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    CHAPTER - 1

    INTRODUCTION

    INTRODUCTION

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    Supply chain management is the integration process of any firm for its successful

    strategy in this competitive world. Evolution of global trend sets firm to adopt efficient and

    effective management of flow of goods and services right from suppliers to consumers with

    right price, quality, and quantity. With these considerations of factors, a firm or enterprise can

    achieve profit and survive for long term.

    Information is the key to success of integration in Supply chain management where

    the firm or enterprise has to consistently upgrade itself whether the information flow is proper

    and useful for decision making. Hence the role of information and I.T. plays a critical role in

    todays business model in which how the top management took decision on consideration of

    I.T. and its impact of overall business and profit.

    Traditional method of SCM helps to achieve ones firm goals and objectives of the

    business? Why the firms hesitant to utilize the I.T and its infrastructure effectively to

    maximize its profits as well as market share to survive in long term run? Did cost made

    constraint or the human efficiency is insufficient to handle the information or other factors

    made impacts of decisions?

    With these issues putting in front of top management, tactical level decision makers as

    well as operational people, this thesis conducts the study of Strategic use of I.T. in SCM

    and bringing better suggestions in front of the desk to make use of these suggestions as a

    strategies to implement in their SCM process and makes better. Thesis includes all types of

    industries/firms whose handling SCM as crucial strategy for their business such as FMCG,

    automotive sectors, consumer durables, etc.

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    CHAPTER - 2

    LITERATURE REVIEW

    SUPPLY CHAIN MANAGEMENT

    2.1 DEFINITION

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    Mentzerdefines SCM as The management of upstream and downstream relationships with

    suppliers and customers to deliver superior customer value at less cost to the supply chain as

    a whole in order to achieve a more profitable outcome(1).

    Supply chain management encompasses the planning and management of all activities

    involved in sourcing and procurement, conversion, and all logistics management activities.

    Importantly, it also includes coordination and collaboration with channel partners, which can

    be suppliers, intermediaries, third party service providers, and customers. In essence, supply

    chain management integrates supply and demand management within and across companies.

    2.2 DRIVERS OF SCM

    SCM is about integrating business processes to gain competitive advantage while providing

    customers with superior value. This integration of customer focus with business processes is

    evidence of the emergence of supply chain management as a core business discipline aligned

    with corporate strategies. We will explore the key drivers of SCM and how they have

    fashioned this new business model.

    Competition and supply chain management(2)

    Competition in the business world is more intense than it was anytime in the past.

    Globalization has opened up world markets, and companies with traditional approaches have

    found it extremely difficult to survive in this new world.

    Lee observes that the 1970s was the era when business focused on quality issues, whereas the

    competitive landscape in the 1980s shifted to lean manufacturing focusing on concepts such

    as just-in-time (JIT) inventory management. In the 1990s, market globalization, shortening

    product life cycles, and the disintegration of many industries created the race to improve the

    supply chain.

    Metz gives numerous examples of gains made by companies implementing supply chain

    management, including supply chain total cost share of revenue reduced by 20 percent and

    increase in revenue by 17 percent. According to Copacino and Byrnes, companies which

    have successfully mastered their supply chain have realized documented gains measuring up

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    to 35% in market share. We can look at three not so distant developments at three major US

    corporations for the impacts of supply chain management on modern businesses.

    Dell Computer

    Founded on a vision of customer-responsive order fulfillment, has seen its stock price

    mushroom nearly 200 fold since 1990. 'We already have a quick- ship plan for large

    customers where we can deliver a machine within 48 hours of an order,' Michael Dell

    explains. (Fortune, Sept.8 1997)

    Boeing Aircraft

    One of Americas leading capital goods producers and top exporters was forced to announce

    write downs of $2.6 billion in October. It is blaming 'raw-material shortages, internal and

    supplier part shortages, and productivity inefficiencies. (Wall Street Journal, Oct. 23, 1997)

    Procter and Gamble

    Long revered for its marketing acumen, also drives its supply chain hard. The company

    estimates it saved retail customers $ 65 million through logistics gains over the past 18

    months. 'According to P & G, the essence of its approach lies in manufacturers and suppliers

    working closely together...jointly creating business plans to eliminate the source of wasteful

    practices across the entire supply chain. (Journal of Business Strategy, November/December

    1997)

    2.3 KEY ISSUES IN SCM

    The supply chain management issues concern activities of the firm at various levels of

    decision making, ranging from operational level to strategic level via tactical level.

    Strategic level

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    The decision making at this level is made with long term objectives and with long lasting

    effects. These include decisions regarding location of various facilities, including the

    manufacturing plant, distribution warehouses and the structure of the distribution channel.

    Tactical level

    Decision making at this level is concerned with purchasing and production functions,

    inventory policies and transportation strategies. These decisions will be usually updated on an

    annual basis.

    Operational level

    Decision making at operational level will concern day to day management of activities such

    as scheduling, routing and vehicle loading etc.

    The various other key issues concerned in Supply Chain Management are

    Configuration of distribution network

    This issue deals with the design of a distribution network to serve a specific market. This will

    consist of a set of warehouses and retail outlets, together with the manufacturing plant and

    supply sources. The design will be based on consideration of location and capacity of each of

    these elements. The total network cost will include the costs of inventory at various levels

    and costs of transportation between various facilities. This will also determine the level of

    service available to the customers.

    Inventory control

    This is concerned with the levels of inventory to be held at various points in the supply chain.

    As inventory represents costs, the sensible approach is to hold as low an inventory as possible

    but businesses are forced to hold inventories as a buffer to counter the affects of an uncertain

    demand. How to minimize the uncertainty and therefore the necessity of holding unnecessary

    inventory which increases the cost at the end

    Distribution strategy

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    The distribution strategy is concerned with the distribution of the firm's products. There are

    several strategies available such as cross-docking, the classical distribution strategy or direct

    shipping. Which one is the best suitable for the firm to achieve its supply chain and corporate

    goals?

    Supply chain integration and strategic partnering

    This is concerned with the complex issue of strategic inter organizational partnership for

    achieving competitive advantage. This is about sharing of information and efficient use of the

    information for coordinating business processes to deliver a superior value to the customers.

    How to achieve this and what are the challenges? This is one of the emerging issues in supply

    chain management.

    Product design

    This is concerned with the design of the product and its impact on total cost of the product.

    How does the design of a product affect the various cost elements within the supply chain? It

    is possible that the design determines the strategies to be followed regarding inventory or

    transportation. The design may also determine the length of the product life cycle and the

    extent of uncertainty associated with demand for this product. How to leverage design to

    achieve supply chain management objectives?

    Information technology and decision support systems

    The enabling role of information and communication technologies has been identified. The

    concerns of contemporary supply chain management are the efficient use of modern

    technology including the Internet and computerized decision support systems. The

    technology allows acquisition of vast quantity of data, information and their subsequent

    processing in accordance with selected decision criteria. Will these technologies emerge as

    key determinants of success in the management of supply chains?

    Customer value

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    The key issue is the definition of customer value in an age of increasing consumer power.

    How supply chains will be designed to provide value to the customers and how will firms

    define value?

    2.4 ROLE OF I.T. IN SCM

    The combination of computers and telecommunication provided the fastest device of

    communication in the form of Internet. Internet today is becoming the reliable link between

    the suppliers and customer. It turned the whole world into a global village. Liberalization and

    globalization have changed the whole concept of nationalism. Due to globalization all

    geographical barriers are being broken. With the help Internet customers get free information

    about the world market. They keep track of the products being produced in the market. They

    have easy access to the world class quality and respective price. Hence, competition in the

    market is very high. Monopoly has become the matter of past. It allowed the better utilization

    of existing facilities and minimized the amount of materials in the stock at any time and

    reduced the wastage. Manufacturer has to be very flexible to reorient the manufacturing

    process to meet the frequent design changes resulting from the frequent change in the

    customers choice. Now the customers satisfaction is not the only criteria for selling theproduct in the market but customers delight has also to be taken care off. Earlier producers

    use to fix the price of the products keeping profit margin, now prices are fixed by the

    customers market and to earn profit producers have to reduce the manufacturing cost. In this

    changing environment conventional system of planning, manufacturing and delivery of

    finished products becoming irrelevant. Information Technology offers many opportunities for

    companies to cut cost and improve responsiveness to customers needs. Some of the positive

    points of I.T. enabled services are:

    1. Information technology is comparatively less capital intensive.

    2. It is environment friendly and clean.

    3. It is not location specific and can be undertaken from anywhere (large cities, small towns

    or even remote locations with Internet facilities)

    4. It does not require expensive infrastructure facilities like roads, rail heads, etc.

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    As a result, there has been phenomenal growth of I.T. applications all over the globe. Indian

    industries are also reaping substantial benefits from the adoption of I.T. enabled services.

    Information Technology in Indian Context

    In mid-eighties the government of India in its industrial policy resolution put emphasis on the

    use of computer. Indian Industries also quickly realized that the use of computer could

    provide correct, quick and reliable information and could have significant impact on a firms

    performance. The total Indian information technology industrys turnover that was of the

    order of Rs. 20 billion only in 1991 has now reached a level of Rs. 295.13 billion in March

    2000. This signifies a compound growth rate of about 35% per annum over the 9-year period.

    The then chairman of the Reliance group of Industries, Mr. Dhirubhai Ambani had this to say

    New Internet-based technologies are changing peoples lives and the way business is

    conducted. Fundamental shifts are occurring in the global economy, owing to revolutionary

    advances in technology. These have led to the convergence of the communication and

    information business. There is one time opportunity for the Indian economy to leapfrog from

    its current inadequate infrastructure to a world class one

    Various I.T. Solutions:

    i) Communication

    Internet is currently an important resource for business to conduct activities ranging from

    basic communication to data exchange. Application of radio frequency, satellite

    communications and image processing technologies has become useful. Instead of solely on

    catalogs, suppliers are delivering product information to customer as data via Internet,

    making it more convenient to buyers.

    ii) Electronic mail (e-mail)

    Electronic mail provides medium for communication throughout the globe, any time, within

    fraction of second at virtually negligible cost. Electronic mail usually occurs over the

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    Internet. The electronic mail market is a multi billion-dollar business. One of the main

    reasons for the growth in e-mail, in addition to the speed and accuracy of its data

    transmission is cost saving. With e-mail, the cost of ordering has been reduced. Instead of

    relying on the post, mail or courier the inventory manager prefer to use Internet for sending

    information.

    iii) Electronic Data Interchange (EDI)

    The communication system with suppliers on the supply side and customer on the

    distribution side exchanged the data through Internet at very low cost. For safety, electronic

    data exchange information is only available to those who have a dedicated electronic data

    interchange link. Location tracking of cycle inventory or process inventory can also be done.

    This technology requires a combination of the Global Position System and wireless

    communication.

    iv) Enterprise Resource Planning (ERP)

    Using Enterprise resource planning information can be gathered from across all of companys

    function. ERP system monitor inventory throughout the channel of a business system. The

    ability to keep track of inventory at different level has become more important as business

    system became more complex. But this is useful OEM where many components are handled.

    Survey of I.T. Solutions

    Our observation of implementation of above mentioned I.T. solutions in five OEM, eight tier-

    I suppliers (have their own R&D and own product) and thirty-two automobile ancillary

    industries or tier-II suppliers (manufacture as per the order received either from OEM or from

    tier-I supplier). We observed that the Indian automobile industry has entered the new

    millennium on an encouraging note. The automobile market is booming. Internet is being

    utilized in automobile industry in a big way. The application of Just in time and information

    technology in the field of management control, decision-making, planning, communication,

    accounting and inventory is gaining ground The companies run by foreign investors are

    implementing Internet wherever possible, especially in business. They are trying to interlink

    suppliers, manufacturers, wholesalers and retailers to have better control on inventory at

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    various levels of supply chain. It allowed the better utilization of manpower. It was also

    observed that although Internet plays an important role in keeping track of inventory,

    sometime it creates problems also as bad system increases the risks and subsequently wastage

    of capital and time. At the same time it needs investment every year because new software

    comes in the market frequently with new ideas. For component manufacturer it is difficult to

    switch over to new system as frequently as changes are taking place in the field of computer

    software. Even though, most of the component manufacturers are enjoying the benefits of

    new technology along with new information technology in the form of Internet. Internet has

    reached to the every nook and corner, we observed that in India it still under utilized even in

    the industries like automobile where considerable awareness is there and competition is cut

    throat. The scope of inventory management is limited to one organization. There is no

    cooperation between the supplier and the customer firms. We can call it none integral

    inventory management. There is opposition between organizations. Integral inventory

    management by domination of one organization over others is also found in certain area

    where few organizations have realized supply chain by one organization dominating the other

    organizations in the supply chain. But it is fact that Internet has influenced the whole business

    strategy whether it is policy decision or it is physical implementation. Some of the areas

    where its greater effect felt are given below:

    i) Communication

    (a) Twenty four hours communication throughout the year all over the world. Because of

    Internet communication there are saving in manpower, stationery, postage and journey fare.

    (b) Quick exchange of views with suppliers or customers, quick exchange of ideas and

    expertise, customers feedback collection becomes easier and quicker, quick delivery of

    drawings and specifications in digital form etc. are possible.

    ii) Selection of vendor or partner

    a) Suitable vendor selection from many vendors from any part of the world, at the same time

    vendor development is also easier.

    (b) Since whole world is connected through Internet, it becomes easier to select business

    partners for joint venture.

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    iii) Cost Saving

    a) Reduce inventory, reduce cost of preparing letters and sending letters, saves postage cost

    and saving in journey fare. There are saving under different heads to all level of supply chain.

    (b) Achieving order and placing order become less costly and also reduces cost of

    distribution.

    iv) Reduction of lead time

    (a) Reduces lead-time of material supply.

    (b) Reduces retrieval time of documented information.

    v) Improves product Promotional Activities

    (a) Reduces expenditure for market expansion and also reduce market mediation

    (b) Customers feedback can be collected easily, improves relation with customer and helps

    in promotion of products in the form of advertisement.

    vi) Limitations

    (a) Lack of managers awareness with the system and lack of managements full

    commitments.

    (b) Development of electronic data interchange is a costly affair.

    (c) Problems of security and privacy.

    (d) Since no face to face contact is there hence, lack of trust.

    (e) Customers also need awareness for effective utilization of Internet in the business.

    2.5 CHALLENGES

    The challenges imposed by I.T. goals are quite stiff. Most firms have developed I.T. systems

    over the years in a piecemeal basis for each functional or departmental unit with focus on

    their specific needs. Software and hardware systems were developed and built as a reflection

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    of the needs of each core function of the firm such as warehousing, transportation, inventory

    management, purchasing, manufacturing, sales, marketing, product development,

    communication etc.

    All these different 'specialist' systems, known as legacy systems, work independently and

    technically do not 'speak' the same language. These systems, whether supported by vendor-

    provided or custom made hardware and software, provide the great challenge for information

    integration. Think about the type of data with which any accounting system deals, and

    compare this with the technical and engineering data with which most manufacturing systems

    are concerned. One of the main challenges of supply chain I.T. systems is to make these

    isolated systems 'talk' to each other so that relevant data becomes visible and operable in real

    time to all units. Add to this the complexity of integrating data from trading partners,

    customers and suppliers, and the challenge becomes awesome indeed, with serious technical

    and financial implications.

    It is therefore obvious that to achieve the goals, the following issues need to be addressed:

    Disparate I.T. systems belonging to different departments and firms have to make

    compatible by establishing common communication standards.

    The I.T. infrastructure, which includes the network, databases and processors, must be

    capable of linking and processing information as required by the firms in the supply

    chain.

    The role of e-commerce in the firm's business needs to be appreciated, with cost and

    business gain implications.

    The specific supply chain management issues at all levels of planning need to be

    supported by the I.T. system through interfacing with human input for information

    analysis and decision making.

    2.6 DECISION SUPPORT SYSTEMS (DSS)

    The DSS is a computerized decision aid and it represents a good balance between human

    abilities and the processing power of the modern computer for problem solving. It is because

    the nature of each problem is different and some problems are solved more efficiently by

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    computers while humans solve other types of problems more efficiently. Modern computers

    can solve a problem very efficiently when the problem is very well structured and when it can

    formulated in logical terms by decision rules. On the other hand, unstructured problems are

    solved better by humans.

    In real business life most problems are semi structured and a DSS is a suitable tool for

    bringing human expertise to interact with the computer for effective decision making.

    (Source:http://www.marcbowles.com/courses/adv_dip/module4/module2/m2five.htm)

    The characteristics of decision support systems

    Decision support systems have a number of characteristics that allow them to be effective

    management support tools.

    Handle large amount of data from different sources.

    Provide report and presentation facility.

    Offer both textual and graphical orientation.

    Support optimization, satisficing and heuristic approaches.

    2.7 INFORMATION AND SUPPLY CHAIN INTEGRATION

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    The new and emerging business models are based on inter-firm collaboration and integration.

    And in today's competitive marketplace, with increasing consumer power, it is competition

    between supply chains which matters. This understanding calls for an integrated approach

    towards management of critical supply chain functions and information is a key to this

    integration. Information transparency is a prerequisite for optimum performance of the supply

    chain, because it enables firms to take decisions which are aimed at superior supply chain

    performance.

    One major obstacle to integration is the way in which firms are traditionally managed and

    owned. Traditionally, firms are inward looking, with business processes aligned towards the

    corporate goal of profit maximization or greater market share. Additionally, as firms grow in

    size, the organizational structure gets complicated with different functional silos, often in the

    forms of departments, developing within the firm. The usual consequence is a very

    fragmented organizational structure with very little inter-functional communication or

    synergy.

    Supply chain integration requires firms to build bridges within the firm between different

    departments and across to other firms in the supply chain. Such bridge building is not

    particularly easy to achieve because it requires a fundamental shift in customary ways of

    thinking. The 'bullwhip effect', which has been recognized as one of the main sources of

    inefficiencies associated with supply chains. This effect has received considerable attention

    from academics and industry experts in recent years.

    2.8 THE BULLWHIP EFFECT

    (Source: http://www.marcbowles.com/courses/adv_dip/module4/module2/m2five1.htm)

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    We know that a supply chain is made up many firms and each is unique in the way its

    configured. However, all chains end up with customers or consumers at the downstream end.

    The business purpose of all firms in the supply chain is to serve these end customers. In a

    conventional supply chain, the downstream entity acts as the interface between the supply

    chain and the customers.

    To keep this analysis simple, let us consider a simple supply chain with a manufacturer, a

    distributor and a retailer at the downstream end. We know that the retailer will keep an

    inventory to serve its customers and will initiate a replenishment order according to the

    inventory policy when the time is right. The distributor receives the orders from the retailer

    and initiates its own replenishment order to the manufacturer when its stock reaches a certain

    reorder point.

    This practice of order processing by firms at each level in the supply chain gives rise to a

    phenomenon by which demand information gets distorted as it travels upstream and this is

    known as the bullwhip effect. The direct result of this effect is wrong perception about the

    state of real demand, and uncertainty. This results in excess inventory at different levels in

    the supply chain. The indirect effects are costs, waste and poor customer service.

    The reasons for bullwhip effect

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    (Source: http://www.marcbowles.com/courses/adv_dip/module4/module5/m5two1.htm)

    The four major causes of bullwhip effect as:

    demand forecast updating

    order batching

    price fluctuation

    rationing and shortage gaming

    Measuring bullwhip effect: The practical issues

    In many supply chains demand data is not available at the level of detail necessary for a goodanalysis. Instead, data are sometimes incomplete or only available at a highly aggregated

    product or time level. As supply chains are complex, data co-relation is often difficult. A

    wholesaler may give an order to its supplier based on several retailers' orders. It will be

    impossible to disaggregate the wholesaler's order to study the relationship with respect to

    orders made by one retailer.

    The measurement of total bullwhip effect should provide insight into the specific causes of

    the bullwhip effect. Specifying which part of the total bullwhip effect can be attributed to a

    specific cause can be problematic because of:

    Unavailability of real demand data which requires separating out the effects of price

    fluctuations and of shortage gaming from sales figures. Such real data are often not

    available.

    Unavailability of real demand data when shortage occurs and price changes as sales at

    that time do not represent real demand.

    Reducing bullwhip effects

    The demand amplification or bullwhip effect in the supply chain is system induced and is

    directly affected by both information and material delays in the supply chain and the

    feedback process in the decision making process.

    In practice, any effort to reduce the bullwhip effect is likely to be difficult and challenging.

    They describe the order aspect of the bullwhip effect as the replenishment dimension

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    affecting the flow of materials and information throughout the system. There are two other

    prime dimensions which make it difficult to identify and reduce the effect. These are

    geographical (since activities take place in different locations) and temporal (since activities

    take place at different times).

    Reducing uncertainty by information visibility across the supply chain as this will

    reduce the bullwhip effect. Practices that support an effort to reduce uncertainty

    involve the implementation of systems such as electronic data interchange (EDI) and

    extensible markup language (XML). Both these technologies allow companies to

    share information (such as consumer sales) with partner companies in the supply

    chain. EDI uses specific network services with an agreed information protocol while

    XML supports information sharing over the Internet. POS (point of sale) data can be

    transmitted to all chain operators, which will enable them to have a clear picture of

    consumer demand.

    Reducing demand variability is an effective approach to reducing the bullwhip effect

    as this variability causes the forecast error which in turn is the principal cause of the

    effect. How can we do reduce variability? As demand at the retailer often fluctuates

    with the price attached to a particular product, an unvarying price such as EDLP

    (everyday low price) should reduce demand uncertainty. By eliminating price

    fluctuations a retailer can eliminate much of the demand variability associated with

    the product.

    Decreasing the lead time between each level of the supply chain will aid in reducing

    the bullwhip effect. In fact it has been recognized that time compression is the key to

    supply chain excellence. Supply chain lead time is made up of the delays in

    information processing and materials processing. While in the short term the material

    flow lead time can be reduced by transportation techniques like cross docking,

    information pipeline lead time can be reduced by effective information sharing using

    technology.

    The reduction of the overall supply chain lead time is treated with the utmost priority

    in contemporary supply chain management. This has resulted in rapid response

    manufacturing practices which are built on the concept of agile manufacturing. This

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    has been made possible by integrating the physical transfer process with information

    system integration. This enables an agile enterprise to respond rapidly to customer

    demand, reducing the lead time. These developments have been seen as a new

    dimension in supply chain management, often referred to as demand management.

    Eliminate echelons in the supply chain: This involves the elimination of echelons and

    functional interfaces. This reduces time delays and information distortion which

    precipitate demand amplification. This can lead to a substantially different channel of

    distribution.

    2.9 EFFECTIVE FORECASTS AND SUPPLY CHAIN INTEGRATION

    One of the main causes of uncertainty in the supply chain has been identified as the

    forecasting error which is inherent in any forecasting system. The problems associated with

    this uncertainty are well appreciated by firms. They recognize that these problems directly

    impact their fundamental business issues of timeliness, market share, margins, sales and

    customer service levels. Effective forecasting has been found to be strongly co-related with

    superior supply chain management practice. The organizations working with accurate sales

    forecasts almost always employ three techniques. They are,

    use historical data to develop their forecasts

    support historical data with predictive mathematical models

    hold weekly planning sessions where they make buying, hiring and other

    commitments

    Employing all three techniques in parallel allows managers to make incremental, rather than

    abrupt adjustments. The second most important indicator of success is the degree of

    collaboration and integration with other departments within the company and with outside

    partners. This is about information integration about sales promotion, price discounts and

    shortages in the market which would allow all supply chain actors to take these factors into

    account when forecasting the anticipated demand in a future period.

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    CHAPTER - 3

    RESEARCHMETHODOLGY

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    RESEARCH METHODOLOGY

    3.1. Problems Definition/Hypothesis

    The role of I.T. in SCM was increasing over the years in Automobile and Retail

    sectors in India which contributed for the growth of economy. The business process is

    improved in efficient and effective way to achieve their goals by utilizing the benefit of

    growth in communication and internet technologies. The critical part of this statement is

    whether the organizations are flexible to adapt the changes in implementation of those

    technologies and certain organizations are finding difficult to utilize it because of cost.

    Because the overall growth is mainly depends on small and medium enterprises (SME) which

    mainly concern about the cost of technology.

    Is it cost really stops organizations to implement or other factors are involved it? Yes, there

    are other factors are to be concern over these issues and hence am trying to give better

    suggestions and recommendations on these issues.

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    3.2.Research Methodology

    Data survey

    Primary data

    The Primary data are the responses from the managers, supervisors and staff of various

    Retail/ Automobile companies.

    Questionnaire method is used to collect primary data. The questionnaire contains both

    quantitative and qualitative questions. A sample size of 100 was considered for this purpose.

    Secondary dataSecondary data obtained from the official websites as well from dailies, journals, newspapers

    and articles related to the companies which are under the scope of this study.

    3.3. Sample Design

    Sampling Type

    Simple Random sampling

    Sampling Size

    A sample size of100 respondents in the ratio 10 managers: 20 supervisors: 70 Staff members,

    taken for the purpose of the study.

    Data Analysis

    The collected data, Coded, Tabulated in different tables and analyzed, using different

    parameters in questionnaire.

    Data Interpretation

    By adapting chi-square method of testing hypothesis absence or presence of bias of opinion

    has been established.

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    3.4. Justification for Choosing This Particular Research Project

    The Indian economy is growing faster than any other countries because of technology

    revolution in business process which makes an edge among top economies. Hence it is verycrucial to discuss about the impact of technological changes in business process especially

    Information technology over the organization performance. There are lots of factors to be

    concern for top management to implement the technologies to have a better performance and

    stay in top among their rivals.

    Indian I.T. sectors are exploring among the world faster which impacts the growth of other

    business sectors by supporting with their process like SCM, ERP, Outsourcing, etc with cost

    effective and efficient services.

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    CHAPTER - 4

    DATA ANALYSIS

    4.1 PART 1

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    1. SEX:

    Table 01:Table showing gender

    Figure 1 GENDER:

    25

    MANAGERS SUPERVISOR EMPLOYEES TOTAL

    MALE 7 13 43 63

    FEMALE 3 7 27 37

    TOTAL 10 20 70 100

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    2. AGE:

    Table 02:Table showing Age

    Figure 2 AGES:

    26

    AGE MANAGERS SUPERVISOR EMPLOYEES TOTAL

    LESS THAN 20 YEARS 0 0 0 0

    20-25 YEARS 0 4 56 60

    25-30 YEARS 3 14 9 26

    30-35 YEARS 6 2 4 12

    MORE THAN 40 YEARS 1 0 1 2TOTAL 10 20 70 100

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    3. DEPARTMENT:

    Table 03:Table showing Department

    Figure 3: DEPARTMENTS:

    4. EXPERIENCE:

    27

    DEPARTMENT MANAGERS SUPERVISOR EMPLOYEES TOTAL

    PROFESSIONAL 8 16 58 82

    MARKETING 2 1 7 10

    CUSTOMER SERVICE 0 2 3 5

    OTHER 0 1 2 3

    TOTAL 10 20 70 100

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    Table 04:Table showing Experience

    Figure 4 EXPERIENCE:

    5. MONTHLY INCOME:

    28

    EXPERIENCE MANAGERS SUPERVISOR EMPLOYEES TOTAL

    LESS THAN 1YEAR 0 1 44 45

    1-3 YEARS 3 15 20 38

    2-5 YEARS 5 4 6 15

    MORE THAN 5 YEARS 2 0 0 2

    TOTAL 10 20 70 100

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    Table 05:Table showing Monthly income

    Figure 5 MONTHLY INCOMES:

    6. QUALIFICATION:

    Table 06:Table showing Qualification

    29

    MONTHLY INCOME MANAGERS SUPERVISOR EMPLOYEES TOTAL

    LESS THAN 10,000 0 0 4 4

    10,000-19,999 0 4 43 4720,000-29,999 4 16 20 40

    MORE THAN 30,000 6 0 3 9

    TOTAL 10 20 70 100

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    Figure 6 QUALIFICATIONS:

    4.2 PART 2(A)

    1. The types of systems are currently in use in your company to support SupplyChain Management is effective?

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 0 3 5 8

    Strongly Agree 1 5 7 13

    Agree 6 8 18 32

    Disagree 2 1 24 27Strongly Disagree 1 2 12 15

    30

    QULAIFICATION MANAGERS SUPERVISOR EMPLOYEES TOTAL

    BELOW UG 0 1 5 6

    UG 3 12 43 58

    PG 7 7 22 36

    TOTAL 10 20 70 100

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    Very Strongly Disagree 0 1 14 15

    TOTAL 10 20 70 100

    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    1 1.3 -0.3 0.09 0.069

    6 3.2 2.8 7.84 2.450

    2 2.7 -0.7 0.49 0.181

    1 1.5 -0.5 0.25 0.166

    3 1.6 1.4 1.96 1.225

    5 2.6 2.4 5.76 2.215

    8 6.4 1.6 2.56 0.400

    1 5.4 -4.4 19.36 3.585

    2 3.0 -1.0 1.00 0.3331 3.0 -2.0 4.00 1.333

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    5 5.6 -0.6 0.36 0.064

    7 9.1 -2.1 4.41 0.485

    18 22.4 -4.4 19.36 0.864

    24 18.9 5.1 26.01 1.381

    12 10.5 1.5 2.25 0.214

    14 10.5 3.5 12.25 1.166

    TOTAL 16.131

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 16.131

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence the types of systems are currently in use in your company to support Supply ChainManagement is effective.

    2. Supply chain management adds value to the customers.

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 2 3 2 7

    Strongly Agree 1 4 4 9

    Agree 4 5 24 33

    Disagree 1 7 16 24

    Strongly Disagree 1 1 16 18

    Very Strongly Disagree 1 0 8 9

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    2 0.7 1.3 1.69 2.414

    1 0.9 0.1 0.01 0.011

    4 3.3 0.7 0.49 0.148

    1 2.4 -1.4 1.96 0.816

    1 1.8 -0.8 0.64 0.355

    1 0.9 0.1 0.01 0.011

    3 1.4 1.6 2.56 1.828

    4 1.8 2.2 4.84 2.6885 6.6 -1.6 2.56 0.387

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    7 4.8 2.2 4.84 1.008

    1 3.6 -2.6 6.76 1.877

    2 4.9 -2.9 8.41 1.716

    4 6.3 -2.3 5.29 0.839

    24 23.1 0.9 0.81 0.035

    16 16.8 -0.8 0.64 0.038

    16 12.6 3.4 11.56 0.917

    8 6.30 1.7 2.89 0.458

    TOTAL 15.546

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 15.546

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence Supply chain management adds value to the customers.

    3. The company is flexible with respect to new changes with technologies in SCM.

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 2 8 9 19

    Strongly Agree 4 2 12 18

    Agree 2 4 24 30

    Disagree 1 4 12 17

    Strongly Disagree 0 1 7 8

    Very Strongly Disagree 1 1 6 8

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    2 1.9 0.1 0.01 0.000

    4 1.8 2.2 4.84 2.688

    2 3.0 -1.0 1.00 0.333

    1 1.7 -0.7 0.49 0.288

    1 0.8 0.2 0.04 0.050

    8 3.8 4.2 17.64 4.642

    2 3.6 -1.6 2.56 0.711

    4 6.0 -2.0 4.00 0.666

    4 3.4 0.6 0.36 0.105

    1 1.6 -0.6 0.36 0.2251 1.6 -0.6 0.36 0.225

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    9 13.3 -4.3 18.49 1.390

    12 12.6 -0.6 0.36 0.028

    24 21.0 3.0 9.00 0.428

    12 11.9 0.1 0.01 0.000

    7 5.6 1.4 1.96 0.35

    6 5.6 0.4 0.16 0.028

    TOTAL 12.157

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 12.157

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence the company is flexible with respect to new changes with technologies in SCM.

    4. The company is really benefited with implementation of supply chain management.

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 4 5 5 14

    Strongly Agree 3 7 12 22

    Agree 2 4 19 25

    Disagree 1 2 24 27

    Strongly Disagree 0 1 7 8

    Very Strongly Disagree 0 1 3 4

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    4 1.4 2.6 6.76 4.828

    3 2.2 0.8 0.64 0.290

    2 2.5 -0.5 0.25 0.100

    1 2.7 -1.7 2.89 1.070

    5 2.8 2.2 4.84 1.728

    7 4.4 2.6 6.76 1.536

    4 5.0 -1.0 1.0 0.200

    2 5.4 -3.4 11.56 2.140

    1 1.6 -0.6 0.36 0.225

    1 0.8 0.2 0.04 0.0505 9.8 -4.8 23.04 2.351

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    12 15.4 -3.4 11.56 0.750

    19 17.5 1.5 2.25 0.128

    24 18.9 5.1 26.01 1.376

    7 5.6 1.4 1.96 0.350

    3 2.8 0.2 0.04 0.014

    TOTAL 17.136

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 17.136

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence the company is really benefited with implementation of supply chain management.

    5. SCM is used as an effective strategy for long term growth of the company.

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 2 2 5 9

    Strongly Agree 2 1 7 10

    Agree 3 12 20 35

    Disagree 2 2 25 29

    Strongly Disagree 1 2 7 10

    Very Strongly Disagree 0 1 6 7

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    2 0.9 1.1 1.21 1.344

    2 1.0 1.0 1.00 1.000

    3 3.5 -0.5 0.25 0.071

    2 2.9 -0.9 0.81 0.279

    1 1.0 0 0.00 0.000

    2 1.8 0.2 0.04 0.022

    1 2.0 -1.0 1.00 0.500

    12 7.0 5.0 25.00 3.571

    2 5.8 -3.8 14.44 2.489

    2 2.0 0 0.00 0.0001 1.4 -0.4 0.16 0.114

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    5 6.3 -1.3 1.69 0.268

    7 7.0 0 0.00 0.000

    20 24.5 -4.5 20.25 0.826

    25 20.3 4.7 22.09 1.088

    7 7.0 0 0.00 0.000

    6 4.9 1.1 1.21 0.246

    TOTAL 11.818

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.H1: Not as stated above.

    The calculated value is: 11.818

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence SCM is used as an effective strategy for long term growth of the company.

    6. Supply chain can be managed with these factors?

    40

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Close partnership with suppliers 2 3 5 10

    Close partnership with customers 2 4 9 15

    JIT supply 1 5 11 17

    e-procurement 1 3 9 13

    EDI 0 1 7 08

    Outsourcing 1 0 8 09

    Vertical Integration 1 2 9 12

    3PL 0 0 3 04

    Holding safety stock 2 2 9 12TOTAL 10 20 70 100

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    1 1.6 0.4 0.16 0.1

    2 2.4 -0.4 0.16 0.067

    2 2.4 -0.4 0.16 0.067

    5 7 -2 4 0.571

    9 10.5 -1.5 2.25 0.214

    11 11.9 -0.9 0.81 0.0689 9.1 -0.1 0.01 0.001

    7 5.6 1.4 1.96 0.350

    8 6.3 1.7 2.89 0.458

    9 8.4 0.6 0.36 0.042

    3 2.8 0.2 0.04 0.014

    9 8.4 0.6 0.36 0.042

    TOTAL 5.738

    Where,

    O Values from table; E (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 5.738

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence Supply chain can be managed with these factors.

    7. How successful do you think is your company in managing its supply chain ingeneral?

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 1 0 4 5

    Strongly Agree 3 3 7 13

    Agree 2 8 21 31

    Disagree 3 5 23 31

    Strongly Disagree 1 3 7 11

    Very Strongly Disagree 0 1 8 9

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    1 0.5 0.5 0.25 0.500

    3 1.3 1.7 2.89 2.223

    2 3.1 -1.1 1.21 0.390

    3 3.1 -0.1 0.01 0.003

    1 1.1 -0.1 0.01 0.009

    3 2.6 0.4 0.16 0.061

    8 6.2 1.8 3.24 0.522

    5 6.2 -1.2 1.44 0.232

    3 2.2 0.8 0.64 0.291

    1 1.8 -0.8 0.64 0.355

    4 3.5 0.5 0.25 0.0717 9.1 -2.1 4.41 0.484

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    21 21.7 -0.7 0.49 0.022

    23 21.7 1.3 1.69 0.077

    7 7.7 -0.7 0.49 0.064

    8 6.3 1.7 2.89 0.458

    TOTAL 5.762

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 5.762

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence company was managing its supply chain in general is successful.

    8. The following factors that your company needs to do in order to manage its supply

    chain better?

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Effective 3 5 19 27

    Improve 1 2 13 16

    Start Implementing 3 7 17 27

    Satisfied 3 3 11 17

    Ineffective 0 1 4 5

    Not appropriate 0 2 6 8

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    3 2.7 0.3 0.09 0.033

    1 1.6 -0.6 0.36 0.225

    3 2.7 0.3 0.09 0.033

    3 1.7 1.3 1.69 0.994

    5 5.4 -0.4 0.16 0.029

    2 3.2 -1.2 1.44 0.450

    7 5.4 1.6 2.56 0.474

    3 3.4 -0.4 0.16 0.047

    1 1.0 0.0 0.00 0.000

    2 1.6 0.4 0.16 0.100

    19 18.9 0.1 0.01 0.000

    13 11.2 1.8 3.24 0.289

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    17 18.9 -1.9 3.61 0.191

    11 11.9 -0.9 0.81 0.068

    4 3.5 0.5 0.25 0.071

    6 5.6 0.4 0.16 0.028

    TOTAL 3.032

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 3.032

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence the following factors that company needs to do in order to manage its supply chain arebetter.

    9. Does your companies separate logistics department will be effective?

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 4 11 13 28

    Strongly Agree 3 3 5 11

    Agree 3 3 29 35

    Disagree 0 1 12 13

    Strongly Disagree 0 2 5 7

    Very Strongly Disagree 0 0 6 6

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    4 2.8 1.2 1.44 0.514

    3 1.1 1.9 3.61 3.281

    3 3.5 -0.5 0.25 0.071

    11 5.6 5.4 29.16 5.207

    3 2.2 0.8 0.64 0.290

    3 7.0 -4.0 16.0 2.285

    1 2.6 -1.6 2.56 0.984

    2 1.4 0.6 0.36 0.257

    13 19.6 -6.6 43.56 2.222

    5 7.7 -2.7 7.29 0.946

    29 24.5 4.5 20.25 0.82612 9.1 2.9 8.41 0.924

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    5 4.9 0.1 0.01 0.000

    6 4.2 1.8 3.24 0.771

    TOTAL 18.064

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 18.064

    With 95% level of significance and degree of freedom 10 the table value is: 18.3

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence companies separate logistics department will be effective.

    10. Does your company have a clear logistics strategic plan?

    RATING MANAGERS SUPERVISOR EMPLOYEES TOTAL

    Very Strongly agree 2 3 5 10

    Strongly Agree 3 2 7 12

    Agree 1 5 18 24

    Disagree 3 4 12 19

    Strongly Disagree 1 3 14 18

    Very Strongly Disagree 0 3 14 17

    TOTAL 10 20 70 100

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    HYPOTHESIS TESTING:

    O E O-E [O-E]^2 (O-E)^2/E

    2 1.0 1.0 1.0 1.0

    3 1.2 1.8 3.24 2.7

    1 2.4 -1.4 1.96 0.67

    3 1.9 1.1 1.21 0.64

    1 1.8 -0.8 0.64 0.36

    3 1.7 -1.3 1.69 0.99

    2 2.0 0 0 0

    5 4.8 0.2 0.04 0.008

    4 3.8 0.2 0.04 0.01

    3 3.6 -0.6 0.36 0.1

    3 3.4 -0.4 0.16 0.055 7.0 -2.0 4.0 0.57

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    7 8.4 -1.4 1.96 0.23

    18 16.8 1.2 1.44 0.08

    12 13.3 -1.3 1.69 0.127

    14 12.6 1.4 1.96 0.155

    14 11.9 2.1 4.41 0.37

    TOTAL 8.06

    Where,

    O Values from tableE (RT* CT)/GT

    H0: The given statement is true.

    H1: Not as stated above.

    The calculated value is: 8.06

    With 95% level of significance and degree of freedom 10 the table value is: 18

    Since calculated value < table value so, accept NULL HYPOTHESIS.

    RESULT:

    There is no bias of opinion.

    CONCLUSION:

    Hence the company has a clear logistics strategic plan.

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    CHAPTER 5

    DATA INTERPRETATION

    AND

    FINDINGS

    FINDINGS

    The findings of the study and the discussion are presented according to the following researchquestions:

    The profile of target audience in terms of gender, age, nationality, marital status, department,experience, present salary rate, and educational attainment are used for analysis.

    Profile of Target Audience

    Table 07:Profile of Target Audience

    PROFILE OF TARGET AUDIENCE

    BY DESCRIPTION TOTAL %

    1) SEXMale 63 63

    Female 27 27

    2) AGE

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    More than 30 years 2 2

    3) DEPARTMENT

    Production 82 82

    Marketing 10 10

    Customer service 5 5

    Other 3 3

    4) EXPERIENCE

    Less than 1year 45 45

    1-3 years 38 38

    2-5 years 15 15

    More than 5 years 2 2

    5) MONTHLY INCOME

    Less than 10,000 4 4

    10,000-19,999 47 47

    20,000-29,999 40 40

    More than 30,000 9 9

    6) QUALIFICATION

    Below UG 6 6

    UG 58 58

    PG 36 36

    5.1 FINDINGS FROM PROFILE OF TARGET AUDIENCE:

    Survey is carried out among three categories of job; manager, supervisor and employee

    in the ration of 1:2:7. In our survey 63 of our respondents were male and remaining 37

    were the female respondents (Table 01).

    In our survey 60 respondents were in 20-25 years age group and 26 respondents were in25-30 age groups remaining 12 were from 30-35 age group and 2 were from above 40

    years age group (Table 02).

    Also analysis reveals that 82 respondents were from Production while 10, 5, 3 were from

    marketing, customer service and other department respectively (Table 03).

    Most of the respondents were fresher's; they have less than one year experience. In oursurvey 42 of our respondents have less than one year experience and other 38 have 1-3

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    years of experience and remaining respondents have more than 3years of experience.

    This type of composition with freshers and experienced will give good results to survey

    (Table 04).

    Since majority of them were freshers 47 of our respondents were earning Rs.10, 000-

    19,999 monthly as their income and other 40 respondents were earning a sum of Rs.20,

    000-29,999 and remaining respondents were earning more than 30,000 per month

    (Table 05).

    From our analysis we can infer that 58 of our respondents have educational qualification

    of U.G and other 36 of our respondents have P.G education qualification (Table 06).

    Strategic use of I.T. in supply chain management is effective

    Table 08:Table showing Strategic use of I.T. in supply chain management is effective

    DESCRIPTION

    1

    VSA

    2

    SA

    3

    A

    4

    DA

    5

    SDA6

    VSDA Total

    1) The types of systems arecurrently in use in your companyto support Supply ChainManagement is effective

    Managers 0 1 6 2 1 0 10

    Supervisors 3 5 8 1 2 1 20

    Employees5

    7 18 14 1214

    70

    2) Supply chain management addsvalue to the customers

    Managers 2 1 4 1 1 1 10Supervisors 3 4 5 7 1 0 20

    Employees 24 24 16 16

    870

    3) The company is flexible withrespect to new changes withtechnologies in SCM

    Managers 2 4 2 1 0 1 10

    Supervisors 8 2 4 4 1 1 20

    Employees 9 12 24 12 7 6 70

    4) The company is really benefitedwith implementation of supplychain management

    Managers 4 3 2 1 0 0 10

    Supervisors 5 7 4 2 1 1 20

    Employees 512 19 24 7

    370

    5) SCM is used as an effectivestrategy for long term growth of

    the company

    Managers 2 2 3 2 1 0 10

    Supervisors 2 1 12 2 2 1 20

    Employees 5 7 20 25 7 6 706) Supply chain can be managed

    with these factorsManagers 3 3 3 1 0 0 10

    Supervisors 5 4 7 3 1 0 20

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    Employees 5 9 16 11 13 16 70

    7) How successful do you think isyour company in managing itssupply chain in general

    Managers 1 3 2 3 1 0 10

    Supervisors 0 3 8 5 3 1 20

    Employees 4 7 21 23 7 8 70

    8) The following factors that yourcompany needs to do in order to

    manage its supply chain better

    Managers 3 1 3 3 0 0 10

    Supervisors 5 2 7 3 1 2 20

    Employees 19 13 17 11 4 6 709) Does your companies separate

    logistics department will beeffective

    Managers 4 3 3 0 0 0 10

    Supervisors 11 3 3 1 2 0 20

    Employees 13 5 29 12 5 6 70

    10) Does your company have a clearlogistics strategic plan

    Managers 2 3 1 3 1 0 10

    Supervisors 3 2 5 4 3 3 20

    Employees 5 7 18 12 14 14 70

    Total 140 140 298 209 114 99 1000

    Managers =100, Supervisors = 200, Employees = 700 Total Agree = 578 Total disagree = 422 1000

    Where, 1) Very strongly agree, 2) Strongly agree, 3) Agree 4) Disagree5) Strongly disagree 6) Very strongly disagree

    Strategic use of I.T. in supply chain management is effective based on category

    Table 09:Table showing Strategic use of I.T. in supply chain management is effective based on category

    Statement

    Manager Supervisor Employee

    TotalAgree Disagree Agree Disagree Agree Disagree

    1) The types of systems are currently in use in your

    company to support Supply Chain Management is

    effective

    7 3 16 4 30 40 100

    2) Supply chain management adds value to thecustomers

    7 3 12 8 30 40 100

    3) The company is flexible with respect to newchanges with technologies in SCM 8 2 14 6 45 25 100

    4) The company is really benefited withimplementation of supply chain management

    9 1 14 6 36 34 100

    5) SCM is used as an effective strategy for longterm growth of the company

    7 3 15 5 32 38 100

    6) Supply chain can be managed with these factors 9 1 16 4 30 40 100

    7) How successful do you think is your company inmanaging its supply chain in general

    6 4 11 9 32 38 100

    8) The following factors that your company needs todo in order to manage its supply chain better

    7 3 14 6 49 21 100

    9) Does your companies separate logisticsdepartment will be effective

    10 0 17 3 47 23 100

    10) Does your company have a clear logisticsstrategic plan

    6 4 10 10 30 40 100

    TOTAL76 24 139 61 361 339

    100076% 24% 69% 31% 52% 48%

    5.2 FINDINGS FROM EFFECTIVE STRATEGIC USE OF I.T. IN SCM BASED ON

    CATEGORY

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    Survey reveals that most of the managers (76%) were satisfied compared to supervisors

    (69%) and employees (52%)

    From the survey of 100 respondents it is evident that about 58% of employees satisfied

    with their job Survey indicates that employees (67%) were not personally committed to the changes

    implemented in the company

    Analysis shows that 64% of the employees says company is not flexible to their

    responsibilities

    Also analysis reveals that 70% of employees in the IT/ITeS companies were not

    enthusiastic about the change in the company

    CHAPTER - 6

    RECOMMENDATIONS

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    RECOMMENDATION 1:

    BASIS FOR THE RECOMMENDATIONS:

    EXPECTED CONTRIBUTION:

    56

    Management should concentrate on relationship with customers andsuppliers to progress effective SCM

    Majority of the respondents hinted that Relationship with customers

    and suppliers & Just in Time supply is important by giving first and

    second rank to that statement. (Part 2(b))

    Since customers and suppliers are major source of key information,

    improving relationship with them improves overall effectiveness of

    SCM

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    RECOMMENDATION 2:

    BASIS FOR THE RECOMMENDATIONS:

    57

    Management should start implement the Key factors to improveoverall effectiveness of SCM

    Majority of the respondents hinted that Start implementing many key

    factors by giving first rank to that statement.

    (Part 2(b))

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    EXPECTED CONTRIBUTION:

    RECOMMENDATION 3:

    BASIS FOR THE RECOMMENDATIONS:

    EXPECTED CONTRIBUTION:

    58

    Creating better IT infrastructure improves overall effectiveness of

    SCM

    Start implementing the key factors increases the productivity with

    best quality which highlights the effectiveness of IT in SCM

    Majority of the respondents hinted that Better IT infrastructure plays

    a key role of enabling higher efficiency (Part 2(C))

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    CHAPTER - 7

    Conclusion

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    Better IT infrastructure improves better handling of key information

    in turns improves effectiveness of SCM

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    7. CONCLUSION

    The emerging issue in supply chain management is about sharing of

    information and efficient use of the information for coordinating business processes to deliver

    a superior value to the customers and hence I did hypothesis testing based on information

    collected from the target audience involved in day to day operations which has huge impact

    of supply chain management.

    From the information I have collected from the target audience states very clearly that role of

    I.T. and key information are very crucial part in SCM and I pointed out the problems

    associated with the implementation of better I.T. infrastructure in those industries and came

    out with better suggestions and recommendations.

    From the analysis part of data interpretation of key information collected from target

    audience, it was clearly identified that investment in I.T. infrastructure and handling those are

    the critical issues associated with the industries, especially among employees whose handling

    the key information.

    Hence I concluded that investment in better I.T. infrastructure is not the only solutions to

    those issues but to handling key information and implementation of better strategies to

    improve overall efficiency of I.T. in Supply chain management.

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    BIBLIOGRAPHY

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    BIBLIOGRAPHY

    Web:

    Ref (1) - http://en.wikipedia.org/wiki/Supply_chain_management

    Ref (2) - http://www.marcbowles.com/courses/adv_dip/module4/overview/overview.htm

    Books:

    Supply Chain Management : Strategy, Planning and Operation By Sunil Chopra and

    Peter Meindl

    Handbook of Supply Chain Management By James B. Ayers

    Supercharging Supply Chains: New Ways to Increase Value Through Global

    Operational Excellence By Gene R. Tyndall, Christopher Gopal, Wolfgang Partsch

    (Editor), John W. Kamauff

    Introduction to Supply Chain Management By Robert B. Handfield, Ernest L. Jr.

    Nichols

    No Boundaries : Moving Beyond Supply Chain Management By James A., Ph.D.

    Tompkins, Jim Tompkins

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    Ketchen Jr., G., & Hult, T.M. (2006). Bridging organization theory and supply chain

    management: The case of best value supply chains. Journal of Operations

    Management, 25(2) 573-580.

    Larson, P.D. and Halldorsson, A. (2004). Logistics versus supply chain management:

    an international survey

    ANNEXURE

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    QUESTIONNAIRE ON STRATEGIC USE OF I.T. IN SCM

    IIPM, Chennai 2009

    PART- 1

    1. Sex:

    A) Male [ ] B) Female [ ]

    2. Age:

    A) < 20 years [ ] B) 20-25 years [ ] C) 25-30 years [ ] D) >30 years

    3. Department that you work now:

    A) Production [ ] B) Marketing [ ] C) Customer Service [ ] D) Other [ ]

    4. Experience with the company:

    A) Less than 1 year [ ] B) 1-3 years [ ] C) 2-5 years [ ]

    D) More than 5 years [ ]

    5. Your Monthly Income:

    A) Under 10,000 [ ] B) 10,000-19,999 [ ] C) 20,000-29,999 [ ]

    D) 30, 0000 & above [ ]

    6. Qualification:

    A) Below UG [ ] B) UG [ ] C) PG [ ] D) Other [ ]

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    PART- 2(A)

    Please indicate your level of agreement with each of the following statements.

    1- Very strongly agree

    2- Strongly agree

    3- Agree

    4- Disagree

    5- Strongly disagree

    6- Very strongly disagree

    11. The types of systems are currently in use in your company to support SupplyChain Management is effective?

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    12. Supply chain management adds value to the customers.

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    13. The company is flexible with respect to new changes with technologies in

    SCM.

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    14. The company is really benefited with implementation of supply chainmanagement.

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    15. SCM is used as an effective strategy for long term growth of the company.

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

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    PART- 2(B)

    16. Supply chain can be managed with these factors? (Tick all that apply)

    1 Close partnership with suppliers

    2 Close partnership with customers

    3 JIT supply

    4 e-procurement

    5 EDI

    6 Outsourcing

    7 Vertical integration

    8 3PL

    9 Holding safety stock

    17. How successful do you think is your company in managing its supply chain ingeneral?

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    18. The following factors that your company needs to do in order to manage its supplychain better? (Tick allthat apply)

    Effective ImproveStartIm leme

    SatisfiedIneffective

    Nota ro ria

    Close partnership with suppliers

    Close partnership with customers

    JIT supply

    e-procurement

    EDI

    Outsourcing

    Vertical integration

    3PL

    Holding safety stock

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    Other (specify)

    19. Does your companies separate logistics department will be effective?

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    20. Does your company have a clear logistics strategic plan?

    1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    PART- 2(C)

    21. How satisfied are you with the use of I.T. in SCM?1 [ ] 2 [ ] 3 [ ] 4 [ ] 5 [ ] 6 [ ]

    22. How important are the following future measures for supporting your company effortin SCM and I.T.?

    Verystrongly

    agree

    Stronglyagree

    Agree DisagreeStronglydisagree

    Verystronglydisagree

    (1) (2) (3) (4) (5) (6)

    More education, e.g. formal

    Easier access to vocational

    More funding and financial

    More inter-country regional

    Better infrastructure e.g.

    Improved information

    Increased regional cooperationCloser cooperation between

    Other (specify)

    23. Please specify your personal opinion about the usage of I.T in SCM andrecommendations to improve in future?

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    RESPONSE SHEET NO: 1

    Details of student

    Name : KARTHIK KUMAR G

    Batch : SS/07-09/FINANCE

    Specialization : Marketing & Finance

    Mobile No : 9894107105

    E Mail ID : [email protected], [email protected]

    Thesis Id.: SS/00902/MKT

    Title of the thesisStrategic use of I.T. in Supply chain Management

    The outcome of the discussion: First part of the Questionnaire done by me was modified by

    my external guide Mr.Azim

    The Progress of the Thesis: My external guide gave few hints to do my second part of

    questionnaire & I have started working with my second part of questionnaire.

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    Date When the Guide Was Consulted: 18/04/2009

    RESPONSE SHEET NO: 2

    Details of student

    Name : KARTHIK KUMAR G

    Batch : SS/07-09/FINANCE

    Specialization : Marketing & Finance

    Mobile No : 9894107105

    E Mail ID : [email protected], [email protected]

    Thesis Id.: SS/00902/MKT

    Title of the thesis

    Strategic use of I.T. in Supply chain Management

    The outcome of the discussion: My external guide replied to the Questionnaire which I sent

    few days back with few corrections and told to modify it.

    The Progress of the Thesis: My guide told to change the mistake made in the questionnaire

    and told to send it back to get approved.

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    Date When the Guide Was Consulted: 27/04/2009

    RESPONSE SHEET NO: 3

    Details of student

    Name : KARTHIK KUMAR G

    Batch : SS/07-09/FINANCE

    Specialization : Marketing & Finance

    Mobile No : 9894107105

    E Mail ID : [email protected], [email protected]

    Thesis Id.: SS/00902/MKT

    Title of the thesis

    Strategic use of I.T. in Supply chain Management

    The outcome of the discussion: After modifying the Questionnaire, it was circulated for

    data collection to various Employees, Employers in retail industries. My external guide

    suggest me whom to target.

    The Progress of the Thesis: The Questionnaire was given for data collection and waiting for

    the respondent sheet for calculations.

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    Date When the Guide Was Consulted: 30/04/2009

    RESPONSE SHEET NO: 4

    Details of student

    Name : KARTHIK KUMAR G

    Batch : SS/07-09/FINANCE

    Specialization : Marketing & Finance

    Mobile No : 9894107105

    E Mail ID : [email protected], [email protected]

    Thesis Id.: SS/00902/MKT

    Title of the thesis

    Strategic use of I.T. in Supply chain Management

    The outcome of the discussion: I have circulated 100 questionnaires out of which only 47

    have replied, after eliminating few improper responses, my guide told me to circulate more

    questionnaires to few organizations & he told me to start with calculations by this week end

    after getting sample size of 100.

    The Progress of the Thesis: My external guide told me to circulate around 100

    questionnaires to few organizations; I planned to meet the employees or employer this week.

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    Date When the Guide Was Consulted: 04/05/2009

    RESPONSE SHEET NO: 5

    Details of student

    Name : KARTHIK KUMAR G

    Batch : SS/07-09/FINANCE

    Specialization : Marketing & Finance

    Mobile No : 9894107105

    E Mail ID : [email protected], [email protected]

    Thesis Id.: SS/00902/MKT

    Title of the thesis

    Strategic use of I.T. in Supply chain Management

    The outcome of the discussion: From the collected responses, calculation has done and

    reported to my external guide.

    The Progress of the Thesis: My external guide has approved my calculations and guided me

    to interpret the datas by hypothesis testing, with that comes out with appropriate

    recommendations and suggestions.

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    Date When the Guide Was Consulted: 15/05/2009

    RESPONSE SHEET NO: 6

    Details of student

    Name : KARTHIK KUMAR G

    Batch : SS/07-09/FINANCE

    Specialization : Marketing & Finance

    Mobile No : 9894107105

    E Mail ID : [email protected], [email protected]

    Thesis Id.: SS/00902/MKT

    Title of the thesis

    Strategic use of I.T. in Supply chain Management

    The outcome of the discussion: Interpretation and data analysis was discussed with my

    guide from the feedback from questionnaires.

    The Progress of the Thesis: My external guide has approved my interpretations and its

    recommendations and suggestions and finally appreciated my entire effort of this project

    outcome.

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    Date When the Guide Was Consulted: 22/05/2009