INDIAN INSTITUTE OF MANAGEMENT, INDORE

Course: LOGISTICS MANAGEMENT Instructor: Prof. S Venkat

Formulating relationship between the C&F stock inventory (R.E.M.) and inventory of tires maintained at Bridgestone India Pvt. Limited and exercising the same to compose a logistic process for any location

GROUP 6 Abhijeet Jaiswal 2011PGP502 Andij Mohonta 2011PGP541 Aniruddha Dobre 2011PGP546 Om Prakash Verma 2011PGP761 Paramveer 2011PGP767

LM Group 6/term IV/2012

CONTENTS
Title Objectives Identification of Problems Analysis Achievements

LM Group 6/term IV/2012

Title
Formulating relationship between the C&F stock inventory (R.E.M.) and inventory of tires maintained at Bridgestone India Pvt. Limited and exercising the same to compose a logistic process for any location

Objectives
1. Formulating a logistic Plan on Excel sheet showcasing relationship between various elements involved in deciding out the dispatch of tyres from the plant. 2. Implementation of the developed Logistic Plan in deciding dispatch from the plant at any Carry and forward centre for the company.

Identification of Problems
The project involved developing a logistic plan and implementing it to forecast the dispatch plan for any C&F centre of the company inside India, also it involved training the logistic staff to make them understand what is the process involved in deciding out the dispatch plan for the C&F centre. It also involved developing a questionnaire for the District Sales Manager at C&F centre to get their feedback on the dispatch plan created by the Logistic staff so that dispatch problems associated with the plan can be eliminated. The main problem while developing the logistic plan was formulating the relationship as it was difficult to find any direct correlation between the various variables associated with dispatch of tyres for the plant.

Analysis
Going through in detail the logistic framework adopted by the company the following parameters must be included while deciding out the dispatch plan for C&F center: 1. Total Transit Time 2. Vehicle Capacity 3. C&F floor stock 4. Sales per day capacity 5. Reach 6. Average days between vehicles

These were the factors which were used in formulating the floor stock, in transit inventory and dispatch plan.

LM Group 6/term IV/2012

The Framework
The logistic report for the company contains following details: 1. The role of information in logistics: As noted, logistic involves physical transfer of goods from the company to warehouse units. Modern logistic management seeks to eliminate the inefficiencies that arise from poor information flows. One way to ameliorate the problem is by way of customer-managed inventories. 2. Multiple distribution systems: Typically in large systems, stock is stored at multiple locations. Distribution centres receive stock from plants and factories and then transport to either smaller local DCs or directly to stores. Some of the advantages of employing DCs include economies of scale, tailoring the mix of product to a particular region or culture, and safety stock reduction via risk pooling. 3. Formulating relationship of variables on Microsoft Excel sheet: This include formulating out a proper dispatch plan which can cater aforementioned information.

Logistics Excel Sheet Explanation

Achievements
Formulating the relationship between the variables involved in dispatch plan. The relationship will help company in deciding and planning the production capacity of tires. Also it would help in roughly estimating the time and quantity of tires to be dispatched to the C&F centres. 4

LM Group 6/term IV/2012 Management must also continuously audit results throughout technology deployment and ongoing Use, taking corrective action whenever the process strays outside of acceptable bounds. Analysis technologies are essential to timely, effective execution of this continuous process.