Good for understanding Logistics Management

1. Logistics Management Dr. Jagathy Raj V. P. Associate Professor School of Management Studies Cochin University of Science and Technology Kochi - 22

17. Independent Business Function Manufacturing Sales Distribution Procurement Inventory Control Out Come Aggressive preaching Skill Objective Maximization of Profit by Sales volume

18. Limited Integrated Business Manufacturing Management Physical Distribution and Sales Managemt Material Management Output Price – based competition Objective Cost Control

19. Internal Integrated Business Function (Logistics Management Manufacturing Management Marketing and Distribution Management Material Management OUTPUT Increased Productivity. Profitability and Market Shares Objective Maximization of profitable Sales Values and Cost Reduction

20. External Integrated Business Function (SCM) C U S T M E R S L O G I S T I C S V E N D E R S Output Customer Values and Harmonics Relations Relationships Objective Core Competency

24. A Process view of Logistics Management

27. Visual Representation of Integrated Logistics Management

37. The Value Chain (Porter[1985])

46. Gaining Competitive Advantage through Logistics

47. Important Logistics Activities and Their Relations to Key Business Goals Logistics has been recognized not only as a group of important functions, but as functions that have important strategic impacts as well

60. Logistics Modeling

68. The Major Elements of Logistics Composite Modeling Analysis

79. Area Showing the Plant Site, Waterways and Lightering and HRC loading Points

90. Important Hierarchical Decisions Problems of Inbound Raw Material Logistics Level Nature of Decision Time Horizon Frequency of Revision Problems Models Decision Maker I Strategic Several Years Annual Source selection for raw materials Economic evaluation Top Management Vessel size selection Simulation and economic evaluation Jetty Location Simulation and economic evaluation Dredging of creek Simulation and economic evaluation Barge mix selection Simulation and economic evaluation Middle Management

96. Models used for Raw Material and Finished Goods Logistics System

97. Least Cost Ship Size from each Load Port Optimum ship sizes for different load ports Load Port Ship Size and Cost/ton Goa MBC’s of 2800 T at Rs.135.57/ ton Mangalore MBC’s of 2800 T at Rs.177.43/ton Vizag 30,000 to 35,000 T at Rs.269.35/ton Orissa 30,000 to 35,000 T at Rs.279.39/ton Bahrain 30,000 to 35,000 T at Rs.281.32/ton South Africa 30,000 to 35,000 T at Rs.349.60/ton Brazil 65,000 T at Rs.460.33/ton

100. The ship Lightering Simulation Model

107. The Results of Experiments on Barge Mix Optimization Model for Lightering and HRC loading Operations with Various Options B1 –2800, B2 – 2000, B3 – 1000, and B4 – 700 ton Barges Option Model Barges engaged for export Barges with back-to-back integration Optimum Barge mix of B1,B2,B3,B4 Maximum Tons per Annum Average cost per ton (Rs/ton) Feasibility (Yes/No) B1 B2 B1 B2 B1 B2 B3 B4 Without back-to-back supply II 2 0 0 0 3 4 2 2 4496012 217.32 Yes IV 2 2 0 0 4 4 3 4 3684012 245.53 No With back-to-back supply V All 0 All 0 2 4 2 2 4692012 192.11 Yes VI 2 0 2 0 2 4 2 2 4692012 192.11 Yes *VII All All All All 2 2 5 5 213012 605.47 No VIII 2 2 2 2 2 6 3 4 5542412 161.18 Yes * Infeasible

108. Sensitivity Analysis Lighterage and HRC Loading Cost/ton when using Various Combination of 2800 and 2000 ton Barges (B1 –2800, B2 – 2000, B3 – 1000, and B4 – 700 ton Barges) Barges with back-to-back integrated Optimum Barge mix Tons per Annum Average cost Rs/ton B1 B2 B1 B2 B3 B4 2 2 2 5 4 2 5542412 161.18 2 3 2 6 3 4 5651212 161.52 3 2 3 6 2 4 5719212 163.32 3 3 3 6 6 4 5726012 167.60 3 4 3 5 2 4 5427212 177.91 2 4 3 5 4 4 5623212 166.99 2 5 2 6 3 3 5328812 174.81 4 4 5 5 5 2 5747612 173.35

110. Results from Model with two barges each of 2800 ton and 2000 ton in export and import circuit. B1-2800 ton Barge,B2-2000 ton Barge,B3-1000 ton Barge,B4-700 ton Barge. Cost/per ton means average raw material Lightering and HRC loading cost per ton) Barges Fair Weather Monsoon Weather Annual B1 B2 B3 B4 Ton/Mth Cost/ton Ton/Mth Cost/ton Ton/year Cost/ton 2 5 4 2 505901 167.03 373801 149.49 5542412 161.18 2 5 5 4 506101 168.08 373801 150.94 5544012 162.37 3 6 2 4 530101 165.29 372901 158.81 5732412 163.13 2 5 6 4 509451 168.55 372801 152.60 5566812 163.23 3 6 2 3 528801 165.53 372901 158.81 5722012 163.29 2 5 6 3 506801 169.02 372801 152.60 5545612 163.55 3 4 4 2 506001 170.45 373901 154.13 5543612 165.01

111. The results from experiments of barge-lightering model with various options (B1 –2800t, B2 – 2000t, B3 – 1000t, and B4 – 700t Barges , Values in ‘( )’ gives the Monsoon weather value) OPTION Opt. Barge mix B1,B2,B3,B4 Fair-weather ton (Monsoon tons) Tons per Annum Average cost per ton Rs/ton B1 B2 B3 B4 All 2800 t Export and Import 2 4 2 2 398251 (376501) 4692012 192.11 2 nos. 2800 t Export 3 4 2 2 396751 (330501) 4496012 217.32 TWO 2800 t Export and Import 2 4 2 2 398251 (376501) 4692012 192.11 All 2800 t and 2000 t Export and Import 2 2 5 5 112501 (210001) 1740012 Cost very high at Rs 605.47 Ton 2 nos. 2800 t and 2 nos. 2000 t Export 4 4 3 4 329201 (262601) 3684012 245.53 2 nos. 2800 t and 2 nos. 2000 t Export and Import 2 6 3 4 505901 (373801)) 5542412 161.18

112. Effect of Locating the Plant Jetty at Different Distances from the Sea B1-2800T Barge,B2-2000T Barge,B3-1000T Barge,B4-700T Barge Sl. No. Distance of Jetty from the Sea (in KM) Best Barge Mix Lighterage Cost in Rupees/Ton B1 B2 B3 B4 1 5 KM 5 4 0 0 102.23 2 10 KM 4 5 1 0 124.51 3 15 KM 4 5 1 0 126.87 4 20 KM 3 6 2 1 162.59 5 25 KM 3 4 4 2 185.64 6 30 KM 3 3 5 6 225.32

115. Effect of Dredging the Creek on Lighterage Cost (B1 –2800t, B2 – 2000t, B3 – 1000t, and B4 – 700t Barges) Depth of Dredging in M. Opt. Barge mix B1,B2,B3,B4 Fair-weather ton (Monsoon tons) Tons per Annum Average cost per ton Rs/ton 0 2,5,4,2 505901 (373801) 5542412 161.18 0.5 3,6,3,2 512810 (376901) 5610012 157.94 1.0 3,3,4,2 527201 (377901) 5718012 157.52 1.5 2,3,4,6 529651 (378901) 5764122 157.33 2.0 3,3,2,6 530451 (379301) 5781212 157.24

117. The Monthly Ship Scheduling Model This is the plan for hiring ships for a month Load port Laycan Report Report at Load port At Bombay Leave Bombay Bahrain 20.4.07 - 30.4.07 25.4.07 02.5.07 04.5.07 Vizag 24.4.07 - 04.5.07 29.4.07 07.5.07 10.5.07 Mangalore 02.5.07 - 12.5.07 07.5.07 11.5.07 14.5.07 Vizag 02.5.07 - 12.5.07 07.5.07 15.5.07 17.5.07 Paradeep 06.5.07 - 16.5 07 11.5.07 20.5.07 23.5.07 S. Africa 03.5.07 - 13.5.07 08.5.07 24.5.07 28.5.07 Vizag 16.5.07 - 26.5.07 21.5.07 29.5.07 01.6.07

118. Daily Barge Scheduling Model The schedule for a Barge by the name : Mastya Rani Date Time Activity Ship Name 11.5.07 10.57 Start loading barge Sagar Kanya 11.5.07 14.27 End of loading Sagar Kanya 11.5.07 16.57 Full barge reaches gull Sagar Kanya 11.5.07 19.44 Start through creek loaded Sagar Kanya 11.5.07 21.49 Reach the jetty loaded Sagar Kanya 11.5.07 21.49 Start unloading at brth1 Sagar Kanya 12.5.07 01.09 End unloading at brth1 Sagar Kanya 12.5.07 01.29 Start loading HRC at brth3 Krishna Sagar 12.5.07 03.29 End of loading at brth3 Krishna Sagar 12.5.07 07.29 Start through creek to gull Krishna Sagar 12.5.07 09.34 Reach gull Krishna Sagar 12.5.07 11.59 Reach export ship Krishna Sagar

119. Results from Model where only 2800 ton and 2000 ton Barges are allowed to BFL (B1 –2800, B2 – 2000, B3 – 1000, and B4 – 700 ton Barges ) Percentage Lightering at BFL Creek was not Dredged No Tide restriction 1 meter dredged creek 0.5 m dredged creek Cost per ton Opt. Barge Mix (B1,B2.B3,B4) Cost per ton Opt. Barge Mix (B1,B2.B3,B4) Cost per ton Opt. Barge Mix (B1,B2.B3,B4) Cost per ton Opt .Barge Mix (B1,B2.B3,B4) 100 186 2,6,0,0 171 2,5,0,0 173 2,5,0,0 176 2,5,0,0 75 169 2,5,2,0 156 1,5,4,0 157 1,6,4,0 158 1,6,3,0 50 156 2,5,2,0 143 0,6,4,1 144 1,5,4,0 145 1,6,3,0 25 163 2,5,3,0 150 0,5,5,0 152 1,6,4,0 154 1,6,3,1 0 170 1,5,3,2 159 0,5,6,0 160 0,5,5,1 162 0,5,6,0

120. Results from Model where only 2800 ton Barges are allowed to BFL (B1- 2800 , B2 – 2000, B3 – 1000, B4 – 700 ton Barges) Percentage lightering at BFL Creek was not dredged No Tide restriction 1 meter dredged creek 0.5 dredged creek Cost per ton Opt. Barge Mix (B1, B2, B3, B4) Cost per ton Opt. Barge Mix (B1, B2, B3, B4) Cost per ton Opt. Barge Mix (B1, B2, B3, B4) Cost per ton Opt. Barge Mix (B1, B2, B3, B4) 100 225 7,0,0,0 200 6,0,0,0 205 7,0,0,0 208 7,0,0,0 76 207 6,0,2,0 186 5,2,0,0 189 6,1,1,0 195 6,1,1,0 50 198 4,2,1,0 183 4,3,0,0 185 4,3,0,0 186 4,2,1,0 25 181 3,3,2,0 168 3,5,0,0 170 3,5,0,0 172 3,4,1,0 0 170 1,5,3,2 159 0,5,6,0 160 0,5,5,1 162 0,5,6,0

121. Results from Model with Floating Crane and 100 percent Lightering in fair weather at BFL (B1 –2800 , B2 – 2000, B3 – 1000, and B4 – 700 ton Barges) No. of barges at Ship Creek was not dredged No tide restriction 1 meter dredged creek 0.5 meter dredged creek Cost per ton Opt. Brage mix (B1,B2,B3,B4) Cost per ton Opt. Brage mix (B1,B2,B3,B4) Cost per ton Opt. Brage mix (B1,B2,B3,B4) Cost per ton Opt. Brage mix (B1,B2,B3,B4) Option I Only 2800 ton and 2000t ton Barges are allowed to BFL for Lightering and HRC loading 1 barge 198 2,5,0,0 179 3,5,0,0 180 3,5,0,0 182 2,5,0,0 2 barges 184 2,6,0,0 172 3,5,0,0 173 3,5,0,0 175 2,6,0,0 Option II Only 2800 ton Barges are allowed to BFL for Lightering and HRC loading 1 barge 240 7,0,0,0 221 7,0,0,0 223 7,0,0,0 226 7,0,0,0 2 barges 228 7,0,0,0 210 7,0,0,0 212 7,0,0,0 215 7,0,0,0

122. Results from Model with Floating Crane and Storage Vessel of 1,50,000 ton Capacity and 100 percent Lightering in fair weather at BFL (B1 – 2800 , B2 – 2000, B3 – 1000 and B4 – 700 ton barges, FC =Fixed charge) Fixed Charge in Rs Creek was not dredged No tide restriction 1 meter dredged creek 0.5 meter dredged creek Cost per ton Opt. Brage mix (B1,B2,B3,B4) Cost per ton Opt. Brage mix (B1,B2,B3,B4) Cost per ton Opt. Brage mix (B1,B2,B3,B4) Cost per ton Opt. Brage mix (B1,B2,B3,B4) Option I Only 2800 ton and 2000 ton Barges are allowed to BFL for Lightering and HRC loading FC at Rs 200 213 2,5,0,0 199 3,5,0,0 202 3,5,0,0 209 3,5,0,0 FC at Rs 100 190 2,5,0,0 175 3,5,0,0 177 3,5,0,0 182 2,6,0,0 Option I Only 2800 ton Barges are allowed to BFL for Lightering and HRC loading FC at Rs 200 260 7,0,0,0 240 7,0,0,0 245 7,0,0,0 249 7,0,0,0 FC at Rs 100 237 7,0,0,0 220 7,0,0,0 224 7,0,0,0 229 7,0,0,0