Diagnostic study of supply chain management in Berger Paints (Pvt.) Ltd.
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Date
2012
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Publisher
University Of Management and Technology
Abstract
The supply chain management provides the insight in understanding the modern practices
adopted by the organizations. To cover the aspects of managing supply chain we have worked on
the generalized supply chain model, end to end supply chain, pipeline mapping, value stream
mapping, cash flow, material flow, information low, different processes, and value chain analysis
and identified the gaps within these processes along with the financial implications.
The final project is about the diagnostic study of supply chain management at Berger
Paints. The Berger Paints is the leading paint manufacturer in the industry. We have collected the
information of paint industry in Pakistanand then analyzed the Berger Paints over the years in
Pakistan. To understand the concept of supply chain in Berger Paints we have applied various
tools and techniques to finalize our report and it has helped us in understanding the real life
situation that arises in the industry. The first analysis that we have done was the generalized
supply chain model in which we managed to understand how the organization corresponds
within its department as an integrated enterprise to manage the flow of information, knowledge,
product, finance and services from suppliers to distributors and vice versa. Later we have
analyzed various processes in the Berger paints and reengineered them through various
recommendationsthat fit the organization. The flow of information, material and cash was
drawnthrough extensive meetings with different people at various departments in the
organization. The flow of material, information and cash helped us to understand the actual
phenomenon how each step starts in the organization and reaches its inception after undergoing
various levels in the supply chain of the organization. After understanding and completing the
flows, the end to end supply chain system in Berger Paints was studied that tells us about each
tier from which the materials flow to the focal firm and then finally reaches the end customer
through various echelons. After this, we had set up meeting with each and every people involved
in the major operations at Berger Paints to work on the pipeline mapping that demonstrates not
only the inventory holding positions in the physical pipeline flow of Berger Paints but also value
added processes. The completion of pipeline mapping lead us to work on the value stream
mapping of Berger Paints and value stream mapping clearly differentiate the value added
activities from the non-value added activities which can help to increase service level for Berger
Paints. We have also designed and evaluated the value chain of Berger Paints to understand the
importance of primary and support activities in the organization. We have also worked on the
financial analysis of the organization to find out where exactly the company financially stands.
At the end, based on our analysis and theoretical knowledge we have presented some
recommendations for Berger Paints. The issues identified in stock, lead times, cash flows,
redundant activities, relationship with suppliers and distributors, sharing of fast and accurate
information can easily be handled with the help of collaborative planning, forecasting and
replenishment (CPFR). We presented the CPFR model for the suppliers as well as distributors
and mentioned the importance that the model will impact on the organization as a whole. During
our meetings with different people at Berger Paints we also came across some other problems
and issues that need to be addressed so we also laid some general recommendations to help
overcome those problems and issues.
Description
Supervised by: Mr. Asher Ramish; Mr. Ahmad Haseeb
Keywords
Piant Industry, Supply Chain in Berger Paint, Types of Paints