The Impact Of Supply Chain Strategies On Performance Essay

The construct of Supply Chain Management ( SCM ) , introduced to turn to the issue of integrating of organisational maps runing from the ordination and reception of natural stuffs through the fabrication processes to the distribution and bringing of merchandises to clients with a position to enable organisations to accomplish higher quality in merchandises and client service and to take down stock list cost, has attracted considerable managerial attending in recent times chiefly because of its immense possible competitory impact ( Stevens, 1989 ) .

Experience, nevertheless, demonstrates that directors adopt a assortment of disparate attacks to SCM execution. In this context, design of an effectual supply concatenation web has become a important issue for any company to last in a ferociously competitory market. The SCM concerns with issues and characteristic characteristics of several interconnected factors and activities of an organisation, such as demand prediction, procurance, fabrication, distribution, stock list, transit, and client service, and the ensuing incorporate attack is extended to clients and providers ( Christopher, 1992 ) . Sing the deductions of all these facets, a figure of issues in SCM have assumed importance in the context of predominating industrial scenario in India in order to do SCM more effectual.

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Numerous documents have been published in the literature recommending the rules and the benefits of SCM [ Beesley ( 1997 ) , Lurquin ( 1996 ) , Mason-Jones and Towill ( 1998 ) , and Towill ( 1996 ) ] . Many instance surveies have besides been published attesting the benefits of SCM [ Arntzen, et al. , ( 1995 ) , Calza and Passaro ( 1997 ) , and Lee and Billington ( 1995 ) ] . There are several surveies on SCM patterns in different states reported in the literature [ Gilmour et Al. ( 1995 ) , Handfield and Withers ( 1993 ) , Cilliers and Nagel ( 1994 ) , McMullan ( 1996 ) , Cox ( 1999 ) ] , and it is felt that an attempt on design and development of SCM patterns including issues, such as IT application, public presentation steps used, and barriers of SCM execution is really much needed in India.

On reexamining the bing SCM literature, several major failings in the conceptualisation and mold of SCM are found. In peculiar, the SCM concept is perceived as an extension of incorporate buying and supply direction, or integrated logistics and transit direction. It appears that a consistent position on SCM construct has yet to develop in the bing literature, and it makes a prerequisite to carry on a study on the of import issues of SCM before a comprehensive methodological analysis for supply concatenation public presentation measuring and rating system for the Indian Tyre fabrication industries is prescribed. This paper reports the inside informations of a questionnaire-based study to analyze the position and range of SCM patterns in Indian Tyre fabrication companies and besides provides a brief overview of the similar studies on SCM already undertaken in different industries.

Aims of the Survey

The primary aim of the study is to research and understand, in quantitative footings wherever possible, the issues in SCM patterns and concerns of the Tyre fabrication industries in India.

In specific footings, the aims are related to the undermentioned facets:

• Present position and range of SCM patterns ;

• Role of Information Technology ( IT ) in SCM ;

• Performance steps used in SCM,

• Benefits of using SCM patterns ; and

• Specific issues impeding SCM patterns.

It is assumed that turn toing the above-named issues, as all of them are related to SCM schemes and practical restraints, would take to understanding the position and range of SCM patterns in Indian Tyre fabrication industries. Soon, the bulk of the Indian companies have a weak alliance of supply concatenation scheme with concern scheme. This is chiefly so because the companies are stiffly structured along functional lines with department-specific public presentation steps.

Survey Methodology

A study instrument, in the signifier of a questionnaire, is used in order to carry through the aims as mentioned. The questionnaire designed for the study, will be conducted during December, 2010, for about 18 companies covering Tyre fabrication industry in assorted parts of the state. Assorted lists of fabrication companies, Internet websites of the companies, and personal contacts were the chief beginnings for obtaining information about the companies and making a database. The companies were selected indiscriminately from the database. Although the study will be conducted for a specific clip period, the issues considered remain extremely relevant for understanding the operating rules, norms, jobs, and execution facets of SCM patterns in the Indian Tyre fabrication companies.

The questionnaire is designed to cognize about the responding companies, their chief aims of using SCM, places of companies in the supply concatenation for their primary merchandises, and positions of the respondents on the rules of effectual SCM patterns. The questionnaire was divided into two subdivisions: Section A and Section B. Section A was designed for the companies which have already implemented the SCM constructs like information sharing with providers and clients, or have decided to implement SCM constructs in close hereafter, contains inquiries refering to several of import issues related to SCM patterns, such as a company ‘s function in serving clients ‘ demands, its function as a client to its providers, the function of IT in SCM, the public presentation steps used in supply concatenation public presentation rating, and the activities or actions impeding SCM patterns. Section B presents the points related to several types of barriers and authorities policies normally found in implementing SCM patterns in the Indian Tyre fabrication industries.

A combination of cheques, yes/no, `Likert ‘ graduated table, and multiple pick inquiries are framed against the issues as mentioned.

The undermentioned specific trials will be employed on the informations obtained:

• Two-Tailed Significance Test-this provides a degree of significance for differences between two groups to a inquiry necessitating a response utilizing a Likert graduated table.

• Bivariate Correlation ( Pearson ) Coefficient-this tests the relationships between responses to two different inquiries. The trial provides a `p value ‘ bespeaking the strength of the relationship. A value of p=0 represents no relationship, and p=±1 a strong relationship, and shows the significance degree of the relationships.

• Reliability Analysis-In order to measure the homogeneousness and inter-correlations of the factors used in an point, Cronbach alpha ( a ) [ Cronbach ( 1951 ) ] , a step of internal consistence frequently used in instances where participants react to inquiries on a Likert graduated table The values of a prevarications in the scope ( 0, 1 ) .

For the intent of analysis, the study responses are divided into three classs:

Category 1: Questions that need ranking of options ( Likert-scale inquiries )

The importance of the options under each issue is established based on the values of statistics obtained.

Category 2: Questions necessitating grade of understanding ( multiple pick inquiries )

For the inquiries necessitating grade of understanding, Specific issues such as chief aims of SCM, rules of effectual SCM patterns, integrating of divisional countries in the supply ironss, information communicating tools with providers and clients, country of IT applications, and barriers of SCM execution are included in this class. The per centum responses of all the options under each issue are computed and the rankings of the options are done based on the per centum responses ensuing in placing the of import options.

Category 3: Yes/No type inquiries

For this class, two yes/no type close-ended inquiries have been framed against different issues. The per centum responses of `Yes/No ‘ is computed against each issue, which provide the general positions of the respondents on a peculiar issue.

Company Detailss

Apollo Tyres Ltd
Shanmugham Road Cochin, KL – 682031 Telephone: +91-0484-2381902/2381903/ 2380720/ 2372767/ 2363760

Birla Surs
Syed Amir Ali Avenue Kolkata, WB – 700019

Electronic mail: Ho @ birlatyre.com Telephone: +91-33-22814516

Ceat Surs
Ceat Tyres. D – 6/5, SMB ENGINEERS, TTC INUSTRIAL AREA MIDC TURBHE NAVI MUMBAI, MH – 400705 Telephone: +91-22-27622079

Elgitread ( India ) Ltd
Elgitread ( India ) Ltd 2000 Trichy Road Coimbatore, TN – 641005 Electronic mail: info @ in.elgitread.com Telephone: +91-422- 4321000

Falcon Tyres Ltd
Falcon Tyres Ltd K. R. S. Road Metagalli Mysore, KK – 570 016 Electronic mail: feedback @ falcontyres.com Telephone: +91-821-2582453/ 2582055/ 2582041

Govind Rubber Limited
Govind Rubber Limited G -15, Creative Industrial Estate, Sitaram Mill Compound,72-N. M. Joshi Marg Lower Parel Mumbai, MH – 400 011 Electronic mail: info @ govindrubber.com Telephone: +91-22-2309 5641/1784 / 309 21124 / 309 21126

JK Surs
JK Tyres 3 Bahadurshah Zafar Marg New Delhi, DH – 110002 Telephone: +91-11-23311112/7

Malhotra Rubbers Limited
Malhotra Rubbers Limited D-4, Sector 11 Noida, UP – 201301 Electronic mail: mrltires @ yahoo.com, info @ mrltires.com, enquiry @ mrltires.com Telephone: +91-120-2543028/2543029/2553724

Metro Surs
Metro Tyres Metro House, 134/4, 135/5 Zamrudpur Kailash Colony New Delhi, DH – 110 048 Electronic mail: exports @ metrogroupindia.com, metro2 @ vsnl.com Telephone: +91-11-6219097/98

Modi Rubber
Modi Tyres Company Pvt. Limited.
NH-58, Meerut – Roorkee Road

Modipuram – 250110

MEERUT ( Uttar Pradesh )

MRF Surs
MRF LIMITED – KOTTAYAM

Fabrication UNITS P.B.No.2, Vadavathoor P.O. ,

Kottayam,

Kerala – 686 010

Tel: 0481-2570461 ( 12 Lines )

DID: 2575196/97/98,

Royal Surs
Royal Tyres C-11 Mugappair Industrial Estate ( East ) Chennai, TN – 600037 Electronic mail: royaltyre @ rediffmail.com Telephone: +91-44-26565643/42690079/42690089

TVS Srichakra Ltd
TVS Building 7-B West Veli Street

Madurai, 625001

India

+91-45-2420461 ( Phone )

Questionnaire for
The Impact of Supply Chain Strategies on the Performance of Indian Tyre Fabrication Companies
Part 1 – Company Profile
1. Name of Company

2. Address

3. State

4. Tel

5. Facsimile

6. Website

7. Contact individual:

9. Electronic mail:

8. Position in company:

No of employees:

[ ______ ] Employee turnover 2009:

[ _________________ ] Part 2 – Subject 1
How make you pull off your supply concatenation? Tick all that apply

1

Close partnership with providers

2

Close partnership with clients

3

JIT supply

4

e-procurement

5

EDI

6

Outsourcing

7

Subcontracting

8

3PL

9

Plan strategically

10

Supply Chain Benchmarking

11

Vertical integrating

12

Few providers

13

Many providers

14

Keeping safety stock

15

Use of external advisers

16

Other, delight stipulate

How successful do you believe is your company in pull offing its supply concatenation in general?

Not successful at all

Not successful

Slightly successful

Successful

Very successful

1
2
3
4
5
Which of the following you think that your company needs to make in order to pull off its supply concatenation better? Tick all that apply.

Better

Start Implementing

Satisfied already

Not appropriate

Close partnership with providers

Close partnership with clients

JIT supply

e-procurement

EDI

Outsourcing

Subcontracting

3PL

Plan strategically

Supply Chain Benchmarking

Vertical integrating

Few providers

Many providers

Keeping safety stock

Use of external advisers

Other ( stipulate )

Does your company have a clear logistics strategic program? YES No

Part 3 – Subject 2
What types of systems are presently in usage in your company to back up Supply Chain Management?

Custom-made

Standard bundle

Not in usage

Material Requirements Planing ( MRP )

Manufacturing Resources Planning ( MRPII )

Enterprise Resource Planning ( ERP )

Warehouse Management System ( WMS )

Supply Chain Management ( SCM )

Customer Relationships Management ( CRM )

Supplier Relationships Management ( SRM )

Advanced Planning System ( APS )

Merely In Time ( JIT )

Other ( stipulate )

How much did you really benefit from utilizing these systems?

Not at all

Small

Average

Greatly

A batch

Do n’t cognize

( 1 )

( 2 )

( 3 )

( 4 )

( 5 )

Better quality of information

Better measure of information

Flexibility

Reduced lead-time in production

Cost economy

Forecasting

Resource planning

Better operational efficiency

Reduced stock list degree

More accurate costing

Increased coordination between sections

Increased coordination with providers

Increased coordination with clients

Increased gross revenues

Better quality of information

Better measure of information

Flexibility

In what level your company is confronting the jobs below when utilizing SCM systems?

No job at all

Small job

Some job

Significant job

Serious job

Do n’t cognize

( 1 )

( 2 )

( 3 )

( 4 )

( 5 )

Resistance to alter from employees

Insufficient seller support

Hidden cost

Integration with bing system

Integration with provider ‘s system

Integration with client ‘s system

Other ( stipulate )

What types of systems do you be after to implement in the close hereafter ( within the following 2 old ages ) ?

Custom-made

Standard bundle

Not traveling to implement

E-commerce

E-business

Decision support / expert system

Radio Frequency Identification ( RFID )

Bar cryptography

Other ( stipulate )

Part 4 – Subject 3
19 How satisfied are you with the current public policy sing SCM and IT?

Not at all

Slightly

Satisfied

Quite satisfied

Very satisfied

1
2
3
4
5
How of import are the undermentioned hereafter steps for back uping your company attempt in SCM and IT?

Not at all

slightly

of import

of import

rather of import

really of import

( 1 )

( 2 )

( 3 )

( 4 )

( 5 )

More instruction, e.g. formal making

More support and fiscal support

Better substructure e.g. telecommunications, route, etc

Improved information proviso

Increased regional cooperation between establishments, e.g. chamber of commercialism

Closer cooperation between companies and authoritiess

Other ( stipulate )

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