SDM PPT

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Sales and Distribution Management
P R E S E N TAT I O N O N :
I N F O R M AT I O N S Y S T E M S F O R P H Y S I C AL D I S T R I B U T I O N
P R E S E N T E D TO :
D R . A B H AYA R A N J A N S R I VA S TAVA
P R E S E N T E D B Y:
A r u n i m a A s t h a n a - M B A / 4 0 0 0 6 / 2 1
S a l o n i G u p t a - M B A / 4 0 0 4 1 / 2 1
S h r e y a C h o u d h a r y - M B A / 4 0 0 0 8 / 2 1
M u k u l - M B A / 4 0 0 5 9 / 2 1

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PHYSICAL DISTRIBUTION
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• P h y s i c a l d i s t r i b u t i o n i n c l u d e s a l l t h e a c t i v i t i e s a s s o c i a t e d w i t h t h e s u p p l y o f
f i n i s h e d p ro d u c t a t e v e r y s t e p , f ro m t h e p ro d u c t i o n l i n e t o t h e c o n s u m e r s .
• I m p o r t a n t p h y s i c a l d i s t r i b u t i o n f u n c t i o n s i n c l u d e c u s t o m e r s e r v i c e ; o r d e r
p ro c e s s i n g , i n v e n t o r y c o n t ro l , t r a n s p o r t a t i o n a n d l o g i s t i c s , a n d p a c k a g i n g a n d
m a t e r i a l s .
• I t i s b r i n g i n g p ro d u c t t o t h e m a r k e t a n d g i v i n g i t t o t h e f i n a l c o n s u m e r.
• A c c o r d i n g t o M o s s m a n a n d N o r t o n , D i s t r i b u t i o n i s t h e o p e r a t i o n w h i c h c re a t e s
t i m e , p l a c e a n d f o r m u t i l i t y t h ro u g h t h e m o v e m e n t o f g o o d s a n d p e r s o n s f ro m o n e
p l a c e t o a n o t h e r.
• P h i l i p K o t l e r – P h y s i c a l d i s t r i b u t i o n i n v o l v e s p l a n n i n g , i m p l e m e n t i n g a n d
c o n t ro l l i n g t h e p h y s i c a l f l o w o f m a t e r i a l s a n d f i n a l g o o d s f ro m t h e p o i n t o f o r i g i n
t o t h e p o i n t o f u s e t o m e e t c u s t o m e r re q u i re m e n t s a t a p ro f i t ‖

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OBJECTIVES
1 . To minimize t he dist ributio n co st
2 . To f ill t he g a ps bet ween t he pro ducer a nd t he co nsumer.
3 . To pro v ide t ime a nd pla ce ut ilit y t o g o o ds
4 . To increa se sa les v o lume a nd pro f it ma rg in
5 . To pro v ide cust o mer sa t isfa ction
6 . To minimize t he inv ent o ry lev el
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Importance of Physical Distribution
• Some of the benefits or importance of physical distribution
system are:
• 1. Creation of time and place utilities to goods
• 2. Reduction in cost of Distribution
• 3. Reduction of Selling price
• 4. Co-ordination between Demand and Supply
• 5. Better Customer Services
• 6. Stability of Prices
• 7. Increased Market Share
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Information Systems
• Information system is set of people, information technology, and business process in order to achieve a
business objective."
• Information systems are a set of interconnected elements working together to collect, process, store,
and distribute information to help coordination, visualization in an organization, analysis, and
decision-making.
• The Information system can be defined as a collection of software, hardware, and telecommunications
network that people develop and use to gather, create, and distribute useful data, mainly in
organizational settings.
• In other words, an information system means a collection of interrelated components which work
together to gather, process, store, and break down the information to help decision making.
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Dimensions of Information Systems
• There are various dimensions of an information system:
• 1. Organizational Dimension
• The information system is the organization's part. The ordinary operating procedure and culture of an
organization would be embedded in the information system.
• 2. Management Dimension
• In today's world, managers face business challenges. Information systems provide managers with the tools and
information they have to plan, manage, monitor their work, make decisions, develop new goods and services, and
make long-term tactical decisions.
• 3. Technology Dimension
• Management makes use of technology to fulfill their duties. It contains- computer hardware and software,
networking/telecom technology, and data management. It's one of the many strategies a manager can use to deal
with changes. Organizational levels, processing, system goals, mode of data and type of support provided are used
to classify information systems.
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Information Systems for Physical Distribution
Distribution shows some aspects that are of particular importance due to its inertia, since a distribution
circuit cannot be altered with the same ease with which an advertising campaign or prices are changed.
Distribution is an activity that concerns all companies.
All consumers like to easily find the goods and products they need without having to cover longer
distances.
However, on the one hand, production centers and consumption sites have separate locations, i.e.
manufacturing plants are located away from large urban centers (cities); while production periods do
not point to the moment of consumption, on the other.
For example, summer clothes are produced in winter
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Objectives
Managing and controlling the set of activities carried out by the producer or by other companies to bring products to consumers,
is the main aim of this module or information systems.
Information Collection
Data are gathered from the supply of goods and/ or services, as well as data from customers and suppliers; such as the company
name, its location, address, contact, telephone number and other possible data collection at the time used in order recording,
including payment.
Information Processing
There are a number of possibilities between two extreme positions:
• Commercial officers delegate the responsibility of distribution operations to intermediaries, whether wholesalers (warehousers),
agents, franchisees, or buying centers;
• Producer takes on the reports of tasks, creating points of sale or warehouses, organizing a fleet of trucks, and hiring sales teams.
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Information Systems for Order Processing
Brightpearl is one of the best order management software which is built to efficiently manage your
orders with the features of automated ordering, fulfillment, shipping, and invoicing workflows.
Pros:
• Easy to use
• Excellent customer support services
• Data integration
Cons:
• Expensive
Verdict:
• Brightpearl is a highly recommended order management system but it can prove to be costly for small
businesses if they want to have more features and go beyond the basic plan.
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Information Systems for Storage & Warehousing
• Warehouse Management Systems (WMS) help us in managing all these operations.
• Warehouse management systems help organizations in developing their competitive edge.
• The use of WMS will minimize the labor charges and thereby improve customer services.
• Cloud-based WMS will give us visibility to the real-time data, which will show the status of the
inventory.
• If we have the internet, we will be able to see it on computers, phones, tablets, etc
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Information Systems for Inventory Control
• An inventory management system (IMS) is software for tracking inventory, controlling stock levels,
handling orders, sales, returns, reports, and more. It helps automate the previously manual processes
and increases efficiency, accuracy, and speed of operations.
• There are two main types of IMSs:
1.Perpetual system that manages inventory in real-time, and
2.Periodic system that conducts occasional counts of stock and provides periodic updates.
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Information Systems for Material Handling
• Material Management system “MMS” is a complete solution to control day-to-day supply chain
operations.
• Material Management system tracks every item down to its individual units anywhere in the
laboratory and covers the complete material life cycle from initial receiving (check-in) to disposal.
• To cover all the items, the system tracks them in areas, where traditional ERP/Stock systems cannot
reach.
• Monitor stock consumption and generate push notifications when a stock is near re-order limit.
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Information Systems for Transportation
• A transportation management system (TMS) is a logistics platform that uses technology to help
businesses plan, execute, and optimize the physical movement of goods, both incoming and outgoing,
and making sure the shipment is compliant, proper documentation is available.
• This kind of system is often part of a larger supply chain management (SCM) system.
• Sometimes known as a transportation management solution or transportation management
software, a TMS provides visibility into day-to-day transportation operations, trade compliance
information and documentation, and ensuring the timely delivery of freight and goods.
• Transportation management systems also streamline the shipping process and make it easier for
businesses to manage and optimize their transportation operations, whether they are by land, air, or
sea.
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Thank You!