Abstract:
Supply chain management involves managing the inventory network and its
overall objective is to increase the customer value and accomplish the competitive
advantage. In simple words supply chain management deals with all the activities
involved in bringing the product from manufacture to end customer. This project is
about analyzing the distribution network of Qureshi Trader’s, which is the sole
distributor of Nestle products in Islamabad Pakistan.
Qureshi Traders are the exclusive Distributors of Nestle in Islamabad and are
working on Third Party Logistics (3PL) model. Most 2PLs and express organizations
effort to turn into 3PLs for higher returns. 3PLs do possess a few advantages, for
example, main distribution channels or centers in vital areas and transportation needs
that are outsourced to the 3PL can have a significant impact on the performance of the
company.
In this project, we analyzed the problems that are faced by Qureshi Traders in
terms of Warehousing, Transportation and managing the employees and quality of
products. In terms of warehousing, the Qureshi Traders movement wastage is high, i.e.
the layout is of W shape and it became troublesome for the pickers to move the product
in the warehouse, another challenge is the Honeycombing in the warehouse
Transportation challenges include the lack of required skills of drivers and the improper
designing of route maps and the lack of skilled drivers.
Important recommendations include the U Shaped Layout of warehouse
because it would decrease the movement wastage, Use of Shelving in the warehouse to
remove the honeycombing in the warehouse, devise employee training sessions,
properly identify the route maps and driver should strictly follow the rules and route
maps.