- Cover
- Title Page
- Brief Contents
- Contents
- About the Author
- Dedication
- Preface
- Part-I Supply Chain Basics
- 1. Understanding Supply Chain
- In Practice - Kitchen Supply Chain
- Introduction
- Evolution of Supply Chain Concept
- Defining SCM
- Extended Supply Chain
- Box 1.1: Extended Supply Chain—A Cost Burden on Berry Interlining
- Supply Chain Integration
- Supply Chain Linkages
- Decisions in Supply Chain
- Prevailing Practices
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 2. Role of Logistics in Supply Chain
- In Practice–Logistics for ‘Works of Art
- Introduction
- Defining Logistics
- Goals of Logistics
- Functions of Logistics
- Box 2.1: Adding Value to Airport Logistics—Baggage Handling System
- Business Processes Impacted by Logistics
- Logistics Decision Hierarchy
- Logistics in the Indian Context
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 3. Supply Chain vs. Demand Chain
- 4. Value Creation Through Supply Chain
- In Practice–Lijjat Papad—Creating Value Without Technology Support
- Introduction
- Customer Value
- Box 4.1: DECATHLON: A Global Supply Chain Creating Customer Value in Sports Goods
- Box 4.2: Telematics: Adding Value by Capturing ‘Customer-Life-Cycle’ and ‘Vehicle-Life-Cycle’
- Customer Service for Competitiveness
- Service Attributes
- Customer Service Dimensions
- Supply Chain Value Delivery
- Value-added Services in Supply Chain
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 1. Understanding Supply Chain
- Part-II Supply Chain Sub-Systems
- 5. Supply Chain Planning
- In Practice–Gillette: Demand Planning to Improve SCHealth
- Introduction
- Why Supply Chain Planning?
- Supply Chain Planning Matrix
- Collaborative Planning
- Role of Technology in Planning
- Box 5.1: Dairy Farm Supply Chain—Technology Planning
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 6. Procurement Methods
- In Practice–Vendor-Managed Inventory at ZICO Ltd
- Introduction
- Procurement
- Economic Order Quantity (EOQ)
- Box 6.1: EOQ Example
- Just-in-Time Procurement (JIT)
- Vendor-Managed Inventory (VMI)
- Box 6.2: VMI’ System in Retail Industry
- Box 6.3: Marico Industries, P&G and Wal-Mart
- Online Procurement
- Purchasing Cards
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 7. E-Procurement
- In Practice–Tata Motors Benefiting Through E-Procurement
- Introduction
- E-Procurement
- Reverse Auction (RA)
- Benefits of E-Procurement
- Box 7.1: Reverse Auction at Blue Star&
- Constraints of E-Procurement
- E-Procurement Types and Models
- Open Trading Environment
- Government Initiatives
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 8. Strategic Sourcing
- In Practice–Strategic Sourcing at Speed Auto
- Introduction
- Box 8.1: Dell-Leveraging Supplier Expertise for Green Packaging Solution
- Purchasing Orientations
- Strategic Sourcing
- Key Factors Leading to Success
- Major Trends in Procurement
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 9. Lean Manufacturing
- In Practice–Lean Manufacturing at Arya Motors
- Introduction
- Manufacturing Transformation
- Principles of Lean Manufacturing
- Gaining Competitiveness
- Value Stream Analysis
- Essentials of Lean Supply Chain
- Success Factors for Leanness
- Lean—Roadmap to Success
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 10. Distribution Decisions
- In Practice–Skylak: Moulded Luggage Distribution Strategy
- Introduction
- Distribution: Channels and Logistics
- Box 10.1: HUL's Focus on Rural Distribution Network
- Flows in Distribution Channel
- Channel Strategy
- Box 10.2: Eureka Forbes Distribution Strategy
- Channel Members
- Distribution Centres
- Box 10.3: Polaroid-Shift to Centralized Distribution
- Distibution Centre Site Selection
- Logistics: The Distribution Imperative
- Box 10.4: Channel Integration to Achieve Logistics Objective at HUL
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 5. Supply Chain Planning
- Part-III Tactical and Operational Decisions
- 11. Transportation and Freight Management
- In Practice–Cargo Movement by Sea-Air Mode—A New Concept
- Introduction
- Transportation Infrastructure
- Freight Management
- Factors Influencing Freight Cost
- Transportation-Related Problems in SC
- Transportation Networks
- Milk-Run
- Route Planning
- Containerization
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 12. Inventory Management
- In Practice–Priya Cosmetics: Seeking a Solution to Reduce Inventory
- Introduction
- Inventory Functions
- Box 12.1: Supply Chain of Bhel-Puriwala
- Inventory as Buffer
- Reasons for Carrying Inventory
- Inventory-Related Costs
- Inventory and Customer Service
- Approaches to Managing Inventory
- Box 12.2: Dell's Lean Supply Chain
- Risk Pooling in Inventory Management
- Box 12.3: RPL—Tracking Hidden Cost of Inventory
- Selective Control Techniques
- Bullwhip Effect
- Modern Inventory Control Tools
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 13. Network Designing
- In Practice–Camy Petroleum Ltd: Network Design
- Introduction
- Role of Network Design
- Strategic Factors in Network Decision
- Operational and Tactical Factors
- Box 13.1: Ambuja Cements: Lowest Logistics Cost
- Steps in Network Design Process
- Facility Location and Capacity Allocation
- Network Design Decision Issues
- Distribution Network Design
- Box 13.2: Adani: Networking in End-to-End Agricultural Supply Chain
- Supply Chain Merger
- Summary
- Review Questions
- Internet Exercise
- Video Links
- Project Assignment
- 14. Information System and IT Enablement
- In Practice–Ambuja Cement—IT Initiatives
- Introduction
- Box 14.1: Developing a Bottling Hub that Increased Efficiency by 75 per cent
- Designing Information System
- Decision-Making Levels
- Decision Support System
- Role of IT in Managing Supply Chain
- Technology—Role in Information System
- Box 14.2: RFID-Enhancing Productivity in the Laundry Industry
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 11. Transportation and Freight Management
- Part-IV Strategic Approach
- 15. Alliances and Outsourcing
- In Practice–Boeing 787—Global Suppliers Alliance Issues
- Introduction
- Strategic Alliance
- Box 15.1: LEVI's: Closing Outlets and Collaborating with Wal-Mart
- Third-Party Logistics
- Fourth-Party Logistics
- Retailer-Supplier Partnership
- Distributor Integration
- Legal Contract
- Issues in Strategic Alliance
- Summary
- Review Questions
- Internet Exercises
- Project Assignment
- Video Links
- 16. Agile Supply Chain
- In Practice–Re-engineering a Responsive Supply Chain
- Introduction
- Why Agility?
- Barriers to Agility
- Creating an Agile Supply Chain
- Box 16.1: Tesco: Supply Chain Agility for Achieving Global Competiveness
- Box 16.2: Addressing the Uncertainty
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 17. Global Supply Chain
- In Practice–R-Toys: Global Supply Chain Freight Consolidation
- Introduction
- Domestic vs. Global Supply Chain
- Box 17.1: International Trade—Port Operations
- Strategic Issues
- Role of IT Supply Chain
- Cross-Border Logistics
- Risk Associated
- Operational Factors
- Box 17.2: Global Logistics Hubs
- Box 17.3: Business Process in Exports Trade
- Documentation
- Free Trade Zone
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 18. Reverse Supply Chain
- In Practice–Reverse Logistics Process Improvements
- Introduction
- Why Reverse Supply Chain?
- Reverse Supply Chain
- Scope of Reverse Supply Chain
- Box 18.1: Reverse Supply Chain in Beer Industry
- Box 18.2: ‘Green Dot’ on Wrapper for Recycling
- Reverse Supply Chain Design
- Subsystems in Reverse Supply Chain
- Reverse Supply Chain Challenges
- Trends in Managing Reverse Supply Chain
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 19. Supply Chain Optimization
- In Practice–SC Optimization at Lombard Pvt. Ltd (LPL)
- Introduction
- Optimization
- Areas of Optimization
- Optimization Methods
- Problems in Optimization
- Benefits of Optimization
- Value Enhancement
- Optimization Strategy
- Optimization and Simulation
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 20. Re-engineering SC to Differential Strategies
- In Practice–Streamline.com: Differential Supply Chain Strategy
- Introduction
- Marketing Needs
- Supply Chain Constraints
- Supply Chain Differentials
- Box 20.1: Asian Paints: Manufacturing as Differentiator
- Manufacturing Strategy
- Strategy to Market Requirements
- Materials Planning
- Supply Chain Visibility
- Differentiation Through Postponement
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignement
- 21. Supply Chain Integration Strategies
- In Practice–Nita Paints: Information Visibility to Integrate Distribution Process
- Introduction
- Role of Information in SC Integration
- Push Strategy
- Pull Strategy
- Push–Pull Strategy
- Box 21.1: Pull Strategy at Asian Paints
- Strategy Implementation
- Internet and SC Integration
- E-Business SC Integration
- Collaborative Planning, Forecasting and Replenishment
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 22. Cold Chain Networking
- 15. Alliances and Outsourcing
- Part-V Measurements and Controls
- 23. Quantitative Techniques in Supply Chain
- In Practice–Linear Programming in Octagon Petroleum
- Introduction
- Forecasting
- Qualitative Forecasting
- Quantitative Forecasting Methods
- Linear Programming
- Route Planning
- Queuing Theory
- Simulation
- Game Theory
- Modelling
- Limitations of Mathematical Models
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 24. Supply Chain Risk Management
- In Practice–Ashwini Healthcare: Reducing SC Risk Using Technology
- Introduction
- Supply Chain Vulnerability
- Meaning of Risk
- Categories of Risks
- Supply Chain Risk Management
- Models of Supply Chain Risk Management
- Role of IT in Managing Risk
- Success Factors in Risk Management Process
- Business Continuity Planning
- Approach to Mitigate Risks
- Box 24.1: Supply Chain Risk Assessment
- Box 24.2: Hewlett Packard-Approach to Supply Chain Risk
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 25. Pricing, Costing and Financial Decisions
- In Practice–ITC Managing Cash Flow with No Credits to Customers
- Introduction
- Pricing Decisions in Supply Chain
- Costing Decision in Supply Chain
- Types of Supply Chain Costs
- Box 25.1: NANO: New Approach to Supply Chain Costing
- Supply Chain and Finance
- Box 25.2: ABD Bank—Financing the Supply Chain Operations
- Financial—SCM
- Financial Metrics
- Strategic Allignment
- Economic Value Added (EVA)
- SCM and SCOR Model
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 26. Performance Measurement and Controls
- In Practice–C-Auto Tyres: Performance Measures for Supply Chain Health
- Introduction
- Performance Measurement System
- Why Benchmarking?
- Benchmarking Process
- Steps in Supply Chain Benchmarking
- Performance Dimensions and Measures
- Supply Chain Operations Reference (SCOR) Model
- Performance Measurement and Controls
- Inventory Turnover
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignment
- 23. Quantitative Techniques in Supply Chain
- Part-VI Sustainability Processes and Practices
- 27. Sustainability Practices and ‘Greening’ of SC
- In Practice–Hindustan Pencils Ltd—Journey Towards Sustainability
- Introduction
- Corporate Social Responsibility
- Box 27.1: IBM Suppliers to Meet Environmental Goals
- Supply Chain Responsibility
- Box 27.2: GUCCI's CSR Initiative Across Its Supply Chain
- Box 27.3: BERGER Paints India's Green Supply Chain Initiative
- Green Supply Chain Management
- Competitive Sustainability
- Box 27.4: Herman Miller—Competitive Advantage through Sustainable Practices
- Box 27.5: Starbucks—Sustainable Practices in Supply Chain
- Box 27.6: Procurement Policies Towards Sustainability
- Green Manufacturing: A Strategic Priority
- Green Marketing
- Summary
- Review Questions
- Internet Exercise
- Project Assignments
- Video Links
- 28. Regulatory Compliance
- In Practice–ABL-Transfer Pricing
- Introducton
- Multimodal Transport of Goods Act, 1993
- Free Trade and Warehousing Zones Act 2005
- Goods and Services Tax (GST)
- VAT and CENVAT
- Warehousing (Development and Regulation) Act, 2007
- Transfer Pricing
- IATA Guidelines for Cargo Movements
- Box 28.1: Air India—Cargo Regulation
- ‘TIR Carnet’ for Trans-Border Logistics
- Certified Cargo Screening Programme
- Incoterms
- Shipping Trade Practices Bill
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 29. Ethical Orientation
- In Practice–Mattel Toys: Lapses in Quality Checks
- Introduction
- Procurement—Ethical Practices
- Manufacturing—Ethical Practices
- Box 29.1: Recall of ‘A-Star’ by Maruti—Ethical Practice
- Marketing—Ethical Practices
- Designing and Implementing Ethical Code
- Ethical Issues in the Supply Chain
- Supplier Ethics Management (Sem)
- Summary
- Review Questions
- Internet Exercises
- Video Links
- Project Assignments
- 27. Sustainability Practices and ‘Greening’ of SC
- Part-VII Cases
- Case 1 Palas Acqua
- Case 2 Arihant Consumer Products (ACP)
- Case 3 Rem Chemicals
- Case 4 Mask Packaging
- Case 5 Zapak Ltd
- Case 6 Indian Paints
- Case 7 Mann Diesel Sales and Services
- Case 8 Padmini Motors Ltd
- Case 9 Digital Storage (India) Ltd
- Case 10 Zara
- Case 11 Econ Industry
- Case 12 Afcon Watches
- Case 13 Zico
- Case 14 La Vogue
- Case 15 Trika Exports
- Notes
- Bibliography
- Annexure A Glossary
- Annexure B Supply Chain-Related Information Sources
- Copyright
Chapter 12
1. Jon Schreibfeder, ‘A Realistic Approach to Inventory Reduction, http://www.effectiveinventory. com7article74.html
2. Sople, V. V. (2010), Logistics Management, Pearson, New Delhi, 2nd edition, pp. 112.
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