Class Presentation

Supply Chain Management

Sriram Santhanam Gadigyappa G V Roopam Gupta
BUB0710021 BUB0710022 BUB0710023

Corporate M.Sc. (Engineering & Manufacturing Management)

Bosch Part Time PT2010 Programme

Academic Guides :
Dr. K. Gnanmurthy
Mr. K.M. Sharath Kumar 1
M. S. Ramaiah School of Advanced Studies
 Big Bazaar SCM
Brief Introduction : Presenters

Sriram Santhanam
A graduate in Mechanical Engineering with 4+ years work experience. Currently responsible for
`Methods & Process Development’ in Diesel Systems division of Bosch.

Gadigyappa G V
An AMIIM and Dip-in-Engineering with 15+ years of experience and currently involved in `Released
Inspection of Raw Materials and Heat Treatment Components’ in Diesel Systems division of Bosch.

Roopam Gupta
A graduate in Industrial Engineering and postgraduate in Engineering Technology with Masters in
Business Administration, he has 15+ years of work experience in Product Management and is currently
responsible for `Application Engineering and Technical Training’ in Power Tools division of Bosch.

M. S. Ramaiah School of Advanced Studies 2

 Big Bazaar SCM
Supplay chain management

What is Supply Chain Concept?

"Is the strategic management of activities involved in

the acquisition and conversion of materials to finished
products delivered to the customer"

Supplier Material Flow Customer

Management Management
Information Flow

Schedule / Stock
Conversion Delivery
Resources Deployment

M. S. Ramaiah School of Advanced Studies 3

 Big Bazaar SCM
Supplay chain management

Supply Chain Concept : Evolution

Traditional SC view
An efficient supply chain ensures that the products
are on the shelf, available for sale, when Shoppers
come to buy them ... all the time!

Modern SC View
An effective SC ensures high level of Customer
Service at optimum level of working capital
and cost!
So simple yet extremly demamding......
M. S. Ramaiah School of Advanced Studies 4
 Big Bazaar SCM
Modern Supply Chain Concept

Demand Order Whousing Invoicing

Data Stock POS &
& Supply & Query & & Cash
Integrity Mgmt Display
Planning Mgmt Delivery Collection

CUSTOMER FOCUSSED
Supply Chain is integration of our business processes and organisations
around “the entire demand and supply chain”
in servicing our customers and managing our inventories

M. S. Ramaiah School of Advanced Studies 5

 Big Bazaar SCM
Supply Chain Structure
SUPPLIER FACTORY DC RDC RETAILER CUSTOMER

Raw Materials
Finished Goods

Information Flow

Supplier Manufacturer Distributor Retailer Customer

Upstream
Downstream
M. S. Ramaiah School of Advanced Studies 6
 Big Bazaar SCM
Supply Chain Elements
• Supply Chain Design
• Resource Acquisition
Strategic
• Long Term Planning (1 Y ear ++)

• Production/ Distribution Planning

• Resource Allocation
Tactical • Medium Term Planning (Quaterly/Monthly)

• Shipment Scheduling
• Resource Scheduling
Operational • Short Term Planning (Weekly/Daily)

M. S. Ramaiah School of Advanced Studies 7

 Profile
Type Hypermarket
Founded 2001
Headquarters Jogeshwari, Mumbai
Industry Retail
Products Department, Grocery store
Promoter Mr. Kishore Biyani
Parent Pantaloon Retail India Limited
Punchline ‘Is se sasta aur accha kahin nahin’
Currently 100+ outlets
More than 30,000 employees
M. S. Ramaiah School of Advanced Studies 8
Organization Structure : Big Bazaar Zone

M. S. Ramaiah School of Advanced Studies 9

 Organization Structure : Big Bazaar Store

Store Manager

Asst.Store Manager

Dept.Mgr HR Visual Merchant Administration Cashing InfoTech Mkt

Asst.Dept.Mgr Asst.HR Asst.VM Maintenance Cashier Security

Team Leader House Keeping

Team Member

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 PRODUCT MIX
HOME &
APPARELS FOOD FARM PRODUCE CHILL STATION
PERSONAL CARE

DENIMS &
Staples Fruits Soft Drinks Shampoos
T-shirts
Fabrics & Cut Packaged
Ready to eat Vegetables Detergents
Piece Juices
Ready to Imported
Formal Wear Milk Items Soaps
Cook Fruits
International Dairy
Casual Wear Frozen Food Liquid Wash
Food Products

Party Wear Spices Ice creams Creams

Imported
Ethnic Wear Deodrants
Bazaar
Home
Accesories Tea & Coffee
Cleaners
Under
Utensils
garments

Night Wear Plastics

Dress
Crockery
Material

Sarees Sundries

M. S. Ramaiah School of Advanced Studies 11

 PRODUCT MIX
ELECTRONICS Fashion & Furniture Child Care &
Other Services
bazaar Jewellery bazaar Toys

Television Footwear
Living Room Kids Wear mr. right
Sets Bazaar
Washing
Beauty Care Bed Room Toy Bazaar Bakery
Machines

Refrigerators Navaras Kitchen Stationery Loot Mart

Personal Care
Star Parivar Dining Hall Child Care Tulsi
(Shavers, etc)
Meena
mBazaar Kids Room future money
Bindre
future
Microwaves Bean Bags
generalli
Small
Paintings
Appliances
Decorative
Laptops
Items
Computer
Accessories
Kitchen
Appliances

M. S. Ramaiah School of Advanced Studies 12

 SUPPLY CHAIN - BIG BAZAAR
Supply Chain
Supplier

Warehouse

15

14 14

1 1 1 1 2 2 2 3 3 3 14 14 16 16
15

14 14

20 20

20 20

6
4 4 5 20 20
5 1 1 1
17 17 17 8 8 8 19 19 19 20 20

20 20

Supplier Inspection

9 9 9 10 10 23
23 23 23
7 7 8 8 22 22 22 22 22
21 21 21
Supplier

24

11 11 11 11 11 11 11

11 11 11 11 11 11 11

12 12 12 12 13 13 13 13
Quality Check
SODA SODA SODA SODA SODA SODA SODA SODA
25 25 25 25

Shelves

15

14 14

1 1 1 1 2 2 2 3 3 3 14 14 16 16
15

14 14

20 20

20 20

6 20 20
4 4 5 5 1 1 1
17 17 17 8 8 8 19 19 19 20 20

20 20

9 9 9 10 10 23
23 23 23
7 7 8 8 22 22 22 22 22
21 21 21

24

11 11 11 11 11 11 11

11 11 11 11 11 11 11

12 12 12 12 13 13 13 13

SODA SODA SODA SODA SODA SODA SODA SODA

25 25 25 25

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 Supply Chain Process

Supplier Retailer Customer

Distributor/
Wholesaler

Manufacturer Transporter

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Supply Chain Process
Supplier
Procurement cycle

Manufacturer
Manufacturing cycle

Distributor
Replenishment cycle

Retailer
Customer order cycle

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 Macro Processes in the SC of Big Bazaar
1. C.R.M. – Customer Relationship Management
• Market
• Price
• Sell
2. I.S.C.M. – Internal Supply Chain Management
• Strategic Planning
• Demand Planning
• Supply Planning
• Fulfillment
• Field Service
3.S.R.M.- Supplier Relationship Management
•Source
•Negotiate
•Buy
•Design Collaboration
•Supply Collaboration
M. S. Ramaiah School of Advanced Studies 16
 SWOT Analysis : Big Bazaar SCM
Strengths Weaknesses

- State-of-the-art infrastructure - SCM in real sense yet to evolve

- Variety of formats supporting each other - Push mechanism in ordering
- Better understanding of Indian suppliers - Least focus on quality

Opportunities Threats

- Organized retail growing at >20% CAGR - Competitors like Wal-Mart and Carrefore
- Growing preference to organised shopping - Government policies
- Exponentially growing Indian middle class - Unorganized retail

M. S. Ramaiah School of Advanced Studies 17

 Conclusion : Big Bazaar Supply Chain
1. The Big Bazaar distribution centres act as warehouses alone, unlike
Wal-Mart where these centres act as developers of suppliers.

3. There is no pull mechanism in order-generation and it depends

largely on the decisions by individual category managers on weekly
basis whereas in Wal-Mart, it is a daily pull mechanism based on
store consumption.

M. S. Ramaiah School of Advanced Studies 18

 Big Bazaar SCM
References

[1] Biyani, Kishore, Baishya, Dipayan. “It happened in India”, 13th Impression,
Rupa & C0., 2010.

[2] Singh, Sarabjit. “Big Bazaar – Indian Retail Maharaja”, M.B.A. Project,
Department of Business Management, Panjab University Chandigarh, 2008.

[3] Dey, Pradipto, Tarafdar, Kaushik, Singh, Upander. “Store Operation of Big
Bazaar”, Retail Project, PGRM, NSHM Kolkata, 2009.

[4] Bambhania, Anil. “Supply Chain Management at Big Bazar”, M.B.A.

Project, Sikkim Manipal University, 2010.

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 Big Bazaar SCM
Thanks a lot for you patience,
Gentlemen !

Sriram Santhanam Gadigyappa G V Roopam Gupta

M. S. Ramaiah School of Advanced Studies 20