Intern 1
Intern 1
Section 1: Introduction
The primary focus of this internship project is Employee Satisfaction at Shadowfax Technologies
Private Limited, a key player in the logistics and supply chain industry. The aim is to understand the
factors affecting employee satisfaction, evaluate the current work environment, and provide
recommendations for improvement. Employee satisfaction has emerged as a crucial driver of
organizational success, as motivated and engaged employees are more productive, innovative, and
loyal.
Introduction to Logistics
The management of the flow of things which lie between producers and the consumers for the
purpose of meeting the requirements of the consumers or corporations is known as logistics. The
topics elaborated in this chapter will help in gaining a better perspective about the components and
elements of logistics.
Logistics refer to the overall process of managing how resources are acquired, stored, and
transported to their final destination. Logistics management involves identifying prospective
distributors and suppliers and determining their effectiveness and accessibility. Logistics managers
are referred to as logisticians.
“Logistics” was initially a military-based term used in reference to how military personnel obtained,
stored and moved equipment and supplies. The term is now used widely in the business sector,
particularly by companies in the manufacturing sectors, to refer to how resources are handled and
moved along the supply chain.
In simple terms, the goal of logistics management is to have the right amount of a resource or input
at the right time, getting it to the appropriate location in proper condition and delivering it to the
correct internal or external customer.
For example, in the natural gas industry, logistics involves managing the pipelines, trucks, storage
facilities and distribution centers that handle oil as it is transformed along the supply chain. An
efficient supply chain and effective logistical procedures are essential to reduce costs and to maintain
and increase efficiency. Poor logistics leads to untimely deliveries, failure to meet the needs of
clientele, and ultimately causes the business to suffer.
The concept of business logistics has been transformed since the 1960s. The increasing intricacy of
supplying companies with the materials and resources they need and the global expansion of supply
chains has led to a need for specialists known as supply chain logisticians.
In the modern era, the technology boom and the complexity of logistics processes have spawned
logistics management software and specialized logistics-focused firms that expedite the movement
of resources along the supply chain. Manufacturing companies may choose to outsource the
management of their logistics to specialists or manage logistics internally if it is cost-effective to do
so.
The tasks for which a logistician is responsible vary depending on the business. Primary
responsibilities include overseeing and managing inventory by arranging for appropriate
transportation and adequate storage for the inventory
A qualified logistician plans out these and other aspects of the logistics process, coordinating the
steps as inventory and resources move along the supply chain.
The logistics system consists of the following components: Customer service, Inventory management,
Transportation, Storage and materials handling, Packaging, Information processing, Demand
forecasting, Production planning, Purchasing, Facility location and other activities.
Other activities for a specific organization could include tasks such as after-sales parts and service
support, maintenance functions, return goods handling and recycling operations.
Clearly any one organization is unlikely to require all these specific tasks to be accomplished. For
example, a service firm such as an airline might combine elements from the information processing,
maintenance, demand forecasting, customer service, and purchasing functions into a logistics system
designed to reach its customers. On the other hand, a manufacturer of consumer goods may draw
from transportation, inventory management, storage, materials handling and packaging in addition
to customer service, purchasing and demand forecasting for their logistics support.
The point is that every organization, be it manufacturer or service provider, for-profit or non-profit,
has customers that it wants to reach. By integrating the appropriate functions into a customer-
focused logistics system, the enterprise can develop a sustainable advantage that is very difficult to
be imitated by a competitor. Sorne of these activities have traditionally had a well-defined stand-
alone role within a company (purchasing, production, information processing), while others have
generally been more closely associated with logistics (transportation, warehousing, packaging). What
ties all of these functions together is their ability to improve customer satisfaction. This is not to say
that production, for example, should be subordinate to logistics. Rather top management should
utilize logistics as a way to integrate these corporate activities and keep them focused on the
customer rather than on internal processes.
Elements
Interactive planning, organisation and management activities are necessary to ensure that logistics
requirements for any given program are properly coordinated and implemented. Initial planning and
analysis lead to the establishment of requirements for logistics and the overall support of the system
throughout its life cycle.
Maintenance planning for those activities related to the reverse flow convinces with the definition of
maintenance concept and continues through supportability analysis to the ultimate development of
a maintenance plan. A comprehensive logistics plan needs to be implemented through the
establishment and control functions to ensure that the plan is properly carried out.
The personal required to perform unique logistics and system maintenance activities are covered in
this category.
Such activities include the initial provision and procurement of items of support, production related
logistics functions, the installation and checkout of the system and its elements at the user’s
operational sites customer service functions, the sustaining support of the system throughout its
planned period of use, and those functions required for the retirement and recycling or disposal of
material.
Personnel at all levels of maintenance mobile teams, and operation or maintenance at special test
facilities and calibration laboratories are included. It is important to include only those who can be
directly attributed to the support of that system in evaluation of a particular system.
This category includes all personnel, equipment, facilities data or documentation and associated
resources necessary for the training of operational and maintenance personnel to include both initial
and replenishment or replacement training.
Training equipment say simulators, mock-ups, special devices, training manuals and computer
resources Software are developed and utilized as necessary to support the day-to-day-site training,
distance education of a more formal nature.
This elements covers all spares say, repairable units, assemblies, modules and the like, repair parts
say, non-repairable pasts or components, Censurable, liquids, lubricants, gases disposable items
special supplies, and related inventories needed to maintain the prime mission related equipment
computers and software, test and support equipment, transportation and handling equipment,
training equipment, communications equipment and facilities or utilities. Spares or repair parts are
required throughout the system operational share and in support of the retirement and recycling or
disposal of system components.
Computer Resources
This category covers all computers, associated software connecting , networks, and interfaces
necessary to support the day-to-day flow of information for all logistics functions, scheduled and
unscheduled maintenance activities and special monitoring and reporting requirements such as
those pertaining to CAD/CAM/CAS data the implementation of condition monitoring programs and in
support of system diagnostic capabilities.
Technical data may include system installation and check out procedures operating and maintenance
instructions inspection and calibration procedures, overhaul instruction, facilities data, system
modification’s engineering data such as specifications, drawings, materials and parts list,
CAD/CAM/CAS data, special reports Logistics provisioning and procurement data, Supplier data,
system operational and maintenance data, and supporting data bases. Included in this category is the
on-going and interactive process of data collection, analysis and reporting covering the system
throughout its life- cycle.
This category covers all special facilities that are unique and are required to support logistics
activities, to include storage buildings and warehouses and maintenance facilities at all levels.
Physical plant, portable buildings, mobile vans, personnel housing structures, intermediate level
maintenance shops, calibration laboratories and special repair shops such as depots, overhaul
material suppliers are considered.
Capital equipment and utilities heat, power, energy requirements, environmental controls,
communications, safety and security provisions and the like are generally included as the part of
facilities.
This category logistics includes all materials, equipment special provisions, containers both resistible
and disposable and supplies necessary to support the packages, safety and preservation, storage,
handling and or transportation of the prime mission related elements of the system, personnel
spares and repair parts, test and support equipment technical data, computer resources and mobile
facilities.
Covered in this group are the initial and sustaining transportation requirements for the distribution
of materials and for the maintenance and support activities throughout the system life cycle. The
primary modes of transportation—air, highways, pipelines railways and water ways and intermodal,
truck, rail, truck, waters, rail, water, truck, air and the like are considered.
This category includes all tools, condition monitoring equipment, diagnostic and checkout
equipment, special test equipment, metrology and calibration equipment, maintenance fixtures and
stands and special handling equipment required to support operational and maintenance functions
through-out the forward and reverse flows, Test and support equipment requirements at each level
of maintenance must be considered as well as the overall traceability of test requirement or
measures to a secondary standard, a transfer standard and finally to a primary standard.
Logistic Information
This refers to the resources necessary to ensure that an effective and efficient logistics information
flow is provided throughout and to the organizations responsible for all the activities that come
within its focus. This flow includes the necessary, communication links among the customer,
producer or prime contractor, sub-contractors, sup- priors and supporting maintenance
organisations.
It is but essential that the proper type and amount of information be provided to the appropriate
organisational elements, in proper formats and in a reliable and timely manner with the necessary
security provisions included.
Inherent within this category is the utilisation of the latest EC methods, EDI capabilities e-mail and
the Internet.
This capability not only tends to facilitate the integration of the organisations participating in a given
project but aids in the integration of SC and maintenance activities and the various logistic elements
identified for this propose.
Increased affluence has shifted customers towards more services and has also contributed to major
geographical changes in population concentrations and to a general proliferation of products and
product types offered by marketers to consumers.
These changes encouraged migration of population to metropolitan cities in search of higher paying
jobs. This expanded the effective size of metropolitan regions.
The result has been an increase in retail outlets. This resulted in marketing of products through a
number of departmental stores, rather than relying on only one. This reflected in complexity of
functions and additional costs. The combined effect of competition and consumer affluence is the
fundamental reason for proliferation of product lines.
It is observed by experts that as more and more product line variety is needed to satisfy the growing
range of customer tasks and requirements, stock levels in both field and factory rise inevitably.
For the vast majority of production facilities that have not yet installed computer aided
manufacturing systems, the cost of assembly line changes and small batch productions escalate in
tandem.
It is equally true that replacing one product with three that generate same level sales would increase
inventories by 60 per cent. This upward pressure on costs suggests the need for more careful
management.
Two economic forces are instrumental in encouraging the movement towards a re-organisation for
business logistics.
First logistics costs are recognised take significant proportion of total costs.
Second reduced profit margins encouraged the firms to look for more efficiently organisational
patterns.
According to Professor Heskett J.L. the physical distribution cost at macro-economic level, accounted
for 14.9 percent of the US GNP in 1960. In 1962, Mr. Peter Drucker the Management Guru in his
article published in Fortune said that almost 50 cents out of energy dollar that the consumer spends
on goods goes to the activities that occur after the goods are made.
Technological innovation is not only unique to logistics but it has increased complexity of logistic
problems leading to the need for careful and cautions management.
2. Decrease in the cost of value addition and simultaneous rise costs of materials and distribution.
4. Growth of scientific management techniques and computer technology side by side with logistics
system components.
Development in Military Logistics:
Military is the rich source of experience where business world is to learn a lot. Military logistics
problems are mammoth and enormous. By solving these problems military reinforces faith of
business community in logistics.
For instance in the early 1991 during gulf war the US and allied forces were faced with the problem
of moving half a million people and over a half a million tons of material and supply by air.
That is 12000 kms and 2.3 million tons of equipment by sea in a matter of months. It was logistics
that made this mission difficult possible.
At the highest level, logistics management shares the goal of supply chain: “to meet customer
requirements.” There are a number of logistics goals that most experts agree upon:
• Support the entire product life cycle and the reverse logistics supply chain.
• Pooling risks
Coordinating Functions
Logistics can be viewed as a system made up of interlocking, interdependent parts. From this
perspective, improving any part of the system must be done with full awareness of the, effects on
other parts of the system. Before the advent of modern logistics management, however, the various
operations contributing to the movement of goods were usually assigned to separate departments or
divisions, such as the traffic department. Each area had its own separate management and pursued
its own strategies and tactics.
Decisions made in any one functional area, however, are very likely to affect performance in other
areas, and an improvement in one area may very well have negative consequences in another unless
decisions are coordinated among all logistics areas. Adopting more efficient movement of goods, for
example, may require rethinking the number and placement of warehouses. Different packaging will
almost certainly affect shipping and storage. You may improve customer service to a level near
perfection but incur so many additional expenses in the process that the company as a whole goes
broke
You need a cross-functional approach in logistics, just as you do in supply chain management as a
whole. Teams that cross functions are also very likely to cross company boundaries in a world of
international supply chains with different firms focused on different functions.
The overall goal of logistics management is not better shipping or more efficient location of
warehouses but more value in the supply network as measured by customer satisfaction, return to
shareholders, etc. There is no point, for instance, in raising the cost of shipping—thus, the price to
the customer—to make deliveries faster than the customer demands. Paying more to have a
computer delivered today rather than tomorrow may not be a tradeoff customers want to make.
Getting a still-warm pizza delivered in less than 20 minutes, however, might be worth a premium
price (and a tip). Fast delivery, in other words, is not an end in itself, and the same is true of any
aspect of logistics management or supply chain management.
Integrating the supply chain requires taking a series of steps when constructing the logistics network.
In a dynamic system, steps may be taken out of order and retaken continuously in pursuit of quality
improvements; the following list puts the steps in logical order.
• Identify all geographic locations in the forward and reverse supply chains.
• Analyze the forward and reverse chains to see if selecting different geographic locations could
make the logistics function more efficient and effective. (Not all countries are equal in terms of
relevant concerns such as infrastructure, labor, regulations, and taxes).
• Determine the volume of freight and number of SKUs (stockkeeping units) that are imports and
exports.
• Decide where to place inventory for strategic advantage. This may involve deciding which borders
to cross and which to avoid when importing and exporting as well as determining where goods
should be stored in relation to customers. (Some shipping companies now add a “war risk surcharge”
if they’re required to pass through or near a nation with civil unrest or at war.) Both geographic
location and distance from the customer can affect delivery lead times.
• Determine the mix of transportation modes that will most efficiently connect suppliers, producers,
warehouses, distributors, and customers.
• Select the minimum number of firms’ freight forwarders and 3PLs or a 4PL to manage forward and
reverse logistics. In selecting logistics partners, also consider their knowledge of the local markets
and regulations.
• Reduce inventory costs by more accurately and rapidly tracking demand information and the
location of goods. Developing state-of-the-art information systems may be difficult in some regions.
Such situations make defining the processes and information flows even more critical.
• Improve communications. Talk with suppliers regularly and discuss plans with them.
• Collaborate with suppliers. Use HT to coordinate deliveries from suppliers. Remove obsolete
inventory. Use continuous improvement tools and share observations about trends.
• Track inventory precisely. Track the exact location of inventory using bar codes and/or RFID (radio
frequency identification) with GPS (global positioning systems).
• Keep inventory in transit. It’s possible to reduce system wide inventory costs by keeping inventory
in transit. One method of keeping inventory in motion the maximum amount of time is a distribution
strategy called cross-docking. Used with particular success by Wal-Mart, cross-docking involves
moving incoming shipments directly across the dock to outward-bound carriers. The inventory thus
transferred may literally never be at rest in the warehouse.
Another example of cross-docking can be taken from the airline industry. When a passenger travels
from Seattle to New York, he or she might be cross-docked in Chicago. The airline has configured
their network in this way as opposed to having direct flights from city to city. Passengers are not
warehoused per se but simply pass through the airport in an hour or two, getting off of one plane
and onto another. At the end of the day, ideally the airport should be empty, as should all cross-
docking locations.
A trailer, railcar, or barge can be considered a kind of mobile warehouse. Rolling inventory should be
closely tracked by GPS to facilitate rapid adjustments if a shipment is delayed or lost or if a customer
changes an order at the last minute
Use postponement centers. Avoid filling warehouses with the wrong mix of finished goods by setting
up postponement centers to delay product assembly until an actual order has been received.
• Mix shipments to match customer needs. Match deliveries more precisely to customer needs by
mixing different SKUs on the same pallet and by mixing pallets from different suppliers.
• Don’t wait in line at customs. Reduce the time spent in customs by clearing freight while still on the
water or in the air.
Though you have to watch out for tradeoffs in effectiveness when knowing what is logistics and
reducing the number of logistics partners, you can generally increase efficiency by doing so. If
possible, look for an entire echelon (tier) you can do without such as all the wholesale warehouses or
factory warehouses.
The more partners there are in the chain, the more difficult and expensive the chain is to manage.
Handoffs among partners cost money and eat up time. Having many partners means carrying more
inventories. Reducing the number of partners can reduce operating costs, cycle time, and inventory
holding costs. There is, however, some lower limit below which you create more problems than you
solve. If you eliminated all partners other than your own firm, you’d be back to the vertical
integration strategy pursued in a simpler marketplace during the early 20th century by U.S. auto-
maker Henry Ford.
Pooling Risks
Risk pooling also works with parts inventories. Risk pooling is defined as follows:
• A method often associated with the management of inventory risk. Manufacturers and retailers
that experience high variability in demand for their products can pool together common inventory
components associated with a broad family of products to buffer the overall burden of having to
deploy inventory for each discrete product.
• By using a central warehouse to hold parts common to many products, a supply network can
reduce storage costs and the risks of stockouts that would be experienced in smaller, decentralized
warehouses.
• There are trade-offs to consider. Because the central warehouse may be further away from some
production facilities than the smaller warehouses would be, lead times and transportation costs are
likely to go up. Again, logistics has to be managed from the point of view of improving the value of
the overall system, not just one part of the system.
Logistics Management:
Logistics management is a supply chain management component that is used to meet customer
demands through the planning, control and implementation of the effective movement and storage
of related information, goods and services from origin to destination. Logistics management helps
companies reduce expenses and enhance customer service.
The logistics management process begins with raw material accumulation to the final stage of
delivering goods to the destination.
By adhering to customer needs and industry standards, logistics management facilitates process
strategy, planning and implementation.
In logistics management, unwise decisions create multiple issues. For example, deliveries that fail or
are delayed lead to buyer dissatisfaction. Damage of goods due to careless transportation is another
potential issue. Poor logistics planning gradually increases expenses, and issues may arise from the
implementation of ineffective logistics software. Most of these problems occur due to improper
decisions related to outsourcing, such as selecting the wrong vendor or carrying out delivery tasks
without sufficient resources.
To resolve these issues, organizations should implement best logistic management practices.
Companies should focus on collaboration rather than competition. Good collaboration among
transportation providers, buyers and vendors helps reduce expenses. An efficient and safe
transportation provider is also Vital to business success.
Logistics (or Logistical Activities) may be Broadly Classified into Two Categories:
1.Inbound logistics; which is concerned with the smooth and cost effective inflow of materials and
other inputs (that are needed in the manufacturing process) from suppliers to the plant. For proper
management of inbound logistics, the management has to maintain a continuous interface with
suppliers (vendors).
2. Outbound logistics (also called physical distribution management or supply chain management); is
concerned with the flow of finished goods and other related information from the firm to the
customer. For proper management of outbound logistics, the management has to maintain a
continuous interface with transport operators and channels of distribution.
Additionally, having worked in the logistics sector before, I witnessed firsthand how operational
efficiency and employee satisfaction are interconnected. This project provides me with an
opportunity to bridge theory with practice and contribute valuable insights to the company’s HR
strategies.
Geographical Scope: The study focuses on the South Region operations of Shadowfax
Technologies, particularly in cities like Chennai, Madurai, Trichy, Coimbatore, Kochi, and
Kozhikode.
Employee Categories: The study will focus on ground-level employees (delivery staff,
warehouse workers) and mid-level employees (team leaders, assistant managers, site
managers). It does not extend to senior management.
Aspects of Employee Satisfaction: The study will analyze key factors affecting employee
satisfaction, such as work environment, salary and benefits, leadership styles,
communication within teams, and work-life balance.
The primary objective of the study is to assess the overall level of employee satisfaction at
Shadowfax Technologies and identify areas where improvements can be made.
To understand the salary and benefits structure and its influence on job satisfaction.
To analyze leadership styles and their effects on employee performance and engagement.
To examine communication practices within the company and between employees and
management.
To assess the work-life balance offered to employees and how it affects their overall
satisfaction.
Geographical Limitations: The study is limited to the South region, focusing primarily on
employees in Chennai, Madurai, Trichy, Coimbatore, Kochi, and Kozhikode.
Departmental Limitations: The study primarily focuses on the logistics and operations
departments. Other departments, like marketing or finance, are not covered in this analysis.
Data Availability: Due to time constraints and limited access to some employee records,
some data could not be fully gathered. However, feedback from surveys and interviews
provided ample insights for this study.
Shadowfax Technologies Private Limited is a leading logistics service provider, catering to prominent
Indian brands across sectors such as food, e-commerce, grocery, and healthcare. The company is
known for its innovative approach to logistics and its cutting-edge technology infrastructure.
Business Model: The company focuses on data processing and logistics, offering businesses
access to a reliable delivery network with 15,000+ delivery partners.
Shadowfax operates primarily in the Logistics & Supply Chain sector. The organizational structure is
hierarchical, with site leads and team leaders managing daily operations at ground level. At the top,
the management team sets strategic goals, while HR oversees employee welfare and operational
performance.
Key Directors:
o Vaibhav Khandelwal
o Abhishek Bansal
Shadowfax is a technology-driven logistics company that offers on-demand delivery services. The
company’s multi-modal delivery platform includes bikes, minivans, trucks, and electric vehicles,
serving major brands in food, e-commerce, and healthcare industries.
Operational Instability: There was no stable operation on any single day. Poor planning and
route-level management caused inefficiencies. Managers lacked insight into the real-time
challenges faced by ground-level workers, leading to logistical bottlenecks.
Shipment Handling Issues: The quality of shipment handling was only 60% satisfactory, with
incidents of damaged goods, missing shipments, and insufficient investigation of tampered
items.
HR Support Issues: In the South region, HR was not providing adequate support for
employees, especially in cities like Chennai, Madurai, and Trichy. HR’s response times were
slow, and there was a lack of transparency regarding policies, compensation, and benefits.
Management and Employee Disconnect: Team leaders and site leads reported that
managers were often disconnected from day-to-day operations. Many issues, such as unpaid
overtime, short breaks, and unsafe working conditions, were left unaddressed.
Pros:
o Employee collaboration was strong, with workers and team leaders showing great
dedication to completing tasks despite operational challenges.
o The company’s logistics network and use of multi-modal platforms were strong
points in terms of delivery efficiency.
Cons:
o Security and shipment handling issues could affect company reputation and
financial performance.
o Lack of training for managers and HR staff on efficient manpower management and
conflict resolution.
Team Leaders expressed dissatisfaction with long working hours and insufficient pay. Many
reported feeling overburdened and undervalued.
Ground-level workers felt ignored by HR and lacked proper guidance on shift schedules and
benefits. The short breaks and the absence of a clear work-life balance were major
concerns.
1. Training: Provide training to managers, HR, and team leaders in shipment handling, route
management, and employee welfare.
3. Operational Efficiency: Implement proper shift planning, and ensure better alignment of
routes and shift schedules.
4. Security: Improve CCTV alignment and security checkpoints to prevent theft and damage.
5. Workplace Environment: Increase break periods for night shifts and improve overall work-
life balance to boost employee satisfaction.
Section 4: Conclusion