CASE STUDY ON :-

INTEGRATED LOGISTICS MANAGEMENT SYSTEMS

Presented by:-

Group 4
Manoj Karande 1516
Sneha Sawant 1518
Deepak Pai 1523
Shaikh Faisal 1552
Bhavika Raut 1553
Hani Fahad 1560
 Indian Navy having a vast range of diverse items choose to
computerize its material management and logistics function in
1993.
 They selected a team of 16 officers,trained IT functions.

 The team produced a document detailing the requirements of

navy, which was approved by Naval headquarters and was
issued along with project directive to guide further
development.
 Development process includes:-
1. Production of an integrated system design.
2. Identification of hardware and software.
3. Development of data processing system.
4. Testing and acceptance of the system.
5. Training of the staff.
6. Publication of manuals.

 PURPOSE:-
To bring in transparency naval systems for materials
management functions.
 Shortcomings observed were:-
a. Duplication of holdings.
b. Substantial variations between physical stocks and ledger balances.
c. Poor warehousing.
d. Insufficient stock visibility.
e. Inordinate delays in performance of routine material management
functions.
f. Increasing overtime work with no perceptible gains.
g. Poor user satisfaction.
 WEAKNESS SHOWED:-
1. Poor information retrievability.
2. Insufficient information exchange between functionaries.
3. Uneven levels of computerization through the supply chain.
4. Heavy paperwork at all levels.
5. Problematic stores identification.
6. Crises management culture.
7. Insufficient customer orientation.
8. Large range and quantities of dead stock.
9. Unduly large inventory.
10. High and unacceptable procurement lead times.
11. Poor liquidation of repairable.
12. Inadequate stores preservation.
13. Serious bottlenecks in interacting with both internal and external
agencies.
14. Insufficient availability of drawings and specifications.
 Clear enunciation of management strategy backed by adequate
financial powers for materials managers at all levels.
 Modernization of warehouses and material-handling equipment.
 Standardization of storehouse procedures across the entire
distribution network.
 Training and skills up gradation of the store keeping staff.
 Concerted drive at disposal of unwanted surpluses.
 Promulgation of rules and procedures for the implementation of
ILMS. These includes:-
a. Materials planning manual.
b. Materials procurement manual.
c. Materials management manual.
d. Materials handling, warehousing, and transportation manual.
The modules that constitute the ILMS are as follows:-

A. Materials planning and provisioning functions.

B. Procurement functions.
C. Warehousing functions.
D. Technical services.
E. Budget
F. Audit
 Implementation of ILMS resulted in following advantages of Indian
navy:-

a. The provision review of all inventory items has been centralized,

resulting in better control and optimal utilization of funds.
b. The IT resources of the Indian Navy have been put to optimal use.
c. More effective monitoring of provisioning and procurement by the
Naval Headquarters has become possible.
d. Data regarding last purchase price (LLP) has become transparent ,
thereby improving the procurement process.
e. Real-time management information system (MIS) has become
available for senior management in the formats desired.
 The ILMS has provided the Indian Navy with an effective tool for
managing its complex inventory.
 The planned and systematic approach to this development
accompanied by proper management of change has ensured the
success of this major project.
 The development has proved that the users themselves are well-
placed in developing best-fit IT solutions to meet their specific
needs.
THANK YOU……