Integrated Supply Chain Management for Tasty Flavours

1. Oprathon Case Study
TEAM: MAVERICKS
MALAY
GOKUL

2. Case Background
• Tasty Flavours Ltd.
• FMCG company with an annual turnover of nearly 850 crores.
• 42 depots and 4,200 distributors spread over the entire country.
• Profile comprise of 10 categories such as branded coconut oil, jam,
cooking oil and special flavour

3. Sales and Distribution
problems
Individual or
employee dependent
processes.
Large distribution
network
Lack of
communication
channels
lack of coordination at
all levels
Feedback mechanism
not effective.
Short Planning
Cycles(20-25 days)
Corrective actions
could not be made.
No monitoring
processes.
Lack of flexibilty
Longer Operating
Cycle.
Market variations
could not be taken
into consideration.
Sales and Distribution Problems

4. Present ISCM

5. ISCM
Lower
Inventory
costs.
No loss of
sale because
of Stockouts.
Better and
Faster
Sourcing.
Better data
collection
and
utilization.
Flexible to
market
fluctuations.
Ease in
monitoring
the
performance.
Shorter and
effective
operating
cycles.
Benefits of ISCM

6. Assessing supply chain opportunities
Developing an ISCM vision and strategy
Creating the optimum ISCM organizational
structure
Establishing the ISCM information and
communication network using information
technologies
Translating the ISCM strategy into actions
Action Plan

7. Manufacturing
Sales and
Distribution
team
Depot 1
Distributor 1
Retailer
Retailer
Retailer
Distributor 2
Retailer
Retailer
Depot 2 Distributor 3
Retailer
Retailer
Assessing supply chain opportunities
Loss of sale( stock outs)
Inventory Cost( surplus)
Demand and production mismatch
Reordering Procedures
In-transit goods

8. Sales and
Distribution
team
Depot 1
Distributor 1
Retailer
Retailer
Retailer
Distributor 2
Retailer
Retailer
Depot 2 Distributor 3
Retailer
Retailer
Production
Planning
Manufacturing
information
material
Developing an ISCM vision and
strategy
Creating the optimum ISCM
organizational structure
Role of Information technology
Suppliers
Forecasting

9. Distributor
 Collate Daily Sales data
 Send out the demand
on weekly basis
 Send out consumption
patterns
 Receive supplies
 Send the out to retailers
 Act as data collection
points.
Demand
coming
from
retailers
(daily basis)
Supplies
pushed as per
consumption
patterns
Demand
being sent
to depots
Supplies
pulled as
per demand
PULL PUSH
Translating the ISCM strategy
into actions

10. Performance Metrics
Forecast vs.
Actual Demands
Stock with any
unit at any point
of time
Inventory days
of supply
On time
shipping rate
Inventory
Velocity

11. THANKS