Executive Summary

We take ownership of our customers’ sophisticated transport requirement and challenges. Our
continuous improvement and commitment strive to exceed beyond our customers’ expectations.

Our vision and culture have been developed and transformed the company to gain considerable
expertise in the field of project forwarding & logistic management and is capable of meeting the
entire gamut of logistic needs of our customers. In this sense we are well served by our firmly
founded culture with its focus on passion for innovative productivity and creating value, we
could not wish for a better starting point.

We remain aware that the logistics industry is very different from yester years and today. Many
of our valued customers are not only looking at simple transportation, but a distinct and bespoke
service arrangement which can consist of various individual logistics experience professional
elements. Today our customers are looking for a tailor-made solution and cost effective
multimodal transportation for their business challenges, where we being their business partner,
playing the role as their logistics experts, demonstrate our expertise and going beyond their
expectation

The purpose of this project is to determine how to manage the logistics in the company to
increase the company profitability.

1
 CHAPTER 1
INTRODUCTION
Logistics is the management of the flow of goods, information and other resources, including
energy and people, between the point of origin and the point of consumption in order to meet the
requirements of consumers. Logistics involve the integration of information, transportation, and
inventory, warehousing, material-handling and packaging. The importance of logistics as an
enabler of trade and economic growth is worth mentioning. Massive improvement in
infrastructure for transportation leads to present and future development in trade, resulting in the
economic growth of the nation.

On the positive point of view, new opportunities are opening up for the sector. Trade volumes
both overseas and inland are growing very fast. The pace of growth in the specialized sectors like
Liquid Natural Gas (LNG), Containers, Goods, Electronic Equipments etc. are comparatively
much higher. Integrated logistics and multimode transportation are opening up new business for
logistics/ shipping companies.

Logistics Management and Logistics Management Software

Logistics management is that part of the supply chain which plans, implements and controls the
efficient, effective forward and reverse flow and storage of goods, services and related
information between the point of origin and the point of consumption in order to meet customers'
requirements. A professional working in the field of logistics management is called a logistician.

Software is used for automating logistics activities which helps the supply chain industry in
automating the work flow as well as management of the system. Very few generalized software
are only available in the new market in the said topology. This is because there is no common
rule to generalize the system as well as work flow even though the practice is more or less the
same. Most of the commercial companies do use one or the other custom solution. There is

2
various software that is being used within the departments of logistics mainly in Conventional
Departments and for Container Trucking.

A. Business Logistics

Logistics as a business concept evolved only in the 1950s. This was mainly due to the increasing
complexity of supplying one's business with materials and shipping out products in an
increasingly globalize supply chain, calling for experts in the field who are called Supply Chain
Logisticians. This can be defined as having the right item in the right quantity at the right time at
the right place for the right price and it is the science of process having its presence in all sectors
of the industry. The goal of logistics work is to manage the fruition of project life cycles, supply
chains and resultant efficiencies.

B. Production Logistics

The term is used for describing logistic processes within an industry. The purpose of production
logistics is to ensure that each machine and workstation is being fed with the right product in the
right quantity and quality at the right point in time.

3
 CHAPTER 2
RESEARCH OBJECTIVES

 To find out the Effectiveness of logistics management in Skyways.

 To know how the logistics is done .
 To find out the importing & re-exporting process.
 To know the warehouse management system.
 To know whether the customers are satisfied with the existing range of service
pattern.
 To ensure the rapid response is concerned with a firms ability to satisfy customer
services and requirements.
 To understand the overall working and operations af a logistic company.
 To eliminate the delay and unexpected time of customer order receipt, an
unexpected disruption in manufacturing goods and deliver to incorrect location.

4
 CHAPTER 3
LITERATURE REVIEW

A. Demand Chain Management

Understanding demand requires a comprehensive knowledge of your customers, you should

know what products / services are demanded by your customers; how do them

make their purchases, how often they order and what constraints they face on the purchasing
process. Very few companies have mastered this concept. Skyways was able to know all the
above concepts through considerable focus into customer needs and grievances.

B. Achieving Competitiveness in Logistics, Freight, Supply Chain

Fig No 1

Reduced lead time, inventories, lower operating costs, product availability and customer
satisfaction are the benefits which grow out of effective logistics and supply chain management.
The decisions usually carried on by Skyways, cover both the long term and short term. Strategic

5
decisions deal with the corporate policies, and look at overall design and logistic chain structure.
Tactical, Operational decisions are those dealing with everyday activities and problems of the
organization. Change is the inevitable factor for each and every day situation within and outside
the organization. The decisions must take into account the strategic decisions already in place.
Therefore organization must structure the logistics ideas through long term analysis and at the
same time focus on every time situations.

C. Operational Fleet Routing & Loading

The organization derives routes in transportation are mainly long-haul (Optimization). For short
haul deliveries, there are ready solutions that are tightly integrated to warehouse management
systems (outsourced facility), to efficiently route fleets of vehicles and vessels and plan picking
and loading. Stipulated time windows for pick-ups and deliveries and vehicular weight and
spatial capacities would be used, as will constraints such as delivery within specified period
minutes upon pickup (useful for perishable goods). Time required at various stops - in terms of
fixed time to park and variable time dependent on amount to be loaded or off-loaded - can be
specified. Travel speeds along various types/zones of roads can be stipulated by traffic
information services. The organization schedules arrival and departure times for each stop can
thus be worked out quite accurately. Routes can be generated dynamically and ad hoc backhaul
or other opportunities can also be assigned to the most suitable vehicle. The benefits of
operational fleet routing include considerable reduction in fleet operating cost and improved
customer service with better estimated arrival time.

D. Mode of Transportation
Transportation generally is movement of product, goods, raw materials to different stages in
supply chain. Essentially in supply chain logistics plays a major role, the manner in which
product is moved from one location to another is through road, rail, truck, air, sea.
Skyways logistics essentially uses only 2 modes for their operation they are air and sea. The
goods being delivered to end customer is brought to port or to the place through containers or
other methods like wagons, or cold enclosures like frozen storage. As in UAE rail transport does
not exist, so it has got a relevant drawback for the company, as company has to stick on road for
short routes and even routes between states of UAE and which is very much expensive and
increases the operational cost. Skyways strategically manage the procurement, movement, and

6
storage of materials, parts and finished inventory through the organization and its marketing
channels. Essentially from companies’ angle, there are two categories, initially inbound logistics,
i.e., handling goods that are brought into the company, through road transport and storing and
making them available. Another main phase is the outbound logistics, taking the cargo or the
goods through channels, and is being done with considerable effort to various parts of the world
as per the customer requirements.
F. The Challenge Faced by Organizations
In today’s world, competence is taking on new dimensions. The ability to compete is being
determined by the degree of responsiveness to customers and key issues handling. How fast you
deliver the goods/ products, what the price paid by customers and what value customer is getting
throughout the service is considered in a schematic and ordered way. Markets are quick
demanding and customization of each logistics activities is essential for each customer, and has
become the essential factor in logistics management.

7
 CHAPTER 4

RESEARCH METHODOLOGY

4.1 Research

Research means search for knowledge. It aims at discovering the truth. It is the search for
knowledge through objective and systematic method of find solution to problems. Therefore
research is a process of systematic and in-depth study or search of any particular topic, subject or
area of investigation backed by collection, computation, presentation and interpretation of
relevant data.

Research is necessary to examine the extent of the validity of the old conclusions or to find out
some new facts and generating new ideas in connection with the existing ones. A research
finding may give rise to new problems which may require further research. So a research leads to
another research.

4.2 Research problem

The need for the study was to assess the effectiveness of Logistics Managemen. The organization
also needs relevant data as to how it can improve its management policies in order to gain future
market share.

4.3 Research methodology

Research methodology is a method that can be used to solve the research problem. It provides
various steps that can be adopted by the researcher in studying his research problems. It includes
not only the research but also considers the logic behind those methods. Research methodology
deals with the objectives of a research study, the method of defining the research problem, the
type of hypothesis formulated, the type of data collected, methods used for collecting the and
analyzing the data etc.

4.4 Method of data collection

8
Primary Data: The major tool used was interview with logistic manager, supervisor and a
questionnaire was developed focusing various aspect.

Secondary Data: Various books of Logistics Management for literature reference, Internet Web
Portals, Websites of the firm, Company shipping and warehousing manual.

4.5 Types of analysis

a) Descriptive Analysis

Descriptive analysis is largely the study of distributions of variables. The variables are associated
with the characteristics of items under study. In such analysis, there is the study of one variable,
two variables or more than two variables, but largely of one variable.

b) Inferential Analysis

This is concerned with drawing inferences and conclusions from the findings of the study. It
enables us to make decisions and draw conclusions from studies which could otherwise be not
feasible, because of large size of the universe or of high costs of a census survey.

4.7 Statistical tools

 Percentage Analysis
The purpose of using ratio or percentage is to simplify the problem of comparison.
Percentages reduce two distributions to a common base, thus make comparison simple.

 Bar Diagrams
A bar chart or bar graph is a chart with rectangular bars with lengths proportional to the
values that they represent. The bars can be plotted vertically or horizontally.

 Pie Charts
A pie chart (or a circle graph) is a circular chart divided into sectors, illustrating proportion.
In a pie chart, the arc length of each sector (and consequently its central angle and area),
is proportional to the quantity it represents. When angles are measured with 1 turn as unit
then a number of percent is identified with the same number of centiturns.

9
 CHAPTER 5
DATA ANALYSIS AND INTERPRETATION

The data collected through the questionnaire are analyzed to know about the respondents
opinions about various particulars asked in the questionnaire. The data collected from the
questionnaire was entered into spread sheet and the data has been interpreted. The questionnaire
comprises of fourteen questions with subparts for each.

The topics covered are with decisions of each operational area, employee numbers of each firm,
profitable area in operation, catering location, service offering, organizational effectiveness,
inventory, location, product availability and customer satisfaction.

Analysis of data is considered to be highly skilled and technical job which should be carried out
only by the researcher himself or under his close supervision. It is through systematic analysis
that the underlying features of the data are revealed and valid generalizations are arrived at. Facts
and figures never speak for themselves. Only by means of organizing, analyzing and interpreting
the research data, their salient features, inter-relationship, cause and connection are brought out.

Analysis of data therefore means critical examination of the data for studying the characteristics
of the object under study and for determining the patterns of relationships among the variables
relating to it using both quantitative and qualitative methods.

1 Gender

Table 1

S No GENDER NO OF RESPONDENTS
1 Male 65
2 Female 35

10
 Graph 1

Male Female

30%

70%

Interpretation

This pie chart shows the number of male and female respondents for the questionnaire from the
organization.

2 Age group

11
 Table 2

Age groups No of respondants Percentage

18 - 25 22 44
26 - 35 09 18
36 - 45 13 26
46 year & abobe 06 12

Graph 2

Age group

12%

44%
18 - 25
26% 26 - 35
36 - 45
46 & above

18%

Interpretation

As you see that nost of the employees are of under the age group 18 – 25.

3 Maritial Status

12
 Table 3

No of respondants Percentage
Married 32 64
Unmarried 18 36

Graph 3

Maritial Status

Married
Unmarried

Interpretation

As you see that most of the employees are married in this company.

4 Work Experience

13
 Table 4

No of respondants Percentage
0–5 12 24
6 – 10 16 32
11 years abbove 22 44

Graph 4

Experience

0 - 5 yrs
06 yrs - 10 yrs
11 & above

Interpretation

As you see that most of the employees in this industry are more experienced.

5 Which are the Various logistics services you offer.

14
 Table 5

No of respondants Percentage
Freight 6 12
Warehouse 15 30
Shipping 20 40
Network Diagram 6 12
Other value added services 3 06

Graph 5

Services

12% 12%
6%

Freight
Warehousing
Shipping
30% Network Diagram
Other value added

40%

Interpretation

The pie chart above shows the service offer of the organization. The chart shows that about 40%
of the service offered belongs to Shipping and next place is for Warehousing. Its main services is
Shipping and Warehousing. Both Freight and Network design contribute only 12% respectively.
Other service includes value adding, which represents 6% of the sample. It includes packaging,
labeling etc.

6 Which is trhe area of activity you feel you are the best

15
 Table 6

No of respondants Percentage
Freight 7 14
Warehouse 16 32
Shipping 18 36
Network Diagram 7 14
Other value added services 2 04

Graph 6

Best Activities

14% 4% 14%

Freight
Warehousing
Shipping
Network Diagram
Other value added
32%

36%

Interpretation

The pie chart above shows the best activity which organization feels in their operations. The pie
chart shows 36% of employees in the organizations have chosen shipping in the predominant
area, followed by 32% of warehousing. Another significant area is freight and network design
with the support of 14% of employees. Most of the organizations have a mixture of all the
activities in their day to day activities bring in more revenue and the best of their activities,
which includes packaging, labeling etc.

7 Which devision of logistics activity earns the maximum rate of profit

16
 Table 7

No of respondants Percentage
Freight 10 20
Warehouse 13 26
Shipping 20 4
Network Diagram 5 10
Other value added services 2 04

Graph 7

Profit

10% 4% 20%

Freight
Warehousing
Shipping
Network Diagram
Other value added

26%
40%

Interpretation

The shipping division earns the maximum profit followed by warehousing. Both shipping and
warehousing are the key functional areas in Skyways. The company concentrates more on
shipping and warehousing. The rate assigned to shipping and warehousing is 20 and 13
respectively. Network design got least rate only 5. If the company concentrates more on freight
and network design the profitability of the company will increase.

8 What are the locations to which your company caters to

17
 Table 8

No of respondants Percentage
Asia 25 50
Europe 10 20
USA 3 6
Australia 3 6
Africa 2 4
Russia 7 14

Graph 8

Countries

Asia
Europe
USA
Australia
Africa
Russia

Interpretation

The pie chart shows that organization catering location in the world. The cgart 50% of
organisaion cater to asian region followed by 20% to Europe and 6%to USA .

18
9 Please rate the services offered by your organsation

Table 9

Excellent Good Fair Poor Very Poor

Ease of service 5 10 35 0 0
Client handling 3 12 30 5 0
Customer service 6 16 28 0 0

Graph 9

40

35

30

25

Ease of sevice
20
Client handling
Customer service
15

10

0
Excellent Good Fair Poor Very poor

Interpretation

Majority of the employees is in the opinion that ease of service in the company is fair. They also
rate client handling as fair. But the company is good at customer service, for providing website
information and also in employee efficiency. The overall performance of the company is good.

19
10 The brand which makes Skyways, more profitable.

Table 10

S No Brands` No of Respondants Percentage

1 Early learning centre 5 10
2 Mikyajy 19 38
3 Ulle popken 0 0
4 Nayomi 22 44
5 The body shop 4 8
6 List 0 0
7 Babe 0 0

Graph 10

Brands

Early
mikyajy
ulle
nayomi
the body shop
list

Interpretation

According to above pie chart , the most profitable brand is nayomi followed by mikyajy.

11 Company receives the most number of shipments/consignments from different countries.

20
 Table 11

Sl. No. Countries No of Percentage

respondants

1. United States of 1 2
America

2. United Kingdom 04 8

3. Russia 7 14

4. Germany 6 12

5. Italy 2 4

6. France 14 28

7. China 14 28

8. Philippines 0 0

9. Srilanka 02 4

10 All of these 0 0

Graph 11

21
 Countries

USA
UK
Russia
Germany
Italt
France
China
Philippines
Srilanka
All of these

Interpretation

The pie chart above show catering location in the wolrd. Locations mentioned as other is
company catering frequently with repeat orders of customer. Around 28% of the shipment is
from china and UK.

22
12 The organizations follow up to retain the customers

Table 12

Sl. No. Method No of Percentage

respondants

1 Phone Call 14 24

2 New Service Intimation to Customers 14 28

3 Gifts 5 10

4 Email 14 28

5 Fax 1 2

6 Other methods if any ________________ 2 4

Methods

Phone
New service
Gift
Email
Fax
Other

Interpretation

23
The above chart shows preference of complaints and how organization follow up to retain
customers. There are no guarantees, but one of the best customer retention strategies is to
provide superior customer service. And that means listening to the customers. Its been noted that
cent percent of organization follow up with customers for customer complaints. Most of the
preferable methods for contacting customers for new service intimation and customer
realtionship are telephone, email and other methods like marketing / sales, customer office visit
etc. The least preferred are gifts and fax with 5 and 1 in rating. A company’s ability to attract and
retain new customers, is not only related to its product or services, but strongly related to the way
it services its existing customers and the reputation it creates within and across the marketplace.

CHAPTER 6
24
6.1 FINDING
 There is a good relation between management and employees and they are always
trying to maintain that relation.
 Pricing of service is satisfactory, which organization can further enhance with proper
management. Present employee strength is satisfactory compared to other
organization but more focus should be made to documentation areas where the firm
has lesser employees compared to other organizations.
 The company deals with branded and quality products so that it increases the
company’s profit and reputation.
 Decision making is excellent for organization and the employees done it very well.
 Operation with other logistical providers should be given more preference to achieve
cost effectiveness.
 The Organization is well occupied with advanced technologies.
 The management is always trying to keep environment clean and also take quality
check to meet the standard fixed.
 The organization client handling, ease of service and customer service is having
remarkable difference from the industry standards. The main focus need to be on the
ease of website and employee efficiency. From the data we can infer that areas which
need to be improved are Website and employee efficiency. Employee efficiency can
be improved with a proper Human Resource department.
 The management is always keen to appoint efficient and knowledgeable persons.
 Freight and Value Adding is considered to be the best service which organizations
offer in industry. Another major observation is about Network Design, it has low
value and no organization feels it to be lucrative area in industry.
 The efficient methods for retaining customers are Phone, Email, Sales Agents and
least preferred methods are Fax and Gifts.

6.2 CONCLUSION

25
Logistics must make work effectively. This is required by the customers and, in turn, by the
company. For effective logistics, there are five key issues—

1. Movement of product.

This is often the way that logistics is viewed in many companies. Products moves should
complement the corporate strategy. If the emphasis is on cost reduction, lower inventories,
customer service or whatever, then products must move in a way that is consistent with the
emphasis. Product must also flow, not just move, from, to, between and among vendors,
manufacturing sites, warehouses and customers. If it does not flow, then there is not a supply
pipeline. Instead there are imbalances in inventories with components and finished goods not
being where they should be.The movement may be extremely broad in geographical scope.

2.Movement of information.

It is not enough to move product and materials. We must know where they are. We must know
what inventories are where and if critical action is required. We must know what orders are
coming in and when they must be delivered. Information--timely and accurate-- is vital for sound
decision-making.The information must flow between the company and its suppliers, carriers,
forwarders, warehouses and customers. It must also move internally among purchasing, customer
service, logistics, manufacturing, sales, marketing and accounting. And doing this goes beyond
Email, faxes and phone calls.

3. Time/service.

The ability to respond to the dynamics of the global marketplace--changing forecasts, customer
requirements, new product introductions, new sourcing, and how to manage all these changes--
must be done quickly.

4. Cost:

Cost is the key measure by which logistics effectiveness is often measured. Freight, warehouse
labor, public warehouse charges and other items on the P&L. Or inventory, a balance sheet item.
Cost control, containment, and management is important for corporate profitability. Fiscal

26
stewardship is a duty of all managers. The highest price does not mean the best service, and it
may not be the service you need. Nor does the lowest price necessarily meet your needs.

6.3 RECOMMENDATION
 Organization can initiate Human Resource Department to further enhance employee
motivation. This will have favourable impact for the operational as well as total
strenghtening of organization.
 Organization can further strenghten the employee strength in the documentation
department. This can lead to further rapidity for operations.

 Better work environment like training, clarify doubts, air conditioner, recreation facility
etc. should be provided for every class of employees.
 In order to attract more customers’ new advertisement strategies should be implemented for
each brand.
 Extend the size of warehouse in order to keep more products.
 Decision making is quite effective and can be followed for future operations.

QUESTIONNAIRE

27
1 Gender

Male Fenale

2 Age

 18 – 25 years
 26 – 35 years
 36 – 45 years
 46 yrs and above

3 Marritial Status

Married Unmarried

4 Work Experience

 0 – 5 years
 6 – 10 years
 11 years and above

5 Which are the Various logistics services you offer.

a) Freight
b) Warehouse
c) Shipping
d) Network design
e) Other value additing services

6 Which is trhe area of activity you feel you are the best

a) Freight
b) Warehouse
c) Shipping
d) Network design
e) Other value additing services

7 Which devision of logistics activity earns the maximum rate of profit

a) Freight
b) Warehouse
c) Shipping
d) Network design

28
 e) Other value additing services

8 What are the locations to which your company caters to

a) Asia
b) Europe
c) USA
d) Australia
e) Africa
f) Russia

9 Please rate the services offered by your organsation

Excellent Good Fair Poor Very Poor

Ease of service
Client handling
Customer service

10 The brand which makes Skyways, more profitable.

S No Brands`
1 Early learning centre
2 Mikyajy
3 Ulle popken
4 Nayomi
5 The body shop
6 List
7 Babe

Sl. No. Countries Percentage

1. United States of America

11 Company receives the most number
2. United Kingdom
of shipments/consignments from
3. Russia different countries.

4. Germany

5. Italy

6. France

7. China

8. Philippines
29
9. Srilanka

10 All of these
12 The organizations follow up to retain the customers

Sl. No. Method Rating

1 Phone Call

2 New Service Intimation to Customers

3 Gifts

4 Email

5 Fax

6 Other methods if any ________________

BIBLIOGRAPHY

Books:

 Building competitive operations planning and logistics -by APICS ,Association of

Operations Management 2nd edition

30
  The geography of logistics, Logistics management distribution report- by Gooley T B 6 th
edition

 Logistics and supply chain management , cases and concepts-by G Raghuram, N Rang
raj 1st edition

 Logistics Management An Australian framework - by peter Gilmour 3edition

 Operations Management by Norman Gaither, and Greg Frazier 4th edition

 Strategic Management an integrated approach-by Charles w Hill and Gareth r Jones 2 nd

rdition

Research Paper

C. Thaller, N. Moraitakis , Analysis of the logistics Research in world, Dec 2019 , Vol 32 Issue

21 p29-30.

Kenneth W. Green , Routing of shipments , Jan 2011 , Vol 61 Issue 33 p16-16.

About Company:
www.skywaysgroup.in

www.skywaysgroup.in/our-services

31