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Analyzing supply chain configuration of food and drink retail company

Shukla Apratul Chandra, Research Scholar

Department of Mechanical Engineering, IIT-Delhi.


Abstract

The decisions in supply chain are crucial and have far reaching effects as they often requires realignment of strategies of various partners of supply chain to get synergistic gains.The external environment plays a predominant role and limitation of the organizations to control it, makes decision making risky and complicated. Supply chain configuration is complex issue and much of flexibility, adoptability and performance depend upon how it is designed. In a chain of retail outlets of food and coffee company it is extremely important to maintain lead times with in control and at the same time to ensure high flexibility in supplies as demand is fluctuating and shelf life of many items is very less. Present study attempts to analyze alternative supply chain configuration of coffee ands food Company which has geographical spread all over India and few outlets abroad also. Warehouse location, use of 3 PL providers and involvement of 4PL are few crucial decision factors which are considered and a comparison of alternatives based on 17 key parameters is done taking input from the managers of the supply chain department of the case company. A brief cost analysis is also carried out to evaluate potential benefit to the organization on implementation of most suitable alternative.

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Keywords

Supply chain configuration, 3PL, food and drink supply chain, 4 PL.

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