GATI: ACHIEVING QUALITY EXCELLENCE IN SHIPMENT

DELIVERY CASE STUDY ANALYSIS

1. Provide a short case summary of Gati & what is the main problem that
Gati is facing?

The case study that discusses the challenges faced by Gati, a logistics service provider in
India, specifically regarding the delay in shipment delivery under their premium express
scheme. The company has been receiving numerous complaints, and the general manager of
Process and Quality is working to identify the issues and determine if the delivery process is
under control. The logistics industry in India is crucial for the country's growth, but it
encounters difficulties in providing cost-efficient and effective services.

Gati faced several challenges in delivering shipments under their premium express scheme.
These challenges included:

1. Occasional random interventions: Gati faced interventions such as accidents, slow

movement of the fleet due to inclement weather, network or system failures, and other
unforeseen events that could disrupt the delivery process.

2. Difficulty in implementing the high-speed premium logistics services: Gati

encountered difficulties in implementing their newly launched high-speed premium
logistics services, which hindered the smooth operation of the scheme.

3. Lack of capacity expansion: Gati opted to outsource the last mile delivery to local
vendors instead of investing in capacity expansion of their existing fleet. This reliance
on local vendors could lead to performance issues if the vendors did not operate at an
acceptable level due to vehicle or labor shortages.

4. Lack of standard operating procedures: There was no standard operating procedure in

place to standardize the process of the premium express scheme. This lack of
standardization could result in inconsistencies and delays in the delivery process.

5. Delay in loading and unloading of shipments: The loading and unloading of

shipments for the premium express scheme were being done in the same way as
general shipments. This could lead to delays and inefficiencies in the delivery process.

6. Inadequate training and motivation of staff: The staff deployed for the premium
 express scheme had low motivation as their incentives were not directly linked to the
scheme. Additionally, these employees lacked adequate training, which made them
less proficient in handling the computer systems and less agile in their work.

7. Inefficient reporting practices: Delays in the premium express service were caused by
inefficient reporting practices. Manual paperwork and data entry at key points in the
delivery system were time-consuming and prone to errors, leading to delays and
potential fraudulent activities.