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