supply chain issues in eCommerce companies .

1. FOR IIM KHASIPUR

2.  Supply chain is defined as the design , operation
and improvement of the system that create and
deliver the firm primary product and services. It is
also about getting work done quickly , efficiently ,
without error and also at low cost.

3.  Surpluss.in started in Jan 2015 is the first eServices
Platform putting the distribution and retail business on
cloud. We are committed to create a platform which brings
Product Categories to the Retail Network by using
technology, reducing traditional intermediaries’ thus
increasing profits, reducing time to market, optimize
working capital and enhance productivity. It helps
manufacturers to sell; distributor & dealers and Corporates
to buy directly a wide range of Consumer Electronics,
Mobile , IT and Lifestyle products
 Surpluss.in is a company which provides a unique
opportunity to the masses to get the global brands at their
doorstep in India at a unbeatable price.

4.  Name Of Company – Surpluss.in
 Company size – 100-150 employees
 Industry – Ecommerce
 Headquarter- Mohan Cooperative Industrial Area ,
near, Sarita Vihar Metro
 Type – Privately Held
 Founded – 2015
 Founder – Amit Gupta

5.  Surpluss.in has warehousing facility in key locations
across the Country with transportation facility to
deliver the customers orders in the respective states.

6.  High impact supply chain issue having tangible result
 Occurrence of bull -whip effect in supply chain .
 Area- Southern India, especially state like Tamilnadu , Karnatka
Kerela, Andhra Pradesh.
 Sudden variation in demand occur in these areas during the
festive season like
 Mysore Dasara
 Pongal
 Hampi
 Karaga
 Thrissur Pooram
 Chithirai Thiruvizha
 Ugadi
 Mahamaham Festival

7.  Consumer Electronics Mobile .
 IT.
 Refurbished Mobiles.
 Lifestyle Products.

8.  Frequent rise in demand from southern India
created disruption in supply chain network .
 Uneven demand from southern India.
 Bull whip effect – is an inefficiency of the supply
chain and small changes in orders which can be
seen further which start from customer demand
resulting in large swings in order placed
upstream.

9.  The diagram shows as how sudden demand
is creating unexpected change in supply
chain .
 The analogy between the whip and the
supply chain is apt: a 10% change in order
volume at the customer end can successively
lead to 20% changes in warehouse Center
40% changes in distribution Center and
80% changes in orders to materials /product
suppliers.

11.  a)We investigated that the sudden change in demand in online
and offline retail supply chain is due to frequent price discount
given at regular interval , b) due to seasonality also the demand
changes , c) new product entrants in the market , d) end of life of
products E ) unforeseen circumstances , this all amplify the
bullwhip effect in the online retail supply chain.
 The following data shows as how there is unexpected demand
created in Southern India,
 Which is due to seasonality and moreover due to festive season ,
the demands increases a lot in the month of Dec- Jan its peak ,
Feb- march , the sale is normal , and Sept- Oct , again it is up ,
which always created bull whip effect in supply chain during the
peak season .
 The better ways to keep control on the uneven rise in demand is
having sufficient stock and also maintaining the safety stock
level regularly at the hub or the distribution center located in
South India .

13.  The Bullwhip effect can also be countered by applying measure to reverse each of the major causes
listed below. Thus, supply chain forecasts from retailers should be visible along the whole of the
supply chain, order batching should be limited or at least understood, vendor price discounting can
be set at one universal level, and gaming can be avoided by limiting supplied based on retailers’ order
history (and not on their order forecasts). New phenomena like mobile marketing and
sales should also be monitored to make sure that supply chain fluctuations remain reasonable.
 The ways to cope with the bull whip effect are ;
 1. Focusing on the customer.
 2. Defying the right push and pull strategy .
 3.Optimizing the inventory allocation based on demand certainty
 4. Sharing the information with suppliers on releasing lead time on regular basis .
 5. Stabilizing the price – reducing the frequency and level of discount on the product to keep a check
over customer from stocking .
 6. Decreasing the gap of return policy , by doing this we can have returned product back very soon at
the warehouse and further after quality check they can be used for next orders which will put less
pressure over ordering the product again and maintain the supply chain .
 7. Also adopting the most used two bin system where the item stored in first bin is used , and second
bin provide an amount large enough to ensure that the stock can be replenished

14.  I here by end my Project. I am very thankful to Kunal
Ganguly sir for sharing his immense knowledge with
us and guiding us to acquire more detail about the
subject Supply Chain and Operations Management.
 Your student
 Vivaan Bhradwaj
 Student - IIM Kashipur