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Assign by:
Sir Sarmad Irfan
Assign to:
Mehreen Shah
MBA3Y02123058
Subject:
Supply Chain Management
LBS
University of Lahore
Executive summary:
Small organization of shoe manufacturer
Self investing
Coordination in sc
Raw material un availability
Electric supply
Responsive sc
Safety inventory
Risk of loss
It department
Incentives for labors
diffenteriating
competitors
Introduction:
Objective of the project:
This project is about to visit the manufacturing company and to
analyze problems by interviews, questionnaires and observations. The main objective is
that how this project will provide us the opportunity to demonstrate our understandings
and mastery of the course material. We have to analyze that how the problems in
supply chain affect the market condition and also the product?
Company Introduction:
It is shoe manufacturing organization. It consists of 25 employees.
It is located in Sheikhupura and work in a house. This organization made a shoe
approximately in 4 hours. They make 30 shoes in a day. They contact with the suppliers
of raw material and they also doing self investing for all the procedure. After finishing the
product they are distributing these shoes to the retailers of shoe market of Lahore and
Peshawar. They have many competitors. Their manufacturing process starts as follows.
Cutting
Sewing (of upper section above the sole)
Stock fitting (prepares the sole)
Lasting (prepares attachment of upper to the sole)
Heeling (attaches and shapes heel bottom to final form)
Finishing
Treeing (attaches accessories)
After the manufacturing process, the shoe is then distributed to retailers and sold
to consumers.
Strategy
Investment
Supply chain drivers (Facilities, inventories, information etc)
Suppliers
Raw materials
Labor force
Distribution
Product availability
Payment methods
Demand influence in SCM
Sourcing
Co-ordination in supply chain
Safety inventory
IT
Analysis of data:
Analysis of data obtain from answers explain the whole supply chain
and its problems. They are working on differentiating strategy. For this purpose they
have to work efficiently and effectively to earn competitive edge. They are self investing
on each and every process. Thats why the risk of loss is greater than the profit. In
advantage of the situation. They do not keep safety inventory and thats why they are
unable to replace the claim product.
Co-ordination in supply chain is lacking and due to this the supply chain is unable to
perform well in the market. The whole manufacturing process is effecting due to this
problem.
For responsive supply chain these issues creates large number of difficulties and soon
become a problem. JIT can be missing due to these issues.
Recommendation:
To deal with all the problems and issues some recommendation
should be follow. In this way the supply chain will become effective and more
responsive. This will also help the organization to grow and improve the quality of
product.
Supplier:
The organization should have contact with many suppliers. So if any supplier is
unable to provide raw material then they can contact with other supplier. They should
maintain a good relationship with all suppliers. It will help to improve the co-ordination in
supply chain and also help to build a trustworthy relationship with suppliers. Products
quality can be improved by focusing on this step. The organization will progress as the
basis of quality and availability of product.
Raw material recommendation:
They should have to assure about the right quality of raw material.
Perfection in every step will give product a long survival. In this way the customer will
satisfy with product and never claim back. It will help the organization to beat the
competitors.
Safety inventory:
They should have to keep safety inventory so they can deal with the
variability in demand and also resolve the issue of claim. By doing this they can
maintain the trust between customers and the organization.
Electric supply recommendation:
They should have to arrange a generator or small size
of electric supply to deal with the problem of electricity. They can save time in this way.
They can also able to follow JIT strategy.