Supply chain management PDF

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JINNAH UNIVERSITY FOR WOMEN

SEMESTER REPORT Survey At: “GUL PLAZA CROCKERY MARKET” GROUP MEMBERS: -

NahanMahmood Najmu-S-Sahar SaveraKhizar ShaguftaShoukat Umia Khan

CLASS: BBA III (B) COURSE TITLE: Supply Chain Management COURSE CODE: MGT-3012 SUBMITTED TO: Miss MadihaRaees DATE: 30-October-2019

Table of Contents Survey At: “GUL PLAZA CROCKERY MARKET”.............................................................................1

Acknowledgment Firstly we thank Allah for guiding us through the phases of compiling this report and helping us out in all the difficulties. Secondly we would like to thanks our honorable instructor, MISS MADIHA RAEES for her kind patience, guidance and support for the preparation of this report. We will always be indebted to her for the valuable suggestions and time that she had spent for guiding us throughout the course of “SUPPLY CHAIN MANAGEMENT”. Because of her we were able conduct a survey at local market and learned a lot from there.

What Is Local Market? Local market is a place to purchase locally produce goods and services. Knowing who will buy the product, where they are located and how far they will travel to obtain the product is essential for this type of sales approach. Customers located within the region the product or service is produced or made available need to know of this availability. Such as gul plaza whole sale market where customer can easily get things at cheap price with good quality. 3 Stages of Supply Chain: (Gull Plaza) In this era of competition among supply chains, the success of a business is increasingly dependent on management's ability to integrate the company's networks of business relationships with supplier, distributors, and retailers. Supply chain managementhas been defined as the integration of key business processes, from raw-material suppliers through end users.

Stage 1: PLANNING (Supplier) Planning involves a wide range of activities. Business person must first decide on their operations strategy. Whether to manufacture a product or buy it from a supplier is a major decision. In gull plaza we mostly had seen that their biggest supplier and manufacturer are China, Thailand and Turkey for crockery items. And the cutlery items are manufacturing locally. Also some the products raw materials are out sourced and designed by local market designers.

Like melamine is a glass which has been outsourced and designed locally it was very famous at the time of 90’s but now it has no demand although it still cost very high. Stage 2: DELIVEIRING (Retailer) Businesses at Gull plaza are working on JIT (Just in Time) system.They store their inventory at their shops mostly and sell it to the customers. Some retailers stock inventory at warehouse and sell in smaller quantities to the customer. These Businesses’ also closely tracks the preferences and demands of the customers that it sells too. They often make sale promotions to attract their customers. Especially after Ramadan and Hajj season. And mostly businesses’ offer sales after 8 months. Stage 3: END USER RESPONSE (Customers) Although every participant can affect supply chain performance, no other direct participant is as important as the end user of the goods. End user demand is very crucial of all activity in the supply chain, but if no demand exists, there is no need for the supply chain network. That is why so many supply chains focus on end user demand to drive planning and activity. In a consumer product supply chain, the end user is the retail consumer. Gull plaza is a biggest wholesale market in Karachi and they have thousands of customers at their place in a day they have a variety of product range in crockery items, such as marble, born china, cheeni, melamine and plastic items.Crockery is a very important thing in every household and the demand of such items are never fall because it’s a need. So they are satisfying their customers with large variety of products.

PUSH AND PULL PROCESS AND SYSTEM: 1. PUSH STRATEGY: A push strategy is one where projected demand determines what enters the process. Push process may also be referred to as speculative processes because they respond to forecast rather than actual demand. Push processes operate in an uncertain environment because customer demand is not yet known. 2. PULL STRATEGY: A pull strategy is related to the just-in-time school of inventory management that minimizes stock on hand and focusing on last deliveries. The process of manufacturing and supplying is driven by actual customer demand. In this process inventory is acquired on need basis. As we do a survey to Gul plaza crockery market, we visit 9 to 10 shops and all the shopkeeper work on push strategy. They predict the demand in supply chain and they know what will come and how long before it actually arrive. As all the crockery are import from different countries like China, Turkey, France and Thailand and only plastic item like melamine and the cutlery are made in Pakistan. The selling season of crockery are wedding season like in June, July and December,

before Eid after Hajj and after Muharram. All the shopkeepers have a bulk amount of crockery in shops and some of shopkeepers have their own warehouse to store the bulk crockery. Before the season begins, they import the bulk amount of crockery as to fulfill the demand of the customer on time. The shopkeeper of the Gul plaza market are not working on pull strategy because the crockery item are not local they import from different countries so the long time duration needed as the customer not wait so long so the shopkeeper work on just in time concept and not take a risk to lose a customer and also meet their needs in time. There is no middle man present like no distributer are in this process only manufacturer ,resellers and consumer are involved in Gul plaza crockery market.

The Role Transportation in Supply Chain: Supply Chain Management (SCM) can be divided into three main areas: purchasing, manufacturing, and transport. From end to end, Logistics Management is the component of SCM that focuses on how and when to get raw materials, intermediate products, and finished goods from their respective origins to their destinations. Like gull plaza is receiving their products directly at their shop because of this they reduced their holding or carrying cost. The product are outsourced through CPEC and deliver to the market in containers because Gull plaza is a wholesale market so all the shops out their mostly outsourced product from china so its diversified their ordering cost. Transportation services are the essential trait between all of the elements of the Supply Chain. Effective, cost efficient Logistics Management can be a real point of competitive differentiation so as Gull plaza is doing....