Supply Chain Management: Supriya S

Supriya S

Supply Chain Management

Supply Chain

What is Supply-Chain Management? Supply-chain management is a total system approach to managing the entire flow of information, materials, and services from raw-material suppliers through factories and warehouses to the end customer

Supplier

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Manufactur er

Product flow Information flow Finance flow

Distribu tor

Retailer

Customer

The Process 

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View ‘Value’ from the perspective of the customer Eliminate all waste & non-value-add activities from the chain Capture demand data at point of use & use this to control the chain Integrate all key elements (links) of the chain Establish a steady continuous flow based on pull/demand Use data & metrics collected within the process

Objective

Right Product

Right Quantity

Right Time

Customer needs Delivery Reliability

Minimal Cost

Delivery Time

Inventory Level

Supply chain management flow: PLAN

Strategy, Metrics

SOURCE

Suppliers, Pricing

MAKE

Manufacture, QC

DELIVER RETURN

Defects, Excess

Logistics

IBM’s SCM Service “Put our Supply Chain Management expertise to work to solve your business problems”  Focus on the margin-generating processes and high-cost areas of our clients' value chains. 

Infosys Supply Chain Visibility and Collaboration Platform

P ro ce ss V ie w Customer Customer Order Cycle

Pull Retailer

Replenishment Cycle

Distributo r

Manufacturin g Cycle

Manufacturer Push

Procurement Cycle

Supplier

Benefits of SCM         

Timely product supplies Accurate pricing/discounts Simplified and faster payments process Online information (purchases, sales, inventory, financials) Less duplication of job – utilization of humanpower in value adding roles Better warehousing and transportation management Better plant maintenance Easy access to data /information

W h a t’s N e w in S u p p ly C h a in ? •Global competition •Well informed more

powerful

Customers •Customer Expectations •Shorter product life cycle •New, low-cost distribution channels •Internet and E-Business strategies 

Supply Chain Management in Automobile Industry Global automobile manufacturers are consistently streamlining their business process by outsourcing their non-core activities to low-cost countries like India. Global automobile manufacturers are under tremendous pressures to innovate their manufacturing process and at the same time, to reduce costs. In view of the present global competitiveness, they must not only develop new features to strengthen their customer requirements but also follow the environmental and safety standards. In addition, the base price of a car is expected to remain same over the next decade. As a result, companies are forced to source more components from low-cost countries like India

Role of SCM in Automotive Industry According to the Council of Logistics Management Supply Chain Management, “the process of planning, implementing and controlling efficient and cost effective flow of materials, in-process inventory, finished goods and related information from point-oforder 

Global Automobile Market Scenario DIVERSE CUSTOMER NEEDS

HIGH COST DUE TO R & D

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STRATEGIC ALLIANCES AMONG REGULATIONS MANUFACTURESFOR ENVIRONMENT AND SAFETY

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