PROJECT REPORT ON E-Commerce and Logistics Management
PROJECT REPORT ON E-Commerce and Logistics Management
GENERAL MANAGEMENT
Batch: 2022-2024
I hereby declare that this project report submitted by me to the partial fulfillment of the
requirement for the award of MASTER OF MANAGEMENT STUDIES (MMS) of the
University of Mumbai is a bona fide work undertaken by me and it has not been submitted to
any other University or institution for the award of any other degree or diploma certificate or
published any time before.
This is to certify that the “E-Commerce and Logistics Management”, has been
successfully completed by Mr. Jash Vishal Mehta during the MMS II, SEM IV in partial
fulfillment of the Master’s degree in Management Studies recognized by the University of
Mumbai for the batch [2022–2024]. This project work is original and has not been submitted
earlier for the award of any degree, diploma or associateship of any other University/
Institution.
Date: 17/05/2023
I express my heart-felt gratitude towards my parents Mr. Vishal Mehta and Mrs Minal Mehta,
siblings and all those friends who have willingly and with utmost commitment helped me
during the course of my project work.
I also express my profound gratitude to Dr. H. J. Bhasin, Director of Lala Lajpatrai Institute
of Management for giving me the opportunity to work on the projects and broaden my
knowledge and experience.
I would like to thank all the professors and the staff of Lala Lajpatrai Institute especially the
Library staff who were very helpful in providing books and articles I needed for my project.
Last but not the least, I am thankful to all those who indirectly extended their co-operation and
invaluable support to me.
EXECUTIVE SUMMARY
With the further promotion and application of e-commerce, logistics is becoming necessary. Logistics and the
importance of e-commerce are more and more getting people’s attention, but what is the relationship between
e-commerce and logistics still needs to be explored.
The purposes of thesis are to research the relationship between e-commerce and logistics in B2C (business to
consumer) companies. The aims of the thesis are threefold. Firstly, describe the coordination mechanism
between e-commerce and logistics in general and particularly in Amazon.com. Secondly, find out the strengths
and shortcoming of logistic when the company is developing e-commerce in general. Thirdly, in general, we
focus on finding out the way to coordinate logistic in developing e-commerce, and how the logistic helps
companies to develop e-commerce.
The qualitative research method is used in our thesis in order to fulfil our purposes. It is a case study of
Amazon as the study subject. We analysed the data, collected from the interview and documentation. There
are certain limitations for our thesis: the interviewees were working, and they only had one hour for us to
make the interview. Because of the time limitation, we could not get satisfactory and detailed information
from them. So, we collected some secondary data in order to support our thesis. In order to get much specific
data i.e., more logistics information about logistics in Amazon, we phoned the customer service and in order
to get some detail data.
After the research, we found if e-commerce and logistics go hand in hand and converge; they create a unique
mechanism which can help the business and market. This project will provide detailed information about E –
Commerce Logistics Management done in Trackon Logistics & Express Services
Contents
II REVIEW OF LITERATURE 8
V Findings 35
VI Conclusion 36
VII Recommendation 37
BIBLIOGRAPHY / REFERENCES
I. Introduction
E-Commerce and logistics is a congregation of various processes such as inventory management,
warehousing, packaging, labelling, billing, shipping, payment collection, return, and exchange that work in
synchronization leading to a supply chain. All these put together turn into an exigent task, that requires a full-
proof strategy to be accomplished. Apart from these, e-Commerce logistics also requires a thorough
knowledge about territories, roads and road conditions, regulations regarding the movement of goods, and
transport laws. The principal purpose of creating a logistics unit is to deliver parcels much faster, safer, and
more accurately.
Project shows study on the following operations in Trackon Logistics & Express Services:
Logistics Management
Warehousing
Order Fulfilment
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1. Background
E-commerce is one of the buzzwords in the recent years. Laudon & Traver (2008) state, E-COMMERCE-
commerce technology, is different and more influential from other technologies that we have seen in the
past the century. E-commerce technology develops quickly with the development of Internet and people
can enjoy convenient life by using ecommerce.
But today many of the new e-commerce companies have failed or are struggling for economic survival,
and the failure for many companies in e-commerce can be in part accounted by the neglecting of logistics.
E-COMMERCE-commerce or electronic commerce is the buying, selling, and exchanging of goods and
services over computer networks through which transactions or terms of sale are performed
electronically, mentioned by Rosen (2002). Electronic commerce especially B2C (business to consumer)
design now is the most commonly discussed type of e-commerce which sells to individual consumers
online.
How to deliver the commodity to consumers is an important issue and the logistics should not be
neglected, and the prominent role for e-commerce companies is especially in the logistics segment.
According to electronic commerce and logistics, (2010), Logistics techniques are developing fast, but not
fully connected with the development of Internet and IT today. And not too much scientific study
supports the coordination between logistics techniques and Internet. E-commerce and logistics should
have a coordinated relationship that helps new e-commerce companies to develop well. Besides the IT
developing, how to allow e-commerce and logistics developed coordinated is still needed for the future
research.
In this section, we present the experience the of e-commerce development situation. And the reason of
why would like to choose „coordination development of e-commerce and logistics‟ as a study subject is
that, it conforms to the recent economic development and interesting
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Aims and Objectives of Study
• To study Increasing FDDA (First Day Delivery Attempt) in Last Mile Operation
As an operations manager, you get to interact with professionals in engineering, marketing, research,
business and all. An MBA in operations management affords you the technical know-how by covering the
fundamentals of various areas related to operations management. These areas include capacity planning,
supply chain
management, and inventory amongst many. A master’s degree in operations management gives you a
theoretical and practical application of OM. It also gives real experience of business handling and notes the
trends in the industry. With an MBA in operations management, you are designed to take up problems and
challenges pertaining to inventory, supply chain and logistics
The purpose of the thesis is to explore the relationship between e-commerce and logistics in B2C (business to
consumer) companies
Describe the coordination mechanism between e-commerce and logistics in general. Find out the common
general strengths and shortcomings of logistic when a company is developing e-commerce. Figure out ways to
coordinate logistic when developing ecommerce.
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Scope of the Study
Increase Productivity: Operation management played an important role in increasing the productivity of
business. It manages all aspects of production activities to achieve highest efficiency possible. Operation
manager are responsible for designing production plan for carrying out the operations. They ensure that all
inputs used by organizations are efficiently transformed into outputs that is products or services. It is crucial
for all business for properly managing their day-to-day activities and efficient utilization of all its resources,
which helps in raising productivity.
Raises Revenue: Operational management directly influences the profitability of the business. It works on
reducing the cost of operations to business by reducing the wastage of resources. Operations managers
monitor every production activity and take all necessary steps for maintaining efficiency in the organization.
They try to maintain an appropriate balance between cost and revenue. Maintenance of quality of products
and delivering them as per customer needs is another function played by these operation managers. It helps in
attracting more and more customers, which increase the overall revenue of business.
Achievement of Organization Goals: Every organization strives towards achievement of its desired goals.
Proper management of production activities helps business to properly implement their strategic plans in their
operation. Operation management ensures that all operations of business are going in desired direction. It
regularly monitors every activity and takes all corrective measures as required according to prevailing
situations. Proper functioning of business as per strategic plans helps in achievement of desired goals. Improve
Customer Satisfaction: Customer satisfaction is necessary for every business to improving its relations with its
customers. It helps them in retaining them for the long term. Operation management monitors the quality of
products manufactured by organizations. It ensures that high-quality products are produced in accordance with
the requirements of customers. When products manufactured by business completely fulfil the needs of
customers, their satisfaction level will improve
Reduce Investment Need: Operation management reduces the additional capital requirements of the business.
It ensures that all capital employed in the business are efficiently used. Management of operations ensures that
all production activities go uninterrupted without any shortage of capital. By increasing the efficiency and
avoiding the wastage of employed resources, it avoids any deficiency of capital in business. Businesses are not
required to invest more in their production activities.
Enhance Goodwill: Maintaining proper goodwill in the market is the goal of every business. Operation
management focuses on improving the position of the organization in the market. It ensures that business
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works for providing better services to its customers. Business should manufacture durable and high-quality
products that may provide better satisfaction to users. Customers will gain confidence in their products,
which will improve their market image.
Improve Innovation: Operation management helps in implementing innovative changes in organizational
activities. All decision regarding production planning is taken by operation managers by doing research
and analysis of prevailing market situations. It takes into account all technological changes and builds a
strong base of knowledge and operations. This helps in bringing various innovations in operations of the
business.
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II. LITERATURE REVIEW
Industry Profile
E-Commerce Logistics Market is expected to reach $535,895 million by 2022, supported by a CAGR of
21.2%. The growth of digital technology has steered the adoption rate of e-commerce logistics in a number of
applications. The market growth is primarily driven by factors such as rise of cross-border e-commerce
activities, and upsurge in the internet penetration, exclusively in developing countries, will lead to the growth
of this market as it will intensify the overall foreign goods consumption across various region. The report
comprises the study of the global e-commerce logistics market that focuses on various types of services in the
market. Based on the service type, the e-commerce logistics market is segmented into the warehousing, and
transportation. The warehousing segment considers hubs/delivery centers, returns processing centers, and
mega centers, whereas the transportation segment is categorized into trucking/over road, air/express delivery,
freight/rail, and maritime. Based on operational area, the market is segmented into domestic and international
(cross border) e-commerce logistics services. The report includes the study of the global e-commerce logistics
market focusing on various growth prospects and restraints in the market based on regional analysis. The study
highlights Porter’s five forces analysis for the market that comprises the impact of suppliers, competitors, new
entrants, substitutes, and buyers on the market. Key market players such as DHL International GmbH,
Aramex International, FedEx Corporation, S.F. Express, Gati Limited, Amazon, Kenco Group, Inc., Ceva
Holdings LLC, United Parcel Service, Inc., and Clipper Logistics Plc., are highlighted with information on
business overview, financials, product portfolios, investments, and recent strategies & developments. The
market is segmented by service type, operational area, and geography. In 2015, the transportation service type
generated the highest revenue in the global market. However, the warehousing sub-segment is anticipated to
exhibit the fastest growth over the forecast period. Among the operational areas, the market was dominated by
domestic area in 2015 and is projected to continue its dominance throughout the forecast period. The
geographical regions considered in the report are North America, Europe, Asia-Pacific, and LAMEA (Latin
America, Middle East, and Africa). Asia Pacific is expected to dominate the market; however, LAMEA is
projected to grow rapidly.
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Company Profile
Departments
• Human Resource
• Marketing
• Finance
• Operation
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Research Papers
• Analysis & Study of Warehouse Management System by Divyendu (International Research
Journal of Engineering and Technology)
Inside the walls of the warehouse, the utilization of every component—space, people, inventory and
equipment—will impact the bottom line in profound ways over time. Warehouse Management enables us to
analyze these components continually, so we can conserve effort, fill orders faster and more accurately, save
space and reduce inventory. In this paper, a preliminary simplified layout of a warehouse using the quantities
and sales data obtained from two frontrunners in shoe manufacturing is designed. The data has been analyzed
and arranged in terms of the volumetric distribution of the goods, using extensive analysis through pivot
tables, pie charts, tables and bar graphs. The proposed layout for the warehouse has been provided towards the
end. The paper considers various theoretical considerations to keep in mind before designing a warehouse. It
also looks at the need for warehousing, the functions performed by warehousing, and the principles required
for designing the layout of a warehouse, with due considerations of the material handling principles for
material movement inside the warehouse. In the second part of the analysis, simple linear regression models
are utilized to analyze and organize data for effective determination of the future demand trends in the shoe
manufacturing industry and determine the future scope of expansion for demand adjustment. In the final part
of the analysis, inventory management policies are utilized, both Continuous Review Policy and Periodic
Review Policy, to determine the average inventory level requirements for the warehouse. Finally, Review
Policy most suitable for each product line is determined.
• A Study of Inventory Management System Case Study by Nazar Sohail and Tariq Hussain
Sheikh (ResearchGate)
Inventory management is a challenging problem area in supply chain management. Companies need to have
inventories in warehouses in order to fulfil customer demand, meanwhile these inventories have holding costs
and this is frozen fund that can be lost. Therefore, the task of inventory management is to find the quantity of
inventories that will fulfil the demand, avoiding overstocks. This paper presents a case study for the steel
manufacturing industry (Small Scale Industry) on inventory management. The relationship between the
inventory management and company performance was determined based on inventory days and return on
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asset
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(ROA) analysis. The research found that company X had a few inventory problems such as unorganized
inventory arrangement, large amount of inventory days / no cycle counting and no accurate records
balance due to unskilled workers. The study also proved that there was a significant relationship between
return on asset (ROA) and inventory days. This paper also provides recommendation to the company and
for further research.
This paper examines Warehouse Management System (WMS) practices and their effects on operations. This
study analyses the relationship between adoption of WMS to its impacts on business performance and
competitive advantage of a regional distribution center. In terms of business performance, the focus is
placed on various competitive cores of distribution center. WMS was found has a positive impact on
companies' performance on operations management measures. To adopt the MIS, wireless barcode
embedded WMS in specific, it is necessary to have corporate culture that supports complex operational
activities. WMS implementation is crucial in bringing cost reduction in operational level, effective
management in management level, as well as improvement of the company's competitiveness in strategic
level. Companies that manage warehousing of their products are expected to implement WMS in order to
maintain their competitive edge in the global market place.
In this paper we investigate the possible relationships among some optimization techniques used in Operations
Management and the performance of SMEs that operate in the manufacturing sector. A model based on the
Structural Equation Modelling (SEM) approach is used to analyse a dataset of small and medium-sized Italian
enterprises. The model is expressed by a system of simultaneous equations and is solved through regression
analysis. Taking advantage of the contributions presented previously, we focus our research on the Italian
economy, highlighting the importance of Operations Management practices, which are relevant drivers of
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these firms’ performances
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• Challenges and Features of Warehousing Operations With Respect to Logistics Warehouse
Companies in Chennai by V.Sivakumar, R.Ruthramathi (International Journal of Innovative
Technology and Exploring Engineering)
Supply chain processes involved in this like sourcing, transportation, warehousing, inventory management,
replenishment, cold chain management. Warehousing is the segment of enterprise logistic functions
responsible for the storage space and managing of the inventories beginning with suppliers’ receipt and ending
with the consumption point. Warehouse operations cover a number of significant areas, from the receiving,
organization, fulfillment, and supply processes and areas including Receiving of goods, integrating and
maintaining tracking software. Goal of warehouse operations is to satisfy customer’s desires and necessities
whereas utilizing house, equipment, and labor effectively. The current trends and pressures on provide chain
and logistics-forever increasing client examine levels, inventory optimization, time solidity and cost
minimization have predictably changed the structure of supply chains and the location site and working of
warehouses within the supply chains network. Supply Chain Management encompasses scheduling and
organization of all activities involved in sourcing, procurement, conversion, and logistics managing activities.
The business contains each variety of warehouses and the trendy multi-purpose supply centers furthermore
because the ancient storage facilities called godowns
• A Study of Inventory Management System of Linamar India Pvt. Ltd, Pune by Anajali Mishra &
Harshal Anil Salunkhe (Amity Journal of Operations Management)
The aim of the study is to examine the inventory management process. The significance of this research is
based on the benefits that can be obtained by identifying the issues of inventory control. The methodology
used are unstructured interviews, on-site study, and annual report analysis. Inventory management is an
important area of manufacturing industry. If company fails to manage inventory, they will face failure. It is a
challenge for the company to maintain fair inventory. There are various inventory management techniques
available for maintaining fair inventory level in the company. The basic objective of this paper is to study
about inventory management techniques used in Linamar India Pvt. Ltd. and find out some measures for
improvement on inventory management process of the concerned company. The present system of inventory
management of the company is good. For improvement of the present inventory management system,
company should adopt other inventory management techniques.
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• A Study of Evolution and Future of Supply Chain Management by Shilpa Parkhi Sourabh Joshi
Shubham Gupta Mridu Sharma (ResearchGate)
Supply Chain Management is a methodology of improving the business processes, making them more
resilient, more agile and as a result, more competitive. The main function of SCM is to improve the product or
service competitiveness (Machowiak, W. (2012). This paper is an endeavour to study, understand and
interpret the evolution of supply chain management. On the basis of systematic literature review, we have
attempted to explore the future of Supply Chain. We have captured various definitions of SCM provided by
experts from the initial to recent period along with major classical definitions. Various dimensions of Supply
chain are an integral part of this study. The paper discusses SCM and its dimensions; and tries to delineate
SCM from related areas like Logistics Management, Value Chain Management and Operations Management.
The paper also elaborates various theories of SCM. On completion of thorough literature review, the paper
ends with a conclusion and future scope of work.
Supply chain Management has assumed a significant role in firm's performance and has attracted serious
research attention over the last few years. In this paper attempt has been made to review the literature on
Supply Chain Management. A literature review reveals a considerable spurt in research in theory and practice
of SCM. We have presented a literature review for 29 research papers for the period between 2005 and 2011.
The aim of this study was to provide an up-to-date and brief review of the SCM literature that was focused on
broad areas of the SCM concept
Inventory Management System is software which is helpful for the businesses operate hardware stores, where
storeowner keeps the records of sales and purchase. Mismanaged inventory means disappointed customers, too
much cash tied up in warehouses and slower sales. This project eliminates the paper work, human faults,
manual delay and speed up process. Inventory Management System will have the ability to track sales and
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available inventory, tells a storeowner when it's time to reorder and how much to purchase. Inventory
Management System is a windows application developed for
Windows operating systems which focused in the area of Inventory control and generates the various
required reports.
Purpose – The purpose of this paper is to provide a review of inventory management articles published in
major logistics outlets, identify themes from the literature and provide future direction for inventory
management research to be published in logistics journals. Design/methodology/approach – Articles published
in major logistics articles, beginning in 1976, which contribute to the inventory management literature are
reviewed and cataloged. The articles are segmented based on major themes extracted from the literature as
well as key assumptions made by the particular inventory management model.
Findings – Two major themes are found to emerge from logistics research focused on inventory management.
First, logistics researchers have focused considerable attention on integrating traditional logistics decisions,
such as transportation and warehousing, with inventory management decisions, using traditional inventory
control models. Second, logistics researchers have more recently focused on examining inventory
management through collaborative models.
Originality/value – This paper catalogs the inventory management articles published in the major logistics
journals, facilitates the awareness and appreciation of such work, and stands to guide future inventory
management research by highlighting gaps and unexplored topics in the extant literature
Magazines/Newspapers
Inventory management takes both planning and execution. For decades, execution has relied on bar code data
collection and wireless, system-directed material moves to exert better inventory control than paper-based
processes can But, what if new types of realtime location system (RTLS) technology could bring about a
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constant digital awareness over inventory, while evolution of warehouse management system (WMS)
solutions permit greater accuracy and on-the-fly inventory adjustments? Advances in these areas could
help bring about a much tighter handle on inventory.
RTLS solutions span multiple technologies, including ultrawideband (UWB) beacons, Bluetooth low energy
(BLE) beacons, as well as more traditional active and passive radio frequency identification (RFID). These
technologies have existed for years and have continued to evolve, including new types of tags and readers
For all these advancements, don’t expect the trusty bar code and inventory control functions in WMS to
become less relevant. Most active tag technology is too pricey to place on low-cost goods at the each or even
case level, so the sweet spot for much of the active tag technology will be in tracking assets like reusable bins
or pallets, or perhaps lift trucks, other equipment or high-value goods.
“The lowest hanging fruit for RTLS right now is in gaining real-time awareness over pallet moves,” says John
Sidell, founder of consulting firm New Course. “The benefit with RTLS is you can achieve better visibility
over certain assets or inventory without scanning. In the right environment, you can have inventory visibility
that is real time and fully dynamic.
• Improve Your Business with Inventory Control - 19 Jan 2021(The Startup Magazine)
For most businesses, this year had probably been the most difficult to survive, the lockdowns and the closing
of companies and jobs have made it impossible to stay afloat. But somehow your business is still here and that
is a good thing, but you need to be more strategic about how to improve your business at this time. One of the
many ways that you can achieve success and growth in your business is inventory control. For any kind of
business, you always have materials to work with in order to produce a product or provide a service, this is
what we call inventory. For the most part, the capital you have for your business is found in your inventory,
every stock or raw material translates to money that is not moving and may be costing your business more
than it should be. The only way to make sure that your inventory is not hemorrhaging your finances is to have
inventory management and control. This is where you will be able to buy enough materials that make you
money but not too much to cost you more or not too low to lose your customers.
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• Optimizing Your Warehousing Operation for E-Commerce Growth- 05 APR 2021 (Material
Handling & Logistics)
After the unprecedented events of 2020, long-standing consumer behaviors have been forever changed many
of which have greatly impacted the material handling industry. Industries that have typically seen the majority
of their business come from in-person transactions are starting to see a greater percentage of their revenue shift
to e-commerce or are actively looking to mitigate risk by diversifying into e-commerce fulfillment. Consumers
are now loading their digital shopping carts with everything from groceries to medicine while expecting faster
delivery at a lower cost. For instance, an estimated 3 billion packages made their way through the nation’s
shipping infrastructure this past holiday season alone about 800 million more than last year. Due to this
increased demand, warehouse inventory is expanding at an overwhelming rate, resulting in storage space
constraints, picking errors and stocking inefficiencies. Now is the time for operations to invest in tactics like
operator assist technologies to address these concerns and help their current labor force pick more accurately,
comfortably and productively
Warehousing plays a critical role in the development of trade and commerce. It facilitates order fulfillment
and makes faster product delivery possible, while also regulating the supply of goods, which serves to stabilize
prices. The warehousing industry provides additional benefits in the secure supervision of goods, allowing
companies to curtail risk of loss through fire, theft or damage. In recent years, the warehousing industry has
evolved beyond the basic storage of goods. Changing global conditions has necessitated an evolution into
logistics and distribution as well, which incorporates labeling, sorting, packaging, inventory control and
tracking, and transport facilitation.
• It's About Time: Welcome to the "Now" Economy and Smart Warehouses- Jan 2019 (Industry
Week)
Supply chain and fleet management expectations are growing as customer become more impatient to get
their deliveries. Like the petulant Veruca Salt, we all "want it now!" We've become spoiled by Amazon's
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two-day
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turnarounds, though it seems like not that long ago we were fine with waiting six to eight weeks. In the
future it could be six to eight hours. It's all being mandated by the customers, but it's being driven by
innovations in robotics, Industry 4.0 and even wearables.
Seeing the need to leverage all the available tech possible, Ryder, a top-down supply chain solution provider,
has taken the digital transformation to its operations in Miami, Dallas and Chicago, creating new smart
warehouses. These sites will showcase advanced automation, flexible and instantly scalable operations, real-
time visibility, and a customer-centric experience
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III. RESEARCH METHODOLOGY
1. Problem Identification
• To study Improving Line Haul Operation
• To study Increasing FDDA (First Day Delivery Attempt) in Last Mile Operation
• To Study how to Make Warehousing System More Efficient To study New Methods for Order
Fulfilment
2. Methodology Adopted
Market research generally involves two types of Research.
i. Primary Data
ii. Secondary Data
Primary Data:
Primary research is data which is obtained first-hand. This means that the researcher conducts the research
themselves or commissions the data to be collected on their behalf. Primary research means going directly to
the source, rather than relying on pre-existing data samples.
This type of research is particularly relevant where the data collected needs to be specific to the context.
Primary research can also help to position a person or a company as an authoritative figure in the field.
The research may then be quoted by other authors, who reference the original researcher as the source,
further increasing their position, However, the researcher retains full control over the data, as the data
owner.
There are many ways of gathering primary research.
Interviews: Interviews take the form of a one-to-one or small group question and answer session, which can
be conducted over the phone or in a face-to-face environment. Surveys: Surveys are most frequently
conducted offline and offer a convenient and cost effective solution when a response is required from a larger
population. Questions are pre-written, offering the respondent little flexibility if their answer doesn’t fit and
response can be variable.
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Focus Groups: Focus groups are used to collect data from a small group of people who are often subject
matter experts in the topic of research. Discussion is initiated between the group members to discover their
thoughts.
Observations: Observations are carried out impartially, by simply observing an event an event and
taking organized notes. In this method, there is no direct interaction between the researcher and the
subject.
Secondary Data:
While primary research involves active participation from the researcher themselves, secondary research
involves the summary or synthesis of data and literature that has been organized and published by others.
When doing secondary research, researchers use and analyses data from primary research sources.
Secondary research is widely used in many fields and industries, such as legal research and market research.
Secondary research is based on already published data and information gathered from other conducted studies.
It is common practice by researchers to conduct secondary research before primary research in order to
determine what information is not readily available. Secondary research is an easy place to start when starting
a new research project. Secondary research can vary in creditability depending on where the data is coming
from and who is sharing research.
Academic peer-reviewed journals: These often include original research undertaken by authors or
researchers themselves.
Published books and articles: Many books reference primary-source materials, along with the analysis from
the author.
Government Agencies: Many government agencies maintain archives or databases of documents and reports,
which contain data that can prove to be useful of researchers. Educational Institutions: Colleges and
universities do a significant amount of research and produce data that can be requested by researchers.
Commercial information services: Information sources such as newspapers, magazines, and TV shows
can also provide to be useful sources for secondary research. These sources provide first-hand information
and insights to political agendas, market research, and economic developments for instance
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3. Collection of Information Primary source of data
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Primary data are information collected or generated by the researcher for the purposes of the project
immediately at hand. For example, if someone wants to know the level of satisfaction of the residents in a
society. He can prepare a schedule and meet a sample number of residents and ask for their opinions. This is
going to be the information collected for the object of this study and therefore becomes primary in nature.
When the data are collected for the first time, the responsibility for the processing of data also rests with the
original investigators. Ordinarily, experiments and surveys constitute the main sources of primary data.
A primary source is anything that gives you direct evidence about the people, events, or phenomena that you
are researching. Primary sources will usually be the main objects of your analysis. If you are researching the
past, you cannot directly access it yourself, so you need primary sources that were produced at the time by
participants or witnesses (e.g. letters, photographs, newspapers).If you are researching something current, your
primary sources can either be qualitative or quantitative data that you collect yourself (e.g.
through interviews, surveys, experiments) or sources produced by people directly involved in the topic
(e.g. official documents or media texts).
Primary sources are the foundation of original research. They allow you to:
If you don’t use any primary sources, your research may be considered unoriginal or unreliable.
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Methods of Collecting Primary Source Of data:
The Primary data are the information generated to meet the lesser specific needs of the investigation at hand.
Thus, the investigator has to collect data separately for the study undertaken. The following are the three
methods which are used to compile primary data.
1) Observation:
This is one of the cheaper and more effective techniques of data collection. This approach to the collection
of information is as old as human race. Much of our knowledge about human beings, rounding is collected
only through this process. Observation is indispensable not only in sciences but in social sciences research
also observation has its own utility. It is not always possible to quantify the data and draw accurate
conclusions on the basis of such data. Thus, the observation method is generally adopted for testing
hypothesis.
For example, a person looks at random people that walk their pets on a busy street, and then uses this data to
decide whether or not to open a pet food store in that area.
2) Questionnaire:
The Most frequently used method of data collection is questionnaire. This method is considered to have a
particular relevance, if the researcher is to collect data on personal preferences, social attitudes, opinions,
beliefs, feelings, etc. the increasing use of schedules and questionnaires is because of increased emphasis by
social scientist on quantitative measurement of uniformly accumulated data Interview:
Interview is also useful technique of data collection through primary sources. It is a verbal method of securing
data in the field surveys. Information is obtained by conversing with the respondents.
3) Focus Groups
A focus group is similar to an interview, but it is conducted with a group of people who all have something in
common. The data collected is similar to in-person interviews, but they offer a better understanding of why a
certain group of people thinks in a particular way. However, some drawbacks of this method are lack of
privacy and domination of the interview by one or two participants. Focus groups can also be time-consuming
and challenging, but they help reveal some of the best information for complex situations.
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4) Oral Histories
Oral histories also involve asking questions like interviews and focus groups. However, it is defined more
precisely and the data collected is linked to a single phenomenon. It involves collecting the opinions and
personal experiences of people in a particular event that they were involved in. For example, it can help in
studying the effect of a new product in a particular community.
Secondary data refer to the information that has been collected by someone other than a researcher for
purposes other than those involved in the research project at hand. There are various factors such as the nature
of the study, status of the investigator, availability of financial resources, time and degree of accuracy of the
results desired, that decided the choice of the sources of data that enriches the utility of the study.
A secondary source is anything that describes, interprets, evaluates, or analyses information from primary
sources. Common examples include:
When you cite a secondary source, it’s usually not to analyse it directly. Instead, you’ll probably test its
arguments against new evidence or use its ideas to help formulate your own.
Secondary sources are good for gaining a full overview of your topic and understanding how other
researchers have approached it. They often synthesize a large number of primary sources that would be
difficult and time- consuming to gather by yourself. They allow you to:
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When you conduct a literature review or meta analysis, you can consult secondary sources to gain a thorough
overview of your topic. If you want to mention a paper or study that you find cited in a secondary source,
seek out the original source and cite it directly.
Remember that all primary and secondary sources must be cited to avoid plagiarism. You can use
Scribbr’s free citation generator to do so!
Internal Sources:
This data is collected from the organization. With the help of storage data in the organization as well as
information got from Store manager who gives fair idea of how inventory management is done in the
organization. By observing internal Inventory related Reports and Documents like Bin Cards, Purchase
Order, goods Receipt cum Inspection Note etc.
External Sources:
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IV. DATA DESCRIPTION & ANALYSIS
Major Challenges in Line Haul Logistics Stiff competition, lack of standardization and manual dependencies,
increasing cost of empty miles, poor routing and poor visibility of in-transit freight movement are some of the
major problems that are creating significant roadblocks for businesses trying to execute seamless line haul
logistics.
Stiff Competition
Owing low barriers to entry, the line haul logistics space is getting extremely populated. Many individual
truckers with perhaps one truck are offering highly competitive pricing. This creates an ecosystem where
most line haul providers are forced to reduce transportation charges at the cost of providing high quality
services.
This often results in a series of inefficiencies like increased risks, lack of adherence to compliance, delivery
delays and poor customer experience.
Poor Routing
Poor routing has snowballed into a major problem for businesses dependent on and executing line haul
deliveries. Only a handful of businesses leverage modern routing tools to plan delivery routes. Businesses
that generate routes manually and track trucks manually tend to start a series of inefficiencies like prolonged
delivery time, delays, increased chances of risks, unnecessary fuel consumption, poor driver productivity,
inaccurate benchmarking of route performance, poor SLAs and more.
Lack of Visibility
It’s a known truth that poor visibility has been choking line haul logistics operators for decades. According to
Supply Chain Dive, 94% of businesses do not have full visibility of their logistics operations. The problems
that come with poor visibility gradually eat into a business’ revenue, efficiency, productivity and customer
experience.
The question is why is it so difficult to achieve high levels of visibility across line haul operations?
Traditional means of executing operations is one of the major reasons behind poor visibility. Legacy IT
systems work in silos. This makes it extremely difficult for line haul stakeholders to get a holistic picture of
all that’s happening on the ground.
In the case of traditional logistics management, for instance, when an order moves from a warehouse/port to a
central hub for final dispatch to customers, there is little or no intransit visibility of those orders. This happens
majorly because the warehouse management systems (WMS) and the systems being used by line haul
providers are not interoperable. Similarly, a shipper’s transport management system (TMS) is not in sync with
a line haul provider's tracking tool and so on. With regards to those businesses who do have any systems in
place but only manual methods of overseeing line haul operations, the situation is worse.
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How Line Haul Software/Solutions Can Address These Challenges
Advanced line haul software can significantly improve customer experience by making deliveries flexible,
transparent, fast, and on time. This empowers businesses to battle competition head-on. Leveraging automatic
dispatching and scheduling capabilities such a solution drastically reduces delivery turnaround-time and
resource utilization. Line haul routes can be further optimized using a line haul solution that is powered by
technologies like AI, Machine Learning, predictive intelligence, and more. It also improves line haul
operations by reducing empty miles, boosting line haul logistics productivity, minimizing transportation risks,
etc.
We spoke about the five-key problems plaguing line haul operations here, in our next post we will talk about
how to address these challenges. At FarEye we are empowering businesses to drastically improve line haul
operations and management. From reducing empty miles, enhancing visibility to reducing manual
dependencies, FarEye’s logistics platform is ensuring seamless movement of freight across the globe.
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2. Method to Reduce Line Haul Operation Cost
Milk Run
Milk run process is used for collection of parts from various suppliers in the nearby region. The material or
parts data is collected from the suppliers on a daily basis. A trip sheet is prepared for each vehicle for a
particular day which lists the suppliers, the route and sequence of collection to be followed and a window time
for reaching a particular supplier. A cargo way bill is also generated which is given to the vehicle operator
which consists the description of parts, quantity etc. The components which are collected through the milk-run
operation are then segregated according to the different supplier items and loaded on separate trucks for line
haul.
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Line Haul
The parts which are collected in the hubs have to be sent to the respective hubs near the customers locations.
So, planning and loading of components is done for different locations in different trucks.
Line haul operations account for the major part of the transportation for a part. The cost of transporting from
supplier to hub, or from hub to customer is less than the transport from hub to hub. In addition, line haul
operations require multi axle vehicles and these vehicles which are obtained in the market at spot rates. There
was no provision to source the trucks on a constant rate basis, and no option to get a contract on the price of
trucks. The only option was to have a contract for the number of trucks. Logistics has to accept the price of
the trucks.
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Re-Delivery
The Re-delivery operation involves sending out the supplies collected at the hubs to the customers as per the
schedule given by the customers. The material collected from the suppliers is segregated for each customer
and then sent to respective customers as indicated by the schedule.
Options considered
After considering the challenges faced by logistics observed through the visit to the Hosur hub and discussions
with the top management, we decided to focus on the following objectives for the project
To reduce the total cost of operations for logistics by optimizing the material transportation
To determine the type and number of trucks to be used for delivery
To minimize the hub-to-hub transportation cost of line haul operations.
Due to the uneven demand pattern, the price of the trucks is decided by the transporters daily and hence, there
is a huge variability. It has also been observed that Logistics has to send the material sourced from suppliers
on a particular day to the customer on the same day. Delivery schedule is not flexible. The project focuses on
these aspects to reduce the cost of operations.
Solution logistics is operating with zero inventory and no gaps in the transition period. The project solution
suggests incorporating a time window in the transition period and mitigating the rigid requirement of sending
the material on the same day as it is sourced.
If a two-day window is provided, then logistics will have ample time not only to plan, but also to decide when
to send the material and what material to send in what type of truck. This decision will be taken mainly by
keeping in mind the price of the trucks on that particular day. The schedule given to the logistics will be the
same schedule as given before except for a few changes:
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The schedule given to the supplier is shifted ahead by two days so that the material that has to be sent on i+2th
day is collected on ith day itself. Then the material can be sent on day i, or day i+1, or at maximum by day i+2
The window can be of one day or three days depending on the profitability of the model.
Whichever time window gives a better profit margin, that time window can be adopted We have formulated
the model on four levels.
First level looks at only weight allocation to the trucks given a time window of 2 days
Second level utilizes both weight and volume allocation to trucks given a time window of 2 days
Third level looks at package level data, and can help determine which package to send, when it is to be sent
and by which truck it has to be sent given a time window of 2 days The fourth level builds upon the third level
for introducing a variable time window model
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Challenges of Last Mile Logistics
Amazon is a retail giant, and Prime is its most powerful weapon. With same-day delivery available on
a large number of orders, Amazon is getting its products into consumer’s hands within hours of their
orders being submitted.
As a result, many retailers are decreasing their own delivery time by beginning to ship from stores versus
only distribution centers to decrease the distance between shipper and receiver, therefore shortening the
last mile delivery time.
If you’re a business that offers assembly service to your customers, you’ll need to be more selective about
your last mile carrier because not all of them offer assembly options or offer it at an additional fee.
Also, depending on what the product is, the installation may need to be done by a trained technician,
e.g., gas ranges or appliances requiring electrical or plumbing work. So something to consider when
assigning drivers as well.
Capacity limitations
A delivery vehicle can only fit so many parcels, and there are only so many drivers to operate those
vehicles. There’s a fine balance that must be struck and maintained by shippers to effectively allocate
resources. This is especially true for small to mediumsized shippers, who have fewer resources overall and
therefore less room for error. Capacity limitations are another reason why many companies are now
choosing to ship from stores: to distribute the number of parcels being shipped out in one geographic
location.
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Visibility into the supply chain
As a business, you need to have up-to-date information on exactly where all your orders are in transit,
which orders are yet to be shipped, and when the original order date was made. This is what is known as
your last mile supply chain.
If using an external carrier, you should also have visibility into the fleets that are available to make your
deliveries, the number of drivers available, and targeted delivery times to make sure they align with the
delivery promise you’re providing your customers.
Having access to all this data ensures you understand and maintain control of your business’s last mile
logistics and can spot inefficiencies quickly and easily.
No matter how much data you have coming in about your fleets, aggregator sites, external carriers, etc., if it is
not organized there’s only so much you can do with it. By putting all of this data in one centralized location,
businesses can better understand the ins and outs of their last mile delivery process and make adjustments as
needed to continually improve it.
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Automate driver dispatch
You can reduce your service time and labor costs with auto dispatching. In other words, by letting software
do the work for you.
Not only does automatic driver dispatch save time since you won't need to operate it manually, but software
like on fleet even updates routes for you in real-time to make
sure they’re as efficient as possible. This can decrease the number of drivers needed in a day to complete
deliveries and provide a more streamlined route.
You can choose to let Onfleet do all the work for you or set auto-assignment rules based on driver location and
route distance which can limit the number of tasks per driver.
When drivers are dispatched to make deliveries, their routes are far from a straight line. Rather, they're often
twisty-turny with one parcel dropped off here, fifty parcels dropped off there, and so on. By the end of a
shift, drivers have traveled miles and spent time as well as gas.
Automating route planning can optimize the routes drivers take and ensure that drivers are allocated as
effectively as possible. Onfleet does this automatically by factoring in time, location, vehicle capacity, and
traffic conditions to generate the most efficient route. And if anything changes, Onfleet adjusts the route
and updates the driver in realtime via SMS.
Set your business apart from competitors by giving customers more than just a static tracking number. Your
customers will appreciate a superior tracking experience with live driver locations and accurate ETAs all in a
convenient app.
Onfleet can make it happen by not only letting your customers track their order, but track the vehicle their
parcel is on and talk to the driver via SMS.
Not only do you want your customers to be able to communicate with your driver, but you also want to be able
to communicate with them as well, no matter where they are. This will help surface issues and solve them in
real-time—or better yet, catch them before they have a chance to become issues.
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Automate status updates
We mentioned earlier that the majority of customers expect to be able to track the status of their orders.
A last mile logistics tool like Onfleet fills this need by letting your customers know when a delivery
has started, when it should be expected, and when it’s arriving with automatic SMS notifications.
One of the key metrics to keep an eye on is the performance of your drivers. This includes on-time rates,
service times, customer feedback, the number of parcels delivered and total distance traveled. Recording this
data will help your business identify opportunities for improvement as well as concerns for driver safety.
With Onfleet, you can monitor all this and filter data by teams, drivers, day, week, or even by the hour of the
day. You can also export the data to produce detailed reports that you can pull regularly to keep track of the
health of your final mile logistics and how you’re improving over time.
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V. FINDINGS
learnt logistics trends
Learnt how logistic works in E- COMMERCE company
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VI. CONCLUSION
From above question and answers we can conclude that – 3PL is a strategy that can work for both B2B and
B2C businesses. You might be able to find a 3PL company that specializes in your industry or one that has the
ability to handle the packaging and shipping of sensitive materials like electronics.
Many 3PL companies also have the ability to handle more than just boxing up your products and getting them
out the door. For example, if you’re sending out stocked retail displays to stores, a 3PL company can handle
the entire process — including assembly — to ensure you don’t have to spend time getting your display
together before it’s shipped out. With assembly services included, you’ll be able to free up crucial space in
your warehouse that was previously storing packaging supplies. In turn, this will also allow you to save time
and money by eliminating the additional need for workers to complete kitting and assembling before your
products can be sent.
Since a 3PL’s only focus is managing supply chains, they’re also able to handle larger quantities of orders,
even if they have to be assembled before they’re ready to be put on the truck. They’ll also be able to manage
any labeling and compliance standards that your packaging needs to meet. Whether you’re shipping food
products or chemicals, your 3PL partner will make sure it’s properly stated on your packaging ahead of time.
For any business, if you want to gain more control over your supply chain, sometimes the best thing you
can do is give it to someone else to handle. As your business is changing, your focus needs to be on selling
your products. 3PLs can give you that time back, but they can also help you make your processes more
efficient. You know your business better than anyone, but you might not know the top strategies for
packaging and shipping. This is what 3PLs specialize in, and with their help, you can handle more orders
from more places without having to worry about mistakes or running out of supplies.
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VII. RECOMMENDATIONS
It can be seen that from the study, E-Logistics poses numerous managerial challenges in terms of establishing
strategic alliances based on core-competencies while developing a logistics value chain. Moreover, how the
logistics component of the value chain can be integrated with the rest of the supply chain needs to be
addressed so that an integrated business process can be achieved.
The behavior and role of logistics managers will be different in E-Logistics from those of traditional logistics
systems which are based on centralized resources. E-Logistics is based on an IT/IS integrated 3PL system, so
the manager’s function in E-Logistics will be more of knowledge management involving close control over
the strategic operations of 3PL and leveraging the application of web-based logistics information systems.
Now managers of E-Logistics face the question of what the suitable performance measures and metrics are
that need to be used in controlling the operations of their system with the objective of providing reliable and
fast services to global customers. Enterprise resource planning systems have their own modules to manage
logistics functions and, in that case, how the managers will interact to reach more informed decisions which
will effectively contribute to providing world-class logistics services should be studied. Furthermore, the type
of education and training required to operate in an E-Logistics environment should also be investigated so
that the right skills can be made available for managing E-Logistics systems productively. Incentive schemes
need to be developed so that appropriate scales can be used to evaluate managers for their contribution in
providing quality logistics services in E-Logistics environments. Data mining and warehousing require the
certain of data which need to be collected and stored in E-Logistics in specified formats. Some key
performance indicators may be helpful.
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VIII. LIMITATIONS OF THE STUDY
• Strengths: Overall, operations management is a key factor for organizations that wish to take their
organization to the next level. Some notable advantages include:
• Profitability Management: When your operations are properly managed, it is easier for your
company’s executives to rely on the operation activity to get a better understanding of your revenue
stream. They are then able to rely on that consistent information to find new ways to increase sales or
come up with new product ideas.
• Better Resource Management: Operations management processes focus on effectively managing all
of your resources to ensure that their potential is being maximized. Resources can include physical
machines as well as labor resources.
Limitations:
With any process, it is important to consider the limitations that can occur:
Multi-Level Dependency: One of the main disadvantages is that a large amount of the success of
implementing operations management procedures requires coordination between the different components of
the organization. Even if an effective plan is put in place, it will fail if it is not carried out in the proper manner
by all components.
Human Error: Another prevalent problem within manufacturing operations is the fact that humans tend to be
mistake-prone. Most of the time, this issue occurs during the transition from manufacturing to sale. Because
of this, it is important to ensure that operations management is coordinating various areas effectively such as
operations, marketing, finances, accounting, engineering, information, and human resources. Overall, if the
individual components within the organization are not working well together, there will only be a limited
amount of success emerging from operations management processes.
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IX. FUTURE SCOPE OF STUDY
Through this study, a number of interesting results were revealed that require further research. A further case-
based exploration approach should be carried out to better understand the evolution of operation management
in an organization. Another area that requires further exploration includes the inventory management. Also,
the use of information systems and technologies to support operation management is an emerging area for
future research. Detail study about all the things was not possible because of time limit. Some of the
information was kept confidential by the departments due to certain reasons. Study was confined only to the
selected area in the company. Comparative study may be new research problem for the future work.
Supply Chain Management or Logistic management is a methodology of improving the business processes,
making them more resilient, more agile and as a result, more competitive. The main function of SCM is to
improve the product or service competitiveness. This paper is an endeavour to study, understand and interpret
the evolution of supply chain management and logistics management. On the basis of systematic literature
review, we have attempted to explore the future of Supply Chain. We have captured various definitions of
SCM provided by experts from the initial to recent period along with major classical definitions. Various
dimensions of Supply chain are an integral part of this study. The project discusses SCM and its dimensions;
and tries to delineate SCM from related areas like Logistics Management, Value Chain Management and
Operations Management. The project also elaborates various theories of SCM. On completion of thorough
literature review, the project ends with a conclusion and future scope of work.
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