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CHAPTER-I

INTRODUCTION OF THE STUDY

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.

Logistics is generally the detailed organization and implementation of a complex operation.


In a general business sense, logistics is the management of the flow of things between the point of
origin and the point of consumption to meet requirements of customers or corporations. The resources
managed in logistics may include tangible goods such as materials, equipment, and supplies, as well
as food and other consumable items. The logistics of physical items usually involves the integration
of information flow, materials handling, production, packaging, inventory, transportation,
warehousing, and often security.

“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.

Lastly, an effective warehouse management system relies on competent workforce


management. Proper training, supervision, and motivation of warehouse personnel are essential for
smooth operations. Ensuring a safe and ergonomic work environment is crucial to prevent accidents
and injuries. Workforce management practices also involve efficient labour scheduling, performance
monitoring, and continuous improvement initiatives to enhance productivity and minimize downtime.

In conclusion, warehouse management practices encompass various crucial aspects,


including layout optimization, inventory management, order fulfilment, and workforce
management. By implementing efficient practices in these areas, companies can achieve cost
savings, improved productivity, enhanced customer satisfaction, and a competitive advantage
in the marketplace. As supply chains continue to evolve and become more complex, effective
warehouse management remains integral to successful logistics operations.

Key elements of warehouse management include:

1. Layout and Organization


2. Inventory Management
3. Warehouse Staffing and Training
4. Technology Integration
5. Order Fulfilment
6. Quality Control
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7. Safety and Security

INDUSTRY PROFILE

Global Logistics Industry:

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.

LOGISTICS INDUSTRY IN INDIA:

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.

LOGISTICS INDUSTRY IN COIMBATORE, TAMILNADU:

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.

1.2 COMPANY PROFILE:

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

2. OM Telecom logistics ltd.

3. Om Trans – for overseas transport

4. OMX Info Management ltd.

5. OM Trax- packers and movers

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.

OM Logistics is a 360-degree (from procurement to delivery to disposal) service provider in the


logistics industry.

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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

Om Logistics is an ISO certified logistics service provider resolved to


give quality logistics services reliably, at a sensible cost and to
ceaselessly enhance the same to enchant clients on a reasonable premise.

ENTREPRENEURIAL SOUL

Om Logistics embrace innovations when it comes to technology. We know


how to think creatively as entrepreneurs for operational excellence to create
profitable growth and value for our stakeholders.

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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

We understand the customer’s need, so we know to act quickly so that


others can perform at their best.

PASSION

Om Logistics is committed at heart and mind. We love what we do for our


customers and we try to help them with full passion that surges within us.

DIVERSITY

As inclusive as our brands. We deal with a lot of variety whether


it comes from the materials we handle or from the amount of
clients that we have. We also believe in overall Diversity for a
healthy workplace.

INNOVATION

Ensuring social responsibilities, accomplishing economic growth.

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SAFETY-FOCUSED

Om Logistics believe that safety is of utmost importance,


extending beyond the company to our customers, communities,
and families. We endeavour to be the standard of the business
through innovation and persistent learning.

Services provided by om logistics:

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

II. Surface services:


Om logistics consists of over 5000 dedicated fleet of vehicles and the drivers are trained enough in
order for the timely delivery. It can cater to any kind of logistics requirement across the country with
reliable, efficient logistics business.

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

AWARDRS AND ACHIEVEMENTS

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.

➔ BEST TRANSPORTER AWARD 2016


➔ ACHIEVEMENT AWARD 2014
➔ PROMOTER AWARD 2012
➔ BEST SUPPLIER AWARD 2015
➔ BEST SUPPORT 2014
➔ TRANSPOTER SAMRAT 2011
➔ BGTA AWARD 2015
➔ TATA SUPPLIER CONFERENCE 2014
➔ VALUABLE CONTRIBUTION AWARD 2010
➔ HIGHEST CARGO SALES AWARD 2004
➔ EXECELLENCE IN FRANCHISING & BUSNISESS DEVELOPMENT AWARD
➔ DAMAGE FREE DELIVERY 2007
➔ AITWA 2012

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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.

The primary functions of a warehouse include:

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 act as distribution centers, strategically located to efficiently serve different


regions and markets, reducing transportation time and costs.

7. Safety and Security:

Warehouses provide a secure environment to protect goods from theft, damage, and adverse
weather conditions.

THE PURPOSE OF WAREHOUSING

A warehouse or a distribution canter is a commercial building used for the storage of


goods. The principal element of warehousing is order processing which generally refers to
the workflow associated with delivering products ordered by a customer to a shipping
carrier. The primary aim of warehouses and distribution centers is to facilitate the movement
of goods from suppliers to customers while meeting the customers' demands in a timely and
cost-effective manner. In the old days of warehousing, inventory was seen to represent the
wealth of a company. However, these days this is not the case anymore. Instead, many
companies have noticed the high cost associated with holding inventory. In their purest form
warehouses should be transshipment areas for dispatching and receiving where products
remain in the warehouse for a short period of time only. In practice, however, there are
overriding factors such as meeting customer demand and expectations that make it hard to
operate without inventory. Valid reasons for holding inventory include, for example,
buffering cycles between two production processes, covering demand during supplier’s lead-
time, enabling savings by using volume discounts, coping with seasonal fluctuations,
providing a variety of products in a centralized location, or holding anticipation and
investment stocks. As a result, the basic aim of most warehouses is simply to minimize the
total cost of operations while providing a desired level of service.

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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.

6. Bonded Warehouses: Bonded warehouses are government-regulated facilities where imported


goods can be stored without paying import duties and taxes until they are ready for distribution
or export. These warehouses are common in international trade.

7. Automated Warehouses: Automated warehouses use advanced technologies, such as robotics,


conveyor systems, and warehouse management software, to automate material handling
processes. They are ideal for high-volume operations and can improve efficiency and accuracy.

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.

9. Cross-Docking Facilities: Cross-docking warehouses facilitate the direct transfer of goods


from incoming vehicles to outgoing vehicles with little to no storage time in between. This
strategy reduces inventory holding costs and expedites the distribution process.

10. High-Tech Warehouses: High-tech warehouses incorporate advanced technologies, such as


Internet of Things (IoT) devices, RFID tracking, and real-time analytics, to monitor and manage
inventory and streamline operations.

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.

2. Warehouse Management Theory:


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a. Inventory Management: This theory delves into the optimal control and organization of
inventory within a warehouse. Key concepts include ABC analysis, safety stock, economic order
quantity (EOQ), just-in-time (JIT) inventory, and various inventory models. Efficient inventory
management is essential for OM Logistics Ltd. To minimize holding costs, stockouts, and
maximize customer service levels.

❖ EOQ (Economic Order Quantity):


EOQ is a formula used in inventory management to determine the optimal order quantity for a
product that minimizes total inventory holding costs and ordering costs. The goal is to find the
balance between carrying excess inventory, which ties up capital, and frequent small orders,
which can lead to higher ordering costs. The EOQ formula takes into account the following
variables: demand rate, ordering cost, and holding cost per unit.
The EOQ formula is typically expressed as:
𝟐𝑫𝑺
EOQ = √ 𝑯

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.

c. Warehouse Automation: With advancements in technology, warehouse automation plays an


increasingly critical role in streamlining operations. Theoretical frameworks related to automated
storage and retrieval systems (AS/RS), robotics, and warehouse management systems (WMS) are
relevant for OM Logistics Ltd. To enhance productivity and reduce operational errors.

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3. Transportation Management Theory:

a. Mode Selection: Transportation management involves selecting the appropriate transportation


mode (e.g., road, rail, air, sea) based on factors such as cost, distance, speed, and nature of the
cargo. Theoretical frameworks related to mode choice will guide OM Logistics Ltd. In making
optimal transportation decisions.

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.

c. Last-Mile Delivery: Last-mile delivery is a critical aspect of transportation, especially in urban


areas. Theoretical models related to crowd shipping, drone delivery, and urban logistics can offer
insights into improving last-mile operations for OM Logistics Ltd.

IMPORTANCE OF WAREHOUSING IN THE DEVELOPMENT OF


TRADEAND COMMERCE

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 POD- proof of delivery.

o SPD- speed trucking

o CN – consignment note

o DDR- daily delivery report

o WMS- Warehouse management systems

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.

THE WAREHOUSE MANAGEMENT IN OM LOGISTICS (COIMBATORE)

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)

On Monday, the load of work at Coimbatore(901) Hub


is pretty low as the manufacturer generally closes the operations
on Sunday and hence from the manufacturers side, the goods are
not delivered on Sunday and the materials are out for delivery
on Monday and Generally reaches on Tuesday and from
Tuesday onwards the workload increases as the manufacturers
again starts the operations from Monday and due to which the
workload increases from Tuesday and workload is at peak on
Saturday and Sunday as the Operation in the Om logistics
depends upon the manufacturers business

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

• When the truck/lorry comes to the hub from the


places nearby, it requires to provide a challan in
order to enter the hub and when it enters the hub,
After sometime the seal in the lorry is opened and
the lorry is ready to be unloaded.
• On the front side of the Coimbatore Hub, the
material is unloaded depending upon the priority
I.e., if the material is booked in the form of Speed
trucking, (speed which costs 25/kg, also
depending upon different company’s relationship with different customers) the material will
be unloaded quickly and then also loaded quickly as it has to be delivered on the priority basis
as per the requirement of the customer.

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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

FIFO Method is used for loading. Same process takes


place as the unloading but the materials which are to be
delivered first would be loaded outwards inside the lorry and
the material which are to be delivered at the end are loaded
inwards inside the lorry. After the loading Challan Will be
Created, Operation coordinator Seal the Truck. As soon as
the material is out for delivery the status in the systems is
updated and the daily delivery report is made by the
supervisors of the respective Truck. The heavy material
inside the lorry is lifted by means of forklift & the normal
material is moved by pallet jack.

EFFECTIVENESS OF WAREHOUSE MANAGEMENT

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:

An effective warehouse is accurate in tracking and managing inventory. Modern


warehouses often employ inventory management software and barcoding systems to ensure
that the quantity and location of items are precisely known. This accuracy prevents
overstocking, stockouts, and the associated costs and disruptions. Inventory accuracy is a
critical aspect of material handling and supply chain management that refers to the precision
and reliability of inventory data within a warehouse or distribution centre. Ensuring high
inventory accuracy is essential for various reasons, including cost control, customer
satisfaction, and operational efficiency. First and foremost, inventory accuracy is crucial for
managing costs. Inaccurate inventory records can lead to excess safety stock, as well as the
unnecessary purchase of additional materials or products, which increases carrying costs. It
can also result in stockouts and missed sales opportunities due to the perception of low
inventory levels. High accuracy in inventory data minimizes these issues, leading to cost
savings and improved cash flow.

3. TIMELY ORDER FULFILLMENT:


Effective material handling in a warehouse ensures that orders are picked, packed, and
shipped to customers in a timely manner. The right materials must be available and accessible,
and order processing procedures should be streamlined to minimize delays. Timely order
fulfilment is a critical aspect of material handling and supply chain management, focusing on
the efficient and punctual delivery of products or goods to customers. This principle is vital
for customer satisfaction, brand reputation, and operational efficiency.

Efficiency in order fulfilment is achieved through streamlined material handling processes. It


involves organized inventory management, effective order processing, and optimal picking
and packing operations. Implementing advanced technology, such as warehouse management
systems (WMS), automation, and efficient transportation management, is essential for
expediting order fulfilment and ensuring that products reach customers as promised. To
maintain timely order fulfilment, companies must also establish realistic lead times and
service level agreements (SLAs) with customers. Clear communication with customers
regarding expected delivery dates and potential delays is crucial. Managing expectations and
delivering on promises are key components of ensuring a positive customer experience.
Furthermore, monitoring and performance metrics are essential for tracking and improving
order fulfilment. Key performance indicators (KPIs), such as order cycle time and order

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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.

4. REDUCTION OF MATERIAL DAMAGE AND LOSS:

Well-implemented material handling procedures and equipment minimize the risk of


product damage during storage and handling. This not only saves on replacement costs but
also enhances customer satisfaction by delivering goods in pristine condition. The reduction
of material damage and loss is a critical principle in material handling and supply chain
management that focuses on minimizing the physical damage, spoilage, or loss of products or
materials as they move through the various stages of the supply chain. This principle is
essential for controlling costs, maintaining product quality, and ensuring customer
satisfaction. Cost control is a primary reason for emphasizing the reduction of material
damage and loss. Damaged or lost products represent a direct financial loss to a company.
This includes not only the cost of the damaged or lost items but also the potential costs
associated with reordering, restocking, or disposing of damaged goods. By minimizing these
losses, companies can improve their financial performance and profitability. Preserving
product quality is another critical aspect. Many goods are sensitive to factors such as
temperature, humidity, and rough handling, and any damage or spoilage can impact their
quality and safety. This is particularly important in industries like food, pharmaceuticals, and
electronics, where product quality and safety are paramount. Reducing damage and loss
ensures that products maintain their intended quality, reducing waste and potential liabilities.

5. LABOR EFFICIENCY:

An effective warehouse optimizes labour efficiency by reducing manual handling,


automating repetitive tasks, and ensuring that workers are trained in safe and efficient material
handling practices. Abor efficiency is a crucial principle in material handling and supply chain
management, focusing on optimizing the productivity and effectiveness of the workforce
involved in various aspects of material handling operations. This principle is essential for

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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:

Safety is a critical component of material handling in a warehouse. Effective


warehouses prioritize safety through ergonomic design, proper training, and the use of safety
equipment to minimize workplace accidents and injuries. Enhanced safety is a critical
principle in material handling and supply chain management, prioritizing the protection of
employees, assets, and products throughout the supply chain. This principle involves creating
a work environment that minimizes the risk of accidents, injuries, and damage to goods. It
includes implementing safety protocols, providing proper training, and maintaining safe
equipment and facilities. Enhanced safety not only safeguards the well-being of employees
but also contributes to operational continuity, cost reduction, and a positive corporate image.
By promoting safety awareness and adhering to safety guidelines, businesses can reduce
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accidents and disruptions, improve workplace morale, and build trust with customers and
regulatory bodies, fostering a culture of safety that is integral to long-term success in the
supply chain industry.

8. ADAPTABILITY AND SCALABILITY:

An effective warehouse is adaptable and scalable to accommodate changing business


needs. It can handle fluctuations in demand and changes in the product mix without
compromising efficiency. Adaptability and scalability are fundamental principles in material
handling and supply chain management, focusing on the ability of businesses to respond to
changing market conditions, customer demands, and operational needs. Adaptability entails
the flexibility to adjust to unforeseen disruptions, such as market shifts, supply chain
disruptions, or changes in customer preferences. Scalability, on the other hand, refers to the
capacity to expand or contract operations efficiently in response to fluctuations in demand or
business growth. These principles are vital in today’s dynamic business environment, enabling
companies to remain competitive by quickly pivoting strategies, deploying resources where
needed, and ensuring that material handling processes and infrastructure can accommodate
fluctuations in volume and demand. Businesses that prioritize adaptability and scalability are
better equipped to navigate uncertainties and seize opportunities in a rapidly changing
marketplace.

9. ENVIRONMENTAL RESPONSIBILITY:

Warehouses that incorporate sustainable material handling practices, such as recycling


and reducing waste, contribute to a company’s environmental responsibility and sustainability
goals. Environmental responsibility is a core principle in material handling and supply chain
management that underscores the commitment of businesses to minimize their impact on the
environment. This principle involves making eco-conscious decisions throughout the supply
chain, such as reducing carbon emissions, conserving energy and natural resources, and
minimizing waste. Environmental responsibility also encompasses choosing eco-friendly
materials, adopting sustainable practices, and adhering to environmentally friendly
regulations and standards. Companies that prioritize this principle aim to reduce their carbon
footprint, conserve resources, and contribute to a more sustainable and environmentally
friendly supply chain. By embracing environmental responsibility, businesses can align with
the growing global focus on sustainability, reduce their operational costs, and enhance their
reputation while being good stewards of the environment.
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10. CUSTOMER SATISFACTION:

Effective material handling directly impacts customer satisfaction. Timely deliveries,


accurate orders, and well-packaged products all contribute to a positive customer experience.
Customer satisfaction is a foundational principle in material handling and supply chain
management, emphasizing the central importance of meeting and exceeding the expectations
of customers. This principle involves delivering products on time, in the right quantity, and in
good condition. It also encompasses providing efficient order fulfilment, clear
communication, and responsive customer service. Customer satisfaction is the cornerstone of
building strong and lasting relationships with clients, as it directly impacts a company's
reputation and competitiveness. By prioritizing customer satisfaction, businesses not only
secure customer loyalty and positive word-of-mouth but also foster brand loyalty, which can
lead to sustained growth and success in a highly competitive marketplace.

11. COMPETITIVE ADVANTAGE:

An effective warehouse can provide a competitive advantage by improving


operational efficiency and enabling a company to meet customer demands better than its
competitors. Competitive advantage is a foundational principle in material handling and
supply chain management, focusing on the strategies and practices that enable a company to
outperform its rivals in the marketplace. This principle involves identifying unique strengths
and leveraging them to differentiate a business from competitors, whether through cost
leadership, product differentiation, or operational excellence. In the context of material
handling and supply chain management, competitive advantage can be achieved by
optimizing processes, reducing costs, enhancing product quality, streamlining logistics, and
improving customer service. By securing a competitive advantage, businesses can gain a
stronger market position, attract more customers, and enjoy higher profitability, while
simultaneously adapting to evolving market conditions and customer demands to maintain
their edge.

12. DATA AND ANALYTICS:

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

30
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.

VARIOUS TOOLS AND TECHNOLOGIES USED IN WAREHOUSE


MANAGEMENT

1. Warehouse Management Systems (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.
2. Inventory Management Software:
Tools to track and control inventory levels, monitor stock movements, and automate
reordering.
3. Barcode Scanners:
A barcode scanner in logistics is a device used to read and decode barcodes.
Barcodes are graphical representations of data, typically consisting of a series of parallel
lines and spaces that can be scanned by the barcode scanner. In logistics, barcode scanners
are used to improve the efficiency and accuracy of various processes, including inventory
management, order fulfilment, and tracking.
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4. Warehouse Control Systems (WCS):
These systems control and manage material handling equipment such as conveyor
systems, automated guided vehicles (AGVs), and robotics.
5. Oracle Fusion ERP (Enterprise Resource Planning):
Oracle Fusion ERP is a cloud-based software solution designed to help organizations
manage and automate their financial and operational processes. It serves as the backbone of
an organization’s financial and business management. Key features of Oracle Fusion ERP
include accounting, general ledger, accounts payable, accounts receivable, cash
management, procurement, project management, and more. It enables businesses to handle
financial tasks, streamline procurement processes, and manage projects efficiently. The goal
of Oracle Fusion ERP is to provide a comprehensive and integrated platform for businesses
to improve their financial management and decision-making processes.
6. Oracle Fusion SCM (Supply Chain Management):
Oracle Fusion SCM is also a cloud-based software application that focuses on
optimizing and managing an organization’s supply chain processes. It covers various aspects
of supply chain management, including inventory management, order fulfilment, logistics,
procurement, demand planning, and manufacturing. Oracle Fusion SCM is designed to
enhance visibility and control over the supply chain, helping businesses make informed
decisions, reduce costs, and improve customer service. It provides tools for supply chain
planning, execution, and monitoring, aiming to streamline the flow of goods and services
from suppliers to customers.
7. Automated Guided Vehicles (AGVs):
Automated Guided Vehicles (AGVs) are autonomous, self-propelled vehicles
designed to transport goods, materials, or products within a controlled environment, such as
a warehouse, factory, or distribution centre. AGVs are equipped with sensors, guidance
systems, and software that allow them to move and navigate without the need for human
intervention. They are commonly used in various industries to automate material handling
and logistics tasks.
8. Mobile Apps:
Mobile applications for smartphones and tablets can be used for inventory
management, order processing, and communication.
9. Material Handling Equipment (MHE):
Forklifts, conveyors, pallet jacks, and other MHE are essential tools for moving and
handling goods within the warehouse.
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10. Data Analytics and Business Intelligence:
Tools for analysing warehouse data to make informed decisions and optimize
operations.

HIERARCHY AT COIMBATORE HUB

HUB MANAGER

ACCOUNTS
POD HEAD HR MANAGER
HEAD

TRAFFIC CONTROL OPERATION IN-


SENIOR SUPERVISOR
DEPARTMENT CHARGE

SUPER-VISOR

1.3 NEED OF THE STUDY

A study on the effectiveness of warehouse management practices in OM Logistics Ltd is


crucial for several reasons. First and foremost, it is essential to assess the current state of the
company’s warehouse operations to identify areas of improvement. With the ever-evolving logistics
landscape, optimizing warehouse management practices can significantly impact the company’s

overall performance. Customer satisfaction is another critical aspect. Understanding and meeting
customer demands, ensuring timely deliveries, and minimizing errors are integral to retaining and

33
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.

1.4 SCOPE OF THE STUDY

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.

1.5 OBJECTIVES OF THE STUDY

The study is designed with the following specific objectives:

• To interpret the satisfaction level of the customers


• To assess the safety measures, adopt in the organisation
• To examine the best practices that can be followed by OM logistics LTD

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