Malik Animal Wanda (PVT.) LTD: Project Supply Chain Management

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Malik Animal Wanda (PVT.

)
LTD
PROJECT SUPPLY CHAIN MANAGEMENT
Introduction
 Animal Feed Manufacturing Company
 Started Production in 1993 with one Manual Feed Manufacturing Plant
 Upgraded in 1998 to most Advanced Production Unit in 1998
 Expanded to 3 Feed Manufacturing Units in:
 Dubai
 Dubai
 Dubai
 Established 4 Broiler Breeder Farms
 Established Afghanistan’s First Single Stage Hatchery in Afghanistan.
 Built Bulk Storage Silos in Afghanistan
Organogram

CEO

Director

Manager G.M GM
G.M Admin G.M Finance G.M Audit Manager HR Manager I.T
Marketing Procurement Production

Zonal Manager Admin Production Quality Manager Internal Deputy Assistant System
Managers Procurement Officers Manager Assurance Finance Auditors Manager H.R Manager I.T Analyst

Area sales Purchase Project Account Network Software


Assistants Supervisors Audit Officers H.R Officers
Managers Officers Coordinator Officers Administrator Engineer

Sales
Techical Assistant
Officers
Feed Production
 Producing 700,000 Tons of Animal Feed Annually
Chick Production
 Producing 27 Million Day Old Chicks Annually
Supply Chain Overview
Supplier:
 Major ingredients of Animal feed are Grains, Supplements and Minerals
 Procured From National And International Market In Bulk And Stored
 Malik Animal Wanda has Bulk Silo storage of 80,000 Tons of Grains
 Advantages of Bulk Storage:
 Manufacturing Cost is lowest
 Maintaining Best Quality when Grain Prices increase
 Business Model is Pivoted on Quality not Price
Business Success Cycle

Cost Efficient
Bulk
Procurement

Cash
Higher Supply
Payments to
Chain Surplus
Supplier

Better Quality
Cash Sales
Lesser Price
Supply Chain Overview
Manufacturing:
 Introduced Modern Manufacturing Techniques in Market
 Adopting Lean Manufacturing Practices
 Similar Machinery in All Units:
 Less Machinery and Parts Suppliers
 Rotation of Production Staff and Key Resources
 Similar Processes and Procedures
 Geographical Locations of Production Units give Tactical Advantage
 Backup in case one Unit goes down
 Reduced Transportation Costs
 Efficient Utilization of Raw Material
Supply Chain Overview
Distributors:
 Different Brands to capture more market through Multiple Distributors in one Area
 Distributors have loyal customer base due to strong Backup Services
 Transfer of Risk:
 Debt Collection
 Buffer Storage
 Marketing
 Brand (Delta Wanda) Exclusively for Distributors
 Better Discounts to Distributors
 Lesser Technical Assistance Cost
Supply Chain Overview
End Consumers (Farmer):
 Very Selective Farmers with Good Reputation in Market
 In terms of Payments
 In terms of Performance
 Volume
 Active Feedback Loop
 Ability to gauge market trends
 Adjustment of Feed Formulation
 Knowledge of Market Good Practices
Supply Chain Obstacles:
Raw Material
 Grains
 Manipulation of Brokers
 Indirect Selling
 Blind Auctions

 Import of Grains
 Diplomatic Relations
 Foreign Exchange Rate Variation
 Transportation

 Supplements
 Manipulation of European Suppliers (Good Research)
 Cheaper Products call for Sensitive Production Techniques
 Availability
Supply Chain Obstacles:
Transport
 High Cost of Transportation at time of Harvest
 Geographical Locations of Farms
 Sensitive Nature of Goods Handling
 Moisture
 Temperature
 Bio-Security
Supply Chain Obstacles:
Logistic Centers:
 Block Storage in Grains Producing Area
 Control of Moisture
 Control of Grains Quality
 Timely Consumption
 Third Party Warehouses
 Finished Goods Storage
 Small Life Cycle
 Theft
 Wrong Deliveries
Supply Chain Risk
Risk Information Impact Risk Likelihoo
S.N Risk Description Risk Type Variables Category d Existing Control Description
Appropriate Planning and
1 Exchange Rate Fluctuations Procurement Financial Analysis Medium Low Forecast
Demand and Supply Appropriate Planning and
2 Raw material Price Fluctuation Procurement Gap High High Forecast
Deterioration of grains in Reported Quality Lab Frequent Sampling and
3 warehouse Inventory Test Critical Low Testing
Shortage of grains due to bad Appropriate Planning and
4 crop Procurement Agricultural Analysis Critical Medium Forecast
Demand and Supply
5 Excess Grains Forecast Gap Small Low Demand and Supply Analysis
Reported
6 Availability of Raw Material Inventory Unavailability High Medium Forecasting
7 Production Unit Breakdown Systems Quality Audit Critical Low Preventive Mantainance
Intellectual
8 Stolen Formula Property Audits High Low Encryption
Intellectual Frequent Sampling and
9 Product Failure Property Reported Feedback Critical Low Testing
10 Worker's Strike Disruption Labor Disputes Medium Low HR Management
11 Raw Material Theft Inventory Audits High Low Internal Audits
12 Transporters Strike Disruption Political Disputes Critical Medium Company Owned Fleet
13 Law and Order Disruption Terrorism Critical Medium Management
14 Bad Debts Recievables Background checks Critical High Customer Management
Demand and Supply Appropriate Planning and
15 Over Production Forecast Gap Medium Medium Forecast
Resilience Strategy
Backup plan for any disruptions in the supply chain,
The relicense strategy in effect at the Malik Animal Wanda is as under:
 Forecasting :
Each department has dedicated personal to closely monitor the current situation in
market.
E.g. Procurement department is always in touch with raw material suppliers, farmers and
brokers in local and international market.
Based on their broad experience in this industry and indicators such as stock markets,
procurement department can closely predict if the prices of certain crop will go up.
Resilience Strategy
 Multiple Suppliers
1. multiple sources and suppliers of each raw material used
2. multiple suppliers of Soybean in market are from Indian or American
market.
3. Due to the floods in India, Soybean prices increased and Malik Wanda sold
out corn in local market from its excess stocks at very good profit.
4. Malik Wanda relies not only on multiple suppliers but also multiple sources
 Multiple Production Units
1. 3 Production units
2. always has backups
3. Production Units never stop <1 day
Conclusion

 With its supply chain management, resilience plan and mitigation strategies
of risk, Malik Wanda is producing top performing products.
 It has been a trendsetter in the market with maximum supply chain surplus
as compared to its competitors.

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