Supply Chain Activities of Atlas Honda Motorcycles PakistanScribd Explore

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Atlas AtlasHonda HondaPakistan Pakistan 1 Presented by: Presented by: Nazish

Sohail
Faizyab Shahid
Haseeb Tahir
Non Presenting Members Non Presenting Members: Shahbaz Chaudhry
Anjum Altaf Butt
Wajahat Altaf
Hammad M Lali
2 winning with SCM 3 About this Presentation…. You’ll Hear! 4 Industry
Analysis Industry Analysis Atlas Honda Pakistan Atlas Honda Pakistan
Organizational Structure Organizational Structure Company Supply Chain Company
Supply Chain Product Range Product Range Procurement Procurement SAP SAP
Manufacturing Manufacturing Warehousing Warehousing Vendors/ Dealers Vendors/
Dealers Transportation Transportation Conclusion Conclusion IndustryAnalysis 5
Motorcycle Industry estimates show that last year a total of over 750000
motorcycles were sold in the country The industry has been experiencing
a healthy growth rate of around 30%
per year for the past 4-5 years.
Pakistan came at number seven
with a production of 750,000 units
of motorcycles constituting to 2%
of the global total.
6 Market Share ofMotorbike in Pakistan CompanyProfile 7 Atlas Honda Limited is
a joint venture. Atlas Honda Limited is a joint venture. Country’s largest
in-house manufacturing Country’s largest in-house manufacturing capability at
its Karachi and Sheikhupura plants. capability at its Karachi and Sheikhupura
plants. 14 Joint Venture/Technical Assistance 14 Joint Venture/Technical
Assistance Agreements. Agreements. SKP Plant comprises of 500K plant. SKP Plant
comprises of 500K plant. Daily motorcycle production is 1325 units Daily
motorcycle production is 1325 units comprising 4 models. comprising 4 models.
65.7 percent share in the total sales in Pakistan. 65.7 percent share in the
total sales in Pakistan. turn over is less than 3 percent. turn over is less
than 3 percent. 307 dealers nationwide. 307 dealers nationwide. Technical
Training Centers in Karachi and Lahore. Technical Training Centers in Karachi
and Lahore. 8 OrganizationalStructure CEO Finance Marketing Supply chain HRM R
&D Quality Procuremen t Warehouse Production Control Imports Local SAP RM
Chairman CompanySupply chain 9 Customer Dealers Assembly / manufacturing plant
Central
Warehouse
(Sheikapura)
Part assembling (Karachi) Procurement Suppliers Import
5% CD-70
15% CD- 125
Local
95% CD-70
85% CD- 125
Dynamics of Material Flow 10 Supplier Plant Warehouse Logistics Retailer
Dynamics of Order Flow 11 Supplier Plant Warehouse Logistics Retailer
ProductRange CD 70 12 Key Features » Big and Comfortable Seats
» New Beautiful Graphics
» Petrol Tank with 9 Liter
Capacity » Super Econo Power, 4-Stroke Engine
» New Mud Flap
» Strong Side Cover with Lock
» New Utility Box
13 CD 100 Key Features » Strong Footrest
» Fuel Guage Indicator
» Multi Reflector Head Light
» Winning Style
» Econo Power 4-Stroke Engine
» Double Cradle Strong Tubular
Frame » Strong Suspension 14 CG 125 Key Features » Comfortable Seat with Rear
Grip » New Beautiful Petrol Tank with Graphics » Strong 4-Stroke Smoke Less
Engine » Stylish Speedometer with Economy Zone
» Elegant Front Light
» New Shape For Back Light
15 CG 125 Delux Key Features » Attractive Fuel Tank with modern graphics
» Speedometer with trip meter
» Tachometer with Fuel Gauge
Indicator » Black painted silencer with stylish cover
» Front hydraulic disc brakes
» Back light with aerodynamic cowl
» Stronger and adjustable cushion
Competition 16 Yamaha
Suzuki
Sohrab
Pak hero
Hero
Star
Lifan
Jailing
17 SAP “System Application & Products" Master production scheduling (MPS)
Material Requirement Planning (MRP) Procurement 18 Procurement Process 1.
Forecasted Procurement 2. Bill Of Material (B.O.M.) 3. Price Negotiation 4.
Performa Invoice is called
5. Purchase Order is placed
6. Establish Letter of Credit (L.C.)
7. Revival and Recovery of Original
Documents: 8. Bill of Lading 9. Invoice 10. Letter of Credit
11. Clearing Agents
12. Delivery and Possession of
Material 13. Good Receipt Note ProductionPlanning Atlas Honda total plant
capacity is 500,000
units in Shaikhupura
and 105,000 units in
Karachi
planned to produce 400,000 units using both push as well as pull system 19 Long
range capacity planning Aggregate Planning Master Production Scheduling
Production Planning & control system Pull System Push System Manufacturing 20
CD 70: Components Imported 5% Locally Procured 95% Lead Time: 6 months Lead
Time: 1 week CD 125: Components Imported 15% Locally Procured 85% Lead Time: 6
months Lead Time: 1 week ManufacturingProcess 21 In Atlas Honda there are total
fourteen processes, as follows: In Atlas Honda there are total fourteen
processes, as follows: Frame Assembling Paint shop
Buffing
Alternative Current generation
Drum Gear Shift
Drum Gear Shop
Machine Shop
Fuel Cope
Die casting
Engine Assembling
Wielding
Ignition Coil Shop
Switch Assembling
Engine Machine Assembling
22 Bottlenecks In Atlas Honda supplier are considered as bottlenecks… Supplier
Procurement Part Assembling (Karachi) Central
Warehouse
(Sheikapura)
Assembling/Man ufacturing Plant Dealers Bottleneck WareHousing 23 STORES Stores
dept. at AHL performs following functions: Manages the receiving,
stacking & issuance of parts &
materials to the shop.
Ensures the provision &
dispatches of required parts to
SKP & KHI plant, spares part
division & vendors.
Handles the rejections & damages from all shops Handles the scraps & wastes
generated in the factory 24 STORES DEPT General Stores CKD Stores RMS Stores
RPS Stores DCC
Stores
ss
Scra pYard Press
Parts in-
process
In-House Parts Local/sub
contractr
Parts
Local/
Subcontr
-actor
parts
In-
House
Parts
Division of stores 25 Handling Techniques At AHL, following handling techniques
are used: For handling from shop to shop especially designed trolleys, bins and
pallets are used. Imported motorcycle components are received in steel & wooden
cases & pallets. Local vendor parts are received from receiving section in
standard carton boxes. VENDORS/DEALERS 26 At present, 82 vendors are working
with the company. Functions: This department is responsible for all the
relations and dealing with different vendors. This department motivates vendors
to produce excellent
quality and train them to achieve the highest level of
quality.
This department also deals with the CKD (complete knock down). This department
performs VIP (vendor improvement
programe). Under this programe, the department
representatives go to the vendors and train them for new
methods to produce better quality at reasonable price.
Dealers 27 Atlas Honda has established countrywide dealers’ network.. “5S”
dealers 5s stands for the following five facilities
Sale
Service
Spare parts
Special sale
Second hand sales
MajorSelling Cities 28 Atlas Honda Karachi Hyderaba d Lahore Sheikapur a
Sialkot Gujranwala Transportation 29 Type of trucks and there capacity: HINO
(125 motorbikes) BEDFORD (110 motorbikes) MAZDA (65 motorbikes) 30 CONCLUSION
…. “Right time delivery to the right customers.” 31 Supply Chain Activities of
Atlas Honda Motorcycles Pakistan
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