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Welcome to The

Presentation
Program of Supply
Chain Management

Presented by
Vanguards
Name of The Group
Members
Serial Member’s Name ID No.
No.
Mohammad Azam 114867
1
 
Saba Zarifa Nowshin 114877
2
 
Somiron Haldar 114909
3
 
Tanzila Tahrin 114911
4
 
Nurry Jannat 114917
5
Halima Kader Sonia 114941
6
 
Misbah Uddin Sadi 114943
7
 
Rinku Biswas 114945
8
 
Sazzad Hossain
Saba Zarifa
Nowshin
ID No: 114877
What is Supply Chain
Management?
 The concept of a supply chain
referred to the flow of materials
from their sources (suppliers) to
the company, and then inside the
company for processing. Then
finished products were moved to
customers.

 A supply chain refers to the flow


of materials, information,
payments, and services, from
raw material suppliers, through
factories and warehouses, to end
customers.
 It also includes the organizations
and processes that create and
deliver products, information,
and services to the end
Component of Supply
Chain Management
 The term supply chain comes from a picture of
how partnering organizations in a specific
supply chain are linked together.
 Figure -1 shows a relatively simple supply
chain, which links a company with its suppliers
(on the left) and its distributors and customers
(on the right).
 The upper part of the figure shows a generic
supply chain; the lower part shows the chain of
a toy manufacturer
The supply chain is
linear and it involves
three basic parts-
 Downstream
supply chain
 Internal supply
chain
 Upstream supply
chain
Tanzila Tahrin
ID No: 114911
Types of Supply Chain
Integrated make-to-stock
The integrated make-to-stock supply chain model
focuses on tracking customer demand in real time, so
that the production process can restock the finished
goods inventory efficiently.
• Build-to-order

In this model a
company begins
assembly of the
customer’s
order.
• Continuous replenishment
The idea of the continuous replenishment
supply chain model is to constantly replenish the
inventory by working closely with suppliers and/or
intermediaries. the cost may be too high, causing
the supply chain to collapse.
Channel Assembly Model
In this model, the parts of the product are
gathered and assembled as the product moves
through the distribution channel. . A channel
assembly may have low or zero inventories, and it
is popular in the computer technology industry
Supply chain Management process
Mohammad Azam
ID No: 114867
Drivers of Supply Chain
Management
Logistical Drivers
Facilities:
 The major types of facilities are
production sites and the storage sites.
 Economies of scales are used in
centralization of facilities to increase
supply chain efficiency.

Facilities Related
Decisions:
 Location
 Capacity
 Manufacturing Methodology or
Technology
 Warehousing methodology
Inventory:
Inventory consists of the
raw materials, work in
progress and the finished
goods.
responsiveness of the
supply chain. 3 basic
decisions to be taken by
the business. Those are-
 Cycle inventory
 Safety Inventory
 Seasonal Inventory
Transportation:
 Refers to the modes and routes
for moving inventory throughout
the supply chain.
 Faster transportation ensures
more responsiveness but less
efficiency of supply chain.
 Transportation supports a firm's
competitive strategy.
Six basic modes exist
• Air
• Truck (Road)
• Rail
• Ship
• Pipeline
Cross functional
Drivers
Information:
 Connects various supply
chain partners and allows
them to coordinate activities
 Information is crucial to the
daily operations at each
stage of the supply chain
 An information system can
enable a firm to get a high
variety of customized
products to customers rapidly
and to understand the
changing customer’s tastes
and preferences.
Sourcing:
 Process of purchasing the
materials required for the
production of the final
products
 Components of the sourcing
decisions are the evaluation
and the selection of the
suppliers, in house or
outsourcing.
Pricing:
 involves determining the
charges for the goods or
services offered by the
manufacturers.
 The price of the product
Trends of Supply Chain
Management
 Demand planning
 Globalization
 Increased competition and price
pressure
 Outsourcing
 Shortened and more complex
PLM
 Collaboration between
stakeholders in the extended
supply chain
Nurry Jannat
ID No: 114917
Computer Based Supply
Chain Management
 Electronic data interchange
 Gathering information directly from
the source
 Suppliers determining order quantities
 Elimination of invoices saving
administrative work,
 Using barcode labels
 Automation
Supply Chain Management
in Cloud Computing
Overview of
Proctor & Gamble

•Procter & Gamble Co., also


known as P&G, is an
American multinational
consumer goods company
•headquartered in downtown
Cincinnati, Ohio, United
States,
•founded by William Procter
and James Gamble, both from
the United Kingdom.
•Its products include pet
foods, cleaning agents, and
Mission Statement:
"We will provide branded
products and services of
superior quality and value that
improve the lives of the world's
consumers. As a result,
consumers will reward us with
leadership sales, profit, and
value creation, allowing our
people, our shareholders, and
the communities in which we
live and work to prosper."
Vision statement
Vision statement centers
around being a luxury brand
while still remaining
Main competitors of
Proctor and Gamble
Johnson and Johnson
co.
kimberly-clark co.
Uniliver.co
Halima Kader
Sonia
ID No: 114941
Products of P&G
 Beauty Products:
Hugo Boss ,Dolce & Gabbana, Gucci
,Olay
 Grooming Products:
Fusion, Gillette, Prestobarba and
marc3
 Health Care Products:
Vicks, Oral-B, Head & Shoulders,
Pantene,
Pampers
 Fabric Care and Home Care:
Tide, Ariel, Ambi pur
Supply Chain Initiatives of
Proctor and Gamble
A. Major initiatives are
1. Collaborative Planning Forecasting
and Replenishment (CPFR)
2. Consumer Driven Supply Chain
Network (CDSN)
B. Other initiative: Control tower
program.
CPFR Initiative:
It recognizes the main cause of three
issues they are:
1. Ineffective trust- based collaboration.
2. Ineffective planning using visibility
POS consumer demand.
3. Ineffective forecasting.
Five factors motivating supply chain
redesign in Proctor and Gamble

1. Deregulation of the
transport norms: lower
transportation cost.
2. Product compaction; more
products per truckload.
3. Focus on Total Quality
management.
4. Decrease in product life
cycles from 3-5 years to 18-
24 months.
Why Proctor and Gamble is
better than others?
1. It has high brand loyalty.
2. It has a vast distribution
channel.
3. It has high innovative
products.
4. Its pricing strategy.
5. High quality of the
products.
Rinku Biswas
ID No: 114945
Inventory Driver
Maintained by P&G
• While it's very much on top of its
supply chain game, Procter & Gamble
still sees opportunity in reducing its
worldwide inventory levels.
•That explains why the company is
putting so much emphasis on
emerging “multi-echelon” inventory
management technology to keep
inventory levels down and customer
service high.
A fresh look at
Inventory Optimization
• Many companies are now actively
reevaluating their inventory
management processes and
technologies, says research firm
Aberdeen Group.
• Nearly two-thirds of the
respondents to an Aberdeen study
say they have recently made or
been asked to provide
recommendations to management
on how to improve their inventory
management technology.

• The new focal point is inventory


optimization, based on new
insights from mathematical
models that allow managers to
Manufacturing and
Outsourcing
P&G has over 130 manufacturing
facilities in over 40 countries. These
facilities handle the majority of
P&G’s production.
• Sometimes they use contract
manufacturers on a longer-term
basis for reasons of cost
effectiveness
• In addition, many of their
products simply do not lend
themselves to shipping long
distances.
• The exception to this would be
where unique manufacturing
capability exists in one region and
they are able to economically ship
Category
Management

Customer Consumer Market


Data Data Data
Retailer Manufacturer Third Party

Data Integration

Decisions
Sandip Sarker
ID No:114951
ABC Analysis
• define
an inventory categorization
technique often used in materials
management
• A ITEMS: very tight control and
accurate records.
• B ITEMS: less tightly controlled
and good records.
• C ITEMS: simplest controls
possible and minimal records.
Pareto Analysis
• Pareto analysis (sometimes
referred to as the 80/20 rule and
as ABC analysis) is a method of
classifying items, events, or
activities according to their
relative importance.
• Close control is more important
for fast moving items with a high
unit value. Conversely, for slow
moving, low unit value items the
cost of the stock control system
may exceed the benefits to be
gained and simple methods of
control should be substituted.
The Inventory Curve
Analysis
Misbah Uddin
Sadi
ID No: 114943
Information Drivers of
Procter & Gamble
 Information is
P&G’s unique
asset. Using
information, they
make decisions
what they enable
and make solutions
what they deliver
for P&G’s global
businesses.

 Information &
We think, better data analysis is the heart how P&G
will improve productivity

1. Getting the Right Tools and Technology


To be a competitive organization, they must have the
capability of getting the right tools as well as enough
technological support.

2. Putting the Right People in the right places


P&G is pretty well known for grooming managers and
training people for its future needs. Analytics is now a
skills area of particular focus.

3. Building the right culture.


It may be called as "cultural revolution." which is
more appropriate. Tools like Business Sphere can
P&G Database and
Information Systems
 Recently, P&G realized
a need to audit a
database. Information
in the MEGA
repository helped GBS
quickly identify the
database owners so
they could be linked
immediately with the
auditors.

 Protecting confidential
information and
Sazzad Hossain
ID No: 114947
Some Problems arose in
P&G’s Supply Chain

• During 1990s the organization


sales and shares went down.
• Invest in too many things.
• Poor service level with customer.
• Don’t concern about customer
satisfaction.
• Hired too many people.
• Lack of communication between
employees and customers.
Solution

• In June 2000 Alan G Lafley


becomes new P&G CEO.
• Focused in customer value,
need and work more closely
with the retailers.
• Build a strong relationship
with customers.
• Creates a leadership
training centre.
• Creates Global Leadership
Team.
• Outsource some activities.
Somiron Halder
ID No: 114909
Challenges for Proctor and
Gamble
 Distribution location.
 Transportation cost.
 Uncertainty in demand and
supply.
 Changing customer
requirements.
 Reduction in product life
cycles.
 Cut throat competition: price
wars, media buying retail
space recession.
 Dominating distribution costs.
Conclusion

The success of a business always


depends on the way their product or
service is marketed and produced as
it is the most crucial stage of a
business. With proper supply chain
Management programs a business
will flourish. With effective
implementation of supply chain can
make a company more establish
than other company.
Thank You
All

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