The document discusses logistics management in the Indian automotive component industry. It notes that efficient logistics management is now essential for leading firms in the industry given global opportunities. The industry has grown significantly in recent decades in both production and exports. Leading firms now have efficient logistics systems to handle activities like demand forecasting, inventory management, order processing, packaging, and purchasing among others. Logistics management helps firms meet the stringent quality and time demands of global customers.
With the emergence of the international and domestic markets for aviation cargo, the volume of cargo, including
postal cargo, for civil aviation has increased, and several purely cargo airlines have emerged. Consequently,
competition among aviation logistics enterprises has intensified, and traditional air transportation can no longer meet
customer demands for services. Aviation logistics enterprises must strengthen the aviation logistics service supply
chain to expand their market. Accordingly, this paper discusses the situations and problems of the aviation logistics
service supply chain in China. Moreover, the strategic planning of aviation logistics enterprises in China for the
development of this supply chain is examined. To achieve the objectives of this study, the domestic aviation logistics
service supply chain in China is first investigated. Three of China’s aviation logistics enterprises are selected as
research objects for SWOT analysis. From the results of SWOT analysis, four key issues in the service supply chain
of China’s aviation logistics enterprises are identified: cargo terminals, competitiveness, diversification of service
types, and internal information sharing platforms. Finally, TRIZ analysis is performed on the four issues, and 11
strategies are designed for China’s aviation logistics service supply chain and then are divided into three phases
according to implementation time frame (i.e., short-, medium-, and long-term) to provide references that can be
applied to the practice of China’s aviation logistics enterprises.
Market Research Report : Project logistics market in india 2014 - SampleNetscribes, Inc.
For the complete report, get in touch with us at: info@netscribes.com
Abstract :
Netscribes’ latest market research report titled Project Logistics Market in India 2014 highlights the competitive market scenario of the Indian project logistics market and its growth prospects in the ensuing years. The demand for project logistics in India is experiencing rising demand due to various driving factors which, in turn, have been instrumental in providing immense opportunities to companies to grow and operate in the market lucratively. The report provides a snapshot of the market overview of the project logistics market in India. It also highlights the various project logistics management solutions. The report also gives an insight into issues hampering project logistics, market trends and technology trends in India. Moreover, financial stability, insurance coverage and experience in handling big projects are the key success factors for companies operating in this sector.
There are certain factors that have predominantly worked towards Indian project logistics market to grow in recent years. These include increase in warehousing facilities, rise in infrastructural projects and growth in energy sector. These factors are contributing towards the rapid growth of the industry. Adoption of information technology in logistics sector particularly project logistics is scaling up efficiency in business operations. For the project logistics, various governmental policies and schemes are being implemented. These initiatives are aimed at improving the status of the industry to support future demand.
Table of Contents :
Slide 1: Executive Summary
Macroeconomic Indicators
Slide 2: GDP at Factor Cost: Quarterly (2010-11, 2011-12, 2012-13, 2013-14), Inflation Rate: Monthly (Jun 2013 – Nov 2013)
Slide 3: Gross Fiscal Deficit: Monthly (Feb 2013 – Jul 2013), Exchange Rate: Half Yearly (Oct 2013 – March 2014)
Slide 4: Lending Rate: Annual (2008-09, 2009-10, 2010-11, 2011-12), Trade Balance: Annual (2010-11, 2011-12, 2012-13, 2013-14), FDI: Annual (2009-10, 2010-11, 2011-12, 2012-13)
Introduction
Slide 5-6: Logistics Sector – Introduction
Market Overview
Slide 7-8: Project Logistics – Indian Market Overview
GST Implementation
Slide 9-10: Shift to Goods Service Tax (GST) Regime, GST Implementation Impact on Project Logistics
Project Logistics Management Solution
Slide 11-14: Key Requirements for Successful Project Logistics Management, Project Management System
Key Success Factors
Slide 15: Success Factors
Issues Hampering Project Logistics
Slide 16 -17: Issues Hampering Project Logistics
Drivers & Challenges
Slide 18: Drivers and Challenges – Summary
Slide 19-25: Drivers
Slide 26-29: Challenges
Market Trends
Slide 30: Key Market Trends
Technology Trends
Slide 31: Key Technology Trends – Summary
Slide 32-36: Major Technology Trends in the Market
Competitive Landscape
Slide 37: Porter’s Five Forces
With the emergence of the international and domestic markets for aviation cargo, the volume of cargo, including
postal cargo, for civil aviation has increased, and several purely cargo airlines have emerged. Consequently,
competition among aviation logistics enterprises has intensified, and traditional air transportation can no longer meet
customer demands for services. Aviation logistics enterprises must strengthen the aviation logistics service supply
chain to expand their market. Accordingly, this paper discusses the situations and problems of the aviation logistics
service supply chain in China. Moreover, the strategic planning of aviation logistics enterprises in China for the
development of this supply chain is examined. To achieve the objectives of this study, the domestic aviation logistics
service supply chain in China is first investigated. Three of China’s aviation logistics enterprises are selected as
research objects for SWOT analysis. From the results of SWOT analysis, four key issues in the service supply chain
of China’s aviation logistics enterprises are identified: cargo terminals, competitiveness, diversification of service
types, and internal information sharing platforms. Finally, TRIZ analysis is performed on the four issues, and 11
strategies are designed for China’s aviation logistics service supply chain and then are divided into three phases
according to implementation time frame (i.e., short-, medium-, and long-term) to provide references that can be
applied to the practice of China’s aviation logistics enterprises.
Market Research Report : Project logistics market in india 2014 - SampleNetscribes, Inc.
For the complete report, get in touch with us at: info@netscribes.com
Abstract :
Netscribes’ latest market research report titled Project Logistics Market in India 2014 highlights the competitive market scenario of the Indian project logistics market and its growth prospects in the ensuing years. The demand for project logistics in India is experiencing rising demand due to various driving factors which, in turn, have been instrumental in providing immense opportunities to companies to grow and operate in the market lucratively. The report provides a snapshot of the market overview of the project logistics market in India. It also highlights the various project logistics management solutions. The report also gives an insight into issues hampering project logistics, market trends and technology trends in India. Moreover, financial stability, insurance coverage and experience in handling big projects are the key success factors for companies operating in this sector.
There are certain factors that have predominantly worked towards Indian project logistics market to grow in recent years. These include increase in warehousing facilities, rise in infrastructural projects and growth in energy sector. These factors are contributing towards the rapid growth of the industry. Adoption of information technology in logistics sector particularly project logistics is scaling up efficiency in business operations. For the project logistics, various governmental policies and schemes are being implemented. These initiatives are aimed at improving the status of the industry to support future demand.
Table of Contents :
Slide 1: Executive Summary
Macroeconomic Indicators
Slide 2: GDP at Factor Cost: Quarterly (2010-11, 2011-12, 2012-13, 2013-14), Inflation Rate: Monthly (Jun 2013 – Nov 2013)
Slide 3: Gross Fiscal Deficit: Monthly (Feb 2013 – Jul 2013), Exchange Rate: Half Yearly (Oct 2013 – March 2014)
Slide 4: Lending Rate: Annual (2008-09, 2009-10, 2010-11, 2011-12), Trade Balance: Annual (2010-11, 2011-12, 2012-13, 2013-14), FDI: Annual (2009-10, 2010-11, 2011-12, 2012-13)
Introduction
Slide 5-6: Logistics Sector – Introduction
Market Overview
Slide 7-8: Project Logistics – Indian Market Overview
GST Implementation
Slide 9-10: Shift to Goods Service Tax (GST) Regime, GST Implementation Impact on Project Logistics
Project Logistics Management Solution
Slide 11-14: Key Requirements for Successful Project Logistics Management, Project Management System
Key Success Factors
Slide 15: Success Factors
Issues Hampering Project Logistics
Slide 16 -17: Issues Hampering Project Logistics
Drivers & Challenges
Slide 18: Drivers and Challenges – Summary
Slide 19-25: Drivers
Slide 26-29: Challenges
Market Trends
Slide 30: Key Market Trends
Technology Trends
Slide 31: Key Technology Trends – Summary
Slide 32-36: Major Technology Trends in the Market
Competitive Landscape
Slide 37: Porter’s Five Forces
Case study analysis on "Cost erosion at Tata Motors" during 2001 - 2005 in Indian market. Areas covered:Introduction, Objective, implementation, Financials, SWOT, Conclusion & Summary.
B2B
Supply chain management in indian automotive industry complexities, challeng...ijmvsc
The Indian automotive industry, comprising vehicle and component manufacturers, has grown steadily
since the economic liberalization of the early 1990’s. The arrival of major global auto companies has
galvanised the domestic sector into adopting Supply Chain best practices. This has enhanced
competitiveness leading to a quantum growth in exports. However, the Indian automotive industry has to
operate in an unique environment further posing challenges to the already complex automobile supply
chain. Therefore, a need is felt to continually study supply chain practices in this sector from a
contemporary, practitioner’s viewpoint in order to identify key factors of differentiation which would
ultimately provide competitive advantage. This paper seeks to understand the present status, complexities
and challenges facing the Indian automobile sector. It examines trends such as visibility and innovation,
collaboration and supply networks and evolving leadership roles impacting supply chain effectiveness.
Strategies for overcoming challenges are presented as also a framework for further study and analysis.
Is your warehouse safe? Would OSHA agree? In this slide deck, we cover some of the most common hazards and causes of injury in today's warehouses, how they can be prevented, and tips for complying with OSHA regulations in your area.
Case study analysis on "Cost erosion at Tata Motors" during 2001 - 2005 in Indian market. Areas covered:Introduction, Objective, implementation, Financials, SWOT, Conclusion & Summary.
B2B
Supply chain management in indian automotive industry complexities, challeng...ijmvsc
The Indian automotive industry, comprising vehicle and component manufacturers, has grown steadily
since the economic liberalization of the early 1990’s. The arrival of major global auto companies has
galvanised the domestic sector into adopting Supply Chain best practices. This has enhanced
competitiveness leading to a quantum growth in exports. However, the Indian automotive industry has to
operate in an unique environment further posing challenges to the already complex automobile supply
chain. Therefore, a need is felt to continually study supply chain practices in this sector from a
contemporary, practitioner’s viewpoint in order to identify key factors of differentiation which would
ultimately provide competitive advantage. This paper seeks to understand the present status, complexities
and challenges facing the Indian automobile sector. It examines trends such as visibility and innovation,
collaboration and supply networks and evolving leadership roles impacting supply chain effectiveness.
Strategies for overcoming challenges are presented as also a framework for further study and analysis.
Is your warehouse safe? Would OSHA agree? In this slide deck, we cover some of the most common hazards and causes of injury in today's warehouses, how they can be prevented, and tips for complying with OSHA regulations in your area.
A structured approach to the investigation process should be used with the objective of determining the root cause.
The level of effort, formality, and documentation of the investigation should be commensurate with the level of risk, in line with ICH Q9.
Third party logistics providers typically specialize in integrated operation, warehousing and transportation services
&
Fourth party logistics (4 PL) companies serve as consultants who manage the relationship between the principal company and one or more 3PLs to make sure all operations are running smoothly.
This presentation briefly tries to explain the supply chain management in Toyota Automobiles. The presentation is co-developed by Shashank M.A, Saiganesh N.P. & Anju Pillai.
By:-
Aniruddh Tiwari
Linkedin :- http://in.linkedin.com/in/aniruddhtiwari
Memorandum Of Association Constitution of Company.pptseri bangash
www.seribangash.com
A Memorandum of Association (MOA) is a legal document that outlines the fundamental principles and objectives upon which a company operates. It serves as the company's charter or constitution and defines the scope of its activities. Here's a detailed note on the MOA:
Contents of Memorandum of Association:
Name Clause: This clause states the name of the company, which should end with words like "Limited" or "Ltd." for a public limited company and "Private Limited" or "Pvt. Ltd." for a private limited company.
https://seribangash.com/article-of-association-is-legal-doc-of-company/
Registered Office Clause: It specifies the location where the company's registered office is situated. This office is where all official communications and notices are sent.
Objective Clause: This clause delineates the main objectives for which the company is formed. It's important to define these objectives clearly, as the company cannot undertake activities beyond those mentioned in this clause.
www.seribangash.com
Liability Clause: It outlines the extent of liability of the company's members. In the case of companies limited by shares, the liability of members is limited to the amount unpaid on their shares. For companies limited by guarantee, members' liability is limited to the amount they undertake to contribute if the company is wound up.
https://seribangash.com/promotors-is-person-conceived-formation-company/
Capital Clause: This clause specifies the authorized capital of the company, i.e., the maximum amount of share capital the company is authorized to issue. It also mentions the division of this capital into shares and their respective nominal value.
Association Clause: It simply states that the subscribers wish to form a company and agree to become members of it, in accordance with the terms of the MOA.
Importance of Memorandum of Association:
Legal Requirement: The MOA is a legal requirement for the formation of a company. It must be filed with the Registrar of Companies during the incorporation process.
Constitutional Document: It serves as the company's constitutional document, defining its scope, powers, and limitations.
Protection of Members: It protects the interests of the company's members by clearly defining the objectives and limiting their liability.
External Communication: It provides clarity to external parties, such as investors, creditors, and regulatory authorities, regarding the company's objectives and powers.
https://seribangash.com/difference-public-and-private-company-law/
Binding Authority: The company and its members are bound by the provisions of the MOA. Any action taken beyond its scope may be considered ultra vires (beyond the powers) of the company and therefore void.
Amendment of MOA:
While the MOA lays down the company's fundamental principles, it is not entirely immutable. It can be amended, but only under specific circumstances and in compliance with legal procedures. Amendments typically require shareholder
The world of search engine optimization (SEO) is buzzing with discussions after Google confirmed that around 2,500 leaked internal documents related to its Search feature are indeed authentic. The revelation has sparked significant concerns within the SEO community. The leaked documents were initially reported by SEO experts Rand Fishkin and Mike King, igniting widespread analysis and discourse. For More Info:- https://news.arihantwebtech.com/search-disrupted-googles-leaked-documents-rock-the-seo-world/
Attending a job Interview for B1 and B2 Englsih learnersErika906060
It is a sample of an interview for a business english class for pre-intermediate and intermediate english students with emphasis on the speking ability.
VAT Registration Outlined In UAE: Benefits and Requirementsuae taxgpt
Vat Registration is a legal obligation for businesses meeting the threshold requirement, helping companies avoid fines and ramifications. Contact now!
https://viralsocialtrends.com/vat-registration-outlined-in-uae/
[Note: This is a partial preview. To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
Sustainability has become an increasingly critical topic as the world recognizes the need to protect our planet and its resources for future generations. Sustainability means meeting our current needs without compromising the ability of future generations to meet theirs. It involves long-term planning and consideration of the consequences of our actions. The goal is to create strategies that ensure the long-term viability of People, Planet, and Profit.
Leading companies such as Nike, Toyota, and Siemens are prioritizing sustainable innovation in their business models, setting an example for others to follow. In this Sustainability training presentation, you will learn key concepts, principles, and practices of sustainability applicable across industries. This training aims to create awareness and educate employees, senior executives, consultants, and other key stakeholders, including investors, policymakers, and supply chain partners, on the importance and implementation of sustainability.
LEARNING OBJECTIVES
1. Develop a comprehensive understanding of the fundamental principles and concepts that form the foundation of sustainability within corporate environments.
2. Explore the sustainability implementation model, focusing on effective measures and reporting strategies to track and communicate sustainability efforts.
3. Identify and define best practices and critical success factors essential for achieving sustainability goals within organizations.
CONTENTS
1. Introduction and Key Concepts of Sustainability
2. Principles and Practices of Sustainability
3. Measures and Reporting in Sustainability
4. Sustainability Implementation & Best Practices
To download the complete presentation, visit: https://www.oeconsulting.com.sg/training-presentations
Digital Transformation and IT Strategy Toolkit and TemplatesAurelien Domont, MBA
This Digital Transformation and IT Strategy Toolkit was created by ex-McKinsey, Deloitte and BCG Management Consultants, after more than 5,000 hours of work. It is considered the world's best & most comprehensive Digital Transformation and IT Strategy Toolkit. It includes all the Frameworks, Best Practices & Templates required to successfully undertake the Digital Transformation of your organization and define a robust IT Strategy.
Editable Toolkit to help you reuse our content: 700 Powerpoint slides | 35 Excel sheets | 84 minutes of Video training
This PowerPoint presentation is only a small preview of our Toolkits. For more details, visit www.domontconsulting.com
RMD24 | Debunking the non-endemic revenue myth Marvin Vacquier Droop | First ...BBPMedia1
Marvin neemt je in deze presentatie mee in de voordelen van non-endemic advertising op retail media netwerken. Hij brengt ook de uitdagingen in beeld die de markt op dit moment heeft op het gebied van retail media voor niet-leveranciers.
Retail media wordt gezien als het nieuwe advertising-medium en ook mediabureaus richten massaal retail media-afdelingen op. Merken die niet in de betreffende winkel liggen staan ook nog niet in de rij om op de retail media netwerken te adverteren. Marvin belicht de uitdagingen die er zijn om echt aansluiting te vinden op die markt van non-endemic advertising.
Unveiling the Secrets How Does Generative AI Work.pdfSam H
At its core, generative artificial intelligence relies on the concept of generative models, which serve as engines that churn out entirely new data resembling their training data. It is like a sculptor who has studied so many forms found in nature and then uses this knowledge to create sculptures from his imagination that have never been seen before anywhere else. If taken to cyberspace, gans work almost the same way.
Affordable Stationery Printing Services in Jaipur | Navpack n PrintNavpack & Print
Looking for professional printing services in Jaipur? Navpack n Print offers high-quality and affordable stationery printing for all your business needs. Stand out with custom stationery designs and fast turnaround times. Contact us today for a quote!
Premium MEAN Stack Development Solutions for Modern BusinessesSynapseIndia
Stay ahead of the curve with our premium MEAN Stack Development Solutions. Our expert developers utilize MongoDB, Express.js, AngularJS, and Node.js to create modern and responsive web applications. Trust us for cutting-edge solutions that drive your business growth and success.
Know more: https://www.synapseindia.com/technology/mean-stack-development-company.html
Premium MEAN Stack Development Solutions for Modern Businesses
Logistics management in indian automotive component industry
1. Logistics Management in Indian Automotive Component
Industry
By
Nitin Gupta
Faculty, Marketing
ICFAI Business School
Hyderabad
Many of the leading firms in the Indian automotive component industry have an efficient
logistics management system. Having an efficient logistics management system is no longer
a choice but a necessacity for these firms considering the global opportunities that have
opened for this industry.
Introduction:
The Indian automotive component industry has shown tremendous growth over the last
decade. Today it has 480 companies, employees more than 2,50,000 people and has an
estimated turnover of approximately Rs 45,000 crore (US$ 10 billion). On export front also,
the industry has grown by leaps and bounds, generating an overseas sales of to Rs. 8,190
Crores (US$ 1.8 billion) in 2005-06, which is nearly three times of what it exported in 2001-
02 (US$ 578 million)1. The tremendous growth in the automotive component sector over
the last few years is shown in table 1:
Table 1: Growth in Production and Exports in the Indian Automotive Component
Industry (Rs. mn and %)
Production Y-O-Y change Exports Y-O-Y change
FY1998 120317 14935
FY1999 129967 8.0 15685 5.0
FY2000 163559 25.8 18330 16.9
FY2001 178569 9.2 27065 47.7
FY2002 216021 21.0 28019 3.5
FY2003 255354 18.2 34965 24.8
FY2004 306400 20.0 45000 28.7
Compiled by INGRES
Source: http://www.fadaweb.com/iaci.htm
The automotive industry manufactured components fall under six broad product categories
according to Automotive Component Manufactures association (ACMA). These are given in
table 2.
Table 2: Classification of Automotive Components according to ACMA
Product Group Products Share* (%) Some of the Key Players
Motor Industries Company, Ucal Fuel Systems,
Pistons, Piston Rings, Engine Valves,
Engine Parts 23 Shriram Pistons, India Pistons, Goetze, IP
Carburetors, Fuel Injection Systems
Rings,
Motor Industries Company, Denso, India Nippon
Electrical Parts Starter Motors and Generators 7
Electrical
Drive Transmission Rico Auto Industries, Sona Koyo Steering
Gears, Clutches, Axles 14
and Steering Parts Systems, Automotive Axles, GKN Driveshafts,
2. Bharat Gears, Rane (Madras), Clutch Auto,
Ceekay Daikin
Brakes India, Sundaram-Clayton, Munjal
Suspension and
Brakes, Leaf Springs, Shock Absorbers 11 Showa, Gabriel India, Rane Brake Linings,
Braking Parts
Sundaram Brake Linings, Jamna Auto
Premier Instruments & Controls, Lumax,
Equipment Headlights, Dashboard Instruments 8
Motherson Sumi Systems
Sheet Metal Parts, Pressure Die Castings,
Others 36 Jay Bharat Maruti
Tyre Tube Valves and Cores
Source: ACMA
Segmental market shares of the organized sector in FY2003 in rupee terms
Compiled by INGRES
The History the Indian Automotive Component Industry 2:
The Indian Auto Component Industry had its small beginnings in the 1940s. If the evolution
of this industry is traced in India, it can be classified into three distinct phases namely:
1. Period prior to the entry of Maruti Udyog Ltd (1940s to 1984).
2. Period after the entry of Maruti Udyog Ltd till economic liberalization (1984 to 1991).
3. Period post Liberalization (1991 onwards).
The period prior to the entry of Maruti Udyog Ltd was characterized by low technology and
assured business for most of the auto-component manufacturers who used to supply to a
handful of players in the Indian automobile market like Hindustan Motors, Premier
Automobiles, Telco, Bajaj, Mahindra & Mahindra etc.
With the entry of Maruti in the 1980s, the auto ancillary industry in the country showed a
spurt in growth. This period witnessed the emergence of a new generation of auto ancillary
manufacturers who were required to meet the stringent quality standards of Maruti's
collaborator Suzuki of Japan. The good performance of Maruti resulted in an upswing for the
domestic auto ancillary industry. It was also during this period that auto components from
India began to be exported.
With the liberalization of the Indian economy in 1991 and coming of many foreign
automobile manufacturers like Hyundai, Daewoo etc., the auto ancillary industry witnessed
huge capacity expansions and modernization initiatives in this period. This also led to a
tough competitive scenario, which saw a lot of consolidation, technological collaborations
and equity partnerships within the industry and with leading global players abroad.
Today, many international and local automotive players are increasingly sourcing
components from Indian automotive component manufacturers. As the demand for
manufactured automotive components with the tag "made in India" increases, the
automotive companies have to further enhance the quality of their products and operations
as global players require quality components at reasonable prices and at precise time
durations. This has made the automotive component manufacturers in India to be under
severe pressure to meet such onerous demands. Hence, to meet such demands, today all
the major players in this industry are having one or the other logistics management system.
Understanding Logistics Management:
Logistics is the organized movement of materials and, sometimes, people. The term was
first associated with the military but gradually spread to cover business activities. Logistics
Management is defined as a business planning framework for the management of material,
3. service, information and capital flows. It includes the increasingly complex information,
communication and control systems required in today's business environment 3 . Logistics
management includes a whole gamut of processes like planning, procurement,
transportation, maintenance, distribution and replacement of personnel and material.
The process of logistics management differs from one firm to another. In some firms, all
these activities are placed within a single logistics department; in others, they are shared
among the departments. The firm may also go in for what is called third-party logistics,
which is a contract with an outside party to perform specific logistics services.
The following indicative list gives some of the functions that a firm's logistics management
system is supposed to perform4:
1. Customer Service: All the activities that are done to keep the existing customers
satisfied come under the gamut of customer service.
2. Demand Forecasting: This process includes various statistical measures that enable the
firm to estimate the demand in the future, which inturn helps in proper demand
management.
3. Documentation Flow: This process covers the movement of the paperwork that
accompanies the movement of physical product.
4. Interplant Movements: This is only applicable to those firms where production process
is accomplished in more than one plant, requiring the movement of semi-finished products
from one plant to another.
5. Inventory Management: Inventory management requires a cost effective maintenance
of stocks of goods and materials.
6. Order Processing: Order processing starts with the receipt of an order from a customer
and ends when the order is ready for packaging.
7. Packaging: Packaging is done mainly to protect the product when it is being transported
from the source to the destination. It can also be used for promotional purposes.
8. Parts and Service Support: This covers the whole after-sales service process.
9. Plant and Warehouse Site Selection: This function is carried to determine where the
plant and the warehouse are going to be located, keeping cost-benefit analysis in mind.
10. Production Scheduling: This function's task is to balance demand for products with
the existing plant capacity and availability of inputs.
11. Purchasing: This is a very important function in the logistics management as the
quality of inputs that are purchased determines the quality of the finished product. Vendor
selection is an important sub-process of this function.
12. Returned Products: There are many categories of returned products. A few are
subjects of product recalls, meaning that a safety defect or hazard has been discovered.
E.g. laptop battery recall by Dell. These products are removed from the shelves, and both
retailers and consumers attempt to return them to the manufacturer. This is a form of
reverse distribution, with goods moving in the opposite direction of their usual flow.
4. 13. Salvage Scrap Disposal: How a firm takes care of its waste material is covered in this
function. The firm might recycle its waste or sell the waste to various processors who
specialize in recycling it.
14. Traffic Management: All the transport requirements needed to move a firm's freight is
known as traffic management.
15. Warehouse and Distribution Centre Management: This logistics activity involves
management of the locations where the firm's inventories are stored.
Logistics Management practices in leading Indian Automotive Component
Manufacturers:
* Sundaram Clayton Limited (SCL): Sundaram Clayton uses comprehensive TQM (Total
Quality Management) practices that enable it in being a competitive world-class
manufacturer in terms of quality, cost and timely delivery of products. SCL uses cellular
manufacturing, which gives it the flexibility to respond in tune to customer needs. It does
comprehensive integration of the supply chain through implementation of ERP (Enterprise-
Wide Resource Planning) programme5.
* Bharat Forge Limited (BFL)6 : Bharat Forge has been effectively leveraging information
technology as an important tool for reducing costs in the field of logistics management. In
2000-01, the company implemented SAP enterprise resource planning package. Bharat
Forge is moving at full speed to build e-commerce applications with SAP as a backbone for
BFL legacy systems and other collaborative softwares like SCM (Supply Chain Management),
PLM (Product Lifecycle Management), etc.
At Bharat Forge, SAP also provides in-built capabilities like CRP (Capacity Resource
Planning), BPR (Business Process Re-engineering) and thus offers a powerful link between
the entire value chain extending from the customers to the suppliers.
The company has also set up an integrated supply chain management system, which
enables real-time visibility of material requirement and inventory throughout the value
chain, and provides decision support at all stages of operations. It also assists the company
in awarding contracts to vendors on current and competitive terms and ensures better
execution of contracts. Majority of the company's suppliers have been logged into its supply
chain and with Bharat Forge e-enabled with its customers, the company has a real time
total demand management system in place.
A virtual private marketplace has been created for Bharat Forge through which the company
engages in e-procurement and reverse auctions. The company has already started selling
scrap online.
* Exide Industries Limited: Exide has eight manufacturing plants producing world class
products. Exide factories are located strategically around the country to provide logistic
support for its production of over five million batteries per annum 7 . Exide's R&D is engaged
in projects embracing process technology aimed at improving the product quality &
consistency, production efficiency and material utilization 8.
Exide employees Total Quality Management programme in its office and factories to set
higher standards for itself at every step of its "customer-service route". "Zero-error"
benchmarking, and delivering quality orientation throughout operations has led Exide to get
5. the coveted DIN ISO 9001 certification by RWTUV of Germany 9.
* Sundaram Fasteners Ltd. (SFL): SFL makes just-in-time (JIT) supplies for various
Original equipment manufacturers (OEMs) through out the country10. It has an effective
Inventory Management system. Currently, in order to enhance its logistics management;
and with the aim of achieving high quality and low cost in its operations, it is using Total
Productive Maintenance program (TPM), which was initiated in 1995 in consultation with
JIPM (Japan Institute of Plant Maintenance)11.
* Shriram Automotive Products Ltd: This Company has tried to improve its logistics
management by establishing, implementing and maintaining a quality system in accordance
with the requirements of ISO 9002. It tries to adhere to customer delivery schedules
through adequate planning and monitoring and tries to bring down non-conformities by
strictly monitoring the effectiveness of corrective and preventive measures12.
* India Pistons Ltd (IPL): India Pistons Limited strives to maintain a comprehensive
system of professional logistics management designed to identify possible defects right from
the initial phases of development, hence, preventing problems that could potentially cost
the organization dear. In all IPL locations, systems & procedures based on TPM, TQM and
Lean Manufacturing are used to ensure that Quality levels are on par with the best in the
world. All its plants are QS 9000 certified13.
* Premier Instruments & Controls Limited (Pricol): As a part of its logistics
management policy, Pricol gives lot of emphasis on procurement quality through systematic
vendor development, quality plan, vendor upgradation through Vendor Center of Excellence,
process capability, vendor quality audit, inspection and training14 .
* Lumax Industries: Lumax became an ISO 9002 certified company in 1995, attained its
QS 9000 certification in the year 1998 and achieved the ISO/TS 16949: 2002 and ISO
14001 in 2003. Lumax is aiming for continual improvement of manufacturing processes with
emphasis on consistent quality and cost effectiveness15.
* Sona Koyo: Sona Koyo is moving on the path of Total Quality Management (TQM) by
developing its core competence and aligning objectives at all levels to realize synergy in its
operations. It has adopted Total Productive Maintenance (TPM) to improve performance
through the philosophy of prevention of accidents16. All these measures help it to have a
robust logistics management system.
* Munjal Showa: Munjal Showa is a TS-16949 & ISO 14001 company which aims at
providing highest customer satisfaction, cost competitiveness, continuous improvement, on-
time delivery of products and direct on-line system by having an enviable logistics
management system17.
Besides the firms that have been mentioned above, other major automotive component
manufacturers like Rico Auto, Sumi Motherson, Cluth Auto etc. too realize the importance of
stringent inventory management and delivery requirement and hence have their own state
of the art logistics management systems in place.
Suggestions for Further Improvement in the Logistics Management Systems in the
Indian Automotive Component Industry:
6. The Indian Automotive Component Industry can further improve its competitiveness, but
the Association of Indian Automotive Component Manufacturers and the Indian government
have to work hand in had to address some of the problems that are being faced by this
industry – like inefficient infrastructure in terms of ports, roads, etc; unutilized capital
equipment available in the industry, government led bureaucratic hurdles and many more
such speed breakers that can curtail the speed of growth that this industry is witnessing
today.
Some of the steps that can further improve the logistics management system being used by
various firms in the Indian Automotive Component Industry are:
* Improving productivity of suppliers by technology transfer and funding.
* Further reducing inventory buffers and supply chain bottlenecks.
* Using latest technological initiatives to enhance the existing quality levels and
streamlining the processes further.
* Using softwares like Supply Chain Event Management or SCEM that monitor forecasts,
orders, manufacturing schedules, inventories, and shipments etc.
Conclusion:
The more competitive the Indian automotive component industry becomes in the global
arena, the more inseparable will the principals of logistics management become to its
success and future growth. Though many of the leading automotive component
manufacturers in India are having some sort of logistics management system in place, there
are still a number of problems that the automotive component industry is facing on the
logistics management front. In order to make a bigger mark in the global arena of
automotive components, these problems have to be addressed and solutions implemented
at the earliest.