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Data Analysis Assignment for Couriers

The document provides a business scenario where a company (X) needs to verify delivery charges from courier companies are correct using input data from X and courier invoices. The assistant is asked to analyze order data to compare expected vs actual delivery charges and zone, calculate differences, and output results in a CSV including order ID, weight, zone, charges. A summary table should also be generated counting orders that were correctly, over, or under charged along with associated amounts. Sample data is available at a provided link for the analysis.

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0% found this document useful (0 votes)
383 views3 pages

Data Analysis Assignment for Couriers

The document provides a business scenario where a company (X) needs to verify delivery charges from courier companies are correct using input data from X and courier invoices. The assistant is asked to analyze order data to compare expected vs actual delivery charges and zone, calculate differences, and output results in a CSV including order ID, weight, zone, charges. A summary table should also be generated counting orders that were correctly, over, or under charged along with associated amounts. Sample data is available at a provided link for the analysis.

Uploaded by

Xyz Abc
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

Data Analyst - Assignment

Overview
Please understand the below mentioned real-life scenario and try to solve the assignment.
The sample data is attached in the link provided below for your reference.

Business Scenario
You are a data analyst and your client has a large ecommerce company in India (let’s call it X).
X gets a thousand orders via their website on a daily basis and they have to deliver them as fast
as they can. For delivering the goods ordered by the customers, X has tied up with multiple
courier companies in India as delivery partners who charge them some amount per delivery.

The charges are dependent upon two factors:


● Weight of the product
● Distance between the warehouse (pickup location) and customer’s delivery address
(destination location)

On an average, the delivery charges are Rs. 100 per shipment. So if X ships 1,00,000 orders
per month, they have to pay approximately Rs. 1 crore to the courier companies on a monthly
basis as charges.

As the amount that X has to pay to the courier companies is very high, they want to verify if the
charges levied by their Delivery partners per Order are correct.

Input Data

Left Hand Side (LHS) Data (X’s internal data spread across three reports)
● Website order report- which will list Order IDs and various products (SKUs) part of each
order. Order ID is common identifier between X’s order report and courier company
invoice
● SKU master with gross weight of each product-This should be used to calculate total
weight of each order and during analysis compare against one reported by courier
company in their CSV invoice per Order ID. The courier company calculates weight in
slabs of 0.5 KG multiples, so first you have to figure out the total weight of the shipment
and then figure out applicable weight slabs.

For example:
- If the total weight is 400 gram then weight slab should be 0.5
- If the total weight is 950 gram then weight slab should be 1
- If the total weight is 1 KG then weight slab should be 1
- If the total weight is 2.2 KG then weight slab should be 2.5

● Warehouse pincode to All India pincode mapping -(this should be used to figure out
delivery zone (a/b/c/d/e) and during analysis compare against one reported by courier
company in their CSV invoice per Order ID

RHS Data (courier company invoice in CSV file)


● Invoice in CSV file mentioning AWB Number (courier company’s own internal ID), Order
ID (company X’s order ID), weight of shipment, warehouse pickup pincode, customer
delivery pincode, zone of delivery, charges per shipment, type of shipment
● Courier charges rate card at weight slab and pincode level. If the invoice mentions
“Forward charges” then only forward charges (“fwd”) should be applicable as per zone
and fixed & additional weights based on weight slabs. If the invoice mentions “Forward
and rto charges” then forward charges (“fwd”) and RTO charges (“rto”) should be
applicable as per zone and fixed & additional weights based on weight slabs.
● For the first 0.5 KG, “fixed” rate as per the slab is applicable. For each additional 0.5 KG,
“additional” weight in the same proportion is applicable. Total charges will be “fixed” +
“total additional” if any

Output Data 1
Create a resultant CSV/Excel file with the following columns:
● Order ID
● AWB Number
● Total weight as per X (KG)
● Weight slab as per X (KG)
● Total weight as per Courier Company (KG)
● Weight slab charged by Courier Company (KG)
● Delivery Zone as per X
● Delivery Zone charged by Courier Company
● Expected Charge as per X (Rs.)
● Charges Billed by Courier Company (Rs.)
● Difference Between Expected Charges and Billed Charges (Rs.)

Output Data 2
Create a summary table

Count Amount (Rs.)

Total orders where X has been correctly charged <count> <total invoice
amount>
Total Orders where X has been overcharged <count> <total
overcharging
amount>

Total Orders where X has been undercharged <count> <total


undercharging
amount>

Assignment Data Download


Please download the assignment data from the following link:
[Link]

Submission
Please submit the result in an Excel with two workbooks (summary table in one and order level
calculation in another) and your code in any programming language such as Python, R, Java,
JavaScript, etc.

Common questions

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Incorrect pincode mapping can result in assigning shipments to the wrong delivery zones, leading to miscalculated delivery charges . Delivery zones determine the charges applicable per order; an incorrect zone can cause billing errors, potentially leading to significant financial discrepancies. Such errors can accumulate over thousands of orders, severely affecting the company's logistics budget and potentially causing strained relationships with courier partners due to repeated charge disputes .

Weight slabs influence the delivery charges significantly because charges are structured around fixed rates up to certain thresholds (in this case, 0.5 KG increments). Each weight slab increases the base rate, with additional charges applied for each 0.5 KG beyond the initial weight. Misalignment between the calculated weight slab and the slab used in invoicing can lead to discrepancies in expected versus billed charges, possibly resulting in overcharging or undercharging .

Data analysis can optimize supply chain management by providing insights into order patterns, identifying inefficient delivery routes, and analyzing courier performance. By evaluating discrepancies between expected and billed delivery charges, company X can negotiate better terms or select more cost-effective partners . Predictive analytics can forecast demand trends, enabling better inventory management and allocation of resources. Real-time data processing can enhance decision-making speed, reducing delivery times and improving customer satisfaction .

The delivery zone is crucial because it determines the rate category applied by the courier for any given shipment, affecting the total delivery cost . Different zones may carry different base and additional charges, so a mismatch between the delivery zone reported by X and that used by the courier may lead to inaccurate billing. Accurately mapping and verifying pin codes to their corresponding zones help ensure that correct charges are applied as per the courier's rate card . Misclassification of zones can lead to discrepancies between expected and billed delivery charges .

A data analyst would need to follow a series of steps: First, merge the internal data from the company's order reports with the courier company's invoice data using Order ID as the key. Next, calculate the total weight of each order using the SKU master and determine the appropriate weight slab by rounding up to the nearest 0.5 KG . Compare this calculated weight slab with the slab reported by the courier company in their invoices. Verify the delivery zones for each order by using the warehouse and delivery pincode mappings and compare them against the zones reported by the courier . Finally, calculate the expected charge using the courier rate card based on the zone and weight slab, and compare it with the charges billed by the courier company to identify any discrepancies .

Discrepancies affect financial planning by creating unpredictability in logistics costs, potentially leading to budget overruns or underestimations. Overcharges can inflate operational costs, reducing margins if not passed on to customers . Conversely, undercharges may impact relationships with couriers if detected during later reconciliations. Accurate charge reconciliation is essential to prevent financial statement inaccuracies and to ensure realistic forecasting and budgeting. Addressing discrepancies proactively through data verification and analytics supports sustainable financial management and strategic resource allocation .

Methodologies for reconciling discrepancies include: data merging to ensure order reports and invoices align on common identifiers (Order ID), verification of calculated weights and corresponding slabs against those invoiced, and cross-referencing delivery zones with internal data mappings . Additionally, statistical analysis can identify patterns of discrepancies, while machine learning models could predict expected differences based on historical data. Automating these processes with scripts can efficiently handle large datasets and flag order records with significant discrepancies for further manual investigation .

Challenges may include discrepancies in data entry and formatting, such as inconsistent use of Order ID formats or errors in weight recording across different datasets . Variability in data updates, such as timing differences between internal reporting and external invoice generation, could result in mismatches. Additionally, inherent data quality issues like missing or incorrect mappings in internal pincode-zone databases may complicate synchronization efforts. Overcoming these issues requires meticulous data cleaning, rigorous validation frameworks, and seamless integration methods .

Technology, through programming languages like Python and R, plays a crucial role by automating data processing tasks such as calculating weights, mapping delivery zones, and synchronizing datasets from internal and courier data . These languages facilitate the creation of scripts that efficiently handle large datasets, identify discrepancies, and generate comprehensive reports with minimal manual intervention. They also support advanced analysis capabilities, enabling complex data manipulation and visualization to enhance understanding of billing patterns and logistics efficiency .

The output data summary table provides a quantitative overview of billing accuracy, highlighting orders correctly charged, overcharged, or undercharged, along with total discrepancy amounts . This information can inform strategic decisions such as renegotiating terms with delivery partners, optimizing internal processes to minimize errors, or adjusting pricing strategies to absorb verified billing inconsistencies. By understanding the scale and nature of discrepancies, company X can prioritize improvements in logistics and cost allocation, ultimately enhancing operational efficiency and financial accuracy .

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