SUPPLY CHAIN

MANAGEMENT
Supply chain management

 Supply chain management (SCM) is the

management of a network of inter-connected 
businesses involved in the ultimate provision of
product and service packages to the end
customers.
 Supply Chain Management spans all movement
and storage of raw materials, work-in-process
inventory, and finished goods from point of
origin to point of consumption (supply chain).
 SCM involves "design, planning,
execution, control, and monitoring of
supply chain activities with the objective
of creating net value, building a
competitive infrastructure, leveraging
worldwide logistics, synchronizing supply
with demand, and measuring performance
globally."
Supply Chain

It addresses the following problems:

 Distribution Network Configuration
 Distribution Strategy
 Trade-Offs in Logistical Activities
 Information
 Inventory Management
 Cash-Flow
Supply chain execution means managing and coordinating
the movement of materials, information and funds across
the supply chain. The flow is bi-directional.
SCM IN MID
DAY MEAL
Why Mid-Day Meal

 Food insecurity poses threat to the health,

education, and overall development of
children, a critical concern to governments in
developing countries.
 MDM is an attempt of the governments to
address this fundamental problem so that
children get at least one nutritionally
adequate meal every day.
Benefits of MDM

 Higher attention spans,

 Better concentration, and
 Improved class performance.
 An incentive to send children to school.
 It encourages enrollment and
 Reduces absenteeism and dropout rates.
Supply Chain in MDM

 Supply chain play an important

role in mid day meal scheme and
with the help of different supply
chain strategy this scheme is
being effectively implemented.
Responsibility Centres

 The SCM originates

from the Government of
India
 Ultimate responsibility
for implementation is of
the State Governments
and Union Territory
Admns.
Role of State Governments

 Ensure adequate
budgetary
provisions for their
share of cooking
cost
 Establish systems
for timely flow of
funds
Constituents of the Mid Day Meal

 Food Grains
(wheat/rice) (@100
grams per child per
School Day)
 Construction of
Infrastructure
 Transportation
 Cooking
 Distribution to the
Children
 Food Grain is supplied free by the Central Government from
the nearest FCI godown
 Transportation cost is borne by the Central Government subject
to a ceiling (Rs. 100 or 75/-)
 Cooking Cost = Rs. 2/- per child. Assistance @ Rs. 1.80/1.50 is
provided by Central Government.
 Remaining to be contributed by the state government.
 Construction of Kitchen-cum-store: Convergence with other
development programmes like SGRY, BSUP, SJSRY, BRGF,
SSA, ARWSP etc.
 Health Care: Convergence with NRHM of MoHFW
State Governments

 Provide their part of Budget.

 Formulate norms of expenditure under
different components of the scheme.
 Formulate safety specifications for
construction of kitchen-cum-store.
 Establish systems for continuous and
uninterrupted flow of food-grains to the
schools from FCI.
State Governments
 Ensure that all logistic and administrative arrangements are
made for regular serving of wholesome, cooked mid day meal
in every eligible school.
 Ensure logistic and administrative arrangements for timely
construction of infrastructure and procurement of kitchen
devices through funding made available under the scheme and
by convergence with other development programmes.
 Formulate guidelines that promote and facilitate peoples’
participation in the programme including criteria for identifying
and associating genuine voluntary agencies and civil society
organizations.
PROGRAMME MANAGEMENT

 The scale and magnitude of the Scheme is

huge and so is the robust and dynamic
structure to manage it.

 There are Steering cum Monitoring

Committees at the National, State, District/
Block and Local levels:
Responsibility-National Committee
 To oversee the implementation of the programme
 It guides the various implementation agencies.
 Monitors programme implementation, assesses its
impact, and takes corrective steps.
 Takes action on reports of independent monitoring/
evaluation agencies.
 Effects coordination and convergence among
concerned departments, agencies (e.g. FCI) and
schemes.
 Mobilizes community support and promotes public
private partnership for the programme.
STATE-LEVEL INSTITUTIONS

1. A Nodal Department in each state is responsible

for implementation of the programme.
2. The Implementation Cell ensures uninterrupted
supply of cooked food at the MDM centres across
the State.
3. Develop and circulate detailed guidelines to
overcome the obstacles in regular supply of
cooked mid-day meal, like
1. Delay in flow of monetary assistance
2. Make adequate budgetary provisions in anticipation of
actual flow of Central assistance.
continued

1. Delay in its actual transfer of funds from the Central government must not
interrupt actual provision of cooked mid-day meal to children.
2. The funds sanctioned by the Central Government should not be delayed by the
State Finance Department
3. Avoid delay on account of hierarchical level-wise releases from State to district
to taluk/ block to gram Panchayat to School
4. Electronic transfers through banking channels are being considered.
5. Irregular supply of food grains or interruption in timely transportation to schools
from FCI godown
6. Ensure that FCI gives priority to the mid-day meal programme.
7. Minimum one-month buffer stock of food-grains and cooking costs tio be in
each school.
8. Failure of the local implementation agency to adequately procure and stock up
cooking ingredients.
9. Absence of cook for any reason, etc.
Supply Chain of Official Sanctions etc.

 The Department of School Education and Literacy, MHRD

makes district wise budgetary allocation of food grains, cooking
costs, construction of kitchen-cum-store, cooking-cum-kitchen
devices as approved by the MDM-PAB to the State Nodal
Department and the FCI.
 MHRD conveys sanctions relating to MME allocations to the
State Nodal Department.
 The State Nodal Department conveys district-wise allocations
for the next financial year to all District Nodal Agencies or
District Panchayats.
 The State Nodal Agency will ensure that the District Nodal
Agencies have sub-allocated the monthly district allocation to
the sub-district level which in turn will further allocate to each
school.
Nodal Responsibility at the District and
Block Level

 One nodal officer or agency at the district and block

level (e.g. the District Collector, District/ Intermediate
Panchayat, etc.) are assigned overall responsibility
for effective implementation of the programme at the
district/ block level.
 In States which have devolved the function of
primary education on Panchayats, the Chief
Executive Officer of District Panchayats or the
Executive Officer of Block Panchayats is the Nodal
Officer.
Responsibility of District Nodal Agency

 Inform each school of its monthly allocation of food

grains and financial sanctions for construction of
kitchen-cum-store, cooking costs, kitchen-cum-
cooking devices, etc.
 Identify the Transportation Agency to transport food-
grains from the FCI godown to school.
 Develop indicative menus using locally available and
culturally acceptable food items.
Management at the Local Level

 Responsibility of implementation and day to day

supervision of the programme is assigned to the
Gram Panchayat/ Municipality or the Village
Education Committee/ School Management &
Development Committee or Parent-Teacher
Association as the case may be.
 The VEC/SMDC/PTA is responsible for the
programme to the Gram Panchayat/Municipality.
Responsibility for Cooking/Supply of
Cooked Mid-Day Meal

 Local women’s/mothers’ Self-Help Group,

 Local Youth Club affiliated to the Nehru Yuva Kendra,
 A voluntary organization with requisite qualification
 By personnel engaged directly by the VEC/SMDC/PTA/Gram
Panchayat/ Municipality.
 In urban areas where a centralized kitchen setup is possible for
a cluster of schools, cooking, wherever appropriate, is
undertaken in a centralized kitchen and cooked hot meal is
then transported under hygienic conditions through a reliable
transport system to various schools. There can be one or more
such nodal kitchen(s) in an urban area, depending on the
number of clusters which they serve.
Responsibility of FCI

 Ensure continuous availability of adequate food

grains in its Depots and Distribution Centres;
 Lifting of food grains for any month/ quarter upto one
month in advance
 Food-grains of best available quality [at least of Fair
Average Quality (FAQ)] to be supplied by the FCI.
 Nodal Officer for each State to take care of various
problems in supply of food grains.
 Keep samples of such food grains supplied by it for
future verification and analysis.
Nodal Agency for transportation

 For transportation of food grains from

nearest FCI depot to each Primary School
there is a nodal agency like State Civil
Supplies Corporation for lifting food grains
from FCI godowns and delivering them to
designated authority at the taluk/ block level.
Association of NGOs/VOs

 Identified by the City level SMC for Municipal

towns and District level SMC for others.
 The activities for which NGOs/VOs may be
associated are:
– Supply of cooked mid day meal
– Provision of resource support to the programme, e.g.
Training & capacity building, Monitoring & evaluation
and Research.
Community Support

 Gram Panchayats and Village Education Committee

help the school management in ensuring efficient
cooking, serving and cleaning operations.
 Teachers and community members ensure community
feeling.
 Support of community members to inculcate Hygiene in
Children
 Self-employment to poor women through SHGs.
 Scope for income generating activities such as growing
& supplying vegetables, preparing condiments, etc.,
FLOW OF CENTRAL ASSISTANCE
 For preparation of Annual Work Plan & Budget (AWP&B) by
States/UT Administrations there is a bottom-up approach,
 The annual plans contains details of Management Structure,
Implementation processes, Monitoring systems, sociological
break up of target groups infrastructure position, findings of
evaluation studies, strategies to tackle problems, community
participation, best practices and new initiatives etc.,
 All the Savings to the State Government from the MDM
Scheme shall not be diverted to any other activity but are used
for betterment of the quality of MDM and Health of the children
or infrastructure required under the scheme.
 The following link exists in the scheme for timely and
efficient release of funds:
 CentraL
 State
 Zilla Panchayath
 Taluk Panchayath
 SDMC + Head Cook
 Supply chain of food grain and cash
Flow of money Flow of food grain

GOVT. OF INDIA FCI(govt of india)

STATE GOVT. State FCI

STATE NODAL AGENCY District level

ZILA PARISHAD
Block level

PANCHAYAT SAMITI

School level
PANCHAYAT NODAL SCHOOL

PRIMARY ,UP P SCHOOL

Comparison of Mid-Day Meal Service Providers

Alternate service providers (NGOs) Regular service providers (teachers)

• Accountable only for single activity • Accountable for multiple activities

• Benefit from economies of scale in • No such benefit and no support

operations

and professional support

• Have access to timely resources • Do not have access to timely resources; have to
(government

grants or own funds) manage somehow

• Incentives from government exist • No performance incentives exist

• Currently operating in pockets • Spread across all areas of the state

usually close

to urban/industrial areas
Primary Stakeholders

CENTRAL GOVT
FCI
STATE GOVT
DIST COLLECTOR
STATE GOVT
BLOCK LEVEL ADMN
VILLAGE PANCHAYAT
CHILDREN
TEACHERS
Secondary Stakeholders


CIVIC INSTITUTIONS AND GROUPS
SPECIAL INTEREST GROUPS LIKE SHGS
PARENTS
VILLAGE
DEPRIVED GROUPS
DEPT OF HEALTH
DEPT OF EDUCATION
SOCIETY
CONCLUSION
Key findings

 The MDMS has had an impact on student enroll­ment,

retention and attendance. Most of the parents and stu­dents
interviewed approved of the taste and quality of the mid-day
meal.
 They also felt that education quality, health, and nutrition of
children had improved because of the MDMS, though it was
difficult to measure this scientifically in the cur­rent study.
 On the whole, parents and students were satisfied with
implementation of the MDMS. From the study it also appears
that the state government is interested in increasing funding
and food quality standards for the MDMS.
 Despite these positive signs, there were certain shortcomings
that need to be addressed. Some of the key concerns that
have policy implications are addressed below
 Delays in some schools in receiving budget and food grain allocations indicate that the budgeting,
accounting, and monitoring system is poor and needs to be improved. Less than a quarter of the surveyed
schools receive financial reimbursements on time. The quantity of food grain delivered to each school needs to be
weighed to ensure that there are no leakages. Huge unspent conversion cost and unutilized food grain bal­ances
are a major cause of concern. While the unspent con­version cost balances at the district level are increasing year
after year, at the block level funds have been over utilized, leading to negative balances. Steps to ensure timely
financial disbursements need to be taken.

 Schools lack basic infrastructure to implement the MDMS effectively. Almost all schools lack kitchens and
food grain storerooms. Drinking water supply facilities in schools are more the exception than the rule. Funds
need to be allo­cated to provide these facilities.
 Teachers appear to spend considerable time and energy on implementation of the MDMS. This affects the
quality of teaching. The conversion costs are inadequate. There is a need for the state government to not only
increase the cost per meal but also allocate grants for hiring local youth and self-help groups at the village level to
decrease the burden of the MDMS on teachers. This will further enhance the quality of the MDMS.
 Even though Gram Panchayats have been entrusted with the responsibility of monitoring the
implementation of the MDMS, in reality, GPs are playing a marginal role. The same is true for Parent
Teacher Associations. Performance-based incentives and award competitions need to be insti­tuted to encourage
and build capacities of these institutions so that they can play a vital role in the education and over ­all
development of their children.
 Even though many NGOs and private trusts have come forward to implement the MDMS in a few districts,
their participation is limited in terms of area and coverage.They,together cover an insignificant number of
schools. The pos­sibility of engaging more NGOs and civil society organiza­tions as alternative MDMS
providers may also be explored.
Effective use of supply chain in mid day meal

– Timely allotment of food grain to concern state so proper and full

lifting of allotted food grain can be done by state or its agency.
– Timely allotment of fund for centre to state and for other agency
for other activity so scheme should not affected on account of
fund.
– use of effective logistic in transportation of food grain
– use of computerized supply chain software in scheme
– Timely flow of information from centre to all agency and from
lower agency to highest authority
– use of NGO should encouraged in preparation and supply of mid
day meal
– fuel supply should ensure at school level, use of LPG and other
means should encouraged
– Proper monitoring of scheme so it can reduce the embezzlement
cases