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Supply Chain ManagementSupply Chain Management
Group membersGroup members
• Naveen K R
• Moses A
• Namratha K A
• Manohar N
• Shravani
• Karthic A
• Nitesh B
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3
DefinitionDefinition
• A supply chain is a network of facilities and
distribution options that performs the
functions of procurement of materials
transformation of these materials into
intermediate and finished products, and the
distribution of these finished products to
customers
4
Question 1Question 1
Students are expected to choose any 2
Indian Organization and study their
supply chain in terms of drivers of the
Supply chain and submit a report
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SUPPLY CHAIN MANAGEMENT OF
“AMUL”
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Amul Supply ChainAmul Supply Chain
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Logistics Process
• Logistics in collection
• The logistics process of Amul collects 6 million liters of
milk per day From about 10,600 separate village
cooperative societies. Approximately 2.8 million milk
producing member.
• Logistics in coordination
• The Logistics in Coordination of Amul consist of:
• Storing the milk.
• Processing the milk.
• Distributing the milk.
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• Supplier logistics
• The Supplier Logistics of Amul consist of:
• Weighing the milk.
• Determining of fat content.
• Calculation of the purchase price
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Distribution Process of Amul
THE CHANNEL NETWORK
• Procurement channel- upstream flow
• Distribution channel- downstream flow
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Reverse Logistics
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MILK CHURN
From dairy to Village cooperative society
POUCH MILK TRAY
From retailer to dairy
BOTTLE
From retailer to dairy
DAMAGED PRODUCTS
From customer to retailer then to dairy
•AMUL
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Dabbawalas
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Dabbawalas Profile:
• Firstly started in Mumbai in year 1890.
• Started with 20 Dabbawala later extended to 100.
• Initial Cost to client in rs.2 per month.
• 5000 recruits, 175000 clients.
• 75 kms of public transport.
• Failure: once in two months, one in 16 million.
• Rs. 380 million per annum.
• Daily they deliver 200000 dabbas that means
400000 transactions per day.
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Dabbawalas Unique Feature
• No over-reliance on technology.
• Create an integrated performance chain
• Acute visibility
• Keep it simple. Real simple
17
Customer Profile of The Dabbawala
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Supply Chain Management Of Dabbawala
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How dabbawalas works do you know then
watch this.
Dabbawalas 1
Dabbawalas 2
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Dabbawalas dabbas identificationDabbawalas dabbas identification
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QuestionQuestion
•Third Party And Fourth Party
Logistic
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Third party logistic companyThird party logistic company
• 3PL firm is an external company carrying
out logistics activities on behalf of the
shipper. However, 3PL firms do not merely
replace shippers to provide logistics
solutions that are traditionally done in-
house.
23
Types of 3pl Providers
• Transportation Based
• Services extend beyond transportation to offer a comprehensive
set of logistics offerings.
• Leveraged 3PLs use assets of other firms.
• Non-leveraged 3PLs use assets belonging solely to the parent
firm.
• Examples: Ryder, Schneider Logistics, FedEx Logistics, UPS
Logistics
• Warehouse/Distribution Based
• Many have former warehouse and/or distribution experience.
• Examples: DSC Logistics, USCO, Excel, Caterpillar Logistics,
IBM
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• Financial Based
• Provide freight payment and auditing, cost accounting and
control, and tools for monitoring, booking, tracking, tracing, and
managing inventory.
• Examples: Cass Information Systems, CTC, GE Information
Services, FleetBoston
• Information Based
• Significant growth and development in this category of Internet-
based, business-to-business, electronic markets for
transportation and logistics services.
• Examples: Trans place, Nistevo
25
Categories of 3 pl Providers
• 1)Standard 3PL providers: this is the most basic form of a 3PL
provider. They would perform activities such as, pick and pack,
warehousing, and distribution (business) – the most basic functions of
logistics. For a majority of these firms, the 3PL function is not their
main activity.
• 2) Service developers: this type of 3PL provider will offer their
customers advanced value-added services such as: tracking and tracing,
cross-docking, specific packaging, or providing a unique security
system. A solid IT foundation and a focus on economies of scale and
scope will enable this type of 3PL provider to perform these types of
tasks.
26
• 3) The customer adapters: this type of 3PL provider comes in at the
request of the customer and essentially takes over complete control of
the company’s logistics activities. The 3PL provider improves the
logistics dramatically, but do not develop a new service. The customer
base for this kind of 3PL service is quite small.
• 4) The customer developers: this is the highest level that a 3PL
provider can attain with respect to its processes and activities. This
occurs when the 3PL provider integrates itself with the customer and
takes over their entire logistics function. These providers will have few
customers, but will perform extensive and detailed tasks for them.
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Agarwal Movers Group
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Agarwal Movers Group comprises of such topAgarwal Movers Group comprises of such top
of the line companies like :of the line companies like :
Transportation of Household Goods
Agarwal Packers and Movers rose from humble beginnings in 1987
with the establishment of "Agarwal Household Carrier". 'From tiny
acorns do mighty oaks grow', exemplifies the rapid rise and growth
of the group into one of India's largest.
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LOGISTICS SERVICES
APM Logistics is built on the premise that the purpose of
supply chain solutions is to make business successful.
Agarwal Movers Group Logistics is the first organization to
introduce an Achievements Service in the India.
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• APM INFRASTRUCTURE (Project/Infra)
APM Infrastructure Pvt. Ltd., a division of Agarwal Movers Group provides
roofing solutions for commercial, agriculture and industrial groups like
warehouses, godowns, large sheds for agri commodities, swimming pool,
garages, defense structures, and animal shelter.
31
• WAREHOUSING SERVICES
• A well maintained warehouse offers complete safety of your goods.
Hygienically maintained, our ware-house has large storing capacity. Well
segregated and secured, we have all the latest tools and equipment to
guarantee safety of your goods. Our all warehouses are on government
approved land.
32
• Agarwal Packers and Movers International Moving
• Doing business with international clients requires more than just
financial acumen. A lack of knowledge about a customer's
culture can lead to misunderstanding, frustration and potential
embarrassment.
33
•Agarwal
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Fourth Party LogisticsFourth Party Logistics
•A fourth party logistics provider is primarily
coordinator of other supply chain partners
through the ownership and maintenance of
information systems. This is differentiated
from third party logistics providers that
provide physical handling and or
transportation of goods.
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36
37
38
39
Step1: You send your products to Amazon
            You send your new or used products to Amazon’s fulfillment centers
Step2: Amazon stores your products
            Amazon catalogs and stores your products in their ready-to-ship inventory
Step3: Customers order your products
            Customers search for and purchase your products directly on Amazon.com,
 or on other e-commerce channels such as your own site
Step4: Amazon picks and packs your products
            Fulfillment by Amazon picks your products from inventory and packages them
Step5: Amazon ships your products and provides support
            Amazon ships products to customers from their network of fulfillment centers
40
During these steps, Amazon as a fourth-party provider provides 
value-added services including:
“Sell on Amazon” 
that let you sell your products on the Amazon Marketplace,   
 “Amazon Payments” 
that let customers pay with their Amazon accounts
“Build a Website” 
that let you build a full-featured E-Commerce web store
“Advertise on Amazon” 
that let to advertise on Amazon’s website
41
QuestionQuestion
Students can identify the various types
of IT applications employed by
Indian Organizations in their
Supply chain.
IT In Supply Chain Management
42
IT initiatives include:IT initiatives include:
 
•Use of bar-coding in logistics systems
•Use of EDI to communicate between 
branches
•Use of Material Requirements Planning
•Enterprise Solutions like ERP
•Internet and Web Services for 
communication between partners
43
The objectives of IT in SCM are:The objectives of IT in SCM are:
•1. Providing information availability and 
visibility;
•2. Enabling a single point of contact for data;
•3. Allowing decisions based on total supply 
chain information; and
•4. Enabling collaboration with partners
44
Existing Information Technology Tools
And Applications In Supply Chain
Management
45
Electronic Data Interchange (EDI)
• EDI  is  defined  as  computer  to  computer 
exchange  of  structured  data  for  automatic 
processing.  EDI  is  used  by  supply  chain 
partners  to  exchange  essential  information 
necessary for the effective running of their 
businesses.  These  structural  links  are 
usually  set  up  between  organizations  that 
have a long term trading relationship. 
46
benefits of EDI are:
Quick process to information,
Better customer service, 
reduced paper work, 
Increased productivity, 
Improved tracing and expediting,
Cost efficiency and improved billing.
47
Bar coding and Scanner:
• Bar  Codes  are  the  representation  of  a 
number  or  code  in  a  form  suitable  for 
reading by machines. Bar codes are widely 
used throughout the supply chain to identify 
and track goods at all stages in the process. 
Bar  codes  are  a  series  of  different  width 
lines that may be presented in a horizontal 
order, called ladder orientation, or a vertical 
order, called picket fence orientation. 
48
Enterprise Resource Planning (ERP) Systems
• Enterprise Resource Planning (ERP) Systems are 
Enterprise-wide  Information  Systems  used  for 
automating  all  activities  and  functions  of  a 
business. These are transaction-based information 
systems  that  are  integrated  across  the  whole 
business. Basically, they allow for data capture for 
the whole business into a single computer package 
which’s  give  a  single  source  for  all  the  key 
business  information  activities,  such  as  customer 
orders, inventory and financials. 
49
Warehouse Management Systems:
• Warehouse  management  systems  are 
systems  that  control  all  the  traditional 
activities  of  warehouse  operations.  Areas 
covered  usually  include  receipt  of  goods, 
allocation or recording of storage locations, 
replenishment  of  picking  locations, 
production  of  picking  instructions  or  lists, 
order  picking,  order  assembly  and  stock 
rotation. 
50
Transportation Management Systems:
• Transportation  Management  Systems  provide 
more  visibility  into  shipments  and  orders. 
Scheduling  issues  are  also  addressed  on  time. 
Multiple transportation options can be explored as 
a result of earlier visibility into the supply chain. 
Timely communication and status reports can also 
be  obtained.  By  having  control  on  its  supply 
chain,  businesses  can  make  efficient  routing 
decisions. 
51
Emerging And New Information
Technology Solutions For Supply Chain
Management
52
Radio Frequency Identification (RFID)
•The  bar  code  was  intended  to  improve 
efficiencies  in  the  retail  space,  but  the  bar 
code  cannot  uniquely  identify  the  specific 
object such as when items are produced, the 
lot of the items was made and when will the 
items  expire.  RFID  was  able  to  take  care  of 
these issues. 
53
Decision Support Systems (DSS)Decision Support Systems (DSS)
Decision  Support  Systems  (DSS)  are  a 
specific  class  of  computerized  information 
systems  that  supports  business  and 
organizational  decision-making  activities.  A 
properly  designed  DSS  is  an  interactive 
software-based  system  intended  to  help 
decision  makers  compile  useful  information 
from  raw  data,  documents,  personal 
knowledge, and/or business models to identify 
and solve problems and make decisions.  54
Web Services
55
 
Web  services  are  application  interfaces  accessible  via  Internet 
standards  that  use  XML  and  that  employ  at  least  one  of  the 
following  standards:  Simple  Object  Access  Protocol  (SOAP), 
Web  Services  Description  Language  (WSDL)  or  Universal 
Description, Discovery and Integration (UDDI). 
56
Electronic Commerce
57
• E-tailing: using the Internet for selling
goods over the internet. The archetypal e-
tailing application is that of a bookseller
such as Amazon. This company is
renowned for the fact that it only sells
books over the internet and doesn't even
take telephone orders.
58
• E- Procurement: The term procurement is
used to describe the purchase of goods and
services which are not directly used in the
main business of a company.
59
• E-Auctions: These are sites on the web which run
conventional auctions. There are two types of
auction:
• Real time Action: where participants log in to an
auction site using a browser at a specified time
and bid for an article until the highest price is
reached and no other bids are forthcoming.
• The other type of site – and the most common – is
where an item is offered for sale and a date
advertised after which no more bids are accepted.
60
QuestionQuestion
Students can identify any
product/service and study the type of
distribution system used and
understand the reason for using that
particular type.
61
Dell ComputerDell Computer
62
History of Dell:
63
HistoryHistory
64
Direct Seller:
• Dell started out as a direct seller, first using
a mail-order system, and then taking
advantage of the internet to develop an
online sales platform. Well before use of the
internet went mainstream, Dell had begun
integrating online order status updates and
technical support into their customer-facing
operations.
65
Direct selling modelDirect selling model
• Started in 1996
66
Component supplierComponent supplier
• The supplier of high-tech component, such
as microprocessors and software provided
by firms such as Intel and Microsoft,
• The low-tech, low-differentiation
component were supplied by small multiple
players
67
Original EquipmentOriginal Equipment
manufacturermanufacturer
• The OEM traditionally would receive all the
parts from their suppliers, assemble the
computers in their production lines and ship
them over the their distributors or corporate
resellers.
• Eg:
68
DistributorsDistributors
• They generally supply to corporate resellers
and other distributors.
• They carry large qualities of different
products, to increase their leverage when
dealing with their customers.
• They also provided specific software,
peripherals, furniture, etc.
• Eg: Ingram Micro, Tech Data, Santech.
69
Corporate resellers/systemCorporate resellers/system
• The corporate resellers or systems
integrators generally buy systems directly
from manufacturers and install these
systems at their corporate clients.
70
71
Dell direct selling modelDell direct selling model
72
Dell SegmentDell Segment
73
Benefits to company by suchBenefits to company by such
distributiondistribution
74
75
76

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Presentation 1

  • 2. Group membersGroup members • Naveen K R • Moses A • Namratha K A • Manohar N • Shravani • Karthic A • Nitesh B 2
  • 3. 3 DefinitionDefinition • A supply chain is a network of facilities and distribution options that performs the functions of procurement of materials transformation of these materials into intermediate and finished products, and the distribution of these finished products to customers
  • 4. 4 Question 1Question 1 Students are expected to choose any 2 Indian Organization and study their supply chain in terms of drivers of the Supply chain and submit a report
  • 6. 6
  • 7. 7 Amul Supply ChainAmul Supply Chain
  • 8. 8
  • 9. Logistics Process • Logistics in collection • The logistics process of Amul collects 6 million liters of milk per day From about 10,600 separate village cooperative societies. Approximately 2.8 million milk producing member. • Logistics in coordination • The Logistics in Coordination of Amul consist of: • Storing the milk. • Processing the milk. • Distributing the milk. 9
  • 10. • Supplier logistics • The Supplier Logistics of Amul consist of: • Weighing the milk. • Determining of fat content. • Calculation of the purchase price 10
  • 12. THE CHANNEL NETWORK • Procurement channel- upstream flow • Distribution channel- downstream flow 12
  • 13. Reverse Logistics 13 MILK CHURN From dairy to Village cooperative society POUCH MILK TRAY From retailer to dairy BOTTLE From retailer to dairy DAMAGED PRODUCTS From customer to retailer then to dairy
  • 16. Dabbawalas Profile: • Firstly started in Mumbai in year 1890. • Started with 20 Dabbawala later extended to 100. • Initial Cost to client in rs.2 per month. • 5000 recruits, 175000 clients. • 75 kms of public transport. • Failure: once in two months, one in 16 million. • Rs. 380 million per annum. • Daily they deliver 200000 dabbas that means 400000 transactions per day. 16
  • 17. Dabbawalas Unique Feature • No over-reliance on technology. • Create an integrated performance chain • Acute visibility • Keep it simple. Real simple 17
  • 18. Customer Profile of The Dabbawala 18
  • 19. Supply Chain Management Of Dabbawala 19
  • 20. How dabbawalas works do you know then watch this. Dabbawalas 1 Dabbawalas 2 20
  • 21. Dabbawalas dabbas identificationDabbawalas dabbas identification 21
  • 22. QuestionQuestion •Third Party And Fourth Party Logistic 22
  • 23. Third party logistic companyThird party logistic company • 3PL firm is an external company carrying out logistics activities on behalf of the shipper. However, 3PL firms do not merely replace shippers to provide logistics solutions that are traditionally done in- house. 23
  • 24. Types of 3pl Providers • Transportation Based • Services extend beyond transportation to offer a comprehensive set of logistics offerings. • Leveraged 3PLs use assets of other firms. • Non-leveraged 3PLs use assets belonging solely to the parent firm. • Examples: Ryder, Schneider Logistics, FedEx Logistics, UPS Logistics • Warehouse/Distribution Based • Many have former warehouse and/or distribution experience. • Examples: DSC Logistics, USCO, Excel, Caterpillar Logistics, IBM 24
  • 25. • Financial Based • Provide freight payment and auditing, cost accounting and control, and tools for monitoring, booking, tracking, tracing, and managing inventory. • Examples: Cass Information Systems, CTC, GE Information Services, FleetBoston • Information Based • Significant growth and development in this category of Internet- based, business-to-business, electronic markets for transportation and logistics services. • Examples: Trans place, Nistevo 25
  • 26. Categories of 3 pl Providers • 1)Standard 3PL providers: this is the most basic form of a 3PL provider. They would perform activities such as, pick and pack, warehousing, and distribution (business) – the most basic functions of logistics. For a majority of these firms, the 3PL function is not their main activity. • 2) Service developers: this type of 3PL provider will offer their customers advanced value-added services such as: tracking and tracing, cross-docking, specific packaging, or providing a unique security system. A solid IT foundation and a focus on economies of scale and scope will enable this type of 3PL provider to perform these types of tasks. 26
  • 27. • 3) The customer adapters: this type of 3PL provider comes in at the request of the customer and essentially takes over complete control of the company’s logistics activities. The 3PL provider improves the logistics dramatically, but do not develop a new service. The customer base for this kind of 3PL service is quite small. • 4) The customer developers: this is the highest level that a 3PL provider can attain with respect to its processes and activities. This occurs when the 3PL provider integrates itself with the customer and takes over their entire logistics function. These providers will have few customers, but will perform extensive and detailed tasks for them. 27
  • 29. Agarwal Movers Group comprises of such topAgarwal Movers Group comprises of such top of the line companies like :of the line companies like : Transportation of Household Goods Agarwal Packers and Movers rose from humble beginnings in 1987 with the establishment of "Agarwal Household Carrier". 'From tiny acorns do mighty oaks grow', exemplifies the rapid rise and growth of the group into one of India's largest. 29
  • 30. LOGISTICS SERVICES APM Logistics is built on the premise that the purpose of supply chain solutions is to make business successful. Agarwal Movers Group Logistics is the first organization to introduce an Achievements Service in the India. 30
  • 31. • APM INFRASTRUCTURE (Project/Infra) APM Infrastructure Pvt. Ltd., a division of Agarwal Movers Group provides roofing solutions for commercial, agriculture and industrial groups like warehouses, godowns, large sheds for agri commodities, swimming pool, garages, defense structures, and animal shelter. 31
  • 32. • WAREHOUSING SERVICES • A well maintained warehouse offers complete safety of your goods. Hygienically maintained, our ware-house has large storing capacity. Well segregated and secured, we have all the latest tools and equipment to guarantee safety of your goods. Our all warehouses are on government approved land. 32
  • 33. • Agarwal Packers and Movers International Moving • Doing business with international clients requires more than just financial acumen. A lack of knowledge about a customer's culture can lead to misunderstanding, frustration and potential embarrassment. 33
  • 35. Fourth Party LogisticsFourth Party Logistics •A fourth party logistics provider is primarily coordinator of other supply chain partners through the ownership and maintenance of information systems. This is differentiated from third party logistics providers that provide physical handling and or transportation of goods. 35
  • 36. 36
  • 37. 37
  • 38. 38
  • 39. 39 Step1: You send your products to Amazon             You send your new or used products to Amazon’s fulfillment centers Step2: Amazon stores your products             Amazon catalogs and stores your products in their ready-to-ship inventory Step3: Customers order your products             Customers search for and purchase your products directly on Amazon.com,  or on other e-commerce channels such as your own site Step4: Amazon picks and packs your products             Fulfillment by Amazon picks your products from inventory and packages them Step5: Amazon ships your products and provides support             Amazon ships products to customers from their network of fulfillment centers
  • 41. 41 QuestionQuestion Students can identify the various types of IT applications employed by Indian Organizations in their Supply chain.
  • 42. IT In Supply Chain Management 42
  • 43. IT initiatives include:IT initiatives include:   •Use of bar-coding in logistics systems •Use of EDI to communicate between  branches •Use of Material Requirements Planning •Enterprise Solutions like ERP •Internet and Web Services for  communication between partners 43
  • 44. The objectives of IT in SCM are:The objectives of IT in SCM are: •1. Providing information availability and  visibility; •2. Enabling a single point of contact for data; •3. Allowing decisions based on total supply  chain information; and •4. Enabling collaboration with partners 44
  • 45. Existing Information Technology Tools And Applications In Supply Chain Management 45
  • 46. Electronic Data Interchange (EDI) • EDI  is  defined  as  computer  to  computer  exchange  of  structured  data  for  automatic  processing.  EDI  is  used  by  supply  chain  partners  to  exchange  essential  information  necessary for the effective running of their  businesses.  These  structural  links  are  usually  set  up  between  organizations  that  have a long term trading relationship.  46
  • 48. Bar coding and Scanner: • Bar  Codes  are  the  representation  of  a  number  or  code  in  a  form  suitable  for  reading by machines. Bar codes are widely  used throughout the supply chain to identify  and track goods at all stages in the process.  Bar  codes  are  a  series  of  different  width  lines that may be presented in a horizontal  order, called ladder orientation, or a vertical  order, called picket fence orientation.  48
  • 49. Enterprise Resource Planning (ERP) Systems • Enterprise Resource Planning (ERP) Systems are  Enterprise-wide  Information  Systems  used  for  automating  all  activities  and  functions  of  a  business. These are transaction-based information  systems  that  are  integrated  across  the  whole  business. Basically, they allow for data capture for  the whole business into a single computer package  which’s  give  a  single  source  for  all  the  key  business  information  activities,  such  as  customer  orders, inventory and financials.  49
  • 50. Warehouse Management Systems: • Warehouse  management  systems  are  systems  that  control  all  the  traditional  activities  of  warehouse  operations.  Areas  covered  usually  include  receipt  of  goods,  allocation or recording of storage locations,  replenishment  of  picking  locations,  production  of  picking  instructions  or  lists,  order  picking,  order  assembly  and  stock  rotation.  50
  • 51. Transportation Management Systems: • Transportation  Management  Systems  provide  more  visibility  into  shipments  and  orders.  Scheduling  issues  are  also  addressed  on  time.  Multiple transportation options can be explored as  a result of earlier visibility into the supply chain.  Timely communication and status reports can also  be  obtained.  By  having  control  on  its  supply  chain,  businesses  can  make  efficient  routing  decisions.  51
  • 52. Emerging And New Information Technology Solutions For Supply Chain Management 52
  • 53. Radio Frequency Identification (RFID) •The  bar  code  was  intended  to  improve  efficiencies  in  the  retail  space,  but  the  bar  code  cannot  uniquely  identify  the  specific  object such as when items are produced, the  lot of the items was made and when will the  items  expire.  RFID  was  able  to  take  care  of  these issues.  53
  • 54. Decision Support Systems (DSS)Decision Support Systems (DSS) Decision  Support  Systems  (DSS)  are  a  specific  class  of  computerized  information  systems  that  supports  business  and  organizational  decision-making  activities.  A  properly  designed  DSS  is  an  interactive  software-based  system  intended  to  help  decision  makers  compile  useful  information  from  raw  data,  documents,  personal  knowledge, and/or business models to identify  and solve problems and make decisions.  54
  • 55. Web Services 55   Web  services  are  application  interfaces  accessible  via  Internet  standards  that  use  XML  and  that  employ  at  least  one  of  the  following  standards:  Simple  Object  Access  Protocol  (SOAP),  Web  Services  Description  Language  (WSDL)  or  Universal  Description, Discovery and Integration (UDDI). 
  • 56. 56
  • 58. • E-tailing: using the Internet for selling goods over the internet. The archetypal e- tailing application is that of a bookseller such as Amazon. This company is renowned for the fact that it only sells books over the internet and doesn't even take telephone orders. 58
  • 59. • E- Procurement: The term procurement is used to describe the purchase of goods and services which are not directly used in the main business of a company. 59
  • 60. • E-Auctions: These are sites on the web which run conventional auctions. There are two types of auction: • Real time Action: where participants log in to an auction site using a browser at a specified time and bid for an article until the highest price is reached and no other bids are forthcoming. • The other type of site – and the most common – is where an item is offered for sale and a date advertised after which no more bids are accepted. 60
  • 61. QuestionQuestion Students can identify any product/service and study the type of distribution system used and understand the reason for using that particular type. 61
  • 65. Direct Seller: • Dell started out as a direct seller, first using a mail-order system, and then taking advantage of the internet to develop an online sales platform. Well before use of the internet went mainstream, Dell had begun integrating online order status updates and technical support into their customer-facing operations. 65
  • 66. Direct selling modelDirect selling model • Started in 1996 66
  • 67. Component supplierComponent supplier • The supplier of high-tech component, such as microprocessors and software provided by firms such as Intel and Microsoft, • The low-tech, low-differentiation component were supplied by small multiple players 67
  • 68. Original EquipmentOriginal Equipment manufacturermanufacturer • The OEM traditionally would receive all the parts from their suppliers, assemble the computers in their production lines and ship them over the their distributors or corporate resellers. • Eg: 68
  • 69. DistributorsDistributors • They generally supply to corporate resellers and other distributors. • They carry large qualities of different products, to increase their leverage when dealing with their customers. • They also provided specific software, peripherals, furniture, etc. • Eg: Ingram Micro, Tech Data, Santech. 69
  • 70. Corporate resellers/systemCorporate resellers/system • The corporate resellers or systems integrators generally buy systems directly from manufacturers and install these systems at their corporate clients. 70
  • 71. 71
  • 72. Dell direct selling modelDell direct selling model 72
  • 74. Benefits to company by suchBenefits to company by such distributiondistribution 74
  • 75. 75
  • 76. 76