Chapter I
Chapter I
Chapter I
1.1 INTRODUCTION
“Logistics” was initially a military-based term used in reference to how military personnel
obtained, stored and moved equipment and supplies. The term is now used widely in the business
sector, particularly by companies in the manufacturing sectors, to refer to how resources are handled
and moved along the supply chain.
“Warehouse management” refers to the process of organizing, controlling, and overseeing the
operations within a warehouse or distribution centre. It involves the efficient handling and storage of
goods, inventory management, order fulfilment, and the overall optimization of warehouse processes.
The primary goal of warehouse management is to optimize the use of space, labour, and resources
while ensuring accurate inventory management and timely order fulfilment. This introduction aims
to provide an overview of warehouse management practices, highlighting their significance in
modern-day logistics.
First and foremost, an organized and well-designed warehouse layout is essential for
maximizing space utilization and improving operational efficiency. A strategically planned layout
ensures that goods are stored in a logical and systematic manner, enabling easy access and retrieval.
It minimizes travel time, reduces handling costs, and enhances productivity. Additionally, efficient
space utilization allows for increased inventory capacity, enabling companies to handle higher
volumes of goods and meet customer demands effectively.
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Inventory management is another critical aspect of warehouse management. Accurate tracking
and monitoring of inventory levels help prevent stockouts, overstocking, and obsolescence. Advanced
technologies such as barcode scanning, radio frequency identification (RFID), and warehouse
management systems (WMS) facilitate real-time visibility of inventory, enabling companies to
optimize stock levels, improve order accuracy, and reduce carrying costs. Effective inventory
management ensures timely replenishment, minimizes backorders, and enhances customer
satisfaction.
Warehouse management practices also encompass efficient order fulfilment processes. This
involves streamlining the picking, packing, and shipping of goods to meet customer demands
promptly. By implementing techniques like batch picking, zone picking, and wave picking,
companies can optimize order processing time and reduce errors. The use of automated systems, such
as conveyor belts and robotic picking systems, further enhances the speed and accuracy of order
fulfilment. Swift and accurate order fulfilment is crucial for meeting customer expectations,
maintaining a competitive edge, and fostering customer loyalty.
INDUSTRY PROFILE
The global logistics industry is a sprawling and multifaceted sector that serves as the backbone
of modern commerce and trade. With the world becoming increasingly interconnected, the demand
for efficient and seamless logistics services has never been greater. This industry encompasses a vast
array of activities, including transportation, warehousing, inventory management, freight forwarding,
customs clearance, and supply chain management, among others. These interrelated components
work together in a synchronized dance to ensure the smooth movement of goods and services across
borders and continents. One of the key pillars of the global logistics industry is transportation. Various
modes of transport, such as air cargo, maritime shipping, road transportation, rail freight, and
intermodal transport, play a vital role in moving goods from their points of origin to their destinations.
Air cargo offers speed and efficiency for time-sensitive shipments, while maritime shipping is ideal
for bulk goods and long-distance transportation. Road transportation is essential for last-mile delivery,
ensuring goods reach their intended recipients promptly. Rail freight and intermodal transport, which
combines different modes of transport, provide cost-effective solutions for certain types of cargo.
Warehousing is another critical aspect of the logistics industry. Warehouses serve as storage and
distribution centres, providing a temporary home for goods as they await transportation or final
delivery. Efficient warehousing operations involve proper inventory management, picking, packing,
and order fulfilment, all of which contribute to a streamlined supply chain. In recent years, the rise of
e-commerce has placed additional pressure on warehouses to handle a higher volume of individual
shipments, making warehouse automation and optimization even more crucial. 3 Freight forwarding
and customs brokerage services act as facilitators in the international movement of goods. Freight
forwarders bridge the gap between shippers and carriers, negotiating contracts, arranging
transportation, and handling documentation. Their expertise ensures that goods flow smoothly
through various borders and customs regulations. Customs brokers play a complementary role,
assisting importers and procedures, tariffs, and duties. Their intimate knowledge of local regulations
helps to avoid delays and potential penalties, making the global supply chain more efficient and cost-
effective. Supply chain management (SCM) is the art and science of overseeing the entire network of
suppliers, manufacturers, distributors, and retailers. SCM aims to optimize the flow of goods,
information, and finances to minimize costs, reduce inventory, and enhance overall efficiency.
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Advanced technologies, such as blockchain and Internet of Things (IoT) devices, have revolutionized
supply chain management by providing real-time tracking and transparency, thereby improving
traceability and accountability in the movement of goods. The logistics industry’s global reach and
scale are astounding, touching every corner of the world and influencing economies at both local and
international levels. It is particularly crucial for multinational corporations and businesses engaged in
global trade. The continuous growth of international trade has spurred a corresponding expansion of
logistics services, driving innovation and specialization in the industry. Furthermore, the logistics
industry has been significantly impacted by global events and macroeconomic shifts. The COVID-
19 pandemic, for instance, highlighted the industry’s resilience and adaptability in the face of
unprecedented challenges. Supply chain disruptions and changing consumer behaviours posed
significant hurdles, but logistics companies responded with agility, finding new ways to deliver
essential goods and maintain the flow of commerce. Environmental sustainability has also emerged
as a major concern within the logistics industry. As awareness of climate change and carbon emissions
grows, there is increasing pressure on logistics companies to adopt greener practices. Efforts to reduce
the carbon footprint of transportation and warehouse operations, the implementation of alternative
fuel 4 sources, and the adoption of more sustainable packaging solutions are some of the steps being
taken to address these concerns. The global logistics industry is a critical enabler of modern
commerce, connecting businesses and consumers across the globe. With its vast network of
transportation, warehousing, freight forwarding, customs brokerage, and supply chain management,
the industry plays an indispensable role in driving economic growth and international trade. As it
continues to evolve in response to technological advancements and changing global dynamics, the
logistics industry will remain an essential component of the global economy, supporting the
movement of goods and services for years to come.
The logistics industry in India has experienced remarkable growth and transformation over
the years, playing a pivotal role in supporting the country’s rapidly expanding economy. India’s vast
geographical expanse and diverse demographics present unique challenges and opportunities for the
logistics sector. As one of the fastest-growing economies in the world, India’s logistics industry has
had to adapt and innovate to meet the evolving demands of both domestic and international trade.
One of the key factors contributing to the growth of the logistics industry in India is the government’s
focus on infrastructure development. Investments in roadways, railways, ports, and airports have
significantly improved connectivity and reduced transportation bottlenecks. The development of
dedicated freight corridors, such as the Western Dedicated Freight Corridor and the Eastern Dedicated
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Freight Corridor, has enhanced the efficiency of rail freight transportation and reduced transit times
for goods movement across the country. India’s strategic location as a gateway to South Asia has also
made it a prominent player in the global logistics landscape. The country’s extensive coastline
provides access to major international shipping routes, making maritime transportation a vital
component of India’s logistics ecosystem. Major ports like Jawaharlal Nehru Port Trust (JNPT) in
Mumbai, 5 Chennai Port, and Mundra Port have seen significant investments in infrastructure and
technology to handle larger volumes of cargo efficiently. Moreover, India’s logistics industry has
witnessed a surge in demand driven by the rapid growth of e-commerce. With a massive population
and increasing internet penetration, online retail has witnessed exponential growth, leading to a surge
in parcel and last-mile delivery services. E-commerce giants and logistics companies have invested
heavily in technology and last-mile delivery networks to meet consumer expectations for faster and
more reliable deliveries. In recent years, there has been a growing emphasis on technology adoption
within the Indian logistics sector. From the implementation of transportation management systems
(TMS) to the use of GPS tracking and telematics, technology has been harnessed to optimize
operations, reduce costs, and improve overall supply chain visibility. Additionally, the integration of
blockchain technology is being explored to enhance transparency and security in supply chain
transactions. Despite these advancements, the Indian logistics industry faces several challenges.
Infrastructure gaps in certain regions, especially in remote and underdeveloped areas, continue to
hamper the smooth movement of goods. Inefficient logistics operations and complex regulatory
procedures at state borders add to transportation delays and costs. The industry also grapples with a
shortage of skilled labour and the need for workforce upskilling to keep pace with technological
advancements. The introduction of the Goods and Services Tax (GST) in 2017 was a significant
reform that aimed to simplify India’s complex tax structure and create a unified national market. The
GST has had a positive impact on the logistics industry by reducing the compliance burden and
improving the efficiency of inter-state movement of goods. It has led to the consolidation of
warehouses and distribution centers, driving the adoption of more sophisticated inventory
management systems. As India continues to attract foreign direct investments (FDI) and encourages
‘Make in India’ initiatives, the logistics industry is poised for further expansion. Multinational
companies are setting up manufacturing units in India to cater to both domestic and export 6 markets,
creating additional demand for logistics services. To leverage this potential, the industry is exploring
innovative solutions such as multimodal transportation, cold chain logistics for perishable goods, and
eco-friendly practices to align with sustainability goals. The logistics industry in India is a dynamic
and integral part of the country’s economic growth story. The sector’s evolution is marked by
advancements in infrastructure, technology adoption, and policy reforms. Despite challenges, the
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industry’s resilience and adaptability have enabled it to keep pace with the changing dynamics of
domestic and global trade. As India continues to build its presence on the world stage, the logistics
industry will play a vital role in supporting the movement of goods and driving economic prosperity
for the nation.
The logistics industry in Coimbatore, Tamil Nadu, plays a crucial role in supporting the
region’s economic growth and facilitating the movement of goods and services. Coimbatore, often
referred to as the “Manchester of South India,” is a prominent industrial city known for its textile,
engineering, and manufacturing sectors. As a result, the logistics industry in Coimbatore has evolved
to meet the specific needs of these industries while also serving other sectors of the local economy.
Transportation is a critical component of the logistics industry in Coimbatore. The city is well-
connected by road, rail, and air, making it an important logistics hub in the southern region of India.
The Coimbatore International Airport facilitates air cargo transportation, allowing for quick and
efficient movement of goods to both domestic and international destinations. Additionally, the city’s
strategic location near major seaports like Chennai and Kochi enables smooth maritime shipping for
businesses engaged in export and import activities. The road transportation network in Coimbatore is
extensive and well-developed, enabling the efficient movement of goods within the city and to other
parts of India. The presence of National Highways and State Highways enhances connectivity,
making Coimbatore an ideal location for industries to establish their distribution centers and
warehouses. 7 Additionally, the government’s efforts to improve road infrastructure and implement
technology-driven toll collection systems have further contributed to the smooth flow of traffic,
reducing transportation time and costs. Coimbatore’s position as an industrial hub has led to the
establishment of various warehouses and distribution centers. These facilities serve as crucial nodes
in the supply chain, storing and managing inventory for manufacturers and traders. The warehousing
sector in Coimbatore has witnessed modernization and automation, with the adoption of technology-
driven inventory management systems and state-of-the-art facilities to ensure efficient storage and
distribution of goods. The region’s strong manufacturing base has created a demand for specialized
logistics services. Freight forwarding companies in Coimbatore play a significant role in facilitating
international trade by coordinating the movement of goods across borders. They work closely with
exporters and importers to ensure smooth customs clearance and compliance with international trade
regulations. Freight forwarders also negotiate transportation contracts and optimize cargo routes to
minimize costs and transit times. Furthermore, the logistics industry in Coimbatore has embraced
technological advancements to enhance efficiency and transparency. The integration of transportation
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management systems, GPS tracking, and real-time monitoring tools has improved supply chain
visibility, allowing businesses to track the movement of their goods at every stage of the logistics
process. Such technological innovations have enabled logistics companies to offer more reliable and
customer-centric services. Challenges also exist within the logistics industry in Coimbatore.
Infrastructure constraints, particularly in last-mile connectivity, can lead to delays in the delivery of
goods. Traffic congestion during peak hours can impact the efficiency of transportation operations.
Additionally, the need for skilled manpower in the logistics sector necessitates efforts to provide
training and skill development programs to address the workforce’s evolving needs. 8 As the Indian
economy continues to grow and evolve, the logistics industry in Coimbatore will play a critical role
in supporting businesses and enabling seamless trade and commerce. The city’s strategic location,
strong industrial base, and proactive approach towards infrastructure development make it an
attractive destination for logistics companies and investors. As the industry continues to embrace
technological innovations and sustainable practices, Coimbatore’s logistics sector is poised for further
growth and competitiveness on both regional and global scales. By addressing challenges and
capitalizing on opportunities, the logistics industry in Coimbatore will remain a key enabler of
economic development and prosperity for the region.
OM’s entrepreneurial soul can be followed right back to 1978 when Mr. Ajay Singhal began
a plastic modelling business under the pennant of OM Industries. Over the next three years, OM
Industries entered into the transport business.
The foundation of what would grow to become the OM Group was laid in 1983. The
association with Maruti India broadened the scope in the automobile industry, fusing OM Industries
with OM Auto Carriers. Introducing the first ever car carrier load truck for Maruti and earning a size-
able reputation & goodwill in 1991, Mr. Ajay Singhal introduced the term “Logistics” in an outright
expert route in India.
OM Logistics Ltd. Came as a pioneer for the logistics industry in 1999. By being in the
complete management of solutions, we aim to achieve a holistic balance in the complete loop of
operations. We take care of all the legal formalities associated with importing & exporting of
goods.Within half a decade, OM Logistics acquired full ownership of OM Group, introducing OMX
Info Management Limited. This paradigm shift was accompanied to give a sorted-out answer
For a complete portfolio of logistics services, focusing on all transportation needs of automobiles and
different enterprises.
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o COMPANY NAME: OM LOGISTICS LTD.
o INDUSTRY: Freight, Cargo, Transportation
o HEAD OFFICE: DELHI
o WEBSITE: https://omlogistics.vo.in/
• 675 + branch offices connecting more than 2500+ destinations Throughout the country. • Fully
equipped office automation and state-of-the-art communication System.
o Equipped with Fleet size of over 4500 Trucks, LCVs, Jumbo & Containers.
o Over 20 million sq. ft. of warehousing & storage space.
o A well-trained, dedicated and efficient workforce to handle logistic coordination.
• Beyond infrastructure par excellence, Om Logistics believes in setting benchmarks in.
Customer satisfaction with our one-to-one communication with customers, tail or fitted
logistic solutions and prompt, cost-efficient services. Control on cost and commitment to time
schedules due to superior data collection and analysis. Market research & development
through an IT team which is proactive and in sync with changing communication systems.
Convenience with IT-based graphical user interface and online and real time applications that
enable consignment tracking and tracing.
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1. OM Infra construction- for both internal and external construction purposes
OM Logistics strives to reach to every corner as its consumer desires. As per the customers
requirement. The company align to strategy to keep the brand on a go. The company focuses on
delivering operational excellence to provide feasible, economic solutions to the complex logistics
problems. The company has a progressive mindset. “it caters to every technological need for business
with a modern touch, keeping the world in motion.
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OM LOGISTIC’S MISSION, VISION AND VALUES
MISSION:
To promote teamwork & create a work environment encouraging the workforce to continuously
strive for quality & excellence, providing high quality service to customers under one roof.
VISSION:
We aim to emerge as the torchbearer in the logistics industry. Our vision is to establish OM Logistics
as the most grounded worldwide logistics & Supply chain.
VALUES:
OM Logistics has always been values-driven. Our shared values guide our actions that help us make
a difference. These values continue to direct the growth and business of OM Group
QUALITY SERVICE
ENTREPRENEURIAL SOUL
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PORTFOLIO Om Logistics offers the world a complete portfolio
of logistics services that anticipate and satisfy clients’ desires and
needs.
RESPONSIVE
PASSION
DIVERSITY
INNOVATION
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SAFETY-FOCUSED
I. Air services:
OM Logistics is among the pioneers in India’s cargo space, offering the fastest and safest way to
deliver goods within the committed delivery time, to any part of the country, with optimized & cost-
effective solutions. Based on years of experience they have vast expertise in offering reliable Air
Cargo Services. Following a systematic framework, all the procedures are carefully conducted right
from storage to the delivery of the cargo. The advanced track system of the om logistics allows
customer to track their material. Multiple routing options are available to provide ‘Same Day
Delivery’ & ‘Next Flight Out’ services to their clients, it deals with multiple Air Taxi Operators such
as Jet Airways, IndiGo, Air India and SpiceJet, who help Om logistics to maintain the best standards
According to the needs of the client company provides three types of delivery viz.
1 Surface delivery- charges 7/ kg and delivery is estimated to be done in 7 days from Delhi to
Chennai and in 6 days from Delhi to Maharashtra
2 Express delivery – it charges around 8/kg and delivery is estimated to be done in 8 days
3 Speed trucking (spd) – in speed trucking form of delivery, the delivery charge is estimated to
be 25/kg and the time of delivery is reduced according to the convenience of the customer.
III. Rail cargo services:
Om logistics hold more than 20 years of delivery in rail transportation. According to the
requirement of the customer, the goods can be delivered through the train whose one compartment
is taken on lease by the Om logistics for 1 year. They hold sound expertise in safely transporting
the consignment from one location to another via rail transportation. Utmost care is taken to make
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sure that goods are delivered to desired location without any kind of harm or damage. The usual
rate per kg of the rail transport is 28/kg,
3PL SERVICES:
• Inbound
• Storage
• Stock management
• Kitting & binning
• Outbound
• Dedicated & shared facilities
OM Logistics has been honoured with several Awards & Accolades in its journey so far, with
decades of experience in a range of industries, and has been recognized for its best-known services
to its customers. We are garnered with several awards for awarding unparalleled logistics services &
bringing top-notch solutions to customers in markets around the world.
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MEANING OF WAREHOUSE
A warehouse is a commercial building or facility used for the storage of goods, materials, and
products before they are distributed or sold to customers. It serves as an important node in the supply
chain, providing a centralized location for storing and managing inventory. Warehouses play a critical
role in ensuring the smooth flow of goods from suppliers to manufacturers or distributors, and
eventually to retailers or end consumers.
1. Storage:
Warehouses are designed to store goods in a safe and organized manner. They can
accommodate various types of products, from raw materials and components to finished goods.
2. Inventory Management:
Warehouses help in managing inventory levels, tracking stock quantities, and ensuring
efficient stock rotation (First-In-First-Out, Last-In-First-Out) to minimize product spoilage and
obsolescence.
3. Order Fulfilment:
When customer orders are received, warehouses facilitate order picking, packing, and
shipping processes to ensure timely delivery to the end-users.
4. Consolidation:
In supply chain operations, warehouses often serve as consolidation points where goods from
multiple suppliers are combined before being shipped to their final destinations, reducing
transportation costs.
5. Cross-Docking:
Some warehouses are equipped for cross-docking, a process where incoming goods are
directly transferred from inbound transportation to outbound transportation with minimal storage
time.
6. Value-Added Services:
Many warehouses offer value-added services such as product labelling, kitting, repackaging,
and assembly to meet specific customer requirements.
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7. Distribution:
Warehouses provide a secure environment to protect goods from theft, damage, and adverse
weather conditions.
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TYPES OF WAREHOUSES
Warehouses are essential components of the supply chain and play a crucial role in the storage,
handling, and distribution of goods. Different types of warehouses cater to specific industry needs
and requirements. Below are some common types of warehouses:
1. Public Warehouses: These warehouses are owned and operated by third-party companies that
offer storage and handling services to multiple businesses on a short-term or long-term basis.
Public warehouses are suitable for companies that do not require dedicated storage space or prefer
to outsource their warehousing needs.
2. Private Warehouses: Private warehouses are owned and operated by individual companies to
store their own products. They provide more control and flexibility over storage and handling
processes, allowing companies to tailor the warehouse to their specific needs.
3. Distribution Centres: Distribution centres are strategically located warehouses that act as
intermediaries between manufacturers or suppliers and retailers or customers. They are designed
to efficiently receive, store, and distribute products to various locations, reducing lead times and
transportation costs.
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4. Temperature-Controlled Warehouses: These warehouses are equipped with environmental
control systems to maintain specific temperature conditions. They are essential for storing
perishable goods, such as food products, pharmaceuticals, and other temperature-sensitive items.
5. Bulk Storage Warehouses: These warehouses are designed for the storage of large quantities
of non-perishable goods, often in bulk form. They are suitable for items like grains, coal, minerals,
and other raw materials.
8. E-commerce Fulfilment Centers: These warehouses are specifically designed to handle the
storage, packing, and shipping of e-commerce orders. They are optimized for fast order
processing to meet the demands of online shoppers.
THEORIES IN LOGISTICS
1. Supply Chain Management (SCM) Theory: Supply chain management is a vital concept in
logistics, encompassing the coordination and integration of various activities involved in the
movement and transformation of goods from raw material suppliers to end consumers. It involves
the efficient management of inventory, transportation, warehousing, and information flow to
ensure smooth operations and customer satisfaction. OM Logistics Ltd. Operates within a supply
chain framework, and understanding SCM theory will help contextualize its warehouse
management and transportation practices.
Where:
➢ EOQ is the Economic Order Quantity.
➢ D is the annual demand for the product.
➢ S is the ordering cost per order.
➢ H is the holding cost per unit per year.
❖ ABC Analysis:
ABC analysis is a method for categorizing items in inventory management based on their
importance or value. It divides products into three categories: A, B, and C.
• Category A:
High-value items with a relatively low quantity, typically representing a small percentage
of the total inventory but a significant portion of the total value.
• Category B:
Moderate-value items with moderate quantities, often making up a medium portion of the
total inventory and value.
• Category C:
Low-value items with a high quantity, comprising a large portion of the total inventory
but a small portion of the total value.
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ABC analysis helps companies prioritize their focus on managing the most critical
inventory items efficiently. Typically, more attention and resources are allocated to
Category A items while Category C items receive less attention due to their lower value.
❖ JIT (Just-In-Time):
JIT is a manufacturing and inventory management philosophy that aims to minimize inventory
levels by producing or ordering goods only as they are needed in the production process or for
customer orders. The key principles of JIT include:
• Minimizing Inventory:
JIT seeks to reduce excess inventory, which can tie up capital and space.
• Pull System:
Production is initiated in response to customer demand, and the flow of materials is driven
by this demand rather than being pushed by forecasts or sales targets.
• Reducing Waste:
JIT focuses on eliminating waste, including excess inventory, overproduction, waiting
times, unnecessary transportation, and defective products.
• Continuous Improvement:
JIT encourages continuous improvement in processes and the elimination of
inefficiencies.JIT is often associated with lean manufacturing principles and is
widely used to increase efficiency and reduce costs in manufacturing and supply
chain operations. It can lead to cost savings and improved quality by reducing waste
and enhancing responsiveness to customer demands.
b. Layout and Design: Warehouse layout and design theory explore the efficient arrangement of
storage areas, picking zones, and docks to optimize material handling processes. Concepts like
the “Golden Zone,” “Aisle Configuration,” and “Cross-Docking” can be applied to improve OM
Logistics Ltd.’s warehouse layout and design.
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3. Transportation Management Theory:
b. Routing and Scheduling: This theory focuses on determining the most efficient routes and
schedules for transporting goods. Algorithms like the Traveling Salesman Problem (TSP) and
Vehicle Routing Problem (VRP) can aid OM Logistics Ltd. In minimizing transportation costs
and delivery time.
Warehousing or storage refers to the holding and preservation of goods until they are
dispatched to the consumers. Generally, there is a time gap between the production and
consumption of products. By bridging this gap, storage creates time utility. There is need for
storing the goods to make them available to buyers as and when required. Some amount of
goods is stored at every stage in the marketing process. Proper and adequate arrangements
to retail the goods in perfect condition are essential for success in marketing. Storage enables
a firm to carry on production in anticipation of demand in future. A warehouse is a place
used for the storage or accumulation of goods. It may also be defined as an establishment
that assumes responsibility for the safe custody of goods. Warehouses enable the
businessmen to carry on production throughout the year and to sell their products, whenever
there is adequate demand.
Need for warehouse arise also because some goods are produced only in a season but are d
emanded throughout the year. Similarly, certain products are producedthroughout the year
but demanded only during a season. Warehousing facilities production and distribution on a
large scale.
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ABBREVIATIONS
o COF- Certificate of fact
o CN – consignment note
1) COF: A “Certificate of Fact” is a document that certifies specific information or facts. It can
be used in various contexts, such as legal proceedings, business transactions, or government
records. If you need a Certificate of Fact, you typically need to specify the exact information
or facts you want to certify, and the appropriate authority or organization will issue the
certificate accordingly.
2) POD: A proof of delivery (POD) is typically a document or record that confirms the
successful delivery of goods or services to a recipient. It may include details such as the
recipient’s name, date and time of delivery, a signature, and sometimes additional information
like the condition of the goods delivered. PODs are often used in shipping and logistics to
provide evidence that a shipment was received by the intended party. If you need a specific
template or more information about creating a POD, please provide additional details.
3) SPD: Speed trucking typically refers to the transportation of goods by trucks with an
emphasis on fast delivery and efficient logistics. It’s a crucial aspect of the transportation
industry, often involving long-haul trucking to meet tight delivery schedules. If you have
specific questions or need information related to speed trucking, please provide more details,
and I’ll do my best to assist you.
4) CN: A consignment note is a document used in transportation and shipping to detail the
contents of a shipment. It typically includes information about the sender, receiver, the goods
being transported, their quantity, and any special instructions or conditions. Consignment
notes are essential for tracking and verifying the delivery of goods.
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5) DDR: A DDR, or Daily Delivery Report, typically refers to a document or report that
provides a summary of deliveries made on a specific day. It can include details such as the
items delivered, the quantity, recipient information, delivery times, and any relevant
comments or issues. DDRs are commonly used in logistics, shipping, and supply chain
management to track and document daily delivery activities. The exact format and content of
a DDR may vary depending on the specific industry or organization using it.
6) WMS: WMS stands for “Warehouse Management System.” It’s a software application used
by businesses and organizations to effectively manage and control various aspects of their
warehouse operations, including inventory management, order picking, shipping, and
receiving. WMS software helps streamline warehouse processes, improve inventory
accuracy, and enhance overall efficiency in a warehouse or distribution centre.
I learnt the process at the warehouse so as to how the warehouse work is managed and when
the Coimbatore hub/warehouse is used to keep the belongings of the customers (goods have to be
used for the commercial purpose after delivery to the consignee as the company deals in B2B). The
company mainly deals in auto-parts and it constitutes about 90 % of the company’s business.
The goods which are booked from Coimbatore or the places nearby Coimbatore in part load used to
come to the hub and materials/goods which are booked in full load doesn’t go to any hub or warehouse
as they go directly to the customers.
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Workload at Coimbatore hub (901)
PROCESS AT COIMBATORE
TRANSHIPMENT
Transhipment means the unloading of goods from one vehicle and its loading into another to
complete a journey to a further destination.
I. UNLOADING
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• If the material has to be delivered in air cargo or the train cargo then also the material is
quickly unloaded and then loaded because the material which is booked to be delivered via
Air or Train, will be out for delivery from the (901) hub on an urgent basis
• But if the material is booked in surface or express mode then generally the material is kept for
6-7 days as per the demand of the customer
• When the lorry comes at the front side, the material is unloaded by seeing the CN number of
the package. Material comes in the form of part load I.e., there can be material of different
customers.
• The materials can go to different places and on basis of place for which the material has to be
delivered, the material will go different to different location inside a (901) hub.
• For ex. The material which is booked for Madhya Pradesh, or any other place will go to the
space which has been allotted to Madhya Pradesh. And is kept for 6-7 days if it is an express
or a surface material and the respective material will go their respective spaces.
• One supervisor is assigned per truck and about 3 labours are also assigned to unload the truck.
The supervisor checks if all the materials are correctly unloaded and also ensures that
materials go to the right Spaces and if all the materials with the same CN (consignment note)
are unloaded, then the supervisor makes tick mark on that CN number.
• And if the certain material is lost or damaged the supervisor will report to higher authority
i.e., the operations in-charge of the (901) hub who in turn will report to the booking office
from which the material is booked.
• And if the material is lost or damaged the COF of the material will be prepared which would
be prepared by the Om logistics ltd. Which helps customer to claim the insurance of the lost
or damaged material.
• If a material is found in excess the supervisor will write excess while preparing daily report
of unloaded materials in the system.
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II. LOADING PROCESS
The effectiveness of warehouse management practices can be evaluated based on several key
points:
1. Optimal Storage and Space Utilization:
An effective warehouse is organized in a way that optimizes the use of available space.
This means having well-designed racking and shelving systems, efficient layouts, and proper
stacking techniques. Efficient space utilization minimizes wasted space and allows for the
storage of more materials or products. Optimal storage and space utilization are critical
principles in material handling and logistics, focusing on maximizing the efficiency of storage
areas within warehouses and distribution centres. These principles are instrumental for
enhancing inventory management, reducing operational costs, and ensuring the smooth flow
of goods through the supply chain. Optimal storage involves organizing and storing goods in
a manner that minimizes wasted space while maximizing accessibility and efficiency. One of
the key strategies in achieving optimal storage is the use of racking systems, shelves, and
stacking techniques that make the most of both horizontal and vertical space. This includes
employing pallet racking, mezzanine floors, and automated storage and retrieval systems
(AS/RS) that allow for high-density storage and efficient space utilization.
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2. Inventory Accuracy:
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accuracy, enable businesses to evaluate their order fulfilment processes and make necessary
adjustments to meet customer demands consistently.
The timely order fulfilment is a fundamental principle in material handling and logistics. It
underpins customer satisfaction, brand reputation, and operational efficiency. By optimizing
material handling processes, adopting advanced technology, and effectively managing
customer expectations, businesses can provide reliable and punctual order fulfilment, which,
in turn, enhances their competitiveness and long-term success in the marketplace.
5. LABOR EFFICIENCY:
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controlling labour costs, meeting production demands, and ensuring the smooth flow of goods
through the supply chain. Labor efficiency is achieved through various means, including
proper training, streamlined processes, and the use of appropriate equipment and technology.
It involves minimizing unnecessary or repetitive tasks, reducing waiting times, and ensuring
that employees have the tools and resources needed to perform their roles effectively. By
enhancing labour efficiency, businesses can improve their operational performance, reduce
labour-related expenses, and meet customer demands in a timely and cost-effective manner,
ultimately contributing to their competitiveness and profitability.
6. COST CONTROL:
Effective material handling practices in a warehouse lead to cost savings. This includes
reducing labour costs, storage costs, and the costs associated with damaged or lost materials.
Effective inventory management also contributes to cost control. Cost control is a fundamental
principle in material handling and supply chain management, focused on managing and
minimizing expenses associated with the movement, storage, and distribution of goods. This
principle involves diligent monitoring and management of all costs involved in the supply
chain, including labour, transportation, inventory carrying costs, and equipment maintenance.
Effective cost control strategies aim to reduce unnecessary expenditures while maintaining or
improving operational efficiency and customer service levels. By identifying cost-saving
opportunities and implementing efficient processes, businesses can optimize their financial
performance, enhance competitiveness, and maximize profitability, ultimately contributing to
long-term success in the marketplace.
7. ENHANCED SAFETY:
9. ENVIRONMENTAL RESPONSIBILITY:
Effective warehouses often incorporate data and analytics to monitor and improve
material handling processes continuously. This allows for data-driven decisions that further
enhance efficiency and performance. Data and analytics are crucial principles in material
handling and supply chain management, emphasizing the collection, analysis, and application
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of data to make informed decisions and improve operational efficiency. This principle
involves gathering data from various points within the supply chain, such as inventory levels,
order processing times, transportation routes, and customer demand. Advanced analytics tools
and technologies are then used to derive valuable insights from this data, enabling businesses
to make data-driven decisions, optimize processes, forecast demand, and enhance overall
supply chain performance. By harnessing the power of data and analytics, companies can
reduce costs, minimize risks, and gain a competitive edge by responding more effectively to
market trends, ensuring efficient material handling, and delivering exceptional customer
service.
In conclusion, the effectiveness of a warehouse in material handling is multifaceted and critical for
various aspects of a business’s operations. From optimizing space and managing inventory
accurately to reducing costs and enhancing customer satisfaction, an effective warehouse serves as
the backbone of a well-functioning supply chain and contributes to a company’s overall success.
HUB MANAGER
ACCOUNTS
POD HEAD HR MANAGER
HEAD
SUPER-VISOR
overall performance. Customer satisfaction is another critical aspect. Understanding and meeting
customer demands, ensuring timely deliveries, and minimizing errors are integral to retaining and
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attracting clients. The study can provide insights into aligning warehouse practices with customer
expectations.
Moreover, in a competitive industry, the study can reveal potential competitive advantages or areas
where the company needs to catch up with industry benchmarks. This knowledge is invaluable for
maintaining a strong market position.
The scope of the study in OM Logistics Ltd includes assessing the effectiveness of current
warehouse management practices. It aims to identify opportunities for optimizing inventory
management, space utilization, and order fulfilment to reduce costs and improve customer
satisfaction. The study will also explore the implementation of advanced technologies and automation
for enhanced efficiency and tracking capabilities. Furthermore, it will analyse the effectiveness of
warehouse management and asses the best practices in the organisation.
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