A presentation

by
Rohit Indurkar (14)
Minal Holam (12)
Sagar Jagtap(16)
Swapnli Gawas (10)
 Value Chain
Supply side- raw materials, inbound logistics
and production processes
Demand side- outbound logistics, marketing
and sales.
 WHAT IS SUPPLY CHAIN MANAGEMENT

" 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

Leads to Business Process Integration

 Supply chain is the system by which
organizations source, make and deliver their
products or services according to market
demand.
Supply chain management operations and
decisions are ultimately triggered by demand
signals at the ultimate consumer level.
Supply chain as defined by experienced
practitioners extends from suppliers suppliers
to customers customers.
 SUPPLY CHAIN INCLUDES :

MATERIAL FLOWS

INFORMATION FLOWS

FINANCIAL FLOWS
 Supply chain objectives may differ from
situation to situation.
For functional products, cost efficiency is the
critical factor.
For innovative products, responsiveness is the
important factor.
Leanness JIT
 Supply Chain Structure

SUPPLIER FACTORY DC RDC RETAILER

Raw Materials
Finished Goods

Information Flow
The success of an
supply chain depends on:

The ability of all supply chain partners to

view partner collaboration as a strategic asset
A well-defined supply chain strategy
Information visibility along the entire supply
chain
Speed, cost, quality, and customer service
Integrating the supply chain more tightly
 Determining the Right Supply Chain Strategy
Functional products are staple products that
have stable and predictable demand and call
for a simple, efficient, low-cost supply chain
Innovative products tend to have higher profit
margins, volatile demand, and short product
life cycles. These products require a supply
chain that emphasizes speed, responsiveness,
and flexibility rather than low costs
 Traditional supply chain of management
Modern supply chain of management
 The primal focus of SCM is to serve consumer
with excellent goods and services.
All the trading partners in supply chain share
long term mutual benefits visions.
All the SCM decisions are interdependent
among the trading partners and not
independent.
 Collaboration strategy
Demand flow strategy
Customer service strategy
Technology integration strategy
 Manufacture/supplier collaboration
Manufacture/customer collaboration

Demand flow strategy

Technology integration strategy
 Demand flow strategy

Customer service strategy

Customer segmentation
Cost to serve
Revenue management
E-SCM
Introduction:
E-scm refers to a supply chain that is managed electronically,
using Web technologies.

The recent advancement of Internet technology has brought

more powerful support to improving supply chain
performance.
 e-supply chain management becomes a new term that
distinguishes itself by net-centric and real-time features from
traditional supply chain management.
It explores the concepts, techniques, and vocabulary of the
convergence of SCM and the Internet so that companies can
move beyond merely surviving and thrive in today's
competitive marketplace.
Benefits of e-scm to the customers:
A buyer may be able to purchase both direct and indirect
materials at a lower cost.
A buyer is likely to achieve greater efficiency.
A buyer may be able to forge stronger ties with its suppliers
E-scm assessment:
An assessment that identifies the potential world-class eSCM
capabilities that companies should adopt.
A benchmarking standard that compares eSCM capabilities.
A live, evolving standard that will incorporate the latest
thinking in eSCM and technology.
An action-oriented programme which companies can use to
improve their business performance.
Benefits of e-SCM assessment to
companies:
An independent and transparent verification of its eSCM
capabilities and its ability to perform collaborative processes.
An understanding of its current capabilities performance in
the use of eSCM
- a benchmark of current performance against world class
practices.
An understanding of the opportunities for improving
business performance.
Companies undertaken E-scm
DELL
Ford & General Motors
The Paper Exchange
THANK YOU!