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INTRODUCTION
Freight forwarding is a service used by companies that deal in international or multi-national
import and export .while the freight forwarder doesn’t actually move the freight itself. It act us
an intermediate between the client and various transportation services. Sending products from
one international destination to another can involve a multitude of carriers, requirements and
legalities. A freight forwarding services handles the considerable logistics of this task for the
client, relieving what would otherwise be a formidable burden. Freight forwarding services
guarantee that products will get to the proper destination by an agreed upon in good condition.
The freight forwarding service utilizes established relationships with carriers of all kinds, from
air freighters and trucking companies, to rail freighters and ocean liners. Freighter forwarding
services negotiate the best possible price to move the product along the most economical route
by working out various bids and choosing the one that best balances, speed, cost and reliability.
Freight forwarding plays an important role in facilitating international trade, fulfilling a number
of distinct functions. In basic terms they act on behalf of exporters to buy and manage
transportation services. These usually include air or sea freight, as well as land transportation
services to move goods from the shipper to the port.
FREIGHT FORWARDING PROCESS
Logistics is the ability to properly prepare the complex process of planning the movement,
storage, as well as sending of services as well as sending of services as well as items. This freight
forwarding service is trigged by a freight forwarder, the 3rd party provider that designs and also
schedules the logistics, as well as process shipment from one place to another. That forwarder
directs goods as well as services through airplane, ship, train, trucks as well as several other
vessels. The key purpose of freight forwarders for exports is almost always to move the products
to international locations, while these forwarders also process complex documentation needed to
import and export items. As extremely competitive market, corporations have found solutions to
modernize their own freight forwarding service to attract and also sustain the business of
exporters.
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It is crucial for freight forwarders to understand the laws and regulations of countries where
they’re to send out their shipment. This know-how must include about the costs, charges, as well
as fees and other expenses associated to each forwarding procedure. Freight forwarders take care
of commercial invoicing, bill of lading, as well as export declarations.
During freight forwarding transactions, the freight forwarder will notify the sender regarding the
date of whenever the goods will be delivered. It is part of the freight forwarders service to be
certain that the products definitely will reach the selected location of shipping and delivery in
time, which may be a port, airport terminal as well as other locations according to the agreed
time frame on the transport contract. A lot of the freight forwarders are licensed by international
organizations as well as other intermediary agencies as necessary for forwarding industry.
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NEED OF THE STUDY
In the shipping industry freight forwarding plays a very vital role. Freight forwarding is a vital
part of international trade activity and the forwarder act as a buffer between the manufacturer/
exporter and the sea carrier to assist in efficient flow of good down the international transport
chain.
Since logistics is a booming felid considered to INDIA, retention of the existing customer and
getting the new customer is very important for that understanding the customer expectation on
the services will help to provide a better solution to the customer. Especially in logistics industry
customers will be more reliable on the services which we are providing. according to that only
they can plan things so in logistics felid it is always important to understand the customer, not
only in logistics industry in all industry “Customers are always right” so this study will surely
help the company to improve the business
 This study is to analyze the customer service model and offer suggestions on a new
model of CRM
 This study will help ASV supply chain solutions to know whether they can retain the
customers in business
 In another way this study will improve the performance of the company
 To improve the service and quality level
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STATEMENT OF THE PROBLEM
Customer is always right and customer is the king in all business. Without customer no company
can survive in the market. In this competitive world it is more difficult to retain a customer than
getting a new customer. So before getting in to something we should understand the customer
and their expectation on the service of the company then only company will be able to provide a
better service and to create more competitive edge with competitors so, to identify the customers
expectation in the case of sea export is necessary in ASV supply chain solution with a motive of
retention of customer because the customer may or may not be happy with the service.
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INDUSTRY PROFILE
LOGISTICS INDUSTRY
Logistics is the management of the flow of goods between the point of origin and the point of
consumption in order to meet some requirements, for example, of customers or corporations. The
resources managed in logistics can include physical items, such as food, materials, animals,
equipment and liquids, as well as abstract items, such as time, information, particles, and energy.
The logistics of physical items usually involves the integration of
informationflow, materialhandling, production, packaging, inventory,transportation, warehousin
g and often security.
The complexity of logistics can be modeled, analyzed, visualized, and optimized by dedicated
simulation software. The minimization of the use of resources is a common motivation in
logistics for import and export.
Origin definition
The prevalent view is that the term logistics comes from the late 19th century: from
French logistique (loger means to lodge). Others attribute a Greek origin to the word: meaning
reason or speech, meaning accountant or responsible for counting.
The Oxford English Dictionary defines logistics as "the branch of military science relating to
procuring, maintaining and transporting material, personnel and facilities." However, the New
Oxford American Dictionary defines logistics as "the detailed coordination of a complex
operation involving many people, facilities, or supplies", and the Oxford Dictionary on-line
defines it as "the detailed organization and implementation of a complex operation". As such,
logistics is commonly seen as a branch of engineering that creates "people systems" rather than
"machine systems".
According to the Council of Logistics Management, logistics includes the integrated planning,
control, realization, and monitoring of all internal and network-wide material, part, and product
flow, including the necessary information flow, industrial and trading companies along the
complete value-added chain (and product life cycle) for the purpose of conforming to customer
requirements.
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Logistics is the process of planning, implementing, and controlling the effective and efficient
flow of goods and services from the point of origin to the point of consumption.
Academics and practitioners traditionally refer to the production management when referring to
physical transformations taking place in a single business location (factory, restaurant or even
bank clerking) and reserve the term logistics for activities related to distribution, that is, moving
products on the territory. Managing a distribution center is seen, therefore, as pertaining to the
realm of logistics since, while in theory the products made by a factory are ready for
consumption they still need to be moved along the distribution network according to some logic,
and the distribution center aggregates and processes orders coming from different areas of the
territory. That being said, from a modeling perspective, there are similarities between operations
management and logistics, and companies sometimes use hybrid professionals, with for ex.
"Director of Operations" or "Logistics Officer" working on similar problems. Furthermore, the
term supply chain management originally refers to, among other issues, having a global vision of
both production and logistics from point of origin to point of production. All these terms may
suffer from semantic change as a side effect of advertising.
SHIPPING INDUSTRY
The transport system the shipping industry has developed to carry this diverse range of
commodities involves several separate but overlapping segments of the shipping business, each
handling a different group of trades. This specialization is based on parcel size (i.e. the size of
the individual consignment of cargo) and the cargo. Physical characteristics. The industry can be
divided into three broad segments, each of which handles a specific set of cargoes.
 BULK SHIPPING: handles large cargo parcels in "bulk carriers" and oil tankers
designed for the efficient transport of the very large parcels (10 to 450,000 tonnes) of
homogeneous cargoes such as iron ore, coal, grain, oil etc.
 SPECIALIZED SHIPPING: Transports large quantities of "specialized" trades (e.g.
chemicals, gas, motor vehicles, forest products), generally using ships built for the
purpose. Although these ships are purpose built, they are often designed to allow the
carriage of other cargoes. Specialized cargoes are often subject to competition from
both the liner and bulk shipping segments.
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 LINER SHIPPING: specializes in the transport of small cargo parcels, which do not
fill the hold of a ship, on regular services. Today most liner cargo is carried in
containerships, but some are still transported in multi-purpose vessels or Ro-Ro’s.
FREIGHT FORWARDING
HISTORY
One of the earliest freight forwarders was Thomas Meadows and Company Limited of
London, England, established in 1836. According to "Understanding the Freight Business,"
written and published by the executive staff of Thomas Meadows and Company in 1972. The
advent of reliable rail transport and steamships created demand for the fledgling freight
forwarding industry. Trade developed between Europe and North America, creating additional
demand. The first international freight forwarders were innkeepers in London who held and re-
forwarded the personal effects of their hotel guests.
The original function of the forwarder was to arrange for carriage by contracting with various
carriers. Forwarder responsibilities included advice on documentation and customs requirements
in the country of destination. His correspondent agent overseas looked after his customers' goods
and kept him informed about matters that would affect movement of goods.
In modern times the forwarder accepts the same responsibilities. It operates either as a domestic
US carrier or otherwise with a corresponding agent overseas or with his own branch-office. In a
single transaction, the forwarder may be acting as a carrier (principal) or as an agent for his
customer or both.
Freight forwarder, forwarder, or forwarding agent is a person or company that organizes
shipments for individuals or other companies and may also act as a carrier. A forwarder is often
not active as a carrier and acts only as an agent, in other words as a third-party (non-asset-based)
logistics provider that dispatches shipments via asset-based carriers and that books or otherwise
arranges space for these shipments. Carrier types include ships, airplanes, trucks, and railroads.
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Freight forwarders typically arrange cargo movement to an international destination. Also
referred to as international freight forwarders, they have the expertise that allows them to prepare
and process the documentation and perform related activities pertaining to international
shipments. Some of the typical information reviewed by a freight forwarder is the commercial
invoice, shipper's export declaration, bill of lading and other documents required by the carrier or
country of export, import, or transshipment. Much of this information is now processed in a
paperless environment.
International Freight Forwarders and NVOCCs and customs brokers often charge a fee for
transferring documents to another transportation company at destination. This fee is ultimately
paid by the importer at the port of discharge generally as an advance on the customs brokers
billing. This fee is separate from documentation fees charged by steamship carriers and
NVOCCs as part of the freight charges on a bill of lading and is separate from other fees for
document preparation or for release of cargo. Some companies may call this an admin fee, doc
fee, doc transfer or other name but it exists in some form in most destinations around the world
and is well known to most importers.
FREIGHT FORWARDING IN WORLD
A freight forwarder, forwarder, or forwarding agent, is a person or company that organizes
shipments for individuals or corporations to get goods from the manufacturer or producer to a
market, customer or final point of distribution. Forwarders contract with a carrier to move the
goods. A forwarder does not move the goods but acts as an expert in supply chain management.
A forwarder contracts with carriers to move cargo ranging from raw agricultural products to
manufactured goods. Freight can be booked on a variety of shipping providers,
including ships, airplanes, trucks, and railroads. It is not unusual for a single shipment to move
on multiple carrier types. 'International freight forwarders" typically handle international
shipments. International freight forwarders have additional expertise in preparing and processing
customs and other documentation and performing activities pertaining to international shipments.
Information typically reviewed by a freight forwarder includes the commercial invoice,
shipper’s, bill of lading and other documents required by the carrier or country of export, import,
and/or transshipment. Much of this information is now processed in a paperless environment.
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The FIATA shorthand description of the freight forwarder as the 'Architect of Transport'
illustrates the commercial position of the forwarder relative to his client. In Europe, some
forwarders specialize in 'niche' areas such as rail-freight, and collection and deliveries around a
large port.
Lloyd's Loading List is the freight forwarding industry’s' journal of record, first published 160
years ago as a UK export directory today it provides details of forwarders, NVOCC , shipping
lines/agents who serve over 10,000 ports globally.
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COMPANY PROFILE
ASV supply chain services private limited is a private company incorporated on 10
August 2011.it is classified as Indian non government company and is registered at Register of
companies, Chennai. Its authorized share capital is Rs.100, 000 and its paid up capital is Rs.100,
000.
ASV supply chain services private limited’s corporate identification Number is (CIN)
U63090TN2011PTC081866 and its registration number is 81866 .Its registered address is
NO.90,GNT Road ,ponniammanmedu, madavaram CHENNAI-600110,TAMIL NADU INDIA
VISION STATEMENT
Perform Safe and on time delivery to Domestic & International Customer. Operate with well
trained and Competent Personnel. To strive for continual improvement and try to offer
innovative & cost effective solution to our customer
Key objectives of ASV SUPPLY CHAIN SERVICES PVT. LTD
1. , lead - time reduction and flexibility are our most important objectives. To
improve the profit performance of our customer through excellence in Supply
Chain Management, Domestic and International Logistics of WMS
[Warehouse Management Systems] & TMS [Transport Management Systems].
2. On time delivery
3. International Quality IT systems for Visible Track & Trace’ the cargo.
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CORPORATE PROFILE
 Logistics Division – ASV Logistics.
 Established – Year 2008.
 Converted as Partnership – YEAR 2009.
 Converted as PRIVATE LIMITED – Aug 2011.
 Domestic & International Logistics and SCM.
 Associate Companies :-
 M/s. JMD Shipping Agencies – CHA.
 M/s. Sun freight India Pvt Ltd – FF & CHA in Tuticorin.
 M/s. Heart Care Technologies Pvt Ltd – Mfg Company.
ASV SUPPLY CHAIN SERVICES PVT. LTD. – CUSTOMER LIST
 Delphi – TVS Diesel Systems Ltd
 Komos Automotive India Pvt Ltd
 Roche Mining MT [India] Pvt Ltd
 Maersk Logistics - DAMCO
 Shenzen Mediplus – China
 THE HINDU – Kasturi & Sons Ltd
 ICI India Limited – Akzo Nobel
 Super Auto Forge Ltd
 Komatsu India P Ltd / Cargo Intl. Pvt. Ltd
 TVS Dynamic / TVS Logistics Services
 Wilson Sandhu Logistics [India] Limited
 Insmart Systems, Hyderabad
 DHL Lemuir Logistics Pvt. Ltd
 Orion Express Container Lines Pvt. Ltd
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ASV SUPPLY CHAIN SERVICES PVT. LTD
INFRASTRUCTUR
 OUTSOURCED 40’ TRAILERS - 18 NOS
 ATTACHED TRAILERS 20’ & 40’ - 18 NOS
 OUTSOURCED 9 MT/16 MT LORRY – 12 NOS
 ATTACHED LCV’S - 11 NOS
 COVERD WAREHOUSE – Closed to 60,000 SQ. FT
 OWN FORKLIFT – 04 Nos
 BUSINESS VERTICAL OF FF, CHA,TMS & WMS
 ODC TRANSPORTATION
 NEWS PAPER DISTRIBUTION
Company services
 Ware house
 Transportation and distribution
 Customs house agents
 Other logistics related services
Competitors
 NTC( Namakkal Transport carriers)
 KINGS SHIPPING
 ADARSH SHIPPING
 KMM FREIGHT SYSETEM
 SINDHU CARGO LOGISTICS
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NTC PVT LTD
Namakkal Transport Carriers (P) Limited (NTC), was established in the year 1997 and
incorporated as a Private Limited company in the year 2001 with an objective to cater to the
specific logistics needs of the business and trade. It was established at a time when the Indian
transport entrepreneurs were severely handicapped due to non-availability of specialty vehicles,
especially for the transportation of heavy over dimensional consignments. From a humble
beginning just about a decade ago, NTC today is a multi-crore business group, providing end-to-
end logistic solutions to meet the specific needs of its prestigious customers, aspire to branch out
into allied businesses in India and abroad.
NTC firmly believes that Quality Service, Safety and timely delivery not only satisfy the
requirements of Customers and establish long term relationships, but also identifies NTC as a
company with a competitive edge in the Transport spectrum across India. The recognition thus
earned, further influenced new scope and dimensions in the logistic segments in transport
industry. It's all-round efficiencies and competencies provide optimal solutions to the customers
backed by strong systems, controls and procedures have lead the company to certification on ISO
9001:2008 by TUV NORD – Germany.
ADARSH SHIPPING
ADARSH SHIPPING as a bunker trading company they strongly commit to compliance with the
product specification provided by the ship owners. To make sure 100% smooth sailing to their
destinations, they adhere to the process for ensuring the prominent bunker delivery with best
quality products.
Logistics: As part of supply chain management, logistics play a vital role. They believe that their
efficient logistics which makes bunkering more smoother.
Cost and Service efficiency: To compete with the current market trend they provide efficient
service for better prices.
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KMM FREIGHT SYSTEM
KMM Freight Systems is one of the upcoming International Freight Forwarding agent, Air and
Sea Cargo consolidators and Customs Clearing Agents. They operate in the following:
Freight Forwarding (AIR & SEA)
Door – Door Logistics Services
Export & Import Consultation
Consolidation of Air/ Sea (Import & Exports) Customs Broker
Transportation
Warehousing
KMM offers its sincere and dedicated service to its customers for more than a decade. The
Company is being directed by Smt. LOUIS PREMALATHA who is trained in the field of
logistics for more than 2 decades. She is leading the Empire with the ideal policy to serve the
customers with utmost Satisfaction. The company's aim is to provide fast, reliable
KINGS SHIPPING
Nationally. Internationally. Wherever you're going, we'll get you there. Their global
transportation offerings include ground, ocean and air freight transportation services. And they
include GPS units at the pallet level, too. So wherever you are
They follow a detailed approach that starts with on-boarding every client, and carries through
from pre-start through post-launch. Kings shipping will not stop their service in shipping and
will help you with fulfillment, warehousing, project management, and more. They will find out
what you need.
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SINDHU CARGO SERVICES
Sindhu Cargo Services Private Limited is a Bangalore based company engaged in
providing end-to-end logistic solutions in India. Sindhu Cargo has been serving the Trade &
Industry since 1987. Sindhu Cargo has a strong team of well trained manpower of over 800
qualified & experienced professionals' across India to serve the esteemed clients. Sindhu Cargo
is well spread across India & have branches at 20 locations in all major ports, ICDs & airports
across India. Sindhu Cargo is associated with more than 100 counterparts across the
globe.Sindhu Cargo is a licensed Custom House Agent (CHA). The company is accredited to
IATA & possesses NVOCC licence. The company is also member of many freight forwarding
associations such as FFFAI, FIATA & AMTOI. Sindhu Cargo is also a registered member of
WCA Family of logistics network comprising of APLN, IGLN etc., Sindhu Cargo is also an
active member of Bangalore Customs House Agents Association Ltd., (BCHAAL)
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OBJECTIVES OF THE STUDY
PRIMARY OBJECTIVE
 To identify the customers expectation on freight forwarding with special reference
to ASV SUPPLY CHAIN pvt ltd
SECONDARY OBJECTIVES
 To understand the export and import process in Indian logistics industry.
 To identify the problem associated with export import in Indian logistics industry
 To identify the steps involved in the sea export.
 To offer suggestions to improve customer satisfaction.
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REVIEW OF LITERATURE
Adrian; aivaz, kamer; capatina, alexandru their studies in implications of logistic service
quality on the satisfaction level and retention rate of an e-commerce retailer's
customer’s economic computation & economic cybernetics studies & research.
The article offers information on the research which is focused on how the logistic service
quality influence the satisfaction of customers and their retention rate within an online retailer,
specialized in sales of information technology and electronic devices. It informs that the data
were analyzed by means of confirmatory factorial analysis, one-way and two-way analysis of
vari8ance (ANOVA) method and linear regression analyses. (AN: 89707078), Database:
Business Source Elite
Arun; Grewal, Dhruv; Levy, Michaelon in their studies the customer satisfaction
/logistics interface Journal of Business Logistics. The article examines the impact of a firm's
business logistics policy on customer satisfaction, profitability and strategic partnering. The
degree to which customers are satisfied determines whether customers make additional
purchases and recommend the company and its products to others. Improving the quality
of logistics service is particularly important because it increases customer satisfaction, which in
turn heightens the occurrence of strategic partnering and corporate profitability. The degree to
which customers are satisfied with a product is determined by the combined impact of its
attributes versus its cost. An important determinant of customer satisfaction is how well the
product performs. Specifically, logistics managers should understand and occasionally shape
the customer's pre-purchase logistics service expectations in order to increase customer
satisfaction. The proposed framework highlights strategies by which logistics managers can
increase customer satisfaction by focusing on specific post-purchase
customer/logistics interactions. It is important for the selling firm to get customers involved in
the management of the logistics process. (AN: 9510173368), Database: Business Source Elite
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Burkovskis, raimondas his study in efficiency of freight forwarder's participation in the
process of transportation in the process of transporting goods allows his clients to refuse
unnecessary services and get focused on the main competencies of a company. At presence, there
is no common definition of the term ' Freight forwarders ' or identical legal regulation of
responsibility and functions; therefore, the problems of unifying the international process of
goods movement are confronted. This reduces the efficiency of activity and causes additional
problems in the field of international trade. In the future, Freight forwarders role in logistics
supply chain will rise and the clients will demand the whole package of logistics services.
Therefore, special notice should be given to stimulate investments into the new Freight
forwarders services. Freight forwarders participation in the process of transporting goods allows
his clients to refuse unnecessary services and get focused on the main competencies of a
company. At presence, there is no common definition of the term Freight forwarders or identical
legal regulation of responsibility and functions; therefore, the problems of unifying the
international process of goods movement are confronted. This reduces the efficiency of activity
and causes additional problems in the field of international trade. In the future, Freight
forwarders role in logistics supply chain will rise and the clients will demand the whole package
of logistics services. Therefore, special notice should be given to stimulate investments into the
new Freight forwarders services.
Douglas m leuschner, rudolf; lambert,.; knemeyer, a. michael their studies in logistics
performance, customer satisfaction and share of business acomparison of primary and
secondary supplies journal of business logistics in the linkage between logistics performance
and overall firm performance has received attention in the literature for more than 30 years.
However, researchers have not investigated if differences in performance between primary and
secondary suppliers affect customer satisfaction and the percentage of business allocated to
suppliers. In this research, primary suppliers received more than four times as much business as
the secondary suppliers. We investigated the impact of the Marketing Mix
on customer satisfaction and share of business for primary suppliers and secondary suppliers, and
identified differences between the two groups, using multi group structural equation modeling.
The results indicate that perceived performance on logistics attributes significantly
affects customer satisfaction and the percentage of business that is allocated to primary and
secondary suppliers, which is key information for developing competitive strategies. Our
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research findings challenge the practice of providing service levels to customers based on current
revenue or profitability which does little to convince customers, who are using a company as
secondary source, to make it the primary supplier.
Florez-Lopez, Raquel; Ramon-Jeronimo, Juan M. in their studies on
Managing logistics customer service under uncertainty logistics customer service model is
a critical competitive advantage that enhances both customer satisfaction and firm performance.
Researchers have developed several models for assessing customer requirements, measuring
product performance, and positioning products. However, handling customers’ linguistic
preferences and uncertain product attributes remain significant and unresolved problems. In this
study, we develop an integrative framework that incorporates the Kano model, fuzzy distances,
and 2-tuple fuzzy-linguistic model to manage customer-service logistics more effectively.
Following a five-module architecture, we consider numerical, fuzzy, and linguistic data on
product attributes and customer requirements. We first evaluate product attributes using utility-
value functions and converted into satisfaction scores related to Kano categories. We then
consider raw importance assessments to obtain an overall satisfaction score for each market and
product. An empirical example illustrates the benefits of this integrative approach. The results
show that our proposal can effectively manage logistics customer service, enabling managers to
identify targets and formulate competitive strategies to enhance customer satisfaction.
Gin-Shun Liang; Tsung-Yu Chou; Shu-Fen Kan (2006), in their studies in Applying fuzzy
quality function deployment to identify service management requirements for an
ocean freight forwarder Total Quality Management & Business Excellence identified that
service management requirements for an ocean freight forwarder is developed through Fuzzy
Quality Function Deployment (FQFD). First, customer needs, with importance
and satisfaction degrees, have been investigated, followed by the development of service
management requirements for satisfying the observed customer needs. Furthermore, a fuzzy
relation matrix to link service management requirements and customer needs based on cross-
functional expertise is also constructed. The aggregated fuzzy assessments of various service
management requirements are ranked to determine their importance priority.
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Gajewska, teresa lisińska-kuśnierz, małgorzata; their studies in customer satisfaction with
the quality of the logistic services. It is evaluated mainly by measuring customer satisfaction.
Measurement of the customer satisfaction provides the information about how organizations
operate as well as how to effectively satisfy customer needs. The aim of this paper is to propose
an evaluation model of the customer satisfaction of the quality of the logistic services provided.
The research in this paper was focused on the evaluation of the level of customer satisfaction in
the context of logistics service as well as on the analysis of importance often logistic services
attributes influencing customer satisfaction. Methods: The research was conducted on the basis
of the questionnaire designed for purchasers of logistic services. The subjects of the research
were companies which are using refrigerated transport. Results: To define relation between level
of customer satisfaction in the context of logistic service and logistic service attributes impacting
this satisfaction Pearson's correlation method was used. In turn the model to evaluate
the customer satisfaction in the context of logistic services in scope of refrigerated transport was
built using multiple regression and stepwise regression methods.
Goldsby Rao, Shashank;, Thomas J.; Griffis, Stanley E.; Iyengar, Deepak. Their studies in
Electronic Logistics Service Quality (e-LSQ): Its Impact on the Customer's Purchase
Satisfaction and Retention Journal of Business Logistics. The Internet retailing industry
continues to grow rapidly. Several Internet retailers are, however, struggling to
retain customers due to the high level of competition among incumbents. We propose
that customer satisfaction with the order fulfillment process is an important determinant of
overall customer satisfaction with the retailer, as well as with the extent of customer retention
enjoyed by the retailer. This paper offers a new concept for electronic logistics service quality
and investigates the relationship between the quality of online fulfillment and the ensuing
retention of customers, using archival data on 260 online retailers.
The structural equation model results indicate that satisfaction with the physical distribution
quality and cost are positively related with customer's purchase satisfaction and customer
retention. Additionally, the results indicate that while purchase satisfaction is a strong indicator
of customer retention, underlying drivers of purchase satisfaction do not have nearly the same
impact on customer retention directly as they have on purchase satisfaction.
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Giovanis, A.N.; Tsoukatos, in their study on relationships between logistics service
deliverable, customer satisfaction and loyality in industrial supply chains E. In: Journal for
International Business and Entrepreneurship Development, 2013,( vol.7, no.1, pp. 63-80, ). This
study aims at identifying the main dimensions of logistics service quality (LSQ) and analyzing
their effects on satisfaction and loyalty in B2B settings. For this purpose an integrative structural
model of logistics service performance impact on satisfaction and loyalty is proposed and tested
in a self-built logistics setting. On evidence drawn, through a dedicated research instrument,
from 213 companies in Greece, the effects of outcome and process elements of LSQ
on satisfaction and loyalty are assessed. Results show that customers' perception about their
suppliers' LSQ level is shaped by both outcome and process elements while outcome quality is
further affected by process quality. Both dimensions impact satisfaction with outcome quality
being the main driver. LSQ dimensions and satisfaction directly affect
loyalty. Satisfaction's hypothesized enhancing role on the association between LSQ dimensions
and loyalty is confirmed. Finally, several implications of the findings are discussed and further
research directions are provided.
Ranjan, Jayanthi; Puri, Sandeep. Out of Stock conditions
affecting Customer satisfaction and customer loyalty In their studies in Journal of Business
& Retail Management Research.( Apr2012, Vol. 6 Issue 2, p38-52. 15p.)
Abstract: In the retail industry, customer experience, satisfaction and service are going to
become the limiting differentiators. Increasing competition is creating pressure on retailers to
improve both inventory turnover and customer service. Poor logistic management can result in
either over stocking (leading to cash flow problems and unnecessary discounts) or lost sales due
to stock outs. Stock outs can have serious impact on the business as it affects retailer's credibility
and consumer's satisfaction. It is important to understand the cost of a retail stock out before the
implementation of any retail inventory model.
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Export import in Indian logistics industry
The advent of 2015 marks the beginning of a new era where the government would try its best to
clear the obstacles that come in the way of doing business, attracting more investment and
generating employment. Expectations run high in the logistics sector from the upcoming Budget
and also the recent ‘Make in India’ campaign. The Indian logistics industry is currently plagued
with poor infrastructure and high costs. However, it is going to turn around on the back of robust
GDP growth, globalization, FDI in logistics and increasing government support. The biggest
expectation of logisticians is the recognition of logistics as an industry, which will help in the
creation of transparent policies towards the overall development of this sector. It will also boost
investment in logistics and allow easy options to generate finance from banks instead of
expensive private funding. After being recognized as an industry, logisticians can expect that
strict guidelines and rationalization of regulations will be followed by all service providers and
on matters related to payment defaulters within the entire supply chain. Due to the inefficiency of
the payment defaulters, there can be an obstacle in the smooth execution of the supply chain and
handling of goods, leading to higher cost and inefficiencies. Thus, making defaulters more
accountable will safeguard the interests of LSPs. The logistics companies wish that the
government, in the Budget, shall necessarily give the final go-ahead to the much-awaited Goods
& Services Tax (GST) rollout plan, which is imperative to shed state level barriers and simplify
the tax structure. GST will create a single unified Indian market for the logistics industry. It will
make them competitive to meet international standards of cost of inventory holding and
transaction cost, which is one of the major weak links in the global competitiveness of Indian
logistics companies. The provision for proper infrastructure is another important expectation of
the logistics industry, which includes development of a better transportation system and setting
up of warehouses. Additional rail infrastructure should be put in place to ensure there is no piling
up of containers at inland ports. Better infrastructure in metro cities along with development of
major airports as cargo hubs will supplement India’s growing ex-im (export-import) trade.
Increased allocation for creating inland waterways projects and pushing forward to revive the
Sagarmala plan for coastal areas are a must.
The development of logistics parks across the country for speedy delivery is another expectation
of logistics companies. The creation of industry clusters and corridors will also provide
23
infrastructure for major improvement in logistics activities. Logistics parks will provide services
and facilities to reduce costs, boost efficiency and improve the flow of both raw material
procurement and finished goods. The NDA government has already taken some valuable
initiatives focusing on infrastructure development. Examples include the push for the golden
quadrilateral project, east-west and north-south corridors, and free trade warehousing zones
(FTWZs) in line with special economic zones (SEZs). The SEZs could avail of 100 per cent
foreign direct investment (FDI) and go in for public-private partnerships (PPP) in infrastructure
development with the abolishment of MAT on infrastructure companies.
The logistics industry further hopes that the government comes up with a clear incentive plan for
funds from private equity firms, strategic investors and public listing in order to finance massive
expansion in warehouses. Plans should be made for the investors (venture capital/PE funds) to
fund logistics as a specialized industry. There is also a need to provide fiscal incentives towards
financing and training, and human resource development programmes. The Budget should
envisage availability of long-term (more than 10 years) and cheaper debt. the congested air cargo
terminals at some gateway international airports that face dwell time. The existing container
freight stations (CFS) should be upgraded to have AFS facility, and later a new independent A *
Facility of a single-window clearance for permission prior to the export of products, to simplify
processes, reduces documentation and ambiguities on the Customs regulatory front.
All in all, the government should look at logistics with a holistic approach instead of focusing on
small partial challenges. Being the backbone of the economy, freight and logistics companies
have huge expectations from this Budget. Ending 2014 on a decent note, the Indian logistics
industry is looking forward to script another success story in 2015 as a year of growth, new
investments and new opportunities.
India‘s share in global trade is still less than 2%. The majority of this comes through maritime
Shipping, yet port container traffic in 2011 was 9,983,940 TEU only1.The country’s increasing
Current account deficit is increasingly an area of concern for Indian government and policy
makers2. One of the ways to reduce this deficit could be by increasing our exports in the services
Sector wherein so far prime contributions have come mainly from IT (Information Technology)
&ITeS (Information Technology enabled Services)sectors. According to the World Bank
estimates3,export of goods and services from India amounted to 24% of the GDP in 2008-2012.
24
Among these, the Information &Communications Technology (ICT) goods constituted only
2.2%4of the goods exports whereas ICT services constituted a major chunk of over 60% of
service exports.
Other service sectors like consulting, logistics, health, etc. have so far contributed only
Marginally. Even in IT & ITeS sectors, we have not paid much attention to many aspects of ‘soft
logistics’, especially the regulatory ones, which if facilitated properly, may lead to further fillip
in export of ICT services. All these need our immediate attention. The aim of this concept paper
is to understand the current state of exports in logistics services from India, analyze the various
regulatory and promotional policies applicable to this area and suggest a roadmap for the
development of the same. As the export in logistics services is directly interlinked to the level of
the development of the logistics management in the country, we also discuss it as a
complimentary process to the development of exports. In the next section, we discuss various
types of logistics services in a global economy and provide a simple classification for the same.
Section3 constitutes the main body of the paper wherein India’s state of logistics performance,
important exports in these services and scope, current administrative and regulatory setup for
development in this area including initiatives, Lacunae and pointers to reforms are presented. In
the section-4, we analyze the given problem and deduce important insights for further
improvement. Finally, we propose a solution Framework for augmenting the export in logistics
services in section5 along with a matrix ofActions for way forward.
India’s Current Position in Logistics Performance
Logistics cost by value accounts for around 13.5% of the GDP of India – this is much higher
than that in the US (9%), Europe (10%) and Japan (11%) but lowers than that in countries such
as China (18%) and Thailand (16%).7 Further, India is ranked 46th in the logistics performance
index among 155 countries8. The composite index for this ranking is based on five factors,
namely customs efficiency of the clearance process (i.e. speed, simplicity and predictability of
Formalities by border control agencies, including customs), quality of trade and transport related
Infrastructure (e.g. ports, railroads, roads, information technology), international shipments
(ease of arranging competitively priced shipments), logistics competence (competence and
quality of logistics services like transport operators, customs brokers, etc.),tracking & tracing
25
(ability to track and trace consignments) and timeliness. India’s logistics sector is fragmented
with most of the logistics services being provided by small Firms with limited networking and
integration capabilities. Due to this reason in most of the cases, India is so far unable to leverage
the benefits amenable to large scale integrated Operations. One example could be the
development of hub-and–spoke based distribution system. To implement and avail the benefits
associated with such advanced distribution system, the operator needs to have a critical mass.
Another example could be cited in the distribution of Automobiles in India. ICT applications like
RFID scanning systems and EDI systems have been Found to substantially increase the logistics
efficiency in the western countries by improvement in vehicle visibility in the supply chain,
quick and reliable data exchange, etc. The general Shortcomings that have been identified for the
deployment and application of these systems are general lack of standards across the various
systems of LSPs and absence of a logistics integrator across the entire chain to implement these
expensive systems (Chandra et al., 2012). Let us compare the Indian scenario with that of China.
CEVA, a leading global supply chain management firm, started operations in China in 1988.
Currently, CEVA has 88 sites all over mainland China, Hong Kong and Taiwan and manages
more than 1.4 million square meters combined storage space. CEVA commands a unique
position within the market, combining a global network and strong domestic capabilities to
provide its customers with integrated end-toned Supply chain solutions9. Presently India lacks
such big players with the aforementioned capacities and capabilities. So, we need to arise, awake
and act fast.
We identified a list of around 350 Indian firms involved in the trade of logistics services from the
CMIE (Centre for Monitoring Indian Economy) Prowess database. This is not an exhaustive list
of firms providing logistics services, but the aggregated sales information is expected to
approximately represent the whole sector. This list includes mostly firms providing direct
Services, as the revenue generated through ICT, DSS and consulting services may be difficult to
Segregate from the overall revenue of firms offering these services. The total revenue generated
by logistics firms in last 10 years in India is about INR 4,332 billion of which approximately
INR 344 billion i.e. roughly 8% is in foreign exchange. The sales in foreign exchange can be
taken as a proxy for revenue generated through export of services, as foreign exchange earnings
are the main motivation for promoting exports. Further, as per the latest Foreign Trade Policy,
any trade-in services in which consideration is received in free foreign exchange would be
26
considered as service export10. The top 50 firms have contributed more than 96% of the total
exports in the last decade (refer Appendix 1). Therefore, we limit our focus on these top 50
exporters of logistics services. As per the data shown in Fig 2, private Indian firms contributed
the major share of around 88%, followed by foreign private players (11%). The firms owned by
central government generated less than 1% of the total export revenues. In fact, the only
government owned firm to figure in the top list is CONCOR (Container Corporation of India).
.
Despite the importance of centralization of logistics development in the country, there is no
single nodal agency, regulatory authority, or a task force to plan, implement and foresee the
Development of logistics services. Logistics services, especially connected to foreign trade are
Heavily interlinked and capacity and/or procedural bottlenecks in any one sector severely Impact
the efficiency of the whole system. In such a scenario, it is imperative that a central Organization
or task force looks after the development of logistics services in an integrated and Holistic
manner. As discussed earlier, there is no clear budgeting to promote logistics services in the
country. Presently, different organizations are focusing on developing their own Infrastructure
and in some cases intermodal infrastructure in collaboration with other Organizations. This leads
to unclear, uncoordinated and overlapping resource allocations by Various ministries. For an
example in case of containerization of cargo in India, Raghuram and Gangwar (2007) report that
inadequate capacities in the hinterland transport modes often lead to higher costs and delays on
account of sub-optimal mode choices, circuitous routing and Congestion in the hinterland
transport links, despite maintaining higher capacities in the ports and rail transportation. Other
impediment in the development of logistics services and their exports is the poor quality of
logistics operations along with poor infrastructure in the country. This leads to high costs, delays,
accidents, etc. Today, if a truck has to carry goods for export by road to Bangladesh, the waiting
time at the border could be as high as 15 days. One is not sure how many such points in the
country exist (state borders, highway tolls, etc.), where nobody is bothered about the waiting
time of the commercial vehicles. It is a national waste and needs to be taken care of. One of the
problems faced by LSPs in India is inefficient inspection strategies adopted by customs and
border authorities, which causes multiple handling at check-posts leading to delays and damages.
There is a complex framework of direct and indirect taxes levied on goods and services by the
central and various state governments. A lack of unified GST (Goods and Services Tax) across
27
the country makes the use of logistics systems like the hub-and-spoke system inefficient, as
transportation costs across various state borders may vary considerably. This promotes the
development of regional warehouses all across the nation, rather than a few big warehouses.
Other problems are bribery, harassment of drivers, unnecessary paperwork and lack of associated
infrastructure like drainage, lighting, parking space, etc. The poor condition of roads leads to
reduced fuel efficiency and increased maintenance with consequent higher logistics costs. The
resultant effect is the bad turn-around ratios, increased cost of insurance, and other associated
cost increases. Thus overall the logistics costs increase manifold highlights a few of the
significant reasons for high logistics cost in India.
Significant Reasons for High Logistics Costs in India
Our interaction with a few key players reveals that presently, FTWZ seems to have got
Entangled in procedural bottlenecks with the ministry of finance having serious reservations over
the modalities facilitated by the ministry of commerce. These bottlenecks need to be Removed
expeditiously if we need to give a push to export centric logistics services. Further, in the Indian
logistics market, there are a few large players with a large number of small Players. This makes
the logistics sector highly fragmented and unorganized. There is a Mushrooming of transport
unions, which prevent flow of trucks from one geographical area to Another. This is hampering
the free price settlement in the transport sector. Most of these Unions are affiliated to the local
political groups. Institutionalized corruption (in north-east Organizations need to pay a fixed
28
amount per month to ferry the trucks) is another major Obstacle in the development of efficient
nationwide transporters .Currently in India, the national economy and marketplace are
undergoing rapid changes and transformation. A large number of reasons could be attributed to
these changes. One of the reasons in these changes in the Indian Market Scenario is
Globalization, and the subsequent and resulting explosive growth of global trade and the
international competition. The other reason for these changes in the Indian Market Scenario is
the technological change. This is an important factor because the technological competitiveness
is making, not only the Indian market, but also the global marketplace cutthroat. In the Indian
Marketing Scenario, the market success goes to those companies that are best matched to the
current environmental imperatives. Those companies that can deliver what the people want and
can delight the Indian customers are the market leaders. Today the companies are operating in
such a marketplace where survival of the fittest is the law. In order to win, the companies are
coming out with various new and evolving strategies because the Indian market is also changing
very fast. It is to capture the Indian market, that the Indian and the Multi National Companies are
using all of their resources.
The Indian market is no longer a seller’s market. The winner is the one who provides value for
money. A large number of companies have huge idle capacities, as they have wrongly calculated
the market size and installed huge capacities. This has further contributed to converting the
Indian market into a buyer’s market. The Indian Marketing Scenario is one of the biggest
consumer markets and that is precisely the reason why India has attracted several MNC’s. These
large Multi National Companies have realized that to succeed in the Indian market-place they
need to hire Indian representative who are much more aware of the Indian economic, political,
legal and social realities. In the Indian Marketing Scenario, it is the MADE FOR INDIA
marketing strategies that work.
India's exports rose 35.1 per cent in May to USD 16.1 billion year-on-year, but the trouble
brewing in some European economies may weigh on future demand. The seventh straight month
of rise was registered on a low export base of USD 11.95 billion in May 2009, when shipments
had plunged by over 29 per cent from the previous fiscal under the impact of the recession in the
US and several other advanced economies. For the April-May 2010-11 periods, exports grew by
35.7 per cent to USD 33 billion against the year-ago period, according to official data released on
29
Thursday. President of the Federation of Indian Export Organisations A Sakthivel said that the
crisis in some European countries is a cause for concern.
"We hope the growth trend will continue but the only worrying aspect is the crisis in the eruo
zone, which is likely to affect India's exports in that area," he said. He also added that the
depreciation of euro would provide fierce competition to Indian products in countries where they
are facing competition from Euro nations. Ministry officials said that labour-intensive sectors
like engineering, gems and jewellery, leather and man-made fibres have registered healthy
growth rates in May. Imports also surged 38.5 per cent in May to USD 27.4 per cent, indicating a
rapid pace of domestic economic activity and leading to a trade gap of USD 11.29 billion during
the month under review. Imports during the first two months of this fiscal grew 40.9 per cent to
USD 54.7 billion against USD 38.85 billion in the same period last year. Oil imports in May
were valued at USD 8.8 billion while the non-oil import bill was about USD 18.6 billion.
Problems associated with export import in Indian logistics industry
 The removal of 25-30 per cent Customs duty levied on fuel used by Indian ships and
solving other logistical hurdles to push for more usage of sea routes for both domestic
and international cargo. This will bring down transportation costs and also help in quick
transportation without any delays in delivery.
 The refined policy of setting up Air Freight Stations (AFS) should be there across the
country, which will help to boost trade and take into account the interests of private
airports. This will also promote international air cargo operations by reaching out to
hinterland regions of the country, besides decongesting FS should be considered.
 Introducing the Multimodal Transport Policy that would cover road and sea. The
government should work towards developing waterways, roads as well as the sea mode,
rail and airports together.
 Time-based hiring of ships for the purpose of imports should be exempted from payment
of service tax. Service tax on freight and all related services should be exempted.
 In today’s IT-driven logistics, there is need for the creation of a separate cell to act as an
information nerve centre forecasting the daily demands and supply of container racks at
various ports and ICDs.
30
 Language difference
 More risk
 Government control
 Difference in laws
 Difficulty in payment
 Custom duty
 Lack of information
 Evil effects of foreign trade
 Economics dependence
 Disadvantages to agriculture countries
 International jealousy
 One side development of country
 dumping
31
RESEARCH DESIGN
Research design is a framework or blueprint for conducting the research project. It specifies the
details of the procedure necessary for obtaining the information needed to structure and solve the
research problems. The research design used is descriptive design.
SAMPLE SIZE
Taking in account the nature and extend of the study. Along with constrains of time a
sample of 20 customers of ASV SUPPLY CHAIN were surveyed.
SAMPLING METHOD
The method of sampling used for the study is convenient sampling method.
QUESTIONNAIRE DESIGN
Closed ended questions-Respondents answers are limited to a fixed set of responses. Most scale
is closed ended. Other type of closed ended questions include,
Multiple choice-the responds has several options which to choose.
Scaled questions- responses are graded on continuum (example rate the appearance of the
product on a scale from 1 to 5 being the most preferred appearance) Examples of type of scale
include the liker scale semantic differential scale and rank –order scale.
The respondent supplies their own answer without being constrained by a fixed set of possible
responses.
32
PERIOD OF THE STUDY
The study was undertaken for three months from February 2nd to April 30 2015.
METHOD OF DATA COLLECTION
The data needed for the research study were collected by two source primary source and
secondary source.
PRIMARY DATA
Primary data were collected through survey from the customers of the company using the
questionnaire. Questionnaire helps to recognize the customers’ expectations.
SECONDARY DATA
Secondary data needed for conducting this research work were collected from brochures of the
company and employee profile, books internet and various journals etc.
TOOLS USED
1) PERCENTAGE ANALYSIS
The percentage analysis is the analysis of ratio of a current value to based value either the result
multiplied by 100 .the main objective of the percentage analysis is comparison of data for the
analysis.
Percentage analysis = No of respondents / Total respondents × 100
2) GRAPHICAL REPRESENTATION
Graphical representation like bar diagram, pie diagram, column are used to represent the data
which has been collected through the study
33
SCOPE OF THE STUDY
This study will help to understand the customer’s expectation from freight forwarders. It helped
to know about the satisfaction level of the organization. This study helps to sort out the area of
improvement in customer services. The study portrayed the need of continuous training along
with new skills and knowledge and technology that will help them with changing business needs
and demands. It also helps to access the real opinion and mind-set of customers and aids to meet
out their expectation in future.
34
LIMITATIONS OF THE STUDY
 The customers are busy while collecting the information so there may be inaccuracy in
information given by the customers.
 Due to time factor the study is limited to a period of three month.
 The information given by the customers may be biased.
 Some of the respondents should have not given actual facts in order to quickly finish off
the interview due to their time constraint.
35
TABLE NO 5.1
Respondent classification based on description of cargo
Factors No. of Respondents Percentage (%)
FCL 10 50%
LCL 10 50%
Total 20 100%
Inference: The above table that shows 10% of customers chooses FCL cargo and 10% of
customers choose LCL cargo.
CHART NO:5.1
0
2
4
6
8
10
12
FCL LCL
No. of Respondents
No. of Respondents
36
TABLE NO- 5.2
Respondent classification based on commodity of cargo
Factors No. of Respondents Percentage (%)
Garments 2 10%
Machineries 5 25%
Auto mobile 5 25%
Leather items 2 10%
Others 6 30%
Total 20 100%
Inference: The above table shows that 30% cargo is other items, 25% of cargo is
machineries,30% of cargo is auto mobile,10% of cargo is leather and other 10% of cargo is
garments.
CHART NO: 5.2
0
1
2
3
4
5
6
7
Factors Garments MachineriesAuto mobile Leather
items
Others
Series1
Series2
Series3
37
TABLE NO: 5.3
Respondent classification based on shipment per month
No: of shipment per month No. of Respondents Percentage (%)
Below 1 TEU 3 15%
1 to 2 TEU 2 10%
3 to 4 TEU 4 20%
5 to 6 TEU 8 40%
More than 6 TEU 3 15%
Total 20 100%
Inference: The above table shows 10% of customers exporting 1 to 2 TEU, 20% of customers
exporting 3 to 4 TEU, 15% of customers exporting below 1 TEU and, 40% of customers
exporting 5 to 6 TEU and remaining 15% of customer exporting more than 6 TEU.
CHART NO: 5.3
0
1
2
3
4
5
6
7
8
9
Below 1 TEU 1 to 2 TEU 3 to 4 TEU 5 to 6 TEU More than 6
TEU
No. of Respondents
No. of Respondents
38
TABLE NO: 5.4
Respondent classification based on who controls the shipment
Shipment controller No. of Respondents Percentage (%)
Seller 13 66%
Buyer 7 34%
Total 20 100%
Inference: The above table shows 66% of shipment is taken by seller and remaining 35% of
shipment is taken by buyer.
CHART NO: 5.4
0
2
4
6
8
10
12
14
Seller Buyer
No. of Respondents
No. of Respondents
39
TABLE NO: 5.5
Respondent classification based on who negotiate the freight rates
Negotiator No. of Respondents Percentage (%)
Sales manager 12 60%
Logistics manager 08 40%
Total 20 100%
Inference: The above table shows that 60% of freight negotiation done by sales manager and
40% is done by logistics manager.
CHART NO: 5.5
0
2
4
6
8
10
12
Sales manager Logistics manager
No. of Respondents
No. of Respondents
40
TABLE NO: 5.6
Respondent classification based on frequency of after shipment requirement
Frequency No. of Respondents Percentage (%)
Daily statement 07 35%
Weekly statement 13 65%
Total 20 100%
Inference: The above table shows 65% of customers want weekly statement and 35% of
customers want daily statement.
CHART NO: 5.6
0
2
4
6
8
10
12
14
Daily statement Weekly statement
No. of Respondents
No. of Respondents
41
TABLE NO- 5.7
Respondent classification based on the importance of Customers service through phone
Factors No. of Respondents Percentage (%)
Highly unimportant 0 0
Unimportant 0 0
Neither unimportant nor
important
4 20%
Important 8 40%
Very important 8 40%
Total 20 100%
Inference: The above table shows importance of telephone service, 40% important,40% very
important, 14% neither un important nor important.
CHART NO: 5.7
0
1
2
3
4
5
6
7
8
No. of Respondents
No. of Respondents
42
TABLE NO: 5.8
Respondent classification based on the importance of giving competitive freight
Factors No. of Respondents Percentage (%)
Highly unimportant 0 0
Unimportant 0 0
Neither unimportant nor
important
0 0
Important 06 30%
Very important 14 70%
Total 20 100%
Inference: The above table shows that competitive freight is very important for 70% of
customers and 30% of customers are important.
CHART NO: 5.8
0
5
10
15
No. of Respondents
No. of Respondents
43
TABLE NO: 5.9
Respondent classification based on the importance of co-ordination during pre-shipment
Factors No. of Respondents Percentage (%)
Highly unimportant 0 0
Unimportant 0 0
Neither unimportant nor
important
0 0
Important 6 30%
Very important 14 70%
Total 20 100%
Inference: The above table shows that coordination during pre-shipment is very important for
70% of customers and 30% of customers are important.
CHART NO: 5.9
0
2
4
6
8
10
12
14
No. of Respondents
No. of Respondents
44
TABLE NO: 5.10
Respondent classification based on the importance of Coordination while taking BL
Factors No. of Respondents Percentage (%)
Highly unimportant 0 0
Unimportant 0 0
Neither unimportant nor
important
0 0
Important 2 10%
Very important 18 90%
Total 20 100%
Inference: The above table shows coordination in taking BL is very important for 90% of
customers and 10% of customers are important.
CHART NO: 5.10
0
2
4
6
8
10
12
14
16
18
No. of Respondents
No. of Respondents
45
TABLE NO: 5.11
Respondent classification based on the importance of giving cargo details to consignee
Factors No. of Respondents Percentage (%)
Highly unimportant 0 0
Unimportant 0 0
Neither unimportant nor
important
0 0
Important 2 10%
Very important 18 90%
Total 20 100%
Inference: The above table shows that information about delivery of the cargo to the consignee
is very important for 90% of customers and 10% of customer is important.
CHART NO: 5.11
0
2
4
6
8
10
12
14
16
18
20
Highly
unimportant
Unimportant Neither
unimportant
nor important
Important Very important
No. of Respondents
No. of Respondents
46
TABLE NO: 5.12
Respondent classification based on the importance of ASV giving information about the
shipment
Factors No. of Respondents Percentage (%)
Very rarely 0 0
Rarely 0 0
Average or sometimes 0 0
Most of times 13 65
Always 07 35%
Total 20 100%
Inference: The above table shows that 35% customers always getting information about the
shipment and 65% of customers getting most of the times.
CHART NO: 5.12
0
2
4
6
8
10
12
14
Very rarely Rarely Average or
sometimes
Most of
times
Always
No. of Respondents
No. of Respondents
47
TABLE NO: 5.13
Respondent classification based on the importance of ASV giving competitive freight
Factors No. of Respondents Percentage (%)
Very rarely 0 0
Rarely 0 0
Average or sometimes 0 0
Most of times 08 40
Always 12 60
Total 20 100%
Inference: The above table shows that 60% of customers always getting competitive freight
from ASV and 40% of customers getting most of the times.
CHART NO: 5.13
0
1
2
3
4
5
6
7
8
9
Very rarely Rarely Average or
sometimes
Most of
times
Always
No. of Respondents
No. of Respondents
48
TABLE NO: 5.14
Respondent classification based on ASV giving coordination during pre- shipment
Factors No. of Respondents Percentage (%)
Very rarely 0 0
Rarely 0 0
Average or sometimes 0 0
Most of times 07 35
Always 13 65
Total 20 100%
Inference: The above table shows that 65% of customers always getting coordination during
pre- shipment from ASV and 35% of customers getting most of the times.
CHART NO: 5.14
0
2
4
6
8
10
12
14
Very rarely Rarely Average or
sometimes
Most of times Always
No. of Respondents
No. of Respondents
49
TABLE NO: 5.15
Respondent classification based on the importance of ASV giving co-ordination in taking
the BL
Factors No. of Respondents Percentage (%)
Very rarely 0 0
Rarely 0 0
Average or sometimes 0 0
Most of times 4 20%
Always 16 80%
Total 20 100%
Inference: The above table shows that 80% of customers always getting coordination in taking
BL from ASV and 20% of customers getting most of the times.
CHART NO: 5.15
0
2
4
6
8
10
12
14
16
Very rarely Rarely Average or
sometimes
Most of
times
Always
No. of Respondents
No. of Respondents
50
TABLE NO: 5.16
Respondent classification based on the importance of ASV helps in track and trace of the
cargo
Factors No. of Respondents Percentage (%)
Very rarely 0 0
Rarely 0 0
Average or sometimes 04 20%
Most of times 10 50%
Always 06 30%
Total 20 100%
Inference: The above table shows that 30% of customers always getting helps in trace and track
of the cargo from ASV, 50% of customers getting most of the times and 20% of customers
getting some times.
CHART NO: 5.16
0
2
4
6
8
10
12
Very rarely Rarely Average or
sometimes
Most of times Always
No. of Respondents
No. of Respondents
51
TABLE NO: 5.17
Respondent classification based on importance of ASV gives information about delivery of
the cargo to the consignee
Frequency No. of Respondents Percentage (%)
Very rarely 0 0
Rarely 0 0
Average or sometimes 0 0
Most of times 6 30%
Always 14 70%
Total 20 100%
Inference: The above table shows that 70% of ASV customers prefer always to give delivery
details of the cargo to the consignee and 30% customers most of time
CHART NO: 5.17
0
2
4
6
8
10
12
14
Very rarely Rarely Average or
sometimes
Most of
times
Always
No. of Respondents
No. of Respondents
52
FINDINGS
 10% of respondents choose FCL cargo. And 10% of respondent choose LCL cargo.
 30% cargo is other items, 25% of cargo is machineries, 25% of cargo is Auto mobile,
10% of cargo is leather and other 10% of cargo is garments.
 10% of respondents choose 1 to 2 TEU, 20% of respondents choose 3 to 4 TEU, 15% of
respondents choose below 1 TEU and remaining 40% of respondents choose g 5 to 6
TEU
 66% of shipment is taken by seller and remaining 34% of shipment is taken by buyer.
 60% of freight negotiation done by sales manager and 40% is done by logistics manager
 65% of respondents want weekly statement and 35% of respondents want daily
statement.
 Importance of telephone service, 40% of the respondents feel telephone service is
important, 40% of the respondents feel telephone service is very important, 20% neither
UN important nor important.
 70% of respondents feel competitive freight is very important and 30% of respondents
feel is important.
 For 70% of respondents feel coordination during pre-shipment is very important and 30%
of respondents feel is very important.
 90% of respondents feel coordination in taking BL is very important for. And 10% of
respondents are important.
 72% of respondents feel information about delivery of the cargo always get to the
consignee and 30% of respondents feel most of time they get information.
53
SUGGESTIONS
 ASV Supply chain can concentrate more on service during pre-shipments so that they can
fulfil the customer’s expectation on coordination during pre-shipment.
 ASV supply chain management can ask some suggestions about promotions to the sales
associative who meet the customer on face to face so that he will know better about the
expectations of the customers
 ASV supply chain can keep a regular contact with the customer to understand the
customers expectation on the services
 Like all other departments ASV should focus on CRM also which will make a better
understanding with the customer
 ASV supply chain can improve the information flow since the customers feels that
information about delivery of the cargo to the consignee is very important
 It is always better to improve the telephone services because Majority of the respondent
feel telephone service is very important considering to flow of information
 Concentrate more on giving competitive services so that ASV supply chain can retain the
customers in their business
54
LEARNINGS OF THE STUDY
 Studied about the challenges faced by ASV supply chain solutions in sea exports
 Studied about the export procedures
 Learnt about the CRM strategies that used by ASV supply chain solutions
 Studied the working process at ASV supply chain solutions
 Learnt about customer expectation on export and import
55
CONCLUSION
This study which is a collection of opinion from ASV Supply chain customers helps to
learn the customer’s new point of view .The main objective of the study was to make a
complete study over the customer’s expectation from freight forwarders. In this cut throat
competitive environment understanding customer expectations and preference are
essential for providing customer satisfaction, this study helps to understand the customer
preference while selecting freight forwarders. The important found to be considered by
the exporter while selecting a freight forwarder includes: Freight rate allowed Credit
period, turnaround time, service quality Clearance service, network of overseas agent,
tracking and tracing of cargo, consolidation and Value added service. The customer’s
expectation was almost satisfied by ASV Supply chain and further improves with the
market.
56
BIBLIOGRAPHY
REFERRENCE
 Adrian; aivaz, kamer; capatina, alexandru their studies in implications of logistic service
quality on the satisfaction level and retention rate of an e-commerce retailer's
customer’s economic computation & economic cybernetics studies & research. (2013,
vol. 47 issue 2, p147-155. 9p.)
 Arun;Grewal,Dhruv;Levy,Michaelon intheirstudiesThe customer satisfaction/logistics int
erface Journal of Business Logistics.( 1995, Vol. 16 Issue 2, p1-21. 21p)
 Burkovskis, raimondas his study in efficiency of freight forwarders participation in the
process of transportation transport (16484142). 2008, Vol. 23 Issue 3, p208-213. 6p.
 Douglas m leuschner, rudolf; lambert,.; knemeyer, a. michael their studies in logistics
performance, customer satisfaction and share of business acomparison of primary and
secondary supplies journal of business logistics. sep2012, vol. 33 issue 3, p210-226. 17p.
 Florez-Lopez, Raquel; Ramon-Jeronimo, Juan M. in their studies on
Managing logistics customer service under uncertainty: An integrative fuzzy Kano
framework. ( Information Sciences. Oct 2012, Vol. 202, p41-57. 17p. )
 Gin-Shun Liang; Tsung-Yu Chou; Shu-Fen Kan (2006), in their studies in Applying
fuzzy quality function deployment to identify service management requirements for an
ocean freight forwarder Total Quality Management & Business Excellence
 Gajewska, Teresa Lisińska-Kuśnierz, Małgorzata; their studies in CUSTOMER
SATISFACTION WITH THE QUALITY OF THE LOGISTIC SERVICES.
LogForum. 2014, Vol. 10 Issue 1, p13-19. 7p.
 Goldsby Rao, Shashank;, Thomas J.; Griffis, Stanley E.; Iyengar, Deepak. Their studies
in Electronic Logistics Service Quality (e-LSQ): Its Impact on the Customer's Purchase
Satisfaction and Retention Journal of Business Logistics. 2011,( Vol. 32 Issue 2, p167-
179. 13p.)
 Giovanis, A.N.; Tsoukatos, in their study on relationships between logistics service
deliverable, customer satisdaction and loyality in industrial supply chains
57
 Ranjan, Jayanthi; Puri, Sandeep. Out of Stock conditions
affecting Customer satisfaction and customer loyalty In their studies in Journal of
Business & Retail Management Research.( Apr2012, Vol. 6 Issue 2, p38-52. 15p.)
WEBSITE REFERRED
www.ebsco.com
www.wikipedia.com
www.google.com
58
QUESTIONNAIRE
1) Company name:
2) What type of containers do you use?
a) FCL b) LCL
3) What is the commodity?
4) How many shipments do you ship per month?
a) Below 1 TEU b) 1 to 2 TEU
c) 3 to 4 TEU d) 5 to 6 TEU
e) more than 6
5) Who controls the shipment for you?
a) Seller b) Buyer
6) What is the procedure followed to fix meeting with you?
a) Appointment b) Direct meet
7) Who is the person authorized to negotiate freight rate?
a) Purchase head b) Logistics manager
8) What is required for after shipment service required?
a) Daily statement b) Weekly statement
59
c) Ware house d) Transportation
e) Tracking
9) How important is the Customer service through phone?
a) Highly unimportant b) Unimportant
c) Neither unimportant nor important d) Important
e) Very important
10) How important is giving competitive freight to you?
a)Highly unimportant b) Unimportant
c) Neither unimportant nor important d)Important
e) Very important
11)) How important is giving coordination during pre shipment?
a)Highly unimportant b) Unimportant
c) Neither unimportant nor important d) Important
e) Very important
12) How important is giving coordination in taking the B/L?
a) Highly unimportant b) Unimportant
c) Neither unimportant nor important d) Important
e) Very important
13) How important is giving information about delivery of the cargo to the consignee?
a) Highly unimportant b) Unimportant
c) Neither unimportant nor important d) Important e) Very important
60
14) How often ASV SUPPLY CHAIN Gives information about the shipment?
a) Very rarely b) Rarely
c) Average or sometimes d) Most of the times
e) Always
15) How often ASV SUPPLY CHAIN gives competitive freight?
a) Very rarely b) Rarely
c) Average or sometimes d) Most of the times e) Always
16) How often ASV SUPPLY CHAIN gives coordination during pre-shipment?
a) Very rarely b) Rarely
c) Average or sometimes c) Most of the times
d) Always
17) How often ASV SUPPLY CHAIN gives coordination in taking the B/L?
a) Very rarely b) Rarely
c) Average or sometimes d) Most of the times
e) Always
18) How often ASV SUPPLY CHAIN helps in track and trace of the cargo?
a) Very rarely b) Rarely
c) Average or sometimes d) Most of the times
e) Always
61
19) How often ASV SUPPLY CHAIN Gives information about delivery of the cargo to the
consignee?
a) Very rarely b) Rarely
c) Average or sometimes d) Most of the times
d) Always

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project asv - Copy

  • 1. 1 INTRODUCTION Freight forwarding is a service used by companies that deal in international or multi-national import and export .while the freight forwarder doesn’t actually move the freight itself. It act us an intermediate between the client and various transportation services. Sending products from one international destination to another can involve a multitude of carriers, requirements and legalities. A freight forwarding services handles the considerable logistics of this task for the client, relieving what would otherwise be a formidable burden. Freight forwarding services guarantee that products will get to the proper destination by an agreed upon in good condition. The freight forwarding service utilizes established relationships with carriers of all kinds, from air freighters and trucking companies, to rail freighters and ocean liners. Freighter forwarding services negotiate the best possible price to move the product along the most economical route by working out various bids and choosing the one that best balances, speed, cost and reliability. Freight forwarding plays an important role in facilitating international trade, fulfilling a number of distinct functions. In basic terms they act on behalf of exporters to buy and manage transportation services. These usually include air or sea freight, as well as land transportation services to move goods from the shipper to the port. FREIGHT FORWARDING PROCESS Logistics is the ability to properly prepare the complex process of planning the movement, storage, as well as sending of services as well as sending of services as well as items. This freight forwarding service is trigged by a freight forwarder, the 3rd party provider that designs and also schedules the logistics, as well as process shipment from one place to another. That forwarder directs goods as well as services through airplane, ship, train, trucks as well as several other vessels. The key purpose of freight forwarders for exports is almost always to move the products to international locations, while these forwarders also process complex documentation needed to import and export items. As extremely competitive market, corporations have found solutions to modernize their own freight forwarding service to attract and also sustain the business of exporters.
  • 2. 2 It is crucial for freight forwarders to understand the laws and regulations of countries where they’re to send out their shipment. This know-how must include about the costs, charges, as well as fees and other expenses associated to each forwarding procedure. Freight forwarders take care of commercial invoicing, bill of lading, as well as export declarations. During freight forwarding transactions, the freight forwarder will notify the sender regarding the date of whenever the goods will be delivered. It is part of the freight forwarders service to be certain that the products definitely will reach the selected location of shipping and delivery in time, which may be a port, airport terminal as well as other locations according to the agreed time frame on the transport contract. A lot of the freight forwarders are licensed by international organizations as well as other intermediary agencies as necessary for forwarding industry.
  • 3. 3 NEED OF THE STUDY In the shipping industry freight forwarding plays a very vital role. Freight forwarding is a vital part of international trade activity and the forwarder act as a buffer between the manufacturer/ exporter and the sea carrier to assist in efficient flow of good down the international transport chain. Since logistics is a booming felid considered to INDIA, retention of the existing customer and getting the new customer is very important for that understanding the customer expectation on the services will help to provide a better solution to the customer. Especially in logistics industry customers will be more reliable on the services which we are providing. according to that only they can plan things so in logistics felid it is always important to understand the customer, not only in logistics industry in all industry “Customers are always right” so this study will surely help the company to improve the business  This study is to analyze the customer service model and offer suggestions on a new model of CRM  This study will help ASV supply chain solutions to know whether they can retain the customers in business  In another way this study will improve the performance of the company  To improve the service and quality level
  • 4. 4 STATEMENT OF THE PROBLEM Customer is always right and customer is the king in all business. Without customer no company can survive in the market. In this competitive world it is more difficult to retain a customer than getting a new customer. So before getting in to something we should understand the customer and their expectation on the service of the company then only company will be able to provide a better service and to create more competitive edge with competitors so, to identify the customers expectation in the case of sea export is necessary in ASV supply chain solution with a motive of retention of customer because the customer may or may not be happy with the service.
  • 5. 5 INDUSTRY PROFILE LOGISTICS INDUSTRY Logistics is the management of the flow of goods between the point of origin and the point of consumption in order to meet some requirements, for example, of customers or corporations. The resources managed in logistics can include physical items, such as food, materials, animals, equipment and liquids, as well as abstract items, such as time, information, particles, and energy. The logistics of physical items usually involves the integration of informationflow, materialhandling, production, packaging, inventory,transportation, warehousin g and often security. The complexity of logistics can be modeled, analyzed, visualized, and optimized by dedicated simulation software. The minimization of the use of resources is a common motivation in logistics for import and export. Origin definition The prevalent view is that the term logistics comes from the late 19th century: from French logistique (loger means to lodge). Others attribute a Greek origin to the word: meaning reason or speech, meaning accountant or responsible for counting. The Oxford English Dictionary defines logistics as "the branch of military science relating to procuring, maintaining and transporting material, personnel and facilities." However, the New Oxford American Dictionary defines logistics as "the detailed coordination of a complex operation involving many people, facilities, or supplies", and the Oxford Dictionary on-line defines it as "the detailed organization and implementation of a complex operation". As such, logistics is commonly seen as a branch of engineering that creates "people systems" rather than "machine systems". According to the Council of Logistics Management, logistics includes the integrated planning, control, realization, and monitoring of all internal and network-wide material, part, and product flow, including the necessary information flow, industrial and trading companies along the complete value-added chain (and product life cycle) for the purpose of conforming to customer requirements.
  • 6. 6 Logistics is the process of planning, implementing, and controlling the effective and efficient flow of goods and services from the point of origin to the point of consumption. Academics and practitioners traditionally refer to the production management when referring to physical transformations taking place in a single business location (factory, restaurant or even bank clerking) and reserve the term logistics for activities related to distribution, that is, moving products on the territory. Managing a distribution center is seen, therefore, as pertaining to the realm of logistics since, while in theory the products made by a factory are ready for consumption they still need to be moved along the distribution network according to some logic, and the distribution center aggregates and processes orders coming from different areas of the territory. That being said, from a modeling perspective, there are similarities between operations management and logistics, and companies sometimes use hybrid professionals, with for ex. "Director of Operations" or "Logistics Officer" working on similar problems. Furthermore, the term supply chain management originally refers to, among other issues, having a global vision of both production and logistics from point of origin to point of production. All these terms may suffer from semantic change as a side effect of advertising. SHIPPING INDUSTRY The transport system the shipping industry has developed to carry this diverse range of commodities involves several separate but overlapping segments of the shipping business, each handling a different group of trades. This specialization is based on parcel size (i.e. the size of the individual consignment of cargo) and the cargo. Physical characteristics. The industry can be divided into three broad segments, each of which handles a specific set of cargoes.  BULK SHIPPING: handles large cargo parcels in "bulk carriers" and oil tankers designed for the efficient transport of the very large parcels (10 to 450,000 tonnes) of homogeneous cargoes such as iron ore, coal, grain, oil etc.  SPECIALIZED SHIPPING: Transports large quantities of "specialized" trades (e.g. chemicals, gas, motor vehicles, forest products), generally using ships built for the purpose. Although these ships are purpose built, they are often designed to allow the carriage of other cargoes. Specialized cargoes are often subject to competition from both the liner and bulk shipping segments.
  • 7. 7  LINER SHIPPING: specializes in the transport of small cargo parcels, which do not fill the hold of a ship, on regular services. Today most liner cargo is carried in containerships, but some are still transported in multi-purpose vessels or Ro-Ro’s. FREIGHT FORWARDING HISTORY One of the earliest freight forwarders was Thomas Meadows and Company Limited of London, England, established in 1836. According to "Understanding the Freight Business," written and published by the executive staff of Thomas Meadows and Company in 1972. The advent of reliable rail transport and steamships created demand for the fledgling freight forwarding industry. Trade developed between Europe and North America, creating additional demand. The first international freight forwarders were innkeepers in London who held and re- forwarded the personal effects of their hotel guests. The original function of the forwarder was to arrange for carriage by contracting with various carriers. Forwarder responsibilities included advice on documentation and customs requirements in the country of destination. His correspondent agent overseas looked after his customers' goods and kept him informed about matters that would affect movement of goods. In modern times the forwarder accepts the same responsibilities. It operates either as a domestic US carrier or otherwise with a corresponding agent overseas or with his own branch-office. In a single transaction, the forwarder may be acting as a carrier (principal) or as an agent for his customer or both. Freight forwarder, forwarder, or forwarding agent is a person or company that organizes shipments for individuals or other companies and may also act as a carrier. A forwarder is often not active as a carrier and acts only as an agent, in other words as a third-party (non-asset-based) logistics provider that dispatches shipments via asset-based carriers and that books or otherwise arranges space for these shipments. Carrier types include ships, airplanes, trucks, and railroads.
  • 8. 8 Freight forwarders typically arrange cargo movement to an international destination. Also referred to as international freight forwarders, they have the expertise that allows them to prepare and process the documentation and perform related activities pertaining to international shipments. Some of the typical information reviewed by a freight forwarder is the commercial invoice, shipper's export declaration, bill of lading and other documents required by the carrier or country of export, import, or transshipment. Much of this information is now processed in a paperless environment. International Freight Forwarders and NVOCCs and customs brokers often charge a fee for transferring documents to another transportation company at destination. This fee is ultimately paid by the importer at the port of discharge generally as an advance on the customs brokers billing. This fee is separate from documentation fees charged by steamship carriers and NVOCCs as part of the freight charges on a bill of lading and is separate from other fees for document preparation or for release of cargo. Some companies may call this an admin fee, doc fee, doc transfer or other name but it exists in some form in most destinations around the world and is well known to most importers. FREIGHT FORWARDING IN WORLD A freight forwarder, forwarder, or forwarding agent, is a person or company that organizes shipments for individuals or corporations to get goods from the manufacturer or producer to a market, customer or final point of distribution. Forwarders contract with a carrier to move the goods. A forwarder does not move the goods but acts as an expert in supply chain management. A forwarder contracts with carriers to move cargo ranging from raw agricultural products to manufactured goods. Freight can be booked on a variety of shipping providers, including ships, airplanes, trucks, and railroads. It is not unusual for a single shipment to move on multiple carrier types. 'International freight forwarders" typically handle international shipments. International freight forwarders have additional expertise in preparing and processing customs and other documentation and performing activities pertaining to international shipments. Information typically reviewed by a freight forwarder includes the commercial invoice, shipper’s, bill of lading and other documents required by the carrier or country of export, import, and/or transshipment. Much of this information is now processed in a paperless environment.
  • 9. 9 The FIATA shorthand description of the freight forwarder as the 'Architect of Transport' illustrates the commercial position of the forwarder relative to his client. In Europe, some forwarders specialize in 'niche' areas such as rail-freight, and collection and deliveries around a large port. Lloyd's Loading List is the freight forwarding industry’s' journal of record, first published 160 years ago as a UK export directory today it provides details of forwarders, NVOCC , shipping lines/agents who serve over 10,000 ports globally.
  • 10. 10 COMPANY PROFILE ASV supply chain services private limited is a private company incorporated on 10 August 2011.it is classified as Indian non government company and is registered at Register of companies, Chennai. Its authorized share capital is Rs.100, 000 and its paid up capital is Rs.100, 000. ASV supply chain services private limited’s corporate identification Number is (CIN) U63090TN2011PTC081866 and its registration number is 81866 .Its registered address is NO.90,GNT Road ,ponniammanmedu, madavaram CHENNAI-600110,TAMIL NADU INDIA VISION STATEMENT Perform Safe and on time delivery to Domestic & International Customer. Operate with well trained and Competent Personnel. To strive for continual improvement and try to offer innovative & cost effective solution to our customer Key objectives of ASV SUPPLY CHAIN SERVICES PVT. LTD 1. , lead - time reduction and flexibility are our most important objectives. To improve the profit performance of our customer through excellence in Supply Chain Management, Domestic and International Logistics of WMS [Warehouse Management Systems] & TMS [Transport Management Systems]. 2. On time delivery 3. International Quality IT systems for Visible Track & Trace’ the cargo.
  • 11. 11 CORPORATE PROFILE  Logistics Division – ASV Logistics.  Established – Year 2008.  Converted as Partnership – YEAR 2009.  Converted as PRIVATE LIMITED – Aug 2011.  Domestic & International Logistics and SCM.  Associate Companies :-  M/s. JMD Shipping Agencies – CHA.  M/s. Sun freight India Pvt Ltd – FF & CHA in Tuticorin.  M/s. Heart Care Technologies Pvt Ltd – Mfg Company. ASV SUPPLY CHAIN SERVICES PVT. LTD. – CUSTOMER LIST  Delphi – TVS Diesel Systems Ltd  Komos Automotive India Pvt Ltd  Roche Mining MT [India] Pvt Ltd  Maersk Logistics - DAMCO  Shenzen Mediplus – China  THE HINDU – Kasturi & Sons Ltd  ICI India Limited – Akzo Nobel  Super Auto Forge Ltd  Komatsu India P Ltd / Cargo Intl. Pvt. Ltd  TVS Dynamic / TVS Logistics Services  Wilson Sandhu Logistics [India] Limited  Insmart Systems, Hyderabad  DHL Lemuir Logistics Pvt. Ltd  Orion Express Container Lines Pvt. Ltd
  • 12. 12 ASV SUPPLY CHAIN SERVICES PVT. LTD INFRASTRUCTUR  OUTSOURCED 40’ TRAILERS - 18 NOS  ATTACHED TRAILERS 20’ & 40’ - 18 NOS  OUTSOURCED 9 MT/16 MT LORRY – 12 NOS  ATTACHED LCV’S - 11 NOS  COVERD WAREHOUSE – Closed to 60,000 SQ. FT  OWN FORKLIFT – 04 Nos  BUSINESS VERTICAL OF FF, CHA,TMS & WMS  ODC TRANSPORTATION  NEWS PAPER DISTRIBUTION Company services  Ware house  Transportation and distribution  Customs house agents  Other logistics related services Competitors  NTC( Namakkal Transport carriers)  KINGS SHIPPING  ADARSH SHIPPING  KMM FREIGHT SYSETEM  SINDHU CARGO LOGISTICS
  • 13. 13 NTC PVT LTD Namakkal Transport Carriers (P) Limited (NTC), was established in the year 1997 and incorporated as a Private Limited company in the year 2001 with an objective to cater to the specific logistics needs of the business and trade. It was established at a time when the Indian transport entrepreneurs were severely handicapped due to non-availability of specialty vehicles, especially for the transportation of heavy over dimensional consignments. From a humble beginning just about a decade ago, NTC today is a multi-crore business group, providing end-to- end logistic solutions to meet the specific needs of its prestigious customers, aspire to branch out into allied businesses in India and abroad. NTC firmly believes that Quality Service, Safety and timely delivery not only satisfy the requirements of Customers and establish long term relationships, but also identifies NTC as a company with a competitive edge in the Transport spectrum across India. The recognition thus earned, further influenced new scope and dimensions in the logistic segments in transport industry. It's all-round efficiencies and competencies provide optimal solutions to the customers backed by strong systems, controls and procedures have lead the company to certification on ISO 9001:2008 by TUV NORD – Germany. ADARSH SHIPPING ADARSH SHIPPING as a bunker trading company they strongly commit to compliance with the product specification provided by the ship owners. To make sure 100% smooth sailing to their destinations, they adhere to the process for ensuring the prominent bunker delivery with best quality products. Logistics: As part of supply chain management, logistics play a vital role. They believe that their efficient logistics which makes bunkering more smoother. Cost and Service efficiency: To compete with the current market trend they provide efficient service for better prices.
  • 14. 14 KMM FREIGHT SYSTEM KMM Freight Systems is one of the upcoming International Freight Forwarding agent, Air and Sea Cargo consolidators and Customs Clearing Agents. They operate in the following: Freight Forwarding (AIR & SEA) Door – Door Logistics Services Export & Import Consultation Consolidation of Air/ Sea (Import & Exports) Customs Broker Transportation Warehousing KMM offers its sincere and dedicated service to its customers for more than a decade. The Company is being directed by Smt. LOUIS PREMALATHA who is trained in the field of logistics for more than 2 decades. She is leading the Empire with the ideal policy to serve the customers with utmost Satisfaction. The company's aim is to provide fast, reliable KINGS SHIPPING Nationally. Internationally. Wherever you're going, we'll get you there. Their global transportation offerings include ground, ocean and air freight transportation services. And they include GPS units at the pallet level, too. So wherever you are They follow a detailed approach that starts with on-boarding every client, and carries through from pre-start through post-launch. Kings shipping will not stop their service in shipping and will help you with fulfillment, warehousing, project management, and more. They will find out what you need.
  • 15. 15 SINDHU CARGO SERVICES Sindhu Cargo Services Private Limited is a Bangalore based company engaged in providing end-to-end logistic solutions in India. Sindhu Cargo has been serving the Trade & Industry since 1987. Sindhu Cargo has a strong team of well trained manpower of over 800 qualified & experienced professionals' across India to serve the esteemed clients. Sindhu Cargo is well spread across India & have branches at 20 locations in all major ports, ICDs & airports across India. Sindhu Cargo is associated with more than 100 counterparts across the globe.Sindhu Cargo is a licensed Custom House Agent (CHA). The company is accredited to IATA & possesses NVOCC licence. The company is also member of many freight forwarding associations such as FFFAI, FIATA & AMTOI. Sindhu Cargo is also a registered member of WCA Family of logistics network comprising of APLN, IGLN etc., Sindhu Cargo is also an active member of Bangalore Customs House Agents Association Ltd., (BCHAAL)
  • 16. 16 OBJECTIVES OF THE STUDY PRIMARY OBJECTIVE  To identify the customers expectation on freight forwarding with special reference to ASV SUPPLY CHAIN pvt ltd SECONDARY OBJECTIVES  To understand the export and import process in Indian logistics industry.  To identify the problem associated with export import in Indian logistics industry  To identify the steps involved in the sea export.  To offer suggestions to improve customer satisfaction.
  • 17. 17 REVIEW OF LITERATURE Adrian; aivaz, kamer; capatina, alexandru their studies in implications of logistic service quality on the satisfaction level and retention rate of an e-commerce retailer's customer’s economic computation & economic cybernetics studies & research. The article offers information on the research which is focused on how the logistic service quality influence the satisfaction of customers and their retention rate within an online retailer, specialized in sales of information technology and electronic devices. It informs that the data were analyzed by means of confirmatory factorial analysis, one-way and two-way analysis of vari8ance (ANOVA) method and linear regression analyses. (AN: 89707078), Database: Business Source Elite Arun; Grewal, Dhruv; Levy, Michaelon in their studies the customer satisfaction /logistics interface Journal of Business Logistics. The article examines the impact of a firm's business logistics policy on customer satisfaction, profitability and strategic partnering. The degree to which customers are satisfied determines whether customers make additional purchases and recommend the company and its products to others. Improving the quality of logistics service is particularly important because it increases customer satisfaction, which in turn heightens the occurrence of strategic partnering and corporate profitability. The degree to which customers are satisfied with a product is determined by the combined impact of its attributes versus its cost. An important determinant of customer satisfaction is how well the product performs. Specifically, logistics managers should understand and occasionally shape the customer's pre-purchase logistics service expectations in order to increase customer satisfaction. The proposed framework highlights strategies by which logistics managers can increase customer satisfaction by focusing on specific post-purchase customer/logistics interactions. It is important for the selling firm to get customers involved in the management of the logistics process. (AN: 9510173368), Database: Business Source Elite
  • 18. 18 Burkovskis, raimondas his study in efficiency of freight forwarder's participation in the process of transportation in the process of transporting goods allows his clients to refuse unnecessary services and get focused on the main competencies of a company. At presence, there is no common definition of the term ' Freight forwarders ' or identical legal regulation of responsibility and functions; therefore, the problems of unifying the international process of goods movement are confronted. This reduces the efficiency of activity and causes additional problems in the field of international trade. In the future, Freight forwarders role in logistics supply chain will rise and the clients will demand the whole package of logistics services. Therefore, special notice should be given to stimulate investments into the new Freight forwarders services. Freight forwarders participation in the process of transporting goods allows his clients to refuse unnecessary services and get focused on the main competencies of a company. At presence, there is no common definition of the term Freight forwarders or identical legal regulation of responsibility and functions; therefore, the problems of unifying the international process of goods movement are confronted. This reduces the efficiency of activity and causes additional problems in the field of international trade. In the future, Freight forwarders role in logistics supply chain will rise and the clients will demand the whole package of logistics services. Therefore, special notice should be given to stimulate investments into the new Freight forwarders services. Douglas m leuschner, rudolf; lambert,.; knemeyer, a. michael their studies in logistics performance, customer satisfaction and share of business acomparison of primary and secondary supplies journal of business logistics in the linkage between logistics performance and overall firm performance has received attention in the literature for more than 30 years. However, researchers have not investigated if differences in performance between primary and secondary suppliers affect customer satisfaction and the percentage of business allocated to suppliers. In this research, primary suppliers received more than four times as much business as the secondary suppliers. We investigated the impact of the Marketing Mix on customer satisfaction and share of business for primary suppliers and secondary suppliers, and identified differences between the two groups, using multi group structural equation modeling. The results indicate that perceived performance on logistics attributes significantly affects customer satisfaction and the percentage of business that is allocated to primary and secondary suppliers, which is key information for developing competitive strategies. Our
  • 19. 19 research findings challenge the practice of providing service levels to customers based on current revenue or profitability which does little to convince customers, who are using a company as secondary source, to make it the primary supplier. Florez-Lopez, Raquel; Ramon-Jeronimo, Juan M. in their studies on Managing logistics customer service under uncertainty logistics customer service model is a critical competitive advantage that enhances both customer satisfaction and firm performance. Researchers have developed several models for assessing customer requirements, measuring product performance, and positioning products. However, handling customers’ linguistic preferences and uncertain product attributes remain significant and unresolved problems. In this study, we develop an integrative framework that incorporates the Kano model, fuzzy distances, and 2-tuple fuzzy-linguistic model to manage customer-service logistics more effectively. Following a five-module architecture, we consider numerical, fuzzy, and linguistic data on product attributes and customer requirements. We first evaluate product attributes using utility- value functions and converted into satisfaction scores related to Kano categories. We then consider raw importance assessments to obtain an overall satisfaction score for each market and product. An empirical example illustrates the benefits of this integrative approach. The results show that our proposal can effectively manage logistics customer service, enabling managers to identify targets and formulate competitive strategies to enhance customer satisfaction. Gin-Shun Liang; Tsung-Yu Chou; Shu-Fen Kan (2006), in their studies in Applying fuzzy quality function deployment to identify service management requirements for an ocean freight forwarder Total Quality Management & Business Excellence identified that service management requirements for an ocean freight forwarder is developed through Fuzzy Quality Function Deployment (FQFD). First, customer needs, with importance and satisfaction degrees, have been investigated, followed by the development of service management requirements for satisfying the observed customer needs. Furthermore, a fuzzy relation matrix to link service management requirements and customer needs based on cross- functional expertise is also constructed. The aggregated fuzzy assessments of various service management requirements are ranked to determine their importance priority.
  • 20. 20 Gajewska, teresa lisińska-kuśnierz, małgorzata; their studies in customer satisfaction with the quality of the logistic services. It is evaluated mainly by measuring customer satisfaction. Measurement of the customer satisfaction provides the information about how organizations operate as well as how to effectively satisfy customer needs. The aim of this paper is to propose an evaluation model of the customer satisfaction of the quality of the logistic services provided. The research in this paper was focused on the evaluation of the level of customer satisfaction in the context of logistics service as well as on the analysis of importance often logistic services attributes influencing customer satisfaction. Methods: The research was conducted on the basis of the questionnaire designed for purchasers of logistic services. The subjects of the research were companies which are using refrigerated transport. Results: To define relation between level of customer satisfaction in the context of logistic service and logistic service attributes impacting this satisfaction Pearson's correlation method was used. In turn the model to evaluate the customer satisfaction in the context of logistic services in scope of refrigerated transport was built using multiple regression and stepwise regression methods. Goldsby Rao, Shashank;, Thomas J.; Griffis, Stanley E.; Iyengar, Deepak. Their studies in Electronic Logistics Service Quality (e-LSQ): Its Impact on the Customer's Purchase Satisfaction and Retention Journal of Business Logistics. The Internet retailing industry continues to grow rapidly. Several Internet retailers are, however, struggling to retain customers due to the high level of competition among incumbents. We propose that customer satisfaction with the order fulfillment process is an important determinant of overall customer satisfaction with the retailer, as well as with the extent of customer retention enjoyed by the retailer. This paper offers a new concept for electronic logistics service quality and investigates the relationship between the quality of online fulfillment and the ensuing retention of customers, using archival data on 260 online retailers. The structural equation model results indicate that satisfaction with the physical distribution quality and cost are positively related with customer's purchase satisfaction and customer retention. Additionally, the results indicate that while purchase satisfaction is a strong indicator of customer retention, underlying drivers of purchase satisfaction do not have nearly the same impact on customer retention directly as they have on purchase satisfaction.
  • 21. 21 Giovanis, A.N.; Tsoukatos, in their study on relationships between logistics service deliverable, customer satisfaction and loyality in industrial supply chains E. In: Journal for International Business and Entrepreneurship Development, 2013,( vol.7, no.1, pp. 63-80, ). This study aims at identifying the main dimensions of logistics service quality (LSQ) and analyzing their effects on satisfaction and loyalty in B2B settings. For this purpose an integrative structural model of logistics service performance impact on satisfaction and loyalty is proposed and tested in a self-built logistics setting. On evidence drawn, through a dedicated research instrument, from 213 companies in Greece, the effects of outcome and process elements of LSQ on satisfaction and loyalty are assessed. Results show that customers' perception about their suppliers' LSQ level is shaped by both outcome and process elements while outcome quality is further affected by process quality. Both dimensions impact satisfaction with outcome quality being the main driver. LSQ dimensions and satisfaction directly affect loyalty. Satisfaction's hypothesized enhancing role on the association between LSQ dimensions and loyalty is confirmed. Finally, several implications of the findings are discussed and further research directions are provided. Ranjan, Jayanthi; Puri, Sandeep. Out of Stock conditions affecting Customer satisfaction and customer loyalty In their studies in Journal of Business & Retail Management Research.( Apr2012, Vol. 6 Issue 2, p38-52. 15p.) Abstract: In the retail industry, customer experience, satisfaction and service are going to become the limiting differentiators. Increasing competition is creating pressure on retailers to improve both inventory turnover and customer service. Poor logistic management can result in either over stocking (leading to cash flow problems and unnecessary discounts) or lost sales due to stock outs. Stock outs can have serious impact on the business as it affects retailer's credibility and consumer's satisfaction. It is important to understand the cost of a retail stock out before the implementation of any retail inventory model.
  • 22. 22 Export import in Indian logistics industry The advent of 2015 marks the beginning of a new era where the government would try its best to clear the obstacles that come in the way of doing business, attracting more investment and generating employment. Expectations run high in the logistics sector from the upcoming Budget and also the recent ‘Make in India’ campaign. The Indian logistics industry is currently plagued with poor infrastructure and high costs. However, it is going to turn around on the back of robust GDP growth, globalization, FDI in logistics and increasing government support. The biggest expectation of logisticians is the recognition of logistics as an industry, which will help in the creation of transparent policies towards the overall development of this sector. It will also boost investment in logistics and allow easy options to generate finance from banks instead of expensive private funding. After being recognized as an industry, logisticians can expect that strict guidelines and rationalization of regulations will be followed by all service providers and on matters related to payment defaulters within the entire supply chain. Due to the inefficiency of the payment defaulters, there can be an obstacle in the smooth execution of the supply chain and handling of goods, leading to higher cost and inefficiencies. Thus, making defaulters more accountable will safeguard the interests of LSPs. The logistics companies wish that the government, in the Budget, shall necessarily give the final go-ahead to the much-awaited Goods & Services Tax (GST) rollout plan, which is imperative to shed state level barriers and simplify the tax structure. GST will create a single unified Indian market for the logistics industry. It will make them competitive to meet international standards of cost of inventory holding and transaction cost, which is one of the major weak links in the global competitiveness of Indian logistics companies. The provision for proper infrastructure is another important expectation of the logistics industry, which includes development of a better transportation system and setting up of warehouses. Additional rail infrastructure should be put in place to ensure there is no piling up of containers at inland ports. Better infrastructure in metro cities along with development of major airports as cargo hubs will supplement India’s growing ex-im (export-import) trade. Increased allocation for creating inland waterways projects and pushing forward to revive the Sagarmala plan for coastal areas are a must. The development of logistics parks across the country for speedy delivery is another expectation of logistics companies. The creation of industry clusters and corridors will also provide
  • 23. 23 infrastructure for major improvement in logistics activities. Logistics parks will provide services and facilities to reduce costs, boost efficiency and improve the flow of both raw material procurement and finished goods. The NDA government has already taken some valuable initiatives focusing on infrastructure development. Examples include the push for the golden quadrilateral project, east-west and north-south corridors, and free trade warehousing zones (FTWZs) in line with special economic zones (SEZs). The SEZs could avail of 100 per cent foreign direct investment (FDI) and go in for public-private partnerships (PPP) in infrastructure development with the abolishment of MAT on infrastructure companies. The logistics industry further hopes that the government comes up with a clear incentive plan for funds from private equity firms, strategic investors and public listing in order to finance massive expansion in warehouses. Plans should be made for the investors (venture capital/PE funds) to fund logistics as a specialized industry. There is also a need to provide fiscal incentives towards financing and training, and human resource development programmes. The Budget should envisage availability of long-term (more than 10 years) and cheaper debt. the congested air cargo terminals at some gateway international airports that face dwell time. The existing container freight stations (CFS) should be upgraded to have AFS facility, and later a new independent A * Facility of a single-window clearance for permission prior to the export of products, to simplify processes, reduces documentation and ambiguities on the Customs regulatory front. All in all, the government should look at logistics with a holistic approach instead of focusing on small partial challenges. Being the backbone of the economy, freight and logistics companies have huge expectations from this Budget. Ending 2014 on a decent note, the Indian logistics industry is looking forward to script another success story in 2015 as a year of growth, new investments and new opportunities. India‘s share in global trade is still less than 2%. The majority of this comes through maritime Shipping, yet port container traffic in 2011 was 9,983,940 TEU only1.The country’s increasing Current account deficit is increasingly an area of concern for Indian government and policy makers2. One of the ways to reduce this deficit could be by increasing our exports in the services Sector wherein so far prime contributions have come mainly from IT (Information Technology) &ITeS (Information Technology enabled Services)sectors. According to the World Bank estimates3,export of goods and services from India amounted to 24% of the GDP in 2008-2012.
  • 24. 24 Among these, the Information &Communications Technology (ICT) goods constituted only 2.2%4of the goods exports whereas ICT services constituted a major chunk of over 60% of service exports. Other service sectors like consulting, logistics, health, etc. have so far contributed only Marginally. Even in IT & ITeS sectors, we have not paid much attention to many aspects of ‘soft logistics’, especially the regulatory ones, which if facilitated properly, may lead to further fillip in export of ICT services. All these need our immediate attention. The aim of this concept paper is to understand the current state of exports in logistics services from India, analyze the various regulatory and promotional policies applicable to this area and suggest a roadmap for the development of the same. As the export in logistics services is directly interlinked to the level of the development of the logistics management in the country, we also discuss it as a complimentary process to the development of exports. In the next section, we discuss various types of logistics services in a global economy and provide a simple classification for the same. Section3 constitutes the main body of the paper wherein India’s state of logistics performance, important exports in these services and scope, current administrative and regulatory setup for development in this area including initiatives, Lacunae and pointers to reforms are presented. In the section-4, we analyze the given problem and deduce important insights for further improvement. Finally, we propose a solution Framework for augmenting the export in logistics services in section5 along with a matrix ofActions for way forward. India’s Current Position in Logistics Performance Logistics cost by value accounts for around 13.5% of the GDP of India – this is much higher than that in the US (9%), Europe (10%) and Japan (11%) but lowers than that in countries such as China (18%) and Thailand (16%).7 Further, India is ranked 46th in the logistics performance index among 155 countries8. The composite index for this ranking is based on five factors, namely customs efficiency of the clearance process (i.e. speed, simplicity and predictability of Formalities by border control agencies, including customs), quality of trade and transport related Infrastructure (e.g. ports, railroads, roads, information technology), international shipments (ease of arranging competitively priced shipments), logistics competence (competence and quality of logistics services like transport operators, customs brokers, etc.),tracking & tracing
  • 25. 25 (ability to track and trace consignments) and timeliness. India’s logistics sector is fragmented with most of the logistics services being provided by small Firms with limited networking and integration capabilities. Due to this reason in most of the cases, India is so far unable to leverage the benefits amenable to large scale integrated Operations. One example could be the development of hub-and–spoke based distribution system. To implement and avail the benefits associated with such advanced distribution system, the operator needs to have a critical mass. Another example could be cited in the distribution of Automobiles in India. ICT applications like RFID scanning systems and EDI systems have been Found to substantially increase the logistics efficiency in the western countries by improvement in vehicle visibility in the supply chain, quick and reliable data exchange, etc. The general Shortcomings that have been identified for the deployment and application of these systems are general lack of standards across the various systems of LSPs and absence of a logistics integrator across the entire chain to implement these expensive systems (Chandra et al., 2012). Let us compare the Indian scenario with that of China. CEVA, a leading global supply chain management firm, started operations in China in 1988. Currently, CEVA has 88 sites all over mainland China, Hong Kong and Taiwan and manages more than 1.4 million square meters combined storage space. CEVA commands a unique position within the market, combining a global network and strong domestic capabilities to provide its customers with integrated end-toned Supply chain solutions9. Presently India lacks such big players with the aforementioned capacities and capabilities. So, we need to arise, awake and act fast. We identified a list of around 350 Indian firms involved in the trade of logistics services from the CMIE (Centre for Monitoring Indian Economy) Prowess database. This is not an exhaustive list of firms providing logistics services, but the aggregated sales information is expected to approximately represent the whole sector. This list includes mostly firms providing direct Services, as the revenue generated through ICT, DSS and consulting services may be difficult to Segregate from the overall revenue of firms offering these services. The total revenue generated by logistics firms in last 10 years in India is about INR 4,332 billion of which approximately INR 344 billion i.e. roughly 8% is in foreign exchange. The sales in foreign exchange can be taken as a proxy for revenue generated through export of services, as foreign exchange earnings are the main motivation for promoting exports. Further, as per the latest Foreign Trade Policy, any trade-in services in which consideration is received in free foreign exchange would be
  • 26. 26 considered as service export10. The top 50 firms have contributed more than 96% of the total exports in the last decade (refer Appendix 1). Therefore, we limit our focus on these top 50 exporters of logistics services. As per the data shown in Fig 2, private Indian firms contributed the major share of around 88%, followed by foreign private players (11%). The firms owned by central government generated less than 1% of the total export revenues. In fact, the only government owned firm to figure in the top list is CONCOR (Container Corporation of India). . Despite the importance of centralization of logistics development in the country, there is no single nodal agency, regulatory authority, or a task force to plan, implement and foresee the Development of logistics services. Logistics services, especially connected to foreign trade are Heavily interlinked and capacity and/or procedural bottlenecks in any one sector severely Impact the efficiency of the whole system. In such a scenario, it is imperative that a central Organization or task force looks after the development of logistics services in an integrated and Holistic manner. As discussed earlier, there is no clear budgeting to promote logistics services in the country. Presently, different organizations are focusing on developing their own Infrastructure and in some cases intermodal infrastructure in collaboration with other Organizations. This leads to unclear, uncoordinated and overlapping resource allocations by Various ministries. For an example in case of containerization of cargo in India, Raghuram and Gangwar (2007) report that inadequate capacities in the hinterland transport modes often lead to higher costs and delays on account of sub-optimal mode choices, circuitous routing and Congestion in the hinterland transport links, despite maintaining higher capacities in the ports and rail transportation. Other impediment in the development of logistics services and their exports is the poor quality of logistics operations along with poor infrastructure in the country. This leads to high costs, delays, accidents, etc. Today, if a truck has to carry goods for export by road to Bangladesh, the waiting time at the border could be as high as 15 days. One is not sure how many such points in the country exist (state borders, highway tolls, etc.), where nobody is bothered about the waiting time of the commercial vehicles. It is a national waste and needs to be taken care of. One of the problems faced by LSPs in India is inefficient inspection strategies adopted by customs and border authorities, which causes multiple handling at check-posts leading to delays and damages. There is a complex framework of direct and indirect taxes levied on goods and services by the central and various state governments. A lack of unified GST (Goods and Services Tax) across
  • 27. 27 the country makes the use of logistics systems like the hub-and-spoke system inefficient, as transportation costs across various state borders may vary considerably. This promotes the development of regional warehouses all across the nation, rather than a few big warehouses. Other problems are bribery, harassment of drivers, unnecessary paperwork and lack of associated infrastructure like drainage, lighting, parking space, etc. The poor condition of roads leads to reduced fuel efficiency and increased maintenance with consequent higher logistics costs. The resultant effect is the bad turn-around ratios, increased cost of insurance, and other associated cost increases. Thus overall the logistics costs increase manifold highlights a few of the significant reasons for high logistics cost in India. Significant Reasons for High Logistics Costs in India Our interaction with a few key players reveals that presently, FTWZ seems to have got Entangled in procedural bottlenecks with the ministry of finance having serious reservations over the modalities facilitated by the ministry of commerce. These bottlenecks need to be Removed expeditiously if we need to give a push to export centric logistics services. Further, in the Indian logistics market, there are a few large players with a large number of small Players. This makes the logistics sector highly fragmented and unorganized. There is a Mushrooming of transport unions, which prevent flow of trucks from one geographical area to Another. This is hampering the free price settlement in the transport sector. Most of these Unions are affiliated to the local political groups. Institutionalized corruption (in north-east Organizations need to pay a fixed
  • 28. 28 amount per month to ferry the trucks) is another major Obstacle in the development of efficient nationwide transporters .Currently in India, the national economy and marketplace are undergoing rapid changes and transformation. A large number of reasons could be attributed to these changes. One of the reasons in these changes in the Indian Market Scenario is Globalization, and the subsequent and resulting explosive growth of global trade and the international competition. The other reason for these changes in the Indian Market Scenario is the technological change. This is an important factor because the technological competitiveness is making, not only the Indian market, but also the global marketplace cutthroat. In the Indian Marketing Scenario, the market success goes to those companies that are best matched to the current environmental imperatives. Those companies that can deliver what the people want and can delight the Indian customers are the market leaders. Today the companies are operating in such a marketplace where survival of the fittest is the law. In order to win, the companies are coming out with various new and evolving strategies because the Indian market is also changing very fast. It is to capture the Indian market, that the Indian and the Multi National Companies are using all of their resources. The Indian market is no longer a seller’s market. The winner is the one who provides value for money. A large number of companies have huge idle capacities, as they have wrongly calculated the market size and installed huge capacities. This has further contributed to converting the Indian market into a buyer’s market. The Indian Marketing Scenario is one of the biggest consumer markets and that is precisely the reason why India has attracted several MNC’s. These large Multi National Companies have realized that to succeed in the Indian market-place they need to hire Indian representative who are much more aware of the Indian economic, political, legal and social realities. In the Indian Marketing Scenario, it is the MADE FOR INDIA marketing strategies that work. India's exports rose 35.1 per cent in May to USD 16.1 billion year-on-year, but the trouble brewing in some European economies may weigh on future demand. The seventh straight month of rise was registered on a low export base of USD 11.95 billion in May 2009, when shipments had plunged by over 29 per cent from the previous fiscal under the impact of the recession in the US and several other advanced economies. For the April-May 2010-11 periods, exports grew by 35.7 per cent to USD 33 billion against the year-ago period, according to official data released on
  • 29. 29 Thursday. President of the Federation of Indian Export Organisations A Sakthivel said that the crisis in some European countries is a cause for concern. "We hope the growth trend will continue but the only worrying aspect is the crisis in the eruo zone, which is likely to affect India's exports in that area," he said. He also added that the depreciation of euro would provide fierce competition to Indian products in countries where they are facing competition from Euro nations. Ministry officials said that labour-intensive sectors like engineering, gems and jewellery, leather and man-made fibres have registered healthy growth rates in May. Imports also surged 38.5 per cent in May to USD 27.4 per cent, indicating a rapid pace of domestic economic activity and leading to a trade gap of USD 11.29 billion during the month under review. Imports during the first two months of this fiscal grew 40.9 per cent to USD 54.7 billion against USD 38.85 billion in the same period last year. Oil imports in May were valued at USD 8.8 billion while the non-oil import bill was about USD 18.6 billion. Problems associated with export import in Indian logistics industry  The removal of 25-30 per cent Customs duty levied on fuel used by Indian ships and solving other logistical hurdles to push for more usage of sea routes for both domestic and international cargo. This will bring down transportation costs and also help in quick transportation without any delays in delivery.  The refined policy of setting up Air Freight Stations (AFS) should be there across the country, which will help to boost trade and take into account the interests of private airports. This will also promote international air cargo operations by reaching out to hinterland regions of the country, besides decongesting FS should be considered.  Introducing the Multimodal Transport Policy that would cover road and sea. The government should work towards developing waterways, roads as well as the sea mode, rail and airports together.  Time-based hiring of ships for the purpose of imports should be exempted from payment of service tax. Service tax on freight and all related services should be exempted.  In today’s IT-driven logistics, there is need for the creation of a separate cell to act as an information nerve centre forecasting the daily demands and supply of container racks at various ports and ICDs.
  • 30. 30  Language difference  More risk  Government control  Difference in laws  Difficulty in payment  Custom duty  Lack of information  Evil effects of foreign trade  Economics dependence  Disadvantages to agriculture countries  International jealousy  One side development of country  dumping
  • 31. 31 RESEARCH DESIGN Research design is a framework or blueprint for conducting the research project. It specifies the details of the procedure necessary for obtaining the information needed to structure and solve the research problems. The research design used is descriptive design. SAMPLE SIZE Taking in account the nature and extend of the study. Along with constrains of time a sample of 20 customers of ASV SUPPLY CHAIN were surveyed. SAMPLING METHOD The method of sampling used for the study is convenient sampling method. QUESTIONNAIRE DESIGN Closed ended questions-Respondents answers are limited to a fixed set of responses. Most scale is closed ended. Other type of closed ended questions include, Multiple choice-the responds has several options which to choose. Scaled questions- responses are graded on continuum (example rate the appearance of the product on a scale from 1 to 5 being the most preferred appearance) Examples of type of scale include the liker scale semantic differential scale and rank –order scale. The respondent supplies their own answer without being constrained by a fixed set of possible responses.
  • 32. 32 PERIOD OF THE STUDY The study was undertaken for three months from February 2nd to April 30 2015. METHOD OF DATA COLLECTION The data needed for the research study were collected by two source primary source and secondary source. PRIMARY DATA Primary data were collected through survey from the customers of the company using the questionnaire. Questionnaire helps to recognize the customers’ expectations. SECONDARY DATA Secondary data needed for conducting this research work were collected from brochures of the company and employee profile, books internet and various journals etc. TOOLS USED 1) PERCENTAGE ANALYSIS The percentage analysis is the analysis of ratio of a current value to based value either the result multiplied by 100 .the main objective of the percentage analysis is comparison of data for the analysis. Percentage analysis = No of respondents / Total respondents × 100 2) GRAPHICAL REPRESENTATION Graphical representation like bar diagram, pie diagram, column are used to represent the data which has been collected through the study
  • 33. 33 SCOPE OF THE STUDY This study will help to understand the customer’s expectation from freight forwarders. It helped to know about the satisfaction level of the organization. This study helps to sort out the area of improvement in customer services. The study portrayed the need of continuous training along with new skills and knowledge and technology that will help them with changing business needs and demands. It also helps to access the real opinion and mind-set of customers and aids to meet out their expectation in future.
  • 34. 34 LIMITATIONS OF THE STUDY  The customers are busy while collecting the information so there may be inaccuracy in information given by the customers.  Due to time factor the study is limited to a period of three month.  The information given by the customers may be biased.  Some of the respondents should have not given actual facts in order to quickly finish off the interview due to their time constraint.
  • 35. 35 TABLE NO 5.1 Respondent classification based on description of cargo Factors No. of Respondents Percentage (%) FCL 10 50% LCL 10 50% Total 20 100% Inference: The above table that shows 10% of customers chooses FCL cargo and 10% of customers choose LCL cargo. CHART NO:5.1 0 2 4 6 8 10 12 FCL LCL No. of Respondents No. of Respondents
  • 36. 36 TABLE NO- 5.2 Respondent classification based on commodity of cargo Factors No. of Respondents Percentage (%) Garments 2 10% Machineries 5 25% Auto mobile 5 25% Leather items 2 10% Others 6 30% Total 20 100% Inference: The above table shows that 30% cargo is other items, 25% of cargo is machineries,30% of cargo is auto mobile,10% of cargo is leather and other 10% of cargo is garments. CHART NO: 5.2 0 1 2 3 4 5 6 7 Factors Garments MachineriesAuto mobile Leather items Others Series1 Series2 Series3
  • 37. 37 TABLE NO: 5.3 Respondent classification based on shipment per month No: of shipment per month No. of Respondents Percentage (%) Below 1 TEU 3 15% 1 to 2 TEU 2 10% 3 to 4 TEU 4 20% 5 to 6 TEU 8 40% More than 6 TEU 3 15% Total 20 100% Inference: The above table shows 10% of customers exporting 1 to 2 TEU, 20% of customers exporting 3 to 4 TEU, 15% of customers exporting below 1 TEU and, 40% of customers exporting 5 to 6 TEU and remaining 15% of customer exporting more than 6 TEU. CHART NO: 5.3 0 1 2 3 4 5 6 7 8 9 Below 1 TEU 1 to 2 TEU 3 to 4 TEU 5 to 6 TEU More than 6 TEU No. of Respondents No. of Respondents
  • 38. 38 TABLE NO: 5.4 Respondent classification based on who controls the shipment Shipment controller No. of Respondents Percentage (%) Seller 13 66% Buyer 7 34% Total 20 100% Inference: The above table shows 66% of shipment is taken by seller and remaining 35% of shipment is taken by buyer. CHART NO: 5.4 0 2 4 6 8 10 12 14 Seller Buyer No. of Respondents No. of Respondents
  • 39. 39 TABLE NO: 5.5 Respondent classification based on who negotiate the freight rates Negotiator No. of Respondents Percentage (%) Sales manager 12 60% Logistics manager 08 40% Total 20 100% Inference: The above table shows that 60% of freight negotiation done by sales manager and 40% is done by logistics manager. CHART NO: 5.5 0 2 4 6 8 10 12 Sales manager Logistics manager No. of Respondents No. of Respondents
  • 40. 40 TABLE NO: 5.6 Respondent classification based on frequency of after shipment requirement Frequency No. of Respondents Percentage (%) Daily statement 07 35% Weekly statement 13 65% Total 20 100% Inference: The above table shows 65% of customers want weekly statement and 35% of customers want daily statement. CHART NO: 5.6 0 2 4 6 8 10 12 14 Daily statement Weekly statement No. of Respondents No. of Respondents
  • 41. 41 TABLE NO- 5.7 Respondent classification based on the importance of Customers service through phone Factors No. of Respondents Percentage (%) Highly unimportant 0 0 Unimportant 0 0 Neither unimportant nor important 4 20% Important 8 40% Very important 8 40% Total 20 100% Inference: The above table shows importance of telephone service, 40% important,40% very important, 14% neither un important nor important. CHART NO: 5.7 0 1 2 3 4 5 6 7 8 No. of Respondents No. of Respondents
  • 42. 42 TABLE NO: 5.8 Respondent classification based on the importance of giving competitive freight Factors No. of Respondents Percentage (%) Highly unimportant 0 0 Unimportant 0 0 Neither unimportant nor important 0 0 Important 06 30% Very important 14 70% Total 20 100% Inference: The above table shows that competitive freight is very important for 70% of customers and 30% of customers are important. CHART NO: 5.8 0 5 10 15 No. of Respondents No. of Respondents
  • 43. 43 TABLE NO: 5.9 Respondent classification based on the importance of co-ordination during pre-shipment Factors No. of Respondents Percentage (%) Highly unimportant 0 0 Unimportant 0 0 Neither unimportant nor important 0 0 Important 6 30% Very important 14 70% Total 20 100% Inference: The above table shows that coordination during pre-shipment is very important for 70% of customers and 30% of customers are important. CHART NO: 5.9 0 2 4 6 8 10 12 14 No. of Respondents No. of Respondents
  • 44. 44 TABLE NO: 5.10 Respondent classification based on the importance of Coordination while taking BL Factors No. of Respondents Percentage (%) Highly unimportant 0 0 Unimportant 0 0 Neither unimportant nor important 0 0 Important 2 10% Very important 18 90% Total 20 100% Inference: The above table shows coordination in taking BL is very important for 90% of customers and 10% of customers are important. CHART NO: 5.10 0 2 4 6 8 10 12 14 16 18 No. of Respondents No. of Respondents
  • 45. 45 TABLE NO: 5.11 Respondent classification based on the importance of giving cargo details to consignee Factors No. of Respondents Percentage (%) Highly unimportant 0 0 Unimportant 0 0 Neither unimportant nor important 0 0 Important 2 10% Very important 18 90% Total 20 100% Inference: The above table shows that information about delivery of the cargo to the consignee is very important for 90% of customers and 10% of customer is important. CHART NO: 5.11 0 2 4 6 8 10 12 14 16 18 20 Highly unimportant Unimportant Neither unimportant nor important Important Very important No. of Respondents No. of Respondents
  • 46. 46 TABLE NO: 5.12 Respondent classification based on the importance of ASV giving information about the shipment Factors No. of Respondents Percentage (%) Very rarely 0 0 Rarely 0 0 Average or sometimes 0 0 Most of times 13 65 Always 07 35% Total 20 100% Inference: The above table shows that 35% customers always getting information about the shipment and 65% of customers getting most of the times. CHART NO: 5.12 0 2 4 6 8 10 12 14 Very rarely Rarely Average or sometimes Most of times Always No. of Respondents No. of Respondents
  • 47. 47 TABLE NO: 5.13 Respondent classification based on the importance of ASV giving competitive freight Factors No. of Respondents Percentage (%) Very rarely 0 0 Rarely 0 0 Average or sometimes 0 0 Most of times 08 40 Always 12 60 Total 20 100% Inference: The above table shows that 60% of customers always getting competitive freight from ASV and 40% of customers getting most of the times. CHART NO: 5.13 0 1 2 3 4 5 6 7 8 9 Very rarely Rarely Average or sometimes Most of times Always No. of Respondents No. of Respondents
  • 48. 48 TABLE NO: 5.14 Respondent classification based on ASV giving coordination during pre- shipment Factors No. of Respondents Percentage (%) Very rarely 0 0 Rarely 0 0 Average or sometimes 0 0 Most of times 07 35 Always 13 65 Total 20 100% Inference: The above table shows that 65% of customers always getting coordination during pre- shipment from ASV and 35% of customers getting most of the times. CHART NO: 5.14 0 2 4 6 8 10 12 14 Very rarely Rarely Average or sometimes Most of times Always No. of Respondents No. of Respondents
  • 49. 49 TABLE NO: 5.15 Respondent classification based on the importance of ASV giving co-ordination in taking the BL Factors No. of Respondents Percentage (%) Very rarely 0 0 Rarely 0 0 Average or sometimes 0 0 Most of times 4 20% Always 16 80% Total 20 100% Inference: The above table shows that 80% of customers always getting coordination in taking BL from ASV and 20% of customers getting most of the times. CHART NO: 5.15 0 2 4 6 8 10 12 14 16 Very rarely Rarely Average or sometimes Most of times Always No. of Respondents No. of Respondents
  • 50. 50 TABLE NO: 5.16 Respondent classification based on the importance of ASV helps in track and trace of the cargo Factors No. of Respondents Percentage (%) Very rarely 0 0 Rarely 0 0 Average or sometimes 04 20% Most of times 10 50% Always 06 30% Total 20 100% Inference: The above table shows that 30% of customers always getting helps in trace and track of the cargo from ASV, 50% of customers getting most of the times and 20% of customers getting some times. CHART NO: 5.16 0 2 4 6 8 10 12 Very rarely Rarely Average or sometimes Most of times Always No. of Respondents No. of Respondents
  • 51. 51 TABLE NO: 5.17 Respondent classification based on importance of ASV gives information about delivery of the cargo to the consignee Frequency No. of Respondents Percentage (%) Very rarely 0 0 Rarely 0 0 Average or sometimes 0 0 Most of times 6 30% Always 14 70% Total 20 100% Inference: The above table shows that 70% of ASV customers prefer always to give delivery details of the cargo to the consignee and 30% customers most of time CHART NO: 5.17 0 2 4 6 8 10 12 14 Very rarely Rarely Average or sometimes Most of times Always No. of Respondents No. of Respondents
  • 52. 52 FINDINGS  10% of respondents choose FCL cargo. And 10% of respondent choose LCL cargo.  30% cargo is other items, 25% of cargo is machineries, 25% of cargo is Auto mobile, 10% of cargo is leather and other 10% of cargo is garments.  10% of respondents choose 1 to 2 TEU, 20% of respondents choose 3 to 4 TEU, 15% of respondents choose below 1 TEU and remaining 40% of respondents choose g 5 to 6 TEU  66% of shipment is taken by seller and remaining 34% of shipment is taken by buyer.  60% of freight negotiation done by sales manager and 40% is done by logistics manager  65% of respondents want weekly statement and 35% of respondents want daily statement.  Importance of telephone service, 40% of the respondents feel telephone service is important, 40% of the respondents feel telephone service is very important, 20% neither UN important nor important.  70% of respondents feel competitive freight is very important and 30% of respondents feel is important.  For 70% of respondents feel coordination during pre-shipment is very important and 30% of respondents feel is very important.  90% of respondents feel coordination in taking BL is very important for. And 10% of respondents are important.  72% of respondents feel information about delivery of the cargo always get to the consignee and 30% of respondents feel most of time they get information.
  • 53. 53 SUGGESTIONS  ASV Supply chain can concentrate more on service during pre-shipments so that they can fulfil the customer’s expectation on coordination during pre-shipment.  ASV supply chain management can ask some suggestions about promotions to the sales associative who meet the customer on face to face so that he will know better about the expectations of the customers  ASV supply chain can keep a regular contact with the customer to understand the customers expectation on the services  Like all other departments ASV should focus on CRM also which will make a better understanding with the customer  ASV supply chain can improve the information flow since the customers feels that information about delivery of the cargo to the consignee is very important  It is always better to improve the telephone services because Majority of the respondent feel telephone service is very important considering to flow of information  Concentrate more on giving competitive services so that ASV supply chain can retain the customers in their business
  • 54. 54 LEARNINGS OF THE STUDY  Studied about the challenges faced by ASV supply chain solutions in sea exports  Studied about the export procedures  Learnt about the CRM strategies that used by ASV supply chain solutions  Studied the working process at ASV supply chain solutions  Learnt about customer expectation on export and import
  • 55. 55 CONCLUSION This study which is a collection of opinion from ASV Supply chain customers helps to learn the customer’s new point of view .The main objective of the study was to make a complete study over the customer’s expectation from freight forwarders. In this cut throat competitive environment understanding customer expectations and preference are essential for providing customer satisfaction, this study helps to understand the customer preference while selecting freight forwarders. The important found to be considered by the exporter while selecting a freight forwarder includes: Freight rate allowed Credit period, turnaround time, service quality Clearance service, network of overseas agent, tracking and tracing of cargo, consolidation and Value added service. The customer’s expectation was almost satisfied by ASV Supply chain and further improves with the market.
  • 56. 56 BIBLIOGRAPHY REFERRENCE  Adrian; aivaz, kamer; capatina, alexandru their studies in implications of logistic service quality on the satisfaction level and retention rate of an e-commerce retailer's customer’s economic computation & economic cybernetics studies & research. (2013, vol. 47 issue 2, p147-155. 9p.)  Arun;Grewal,Dhruv;Levy,Michaelon intheirstudiesThe customer satisfaction/logistics int erface Journal of Business Logistics.( 1995, Vol. 16 Issue 2, p1-21. 21p)  Burkovskis, raimondas his study in efficiency of freight forwarders participation in the process of transportation transport (16484142). 2008, Vol. 23 Issue 3, p208-213. 6p.  Douglas m leuschner, rudolf; lambert,.; knemeyer, a. michael their studies in logistics performance, customer satisfaction and share of business acomparison of primary and secondary supplies journal of business logistics. sep2012, vol. 33 issue 3, p210-226. 17p.  Florez-Lopez, Raquel; Ramon-Jeronimo, Juan M. in their studies on Managing logistics customer service under uncertainty: An integrative fuzzy Kano framework. ( Information Sciences. Oct 2012, Vol. 202, p41-57. 17p. )  Gin-Shun Liang; Tsung-Yu Chou; Shu-Fen Kan (2006), in their studies in Applying fuzzy quality function deployment to identify service management requirements for an ocean freight forwarder Total Quality Management & Business Excellence  Gajewska, Teresa Lisińska-Kuśnierz, Małgorzata; their studies in CUSTOMER SATISFACTION WITH THE QUALITY OF THE LOGISTIC SERVICES. LogForum. 2014, Vol. 10 Issue 1, p13-19. 7p.  Goldsby Rao, Shashank;, Thomas J.; Griffis, Stanley E.; Iyengar, Deepak. Their studies in Electronic Logistics Service Quality (e-LSQ): Its Impact on the Customer's Purchase Satisfaction and Retention Journal of Business Logistics. 2011,( Vol. 32 Issue 2, p167- 179. 13p.)  Giovanis, A.N.; Tsoukatos, in their study on relationships between logistics service deliverable, customer satisdaction and loyality in industrial supply chains
  • 57. 57  Ranjan, Jayanthi; Puri, Sandeep. Out of Stock conditions affecting Customer satisfaction and customer loyalty In their studies in Journal of Business & Retail Management Research.( Apr2012, Vol. 6 Issue 2, p38-52. 15p.) WEBSITE REFERRED www.ebsco.com www.wikipedia.com www.google.com
  • 58. 58 QUESTIONNAIRE 1) Company name: 2) What type of containers do you use? a) FCL b) LCL 3) What is the commodity? 4) How many shipments do you ship per month? a) Below 1 TEU b) 1 to 2 TEU c) 3 to 4 TEU d) 5 to 6 TEU e) more than 6 5) Who controls the shipment for you? a) Seller b) Buyer 6) What is the procedure followed to fix meeting with you? a) Appointment b) Direct meet 7) Who is the person authorized to negotiate freight rate? a) Purchase head b) Logistics manager 8) What is required for after shipment service required? a) Daily statement b) Weekly statement
  • 59. 59 c) Ware house d) Transportation e) Tracking 9) How important is the Customer service through phone? a) Highly unimportant b) Unimportant c) Neither unimportant nor important d) Important e) Very important 10) How important is giving competitive freight to you? a)Highly unimportant b) Unimportant c) Neither unimportant nor important d)Important e) Very important 11)) How important is giving coordination during pre shipment? a)Highly unimportant b) Unimportant c) Neither unimportant nor important d) Important e) Very important 12) How important is giving coordination in taking the B/L? a) Highly unimportant b) Unimportant c) Neither unimportant nor important d) Important e) Very important 13) How important is giving information about delivery of the cargo to the consignee? a) Highly unimportant b) Unimportant c) Neither unimportant nor important d) Important e) Very important
  • 60. 60 14) How often ASV SUPPLY CHAIN Gives information about the shipment? a) Very rarely b) Rarely c) Average or sometimes d) Most of the times e) Always 15) How often ASV SUPPLY CHAIN gives competitive freight? a) Very rarely b) Rarely c) Average or sometimes d) Most of the times e) Always 16) How often ASV SUPPLY CHAIN gives coordination during pre-shipment? a) Very rarely b) Rarely c) Average or sometimes c) Most of the times d) Always 17) How often ASV SUPPLY CHAIN gives coordination in taking the B/L? a) Very rarely b) Rarely c) Average or sometimes d) Most of the times e) Always 18) How often ASV SUPPLY CHAIN helps in track and trace of the cargo? a) Very rarely b) Rarely c) Average or sometimes d) Most of the times e) Always
  • 61. 61 19) How often ASV SUPPLY CHAIN Gives information about delivery of the cargo to the consignee? a) Very rarely b) Rarely c) Average or sometimes d) Most of the times d) Always