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  • Improvement of Transport Service in Manufacturing Company Logistic Activities (In The Case of Company "KiiltoClean")

Improvement of Transport Service in Manufacturing Company Logistic Activities (In The Case of Company "KiiltoClean")

Student: Korostyleva Evgeniya

Supervisor: Victoria Gerami

Faculty: Graduate School of Business

Educational Programme: Logistics and Supply Chain Management (Bachelor)

Year of Graduation: 2017

One of the most important factors for the competitiveness of the company is the efficiency of the transportation process and the improvement of transport service of the company's logistics activities as a way to reduce costs. Despite the obvious advantages of the outsourcing strategy companies may prefer working with their own assets. The purpose of this Graduation Qualification Work is to reduce the costs associated with the delivery of products of the company "KiiltoClean" to customers by streamlining the transport support of the company. In accordance with this goal, the following tasks will be solved. Analysis of the existing economic and logistic activity of KiiltoClean LLC, identification of the main problems, analysis of the theoretical basis for improving transport service, elaboration of proposals on improvement of transport support, rationale and evaluation of economic efficiency of the proposals being developed.In the first chapter, the analysis of the economic activities of the company was carried out and it was found that the company's problems, in the first place, are high transportation costs, primarily related to poor performance of transport companies' duties, as well as imperfection of the organizational structure. The second chapter was devoted to theoretical provisions on ways to improve the transport support of a manufacturing company when selling its own products on the territory of the Russian Federation and considered ways of insourcing and outsourcing processes. The last chapter solved the task of "doing or buying" concerning the transportation process, insourcing was chosen, and the calculation and justification of the selected transportation support of the company was provided. After the implementation of the proposed solutions to improve the transport service of the company, transportation costs decreased and reject was reduced, which led to an increase in net profit of the company and an increase in the return on equity of KiiltoClean.

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