Iwarsson, 2009). New
York City’s Department of
Urban Transport Structure and Mental Well
Being of the Passengers and Residence
Figure 1: Structure of a Bridge
Health and Mental Hygiene finds that 20%
New Yorkers has mental health problems
(Davis, 2015). A study done by Moriguchi City Health
Examination Center in Japan has found out that a
passenger might not be happy to be waiting in a queue
to get on the bus or train when the ride is late or by the
authoritative behaviour of other passengers. But here
the health impact created by that dissatisfaction is far
healthier than the amount of stress that he gets when
commuting to work each day by driving their own vehicle;
most commonly automobile in urban areas during peak
hours.
A study was done by Lund University on passenger travel
by car, train or bus and walking or cycling found out that
Traveling by car or public transportation is associated
with health issues compared to passengers who
practice walking or cycling. They have named walking
or cycling passengers as active commuters. The study
further pointed out that their sleep quality, exhaustion
and everyday stress levels are low, compared to car
and public transport users. It denoted that, car and
public transport commuters suffered more everyday
stress, poor sleep quality, exhaustion and have ill health
compared to the active commuters (Tsuji & Shiojima,
2015).
Figure 2: Congested arterial road
S.S. Wanniarachchi
Assistant Lecturer in Logistics
and Transport
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DepartmentofLogisticsandTransport
The Turin Longitudinal research in northern Italy,
which was based on the urban characteristics,
cultural and sports facilities, transit access and
basic demographic information highlighted
that, the depressive symptoms of adults have
reduced with the improved features of their urban
environments, besides antidepressant. Research
further highlighted that factors such as density
and transit access are “slightly protective” of
mental health, among women and older residents
( Melis, Gelormino, & Marra , 2015). The lab
recordings indicate that populations were less
prone to depress when living in areas reached
more quickly by public transportation or walking
and cycling; than the passengers use privet
transport mode or travel along a congested urban
structure. The passenger’s live complicated
urban structures have
significant differences in their mental wellbeing
than those living in more remote or sparse areas.
The above survey results give out meaningful
understandings about the relationship between
mental wellbeing and urban design. Designing
cities with high occupancy lanes, Bus rapid transit
system, Light rail system are some strategies
to overcome the congestion in urban areas.
Designing airports in city fringes and designing
urban transport terminals as busstands or rail
terminals near central cities with architectural
designs increase the aesthetic value of the
city helps overcome the stress in residence
and passengers and also add value to the city
in other hands. These pursuits influence the
physical wellbeing of the people. These research
findings could be used in benchmarking for
designing beneficial urban transport structures
in Sri Lanka. There is always a risk of conferring
redundant conclusions from the small numbers
literature arises through the results of the above
surveys correspond rather well with information.
As the urban transport planning and health of
the people are one of the crucial parts of the
development of a nation’s economy, energy,
social and environmental goals, a positive
relationship between urban development and
mental wellbeing of the general public should
be encouraged by the relevant authorities by
providing necessary arrangements.
Melis, G., Gelormino, E., & Marra , G. (2015). The
Effects of the Urban Built 	 Environment 	
on 	 Mental Health: A Cohort Study in a Large
Northern 	 Italian 	 City. 	 Int. 	 J .
Environ. Res. Public Health.
Stanl, A., & Iwarsson, S. (2009). Cognitive
impairment and mental health:A gap in transport
policy and service provision. 	 France: 	OECD
Publication.
Vanhanen, K., & Kurri,, J. (2006). Quality factors
in public transport. Helsinki University of
Technology.
What is Urban Design? (2011). Retrieved from 	
Urban 	 Design 	Group:
http://www.udg.org.uk
Batchelor, P., & Lewis, D. (1986). Urban Design in Action:
The History, Theory and Development of the American
Institute of Architects’ . American Institute of Architects.
Davis, J. (2015). Medical Daily. Retrieved from http://
www.medicaldaily.com
Glazier, N., & Lidbetter, N. (2016). Mental Health &
Transport Summit Report. London: Mental Health
Action Group.
Hansson, E., Mattisson, K., Bjork, J., Ostergren, P., &
Jacobbsonn, K. (2011). 	 Relationship 	 b e t w e e n
commuting and health outcomes in a cross-sectional
population survey in 	 southern 	 Sweden. 	
BioMed
Central’s open access journal BMC Public Health.
Importance of Transport. (n.d.). (Gautrain System)
Retrieved Sept 27, 2017, from http://www.gautrain.
co.zart
Indatissa, B. (2000). Better Mental Health,
Better Lives. Retrieved from Basic
Needs: http://www.basicneeds.org
Korale, V., Mandari, J., & Suh, M.-R. (2015). Customer
Satisfaction in Public Transportation-A study of SJ
traveler’s perception in Sweden. Sweden: Mälardalen
University:.
McCay, L., Abassi, A., Abu-Lebdeh, G., Adam, Z., Audrey,
S., Barnett, A., et al. (2017). Scoping assessment of
transport design targets to improve public mental
health. Journal of
	 Urban 	 Design 	and 	 Mental
Health(3).
Ranawana, H., & Hewage, D. (2015). Factors Affecting
Service Quality in Public Bus Transportation in Sri
Lanka. Inculcating Professionalism for 	 National 	
Development 	 . Rathmalana: 	 General 	 Sir 	
John Kotelawala Defense University.
Tsuji,H.,&Shiojima,I.(2015).Takingpublictransportation
instead of driving linked with better health.
American Heart Association
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ARTICLES
The Importance of Drafting
Proper Patent Claims for
New Inventors in Sri Lanka
The Importance of Drafting Proper Patent Claims
for New Inventors in Sri Lanka
1
.
” The patent system added the fuel of
interest to the fire of genius.”
2
General Introduction
The Law of Patents strives to strike a balance
between the promotion of technological invention
and the dissemination and of access to its fruits
3
. A
patent granted by the state give a monopolistic right
to the inventor of the thing patented to exclude
others from making, using or selling the invention. A
patent, granted by the state, describes an invention
and creates certain legal rights in respect of the
described invention that can be exercised only by the
owner of the patent, for a limited period
4
.
The Law of Patents in Sri Lanka is governed by the
provisions of the Intellectual Property Act No 36 of
2003. For a Product to be patented the invention
must be new, involves an inventive step and is
industrially applicable
5
. Out of the above
requirements, proving the inventive step is the most
difficult to overcome and is the hardest hurdle to
clear.
When an inventor is applying for a patent he must full
fill the requirements set forth in the Act
6
and among
them is the need to draft claim or claims and the
purpose of which is to delimit the scope of the
monopoly
7
. The Act further stipulates that the claim
or claims shall be clear, concise and supported by
description
8
. The regulation no 37 declares some of
the norms that must be followed regarding drafting of
claims
9
. However, this set of norms won’t be much of
a help to a person who has very limited amount of
experience regarding patents. The regulation 37 has
1 K.A.A.N Thilakarathna LL.B [Hon’s], Former Lecturer
[Temporary] Department of Public and International Law,
Faculty of Law, University of Colombo. Lecturer, Faculty of
Management and Humanities CINEC.
2 Abraham Lincoln's Second Lecture on Discoveries and
Inventions delivered on April 6, 1858,
3 Donald S Chisum, Understanding Intellectual Property
Law (6th edn, LexisNexis 2011). 163
4 20 years under the Intellectual Property Act No 36 of 2003
5 Intellectual Property Act No 36 of 2003 Section 63
6 Ibid Section 71
7 William Rodolph Cornish and David Llewelyn, Intellectual
Property (6th edn, Sweet & Maxwell 2007). p 170
8 Supra Note 5,Section 71 [4]
9 The Gazette of the Democratic Socialist Republic of Sri Lanka
EXTRAORDINARY No. 1,445/10 – WEDNESDAY, MAY 17,
2006
more to do with the content and the scope of the
claim than the art and crat of drafting the claim itself.
Importance of the Claim
Claims are the heart of patent law. Chisum, one of
the most prominent scholars in the field opines that
‘the claim is the most important part of the patent,
setting forth the meets and bounds of the patentee’s
right to exclude the others
10
. Giles Rich, the former
Chief Judge of the Federal Circuit, once famously
stated that “the name of the game is the claim.”
Meaning, the patent claims themselves define the
scope of the property right held by a patent owner
11
.
McCarthy in his desk encyclopedia of Intellectual
Property states that ‘a claim is the part of a patent
that define the technology which is the exclusive
property of the patentee for the duration of the
patent. A patent claim sets the bounds of the
technical area within which the patent owner has the
legal right to exclude others from making, using and
selling
12
. Further in A.B Dick Co v. Burroughs
Corp
13
the federal court of the United States
declared that ‘it is elementary that the property rights
bestowed by a patent is measured in the first
instances by the claim’
The claims mark the boundaries of the protection
provided by a patent, just as a physical boundary
such as a fence, marks the limits of a parcel of real
property. Thus, the claims are a written
approximation of the abstract inventive concept
created by the inventor
14
. The claims define the
scope of protection provided by a patent. The Claims
can also be explained as the statement of technical
facts expressed in legal terms defining and
identifying the scope of the invention, the protection
of which is sought
15
.
A claim provides the basis to determine whether the
rights of the patentee is violated or not. It then
becomes pivotal that it be drafted in such a manner
that the patentee be protected in the broadest sense
possible. If a patent claim is drafted in such a way
where due to the drafting of the claim even a slight
modification to the existing patent claim will not be
10 Donald S Chisum, Principles Of Patent Law (3rd edn,
Foundation Press 2004). P90
11 Ibid
12 Supra Note 10
13 713 F. 2d 700 - 1983
14 Mccarthy's Desk Encyclopedia Of Intellectual Property (3rd
edn, BNA Books 2005).
15 D. M Karunaratna, Elements Of The Law Of Intellectual
Property In Sri Lanka (1st edn, Sarasavi Publishers 2010). p151
Akalanka Nuwan Thilakarathna
Lecturer, CINEC Campus
” The patent system added the fuel of interest to
the fire of genius.”
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DepartmentofLogisticsandTransport
infringed because of the claim which is poorly drafted
could be catastrophic to the inventor. Claims are not
technical descriptions of the disclosed inventions but
are legal documents like the descriptions of lands by
metes and bounds in a deed which define the area
conveyed but do not describe the land
1
.
How One Should Draft the Claims
To be a successful draftsman of claims, one must be
possessed of a good degree of imagination. He must
have the ability to look beyond the precise physical
structure before him and visualize how the same
results or advantages might be obtained by more or
less obvious modifications or substitutions. Unless
he has this ability and exercises it, there is a very
good chance that the claim will be so narrowly drawn
that it may be very readily avoided
2
. The patent
agent needs to understand the differences between
three legal constructs related to patents: inventions,
embodiments and claims. An “invention” is a mental
construct inside the mind of the inventor and has no
physical substance. An “embodiment” of an invention
is a physical form of the invention in the real world.
The “claims” must protect at least an “embodiment”
of the invention – but the best patent claims will
protect the “invention” itself so that no physical
embodiments of the invention can be made, used or
sold by anyone without infringing the claims
3
.
One point, which it will be well to keep in mind in
connection with the drafting of claims, is that, while
the specification is addressed to persons skilled in
the art or science to which the invention pertains, the
claim is addressed to an interpreter of written
instruments the lawyer and the Court. Early patents
did not have claims and the scope of the patented
invention was determined in court proceedings
during patent infringement litigation by reviewing the
specification filed by the inventor. Not surprisingly,
this process eventually became unworkable and the
process of patent claiming was born as a means for
providing greater notice of the boundaries of the
patent. On early days of the patent system the courts
were much liberal with their interpretation of the
claims as well but this trend changed with time and
now though the courts use a purposive approach in
interpreting claims it is nonetheless done in a strict
manner.
A good patent draftsman will probably not want all
the claims to meet the apparent theoretical maximum
of protection since subsequent litigation will likely
raise invalidity arguments not contemplated by the
1 H.E Dunham, 'Drafting Patent Claims' (1947) 29 Journal of the
Patent Office Society.318
2 Ibid
3 WIPO Patent Drafting Manual available at
http://www.wipo.int/edocs/pubdocs/en/patents/867/wipo_pub_86
7.pdf
patent examiner. Thus, the patent draftsman will
want to draft some narrower claims in the event that
the broadest claims are invalidated. A narrower set
of claims will often be upheld as valid during litigation
but will still be “broad enough” to prove infringement
against the patent infringer.
There is no universal code for drafting patent claims.
The WIPO Patent Drafting Manual is a useful guide
for understanding the basics of drafting claims. It lays
out the considerations one must take in to account
when drafting claims. While, as we have indicated,
there are no general rules of universal application
with reference to the drafting of claims, there are
certain principles which the draftsman should
continually keep in mind in framing the language of
the claim.
Claims are usually made up of three parts: a
preamble, a transition phrase and a body. The
preamble identifies the invention or the technical field
of the invention. The transition phrase joints the
preamble to the body of the claim, and is usually
made up mainly of the word ‘comprising’ however,
some other words such as containing, consisting and
including may also be used. This will mean that the
invention includes the listed elements, but does not
exclude others. The body of the claim includes a
recitation of the elements: the steps or parts that
make the invention
4
.
Claims can be independent, dependent, or multiple
defendant form. An independent claim is completely
self-contained. A defendant claim refers to an earlier
claim and thus it incorporates by reference all
limitations of the previous claim and includes its own
limitations. A multiple dependent claim refers back in
the alternative to two or more claims and is
considered to include all of its own limitations as well
as those of any one of the referenced claims.
A draftsman of patent claim should certain that the
claim must include the features or characteristics
which yield the beneficial or useful result. This is just
another way of saying that
the claim must be complete, since if it is not
complete it may be subject to the criticism that it is
broader than the invention.
In order to satisfy the above requirement, the claim, if
for a machine or an article of manufacture, must
include structural limitations, otherwise it would be
objected to as being purely functional. In this respect,
the draftsman may find good opportunity for the
exercise of his ingenuity. In reciting structure, he may
be able to choose words which will convey the
structural idea without limiting the claim to the
4 Supra Note 10 at 91
particular structural form or forms disclosed in the
specification. For example, "member" or "support" is
broader than "rod," "bar" or "shaft'' and ''driving
means" while verging upon the functional, is broader
than a recital of a "shaft," "pulley," "gearing," 'crank,''
etc.
Whatever the language used, its meaning should be
clear. If any terms are used in a sense which varies
somewhat from their ordinary dictionary meaning the
specification should make clear the sense in which
such terms are used. One of the most common
criticisms which are leveled against patent claims is
that of ambiguity and in many cases the patent
lawyer has been accused of purposely drafting
claims in ambiguous language so that they could be
"twisted like a nose of wax" to meet various forms of
alleged infringement which might arise.
There is always present in the draftsman's mind the
fear that if too much is included in the nature of
structural limitations the claim may be unduly
narrowed. In reaching a decision in this direction the
draftsman must make full use of his imagination. If
the structural limitation is one which constitutes an
essential feature of the invention and no other
structure could be employed for the same purpose,
obviously its inclusion does not unduly limit the
claims. Another thing to keep in mind in drafting
claims is to avoid as far -as possible the use of
relative terms. the use of such terms in the cl-aim is
likely to result in a holding of invalidity because of
indefiniteness. If the practice of using comparative
words is to be approved, a patent might claim the
same combination except to make the one element
thinner and lighter. Then along might come another
inventor who could get a patent because he made
that particular element still thinner and still lighter
than the first.
Another situation with which the claii5 draftsman is
sometimes confronted is that of the case where an
invention is made relating to an element of an old
combination. In order to give the matter as wide
coverage as possible,' there is a rather natural desire
to present claims to the Whole combination as well
as to the individual element. Quite obviously the
Courts do not welcome such efforts because of the
fact that such claims may embrace much more than
the actual invention involved.
Conclusion
In presenting claims for an invention, we should keep
in mind not only the presentation of broad claims but
also much more specific claims. If we could be sure
of the exact form in which everybody would want to
use the invention, a specific claim to that form would
be the most valuable claim that we could have. It
would, of course, be infinitely easier to. win -an
infringement suit on such a claim than on a broader
claim which might meet with unexpected defenses.
We cannot always, however, or even in the majority
of cases, foresee the exact form in which the
invention will be most used before the patent expires.
Therefore, we want to have claims as broad as we
are entitled to have and at the same time careful
study will indicate the specific important features
which should also be claimed.
Finally, a careful check should always be made
between the specification and claims to make sure
that the language of the specification and its
disclosure furnishes ample basis for all of the claims.
There is no excuse for the situation which so often
occurs when the patent is put in litigation, where a
specification furnishes no description of the subject
matter claimed or where the particular language
used in the claims is entirely unsupported by any
language of the description.
As we can observe from the above, the drafting of
patent claims is not a simple task, it may even
difficult than drafting a statute at times. As an
attorney drafting patent claims, one must acquaint
himself with the full knowledge of the invention itself
to have a good understanding mechanics and
mechanisms involved therein. There can never be a
hard and fast rule as the precise drafting of claims.
So, it is always better to get some subject knowledge
of the invention before you draft the claims.
Bibliography
 Chisum D, Principles Of Patent Law (3rd edn,
Foundation Press 2004)
 Chisum D, Understanding Intellectual Property
Law (6th edn, LexisNexis 2011)
 Cornish W and Llewelyn D, Intellectual Property (6th
edn, Sweet & Maxwell 2007)
 Karunaratna D, Elements Of The Law Of Intellectual
Property In Sri Lanka (1st edn, Sarasavi Publishers
2010)
 Mccarthy's Desk Encyclopedia Of Intellectual
Property (3rd edn, BNA Books 2005)
 Dunham H, 'Drafting Patent Claims' (1947) 29
Journal of the Patent Office Society
5TH
EDITIONOCTOBER
2 0 1 7
LOGISTICS TODAY
35
DepartmentofLogisticsandTransport
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CINEC Logistics Day 2017

  • 1. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 1 DepartmentofLogisticsandTransport
  • 2. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 2 DepartmentofLogisticsandTransport Students of Logistics & Transportation batch 03 & International Transport Management & Logistics batch 11 of Faculty of Management, Humanities and Social Sciences, Department of Logistics and Transport Proudly Presents Logistics Day 2017 on 19th of October From 9.00 a.m onwards At the KLAUS E. OLDENDROFF AUDITORIUM
  • 3. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 3 DepartmentofLogisticsandTransport Content CINEC CAMPUS PARTNER AND AWARDING INSTITUTIONS UNI- VERSITY MESSAGE FROM THE PRESIDENT MESSAGE FROM THE JOINT MANAGING DI- RECTOR MESSAGE FROM THE VICE PRESIDENT MESSAGE FR0M THE DEAN MESSAGE FROM THE ASSOCIATE DEAN MESSAGE FROM THE PRESIDENT - A Contemporary Appraisal of Logistics Performance in Sri Lanka “When there is a battle going on you need to have the right equipment at the right time and you have no cushioning time” Evolution of Logistics and Transportation Military Logistics Pave the Way for Vision of Business Logistics Revolution in Military logistics (RML) THE INTEGRATION OF FINANCE IN LOGISTICS AND SUPPLY CHAIN INDUSTRY Urban Transport Structure and Mental Well Being of the Passengers and Residence The Importance of Drafting Proper Patent Claims for New Inventors in Sri Lanka Interunivesity Article Compition “Work is life and Life is work” “The world we live in is a VUCA World” Inter School Quiz Competition 2017 Organizing Committee of the Logistics Day Acknowedgement
  • 4. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 4 DepartmentofLogisticsandTransport Thisun kalana Pasana Ahiru Dunith Dulshan Kamal Sithumina Shashika Lakshani Radisha Gihara Serasa Rathnasiri OTHER EDITORS “A flower makes no garland”- Thus this magazine is not the outcome of the efforts put in by one person but is the immense effort put forward by first and foremost of magazine committee members, all authors and Logistics day advisory board. Logistics Today 2017 edition is comprised interviews conducted with prominent specialists in the military field and professionals in the field of logistics and transport. It’s also included the articles written by academics and undergraduates on different topics related to Empowering Logistics; A Contemporary Appraisal of Military Strategy. The magazine also encompasses the advices from professionals to shape up the career path of the young undergraduates who are newly stepping in to the industry. We hope that we have accomplished our objective of escalating awareness relevant to the field of logistics and transport through our articles and hope that all the insights provided will be useful for the readers to mould their lives and also, I would like to extend my heartfelt gratitude to everyone who supported in different ways in order to succeed this task. Specially to everyone from the corporate sector for giving us time, amidst their busy schedules. I also convey my sincere gratitude to the designers who fostered artistic creativity to the magazine, the editorial board, all the writers, everyone from the Department of Management, Humanities and Social Sciences, all the lectures, the students of LT Batch 4 and ITML Batch 11, all students of the Department of Management, Humanities and Social Sciences and finally those whose names are not mentioned. This would not have been a reality if not for your great assistance. Ishan Dissanayake Chief editor Logistics Today Magazine Committee Logistics Today Udari Yashodha Journalist reporter Logistics Today Ravindi Himsari Journalist reporter Logistics Today Akith Hiranya Official photographer Logistics Today Pasindu Pinsara External Coordinator Logistics Today Unnathi Mallawarachchi Internal Coordinator Logistics Today Dhananjani Senevirathne Lecturer Logistics Today “Success does not lie in results, But in efforts. Being the best is not so important, Doing the best is all that matters” -Kevin Hennessey- By following the footsteps of our senior batchmates, we decided to succeed in the great dream of launching a magazine for the Logistics Day 2017. Logistics Today 2017 is not just a magazine but a compilation of the immense efforts, commitment and dedication put forward by us and is also a specimen of our creativity.
  • 5. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 5 DepartmentofLogisticsandTransport The Colombo I n t e r n a t i o n a l Nautical and Engineering College (CINEC) is one of Sri Lanka’s largest non-state sector higher education institutions situated in the picturesque suburbs of Malabe, in close proximity to Sri Jayawardanapura, the administrative capital of Sri Lanka. CINEC campus was established in 1990 with the vision of building close working partnership with the industry, the professional organizations and other stakeholders to serve in the best interest of its clients and customers. It has branches in Nugegoda, Trincomalee and Jaffna, and caters for over 20,000 students, annually, who follow a range of over 185 study and training programmes on offer, all leading to highly sought-after opportunities of employment in the fields of Maritime, Engineering, Information Technology, Logistics and Transportation, Aviation, Law, English, Hospitality & Vocational Training. The institute is one of the most modern and sophisticated learning campuses in the Asia- Pacific region. It is fully equipped with modern classroom facilities, advanced laboratory facilities, technical workshops and state-of-the-art simulators. The campus is also equipped with residential facilities, cafeteria, swimming pool, gymnasium and other allied facilities for the use of students and guests and as such is considered a high ranking educational institution in Sri Lanka. The courses are taught by lecturers who are well qualified with postgraduate degrees and with several years of industrial experience. The students will be exposed to a sound theoretical base coupled with numerous practical exercises fully supported by our experienced academic staff. All practical exercises are conducted in our well equipped laboratories. Facilities are also provided for final year student projects to be carried out in research organizations under expert supervision. Enriched with ISO 9001:2008 Quality Management System Certification, the organization has been bestowed with the prestigious National Quality Award (NQA) for excellence in education services in four consecutive five-year terms in 1999, 2004, 2009, and 2014, won the Asia Pacific Quality Award for best-in-class in education in 2010, and in 2012 was awarded ‘World Class’ – Global Performance Excellence Award – Education Organization. CINEC CAMPUS
  • 6. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 6 DepartmentofLogisticsandTransport DALIAN MARITIME UNIVERSITY PARTNER AND AWARDING INSTITUTIONS T he Dalian Maritime University (DMU) is one of the largest and best-recognized maritime universities and is the only key maritime institution under the Ministry of Transport of the People’s public of China. DMU has over 100-year tradition in learning and research. It has been recognized by the Intentional Maritime Organization (IMO) as one of the excellent centres for maritime education and training. The University consist of 13 colleges, three other divisions that serve as support bodies for the University. Presently, DMU has one post-doctoral programme (R&D base), 16 doctoral programmes, 57 master’s degree programmes, and 42 undergraduate degree programmes. The current student population has risen to approximately 17,000. Additionally, the university enrolls overseas students for Bachelor’s, Master’s and Doctoral degree programmes. More than 4,000 overseas students and advanced professionals from over 30 countries and regions have so far been receiving education and training at DMU.
  • 7. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 7 DepartmentofLogisticsandTransport Logistics Day 2017 The concept of Logistics is, an inevitable component for organizations in prospering their businesses, regardless of its size, business status, industrial capabilities, market opportunities and many other characteristics. Similarly, the concept of Logistics is applied in international Trade, construction, engineering, services, and the list goes on. However, this specific concept has its roots in the military and not in the business world although it has become a buzz word in commercial world today. Logistics was originated as a science of computing and calculating, which represented with the Greek word ‘Logistikos’ and the Latin word ‘Logisticus’ and was evolved throughout the decades, with several important milestones such as material handling technology in pyramid construction in Egypt, intercontinental trade initiated from Greek rowing vessels, and supplies of food and armaments to the moving armies and war front during World War I and II. It has now acquired a wider meaning and is used in the business environment for effective and efficient movement of material from suppliers to the manufacturers, and finally, the finished goods to the customers. With this understanding, it would be beneficial to look-upon the logistics practices, concepts, and disciplines that facilitate successful military operations and ultimately contribute towards winning the battle. “Clearly, Logistics is the hard part of fighting a war” -Lt. Gen. E. T. Cook, USMC, November 1990 It is distinctly evident that the logistics approach has become the heart of winning the war with the better operations, planning and processes. Degenerating to the situation in Sri Lanka, the civil war that had prevailed for three consecutive decades, was ultimately abolished with great planning, organizing and leading in combination of good logistics services. “Logistic considerations belong not only in the highest echelons of military planning during the process of preparation for war and for specific wartime operations, but may well become the controlling element with relation to timing and successful operation.” - VADM Oscar C. Badger, USN According to the global ratings Logistics Performance Indicator-LPI) of the World Bank with respect to logistics performance, Sri Lanka is categorized as a partial performer with a LPI score of 2.68. The big picture based on LPI results across four editions (i.e.2010, 2012, 2014, and 2016) positions Sri Lanka in the 86th place out of 167 countries. Given the high attention to convert the country into a logistics hub. The stakeholders in logistics have a big responsibility to move the country forward. There are greater opportunities awaits in the logistics industry for young generation and the gap is ever increasing. The awareness in the society with respect to these opportunities and the availability of high quality education and training in the field of logistics is the key in achieving improved LPI results. CINEC Logistics day is an annual event organized by the undergraduates in Transport and Logistics degree programs and the CINEC Logistics day 2017 will be held on the 19th October 2017 at Clause E. Oldendorff auditorium in CINEC Campus Malabe.
  • 8. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 8 DepartmentofLogisticsandTransport “It is with great pleasure that I write this message for the Logistics Day 2017 of CINEC Campus.” This year too, I see a lot of enthusiasm among the students from the Department of Logistics and Transport of the Faculty of Management to make this event a great success, surpassing last year’s achievements. The theme they have selected this year ‘’Empowering Logistics: A contemporary Appraisal for Military Strategy’’ is an eye opener for all those who are not conversant with the subject of logistics and a good start up point for all those who are hoping to embark on a career related to logistics. Sri Lanka being an Island nation needs an efficient logistic chain mainly connecting sea and air routes to support its economy. Since the Government of Sri Lanka’s aim is to make our country a Maritime and Logistics hub in the region; a great deal of awareness on Maritime and Logistics among the young and future generations is needed. The MESSAGE FROM THE PRESIDENT CINEC Campus Capt. Ajith Peiris project which the Department of Logistics and Transport has embarked on to educate the school children on the subject is very laudable. I congratulate them for their initiative on this timely project. Finally, I wish all the participants and the organizers an enjoyable and a very successful LOGISTICS Day 2017.
  • 9. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 9 DepartmentofLogisticsandTransport Ms.N.Sivapragasam MESSAGE FROM THE JOINT MANAGING DIRECTOR CINEC Campus It is with great pleasure that I write this message for the Logistics Day 2017 of CINEC Campus. I am indeed happy to see the undergraduate students of CINEC selecting a timely and creative theme such as “Empowering Logistics: A Contemporary Appraisal of Military Strategy” for the event. The concept of logistics in the real battlefield for successful military operation is an appropriate topic for the students of CINEC to obtain an insight into the theories and strategies with respect to military logistics, especially about the “lessons learnt’’ and to understand how best these experiences can be used in the context of the commercial and corporate environment. Therefore, the CINEC Logistics Day 2017 is an eye opener for policymakers since the objective of creating awareness in the society; particularly within the school system, as the contribution of logistics to the military industry is very important. It is clear that the logistics education has a greater role in Sri Lanka today. Therefore, the initiative taken by the undergraduates of CINEC in the endeavor to educate and guide the next generation of students is commendable. I wish them all the very best for Logistics Day 2017.
  • 10. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 10 DepartmentofLogisticsandTransport MESSAGE FROM THE VICE PRESIDENT CINEC Campus It is with immense pleasure that I write this message for the Logistics Day 2017 of CINEC Campus. CINEC Logistics day is an annual event fully oraganized and conducted by second year undergraduate students of the Department of Logistics and Transport Management. I believe that it is a good opportunity for all students to familiarize with industry practices and various other norms, disciplines, and protocols. It is encouraging to note that the theme for this year “Empowering Logistics: A Contemporary Appraisal of Military strategy”, is very innovative and meaningful. By selecting this topic, you have been able to explore an untouched novel area to deliver very attractive presentations by experts in relevant fields. The mission of CINEC Logistics day is “To build a strong platform that empower students apply their acquired skills and knowledge, and to rely upon their personal attributes to lead productive lives and to become contributing members thus help improve global performance in the field of logistics”. This gives a clear indication that the objectives set by the advisory board of the faculty will be delivered on the Logistics day. Therefore, I am extremely glad and proud of your initiatives which Prof. (Capt.) Nalaka Jayakody I am sure will help in producing highly innovative knowledge sharing platform for the logistics industry I thank everyone who worked hard in making the CINEC 2017-Logistics day a remarkable success.
  • 11. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 11 DepartmentofLogisticsandTransport MESSAGE FR0M THE DEAN At this very important occasion where the Department of Logistics and Transport organizes another Logistics’ DayatCINECCampus,itgivesmegreat pleasure in extending my sentiments towards its success. As a signature event in CINEC’s calendar, this brings into limelight the outstanding performance of the students undergoing various programmes from Foundation to Doctoral level studies relating to logistics and transportation management. Likewise in previous years, the organizers of this year’s Logistics’ Day have come out with a theme that suits present- day challenges faced by the industry. Although it is titled “Empowering Logistics: A Contemporary Appraisal of Military Strategy”, its sphere of application doesn’t limit to military interests in a much narrow scope but to a wider market environment where the private sector logistics market have a role to play in a common pool. Until quite recently, the term ‘logistics’ wasn’t a common word of usage in considerable quarters of the commercial world due to its origination and usage in a more military context. However, the expansion of international trade has brought into being an association of this term with the process of organizing and supply of goods and services of a more commercial nature. At present, this is widely used and refereed in many corners inferring that ‘nothing can succeed without proper logistics in place’. This has not only turned out to be an integral part of business processes of any kind whatsoever, but an element that affects the integrity of a business indeed. When the Department of Logistics & Transport unveiled this year’s theme, I was dubious whether it would serve any purpose within the context of studies that the students undergo in a non- military environment. However, it turned out in my own conscience that modern military activities widely associate with the commercial world in terms of organizing and supplying of matter that are necessary in both their military and civil conducts. In my own words; let me say that this year’s Logistics Day would certainly turn the pages of this highly respect field as “game-changer for forward thinking”. My findings could be well justified within the modern day trends in the organizing and supplying of weapons and security personnel on board civilian ships to protect and combat against piracy; supplying and organizing weapons, personnel, and high technological apparatus on board civilian aircrafts against terrorism; detecting and remedying dangerous nature of cargo, supplies, and other substances on board ships, aircrafts, and land vehicles for the protection of States against coordinated attacks; sharing of research outcomes between military and non-military entities for the benefit of security and protection of each other’s interests; and extending mutual cooperation for the benefit of geo- political and economic wellbeing of States, its individuals, and their commercial interests to name a few. Looking back at the past events, I witness that CINEC’s Logistics’ Day caters some great essence to knowledge thirsty individuals sphere heading for a career in logistics. It has certainly turned out to serve as a case study for those who are eager to expand their skills in a pure academic exercise they are involved in various institutions. In view of gaining academic excellence, a workshop in this nature is an essential part of a student’s life. May I take this opportunity to wish the organizers of CINEC Logistics’ Day 2017, all the success and courage in staging a memorable event. FACULTY OF MANAGEMENT, HUMANITIES & SOCIAL SCIENCES Dr. Dan Malika Gunasekera
  • 12. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 12 DepartmentofLogisticsandTransport MESSAGE FROM THE ASSOCIATE DEAN I am indeed happy about the novel theme selected by CINEC undergraduate students for the Logistics Day 2017. “Empowering Logistics: A Contemporary Appraisal of Military strategy”, to me, is a timely and logical theme to peruse in the current scenario in Sri Lanka. The concept of Logistics has its roots in the military well before it became a buzz word in the commercial world. The three military forces have proved to the world beyond any doubt about their logistics competence by successfully combating the 30 years’ war in Sri Lanka. Therefore, it is vital and meaningful to invite logistics experts in the military to present papers on this special day. In addition, the students will reach another milestone by taking the term “Logistics” to schools for the second consecutive year. It is the bitter truth that many youngsters (or even their parents) are not aware of the tremendous benefits of the transport and logistics sector. Even though Sri Lanka is aiming to be the most efficient Hub in the Asia the World Bank did not even rank Sri Lanka in the Connecting to Compete- 2016 report claiming that the exclusion is due to “inadequate responses” from the sample. That itself is a clear indication about the need for improvements in logistics education and training in Sri Lanka. Therefore, the efforts of CINEC undergraduates are highly commendable. I wish them all the success. Dr. Lalith Edirisinghe
  • 13. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 13 DepartmentofLogisticsandTransport The 2nd year students of the Department of Logistics and Transport of the faculty of Management, Humanities and Social Sciences organize the annual logistics day with the aim of inspiring minds of the future of the logistic industry. Undergraduates and school students must be encouraged to learn and understand the broad concept of logistics. Even though logistics is a process that was prevailing from a long time, in Sri Lanka the public have not yet identified the purpose and importance of logistics for the development of an economy. This year’s logistics day is based on the theme “Empowering Logistics: A Contemporary Appraisal of Military Strategy”. The strategies used in the field of military logistics are very important for the development of business or commercial logistics as such strategies focus on perfection and smoothness of the process with proper planning and estimates. Accuracy and punctuality are also facts focused in Military Logistics. The students of the LT Batch 03 & ITML Batch 11 who are the 2nd year studentsofthefacultyofManagement, Humanities and Social Sciences conduct the logistics day 2017 as a joint project to improve the logistics knowledge of school students as well as university students. Hence the inter-school quiz competition along with the inter-university essay and article competition were conducted as pre events to the annual logistics day. Empowering Logistics through military strategy will help to enrich the knowledge and experience for them to build a strong skill base from which they can launch successful careers. Logisticians must understand that they hold a vital responsibility in the development of the countries’ economy. Finally I am honored to have the privilege of being the president of the logistics day organizing committee. It is also a great pleasure and privilege MESSAGE FROM THE PRESIDENT - Organizing Committee to be accompanied with such a co-operative team who accomplish their tasks at the best level to make the event successful. I would like to extend my sincere gratitude to Dr. Lalith Edirisinghe - Associate Dean of the Faculty of Management, Humanities and Social Sciences along with the Head of the Department and all the lecturers and staff members who guided us towards success providing their maximum support and dedication. I specially thank them for their valuable advices and for dedicating their time. A special mention should be made to the South Asia Gateway Terminal (PVT) Ltd. for being the exclusive sponsor of the event. Let us enhance and expand the logistics industry with the help of military strategies for better productivity and for a better future. Thisun Perera
  • 14. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 14 DepartmentofLogisticsandTransport CINEC Logistics Day - 2017 Empowering Logistics: A contemporary Appraisal of Military Strategy 19th October 2017 2.45PM - 3.45 PM Panel Discussion Panelist Resource person A rea for clarification/comments Mr. Diren Hallock Chairman -DRH Logistics International, Former Chair of CILT, SLFFA, FAPAA and SAFFFA (to name a few local and global industry bodies) Session Moderator Commercial aspects/ opportunities/ challenges applying military strategies in commercial logistics problems Prof. Capt. Nalaka Jayakody Vice President CINEC Campus Academic & Marchant Navy perspective in commercial logistics Logistics Head of Army Major General Shantha Liyanage Deriving solutions through Military strategies to the problems in commercial logistics Logistics Head of Airforce Vice Marshal Sagara Kotakadeniya Admiral Thisara Samarasinghe Consultant CINEC campus Former Commander of Sri Lanka Navy and Sri Lanka High Commissioner to Australia Dr. Dan Gunasekara Dean Faculty of Management Humanities and Social Sciences- CINEC Campus Legal implications in applying military strategies in Commercial logistics
  • 15. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 15 DepartmentofLogisticsandTransport INTRODUCTION The paradigm of interconnectedness continues to hold command in today’s global community. However, countries face many challenges in making it happen competitively given inherent geographic factors as well as internal resource constraints. Sri Lanka is enriched with multiple comparative advantages in the areas of naval, aviation and commercial logistics. However, to derive the real benefits of the benevolence the country should enhance its performance in trading across borders. Interestingly, challenges generate opportunities for innovation and problems create new business opportunities. The three areas of naval, aviation and commerce directly relate to international trade and this study examines internationally published reports that contain different indexes and A Contemporary Appraisal of Logistics Performance in Sri Lanka ARTICLES Dr. Lalith Edirisinghe Abstract This paper attempts to appraise the logistics performance in Sri Lanka through multiple indexes and discusses insights and provides recommendations for the way forward. Given the geographic advantages and other comparative advantages, Sri Lanka cannot be pleased with its current ranking. Irrespective of different opinions about the validity of these indexes the business world usually considers these rankings in their investment decisions. Therefore, improving the logistics and transport performance is a must. rakings in relation to the logistics performances in Sri Lanka. Logistics Performance Index published by the world Bank across four editions namely, 2010, 2012, 2014, and 2016 reveals that Sri Lanka is placed in the 86th position globally, and ranked in the third place, way behind India and Pakistan, in the South Asian region. According to the Global Competitiveness Index published by World Economic Forum the transport related factors such as quality of roads, railroad infrastructure, port infrastructure air transport infrastructure also sees a declining trend. Logistics and transport play a key role in business facilitation. The Doing Business reports published by International Bank for Reconstruction and Development reveals that Sri Lanka has declined to a three digit rank out of 160 countries since 2016 with respect to ease of doing business. Firstly, Logistics plays a crucial role in terms of sequential impact to investment promotion of a country, thus Sri Lanka is no exception to this phenomenon. This is a common challenge to maximize FDIs particularly for developing countries. Secondly, the investments in a country decides the progress or the decline of its economy. In 1990 the regulations in international shipping was liberalized to great extent paving the way for international carriers to
  • 16. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 16 DepartmentofLogisticsandTransport operate their services freely in Sri Lanka. This was well backed up by the comparative advantages of strategic geographic location of Sri Lanka. LOGISTICS PERFORMANCE Logistics commonly refers to a series of services and activities, such as transportation, warehousing, and brokerage, that help to move goods and establish supply chains across and within borders. The Logistics environment is primarily influenced by the international trading patterns. In most countries, regulatory measures for trade in goods and services raise new and pressing challenges for efficient cross border movement of goods and services in the 21st century. Logistics make a major impact on economic activity in any country. The history reveals that the location advantage alone can do very little in the country’s overall progress. The process of export shipment should be made very efficient and customer friendly by removing other bottlenecks in border management and external logistics. Sri Lanka too is not an exception to this reality. The Board of Investment of Sri Lanka (Then greater Colombo Economic Commission) implemented investor focussed approach on the common bottlenecks in Customs and border management process soon after the introduction of Free Trade Zone concept in the country. After 1990 the involvement of Central Freight Bureau in exports freight booking was made inactive and shipping industry has been liberalized. Accordingly, it is crucial to analyse the current trends, rankings, scores, and status of various logistics and transport related components and bridge the gaps in the respective areas. Connecting to Compete report It is vital to make a regional comparison of logistics performance index (LPI) results published by the World Bank. However, the latest publication of Connecting to Compete -2016 report does not provide LPI results in Sri Lanka. Therefore, LPI results across four editions namely, 2010, 2012, 2014, and 2016 have been considered (No. of countries evaluated 167) to derive the analysis illustrated in table 1. Indicator India Pakistan SriLanka Bangladesh Maldives Nepal Bhutan Afghanistan Customs 46 66 79 104 83 1 1 134 146 Infrastructure 4 70 1 3 10 8 133 1 3 163 International Shipments 38 6 103 77 118 1 9 1 1 Logistics ualit Competence 38 73 67 93 98 147 1 4 1 6 racking and racing 4 74 8 99 10 116 141 16 imeliness 4 7 87 86 130 119 1 0 1 4 Logistics Performance Indicator LPI 4 69 86 91 100 136 140 160 Table 1: South Asia’s world rank in the Logistics Performance Indicator (LPI) This comparison provides insights to key impediments in logistics performance in the country that may cause serious impact to Sri Lanka. Accordingly. infrastructure and international shipments show a lagging compared with other regional economies which is alarming. Table 2 provides LPI scores of six LPI pillars in addition to their ranks of respective countries. Therefore, a qualitative comparison could be derived from the LPI score. For example, Singapore ranks No.1 with a score of 4.11 in the Customs in comparison to No.2 (Germany) with a score of 4.07. Similarly, Germany and Singapore are placed in No.1 and 3 respectively with corresponding scores of 4.38 and 4.22 respectively. Global Competitiveness Index Global Competitiveness Index (GCI) published by the World Economic Forum is another source used in this research. As reported in the GCI 2016/17, Sri Lanka was ranked 71 out of 138 economies with a score of 4.19. this is a decline from 68 with 4.21 in the previous report of 2015/16. The overall GCI rank and key components of two key pillars of global competitiveness namely, infrastructure, and goods and market efficiency are analysed below. The analysis consists data Table 2: The LPI ranks and scores of selected countries Germany Sri Lanka Singapore United Arab Emirates Somalia Rank Score Rank Score Rank Score Rank Score Rank Score Customs 2 4.07 79 2.52 1 4.11 18 3.67 167 1.49 Infrastructure 1 4.38 123 2.24 3 4.22 16 3.92 167 1.54 International S ipments 7 3.79 103 2.62 4 3.89 13 3.64 167 1.72 Logistics uality Competence 1 4.20 67 2.84 5 4.06 23 3.71 167 1.72 racking and racing 1 4.21 82 2.71 9 4.02 19 3.78 167 1.51 imeliness 2 4.41 87 3.08 6 4.35 18 4.06 167 2.03 Logistics erformance Indicator L I 1 4.17 86 2.68 3 4.10 19 3.79 167 1.67
  • 17. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 17 DepartmentofLogisticsandTransport GCI Rank (out of 138 countries) Sri Lanka 71 Switzerland 1 Remarks 6th pillar: Goods market efficiency 2015/16 2016/17 2016/17 No. of procedures to start a business* 1 04 9 4 54 No. of days to start a business* 59 5 6 56 Prevalence of non-tariff barriers 9 2 73 5 8 Singapore ranks 1 Trade tariffs, % duty* 138 136 57 Prevalence of foreign ownership 61 7 9 19 United Kingdom ranks 1 Business impact of rules on FDI 38 6 8 12 Burden of customs procedures 59 6 3 14 Hong Kong ranks 1 Imports as a percentage of GDP* 9 8 107 48 Hong Kong ranks 1 Degree of customer orientation 30 3 8 3 Japan ranks 1 Buyer sophistication 33 45 3 Doing Business Report Doing Business Report of International Bank for Reconstruction and Development (IBRD) under the World Bank provides various data that are commonly considered in investment decisions. Table 5 refers to New Zealand and Netherlands and Sri Lanka. New Zealand is chosen its rank in “starting a business” and Netherlands is the best performer in trading across borders. Indicator Year: 2017 Sri Lanka New Zealand Netherlands No of countries considered No. of Countries: 190 Starting a business 74 1 28 Trading across borders 90 55 1 Time to Export(days) Documentary compliance(hours) 76 3 1 order compliance(hours) 43 38 0 Cost to export ( SD per container) Documentary compliance( S ) 58 67 0 order compliance( S ) 366 337 0 Time to import(days) Documentary compliance(hours) 58 1 1 order compliance(hours) 72 25 0 Cost to import ( SD per container) Documentary compliance( S ) 283 80 0 order compliance( S ) 300 367 0 Ease of Doing usiness 110 1 28 For example, the quality of roads, railroad infrastructure, quality of air transport infrastructure, degree of customer orientation, and buyer sophistication would have primarily helped Switzerland to achieve these superior performances. Table 3: Analysis of selected components in “Infrastructure” Table 4: Analysis of selected components in “Goods and Market Efficiency” Table 5: Comparison of Doing Business Report of IBRD -The World Bank GCI Rank i n 2016/17 (out o f 138 countries) Sri Lanka 71 Switzerland 1 Remarks 2nd pillar: Infrastructure 2015/16 2016/17 2016/17 Quality of roads 27 4 3 7 Quality of railroad infrastructure 37 4 3 2 Quality of port infrastructure 58 6 0 55 Netherlands ranks 1; New Zealand ranks 2 Quality of air transport infrastructure 45 58 8 Singapore ranks 1 of Sri Lanka and Switzerland that ranks no. 1 in 2016/17 report. It is clear from the comparisons in table 3 and 4 that even the best performing country has performed lower in certain factors. On the other hand, it provides some insights as to what factors may critically important in making the Sri Lanka’s rank better.
  • 18. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 18 DepartmentofLogisticsandTransport CONCLUSIONS AND RECOMMENDATIONS Innovations in logistics would play a key role to improve the logistics performance. If the transport cost is brought down the price of goods and services are expected to reduce. This would help a country to bring down its inflation. Similarly, the country’sexportswillbemorecompetitiveintheglobalmarket due to lower transport cost. However, logistics industry (the shipping businesses in particular) are faced with serious challenges today. More shipping alliances, acquisitions and mergers taking place which makes the industry heavily volatile. There are various security threats caused by sea piracy. Environmental regulations are getting tougher every day which is inevitable. Maritime transport emits around 1000m tonnes of CO2 annually and this accounts 2.5% of global greenhouse gas emissions. Therefore, it is imperative that regulators need apply pressure on green logistics. The container inventory imbalance costs USD 15 Billion a year globally. It is estimated that 20% of containers transported by sea and 40% by land are empty. Container exchange is identified as an effective solution to the container inventory imbalance. Carriers exchange slots for more than two decades now although they still failed to implement the same method for containers although many service agreements already provide provisions to do so. There is a lack of interest by carriers find solutions as the additional cost can be simply transferred to exporters as empty container surcharge. Boarder management is one strong pillar in effective maritime logistics. It was hypothesised that there should be a transparency in the present regulatory system with respect to Logistics and Transport. As revealed in previous literature neighbouring countries are said to have a better regulatory system than Sri Lanka; bureaucratic discretion by certain border management officials obstruct the free international trading rather than facilitating the trade. Global shortfall of competent workforce in maritime sector and declining demand for freshers are among them. Training new employees to prepare them for the jobs of the future isn’t the only issue. Logistics professionals need strong analytical skills and understanding of innovative technologies. Skills in information technology, RFID and automation etc. is now a prerequisite for a job in maritime, logistics, and supply chain management. Logistics should be introduced in the school curriculum at the secondary education level. The clear understating about countless benefits of the industry may help attract students to peruse higher education in the logistics sector. Schools can introduce students’ societies such as ‘Logistics society’, Future Logisticians’ club’ because logistics companies and training institutes may conduct knowledge sharing training programs through these clubs. This is a highly effective way to take the message to the public because the parents usually are inquisitive about the activities taking place in such societies in schools. If the education authorities do necessary initiatives at policy level, there are many private education institutes who can assist schools by providing various resources including training and development as a means of corporate social responsibility. Also, professional institutes such as Chartered Institute of Logistics and Transport, Institute of Chartered Shipbrokers should take leadership in these projects. About the author Dr. Lalith Edirisinghe is a past student of Ananda college. He commenced his carrier in 1981 as a Cadet Officer in Merchant Navy. He counts 36 years’ work experience in the fields of maritime; Marketing, supply chain management, Border management in both government and private sector organizations. He has a PhD, in Transportation planning and Logistics Management from the Dalian Maritime University affiliated to World Maritime University, Sweden. He is a Chartered Marketer, Chartered member of Institute of Logistics and Transport (CILT) and a member of Sri Lanka Institute of Marketing. He is an author, editor, reviewer, session chair, and presenter in many international publication and conferences. Dr. Edirisinghe is a researcher in Supply chain management and his innovations include, Container Inventory Management (CIM) Concept Model; Multidimensional CIM Evaluation Country Index; Carriers’ CIM Competence Index; 3F CIM Matrix; 6R container Supply Management Model; Harmonized System Code Process Flowchart and Virtual Container Pool©.
  • 19. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 19 DepartmentofLogisticsandTransport INTERVIEW 1) A crucial factor in determining the outcome of a war is its supply and distribution strategy. How do you illustrate military logistics? Military logistics is a very complex and a diversified discipline because of the nature of the its operation. It is critical because it deals with life and death and destruction and existence. So getting the right logistics to the right place in right quantity at the right time is critical. In commercial field if these operations are delayed it will either be a profit loss or a delay. But in military logistics, how it is differed is that, if these operations are not carried on well the consequences will be disastrous. Since the military is the considered as the guardians of the nation and the national security depends on them, any failure of these support and logistics is directlyis directly make an impact to the national existence. . Keeping a ship afloat, running, functioning, and fighting needs an efficient support system. So that way military logistics is considered as one of the most important factors within the military next to military training. 2) How did Military logistics evolved in Sri Lanka over the years? I can speak of it since 1974 because I was naval officer at that era. All aspects of logistics support evolvesevolve around the necessity. SoSo, during the time that I joined, requirements of logistics was to maintain a military capability. Our military capability in the past before the conflict was a general requirement of law and order, support. But it evolved in a different way after the conflict. The 1971 conflict was not a sophisticated one so we managed most of it within our resources. But from 1983 onwards the LTTE terrorist conflict started small, but it developed to greater proportions, intensity and vulnerability over the years. So the requirement of military being strengthened and well trained and well supplied was a requirement that the government had to fulfill. Our enemies kept on improving their military capabilities with outside support. They had certain support to a certain extent with military hardware. And that support was supported by foreign logistics support systems and they became stronger and stronger. They acquired sophisticated equipment to be used in military activities and they had a good logistics network too. So we also needed more man power, needed more equipment, support systems such as uniforms and certain things that had to be imported from abroad. And all our military hardware came from overseas. SoSo, this demand of a high intensity military conflict evolved a logistics strategies. 3) Sir, are there any specific measurements to evaluate whether the military logistics systems are efficient and effective? Yes, we have measurements. Our measurement is whether we kept to a strict discipline of where we bought the items, whether we bought it at the right price and evaluate if the delivery is correct. So these are activities that should be planned and executed well. So my answer is, yesis, yes we had measurements of success that is, we played within a budget to acquire the right item. UltimatlyUltimately the measurement was that we used the items for a just and rewarding cause and the end results were seen. And the efficiency was immense. With the navy we had to overhaul engines. Every 5000 hours there is a major engineering effort that had to be put which takes a lot of time and money. In the navy we trained our people, and we did an overhaul blind 24 hours. We trained them, we invested on training, we got the items ready so that the efficiency of our logistics system ensured that we could do this. The end Admiral Thisara Samarasingha Former Navy commander Sri Lanka Navy “When there is a battle going on you need to have the right equipment at the right time and you have no cushioning time”
  • 20. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 20 result is that the ships were available to go to sea. 4) There was the 30 years civil war period in Sri Lanka, how did logistics strategies helped in overcoming challenges and gaining victory? We had a hierarchical system. Commander gives the instructions and the rest follows. At each level, the integrity, honesty and the commitment came into play. Integrity is not in the sense of money. It is doing the job right and you take the responsibility until it is completed. The government’s hierarchy also played a major role. Lot of countries did not give military hardware to our armed forces. We had to pay very high prices from certain countries, some countries gave us items on credit and some countries gave us items free. SoSo, all these happened due to our country’s diplomatic relations. During this period in our country, a large number of civilians and military in the North were cut off from the land route. So we had to supply neccesitiesnecessities by sea using ships, since there was no land transport. The ships became a target for the terrorists and many ships were attacked and sunk. But the military didn’t stop taking the items. There was an efficient replacing network in the military. With certain trials and errors we reached a very efficient system to enrich our armed forces so that they could meet the challenge and finally defeat the terrorists militarily on ground but mainly because we stopped their logistics. 5) The world is rapidly changing with technology, how did the Sri Lankan army derive modern technology in military logistics? Integrated logistics support systems were computerize since it was getting too big to handle and our armed forces numbers were increasing so we had to rely on the technology. And when we were placed all around the country we could not stock every item in the same way. Since we were a developing country fighting a sophisticated conflict we needed to share items. Also when all the items are purchased they are straightaway entered in to a computerized system. Within the press of a button we could know precisely where the correct item was available. Automated Stock management and the purchase systems were available. Modern technology helped us in making our Logistics network efficient and productive. 6) Is there a void between the technology of military logistics in Sri Lanka when compared with global level? If I say no, it will be wrong. There are gaps, but for our requirement we are very efficient at the moment. But the other military units in the world are much bigger (if you compare the bigger countries) and there are certain military units where they manufacture their lethal weapons themselves without depending on the others. For example recently two large vessels were built in India for a design given by the Sri Lankan Navy. That ship is a state of the art ship. So our logistics and supply chain systems should be capable of maintaining that ship. In future we will fill the gap of manufacturing our own vessels but we are capable of doing what is required at the moment. Finally I would like to say that there is no defined gap. Gap comes with the demand and what you have. 7) How does military logistics differ from commercial logistics? Logistics in commercial world I would say is profit oriented. They survive from the profit they make. In military logistics, our budgets are limited and if we don’t get the right items the repercussions are disastrous. Military depends on the tax paid by the public. When the private sector was functioning the military was functioning as well, it a combined
  • 21. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 21 DepartmentofLogisticsandTransport effort I would say. 8) Can we implement these military logistics concepts into the commercial world? Yes of course you can. I would say if the training is right and of course you can take the good part of certain military systems in having very strict control of store’s management and also quality control tactics since aircrafts and ships depends on the high quality spare parts. But a single thing thatthing that comes out of the military logistics concepts is the efficiency. Reducing the lead time. When there is a battle going on you need to have the right equipment at the right time and you have no cushioning time. This can be incorporated to the commercial world. 9) What are your suggestions for the young generations aspiring to step in to the field of logistics? This is a field that was not popular even during our time. In our time supply officers came out with a non science background they cannot go to the other fields. Today the situation has changed. LetsLet’s say you are in a big factory and you have to order a massive number of spare parts and equipment knowledge of engineering, science, physics will help if you are controlling a big network of logistics. ItsIt’s not a mandatory but it is indeed a supportive factor. The young generation must realize the critical importance of logistics. A logistician plays a supportive role even in a sophisticated program because each major program has a logistician attached to that. So for the younger generation I would say it’s fairly a new field, learn how your food comes to the table. Finally I would like to say choose your passion and then the aptitude and pursue that.
  • 22. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 22 DepartmentofLogisticsandTransport ARTICLES The above quotations exactly gives the insight knowledge to Military logistis. Logistics are the center point of winning battles. Therefore, employment of knowledgeable and experienced logisticians are vital to wage wars, in otherway this core competency should be embedded in the soldiers of all levels. The fighting of arms has no bearing in logistic but logistic battle is a soldier’s individual skill which decides winning. Lieutenant Colonel Chandana J.S Weerakoon “Leaders win through logistics. Vision, sure. Strategy, yes. But when you go to war, you need to have both toilet paper and bullets at the right place at the right time. In other words, you must win through superior logistics.” - Tom Peters - “The line between disorder and order lies in logistics…” - Sun Tzu - “My logisticians are a humorless lot ... they know if my campaign fails, they are the first ones I will slay.” - Alexander the great - Evolution of Logistics and Transportation Evolution of logistics has gone back to the days of Great Alexander, King Ashoka and to the eras of Julius and Augustus Ceasure. Basically, logistics started with a military campaigns. There were many phrases given by prominent military strategists about the logistic importance of battles. There was a famous saying that “all the historic battles won by logisticians”. That particular phrase shows the importance of logistics in military. Subsequently, this word and concept moved towards the civilian administrative/management systems at the end of Seventies. The particular word basically used for administration in maritime sector. Further, it moved through to land transportation and air transportation. Now word “logistics” is more prominent with three dimensional transportation system with the introduction of intermodal transportation. Military component Military has different ways of logistics, specially, talks about forward logistics and backward logistics. Forward considers as movement of consignments to the theatres and the backward is from the theatre to the rear areas of battle. This system works as a cycle. There are many subjects taught in the army in terms of two segments, i.e. peace time logistics and theatre logistics. In Sri Lanka, these two words used as peace time administration and administration in the field and the procedures for both are extremely different. The most Importance factor is all military logistics has three dimensional effect. Because theatre has many restrictions for logistics. Mainly due to enemy interferences. Therefore, the logistics chain is going through different modes in order to find the final target/destination. Hence, planning of military logistics has quite different from civillian logistics because factor of enemy threat is one of the important areas to evaluate the system. Therefore, the military logistics are comes under the system of combined warfare which is in combination with Army, Navy and Air forces. There are many logistics jobs/emplyments comes under the purview of military establishments. In order to conduct these functions, separate directorates are established under the military organizations. Some of them are directorate of ordinance, directorate of
  • 23. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 23 DepartmentofLogisticsandTransport supply and transportation, directorate of movement control and the logistics command. Further more, Following are some of the functions conducted by the above directorates and commands. •Purchasing of equipments •Inventory management •Logistics movements •Troops movements •Transportation managements •Construction •Medical/ casuality management etc. All these functions are practising in different levels in different sectors from sub units upto a brigades and divisions. The Brigade Commander is responsible for movement of troops, movement of weapons and ammunitions, movement of rations, movement of equipment, management of salaries, inventory and other related areas. This is a meticulasliy planned job because Brigade Commander is commanding around 3,000 troops, equipment, transportation and weapons which needs to wage the battle. All officers and the soldiers are moving through this system from the enlistment to the retirement at various levels from peace situations to battle field administrations, immaterial of the role of individual regiments. Also, three dimentianal aspect is the most exclusive part that embedded in the system unlike the civillian logisticians. Espesially, the conversion knowledge and the current situations of the present logistic scenario and the new concepts like third party and fourth party logistics systems should be enhaced inorder to get a better output from the HR. As a conclusion, what envisage is that though the core function of military is fighting with the enemy but there is a great deal of logistics in order to win the battle and keep the momentum of fighting. Due to that the ratio of military has been segregated from three to one, i.e. to support three fighting soldiers, one administrative soldier is appointed in the system. Basically, in international military language it is “teeth to tail ratio”. Therefore, every level in the armies are trained in logistics in different scales in order to achieve the concept.
  • 24. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 24 DepartmentofLogisticsandTransport Logistics evolved from Roman and Byzantine times when there was a military administrative official with the title Logista. In this time the word of “logistics” is implied a skill involved in numerical computations. Military logistics involve in planning and carrying out the movement and maintenance of military forces. The main aspects of military logistics are design, development, acquisition, storage, distribution, maintenance, evacuation, and disposition of materiel, transport of personnel, acquisition or construction, maintenance, operation, and disposition of facilities, acquisition or furnishing of services, and medical and health service support. According to Creveld (1977), the history of modern European military logistics has been divided into periods based on two criterions. The first criterion, based on supply Military Logistics Pave the Way for Vision of Business Logistics systems used, divides military logistics into the age of standing armies (where magazines were used), the age of predatory warfare where supply trains served as mobile magazines and where food for men and animals was foraged and continuous supply of food, ammunition from the army’s agricultural/industrial base. The second criterion, based on the means of transport, divides military logistics into the age of horse-drawn wagons, the age of the railroad and the age of the motor truck. Creveld (1977) argues that the major change in military logistics occurred during First World War when the enormous increase in consumption of material supplies (ammunition in particular) created demands that could only be continuously supplied from an industrial base. Mrs. Dilrukshi Nadeesha Lecturer, Colombo University
  • 25. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 25 DepartmentofLogisticsandTransport Prior to the Second World War the military logistics literatures more focused on the management and execution of warfare. Swiss Baron Antoine Henry Jomini (1862) defined that logistics as the “art of moving armies”. Logistics was considered to be one of five principles of war, the others being Strategy, Grand Tactics, Engineering and Tactics. Moreover, the early military logistics literature established a fundamental concept that appears applicable to business logistics management. This concept defines the interdependence of strategy, tactics, and logistics. This top-down approach in decision making has supported to clarify the role of logistics relative to other issues that defense planners deal with. The similar perspective in business logistics would be to view logistics as a component of the firm’s overall strategy. This concept approaches military logistics from the generalist’s perspective (Micheal et al, 1992). Micheal et al (1992) identifies and discusses seven principles of military logistics that may be applicable to business logistics. Principle Description The interdependence of logistics with strategy and tactics strategy, tactics and logistics are considered as t hree e ssential interdependent c omponents of welfare Overlap Logistics activities i nvolve intra-firm and i nter-firm information sharing, overlapping responsibilities a nd s hared facilities. This o verlap m ust be constantly managed and co-ordinated if organizational and partnership goals a re t o be achieved Limitation and balance of resources Resources are always limited. Therefore, t he f irm must constantly (a) balance resources between logistics and o ther a ctivities of t he firm and (b) balance resources among the various logistics activities Priorities and allocations When resources are limited, priorities (the setting of precedence in time, order, importance) and allocations (apportionment of resources) are necessary to ensure t hat available resources maximize organizational objectives Information Timely and r elevant information is n eeded for logistics system development and logistics operations. A constant b alance m ust be sought b etween e xcessive Source: Micheal et al (1992)
  • 26. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 26 DepartmentofLogisticsandTransport These principles provide insight to build future path to business logistics. In this scenario, Michael Porter’s Competitive Advantage focus on the value chain paradigm to examine an array of issues in logistics and supply chain that affect competitive advantage including cost, differentiation and technology. What insights does military logistics offer to business logisticians? Military logistics use simultaneous blending of strategy, tactics and logistics together with the co-ordination of civilian producing and military using activities and the complexity of managing cycles of mobilization, warfare, and demobilization which are equivalents to the challenges facing by business logistics managers. For example, business logisticians can blend organizational and logistics strategies for the co-ordination of development, production, movement, assembly, storage, and delivery among an array of channel members. In the context of military logistics, business logisticians can apply rebranding Rousseau’s EbMgt model which use as a “military logistics intelligence” framework with the same purpose of improving organizational learning and decision- making. (See figure 1.) The above framework provides a vision for the development of data analytical model for business logistics. Development of logistics intelligence units in businesses becomes important due to the dynamic nature of business environment. Business world is competitive and grow with information based economy. We believe that the concept of military logistics intelligence model will become a major part of a larger learning and decision- making strategy for business logisticians and is designed to enhance their connections among stakeholders. Reference Van Creveld, M., Supplying War: Logistics from Wallenstein to Pattoti, Cambridge University Press, 1977, especially Chapter 8. Michael A. McGinnis, (1992) “Military Logistics: Insights for Business Logistics”, International Journal of Physical Distribution & Logistics Management, Vol. 22 Issue: 2, pp.22-32, https://doi. org/10.1108/09600039210015356 dejomini, Baron, The Art of War, trans. G.H. Mendell and Craighill, W.P., Greenwood Press, West Port, Connecticut, 1971, p. 69. Originally published by J.B. Lippincott & Co., 1862. Figure 01: Military logistics Intelligetnce Model Source: https://www.army.mil/
  • 27. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 27 DepartmentofLogisticsandTransport Revolution in Military logistics (RML) ARTICLES From the past eras of Alexandar the Great, logistics has been the lifeblood of any military in the world. With the change of times, the technologies developed for warfare has changed and the methods of fighting has evolved greatly in different dimensions. As an example armory used in warfare was evolved from horses to high tech drones. Therefore as the US military has stated “Changing how we fight influences changes in how we support”, which means that the logistics requirements also have to evolve accordingly. Revolution in Military Logistics is a vision adapted by the US Army in order to evolve their logistics operations to support their military (army) requirements. The Revolution in Military Logistics represents a revolution in the operation and concept of logistics based on distribution. It is a continuing system of seamless logistics which consists of advanced connectivity through highly sophisticated network of communications which links related organizations and procedures which in turn coordinates all aspects of the logistics community into one single network of shared information. This in turn enhances the awareness of all connected parties and leads to more unified action and cohesiveness. This dynamic approach to logistics will support the army’s strategic goals and at the same time to be more effective, efficient and responsive. As a result there will be an increased sustainment of capability quite distinct from anything the world has experienced before; in other words an uprising of the total quality in military logistics. The Revolutionary Military Logistics is not only fundamental in preparing for forthcoming military operations but it is also the pivot of the effort of the army to achieve modernization and readiness simultaneously. A transformation in the army is about changing the way that fighting is done and it needs to go beyond technology to include its doctrine, leadership, organization, material readiness, soldiers and training. Material availability and readiness is a vital part of military forces, particularly in the army as it may constrain their operation by the necessity to carry the materials needed for fighting or to have them supplied to them. With RML the opportunity to break loose of these restrictions occurs. By applying modern technology to both the supply and demand sides of the logistical equation this new concept will permit militaries to move with deftness to distant battlegrounds, conduct crucial combats and return to the base once more with better safety and security to fight once more with more preparedness with updated information. The supply side is enriched through almost perfect logistical situational awareness, real time visibility over situations and down the pipeline and having more control over logistical assets and operations and increased efficiency of physical delivery of required provisions and services. The demand side focuses on the developments made through the innovations of new weapons systems, enriched resource efficiency, higher transportability and better supportability. RML categorizes six initiatives which are expressed as goals within the Army Strategic Logistics Plan as mentioned below. Create a sole information and decision support system (single log system) Convert the current logistics system into a system which is focused on distribution Upholding of an agile infrastructure system Maintain total asset visibility Achievement of rapid projection capability Sustain an adequate logistics footprint The importance of creating a single information and decision support system is that RML is dependent on precision logistics command and control which in turn Dilani Ransrini Ratnajeewa Lecturer (probationary) Department of Management and Finance General Sir John Kotelawala Defence University
  • 28. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 28 DepartmentofLogisticsandTransport relies on modern information systems and networks. There are several key processes in the above mentioned seamless logistics system. The first out of it is readiness management which requires expert logisticians to monitor and integrate war plans with indications of future activities from the field to the relevant forecast units’ status and determine methods to provide best provisions to better accomplish a mission. Next is logistics interventions which are packages of equipment, labor, materiel and skills that produce an explicit enhancement in readiness of a specific unit especially for a specific focus. Shortened or reduced deployment timelines have a direct impact on the acceptable levels of readiness. Resources are put together and interconnected to allow efficient use and reuse of both supplies and platforms in this logistics network which is based on distribution. Next is distribution management, and this utilizes the unified logistics system to propel the distribution system to provide supplies to the correct location of need. Finally is asset management, and this is supposed to match the available assets with the identified or communicated needs. It also identifies lack of assets and then coordinates with the respective public and private suppliers to obtain the necessary additional assets. The total acquirement cycle which commences from the requirements determination up to disposal has to be supported. In an environment where the logistics system is based on distribution, the extent of inventory and the demand quantities are extremely dynamic. Therefore the role of the material handler in RML is also extremely challenging. He/ she needs to have the ability to anticipate the future demand, make judgments about the arrival of required assets and make suitable adjustments as and when needed to the supply system in real time. On the other hand, there are two time constraints that will restrict the material manager’s flexibility. That is the speed of surface transportation which is at twenty to twenty five miles per hour and air transportation speed which is between hundred to four hundred miles per hour. Therefore this has to be taken into consideration when anticipation of supply demand. In order to operate in this manner materiel managers may have to rely on predictive data obtained from digitized weapon systems, real-time information about situational awareness of current and planned operations from two main parties. These two main parties are the Global Combat Support System and Global Command and Control System and other than that uninterrupted coordination with the operational planners. Another important aspect of RML is the need for agile infrastructure. Army logistics has to move towards increased agility in order to cope with the demands of dynamic RML. When looking into the party responsible for the implementation of RML, it is the Army Materiel Command (AMC) that is predominantly responsible for this concept of Revolutionary Military Logistics. Their responsibilities include sustaining the main force, management of weapon systems, power projection and integration of technology. Nevertheless, the utmost challenge is whether AMC will be able to effectively change its culture to maximize the effect of the transformation. AMC must change over from being the “owner” of the army logistic systems and materiel/supplies to being the integrator of the army with respect to logistics. In conclusion it can be stated that RML is a long term vision which is in the process of being realized. There are several reasons which hinder AMC in accomplishing this, which includes army personnel reductions, restricted budgets for research and development and at times for procurement and extremely slow acquisition processes. Additionally a significant adverse impact on AMC’s own administrative structure has been made by several reviews done by the authorities, by significantly reducing its force structure. The positive side is that with RML the US army has transitioned and further will be transitioning from a threat-based military force to a military which is capabilities-based. Figure 1: Moving of supplies across oceans
  • 29. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 29 DepartmentofLogisticsandTransport P.W.G Madhushani Lecturer in Finance and Accounting B.Sc. Finance (Special) USJP. CIMA passed Finalist Introduction ARTICLES THE INTEGRATION OF FINANCE IN LOGISTICS AND SUPPLY CHAIN INDUSTRY The term” logistics” and its actions originated with the military, in the war theater, logistics applied to the process of supplying equipment and supplies to troops. Logistics as a business concept evolved in the 1950 s with the increasing complexity of supplying businesses with material and shipping out products in an increasingly globalized supply chain. Today, the business sector uses this term to describe the efficient flow and storage of goods from point of origin to the point of consumption. The supply chain is an important part of this process, including transportation, shipping, receiving, storage and management of all these areas. Within the business sector logistics can be applied to information, transportation, inventory, warehousing, material handling, packaging, disposal and security. (Robert, J. 2013) The traditional view of logistics focused on carefully managing and optimizing functional areas such as warehousing, inventory, order fulfillment and transportation using mathematical optimization tools. But this new world of externally focused supply chain management presents significant financial opportunities. Companies are realizing the financial benefits of integrating more with customers and suppliers. Perry A. T. (2011) said that “The few, who do it well, are making a fortune, even in this tough economy”. Firms with good links between their financial and supply chain teams are more likely to report strong growth. (Green W. 2013) What fewer companies understand or do well in recognizing the impact of supply chain can have on the customer value proposition. Supply chain management can have a massive impact on cost, profitability, cash flow and risk. Perry A. T. (2011) identified that for many companies it’s the leading untapped factor in not only tightening the cost, but in increasing financial performance”. The author is trying to give an idea about, how finance is integrated with the supply chain management process to move the organizations towards success based on literature review. content The old approach of looking inward doesn’t provide logistics and supply chain managers’ visibility to where the financial performance could be enhanced, such as profitability and reduction of cost while minimizing risk. (Stemmler L. 2002). A close cooperation between supply chain management sales and marketing will take the company towards success. Sales and marketing can identify customers with potential but supply chain management can determine which customers have the willingness and the ability to manage change and become true partners The benefits of closer supply chain relationship include smoothing the order cycle and increasing profitability for both customer and supplier. (Byrnes J. 2000). These concepts cross from the customer relationship to managing the supplier relationship. When customers are opened to form a close relationship with key suppliers they can work together to improve service and the profitability. This is how the different authors are perceiving on the relationship between supplier and the customer may improve the profitability of the organizations. How the process of finance hedges the risk of supply chain management Hedging involves the simultaneous purchase and sale of currency contracts in two markets. The expected result is that a gain realized on one contract will be offset by a loss on other Political risk is certainly a factor in any sourcing / supply chain decisions but currency, taxes duties and other factors come in to play (Perry A.T, 2011). Therefore, hedging will really be beneficial in the process of supply chain management EX: forward contracts for raw materials can help guarantee supply and prices. This is one way to take some control over a risk and avoid a sudden increase in supplier costs if the raw materials price rise.
  • 30. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 30 DepartmentofLogisticsandTransport conclusion The traditional supply chain management focuses on both materials and information flow. Integrating three flows in supply chain management will really be a strength rather than just concerning about integrated management of both the physical flow of material and information along the chain but by properly designing financial flows associated with the physical movement of goods, such as savings due to minimized stock levels may easily be offset by the cost to finance the remaining inventory. Therefore, it is the scope of supply chain management to integrate: product, information as well as the Finance. Integrating financial services will not create a new product, but it will realize the unused opportunities for cost reductions and enhancing profitability while integrating with the customer and the supplier Financial cost drivers in supply chain While enhancing the profitability through having a good relationship among the parties in supply chain process, engaging with the costs is also critical. So, Understanding the cost drivers in supply chain is critical to manage effectively the relationship between service and costs. For example, the number of order lines drive the cost of order management and administration. The cube, routing and frequency of delivery drive the transportation costs. The financial performance of a company can be measured by using Return on Investments. It is considered as a product of two ratios margin and turnover. So, ROI can be increased by reducing the costs elements in supply chain. selling and administrative expenses such as order processing, transportation and warehousing costs. Additionally, inventory carrying costs (interest expenses) The other element of ROI is revenue. It is related to the liquidity of the organization. because supply chain management is managing cash cycle of the organization, cash flow becomes a backbone of it Gary A.S (2016), exploring supply chain cost drivers. http://www.apics.org/apics-for-individuals/apics- magazine-home/magazine-detail-page/2016/07/28/ exploring-supply-chain-cost-drivers Green, w. (2013), collaboration between finance and supply chain teams boosts growth. https://www.cips.org/supply-management/news/2013/ october/collaboration-between-finance-and-supply-chain- teams-boosts-growth/ LogisticsDegree.net. [online] Logisticsdegree.net. Available at: https://logisticsdegree.net/2012/logistics-what-it-is- and-why-its-important-to-your-company/ [Accessed 29 Sep. 2017]. Perry, A.T (2011), finance and supply chain. http://www.inboundlogistics.com/cms/article/finance-and- the-supply-chain-show-me-the-money/ Seuring, S. and Goldbach, M. (2002). Cost management in supply chains. 1st ed. Heidelberg: Physica-Verlag, p.166. Tan, K. (2002). Supply Chain Management: Practices, Concerns, and Performance Issues. The Journal of Supply Chain Management, 38(1), pp.42-53. References
  • 31. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 31 DepartmentofLogisticsandTransport Transportation is the means to carry people, goods and information from one place to another over time/space and is credited with the development of human civilization. Transportation has influenced the economic, social and environmental factors of the urban structure. The process of shaping the form of the city with the time could be taken as the simplest definition of the urban design. Peter Batchelor and David Lewis has defined urban design as ‘design in an urban context’. They have further explained the term design in terms of economic projections, packaging new developments, negotiating with public/private financial partnerships, guidelines and standards regeneration and forming non-profit corporations with public/ private sector financial resources (Batchelor & Lewis, 1986). When we consider factors that influence the satisfaction of the transport user is mainly affected by reliability, information availability (Korale, Mandari, & Suh, 2015), Empathy, comfortability and security of the service mode (Ranawana & Hewage, 2015). The studies on the urban environment have mainly clustered around the impression of their surroundings and As a developing country, health sector of Sri Lanka has a good reputation. The Mental health is considered as one of the most responsive health targets of a country. Though the statistics signify the development in health sector practices, mental health in Sri Lankans denotes high rates of depression, alcoholism, substance abuse and suicides (Indatissa, 2000). The European International Transport Forum has studied transport needs of physically and mentally disabled and older people at the political level ( Stanl & Iwarsson, 2009). New York City’s Department of Urban Transport Structure and Mental Well Being of the Passengers and Residence Figure 1: Structure of a Bridge Health and Mental Hygiene finds that 20% New Yorkers has mental health problems (Davis, 2015). A study done by Moriguchi City Health Examination Center in Japan has found out that a passenger might not be happy to be waiting in a queue to get on the bus or train when the ride is late or by the authoritative behaviour of other passengers. But here the health impact created by that dissatisfaction is far healthier than the amount of stress that he gets when commuting to work each day by driving their own vehicle; most commonly automobile in urban areas during peak hours. A study was done by Lund University on passenger travel by car, train or bus and walking or cycling found out that Traveling by car or public transportation is associated with health issues compared to passengers who practice walking or cycling. They have named walking or cycling passengers as active commuters. The study further pointed out that their sleep quality, exhaustion and everyday stress levels are low, compared to car and public transport users. It denoted that, car and public transport commuters suffered more everyday stress, poor sleep quality, exhaustion and have ill health compared to the active commuters (Tsuji & Shiojima, 2015). Figure 2: Congested arterial road S.S. Wanniarachchi Assistant Lecturer in Logistics and Transport
  • 32. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 32 DepartmentofLogisticsandTransport The Turin Longitudinal research in northern Italy, which was based on the urban characteristics, cultural and sports facilities, transit access and basic demographic information highlighted that, the depressive symptoms of adults have reduced with the improved features of their urban environments, besides antidepressant. Research further highlighted that factors such as density and transit access are “slightly protective” of mental health, among women and older residents ( Melis, Gelormino, & Marra , 2015). The lab recordings indicate that populations were less prone to depress when living in areas reached more quickly by public transportation or walking and cycling; than the passengers use privet transport mode or travel along a congested urban structure. The passenger’s live complicated urban structures have significant differences in their mental wellbeing than those living in more remote or sparse areas. The above survey results give out meaningful understandings about the relationship between mental wellbeing and urban design. Designing cities with high occupancy lanes, Bus rapid transit system, Light rail system are some strategies to overcome the congestion in urban areas. Designing airports in city fringes and designing urban transport terminals as busstands or rail terminals near central cities with architectural designs increase the aesthetic value of the city helps overcome the stress in residence and passengers and also add value to the city in other hands. These pursuits influence the physical wellbeing of the people. These research findings could be used in benchmarking for designing beneficial urban transport structures in Sri Lanka. There is always a risk of conferring redundant conclusions from the small numbers literature arises through the results of the above surveys correspond rather well with information. As the urban transport planning and health of the people are one of the crucial parts of the development of a nation’s economy, energy, social and environmental goals, a positive relationship between urban development and mental wellbeing of the general public should be encouraged by the relevant authorities by providing necessary arrangements. Melis, G., Gelormino, E., & Marra , G. (2015). The Effects of the Urban Built Environment on Mental Health: A Cohort Study in a Large Northern Italian City. Int. J . Environ. Res. Public Health. Stanl, A., & Iwarsson, S. (2009). Cognitive impairment and mental health:A gap in transport policy and service provision. France: OECD Publication. Vanhanen, K., & Kurri,, J. (2006). Quality factors in public transport. Helsinki University of Technology. What is Urban Design? (2011). Retrieved from Urban Design Group: http://www.udg.org.uk Batchelor, P., & Lewis, D. (1986). Urban Design in Action: The History, Theory and Development of the American Institute of Architects’ . American Institute of Architects. Davis, J. (2015). Medical Daily. Retrieved from http:// www.medicaldaily.com Glazier, N., & Lidbetter, N. (2016). Mental Health & Transport Summit Report. London: Mental Health Action Group. Hansson, E., Mattisson, K., Bjork, J., Ostergren, P., & Jacobbsonn, K. (2011). Relationship b e t w e e n commuting and health outcomes in a cross-sectional population survey in southern Sweden. BioMed Central’s open access journal BMC Public Health. Importance of Transport. (n.d.). (Gautrain System) Retrieved Sept 27, 2017, from http://www.gautrain. co.zart Indatissa, B. (2000). Better Mental Health, Better Lives. Retrieved from Basic Needs: http://www.basicneeds.org Korale, V., Mandari, J., & Suh, M.-R. (2015). Customer Satisfaction in Public Transportation-A study of SJ traveler’s perception in Sweden. Sweden: Mälardalen University:. McCay, L., Abassi, A., Abu-Lebdeh, G., Adam, Z., Audrey, S., Barnett, A., et al. (2017). Scoping assessment of transport design targets to improve public mental health. Journal of Urban Design and Mental Health(3). Ranawana, H., & Hewage, D. (2015). Factors Affecting Service Quality in Public Bus Transportation in Sri Lanka. Inculcating Professionalism for National Development . Rathmalana: General Sir John Kotelawala Defense University. Tsuji,H.,&Shiojima,I.(2015).Takingpublictransportation instead of driving linked with better health. American Heart Association
  • 33. 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 33 DepartmentofLogisticsandTransport ARTICLES The Importance of Drafting Proper Patent Claims for New Inventors in Sri Lanka The Importance of Drafting Proper Patent Claims for New Inventors in Sri Lanka 1 . ” The patent system added the fuel of interest to the fire of genius.” 2 General Introduction The Law of Patents strives to strike a balance between the promotion of technological invention and the dissemination and of access to its fruits 3 . A patent granted by the state give a monopolistic right to the inventor of the thing patented to exclude others from making, using or selling the invention. A patent, granted by the state, describes an invention and creates certain legal rights in respect of the described invention that can be exercised only by the owner of the patent, for a limited period 4 . The Law of Patents in Sri Lanka is governed by the provisions of the Intellectual Property Act No 36 of 2003. For a Product to be patented the invention must be new, involves an inventive step and is industrially applicable 5 . Out of the above requirements, proving the inventive step is the most difficult to overcome and is the hardest hurdle to clear. When an inventor is applying for a patent he must full fill the requirements set forth in the Act 6 and among them is the need to draft claim or claims and the purpose of which is to delimit the scope of the monopoly 7 . The Act further stipulates that the claim or claims shall be clear, concise and supported by description 8 . The regulation no 37 declares some of the norms that must be followed regarding drafting of claims 9 . However, this set of norms won’t be much of a help to a person who has very limited amount of experience regarding patents. The regulation 37 has 1 K.A.A.N Thilakarathna LL.B [Hon’s], Former Lecturer [Temporary] Department of Public and International Law, Faculty of Law, University of Colombo. Lecturer, Faculty of Management and Humanities CINEC. 2 Abraham Lincoln's Second Lecture on Discoveries and Inventions delivered on April 6, 1858, 3 Donald S Chisum, Understanding Intellectual Property Law (6th edn, LexisNexis 2011). 163 4 20 years under the Intellectual Property Act No 36 of 2003 5 Intellectual Property Act No 36 of 2003 Section 63 6 Ibid Section 71 7 William Rodolph Cornish and David Llewelyn, Intellectual Property (6th edn, Sweet & Maxwell 2007). p 170 8 Supra Note 5,Section 71 [4] 9 The Gazette of the Democratic Socialist Republic of Sri Lanka EXTRAORDINARY No. 1,445/10 – WEDNESDAY, MAY 17, 2006 more to do with the content and the scope of the claim than the art and crat of drafting the claim itself. Importance of the Claim Claims are the heart of patent law. Chisum, one of the most prominent scholars in the field opines that ‘the claim is the most important part of the patent, setting forth the meets and bounds of the patentee’s right to exclude the others 10 . Giles Rich, the former Chief Judge of the Federal Circuit, once famously stated that “the name of the game is the claim.” Meaning, the patent claims themselves define the scope of the property right held by a patent owner 11 . McCarthy in his desk encyclopedia of Intellectual Property states that ‘a claim is the part of a patent that define the technology which is the exclusive property of the patentee for the duration of the patent. A patent claim sets the bounds of the technical area within which the patent owner has the legal right to exclude others from making, using and selling 12 . Further in A.B Dick Co v. Burroughs Corp 13 the federal court of the United States declared that ‘it is elementary that the property rights bestowed by a patent is measured in the first instances by the claim’ The claims mark the boundaries of the protection provided by a patent, just as a physical boundary such as a fence, marks the limits of a parcel of real property. Thus, the claims are a written approximation of the abstract inventive concept created by the inventor 14 . The claims define the scope of protection provided by a patent. The Claims can also be explained as the statement of technical facts expressed in legal terms defining and identifying the scope of the invention, the protection of which is sought 15 . A claim provides the basis to determine whether the rights of the patentee is violated or not. It then becomes pivotal that it be drafted in such a manner that the patentee be protected in the broadest sense possible. If a patent claim is drafted in such a way where due to the drafting of the claim even a slight modification to the existing patent claim will not be 10 Donald S Chisum, Principles Of Patent Law (3rd edn, Foundation Press 2004). P90 11 Ibid 12 Supra Note 10 13 713 F. 2d 700 - 1983 14 Mccarthy's Desk Encyclopedia Of Intellectual Property (3rd edn, BNA Books 2005). 15 D. M Karunaratna, Elements Of The Law Of Intellectual Property In Sri Lanka (1st edn, Sarasavi Publishers 2010). p151 Akalanka Nuwan Thilakarathna Lecturer, CINEC Campus ” The patent system added the fuel of interest to the fire of genius.”
  • 34. 5TH EDITION OCTOBER 2 0 1 7 LOGISTICS TODAY 34 DepartmentofLogisticsandTransport infringed because of the claim which is poorly drafted could be catastrophic to the inventor. Claims are not technical descriptions of the disclosed inventions but are legal documents like the descriptions of lands by metes and bounds in a deed which define the area conveyed but do not describe the land 1 . How One Should Draft the Claims To be a successful draftsman of claims, one must be possessed of a good degree of imagination. He must have the ability to look beyond the precise physical structure before him and visualize how the same results or advantages might be obtained by more or less obvious modifications or substitutions. Unless he has this ability and exercises it, there is a very good chance that the claim will be so narrowly drawn that it may be very readily avoided 2 . The patent agent needs to understand the differences between three legal constructs related to patents: inventions, embodiments and claims. An “invention” is a mental construct inside the mind of the inventor and has no physical substance. An “embodiment” of an invention is a physical form of the invention in the real world. The “claims” must protect at least an “embodiment” of the invention – but the best patent claims will protect the “invention” itself so that no physical embodiments of the invention can be made, used or sold by anyone without infringing the claims 3 . One point, which it will be well to keep in mind in connection with the drafting of claims, is that, while the specification is addressed to persons skilled in the art or science to which the invention pertains, the claim is addressed to an interpreter of written instruments the lawyer and the Court. Early patents did not have claims and the scope of the patented invention was determined in court proceedings during patent infringement litigation by reviewing the specification filed by the inventor. Not surprisingly, this process eventually became unworkable and the process of patent claiming was born as a means for providing greater notice of the boundaries of the patent. On early days of the patent system the courts were much liberal with their interpretation of the claims as well but this trend changed with time and now though the courts use a purposive approach in interpreting claims it is nonetheless done in a strict manner. A good patent draftsman will probably not want all the claims to meet the apparent theoretical maximum of protection since subsequent litigation will likely raise invalidity arguments not contemplated by the 1 H.E Dunham, 'Drafting Patent Claims' (1947) 29 Journal of the Patent Office Society.318 2 Ibid 3 WIPO Patent Drafting Manual available at http://www.wipo.int/edocs/pubdocs/en/patents/867/wipo_pub_86 7.pdf patent examiner. Thus, the patent draftsman will want to draft some narrower claims in the event that the broadest claims are invalidated. A narrower set of claims will often be upheld as valid during litigation but will still be “broad enough” to prove infringement against the patent infringer. There is no universal code for drafting patent claims. The WIPO Patent Drafting Manual is a useful guide for understanding the basics of drafting claims. It lays out the considerations one must take in to account when drafting claims. While, as we have indicated, there are no general rules of universal application with reference to the drafting of claims, there are certain principles which the draftsman should continually keep in mind in framing the language of the claim. Claims are usually made up of three parts: a preamble, a transition phrase and a body. The preamble identifies the invention or the technical field of the invention. The transition phrase joints the preamble to the body of the claim, and is usually made up mainly of the word ‘comprising’ however, some other words such as containing, consisting and including may also be used. This will mean that the invention includes the listed elements, but does not exclude others. The body of the claim includes a recitation of the elements: the steps or parts that make the invention 4 . Claims can be independent, dependent, or multiple defendant form. An independent claim is completely self-contained. A defendant claim refers to an earlier claim and thus it incorporates by reference all limitations of the previous claim and includes its own limitations. A multiple dependent claim refers back in the alternative to two or more claims and is considered to include all of its own limitations as well as those of any one of the referenced claims. A draftsman of patent claim should certain that the claim must include the features or characteristics which yield the beneficial or useful result. This is just another way of saying that the claim must be complete, since if it is not complete it may be subject to the criticism that it is broader than the invention. In order to satisfy the above requirement, the claim, if for a machine or an article of manufacture, must include structural limitations, otherwise it would be objected to as being purely functional. In this respect, the draftsman may find good opportunity for the exercise of his ingenuity. In reciting structure, he may be able to choose words which will convey the structural idea without limiting the claim to the 4 Supra Note 10 at 91
  • 35. particular structural form or forms disclosed in the specification. For example, "member" or "support" is broader than "rod," "bar" or "shaft'' and ''driving means" while verging upon the functional, is broader than a recital of a "shaft," "pulley," "gearing," 'crank,'' etc. Whatever the language used, its meaning should be clear. If any terms are used in a sense which varies somewhat from their ordinary dictionary meaning the specification should make clear the sense in which such terms are used. One of the most common criticisms which are leveled against patent claims is that of ambiguity and in many cases the patent lawyer has been accused of purposely drafting claims in ambiguous language so that they could be "twisted like a nose of wax" to meet various forms of alleged infringement which might arise. There is always present in the draftsman's mind the fear that if too much is included in the nature of structural limitations the claim may be unduly narrowed. In reaching a decision in this direction the draftsman must make full use of his imagination. If the structural limitation is one which constitutes an essential feature of the invention and no other structure could be employed for the same purpose, obviously its inclusion does not unduly limit the claims. Another thing to keep in mind in drafting claims is to avoid as far -as possible the use of relative terms. the use of such terms in the cl-aim is likely to result in a holding of invalidity because of indefiniteness. If the practice of using comparative words is to be approved, a patent might claim the same combination except to make the one element thinner and lighter. Then along might come another inventor who could get a patent because he made that particular element still thinner and still lighter than the first. Another situation with which the claii5 draftsman is sometimes confronted is that of the case where an invention is made relating to an element of an old combination. In order to give the matter as wide coverage as possible,' there is a rather natural desire to present claims to the Whole combination as well as to the individual element. Quite obviously the Courts do not welcome such efforts because of the fact that such claims may embrace much more than the actual invention involved. Conclusion In presenting claims for an invention, we should keep in mind not only the presentation of broad claims but also much more specific claims. If we could be sure of the exact form in which everybody would want to use the invention, a specific claim to that form would be the most valuable claim that we could have. It would, of course, be infinitely easier to. win -an infringement suit on such a claim than on a broader claim which might meet with unexpected defenses. We cannot always, however, or even in the majority of cases, foresee the exact form in which the invention will be most used before the patent expires. Therefore, we want to have claims as broad as we are entitled to have and at the same time careful study will indicate the specific important features which should also be claimed. Finally, a careful check should always be made between the specification and claims to make sure that the language of the specification and its disclosure furnishes ample basis for all of the claims. There is no excuse for the situation which so often occurs when the patent is put in litigation, where a specification furnishes no description of the subject matter claimed or where the particular language used in the claims is entirely unsupported by any language of the description. As we can observe from the above, the drafting of patent claims is not a simple task, it may even difficult than drafting a statute at times. As an attorney drafting patent claims, one must acquaint himself with the full knowledge of the invention itself to have a good understanding mechanics and mechanisms involved therein. There can never be a hard and fast rule as the precise drafting of claims. So, it is always better to get some subject knowledge of the invention before you draft the claims. Bibliography  Chisum D, Principles Of Patent Law (3rd edn, Foundation Press 2004)  Chisum D, Understanding Intellectual Property Law (6th edn, LexisNexis 2011)  Cornish W and Llewelyn D, Intellectual Property (6th edn, Sweet & Maxwell 2007)  Karunaratna D, Elements Of The Law Of Intellectual Property In Sri Lanka (1st edn, Sarasavi Publishers 2010)  Mccarthy's Desk Encyclopedia Of Intellectual Property (3rd edn, BNA Books 2005)  Dunham H, 'Drafting Patent Claims' (1947) 29 Journal of the Patent Office Society 5TH EDITIONOCTOBER 2 0 1 7 LOGISTICS TODAY 35 DepartmentofLogisticsandTransport