Supriya S

Supply Chain
Management
Supply Chain
 What is Supply-Chain Management?

Supply-chain management is a total system approach to

managing the entire flow of information, materials, and
services from raw-material suppliers through factories and
warehouses to the end customer

Manufactur Distribu
Supplier er tor Retailer Customer

 Product flow
 Information flow
 Finance flow
The Process

 View ‘Value’ from the perspective of the

customer

 Eliminate all waste & non-value-add activities
from the chain

 Capture demand data at point of use & use this
to control the chain

 Integrate all key elements (links) of the chain

 Establish a steady continuous flow based on
pull/demand

 Use data & metrics collected within the process
Objective

Right Product Right Quantity Right Time Minimal Cost

Customer needs Delivery Reliability Delivery Time Inventory Level

Supply chain management flow:

PLAN Strategy, Metrics

SOURCE Suppliers, Pricing

MAKE Manufacture, QC

DELIVER Logistics

RETURN

Defects, Excess
 IBM’s SCM Service
“Put our Supply Chain Management expertise to work to
solve your business problems” 

Focus on the margin-generating processes and high-cost

areas of our clients' value chains. 
Infosys Supply Chain
Visibility and Collaboration
Platform
P ro ce ss V ie w
Customer
Customer
Order Cycle Pull
Retailer

Replenishment
Cycle Distributo
r

Manufacturin
g Cycle Manufacturer Push

Procurement
Cycle Supplier
Benefits of SCM

 Timely product supplies

 Accurate pricing/discounts
 Simplified and faster payments process
 Online information (purchases, sales, inventory,
financials)
 Less duplication of job – utilization of human-
power in value adding roles
 Better warehousing and transportation
management
 Better plant maintenance
 Easy access to data /information

W h a t’s N e w in S u p p ly C h a in ?

•Global competition
•Well informed more powerful
Customers
•Customer Expectations
•Shorter product life cycle
•New, low-cost distribution
channels
•Internet and E-Business
strategies

Supply Chain Management in
Automobile Industry

Global automobile manufacturers are consistently

streamlining their business process by outsourcing their
non-core activities to low-cost countries like India. Global
automobile manufacturers are under tremendous pressures
to innovate their manufacturing process and at the same
time, to reduce costs. In view of the present global
competitiveness, they must not only develop new features to
strengthen their customer requirements but also follow the
environmental and safety standards. In addition, the base
price of a car is expected to remain same over the next
decade. As a result, companies are forced to source more
components from low-cost countries like India
Role of SCM in Automotive
Industry
According to the Council of Logistics
Management Supply Chain

Management, “the
process of planning, implementing and

controlling efficient and cost effective

flow of
materials, in-process inventory,

finished goods
and related information from point-of-

order
 Global Automobile Market
Scenario
DIVERSE CUSTOMER NEEDS HIGH COST DUE TO
R & D

STRATEGIC ALLIANCES AMONG REGULATIONS

>
MANUFACTURESFOR ENVIRONMENT AND SAFETY
Thank You