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LMC31 Bulletin 9149
LMC31 Bulletin 9149
We are happy to let you know that against this steep increase in fuel prices
Project Logistics Scope affecting all the modes of transport, rates of nearly 75 annual rate contracts
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covering Road, Air and Ocean transport, have been maintained either almost at
same level or there has been modest year on year reductions, for three years in
E-Way (EWB) Bill System and 15-16 succession. LMC could do this by effective win-win fact based negotiations,
Its Implementation in India structural changes of contracts, need based augmentation of vendor base and
suitable leveraging of corporate relationships. We hope this step has contributed
in its own way, towards improving the bottom-line of all the ICs, in this turbulent
Know LMC’s Stakeholder 17 business environment. Rest assured that we at LMC would continue putting in our
very best in this direction.
Neelaj Sengupta
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Overview of Logistics Cases handled
12MT structurals from Kuwait to Mumbai
Business: Heavy Civil Infrastructure
Project: MTHL – Package 1 (Mumbai Trans Harbour Link)
Period of movement – April ‘18 to June ’18
H-Beams & Deck Plates from Kuwait to Mumbai Port
Total Qty: 12000 MT / ~ 15000 FRTs, moved in two lots.
Door-to-door movement
Transporter: M/s ACL
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12000 MT structural from Kuwait to Mumbai (……contd/-)
Total pieces: ~37500
This was the first major shipment LMC executed for HCI IC.
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Valves & Actuators – from Italy to Saudi Arabia (…..contd/-)
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Heat Transfer Equipment from Chennai to Bangladesh
Period of movement – Dec’17 to Jan’18 (for HE IC)
Metallic Bellows from Chennai to Bheramara site (Bangladesh)
Dimensions and weight: 5.5 m (L) x 5.5 m (L) x 1.5 m (L); 3.8
MT; 45.38 CBM
Door-to-door movement
LSP: M/s LIPL
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Heat Transfer Equipment from Chennai to Bangladesh (..contd/-)
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ODC packages from Chennai to Hazira
Despite 3 days loss (due to unavailability of wiremen and other challenges) the
transporter and his team managed to deliver the first skid in 12 days time
(meaning that overall transit time remained 15 days only). Subsequently the
other packages were also delivered smoothly, keeping project deadlines in mind.
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Smart Panels to 10000 rural centers all over Rajasthan ..(contd.)
The project
Pick up 10000 fabrication material for panels from Udaipur and deliver them
to Nashik (Boost Electronics)
Pick up the fabricated smart panels from Nashik and bring them to C&A
Mahape for testing/inspection and final dispatch to the central warehouse
at Jaipur
Pick up other raw material, i.e. conduits and wires, required for
installation, from suppliers in and around Jaipur and bring them to the
central warehouse
Segregate the cargo as per districts and send to 33 district warehouses (set
up and managed by the transporter). Oversee proper full kitting at these.
Once cargo is received at district-level warehouses, milk run to be carried
out by transporter for dispatching a group of 4-5 panels per vehicle (along
with contractor’s people in same vehicle) to the respective ASKs. Once
installation is complete, the contractor’s people were brought back, in a
given milk run route.
The Challenges
Shortlisting correct transporters with a wide enough reach and warehouse
network (since some of the villages in Rajasthan are situated near the
Pakistan border)
Coordination between several teams i.e., L&T Project team in Mumbai as
well as Jaipur, LMC, Transporters’ in Mumbai as well as the Jaipur team,
contractors in Rajasthan and their KAMs, suppliers of raw material,
authorized people in ASKs, etc.
Project timeline was tight i.e. 175 days, with stringent LD for delayed stage
deliveries
Weather and geographical location of Rajasthan i.e. in day time
temperature is not less than 45 degrees and the night temperature is below
20 degrees as well. In some districts, villages are remotely located with
little or no connectivity.
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Smart Panels to 10000 rural centers all over Rajasthan ..(contd.)
Use the bar code system to efficiently track and make sure that right panel
gets installed in the designated ASK
Transporter-developed mobile-based App (which runs on GPS) to find out
optimum route for the milk run, which helped to drastically reduce our lead
time
A WhatsApp group was formed with all concerned, to eliminate information
loss and ensure real-time updates
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E-Way Bill (EWB) System – Speedy and Smooth
What is EWB?
Basically a transit pass for movement of goods by motorized
conveyance across Indian territory
Pre-GST, it was referred to as ‘Road permit/Way bill’ (designated
differently by different states, e.g. Form 402 and 403, E-Sugam, etc.)
and was applicable for inter-state movements only. A hard copy
mandatorily to be carried with the vehicle.
In the post-GST regime, the transporter needs to carry hard copy
printout of EWB, generated electronically through a portal. Post-GST,
the applicability now is for both intra and inter-state movements.
Comparison
Earlier System (Prior to GST) EWB System (in GST era)
1) No uniform procedure. Each State had their 1) Uniform procedure under the motto ‘One
own system of Road Permits/Way Bills – and, Nation One Tax’, EWB bill is applicable for
that too, under different names like Form each and every State of India for interstate
403/402, E- SUGAM, Form JJ, etc. as well as intrastate movements.
3) Hard copies of the way bills had to be 3) No hard copy required. Even EWB no. can
carried. do the job. This eliminates paper wastage.
4) Huge waiting at different state border 4) Reduction in waiting time at check posts
check-posts resulting in increased transit time thus reducing overall transit time and also
and fuel costs. saving fuel costs.
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E-Way Bill (EWB) System – Speedy and Smooth (……contd/-)
Responsibility of
Particulars Remarks
generating EWB
From To Part A Part B
Consignor: L&T
Any L&T factory Domestic L&T/
Transporter Consignee: Any of L&Ts' domestic
(Domestic) Vendor Vendor
vendors
Any L&T Consignor: Any of L&T's domestic
Registered Vendor/
factory Transporter vendors
Domestic Vendor L&T
(Domestic) Consignee: L&T
Registered L&Ts' Consignor: Any of L&Ts' domestic
Registered
Domestic Domestic Transporter vendors Consignee: Any of L&Ts'
Domestic Vendor
Vendor Vendor domestic vendors
Domestic Air or
Any L&T
Sea Port - Consignor: Any of L&Ts' foreign
factory L&T Transporter
IMPORT vendors; Consignee - L&T
(Domestic)
SHIPMENT
Any L&T factory Consignor: L&T
(Domestic) Domestic Air
L&T Transporter Consignee: Any of L&Ts' foreign
EXPORT or Sea Port
SHIPMENT customers/ vendors
Apart from the initial hiccups, the vast majority (including transporter and supplier)
are well aware of the system and its importance, and have started generating EWBs
correctly.
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Know LMC’s Key Stakeholder
LMC – Preferred partner for Logistics value-added services (Domestic & International).
For further details, please contact:
Mr. Neelaj Sengupta – Head – Corporate SCM & LMC, Landmark Bldg., 4th Floor, ‘A’ Wing,
Near WEH Metro Station, Chakala, Andheri (E), Mumbai – 400 093
Email: neelaj.sengupta@Larsentoubro.com Phone: 22-6696 5373
Disclaimer: This newsletter is a forum to share experiences by the Logistics fraternity within the L&T Group. The views
expressed in this Newsletter are not necessarily those of the company.
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