ON
Mr. Girish
GUIDES CERTIFICATE
Place: HUBLI
Date:
Mr.ROHITH.K
DIRECTOR
Declaration
I hereby declare that this report titled Modes of transportation and their
difficulties, is a record of independent work carried out by me, towards the
partial fulfillment of requirements for MBA course of IIBM University. This
has not been submitted in part or full towards any other degree.
PLACE: HUBLI
DATE:
Mahantesh.p
ACKNOWLEDGEMENT
Mahantesh.p
PREFACE
difficulties
Although I have tried my level best to prepare this report an error free report
every effort has been made to offer the most authenticate position with
accuracy.
EXAMANERS CERTIFICATION
Mr. Mahantesh.p
Internal examiner
External examiner
INDEX
No.
CHAPTER
1
Executive Summary .
Page No.
Chapter:-1
Executive summery
The report is based on the data collected from the undertaken survey in hubli
transportation area & railway dept of logistic service. The survey asks the
respondent about their opinion about Modes of Transportation and their
Difficulties.
A project title is Modes of Transportation & its Difficulties the research was
carried out within hubli. The data collected approach adopted was
experimental research. The instrument used for data collection was Questioner.
The targeted to persons working in the Logistic Service in organization. The
chart & graph were used to translate the data into meaningful to get most out
of the collected data.
The design of the study is organized as methods used, Hypothesis, Data
Analysis, Overview of the study, Opinion of the study, & Findings,
Suggestions & conclusion.
INTRODUCTION
Transportation is the systems and modes of conveyance of people and goods
from place to place. It can be considered the major infrastructural element of
an area. The different elements of the transportation system ideally need to be
planned through an integrated and comprehensive process [which] that
development of new transportation facilities and systems. Over the past [two]
three decades, [numerous] a number of major transportation projects have
been completed, while many others are in the planning stage. Much of the
current construction, however, is either expansion or improvement of existing
systems of facilities. A sizable portion of the new construction [which is]
either planned or underway is but an incremental part of a long-range
program. Since the adoption of the General
TRANSPORTATION GOALS
Provide a transportation system whereby people and goods can move
efficiently, safely, comfortably and economically.
Make available a variety of modes of transportation [which] that best meets
the needs of the County
TRANSPORT FUNCTIONALITY
Transportation is one .of the most visible elements of logistics operations. As
consumers, we are accustomed to seeing trucks and trains moving product or
parked at a distribution facility. While this experience provides a good visual
understanding of transportation elements, it does not allow the necessary depth
of knowledge to understand transportation's role in logistics operations. This
section establishes that foundation by reviewing functionality provided by
transportation and the underlying principles of transport operation.
Transport Functionality
Transportation functionality provides two major functions
1. Product movement
2. Product storage.
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MODES OF TRANSPORT
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The exporter can send the shipment of goods using anyone of the following
modes of transport as specified in the export contract. The exporter can send
the shipment of goods using anyone of the following modes of transport as
specified in the export contract.
A) AIR TRANSPORT
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The least utilized and most costly (about 50 cents per ton-mile) freight
mode is air shipment. The first large all-cargo air carrier was Flying
Tiger. Other large airlines earn most of their revenue from passenger
service. Airfreight is confined to high-value items, emergency shipments,
and perishable products (such as cut flowers). One advantage of air
shipment is that pilots tend to land gently. This is a benefit to business
marketers who ship computers, electronic equipment, and other sensitive
devices that might be damaged by truck or rail shipment. The air
transport of the goods involves sending shipment of goods through one of
the international airlines. The exporter need not directly approach the
airline for booking of the cargo. The C&F agents who generally negotiate
with the airlines lower freight fates as they provide bulk cargo to them do
this job in a cost effective manner. Some of the C&F agents act as
consolidators for the airlines. In practice, the airlines are known to offer
huge amounts of discount to the C&F agents for booking of the cargo.
Such discounts may not be available to an individual exporter, as the total
cargo offered may not have the substantial load. While selecting the
airline, the exporter should be guided by the considerations of cost and
timely delivery of the goods. It should, however, be ensured that the
cargo shall be carried in the manner as specified in the export order. The
export order may provide for direct shipment or transshipment. Direct
shipment means that the same airline should carry the cargo from port of
loading to the port of discharge. Transshipment of the goods permits
change of plane on the way to the destination of the cargo. In this case,
the loading and unloading takes place at least twice. The exporter may
find transshipment attractive, as the cost of transportation is generally
lower as compared to direct shipment. Against this cost advantage of
transshipment over direct shipment, the exporter runs the risk of delay in
transportation of goods and possible damage to the goods during
loading/unloading at the intermediate ports. The decision should be based
mainly on the terms as given in the export contract. Transshipment should
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not be preferred unless the buyer permits it. The reason since in case
there is a delay in shipment or damage to the goods, the importer may not
accept the goods or even if he accepts, may raise a claim against the
exporter for compensation for the damaged goods. This would spoil the
reputation of the exporter, which would adversely affect the growth of his
business. Various international conventions have laid down basic rules for
the air freighting of the goods. The first international convention was
concluded in 1929 at Warsaw, known as 1929 Warsaw Convention. This
convention relating to international air carriage was amended by the 1955
Hague Protocol and further supplemented by the 1961 Guadalajara
Convention and the Montreal Additional Protocol of 1975.
GOALS
Provide transportation terminals and related facilities for the safe, efficient
and comfortable movement of people and goods.
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Disadvantages
Price will be too high
Non-direct points
It will carry for only perishable goods
Necessary
B) RAIL TRANSPORT
Rail carry the greatest amount of freight (see Exhibit), typically because of the
15
volumes of forest products, grain, chemicals, metals, and bulk materials that
are handled over great distances.
'Truck traffic includes for-hire and private carriers, also mail and express.
.Water traffic includes both domestic and foreign traffic moving through U.S.
rivers, canals, and the Great Lakes, but excludes domestic coastal and
intercostals movements. Source: From Transportation in America, December
1991 Supplement, p. 10. ENO Foundation for Transportation Rail shipments
can accommodate a wide range of types and sizes of goods--dry, liquid,
frozen, controlled atmosphere, and awkwardly shaped-in carload (CL)
shipments of up to 30,000 pounds or in less than carload quantities (LCL). At
an average rate of just a few cents per ton-mile, rail is an inexpensive transport
mode. However, rail shipments have limited accessibility. Goods must be
moved to and from railroad terminus points, unless shippers or receivers have
spur lines into their plants or warehouses. Railroads primarily are used to
transport low-value, high-density, large-volume shipments over long distances.
As an indication of the large scale of a rail shipment, manufactured goods
shipments by rail average 36 tons, whereas forestry, mining, and mining
products average 62 tons per shipment. Sensitive equipment may be damaged
by the impact of rail cars being shunted in train assembly, so other modes are
preferable for such shipments
. Advantages
Low cost, high volume (Products: Heavy industry, minerals,
chemicals, Agriculture ducts Autos, etc.)
Improving flexibility
Disadvantages:
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D) ROAD/TRUCK TRANSPORT
The exporters from India can send their export shipments by road to
Bangladesh, Nepal, Pakistan and Myanmar. Shipment to Bangladesh are sent
b) road to Beanpole (border) where the customs formalities are completed and
cargo is handed over to Bangladesh Customs. Similar land customs stations
have been set up for export of goods to Nepal, Pakistan and Myanmar.
The most popular mode of transportation is truck. Its importance in shipment
of selected industrial products can be seen in the fact that more than 80 percent
of the weight of all machinery, fabricated metal products, and rubber and
plastic products shipped in the United States, and more than 90 percent of the
otal weight of leather and leather products, moves by truck. Truck transport is
the most available and accessible of the modes because motor vehicles are not
restricted by terminal-to-terminal operation but can provide service from the
shipper's loading point to the receiver's dock. Highway transport is used
mostly for short hauls of high-value manufactured goods, because trucks have
higher operating costs and less capacity than trains.
GOALS
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Advantages:
The capital cost of vehicles is relatively small. This produces several key
characteristics of road transport. Low vehicle costs make it comparatively
easy for new users to gain entry, which helps ensure that the trucking
industry, for example, is highly competitive. Low capital costs also ensure
that innovations and new technologies can diffuse quickly through the
industry.
Another advantage of road transport is the high relative speed of vehicles,
the major constraint being government-imposed speed limits.
One of its most important attributes is the flexibility of route choice, once
a network of roads is provided. Road transport has the unique opportunity
of providing door to door service for both passengers and frei
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Automobile mainly depend primarily on oil for its fuel and earth has
limited storage of same
Loss of public space. The majority of roads are publicly owned and
free of access. Increased traffic has adverse impacts on public activities
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which once crowded the streets such as markets, agoras, parades and
processions, games, and community interactions. .
D) SEA TRANSPORT
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The prime advantage of water transport is its capability to move very large
shipments. Water offers lowest-cost transport, but at a slow speed and
restricted access. Deep-water shipments are primarily intercontinental,
whereas domestic shipments move along the coasts and through the Great
Lakes, canals, and navigable rivers such as the Mississippi, Ohio, and
Missouri rivers and the St. Lawrence Seaway. Water carriers primarily move
low-value, high-density cargoes such as cement, chemicals, grain, mined
items, and basic bulk commodities. Sea transport involves carriage of goods
by ship to the port of discharge. The contract of carriage of goods by sea refers
to the contract between the shipper and the shipping line (referred to as the
carrier) for transportation of goods against payment of remuneration (i.e.
freight) to the carrier. The shipper may be the seller (exporter) of goods or
freight forwarder or any other person sending shipment on behalf of the
exporter. One who sends the shipment is called the consignor / shipper and the
person to whom the goods are shipped is called the consignee. The consignee
may be the buyer, a clearing agent, or any other person acting for the importer.
It may so happen that the buyer may be importing goods on behalf of a
customer in his country and in such a case may request the exporter to consign
the goods to the customer directly. In this case, the consignee would be
different from the buyer who placed the export order. The carrier
may be the owner of the ship or a chartered. The latter is an agent who books
the cargo on behalf of the shipping line. The legal carrier of the goods is the
party contracting with the shipper to carry the goods; the carrier may be the
actual carrier or may arrange for shipment by another carrier. In the latter case,
he is usually responsible for the acts and omission of the other carrier. The
shipper may pay the amount of freight or the consignee of the goods may pay
it. With the development of combined or multi-modal transport systems, many
of the freight forwarders now contract as carriers even though they may not be
personally involved in sea transport.
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. Tramp Shipping
Tramps are those ships, which are usually used for transportation of
homogenous cargo, which is moved in bulk quantities. The examples of such
cargoes are grain, coal, are, phosphates, timber, sugar, wheat etc. Such ships
operate on single (specific voyage) or consecutive voyages (i.e. one voyage
after another is taken up to transport the cargo). Such ships work on
inducement~ basis and ply indiscriminately between the ports of the world
depending upon the laws of demand and supply in the market. The rates in the
tramp market are determined purely by the free inter play of the forces of
demand and supply. The shipment of goods through tramps is known as tramp
shipping. The shipping lines operating as tramps can operate on any route for
which the freight cargo is available. Thus, such shipping lines are not
committed to any discipline in terms of service schedule and the freight rates.
The market for shipping services for the carriage of bulk commodities is also
referred to as the charter market and the shipping service is known as
chartering.
. Conference Shipping
A conference is an association of two or more liner shipping companies
operating in a well-defined trade, plying on a fixed route or routes within
certain geographical limits. The groups of liners in the conference operate
based on common freight rates and tariffs as well as conditions of carriage.
The shipping services provided by a conference are known as Conference
Shipping. This form of shipping is for a particular trade only and represents
specialization of the shipping companies to handle a particular type of cargo.
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TYPES OF SHIPS
Rail
High Fixed cost, Low variable cost
High Volume result in lower per unit(variable)cost
Road/Truck
Lower fixed cost(dont need to maintain roads)
High unit cost than rail due to lower capacity per truck
Terminal expenses and line haul expenses
Sea Transport
High terminal (port) costs and high equipment costs(both fixed)
Very low unit costs
Air Transport
Substantial fixed cost
Variable cost depend highly on distance traveled
Pipeline transport
Highest proportion of fixed cost of any mode due to pipeline
ownership andMaintenance and extremely low variable cost.
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Indians logistics industry is fast coming into its own, poised to touch $125
billion in 2010.From $90 billion at present
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Environment Scan
India
Logistics in India
Despite its favorable location between Asia and Europe and a population of
more than 1 billion people, India has hardly been able to position itself on the
economic market. It has only been in recent years that the country has been
able to increasingly flex its economic muscle. But, India has much catching-up
to do in logistics terms before it can reach the same level as the worlds
leading industrial nations.
Geographic challenges in India
for India is bordered on the north by the Himalaya Mountains. For this reason,
creating road and rail connections from this direction is a major undertaking.
In the south, though, the Indian peninsula is well suited for sea harbors. India
is indeed the country with the worlds second-largest population. But the
population is unequally distributed, creating major challenge logistics service
providers.
Core countries for trade
The most important export countries for Indian products are the United States,
the United Arab Emirates, China, Singapore and Great Britain. The biggest
import trading partners are China, the United States, Switzerland, the United
Arab Emirates and Belgium .
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Indian infrastructure
A vital step in Indias further development is expanding the road and rail
networks, and modernizing harbors and airports. In the process of
globalization , which is expanding Indias position in world trade, transport
volume has climbed rapidly in recent years. The expansion of the logistics
infrastructure has been unable to keep up with this pace. For this reason,
transport capacities have already reached their limits. The transshipping times
for ships in Indian harbors are three to four times longer than the average time
in the West. Logistics costs are also very high in international comparison
because of the poor infrastructure. For this reason, India will have difficulties
positioning itself as a global logistics hub in years ahead.
Road transport is especially important for Indias transport system. After all,
Transport hubs in India
India has one of the worlds largest road networks, with a total length of 3.3
million kilometers. But much of this network does not meet Western
standards. For instance, a truck takes five to six days to cover the 2,061kilometer-long route between Bangalore and Delhi. The government is indeed
trying to introduce counter-measures and shift freight transports from the
roads to the rails. But, first, the rail infrastructure must be expanded and the
connections to
harbors and airports improved. Many sub-areas of the 63,000-kilometer-long
rail network still use the technology of 1947, the year that British colonialists
left. Only about onequarter of the routes are electrified. One other challenge is
the four gauge
widths used in the rail network .
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The Indian Railways boasts of being the worlds 2nd largest rail
network spread over 81,511 km and covering 6896 stations
The freight segment accounts for roughly two thirds of railways
revenues.
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Indian Ports
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OBJECTIVES
To understanding logistic services and system toward the
transportation of the goods.
To know the modes of transportation procedure and benefits of
transportation
To know the current status of Indian logistics services
To know complete details of transportation.
To understand which transportation is better for demotic market
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Methodology
The methodology adopted for the present study is the outline a under.
The research as started with using for this study is descriptive research
forces on providing to accurate description of the variables in the
problem model. It better describes marketing problems, situation or
markets, such as the current status studies for modes of transportation
and their difficulties
Study has taken customers opinion about the transportation and their
difficulties
Primary data
These are the data have been collected for the first time through
survey, observation; the researchers records experimentation for the
first time to their knowledge .As the data collection methods
1. Surveys
2. Observation
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Secondary data
Secondary data are those which have already been collected by someone else
& which have been used and published or kept for public .in this research,
primary data has strength and essential which has been adopted and also
secondary data.
Sources
1. Board
2. Magazines
3. Websites
4. Pamphlet
5. Advertisement
SAMPLE SIZE
15
38
DHARWAD
TOTAL
O5
2o
To know the response I have used the questionnaire method in sample survey.
If one wishes to find what people think or know, the logical procedure is to ask
them. This has leads study to use the questionnaire technique for collecting
data more than any other method.
In this method questionnaire were distributed to the respondents and they were
asked to answer the questions in the questionnaire. The questionnaires were
structured non-disguised questionnaire because the questions, which the
questionnaire contained, were arranged in a specific order besides every
question asked was logical for the study; no question can be termed as
irrelevant.
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C] SAMPLE TECHNIQE
The methodology adopted for the present study is the outline as under.
The research as started with using for this study is
descriptive research forces on providing to accurate description of the
variables in the problem model. It better describes marketing problems,
situation or markets, such as the transportation studies for which
service is better in logistic
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Data collection
Primary data
These are the data have been collected for the first time through
study, observation; the researchers records experimentation for the
first time to their knowledge .As the data collection methods.
Surveys
Observation
Questionnaire is measurement technique for the required
information. Which is having set of questions is used to seek
details of the research objectives.
The researcher has been surveyed using questionnaire for data
collection for transportation we can come to know the flexibility ,
competitors & other requirements. Questionnaire includes close
ended questions and open ended question.
Secondary data
Secondary data are those which have already been collected by
someone else & which have been used and published or kept for
public .in this research, primary data has strength and essential
which has been adopted and also secondary data.
Sources
1.
Magazines
2. Websites
3. Pamphlet
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GEOGROPHICALE STUDY
The study was conducted in a transportation area of hubli and
railway station and logistic services
transportation and their difficulties
associates
whomsoever
transportation
transportation and
it is survey on modes of
an opinion
by organization
Data analysis
Data analysis by using the software excel
Data analysis by various group and methods
1) Did you aware about transportation
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LIMITATION
44
CHAPTER-2
45
The main thing in the study report is the proper identification of the city and
then setting of the study objectives. As we have clearly maintained in the
objectives that we need to find out the transportation and logistic service of in
hubli to find out these things we need to go for the collection of the data that
determine required results about the logistics
elements we were able find out the reasons for the transportation
After finding out the data needs the next task is to go for
identifying the data sources .these are the sources, which are capable of
providing us with the relevant data depending customer satisfaction.
In the research decision was made on the data collection methods. for the
primary data we went for questionnaires ,which basically helped us to find out
the which transportation is better the answer got by research . Thus through
this research we could verify the insights & to make decision for selecting
course of action.
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CONCLUSIONS
This project is an effort to throw some light on current situation of transpiration and logistics
industry in India .as we know logistics industry is growing industry in India it has immense
scope of development provided it gets right kind of infrastructure and strategies, .
Indian infrastructure is nothing much to write about because of its pathetic road and poor
connectivity though efforts have been made by government to improve its condition. Several
infrastructure projects are under way, which is definitely going to boost this industry. In initial
part of this project I have tried to explain modes transportation and logistics and I have talked
about various sectors of logistics industry like road, air, railway, and sea, all these four sectors
have to be equally developed to boost the growth. Then we will study about railway
transportation service..
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CHAPTER-4
If heat processing is used the vitamins are lost so maintain that quality
BIBLIOGRAPHY
1.
2.
3.
4.
5.
WWW.LOGISTICS MANAGEMENT.COM
Questionnaires
A study on modes of transportation and their difficulties
Name
Gender..
Age..
Qualification.
Cell No
No
Good service
Time management
Flexible
No
No
No
..
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