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Analysis of the existing supply chain & logistics regulations

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Varun Gada is the Director of LP Logiscience, the warehousing division of the 100-year-old legacy brand, Liladhar Pasoo. He is a seasoned supply chain management professional with 11+ years of valuable experience and expertise in the field of contract Logistics. With his focus on tech enabled processes that leverage the best in emerging technology, Varun also brought his extensive experience in Big Data and Project Management to drive market research and competitive analysis through effective data driven processes.

1.What is your area of logistics expertise and how do you prioritize processes and tasks?
PLogiscience is the leading warehousing and contract logistic service provider that brings the best in Ware house technology to our clients across sectors, especially for speciality chemicals.

Our inception is firmly based on two core objectives. The first is to improve the overall standard of warehousing and transform it from being a mere chaotic storage space to a professionally managed centre with a well-structured, scientific approach to creating state-of-the-art storage facilities and the second aim is the effective and timely adoption of technology to enhance efficiency, not only at the warehousing level but across the supply chain network.

We have strong partnerships with industry leaders for transportation and an enviable roster of long-standing client relationships with brands like Asian Paints, UPL Ltd, Total Energies, IMCD, Pidilite Industries, Momentive Performance Material, Nivea India among others, which is in itself a testimonial of our success and consistent performance.

Considering our focus on the specialised chemicals sector, we prioritize on meticulous safety and SOP-driven handling processes. We also give a lot of importance to understanding how the product would react to multiple circumstances like leakage, heat, fire, water, damage due to poor handling, and so on. The largest threat to any storage facility is fire and that fares on the top list of focus for us, across all storage facilities. Hence, we handle this with a robust set of preventive ecosystems, which consists of:

We have deployed a well-trained team of experts who are empowered to use the safe infrastructure optimally, in case of any untoward incidents, to ensure human and cargo safety.

We also offer value-added services and have robust capabilities like Chemical blending, State-of-the-art storage systems, and Hazardous Chemical Storage as per GOI norms and industry standards.

2.Give us an example of one of your most creative contributions during your past experience preferably related to warehousing/logistics.
As a warehousing and contract logistics service provider, our main goal is to add value while optimising costs and streamlining operations for our clients. In absence of an outsource partner, a client would generally set-up and and manage a 5000 sqft warehouse on their own premise. Apart from engaging in a solution which is not a core competency for the business, the client would also not be able to set up a cost-effective safety ecosystem with Firefighting systems, beam detectors, flameproof electricals, and so on, which are vital for storage facility. Even if the client invests in these systems for a space as small as 5000 sqft., they would outgrow the premises in less than 2-3 years, rendering the set-up redundant.

As their party service providers, we at LP Logiscience, specialize in creating large multi-client facilities with the best infrastructure available so that our clients, no matter how small or large their space requirement is, can enjoy a state-of-the-art facility, at a fraction of the investment. Additionally, they also get access to the best industry talent for handling and managing their supply chain and an option to grow their space requirement from time to time.

Within this multiclient setup, we have created a win-win for two of our clients, one of whom is a Japanese Air conditioner company and the other is a German cosmetic client with more than 75 percent market share in creams. The air conditioner client needs the least space in winter and the cosmetic client needs the maximum space in winter due to the seasonal nature of their sales. Having both these clients in the same warehouse enables a considerable cost-saving mechanism for both of them by sharing the temporary peak & valley space requirements.

3.From a health and safety point, what are the things to be taken care of during transportation & storage?
One needs to ensure the correct driver training and mentality. There have been cases where drivers were appreciated for making sure cargo reached its destination well in advance. We completely disagree with such appreciation. A vehicle driver must not reach earlier or later than the expected TAT. Appreciating lesser than normal TAT encourages rash driving, longer driving hours than mandated and thus driver fatigue. Monitoring the driver's work hours and vehicle speed while the truck is in operation is key to road safety. ensuring Road Safety and Vehicle inspection checklist, DG handling and training, and driver checklists are some other SOPs that need to me followed, at all times, without exceptions.

In terms of storage protocols, warehouse design is of vital importance. A slight error or a small mistake can prove fatal to the people working in the warehouse as well as pose danger to the cargo, resulting in massive loss of business continuity or even disasters. Additionally, in terms of tech adoption in warehouses, it is important to have a well-thought-through strategy for operations. While robots are being increasingly valued in modern warehousing in India, buying a safe robot from a robot manufacturer is just the beginning. Technology cannot always ensure improvements and depending simply on safety measures is not a solution.

Ensuring that a secure perimeter is established around the warehouse, with a 24x7 security staff is important. Also, CCTV monitoring of the premises can be done from a third independent location.

Licences and other compliances necessary for such specialized storage.
Environment safety to ensure no spills/leakages are affecting the ecosystem around us.

4.What are the major supply chain trends to consider in today's market?
One of the key trends we see is the accelerated tech adoption, especially automation, in the warehousing sector, which involves picking, sorting, packaging and transporting cargo across the premises. Integrating the same into Warehouse Management Systems (WMS) and Warehouse Control Systems (WCS) will extract more value from automation. Also, since skilled labour is increasingly becoming scarce, warehouse operators are turning to automation to solve this crisis.

Maximizing warehousing space is a need of the hour, and making every square foot count for your customers is a much-needed strategy. Hence, enhancing the pallet capacity has become important.

Green warehousing is fast evolving to become a coveted business objective and is no longer just a trend.

Also, the adoption of greener practices across supply chain and not only warehousing, is also gaining popularity.

5.In your opinion, what are the key competencies of Logistics professionals?
Proactivity is one of the key competencies for logistics professionals. If you are not solving someone’s problem, then it's not a win-win.

Knowledge to handle all documents properly is another vital characteristic. Due to the nature of work which involves handling of precious cargo of a client, having strong numerical and analytical skills and the ability to meticulously document, is one of the key competencies for professionals in this area.

Strategic and forward-thinking capabilities that are vital for problem-solving and anticipating challenges, can be critical skill that makes all the difference.

Adaptability to diverse situations is also important. Logistics professionals face complex and challenging situations almost on a daily basis and it is thus extremely important that a professional in this sector has good adaptability skills and knows what the best approach is in each scenario.

Another important skill in logistics is being prepared to make reasonable decisions in the shortest time possible.

Working as a logistics professional requires dealing with people across the socio-economic spectrum and in several different positions, from all over the world. Learning from the experiences of seniors, it is also crucial for one to develop a social networking skill that makes it easy and also beneficial to the business. One's ability to make good connections and keep a steady relationship with everyone goes a long way in building a trusted ecosystem for business.

6. Which skills are needed to be successful in supply chain management
Math skills combined with strong analytical and statistical capabilities to understand supply and demand issues.

Ability to use data to track orders and shipments, sales trends, demand and any weaknesses and inefficiencies.

Understanding of technology artificial intelligence, machine learning, Internet of Things, analytics software and apps.

Soft skills to negotiate and build relationships with suppliers, customers and team members.

Attention to detail to understand the business and the environment in which it operates.

7. What is your process for handling cost efficiency through strong relationships with suppliers?
Regular feedback and interaction to improve and innovate new products.

Special R&D team to work with suppliers to introduce cost-effective & eco-friendly replacements.

Timely payments with fair negotiations. Long term relationships are far more effective than one-time steal deals.

Commitment of annual volume contracts based on budgeted planning.

Appreciating the contribution of every supplier on the successful completion of a project.