Niharika Report
Niharika Report
Niharika Report
November, 2024
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BONAFIDE CERTIFICATE
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DECLARATION
Administration. This is my original work and has not been submitted for the award
Date: NIHARIKA. N
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Internship Completion Letter/Certificate
Issued by the Company
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ACKNOWLEDGEMENT
Next, I would like to record my heartfelt thanks to our Head of the Department,
Dr.Venkat SSR Muramalla, MBA, MPhil, PhD. for encouraging and supporting
me to undertake this internship.
NIHARIKA. N
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TABLE OF CONTENTS
II INDUSTRY PROFILE
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2.1 Major Players in the Industry.
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CHAPTER I
Offering unprecedented services for 10 years Yusen Logistics (I) Pvt Ltd.
is deftly handled by about 650 skilled and certified employees across the
country.
Vision
Connecting people, businesses, and communities to a better future – through
logistics.
Mission
To become the world’s preferred supply chain logistics company – applying
insight, service quality, and innovation to create sustainable growth for business
and society.
Values
Yusen values will guide how they behave and communicate with each other and
the world around them.
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brand promise
CREATE BETTER CONNECTIONS
summarizes their philosophy. It’s what the company aim to deliver time and time
again: a more prosperous future built through stronger relationships and ties
across the world with all our stakeholders – customers, colleagues, partners, and
society.
Future vision
Transform 2025
Moving beyond transactions to solutions
They’re transforming every aspect of the business. How they think. How they
act. What they deliver to customers.
As global supply chains become ever more complex and dynamic, customers
face growing challenges and pressure to develop profitable and sustainable
responses to climate change, resource constraint, waste, ethical sourcing, and
transparency. They need a partner who understands their business, like Yusen
Logistics. Yusen can apply their industry-specific insight and expertise to add
value to their supply chain.
Yusen logistics company mission is to become the world’s preferred supply
chain logistics company. Across their product lines, they will develop and deliver
better ways to connect to customers, improve services, and create lasting
customer relationships.
The main reason for choosing the company is that l had good interest in
logistics Industry but I had no chance to learn more in detail about the
industry so I thought it was a learning Opportunity to get unique experience
of the field that I am not related and has little knowledge about the field
beforehand so that it will be helpful for me to learn more things from the
logistics sector and explore the industry.
Another reason is that it is one of the largest logistics Company that operates
World Wide and I thought this company would be best for learning my
interest.
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- Use surveys, interviews, or observations to gather insights from employees at
different levels.
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5. Identify Challenges in Maintaining a Strong Culture:
- Highlight common challenges faced by the logistics company in sustaining a
positive organizational culture, especially during periods of change or growth.
- Discuss issues such as resistance to change, communication breakdowns, or
misalignment of values.
- Propose methods for addressing these challenges to ensure a cohesive culture.
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CHAPTER II
2. INDUSTRY PROFILE
The global logistics market is a dynamic component of the economy, around the
planning, implementation, and control of the efficient flow and storage of goods,
services, and information from point of origin to point of consumption.
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Trends:
1. AUTOMATION:
2. ARTIFICAL INTELLIGENCE:
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AI and ML algorithms can analyse historical and real-time big data, identify
patterns, trends, and insights, and generate predictions through chatbots.
Organizations apply logistic technology trends to make more intelligent
decisions, improving efficiency and effectiveness.
Early adopters who have implemented AI technology in logistics have
achieved remarkable improvements in their logistics operations. These
advancements include reducing logistics costs by 15%, optimizing inventory
levels by 35%, and enhancing service levels by 65%.
3. BLOCK CHAIN:
With Block chain, each product or item gets a unique digital identity with an
origin, manufacturing details, certifications, and ownership history. It allows
for transparent and real-time visibility into the movement of goods from the
point of origin to the final destination.
Blockchain ensures secure and encrypted data exchange between the parties
involved, reducing the risk of data manipulation or unauthorized access. Smart
contracts, a feature of IT trends in SCM, automate and enforce compliance with
predefined rules, reducing the need for manual intervention.
4. INTERNET OF THINGS:
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5. AUGMENTED AND VIRTUAL REALITY:
Autonomous vehicles and drones are a significant part of SCM technology trends,
focusing on reducing the risk of accidents, cutting expenses, and improving
delivery times.
They have GPS, collision avoidance systems, and advanced flight control tools
to ensure safe and precise navigation.
These autonomous vehicles use cameras, lidar, and radar systems to navigate
and make deliveries with minimal human intervention.
Drones are not a new technology in logistics industry, Domino’s Pizza made
history by delivering pizzas using them in 2016.
While the pandemic affected the logistics sector deeply, many of the issues that
surfaced were present beforehand. These persistent issues include:
While the Russia-Ukraine conflict has triggered the recent volatility in fuel
prices, transportation costs have increased over the last few years. Several
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tracking businesses predict the rates of annual contracts rise by double
digits this year because of strained capacity.
In addition, Europe suffers from a short supply of heavy goods vehicle
drivers, with a shortage of around 400,000 throughout their land.
Similarly, road transportation rates have increased by 23% in the US
amidst rising freight spending and increased input costs for logistics
players. In sum, transportation costs are going up univocally across the
globe,
Inconsistencies in tracking
Fragmented communication
A logistics supply chain begins with manufacturing and ends with the final
product getting delivered to the customer. Unfortunately, OEMs often
suffer from a lack of an integrated communication channel. This
deficiency leads to fragmented communication that adversely impacts
delivery times and efficiency.
Empty miles
Empty miles, also known as non-revenue miles, have plagued the logistics
industry for years. They lead to unnecessary cost increases, adverse
environmental impacts, and negatively affect the efficiency of both
carriers and shippers.
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Delivery delays
The spiralling effect of the pandemic caused factories to shut down and
led to a series of labour-shortage-related issues. In addition, they have
siloed and fragmented legacy processes that negatively impact the delivery
times.
For example, customers must wait for up to twelve months to get their
hands on a Tesla Model X or Model Y. Smartphone shipments have also
been seriously delayed because of chip shortages; several brands have
delayed new launches and greatly increased waiting times for people pre-
ordering their products.
Given the growing list of challenges that the logistics industry faces, viable
solutions are needed now. Luckily, there are solutions available. For example,
digitization and collaborative logistics can tackle most existing issues and enable
enterprises to plan, control, and monitor the movement of goods with greater
ease.
Many logistic players have embraced digitization and have adopted a host of
SAP and non-SAP solutions to address existing and emerging challenges. For
example, SAP's Digital SCM (supply chain management) has enabled logistics
players to move away from transactional SCLM and toward a strategy-driven,
digital, and sustainable approach. In addition, the solution enhances their
resilience and mitigates potential future disruptions with agility and data-driven
actions.
- A global leader in logistics and supply chain management, DHL offers services
that include warehousing, distribution, and transportation. They are known for
their extensive network and innovative solutions.
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2. FedEx Corporation:
4. Kuehne + Nagel:
6. C.H. Robinson:
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7. Maersk:
8. DB Schenker:
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CHAPTER III
Founded in 1955
ACHIEVEMENTS
Yusen Logistics is a global logistics company that has achieved several notable
achievements, including:
Target awarded Yusen Logistics this title for their dedication, support, and quick
action. Target noted that Yusen Logistics helped improve their customer
experience by opening new operations and expanding west coast operations.
Yusen Logistics received this award from Procter & Gamble at the 2022
Logistics Awards.
Yusen Logistics Brazil was honoured for their reputation for reliability,
efficiency, and strategic partnership with Panasonic.
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Yusen Logistics is a global supply chain logistics company that offers a range of
services, including: Ocean and air freight forwarding, Warehousing, Distribution
services, and Supply chain management.
Yusen Logistics has a network of more than 650 distribution centres and offices
in 46 countries and regions.
Founding
Yusen Logistics (Thailand) Co., Ltd celebrated its 55th anniversary in August
2024.
Singapore warehouse
In 2017, Yusen Logistics Singapore Pte Ltd held a groundbreaking ceremony for
its first future-ready warehouse
1.SALES:
They will stay up to date with the market trends and will gather all the
information necessary for increasing the customer retention.
Sales department will procure the rates of the containers and will
convey it to the export department further the later will proceed the
booking.
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Cold Calling will be done by the sales department for identifying
customers who does not have any knowledge about the company and
is in need of a shipping business.
2.OCEAN EXPORT:
This department deals with booking the containers from liners and exporting
the cargo from shipper to consignee.
Based on the procured prices by sales department the best liner will
be choosed as per the customer benefit and organisation profit.
After reciept of shipping bill the container will be entered into the
port.
After reaching into destination port the charges will be collected and
FLOW:
SHIPPERCFSORIGINPORTDESTINATIONPORTCFSCONSI
GNEE
PROCESS:
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3.Yusen logistics OCM team will extract the E-booking placed by the
shipper and then places the order to the carrier/vessel operator.(the carrier
will be selected by the consignee because of the nomination process)
4.Yusen Logistics will release the carrier booking to the shipper.
5.shipper should upload the E-LOAD PLAN in Vantage website informing
about the container number,CBM,gross weight,net weight,stuffing details.
6.Based on E-load plan shipping instructions will be provided to the carrier.
7.The carrier will provide the BILL OF LADING to the Yusen Origin.
8.Shipper will submit the E-INVOICING based on the PO containing the
details about invoice no,date,terms of payment.
9.Based on the e-invoicing submitted by the shipper the FCR draft will be
sent to the shipper.(FCR is alternative to bill of lading)
10.The liner will generate a Bill and send it to the Yusen Logistics.
11.The Yusen will settle the ship charges and then based on the ship charges
the bill will be provided to shipper for collecting the charges.
12.After this step the original FCR will be released to shipper.
10.The E-invoicing will be extracted and shipping advice will be sent to
destination agent and goods will be collected by the consignee.
4.OCEAN IMPORT:
This department deals with the import of goods from shipper to importer.
The shipper will contact Yusen origin and will provide the details about the
cargo readiness and customer details.
The yusen origin will contact the Yusen India for booking and movement of
goods.
After booking of vessel the booking reciept will be generated.
After the departure of vessel the PRE-ALERT documents will be sent by
the Yusen origin.
These documents will be checked by house bill and master bill number and
then sent to the customer.
The customer will be asked about the moving point from the port whether
to move to CFS or DPD.
CFS-Container Freight Station.
DPD-Direct Port Delivery(for valued customers with duty benefits and
faster delivery)
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IGM filing will be done by the carrier before the arrival of vessel to
destination.
The IGM will be filed with customs and the officers will check the IGM and
attached import documents(Housebill,Master bill,Invoice)Bill of entry will
be filed for entry into the destination port.
Inoive will be sent to customer before the arrival of vessel to port and
Delivery order will be issued once the payment is made after which the CFS
will release the goods.
House Bill-Actual Shipper and Actual Consignee.It will be prepared by the
Freight Forwarder.
Master Bill-Forwarder Destination and forwarder agent.It will be prepared
by the carrier.
House bl split up-The house bl will be multiple for a single shipment. This
will be based on the branch or destination of the consignee. The GST will
be different for different branches but same consignee so it must be split for
proper movement olf cargo.
5.AIR EXPORT:
This department deals with export of cargos through the airways.
BOOKING:
Initially the customer will enquire about the airlines rates with providing the
cargo status.
The Yusen logisitcs in shipper place will enquire the rates,transit time,space
in the Airline.
The Airline will provide the necessary information and that will be
conveyed to the shipper.
Once the shipper approves the booking will be done and booking
information will be sent to the shipper.
DOCUMENTION:
Yusen will prepare a housebill draft and send it to the shipper.
The customs will prepare shipping bill based on the checklist.
Shipper will check and correct shipping bill checklist and then Export team
will send it to customs CHA.
Using the corrected shipping bill and checklist the shipping bill no will be
generated by ICEGATE CUSTOMS.
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Terminal charges will be paid by providing airway and shipping
bill,MAWB+Consol pouch and terminal reciept will be received for entry
into the terminal.
The Yusen logistics airport staff will attach bar code sticker for each cargo
and will be loaded into the Aircraft.
CONSOL POUCH-1.Master Bill
2.House Bill
3.Invoice(optional)
4.Certificate of Origin.
AIRPORT PROCEDURES:
Cargo will be unloaded at the Airport Warehouse
Weighing thr correct documents and checking them.
Examination of Cargo by the examination officer and appraisal officer.
The customs officer will generate shipping bill and put signature on it.
Scanning of cargo.
Handing over the consol pouch and MAWB to carrier and they will attach
to the cargo.
AFTER DEPARTURE OF FLIGHT:
Yusen Logistics will send the PRE-ALERT documents to Yusen destination
by using the YUNAS software.
The freight will be paid by the Yusen origin to the Airlines.
The debit note will be sent for payment collection to the shipper.
Shipper will make the payment based on debit note.
EGM will be filed before the departure of flight.
The Original documents will be sent to shipper.
The customs will generate shipping bill and that will be sent to the customer.
6.AIR IMPORT:
This deparment deals with the import of cargo from another country to
India.
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The shipper will send the booking request.
The rates will be discussed with the shipper(buy rates and sell rates)
After the customer accepts the rates PRE-ALERT documents will be
received from the origin Yusen Logistics.
7.FINANCE:
The finance department is the final destination after completion of
the shipment in the Yusen Logistics industry.
The department uses 3 software in daily basis for recording and
book keeping they are:
1.AUDEX(Admin charges)
2.INFOR SUNSYSTEM(Payments)
3.YUNAS (Billing expenses/income)
The department is divided into 2 divisions
1.ACCOUNTS PAYABLES
2.ACCOUNTS RECIEVABLES
The Accounts payables will involve payment for the services
availed by the organisation.
Accounts payables is divided into 2 types
1.VENDOR PAYMENT
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a) TRANSPORTER &SURVEYOR
b) ADMIN
2.LINER PAYMENT
8.CUSTOMS HOUSE BROKERAGE-IMPORT:
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3.3 ORGANISATION CHART
Regional Head
Business
Business Business Unit
Development
Partners (BP) (BU)
(BD)
Ocean Freight
IT
Forwarding
Custom House
Brokerage
Contract
Logistics
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CHAPTER IV
3. Transportation Management:
- Analyzed the transportation strategies employed, including route optimization,
carrier selection, and freight consolidation, to minimize costs and improve
delivery times.
4. Warehouse Operations:
- Examined warehouse layout and organization, including the use of automation
and robotics in picking and packing processes, which contribute to faster order
processing.
5. Customer Service:
- Observed the role of customer service in logistics, including communication
with clients regarding shipment status, handling inquiries, and resolving issues
promptly to maintain customer satisfaction.
6. Data Analysis:
- Noted the use of data analytics to track performance metrics, such as delivery
times, inventory turnover, and order accuracy, which help in making informed
decisions and improving processes.
7. Sustainability Practices:
- Identified initiatives focused on sustainability, such as optimizing routes to
reduce fuel consumption, using eco-friendly packaging materials, and
implementing recycling programs within the warehouse.
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8. Safety and Compliance:
- Observed adherence to safety regulations and compliance with industry
standards, including training programs for employees on safe handling of goods
and equipment.
GENERAL OBSERVATIONS
SHIPMENT TERMS:
1.Freight forwarder
A third party who helps organize and coordinate shipments on behalf of
individuals or businesses by contracting with one or more carriers to
transport the goods.
Yusen Logistics is a Freight Forwarding Company.
2.Shipper:
The shipper on a bill of lading is the person who is responsible for packing and
preparing a shipment to send it to the carrier for transport. For example, this might
be a supplier who is sending your company parts for use in your manufacturing
processes.
3.consignee:
In a consignment, the receiver of the goods is termed as the consignee. A consignee
is only a receiver and not the owner of the goods. The ownership is transferred
only when the consignee has paid the consignor, in full, for the goods.
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4.Liner:
The liner is the owner of the vessel which will transport the goods from
shipper to the consignee. There are over 400 liner services being offered in
world.
Liner is also called as vessel operator or carrier.
Top 3 liners:
1.MSC (TOTAL TEU-5,705,424)
2.Maersk (TOTAL TEU-4,193,392)
3.CMA CGM (TOTAL TEU-3,635,418)
5.Vessel:
A vessel is a large watercraft designed to transport cargo, goods, and
passengers across oceans, seas, and navigable waterways. These powerful
and sophisticated vessels form the backbone of global logistics industry.
6.Voyage:
The term “voyage” is used to describe the entire process of shipping goods
from one location to another, including: all of the steps involved in getting
the goods ready for transport, loading them onto the vessel, transporting
them to their destination, and unloading them.
This keeps on changing with every journey.
7.Milk Run:
A Milk Run is a delivery method used to transport mixed loads from various
suppliers to one customer. Instead of each supplier sending a truck every
week to meet the needs of one customer, one truck (or vehicle) visits the
suppliers to pick up the loads for that customer.
8.Reverse Logistics:
Reverse logistics is the set of activities that is conducted after the sale of a
product to recapture value and end the product's lifecycle. It typically
involves returning a product to the manufacturer or distributor or forwarding
it on for servicing, refurbishment or recycling.
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9.Freight Collect:
Freight collect refers to a shipping arrangement where the consignee
(customer or recipient of goods) is responsible for paying shipping charges
upon delivery. The consignee is required to settle freight charges directly
with the carrier or shipping agent.
10.Freight Prepaid:
The cost of shipping is 'prepaid' by the shipper of goods rather than the
recipient, and this extra cost is included in the purchase price of goods. This
also means that the shipper is held responsible for any extra charges that
might arise in the transportation process.
3. Technology Utilization:
- Yusen Logistics employs advanced technology, including automated systems
and real-time tracking tools, to enhance operational efficiency and improve
visibility throughout the supply chain.
4. Customer-Centric Approach:
- The company prioritizes customer satisfaction by tailoring logistics solutions
to meet specific client needs, ensuring timely delivery and effective
communication regarding shipment status.
5. Sustainability Initiatives:
- Yusen Logistics is committed to sustainability, implementing eco-friendly
practices such as optimizing transportation routes, reducing carbon emissions, and
utilizing sustainable packaging materials.
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6. Risk Management:
- Observed the company’s proactive approach to risk management, including
contingency planning and crisis response strategies to address potential
disruptions in the supply chain.
9. Performance Metrics:
- Yusen Logistics uses key performance indicators (KPIs) to monitor and
evaluate operational performance, focusing on metrics such as delivery accuracy,
inventory turnover, and customer satisfaction rates.
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CHAPTER V
5.1 SUMMARY:
Yusen Logistics has established itself as a leading player in the global logistics
industry through its comprehensive range of services, including transportation,
warehousing, and supply chain management. The organization operates a vast
network of facilities worldwide, allowing it to efficiently cater to diverse client
needs and facilitate international trade.
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5.2 CONCLUSION:
The experience I have gathered till now at Yusen logistics India Pvt
Limited has been rewarding and very fulfilling.
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