This document discusses establishing a distribution network to provide warehousing and logistics services. It outlines customer expectations of short-term cross docking and labeling services and long-term cost reduction and optimized networks. The scope of operations includes warehouse management, distribution management, and customer care. Key activities are described for warehouse operations, transportation management, and order fulfillment. Recommendations are provided for site selection, network design, warehouse layout and processes, IT systems, performance metrics, and commercial pricing.

1. Distribution Solutions
For Samples & Promotional Materials
Saleesh S

2. Customer Expectations
Short-term
• Provide Regional Cross Dock/Transit Storage Facility
• Provide Repacking & Labeling services
• Provide Warehouse Infrastructure
• Manage Secondary Distribution
• Management Information Visibility
Long-term
• Reduce costs
• Optimize networks
• Complete end- end logistics solution

3. Engagement Scope
Scope of Operations
1. Warehouse Management
1. Warehouse Set-up
Planning, Site/ Infrastructure selection & set-up, Material handling equipment
selection & set-up, People sourcing, Systems selection and implementation, process
definitions & implementation
2. Warehouse Operations Management
Day-to-Day Warehouse Operations Management including Receipts, Inspection, Storage,
Order Processing & Invoicing, Packaging, Value Additions, Dispatches, Sample Issues,
Returns/Damage/ Obsolescence Management, Periodic Stock Count, Warehouse MIS, KPI
Monitoring/Productivity monitoring, Service Level Agreements, Continuous Improvement
2. Distribution Management
Day-to-Day In-city & Direct to MR Distribution Management including Load Handling, Transportation,
Tracking,
Transportation MIS, KPI Monitoring/ Productivity Monitoring, Service Level
Agreements, Continuous Improvement
3. Customer Care
In-city and out-of-city customer complaints, support and resolution (within control areas)

4. Executive Summary
• Warehouse Location selected as Delhi, Mumbai, Hosur, Kolkatta.
• Distribution network redrawn
• Warehouse Layout, Organization & Process Flows defined
• Right IT systems and people plan has been drawn out
• SLAs have been defined along with a continuous performance improvement
plan
• Timelines have been drawn out. Warehouse set-up is expected to complete
within 30 days from the date of contract.

5. Site Selection & Distribution Model: Factors in Warehouse location
selection
• cost
– Warehousing Operations & maintenance costs
– Distribution Cost
V/S
• Speed to Market
– Short Order to Delivery cycle- Same day Delivery
– Proximity for Inbound material
Additional factors:
– Availability of Transportation
– Infrastructure
• Roads
• Power
• Water
• Other utilities
– Availability of skilled manpower
– Government Regulations
– Strategic Factors (Monitoring & Control, Pre determined sites, future plans)
– Environmental factors
Key Criteria (Cost vs Speed to Market)
Costs Speed to Market
Warehouse Operations & Maintenance Short Order – Delivery cycle (Same day)
Distribution cost Proximity to receipt & delivery

6. Outbound
Transportation
Order
Management, Re
Packing &
Visibility
Contract Manufacturing
Carriers
Sales Force
Inbound
Transportation
Returns
Warehouse
Management
3rd party vendors
Scope of
Engagement
Institutions/
Doctors
Zone/State
wise MRs
Product Literature -
Vendors
- Factory
WWL Customer
Care
Site Selection & Distribution Model: Network Diagram

7. Recommendations Detail:

8. Regional HUB activity
1. Receipt
2. Checking, Sorting
3. Crating/Cartonizing
4. Put away
5. Order processing – Scheduling
6. Documentation
7. Picking
8. Packing
9. Labeling
10. Stage for Despatch

9. Transportation KRA (Secondary)
• Defined transit times.
• Door Delivery & POD
• COD if required for institutions and Doctors
• Claims Management
• Returns Management

10. 1. Inbound
2. Dock / Unload
3. Receipt of goods
4. Create GRN
5. Putaway
6. Picklist Creation
7. Order picking
8. Value-added services
(Kitting/Rework)
9. Packing line
10. Sorting Conveyers
11. Dispatch
12. Tracking
9
7
2
11
10
1
8
3
5
6
WMS Solutions
WMS activities / processes
4
12
IT Systems: Warehouse Management System Overview

11. Outbound
Transportation
Order
Management
Suppliers Customers
Inbound
Transportation
Extended Visibility
Supply Planning
Capacity
Planning
Demand
Planning
IT Systems: Providers Offer End-To-End Visibility, Enabling the Near- Real Time
Management of Demand, Capacity and Supply Planning
Carriers
Warehouse
Management
*supply chain event management

12. Key Reports
• Performance Report
• Operations level monitoring
• Daily MIS reports
Solutions
WMS & Facility Management Solutions have inbuilt functionality to release the
above reports. This can be customized as per requirement
IT Systems: Management Information System

13. People
• Recruitment
– Recruitment is carried out at Regional & Local levels
– Job Rotation of existing employees across the group & the continuous recruitment provides
• Skilled manpower
• People with experience in Logistics & Supply Chain
• Capability to manage increased throughput
• Training
– Employees are trained during project phase
– Training as per SOP (Standard Operating Procedures)
– Periodic Training in line with QMS
– Initiatives like Kaizen, Lean Six Sigma
– Refresher Training
– Knowledge sharing on Best Practices across different industry verticals (being managed by RLPL as a 3PL
Service Provider)
• Retention
– Dedicated people on company rolls
– Welfare Facilities
– Reward & Recognition schemes
– Growth opportunities across different verticals being managed by WWL Logistics

14. Performance Improvement & SLAs
• All the warehouses managed by WWL
• WWL Retail Processing Centres & Warehouses in the process of getting ISO Certification.
• Process Audits, Training as per Quality Management System
• Initiatives like Kaizen, Lean Six Sigma
Process Improvements & Audits
SLAs
• Inbound
– Gate Entry/ Material Receipt Report- Same Day
– External Inspection for returns only – 48 hours
– Material Receipt confirmation to Consignor- Same Day
– GRN for material received upto 1200 hrs (agreed throughput levels)- Same Day
• Storage, Inspection & Stock Verification
– Stocking & Tagging as per agreed norms
– Book V/s. Physical Stock verification- net value basis- Accuracy- 99.95%
• Picking & Dispatch
– Picking accuracy 99.35%
– Delivery of order received till 1200 hrs.- Same Day
– Rush order (@ 5% max of normal throughput levels)- to be executed in 2 hours
– Orders received by 1200 hrs for booking @ Transporters – Same Day
• Reporting & MIS
– Dispatch intimation – next day after dispatch
– POD Management
– Submission of Accurate MIS as per agreed frequency
• Customer Care SLAs as defined and agreed upon

15. Commercials
Cost of Distribution: Door Delivery with in Regions from the regional HUB – Rs. 10.00 per KG (Volume
weight) (Terms & Conditions in detail offer)
Costs
Benefits
•Efficient and effective warehouse operations
•Low cost operations, consistent SLA adherence
•Aquastar quality standards and brand
•Aquarstar logistics end-to-end solutions partnership