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How the SCM effects the Consumer with Pakistan Perspective International Conference on Logistics & Supply Chain Management (ICLSC 2011). AMIR MUNIR CEI Logistics / DB Schenker. Definition – Supply Chain Management. Introduction. SCM in the FMCG Industry Multi-National Corporations
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How the SCM effects the Consumer with Pakistan Perspective International Conference on Logistics & Supply Chain Management (ICLSC 2011) AMIR MUNIR CEI Logistics / DB Schenker
Definition – Supply Chain Management Introduction
SCM in the FMCG Industry • Multi-National Corporations • Local FMCG Companies • Small to Medium FMCG Companies FMCG Industry at Pakistan
Room for Improvement in Distribution Networks • Multi-National Corporations • Local FMCG Companies SCM in the FMCG Industry at Pakistan
Medium to small FMCG Companies • Lack of SCM Experience / Setup • Flaws in the Distribution Network Flaws in SCM in the Local Small to Medium FMCG Companies at Pakistan
Medium to small FMCG Companies • Complexities associated with SCM: • Involvement of Multiple Agents • Information Asymmetry • Unable to Implement distribution strategies Flaws in SCM in the Local Small to Medium FMCG Companies at Pakistan
Complexities associated with SCM: • Poor Utilization of Inventory Assets • Distortion of Information • Stock-outs Flaws in SCM in the Local Small to Medium FMCG Companies at Pakistan
Reasons for ineffective SCM: • Lack of Information Systems / Data from Retailers / Distributors • Inaccurate Demand Forecasting resulting in short Inventory ….. Resulting in Product failure. Flaws in SCM in the Local Small to Medium FMCG Companies at Pakistan
Lack of variety of goods • Access to new innovative local products • Higher prices • Monopoly by MNC FMCG companies • Not able to buy, what they want What the Consumer Gets