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Supply Chain Management

Since the term “Supply Chain” contains the word “supply”,


many people naturally assume that supply chain must have
something to do with suppliers (i.e. purchasing or
procurement). While it is true that supply chain management
does encompass the purchasing and procurement functions,
supply chain management actually extends well beyond those
areas. Supply chain management is the practice of
manufacturing and distributing physical good as efficiently as
possible.
- A supply chain consists of
Supplier Manufacturer Distributor Retailer Customer

Upstream Downstream
- aims to Match Supply and
Demand, profitably for SUPPLY SIDE DEMAND SIDE
products and services
- achieves

+
The right +
The right + +
The right The right +
The right
=
The right Higher
Product Price Store Quantity Customer Time Profits
Washing powder Nirma has effectively used its
Supply chain Management System..
SUPPLY CHAINA ELEMENTS
• Supply Chain Design
• Resourccquisition
Strategic • Lon g Term Planning (1 Year ++)

• Production/ Distribution Planning


Tactical • Resource Allocation
• Medium Term Planning (

• Shipment Scheduling
Operational • Resource Scheduling
• Short Term Planning (Weekly,Daily)
Improper forecasting for product (over-stocking or
under-stocking)
Requires heavy investment in transportation , time,
money and resources to implement.
Low technology usage and inadequate investment in IT
Complexity of supply chain
The Best example of Supply Chain
Management is Mumbai’s Dabbawala’s …..
Represented By….

Snigdha Bansal

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