e business model on logistics1409
DESCRIPTION
Website creation for E businessTRANSCRIPT
BUSINESS PLAN ON E -LOGISTICSSummary of Business Plan of Prompt e-Logistics (Hypothetical model)
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 2
PROMPT E-LOGISTICS PRIVATE LIMITED
• www.promptlogice.weebly.comCreate Value for business logistics through Operational
Excellence
Even though being a relatively small market, yet prompt e logistics could still be regarded as an attractive destination
for logistics investments
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 3
E-vision
To enable global connectivity to Prompt logistics limited’s present and future interactive technology strengths, for value added solutions.
To facilitate seamless integrated transportation, distribution and supply chain management, from, to and within the region, thereby increasing value to business to business transactions.
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 4
INTRODUCTION• Logistics is the art and science of getting things exactly where they need to be
exactly when they need to be there.
PRELIMINARY DRIVERS
• To create a e-business model which is feasible in reality that is first of its kind in India.
i.e., e-Logistics !
• FIRST MOVER IN THE ABOVE PERSPECTIVE.
•ACTUAL MODEL : To act as a framework for a network of freight services in and around
India and to Provide domestic freight services along the region of Tamil Nadu on pilot
basis.
•Competitive pricing with loyalty benefits for regular shippers could prove a upper hand
with the rise of e-commerce
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 5
WEBSITE HOMEPAGE
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 6
WEBSITE'S COMPONENTS
Front End
• Homepage
• About Us
• Contact - Form to submit information and phone number to reach us
• Services - Deeper description of the service options
Delivery Tracking
• Form - To enter delivery code which was designated for the delivery
• Map - Shows current location of the delivery on a map
• Statistics - status of pick-up or drop-off, other notes about the order
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 7
Account Management
Login - Login form for client username and passwordAccount Profile - Basic client information, settings related to interface between client systems sScheduling - Calendar on which pickups and deliveries can be scheduled and rescheduledAlerts - Settings for email or text alerts about deliveries
Back End
Database Entry - Ability to search within and make changes and edits to the client and scheduling information in the databaseBilling Interface - Website sends billing information for completed jobs directly to accounting software for bill creation
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 8
MARKET FEASIBILITY
• Tier 2 and Tier 3 freight companies require awareness and who aim for multi orders
• Location preference Chennai - sound knowledge about existing logistics pattern and
network
• The Information Technology industry is, perhaps, typical of the changing and
escalating logistic demands of various industries today for B2B transactions
• The delivery of goods to the customer in the most reliable transit period possible
• The reverse flow of acknowledged, signed delivery records without which, in many
cases, recovery of bills are virtually impossible.
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 9
MOTIVATION & GOAL• Plan at start – to form a web of existing freight service providers
• Motivation and Inspirations – A prototype of this kind of model had been tested on pilot basis in Canada
• To make it as the country's most reliable air and surface network offers a pre-determined delivery schedule with close to 100% accuracy. The industry could plan its production with precision and avoid expensive inventory build-up.
• To make it as the country's only express service provider with a dedicated fleet of freighters as business allies (ocean and air freight )
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 10
• SEGMENTATION
• To capture B2B companies with a need of Express & e- Logistics
• TARGETING
• Manufacturing sector ,organized retail sector, Raw Material Suppliers , Wholesalers/Distributors etc
• POSITIONING
• South India’s number one allies with express air and integrated transportation (for ocean and air freight)
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 11
SERVICES
• Pick-up and delivery of goods with a minimum per-delivery weight of 60 Kgs from and to locations in its geographic range by wheeler trucks hauling trailers
• Online tracking information detailing the location of all GPS-tagged trucks and the status of deliveries, including expected arrival times for pick-up or delivery
• Phone support for all customer questions, delivery changes, and scheduling
• Preferred client services including online accounts, regular schedules of shipping, or linking of client order information directly to Timely Trucking's scheduling software to allow for seamless logistics
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 12
SOURCES OF FINANCE
• Through Bank Loans – 45%
• Through Self – 40 % ( CEO & COO)
• Through Business Partner – 15% (VP)
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 13
ORGANIZATIONAL CHART
CEO
COO CMO
DC MANAGERS
DC SUPERVISORS
Office/ DC Assistant
Security
MANAGER
S
VP
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 14
EMPLOYEE STRUCTURE• 1 CEO
• 1 COO
• 1 VICE PRESIDENT Business Partner
• 3 DC MANAGERS : (Rs.30,000 / per Month / per employee)
• 3 MANAGERS : (Rs.25,000 / per Month / per employee)
• 3 Dc SUPERVISORS : (Rs.20,000 / per Month / per employee)
• 12 Office Assistant : Rs.10,000
• 10 Security : Rs.6000
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 15
FRAMEWORK OF THE MODELUser Login to Account
Get
quotes & Place requests
Domestic
: Self,
else
select others
Selection of Allies
Checkout process
Dispatch of Vehicle
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 16
BUSINESS PLAN
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 17
DESCRIPTION OF THE MODEL
• To provide ground freight services along the region of TN & to connect the various tier 2 & tier 3 freight into a single platform where the customer is free to choose from the carrier he intends to send his consignment.
• Pick up of Consignments at Doorstep and in transit insurance till the consignment reaches to the destination.
• Competitive pricing and facility to pay on reach – unique feature of the model.
• All the above, in a click of a button – yes !
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 18
ACTUAL BUSINESS PROCESSUser
Navigation in the web for
Quotes & Deals
Network of Strategic
Allies
Self Freight :
Within TN
04/12/2023 19
SELF FREIGHT • On pilot basis, Self freight is done within TN limits.
• Consist of only Domestic Freight.
• On Placing the order and completing the security & Preliminary details, order gets processed.
• Processing time (4 hours) : Telephonic Verification & Vehicle dispatch
• Order gets safety Packing at shippers end. Agreement, Terms & Conditions are subjective to imply.
• Mini vehicles plunge over door to door pickup and reach to the distribution center. Consignments are replaced to trucks and dispatched to their respective destinations.
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 20
STRATEGIC ALLIES
• Once the entered destination is out of reach, the user is directed to the allies page. Alternatively the user can also proceed directly to the allies page if intended.
• Consists a list of allies and their pricing schemes. Few based on weight alone and rest depending upon weight and destination.
• On the best deal selection, the user is directed to the verification page. Moving forward, the user enters the pickup address for his consignment.
• On pickup, the consignment is then brought to the DC from where it is taken to the respective Allies DC for dispatch.
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 21
MAJOR CITY ALLIES
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 22
FLOW PROCESS
• User login/registration.• Email id & Mobile verification• Profile updation (Not mandatory)• For Telephonic quotes, Profile login / creation not mandatory.
Preliminary Information
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 23
LOCATION FINDER • The Location Finder provides you with information on locations
serviced by Prompt Logistics in India.
• It also outlines the services available for each location and the contact details of the our logistics allies office which serves as a contact point for that location.
You may search by Pin Code or Location Name for locations in India.
Enter a Pin code or the name of the location to find out if services are available to the location required by you.
• When you find your desired location and wish to do transactions to that location, use the quotes details in website
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 24
CONTACT
• For contact details of the our office in the location required by you, you may search by using the options given below - by State or by location or by Pin code.
You will view the address,telephoneof the contact office. You may also send messages to these area offices, once located.
25
Attributes Fixed Component Variable Component
Initial Startup & Setup Rs. 5,00,000
Web Maintenance & Server
Rs.25,000 Rs.5000 per month
Payment Gateway (based on
Transactions)
1.5 % on India Swipe (Startup) & 2.5% on
Billdesk per Transaction
Franchisee / Agency Rs. 1,00,000 per firm (per year)
Vehicle Lease Cost Deposit Rs.20000 Rs. 15,000 per Vehicle per month
Trip Related Cost Rs. 10,000 per vehicle per day
Quantity Related Cost Rs. 90,000 per trip
Distribution Centers Rs 20,000
Employee Salary Rs 405000 per month(43 employees)
Overhead Cost Rs. 15,000 per month
Misc. Maintenance Cost
Rs. 10,000- 20,000 per month
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 26
ROI & BREAK EVEN
• A profitability measure that evaluates the performance of a business by dividing net profit by net worth.
• The point where total costs (expenses) and total sales (revenue) are equal. Break-even point can be described as a point where there is no net profit or loss.
• Fixed component (including asset and start up)cost approx – Rs. 6,80,000
• Variable cost approx – Rs. 5,25,000
• ROI – 0.17
• Break Even Point can be attained by end of first year ending of third month
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 27
MARKETING STRATEGIES ADOPTED
•Search engine optimization -to increase the amount of visitors to a website by obtaining a high-ranking placement in the search results page of a search engine - including Google, Bing, Yahoo and other search engines
•Social media marketing (SMM) -to help a company increase brand exposure and broaden customer reach.
•Business development strategies - to match marketing opportunities to the organization's resources (what it can do)and its objectives (what management wants to do), by market penetration , market development , product development and diversification
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 28
• Building a website with visibility on search engines and in databases of trucking companies
• Creating a compelling brochure of Timely Trucking services which will be distributed through direct mail,
• Exhibiting at stalls of business service conferences, especially for sectors of the manufacturing industry
• Advertisements in trade publications
• Public relations efforts including press releases related to the business launch
SALES STRATEGY
Our company will manage sales for the business, making appointments with and travelling to client businesses in the region when necessary to establish
relationships based on an understanding of the client's needs for freights.
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 29
SCREENSHOTS
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 30
QUOTE & TRANSITIONS
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 31
ADDITIONAL DETAILS
04/12/2023SCHOOL OF MANAGEMENT, NIT WARANGAL 32
ADDRESS DETAILS
Even though being a relatively small market, yet prompt e logistics could still be regarded as an attractive destination for logistics investments
THANK YOU FOR YOUR ATTENTION !