“A STUDY ON ROLE OF AGILITY IN RETAIL LOGISTICS”

SUMMER INTERNSHIP REPORT SUBMITED TO

VEL’S INSITITUTE OF SCIENCE, TECHNOLOGY AND ADVANCED STUDIES (VISTAS)

(VELS UNIVERSITY)

(Estd.U/s 3 of the UGC Act, 1956)

In partial fulfillment of the requirement

For the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted by
KESAVAN.C

(Reg. No. 09305119)

Under the guidance of

MR,MUTHURAMAN, M.B.A., M.PHIL.

SCHOOL OF MANAGEMENT STUDIES (VIBA)

VELS UNIVERSITY

P.V.VAITHIYALINGAM ROAD,

OLD PALLAVARAM, CHENNAI-600 117.

(2009-2011)
 ________________________________________________________________________

School of management studies (VIBA)

BONAFIDE CERTIFICATE

This is certified that internship report title” study on role of agility in

retail logistics” Is Bonafide record of work carried out by KESAVAN
(0905119),school management studies, under VELS UNIVERSITY submitted in
partial fulfillment of the requirements for the award of the degree of master of
Business Administration from the VELS UNIVERISTY.

HOD-management studies (PROJECT DUIDE)

 DECLARATION

I K. Anbukumaran, a student of MBA, School of Management Studies, VELS UNIVERSITY

hereby, declare that the internship report on, BIG BAZAARRETAIL STORE, OMR,

BANGALORE. Submitted to the VELS UNIVERSITY in partial fulfilment of the requirement

for the award of the degree of Master of Business Administration is a record of Bonafide

record carried out by me under the guidance of Mr. Muthu Raman, Asst.Prof, School of

Management Studies, VELS UNIVERSITY and no part of it has been submitted for any other

degree or diploma.

Place:

(KESAVAN.C)

Date:
 ACKNOWLEDGEMENT

I express my deep sense of gratitude and hearty thanks to my

Honourable Dr. ISHARI K. GANESH, Chancellor of VELS University for providing me an
opportunity of studying in his premier University.

I express my sincere thanks and deep sense of gratitude to our Head of the
Department, School of Management Studies for providing facilities to undertake this project.

I express a deep sense of gratitude to my Guide MrMuthu Raman., Asst.Prof , School of

Management Studies, for her encouragement, support and consistent guidance during the
project work successfully

My heart felt thanks to Mr. providing me a great opportunity to carry out the project
in their esteemed firm.

I am extending my thanks towards Mr.murugan, Manager of logistic department for

his invaluable support and guidance throughout the project work.

I deeply wish to extend my sincere thanks to all my friends and family members for
their encouraging words and timely help.

C.KESAVAN
CHAPTER-I

INTRODUCTION:

In our vels university, every year its conducting an internship program for our first
year management students to give the opportunity to known the industrial
platform and also management training…

This is really valuable thing for every management students, without practical
knowledge they cant do anything, so it is very important thing for our future
action & experiments. First year onwards we can learn little bit knowledge about,
what is happening in industries, what are the procedure are taking places, how
to balance their overcome issues and more, based on our summer program.

It is my responsible duty to assigned the project on “AGILITY LOGISTICS” in

bangalore during the period from 14.6.2010 to 3.6.2010.
After completion my project, I got a more knowledge about warehouse activities
like transportation, inventory management, and documentation.

INDUSTRY PROFILE:

Logistics is the management of the flow of goods, information and other

resources between the point of origin and the point of consumption in order to
meet the requirements of consumers (frequently, and originally, military
organizations).

Logistics involves the integration of information, transportation, inventory,

warehousing, material handling, and packaging, and occasionally security.
Logistics is a channel of the supply chain which adds the value of time and place
utility. Today the complexity of production logistics can be modeled, analyzed,
visualized and optimized by plant simulation software.

Third-party logistics

Third-party logistics involves using external organizations to execute logistics

activities that have traditionally been performed within an organization itself.
According to this definition, third-party logistics includes any form of outsourcing
of logistics activities previously performed in-house. If, for example, a company
with its own warehousing facilities decides to employ external transportation, this
would be an example of third-party logistics. Logistics is an emerging business
area in many countries.

The Top 100 3PL Providers chart 2010 .

Reflecting the diverse needs of IL readers, and the frenetic pace of growth of the
market segment, it includes well-known companies, a smattering of 3PL niche
providers, and newer companies offering specialized logistics services. They're all
listed alphabetically to make it solutions-based resource, rather than to rank one
provider over another. Below is the list of companies featured in the Top 100
chart.

3PD, Inc. Inmar CLS

A.N. Deringer Jacobson Companies
Access America J.B. Hunt
ADS Logistic Services Kane Is Able
AFN Kelron Logistics
Agility  Kenco Logistic Services
AmeriCold  Keystone Dedicated
APL Logistics Landstar Global Logs.
Aspen Logistics LeSaint Logistics
Lily
ATC Logistics  Transportation
Averitt Express Logistics Insight Corp.
Bender Group LMS
Big Dog Mallory
Logistics Alexander
BNSF Logistics Matson 
Brightpoint Megatrux 
Menlo Worldwide
C.H. Robinson Logistics
C.R. England Logistics  National Retail Systems
Cardinal
Logistics Network Global Logistics
Cat Logistics New Breed Logistics
Nexus
CEVA Logistics Distribution
Comprehensive Logistics NFI Industries
Cornerstone Systems NLM
Corporate
Traffic Norvanco International
Crowley
Logistics NYK Logistics
CRST Logistics Odyssey Logistics & Tech.
CT Logistics OHL
CTSI One Source Logistics

Damco OOCL Logistics (USA)

Pacer Transport.
DB Schenker Solutions
DHL/Exel Pegasus Logistics Group
Distribution Technology Penske Logistics
Performance
DSC Logistics Team
Dupré Logistics Port Jersey Logistics
Echo Global Logistics Priority Solutions Int'l.
Evans Distribution  Regal Logistics
Damco RMX Global Logistics
DB Schenker Ruan
Ryder Supply Chain
DHL/Exel Solutions
Distribution Technology Saddle Creek  
DSC Logistics Schneider Logistics
Dupré Logistics ServiceCraft Logistics
Echo Global Logistics TBB Global Logistics
Evans
Distribution  TLC-Total Logistic Control
FAC Logistics TMSi Logistics
FedEx Global SC Svcs.   Transfreight
Fidelitone Logistics TransGroup
Flash Global Logistics Transplace
Foreway Management Tucker Co. Worldwide
GENCO Unyson Logistics
Gilbert UPS Supply Chain
Company Solutions
YRC Logistics
Company profile:

Agility is one of the world’s leading providers of integrated logistics to

businesses and governments. It Is a publicly traded company with close to
$6 billion in annual revenue and 32,000 employees in over 550 offices and
120 countries. Agility brings efficiency to supply chains in some of the
globe’s most challenging environments , offering unmatched personal service ,
a global footprint , and customized capabilities in developed and emerging
economies alike.

Agility’s commercial division , Agility Global Integrated Logistics

(GIL), Is head quartered in Switzerland and provides supply chain solutions to
customers in technology , retail , chemicals , and other industries . Agility
Defense & Government Services (DGS) offers logistics services to
governments , relief agencies and international institutions worldwide .

Agility Infrastructure group companies primarily focus on

opportunities in the Middle East , Africa and South Asia , providing
infrastructure support in the areas of industrial real estate , customs
optimization , and airline services . 

ABOUT AGILITY:

We are a leading global provider of integrated logistics, bringing efficiency to

business and government supply chains in some of the world's most challenging
environments. We combine a worldwide footprint and customized capabilities to
provide unmatched personal service in both developed and emerging economies.
Vision

A new logistics leader meeting the challenges of global trade.

Mission

Facilitating trade through innovative supply chain solutions.

Business Groups
Global Integrated Logistics (GIL):

Agility GIL serves commercial customers in technology, retail, chemicals, and a

wide range of other industries.

Defense and Government Services (DGS):

Agility DGS provides logistics services to government and military agencies, relief
organizations, and international institutions.

Infrastructure: Agility Infrastructure is a group of companies that handles the

support needs of the industrial real estate, customs optimization, and airline
services industries, primarily in the Middle East, Africa, and South Asia.

Investor Relations

Publicly listed on Kuwait Stock Exchange and Dubai Financial Market

 Ticker symbol: AGLTY

 15,000+ shareholders, including institutional investors
Geographic Reach

We have over 550 offices in 120 countries, with a strong and growing presence in
emerging markets.

Regional Breakdown

Americas: 100+ locations, 25 countries

200+ locations, 24 countries
Asia Pacific:
140+ locations, 25 countries
Europe:
100+ locations, 46 countries
Middle East & Africa:

Facilities & Operations

 2.15 million square meters of warehousing space around the world

 5.55 million square meters of open yard storage
 8,000-vehicle fleet
PRODUCT PROFILE:

AGILITY is one of leading service provider in 3pl (Third Party Logistics) industries.
They are having several centralized centre in all over countries, mainly to offer
certain basic necessity services to all at any situation with full of efficiency and
effectiveness.

Their major services are;

 Retail Logistics
 Freight Forwarding
 Project Services
 Oil & Gas Logistics
 Marine Services
 Mining Logistics
 Charter Services
 Government Contractor Services

Let’s move on topic now, In agility my study is about warehousing functions at

different level of clients. But in Bangalore, they are mainly handling FMCG
products.

AGILITY to fulfill the services on retail platform with proper manner and support
their clients for the business pitch and also helps to public for their needs of
commodities .Their major clients are “SMART” and “MAX”.

• SMART - Super Market

• MAX - Hyper Mark

CHAPTER-II

Scope of study:

I want to know the retail sector so that I preferred this topic. My topic is about
“Role of agility in retail logistics.”
Agility plays the vital role in retail stores. Here we are going to see about how
agility can access their supply chain operation and also contributing their valuable
logistical services along with smart and max.

Before going this topic let us know the meaning of retail logistics.

SMART:

 Smart is a one of the leading Super market in Karnataka, sister concern of

M/s. Wadhwan Group of Companies. They have their retail operations
widely spread across BANGALORE. They have thirty four locations in
Bangalore city, where they have outsourced their logistical activities. Some
of the logistical activities like warehousing, transportation, inventory
control are taking care by AGILITY (third party logistics service
provider / 3PL)
OBJECTIVE OF STUDY:

Based on my observation ,which I selected such a objectives ,that I mentioned

below:

 Warehouse functioning
 Fill rate efficiency
 Benchmarking
 Man power rationalization

LIMITATIONS OF STUDY:

 I never got a chance to go for administrative section due to unforeseen

circumstances reason.
 Time constraints was also a major problem.

CHAPTER-III

QUALITATIVE ANANLYSIS ON AGILITY:

I got a valuable opportunity to do my internship from agility. They asked me

to go for first two weeks in “max” warehouse then rest of the weeks they sent
me to “smart” warehouse.

I observed on agility DC( warehouse) functions only because I never got a chance
to study about their admin work process. But I hope they also following as it is
like MNC(corporate) admin process.

The Following such a things are generally obtain in administrative side that I
mention below.
First two weeks observation: MAX

Agility having 1,20,000 sq ft of land for their warehousing function. So they

allocated such a space to each client (MAX, SMART,F&V) based on the their
business stipulation. Here I monitored the entire max warehouse functions and
operations also observed how they received their orders from vendors, how the
EDP process takes place, how they store their stock by used material handling
equipments.

LAYOUT OF MAX WAREHOUSE

PANTRY
IN Max warehouse having different level of activities which are takes place like
Receiving, EDP, Storing, RPC, Picking, TO(Transfer out) and Dispatching. For this
process involves several documents are there

Max major warehouse functions:

 In bound functions
 Inventory management
 Outbound functions

Inbound:

Generally inbound function can be defined as receiving the goods from the
suppliers .

 Unloading.
 Material Handling.
 Receipt checking.
 Document verification.
 Discrepancy Report.
 GRN(Goods receiving note)
 Storage (Put away model)

Inventory management:

It is an activity which is occurs in physical vs system. They checking the stock

quantity based on system data. Perpetual Inventory.(PI)

 Physical vs System.

 Indent Receipt.

 Put away pick list generation.

 Inbound & Outbound MIS Report.

Outbound:

It includes picking , checking ,and dispatching .these activities are done here.

 Picking.

 Material Handling.

 Checking.

 Scanning.

 Document Preparation.

 Dispatching.

 Loading.

 Transport Co-ordination.

 Delivery.

REQURIED DOCUMENTS

 Invoice.

 PO(Purchase order)

 PRD(Pre receiving document)

 GRN(Goods receiving note)

 Discrepancy report.

 Put away & Flow through model’s.

They also following one of the major function namely, like RPC(repacking center)
RPC (Repacking center):

In max warehouse ,food items are purified, shinning by using RPC method.
The following food items are involved in this process,

 Pulses
 Rice
 Wheat
 Ground nuts
 Rava

Repacking process:

Food items are classified into two types

 MBR3(methyl bromide )
 ALP(aluminum phosphate)

Before the repacking process, MBR & ALP operations are takes place, mainly for
fumigation purpose.

MBR process has taking nearly 24 hours and its only using for bulk storage. Items
which is included in MBR(methyl bromide) that will not goes RPC. certain
chambers are available here, for doing purpose of MBR process.
 VENDORS

RPC PROCESS :

It was one of major activities in max warehouse, and it carried mainly for food
items like pulses and oil nuts. Once a goods inward from the vendor, and it
should be monitored by the quality manager, whether that items are standard
products or not. If it is good condition then it can be rooted for fumigation
process. Fumigation is nothing but to purifying the products and remove the
foreign particles by the method of MBR (methyl bromide) and ALP (aluminum
phosphate). This fumigation process somewhat different while comparing ALP,
because it takes nearly 5 days for fumigation process after that it has go for RPC.
There itself to purifying & shinning the products by using Destoner and Conveyor,
then its goes to packing area after packing its moves to stacking then it will ready
for dispatch. But in MBR process, items which are fumigated that will be directly
dispatch to clients. It will not go for RPC so it’s only suited for bulk items.
End of the week:

At the end of week we had a video conversation with “Mr.” He is the vice
president of agility. Here we had discussed about what we had did in agility past
two weeks and also reported everything, what we had observed in agility with
him. Finally he instructed such thing and also recommended what we will do on
next two weeks and requested to do on study of manpower rationalization, fill
rate, ware house mapping and benchmarking. Whom are involved in this video
conversation, name are given below:

• C. Kesavan - (VEL UNIVERSITY)

• M. Hari Ragan - (VEL UNIVERSITY)
• Vimal - (VEL UNIVERSITY)
• Ganesh - (VEL UNIVERSITY)
• Karthick - (IIL)
• Karthickeyan - (IIL)
• Charasekar - (IIL)

According to his motivation, I migrated to “smart” warehouse for the purpose of

this studies on next two weeks.

Next two weeks observation: In Smart

Activities
In Agility, We have several activities like

 Receiving

 Checking

 EDP(Electronic data processing)

 Allocating

 Loading

 Dispatching

 House Keeping

 Security Desk

Warehouse Activities

Receiving

 Goods Inward

 Unloading

 Checking & Receiving of goods from the vendors.

Checking

 Checking is the activity, where the goods received from the vendors will be
checked, according to its quantity and physical state.
EDP (Electronic data processing)

 Documentation process.

 Data Entry activities.

 System Supporting the whole activities.

 GRN (Good receipt note)

 TO (Transfer Out)

 TI (Transfer In) Reverse Logistics

 PRN (Purchase Return Note)

Allocating :

 In this activity , received products from the vendors will be allocated or

segregated to the different location according to the requirement from the
client(Store)

Dispatching:

 In this activity , allocated products will be dispatched to the particular

location(Store) along with TO (Transfer Out)

Loading:

 Loading is an activity, where goods will be loaded in the vehicles(Secondary

Transport) from the warehouse to the locations(stores)
Reverse Logistics:

 Returning of expired goods and the defected goods back to the vendors.

 RTV(Returnable to Vendors)

 NRTV(Non-Returnable to Vendors)

House Keeping:

 Maintaining the warehouse (cleaning it periodically)

Security Desk:

 Checking inwards.

 Frisking employees, visitors.

 Maintaining of all Inbound & Outbound Registers

 Control on Gate pass issuance

SMART WAREHOUSE PROCESS MAPPING:
AGILITY( ON ROLE) EMPLOYEES IN SMART :

S.NO DESIGNATION REQUIRED AVAILABLE

EMPLOYEES EMPLOYEES
1 MANAGER 1 1

2 EXECUTIVES 2 2

AGILITY(CONTRACT) EMPLOYEES IN SMART :

S.NO DESIGNATION REQURIED AVAILABLE

EMPLOYEES EMPLOYEES
1 RECEIVING 3 3

2 ALLOCATION 13 13

3 EDP(Generating GRN) 5 5

4 LOADING/UNLOADING 7 7

5 HOUSE KEEPING 2 2

6 ESCORTS 8 7

7 DOCUMENTATION 1 1

8 DISPACTCH 1 1
SUPERVISOR

9 REVERSE LOGISTICS 5 5

10 SECURITIES 3 3
 SMART EMPLOYEES IN AGILITY WAREHOUSE :

S.NO DESIGNATION NUMBERS

1 ASSTIANT GENERAL MANAGER 1

2 DC MANAGER 1

3 QUALITY MANAGER 1

4 EXECUTIVES 2(smart)/4(F&V)

5 EDP 2(smart)/3(F&V)

6 SUPERVISORS 1(smart)/3(F&V)

7 LABOURS 40(smart)/30(F&V)

8 HOUSE KEEPING 3

SMART WAREHOUSE DETAILS

CLIENT’S NAME : SMART

ALOTTED SPACE : 25,500Sq ft

AGILITY EMPLOYEES(On Role) : 2 Members

GENDER RATIO : 4(Female): 43(Male)

TOTAL EMPLOYEES : 47 members

FILL RATE : 95%

CUT OFF TIME : 3:30PM

WORKING TIMINGS : (General Shift - 8AM to 6PM ) (Second Shift -

1PM to 10PM)
FINDINNGS

PROPER ALLOCATION :

 Employees must be trained for proper allocation, Since it is an important

activity to achieve the efficient fill rate.

 Here we do not have more skilled employees in allocation.

 To avoid excess and damage of the goods in delivery(Store),allocation must

be done properly.

 Once the allocation has been done, A team of 2 or 3 people should be

assigned for cross checking the products(crates) according to the location.
REDUCE DAMAGE:

 Employees should handle goods properly. (Avoid harsh & improper

handling)

 Damaged crates should be avoid to reduce product damage.

 Loading should be done in an effective and proper

manner(Secondary Transport)

 Skilled employees should be used in receiving process. So that they

can find whether the product is damaged or defected , during the
receiving of goods from the vendors.

ISSUSE’S IN DELIVERY:

 Escort should be provided with a helper. So that delivery can be done

effectively.

 Each helper will help to unload the product delivery. Whereas, it will also
reduce the damages during the unloading activity.

 When an escort is committed with the documentation process work during

delivery that helper will monitor the products to avoid theft.

SUGGESTIONS

 Skilled employees should be assigned for allocation. So that it won’t

consume more time.
 This cross checking is happening, but not effectively and perpetually.

 Heavy weighted should be kept under the crates. So that we can reduce
the damage of the products.