1. Supply Chain Management
A presentation by
Kritika chhatwal

2. SUPPLY CHAIN MANAGEMENT
Supply-chain management is the integration of business processes from end user through original suppliers, that provide products, services, and information that add value for customers.
1) Value Chain
2)Supply side- raw materials, inbound logistics and production processes
3) Demand side- outbound logistics, marketing and sales.

3. 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
Management
Material Flow
Information Flow
Customer
Management
Schedule /
Resources
Conversion
Stock
Deployment
Delivery
Leads to Business Process Integration

4. 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.

5. SUPPLY CHAIN INCLUDES :
MATERIAL FLOWS
INFORMATION FLOWS
FINANCIAL FLOWS

6. Supply Chain Material flow Material flow Stores RM Distribution Stores
OPERATIONS
Stores RM
Distribution
Procurement
Stores FG
PROCESSING
Purchase
Warehousing
Information flow
Vendor
Customer
Out bound logistics
Inbound Logistics

7. SUPPLY CHAIN ELEMENTS Supply Chain Design Resource Acquisition
Long Term Planning (1 Year ++)
Strategic
Production/ Distribution Planning
Resource Allocation
Medium Term Planning (Qtrly,Monthly)
Tactical
Shipment Scheduling
Resource Scheduling
Short Term Planning (Weekly,Daily)
Operational

8. Supply Chain Goals
Efficient supply chain management must result in tangible business improvements. It is characterized by a sharp focus on
Revenue growth
Better asset utilization
Cost reduction.

9. Supply Chain Management
Principles C
Compression
(Planning/Manufacturing/Supply)
Conformance
(Forecasts/Plans/Distribution)
Co-operation
(Cross -Functional)
(Real Time Data)
Communication
Reduce Overall Cycle Time : Improve Response

10. . The steps involved Step1- Designing the supply chain
Determine the supply chain network
Identify the levels of service required

11. Step 2 - Optimizing the supply chain
Determine pathways from suppliers to the end customer
Customer markets to Distribution centers
Distribution centers to production plants
Raw material sources to production plants
Identify constraints at vendors, plants and distribution centers
Get the big picture
Plan the procurement, production and distribution of product groups rather than individual products in large time periods- quarters or years

12. Step 3- Material flow planning
Determine the exact flow and timing of materials
Arrive at decisions by working back from the projected demand through the supply chain to the raw material resources
Techniques
ERP

13. Step 4 - Transaction processing and short term scheduling
Customer orders arrive at random
This is a day to day accounting system which tracks and schedules every order to meet customer demand
Order entry, order fulfillment and physical replenishment

14. IMPORTANCE of Information in Supply Chain Management
Information is overriding element
Need for databases
Master files: Information about customers, products, materials, suppliers, transportation, production and distribution data- do not require frequent processing
Status files- heart of transaction processing- track orders and infrastructure status- updated daily.
Essentially using the same information to make all plans right from structuring the network to processing every day supply chain tasks.

15. Thank You