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ABSTRACT

Customer focus on supply management is made for special purpose to improve the
product and marketing function for consumer satisfaction. This project titled “A Study on
effectiveness of supply chain Management” aims to identify the communication needs of
supply chain management to increase supplier performance and to improve and gain
better control of supply chain management. The study has been conducted at Alloysys
Extrusion Pvt Ltd. A survey was conducted with 130 respondents in the company by
using questionnaire to collect the information’s from the respondents.

This project throws on the needs for learning buying behavior for successful marketing.
This project was developed based on benefits of sales towards organization. It will be
helpful for the management to identify the needs and benefits of the buyer and to take
decision-making to promote marketing status. This project can be base for the students
who are doing the project in the related area and to the organization in viewing the worth
of the buyer and attitude of the buying decision making.

This project also aims to know about how many people to get aware about Alloysys
Extrusion Pvt Ltd, to find the competitors and analyze the methods for competition
marketing, to know many people to purchase Alloysys Extrusion Pvt Ltd in market, to get
suggestion from public for further improvement and to know the main Customer and the
factor that satisfies them.

Based on the analysis, the researcher has given some suggestions to the management to
develop customer focus on supply chain management. Also SCM helps the management
to reduce the logistics cost and proper utilization of warehouse space.
The main suggestion given by the company is that they can improve their brand image in
the presence of customer by demonstration and they have to improve their supply chain
process for an effective utilization of warehouse space.

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TABLE OF CONTENTS

CHAPTER NO. CONTENTS PAGE NO.

I INTRODUCTION 3-12

II COMPANY PROFILE 12-31

2.1 Industry Profile 12-16

2.2 Company Profile 16-31

III REVIEW OF LITERATURE 31-45

IV RESEARCH METHODOLOGY 45-51

4.1 Statement of the problem 45

4.2 Need for the study 46

4.3 Objectives of the study 47

4.4 Scope of the study 48

4.5 Research Design 49

4.6 Limitation of the study 50

4.7 Methods used for the Study 51

V DATA ANALYSIS AND INTERPRETATION 52-87

VI FINDINGS 88

VII SUGGESTIONS 90

VIII CONCLUSION 91

IX ANNEXURE

BIBLIOGRAPHY

QUESTIONNAIRE

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CHAPTER- I
1.0 INTRODUCTION

1.1 INTRODUCTION

Supply Chain Management (SCM) is the process of planning, implementing,


and controlling the operations of the supply chain as efficiently as possible. Supply Chain
Management spans all movement and storage of raw materials, work-in-process
inventory, and finished goods from point-of-origin to point-of-consumption.

Supply Chain Management encompasses the planning and management of all


activities involved in sourcing, procurement, conversion, and logistics management
activities. Importantly, it also includes coordination and collaboration with channel
partners, which can be suppliers, intermediaries, third-party service providers, and
customers.

In essence, Supply Chain Management integrates supply and demand


management within and across companies. A supply chain 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. Supply chains exist in both service
and manufacturing organizations, although the complexity of the chain may vary greatly
from industry to industry and firm to firm.

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Below is an example of a very simple supply chain for a single product, where
raw material is procured from vendors, transformed into finished goods in a single step,
and then transported to distribution centers, and ultimately, customers. Realistic supply
chains have multiple end products with shared components, facilities and capacities. The
flow of materials is not always along an arborescent network, various modes of
transportation may be considered, and the bill of materials for the end items may be both
deep and large.

Traditionally, marketing, distribution, planning, manufacturing, and the


purchasing organizations along the supply chain operated independently. These
organizations have their own objectives and these are often conflicting. Marketing's
objective of high customer service and maximum sales dollars conflict with
manufacturing and distribution goals.

Many manufacturing operations are designed to maximize throughput and lower


costs with little consideration for the impact on inventory levels and distribution
capabilities. Purchasing contracts are often negotiated with very little information beyond
historical buying patterns.

The result of these factors is that there is not a single, integrated plan for the
organization---there were as many plans as businesses. Clearly, there is a need for a
mechanism through which these different functions can be integrated together. Supply
chain management is a strategy through which such integration can be achieved.

Supply chain management is typically viewed to lie between fully vertically


integrated firms, where the entire material flow is owned by a single firm and those
where each channel member operates independently. Therefore coordination between the
various players in the chain is key in its effective management.

Cooper and Ellram [1993] compare supply chain management to a well-balanced


and well-practiced relay team. Such a team is more competitive when each player knows
how to be positioned for the hand-off. The relationships are the strongest between players

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who directly pass the baton, but the entire team needs to make a coordinated effort to win
the race.

Supply Chain Decisions


We classify the decisions for supply chain management into two broad categories
-- strategic and operational. As the term implies, strategic decisions are made typically
over a longer time horizon. These are closely linked to the corporate strategy (they
sometimes {\it are} the corporate strategy), and guide supply chain policies from a design
perspective. On the other hand, operational decisions are short term, and focus on
activities over a day-to-day basis. The effort in these type of decisions is to effectively
and efficiently manage the product flow in the "strategically" planned supply chain.

There are four major decision areas in supply chain management: 1) location,
2) production, 3) inventory, and 4) transportation (distribution), and there are both
strategic and operational elements in each of these decision areas.

Location Decisions

The geographic placement of production facilities, stocking points, and sourcing


points is the natural first step in creating a supply chain. The location of facilities
involves a commitment of resources to a long-term plan. Once the size, number, and
location of these are determined, so are the possible paths by which the product flows
through to the final customer.

These decisions are of great significance to a firm since they represent the basic
strategy for accessing customer markets, and will have a considerable impact on revenue,
cost, and level of service. These decisions should be determined by an optimization
routine that considers production costs, taxes, duties and duty drawback, tariffs, local
content, distribution costs, production limitations, etc. (See Arntzen, Brown, Harrison and
Trafton [1995] for a thorough discussion of these aspects.) Although location decisions
are primarily strategic, they also have implications on an operational level.

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Production Decisions
The strategic decisions include what products to produce, and which plants to
produce them in, allocation of suppliers to plants, plants to DC's, and DC's to customer
markets. As before, these decisions have a big impact on the revenues, costs and
customer service levels of the firm. These decisions assume the existence of the facilities,
but determine the exact path(s) through which a product flows to and from these
facilities.

Another critical issue is the capacity of the manufacturing facilities--and this


largely depends the degree of vertical integration within the firm. Operational decisions
focus on detailed production scheduling. These decisions include the construction of the
master production schedules, scheduling production on machines, and equipment
maintenance. Other considerations include workload balancing, and quality control
measures at a production facility.

Inventory Decisions
These refer to means by which inventories are managed. Inventories exist at every
stage of the supply chain as either raw materials, semi-finished or finished goods. They
can also be in-process between locations. Their primary purpose to buffer against any
uncertainty that might exist in the supply chain.
Since holding of inventories can cost anywhere between 20 to 40 percent of their value,
their efficient management is critical in supply chain operations. It is strategic in the
sense that top management sets goals.

However, most researchers have approached the management of inventory from


an operational perspective. These include deployment strategies (push versus pull),
control policies --- the determination of the optimal levels of order quantities and reorder
points, and setting safety stock levels, at each stocking location. These levels are critical,
since they are primary determinants of customer service levels.

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Transportation Decisions
The mode choice aspect of these decisions is the more strategic ones. These are
closely linked to the inventory decisions, since the best choice of mode is often found
by trading-off the cost of using the particular mode of transport with the indirect cost
of inventory associated with that mode.

While air shipments may be fast, reliable, and warrant lesser safety stocks, they
are expensive. Meanwhile shipping by sea or rail may be much cheaper, but they
necessitate holding relatively large amounts of inventory to buffer against the inherent
uncertainty associated with them. Therefore customer service levels, and geographic
location play vital roles in such decisions.

Since transportation is more than 30 percent of the logistics costs, operating


efficiently makes good economic sense. Shipment sizes (consolidated bulk shipments
versus Lot-for-Lot), routing and scheduling of equipment are key in effective
management of the firm's transport strategy.

Supply Chain Modeling Approaches

Clearly, each of the above two levels of decisions require a different perspective.
The strategic decisions are, for the most part, global or "all encompassing" in that they try
to integrate various aspects of the supply chain. Consequently, the models that describe
these decisions are huge, and require a considerable amount of data.

Often due to the enormity of data requirements, and the broad scope of decisions,
these models provide approximate solutions to the decisions they describe. The
operational decisions, meanwhile, address the day to day operation of the supply chain.
Therefore the models that describe them are often very specific in nature. Due to their
narrow perspective, these models often consider great detail and provide very good, if not
optimal, solutions to the operational decisions.

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To facilitate a concise review of the literature, and at the same time attempting to
accommodate the above polarity in modeling, we divide the modeling approaches into
three areas --- Network Design, ``Rough Cut" methods, and simulation based methods.
The network design methods, for the most part, provide normative models for the more
strategic decisions.

These models typically cover the four major decision areas described earlier, and
focus more on the design aspect of the supply chain; the establishment of the network and
the associated flows on them. "Rough cut" methods, on the other hand, give guiding
policies for the operational decisions. These models typically assume a "single site" (i.e.,
ignore the network) and add supply chain characteristics to it, such as explicitly
considering the site's relation to the others in the network.

A simulation method is a method by which a comprehensive supply chain model


can be analyzed, considering both strategic and operational elements. However, as with
all simulation models, one can only evaluate the effectiveness of a pre-specified policy
rather than develop new ones. It is the traditional question of "What If?" versus "What's
Best?".

Rough Cut Methods

These models form the bulk of the supply chain literature, and typically deal with
the more operational or tactical decisions. Most of the integrative research (from a supply
chain context) in the literature seems to take on an inventory management perspective. In
fact, the term "Supply Chain" first appears in the literature as an inventory management
approach.

The thrust of the rough cut models is the development of inventory control
policies, considering several levels or echelons together. These models have come to be

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known as "multi-level" or "multi-echelon" inventory control models. For a review the
reader is directed to Vollman et al. [1992].

Multi-echelon inventory theory has been very successfully used in industry.


Cohen et al. [1990] describe "OPTIMIZER", one of the most complex models to date to
manage IBM's spare parts inventory. They develop efficient algorithms and sophisticated
data structures to achieve large scale systems integration.

Although current research in multi-echelon based supply chain inventory


problems shows considerable promise in reducing inventories with increased customer
service, the studies have several notable limitations. First, these studies largely ignore the
production side of the supply chain.

Their starting point in most cases is a finished goods stockpile, and policies are
given to manage these effectively. Since production is a natural part of the supply chain,
there seems to be a need with models that include the production component in them.

Second, even on the distribution side, almost all published research assumes an
arborescence structure, i. e. each site receives re-supply from only one higher level site
but can distribute to several lower levels. Third, researchers have largely focused on the
inventory system only. In logistics-system theory, transportation and inventory are
primary components of the order fulfillment process in terms of cost and service levels.

Therefore, companies must consider important interrelationships among


transportation, inventory and customer service in determining their policies. Fourth, most
of the models under the "inventory theoretic" paradigm are very restrictive in nature, i.e.,
mostly they restrict themselves to certain well known forms of demand or lead time or
both, often quite contrary to what is observed. The preceding sections are a selective
overview of the key concepts in the supply chain literature. Following is a list of
recommended reading for a quick introduction to the area.

Supply chain management is a cross-function approach including managing the


movement of raw materials into an organization, certain aspects of the internal processing

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of materials into finished goods, and the movement of finished goods out of the
organization and toward the end-consumer. As organizations strive to focus on core
competencies and becoming more flexible, they reduce their ownership of raw materials
sources and distribution channels.

These functions are increasingly being outsourced to other entities that can
perform the activities better or more cost effectively. The effect is to increase the number
of organizations involved in satisfying customer demand, while reducing management
control of daily logistics operations. Less control and more supply chain partners led to
the creation of supply chain management concepts. The purpose of supply chain
management is to improve trust and collaboration among supply chain partners, thus
improving inventory visibility and the velocity of inventory movement.

Several models have been proposed for understanding the activities required to
manage material movements across organizational and functional boundaries. SCOR is a
supply chain management model promoted by the Supply Chain Council. Another model
is the SCM Model proposed by the Global Supply Chain Forum (GSCF). Supply chain
activities can be grouped into strategic, tactical, and operational levels. The CSCMP has
adopted The American Productivity & Quality Center (APQC) Process Classification
FrameworkSM a high-level, industry-neutral enterprise process model that allows
organizations to see their business processes from a cross-industry viewpoint.

Organizations increasingly find that they must rely on effective supply chains, or
networks, to compete in the global market and networked economy. In Peter Drucker's
(1998) new management paradigms, this concept of business relationships extends
beyond traditional enterprise boundaries and seeks to organize entire business processes
throughout a value chain of multiple companies.

During the past decades, globalization, outsourcing and information


technology have enabled many organizations, such as Dell and Hewlett Packard, to
successfully operate solid collaborative supply networks in which each specialized
business partner focuses on only a few key strategic activities (Scott, 1993). This inter-
organizational supply network can be acknowledged as a new form of organization.
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However, with the complicated interactions among the players, the network
structure fits neither "market" nor "hierarchy" categories (Powell, 1990). It is not clear
what kind of performance impacts different supply network structures could have on
firms, and little is known about the coordination conditions and trade-offs that may exist
among the players.

From a systems perspective, a complex network structure can be decomposed into


individual component firms (Zhang and Dilts, 2004). Traditionally, companies in a supply
network concentrate on the inputs and outputs of the processes, with little concern for the
internal management working of other individual players. Therefore, the choice of an
internal management control structure is known to impact local firm performance
(Mintzberg, 1979).

In the 21st century, changes in the business environment have contributed to the
development of supply chain networks. First, as an outcome of globalization and the
proliferation of multinational companies, joint ventures, strategic alliances and business
partnerships, significant success factors were identified, complementing the earlier "Just-
In-Time", Lean Manufacturing and Agile manufacturing practices.

Second, technological changes, particularly the dramatic fall in information


communication costs, which are a significant component of transaction costs, have led to
changes in coordination among the members of the supply chain network (Coase, 1998).

Many researchers have recognized these kinds of supply network structures as a


new organization form, using terms such as "Keiretsu", "Extended Enterprise", "Virtual
Corporation", "Global Production Network", and "Next Generation Manufacturing
System".

In general, such a structure can be defined as "a group of semi-independent


organizations, each with their capabilities, which collaborate in ever-changing
constellations to serve one or more markets in order to achieve some business goal
specific to that collaboration" (Akkermans, 2001).The security management system for
supply chains is described in ISO/IEC 28000 and ISO/IEC 28001 and related standards
published jointly by ISO and IEC

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Building on globalization and specialization, the term SCM 2.0 has been coined to
describe both the changes within the supply chain itself as well as the evolution of the
processes, methods and tools that manage it in this new "era". The growing popularity of
collaborative platforms is highlighted by the rise of TradeCard’s supply chain
collaboration platform which connects multiple buyers and suppliers with financial
institutions, enabling them to conduct automated supply chain finance transactions.

Web 2.0 is defined as a trend in the use of the World Wide Web that is meant to
increase creativity, information sharing, and collaboration among users. At its core, the
common attribute that Web 2.0 brings is to help navigate the vast amount of information
available on the Web in order to find what is being sought.

It is the notion of a usable pathway. SCM 2.0 follows this notion into supply chain
operations. It is the pathway to SCM results, a combination of the processes,
methodologies, tools and delivery options to guide companies to their results quickly as
the complexity and speed of the supply chain increase due to the effects of global
competition, rapid price fluctuations, surging oil prices, short product life cycles,
expanded specialization, near-/far- and off-shoring, and talent scarcity.

SCM 2.0 leverages proven solutions designed to rapidly deliver results with the
agility to quickly manage future change for continuous flexibility, value and success. This
is delivered through competency networks composed of best-of-breed supply chain
domain expertise to understand which elements, both operationally and organizationally,
are the critical few that deliver the results as well as through intimate understanding of
how to manage these elements to achieve desired results.

Finally, the solutions are delivered in a variety of options, such as no-touch via
business process outsourcing, mid-touch via managed services and software as a service
(SaaS), or high touch in the traditional software deployment model.

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CHAPTER II

2.1 INDUSTRY PROFILE

Aluminium Industry in India is a highly concentrated industry with the top 5 companies

constituting the majority of the country's production. With the growing demand of

aluminium in India, the Indian aluminium industry is also growing at an enviable pace. In

fact, the production of aluminium in India is currently outpacing the demand.

The production of aluminium started in India in 1938 when the Aluminum Corporation of

India's plant was commissioned. The plant which was set up with a financial and

technical collaboration with Alcan, Canada had a capacity of producing 2,500 ton per

annum. Hindustan Aluminum Corporation (Hindalco) was set up in UP in the year 1959;

it had a capacity of producing 20,000 ton per annum. In 1965, a public sector enterprise

Malco which had a capacity of 10,000 ton per annum was commissioned; by 1987,

National Aluminium Company (NALCO) was commissioned to produce aluminium. It

had a capacity of producing 0.218 million ton.

During the 1970s, the government started regulating and controlling the Indian

aluminium industry. Restrictions in entry and price distribution controls were quite

common in the Indian aluminium sector. Aluminium Control Order was implemented

where the aluminium producers had to sell 50% of their products for electrical usages.

However, in 1989, the order was removed as the government decontrolling was revoked.

With de-licensing of industry in 1991, the liberal import of technologies and capital

goods was started. The liberalization resulted in a growth rate of 12% of the industry,

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comparing to the growth rate of 6% during the 1980.

Aluminium Production in India

India is world's fifth largest aluminium producer with an aluminium production

competence of around 2.7 million tones, accounting almost 5% of the total aluminium

production in the world. India is also a huge reservoir of Bauxite with a Bauxite reserve

of 3 billion tones.

The Production

India lies at the eighth position in the list of leading primary aluminium producers in the

world. India saw a significant growth in aluminium production in the past five years. In

2006-07, the production target of aluminium in India laid by the Ministry of Mines,

Government of India was 1,153 KT, which was augmented to 1,237 KT in the next year

(2007-08). Due to the growing demand from the construction, electrical, automobiles and

packaging industry, the production of aluminium also hiked up. In FY 09, the total

aluminium production in India was around 1.35 tonnes.

The Consumption

After a stagnant consumption of primary aluminium in India from the end of 1990s to

2002 (when the consumptions were between 500 – 600 KT), it started rising sharply since

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2002. The consumption reached at 1,080 KT in 2006. The consumption of aluminium in

India is dominated by the industries like power, infrastructure, and transportation etc.

The Major Players

The Indian aluminium industry is dominated by four or five companies that constitute the

majority of India's aluminium production. Following are the major players in the Indian

aluminium industry:

 Hindustan Aluminium Company (HINDALCO)

 National Aluminium Company (NALCO)

 Bharat Aluminium Company (BALCO)

 MALCO

 INDAL

HINDALCO: Hindalco is the biggest player in the aluminium industry in India with

around 39% of market share. An Aditya Birla Group flagship company, Hindalco has its

aluminium plant at Renukoot in Uttar Pradesh. It has various aluminium products with a

market share of 42% in primary aluminium, 20% in extrusions 63% in rolled products,

31% in wheels and 44% in foils.

Sterlite Industries: The aluminium business of Sterlite Industries Limited comprises of

two Indian aluminium giants – BALCO and MALCO. While BALCO is a partially

integrated, MALCO is a fully integrated producer of aluminium. Sterlite has got a market

share of around 32%.

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NALCO: It is also one of the leading aluminium producers in India. Government of

India has a stake of 87.15% in this company. Its aluminium refinery is located at

Damanjodi. It also has a smelter located at Angul, Orissa. Currently, NALCO is

concentrating on a capex programme to increase its production from 345,000 tonnes to

460,000 tonnes. - See more at:

http://business.mapsofindia.com/aluminium/#sthash.fTNnvHlD.dpuf

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2.2 COMPANY PROFILE

Alloysys Extrusion [P] Ltd came into existence in 2005. The journey from manufacturing
aluminium extrusion to becoming one of the best makers of Quality Aluminium
Extrusions have been filled with accomplishments and accolades. Alloysys Extrusion
aims to have a global presence as a leading global manufacturer of high quality
Aluminium extruded products. The endeavors of the organization are focused towards
achieving all-round excellence. The organization seeks to accomplish a fusion of
traditional methods and innovative concepts to supply the best quality extruded product.
Alloysys Extrusion manufactures wide variety Aluminium extrusions like extruded
channel, extruded section or extruded profile that meet diversified usage.

Alloysys Extrusion has been maintaining its utmost standards of precision and quality
and founded on the philosophy of ensuring uncompromising satisfaction to our
customers. We have excellent time delivery of all the versatile extrusion products and
these products are adding a new dimension to the modern building construction
technology and to our business. Alloysys Extrusion [P] Ltd as the acknowledged market
leaders have set up benchmarks for quality, timely delivery and client satisfaction. We
have a unique combination of being flexible and an ability to react very quickly to
changes in designs and specifications. This has ensured that our products and services to
all our customers have been acclaimed internationally. From the beginning, we have
always had a strong foundation of adaptability and experience. Always working very
closely with customers, we have developed our products and services in tune with the
market developments and requirements.
Meeting with customer's need and satisfaction is the true achievement

Alloysys Extrusion believes and follows this only statement at the time of manufacturing
the products. This idea has helped Alloysys Extrusion to set a clear picture towards
company's goal. Alloysys Extrusion is all set to have a wide range of all kind extrusions
in near future. Alloysys Extrusion have well known in eastern part of the country.

WHAT WE CAN OFFER YOU

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ALLOYSYS EXTRUSION currently has automatic hydraulic presses with a production
capacity of 3,000 MT per annum. The company offers the standard aluminium extrusions
profiling and also is able to take care of specific designs and requirements.

OUR CAPABILITIES

 Automated Hydraulic Extrusion Presses


 Capacity: 3000 MT per annum
 Die Library: 1000
 profiles ranging from 10mm - 150 mm CCD
 Section weight up to 17 kg per piece
 Wall thicknesses minimum 0 .5mm - 20 mm

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 Cut lengths up to 6-7m
 Standard alloy ranges

MISSION:
To become the most preferred aluminium extrusion company, focusing on manufacturing
the high quality extruded products with excellent service consistently.

VISION:

We shall be producing high quality aluminium extrusions with our organizational


expansion so that we shall always be able to meet the expectations of our all business
associated people and specially our consumers.

PRODUCTS
1. Architectural
A) ALUMINIUM EXTRUDED DOOR PARTITION SERIES
 All
 Partitions
 Middle Section
 Top Bottom


Single Partition

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Double Partition


Door Top


Door Middle Single


Door Middle Double


Door Bottom

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Door Vertical


Glazing Clip

B) ALUMINIUM EXTRUDED CURTAIN WALL SERIES


Curtain Wall Section 1423


Curtain Wall Section 1426
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Curtain Wall Section 1431

C) ALUMINIUM EXTRUDED HOLLOW SECTION SERIES


Rectangular Tube


Square Tube

D) ALUMINIUM EXTRUDED OPENABLE WINDOW SERIES


 All
 34 Series
 40 Series
 Cleat Angle


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34 Series Outer Frame


34 Series Shutter Frame


34 Series Mullian


34 Series Clip


40 Series Outer Frame


40 Series Shutter Frame

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40 Series Mullian


40 Series Clip


Cleat Angle

E) ALUMINIUM EXTRUDED TEE SERIES


Bulb Tee

2. Industrial

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A) ALUMINUM EXTRUDED ANGLE SECTION SERIES


Equal Angle


Unequal Angle

B) ALUMINUM EXTRUDED LADDER SECTION SERIES


Fluted Tube


C Section


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Stapazing


Hinge

C) ALUMINUM EXTRUDED WATER CHANNEL SECTIONS


Water Channel Section 7506


Water Channel Section 7511

D) ALUMINUM EXTRUDED ROUND TUBE


Round Tube

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E) ALUMINUM EXTRUDED L SECTIONS


L Section

F) ALUMINUM EXTRUDED DOUBLE ROLLER SECTIONS


Double Roller Section

CUSTOM EXTRUSION

1. INDUSTRY SPECIALIZATION

Aluminium extrusion technology in modern industries continues to be a subject of


discussion and evaluation concerning its application to the working environment. The
demand for and application of aluminium extrusion in architecture and in the
manufacture of auto mobiles, small machine components, structural component and
especially aircraft, have increased tremendously, and competition in this industry is
intense. The extrusion industry is now more than 100 old.

Industrial Uses: Aluminium is used extensively in almost countless application because


of its high strength combined with low density. Also it is corrosion resistant to the
atmosphere as a thin film of aluminium oxide forms over aluminium surfaces which

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protect it from further corrosion. Also, aluminium is non-toxic making it suitable for
application involving contact with food products.

The most extensive and biggest use of aluminium is in packing. It used for packing in
various forms such as cans, foils, tubes, and bottle tops. Second biggest use of extruded
aluminium is in transportation. Aluminium extruded sections are widely used in most
transport vehicles. It is particularly suited for aeroplanes. A modern aeroplane contains
about 80% aluminium by weight; A Boeing 747 contains about 75 tons of aluminium.

Electrical transmission is another very big application area for aluminium. It has about
63% of electrical conductivity of copper but only half the density. That makes it a very
attractive substitute for copper in electric cables and transmission lines. Particular for
bare conductors of transmission lines, aluminium is the only choice.

Aluminium finds very big application in construction industry as forming Architectural


channels or sections of window and door frames, cladding, and roofing. Aluminium is
also used for painting other surfaces. Aluminium is also used extensively for making
stylish and light weight furniture. It is particularly popular for folding and other type of
furniture which is intended to be shifted and stored away frequently.

2. THE EXTRUSION PROCESS

Extrusion is a plastic deformation process in which a block of metal (billet) is forced to


flow by comparison through the die opening of a smaller cross - sectional area than that
of the original billet. Extrusion is an indirect - compression process. Indirect -
compressive forces are developed by the reaction of the work piece (billet) with the
container and die results in high values. The reaction of the billet with the container and
die results in high compressive stresses that many breakdowns from the billet. Extrusion
is the best method because the billet is subjected to compressive forces only. Extrusion
can be cold or hot, depending on the alloy and the method used. In hot extrusion, the
billet is preheated to facilitate plastic deformation. Conventional Direct Extrusion: The
most important and common method used on aluminium extrusion is the direct process.
In this process, the principle of direct extrusion, the billet is placed in the container and
pushed through the die by the ram pressure. Direct extrusion finds application in the
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manufacture of aluminium solid rods,aluminium bars, hollow tubes, and hollow and solid
sections according to the design and shape of the die. In the same direction as ram travel.
During this process, the billet slides relative to the walls of the container. The resulting
frictional force increases the ram pressure considerably. During the direct extrusion, the
load or pressure - displacement curve most commonly. Traditionally, the process has been
described as having three distinct regions:
 The billet is upset, and pressure rises rapidly to its peak value.
 The pressure decreases, and what is termed "steady state" extrusion proceeds.

3. EXTRUSION IDEA TO OBJECT

"Meeting with customer's need and satisfaction is the true achievement", we also believe
and follow this only statement at the time of manufacturing our extruded products

The process initiates with the necessity or demand of an Extruded profile. Once the
necessity arrives, it demands specific die for that extrusion product which results in the
making of specific die for the product After getting the die, finally the production phase
of that particular extruded product takes place in plant under the process.

QUALITY MANAGEMENT

1. QUALITY CONTROL AND COMPLIANCES

At Alloysys Extrusion, we do not compromise on quality, we walk an extra mile to


sustain the quality. What we have done is that we have standardized the process of quality
compliance checks. The quality compliance tests are not carried out randomly but it is a
well defined process carried out continuously at every stage of production. An error does
not become a mistake until you refuse to correct it. With this principle the Alloysys
Extrusion has in place a complete traceability system to trace down the root cause of
deviation, should they happen to occur. We are fully geared with the requisite technical
expertise and quality control mechanism, which leads us to successfully meet even the
bulk orders of the clients. Additionally, our streamlined administration, regular follow-

29
ups with the clients and quick order dispatch has enabled us to win the faith and trust of
the customers.
Alloysys extrusions is awarded ISO 9001:2008 Certification by international
agency norsk akkreditering of norway for its quality management standards.

2. TECHNICAL SPECIFICATION

Aluminium is a soft, durable, lightweight, ductile and malleable metal with appearance
ranging from silvery to dull gray, depending on the surface roughness. Aluminium is
nonmagnetic and does not easily ignite. A fresh film of aluminium film serves as a good
reflector (approximately 92%) of visible light and an excellent reflector (as much as
98%) of medium and far infrared radiation. The yield strength of pure aluminium is 7-11
MPa, while aluminium alloys have yield strengths ranging from 200 MPa to 600 MPa.
Aluminium has about one-third the density and stiffness of steel. It is easily machined,
cast, drawn and extruded. Corrosion resistance can be excellent due to a thin surface layer
of aluminium oxide that forms when the metal is exposed to air, effectively preventing
further oxidation. The strongest aluminium alloys are less corrosion resistant due to
galvanic reactions with alloyed copper. This corrosion resistance is also often greatly
reduced when many aqueous salts are present, particularly in the presence of dissimilar
metals. Aluminium is one of the few metals that retain full silvery reflectance in finely
powdered form, making it an important component of silver-colored paints.
WHAT OUR PRODUCTS OFFER WITH RESPECT TO THE TECHNICAL
SPECIFICATION

 Corrosion-Resistant

 High Strength-to-Weight Ratio

 Ease of Fabrication

 Ease of Fastening and Assembly

 Versatility in Joining

 Durable, Resilient and Strong etc.

30
3. USES

Aluminium is almost always alloyed, which markedly improves its mechanical


properties, especially when tempered. For example, the common aluminium foils and
beverage cans are alloys of 92% to 99% aluminium. The main alloying agents are copper,
zinc, magnesium, manganese, and silicon (e.g., duralumin) and the levels of these other
metals are in the range of a few percent by weight. With completely new metal products,
the design choices are often governed by the choice of manufacturing technology.
Extrusions are particularly important in this regard, owing to the ease with which
aluminium alloys, particularly the Al-Mg-Si series, can be extruded to form complex
extruded profiles.

31
CHAPTER-III
3.1 REVIEW OF LITERATURE

Supply chain management (SCM) is the process of planning, implementing, and


controlling the operations of the supply chain as efficiently as possible. Supply Chain
Management spans all movement and storage of raw materials, work-in-process
inventory, and finished goods from point-of-origin to point-of-consumption.

The definition one American professional association put forward is that Supply
Chain Management encompasses the planning and management of all activities involved
in sourcing, procurement, conversion, and logistics management activities. Importantly, it
also includes coordination and collaboration with channel partners, which can be
suppliers, intermediaries, third-party service providers, and customers. In essence, Supply
Chain Management integrates supply and demand management within and across
companies.

Some experts distinguish Supply Chain Management and logistics, while others
consider the terms to be interchangeable. Supply Chain Management is also a category of
software products. Supply chain event management (abbreviated as SCEM) is a
consideration of all possible occurring events and factors that can cause a disruption in a
supply chain. With SCEM possible scenarios can be created and solutions can be
planned.

Supply chain management problems

Supply chain management must address the following problems: Distribution


Network Configuration: Number and location of suppliers, production facilities,
distribution centers, warehouses and customers.

Distribution Strategy: Centralized versus decentralized, direct shipment, Cross


docking, pull or push strategies, third party logistics. Information: Integrate systems and

32
processes through the supply chain to share valuable information, including demand
signals, forecasts, inventory and transportation etc.

Inventory Management: Quantity and location of inventory including raw


materials, work-in-process and finished goods. Cash-Flow: Arranging the payment terms
and the methodologies for exchanging funds across entities within the supply chain.
Supply chain execution is managing and coordinating the movement of materials,
information and funds across the supply chain. The flow is bi-directional.

Milestone payments

Operational
Daily production and distribution planning, including all nodes in the supply
chain. Production scheduling for each manufacturing facility in the supply chain (minute
by minute). Demand planning and forecasting, coordinating the demand forecast of all
customers and sharing the forecast with all suppliers.

Sourcing planning, including current inventory and forecast demand, in


collaboration with all suppliers. Inbound operations, including transportation from
suppliers and receiving inventory.
Production operations, including the consumption of materials and flow of
finished goods. Outbound operations, including all fulfillment activities and
transportation to customers. Order promising, accounting for all constraints in the supply
chain, including all suppliers, manufacturing facilities, distribution centers, and other
customers.

Supply chain management

Organizations increasingly find that they must rely on effective supply chains, or
networks, to successfully compete in the global market and networked economy. In Peter
Drucker's (1998) management's new paradigms, this concept of business relationships

33
extends beyond traditional enterprise boundaries and seeks to organize entire business
processes throughout a value chain of multiple companies.

During the past decades, globalization, outsourcing and information technology


have enabled many organizations such as Dell and Hewlett Packard, to successfully
operate solid collaborative supply networks in which each specialized business partner
focuses on only a few key strategic activities (Scott, 1993).

This inter-organizational supply network can be acknowledged as a new form of


organization. However, with the complicated interactions among the players, the network
structure fits neither "market" nor "hierarchy" categories (Powell, 1990). It is not clear
what kind of performance impacts different supply network structures could have on
firms, and little is known about the coordination conditions and trade-offs that may exist
among the players.

From a system's point of view, a complex network structure can be decomposed


into individual component firms (Zhang and Dilts, 2004). Traditionally, companies in a
supply network concentrate on the inputs and outputs of the processes, with little concern
for the internal management working of other individual players. Therefore, the choice of
internal management control structure is known to impact local firm performance
(Mintzberg, 1979).

In the 21st century, there have been a few changes in business environment that
have contributed to the development of supply chain networks. First, as an outcome of
globalization and proliferation of multi-national companies, joint ventures, strategic
alliances and business partnerships were found to be significant success factors,
following the earlier "Just-In-Time", "Lean Management" and "Agile Manufacturing"
practices.

34
Second, technological changes, particularly the dramatic fall in information
communication costs, a paramount component of transaction costs, has led to changes in
coordination among the members of the supply chain network (Coase, 1998).

Many researchers have recognized these kinds of supply network structure as a


new organization form, using terms such as "Keiretsu", "Extended Enterprise", "Virtual
Corporation", Global Production Network", and "Next Generation Manufacturing
System". In general, such a structure can be defined as "a group of semi-independent
organizations, each with their capabilities, which collaborate in ever-changing
constellations to serve one or more markets in order to achieve some business goal
specific to that collaboration" (Akkermans, 2001).

Andrew Cox, (1999) , Power, value and supply chain management, Explains some of the
thinking that informs both the case study articles that appear in the same issue of Supply
Chain Management: An International Journal and the EPSRC funded research project
currently being undertaken at the Centre for Business Strategy and Procurement. A
review is provided of the dominant ideas that currently inform “supply chain
management thinking”. This paradigm is characterised as operational effectiveness and
efficiency. A case is made for understanding supply chains from a strategic as well as
from an operational perspective. Current supply chain management thinking is criticised
for being atheoretical and descriptive, and a case is made for an analytical approach to
supply chain thinking based around the concepts of power and value appropriation. A
more analytically robust way of understanding supply chains is laid out.

Stephen J. New, (1997), The scope of supply chain management research, Advocates an
expanded scope for supply chain management research which accounts for the social
function and the political and economic implications of supply chain developments.
Argues that the research agenda must not be driven by the notion of efficiency alone, but
should also be developed around the concept of the just supply chain. Provides a
framework which sets out the range of issues which may contribute to this approach.

35
Believes that the objectives and ideological assumptions of research need to be open to
challenge and debate.

Kabossa A.B. Msimangira, (2003), Purchasing and supply chain management practices
in Botswana, Discusses supply chain management practices, with emphasis on
purchasing, in Botswana (a developing country). Focuses on problems facing business
operations and how to improve the situation. Presents the views of purchasing personnel
from public and private organizations and of students taking purchasing and supply chain
management courses. Discovers that purchasing has not been recognized as a profession,
which has led to lack of motivation in purchasing sections’ personnel. Further, purchasing
policies on external relationships and image are non-existent in most organizations.
Claims that managers need to change their thinking about the purchasing and supply
function – to see it as strategic and not clerical; and purchasing and supplies personnel
require training in supply chain management.

Miguel Martinez Ramos, (2004), Interaction between management accounting and


supply chain management, Despite its importance in other disciplines and its rapid
proliferation in organizational practice, until recently supply chain management (SCM)
has had only a relatively modest impact on management accounting research. This
research note focuses on the potential role that management accounting information can
play in SCM. From an alternative point of view, a reverse impact of the supply chain
activities on management accounting (intra- and inter-firm) practices and uses can be
expected. Both perspectives are analysed in this paper.

Andrew Cox, (1999), A research agenda for supply chain and business management
thinking, Summarises the key learning points in supply and value chain mapping. It
demonstrates that there is no best way to manage supply chains. Concludes that the key to
success in business is based on recognising the types of supply chains that exist and
aligning strategy and operational practice with the specific properties of the supply chain
that the company is positioned within. It is argued that some supply chain structures do
not lend themselves to effective value appropriation, so that entrepreneurial rents may not

36
be achievable in all circumstances. It is argued, in conclusion, that this way of thinking
about supply chains and supply innovation – referred to here as procurement and supply
competence – is underdeveloped in business management thinking.

Chee Yew Wong, Jan Stentoft Arlbjørn, John Johansen, (2005), Supply chain
management practices in toy supply chains, Purpose – Innovative products usually
experience highly unpredictable and variable demand. This is especially valid for the
volatile and seasonal toy industry, which produces high obsolete inventory, lost sales and
markdown. In such a volatile industry, what supply chain management (SCM) practices
are applicable and effective? This study seeks to explore SCM practices, and identify
practical and theoretical gaps in toy supply chains. Design/methodology/approach – This
article includes a longitudinal and in-depth case study during the past year in an
international toy manufacturer, which includes qualitative semi-structured interviews and
questionnaire with 11 main European toy retailers.

Remko I. van Hoek, Robina Chatham, Richard Wilding, (2002) Managers in supply
chain management, the critical dimension, Attracting and educating the right supply chain
managers are a critical challenge to the realization of most supply chain objectives
irrespective of the state of the economy (shortage of personnel several months ago or
increasing lay-offs currently). This is because of the richness of capabilities required to
do the job well. Much of our teaching in logistics and supply chain management focuses
on the technical aspects of the role. However, the importance and criticality of the human
aspects are becoming increasingly apparent. A new approach to the people dimension is
called for. This paper uncovers a set of emotional capabilities, which, if combined with
the technical capability that is undoubtedly needed as well, would transform the industry.
One emotional capability, the ability to influence, is examined by way of illustrating what
we mean by emotional capability. Suggestions are offered for furthering managerial
capabilities in supply chain management.

37
Alain Halley, Martin Beaulieu, (2009), Mastery of operational competencies in the
context of supply chain management, Purpose – According to the most recent theories,
the competitiveness of organizations is based on the development of competencies. Core
competencies result from greater mastery than competitors of organizational abilities
valued by customers. This paper seeks to investigate how a more thorough integration of
the supply chain may be associated with greater mastery of operational competencies.
Design/methodology/approach – The study is based on a mail survey carried out among
Canadian manufacturing companies.

Joseph Sarkis, (2012), A boundaries and flows perspective of green supply chain
management, Purpose – Managing the green (environmentally sustainable) supply chain
is an important issue for industry. This paper aims to provide a framework to understand
and appreciate the relationships of various research streams and topics in this field.
Utilizing this framework, emergent research directions to advance the field are also
presented. Design/methodology/approach – Published research in peer-reviewed journals
is evaluated using a new framework of nine non-exclusive, interrelated boundaries and
five flows of resources related to green supply chains and supply chain management.
Findings – The research literature can be integrated into these comprehensive
multidimensional frameworks, which also provide opportunities as vehicles for future
research. Research directions are described utilizing the framework presented in this
paper.

Damien Power, (2005), Supply chain management integration and implementation: a


literature review, Purpose – The purpose of this paper is to review a sample of the
literature relating to the integration and implementation of supply chain management
practices from a strategic viewpoint. Design/methodology/approach – The literature is
examined from three perspectives. First, supply chain integration covers issues relating to
integration of core processes across organizational boundaries through improved
communication, partnerships, alliances and cooperation. Second, strategy and planning
examines supply chain management as a strategic matter for trading partners, along with
factors relating to the amount of planning required. Third, implementation issues concern

38
factors critical for successful implementation, as well as issues specific to inter and intra-
organizational aspects of supply chain initiatives are contained in this sub-group

Stanley E. Fawcett, Gregory M. Magnan, Matthew W. McCarter, (2008), Benefits,


barriers, and bridges to effective supply chain management, Purpose – The purpose of
this article is to provide academics and practitioners a quantitative and qualitative
analysis of the benefits, barriers, and bridges to successful collaboration in strategic
supply chains. Design/methodology/approach – A triangulation method consisting of a
literature review, a cross-functional mail survey, and 51 in-depth case analyses was
implemented. Senior managers from purchasing, manufacturing, and logistics were
targeted in the mail survey. The break down by channel category interviews is as follows:
14 retailers, 13 finished goods assemblers, 12 first-tier suppliers, three lower-tier
suppliers, and nine service providers.

Uma V. Sridharan, W. Royce Caines, Cheryl C. Patterson, (2005), Implementation of


supply chain management and its impact on the value of firms, Purpose – The purpose of
this research is to examine the effect of supply chain implementation issues on firm
value. Design/methodology/approach – Using case study methodology, this paper
outlines the cases of Hershey and Nike and the impact of supply chain implementation
issues on these firms’ value. Findings – Difficulties in the implementation of supply
chain management software designed to maximize firm value, can result in a disruption
of a firm's supply chain, causing losses for the firm and a decline in firm value; thereby
creating much disappointment for the firm's shareholders. Hence, great care should be
taken with the implementation of new SCM solutions.

Susan A. Sherer, (2005), From supply-chain management to value network advocacy:


implications for e-supply chains, Purpose – To introduce a broader concept for supply-
chain management (SCM), the notion of value network advocacy.
Design/methodology/approach – The historical roots and the traditional terms used to
describe SCM are explored to show how their meanings have led to specific types of
information systems to support SCM. The limitations of these systems are demonstrated

39
with case studies. Then the concept of value network advocacy is introduced to address
these limitations, and implications of this term are explored.

Jill E. Hobbs, (1996), A transaction cost approach to supply chain management,


Observes that supply chain management is a rapidly-evolving subject which offers many
insights into how industries are organized and into the efficiency gains which can be
made under different organizational structures, pointing out that it is an interdisciplinary
concept, drawing on aspects of marketing, economics, logistics, organizational behaviour,
etc. Presents a framework from the economics literature which may be useful for those
interested in understanding and exploring the concept of supply chain management.
Describes the origins and development of transaction cost analysis and explains the key
concepts of the framework. Discusses the potential effects of transaction costs on vertical
co-ordination within an industry and, hence, on supply chain management. Finally,
suggests methods for empiricizing transaction cost analysis, resulting in
recommendations for closer co-operation between researchers and business managers.

Paula M.G. van Veen-Dirks, Peter J.A. Verdaasdonk, (2009) "The dynamic relation
between management control and governance structure in a supply chain context",
Supply Chain Management: An International Journal, Vol. 14 Iss: 6, pp.466 – 478, The
dynamic relation between management control and governance structure in a supply
chain context, Purpose – The purpose of this paper is to show that local management
control systems within supply chain organisations and the governance of supply chains
are intertwined and that local control systems and governance structure have an important
effect on the functioning of the supply chain. Design/methodology/approach – The paper
reports on a case study of a supply chain and examines how local management control
systems within the participating organisations affect cooperation between the
organisations in the supply chain. In the case study, a supply chain, including eight food
manufacturers, two logistic service providers, and two retailers, is investigated.

Robert E. Spekman, John W. Kamauff Jr, Niklas Myhr, (1998), An empirical


investigation into supply chain management: a perspective on partnerships, States that we
have witnessed, over the last several years, a profound change in understanding the

40
dynamics of competitive advantage. Managers now acknowledge that a firm’s success is
tied, in part, to the strength of its weakest supply chain partner. This paper develops the
concept of supply chain management and argues that only through close collaborative
linkages through the entire supply chain, can one fully achieve the benefits of cost
reduction and revenue enhancing behaviors. Data are presented that look at a range of
supply chain management practices and processes. By examining differences in practices
and processes between buyers and sellers, along with the supply chain, attempts to
understand better the challenges facing managers who espouse supply chain
management. Also proposes a change in mind set for the traditional procurement manager
and present insights for him/her to adapt to the requirements of the new competition.

Natasha Wilson, (1996), Supply chain management: a case study of a dedicated supply
chain for bananas in the UK grocery market, Looks at the concept of supply chain
management, discussing the theory and its relevance to the distribution and marketing of
fresh produce. Vertical co-ordination has seen an accelerated introduction in the context
of UK food retailing and the major food retailers are increasingly demanding dedicated
supply as their influence grows. Looks at three main players: J Sainsbury, the second
largest UK grocery retailer; Mack Multiples, an operating division of M & W Mack, the
UK’s largest privately-owned importer and distributor of fresh produce; and Noboa, a
major family-owned plantation business in Ecuador.

Göran Svensson, Hans Bååth, (2008), Supply chain management ethics: conceptual
framework and illustration, Purpose – The purpose of this paper is to describe a
conceptual framework of Supply Chain Management Ethics (SCM-ethics).
Design/methodology/approach – The research is based upon a qualitative approach using
a series of semi-structured interviews. Multiple perspectives and respondents have been
applied in the data collection process. The study is limited to the Swedish vehicle
industry. Findings – The empirical findings indicate that the corporate focus of SCM-
ethics is in part narrow in the Swedish vehicle industry. The partial focus may endanger
the corporate ethical performance in the long run, while the immediate one may not be
affected.

41
Ceren Atilgan, Peter McCullen, (2011) "Improving supply chain performance through
auditing: a change management perspective", Supply Chain Management: An
International Journal, Vol. 16 Iss: 1, pp.11 – 19, Improving supply chain performance
through auditing: a change management perspective, Quick scan audit methodology
(QSAM) has been adapted to include some change management practices. This paper
seeks to relate how the company's dissemination feedback presentation sessions and
implementation team-work added value to the established QSAM by: offering a new
method of demonstrating a “listening ear” to employees, providing enhanced verification
of the QS results, increasing “buy in” and offering the possibility of a deeper knowledge
transfer and increased audit accuracy.

Rao Tummala, Tobias Schoenherr, (2011), Assessing and managing risks using the
Supply Chain Risk Management Process (SCRMP), Purpose – The purpose of this paper
is to propose a comprehensive and coherent approach for managing risks in supply
chains. Design/methodology/approach – Building on Tummala et al.'s Risk Management
Process (RMP), this paper develops a structured and ready-to-use approach for managers
to assess and manage risks in supply chains. Findings – Supply chain risks can be
managed more effectively when applying the Supply Chain Risk Management Process
(SCRMP). The structured approach can be divided into the phases of risk identification,
risk measurement and risk assessment; risk evaluation, and risk mitigation and
contingency plans; and risk control and monitoring via data management systems.
Specific techniques for conducting this process are suggested.

Bernd Huber, Edward Sweeney, (2007), The need for wider supply chain management
adoption: empirical results from Ireland, Purpose – This paper aims to provide empirical
results which suggest that there is a need for more widespread adoption of supply chain
management among Irish firms. Design/methodology/approach – The Republic of Ireland
is a small, open, trade-dependent economy and is one of the fastest growing economies in
the developed world. However, due to rising costs, there is an increasing trend in Ireland
to outsource lower function manufacturing processes to lower-cost locations but to retain
high-skill functions (such as R&D). This trend, together with other factors such as its
42
peripheral location, suggests that supply chain management is critical from an Irish
perspective. In order to gain unique insights of current levels of awareness/adoption of
SCM and the potential impact SCM could have on competitiveness, a survey was
conducted among 776 Irish firms.

Kevin McCormack, Marcelo Bronzo Ladeira, Marcos Paulo Valadares de Oliveira,


(2008), Supply chain maturity and performance in Brazil, Purpose – The purpose of the
paper is to investigate the relationship between supply chain maturity and performance,
with specific references both to the business process orientation maturity model and to
the supply chain operation reference model. Design/methodology/approach –
Quantitative, survey based research was carried out with 478 Brazilian companies.
Statistical analysis combined the use of descriptive statistics and structural equation
modeling. Findings – Empirical results indicate a strong and positive statistical
relationship between supply chain maturity and performance. The results also suggest
that the deliver process maturity has a higher impact on overall performance than the
other supply chain processes.

Vinod Kumar, Kamel A. Fantazy, Uma Kumar, Todd A. Boyle, (2006),


Implementation and management framework for supply chain flexibility, Purpose – The
purpose of this research is to develop a conceptual framework for implementing and
managing supply chain flexibility in supply chain organizations. The framework suggests
that supply chain flexibility should be implemented and managed using a three-stage
approach: required flexibility identification, implementation and shared responsibility,
and feedback and control. Design/methodology/approach – The major components of the
proposed framework are based on a review of research in the manufacturing flexibility
literature as well as the limited research in supply chain flexibility. The strengths and
weaknesses of these frameworks, combined with a published empirical study were
analyzed to identify the important issues that must be considered when implementing and
managing supply chain flexibility, and those components that need to be incorporated
into a new integrated framework. Findings – This framework was constructed by
synthesizing the strengths of other conceptual frameworks. As a result, the major
components of the framework are supported by the current research on the
43
implementation and management of manufacturing flexibility, as well as the current
literature on supply chain management.

B.S. Sahay, Vasant Cavale, Ramneesh Mohan, (2003), The “Indian” supply chain
architecture, With close to 22 percent of aggregate industry sales tied up in inventories in
the entire supply chain network, what is it that ails Indian industry? Is it the way Indian
supply chains are configured – their orientation to processes to streamline business
activities; their fusion of information technology to speed up business transactions; their
approach to supply chain strategy to improve bottom line results – that has restricted
them from achieving global standards? The article, based on a recently concluded
nationwide study titled “Supply chain management practices in Indian Industry: 2000”,
throws up glaring facts about the current architecture of supply chains in India. The
article concludes that though some Indian organizations are moving fast towards
improving supply chain efficiencies, most of them are still far from realising its effect on
business performance.

Yahia Zare Mehrjerdi, (2009), Excellent supply chain management, Purpose – The
purpose of this paper is to review the fundamental concept of supply chain management
(SCM) and discusses the facts that a road to success in the process of design,
development, implementation and operation of a supply chain (SC) is the identification of
superior strategies and clear objectives. To understand important SC strategies for a
complete success, main strategies need to be identified. The literature of SC is filled with
a wide range of strategies applied successfully across various enterprises that reviewed
briefly in this paper. Design/methodology/approach – The paper provides key strategies
of SCM, and discusses the fact that the vision for the excellent SCM can be built on
principles as such as speed, quality, cost, flexibility, quality leadership, customer focused,
collaboration, and integrated information system.

44
CHAPTER IV
RESEARCH METHODOLOGY
4.1 PROBLEM STATEMENT

 To find out the problems of customers in purchasing the product and to find the
solutions to overcome the problem in effective ways with user friendly.

 To find the new solutions to improve the organisation's growth and increase the
customers.

 The Consumer Supply Chain management is responsible to provide the products


to the customers without any damages. So the SCM should be maintain in
effective manner.

45
4.2 OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE:

o To study the effectiveness of supply chain management at Alloysys


Extrusion Pvt Ltd

SECONDARY OBJECTIVE:

o To identify the preferred distribution network and tracking of goods.


o To assess the problems faced in taking care of the raw material in the
supply chain department
o To know the satisfaction level of the customers with the current public
policy regarding SCM
o To understand the overall satisfaction level of the customers based of
factors like timely delivery, stock availability, less damage of goods,
quality and cost of the product.
o To provide suitable suggestions to improve the overall effectiveness of
supply chain management at Alloysys Extrusion Pvt Ltd
46
4.3 NEED FOR THE STUDY

Customer focus on supply management is made for special purpose to improve the
product and marketing function for consumer satisfaction.

 To know about how many people to get aware about Alloysys Extrusion Pvt Ltd.
 To find the competitors and analyze the methods for competition marketing.
 How many people to purchase Alloysys Extrusion Pvt Ltd in market.
 To get suggestion from public for further improvement.
 Who is the main Customer and which satisfies them?

47
4.4 SCOPE OF THE STUDY

 The project throws on the needs for learning buying behavior for successful
marketing.

 The project was developed based on benefits of sales towards organization.

 It will be helpful for the management to identify the needs and benefits of the
buyer and to take decision-making to promote marketing status.

 This project can be base for the students who are doing the project in the related
area and to the organization in viewing the worth of the buyer and attitude of the
buying decision making.

48
4.4 RESEARCH TYPE
Research in common parlance refers to a search for knowledge. One can also
define research as a scientific and systematic search for pertinent information on a
specific topic. In fact, research is an art of scientific investigation. Research is an
academic activity and as such the term should be used in a technical sense.
RESEARCH DESIGN

Research design is a conceptual structure with in which research is conducted. It


constituted the blue print for collection measurement and analysis of data. The type of
research design used is descriptive research. Descriptive research includes surveys and
fact finding enquiries of different kinds. The major purpose of descriptive research is
description of the state of affairs, as it exists at present.

TYPES OF DATA COLLECTED


Primary Data

49
Questionnaires are prepared and interview was conducted. Most of the questions
are consist of multiple choices. The questionnaires were conducted in English.
Generally 29 questions are prepared and asked to the customers.

Secondary Data

Secondary data was collected from Internets, various books, Journals, and
Company Records.

DEFINING THE POPULATIONS

The Population or Universe can be Finite or infinite. The population is said to be


finite if it consist of a fixed number of elements so that it is possible to enumerate it in its
totality. So In this projects consist of finite population.

4.5 SAMPLE DESIGN

The sample design is a defined plan determined before any data are actually
collected for obtaining a sample. A sample of 130 associates was selected from Alloysys
Extrusion Pvt Ltd Users in Chennai.

FIELD WORK

The field works is done in Alloysys Extrusion Pvt Ltd buyers as well as users,
Chennai

PERIOD OF SURVEY

The period of survey is from

DESCRIPTION OF STATISTICAL TOOLS USED

50
 Percentage Analysis

PERCENTAGE ANALYSIS:

In this project Percentage method test was used. The following are the formula

Percentage of Respondent = No of Respondent/ Total no. of Respondents x 100

SIMPLE CORRELATION:

In probability theory and statistics, correlation, also called correlation


coefficient, indicates the strength and direction of a linear relationship between two
random variables. In general statistical usage, correlation or co-relation refers to the
departure of two variables from independence.

Formula:

r= Σ(X-Xi) (Y-Yi)
√Σ(X-Xi) 2 Σ(Y-Yi) 2
Where
X- Reason for repurchase
Y-Preference of respondent

,
4.6 LIMITATIONS OF THE STUDY

Some of the limitations of the study were

51
o Some of the respondents were unwilling to fill the questionnaire due to the
fear of their personality being identified.

o Few responses could have been biased as the respondents might have been
influenced by the situation.

CHAPTER – V

5.0 DATA ANALYSIS AND INTERPRETATION

5.1 ANALYSIS AND INTERPRETATION

After data have been collected, the researcher turns to the task of analyzing them.
The analysis of data requires a number of closely related operations such as establishment
of categories, the application of these categories to raw data through tabulation and
drawing statically inferences.

Tabulation is the part of technical procedure where in the classified data are put in
the form of tables. After analyzing the data, the researcher should have to explain the
findings on the basis of some theory. It is known as interpretation.

The data has been collected from 130 clients of Alloysys Extrusion Pvt Ltd,
Chennai, through questionnaire. The data thus collected was in the form of master table.
That made possible counting of classified data easy.

52
From the master table various summery tables were prepared. They have been
presented along with their interpretation in this manner.

TABLE 1: SUPPLY CHAIN MANAGEMENT HAVING ALL THE ADDRESS OF THE


DEVELOPER BRANCHES OF THE COMPANY
NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Yes 97 75
2 No 33 25
Total 130 100

CHART 1 SUPPLY CHAIN MANAGEMENT HAVING ALL THE ADDRESS


OF THE DEVELOPER BRANCHES OF THE COMPANY

53
INFERENCE
From the above chart it can be inferred that 75% of the respondents said yes that : supply
chain management having all the address of the developer branches of the company. Only
25% of the respondents said no that the supply chain management having all the address
of the developer branches of the company. Therefore most of the respondents said that the
supply chain management having all the address of the developer branches of the
company
Table 2: THE WORKING STRATEGIES OF SUPPLY CHAIN MANAGEMENT
DEPARTMENT ON THE BASIS OF THE CURRENT PROGRAMS

NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Outstanding 43 33
2 Excellent 32 25
3 Good 22 17
4 Average 33 25
Total 130 100

Chart 2: THE WORKING STRATEGIES OF SUPPLY CHAIN MANAGEMENT


DEPARTMENT ON THE BASIS OF THE CURRENT PROGRAMS

INFERENCE:

54
From the above chart it can be inferred that 33% of the respondents are said that the
working strategies of supply chain management department on the basis of the current
programs is outstanding and 25% of the respondents said that the company the working
strategies of supply chain management department on the basis of the current programs is
excellent and only 17% of the respondents said that the company the working strategies
of supply chain management department on the basis of the current programs is good
TABLE 3 THE SUPPLY CHAIN MANAGEMENT DEPARTMENT IS HAVING
SUFFICIENT TRANSPORTATION

NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Yes 115 88
2 Not Sufficient 15 12
Total 130 100

CHART 3 THE SUPPLY CHAIN MANAGEMENT DEPARTMENT IS HAVING


SUFFICIENT TRANSPORTATION

INFERENCE:

55
From the above chart it can be inferred that 75% of the respondents said yes that the
company has the sufficient transportation in SCM department. Only 25% of the
respondents said no the company has the sufficient transportation in SCM department.
Therefore most of the respondents said that the company has the sufficient transportation
in SCM department

TABLE 4 ACCORDING TO THE CURRENT GROWTH PROCESS OF THE


ORGANIZATION, THE FOLLOWING NEEDS MUCH ATTENTION AND
PROGRESS TO BOOST THE PRODUCTION
NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Operational activities 53 41
2 Tactical activities 43 33
Current programming
3 strategies 34 26
Total 130 100

CHART 4: ACCORDING TO THE CURRENT GROWTH PROCESS OF THE


ORGANIZATION, THE FOLLOWING NEEDS MUCH ATTENTION AND
PROGRESS TO BOOST THE PRODUCTION

56
INFERENCE:
From the above chart it can be inferred that 41% of the respondents are said according to
the current growth process of the organization, operational activities needs much
attention and progress to boost the production and 33% of the respondents said according
to the current growth process of the organization, tactical activities needs much attention
and progress to boost the production and only 26% of the respondents said that according
to the current growth process of the organization, current programming strategies needs
much attention and progress to boost the production
TABLE 5: SUPPLY CHAIN DEPARTMENT IS FACING PROBLEM IN TAKING
CARE OF THE RAW MATERIAL
NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 During storage 21 16
2 Packaging 22 17
3 Testing of packaging 59 45
Evaluation of defective raw
4 material 28 22
TOTAL 130 100

CHART 5: SUPPLY CHAIN DEPARTMENT IS FACING PROBLEM IN TAKING


CARE OF THE RAW MATERIAL

INFERENCE:

57
From the above chart it can be inferred that 45% of the respondents are said testing of
packaging side the supply chain department is facing problem in taking care of the raw
material and 22% of the respondents said evaluation of defective raw material side the
supply chain department is facing problem in taking care of the raw material and only
16% of the respondents said that during storage the supply chain department is facing
problem in taking care of the raw material
TABLE 6 DELIVERY ACTIVITY OF THE DEPARTMENT

NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Excellent 31 24
2 Very effective 22 17
3 Good 49 38
4 Average 28 21
TOTAL 100 100

CHART 6 DELIVERY ACTIVITY OF THE DEPARTMENT

INFERENCE:

58
From the above chart it can be inferred that 38% of the respondents are rating delivery
activity of the department is good.24% of the respondents are rating the delivery activity
of the department is excellent. Only 17% of the respondents rating the delivery activity
of the department is very effective. Therefore majority of the respondents of the
respondents are rating delivery activity of the department is good.
.TABLE 7 ANY CASE RECORDED BY THE SUPPLY CHAIN
DEPARTMENT IN WHICH THE PRODUCTION DEPARTMENT
COMPLAINED LATE DELIVERY OF RAW MATERIALS

NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Yes 15 12
2 No 115 88
Total 130 100

CHART 7 ANY CASE RECORDED BY THE SUPPLY CHAIN


DEPARTMENT IN WHICH THE PRODUCTION DEPARTMENT
COMPLAINED LATE DELIVERY OF RAW MATERIALS

Inference:
From the above chart it can be inferred that 12% of the respondents said yes that there is
a case recorded by the supply chain department in which the production department
complained late delivery of raw materials . Only 88% of the respondents said no there is

59
a case recorded by the supply chain department in which the production department
complained late delivery of raw materials .Therefore most of the respondents said that the
there a case recorded by the supply chain department in which the production department
complained late delivery of raw materials.
TABLE 8 EXPERIENCE OF THE COMPANY IN OPERATION

NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Less than 10years 53 41
2 Less than 20years 43 33
3 More than 20years 34 26
Total 130 100

CHART 8 EXPERIENCE OF THE COMPANY IN OPERATION

Inference:
From the above chart it can be inferred that 41% of the respondents said that company
has been in operation less than 10 years 33% of the respondents said that company has
been in operation less than 20 years and 26% of the respondents said that company has
been in operation more than 20 years. Therefore most of the respondents said that of the
respondents said that company has been in operation less than 10 years.
60
TABLE 9 THE COMPANY PLANS TO LAUNCH NEW
PRODUCTS

NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Yes 98 12
2 No 32 88
Total 130 100

CHART 9 THE COMPANY PLANS TO LAUNCH NEW PRODUCTS

INFERENCE:
From the above chart it can be inferred that 12% of the respondents said yes that the
company has the plan to launch the new products . Only 88% of the respondents said yes
that the company has the plan to launch the new products .Therefore most of the
respondents said that the company does not have the idea to launch the new product.

61
TABLE 10 PLANS IN PLACE TO INCREASE COMPANY REVENUE

NO OF
S.NO PARTICULARS RESPONDENTS PERCENTAGE
1 Yes 107 82
2 No 23 18
Total 130 100

CHART 10 PLANS IN PLACE TO INCREASE COMPANY REVENUE

INFERENCE:
From the above chart it can be inferred that 82% of the respondents said yes that the
company has plans in place to increase company revenue. Only 18% of the respondents
said no that the company has the plans in place to increase company revenue .Therefore
most of the respondents said that the company has the plans in place to increase
company revenue.

COMPANY IN MANAGING ITS SUPPLY CHAIN

62
TABLE-11
S.No Particulars No of Respondents Percentage
1. Very Successful 70 54
2. Successful 41 32
3. Somewhat 16 12
Successful
4. Not at all Successful 03 2
Total 130 100

CHART-11

INFERENCE:
From the above chart it can be inferred that 54% of the respondents said that company
managing its supply chain in very successful manner. 32% of the respondents of the
respondents said that company managing its supply chain in very successful manner and
only 2% of the respondents of the respondents said that company managing its supply
chain is not at all successful manner. Therefore most of the respondents said that
company successfully managing its supply chain.
TABLE-12 STEPS TAKEN BY THE COMPANY FOR MANAGING THE SUPPLY
CHAIN BETTER
S.No Particulars No of Respondents Percentage
63
1. Close partnership 42 32
with suppliers
2. Close partnership 43 33
with customers
3. Outsourcing 30 23
4. SupplyChain 15 12
Benchmarking
Total 130 100

CHART-12

INFERENCE:
From the above chart it can be inferred that 32% of the respondents said that Close
partnership with suppliers helps the company to manage its supply chain in a better way.
33% of the respondents said that Close partnership with customers helps the company to
manage its supply chain in a better way and only 15% of the respondents said that Supply
64
Chain Benchmarking helps the company to manage its supply chain in a better way.
Therefore most of the respondents said that company has to keep close relationship with
customers in order to manage its supply chain better.

TABLE-13 SYSTEM WHICH IS USED TO SUPPORT SUPPLY CHAIN


MANAGEMENT
S.No Particulars No of Respondents Percentage
1. Material 27 21
Requirements
Planning (MRP)

65
2. Manufacturing 32 25
Resources Planning
(MRPII)

3. Enterprise Resource 26 20
Planning (ERP)
4. Supply Chain 45 37
Management (SCM)
Total 130 100

CHART-13

INFERENCE:
From the above chart it can be inferred that 37% of the respondents said that supply chain
management (scm) system which is used to support supply chain management. 25% of
the respondents said of the respondents said that Manufacturing Resources Planning
(MRPII) system which is used to support supply chain management and only 20% of the
respondents said that

66
Enterprise Resource Planning (ERP) system which is used to support supply chain
management. Therefore most of the respondents said that supply chain management
(scm) system which is used to support supply chain management.

TABLE-14 SYSTEM WHICH IS USED TO IMPLEMENT IN NEAR FUTURE


S.No Particulars No of Respondents Percentage
1. Material 20 16
Requirements
Planning (MRP)
2. Manufacturing 32 25
Resources Planning
67
(MRPII)

3. Enterprise Resource 33 26
Planning (ERP)
4. Supply Chain 45 35
Management (SCM)
Total 130 100

CHART-14

INFERENCE:

From the above chart it can be inferred that 35% of the respondents said that supply chain
management (scm) system system which is used to implement in near future. 26% of the
respondents said of the respondents said that enterprise resource planning (erp) system
system which is used to implement in near future and only 20% of the respondents said
that material requirements planning (mrp)system which is used to implement in near
future.. Therefore most of the respondents said that supply chain management (scm)
system which is used to support supply chain management .

68
SATISFACTION OF CURRENT PUBLIC POLICY REGARDING SCM
TABLE-15
S.No Particulars No of Respondents Percentage
1. Very Satisfied 76 58
2. Satisfied 42 32
3. Somewhat satisfied 9 7
4. Not at all Satisfied 03 2
Total 130 100

CHART-15

69
INFERENCE:
From the above chart it can be inferred that 58% of the respondents said that satisfaction
of current public policy regarding scm is very satisfied. 32% of the respondents of the
respondents satisfaction of current public policy regarding scm is satisfied and only 2%
of the respondents of the respondents said satisfaction of current public policy regarding
scm is not all satisfied. Therefore most of the respondents said that satisfaction of current
public policy regarding scm is very satisfied.
PRODUCTS WITHOUT ANY DAMAGE
TABLE-16
S.No Particulars No of Respondents Percentage
1. Yes 101 78
2. No 19 24
Total 130 100
CHART-16

70
INFERENCE:
From the above chart it can be inferred that 78% of the respondents said that they
receiving the product without any damage. 24% of the respondents of the respondents
said that they receiving the damaged products. Therefore most of the respondents said
that they receiving the product without any damage.

AWARENESS OF THE NEW / PROMOTIONAL SCHEMES PROVIDED BY


THE ALLOYSYS EXTRUSION PVT LTD

TABLE-17
S.No Particulars No of Respondents Percentage
1. Yes 106 82
2. No 24 18
Total 130 100
CHART-17

71
INFERENCE:
From the above chart it can be inferred that 82% of the respondents said that they aware
of the new / promotional schemes provided by the Alloysys Extrusion Pvt Ltd.24% of the
respondents said that they aware of the new / promotional schemes provided by the
Alloysys Extrusion Pvt Ltd. Therefore most of the respondents said that they aware of the
new / promotional schemes provided by the Alloysys Extrusion Pvt Ltd.

RETAILERS OPINION ABOUT SERVICE WHICH IS OFFERED BY


ALLOYSYS EXTRUSION PVT LTD
TABLE-18
S.No Particulars No of Respondents Percentage
1. Very Satisfied 44 34
2. Satisfied 52 40
3. Somewhat satisfied 34 26
4. Not at all Satisfied 0 0
Total 130 100

72
CHART-18

INFERENCE:
From the above chart it can be inferred that 34% of the respondents said that retailers
opinion about service which is offered by Alloysys Extrusion Pvt Ltd is very satisfied
40% retailers opinion about service which is offered by Alloysys Extrusion Pvt Ltd is
satisfied. Therefore most of the respondents said that retailers opinion about service
which is offered by Alloysys Extrusion Pvt Ltd is very much satisfied

73
TRY WITH A NEW SERVICE PROVIDER, IF OFFERED WITH DISCOUNT

TABLE-19
S.No Particulars No of Respondents Percentage
1. Yes 121 93
2. No 09 7
Total 130 100
CHART-19

74
INFERENCE:
From the above chart it can be inferred that 93% of the respondents said try with a new
service provider, if offered with discount. Only 7 % of the respondents said that try with a
new service provider, if offered with discount. Therefore most of the respondents said
that try with a new service provider, if offered with discount.

CURRENT PERFORMANCE EXPECTATION


TABLE-20
S.No Particulars No of Respondents Percentage
1. Good 84 65
2. Above average 21 16
3. Below average 14 11
4. Poor 11 8
Total 130 100

CHART-20
75
INFERENCE:
From the above chart it can be inferred that 65% of the respondents said Alloysys
Extrusion Pvt Ltd meets their current performance expectation.16% of the respondents
are falls in to the category of above average . Only 11% of the respondents said that
tAlloysys Extrusion Pvt Ltd are not meets their current performance expectation.
Therefore most of the respondents said that Alloysys Extrusion Pvt Ltd meets their
current performance expectation.
PRODUCTS DELIVERY STATUS TO THE SUPPLIER

TABLE-21
S.No Particulars No of Respondents Percentage
1. Yes 124 95
2. No 06 5
Total 130 100

CHART-21

76
INFERENCE:
From the above chart it can be inferred that 95% of the respondents said Yes that the the
products are delivered on time to the supplier. Only 75% of the respondents said no that
the the products are delivered on time to the supplier. Therefore most of the respondents
said that the products are delivered on time to the supplier.

AVAILABILITY OF ALLOYSYS EXTRUSION PVT LTD IN THE MARKET

TABLE-22
S.No Particulars No of Respondents Percentage
1. Yes 127 98
2. No 03 2
Total 130 100

CHART-22

77
Inference:
From the above chart it can be inferred that 98 % of the respondents said yes that the the
Alloysys Extrusion Pvt Ltd is available in the market . Only 2% of the respondents said
no the Alloysys Extrusion Pvt Ltd is available in market. Therefore most of the
respondents said that the Alloysys Extrusion Pvt Ltd is available in the market in a
sufficient manner.

SUPPLIERS PERFORMANCE

TABLE-23

S.No Particulars No Of Respondents Percentage


1. Good 76 58
2. Above average 32 25
3. Below average 22 15
4. Poor 0 0
78
Total 130 100

CHART-23

INFERENCE:

From the above chart it can be inferred that 58% of the respondents are rating the supplier
performance is good.25% of the respondents are falls into the above average category.
Only 1% of the respondents rating that supplier performance is Poor. Therefore majority
of the respondents rating that supplier performance is good.

FRIENDLY BEHAVIOUR OF SUPPLIERS WITH THE CUSTOMERS

TABLE-24
S.No Particulars No of Respondents Percentage
1. Yes 79 61
2. No 51 39
Total 130 100

CHART-24

79
INFERENCE:
From the above chart it can be inferred that 61% of the respondents said yes that the
Supplier is friendly with the customers. Only 39% of the respondents said no Supplier is
friendly with the customers. Therefore most of the respondents said that Supplier is
friendly with the customers.

WAY OF ORDER PLACEMENT TO THE MEMBERS SUPPLY CHAIN

TABLE-25

S.No Particulars No Of Respondents Percentage


1. Phone 51 39
2. Web s ervice 49 37
3. Forecasting 14 11
4. Personal 16 12
Total 130 100

80
CHART-25

INFERENCE:

From the above chart it can be inferred that 39% of the respondents said Order placement
to the members supply chain is done by phone .37% of the respondents said Order
placement to the members supply chain is done by web services. Only 12% of the
respondents said Order placement to the members supply chain is done by Personal.
Therefore most of the respondents said that order placement to the member supply chain
is done through telephone.

GOODS TRACKING

TABLE-25

S.No Particulars No Of Respondents Percentage


1. Communication 63 48
channel
2. Web enabled system 37 28
3. GPRS system 30 23
Total 130 100

81
CHART-25

INFERENCE:

From the above chart it can be inferred that 48% of the respondents said Tracking of
goods is done by Communication channel .28% of the respondents said Tracking of
goods is done by web enabled system. Only 23% of the respondents said Tracking of
goods is done by GPRS. Therefore most of the respondents said that Tracking of goods is
done by Communication channel.
COMPANY HAS THE OWN LOGISTICS
TABLE-27
S.No Particulars No of Respondents Percentage
1. Yes 101 78
2. No 29 52
Total 130 100

CHART-27

82
INFERENCE:
From the above chart it can be inferred that 78% of the respondents said yes that the S
the company have its own logistics. Only 52% of the respondents said no the company
have its own logistics. Therefore most of the respondents said the company have its own
logistic.

DISTRIBUTION NETWORK OF THE COMPANY

TABLE-28

S.No Particulars No Of Respondents Percentage


1. Air ways 21 16
2. Water ways 26 20
3. Road ways 22 17
4. All of the above 61 47
Total 130 100

83
CHART-28

INFERENCE:
From the above chart it can be inferred that, 20% of the respondents said that the
Banglore operation company use the waterways distribution network and 17% of the
respondents said that the Banglore operation company use the roadways distribution
network but 47% of the respondents said that Banglore operation company use the all
types distribution channel.
EFFECTIVENESS OF SUPPLY CHAIN IN THE COMPANY

TABLE-29

S.No Particulars No Of Respondents Percentage


1. Timely deliver 30 23
2. Quality and cost 37 28
3. Availability of stock 39 30
4. Less damage of 16 13
goods
5. All the above 8 6
Total 130 100
84
CHART-29

INFERENCE:

From the above chart it can be inferred that, 23% of the respondents said that the
company follows timely deliver criteria for effectiveness of supply chain.28% of the
respondents said that the company follows quality and cost criteria for effectiveness of
supply chain and only lest no of respondents said that the company follow all the criteria
for the effectiveness of Supply chain. Therefore most of the respondents said that quality
and cost is the best criteria for the effectiveness of supply chain.

85
FINDINGS:

 Therefore most of the respondents said that the supply chain management having
all the address of the developer branches of the company.

 33% of the respondents are said that the working strategies of supply chain
management department on the basis of the current programs is outstanding.

 75% of the respondents said that the company has the sufficient transportation in
SCM department

86
 Majority of the respondents are said according to the current growth process of
the organization, operational activities needs much attention and progress to boost
the production.

 Most of the respondents said the supply chain department is facing problem in
taking care of the raw material while test of packaging

 Majority of the respondents of the respondents are rating delivery activity of the
department is good.

 Most of the respondents said that the there a case recorded by the supply chain
department in which the production department complained late delivery of raw
materials.

 Maximum number of the respondents said that of the respondents said that
company has been in operation less than 10 years.
 82% of the respondents said that the company does not have the idea to launch the
new product
 Most of the respondents said that the company has the plans in place to increase
company revenue.
 Most more than half of the respondents said that company successfully managing
its supply chain.
 Most of the respondents said that company has to keep close relationship with
customers in order to manage its supply chain better.
 37% of the respondents said that supply chain management (scm) system which is
used to support supply chain management
 Most of the respondents said that satisfaction of current public policy regarding
scm is very satisfied
 Therefore most of the respondents said that they receiving the product without
any damage.
 More than half of the respondents said that retailers opinion about service which
is offered by Alloysys Extrusion Pvt Ltd is very much satisfied
 Most of the respondents said that try with a new service provider, if they offered
with discount.

 Most of the respondents said that Alloysys Extrusion Pvt Ltd meets their current
performance expectation.
87
 Most of the respondents said that the products are delivered on time to the
supplier.

 98% of the respondents said that the Alloysys Extrusion Pvt Ltd is available in the
market in a sufficient manner.

 Most of the respondents rating that supplier performance is good.

 Majority of the respondents said that Supplier is friendly with the customers.

 Most of the respondents said that order placement to the member supply chain is
done through telephone.

 Majority of the respondents said that Tracking of goods is done by


Communication channel.

 78% of the respondents said the company have its own logistic

 47% of the respondents said that Banglore operation company use the all types
distribution channel.

 Most of the respondents said that quality and cost is the best criteria for the
effectiveness of supply chain.

SUGGESTIONS:

 It is suggested that company can improve the working strategies of supply chain
management department on the basis of the current programs.

 Company can improve the transportation facility of supply chain department.

 It is suggested that company can concentrate more on the operational activities.

 It is suggested that company can take steps to reduce the problems in testing of
packaging area.
88
 Some customer are unhappy about the delivery activity of the department. So
company can take some steps to improve the delivery activity.

 Company can take steps to reduce the damage of goods.

 It is suggested that company can take steps to train the suppliers regarding how to
behave with customers.

CONCLUSION

Customer Focus on supply chain management will help to learn customer buying
attitude. In Alloysys Extrusion Pvt Ltd not get much more awareness from public, so
kindly to improve the advertisements and other improvements process.
The study has been conducted at Alloysys Extrusion Pvt Ltd. A survey was
conducted with 130 respondents in the company by using questionnaire to collect the
information’s from the respondents. After gathering the information’s, the researcher has

89
analysis the data by interpreting the various tools. Based on the analysis, the researcher
has given some suggestions to the management to develop customer focus on supply
chain management. Also SCM helps the management to reduce the logistics cost and
proper utilization of warehouse space.

APPENDIX
BIBLIOGRAPHY

[1.] Cooper, M. C., and L. M. Ellram. 1993. Characteristics of Supply Chain


Management and the Implications for Purchasing and Logistics Strategy. The
International Journal of Logistics Management, 4, 2, 13-24.
[2.] Deuermeyer, B. and L. B. Schwarz. 1981. A Model for the Analysis of System
Service Level in Warehouse/ Retailer Distribution Systems: The Identical Retailer

90
Case, in: L. B. Schwarz (ed.), Studies in Management Sciences, Vol. 16--Multi-
Level Production / Inventory Control Systems, North-Holland, Amsterdam, 163-
193.
[3.] Geoffrion, A., and G. Graves. 1974. Multicommodity Distribution System Design
by Benders Decomposition. Management Science, 29, 5, 822-844.
[4.] Geoffrion, A., and R. Powers. 1993. 20 Years of strategic Distribution System
Design: An Evolutionary Perspective, Interfaces. (forthcoming)
[5.] Houlihan, J. B. 1985. International Supply Chain Management. International
Journal of Physical Distribution and Materials Management, 15, 1, 22-38.
[6.] Lee, H. L., and C. Billington. 1992. Supply Chain Management: Pitfalls and
Opportunities. Sloan Management Review, 33, Spring, 65-73.
[7.] Lee, H. L., and C. Billington. 1993. Material Management in Decentralized
Supply Chains. Operations Research, 41, 5, 835-847.
[8.] Masters, J. M. 1993. Determination of Near-Optimal Stock Levels for Multi-
Echelon Distribution Inventories. Journal of Business Logistics, 14, 2, 165-195.
[9.] Schwarz, L. B. 1981. Introduction in: L. B. Schwarz (ed.), Studies in
Management Sciences, Vol. 16--Multi-Level Production / Inventory Control
Systems, North-Holland, Amsterdam, 163-193.
[10.] Stenross, F. M., and G. J. Sweet. 1991. Implementing an Integrated Supply
Chain in Annual Conference Proceedings, Oak Brook, Ill: Council of Logistics
Management, Vol. 2, 341-351.
[11.] Bernd Huber, Edward Sweeney, (2007), The need for wider supply chain
management adoption: empirical results from Ireland
QUESTIONNAIRE:
1. Is supply chain management having all the address of the developer branches of
the company?
a)Yes b)No

2. Rate the working strategies of supply chain management department on the basis
of the current programs?
a) Outstanding b) Excellent

91
c) Good d)Average

3. Is the supply chain management department is having sufficient transportation?


a)Yes b) Not sufficient

4. According to the current growth process of the organization, which of the


following needs much attention and progress to boost the production?
a) Operational activities b)Tactical activities
c) Current programming strategies

5. Choose the right option, where the supply chain department is facing problem in
taking care of the raw material?
a) During storage b) Packaging
c) Testing of packaging d) Evaluation of defective raw material

6. How do you rate the delivery activity of the department?


a) Excellent b) Very effective
c) Good . d) Average

7. Is there any case recorded by the supply chain department in which the
production department complained late delivery of raw materials?
a) Yes b) No

8. How long has the company been in operation?


a)Less than 10years b)10-20years c) More than 20years

9. Does the company plan to launch new products?


a)Yes b)No

10. Are their plans in place to increase company revenue?


a)Yes b)No

92
11. How successful do you think is your company in managing its supply chain in
general?

a) Very Successful b) Successful

c) Somewhat Successful d) Not at all Successful

12. Which of the following you think that your company needs to do in order to
manage its supply chain better?

a) Close partnership with suppliers b) Close partnership with customers


c) Outsourcing d) Supply Chain Benchmarking
13. What types of systems are currently in use in your company to support Supply
Chain Management?
a) Material Requirements Planning (MRP) b)Manufacturing Resources Planning
(MRPII)
c) Enterprise Resource Planning (ERP) d)Supply Chain Management (SCM)

14.What types of systems do you plan to implement in the near future (within the next 2
years)?
a) Material Requirements Planning (MRP) b)Manufacturing Resources Planning
(MRPII)
c) Enterprise Resource Planning (ERP) d)Supply Chain Management (SCM)

15. How satisfied are you with the current public policy regarding SCM?
a) Very Satisfied b) Satisfied

c) Somewhat satisfied d)Not at all Satisfied

16. Are you receiving the products without any damage?

a)Yes b)No

17. Are you made aware of the new / promotional schemes provided by the Alloysys
Extrusion Pvt Ltd?
93
a)Yes b)No

18. Retailers opinion about service provided by Alloysys Extrusion Pvt Ltd?

a) Very Satisfied b) Satisfied

c) Somewhat satisfied d) Not at all Satisfied

19. Do you wish to try with a new service provider, if offered with discount?

a)Yes b)No

20. Alloysys Extrusion Pvt Ltd meets Your Current Performance Expectation
a) Good b) Above average
c) Below average d) Poor

21. Whether the products are delivered on time to the supplier?

a) Yes b) No
22. Whether The Alloysys Extrusion Pvt Ltd Is Available Sufficient In Market?

a) Yes b) No
23. Rate the suppliers performance?
a) Good b) Above average
c) Below average d) Poor

24. Whether Supplier is friendly with the customers?

a) Yes b) No

25. Order placement to the members supply chain is done by-

a) Phone c) Web service

b) Forecasting d) Personal

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26. Tracking of goods is done by

a) Communication channel b) Web enabled system c) GPRS system

27 Does the company have its own logistics?

a) Yes b) No

28. What are the different distributions network you are using now(Chennai
operation)

Distribution channel Currently using


Air ways
Road ways
Waterways
All the above

29. On what criteria do you judge the effectiveness of supply chain in your
company?

a)Timely deliver b)Quality and cost c)Availability of stock

d)Less damage of goods e)All the Above

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