SCM INDIVIUAL PROJECT AMAN PAHUJA ROLL NO 53 MBA PT 2012-15
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SCM TOOLS USED IN IT INDUSTRY
COMPANY NAME: WIPRO
AMAN PAHUJA
ROLL NO 53
SCM INDIVIUAL PROJECT AMAN PAHUJA ROLL NO 53 MBA PT 2012-15
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TABLE OF CONTENT
1.ABOUT THE COMPANY…………………………………………………………………..
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INTRODUCTION
A well managed supply chain links the suppliers, manufacturers, distributers and customers by a
suitable information system for controlling across boarder in order to achieve optimum
productivity, overall satisfaction and joyful relation at cheaper cost.
Quick and effective information system helps manager to understand the customer response,
their demands, inventory in the stock, how much to be produced and where to deliver and
when? Here comes the role of internet, which is considered as a cheapest inter-organizational
information system, which helps in aligning the interdependent strategies to achieve
cooperative rather than competitive role of SCM partners.
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About Wipro
Wipro Ltd is an Indian multinational information technology (IT) consulting and outsourcing
service company located in Bangalore, India. The company has 145,000 employees with a
presence in 54 countries. Wipro is the third largest IT services company in India. Wipro
provides comprehensive IT solutions and services(including systems integration, IS outsourcing,
package implementation, software application development and maintenance) and Research &
Development services (hardware and software design, development and implementation) to
corporations globally.
Wipro helps customers to do business better leveraging our industry-wide experience, deep
technology expertise, comprehensive portfolio of services and a vertically aligned business model.
Our 55+ dedicated emerging technologies ‘Centers of Excellence’ enable us to harness the latest
technology for delivering business capability to our clients.
Wipro is globally recognized for its innovative approach towards delivering business value and its
commitment to sustainability. Wipro champions optimized utilization of natural resources, capital
and talent. Today we are a trusted partner of choice for global businesses looking to ‘differentiate at
the front’ and ‘standardize at the core’ through technology interventions.
In today’s world, organizations will have to rapidly reengineer themselves and be more responsive to
changing customer needs. Wipro is well positioned to be a partner and co-innovator to businesses in
their transformation journey, identify new growth opportunities and facilitate their foray into new
sectors and markets.
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What is SCM?
Supply chain management (SCM) is the management of the flow of goods. It includes the movement
and storage of raw materials, work-in-process inventory, and finished goods from point of origin to
point of consumption. Interconnected or interlinked networks, channels and node businesses are
involved in the provision of products and services required by end customers in a supply
chain. Supply chain management has been defined as the "design, planning, execution, control, and
monitoring of supply chain activities with the objective of creating net value, building a competitive
infrastructure, leveraging worldwide logistics, synchronizing supply with demand and measuring
performance globally
Process Industry companies have undergone multiple challenges over the last few years. Changing
customer preferences have brought about multidimensional changes in the management of these
companies. These companies have also witnessed demand fluctuations, regulatory issues, capacity
underutilization and margin pressure. Though product life cycles are reducing by the day, a surge has
been witnessed in the manufacturing costs.
Doing business across different countries and cultures has become easier with the advent of internet
technology. Viewed as a tool that can create a competitive differentiator, internet technology can
propel the efficiency of companies to new heights. Industries today need to fulfil different criteria
such as customer satisfaction, swift response to changing market dynamics and flexible production
capabilities to gain a steady foothold in the competitive market
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Different Visions of SCM
• Enterprise focus - traditional model
– characterised by fragmentation
– Frequent conflict between links in the chain
• Partner focus - modern vision
– characterised by collaborative idea
– Or provision of a SC related service
• Direct focus - emerging vision
– characterised by customer-direct capability
– near zero inventories
– Domineering concept
Supply Chain Process in Wipro
Due to the complex nature of supply chains today, it has become increasingly difficult for
manufacturers to address key issues like excess inventory, inconsistent operations and processes,
and unsatisfactory service levels. Supply chain efficiency, therefore, has become the chief aspect of
overall business strategy.
Wipro works with its clients to develop and implement efficient supply chains that dramatically
reduce the delivery time. We recognize the significance of a collaborative supply network, short
product lifecycles, and manufacturing outsourcing involved in a business.
Having served more than a hundred manufacturing clients in varied industries, we know what it
takes to ensure profitability in existing and new markets. Our innovative strategies and technical
know-how helps businesses optimize supply chains. Wipro can help you optimize operations in these
areas:
Demand Planning and Management
PLM
Order Fulfillment
Global Procurement and Supplier Relationship Management
MES
Distribution and Logistics
Reverse Logistics
Wipro delivers transformational Source-to-Pay procurement outsourcing for companies in
diversified industry segments, thereby helping our clients convert their fixed costs to variable costs,
improving profitability, service levels, and internal client satisfaction with ability to reach higher
scales of productivity.
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Our, cutting edge tools, technologies, in-depth expertise across a wide range of categories and
services, information and well-integrated processes provides significant benefits such as:
Operating and infrastructure cost reduction
Enhanced company focus on core business
Access to world class capabilities, experience and expertise
Shift volatile variable costs to predictable costs
Transfer internal resources to higher value activities
Shift or share operating risk.
E-Business Supply Chain Solutions:
Customers are looking for real-time visibility throughout the order lifecycle from origination through
production, fulfillment and delivery across the supply chain. They desire the ability to monitor
inventory, order, change management information and require an integrated view of the supply
chain systems and processes.
The Oracle E-Business Suite Supply Chain Management (R12) family of applications integrates and
automates all key supply chain processes, from design, planning and procurement to manufacturing
and fulfillment, providing a complete solution set to enable companies to create information-driven
value chains. Companies can anticipate market requirements and risks, adapt and innovate to
respond to volatile market conditions, and align operations across global networks.
Wipro's strategically focused supply chain management solutions have been developed through
deep understanding of the breadth and depth of our customers' challenges. We provide a supply
chain transformation framework that includes but is not limited to the following:
Sales and Operations planning
Demand planning and management
Global definition , process simplification and harmonization
Adoption of industry best practices
Reduction in the number of financial platforms, forecasting tools and data-warehouses
Use of diagnostic and strategic tools
Enabling Self-Service
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Benefits to Clients:
Wipro's Supply Chain transformation framework offers order cycle reduction, optimized fulfilment,
global and local supply requirement analysis, global visibility for order promising, return
management and complex pricing among others.
Our expertise in Oracle E-Business Supply Chain solutions has helped customers achieve:
Collaborative Demand and Supply Planning, enabling organizations to establish winning supply
chain strategies and tactics through the ability to balance demand and supply plans and to
respond to demand and supply changes through rapid synchronization across the supply
network.
Integrated Manufacturing Planning and Execution, allowing our clients to tie their production
closer to the supply network, reduce costs and be more responsive - both inside their own
manufacturing network and outsourced manufacturing facilities.
Logistics and Fulfilment Management solutions have helped our customers efficiently store and
move products while reducing inventory levels, distribution and transport costs, and tracking
industry-specific characteristics.
Strategic Sourcing and Spend Analytics solutions have provided a huge positive impact on our
clients' bottom-line. Our practitioners have helped organizations roll-out eRFX, Contract
Management, Spend Data Classification and Reporting capabilities, allowing greater spend
visibility, reduced cycle time of the sourcing process and reduced operational costs.
Procurement engagements have helped clients track and capture crucial spend data. We have
assisted our clients in "fixing" their Procure-to-Pay business processes and ensuring stakeholders
"buy-in" prior to technology enablement. Additionally, we continue to assist our customers in
their Catalogue Management and Supplier Enablement initiatives.
Supply Chain Visibility engagements have enabled our customers to achieve a real time
propagation of demand signals, flagging supply exceptions and track movement of material
throughout the supply chain proactively.
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Rise of Third Party Logistics (3PL) Providers
Increased impetus on core competence and growing complexity of the logistics function has led
many companies to outsource logistics activities like transportation and inventory management to
Third Party Logistics (3PL) providers. In addition to this, by outsourcing to 3PLs, companies avoid
locking capital in warehouses,trucks, containers, etc.
Another factor influencing the adoption of 3PL services is globalization. As firms expand their
markets beyond national boundaries, the need for more sophisticated services like multi-modal
transport and international trade rules compliance increases. Smart 3PLs have developed these
competencies and can effectively ship products to multiple countries, using multi-modal transport,
and meeting all the international trade requirements.
The emergence of Internet has given rise to a new breed of e-Logistics companies, which provide a
spectrum of solutions. These web based logistics portals seek tobring together shippers, 3PLs and
other interested parties to provide more effective collaboration. Often these portals are perceived
to be in competition with conventional 3PLs. In fact they provide complementary services and
together they can cover the worldwide supply chain needs for their customers. In conjunction with
e-Logistics companies, 3PLs can provide services like crossborder transport, customs clearance and
international trade settlement by effectively coordinating with concerned agencies.
But there are still many companies which believe that logistics is too critical a function for them to
relinquish control to third parties. To win over these customers, 3PLs need to establish themselves
as key business partners involved in the entiresupply chain – right from logistics strategy formulation
to its implementation. And they need to effectively share information and knowledge with the
customers.
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Business Intelligence and the 3PL Industry
The 3PL industry is extremely varied in the types of services it provides. At one end are conventional
freight movers involved in transportation of shipments from one location to another. Generally
these services are restricted within a geographical area and use limited modes of transportation. At
the other end are 3PLs who can execute complex end to end supply chain projects involving multiple
countries and multiple modes of transport. 3PLs may or may not owncarriers and warehouses.
Accordingly they are classified as asset based and non-asset based 3PLs.
Currently the 3PL industry is in a state of transition. Players are adding more and more services to
their portfolio as customers demand more integrated solutions. 3PLs are viewed as strategic
partners who can optimize the supply chain, reduce the cycle time, and provide unprecedented
customer responsiveness. The key to effectively provide these services is Information Technology.
More sophisticated 3PLs have quickly embraced IT to enable better coordination of activities by
providing tracing and tracking facility to its customers. But this is hardly enough to ensure sustained
competitive advantage. To squeeze out the last drop of inefficiency from the supply chain, eliminate
bottlenecks, and continuously seek process improvement, the ability to analyze all the activities in
the logistics process is vital.
Business Intelligence can help the 3PLs in three ways:
1. Service Improvement: Traditionally 3PLs have been providing services like transportation
management; warehouse and inventory management; and value added services like light assembly,
kitting, etc. Business Intelligence can improve the effectiveness of these services by in-depth analysis
and reports on various functions involved in these services.
2. Provide Information Technology Based Services: With the help of BI, 3PLs can provide their clients
with analysis and reports specific to their supply chain. These can significantly help the customers
increase their responsiveness and time to market.
3. Improve Organizational Support Functions: BI can significantly improve organizational support
functions like HR and financial management by providing an integrated view of these functions and
supporting their specific decision making requirements.
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REFERENCES
1. en.wikipedia.org/wiki
2. www.wipro.com