SUMMER TRAINING REPORT On Role of Inland Container Depot in International Business Gateway Rail Distriparks Limited

Submitted in partial fulfilment of the requirements of Post Graduate Programme

By

Kunal Kothari PGP 2010-2012 PGP20102158

IILM Institute for Higher Education New Delhi

CERTIFICATE BY COMPANY

ACKNOWLEGDEMENT

No learning is possible without any proper guidance and no research endeavour is a solo exercise, some contribution is given by various individuals. I hereby acknowledge my profound gratitude to Mr. Rajguru S Behgal General Manager ICD, Gateway Rail Distriparks Ltd., Gurgaon for giving his valuable time and guideline regarding this project. I offer my great sense of gratitude and thanks to Mr. Prakash Veer Tyagi Senior Manager (Operations) ICD, Gateway Rail Distriparks Ltd., Gurgaon, who gave me a chance to work under him. I am obliged to him for encouraging me and for providing me valuable knowledge. I also owe enormous debt towards Mr. Rajesh Saini Warehouse Manager, ICD, Gateway Rail Distriparks Ltd., Gurgaon, for giving me a chance to visit their terminals and learn the overall operation. I would also like to thank all the customers and CHAs who filled my questionnaire patiently and gave their unbiased responses. Last but not the least, I feel indebted to all those people in the organization who have helped directly or indirectly in the successful completion of this project.

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TABLE OF CONTENTS
HEADING
Executive summary

PAGE NO. v vi vii x xv xxi xxiii xxv-xxx xxxiii xxxvi xxxvii l lvi lxii lxiv

Objective Company Profile Industry Overview Shipping container and types Background - GRL GRL Structure Export Import Operation Process Porters Five Model SWOT- GRL Customer Value Analysis Recommendations Questionnaire Limitations Declaration

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EXECUTIVE SUMMARY

Gateway Rail Distriparks Ltd. is a very uniform player in ICDs all over India. New private sector ICDs have entered the market to withstand the competition from public sector player like CONCOR. It has also come up with innovative products and superior services. This study attempts to assess the possibilities to promote different schemes & products to the existing customers in Gateway Rail Distriparks Ltd. It also helps to analyze the services provided by the Gateway Rail Distriparks Ltd, what are the important areas where they are lacking & the areas where they need to improve upon.

The purpose of the research was to study how to promote the products to the customers & how to convince the customers by telling them, benefits of the products according to their need. Also this study enables us to analyze the customers behaviour in the marketing of export and import.

This study has been done by the primary data collection through the questionnaires. To take the overall view of the Gateway Rail Distriparks Ltd, Garhi Hasuru I have taken the convenience sample. The population of interest was specially the existing customers and CHAs of Gateway Rail Distriparks Ltd. Also I have taken the views of the employees working inside the branch like operations department, transport department, export-import department etc.

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OBJECTIVE

Gateway Rail Distriparks Ltd. is a very consistent player in the new private player ICDs. The new private sector players have entered the field to withstand the competition from public players and have come up with innovative products and superior services. I have taken this research project to analyze the importance of existing customers & also to assess the possibilities to promote other products to them.

Research done keeping following objectives in mind:

1. To assess the possibilities of promoting various schemes offered by ICDs to its existing customers. 2. To focus on strengthening the business. 3. Realizing the customers need towards different facilities. 4. To assess the impact of demographics on customers behavior for taking a product.

Company Profile

Gateway Distriparks Ltd. is a well established Logistics Service Provider in the EXIM space. It was incorporated in 2005 and is based in New Delhi. Gateway Rail Freight Ltd. operates as a subsidiary of Gateway Distriparks Ltd. The company has created a niche for itself at Port cities with state of the art Container Freight Stations offering Logistics solutions to its customers that have today become the benchmark in the industry. It has facilities in Navi Mumbai, Chennai, Garhi Hasaru (Gurgaon) and Vishakhapatnam. Gateway Rail Freight Limited provides rail freight transportation services in India. The company transports goods such as steel, chemicals, paper, meat and grains through containers on railroad. It operates trains as well as offers logistics services through in-house fleet of trailers at Delhi/NCR and Mumbai terminals. The company also engages in the provisional of clearing, containers stuffing and de-stuffing, bonded and non-bonded warehousing and other terminal based services. Gateway Distriparks Limited (GDL) was incorporated in 1994 and is one of the leading private sector container, rail and cold chain logistics facilitator in the country. GDL operates in four business segments viz. Container Freight Stations (CFS), Rail Transportation, Road Transportation and other. Its subsidiaries include Gateway East India Private Limited, Gateway Distriparks (South) Private Limited, Gateway Rail Freight Limited (GRFL), Gateway Distriparks (Kerala) Limited and Snowmen Frozen Foods. GDL has diversified revenue stream of which CFS segment contributed 55%, rail transportation contributed 30%, Road Transportation contributed 10% and other segment contributed 3.8% to total revenues of the company. This diverse stream of revenue mitigates the risk of downturn in a particular revenue segment. The company has taken several initiatives for growth and expansion during FY10. It has taken over Punjab State Container and Warehousing Corporation Limiteds CFS at JNPT under an operations and management contract for a period of 15 years from Feb07. This CFS has now been revitalised and renovated. The company is in process of setting up a new CFS at Kochi port in a joint venture with Chakiat Agencies Private Limited. GDLs subsidiary Gateway Rail Freight Limited has expanded its business by putting in place a fleet of
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railways rakes/trailers and Inland Container Depot (ICD) to provide end-to-end solutions to customers. The company is also developing a terminal at Faridabad in Haryana. The company is also in a process of refurbishing its operations by setting up a new cold stores and increasing the existing capacity of the cold storage facilities.

GLOBALIZATION
Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology. This process has effects on the environment, on culture, on political systems, on economic development and prosperity, and on human physical wellbeing in societies around the world. Distinguishing this current wave of globalization from earlier ones, author Thomas Friedman has said that today globalization is farther, faster, cheaper, and deeper. This current wave of globalization has been driven by policies that have opened economies domestically and internationally. Taking advantage of new opportunities in foreign markets, corporations have built foreign factories and established production and marketing arrangements with foreign partners. A defining feature of globalization, therefore, is an international industrial and financial business structure. Technology has been the other principal driver of globalization. Advances in information technology, in particular, have dramatically transformed economic life. Information technologies have given all sorts of individual economic actorsconsumers, investors, businessesvaluable new tools for identifying and pursuing economic opportunities, including faster and more informed analyses of economic trends around the world, easy transfers of assets, and collaboration with far-flung partners. The globalization of business has had a tremendous impact on the way companies operate today. The scope of globalization runs the gamut from foreign purchasing of raw materials and supplies and selective sales in international markets with extensive use of intermediaries, to multi faceted international manufacturing and marketing strategies encompassing international production sites, multiple staging of inventory, and counter-trading product sales. The growing international dimension of both the inbound and outbound portions of
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supply chains has had, and will continue to have, a major impact upon the logistics system and transportation requirements of companies. In particular, transport demand requires efficient integrated moves, premium package services, and making the best use of available modal transport operations and international distribution centres. Thus, the role of international distribution centres as home bases for merchandise transportation and distribution has become increasingly important. A distribution centre has been defined as "a warehouse of finished goods; also applied to the facility from which wholesale and retail orders may be filled; a materials warehouse would also be a distribution centre for buyers of its stock". It provides a number of services attribute to shippers, such as storage, cargo tracking, inland transport service, customs clearance service, consolidation, packaging, labelling, assembly, and documentation services. Some of these attributes can be expected to be more important than others to customers, and not all customers will attach the same importance to any particular attribute. To develop a distribution centre service responsive to customer needs, it is necessary to determine the individual importance of service attributes.

Intermodal freight transport involves the transportation of freight in a Container or vehicle, using multiple modes of transportation (rail, ship, and truck), without any handling of the freight itself when changing modes. The method reduces cargo handling, and so improves security, may reduce damages and loss, and may allow freight to be transported faster. A reduced cost versus over road trucking is the key benefit for intra continental use.

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INDUSTRY OVERVIEW

The logistics industry in India is evolving rapidly and it is the interplay of infrastructure, technology and new types of service providers that will define whether the industry is able to help its customers reduce their logistics costs (which are also growing) and provide effective services. Changing government policies on taxation and regulation of service providers are going to play an important role in this process. At the firm level, the logistics focus is moving towards reducing cycle times in order to add value to the customers. The logistics industry is highly fragmented in terms of service offerings, with each company offering a specialized service. The larger conglomerates offer complete end to end solution, backed by joint ventures, subsidiaries or acquisitions. The primary growth drivers of this industry are as under:

Investments in the infrastructure sector: Increased efficiency and productivity of the transport system would result in lower transit times. Streamlining of the indirect tax structure: The introduction of Value Added Tax (VAT) and the proposed introduction of a singular Goods and Services Tax (GST) are expected to significantly reduce the number of warehouses which are required by manufacturers to maintain in different states, thereby resulting in the substantial increase in demand for integrated logistics solutions.

Robust trade growth: Strong economic growth and liberalization has lead to considerable increase in domestic and international trade volumes in the past five years. Consequently, the requirement for transportation, handling and warehousing is growing at a good pace and is driving the demand for integrated logistics solutions.

Globalization of manufacturing systems: Globalization of manufacturing systems coupled with advancements in technology are increasingly compelling companies across verticals to concentrate on their core competencies and avail the cost saving potential of outsourcing. This expected to contribute to an increase in the need for integrated logistics solution, which is the niche of every Third Party Logistics Service (3PL Services) providers.

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Components of Logistics Chain

The exporter selects the logistics provider based on the quality of service, efficiency and presence in that region Undertakes the shipment from the exporter and liases with various intermediaries in the supply chain to deliver the goods to the importer The stuffed container is sent to the CFSs/ICDs where custom clearance takes place. these companies charge a fee for the services provided. These agents complete the custom clearance procedures and are in charge of forwarding the containers to the shipping lines. Since manufactured products are typically shipped in containers, these companies consolidate cargo from different logistics players in to a single container load. These companies own ships and transport the containers to the destination country . They run on a fixed schedule between ports and charge rates per container. Shipping lines deliver the containers to CFSs/ICDs at the destination country to complete custom formalities. the latter charges a ground rent apart from the other services provided. They work in conjunction with the ICDs to customs formalities in the destination country. These companies split a container load in to different components based on the importer and final destination. The logistics provider hired by the export uses its international network to transport the goods to the importers. These are the end customers of the supply chain, and depending upon the agreement with the exporter, these companies sometimes bear the cost of the supply chain.
Figure: Components of a logistic chain

Exporter Logistics Provider CFS/ICD Freight Forwarders/CHAs LCL Consolidators Shipping Lines CFS/ICD Freight Forwarders/CHAs LCL Consolidators Logistics Provider Importers

The annual logistics costs in India is estimated to be 14% of the GDP, which translates in to USD 140 billion assuming the GDP of India to be slightly over USD 1 trillion. Out of this USD 140 billion, almost 99% is accounted for by the unorganized sector and slightly over 1% is contributed by the organized sector. So, one can see that logistics industry in India is in a nascent stage. However, the industry is growing at a fast pace and if India can bring down its logistic costs from 14% to 9% of the GDP (level in the US), savings to the tune of USD 50 billion will be realized at the current GDP level, making Indian goods more competitive in the global market. Moreover, growth in the logistic sector would imply improved service delivery and customer satisfaction leading to growth of export of Indian goods and potential for creation of job opportunities.

Rail Logistics
Rail haulage is one of the least expensive forms of transportation, and railways have a 33% share in the container haulage. Railways are used extensively for EXIM traffic since custom clearance is possible at the ICDs and exporters are not required to go to the ports to complete these formalities. Since Railway haulage is cheaper and faster than transportation by roadways, exporters are enticed to send their shipments via rail. However, on the domestic container traffic, manufacturers prefer road transportation despite being more expensive since railway terminals are not located close to every industrial zone. In order to overcome this challenge, rail haulage companies are now providing door to door services through tie-ups with trucking companies. The cost advantage of rail haulage is significantly higher than that of road haulage. The Indian container traffic is expected to grow at a faster pace driven by rising participation with global trade, faster port development and increasing investment in road and rail sector. Globally, the world containerization level has doubled to 70% of total global cargo movement in last decade. However, in India it is rising at less than 50%. Strong upside is seen in the Indian containerization level. International container is expected to grow at 8% p.a. for the next five years whereas Indian container traffic is expected to grow at 15% p.a.

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Break-up of EXIM cargo handled in India in 2010

Figure: EXIM Cargo Handled in India in 2008

Private Participation in Container rail Haulage The government has permitted private participation in container rail haulage for a license fee of Rs. 500mn to operate on all tracks and Rs. 100mn for point to point operation. There has been significant interest to receive railway licenses and 15 companies have received approval till date. The economics of rail haulage is highly attractive. The main entry barrier is the lack of terminal network, and all the new entrants have to construct terminals and ICDs across the country to provide rail haulage services effectively.

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List of Players in ICD

Adani Logistics Arshiya International Boxtrans Logistics India

Gateway Rail Freight Hind Terminals India Infrastructure and Leasing

Central Warehousing Corporation

Innovative B2B logistic solutions

CONCOR

Pipavav Railway Corporation

Container Rail Road Services

Reliance Infrastructure Engineering

Delhi Assam Roadways Emirates Trading Agency

Sical Logistics Kribhco

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SHIPPING CONTAINERS AND TYPES

A shipping container is a container with strength suitable to withstand shipment, storage, and handling. Shipping containers range from large reusable steel boxes used for intermodal shipments to the ubiquitous corrugated boxes.

Standard Container: Standard containers are also known as general purpose containers. They are closed containers, i.e. they are closed on all sides. Standard containers are mainly used as 20' and 40' containers. Containers with smaller dimensions are very seldom used. Indeed, the trend is towards even longer dimensions, e.g. 45'. This type of container is suitable for any general cargo.

High Cube Containers - High-cube containers are similar in structure to standard containers, but taller. In contrast to standard containers, which have a maximum height of 2591 mm (8'6"), high-cube containers are 2896 mm, or 9'6", tall. High-cube containers are for the most part 40' long, but are sometimes made as 45' and 20' containers. Many 40' containers have a recess in the floor at the front end which serves to centre the containers on so-called gooseneck chassis. These recesses allow the containers to lie lower and therefore to be of taller construction.

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Open-Top Container: The walls of open-top containers are generally made of corrugated steel. The floor is made of wood. The roof consists of removable bows and a removable tarpaulin. The door header may be swivelled out. These two structural features greatly simplify the process of packing and unpacking the container. In particular, it is very easy to pack and unpack the container from above or through the doors by crane when the roof is open and the door header is swivelled out. Usual open-top container dimensions are 20' and 40'.

Flat Rack: Flat racks consist of a floor structure with a high loading capacity composed of a steel frame and a softwood floor and two end walls, which may either be fixed or collapsible. The end walls are stable enough to allow cargo securing means to be attached and several flat racks to be stacked on top of one another. Flat racks are available in 20' and 40' sizes.

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Platform: Platforms consist solely of a floor structure with extremely high loading capacity; they have no side or end walls. This high loading capacity makes it possible to concentrate heavy weights on small areas. A platform consists of a steel frame and a wooden floor structure.

Platforms are available in 20' and 40' sizes. 40' platforms have a gooseneck tunnel at each end.

Hardtop Container: The walls of hard-top containers are generally made of corrugated steel. The floor is made of wood.

It has two typical distinguishing structural features. On the one hand, it is equipped with a removable steel roof and on the other hand the door header can be swivelled out. Usual hard-top container dimensions are 20' and 40'.

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Ventilated Container: Ventilated containers are also known as passive (naturally) ventilated or coffee containers. Ventilation is provided by ventilation openings in the top and bottom side rails. The openings do not let in spray, to prevent depreciation of the cargo by rain or spray, for example.

If actively ventilated containers are required, i.e. containers with adjustable ventilation, "porthole" containers may be used, which simultaneously act as insulated or refrigerated containers.

Refrigerated: Refrigerated container or Reefer is an intermodal container (shipping container) used in intermodal freight transport that is refrigerated for the transportation of temperature sensitive cargo. While a reefer will have an integral refrigeration unit, they rely on external power, from electrical power points at a land based site, a container ship. When being transported over the road on a trailer they can be powered from diesel powered generators ("gen sets") which attach to the container whilst on road journeys. Some reefers are equipped with a water cooling system, which can be used if the reefer is stored below deck on a vessel without adequate ventilation to remove the heat generated.

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Insulated Container: These are a type of packaging used to ship temperature sensitive products such as foods, pharmaceuticals, and chemicals. They are used as part of a cold chain to help maintain product freshness and efficacy. The term can also refer to insulated intermodal containers or insulated swap bodies.

Tank Container: Tank containers must be at least 80% full, to prevent dangerous surging of the liquids in transit. On the other hand, they must not as a rule be over 95% full, or there will not be sufficient space for thermal expansion. Tank containers intended for transporting foodstuffs must be labelled "Potable Liquids only". Some hazardous materials must be transported in tank containers with no in- or outlet openings below the surface of the liquid For the transport of liquid food, Alcohols, Fruit juices, Edible oils, Food additives.

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SWOT ANALYSIS OF ICD

STRENGTH
Multiple mode of transport Less time consuming and faster processing Away from congested port Better customer service

WEAKNESS
Capital Intensive highly dependent on external agencies such as Indian Railways, port terminal operators and shipping lines. Long gestation period(around 10 years) Unskilled workforce High cost of rolling stock

OPPURTUNITY
Increasing trade because of Globalization Rise in EXIM Double stacked trains Better utilization of rolling stock and track capacity. Huge scope in untapped virgin market

THREATS
Lack of proper infrastructure Competitors Unfavorable trade policies in future Increasing fuel costs Increasing container traffic may lead to congestion at ports Unstability of rakes

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BACKGROUND: GATEWAY RAIL DISTRIPARKS LTD.

Incorporated in 1994, GDL is today one of the leading private sector logistics facilitator .The company was initially set up as a joint venture by Newsprint Trading and Sales Corporation (NTSC),Parmeshwara holdings Ltd, Windmill International Private Limited & Thakral Corporation Limited. The company has the distinction of being the first private- sector company to operate container trains. The company enjoys a pan-India presence .GDL has four business segments viz. Container Freight Station, Rail Transportation, Road Transportation and other segment. GDLs subsidiaries include Gateway East India Private Limited, Gateway Distriparks (South) Private limited, GRFL, Gateway distriparks (Kerala) Limited and Snowmen Frozen Foods. The company operates CFSs at Navi Mumbai, Chennai, Vishakapatnam & Inland Container Depot at Garhi Harsaru. GRFL operates container trains & rail linked ICDs in northern India and also provides rail & transport services from Navi Mumbai. The companys rail linked terminals are at Gurgaon& Ludhiana. GRFL owns & operates 18 container trains and 235 road trailers. The other segment of company comprises Cold Chain Logistics business which provides services to large FMCG companies & organized retail chains.

The company is the second largest container operator in India. It has the highest market share of 22% at JNPT, Indias largest container port. The company is expanding its container freight station capacities and setting up new ICDs at key locations to benefit from the high growth in the container traffic in India. It has also forayed into the lucrative rail container business.

In the domestic sector, the company offers tailor made solution for the clients and takes the responsibility of the entire range of activities starting from picking up the cargo from the point of production to delivering it to the point of consumption. All this while giving the customer complete visibility of the movement of cargo.

The company has developed special expertise in handling refrigerated cargo in containers and are offering unique one stop propositions to the customers in this complex stream of movement.

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BOARD OF DIRECTORS
DIRECTOR NAME Mr. Gopinath Pillai Mr. Prem Kishan Gupta DESIGNATION Non-Executive Chairman, Promoter-Director Managing Director, Promoter-Director

Mr. Arun Agarwal

Promoter-Director

Mr. Saroosh Cowasjee Dinshaw

Non-Executive Director

Mr. Shabbir Hakimuddin Hassanbhai

Non-Executive Director

Mr. Sat Pal Ishar Das Khattar

Promoter-Director

Mr. Michael Philip Pinto Non-Executive Director

Mr. Karangalpadi Jathindra Shetty

Non-Executive Director

Mr. Kirpa Ram Vij

Non-Executive Director

Share holding pattern

Share holder Promoters Institutional investors Other investors General public

% holding 39.62 39.79 9.36 11.23

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BUSINESS MODEL OF GATEWAY RAIL

Fig: BUSINESS MODEL OF GATEWAY RAIL

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GDL Three ICDs and Four CFS facilities operational across India

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EXPORT PROCEDURE OF ICD

First level

CHA files Checklist at EDI Custom Consignor gives Invoice to CHA Book container from Shipping Line whogives all the details. Stuffing of goods is done in container at factory or ICD Submit Checklist copy at EDI and shipping bill number at gate Gate In

Factory give ARE-2,gatepass,self seal report to CHA CHA files all documents at custom for goods arrival Examination of goods is done by the custom examination officer Custom examination officer gives the report to supretendent Supretendent gives LET OUT ORDER and Seal

Second level

Final level

CHA gives container number, seal number at computer Final Shipping Bill comes out CHA has to get the final shipping bill signed by custom The xerox of shipping bill has to be submitted to surveyor who gives Forwaring Note to CHA CHA gives to forwarding note to GDL EXIM Cell Container is ready o be loaded on Rail

Process chart showing export procedure

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IMPORT PROCEDURE OF ICD

First level

Importer gives Bill of Lading,Invoice,packing list,cerificate of origin,analysis report to CHA Shipping line gives Import General Menifest to CHA CHA files all these papers at customs after which checklist comes out

Second level

CHA submits checklist after which Bill Of Entry comes out CHA gives Bill of Lading to Shipping Line and clears all the due after which Shipping Line gives Delivery Order CHA gives Delivery Order and Bill of Entry at Operations GDL who issues Seal Cutting Order

Final level

After the seal is cut, examination of the goods is done by the examination officer Examination officer writes report to supretendent who verifies it Out of charge is given by supretendent and the document is submitted to Operations After all the dues of GDL is cleared, an out of charge is issued after which the goods can be moved out

Process chart showing export procedure

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PRECEDURE OF TRANSHIPMENT GOODS (PORT TO ICD)

All the goods must be mentioned in Import general menifest submitted by CHA Goods can be transhipped without payment of duty if custom officer is satisfied IGM and Bill of transhipment has to be submitted to custom officer

The goods should be sealed by the custom officer A transit bond is exeuted for the process After execution of bond, a certificate from custom officerhas to be submitted within one month that goods have been properly transferred

Outward Memo is issued by the port authority GDL issues forwarding note to Railway which issues Inland Way Bill The Inland Way Bill has to be given to goods supervisor at the nearest railway station

Process chart showing transshipment procedure

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GATE OPERATIONS AT ICD

EXPORT

CHA gives checklist/shipping bill to gate Documens like Invoice, Packing List, Form D3 are required at gate Match shipping bill with Invoice Gate In

IMPORT

Custom gives gate pass Out of charge order given by GDL EXIM Cell Gate out

Empty IN/OUT

Empty OUT letter is issued from line surveyor Permission is taken from GDL EXIM department One copy of letter is given at gate On behalf of shipping line empty tralior comes in Container is loaded and details is matched with the letter Gate OUT

EMPTY IN
Letter is taken from line surveyor who gives containor details The driver has GR/Builty which is matched with letter after survey Gate In

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WAREHOUSE OPERATIONS (IMPORT)

Bonding

Seal cutting permission slip and bill of entry is given by CHA to Warehouse in charge Seal cutting takes place Custom examins the cargo Cargo is put in warehouse and warehouse in charge makes entry in stack card

DeBonding

CHA files green bill of entry CHA deposites the necessary duties Custom gatepass and bill of entry is given to warehouse in charge Warehouse in charge checks the cargo in warehouse and loads the cargo in container Warehouse in charge make necessary entry in stack card

WAREHOUSE OPERATIONS (EXPORT FACTORY STUFFING)

- Shipping bill is filed by CHA - Export conatiner Gate In on behalf of shipping bill - ICD custodian receives goods

- Custom examines all goods - After that custom seal no. is issued

- Hand over the container to the ICD custodian - ICD sutodian releases the conatiner on behalf of forwarding note

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WAREHOUSE OPERATIONS (EXPORT ICD STUFFING)

- Shipping Bill is filed

- Loose cargo Gate In on the belf of shipping bill and invoice - ICD custodian receives goods and warehouse incharge pus the cargo in export warehouse

- Warehouse incharge makes entry of receiving goods, date, party name, container no. - Empty conatiner is allocated - Custom exams the cargo - Custom seal and line seal is issued and cargo is stuffed in container

- Container is sealed before custom inspector and company supervisor - Container is handed over to comaony supervisor - ICD custodian releases the conatiner on behalf of forwarding note

Warehouse space occupation commodity wise

Others Polyol Frame Comp Cooker Hoods Steering Parts Fork Tubes Steel Coil Free Space Abs Resin

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Distinction between an ICD and a CFS Functionally, there is no distinction between an ICD/CFS as both are transit facilities which offer services for containerization of break bulk cargo and vice versa. These could be served by rail and/or road transport. An ICD is generally located in the interiors of the country away from the servicing ports. CFS, on the other hand is an off hook dock facility located near the servicing ports which helps in decongesting the port by shifting cargo and customs related activities outside the port area. CFSs are largely expected to deal with break bulk cargo originating/terminating in the immediate hinterland of a port and may also deal with rail borne traffic to and from inland locations.

Functions of ICDs/CFSs
Receipt and dispatch/delivery of cargo Stuffing and stripping of containers Transit operations by rail/road to and from servicing ports Custom clearance Consolidation and desegregation of LCL cargo Temporary storage of cargo and containers Reworking of containers Maintenance and repair of container units

The operations of ICDs/CFSs revolve around the following centers of activity

1. Rail Siding The place where container trains are received dispatched and handled in a terminal. Similarly the containers are loaded to and unloaded from rail wagons at the siding through overhead cranes and other lifting equipments.

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2. Container Yard Container yard occupies the largest area in the ICD. It is a stacking area where the export containers are stored till custom clearance and where emphasis awaits onward movement. Likewise, some stacking areas are earmarked for keeping special containers such as refrigerated, hazardous, overweight/over length etc.

3. Warehouse A covered space/shed where export cargo is received and import cargo is stored; containers are stuffed or reworked. LCL exports are consolidated and LCL imports are unpacked, and cargo is physically examined by customs. Export and Import consignments are generally handled either at separate areas in a warehouse or in different nominated warehouse/sheds. 4. Gate Complexes The gate complex regulates the entry and exits of road vehicles carrying cargo and containers through the terminal. It is a place where documentation, security and container inspection procedures are undertaken.

Benefits of ICDs/CFSs The benefits as envisaged from an ICD/CFS are as follows: Concentration points for long distance cargos and its utilization. Service as a transit facility Custom clearance facility available near the centers of production and consumption Reduced level of demurrage and pilferage No customs required at the gateway ports Issuance of Bill of Lading by shipping lines, hereby resuming full liability of shipments Reduced overall level of empty container movement Competitive transport cost Increased trade flows

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Porters Five Force Model

Potential Entrants

Supplier Power

Industry Competitors

Buyer Power

Substitutes

Fig: Five Force Model

Suppliers Power (Railways) Gateway Rail benefits from the close relationship with the Indian Railways. Several of its terminals are situated on leased Railway land. Many of its key operating personnel are on secondment from Indian Railways or have previously been employed by the Indian Railways. Wagons and operational support from Railways have always been there for the company.

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Buyer power Earlier CONCOR was the only company which provided the logistics solutions. But at present some of the private players have also taken the license. This has motivated the customers to switch comfortably when they dont get the desired service at the desired price. Hence the buyer has become smarter in choosing and evaluating the options he has. This has forced the companies to formulate aggressive strategies to attract and retain the customers. Threats from New Entrants New entrants have entered the industry and a lot more will enter keeping in mind the effect of globalization on international trade. In this industry the entry barriers are low and the exit barriers are high. Already around 15 players have entered the field. The industry will soon turn in to a customer oriented industry with lots of customization and attractive schemes for the customers. The facilities like door to door service; single window facility; online tracking and tracing facility are the result of the entry of new entrants. More of such facilities will come as the entrants will keep on entering the logistic industry. In this situation there will be a need for Gateway Rail to be agile and adopt different strategies for growth in this industry. More emphasis will be required in providing the complete logistics and transport solutions to its customers. Threat from Competitors Private players have brought CONCORs monopoly to an end and the profits are really dependent on the GDP and EXIM trade which will benefit all the players. The competitors are private institutions due to which their strategies are a lot more aggressive and flexible. The competitors are willing to provide: 1. Low freight fare 2. Low plugging charges 3. Door to door delivery 4. Single cost for multi modal logistic 5. A better experience

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Threats from Substitutes

Private road transporters are the main substitutes that the exporters look in to while sending the goods to the ports. For short distances, road transport is cheaper than the rail transport. The road transporters provide the following facilities:

1. Door to Door service faster than rail for short haulage. 2. Flexibility of routes and size of transport 3. Customized services 4. Greater reach 5. Transportation of over dimension and overweight cargo possible

Competitive Strategies Adopted By GATEWAY RAIL

Flank Attack

The strategies being adopted by GATEWAY RAIL is that of a Flank Attack. We are targeting CONCORs weak points. The weaknesses of CONCOR are that they dont provide any discounts, they dont give credit facilities and they dont customize their services. We have targeted these points and have formulated strategies to give customers all these facilities and are quite successful in implementing these strategies. Due to this many customers have stopped dealing with CONCOR. Many of them demanded the same services as provided by us. This indicates the shift of attitude in the customer with the implementation of these strategies.

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SWOT ANALYSIS OF GATEWAY RAIL

STRENGTH
Multiple mode of transport i.e. Rail and Road Less time consuming and faster processing Away from congested port Better customer service Renowned Trained human recourse Strong infrastructure Abundant advertising budget GDL owned racks

WEAKNESS
Capital Intensive highly dependent on external agencies such as Indian Railways, port terminal operators and shipping lines. Long gestation period(around 10 years) Lack of educated manpower High cost of rolling stock

OPPURTUNITY
Increasing trade because of Globalization Rise in EXIM Double stacked trains Better utilization of rolling stock and track capacity. Huge scope in untapped virgin market Attract customers because of Goodwill Increase Racks in future

THREATS
Lack of proper infrastructure Competitors like CONCOR Unfavorable trade policies in future Increasing fuel costs Increasing container traffic may lead to congestion at ports Unstability of rakes Dependence on Indian Railway for Rail Engines

The above 4 x 4 matrix shows the SWOT of Gateway Rail Distriparks Ltd.

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Customer Value Analysis

1. Since how long have you been associated with Gateway Rail Distriparks Ltd?

YEARS OF ASSOCIATION
0% 15% 20% 65% Less than 2 years Between 2 and 5 years Between 5 and 8 years Greater than 8 years

Years of Association

The pie chart above shows that 65% customers are associated with Gateway Rail for less than 2 years. Out of these there were some customers who are doing business with CONCOR since 25 years. One interesting thing to note is that there are many customers with less than 2 years of association. This shows that the company has put much effort to bring in new customers in recent years.

2. Do you use only Gateway Rail for the transshipment of goods?

.
30% 70% YES NO

Figure: Loyal Customers

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The pie chart shows that only 30% of the respondents use only CONCOR for the transhipment of goods. The rest 70% used the services of other private players along with that of CONCOR. This shows the level of competition due to the entry of private players. It also shows that most of the customers are switch users, which means they are not loyal to any one service and they switch as and when they get a better deal.

3. Rank the following in order of the importance you give while choosing the service.
Tariffs Security and safety of goods Availability of trains, containers and equipment Reliability of service Value added features

Median of Ranks
Value added features 4

Reliability Availability of trains, containers and equipments Security and Safety of goods 1

Median of Ranks

Tariffs 0 1 2 3

3 4 5

Figure1: Median of Ranks

This Bar graph shows that most of the customers feel that security of their goods is the most important factor and value added features is the least important factor that they look in to while choosing a service. Let us analyze each of these factors in order of their importance.

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3.1 Security and Safety of goods According to the respondents, security and safety of goods is the most important feature that they look in to while choosing a service. 60% respondents have ranked it No. 1. Let us see the level of satisfaction of the respondents with Gateway Rail when it comes to security and safety of goods.

Percentage
50 40 30 20 10 0 39.13 13.04 4.35 Dissatisfied NDNS Satisfied Highly Satisfied 34.78

8.7 Highly Dissatisfied

Percentage

Figure: Level of Satisfaction with the security and safety of goods

This chart shows that around 39% respondents are satisfied and around 35% respondents are highly satisfied. This means that around 74% respondents are happy with the security and safety of goods provided at Gateway Rail. Around 22% respondents were not really happy with the security and safety at Gateway Rail due to the recent mishappening that took place at Garhi Hasuru terminal.

3.2 Reliability This is the second most important feature that the customers look in to while choosing a service. Under reliability the most important thing that they look in to is the timely delivery of goods.

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3.2.1

Delivery on scheduled time

Percentage
80 60 40 20 0 Highly Dissatisfied Dissatisfied NDNS Satisfied Highly Satisfied 0 6.25 0 25 Percentage 68.75

Figure: Level of satisfaction with the on time delivery

The chart above shows that the customers are really satisfied with the time taken to deliver the goods. In fact 25% respondents said that they are extremely happy with the on time delivery of goods at Gateway Rail. Around 70% respondents said that they are satisfied with the on time delivery of goods at Gateway Rail. Among these there were some who said that they have no idea of how much time Gateway Rail takes to transship their goods because they hand it over to their CHAs but they said that they are satisfied as they have never faced any problems because of the delay in the transshipment of goods.

When compared with other competitors, following result was obtained:

4 3 3 2 1 0 GDL CONCOR Adani hind 3.09 3 2.25 Series1

Figure: Comparison with the competitors for the on time delivery

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The chart above shows that along with Gateway Rail, CONCOR and Adani also deliver goods on time and the customers are equally satisfied with all of them. This indicates that when it comes to reliability the customers are indifferent in choosing the service providers (CONCOR, GDL, Adani).

3.3Tariffs
Tariffs also play a very important role when the customers choose a service provider. 20% of the respondents said that they choose the service provider who gives them the best tariff.

3.3.1

Rail Tariffs

Percentage
50 40 30 20 10 0 44.44 22.22 0 Highly Dissatisfied Dissatisfied NDNS Satisfied 27.78 5.56 Highly Satisfied Percentage

Figure: Level of satisfaction with the rail tariffs

The chart above shows that around 50% of the respondents are happy with the tariffs offered by Gateway Rail. Around 28% respondents were neither satisfied nor dissatisfied with the tariffs. They said that for a customer, tariffs are always high. He always feels that there are some chances of reduction in prices. Around 22% felt that the tariffs offered are too high, this response was due to the recent rise in slabs. Many customers said that the recent rise in slab is unnecessary and this has reduced their profits.

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When compared with other competitors, following results were obtained:

3.5 3 2.5 2 1.5 1 0.5 0 GDL CONCOR Adani hind Series1 2.6 2.75 2.8 3.2

Figure: Comparison with the Competitors on Rail Tariffs

The chart above shows that Hind provides the best tariffs. In fact it was found that Hind has adopted a very aggressive strategy to attract the customers from CONCOR in Ludhiana by giving them the best prices possible. Except Hind, GDL and Adani follow CONCOR when it comes to rail tariffs. The customers rated the tariffs provided by GDL, CONCOR, and Adani as NOT SO GOOD, NOT SO BAD.

3.3.2

Discounts and Schemes offered

Percentage
100 80 60 40 20 0 Highly Dissatisfied Dissatisfied NDNS Satisfied Highly Satisfied 33.33 20 26.67 20 0 Percentage

Figure: Level of Satisfaction with the Discounts Offered

The graph above suggests that 80% respondents were not happy with the discounts and schemes offered by Gateway Rail. Around 20% respondents said that Gateway Rail has never offered them any discounts and that they are really disappointed by this. When compared with other players, following results were obtained:
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4 3 3 2.25 2 2 2.75 Series1

1 GDL CONCOR Adani Hind

Figure: Comparison with the Competitors on Discounts Offered

The graph shows that the respondents are getting huge discounts from Adani and Hind. As mentioned earlier Hind offer their customers the best price possible. Adani is also giving discounts and is offering schemes to their customers. Gateway Rail is offering volume discounts to some of their customers but is far too low than the other players. The respondents were really disappointed with Gateway Rail and hence it has scored the second lowest points.

3.4

Availability of trains, containers and equipments

In this multimodal logistics industry the players need to have a lot of operating capital to run their business properly. They need wagons, equipments such as Reach Stackers, Gantries etc and they have to maintain sufficient inventory of containers. Hence availability of all these becomes an important factor for making profits. Let us take a look at each of these:

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3.4.1

Availability of trains

Percentage
60 50 40 30 20 10 0 55 35 Percentage 0 Dissatisfied NDNS Satisfied Highly Satisfied

10 0 Highly Dissatisfied

Figure: Level of Satisfaction with the Availability of Trains

The graph above shows that around 90% respondents are happy with the availability of trains. 35% of the respondents were highly satisfied with the availability of trains. Some of them even claimed that no other service provider can ever compete with Gateway Rail when it comes to availability of trains. 10% of the respondents were not happy with the availability of trains. These were the CHAs at the ICD. They said that Gateway Rail needs more trains because the traffic is too high. Most of respondents thought that Gateway Rail uses the wagons owned by Indian Railways. I assured them that CONCOR has over 18 wagons of its own and it uses its own wagons for the transshipment.

Availability of Containers

Percentage
100 80 60 40 20 0 35.29 11.76 Dissatisfied NDNS Satisfied

29.41 0 Highly Dissatisfied

23.53

Percentage

Highly Satisfied

Figure: Level of Satisfaction with the Availability of Containers

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The graph above shows that around 60% of the respondents were happy with the availability of containers at Gateway Rail. Around 30% of the respondents were not happy with the availability of containers. Out of this 30% there were some who said that they are equally dissatisfied with all the players in terms of availability of containers. Some of the CHAs said that availability of containers is good at all the other terminals of Gateway Rail but at Garhi it is not good because of the heavy traffic. They said they have to wait for days to get the containers. When compared with other players, following results were obtained:
3 2.9 2.8 2.7 2.6 2.5 2.4 GDL CONCOR Adani Hind 2.6 Series1 2.83 2.92 2.8

Figure: Comparison with Competitors on Availability of Containers

As it can be seen CONCOR scores the highest point among all the other players. As already mentioned there were some respondents who were equally dissatisfied with all players in terms of availability of containers but there were many who didnt even take a second to answer that Gateway Rail is excellent in terms of availability of containers. But it should be noted that CONCOR and Hind are also doing quite well in terms of availability of containers. 3.4.2 Availability of Equipments

Percentage
25 20 15 10 5 0 Highly Dissatisfied Dissatisfied NDNS Satisfied Highly Satisfied 14.29 Percentage 21.43 21.43 21.43 21.43

Figure: Level of Satisfaction with the Availability of Equipments

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The chart above indicates that the respondents have mixed responses when it comes to availability of equipments. Around 42% of the respondents were happy with the availability of equipments. They said they never had a problem due to the nonavailability of equipments. Over 35% of the respondents were disappointed with the availability of equipments. None of the CHAs were happy with the availability of equipments. They claimed that the equipments are few in number. The CHAs said that the company is using the same cranes from and many times it does not work specially during summer. The number of reach stackers at the Garhi terminal is also limited keeping in mind the heavy traffic there.

3.5

Value added services

When the respondents were asked the level of importance they give to the value added services provided by the service providers, most of them said that they really dont look in to the value added services while choosing the service provider. But while filling up their questionnaires, it was quite visible that at many occasions they have chosen some other players just because of some extra facilities provided by them. So, one cannot just rule out the importance of Value Added Services. Let us see the level of satisfaction of the respondents with CONCOR which we will take as a base to compare it with GDL.

3.5.1

Payment options

Percentage
100 80 60 40 20 0 50 28.57 7.14 Highly Dissatisfied Dissatisfied 0 NDNS Satisfied 14.29 Highly Satisfied Percentage

Figure: Level of Satisfaction with the Payment Options Available

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The chart above shows that over 57% of the respondents were not happy with the payment options available. Some of them said that other operators like GDL give them credit but CONCOR always takes payment in advance. Some of them even said that extra amount in their accounts is never returned back to them. Around 43% of the respondents were happy and said that they never asked for the credit and they are quite comfortable with the advance payments. It was quite surprising to see that many of the respondents did not know about the online payment options available. When compared with other players, following results were obtained:
4 3 2 1 0 GDL CONCOR Adani Hind 2.8 2.1 Series1 2.8 2.67

Figure: Comparison with the Competitors on Payment Options Available

As it can be seen from the graph above, Gateway Rail scores the highest among all other players. The reason for this dissatisfaction is the non availability of credit payments and the delay in settlement of extra amount deposited. The other private players provide this facility and many of the customers prefer them due to this.

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3.5.2

Behavior of Staff

When compared with other players, following results were obtained:

3.5 3 2.5 2 1.5 1 0.5 0

3.25

3.25

3.33

2 Series1

GDL

CONCOR

Adani

hind

Figure: Comparison with the Competitors on Behavior of Staff

It can be seen that Gateway Rail scores very high among all in terms of behavior of staff. Respondents were very happy with the kind of experience they have when they deal with other players like GDL. But with CONCOR, they said that they get the feeling that they are dealing with a government organization.

As it can be seen from the graph, the respondents were happy with the behavior of staff. Around 85% of the respondents were satisfied and said that they consider CONCOR as any other government organization where the employees are so ignorant that they just dont listen to the clients.

3.5.3

Web services

Percentage
60 40 20 0 0 Highly Dissatisfied Dissatisfied NDNS Satisfied Highly Satisfied 9.09 18.18 18.18 Percentage 54.55

Figure: Level of Satisfaction with the Web Services Offered

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Gateway Rail provides web facilities like online tracking and tracing of containers. Those who know were satisfied with it and said that it is a good initiative by the company. Many players like Hind e-mail them the information daily about the location of the container.

3.6 Time taken for stuffing and shifting

Percentage
60 50 40 30 20 10 0 53.33

20

13.33

13.33 0

Percentage

Highly Dissatisfied

Dissatisfied

NDNS

Satisfied

Highly Satisfied

Figure: Level of Satisfaction with the Time Taken in Stuffing and shifting of Containers

It can be seen from the graph that over 53% of the respondents are happy with the time taken in stuffing and shifting of containers but on the other side almost one-third of the respondents were disappointed with the time taken. The CHAs at Garhi said that it almost takes a day or two in shifting and stuffing the container. Many a times the exact location of the shifted container is not given to them and this creates a lot of chaos.

3.7 Other Findings

Some of the respondents said that no priority is given to them at Gateway Rail even in the case of an emergency. Some of the respondents wanted the information regarding the tracking and tracing of containers through e-mail on a daily basis. They said that they dont have time to visit the web sites and currently Hind sends them the information on a daily basis.

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Some of the respondents said that they want their containers to be railed out from Gateway Rail but their CHAs insist that they use Hind. This shows that Hind has developed strong relations with the CHAs there due to which they dont want to deal with Gateway Rail.

RECOMMENDATIONS
1. Identify the Valuable Customers: The company should first identify their valuable customers and depending upon the value the customer holds, the company should formulate schemes. The management can divide the entire customer base in to four parts and then formulate strategies for each type of customers separately.

Valuable Vulnerable

Valuable Non vulnerable

Non valuable - Vulnerable

Non valuable Non vulnerable

Figure: Identifying the Type of Customer

a. Valuable Vulnerable: These are those customers that are profitable to the company but are not completely happy with the company. For these customers the company should address their issues and convince them for better services next time.

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b. Valuable Non vulnerable: These customers are those who are loyal and profitable to the company. The company should not take them for granted but should also maintain margins and reap the benefits of their satisfaction.

c. Non Valuable Vulnerable: These customers will only waste the time and energy of the company. I recommend that such customers should not be paid much attention. d. Non valuable Non vulnerable: These unprofitable customers are happy with the current service. Try to make them valuable or vulnerable. Either ways are good for the company.

2. Privilege Customers: Company should give added advantages to the customers who transship high volumes of commodities through Gateway Rail. These customers will be called Privilege Customer. For example a customer who transships around 1000 containers per year can be a Privilege Customer. Privilege Customers will enjoy the following benefits:

a. Privilege customers will get special discounts based on volumes. b. Privilege customers may get a credit facility of several days. c. Special window at the counters for the Privilege Customers will be there. This will save a lot of time and energy. d. Privilege Customers will enjoy the facility of getting the first priority at the time of Rail Out e. Free door pick up and free repositioning of containers for Privilege Customers. This will attract the customers who are not able to use Gateway Rail because of its unavailability or because of competitors availability in their region. f. The issues of Privilege Customers will be resolved quickly. They will get first priority in settlement of claims. The points given above will attract the customers to use Gateway Rail. They may then try to transship as much containers as possible to be the Privilege Customer and enjoy the benefits.
l

This will also make the valuable customers of Gateway Rail happy. They will be happy with the service and there will not be any issues. This will also change the reputation of the company which is known to be Unfriendly to Customers at present. This will make them customer centric.

3. Better services Through the customer value analysis it was found that customer doesnt mind paying money if he gets good service in return. The company should aim at providing services as per the Customer Perceived Value. For this the company should do the following:

a. There should be a proper Time Table of train movement which should be given to customers so that they can plan their transshipment in a better way.

b. The company should aim at providing one stop logistic solution and single window clearance. This will add a value to the service provided by Gateway Rail which in turn will attract the customers.

c. Installation of Toll Free Numbers will be very beneficial for the customers. They would feel that the company is always available to solve their issues. This will make Gateway Rail more reliable and responsible service provider.

d. Always be in contact with the customers through e-mails. Send them monthly statements of their accounts and also send them the mails regarding the location of their containers on a daily basis. Customers are reluctant to use the web site for tracking of containers. Some of them did not even know about the tracking facility available at the web site. e. At the end of every financial year, announce Customer of the Year. The customer who has brought the highest revenue may be awarded by this title. Mention it on your web sites also and give him special discounts for the next year. f. Introduce Emergency Quota. The customer who wants to send his commodity urgently may send his goods through Emergency quota by paying some extra
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money. Limit this service to 5 times in a year and also maintain a limit of minimum number of containers that must be transshipped to avail this service so that the customers dont make it a habit to send goods by using Emergency Quota.

4. Quick Action on Grievances

The company should be able to solve the grievances as soon as possible; when the customers feel that the company is not responsive they switch to other companies. The company must do the following:

a. Respond as quickly as possible to the complaints and try to resolve it. Appoint personnel to resolve the complaints if possible.

b. Claim settlement process should not take much time. Many of the customers complained that it takes a lot of time to settle the claims.

c. Many of the customers said that the balance in their PDA accounts is never returned back to them. This should not be done as it spoils the image of the company.

5. Behavior Of Employees Behavior of the employees is good at Gateway Rail. Customers feel that it is a friendly organization and to keep up with this, following steps must be taken:

a. Provide some autonomy in the system so that employees are free to take small decisions and resolve the matter. Customer feels helpless when he is asked to meet 10 to 15 people to resolve his issue.

b. A training program must be conducted for the employees to train them how to treat the customers. Many private firms have done that and have seen good results.

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ICICI Bank has done this and has snatched many loyal customers from SBI. Customers should have a nice experience dealing with Gateway Rail.

6. Aggressive Marketing Strategies The company should adopt aggressive marketing strategies to attract and retain the customers. The company requires branding of image.

a. Appoint a team who can continuously pitch the customers for orders. Many of the customers are indifferent to the service providers; whoever comes first takes the order. The company should try to convert these customers. This will also help in maintaining a personalized relation with the customers.

b. The company should try to convert customers who are using Road as the medium of transport. This can be done by making them understand the safety that they would get by using rail. The company should also place big hoardings on the highways. c. The company must adopt One to One Marketing as its strategy. This means identifying the needs of a particular customer, see what are the things that he values the most and then provide him the services he wants. This will make the services customized according to the requirement of the customer.

g. CHAs are the mediator between the company and the customers. If the CHAs are not happy, the customer will also not be happy. Try to please the CHAs. It was found that many service providers give commissions to the CHAs to divert the traffic to their terminals. Gateway Rail should also give them commissions so that they dont lose out on customers h. Gateway Rail should convince the customers to use Gateway Rails containers by offering discounts to them on using their terminals. This will bring extra revenue to the company.

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7. Capacity Expansion at ICD Garhi There is a need for capacity expansion at ICD Garhi. Though the terminal is the large of its kind, still there is a need of expansion keeping in my mind the heavy traffic there at the terminal. Many of the CHAs complained about the over utilization of capacity at ICD. Some of them said that the recent fire that took place at the terminal was due to the over utilization of capacity.

a. Separate shed for the hazardous commodities should be provided. The traffic is so high that even a small mistake can burn out commodities worth crores of rupees. So its better to provide separate shed for keeping hazardous commodities.

b. Better public facilities should be provided. Drinking water, clean toilets, seating facilities and proper ventilation should be provided at the terminal. The CHAs were not at all happy with the basic amenities provided at the terminal.

c. There is a need for a scientifically designed parking facility for the trailers. It was a personal observation that the trailers were blocking the gate and no one was there to remove them from there. Such things create unnecessary chaos.

d. More frequent trains are required at the terminals. It was found out that there are a lot of pending orders.

e. The company must look in to the matter of delay in time taken in stuffing and shifting of containers. Customers said that it takes days to shift the container in to the yard for rail out. Sometimes the container itself is not available. So the company must also take a look at the inventory of containers at the terminals.

f. The equipments there at the terminal are outdated and need replacement. The equipments are also few in numbers which is one of the reasons in the delay in stuffing and shifting of containers.

g. Installation of CCTV cameras at the terminal is very important. This will improve the efficiency of the staff and also stop unwanted things happening at the terminals.
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Appendix 1: Questionnaire
1. Since how long have you been associated with Gateway Rail? a. Less than 2 years b. Between 2 and 5 years c. Between 5 and 8 years d. Greater than 8 years

2. Rank the following in order of the importance you give while choosing a logistic service (Rank 1 for most important and rank 5 for least important) a. Tariffs b. Security and safety of goods _________ _________

c. Availability of trains, containers and equipments_________ d. Reliability of services e. Value added services _________ _________

3. Have you ever used services other than Gateway Rail for the transhipment of goods? a. YES b. NO If your answer is NO proceed from Part A else go to Part B

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Part A Instructions for question no. 4 to 17 Mark the appropriate column on the basis of your level of satisfaction. Q. No. 4 5 6 Rail tariffs Payment options Discounts and schemes 7 Availability of containers 8 Time taken for stuffing and shifting 9 10 11 Security and safety Computerized system Behavior of employees 12 13 14 Availability of trains Web services Delivery on scheduled time 15 Availability of equipments 16 Availability of civic amenities 17 Time taken at the counter Statement Highly Dissatisfied Dissatisfied NDNS Satisfied Highly Satisfied

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Part B 18. Tick mark the services you use for the transhipment of goods a. GDL b. CONCOR c. Adani logidtics d. Loni e. Others (please specify) ___________________________ Instructions for question no. 19 to question no. 30 Mark for each of the service providers used by you for every statement

Q. No. 19

Statement

Service providers

Excellent

Good

Fair

Poor

Rail tariffs

GDL CONCOR Adani Hind

20

Security and safety

GDL CONCOR Adani Hind

21

Discounts and schemes

GDL CONCOR Adani

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Hind 22 Time taken in stuffing and shifting GDL CONCOR Adani Hind 23 Payment options GDL CONCOR Adani Hind 24 Availability of trains GDL CONCOR Adani Hind 25 Behaviour of employees GDL CONCOR Adani Hind 26 Web services GDL CONCOR Adani Hind 27 Availability of GDL

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containers

CONCOR Adani Hind

28

Delivery on scheduled time

GDL CONCOR Adani Hind

29

Availability of equipments

GDL CONCOR Adani Hind

30

Time taken at the counter

GDL CONCOR Adani Hind

Part C 31. Are you aware of Gateway Rails feedback system? a. Yes b. No 32. Please mention the commodities you tranship along with their annual volume

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33. Mention the ports you use for exporting these commodities

34. Name the shipping lines you use

35. Name the CHAs you hire ________________________________________________________ 36. Name of the terminal you use ________________________________ 37. Any other suggestions _____________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ ___________________________________________________________________________ __________________________________________________________________ 38. Name of the person: 39. Designation: ________________________ _______________________

40. Name of the organization: ________________________

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LIMITATIONS OF THE PROJECT

Research Limitations:

It was not possible to understand thoroughly about the different marketing and promotional aspects of the products within 74 days. All the work given to me was limited. The area of research was ICD Garhi Hasuru where I was working. Population of interest was the existing customers and CHAs of Gateway Rail. I was mainly able to contact with the general customers of the branch as the proffered customers are in direct contact with the RMs (Relationship Manager), I have less contact with them.

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REFERENCES

Book Marketing Management by Philip Kotler, Kevin Lane Keller, Abraham Kelly and Mithileshwar Jha. Marketing Research by George A Aaker, V Kumar, George S Day

Websites: www.gatewayrail.co.in www.infrastructure.gov.in www.fao.org/es/ESC/en/15/70/highlight 71.html www.google.co.in www.apeda.com

Others: Gain report 2009-2011 Annual Reports, Gateway Rail Contact Details Obtained from Gateway Rail

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DECLARATION

I hereby declare that the summer training report entitled Role of ICD in International Business and consumer insight submitted by me to IILM Institute For Higher Education

represents my own work except for guidance and suggestions received, which have been

suitably acknowledged. I further state that this work is not a part of my or any other report

submitted to university for the award of the degree.

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DECLARATION

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