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Better infrastructure and use of information technology key for a productive supply chain management‘Indian Logistics 2011’, organized by mjunction services limited brings together the industry leaders to discuss the future of logistics industry in India

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India Carbon Outlook
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http://india.carbon-outlook.com/news/better-infrastructure-and-use-information-technology-key-productive-supply-chain-management%E2%80%98ind

Recording a staggering revenue of about $82.10 billion with a growth of about 9.2% in the last fiscal, the Indian logistics industry offers a hope of remarkable growth in the coming years. However, detrimental factors like inefficient infrastructure, high distribution costs, and various supply chain intermediaries are affecting an annual loss of $ 45 billion to the logistics industry in India. At this backdrop, mjunction services limited, India’s largest eCommerce company facilitated the industry in revisiting its current supply chain strategies and discuss the implementation of intelligent and innovative logistics processes, by offering a knowledge exchange platform ‘Indian Logistics Conference 2011’, which was held today at the Hotel InterContinental Eros, New Delhi.  A report released by mjunctionEdge – the knowledge division of mjunction services limited on the logistics industry in India explains:The total logistics market size in India represents around 6.2 % of the country’s total GDP, a significant contribution to our economy. But there are losses in billions due to poor infrastructure and inept supply chain management solutions as reflected in more than 1,300,000 tonnes of food grains rotting in storage, in the last decade, due to lack of modern warehouses. Adding to the wastage is 4-5 intermediaries in the supply chain and high distribution costs, to the extent of 40% of price of some items.  The Transportation, Logistics, Warehousing and Packaging Sector in India is dominated by the unorganized segment (small companies, small warehouse operators, freight forwarders, etc.); the organized segment accounts for less than 10% of the total logistics market in India. The type of logistics services provided in India are yet evolving; the focus in India has been on enabling ‘physical distribution’ –Supply chain expertise, segmentation and clustering of firms are slowly evolving. Moreover, Service Providers are investing in infrastructure to bring down average cost of operation. An example is state of the art Logistic Parks with warehouses and transshipment services. However we need to invest more as logistics infrastructure is not among the top 10 spends of the country.  To move from physical distribution to “Integrated Logistics Management” merging innovative IT procedures in the logistics industry is a crucial medium which can string together the various processes by bringing in optimum value from each resource and improve efficiency. However, the usage of technology is still limited as only a handful of the end users use technology solutions like basic inventory management packages and barcode systems to support the logistics functions. The usage of exclusive logistics technologies such as transportation management systems, radio frequency identification, and warehouse management systems is considerably low across industries as the technologies are offered at a high price.Commenting on the subject pertaining to the logistics industry, Mr. Viresh Oberoi, Managing Director and Founder CEO, mjunction services limited said, “Logistics and supply chain management is a key link between the manufacturer and the end user of the product and inefficiencies present in the chain act as a detrimental factor lowering the potential derivable benefits. Today information technology plays a huge role across sectors and logistics management lies in the same purview. But Indian logistics industry is lagging behind in this aspect due to numerous issues and hence we have tried to address these concerns today through this platform. It was our endeavour to bring in the best minds in the logistics industry and also players from the manufacturing sector to place their views and discuss on plausible solutions to boost the growth of the logistics industry in India.”   mjunction’s strategic e-procurement platform buyjunction offers a host of services solutions aimed at the sourcing requirements of businesses across different verticals. To address the varied issues of logistics and supply chain management, mjunction is actively considering eSourcing of logistics contracts across sectors like FMCG, Cement, Chemicals and others. Logistics management is an inherent aspect of the manufacturing industry as timely delivery and availability of products from the manufacturing facility to the end user play a critical role in monitoring and determining the price of product  About mjunction services limited  mjunction, founded in February 2001, offers a wide range of eSelling, eSourcing, eFinance and knowledge services across diverse industry verticals that empower businesses with greater process efficiencies. mjunction is today not only India's largest eCommerce company (having eTransacted worth over Rs.90,000 Crores till date) but also runs the world's largest eMarketplace for steel. Business volume of the company in terms of Transaction Value has soared from Rs 94.35 crores in FY'02 to Rs 24,854 Crores in FY'11, registering a spectacular CAGR of 86%. mjunction has service offerings spanning the entire eCommerce spectrum is a ISO 9001:2000, ISO 27001 and CMMI Level 3 certified company.Visit us at www.mjunction.in.mjunction also publishes three magazines “Coal Insights” “Steel Insights” and “Sourcing Insights” catering to the three primary segments it serves. These magazines are available in digital versions and of the three, “Coal Insights” and “Steel Insights” are also published in Hindi. It also publishes three high-end reports, namely the Indian Coal Market Watch (ICMW), Weekly Commodity Report (WCR) and India Steel Market Watch (ISMW). Each of these publications serves to keep its readers abreast of the latest news and developments in the concerned industry and provides them with valuable research of the market trends. The continually increasing readership and advertiser base of the magazines bears evidence to their popularity and richness of content.mjunction is an ISO 9001:2000, ISO 27001 and CMMI Level 3 certified company. Visit us at www.mjunction.in

Author: SustainabilityOutlook