Operations Continuum 2016

OPERATIONS CONTINUUM 2016
30 July 2016
th
Theme: Changing face of Operations &
Supply Chain with emergence of

technology
Introductory Document
Table of Contents
Title
Page No.
Introduction
Journey towards Smart Manufacturing (Role of IT in Building Smarter and

Scalable Operation)
- Mr. Neelam Kumar Valecha
Emerging trends in Supply Chain Management

- Mr. Birajeev Singh
Leveraging technology to improve vendor management

- Ms. Kamal Bajwa
Forecasting theme and Challenges

- Mr. Anurag Nigam
10
Globalizing through Digital Supply Chain Management

- Mr. Manish Tiwari
12
Mr. Ashok Jain
14
OPERATIONS CONTINUUM | 2016
Operations Continuum 2016

The Operations Continuum 2016 will be organized on 30th July 2016 with a central theme that
reflects the current trends and challenges faced by operations & supply chain managers.
The Operations Continuum 2016 will see a series of lectures centred on the theme:
Changing face of operations and supply chain with emergence of technology
When supply chain management was in its infancy, demand was generally viewed as reasonably
steady and predictable, with the ability to plan supply chains based on a lowest cost approach.
Supply
chain
management has
gone
through
considerable
Competitive
Advantage
change since that
time but none
Better
Increased
Customer
more so than the
Visibility&
Flexibility
Relationships
last few years. The
banking crisis in
2008, and the
resulting economic
downturn,
is
Technology in
driving
the
need
Operations
Enhanced
Bridged Gaps
Responsiveness
for
more
and Supply
responsive supply
Chain
chains that are
optimized
for
flexibility more so
than cost.
Improved
Decision
Making
Increased
Efficiency
Several
studies
indicate
an
Optimised
increase in supply
Operation
chain complexity
in the form of
fragmented
channels, increased flow quantities, product differentiation along with increased customer
demands in terms of shorter lead times, better quality and shorter product life cycles. A major
number of challenges lie ahead as the world becomes an increasingly competitive place to survive
in.
Not since the end of the Second World War have global supply chains been so fraught with risk.
In the past few years, supply chains have seen unprecedented (and widely unexpected)
disruptions caused by everything from natural disasters, to political turmoil, market turbulence,
exchange rate fluctuations and pending regulatory changes all which combine to create volatility
and uncertainty that must be identified and managed. At the same time, questions of long-term
Changing face of Operations & Supply Chain with emergence of Technology
Page | 1

sustainability and environmental impact are returning to the market as regulators and consumers
re-join the battle against carbon and greenhouse gas emissions.
With the increase in technological advancements in the past few years, the face of operations and
supply chains across the world are due for a transformation. The spotlight is slowly shifting to
the operation and supply chain managers to see how quickly they are able to adapt and evolve to
the rapidly changing technology and implement them into their process to sustain
competitiveness.
Page | 2
Journey towards Smart Manufacturing (Role of IT in Building

Smarter and Scalable Operation)
Mr. Neelam Kumar Valecha
Speaker Profile
Mr. Neelam Kumar Valecha is the site president of HAzira Manufacturing division of Reliance
Industries Ltd. He completed his Bachelor of Engineering with Honors in Chemical Engineering from
BITS Pilani in 1975 and proceeded to pursue his M.Tech from IIT Bombay in 1977. Mr. Valecha has
about 39 Years of professional experience with petrochemicals plant project conception,
commissioning, safe and economic operations at middle, senior and top management levels. Mr.
Valecha started his career with 1977 before moving to M/s. Indu Nissan Oxo Chemical Ind. Ltd. in
1980 and working there for about 9 years. He has been working with M/s Reliance Industries Ltd. For
the past 27 years.
Company Profile
The Reliance Group, founded by Dhirubhai H. Ambani (1932-2002), is India's largest private sector
enterprise, with businesses in the energy and materials value chain. Group's annual revenues are in
excess of US$ 66 billion. The flagship company, Reliance Industries Limited, is a Fortune Global 500
company and is the largest private sector company in India.
Backward vertical integration has been the cornerstone of the evolution and growth of Reliance.
Starting with textiles in the late seventies, Reliance pursued a strategy of backward vertical
integration - in polyester, fibre intermediates, plastics, petrochemicals, petroleum refining and oil
and gas exploration and production - to be fully integrated along the materials and energy value
chain.
The Group's activities span exploration and production of oil and gas, petroleum refining and
marketing, petrochemicals (polyester, fibre intermediates, plastics and chemicals), textiles, retail,
infotel and special economic zones.
Page | 3

Reliance enjoys global leadership in its businesses, being the largest polyester yarn and fibre
producer in the world and among the top five to ten producers in the world in major petrochemical
products.
Major Group Companies are Reliance Industries Limited, including its subsidiaries and Reliance
Industrial Infrastructure Limited.
About the Hazira plant:
Hazira Manufacturing Division is located near Surat, Gujarat. It comprises of a Naptha cracker
feeding downstream fiber intermediates, plastics and polyester plants.
It was commissioned in 1991-92 to generate power/utility and to manufacture Ethylene Oxide (EO),
Mono Ethylene Glycol (MEG), Vinyl Chloride Monomer (VCM), Poly Vinyl Chloride (PVC) and High
Density Polyethylene (HDPE). The second phase of the project, started in 1995, involved
commissioning of the Polyester Complex (POY & PSF) and continued in full backward integration
with commissioning of the new Polypropylene (PP), Naphtha Cracker, Purified Terephthalic Acid
(PTA) plants and also involved expansion of existing phase 1 plants.
Industrial Insights:
A study released by the Associated Chambers of Commerce & Industry of India (Assocham), entitled
Indian Petrochemical Industry: An Overview, revealed that the countrys petrochemical industry is
likely to reach US$100 billion by 2020. The sector is currently valued at around US$40 billion.
The petrochemicals sector is one of the fastest growing segments with a growth rate of 13%, which
is more than twice of growth of India's gross domestic product, and also the global growth rate in
petrochemical space, which is stagnant at 6%.
According to the study, petrochemicals currently contribute approximately 30% to Indias US$120
billion chemical industry, which is expected to grow by 11% over the next few years. On a global
scale, petrochemicals account for around 40% of the chemicals sector, while in India this figure is
approximately 25 30%.
Polymers, which is the dominant part of Indian petrochemical industry is growing at a superb pace,
with the middle class boosting consumption. It annually contributes over Rs.8000 crore by way of
taxes and duties to the national exchequer.
The domestic petrochemical industry is in the process of investing over US$25 billion to meet
increasing demand and overcome problems of infrastructure, power, water availability, etc.
Supply Chain in Oil Industry:
The supply chain of the petroleum industry is extremely complex compared to other industries. It is
divided into two different, yet closely related, major segments: the upstream and downstream
supply chains. The upstream supply chain involves the acquisition of crude oil, which is the specialty
of the oil companies. The upstream process includes the exploration, forecasting, production, and
logistics management of delivering crude oil from remotely located oil wells to refineries. The
downstream supply chain starts at the refinery, where the crude oil is manufactured into the
consumable products that are the specialty of refineries and petro-chemical companies. The
downstream supply chain involves the process of forecasting, production, and the logistics
Page | 4

management of delivering the crude oil derivatives to customers around the globe. Challenges and
opportunities exist now in both the upstream and downstream supply chains.
Challenges faced:
The logistics network in the petroleum industry is highly inflexible, which arises from the production
capabilities of crude oil suppliers, long transportation lead times, and the limitations of modes of
transportation. Every point in the network, therefore, represents a major challenge.
Suggested Questions
What are RILs views on Green Technology and environment sustainability/What are the
cardinal principles of doing business strategies by integrating the environmental and
sustainable aspects? How important is it to follow these principles?
What are the inherent challenges pertaining to technical integrity management? How to
achieve optimum performance of Safety critical equipment using technical integrity
management?
What are the challenges faced by RIL in the operations of bulk handling and transportation
of petroleum products?
How is Mission Kurukshetra & Beyonders different from that of the counter parts of other
companies?
How are Safety Critical Equipment used in minimizing loses and major hazards?
Page | 5
Emerging trends in Supply Chain Management

Mr. Birajeev Singh
Speaker Profile
Mr. Birajeev Singh is the Vice President - Supply Chain at CEAT Tyres Ltd. He completed his Bachelor
of Engineering (BE), Production from AISSMS Engg College, in 1999 and further pursued PGDM,
Operations Management from S.P. Jain Institute of Management & Research in 2003. Before CEAT
Tyres Ltd, he has worked with Tata Motors, Johnson & Johnson, Asian Paints and Castrol. He has
over 15 years of experience in Supply Chain Management, logistics operation and operations
planning.
Company Profile
CEAT, the flagship company of RPG Enterprises, was established in 1958. Its predecessor Cavi
Elettrici e Affini Torino SpA was established in Italy in 1924. Today, CEAT is one of Indias leading tyre
manufacturers and has presence in global markets, and has a capacity of over 95,000+ Tyres per day.
CEAT offers tyres to all segments and manufactures radials for: Heavy-duty Trucks and Buses, Light
Commercial Vehicles, Earthmovers, Forklifts, Tractors, Trailers, Cars, Motorcycles and Scooters as
well as Auto-rickshaws.
Supply Chain Management at CEAT Ltd.

CEAT is the flagship Company of the RPG Group and is a leading manufacturer of automobile tyres in
India. It produces tyres for everything from two wheelers and cars to trucks and tractors. The
newfound focus on two-wheelers calls for a radical change in mindset at CEAT. The company doesn't
even make two-wheeler tyres but outsources manufacturing. But it has been investing in building its
brand in the two-wheeler segment, with a very successful 'idiot proof' campaign, and the high gear
advertising has given it a clear positioning and the confidence to hold prices, even as the market
leader has reduced prices by 10%.
Page | 6

In a developing economy, commercial vehicles have a greater share of the tyre market than
passenger vehicles. Truck tyres still constitute 60% of CEAT's annual sales but that is expected to
change and come down to 50% this year. As the company changes its product mix, it is also changing
its distribution strategy. Truck tyres are sold by large, powerful dealers who also act as financiers and
here, price is the all-important parameter. While it will continue to sell truck tyres through the
legacy dealers, CEAT is opening up another channel for the two-wheeler segment, one on which it
will have greater control. CEAT has a strong distributor network with 3500+ dealers and 300+
exclusive CEAT franchisees. Distributers in this channel will be responsible for getting the product to
small rural enterprises like puncture mechanics and spare part shops, and the company is putting
more feet on the street to service these small outlets.
Industry Insights:
Indias tyre industry will see a significant boost in domestic demand for tyres in the next five years,
according to Tech Sci Research on India Tyre Market Forecast and Opportunities. The tremendous
growth momentum is largely fuelled by the growing road infrastructure coupled with increasing
vehicle purchase and rising per capita income. Further, according to research report, Indian Tyre
Industry Forecast to 2015, the tyre production in India is anticipated to reach 191 Million Units by
the end of FY 2016. Moreover, manufacturers are expected to invest huge amount into the industry
over the next few years, with a major proportion of this investment directed towards the radial tyre
capacity expansion.
Suggested Questions What major steps is CEAT Tyres planning to take to become the largest tyre band in India?
CEAT tyres have manufacturing plants only in 3 locations, though they export the product to
over 110 countries. What are CEAT tyres future plans in expanding their manufacturing
plants?
What will be the role of SAP SCM in Competition and pressure from global businesses for
CEAT?
What are the problems faced due to government policies like import duties, export duties,
taxes levied on automobiles in India?
What strategy do CEAT follow in its supply chain: pull strategy or push strategy?
How do CEAT forecast the demand in each of export, replacement and OEM business unit?
Page | 7
Leveraging technology to improve vendor management

Ms. Kamal Bajwa
Speaker Profile
Ms. Kamal Bajwa is the Chief Customer Operation Officer in Tata sky Limited. After the completion of
B.com from Panjab University, Ms.Bajwa pursued MA, in Economics from Panjab University in 1991.
Post that she did also pursue courses in Marketing, Advertising & Business communication from
University of Berkeley. Ms.Kamal Bajwa is a business leader with 25+ years of experience traversing
through 4 different ways in a fast-growing economy viz. Office Automation, Banking, Telecom & DTH
and ITES. Its not just about traversing; she has honed her skills which helped her to overcome the
challenges that were presented to her. Besides, it facilitated her to be the Jill of most trades like
Sales & marketing, Operations, L&D, Outsourcing and the list goes on.
Company Profile
Tata Sky Ltd, the JV between the TATA Group and 21st Century Fox is committed to offering viewers
the best of pay television through its nationwide satellite television service. It has second highest
market share among DTH operators. Tata Sky became the first Indian direct-to-home (DTH) service
provider to be awarded the ISO 27001:2005 accreditation, the benchmark for information security.
ISO 27001:2005 is an international standard that provides specifications and guidance for the
establishment and proper maintenance of an Information Security Management System (ISMS)
Operations Practices at Tata Sky:

Customer Operations is one of the very important aspect of operations management in Tata Sky.
Service is an important part of Tata Skys brand-promise. Tata Sky has established an extensive
customer service network across the country. The company takes direct responsibility for installing
and servicing the hardware at every subscribers home, thereby ensuring the highest levels of
customer service. Providing a trouble-free experience to customers is paramount, which led to the
investment in a customer operations management team in a company. IT is a crucial partner and an
Page | 8

internal stakeholder for this team. It helps them with tools like the CRM, analytics, and social media
to help receive customers requests, enquiries or complaints efficiently, quickly and seamlessly.
Industry Insights:
The Direct to Home market in India is growing at a fast pace and the last decade has witnessed rapid
growth in subscriber base for DTH. The Government is providing ample support to the DTH sector in
the country, and this has encouraged newer players to enter the market. However, with the stiff
level of competition from the existing multi-channel cable network and upcoming technologies
including IPTV, players need to be consistently innovative. Because of arrival of new entrants, this
industry has become very competitive which ultimately results in customers having more benefits
and options. Innovation in service provided by DTH industry is must and it has a significant impact on
growth of DTH. Intensive distribution must be used by all players because of cut-throat competition.
Availability of product everywhere is very important and for that strong distribution network is
required.
Suggested Questions:
What are the key success factors in the field of customer operations to guarantee customer
retention and improve your bottom line?
In near future, what are the challenges that will be faced by satellite television industry in
India?
How does Tata Sky cope up with stiff competition from other DTH service providers?
What is inherent in you that helped you in executing such a multi-dimensional role
successfully?
How much do you rely on social media, as a channel to get customer insights?
Page | 9
Forecasting theme and Challenges

Mr. Anurag Nigam
Speaker Profile:
Mr. Anurag Nigam is the present Vice President and Chief of Operations at Tata Payment Solutions
(Tata Communications). He pursued his B.E. in Mechanical stream from Rani Durgavati
Vishwavidyalaya, Jabalpur, Madhya Pradesh and graduated in 1995.He then went on to do his MBA
in Marketing and Finance from the same university and graduated in 1998
Before he was the VP of Operations at Tata Payment Solutions he was the Director Services for the
South Asian division at Diebold Systems Pvt Ltd. Mr.Anupam has a wide range of profile from various
domains-he started his journey as a design engineer at Voltas Ltd and then was the Sales Manager at
Phillips India and moved on to the position of Global Relationship Manager, Commercial Finance at
TCS.
Company Profile:
Tata Communications Payment Solutions Limited (TCPSL) previously known as Tata Communications
Banking Infrasolution, is a wholly owned subsidiary of Tata Communications. It is one of the fastest
growing Payment Solutions specialist, in the country. Being a 100% banking and financial services
focused organization it offers one stop, end-to-end 'Plug and Play' banking and payment
infrastructure solutions hosted in world class data centres, on flexible pricing models, to offer
competitive edge to their clients. Today, Tata Communications Payment Solutions is one of the
largest ATM outsourcing services providers, a leading Point of Sale Managed services provider, a
leading Hosted Core banking service provider with clients spread across India.
Operations Management at Tata Payment Solutions

TCPSL is one of the leading POS managed services provider in the country, managing over 200
million transactions. We offer end-to-end POS Enablement and Management services like NAC &
Connectivity Services, Network setup and management, Terminal installation and support, merchant
and terminal registration, Transaction processing, Operational Training, Helpdesk Support, etc.
TCPSLs network of White Label ATMs under the brand name Indicash licensed by the Reserve Bank
of India (RBI), marks its foray in the B2C space. With this it holds the distinction of being the first
White Label ATM service provider in the country that will take further the RBIs vision to drive ATM
Page | 10

penetration in the country. They are Indias first White Label ATM service provider and plans to
deploy over 15,000 ATMs in India to strengthen ATM accessibility in tier 1-6 locations.
Industry insights:
More than a year after the Reserve Bank of India (RBI) issued the first permit for White Label ATMs
(WLAs), the business is struggling to stay afloat as low fees and limits on free cash withdrawals
render the business model unviable. WLAs are non-bank ATMs operated by private companies.
Customers of any bank can use these machines to access their accounts for a fee and a bid to grow
the distribution network while keeping costs under check, smaller private sector banks are looking at
reducing the dependence on their own automated teller machines (ATMs) and instead relying on
white-label ATM (WLA) network. According to ET report, the ATM vertical has annual revenue of
around Rs 1,600-1,800 crore and the business is just about to break even. In 2015, the government
allowed 100% foreign direct investment (FDI) in the white-label ATM space under the automatic
route -under this policy, investors don't have to seek prior government approval to buy a stake.
Questions:
Could you tell us about the companys thought process to get into the White Label ATM
segment and what are the future growth prospects for the same?
With the advent of the cashless transactions how do you think WLAs would fare?
If possible, could you throw some light on how the Banking and Financial Solutions is going
to grow in general and also in specific to Tata Payment Solutions?
Recently the government allowed 100% foreign direct investment (FDI) in the white-label
ATM space. How do you think it is going to change the industry?
Page | 11
Globalizing through Digital Supply Chain Management

Mr. Manish Tiwari
Speaker Profile
Mr. Manish Tiwari comes from Information Technology and Services domain and is the Vice
President at Tech Mahindra. Having pursued Industrial and Production engineering from Shri GS
Institute of Technology and Science, Indore in 1990; he went on to pursue Post Graduation in
Industrial Engineering from Dr. Ambedkar Institute of productivity in the year 1993.
He has worked with Grasim Industries Ltd. He has served as Assistant Director at National
Productivity Council. He then went onto work with DSS Mobile Communication Limited and then to
Tech Mahindra where held many position from consultant to Vice President and Head of Process
Manufacturing.
Company Profile
Tech Mahindra is one of the biggest IT service Providers in India with annual revenues exceeding 4
Billion Dollars. Started in 1986 as Joint Venture between Mahindra and Mahindra and British
Telecom, with the acquisition of Satyam Computers became the 5th largest IT firm in the country. It
has presence in 90 countries with over 1 Lakh employees and has Clients from Fortune 500. Tech
Mahindra is one of the FAB50 companies in Asia and stands at 111 position in Fortune India 500.
Along with IT services, it also provides Networking technology solutions, Business Process
Outsourcing and also Business Consulting.
Supply Chain Management at Tech Mahindra

Tech Mahindra provide Manufacturing and Supply Chain Management (SCM) solutions which
allow customers to benefit from Information Technology and Business Process Outsourcingenabled services through the principles of agility, operational excellence and Kaizen.
Their solutions include:
Advanced supply chain planning
Advanced procurement and sourcing solutions
Page | 12
Order management
Advanced pricing solutions
Mobile supply chain
Warehouse management
Their Manufacturing and SCM services directly integrate with other industry sub-groups. This
integration ensures that all solutions seamlessly interact with the customers entire process
flow.
Industry Insights
With the introduction of Industry 4.0 and gaining popularity of Internet of Things(IOT), the
manufacturing sector is on the brink of an IT revolution. Different IT services such as Cloud
Computing, Artificial Intelligence, Machine to Machine communication, Big Data analytics
would help in development of fully automated smart industries and factories. Though
manufacturing sector would lose out on jobs the IT sector would benefit in terms of job
creation and the product quality will improve along with the reduction in manufacturing cost
with automation.
Suggested Questions
How well prepared is the IT industry for the technological advancements such as Industry 4.0
and Internet of Things (IOT)?
Has Tech Mahindra taken any initiatives for working with industry 4.0 and Internet of
Things?
How the solutions offered by your firm in Supply Chain Management differ from the other IT
firms solutions?
What is the difference according to you in the supply chain management for companies
operating in different sectors?
Page | 13
Mr. Ashok Jain
Speakers Profile:Mr Ashok Jain is currently the VP-Operations for Jubilant Life Sciences. After completing his B.E. in
Chemical Engineering from BITS Pilani he went on to work with JK Synthetics Ltd. He has over 34
years of experience in operations in varied industries like Synthetics & Life sciences.
Company Profile:Jubilant Life Sciences Limited is a part of Jubilant Bhartia Group. The Jubilant Bhartia Group is one of
Indias most respected business conglomerates, with varied businesses, including pharmaceuticals
(Jubilant Life Sciences), food (Jubilant Foodworks), agriculture and polymers (Jubilant Industries), oil
and energy (Jubilant Energy) and services (Jubilant Enpro). Jubilant Bhartia Group is valued at USD
3bn and headquartered at Noida, India.
Jubilant Life Sciences Limited is an integrated global pharmaceutical and life sciences company
engaged in manufacturing and supply of Active pharmaceutical ingredients (APIs), Solid Dosage
Formulations, Radiopharmaceuticals, Allergy Therapy Products, Advance Intermediates, Fine
Ingredients, Crop Science Ingredients, Life Science Chemicals and Nutritional Products. It also
provides services in Contract Manufacturing of Sterile Injectables and Drug Discovery Solutions. The
Companys strength lies in its unique offerings of Pharmaceutical and Life Sciences products and
services.
Operations at Jubilant Life sciences:Jubilant Life Sciences Limited operates with the objective of sustainable growth along with an
understanding of optimum utilization of resources, facilitating creativity, innovation and resource
conservation. They have grown tremendously over the years and their manufacturing facilities are
taking strides to provide best in industry products and services through reduced cost of operations,
engineering initiatives and capacity de-bottlenecking. Presently, they operate from 7 manufacturing
plants in India and 4 manufacturing plants at different locations in North America. They use world
class manufacturing techniques and Total Productive Maintenance (TPM) with the help of which
their manufacturing facilities have proven to be highly profitable.
Industrial Insights:The Indian pharma industry is on the threshold of becoming a major global market by 2020. It is
expected to grow at 15% to 20% CAGR to touch US$50 billion and US$74 billion in the next decade.
India has a large pool of scientific manpower which can be used in drug discovery, development and
Page | 14

clinical trials. Its diverse genetic pool of treatment-naive population is attractive for clinical trials.
Alongside, economic growth has increased the buying power of Indias middle class for healthcare
services in general, particularly medicines. Emergence of lifestyle diseases such as diabetes,
cardiovascular disease and cancer has increased the demand for medicines. Leading MNCs from
Europe, the US and Japan have established a local presence.
Suggested Questions: How do you foresee the integration of e-commerce with Pharma companies as a distribution
channel in the near future?
How do you think that the drug supply chains can deal with counterfeit medicines especially
when a high number of global cases of counterfeit medicine originate from India?
How do you ensure the visibility in the supply chain over product orders, shipments
including transport and logistics activities?
In pharmaceutical industries capacity needs can change within months or even weeks, while
capacity planning often takes much more time. How do you plan to resolve this disconnect?
Do you think that the Internet of Things is going to be Supply chain management 2.0 and are
there any plans in the pipeline in implementing IoT for Jubilant Life Sciences?
Pharma companies often focus on negotiating cost savings or ensuring compliances rather
than improving total cost of ownership and creating value through supplier flexibility. What
are your thoughts on it?
Page | 15

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Theme: Changing face of Operations &

Supply Chain with emergence of

Journey towards Smart Manufacturing (Role of IT in Building Smarter and

Emerging trends in Supply Chain Management

Leveraging technology to improve vendor management

Forecasting theme and Challenges

Globalizing through Digital Supply Chain Management

Mr. Ashok Jain