SCM of kashmiri handicrafts

Submitted to prof. Iqbal Hakim

Submitted by Younus Ahmad (MBA-207)

SCM of Kashmiri handicrafts

MBA-207

Handicrafts refer to items made by hand with the use of simple tools, generally artistic and/or traditional in nature, used for decorative purposes, including gifts and souvenirs as well as for utility purposes. Indias main handicraft items are Woollen Hand Knotted Carpets produced in different states across India. Kashmiri handicrafts, the traditional sector of J&K, are known throughout the world for their artistic work and grandeur. The vast cultural and ethnic diversity of Kashmir has enabled a variety of techniques and crafts to flourish on this land. The various handicrafts are in tune with its age-old splendid civilization, which has been perfected over centuries. Be it Kashmiri carpets, shawls, paper machie or any other craft, it is only the Kashmiri artisan who can show his mastery to crave out those master pieces of Kashmiri art & craft. The tradition of weaving by hand constitutes one of the richest and most vibrant aspects of the Kashmiri handicrafts. So, technically speaking it has been the Kashmiri artisan who has helped the handicraft industry to set itself on a journey toward excellence. But the Handloom weaving is largely decentralized and unorganised, and weavers in the sector are mainly from the vulnerable and weaker sections of the society, who weave for their basic household needs and not for the cause to help the industry to reach new heights. However, the Kashmiri handicraft sector has the inherent potential to co-participate in the countrys growth and development. But the rising competition, new market trends and oversaturated markets have made it increasingly difficult to sustain business profitability at the cottage industry scale. And nowadays we can see that Kashmiri handicraft sector is severely struggling to evolve its competence and build its capacity & capability in response to the challenges it faces.

Some of the famous works in which Kashmiri artisans had an excellent flair are as: Kashmiri Shawls, Kashmiri Carpets, Paper Machie, Crewel embroidery, Cushion covers, Chain Stitch, Namdas, Basketry, Wood carving, Copper work, Silver work, Almonds, Walnut and Kashmiri saffron.

SCM of Kashmiri handicrafts

MBA-207

Supply Chain Management refers to all activities that are being carried out from procurement of raw materials, processing, production, retailing and ultimately to point of consumption. Once we examine the Kashmiri handicraft industry from these angles one can easily point out the loopholes prevailing in the existing operations of the industry. Kashmiri handicraft industry is highly decentralised and unorganised. Raw material procurement is done via a variety of sources and regions without having any integrated effort for the raw material acquisition. With rising of prices in yarn, dyes, walnut wood and chemicals etc. the procurement problem has increased immensely. Even the procurement prices vary a great deal for different parties be it an individual hand weaver or a cottage industry entrepreneur. Processing involves segmented manpower from a few individual hand weavers engaged in the business to a few small scale mills. Processing may be done at central point like that of a small mill or else at different individual points thus complicating the scene of supply chain and adding huge number of intermediaries. Retailing is done through a few selected retail outlets or through unorganised door to door selling. However with recent government efforts one can site some examples like opening of few emporiums (sangarmaal), trade fairs and exhibitions both at state, national and international level. Furthermore, unorganised policies for the sector have led to exploitation of different parties in the system, which has forced talented manpower to quit their work for seeking other lucrative ventures or Jobs. Other reason possibly might be because of increase in the standard of living of people making them to look for other choices available for employment. With such a haphazard SCM in J&K Handicrafts, it attaches some deficiencies in the system. Which can be identified through more cost incurred, more time taken, poor pricing policy, and non-availability of products on time, obsolete products, less productivity, demotivation of employees, wastage of art, distortion of profits, meagre Salaries, weak economic etc.

SCM of Kashmiri handicrafts

MBA-207

Suggestions for designing structural distribution channels

To rectify the various discrepancies, it is imperative that initiatives must be taken to give impetus to this sector through a variety of efforts, which are as:1. The various efforts aimed at developing and promoting marketing channels in domestic (Kashmir) as well as export markets can be managed through the sale of handloom products by organizing exhibitions at National, Regional, State and District levels; providing facilities to consumers to purchase genuine handloom products under one umbrella; promoting awareness about latest designs and varieties of handlooms; providing marketing infrastructural support; encouraging innovation in designs and techniques; preserving and promoting traditional skills and designs; fostering brand identity and technological developments among weavers. It includes assistance for organising Special Expos, Craft melas, urban haats. 2. Marketing channel system must be designed properly with roles and responsibilities of different intermediaries clearly stated. Too many of intermediaries in a channel must be avoided to reduce the cost. Infact modern trend of selling through internet can be employed to set in tune with the marketing practices. Doorto-Door selling of Kashmiri handicrafts must be avoided as to preserve their image as objects of artistic work. 3. Most artisans are from economically disadvantaged sections of the population and lack resources required to meet working capital and other requirements. They do not have regular access to formal credit sources, which leads them to the local moneylenders and master artisans (local masters) and gradually fall into the debt cycle. Once the resources problem is solved artisans would be self-motivated to sell their products only through authorised agencies. 4. Similarly, most artisans obtain their raw materials locally and normally do not get access to good quality raw materials, with the result that the returns on their output are meagre and erratic. This ultimately makes them loose their faith in the efforts they are expending. 5. Lack of information to weavers regarding various Government policies and schemes under implementation, is a significant cause for the dwindling fortunes of the weaver community. Sometimes, the implementing agencies and the concerned Governments Departments may not possess complete information, resulting in critical gaps in implementation. 6. Lastly education, training and infrastructure building must be focussed. And other policy measures must be implemented in letter and spirit.
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SCM of Kashmiri handicrafts

MBA-207