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Thought leadership Session on Transportation and Distribution Management - Challenges and Opportunities
21st February

The session had three interesting speakers representing three different business sectors namely heavy engineering, food vertical and logistics service provider.
Prof.P.Chandiran welcomed the gathering of about 75 plus professionals from logistics and supply chain management domain working in and around Chennai. Prof.Chandiran highlighted the Centre’s activities in providing weekend education to professionals, research and consulting. He also spoke on the partnership with TAKE Solutions Ltd, a supply chain product company in setting up a COE in SCM at the company and a lab at LIBA.
Mr.Ranganathan of Namakkal Transport Company mentioned about opportunities of improved movements due to investment on road and infrastructure by government, streamlining of laws and regulatory operations and investment by operators on new generation vehicles with double and multiple axles which improves load factor and speed. He also mentioned about opportunities for improving efficiency with implementation of wireless tracking mechanism and GPS. He also mentioned how his company has envisioned improvements in supply of skills through investment in driver academy at Namakkal.
Mr.Kesavan, Sr.DGM, BHEL, Ranipet, spoke on the challenges faced by BHEL in its current excellent growth phase where logistics plays a critical role. Mr.Kesavan mentioned that they move product of varying units from 30 tons to as low as few grams. Moreover, these products are typically delivered as components and there is a challenge to ensure that the right component is available sequentially-which is next to impossible. Mr.Kesavan highlighted the role of IT in scheduling and managing such distribution challenges. In fact, though it may look like a sourcing function, it goes beyond as manufacturing design, execution, storage and movement are all to be considered so that the customer does not experience a delay when a component is required at site.
Approximately 200,000 MT is moved in a year which faces challenges like:
- Appropriate Transport Contract
- Managing the Contract
- Timely Customer Clearance
- Sequential Supply
- Components of different size and shape
- Different Locations
- Fluctuated inflow
- Non Availability of vehicles
- ODC Consignments
- En route problems
Mr. Kesavan mentioned about equal opportunity in placement of vehicles of transport authorities and commitment to corporate social responsibility by ensuring clearance of statutory compliance and strict adherence by transport operators as well.
Mr.R.Seshadri, Executive Director, TAKE Solutions Ltd. mentioned that food sector logistics and supply chain challenges and opportunities emanate from explosive growth of organized Retail, Quick Service Restaurants, Ready-to-Eat Foods and Infinite Variety in all of these. Culture is changing and this trend would continue to dominate evolution of this segment of business. Special characteristics of SCM in this segment include;
- Exponential growth in Demand
- Requirement of Temperature Controlled Movement & Storage
- Consciousness on customers’ sensitivity to Shelf Life
- Obsolescence Management
- The Last Mile is really a Long mile
- Distribution Losses across the chain
These challenges are real opportunities for logistics service providers and nodal organizations to be innovative.
Dr.N.Chandrasekaran, VP Corporate Affairs, TAKE Solutions Ltd., thanked the speakers and audience for the time and attention. He also mentioned that LIBA and TAKE Solutions would continue with such sessions regularly on an interval of 8 weeks to share knowledge and drive professional networking through this forum. Also, a Management Development Program on Distribution Management organized by TAKE – LIBA COE on SCM will be held on March 20 & 21st 2009 at LIBA. Please click the link for more details
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