1.

Understand the relationship between supply chain management

(SCM) and organizational business objectives
1.1. Explain the importance of effective supply chain management in achieving
organizational objectives
Supply Chain Management (SCM) is responsible for planning, controlling and executing all the activities
and processes from acquiring raw material for production and then finally distributing it and making it
available for end customer in a most effective and efficient wat possible.

Every company has profits as an objective to make it sustainable and in this Supply Chain Management
(SCM) plays a vital role as it not only helps in generating sales, as an effective supply chain which is
responsive would ultimately lead to customer satisfaction and the more the number of satisfied
customers a company will have higher sales and higher profits. Supply Chain Management (SCM) also
ensures that the company caries out all its function in cost effective manner which would also have a
positive impact on company’s profitability. Hence any business which tends to achieve its mission and
objectives in profitable way needs to have an effective Supply Chain Management (SCM) function.

Unilever Pakistan has a vision is: Our vision is to grow our business, while decoupling our
environmental footprint from our growth and increasing our positive social impact.

So, we can break this into parts:

1. Growing Business: Growing a business means increasing sales, margins and efficiency. Supply
Chain Management (SCM) plays an important role in achieving all 3. The better the Supply Chain
Management (SCM) the better value can be delivered to the end consumer, the more cost-
efficient Supply Chain Management (SCM) will be increase margin. And the better the Supply
Chain Management (SCM)it can forecast sales and orders more accurately leading to be more
efficient and effective.
2. Environmental Footprint: Supply Chain Management (SCM) helps make the business eco
friendly as eco friendly material sourcing, leaner and greener manufacturing processes all play
an important role in making the business environmentally friendly.

This tells us the importance of Supply Chain Management (SCM) to an organization in achieving its end
goals and objectives. So, the organizations must always keep the Supply Chain Management (SCM)
policy and vision align with the company’s vision and mission.

1.2. Explain the link between supply chain management and business functions in an
organization
Supply Chain Management (SCM) takes the process-based view of how all the business functions need
to work together and must be integrated. And, how business needs to relate its customer and suppliers.
You can call it can integrate business model. Unilever like all other business have well defined business
functions and has an effective supply chain to manage and integrate the functions.

How Supply Chain Management (SCM)plays a role in different functions of Unilever is explained in the
following points:
 1. Sales and Marketing: Sales and Marketing are considered as the backbone of an organization in
terms of revenue generation. These business functions are linked to Supply Chain Management
(SCM) in a very beautiful way as each year the sales team comes up with a sales forecast which
is approved by the management after a lot of analysis and work. After the approval it is
forwarded to the Supply Chain Management (SCM) who estimate and calculate the how will
these targets be achieved in term of ordering raw material, productions plan, inventory and
distribution. And is the companies plant equipped enough for such several orders. The
estimated capital in the business is it enough or more capital investment will be required.
2. Finance: The part where the Supply Chain Management (SCM) plans the capital budget or
approach the management for more investment. Supply Chain Management (SCM) must
coordinate with the finance department for the preparation of these proposals. Then Supply
Chain Management (SCM) needs to coordinate with the finance department to make the
payments and decide the payment plan for different suppliers and other things that are being
out sourced.
3. Operations: Supply Chain Management (SCM) must check with the Operations department to
see if there is enough labor force that would be enough in respect to the sales forecast. It needs
to ask the operation department in case of new or more hiring. Supply chain Management
(SCM) also coordinated with operation functions to estimate the requirement of machines if
any extra purchases are needed. Supply Chain Management (SCM) coordinates with the
operation department that the right order reaches the right place and the right time.
4. Human Resource: If any extra man power is required the Supply Chain Management (SCM) will
coordinate it with the Human Resource function of the group. So basically, Supply Chain
Management (SCM) will coordinate with Human Resource for new hiring or training of
employees.

Unilever has many other Functions like Legal, Research and Development and Information’s technology
all these functions are also linked with supply chain also as research development of new product and
production process keeps a link with Supply Chain Management (SCM) and supply chain not only the
product flows through it, but cash and information also flow through supply chain. The legal department
is involved in contracts with different suppliers and other companies who Unilever is working with.

1.3. Discuss the key drivers for achieving an integrated supply chain strategy in an
organization
Living in the 21st century everything where Enterprise Resource Planning (ERP) is being used in all
business for multiple purposes is also being used in supply chain. Today this software has been
developed to an extent that they have made internet-based collaboration easy and very useful for
organizations. This makes business process more easy, transparent, user friendly and accurate. However
proper planning and strategy needs to present before the integration of this in business functions.

Unilever went for e-procurement in 2000 as it started using a web-based application for its procurement
and distribution. It partnered with Ariba B2b platform which helped Unilever simplify and streamline the
worldwide purchases from larger supplier base. Some key drivers to this are:

1. Consolidate Purchase
2. Enhanced Scale for Company and Suppliers
3. Guarantee Quality Merchandise
 4. Automatically create information base to manage these material

Unilever in 2001 started using RFID based system which always enables them to track consumer
product’s position. This way they were able to track the product where it was in its manufacturing cycle
or were it is being stored so basically it was GPRS for products. Which increased transparency, reduced
the number of inventory losses, the estimates and forecasting got better.

So integrated supply has had many key drivers because it makes the customer and supplier relation
better as the process becomes easier and user friendly, transparency on both ends makes dealing more
efficient. Some other key drivers are also:

1. Cost effectiveness
2. Service quality improvement
3. Time management
4. Reducing sales returns

These all factors today have made all business go for integrated supply chain as the cost as compared to
the benefits is much greater.

2. Be able to use information technology to optimize supplier

relationships in an organization
2.1. Evaluate the effectiveness of strategies used by an organization to maintain supplier
relationships
Management of suppliers is very important for all business but specially for businesses who are into
manufacturing consumer goods. As only with good and efficient suppliers can these businesses improve
and advance their performance. Supplier management does not only mean being on good term with
your suppliers and having a smooth business transaction it also incorporates sourcing strategies and
relationship management and information management. Unilever being in manufacturing business of
consumer good also has different strategies when it comes to maintaining and building relationships
with suppliers.

Unilever has developed different platform using Information Technology and developed strategies
around them which are very effective. As they believe in sharing information with suppliers and are
open about it they have developed a web and a small portal like thing which has information that
suppliers might need it’s a platform where they can find researches, reports and other information
which would help them grow with Unilever. Basically, the strategy behind this to bring up a feeling of
ownership and family like feeling as both the company and supplier have the same motive of growing
and helping each other. This is a great strategy as it develops trust and ownership and lead to loyal
suppliers.

Another strategy that Unilever has developed is to flow the vision, mission and goal of Unilever to its
suppliers for which they use Unilever Supplier Qualification System by which they make sure their
suppliers are align with the RSP standards and which indirectly aligns them with Unilever mission and
vision. This strategy is very effective as keeps the supplier on the same page as Unilever and it always
easy for the organizations with same mind set to work and move ahead easily as they get along each
other better.

Platform like these bring the suppliers closer to Unilever and make them align with their mission and
vision hence better relations are maintained. They also promote the feeling of being a part of family and
same race in which both the suppliers and Unilever have to move forward together and reach new limits
together.

2.2. Use information technology to create strategies to develop an organization’s

relationship with its suppliers
Information technology (IT) is being used many places by Unilever for the development of better
relationships ties with its suppliers. Unilever has used IT in the following strategies:

1. Information Sharing strategy is being adopted by Unilever as it shares new researches and
reports with its suppliers for their betterment.
2. Easy and efficient invoicing methods have been developed using IT which helps in maintain
better relations with suppliers because a timely paid supplier is a happy supplier.
3. Unilever wanted that suppliers find it easy to do business with them for which they developed
Unilever Supplier Qualification System.
4. Unilever uses their website and IT platform to convey the legal terms condition of doing
business with Unilever which is very easy to access for all existing and new suppliers
5. Many different strategies are being used by Unilever just to give out of feeling and vibe of
working together
6. Unilever also uses different platform for feedback from its suppliers to develop new strategies,
approaches and different game plans which would be beneficial for both parties.

These are a few of many strategies used by Unilever to develop and maintain good long-lasting
relationships with its suppliers.

2.3. Develop systems to maintain an organization’s relationship with its suppliers

Unilever has developed many systems with of Information Technology that are helping it improve and
maintain good relationships with its suppliers.

1. Supplier Net: SupplierNet which is basically a one stop shop for supplier information. It basically
is global platform that bring Unilever and its supplier partners on one page. At SupplierNet
suppliers can get news and information along with reports, researches and other information
which enables them to improve their operational and commercial performance across the
market. This develops a feeling of owner from Unilever side as they give a feeling that they want
to grow together and achieve mutual growth and benefits.
2. Unilever Supplier Qualification System: System which by this system they will be able to assure
that the suppliers are in align with values of RSP. It helps both Unilever and suppliers as Unilever
gets aware of approved suppliers and products they offer, better understanding of geographic
buying and encourages improvement at suppliers end while the suppliers get a better
understanding how Unilever operates, and they get a clear-cut guidance of what practices to
follow and what not to.
 3. Invoicing: Unilever values all it’s suppliers with they carry out business transactions and to
make the invoicing easy they have come up with an automated and streamline procure to pay
process that is improved and has better operational efficiency and which is faster and helps
Unilever with on time invoice payments.

These systems develop a feeling of ownership towards the suppliers from Unilever which helps maintain
good relations with suppliers. Unilever is always working on different new systems that can help them
with maintain a good connection. Systems like ERP and RFID are also being used to keep the suppliers
and Unilever at a same page and connected through internet.

3. Understand the role of information technology in supply chain

management
3.1 Assess how information technology could assist integration of different parts of the
supply chain of an organization
So basically, information technology or IT is very help full when it comes to facilitating business in any
way possible. At Unilever they use a concept of digital supply chain in which they have leveraged
information technology to ensure that all the different parts of the supply chain are digitally to stay
connected with the world and other departments. This also helps them speed up the process.

At Unilever they installed two electronic communication systems one of which was internet-centric.
These systems helped in collecting data at all levels of supply chain in an organization and share the
collected information about the Supply Chain Management (SCM)in different departments of the
company. So basically, the ready access to information in all parts of the supply chain is possible through
information technology hence this can used to integrate the parts of supply chain.

Information technology has also helped them manage the complex portfolio that Unilever offers. And
then all the departments starting from procurement, sales, finance, marketing and human resource.
These all departments where are integrated on basis on information sharing which has been so easy and
fast using Information technology (IT).

IT has also helped how in controlling productions levels, Inventory management, effective order tracking
and delivery methods. These all help up in integrating and increased collaboration among different parts
of supply chain and the reason being one and only which is that the Information system speeds up and
eases the flow of real time information. Information technology is the reason where can come up with
solutions like Just in time (JIT) and reducing lead time and what not for Information Technology (IT) was
not present this would have never been possible.

Information Technology is used to integrate different distribution network so that goods were supplied
to the right place at the right time in the cheapest possible order.

Unilever until 2000 was using decentralized Information technology infrastructure with multiple
information technology environment but then it replaced all the ERP systems like SAP, BPCS, MFG Pro
and Fourth Shift. But then they were replaced by UIP program which harnessed data from seven reginal
business groups and 300 operating unit all on one page.
3.2 Evaluate how information technology has contributed to the management of the
supply chain of an organization
Information Technology had had a great contribution in managing the supply chain as it had helped
Unilever to understand the needs of consumer in a better way which because of the data being
collected, sorted and arranged by information technology made it easier for official to interpret and
share with other people in the organization. This led to better planning of resources along with
suppliers.

Unilever with help of information technology can identify means to achieve world class supply
management which is due to the information sharing with suppliers and this has helped keep both
suppliers and them on the same page. It has also enhanced the financial reporting at Unilever making
thing more transparent and efficient.

The RFID based systems has allowed them to track the position of each product at all time which makes
it easy for management to manage and know the inventory of complete goods, good in Work in process
which helps them plan things more accurately. This has been more effective in collaborative planning,
forecasting and replenishment (CPRF). This whole process was tested in 3 phases of Pallets. Goods and
individual items.

The Information Technology System powered systems has been implemented to supply stocks to
redistribute stockiest. Which related to help of internet-based network called RS Net which is like online
transaction.

The real time data movement for analytics and data intensive integration projects related to Supply
Chain Management (SCM) and CRM has helped Unilever take better decision in both areas.

3.3 Assess the effectiveness of information technology in managing the supply chain of
an organization
So far information technology is been very effective in managing the supply at Unilever.

Starting of with the RFID system before information technology was not present of integrated in the
system it was close to impossible to keep a track of product where they were exactly in the supply chain
process. And even if this was possible with a lot of hard work and extensive book keeping and inventory
management at all level of supply chain it would never be easy or even possible for Unilever to make the
information available or accessible for all the people in the organization. So, Information technology not
has only made it possible to keep a track but also made it easy to share and access information. So,
information technology has made it effective and efficient and fast for Unilever.

Information technology has made Unilever collect data worldwide and convert it into usable business
information and load it into a master storage place from were all the people in the organization can
access it. So once again it been effective as availability of useful data has been possible because of
information technology. Which at the end helps Unilever in forecasting, ordering and in other business
functions?

Information Technology used in Stockiest redistribution has made Unilever to provide or make the
product available at the right place at the right time in a most cost-effective manner. So, reducing cost in
distribution system has been possible because of information technology. This cost cutting in this throw
IT has been every effective which would have not been possible without them.

Unilever has been able to develop systems through information technology which has helped them
make good relations with suppliers. Without Information Technology these relations would have not
been built. So, it has been very effective.

And Information technology is the new future and if organization font adapts to these or they will be
outdated so to stay in business all organization needs to start incorporating information technology (IT)
in their systems.

4. Understand the role of logistics and procurement in supply chain

management
4.1 Explain the role of logistics in supply chain management in an organization
In a supply chain at any organization, factory or business there is basically a flow of information,
product, money and all other things. So, basically what happens is that the raw material from the
natural resources, raw material and other components enter the supply chain at one end and then
supply chain activities transform it into a finished product which is then delivered to the end customer
like us.

Logistics basically is the essential component of supply chain management it aligns the complex patterns
of traffics and transportation, export and import, shipping and receiving, information, stock
management, warehousing, material handling, work in progress, packaging and security. It is very
important to develop and maintain a link between all these modules of supply chain. This can be only
achieved is if a company has an effective and efficient logistics. So as a result, it would help and playa
vital role in developing a successful Supply Chain Management.

Just like all other business Unilever also relies on very strong logistics so that its supply chain runs
smoothly and effectively. If anyone looks inside their house hold cabinet everyone will find at least one
product or brand of Unilever. So now how the logistics operate in Unilever Pakistan are that first the
products are made they are shifted to the distribution warehouses. After the distribution warehouses
have received the products they get further orders from the consumer service head office and then the
logistics team forward the merchandises according to the dispatch strategy.

4.2 Evaluate procurement practices in an organization

The simple steps to Unilever procurement are • Purchase Requisitions • Request for PFIs or Quotations
• Purchase Order • LC or Bank Contract • Follow-up for Shipment details and Docs • Status of Arrival
and Clearance • GR/IR is prepared • Payments.

The procurement function is divided into two parts direct procurement and indirect procurement. The
direct procurement is involved in the purchasing od raw material and packing material while the indirect
procurement is involved in purchase and making available the nonproductive items.

The procurement practices at Unilever are that the first step is the quality of the raw material is
examined by the receiving department according to the pre-defined standards of the organization. For
example, at Unilever if the lot size is 500, 13 testers will be chosen from the whole lot. And even the
selection method that they have adapted is that they selected samples from upper and lower and right
and left side of the whole package. And on basis of these sample if two out of the 13 get rejected the
whole lot is rejected and in case of rejection suppliers are called back and they check the lot again. This
practice in procurement helps Unilever maintain the quality they have maintained for so long and
deliver the best products to the final customer because using good raw material is very important for
good final product. And if the lot is accepted they observe it as good received lot and directed to store
along these 4 copies are made of GRL and sent to purchase department, quality control department,
store and computer entry. This practice increases the transparence and chances of fraud decrease.

While this is not were it end there are in-line quality examiners who check quality at every phase of
procedure. Only after the quality managers have approved the and signed it then it will go on the next
step. These both practices in the procurement of Unilever makes them maintain the quality of their own
product and deliver good quality to their final consumers.

Another procurement practice was the e-procurement that Unilever has started back in 2000. They
developed web-based applications for procurement. So basically, they gave access to Ariba to those
employees who were involved in purchasing. So that they were able to order online. Going online on a
web-based application like Ariba B2B platform. The were able to consolidate their purchases. Unilever
can enhance the scale for company and suppliers. The web-application also helped them develop an
information base to manage materials. And this happened automatically without any much-added cost.
Ariba has more benefits as it is simple and intuitive screens allow the end users to raise requisition with
minimal training. The preloaded catalogues allow the users to browser and select item of their need at
negotiated prices. The system being online leads to automated audit control as everything is transparent
and recorded all the time. Audit controls lead to low fraud possibilities.

Another thing in 2003 they started using reverse auction for procurement and web based for cheaper
purchases this helped them reduce cost and maintain quality.

Unilever uses software like USQS and ARAVO which makes it easy to identify suppliers for any product
or service they want to buy. It makes them understand the potential risk of buying products or services
in all geographies. Knowing all this they can choose the best possible partner as a supplier for a certain
product. While this system also benefits the supplier as they are being on this enable them to qualify as
Unilever supplier and give them a visibility of Unilever global business.

These all procurement practices at Unilever enable their supply chain management to function
smoothly, efficiently and effectively.

4.3 Discuss the factors that must be considered when improving logistics and
procurement practices in an organization
Any method or practice is not the best for all times or all situations. One always needs to adapt to new
methods and practices as the variables, priorities, and needs change. We can say this is true for sure
that one practice that might work during one period may not work in another period. Logistics and
procurement of any organization are those function which change with time, need and responsibilities.
Changing and evolving nature of the corporate world bound’s firms to adapt new methods in both
functions. Example can be the use of technology just because of the technological advancements we
have witnessed the change in practices in both departments. But there are always some factors that the
decision maker considers while introducing new ways and methods.
Firstly, the decision makers in the organization must always try to keep the cost low. This is true for both
procurement and logistics. All strategies or practices that one plans on implementing must be reducing
cost in one way or another. Example transportation if an organization plans to go for new transportation
methods they must always see is it viable, can there be a cheaper alternate because if a method is not
cost effective you will never be able to make profits and at the end of the day if organization cannot
make profits they will never be able sustain in the market. As the competition in today’s market is so
high and specially for companies like Unilever they have a very price sensitive customer base if the cost
increase in result they would have to increase the price and there are many cheap alternates which the
customer will start to prefer over Unilever’s products. Strategies must be put in place that cut down the
cost over the entire supply chain.

Good organizations like Unilever know the importance of having good relations with its suppliers and
they know how important it is maintaining them. Hence one always need to consider what sort of effect
would your strategy have on your supplier. Big organizations like Unilever and Nestle always go for
strategies that develop a two-way benefit. Hence Suppliers become another factor which the company
must consider while improving its procurement practices specially.

Warehouse management is very important when it comes to logistics specially. Such as Unilever has 400
product portfolio and all products are of different nature require different sort of warehouse
operations. Such as perishable goods like dairy items may require refrigeration facilities, some products
may require moisture free environment. Hence the logistics department should always come up with
practices that would decrease the warehouse wastages. Logistics must also plan on strategies that
maximize the storage space like how to products will be stored, way of storing different SKU’s.
Effectiveness and efficiency of the staff and software being used at the warehouse must speed up and
make the process smooth, simple and efficient.

Another important factor in today’s time is that all the practices must be lean, eco-friendly and socially
responsible. The logistics department needs to try to implement strategies that make the supply chain
lean and all the process that are being done example transportation it must be ecofriendly just as
Unilever has been focusing on reducing transport emissions by using better routes, efficient vehicles and
alternate fuels. And then the procurement Unilever asses its supplier with Unilever supplier code which
takes under consideration labor standards, health and safety, environmental practices and business
integrity.

An organization must have a governing body or group of people that decide which practices a firm needs
to continue, discontinue or introduce to their logistics and procurement functions as with time the
factors may change, and the priorities of the time may change. So, there must a body that evaluates
what is good for the organization in the longer run.

5 Be able to plan a strategy to improve an organization’s supply chain

5.1 Plan a strategy to improve an organization’s supply chain
Unilever has one of the best Supply Chain as compared to other organizations. But having discussed
supply chain in details regarding the factors, information technology, drivers and integration of other
departments.
According to my understanding and research on Unilever’s supply chain a lot of inventory in the form of
raw-material, semi-finished goods and finished goods or merchandises mean high carrying cost or
holding cost or possession cost incurred on it. These costs limit the capital available for other projects or
tasks or activities. As massive amount of money is held up in inventory in different types of goods like
raw material, semi-finished goods and finished goods. So, this brings up to the conclusion that the
organization should apply a Just in time (JIT) approach to its procurement and inventory. This approach
or strategy means that they will only order raw material when its needed in the production process, so
no inventory storage cost or handling cost will be paid for raw material as it enters the workplace when
only its needed. So, applying a just in time approach to the strategy would be very beneficial for the
company.

5.2 Assess how a supply chain improvement strategy will benefit overall business
performance in an organization
Supply chain is a key function of Unilever just like it is to many other organizations. Applying Just in Time
(JIT) technique to it inventory will be very beneficial for the business. One of the main advantages of
introducing this is that in Just in Time (JIT) raw material would only come to work place when needed.
This would reduce the carrying cost or holding cost or possession cost incurred on the raw material
which is kept in the showroom or warehouses in form of inventory. This would free up capital or cash
which can be invested in other projects or tasks or activities. And, another thing is that the organization
after reducing the cost can reduce the price of the final product and achieve a competitive advantage
over other competitors in the market. And the products being offered were price elastic hence could
increase a greater number of sales which would result in more revenue leading to more profits. And
Unilever will be able to get more amount of market share in terms of sales, revenue or customer base.

And another factor is that as we see the customer also want to buy things from organizations that are
leaner and greener this will also make then achieve these CSR goals too.

5.3 Explain how barriers will be overcome in an organization when implementing a supply
chain improvement strategy
Just in Time inventory sounds good and it is but when the time comes to implement it in real in the
organizations many barriers come up. After observing Unilever, I have realized that there will be some
barriers and there are ways to overcome them too.

The first barrier would be the lack of training and education of the people involved in the process and
this will be great barrier in implementing a new lean supply chain strategy. As just in time (JIT) training is
critical factor in successful implementation of Just in time (JIT) program. This training issue can be easily
solved as Organization can invest in people who can go and take training and to even reduce cost they
can send a few employees who take training from professionals and come back and train their fellow
mates.

Poor facility planning, and layout is another barrier that needs to be considered. Just in time (JIT)
emphasis on frequent production of smaller lots as compared to normal routine. So, for this the firm
must have a reliable machines and equipment and some flexible plans that can meet he demand
variations if any. In the same way the poor layout of the factory can also reduce the effectiveness of Just
in Time (JIT) as poor layout means that the raw material handling cost will increase and the work in
progress inventory will increase which basically lead to increase in cost rather than reduce cost. But
these barriers can be overcome as the company can hire some plant designer who can come and make a
lay out for the company which will be one-time cost.

Absence of planning as the main reason or objective of introducing this strategy to supply chain is to
reduce total cost. Just in Time (JIT) system requires accurate planning and execution in all the aspects
like or quantity required, quality of raw material required, time when it is required and where is the raw
material required. And the margin of error is so low that the people who are planning need to familiar to
the process of ordering and familiar with patterns of fluctuation in demand for consumer ends and some
sort of issue from supplier’s end. So basically, the lead time calculation is very important in this process.
But this can be overcome in two ways the first being that Unilever slowly adapts these strategies to
products one by one and hence the expertise will develop with time they can do this product by product
of start from gradually reducing the raw material inventory and finally coming to zero as the employees
in procurement get used to it. Or they can simply hire people who have experience and expertise in this
system.

Another barrier which an external barrier is the suppliers as if the suppliers are not aligned with the
production of the organization and delays occur from suppliers ends which would be an issue for
production. So incompetent suppliers can be a barrier or if the supplier are not aligned throw a Just in
time (JIT) supply logic. This can be overcome by giving some time and space to the supplier and sharing
information with them hence they will be more aware of the situations. Or live Toyota you can give
supplier come space in your factory or near your factory were the suppliers can maintain inventory of
their own and supply you with raw material when needed.

Another major barrier is the lack of top management commitment and support as many managers don’t
want to come out of their comfort zone due to the fear of failure. Hence the top management
commitment and support in term of they are resistance to change. As many manger and employees give
up in the middle or the start if the process of change and come up things like that things should be done
like old times as they were easy and smooth but the top level management needs to show there
commitment and make the employees participate by hook or crook when it comes to implementing Just
in Time (JIT) inventory or any other new process because it is for the betterment for the company.

Another barrier can be the finances of the company or the willingness of how much to spend in this
process as initially this process may be a bit more expensive as compared to the traditional production
methods. But Unilever being a large firm just needs to allocate the right amount of finances and
resources they will be able to incorporate JIT to their supply chain as they can easily get the knowledge,
technical support and human resource for this. But still finances may be a barrier for the organization as
no one would want to spend a lot of money on process that are already working smoothly. But the team
that plans and leads the implementation of Just in Time (JIT) must be aware of the facts and figure and
convince the management on basis on numbers. And prove it to them that there might be an initial
financial burden on the company but in the long run this would be of great financial benefit.

There are other small or minimal barrier also like employee resistance and many other but you always
need to think for the betterment of the society and the firm which and for that reason we needs to
come over these barriers and we can easily there is no barrier that does not have solution or way of over
coming it all these barriers can be over come if the people have will there will be million ways to
overcome these barriers and make the organization’s supply chain cost effective and leaner.
 References
1. https://www.unilever.pk/about/

2. https://www.unilever.pk/about/innovation/

3. https://www.unilever.pk/about/who-we-are/purpose-and-principles/

4. https://www.slideshare.net/RahulAuddya/unilever-supply-chain-management

5. https://www.unilever.com/Images/unilever-supply-chain-overview---may-2018_tcm244-

523172_1_en.pdf

6. https://channels.theinnovationenterprise.com/articles/unilever-s-supply-chain-shows-the-

importance-of-sustainability

7. https://www.unilever.com/news/press-releases/2012/12-05-04-Long-term-supplier-

partnerships-key-to-Unilever-Sustainable-growth-strategy.html

8. https://www.unilever.com/about/suppliers-centre/

9. https://www.unilever.com/about/suppliers-centre/sustainable-sourcing-suppliers/

10. https://www.unilever.com/about/suppliers-centre/suppliernet/

11. https://www.unilever.com/about/suppliers-centre/unilever-supplier-qualification-system/

12. https://www.cips.org/en-SG/supply-management/news/2014/september/unilevers-innovative-

supplier-collaboration-programme-looks-to-the-future/

13. https://consumergoods.com/unilever-moves-logistics-fast-lane

14. https://www.unilever.com/news/press-releases/2013/13-04-15-Unilever-factories-and-logistics-

reduce-CO2-by-1-million-tonnes.html

15. https://www.logisticsit.com/articles/2009/05/05/4342-unilever-supply-chain

16. https://www.directivegroup.com/ideas/tools/blog/role-of-technology-in-supply-chain-

management/

17. https://www.purchasecontrol.com/blog/improve-supplier-relationship-management/