Chapter 1: Introduction

1.1 Statement of the problem:

Supply chain management is the management of the flow of goods and services and includes all
processes that transform raw materials into final products. It involves the active streamlining of
a business's supply-side activities to maximize customer value and gain a competitive advantage
in the marketplace. It 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. In supply chain
management, the information between business partners are optimized and collaborated and most
importantly, SCM systems help in reducing inventories, which can lessen operational costs,
compress order cycle time, enhance asset productivity as well as increase the company’s
responsiveness to the market.
A supply chain is a dynamic management system where involves the constant flow of
information, products and funds between different stages. In this stages not only included the
manufacturer and suppliers, but also included transporters, warehouses and retailers who are
directly or indirectly related in fulfilling the customer requirement. The objective of every supply
chain is to maximize the overall value of all stages. Basically supply chain performance is
evaluated on the basis of qualitative measure (such as customer satisfaction and product quality)
and quantitative measures (such as order-to-delivery lead time, supply chain response time,
flexibility, resource utilization, delivery performance etc.).The quantitative performance is
directly related with supply chain network. Effective supply chain network is viewed as the
driver of reductions in lead times and costs, and improvements in product quality and
responsiveness. Despite its benefits structuring supply chain network is a complex decision
making process. The typical inputs to such a process consists of a set of customer zones to serve,
products to be manufactured and distributed, demand projections for the different customer
zones, information about future. Supply chain management is a network of mechanism at
organizations that are involved, through upstream and downstream linkages in the different
working processes and activities that process value in the form of products and services in the
hand of the ultimate consumer. Actually maintain a chain of command to be a successful supply
chains can significantly benefit the competitiveness of the firms. Thus, the supply chain
management (SCM) is a crucial problem in the process industry. This thesis aims to identify
some major key problems in the processing industry SCM by developing optimization-based
models, approaches and solution procedures using analytical or mathematical programming
techniques for better future of SCM at any organization handle easily and earn expected gain in
the company. Supply chain management may contain all activities that transform raw materials
to final products and deliver them to the customers. A number of stages are involved in a supply
chain, typically including suppliers, manufacturers, warehouses, distribution centers, retailers,
and customers.

This study source was downloaded by 100000885393720 from CourseHero.com on 05-06-2024 00:29:25 GMT -05:00

https://www.coursehero.com/file/145570715/Thesis-Pran-RFL-Copydocx/
 Figure 1.1: Structure of Supply Chain Management.

1.2 Objectives of the study:

Broad Objective
 Process at supply chain management of Pran-RFL (Rangpur Foundry Limited) group in
Bangladesh.

Specific Objective
 To know about Logistics, Purchase process, supply chain, distribution and marketing in supply
chain management.
 To know about the cost reductions or profit improvement at the expense of their supply chain
partners.
 To know about an effective supply chain integration requires effective implementation.

1.3 Scope of the study:

The study is concerned with the description of supply chain management as a responsible
strategic for industrial company. Each industrial company must have supply chain manager for
operates overall that at its headquarters. Specifically the researcher will collect data to establish
why supply chain manager is a key for industrial company, how supply chain manager handle the
all activities of their company, the challenges faced a supply chain manager as well as the others
department concern manager. The data sources mainly primary from questionnaires and
secondary from company annual reports and internet. The researcher may face problem from the
respondents who may not be willing to reveal information may be due to lack of trust and
assumed lack of confidentiality. The respondents may feel they are going against the
organizations rules and ethics. But they will be reassured that the information is needed for
research purpose only. The researcher may experience constraints of time to carry out the
research.

1.4 Methodology of the study:

This study source was downloaded by 100000885393720 from CourseHero.com on 05-06-2024 00:29:25 GMT -05:00

https://www.coursehero.com/file/145570715/Thesis-Pran-RFL-Copydocx/
 Primary information: Primary data is directly collect from my cousin brother (Mr. Sazib
Ahmed) he is working as a senior manager of Pran RFL, Assistant manager (Abdus Samad) of
Operation department.
Secondary information: Secondary data are collected from website of Pran-RFL, catalogs
provided by Pran-RFL, different reports on Pran-RFL, and others internet, newspaper, magazine
etc.

1.5 Limitations of the study:

 Time constraints
 Data collected from different sorts of sources
 In this research there can be some types of errors

Chapter 2: Literature Review

Supply Chain management (SCM) is the chain of command of a mechanism from supplier to
manufacturer to wholesaler to retailer to consumer. Within the organization, the supply chain
refers to a wide range of functional areas. These include Supply Chain Management related
activities such as inbound and outbound transportation, warehousing, and inventory control.
Sourcing, procurement, and supply management fall under the supply chain umbrella, too.
Forecasting, production planning and scheduling, order processing, and customer service all are
part of the process as well. Importantly, it also embodies the information systems so necessary to
monitor all of these activities. Robert Handfield, Ph.D., Professor of SCM, Bank of America
University, (Published: Jan, 11, 2011). ‘A firm’s SCM efforts start whole mechanism and
execution of a long-term supply chain strategy. This strategy should’
 Identify what supply chains manager task and responsibility area of the firm.
 Help reporting boss understand how the firm will provide value to the supply
chain.
 Chain of command at supply chain partners, including suppliers, subcontractors,
transportation & logistics providers, and distributors and ultimate customer.
As firms struggle to higher development by supply chains they compete in, it is valuable to
practical and physical flows other than virtual supply chains. Firms can begin to understand how
Chapter-3 Literature Review 19 | P a g e they add value, and what information is needed to make
the supply chain work in the most effective and efficient way possible.
Dr Abhijeet Ghadge, Director of the Chartered Institute of Logistics & Transport (UK) (CILT) et
al (2007) ‘Logistics is the term widely used in business for the range of activities associated with

This study source was downloaded by 100000885393720 from CourseHero.com on 05-06-2024 00:29:25 GMT -05:00

https://www.coursehero.com/file/145570715/Thesis-Pran-RFL-Copydocx/
 the movement, storage and handling of materials. The management of logistics has been
revolutionized over the past years and has come to be regarded as a key determinant of business
competitiveness. Companies have substantially improved their performance not only by
overhauling their internal logistics, but also by managing more effectively their external links
with suppliers. This has become known as supply chain management. These developments have
created a healthy demand for well-qualified logistics and supply chain managers in most sectors
of the economy (Grooge Alex-2011).’
‘(Christopher, 1992; Hines, 1994 ;) Supply chain management and other similar terms, such as
network sourcing, supply pipeline management, value chain management, and value stream
management have become subjects of increasing interest in recent years, to academics,
consultants and business management’. (Macbeth & Ferguson, 1994; Cox, 1997) “It is
recognized in some parts of the literature that the supply chain should be seen as the central unit
of competitive analysis. Companies will not seek to achieve cost reductions or profit
improvement at the expense of their supply chain partners, but rather seek to make the supply
chain as a whole more competitive”. In short, ‘the contention in that it is supply chains, and not
single firms, that compete is a central tenet in the field of supply chain management.
(Christopher, 1992; Macbeth & Ferguson, 1994)’. Supply chain management has received
attention since the early 1980s, yet conceptually the management of supply chains is not
particularly well-understood, and many authors have highlighted the necessity of clear
definitional constructs and conceptual frameworks on supply chain management (Saunders,
1998; Cooper, Lambert & Pagh, 1997 ;)

Chapter 3: Process of Supply chain management at Pran-RFL

Pran-RFL buildups relationship to more people connected for doing the work surely and
accurately in any industry. The system of Pran RFL is one kind of service oriented work in
various department to done each work smoothly and planning way for gain the mission.
Sourcing, procurement, information analysis, decision and finally goes to the production of
goods. A chain of command is a good mechanism for supply chain management. To linkage up to
lower level or lower to up level for any information or decision or setup goal for better industry.
Process of Supply Chain Management:

This study source was downloaded by 100000885393720 from CourseHero.com on 05-06-2024 00:29:25 GMT -05:00

https://www.coursehero.com/file/145570715/Thesis-Pran-RFL-Copydocx/
 Finish Product for
Create Demand
ultimate buyer.

Distribution Sourcing/Market survey

(Dealership & Retailer) (local/foreign)

SCM Process
Purchase Allocation
Manufacture/Produc
(Cash/Credit for local or
e Import)
(product/Goods)

Send to warehouse Company Internal

(Stoke Procedure for
Measurement) Purchase
(Local/Import)
Figure-2.1: SCM Communication Process

This study source was downloaded by 100000885393720 from CourseHero.com on 05-06-2024 00:29:25 GMT -05:00

https://www.coursehero.com/file/145570715/Thesis-Pran-RFL-Copydocx/
 Chapter 5: Recommendations & cONCLUSION q

This study source was downloaded by 100000885393720 from CourseHero.com on 05-06-2024 00:29:25 GMT -05:00

https://www.coursehero.com/file/145570715/Thesis-Pran-RFL-Copydocx/
 This study source was downloaded by 100000885393720 from CourseHero.com on 05-06-2024 00:29:25 GMT -05:00

https://www.coursehero.com/file/145570715/Thesis-Pran-RFL-Copydocx/
Powered by TCPDF (www.tcpdf.org)