A Recommended System with a Solution Architect in Minimizing the Lead Time of Last Mile LPG Distribution in India

Abstract

Reducing lead time to deliver orders placed by customers and organized operations in a system are among the influencing factors for any supply chain network to be effective. LPG cylinder distribution in India is one such business that requires organized operations and a quick delivery mechanism to deliver the order placed by the subscriber within a short period, thereby enhancing customer satisfaction. Mainly, companies like Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum (HP) are significant stakeholders in LPG distribution in India and have set a target of delivery within a day post booking. Despite being an essential commodity, the distributors and the LPG companies find it challenging to deliver the cylinders within 24 hours post order placement due to various practical conditions. With this backdrop, this study proposes (a) a Standard Operating Procedure (SOP) and (b) conceptually a recommended system with a solution architect. The expected outcome of the study is to deliver the LPG cylinders within the committed lead time post order placement, thereby improving customer satisfaction.