Detailed Business Plan: Lean Logistics in the Transport Industry

This report presents a business plan for Lean Logistics, a new venture in the logistics and transport industry focused on providing fast and efficient delivery services. The business aims to enhance supply chain performance and customer satisfaction. Its mission is to deliver convenience and reliable transport services, particularly for relocation needs. Key objectives include maximizing service quality, improving customer relationships, and implementing effective tracking mechanisms. The management structure will incorporate both horizontal and vertical elements for efficient communication and task allocation. The plan emphasizes the use of management information, including financial, technological, and human resources data, to inform business policies and objectives. The company will target individual customers and business houses, tailoring services to meet their specific needs. Success will depend on securing adequate financial, human, and physical resources. The business plan details strategies for funding, staffing, and acquiring necessary equipment to ensure operational efficiency and customer satisfaction.

Business Application
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Date: 15/03/2019

TABLE OF CONTENTS
Producing a business plan for a new venture.............................................................................3
REFERENCES.........................................................................................................................16

Producing a business plan for a new venture
The current report has depicted a business plan to open a new venture named Lean
Logistics that will be operating in the logistics and transport industry with an aim of
providing fast and quicker delivery related services to its clients.
Purpose of the business:
A significant purpose of the business is to determine the reasons behind developing
as well as improving its supply chain performance to attain a satisfied set of customers for the
new venture which is Lean Logistics that deals with in the operating in the logistics and
transport industry. With an aim of providing fast and rapid manner.
Mission and Vision
This newly launched venture has a prime goal of delivering pleasure at its customer’s
doorstep. It is accompanied with an idea of concentrating upon provisioning convenient
transport related services to the customers to rely upon with an ease of transferring their
goods from one police to another.
Main mission of firm is to deliver happiness at the doorstep of customers. Therefore,
they are focusing upon convenient transport services upon which customers can rely and
transfer their goods from one place to another. It is with a main agenda of assisting those who
are relocating
Business objectives
* To maximize the quality of logistics and transport to enhance customer satisfaction level.
* To ascertain strategies for improving relationship among the business and its customers to
enhance the overall efficiency of the firm.
* To assess the ways of installing proper tracking mechanisms to render effortless and
convenient services to the clients of Lean logistics.

* To identify the purpose of the company to attained better and fast quality of services and
growth.
Management structure
Logistics and transport organization will focus upon adopting both horizontal and
vertical management structure so that instructions could be delivered quickly. Within
horizontal structure management separates workers in different manner and thus provide
them specific task to be completed (Mangan, Lalwani and Lalwani, 2016). Thus, in the
logistics and transport services, each and every individual worker needs to assigned particular
task so that they are focused towards attaining the same. Management structure is considered
as the hierarchy of authority within business and thus their accountability and communication
channels within firm relates to the external environment. Within logistics and transport
company, organization will involve top management who directs and supervises the middle
level management so that they can perform the operations within firm (Monczka and
Patterson, 2015). Further they are directly in contact with the lower level staff so that
products or services could be directly delivered to end users and enhance their satisfaction
level. Adopting such management structure results into providing appropriate services and
products to clients and raise performance.
Using management information

There are varied types of management information which is crucial in terms of
running and monitoring of Lean Logistics in regard to develop and attain business policies
and objectives. Thus, it helps in managing financial resources of firm so that organizational
goals can be attained. Also, using appropriate technology assists in developing and attaining
business policies and objectives (Stadtler, 2015). Management information is crucial and
therefore, firm will plan to raise its objectives and satisfy the needs of clients. There are
several types of information which is being used by management in terms of maximizing the
output and produce regular reports so that each and every level of management within firm
helps in improving the business performance in market. This is for instance on referring to
the reports of market researches undertaken by the organisation to acknowledge the
fluctuating needs and demands of the consumers. Technological is another crucial
management information which needs to be updated regularly so that it could be used
effectively and thus assists in developing and attaining business policies and objectives
(Christopher, 2016).
All such information is crucial and therefore it is used in business so that logistics and
transport company will grow in the future. Different types of management information that
will be used such as financial, technological and human resources etc. All such information is
being used in terms of running and monitoring the firm and thus it will assist in developing
effective policies and objectives towards attaining desired success (Waters and Rinsler,
2014). Management information is considered as effective and thus it helps in developing
effective organizational policies and objectives so that sales and profitability of firm in
market. Hence, using effective management information results into performing desired
actions so that it could help in improving and developing business policies and objectives
(Brandenburg and Seuring, 2014). This is for instance to make use of financial information
that is important to fix a definite budget for this newly launched business. It is due to the fact
where a proper budgeting will require to focus upon all departmental segments of the new set
up with a distinct fiscal consideration for all. Likewise, on considering the use of
technological as well as human resources with a vital concern of adopting effective technical
measures to undertake progressive practices supported by advanced techniques. Similarly, the
human resources are also required to possess effective skills and aptitudes to aptly perform
the undertaken business activities.

On demonstrating other type of management information, findings of market research
also play an important role in acknowledging the firm about current trends of the market. It is
with a specific consideration of implementing such effective measures of transporting goods
that not only satisfies the customers in terms of receiving timely services, but will also benefit
the business to a great extent. This is also on referring to the fact of several technical
advancements in the market whose adoption will in turn help the organisation to attain their
objectives of generating huge profits and enlarging their customer base.
Different types of customers
Customers are considered as crucial component of business and therefore business
needs to identify their individual needs and then provide them particular products or services
so that their needs could be met (Govindan, Soleimani and Kannan, 2015). Thus, in regard to
fulfil such objectives it is significant for business to ascertain different customers such as
individual and business and then identify their needs in order to meet their requirements and
attain desired results. Lean Logistics will focus upon identifying their needs and wants in
order to meet their respective requirements and attain success. The different types of
customers involved within Lean logistics and transport company are individual customers
and business houses. It is with a specific purpose of targeting those individuals who are living
alone and are employed in transferrable jobs with a need of shifting on frequent basis. Also,
another targeted customer involves the business houses who are looking to shift their
currently accommodated building or is need of expanding to some other areas and set up their
office. Both these customers are of different nature such as individual customers aim to send
different products in small quantity and business houses aim to send their products in large or
bulk quantity to the end users (McKinnon and et. al., 2015). Therefore, they need to adopt
effective strategies in terms of fulfilling the needs of customers and thus attain satisfaction.
All the identified customers are required to be involved within business and thus
identify their needs and wants so that respective needs could be fulfilled. Lean logistics and
transport company aims to assess the needs of customers and then fulfil their respective
requirements such as delivering fast and quick goods to end users. Also, maintaining the
quality and does not affect the products in long distance (Ngai, Peng and Moon, 2014). Also,
business will focus upon providing tracking system that helps customers to track their
products that where it has been reached currently. Thus, identifying the needs of customers
and then providing them the same products or services will result into attaining satisfaction. It

is with a special reference to those who are relocating from one location to another and thus
needs some sort of transportation system to make it easy for them to shift. Also, it has
specifically targeted the college students and youngsters who are living away from their
home and are often in need of hiring such type of services.
In lean logistics customer satisfaction is very much required in order to meet out the
challenging and growth-oriented task. Lean logistics customers are might be business man,
manufacturer, wholesaler or those clients who deals with in bulk products. Customer demand
is highly competitive and challenging for the company growth. Lean logistics should need to
fulfil the requirements of client in terms of quality, provide products on time and stable the
services level are essential point to keep firms positives.
Resources required to ensure success of firm
In regard to start a new venture it is significant for firm to undertake different resources and
thus entrepreneur could attain success. However, in order to have strong business
performance, firm needs to undertake effective resources which are required to help in
contributing to the business success (Cowen, 2014). It is as follows-
* Financial resources- It is one of the crucial elements that is essential for firm to start a new
venture. Business needs to identify the areas from where funding will be raised in term of
maintaining the start-up cost so that business success could be attained. It is essential for
firm to obtain funds from different institutions such as bank and other financial institution so
that it could help business to start its new venture (Stevens and Johnson, 2016). It is therefore
assumed that this business will require a starting fund of approximately 200 000 pounds to
get a suitable space for establishing itself along with the insurance cover and hire workers to
effectively operate into the logistics sector.
Financial department is very vital for lead logistic to manage the inflow or outflow to
identify the measurable profit revenue. Company can adopt equipment lender source of
financing for asset intensive transportation company’s equipment lenders that focus on the
transformation industry.
* Human resources- Further, it is another element which will be used in new venture to
enhance the skills and efficiency of firm. Therefore, it is essential for business to provide the

best quality services to customers (Jin, Granda-Marulanda and Down, 2014). Lean logistics
and transport will require hiring skilled candidates who are specialized in transport and
logistics so that they can give the best quality services to clients and satisfy their needs. It is
therefore on considering the above organisational chart where it will be handled by a logistic
manager as a head. Under whom, there will be 6 customs specialists to operate under customs
supervisor, 1 merchandiser assistant and 3 merchandiser specialists to handle the department
of merchandiser supervision. Also, 2 material supervisors will be hired under materials
supervisor with 2 courier specialists under logistics supervisor and 1 under warehouse
supervisor. Additionally, 1 purchasing specialist will be working under purchasing supervisor
and 1 documentation specialist under a trading supervisor.
In order to start the company at initial level. It is very required for the firm to manage
employee satisfaction by applying the HR policies and benefits. On the other hand, HR
manager also helps to manage the effective leading opportunity goal to bring new
management target performance. Such as logistic industry needs HR resources for
recruitment and selection, to provide compensation, shipping by the rules etc.
* Physical resources- Lean logistics and transport company will aim to use effective physical
resources and thus use proper workplace in order to attain maximum results. It is apparent to
necessitate the firm to buy carriage automobiles for the purpose of transporting goods. Beside
this, the physical resources of a logistics and transportation company will also involve the
materials to be transported with a vital concern of their proper handling and packaging, etc.
Also, it helps in managing physical resources so that it will be used in regard to improve
business performance and deliver products or services efficiently to the end users. It will help
in improving the sales and profitability of firm in market (Fernie and Sparks, 2014).
* Technological resources- Further, the technical resources for the purpose of production and
warehouse management is also considered to be effective to provide quick services to the
clients and users. Thus, this new business will aim to use innovative resources to enable
quick delivery of products to the consumers. Another innovative change that is brought
within this firm is implementing a tracking system to help customers track their goods as well
as time within which, it will be delivered to them (Mangan, Lalwani and Lalwani, 2016).

Technology for logistic firms are crucial resource to bring more services for potential
clients. This can help in influencing effective supply chain integration. Such as with the help
of effective management goals, this can help to reducing the long lasting
Impact that logistical activities of business have upon environment
Logistics activities have diverse effect upon environment such in the form that it affects the
health of individual due to pollution. Hence, it is essential for logistics firm to minimize the
carbon emission that effects the environment and undergo green logistics so that best results
can be attained (Monczka and Patterson, 2015). Due to such pollution transport and logistics
firm requires to rethink upon the environmental impact they are creating through vehicles.
Thus, it is essential for them to think upon central distribution centre so that environmental
impact could be minimized. Also, it is essential for company to improve their operational
efficiency which would help in reducing fuel consumption and thus safeguard the
environment and thus improve the efficiency of business so that best results can be attained.
Also, firm will be required to use effective fuel-efficient vehicles so that it does not impact
the environment (Stadtler, 2015).
However, there are several ways through which company can mitigate the impact on
environment such as using fuel efficient technology and thus it would help in minimizing the
effect upon environment. Also, it is essential for logistics company to develop effective and
safety supply chain so that it helps in reducing fuel costs and thus improve the environmental
safety performance of firm (Christopher, 2016). However, improving operational efficiency
would result into reaching the end consumers faster and thus overcome the risk so that it does
not carry out effective activities within firm. Management of firm needs to undertake
effective measures such as hiring low emission vehicles so that it does not impact upon
environment and therefore, it is significant for firm to improve business services and
operations of firm in market. Using green logistics concept to minimise the damage to the
atmosphere will help transport company to improve its business performance in market and
overcome the impact of firm on environment (Waters and Rinsler, 2014). Hence, it can be
stated all such logistical activities of business would affect the environment and therefore,
they need to undertake effective results upon environment so that best results can be
attained. This is for instance adopting measures of green logistic system to protect the
environment and cause minimal harm to them. For which, the current business will aim at

using efficient resources such as low emission vehicles, etc., to deliver the goods to Leann
logistic customers.
Regulatory and statutory bodies to adhere the policies of workplace
It is essential for HR department to operate effectively within business and therefore, it is
essential for them to undertake effective practices so that regulatory and statutory bodies
could adhere to the workplace (Brandenburg and Seuring, 2014). Also, it is essential for
logistics and transport company to identify the rules and regulations that need to be followed
by firm so that they can be adhered by firm in terms of carrying out best practices within
firm. HR department of Lean logistics and thus provide them appropriate pieces of legislation
so that workplace is able to maintain proper safety standards that does not affect the firm. It is
essential for HR department to operate effective policies and practices which results into
carrying out effective performance so that best results can be attained. HR department of firm
needs to carry out effective results so that desired performance can be carried out (McKinnon
and et. al., 2015).
Also, it is significant for logistics activities to be carried out effectively in regard to undertake
effective practices so that appropriate results could be attained (Cowen, 2014). HR
department of company is required to adhere to such policies and thus attain desired results. It
helps in improving the business performance so that does not impact the environment and
improve the efficiency of firm in market. All such legislation and regulation needs to updated
regularly so that workplace could be maintained accordingly.
EMPLOYEE HANDBOOK
Stating the regulatory norms to be followed at the workplace
This is mainly in context to the human resource policies adopted by Lean Logistics
company and will be strictly abided by the HR personnel to handle the workforce. The
employees are also notified about the same.
 Lean logistics is aimed to hire a right set of employees to be positioned at a fitting
profile.
 We are together aimed at maintaining a collaborative work setting by offering
various training programs for continually develop our hired set of employees to

give productive outcomes.
 We have also intended to operate in a transparent system with reasonable and fair
policies to handle the workers.
 It is specially to avoid any biased practices among them and assist them to continue
working in a committed outlook.
 By which, we are looking forward to work with a loyal set of employees who are
equally striving to attain profitable goals to accomplish the undertaken
organisational objectives.
Beside this, some key regulatory norms that will be applicable onto this business includes
an O license for the operators along with a PSV or PHV license, depending upon the nature
and type of work.
Individual and departmental performance is measured
It is essential to measure individual and departmental performance through adopting
different methods so that best results can be attained. However, it is significant for firm to
adopt appropriate measures so that business purpose could be attained. Also, measuring the
performance of individual and departmental helps in identifying the varied measures so that
key performance indicators could be attained in an effective way (Stevens and Johnson,
2016). Through measuring their performance, it would help in identifying the best potential
measure so that success can be attained. Therefore, using effective measures would result in
attaining success and goals of firm in market. Firm should use effective way that will help
them in motivating the employees and move towards attaining organizational goals.
Further, using effective KPI's assists in fulfilling the objectives and thus improving
the performance of firm in market. Also, identifying the individual and departmental
performance helps in measuring the business performance and thus results into carrying out
effective outcomes so that success can be attained (Jin, Granda-Marulanda and Down, 2014).
Therefore, using such services would focus upon improving the logistics of company and
attain organizational goals. Logistics and transport company would result into performing the
desired options and therefore, it is essential for business to adopt effective measures and
therefore, undertake suitable ways through which organizational performance could be
attained. Firm should adopt appropriate methods through which suitable KPI could be

developed in regard to improve the firm's success so that appropriate techniques could be
used in regard to improve the efficiency of firm in market.
It is therefore to define suitable key performance indicators (KPI’s) of the newly planned
logistics and transportation business that will involve the below specified parameters-
 It is in regard to specify the transportation related consideration of Lean Logistics
to make a timely delivery by successfully transporting the product on a scheduled
time period. For which, they will refer hiring speedy vehicles that can assist in
quick transportation of goods at customer’s doorstep.
 Charging the customers on the basis of their product’s measurement and fixing the
price per pound. For this, they will use devices of advanced technology to get
accurate information regarding weight, etc.
 Another concern is in regard to the warehouse to assure a high inventory accuracy
at the time of preparing a product. Here, as well, the company will be using
progressive equipment’s with high tech features to pack and load the goods onto
their vehicle.
 In addition to which, on time shipping by ensuring an accurate order is required to
effectively handle the warehouse related activities. Also, a database will be
specially designed to track the products and enable the customers for the same.
Key performance indicators
Lean logistics can be measurable by different prospects. This can be measured by
profit, such as how much profit firm earned throughout the year. On the other hand, this can
be done by the both effective and ineffective manner.
Cost: cost is another tool or KPI that helps to identify the company performance in
terms of performance.
Quality: Quality is the best way to determine the way of doing business done with the
help of different criteria source.
LOB expenses Vs Budget: by measuring actual result with desired results it helps to
measure the performance of the company. It will also helpful to make further performance
task.

Training and development plan
Training and development is crucial concept that helps in improving the performance of firm
in market. Therefore, it is essential for business to provide appropriate training to individual
so that both business and firm could raise its performance. There are different training and
development programs which needs to be provided to individuals such as understanding the
logistics and supply chain network so that it helps in improving the performance of firm in
market. Also, using such network would result in performing desired options and therefore
training and CPD are crucial ways through which individual can attain organizational as well
as individual goals (Mangan, Lalwani and Lalwani, 2016).
Through providing them appropriate training and coaching classes it would result in
performing the desired outcomes. Therefore, through using effective training and CPD
coaching it would help them to enhance their skills and talents regarding managing logistics
and transport. Also, it will prove beneficial for firm to reach the end consumers faster and
satisfy their needs. Providing such training and development options would result in
improving their efficiency and then enhance their targets so that success can be attained
(Monczka and Patterson, 2015). However, ultimately it would benefit business and individual
both so that best performance could be delivered to firm and thus attain desired results.
Preparing appropriate training and development plan helps in satisfying the needs of
employees and thus they will be rendering appropriate services to customers so that desired
satisfaction could be attained. Therefore, using training modules it will result business in
improving their performance and then focus upon attaining organizational goals and
objectives.
This is to provide some specific examples of training to develop the hired individuals of Lean
Logistics as a way of enhancing their logistics related training. It however depicts the need of
following a procedural approach with some below specified steps-
 Understanding the business is a prime requirement to carefully assist the workers to
determine the set organisational goals and work towards its attainment. This is for
example to target a timely shipment of products.
 Conducting a need assessment to arrange an effective logistics training program to
make it more relevant, engaging and constructive. This will involve a blended
approach of learning to involve each of the participants with interactive sessions

that involves visuals, etc. This phase will be focussed on acknowledging the ways
in which, the employees can be taught about a timely shipment procedure.
 Gaining buy in- This is basically to take feedback from the management as well as
employees to ensure a successful implementation of the training program. This will
involve acknowledging any other related doubts that are needed to be clarified for a
better provisioning of timely shipment service.
 Undertaking a focussed approach- This is basically to alter the set program on the
basis of above acquired feedback from the organisational members and make
relevant changes in the undertaken session. It is basically to identify any gap where
the employees are still having some doubts related to a timely delivery procedure
and required to be instructed on it.
 Staying connected- This is to follow up any further needs of development in the
employees, post training with assistance of one to one sessions to acknowledge
their learning.
Guidelines for motivation and appraisal of employees
It is essential for business to undertake effective practices of motivation and thus encourage
them to attain desired results. However, individual needs to be motivated so that they are able
to attain organizational goals. For instance, it is essential for Lean logistics and transport to
motivate its workforce through providing them appropriate techniques and methods so that
they can be encouraged towards attaining set targets. Also, improving business efficiency
would result into performing the set actions (Stadtler, 2015). It is essential for management of
firm to motivate its workforce and thus improve their efficiency so that best results can be
attained. Further, it is essential for firm to provide timely appraisal to employees so that they
could be encouraged in order to improve the efficiency and thus enhance the performance of
firm in market. Through improving the appraisal system, it would encourage them to attain
desired business objectives.
Furthermore, it is significant for business to identify the factors that would encourage
employees towards attaining organizational goals. Thus, through using different motivational
factors they are focused upon improving business performance and thus organizational goals
could be attained. Therefore, through using different terms and conditions business needs to
be effective in managing the performance and thus overcome the inefficiencies and thus
result into improving business performance (Christopher, 2016). However, motivation is

considered as one of the effective ways through which performance of firm could be
measured in terms of performing the desired results. Therefore, through using such
performance measures it would result into performing best actions and thus attain success.
Concept of change and suggest ways to manage and reduce negative impacts on business
Change is an attribute which is to be implemented in an organisation from time to time
according to requirement of the company. It is possible that certain changes might help in
improving current functioning while other changes may hinder the functioning of the
institution. Hence, it is important to analyse the needs and demands effectively before
implementing a change (Waters and Rinsler, 2014). Separate change management systems
have been designed for business organisations to plan out the activities which need to be
implemented in the form of functional changes. The productivity of a company totally
depends on the effect of change.
and their acceptance level amongst employees. For instance, the management changes the
appraisal systems and implies stricter rules for providing incentives; then deserving
employees won't mind the changes and accept it positively. On the other hand, the employees
who were cheating the organisation for gaining more appraisals won't depict positive attitude
towards the same.
There are different ways through which change could be managed so that it would help Lean
logistics to minimize or eliminate negative impacts upon business. They need to adopt
effective measures so that best results can be attained. Therefore, change needs to be
managed effectively which helps in minimizing the negative impacts upon business and
affects its brand image in market (Brandenburg and Seuring, 2014). There exists both internal
and external drivers of change to shape up the organisation and successfully implement its
undertaken strategies to continue succeeding in the future. The main internal drivers involved
resources, capabilities and invention with few external drivers that included customers,
technology and government.
Lewin’s Change Model
Unfreezing: In this stage of change model will help to adopt change. Before making
change management of Lean logistic make employees aware or define the importance of

change by using mode of communication. It helps employees to know about the change and
logic behind the effective level of performance.
Changing: In this step where company can move and implement to begin new
change. Whatever the change company wants to apply they can implement in this stage.
Change in the organization should be planned and according to the growth level. This stage
also makes familiar employees with the new changes and make them available to the firm as
well.
Refreezing: This is the final step to refreeze the management with new change. Apart
from that, it brings new managerial goals and objectives. In this manager also ensure whether
the changes have been put rightly or not.
CONCLUSION
It can be concluded from the study that Lean logistics and transport company is
required to carry out its effective performance in terms of fulfilling the business objectives.
Also, it is essential for firm to assess the effective ways through which they can maintain its
performance in market through carrying out green logistics and thus does not impact upon
environment. Also, it is essential for firm to encourage employees and thus perform the
business operations in an effective way and thus enhance the appraisal of individual working
within firm. Therefore, through motivating them they could be focused towards
organizational goals and thus set targets can be attained. The above report has summarised
some vital aspects of setting up a logistics business that needs to comply various legislative
norms concluded over here. It has also demonstrated some of its useful consideration towards
protecting the environment by causing minimal harm to the atmosphere and utilize accordant
recourses for it. It has together described one of its major concerns of fulfilling the exact
needs of today’s customers and targeting them with a specific purpose of meeting out their
distinct set of demands. Lastly, it has exemplified a prime involvement of its employees in
this plan with consideration of retaining them for a longer time period with effective
motivational tactics.

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