Presentation on Supply Chain
Management of
Rajanigandha Melamine and Plastic

University of Dhaka
Department of
International Business

Member List
Business Dynamics
Name ID
Md. Nurul Hudda 253
Al Amin 255
Rabiul Hasan 256
Md. Fahad Hossain 258
MD. Shahriar Sharif 262
Md. Abir Hossan 271

 Company Introduction.
 Supply Chain Drivers of the Company.
 Explanation of total supply chain system.
 Problem identification.
 Recommendation.
Overview of the Presentation

 Rajanigandha melamine and plastic was established in
1991.
 The founder is MR. Montu Rahman.
 Situated at 123 Becharam Deori, Chawkbazar, Dhaka.
 It is a manufacturer, Distributor and retailer.
Company Introduction

Supply chain drivers of the
Company

Facilities
 Single manufacturing site.
 Three Storage sits.
 Centralization of demand due to closer facilities.
 Flexible production capacity focusing on products.
 Positive externality facility.

Inventory
 Molding powder.
 Shining powder.
 Printed paper.
 Maintains minimum 500 sacks of molding powder.

Transportation
 Inbound Transportation
Loading
materials on
ship
Unloading
on trucks
Transportin
g by trucks
to factory
Materials
carried to
factory

 Information
Marketing
managers
advice
Production
Decisions

 Sourcing:
 Imported raw material.
 In house production.
 Supplier efficiency.
 Reduction in lead time

 Pricing:
 Providing products in cheapest rate.
 Sale on credits.

Supply Chain Process Cycle
Rajnigandha Melamine Ltd
Pull
Processes
Push
Processes
Customer Order Cycle
Replenishment and
Manufacturing Cycle
Procurement Cycle
Customer
Order
Arrives

Distribution Network Design
Manufacturer & Retail Storage With Customer
Pickup
Consumers
Independent
Retailers
Distribution
Center
Factory
Figure - Distribution Network Design

Performance Characteristics
Cost Factors Performance
Inventory Very high inventory cost. warehouse costs
240,000 per year.
Transportation Low transportation cost . Customers pick up
products from store. In some cases
Rajnigandha only gives cost of loading on
vehicle.
Facilities and
handling
Facility costs are:-
o Factory: 450,000 tk per year.
o Distribution Center: 120,000 tk per year
plus tk 6,000 tax.
o Warehouse: 240,000 per year.
Information No information structure is required.
•Directly from customers or through retailers

Service Factors Performance
Response time Same-day pickup
Product variety Product variety is low.
Product
availability
Product is available every time.
Returnability Returnability easy. Customers just
bring the product in the store.
Performance Characteristics
500 sacks of moulding compound as safety stock
Most important and Class A raw material in
money value is moulding compound.
Control of Inventory of Raw Materials
ABC Analysis
Materials Money Value Class
Moulding
Compound
141,000,000 A
Shining
Powder
113,000 B
Printed Paper 39,000 C
Packaging 60,000 C
List of raw
materials as of
ABC analysis:

 Weak information System
 Less interaction with customers
 Research & Development
 Sales related problem
 Faulty product
Problem Identification

 Collaboration with supply chain partners.
 Integrating Information network System.
 Creating a Customer base.
 Utilization of the resources.
 Managing the account receivable.
Recommendations

Thank You

Presentation1

  • 1.
    Presentation on SupplyChain Management of Rajanigandha Melamine and Plastic
  • 2.
     University of Dhaka Departmentof International Business
  • 3.
     Member List Business Dynamics NameID Md. Nurul Hudda 253 Al Amin 255 Rabiul Hasan 256 Md. Fahad Hossain 258 MD. Shahriar Sharif 262 Md. Abir Hossan 271
  • 4.
      Company Introduction. Supply Chain Drivers of the Company.  Explanation of total supply chain system.  Problem identification.  Recommendation. Overview of the Presentation
  • 5.
      Rajanigandha melamineand plastic was established in 1991.  The founder is MR. Montu Rahman.  Situated at 123 Becharam Deori, Chawkbazar, Dhaka.  It is a manufacturer, Distributor and retailer. Company Introduction
  • 6.
  • 7.
     Facilities  Single manufacturingsite.  Three Storage sits.  Centralization of demand due to closer facilities.  Flexible production capacity focusing on products.  Positive externality facility.
  • 8.
     Inventory  Molding powder. Shining powder.  Printed paper.  Maintains minimum 500 sacks of molding powder.
  • 9.
     Transportation  Inbound Transportation Loading materialson ship Unloading on trucks Transportin g by trucks to factory Materials carried to factory
  • 10.
  • 11.
      Sourcing:  Importedraw material.  In house production.  Supplier efficiency.  Reduction in lead time
  • 12.
      Pricing:  Providingproducts in cheapest rate.  Sale on credits.
  • 13.
     Supply Chain ProcessCycle Rajnigandha Melamine Ltd Pull Processes Push Processes Customer Order Cycle Replenishment and Manufacturing Cycle Procurement Cycle Customer Order Arrives
  • 14.
     Distribution Network Design Manufacturer& Retail Storage With Customer Pickup Consumers Independent Retailers Distribution Center Factory Figure - Distribution Network Design
  • 15.
     Performance Characteristics Cost FactorsPerformance Inventory Very high inventory cost. warehouse costs 240,000 per year. Transportation Low transportation cost . Customers pick up products from store. In some cases Rajnigandha only gives cost of loading on vehicle. Facilities and handling Facility costs are:- o Factory: 450,000 tk per year. o Distribution Center: 120,000 tk per year plus tk 6,000 tax. o Warehouse: 240,000 per year. Information No information structure is required. •Directly from customers or through retailers
  • 16.
     Service Factors Performance Responsetime Same-day pickup Product variety Product variety is low. Product availability Product is available every time. Returnability Returnability easy. Customers just bring the product in the store. Performance Characteristics
  • 17.
    500 sacks ofmoulding compound as safety stock Most important and Class A raw material in money value is moulding compound. Control of Inventory of Raw Materials ABC Analysis Materials Money Value Class Moulding Compound 141,000,000 A Shining Powder 113,000 B Printed Paper 39,000 C Packaging 60,000 C List of raw materials as of ABC analysis:
  • 18.
      Weak informationSystem  Less interaction with customers  Research & Development  Sales related problem  Faulty product Problem Identification
  • 19.
      Collaboration withsupply chain partners.  Integrating Information network System.  Creating a Customer base.  Utilization of the resources.  Managing the account receivable. Recommendations
  • 20.